- Part I: Summary
- Part II: Risk Factors
- Part III: The Scheme of Arrangement and Share Capital Consolidation
- Part IV: Directors, Company Secretary, Registered Office and Advisers
- Part V: Presentation of Statisical Data and Other Information
- Part VI: Information on The Group
- Part VII: Directors and Corporate Governance
- Part VIII: Selected Financial Information
- Part IX: Operating and Financial Review
- Part X: Accountant's Reports and Financial Information
- Accountant's report on historical financial information
- Financial information for the period ended 9 July 2008
- Accountant's report on historical financial information
- Consolidated income statements
- Consolidated balance sheets
- Consolidated statements of cash flow
- Consolidated statements of shareholders' equity
- Consolidated statements of comprehensive income
- Notes to the accounts
- Part XI: Interim Financial Information of The Group for The 26 Week Period Ended 2 August 2008
- Part XII: Additional Information
- Part XIII: Definitions
11. Goodwill and other intangible assets, net
| Purchased goodwill | ||||
| Computer software $m |
US $m |
UK $m |
Total goodwill(1) $m |
|
| Cost: | ||||
| At 29 January 2005 | 6.2 | 674.1 | 228.4 | 902.5 |
| Additions | 9.9 | – | – | – |
| Translation differences | (0.4) | – | (14.4) | (14.4) |
| At 28 January 2006 | 15.7 | 674.1 | 214.0 | 888.1 |
| Additions | 7.5 | – | – | – |
| Disposals | (0.2) | – | – | – |
| Transfers | 0.6 | – | – | – |
| Translation differences | 0.9 | – | 24.2 | 24.2 |
| At 3 February 2007 | 24.5 | 674.1 | 238.2 | 912.3 |
| Additions | 11.3 | – | – | – |
| Transfers | (2.6) | – | – | – |
| Translation differences | – | – | – | – |
| At 2 February 2008 | 33.2 | 674.1 | 238.2 | 912.3 |
| Amortization: | ||||
| At 29 January 2005 | 4.0 | 266.1 | 86.5 | 352.6 |
| Charged in period | 2.2 | – | – | – |
| Translation differences | (0.4) | – | (5.4) | (5.4) |
| At 28 January 2006 | 5.8 | 266.1 | 81.1 | 347.2 |
| Charged in period | 2.4 | – | – | – |
| Disposals | (0.2) | – | – | – |
| Transfers | 0.2 | – | – | – |
| Translation differences | 0.6 | – | 9.1 | 9.1 |
| At 3 February 2007 | 8.8 | 266.1 | 90.2 | 356.3 |
| Charged in period | 4.7 | – | – | – |
| Transfers | (2.2) | – | – | – |
| Translation differences | (0.1) | – | – | – |
| At 2 February 2008 | 11.2 | 266.1 | 90.2 | 356.3 |
| Net book value: | ||||
| At 2 February 2008 | 22.0 | 408.0 | 148.0 | 556.0 |
| At 3 February 2007 | 15.7 | 408.0 | 148.0 | 556.0 |
| At 28 January 2006 | 9.9 | 408.0 | 132.9 | 540.9 |
(1) Goodwill of $520.2 million net of accumulated amortization arose on acquisitions prior to 1991.
The reporting units for the purpose of goodwill impairment testing are the US and UK operating segments. In 2007/08, 2006/07 and 2005/06, the Group performed the required impairment tests of goodwill and determined that there was no impairment.
Computer software is stated at cost less accumulated amortization. Amortization charges are recorded in selling, general and administrative expenses in the income statement. The weighted average amortization period for additions in the period is 4.1 years.
Management estimates that the annual amortization charge in respect of computer software held at 2 February 2008 for each of the next five fiscal years will be as follows:
| $m | |
| 2008/09 | 6.5 |
| 2009/10 | 6.1 |
| 2010/11 | 4.3 |
| 2011/12 | 2.9 |
| 2012/13 | 1.0 |
Estimated amortization expense can be affected by various factors including future acquisitions and disposals.