Cemex 2009 Annual Report Download - page 83

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81
When it is deemed relevant, certain amounts presented in this note 25 to the financial statements include between parentheses a translation into dollars,
into pesos, or both, as applicable. These translations are provided as informative data and should not be construed as representations that the amounts
in pesos or dollars, as applicable, actually represent that those peso or dollar amounts could be converted into pesos or dollars at the rate indicated. The
translation procedures used are detailed as follows:
•฀ When฀the฀amounts฀ between฀parentheses฀ are฀the฀peso฀ and฀the฀dollar,฀ it฀means฀the฀ disclosed฀amounts฀ were฀ originated฀in฀ other฀currencies.฀Such฀
amounts were determined by translating the foreign currency figures into dollars using the respective closing exchange rates at year-end; and then
translated into pesos using the closing exchange rates of $13.09 pesos per dollar in 2009, $13.74 pesos per dollar in 2008 and $10.92 pesos per dollar
in 2007.
•฀ When฀the฀amount฀between฀parentheses฀is฀in฀dollars,฀the฀amount฀was฀originated฀in฀pesos฀or฀other฀currencies.฀In฀2009฀and฀2008,฀such฀dollar฀translations฀
were calculated using the closing exchange rates of $13.09 and $13.74 pesos per dollar for balance sheet amounts, respectively, and using the average
exchange rates of $13.60 and $11.21 pesos for the income statement amounts for 2009 and 2008, respectively. For 2007, the constant peso amounts
as of December 31, 2007, were translated using the closing exchange rate as of the same date for balance sheet and income statement accounts.
Likewise, when the amount between parentheses is the peso, the amount was originated in dollars. For 2009 and 2008, translation to pesos was
calculated using the closing exchange rates of $13.09 and $13.74 pesos per dollar for balance sheet accounts, respectively, and the average exchange
rates of $13.60 and $11.21 pesos per dollar for income statement accounts, respectively. In 2007, translation to pesos was calculated using the
exchange rate as of December 31, 2007 for balance sheet and income statement accounts.
C. Other accounts receivable
As of December 31, 2009 and 2008, other short-term accounts receivable of the Parent Company consisted of:
2009 2008
Non-trade accounts receivable $ 312 305
Current portion for valuation of derivative instruments – 1,749
Other refundable taxes 1,871 1,155
$ 2,183 3,209
D. Investment in subsidiaries and associates
As of December 31, 2009 and 2008, investments of the Parent Company in subsidiaries and associates, which are accounted for by the equity method,
were as follows:
2009 2008
Book value at acquisition date $ 107,749 112,108
Revaluation by equity method 173,254 156,989
$ 281,003 269,097
During 2009, the Parent Company made equity contributions to its subsidiaries, CEMEX México, S.A. de C.V. (“CEMEX México”) and CEMEX Trademarks
Holding, for approximately $11,891 and $250, respectively, while the Parent Company received an equity distribution from CEMEX Central, S.A. de C.V. for
approximately $16,500. In 2008, the Parent Company made an equity contribution to CEMEX Trademarks Holding Ltd. for approximately $54.
E. Land and buildings
As of December 31, 2009 and 2008, the Parent Company’s land and buildings are summarized as follows:
2009 2008
Land $ 1,819 1,819
Buildings 470 470
Accumulated depreciation (306) (300)
$ 1,983 1,989
F. Goodwill and deferred charges
As of December 31, 2009 and 2008, the Parent Company’s goodwill and deferred charges consisted of:
2009 2008
Intangible assets of indefinite useful life:
Goodwill, net $ 1,894 1,894
Deferred Charges:
Deferred financing costs 2,906 102
Deferred income taxes (note J) 9,905 5,248
Others – 67
Accumulated amortization (394) (107)
Total deferred charges $ 12,417 5,310
Total goodwill and deferred charges $ 14,311 7,204
In 2009, the Parent Company capitalized financing costs associated with the Financing Agreement for approximately $2,843 (US$209). Under MFRS, the
Parent Company’s Financing Agreement qualified as the issuance of new debt and the extinguishment of the old facilities. Consequently, approximately $92
(US$7) of deferred financing costs associated with the extinguished debt were recognized immediately in the income statement.