BT 2013 Annual Report Download - page 119

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Financial statements
117
Financial statements
4. Segment information continued
Internal revenue and costs
Intra group revenue generated from the sale of regulated products and services is based on market price. Intra group revenue from the sale of other
products and services is agreed between the relevant lines of business and therefore line of business profitability can be impacted by transfer pricing
levels. BT Global Services does not generate internal revenue from the other lines of business. The majority of internal trading relates to Openreach
and arises on rentals, and any associated connection or migration charges, of the UK access lines and other network products to the customer-
facing lines of business. This occurs both directly, and also indirectly, through BT TSO which is included within the ‘Other’ segment. Internal revenue
arising in BT Retail relates primarily to BT Ireland and BT Enterprises. Internal revenue arising in BT Wholesale relates mainly to the sale of line cards
and access electronic services to Openreach.
Internal cost recorded by
BT Global
Services BT Retail BT Wholesale Openreach Other Total
Year ended 31 March 2013 £m £m £m £m £m £m
Internal revenue recorded by
BT Retail 410 122 2 22 556
BT Wholesale 1 980 981
Openreach 209 1,458 266 – 1,387 3,320
Total 620 1,458 388 982 1,409 4,857
Internal cost recorded by
BT Global
Services BT Retail BT Wholesale Openreach Other Total
Year ended 31 March 2012 £m £m £m £m £m £m
Internal revenue recorded by
BT Retail 359 99 5 48 511
BT Wholesale 980 980
Openreach 226 1,625 245 – 1,417 3,513
Total 585 1,625 344 985 1,465 5,004
Internal cost recorded by
BT Global
Services BT Retail BT Wholesale Openreach Other Total
Year ended 31 March 2011 £m £m £m £m £m £m
Internal revenue recorded by
BT Retail 309 64 3 71 447
BT Wholesale 979 979
Openreach 242 1,779 198 – 1,207 3,426
Total 551 1,779 262 982 1,278 4,852
Revenue by products and services
2013 2012 2011
Year ended 31 March £m £m £m
ICT and managed networks 6,135 6,584 6,632
Broadband and convergence 3,170 2,971 2,767
Calls and lines 4,689 5,094 5,595
Transit 819 1,128 1,518
Conveyance, interconnect circuits, WLR, global carrier and other wholesale 1,498 1,476 1,512
Other products and services 1,942 2,054 2,052
Revenuea18,253 19,307 20,076
aBefore specific items.