Nokia 2015 Annual Report Download - page 142

140 NOKIA IN 2015
Gain on the Sale of the D&S Business
EURm
Fair value of sales proceeds less costs to sell(1) 5 167
Net assets disposed of (2 347)
Settlement of Windows Phone royalty(2) 383
Other (28)
Total 3 175
Foreign exchange dierences reclassied from other comprehensive income (212)
Gain before tax 2 963
Income tax expense(3) (160)
Total gain 2 803
(1) Comprises purchase price of EUR 3 790 million, net cash adjustment of EUR 1 114 and other adjustments of EUR 263 million.
(2) Recognized when the partnership with Microsoft to license the Windows Phone smartphone platform was terminated in conjunction with the Sale of the D&S Business.
(3) Primarily includes non-resident capital gains taxes in certain jurisdictions, as well as tax impacts of legal entity restructuring carried out in connection with the Sale of the D&S Business.
Assets and liabilities, Devices & Services business
Assets and liabilities disposed of at April25, 2014 and the assets and liabilities of disposal groups classied as held for sale at December31, 2013:
EURm April 25, 2014 December 31, 2013
Goodwill and other intangible assets 1 427 1 426
Property, plant and equipment 534 559
Deferred tax assets and non-current assets 371 381
Inventories 374 347
Trade and other receivables 541 691
Prepaid expenses and other current assets 1 638 1 854
Cash and cash equivalents and current available-for-sale investments, liquid assets 1 114 –
Total assets 5 999 5 258
Deferred tax liabilities and other liabilities 203 114
Trade and other payables 1 340 1 381
Deferred income and accrued expenses 1 205 2 220
Provisions 795 1 013
Total liabilities 3 543 4 728
Non-controlling interests 109 –
Net assets disposed of 2 347 –
Results of Discontinued operations, Devices & Services business
EURm 2015 2014 2013
Net sales – 2 458 10 735
Cost of sales (1) (2 086) (8 526)
Gross (loss)/prot (1) 372 2 209
Research and development expenses – (354) (1 130)
Selling, general and administrative expenses (15) (447) (1 560)
Other income and expenses (5) (107) (109)
Operating loss (21) (536) (590)
Financial income and expenses (11) 5 10
Loss before tax (32) (531) (580)
Income tax benet/(expense)(1) 8 33 (200)
Loss for the period, ordinary activities (24) (498) (780)
Gain on the Sale of the D&S Business, net of tax(2) – 2 803 –
(Loss)/prot for the period (24) 2 305 (780)
Costs and expenses include:
Depreciation and amortization –– (168)
Impairment charges – (111) –
(1) Excludes the tax impact of the disposal.
(2) Represents net gain on disposal.
Notes to consolidated nancial statements continued