Annual Report 2008
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Property, plant and equipment

 
 
land and buildings
machinery and installations
lease assets
other equipment
prepayments and construction in progress
no longer productively employed
total
 
 
 
 
 
 
 
 
Balance as of January 1, 2008:
 
 
 
 
 
 
 
Cost
2,303
3,395
88
1,732
343
13
7,874
Accumulated depreciation
(935)
(2,321)
(48)
(1,381)
(9)
(4,694)
Book value
1,368
1,074
40
351
343
4
3,180
 
 
 
 
 
 
 
 
Changes in book value:
 
 
 
 
 
 
 
Capital expenditures
101
339
37
277
9
8
771
Retirements and sales
(51)
(33)
(37)
(7)
(128)
Depreciation
(90)
(331)
(13)
(195)
(629)
Write-downs and impairments
(1)
(38)
(17)
(56)
Translation differences
9
12
9
3
2
35
Changes in consolidation
133
95
25
58
311
Total changes
101
44
58
89
4
8
304
 
 
 
 
 
 
 
 
Balance as of December 31, 2008:
 
 
 
 
 
 
 
Cost
2,353
3,434
128
1,733
347
48
8,043
Accumulated depreciation
(884)
(2,316)
(30)
(1,293)
(36)
(4,559)
Book value
1,469
1,118
98
440
347
12
3,484
 

Land with a book value of EUR 185 million, at December 31, 2008 (2007: EUR 148 million) is not depreciated.

The expected useful lives of property, plant and equipment are as follows:

 
Buildings
from 5 to 50 years
Machinery and installations
from 3 to 10 years
Lease assets
from 1 to 15 years
Other equipment
from 1 to 10 years
 

Capital expenditures include capitalized interest related to construction in progress amounting to EUR 3 million in 2008 (2007: EUR 5 million).

This is an interactive electronic version of the Philips Annual Report 2008 and also contains certain information in summarized form. The contents of this version are qualified in their entirety by reference to the printed version of the Philips Annual Report 2008. The printed version is available as a PDF file on this website. Information about: forward-looking statements, third-party market share data, fair value information, US GAAP basis of presentation, use of non-US GAAP information, statutory financial statements and management report, revision and reclassifications and analysis of 2007 compared to 2006.
157
157
Notes to the US GAAP financial statements
Notes to the IFRS financial statements
Notes to the Company financial statements
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