Marks and Spencer 2000 Annual Report Download - page 35

33 Annual Report and Financial Statements 2000
13. TANGIBLE FIXED ASSETS (continued)
C Tangible fixed assets at cost
Gerald Eve, Chartered Surveyors, valued the Company’s freehold and leasehold properties in the United Kingdom as at 31 March
1982. This valuation was on the basis of open market value for existing use. At 31 March 1988, the directors, after consultation with
Gerald Eve, revalued those of the Company’s properties which had been valued as at 31 March 1982 (excluding subsequent additions
and adjusted for disposals). The directors’ valuation was incorporated into the financial statements at 31 March 1988.
The Company’s freehold interests in three investment properties have been valued at open market value in accordance with the
RICS Appraisal and Valuation Manual as at 31 March 2000 by external valuers, Gerald Eve, Chartered Surveyors and DTZ Debenham
Tie Leung, Chartered Surveyors. The valuations of these investment properties are based on the apportionment of larger valuations to
exclude an owner occupied Marks & Spencer store in each case. They exclude any income or outgoings attributable to the owner
occupied Marks & Spencer stores which have been assumed to continue trading.
If the Company’s land and buildings had not been valued as set out above their net book value would have been:
2000 1999
£m £m
At valuation at 31 March 1975(1) 333.6 333.6
At cost 1,478.9 1,567.5
At 31 March 1,812.5 1,901.1
Accumulated depreciation 117.1 109.3
Net book value at 31 March 1,695.4 1,791.8
(1) The Company also valued its land and buildings in 1955 and in 1964. In the opinion of the directors unreasonable expense would
be incurred in obtaining the original costs of the assets valued in those years and in 1975.
14. FIXED ASSET INVESTMENTS
A Investments THE GROUP THE COMPANY
SHARES IN LOANS TO
JOINT OTHER GROUP GROUP JOINT OTHER
VENTURE(1)(2) INVESTMENTS(3) TOTAL UNDERTAKINGS(4) UNDERTAKINGS VENTURE(1) INVESTMENTS(3) TOTAL
£m £m £m £m £m £m £m £m
At 1 April 1999 24.2 37.0 61.2 362.7 27.6 16.4 – 406.7
Additions 0.5 15.4 15.9 0.4 41.9 – 7.8 50.1
Disposals – (22.8) (22.8) – – – (5.9) (5.9)
Share of joint venture’s property
revaluation 1.2 – 1.2 –––––
Repayment of loan (0.5) – (0.5) – – (0.5) – (0.5)
At 31 M arch 2000 25.4 29.6 55.0 363.1 69.5 15.9 1.9 450.4
(1) The joint venture represents a 50% interest in Hedge End Park Ltd, a property investment company. The partner in the joint
venture is JSainsbury plc.
(2) The Group’s investment in the joint venture includes £9.8m (last year £10.3m) of loans and accumulated reserves of £9.5m
(last year £7.8m).
(3) Other investments include listed securities held by a subsidiary. The difference between their book value and market value is
negligible. Other investments also include 708,263 shares in the Company held by employee share trusts (‘the Trusts’). Of these
shares, 468,263 were held by the Marks and Spencer p.l.c. Qualifying Employee Share Ownership Trust (see note 24) and 240,000
shares were held by other trusts. At 31 March 2000, shares held by the Trusts had a book value of £1.9m.
(4) Shares in Group undertakings of £363.1m (last year £362.7m) are stated after cumulative amounts written off of £543.6m (last year
£543.6m).