DHL 2008 Annual Report Download - page 46

Deutsche Post World Net Annual Report 2008
Increased income and expenses
Non-recurring items impacted pro t or loss from continuing operations in both
the reporting year and the prior year. In the year under review, the repayment awarded
in the state aid proceedings in the amount of   million had a positive impact on
earnings. However, the announced withdrawal from the domestic  express business
has already reduced earnings by  , million. An impairment test led to a loss total-
ling   million on the goodwill of    . In addition, we discontinued
use of the Exel brand, which was written o in full in the amount of   million.
Non-recurring expenses of   million were also incurred for restructuring activi-
ties in other divisions. In , the sale of Vfw  generated non-recurring income of
  million. Earnings for  were reduced by   million due to the impairment
loss on the assets of the express business in the Americas region.
Other operating income increased from  , million to  , million, primarily
due to the repayment received in the state aid proceedings.
 e drastic rise in oil prices in the  rst half of the year made transport and air-
cra fuel more expensive.  is was a signi cant factor in the increase in our materials
expense from  , to  ,.
Staff costs increased by .  to  , million, due largely to restructuring
activities.
Depreciation, amortisation and impairment losses increased by   million to  , mil-
lion, up from  , million in the prior year.  e year under review was impacted
above all by the write-down on goodwill and the Exel brand. In , negative e ects
were mainly due to the impairment losses on non-current assets of the express busi-
ness in the Americas region.
 e increase in other operating expenses of   million to  , million was pri-
marily the result of the aforementioned restructuring activities.
Non-recurring charges reduce EBIT from continuing operations
Pro t or loss from operating activities  from continuing operations fell
by  , million from the previous year’s  gure of  , million to  –  million. In
the reporting period,  from continuing operations contained income of   mil-
lion from the state aid proceedings, restructuring costs of  , million and impair-
ment losses of   million.  e prior-year  gure included non-recurring income of
  million from the sale of Vfw  and an impairment loss of   million on the
express business in the Americas region. Adjusted for these items,  fell by .  to
 , m il l ion.
Net  nance costs improved by   million to   million (previous year:
  million).  is was due in particular to the interest component of the repayment
we received from the state aid proceedings.
Pro t or loss before income taxes from continuing operations declined by
.  to  – , million. However, income tax increased from   million to   mil-
lion. Pro t or loss from continuing operations thus amounted to  – , million,
a decline of .  on the previous year.
Note 12
Note 13
Note 14
Note 15
Note 16
Consolidated EBIT
for continuing operations
€ m
2,410
– 567
2008
2,668
2,133
2007
Before non-recurring items Reported
Non-recurring items
2,977
535
Note 19
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