Reebok 2009 Annual Report Download - page 185

CONSOLIDATED FINANCIAL STATEMENTS Notes 181
Notes to the Consolidated Balance SheetNotes to the Consolidated Balance Sheet
Cash and cash equivalents 05
Cash and cash equivalents consist of cash at banks and on hand as well as short-term bank
deposits. Short-term financial assets are only shown as cash and cash equivalents if they are
readily convertible to a known amount of cash and are subject to an insignificant risk of changes
in value.
Short-term financial assets 06
Short-term financial assets are classified at “fair value through profit or loss”. Changes in the fair
value are recognised in the income statement as they occur.
The majority of short-term financial assets are marketable securities relating to money
market funds and structured deposits.
Accounts receivable 07
Accounts receivable consist mainly of the currencies US dollar, euro and Japanese yen and are
as follows:
N °-
07
ACCOUNTS RECEIVABLE
€ IN MILLIONS
Dec. 31, 2009 Dec. 31, 2008
Accounts receivable, gross 1,553 1,743
Less: allowance for doubtful accounts 124 119
Accounts receivable, net 1,429 1,624
N °-
07
MOVEMENT IN ALLOWANCES FOR DOUBTFUL ACCOUNTS
€ IN MILLIONS
2009 2008
Allowances at January 1 119 111
Additions 68 49
Additions – Ashworth, Inc. acquisition — 4
Reversals (29) (22)
Write-offs charged against the allowance accounts (34) (21)
Currency translation differences 0 (2)
Other changes 0 0
Allowances at December 31 124 119
N °-
07
ACCOUNTS RECEIVABLE PAST DUE BUT NOT IMPAIRED
€ IN MILLIONS
past due
1 – 30 days past due 31 – 60 days past due 61 – 90 days past due 91 – 180 days
past due more
than 180 days
Dec. 31, 2009 115 57 10 6 5
Dec. 31, 2008 163 77 20 10 10
With respect to accounts receivable past due but not impaired, based on credit history and current
credit ratings, there are no indications that customers will not be able to meet their obligations.
Further, no indications of default are recognisable for accounts receivable that are neither
past due nor impaired.
Other current financial assets 08
Other current financial assets consist of the following:
N °-
08
OTHER CURRENT FINANCIAL ASSETS
€ IN MILLIONS
Dec. 31, 2009 Dec. 31, 2008
Interest rate derivatives 0 1
Currency options 22 22
Forward contracts 20 156
Security deposits 60 66
Other financial assets 58 42
Other current financial assets 160 287
Information in relation to forward contracts as well as currency options and interest rate deriva-
tives is also included in these Notes see Note 28.