Siemens 2010 Annual Report Download - page 176

6 To our shareholders 21 Corporate Governance 49 Combined management’s discussion and analysis
50 Business and operating environment
78 Fiscal  – Financial summary
81 Results of operations
98 Financial position
110 Net assets position
113 Overall assessment of the economic position
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Net assets position
During fiscal , total assets increased to €. billion, up
from €. billion the year before. Our net assets position in
fiscal  was influenced by currency translation effects
mainly due to the strengthening of the U.S. dollar over the
course of the fiscal year. Excluding currency translation effects
total assets increased to €. billion. Within total assets of
€. billion, total assets related to SFS as of September ,
, increased to €. billion from €. billion a year
earlier, due primarily to currency translation effects. These
amounts represented % of Siemens’ total assets in both peri-
ods. Total current assets were % in fiscal , compared to
% in prior year.
The following table shows current assets at the respective bal-
ance sheet dates:
(in millions of €)
September ,
 
Cash and cash equivalents 14,108 10,159
Available-for-sale financial assets 246 170
Trade and other receivables 14,971 14,449
Other current financial assets 2,610 2,407
Inventories 14,950 14,129
Income tax receivables 790 612
Other current assets 1,258 1,191
Assets classified as held for disposal 715 517
Total current assets 49,648 43,634
1 Due to the retrospective application of an amended accounting pronouncement
in fiscal 2010, certain derivatives, not qualifying for hedge accounting, were
reclassified from current to non-current (see “Notes to the Consolidated Financial
Statements”).
Cash and cash equivalents totaled €. billion as of Sep-
tember , . The increase of €. billion was primarily
driven by strong cash flow from operating activities. For de-
tailed information, see “Liquidity and capital resources – Cash
flow – Fiscal  compared to fiscal .”
The increases of € million in Trade and other receivables
and of € million in Inventories year-over-year were due
mainly to currency translation effects.
The increase of € million in Other current financial assets
relates primarily to changes in fair market values of derivatives
used for our hedging activities.
Assets classified as held for disposal increased to € million
as of September ,  compared to € million a year ear-
lier. As of September , , Assets classified as held for
disposal included our stake in Areva NP S.A.S., held by the
Energy Sector, and our stake relating to Electronics Assembly
Systems (EA) in Centrally managed portfolio activities.
Long-term assets at the respective balance sheet dates were as
follows:
(in millions of €)
September ,
 
Goodwill 15,763 15,821
Other intangible assets 4,969 5,026
Property, plant and equipment 11,748 11,323
Investments accounted for using
the equity method 4,724 4,679
Other financial assets 11,296 10,525
Deferred tax assets 3,940 3,291
Other assets 739 627
Total long-term assets 53,179 51,292
1 Due to the retrospective application of an amended accounting pronouncement
in fiscal 2010, certain derivatives, not qualifying for hedge accounting, were
reclassified from current to non-current (see “Notes to the Consolidated Financial
Statements”).
Goodwill remained nearly level at €. billion as of Septem-
ber ,  compared to €. billion a year earlier. A de-
crease in goodwill due to impairment charges of €. billion
at the Healthcare Sector’s Diagnostics Division in the fourth
quarter of fiscal  was mostly offset by currency translation
effects and additions to goodwill relating primarily to the ac-
quisition of % of Solel Solar Systems Ltd., a solar thermal
power technology company, by the Energy Sector’s Renewable
Energy Division. For further information relating to the good-
will impairment, see “– Goodwill impairment at Healthcare
Sector’s Diagnostics Division.”
Investments accounted for using the equity method increased
to €. billion as of September ,  compared to €.
billion a year earlier. The increase was due to new investments,
increases in existing investments, the conversion of € mil-
lion shareholder loans to NSN into preferred shares (which
resulted in an increase of € million in our investment in
NSN and had no impact on our cash flow) and currency transla-
tion effects. These factors were partly offset primarily by losses