- Home
- Highlights
- Messages to Shareholders
- Business Overview
- Board of Directors
- Operating and Financial Review
- Corporate Governance
- Directors’ Reports
- Independent Reports
- Financial Statements
- Statement of Directors’ responsibilities
- Accounting policies
- Consolidated income statement
- Consolidated balance sheet
- Consolidated statement of recognised income and expense
- Consolidated cash flow statement
- Notes to the accounts
- Company Financial Statements
- General Information
- Shareholder Information
Financial Statements
17. Property, plant and equipment
| Land and buildings £m |
Plant and machinery £m |
Assets in the course of construction £m |
Motor vehicles and office equipment £m |
Total £m |
|
|---|---|---|---|---|---|
| Cost at 1 April 2005 | 911 | 30,816 | 1,269 | 809 | 33,805 |
| Exchange adjustments | 35 | 562 | 12 | 1 | 610 |
| Additions | 65 | 588 | 1,339 | 101 | 2,093 |
| Disposal of subsidiary undertakings | (30) | (6,976) | (9) | (253) | (7,268) |
| Other disposals | (25) | (128) | - | (18) | (171) |
| Reclassifications | 18 | 840 | (895) | 37 | - |
| Cost at 31 March 2006 | 974 | 25,702 | 1,716 | 677 | 29,069 |
| Exchange adjustments | (53) | (841) | (27) | (1) | (922) |
| Additions | 16 | 604 | 1,611 | 112 | 2,343 |
| Acquisition of subsidiary undertakings | 12 | 157 | 1 | - | 170 |
| Reclassification to assets of businesses held for sale | (152) | (1,292) | (2) | (22) | (1,468) |
| Other disposals | (57) | (112) | - | (36) | (205) |
| Other reclassifications | 38 | 1,248 | (1,327) | 41 | - |
| Cost at 31 March 2007 | 778 | 25,466 | 1,972 | 771 | 28,987 |
| Depreciation at 1 April 2005 | 282 | 10,286 | - | 592 | 11,160 |
| Exchange adjustments | 7 | 200 | - | - | 207 |
| Depreciation charge for the year (i) | 17 | 816 | - | 75 | 908 |
| Disposal of subsidiary undertakings | (13) | (1,781) | - | (200) | (1,994) |
| Other disposals | (9) | (121) | - | (17) | (147) |
| Depreciation at 31 March 2006 | 284 | 9,400 | - | 450 | 10,134 |
| Exchange adjustments | (10) | (311) | - | (1) | (322) |
| Depreciation charge for the year (i) | 18 | 801 | - | 70 | 889 |
| Reclassification to assets of businesses held for sale | (97) | (350) | - | (18) | (465) |
| Other disposals | (3) | (107) | - | (34) | (144) |
| Depreciation at 31 March 2007 | 192 | 9,433 | - | 467 | 10,092 |
| Net book value at 31 March 2007 | 586 | 16,033 | 1,972 | 304 | 18,895 |
| Net book value at 31 March 2006 | 690 | 16,302 | 1,716 | 227 | 18,935 |
(i) Includes amounts in respect of discontinued operations of £59m (2006: £64m).
The net book value of land and buildings comprised:
| 2007 £m |
2006 £m |
|
|---|---|---|
| Freehold | 540 | 649 |
| Long leasehold (over 50 years) | 13 | 13 |
| Short leasehold (under 50 years) | 33 | 28 |
| 586 | 690 |
The cost of property, plant and equipment at 31 March 2007 included £565m (2006: £504m) relating to interest capitalised.
Included within trade and other payables and other non-current liabilities at 31 March 2007 are contributions to the cost of property, plant and equipment amounting to £28m (2006: £31m) and £1,079m (2006: £1,018m) respectively.
The carrying value of property, plant and equipment held under finance leases at 31 March 2007 was £107m (2006: £134m). Additions during the year include £1m (2006: £31m) of property, plant and equipment held under finance leases.