349 / 488
340
Wiley IFRS: Practical Implementation Guide and Workbook
15.2 A DIDAS G ROUP, A n n u a l Report 2006
Notes to th e Financial Sta teme nts
13. T rademarks and Other Intangibl e Asse ts
Trademarks and other intangible assets consist of the following:
Trademarks and other intangible assets
€
in millions
Trad emarks, gross
Less: accumulated amortization
Trademarks, net
Software, patents and concessions. gross
Less: accumulated amortization
Other intangible assets, net
Trademarks and other intangible assets, net
Dec.
31
2006
1,454
o
1,454
447
224
223
1,677
Dec.
31
2005
15
o
15
242
166
76
9 1
Intangible asset amortization expenses (continuing operations) were
€69
million and
€4
milli on
for the years endi ng December 3 1, 2006 and 2005 , respectively (see also Note 25).
Tr ademarks with indefinite useful lives amount to
€1.436
billion. They were estimated to be
indefi nite due to the high degree of brand recog nition as well as their foundation a long time ago . The
trademarks are allocated to the cash-generati ng unit Reebok.
The Grou p determines whe ther trademarks with indefinite useful lives are impaired at least on an
annual basis. This requires an estimatio n of the fair value less costs to sell of the cash-generating units
to which the trademark is allocated. Est imating the fair value less costs to sell requires the Group to
make an estimate of the expected future brand-specific sales and appropriate arm ' s-length roya lty rate s
from the cash-generating unit and also to choose a suitable discount rate in order to calc ulate the
pre sent value of those cash flow s. There was no impai rment expense for the year ending De
cember 31, 2006 .
Future cha nges in expected cash flows and discount rates may lead to impairment of the
accounted trademarks in the future .
For details see Statement of Movements of Tangible Assets and Finan cia l Assets [Attachment I to
these Note s].
15.3 NOKIA, Decembe r 31 , 2006
Notes to th e Consolidated Financi al Statements
13. Intangible Assets
EURm
Capitalized development costs
Acquisition cost January I
Additions during the period
Disposals during the period
Accumulated acquisition cost December
31
Accumulated amortization January I
Disposals during the period
Amortization for the period
Accumulated amor tization December
31
Net book value January I
Net book value December
31
Goodwill
Acquisition cost January I
Transfer of accumulated amortization on adoption of IFRS
3
Translation differences
Additions during the period (Note 9)
Other changes
Accumulated acquisition cost December
31
1,445
127
-----D2)
.L.lli
(1,1 85)
39
----illfi)
~
260
25 1
90
(26)
488
flQ.)
ill
1,322
153
--i.3.Q)
lM5.
(1044)
30
.uzn
~
278
260
1,298
(1,208)