2008 Registration Document - Rexel

14. Financial information concerning the assets andliabilities, financial position and profits and lossesof Rexel3.1.4 Assets and liabilities acquiredAssets and liabilities acquired stated at their estimated fairvalue and determined at their acquisition date are as followsand represents the preliminary allocated purchase prices ofHagemeyer operations and those of Sonepar in Sweden:(in millions of euros)HagemeyeroperationsSwedish operationsof SoneparDistribution networks 161.1 4.4Other intangible assets 136.9 3.2Tangible assets 138.6 4.5Other financial assets 13.3 –Other non current assets 183.0 0.3Inventories 393.5 19.3Trade accounts receivable 624.8 26.3Other accounts receivable 77.3 6.5Assets held for sale 1,586.9 –Cash and Cash Equivalents 22.4 0.9Minority interests (16.5) –Interest bearing debt (332.7) (5.6)Trade accounts payable (547.2) (19.7)Provisions (112.3) –Other liabilities (365.1) (12.2)Net assets acquired excluding acquired goodwill 1,964.0 27.9Purchased goodwill 1,189.1 56.8Total cash consideration 3,153.1 84.7Cash acquired (22.4) (0.9)Outstanding acquisition costs (0.5) –Shares and acquisition costs paid in 2007 (50.9) –Net cash outflow for Hagemeyer acquisition for the period 3,079.3 83.8The acquisition of Hagemeyer operations and the Swedishoperations of Sonepar resulted in an increase in net salesand operating income before other income and expenses of,respectively €2,778.0 million and €41.1 million.Had these transactions occurred on January 1, 2008 andincluding Rexel Germany disposal to Sonepar, Group sales,operating income before other income and expenses andnet income would have been respectively €13,735.0 million,€638.4 million and €220.1 million.3.2 Other acquisitionsFor the period ended December 31, 2008, Rexel completedthe following acquisitions, which are not deemed to bematerial on the financial situation of the company. As aresult, neither sales nor profit and loss have been providedfor the combined entity, as if these acquisitions had beeneffective on January 1, 2008.On January 31, 2008, General Supply & Services Inc.,an indirect subsidiary of Rexel, acquired Beacon ElectricSupply Inc., a distributor of electrical equipment basedin San Diego with net sales of €32.5 million in 2007. Thiscompany has been consolidated as from this date. Theacquisition price for the shares amounts to US$21.2 million(€14.4 million), including an earn-out payment ofUS$1.1 million (€0.7 million) payable subject to conditions in2009, and acquisition costs for US$0.4 million (€0.3 million).Net cash outflow for the period amounted to €12.6 million.On December 31, 2008 goodwill on acquisition determinedon a provisional basis amounted to €8.0 million.PAGE 172 | REXEL 2008