Reebok 2014 Annual Report Download - page 238

adidas Group
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2014 Annual Report
Consolidated Financial Statements
234
2014
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04.8
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Notes
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Notes to the Consolidated Income Statement
Notes to the Consolidated Income Statement
Other operating income consists of the following:
Other operating income (continuing operations)
(€ in millions) Year ending
Dec. 31, 2014
Year ending
Dec. 31, 2013
Income from release of accrued liabilities and other provisions 89 83
Income from accounts receivable previously written off 3 3
Gains from disposal of fixed assets 2 1
Reversals of impairment losses for intangible and tangible assets 1 2
Sundry income 44 53
Other operating income 138 142
Sundry income mainly relates to income from cost reimbursements.
Other operating expenses include expenses for sales, marketing, research and development, as well as for
logistics and central administration. In addition, they include impairment losses as well as depreciation of
tangible assets and amortisation of intangible assets (except goodwill impairment losses), with the exception of
depreciation and amortisation which is included in the cost of sales.
Marketing working budget is a material component of other operating expenses. The marketing working
budget consists of promotion and communication spending such as promotion contracts, advertising, events and
other communication activities. However, it does not include marketing overhead expenses, which are presented
in marketing overheads. In 2014, marketing working budget of continuing operations accounted for 25% (2013:
24%) of the total other operating expenses.
Expenses for central administration include the functions IT, Finance, Legal, Human Resources, Facilities &
Services as well as General Management.
Depreciation and amortisation expense (continuing operations) for tangible and intangible assets (except
goodwill impairment losses) and impairment losses were € 332 million and € 291 million for the years ending
December 31, 2014 and 2013, respectively. Thereof, € 2 million and € 3 million were recorded within the cost of
sales as they are directly assigned to the production costs.
Other operating expenses (continuing operations)
(€ in millions) Year ending
Dec. 31, 2014
Year ending
Dec. 31, 2013
Marketing working budget 1,548 1,451
Sales working budget 375 336
Marketing overhead 1) 427 420
Sales force 1) 1,915 1,815
Logistics 1) 763 753
Research and development 1) 126 124
Central administration 1) 1,050 1,114
Other operating expenses 6,203 6,013
Thereof: depreciation, amortisation and impairment losses 323 282
1) Including personnel and administration expenses.
30
Other operating income
31
Other operating expenses