BMW 2008 Annual Report Download - page 52

53 Group Management Report
have increased by euro , million or . . The main
factors behind the increase on the assets side were the
increased level of cash and cash equivalents + . ,
re-
ceivables from sales financing + .  and leased products
+ . . On the equity and liabilities side of the balance
sheet, the main increase related to financial liabilities
+ . .
Intangible assets amounted to euro , million, slightly
below their level one year earlier. Within this line item,
capitalised
development costs went up by .  to euro
, million. Development costs recognised as assets
during the year under report amounted to euro , million
– . , equivalent to a capitalisation ratio of .  :
. . The lower level of additions to capitalised develop-
ment costs in  was due to the smaller number of
projects in the series development phase. Amortisation on
intangible assets amounted to euro , million + . .
The carrying amount of property, plant and equipment
increased slightly by .  to euro , million. Capital
expenditure increased by euro , million or . , with
the main focus on product investments for production
start-ups and infrastructure improvements. Depreciation
on property, plant and equipment totalled euro , million
– . . Balances brought forward for subsidiaries being
consolidated for the first time amounted to euro  million.
Total capital expenditure as a percentage of revenues was
.  : . .
The amount reported for leased products in the balance
sheet rose sharply compared to the end of the previous
year, reflecting a general increase in business volumes as
well as the integration of the – previously off-balance-
sheet – vehicle portfolio of a leasing company which had
included a part of the leasing business for Germany.
Leased products rose by .  to euro , million. Ad-
justed for changes in exchange rates, they would have
risen by . .
The carrying amount of other investments increased by
.  to euro  million, mainly as a result of capital in-
creases at non-consolidated companies.
Receivables from sales financing were up by .  to euro
, million due to higher business volumes. Of this
amount, customer and dealer financing accounted for euro
, million + .  and finance leases accounted for
euro , million + . . Inventories decreased by euro
 million – .  to euro , million. Trade receivables
were .  lower than at  December .
Financial assets increased by .  to euro , million,
mainly as a result of the higher fair values of derivative finan-
cial instruments.
Liquid funds increased by .  to euro , million. Mar-
ketable securities and investment funds decreased as a
result of the transfer of assets to the newly founded BMW
Trust e. V., Munich, in conjunction with the creation of an
external fund for pension obligations.
Cash and cash equivalents rose by euro , million.
On the equity and liabilities side of the balance sheet,
equity decreased by .  to euro , million. The profit
for the year attributable to shareholders of BMW AG in-
creased
equity by euro  million. Fair value changes rec-
ognised directly in accumulated other equity reduced
equity by euro , million (: euro  million). The latter
comprises translation differences, fair value gains and losses
on financial instruments and available-for-sale securities
as well as actuarial gains and losses on pension plans.
Translation differences reduced accumulated other equity
by euro  million. The fair values of derivative financial
in-
struments decreased by a further euro  million. Actu-
arial
gains and losses within accumulated other equity
increased by euro  million. The fair values of marketable
securities fell marginally by euro  million. Deferred taxes
on fair value gains and losses recognised directly in equity
increased equity by euro  million in .
Minority interests amounted to euro  million. The equity
ratio of the BMW Group fell by . percentage points to
. .
The equity ratio for the Automobiles segment was . 
compared to .  at the end of the previous year. The
equity ratio for the Financial Services segment fell from
.  to . .
The amount recognised in the balance sheet for pension
provisions went down by .  to euro , million. In the
case of pension plans with fund assets, the fair value of
fund assets is offset against the defined benefit obligation.
The reduction in pension obligations resulted primarily
from the transfer of pension obligations to the newly