Annual Report

Notes – Marine Subsea Consolidated
Amounts in USD 1 000
Vessels under
construction
Vessels
Machinery
equipments
Accumulated cost 1 January 2008 135 774 0 179 135 953
Additions 155 154 0 956 156 110
Acquisition of subsidiay 0 0 622 622
Capitalised borrowing cost 14 990 0 0 14 990
Exchange differences 0 0 20 20
Disposals -54 826 0 -6 -54 832
Depreciation and amortisation 0 0 -160 -160
Balance as at 31 December 2008 251 092 0 1 611 252 703
Total
Additions 14 312 149 828 1 209 165 349
Acquisition of subsidiay 0 0 238 238
Capitalised borrowing cost 5 027 6 869 0 11 896
Exchange differences 0 0 99 99
Disposals and liquidation 0 0 -1 079 -1 079
Change of group -131 856 131 856 0 0
Depreciation and amortisation 0 -1 773 -200 -1 973
Balance as at 31 December 2009 138 575 286 780 1 878 427 232
As at 1 January 2008 135 774 0 207 135 981
Acquisition cost 115 318 0 1 592 116 910
Accumulated depreciation and amortisation 0 0 -188 -188
Balance as at 31 December 2008 251 092 0 1 611 252 702
As at 1 January 2009 251 092 0 1 799 252 891
Acquisition cost -112 517 288 553 467 176 503
Accumulated depreciation and amortisation 0 -1 773 -388 -2161
Balance as at 31 December 2009 138 575 286 780 1 878 427 232
Economic life 20–30 years 3–5 years
Depreciation method straight line straight line
Vessels under construction include capitalized interest in connection with the building of certain assets. Book value of vessels under backstop
contracts assumes a minimum level of vessel employment. Each vessel is treated as an independent cash generating unit. As the net present value of
all vessels were higher than their book values,no impairments were made. For impairment tests, only firm contracts were included, as well as broker
valuations of the market price of each vessel. 15% discount rate applied. Capitalized interest was TUSD 11 896 in 2009 and TUSD 14 990 in 2009.
Interest rate was from 8,9%–14,6% both years.
Annual Report 2009 Marine Subsea 41