Tiscali 2003 Annual Report Download - page 117

Download and view the complete annual report

Please find page 117 of the 2003 Tiscali annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 147

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147

119119
Dealings with Group companies are set out in the section of these notes on intracompany receivables and payables.
Receivables from other Companies after one year relate to Eurolight Associates Ltd, which bought Tiscali’s stake in Czech Company
CD Telekomunikace Sro. At the time of the acquisition, the stake was transferred with the pre-existing debt owed by CD
Telekomunikace to Tiscali S.p.A.. This debt originally totalled EUR 25.3 million, but was written down by EUR 17.3 million to adjust
it to its estimated realisable value. The residual value of EUR 8 million was determined at the end of the year, based on the amount
expected to be recovered via local Group subsidiary Tiscali Telekomunikace Seo. The estimated realisable value takes into account
the current market conditions for fibre optic technology in the Czech Republic, which led to the view that the nominal value of
the debt was unlikely to be recovered.
C) Current assets and liabilities
I - Inventories
Inventories consist largely of goods for resale and consumables.
The table below shows the changes in inventories.
“Goods for resale” mainly consist of satellite equipment for the new Tiscali Sat service (around EUR 0.3m), and ADSL modems.
“Contract work in progress” largely includes work on the Marte (computerisation of Sardinia’s school system) and SIL (creation
and management of an employment database) projects, both awarded by the region of Sardinia. At the end of the year, the Group’s
project portfolio was worth a total of EUR 7.5 million.
II – Receivables
The table below shows figures for receivables.
In 2003, EUR 18.7 million of the write-down provisions was used, while provisions of EUR 5.2 million were added.
EUR/000 31.12.2003 31.12.2002 CHANGE
Receivables from other companies 8,038 - 8,038
EUR/000 31.12.2003 31.12.2002 CHANGE
Consumables and telephone cards 218 346 (128)
Goods for resale 723 862 (139)
Contract work in progress 1,431 - 1,431
2,372 1,208 1,164
EUR/000 31.12.2003 31.12.2002 CHANGE
Receivables 61,665 72,647 (10,982)
Write-down provisions (12,566) (26,064) 13,498
49,099 46,583 2,516