Financial Reporting - Rexel

the consideration transferred was recognized on the balance sheet under the line item “Other financial
assets” (see note 10.3).
• Germany
Tegro (Tech. Elektro Großhandels) GmbH, based in Germany, was acquired on May 3, 2011. It booked
sales of approximately €10 million in 2010. This entity has been consolidated as of May 1, 2011.
The table below shows the consideration allocated to identifiable assets and liabilities of the acquired entities
in 2011 and entities acquired in 2010 consolidated as of January 1 st 2011, estimated on a provisional basis
as of December 31, 2011:
(in millions of euros)
Customer relationship…………………………………………..………… " " 14.6
Other fixed assets………………………………………………….……… " " 18.4
Other non current assets………………………………………………… " " 6.7
Current assets…………………………………...………………………… " " 79.7
Financial debt……………………………………………………………… " " (14.4)
Other non current liabilities…………………………………………………" " (9.2)
Current liabilities………………………………………………………….. " " (32.3)
Net asset acquired (except goodwill acquired)………………………" " 63.3
Goodwill acquired ……………………….………….………………………" " 92.1
Consideration transferred……………………………………………… " " 155.4
" "
Cash acquired ………………………………………………………………" " (11.3)
Deferred payments..…………….………………………………...……... " " (6.4)
Payments related to entities consolidated as of January 1, 2012 33.1
Net cash paid for acquisitions……………….……………...………… " " 170.7
" "
Payments in 2010 (1) ……………………………………………………… " " (66.4)
Foreign currency translation…………………………………………….. " " (3.8)
Net cash flow for the period………………………………………… " " 100.5
(1) converted at the exchange rate on the acquisition date " "
The amount of fees associated with these acquisitions totaled €7.5 million, of which €5.6 million was incurred
for the period ended December 31, 2011.
In Brazil, goodwill of €45.3 million is tax deductible.
3.2 | 2010 acquisitions
In December 2010, the Group acquired two electrical equipment distributors: Grossauer in Switzerland and
LuckyWell Int’l Investment Limited in China.
Grossauer Elektro-Handels AG, based in Heiden in Eastern Switzerland, has annual sales of around
€50 million, and is active mainly in the industrial end-market.
LuckyWell Int’l Investment Limited is a holding company which controls 100% of its operational subsidiary,
Beijing Lucky Well Zhineng Electrical Co, active in the provinces of Beijing and Tianjin and essentially
addresses industrial clients. This company has annual sales of around €16 million. All of the shares in
LuckyWell Int’l Investment Limited were acquired.
These companies have been consolidated starting from January 1, 2011.
For the period ended December 31, 2011, the contribution of the entities acquired in 2010 and 2011 to the
Group’s sales and operating income amounts approximately to €223.4 million and €12.5 million respectively.
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