NOTE 4
In 2009, no discontinued operation occurred in the Kesko Group.
In March 2009, the Kesko Group sold four retail store properties to the Kesko Pension Fund. The debt-free selling price was about €50 million. The Kesko Group’s €19.7 million gain has been reported as a non-recurring item in the operating profit.
In addition, the Kesko Group sold 13 of its retail store properties in different parts of Finland to Varma Mutual Pension Insurance Company in December 2009. The debt-free selling price was €156 million. The Group's €63.5 million gain has been reported as a non-recurring item in the operating profit.
In March 2008, Kesko Corporation sold the share capital of Tähti Optikko Group Oy. The debt-free selling price was about €15
million, which contributed a non-recurring gain of about €8.5 million.
In April 2008, Kesko Corporation sold the share capital of Kauko-Telko Ltd engaged in technical trade. The debt-free price was about €77 million, which contributed a non-recurring gain of about €31 million.
Net assets of discontinued operations at date of disposal |
||||
| € million | 2008 | |||
| Cash | 21.0 | |||
| Intangible assets | 22.8 | |||
| Tangible assets | 10.0 | |||
| Inventories | 26.6 | |||
| Receivables | 31.3 | |||
| Non-interest-bearing liabilities | -35.9 | |||
| Interest-bearing liabilities | -13.4 | |||
| Deferred tax liabilities (net) | -3.1 | |||
| 59.2 | ||||
| Group eliminations | 1.9 | |||
| Gains/losses on disposal | 39.4 | |||
| Total consideration | 100.6 | |||
| 100.6 | ||||
| Received in shares | ||||
| Cash and cash equivalents in disposed entity | -21.0 | |||
| Cash inflow on disposal | 79.6 | |||
Income statement for discontinued operations |
||||
| € million | 2008 | |||
| Net sales | 83.1 | |||
| Expenses | -80.3 | |||
| Profit before tax | 2.8 | |||
| Income tax | -0.8 | |||
| Profit after tax | 2.0 | |||
| Profit before tax on disposal of operations | 39.5 | |||
| Net profit on the disposal of operations | 41.5 | |||
Cash flow statement for discontinued operations |
||||
| € million | 2008 | |||
| Operating cash flows | 1.7 | |||
| Investing cash flows | -3.0 | |||
| Financing cash flows | -6.7 | |||
| Total cash flows from discontinued operations | -8.0 |
The cash flows do not include the cash flows from the disposal of operating activities.
In January 2008, Kesko Corporation sold K-Rahoitus Oy, one of its wholly-owned subsidiaries. In the 2007 financial statements, K-Rahoitus Oy's assets were reported in available-for-sale assets and in liabilities relating to available-for-sale assets. The transaction contributed a non-recurring gain of about €10.3 million.
In 2008, Kesko waived the purchase option included in the lease agreements made with Nordisk Renting Oy in 2001 and 2002, for which RBS Nordisk Renting paid Kesko a €74.2 million compensation.The previous agreements had been financial lease agreements and their cancellation generated a non-recurring income item of €26.5 million.
In addition, Kesko sold properties to Aberdeen Property Fund Finland 1 Ky at a price of 44 million, which generated a €16.3 million non-recurring gain.