Lenovo 2008 Annual Report Download - page 117
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17 Prepaid lease payments
Group
2008 2007
US$’000 US$’000
At the beginning of the year 5,807 6,412
Exchange adjustment 588 308
Disposals (146) (764)
Amortization (150) (149)
At the end of the year 6,099 5,807
Prepaid lease payments represent the payments for land use rights held by the Group in the Chinese Mainland under medium
leases (less than 50 years but not less than 10 years).
18 Construction-in-progress
Group Company
Buildings under
construction
Internal use
software Others Total
Internal use
software
2008 2007 2008 2007 2008 2007 2008 2007 2008 2007
US$’000 US$’000 US$’000 US$’000 US$’000 US$’000 US$’000 US$’000 US$’000 US$’000
At the beginning of the year 1,032 8,462 16,868 18,100 2,538 1,403 20,438 2 7, 9 6 5 16,500 18,10 0
Exchange adjustment 110 289 117 (32) 299 190 526 447 74 (32)
Reclassification (262) –43 –219 –––––
Additions 3,029 2,435 50,015 12,980 14,098 24,186 67,142 39,601 187 4,032
Transfer to property, plant
and equipment (2,094) (9,972) ––(12,318) (23,209) (14,412) (33,181) ––
Transfer to intangible assets ––(17,494) (14,18 0) ––(17,494) (14,18 0) (2,868) (5,600)
Disposals (944) (182) (121) –(3,777) (32) (4,842) (214) ––
Disposal of discontinued
operations (Note 13(a)) ––(121) –––(121) –––
At the end of the year 871 1,032 49,307 16,868 1,059 2,538 51,237 20,438 13,893 16,500
No interest expenses were capitalized in construction-in-progress as at March 31, 2007 and 2008.
Lenovo Group Limited • Annual Report 2007/08 115