1. Accounting and valuation methods
Fixed and intangible assets are stated at cost less depreciation (straight-line basis only). The useful life for computer software is three years for purchased licenses, and up to seven years, as per contractually agreed term, on license agreements with limited rights of use. The company depreciates IT hardware over a period of 4-6 years, technical equipment and machinery over 10-15 years, other operating equipment, fixtures and fittings over 5-13 years (PCs: 3 years) and plant over 16-20 years. Since 1 January 2008, assets costing up to €150 are fully written off in the year of purchase. Assets with a cost of more than €150 – to €1,000, are pooled – as required by the tax regulations – and depreciated over five years.
Participations are stated at cost. Raw materials and consumables are stated at either cost or market price, whichever is the lower. Receivables and other assets are carried at their nominal amount, taking into account required value adjustments.
Provisions are built as deemed appropriate commercially. Pension provisions are determined on the basis of actuarial principles in accordance using an interest rate of 4.5%. Liabilities are reported at their repayment amounts.
2. Net assets
In 2008 FI-TS made investments totalling to €21.0 million (previous year: €22.6 million) incurred. New investment in software was €2.7 million, with €0.9 million in server software, €0.4 million in host software and €1.3 million in other software. A total of €18.4 million were invested in fixed assets: €7.1 million on servers, €5.8 million on remote data processing systems, €0.4 million on tape units, €1.7 million on other assets. Investment totalling €1.0 million was made on fixtures and fittings. Other increases to assets were advance payments and construction in progress to a total of €2.5 million.
The total assets are €73.3 million, 6.2% less than 2007. Shareholder’s equity increased to €5.1 million, amounting to 6.9% of total assets.
Provisions and reserves amount to €18.5 million. Current liabilities are €49.6 million, a year-on-year decrease. Sales revenues decreased by 12.6% to €164.9 million. The company’s retained profit for the year was €2.3 million.