LensCrafters 2015 Annual Report Download - page 127

Notes to the consolidated financial statement as of December 31, 2015 Page 33 di 68
NON-CURRENT ASSETS
10. PROPERTY, PLANT AND EQUIPMENT
Changes in items of property, plant and equipment are reported below:
(in thousands of Euro)
Land and
buildings,
including
leasehold
improvements
Machinery
and
equipment
Aircraft
Other
equipment
Total
As of January 1, 2014
Historical cost 910,968 1,107,816 38,145 612,555 2,669,485
Accumulated depreciation (454,957)
(681,918) (11,894) (337,480) (1,486,249)
Total as of January 1, 2014 456,011
425,898 26,252 275,075 1,183,236
Increases 59,160 101,646 7,851 112,120 280,778
Decreases/write-downs (3,908) (4,508) (2,893) (4,164) (15,473)
Business combinations — 4,698 — 1,026 5,724
Translation difference and other 45,674 61,162 3,807 (22,745) 87,898
Depreciation expense (60,625)
(101,540) (1,763) (60,619) (224,547)
Total balance as of December 31, 2014 496,313
487,359 33,253 300,693 1,317,617
Of which:
Historical cost 1,032,956 1,303,833 46,300 700,746 3,083,835
Accumulated depreciation (536,643)
(816,474) (13,047) (400,053) (1,766,218)
Total as of December 31, 2014 496,313
487,359 33,253 300,693 1,317,617
Increases 89,892 101,950 — 170,633 362,475
Decreases/write-downs (8,311) (2,105) (1,537) (7,758) (19,711)
Translation difference and other 38,714 51,795 (19,255) (22,611) 48,643
Depreciation expense (73,834)
(124,405) (1,965) (73,295) (273,499)
Total balance as of December 31, 2015 542,774
514,594 10,496 367,661 1,435,524
Of which:
Historical cost 1,160,057 1,456,077 11,362 825,695 3,453,190
Accumulated depreciation (617,283)
(941,482) (865) (458,033) (2,017,664)
Total balance as of December 31, 2015 542,774
514,594 10,496 367,661 1,435,524
Of the total depreciation expense of Euro 273.5 million (Euro 224.5 million in 2014), Euro 94.1 million (Euro 81.3 million in
2014) is included in cost of sales, Euro 133.6 million (Euro 111.3 million in 2014) is included in selling expenses,
Euro 11.6 million (Euro 7.9 million in 2014) is included in advertising expenses and Euro 34.2 million (Euro 24.0 million in
2014) is included in general and administrative expenses.
Capital expenditures in 2015 and 2014 mainly relate to technology upgrades associated with manufacturing capacity,
enhancements to IT infrastructure, opening of new stores and the remodeling of older stores. In 2015 increases include Euro
26.0 million related to capital additions not yet paid as of the end of year.
Other equipment includes Euro 108.5 million for assets under construction as of December 31, 2015 (Euro 62.6 million as of
December 31, 2014) mainly relating to investments in manufacturing facilities in Italy and China (Euro 16.2 million and Euro
37.6 million respectively) and to the opening and renovation of North America retail stores.
Leasehold improvements totaled Euro 202.9 million and Euro 169.2 million as of December 31, 2015 and December 31, 2014,