ANNUAL REPORT 2011 - DONG Energy

09 Property, plant and equipment
DKK million Investment
property
Fixtures and
fittings, tools and
equipment
Property, plant
and equipment under
construction
Cost at 1 January 2011 88 11 - 99
Cost at 31 December 2011 88 11 0 99
Depreciation at 1 January 2011 (46) (2) - (48)
Depreciation charge (4) (1) - (5)
Depreciation at 31 December 2011 (50) (3) 0 (53)
Carrying amount at 31 December 2011 38 8 0 46
DKK million Investment
property
Fixtures and f
ittings, tools and
equipment
Property, plant
and equipment under
construction
Cost at 1 January 2010 88 10 1 99
Transfers - 1 (1) 0
Cost at 31 December 2010 88 11 0 99
Depreciation at 1 January 2010 (42) (1) - (43)
Depreciation charge (4) (1) - (5)
Depreciation at 31 December 2010 (46) (2) 0 (48)
Carrying amount at 31 December 2010 42 9 0 51
The fair value of investment property was DKK 148 million
(2010: DKK 91 million). The determination of fair value is
based on a calculation of the value in use. The value in use
has been determined as the present value of the expected
future net cash flows from the properties. The net cash flows
have been determined on the basis of budgets for the period
2012-2048. A discount rate of 6.85% before tax has been used.
A growth rate of 2% during the terminal period has been assumed.
External valuers have not been used in connection
with the determination of fair value.
total
total
Total rental income for the year from investment property,
DKK 4 million (2010: DKK 4 million) is recognised in profit
for the year as revenue. Operation and maintenance costs for
investment property are borne by the lessee. Investment property
was let to subsidiaries throughout the year.
No mortgages or other restrictions on the use of investment
properties were registered at 31 December 2011.
DONG ENERGY ANNUAL REPORT 2011 – parEnt COmpany finanCial statEmEnts
171
notes