Translation of "Werthaltigkeitsprüfung" in English

The change of the reporting date for the impairment test is appropriate.

In addition, the obligation remains to conduct an impairment test if there is any indication of impairment.

The goodwill of Georg Fischer Hakan Plastik AS and Microlution Incwas tested for impairment in addition.

The impairment test for the goodwill is complex and based on a series of discretionary assumptions.

The impairment testing model provided a useful, but weak signal, about the performance of the business.

This would take the pressure of the impairment test and the cost saved could be reinvested in disclosures.

A number of other Board members concurred with this view and that by the time the impairment test had been undertaken or an impairment loss recognised, this information was too late for investors.

The impairment test is conducted at the level of the operating entities, which represent the cash-generating units, by determining the corresponding realisable amount and comparing that realisable amount with the corresponding carrying value.

The cost-benefit analysis of the disclosure of the headroom in a cash-generating unit to which goodwill is allocated for impairment testing is likely to be similar to the cost-benefit analysis of the headroom approach (see below).

The relevant CGUs for the purposes of goodwill impairment testing and the CGUs to which brand names have been allocated are the LMH and STILL segments and the Egemin Automation CGU, which has been assigned to the Other segment since completion of the acquisition on 7August 2015.

It was suggested to require an impairment assessment for each separately recognised component of total goodwill (i.e. transaction-by-transaction) rather than testing "a pool" of goodwill recognised at different times.

This vote was undertaken in the context of the research undertaken so far and views of investors that the current impairment testing model provided useful information too late.

Marketable securities classified as held-to-maturity and non-marketable securities are all valued at amortized cost subject to impairment.

As a result of the agreement on the sale of HITCO's aerostructures business signed in July 2015 and the selling price specified therein, SGL Group conducted event-driven impairment tests on the assets of this business, resulting in a write-down of the carrying amount at June 30, 2015 to reflect the expected amount of net disposal proceeds.

The Staff discussed simplifying the impairment testing model in IAS 36 'Impairment of Assets'.

One Board member discussed that the impairment test is in relation to the cash generating unit, but not specifically goodwill.

Regarding the impairment test, we audited the appropriateness of the expected future cash flows mainly by comparing the information with the operative budget (2018) approved by the Supervisory Board and with the medium-term budget (2019 to 2020) approved by the Legal representatives and by examining the key valuation assumptions and parameters for plausibility based on expectations about macroeconomic and industry-specific trends.

Illiquid equity shares and any other equity instruments held as permanent investments are valued at cost, subject to impairment.

If such indications exist, an impairment test is performed for the goodwill positions offset against equity to determine the recoverable amount.

We analyzed the change of the date for the impairment test of the goodwill in the financial year in terms to see if it is consistent with the regulations of IAS 36.

Can the application of the requirements of IAS 36 Impairment of assets be improved by simplifying the test of impairment without making it less robust and making the test more effective at timely recognition of goodwill?

However, this Board member discussed that there could be a possibility to simplify the asset impairment test on the periphery.

He was particularly concerned about how evident it became in this project that the impairment test in IAS 36 is ineffective, flawed and expensive.

When determining the recoverable amount during the impairment test, it is necessary to make estimates based on share prices, on prices of comparable transactions, or on the net present value method or other valuation methods or combinations thereof.

However, it becomes more and more evident that the Board needs to step back and look at the impairment testing as a whole.

During our audit, we, among other things, obtained an understanding of the method applied during the impairment test, the budget process of KION as well as the determination of thecashgenerating units and assessed the determination of the WACC.

The concerns raised by investors were in relation to whether goodwill is an asset and should be amortised, the effectiveness of testing of goodwill for impairment and the costs and complexity of the performing the impairment test. Accounting for goodwill

Paper 18A—discusses the additional work to be performed in relation to objectives b) and c) above (simplification of the accounting for goodwill and the impairment test)

The relevant CGUs for the purposes of goodwill impairment testing are the LMH and STILL segments and the CGU Voltas Material Handling Private Limited, Pune, India (referred to below as VMH), which is part of the Other segment, as goodwill and brand names have been allocated to these CGUs.

Impairment testing for goodwill is performed at the level of the individual cash-generating units (CGUs) or groups of CGUs.