Nokia 2014 Annual Report Download - page 146

144 NOKIA IN 2014
Total consideration paid, aggregate fair values of intangible assets, other net assets acquired and resulting goodwill at each acquisition date are
as follows:
EURm Aggregate fair values
Total cash consideration 175
Identied intangible assets 77
Other net assets 22
Total identiable net assets 99
Goodwill 76
Total 175
The intangible assets are customer- and marketing-related, and technology-based intangible assets. Goodwill has been allocated to
cash-generating units or groups of cash-generating units expected to benet from the synergies of the combination. Refer to Note 10,
Impairment. Acquisition-related costs of EUR 3 million have been charged to selling, general and administrative expenses in the consolidated
income statement.
Acquisitions in 2013
Acquisition of Siemens’ non-controlling interest in Nokia Networks
On August 7, 2013 the Group completed the acquisition of Siemens’ 50% interest in the joint venture, Nokia Networks (formerly Nokia Siemens
Networks, Nokia Solutions and Networks), for a consideration of EUR 1 700 million. Transaction-related costs amounted to EUR 7 million.
Following the acquisition, Nokia Siemens Networks B.V., the parent entity of Nokia Networks, became a wholly owned subsidiary of the Group.
The acquisition did not result in a change in control. The acquisition of non-controlling interest was accounted for as an equity transaction.
Thetransaction reduced the Group’s equity by EUR  million, representing the dierence between the carrying amount of Siemens’
non-controlling interest on the date of acquisition of EUR  million and the total consideration paid. Refer to Note 2, Segment information.
5. Revenue recognition
EURm 2014 2013 2012
Continuing operations
Revenue from sale of products and licensing(1) 7 427 6 399 6 509
Nokia Networks 5 884 4 960 4 874
HERE 965 910 1 101
Nokia Technologies 578 529 534
Revenue from services 4 966 5 314 5 476
Nokia Networks 4 961 5 310 5 474
HERE 54 2
Contract revenue recognized under percentage
of completion accounting 353 1 012 3 431
Nokia Networks 353 1 012 3 431
Eliminations and Group Common Functions (14) (16) (16)
Total 12 732 12 709 15 400
(1) Includes HERE sales to Discontinued operations of EUR 31 million (EUR 154 million in 2013 and EUR 374 million in 2012).
Revenue recognition-related items for construction contracts in progress at December 31 are:
EURm
2014 2013
Assets Liabilities Assets Liabilities
Contract revenues recorded prior to billings 82 162
Billings in excess of costs incurred 40 99
Advances received 1 14
Retentions 12 23
Assets are included in accounts receivable and liabilities are included in accrued expenses in the consolidated statement of nancial position.
The aggregate amount of costs incurred and prots recognized, net of recognized losses, for construction contracts in progress since inception
is EUR 4 219 million at December 31, 2014 (EUR 13 049 million in 2013), the majority of which relates to projects near completion. The decrease
in the aggregate amount of costs incurred and prots recognized is in line with the decrease in revenue recognized under contract accounting.
Notes to consolidated nancial statements continued