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Notes to the consolidated financial statements
Year ended 31 July 2007
13. Property, plant and equipment
| Land and buildings | |||||
|---|---|---|---|---|---|
| Freehold £m |
Finance lease £m |
Operating leasehold improvements £m |
Plant machinery equipment £m |
Total £m |
|
| Cost | |||||
| At 1 August 2006 | 720 | 64 | 188 | 886 | 1,858 |
| Exchange rate adjustment | (26) | – | (11) | (40) | (77) |
| New businesses | 452 | 1 | 6 | 32 | 491 |
| Additions | 79 | 3 | 76 | 202 | 360 |
| Disposals and transfers | (60) | (2) | 14 | (47) | (95) |
| Property reclassified as held for sale | (10) | – | – | – | (10) |
| At 31 July 2007 | 1,155 | 66 | 273 | 1,033 | 2,527 |
| Accumulated depreciation | |||||
| At 1 August 2006 | 143 | 11 | 88 | 472 | 714 |
| Exchange rate adjustment | (3) | – | (9) | (22) | (34) |
| Charge for the year | |||||
| – owned assets | 27 | – | 20 | 119 | 166 |
| – leased assets | – | 3 | – | 13 | 16 |
| Disposals and transfers | (14) | – | 5 | (43) | (52) |
| Property reclassified as held for sale | (1) | – | – | – | (1) |
| At 31 July 2007 | 152 | 14 | 104 | 539 | 809 |
| Owned assets | 1,003 | – | 169 | 452 | 1,624 |
| Assets under finance leases | – | 52 | – | 42 | 94 |
| Net book amount – 31 July 2007 | 1,003 | 52 | 169 | 494 | 1,718 |
| Net book amount – 1 August 2006 | 577 | 53 | 100 | 414 | 1,144 |
| Land and buildings | |||||
|---|---|---|---|---|---|
| Freehold £m |
Finance lease £m |
Operating leasehold improvements £m |
Plant machinery equipment £m |
Total £m |
|
| Cost | |||||
| At 1 August 2005 | 619 | 56 | 146 | 717 | 1,538 |
| Exchange rate adjustment | (17) | (1) | (10) | (29) | (57) |
| New businesses | 46 | 1 | 6 | 46 | 99 |
| Additions | 104 | 8 | 48 | 205 | 365 |
| Disposals and transfers | (25) | – | (2) | (53) | (80) |
| Property reclassified as held for sale | (7) | – | – | – | (7) |
| At 31 July 2006 | 720 | 64 | 188 | 886 | 1,858 |
| Accumulated depreciation | |||||
| At 1 August 2005 | 131 | 11 | 81 | 432 | 655 |
| Exchange rate adjustment | (3) | (1) | (3) | (15) | (22) |
| Charge for the year | |||||
| – owned assets | 22 | – | 12 | 85 | 119 |
| – leased assets | – | 1 | – | 14 | 15 |
| Disposals and transfers | (6) | – | (2) | (44) | (52) |
| Property reclassified as held for sale | (1) | – | – | – | (1) |
| At 31 July 2006 | 143 | 11 | 88 | 472 | 714 |
| Owned assets | 577 | – | 100 | 375 | 1,052 |
| Assets under finance leases | – | 53 | – | 39 | 92 |
| Net book amount – 31 July 2006 | 577 | 53 | 100 | 414 | 1,144 |
| Net book amount – 1 August 2005 | 488 | 45 | 65 | 285 | 883 |
Included in the amounts above are £90 million (2006: £89 million) relating to assets under construction. At 31 July 2007 £93 million of property, plant and equipment had been pledged as security for liabilities (2006: £92 million).