1086 AnnRep-Investment S04-3 - Pumpkin Patch investor relations

Share Schemes and Employee Ownership PlansThe Company operates employee share ownership plans for certain employees. The initial purchaseof shares by the scheme is funded by advances from the Company, the advances being recognisedas assets in the statement of financial position. Where shares are issued in lieu of bonus, the expenseis recognised in the statement of financial performance.The Company operates share schemes for certain executive employees. No compensation expenseis recognised in the statement of financial performance.Deferred Landlord ContributionsLandlord contributions to fit-out costs are capitalised as deferred contributions and amortised to thestatement of financial performance over the lesser of the minimum period of the lease or the usefullife of the asset.Property, Plant and EquipmentThe cost of purchased property, plant and equipment is the value of the consideration given to acquirethe assets and the value of other directly attributable costs which have been incurred in bringing theassets to the location and condition necessary for their intended service.The cost of assets constructed by the Group includes the cost of all materials used in construction,direct labour on the project and financing costs that are directly attributable to the project. Costscease to be capitalised as soon as the asset is ready for productive use.DepreciationDepreciation on property, plant and equipment, other than freehold land, has been calculated onastraight line basis so as to expense the cost of the assets to their residual values over their useful livesas follows:Shop Fit OutOffice EquipmentPoint of Sale EquipmentComputer Equipment & SoftwareMotor VehiclesPlant and MachineryFurniture and fittingsLeasehold Improvements3 – 10 years3 – 10 years3 years3 – 5 years4 – 5 years2 – 14 years10 years6 – 7 years33