Ubisoft 2004 Annual Report Download - page 68

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UBISOFT > 2005 FINANCIAL REPORT
3.31.05 3.31.04
Gross Provisions Net Net
Activated fiscal losses and deferred corporate tax assets (ARD)1(1) 22,500 - 22,500 15,577
Other deferred tax assets (2) 5,352 - 5,352 2,625
Current account advances 34 - 34 34
VAT (3) 31,645 - 31,645 24,962
Subsidy to be received (4) 21,571 - 21,571 11,837
Other tax and social security liabilities (5) 6,842 - 6,842 12,270
Factoring guarantee deposits (6) 5,404 - 5,404 11,534
Other 183 - 183 178
Prepaid expenses 4,497 - 4,497 2,757
Charges to be spread over several years 1,338 - 1,338 2,142
Redemption premium (7) 2,825 - 2,825 4,518
Total 102,191 - 102,191 88,434
En K€ 3.31.05 3.31.04
Activated Non-activated Total Activated
tax losses tax losses tax losses
Ubisoft Entertainment SA 9,3391- 9,339 10,871
Ubisoft EMEA SARL 944 - 944 957
UbisoftWorld Studios SAS 158 907 1,065 336
UbisoftInc. 1,138 - 1,138 -
Ubisoft Warenhandels GmbH 130 - 130 198
RedStorm Entertainment Inc. 5,643 - 5,643 1,228
Ubisoft Holdings Inc. 132 - 132 212
Ubisoft Computing SARL 106 - 106 121
UbisoftGmbH 575 - 575 340
Ubisoft Divertissements Inc. 3,753 - 3,753 1,079
Ubisoft BV 71 - 71 36
Shanghai Ubi Computer Software Ltd 235 - 235 157
Tiwak SAS 170 - 170 -
Other 106 - 106 42
Total 22,500 907 23,407 15,577
Note 9 Other receivables and adjustment accounts
Other receivables break down as follows:
1- Includes corporate tax assets deferrable indefinitely: €18,353 thousand.
1- Includes fiscal losses of €1,906 thousand by Ubisoft France SAS and €1,516 thousand by Ubisoft EMEA SARL generated in the course of fiscal integration.
(1) Activated/non-activated deferred coporate tax assets (ARD) and fiscal losses:
The change in tax credits is principally the result of:
lthe reconstitution of €4.4 million at Red Storm
Entertainment Inc.
lthe activation of €1.1 million at UbisoftInc., representing
recovered losses following the acquisition of Ubi.com
Inc.;
lthe activation of €2.7 million at UbisoftDivertissements
Inc.;
lthe activation of €1.5 million as the result of the fiscal
integration in France (Ubisoft EMEA SARL);
lthe activation of €1.6 million and the use of €4.2 million
at Ubisoft Entertainment SA.
Deferredtax assets are not discounted; the impact would
have been €767 thousand.
(2) Other deferred tax assets:
Temporary tax differences K€ 3,913
Elimination of inter-company profit K€ 1,008
Other restatements with regard to consolidation K€ 431
(3) The increasein VAT totaling €6.7 million is tied to
especially significant seasonal factors in the fourth quarter.
This figure includes €9.9 million in VAT credit.
(4) The increase in subsidy to be received at the Canadian
subsidiary Ubisoft Divertissements Inc. totaling €9.4 million
is tied to the increase in total payroll.
(5) The decreaseis primarilyrelated to the reimbursement
of tax installments paid by UbisoftInc. totaling €5 million.
(6) The decrease of €6.1 million in factoring guarantees
reflects the reimbursement received for the factoring
guarantee of €11.5 million following discontinuation of this
financing at Ubisoft France SAS and the creation of a new
factoring guaranteeat Ubisoft Ltd for €5.4 million.
(7) The original amount of the redemption premium of the
convertible exchangeable bonds (OCEANE) taken to assets
was €16,380 thousand. This premium was amortized in
proportion to accrued interest, i.e., €6,271 thousand as of
March 31, 2005. The buy-back of 1,400,699 bonds resulted
in a decrease in the
redemption premium of €7,284 thousand.
The net redemption
premium as of March 31, 2005 was
€2,825 thousand.
With the exception of activatedlosses and deferred tax assets
(not discounted) and redemption premiums for convertible
bonds, all receivables have a maturity of at least one year.