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  Pearson Annual Report 2001    

Notes to the Accounts

   
 

12. Intangible assets



all figures in £ millions goodwill


Cost  
At 31 December 2000 4,860
Exchange differences 62
Additions (see note 26) 87
Disposals (see note 27) (59)


At 31 December 2001 4,950


Amortisation  
At 31 December 2000 (338)
Exchange differences Ė
Disposals (see note 27) 6
Provided in the year (299)
Provision for impairment (see note below) (58)


At 31 December 2001 (689)


Net carrying amount  
At 31 December 2000 4,522


At 31 December 2001 4,261


note In accordance with FRS 11 (Impairment of fixed assets and goodwill) the carrying value of the Groupís subsidiary undertakings has been compared to their recoverable amounts, represented by their value in use to the Group. The review has resulted in an exceptional charge of £58m, primarily in respect of Dorling Kindersley (£50m). The discount rate used in the calculation to arrive at the valuation was 8% on a post-tax basis.

 
 

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