Nokia 2005 Annual Report Download - page 195

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Notes to the Consolidated Financial Statements (Continued)
35. Notes to cash flow statement
2004 2003
2005 As revised As revised
EURm EURm EURm
Adjustments for:
Depreciation and amortization (Note 11) ..................... 712 868 1,138
(Profit)/loss on sale of property, plant and equipment and
available-for-sale investments ............................ (131) 26 170
Income taxes (Note 13) ................................... 1,281 1,446 1,697
Share of results of associated companies (Note 34) ............. (10) 26 18
Minority interest ........................................ 74 67 54
Financial income and expenses (Note 12) ..................... (322) (405) (352)
Impairment charges (Note 9) .............................. 66 129 453
Share-based compensation ................................ 104 62 41
Premium return ........................................ —(160) —
Customer financing impairment charges and reversals .......... —— (226)
Other ................................................. —— (1)
Adjustments, total ......................................... 1,774 2,059 2,992
Change in net working capital
(Increase) Decrease in short-term receivables ................. (896) 372 (205)
Increase in inventories ................................... (301) (193) (41)
Increase in interest-free short-term borrowings ................ 831 62 62
Change in net working capital ............................... (366) 241 (184)
Non-cash investing activities
Acquisition of:
Current available-for-sale investments in settlement of customer
loan ................................................ —— 676
Company acquisitions .................................... ——18
Total .................................................. —— 694
36. Subsequent events (unaudited)
Changes in the Nokia Group Executive Board
On February 15, 2006 the Group announced that Pertti Korhonen, Chief Technology Officer and
Executive Vice President, Technology Platforms, and a member of the Group Executive Board will
resign from the Group Executive Board as of April 1, 2006. He will also resign from Nokia. Niklas
Savander has been appointed as Executive Vice President, Technology Platforms and a member of
the Group Executive Board as of April 1, 2006.
Preliminary Agreement with SANYO
On February 14, 2006, the Group and SANYO Electric Co., Ltd announced a preliminary agreement
with intent to form a new global company comprised of their respective CDMA mobile phone
businesses—separate from the parent companies. The relevant assets from both companies will be
contributed or made available for the new entity. Final agreements are expected to be signed in
the second quarter of 2006, with the new business expected to commence operations in the third
F-57