Vodafone 2006 Annual Report Download - page 85

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Vodafone Group Plc Annual Report 2006 83
4. Operating (loss)/profit
Operating (loss)/profit has been arrived at after charging/(crediting):
2006 2005
£m £m
Net foreign exchange gains –(10)
Depreciation of property, plant and equipment:
Owned assets 3,069 2,871
Leased assets 10 14
Amortisation of intangible assets 1,625 1,416
Impairment of goodwill 23,515 475
Research and development expenditure 206 198
Advertising costs 670 660
Staff costs (see note 34) 2,310 2,185
Operating lease rentals payable:
Plant and machinery 35 37
Other assets including fixed line rentals 933 873
Loss on disposal of property, plant and equipment 69 68
Own costs capitalised attributable to the construction or acquisition of property, plant and equipment (256) (250)
The total remuneration of the Group’s auditors, Deloitte & Touche LLP, and its affiliates for services provided to the Group’s subsidiary undertakings is analysed below:
2006 2005
£m £m
Audit fees 44
Audit-related fees:
Audit regulatory reporting 1–
Due diligence reviews 11
Tax fees 11
Other fees 11
87
The total remuneration includes £1 million (2005: £1 million) in respect of the Group’s discontinued operations in Japan.
In addition to the above, the Group’s joint ventures and associated undertakings paid fees totalling £2 million (2005: £2 million) and £4 million (2005: £5 million), respectively, to
Deloitte & Touche LLP and its affiliates during the year.
A description of the work performed by the Audit Committee in order to safeguard auditor independence when non audit services are provided is set out in the Corporate
Governance section on page 57. In the year ended 31 March 2006, the Audit Committee pre-approved all services.
Financials