1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45

Notes to the Consolidated Financial Statements continued

for the year ended 31 December 2007

3 Operating profit

        2007   2006
            as restated1
        €m   €m
Operating profit is stated after charging/(crediting):            
             
Underlying profit2:            
Hire of vehicles under repurchase contracts       222.8   199.1
Unwinding of discount on vehicle repurchase contracts       (37.0)   (27.7)
Net operating lease charge on manufacturer repurchase contracts       185.8   171.4
Hire of plant and equipment       1.3   1.1
Hire of motor vehicles       79.0   67.3
Net charge on hire of plant, equipment and motor vehicles       266.1   239.8
             
Depreciation on vehicles – owned (see Note 12)       111.4   118.5
Depreciation on vehicles – under finance lease (see Note 12)       20.9   45.1
Depreciation on other property, plant and equipment (see Note 13)       20.5   19.8
Depreciation on property, plant and equipment       152.8   183.4
             
Adjustments arising on differences between sales proceeds and depreciated amounts – fleet       (14.1)   (23.1)
Adjustments arising on differences between sales proceeds and depreciated amounts – non-fleet       (4.6)   (0.7)
Adjustments arising on differences between sales proceeds and depreciated amounts       (18.7)   (23.8)
             
Amortisation of other intangible assets       4.9   5.2
Non-exceptional goodwill impairment charge (see Note 10)       –   0.3
Contingent operating lease rentals3       53.9   51.8
Other operating lease rentals       52.8   51.5
             
Net amounts excluded from underlying2:            
Re-measurement gains on non-debt related derivative financial instruments4       (3.5)   (2.2)
Re-measurement losses on non-debt related derivative financial instruments4       2.8   0.6
        (0.7)   (1.6)
Economic hedging adjustment on foreign exchange       (1.0)   0.4
Total net exceptional items (see Note 5)       6.9  
28.9
Total net exceptional items, certain re-measurement items and economic hedge adjustments       5.2   27.7

 

Included within the analysis above are amounts in respect of the discontinued operation: Net operating lease charge on manufacturer repurchase contracts €9.0 million (2006: €15.2 million), depreciation on property, plant and equipment €9.7 million (2006: €16.3 million), adjustments arising on differences between sales proceeds and depreciated amounts €nil (2006: €1.1 million), amortisation of other intangible assets €nil (2006: €0.1 million), non-exceptional goodwill impairment charge €nil (2006: €nil), contingent operating lease rentals €0.2 million (2006: €0.4 million) and other operating lease rentals €0.9 million (2006: €1.5 million). There are no amounts excluded from underlying in 2006 and 2007.

        2007   2006
            as restated1
Auditors’ remuneration is analysed as follows:       €m   €m
Fees payable to the Company’s auditor for the audit of the Company’s annual accounts       0.7   0.6
             
Fees payable to the Company’s auditor and its associates for other services:            
– the audit of the Company’s subsidiaries pursuant to legislation       0.9   0.9
–other services pursuant to legislation       0.1   0.1
– taxation services       0.8   0.5
– litigation       0.1   0.1
– corporate finance transactions       0.1   0.5
– other       0.4   0.1
        2.4   2.2
             
Auditors’ remuneration – continuing       3.1   2.8
Auditors’ remuneration – discontinued operation       0.1   0.1
Auditors’ remuneration including discontinued operation       3.2   2.9