BMW 2012 Annual Report Download - page 57

57 COMBINED GROUP AND COMPANY MANAGEMENT REPORT
European capital markets. Bonds were also issued in
Canadian dollars, British pounds, Norwegian krone, In-
dian rupees, South Korean won and other currencies
for a total amount of € 5.1 billion.
A total of eight ABS transactions were executed in 2012,
including two public transactions in the USA and one
each in Germany and South Africa with a total volume
equivalent to € 2.3 billion. Further funds were also raised
via new ABS conduit transactions in Japan, Australia
and the UK totalling € 1.7 billion.
The regular issue of commercial paper also strengthens
our financial base. The following table provides an over-
view of existing money and capital market programmes
of the BMW Group at 31 December 2012:
visions (81.6 %), trade payables (20.5 %), non-current
financial liabilities (4.0 %) and other provisions (8.7 %).
Deferred tax liabilities (7.1 %) and current other lia-
bilities (3.3 %) decreased.
At € 5,207 million, the carrying amount of intangible as-
sets was € 31 million lower than at the end of the pre-
vious year. Within intangible assets, capitalised develop-
ment costs decreased by € 41 million to € 4,347 million.
Development costs recognised as assets during the year
under report totalled € 1,089 million (+12.0 %) and
were
therefore higher than one year earlier. The propor-
tion of research and development costs recognised as
assets was 27.6 % (2011: 28.8 %). The corresponding am-
ortisation expense was € 1,130 million (2011: € 1,209 mil-
lion). Goodwill was unchanged from the previous year
and stood at € 369 million.
Property, plant and equipment rose sharply to
€ 13,341 million. Capital expenditure of € 4,028 mil-
lion
was 55.0 % higher than in the previous year (2011:
€ 2,598 million). The main focus was on product invest-
ments
for production start-ups and infrastructure
improvements. Depreciation on property, plant and
equipment totalled € 2,298 million. Total capital ex-
penditure on intangible assets and property, plant and
equipment
as a percentage of revenues increased to
6.8 % (2011: 5.4 %).
Leased products climbed by € 1,356 million or 5.9 % as
a result of increased business volumes. Adjusted for ex-
change rate factors, the increase was 6.1 %.
Receivables from sales financing increased by 7.2 % to
€ 52,914 million due to higher business volumes. Of
this amount, customer and dealer financing accounted
for € 40,650 million (6.1 %) and finance leases for
€ 12,264 million (11.0 %).
Compared to the end of the previous financial year,
in-
ventories went up only marginally by € 87 million
(+0.9 %) to € 9,725 million. Adjusted for exchange rate
factors, the increase was 1.3 %.
Financial assets went up by 24.0 % to € 6,760 million,
largely due to higher levels of marketable securities
and investment fund shares as well as increases in fair
values of currency derivatives.
Liquid funds went up by 9.1 % to € 11,025 million and
comprise cash and cash equivalents, marketable securi-
ties and investment fund shares (the last two items re-
ported as financial assets).
Programme Amount utilised
Euro Medium Term Notes € 25.5 billion
Commercial paper € 4.7 billion
The BMW Group’s liquidity position is extremely robust,
with cash funds totalling € 11.0 billion on hand at 31 De-
cember 2012. A syndicated credit line of € 6 billion is
also in place. The credit line, which is being made avail-
able at attractive conditions by a consortium of 39 inter-
national banks, has a term up to October 2017 and can
be extended by one year.
Further information with respect to financial liabilities
is provided in the notes to the Group Financial State-
ments
33 and 37.
Net assets position
The Group balance sheet total increased by € 8,421 mil-
lion to stand at € 131,850 million at 31 December 2012.
Adjusted for changes in exchange rates, the balance
sheet total increased by 7.5 %.
The main factors behind the increase on the assets
side of the balance sheet were receivables from sales
financing (7.2 %), property, plant and equipment
(14.2 %), leased products (5.9 %) and financial assets
(24.0 %). By contrast, trade receivables went down by
22.6 % thanks to proactive receivables management.
Inventories increased marginally (0.9 %) compared to
the previous year.
On the equity and liabilities side of the balance sheet,
the increase related to equity (12.2 %), pension pro-