BT 2001 Annual Report Download - page 83

2. Segmental analysis (continued)
Segmented information on the new lines of business is given below for the year ended 31 March 2001 as required by the UK
accounting standard SSAP 25 and the US accounting standard SFAS No. 131 (SFAS 131).
Financial information in the group’s new form was made available to the senior management of the group with respect to
accounting periods from 1 July 2000.
For the years ended 31 March 1999 and 2000, information is provided as required by the US accounting standard, SFAS 131,
on disclosures about segments of an enterprise. The information presented is required to be based on the segmental operating
results regularly reviewed by the CEO.
Because of the fundamental restructuring and the previous progressive reorganisation explained below, it has not been
practicable to restate the segment information for the years ended 31 March 1999 and 2000 onto the segment basis presented for
the year ended 31 March 2001 with the limited exceptions of BT Wireless and Yell.
Between September 1997 and July 2000, the group was organised into two main divisions, BT UK and BT Worldwide, in
order to re£ect the group’s two distinctive geographical operating regions and customer groups. Substantially all of the group’s
operations were within the UK and, of those, the majority were managed by BT UK. During the year ended 31 March 2000 and
progressively from 1 October 1998, BT UK was sub-divided into ten separate business units, the principal ¢ve of which were
Markets, Enterprises, Networks and Systems, Mobility, and Products and Solutions. Markets was the division providing the
customer facing links for the group’s ¢xed network services and Enterprises managed the Yellow Pages classi¢ed directory
business and the group’s wholesale interconnect business with other operators. Networks and Systems provided the UK ¢xed
network as a platform for these services. Mobility provided the group’s UK mobile communication services, principally via
BT Cellnet. Products and Solutions managed the group’s outsourcing services.
Prior to 30 September 1998, the Consumer Division within BT UK provided ¢xed network telecommunication services for
residential customers, principally the provision of exchange lines to customers’ homes and calls to and from those homes. The
Business Division provided ¢xed network services to businesses and organisations other than multinational companies,
principally the provision of exchange lines, private services and calls to and from their places of business and customer premises
equipment. The Networks and Systems Division built, maintained and operated the company’s ¢xed telecommunications network
in the UK. Mobile Communications provided the group’s UK mobile communications services. Other units within BT UK provided
the group’s classi¢ed advertising directories and outsourcing services.
BT Worldwide provided telecommunication service to multinational companies, including those based in the UK, and
international incoming, outgoing and transit telecommunication services. It was responsible for managing Concert
Communications and the group’s other non-UK operations, and investments in non-UK joint ventures and associates.
The following information for the year ended 31 March 1999 set out below is based on the divisional organisation of the
group at 1 April 1998, described above. As already noted, the BT UK organisation was changed progressively from 1 October
1998 into a substantially di¡erent form. Financial information in its then new form and set out for the year ended 31 March 2000
was made available to the senior management of the group with respect to accounting periods from 1 April 1999.
Turnover Depreciation
and
Operating
profit (loss)
of associates
and joint
Total
operating
External Internal Business total amortisation ventures profit (loss)
Year ended 31 March 2001 £m £m £m £m £m £m
BT Retail 10,657 1,154 11,811 185 – 1,003
BT Wholesale 3,005 8,488 11,493 1,738 – 2,540
BT Ignite 2,968 502 3,470 649 (124) (672)
BT Wireless 2,873 535 3,408 3,416 (264) (3,374)
Concert ––––(1)(1)
Yell 768 6 774 35 2 188
BTopenworld 85 82 167 37 (69) (296)
Other 71 302 373 371 59 276
Eliminations – (11,069) (11,069) – – –
Group totals 20,427 – 20,427 6,431 (397) (336)
BT Annual report and Form 20-F 83