ANNUAL REPORT 2008 - Gorenje Group

157
Other finance income mostly represents commissions charged for guarantees given at loans extended
to subsidiaries and other entities.
Finance expense TEUR 27,183
in TEUR 2008 2007
Interest expenses from transactions with Group companies 816 554
Interest expenses from transactions with other entities 15,514 10,468
Expense for net foreign exchange differences 4,047 1,691
Expenses from forward exchange transactions 1,267 1,523
Change in fair value of forward exchange transactions 0 1,104
Impairment loss on investments 4,809 0
Allowances for receivables 310 531
Other finance expense 420 683
Total 27,183 16,554
Due to the restricted activity of the market, the valuation model was applied for the impairment of
available-for-sale investments in the amount of TEUR 4,809.
Note 14 – Income tax expense TEUR - 88
Income tax expense is recognised based on current tax liabilities, deferred tax assets and deferred
tax liabilities.
in TEUR 2008 2007
Current tax expense 728 1,540
Deferred tax assets recognised in the income statement -816 659
Deferred tax liabilities recognised in the income statement 0 -72
Total -88 2,127
Presentation of effective income tax rates:
in TEUR 2008 2008 2007 2007
Profit excluding income tax 11,884 15,339
Income tax using the domestic tax rate 22.0 % 2,614 23.0 % 3,529
Non-deductible expenses 19.2 % 2,281 12.1 % 1,862
Tax exempt income -18.1 % -2,157 -9.9 % -1,517
Tax incentives -23.8 % -2,826 -11.4 % -1,747
Income tax expense -0.7 % -88 13.8 % 2,127
Note 15 – Intangible assets TEUR 17,440
in TEUR 2008 2007
Long-term deferred development costs 11,064 11,391
Long-term concessions, patents, licenses, trademarks and
similar rights
6,318 6,492
Intangible assets under construction 58 360
Total 17,440 18,243