2014 Registration Document and Annual Financial Report - page 209

5
Financial Statemements
Consolidated Financial Statements and Notes
The main other assumptions used to estimate recoverable amounts were as follows:
December 2014
Germany
France
Asia
Australia
Americas
Growth rate
2.00% 2.00% 2.00% 2.60% 4.24%
Discount rate
8.57% 8.57% 9.52% 8.05% 12.73%
December 2013
Germany
France
Asia
Australia
Americas
Growth rate
2.00%
N/A
2.00% 2.60%
N/A
Discount rate
8.80%
N/A
10.40% 8.20%
N/A
In 2013 and in 2014, analyses showed that, in the case of CGUs
for which no impairment was recorded during the period, only a
substantial, improbable change in the discount rate in the next
twelve months would have caused their recoverable amount to
fall to below their carrying amount.
Sensitivity tests performed on the main CGUs at December 31,
2014 showed that:
ƒƒ
In Germany, the CGU’s carrying amount would exceed its
recoverable amount if the discount rate increased by 2,727 basis
points. As the enterprise value would be recovered in five years
based on projected discounted cash flows, its carrying amount
would represent less than its recoverable amount whatever the
growth rate to perpetuity used for the calculation.
ƒƒ
In Asia, the CGU’s carrying amount would exceed its recoverable
amount if the discount rate increased by 5,052 basis points. As
the enterprise value would be recovered in five years based on
projected discounted cash flows, its carrying amount would
represent less than its recoverable amount whatever the growth
rate to perpetuity used for the calculation.
ƒƒ
InAustralia, the CGU’s carrying amount would exceed its recoverable
amount if the discount rate increased by 810 basis points or the
growth rate to perpetuity was reduced by 1,530 basis points.
ƒƒ
In America, the CGU’s carrying amount would exceed its
recoverable amount if the discount rate increased by 7,267 basis
points. As the enterprise value would be recovered in five years
based on projected discounted cash flows, its carrying amount
would represent less than its recoverable amount whatever the
growth rate to perpetuity used for the calculation.
ƒƒ
In France, only a highly improbable 29,058-bps increase in the
discount rate would result in the carrying amount becoming
greater than the recoverable amount. As the enterprise value
would be recovered by five years’ worth of discounted cash
flows, the carrying amount would remain below the recoverable
amount whatever the growth rate to perpetuity.
Sensitivity tests on these recoverable amounts show that a 10%
decline in projected discounted operating cash flows would not
result in the recognition of any impairment loss.
No impairment loss was recorded for HotelServices.
Note 14.2 Impairment of intangible assets
At December 31, 2014, impairment losses of €(0) million were
recorded on intangible assets.
At December 31, 2013, impairment losses of €(1) million were
recorded on intangible assets.
Note 14.3 Impairment of property, plant and equipment
(inmillions of euros)
France
Europe
(excl. France/
Mediterranean)
Mediterranean,
Middle East,
Africa
Asia
Pacific Americas
Worldwide
Structures
2014
2013
Adjusted
HOTELSERVICES
-
-
-
-
-
-
-
-
HOTELINVEST
(8)
(22)
(11)
(11)
(0)
-
(52)
(81)
CORPORATE/INTERCOS
-
-
-
-
-
-
-
-
TOTAL 2014
(8)
(22)
(11)
(11)
(0)
-
(52)
TOTAL 2013 ADJUSTED (17)
(20)
(32)
(6)
(6)
-
(81)
At December 31, 2014, impairment losses on property, plant and
equipment concerned 102 hotels for €50 million. No impairment
losses were reversed.
Impairment losses of €5 million were recognized on ibis Shanghai
Waigaoqio, ibisWeifang Qingnian, ibis Beijing Capital Airport and ibis
Yangzhou Dev Zone hotels, based on the prices offered by potential
buyers (level 2 valuation technique under IFRS 13: see Note 2.R).
Registration Document 2014
207
1...,199,200,201,202,203,204,205,206,207,208 210,211,212,213,214,215,216,217,218,219,...332
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