LensCrafters 2015 Annual Report Download - page 130

Notes to the consolidated financial statement as of December 31, 2015 Page 36 di 68
order to reflect the value of the CGU in future years. The terminal values were calculated as a perpetuity at the same growth rate
as described above and represent the present value, in the last year of the forecast, of all future perpetual cash flows. The
impairment test performed as of the balance sheet date resulted in a recoverable value greater than the carrying amount
(net operating assets) of the above mentioned CGUs. In percentage terms, the surplus of the recoverable amount of the CGU
over the carrying amount was equal to 502%, 72%, 98% and 100% of the carrying amount of the Wholesale, Retail Optical,
Retail Sun & Luxury and Retail Oakley CGUs, respectively. A reduction in the recoverable amount of the CGU to a value that
equals its carrying amount would require either of the following: (i) an increase in the discount rate to approximately 31.7% for
Wholesale, 10.3% for Retail Optical, 11.7% for Retail Sun & Luxury and 11.5% for Retail Oakley; or (ii) the utilization of a
negative growth rate for all the CGUs.
In addition, reasonable changes to the abovementioned assumptions used to determine the recoverable amount (i.e., growth rate
changes of +/−0.5 percent and discount rate changes of +/−0.5 percent) would not significantly affect the impairment
test results.
12. INVESTMENTS
Investments amounted to Euro 65.4 million (Euro 61.2 million as of December 31, 2014). The balance mainly related to the
investment in Eyebiz Laboratories Pty Limited (a joint venture formed in 2010 between Luxottica and Essilor International that
provides most of the Australian lab requirements) for Euro 6.0 million (Euro 5.4 million as of December 31, 2014) and the
acquisition of the 36.80% equity stake in Salmoiraghi & Viganò. The following tables provide a roll-forward of the Group’s
investment from the acquisition date as well as the assets, liabilities and net sales of Salmoiraghi & Viganò.
(in thousands of Euro)
As of January 1, 2015 42,583
Addition —
Share of profit from associate 3,430
As of December 31, 2015 46,013
(in thousands of Euro)
As of
December 31, 2015
Total assets 183,116
Total liabilities 136,865
Net sales 195,284
Share of profit 3,430
Percentage held 36.80%
The investment was analyzed under the applicable impairment test as of December 31, 2015 and it was determined that no loss
is to be recorded in the consolidated financial statements as of December 31, 2015.