Notes to the consolidated
financial statements
4. Operating profit
Operating profit has been arrived at after charging/(crediting):
| 2010 £m | 2009 £m | 2008 £m |
|
|---|---|---|---|
| Net foreign exchange (gains)/losses | (29) | 30 | (27) |
| Depreciation of property, plant and equipment (note 11): | |||
| Owned assets | 4,412 | 4,025 | 3,400 |
| Leased assets | 44 | 36 | 27 |
| Amortisation of intangible assets (note 9) | 3,454 | 2,753 | 2,482 |
| Impairment losses, net (note 10) | 2,100 | 5,900 | – |
| Research and development expenditure | 303 | 280 | 234 |
| Staff costs (note 32) | 3,770 | 3,227 | 2,698 |
| Operating lease rentals payable: | |||
| Plant and machinery | 71 | 68 | 43 |
| Other assets including fixed line rentals | 1,587 | 1,331 | 1,117 |
| Loss on disposal of property, plant and equipment | 101 | 10 | 70 |
| Own costs capitalised attributable to the construction or acquisition of property, plant and equipment | (296) | (273) | (245) |
The total remuneration of the Group’s auditor, Deloitte LLP, and its affiliates for services provided to the Group is analysed below:
| 2010 £m | 2009 £m | 2008 £m |
|
|---|---|---|---|
| Audit fees: | |||
| Parent company | 1 | 1 | 1 |
| Subsidiaries(1) | 7 | 5 | 5 |
| 8 | 6 | 6 | |
| Fees for statutory and regulatory filings | 1 | 2 | 1 |
| Audit and audit-related fees | 9 | 8 | 7 |
| Other fees: | |||
| Taxation | 1 | 1 | 1 |
| Other | – | – | 1 |
| 1 | 1 | 2 | |
| Total fees | 10 | 9 | 9 |
- Note:
- (1)
- The increase primarily arises from the consolidation of Vodacom Group Limited as a subsidiary from 18 May 2009.
In addition to the above, the Group’s joint ventures and associates paid fees totalling £2 million (2009: £3 million; 2008: £2 million) and £7 million (2009: £6 million; 2008: £3 million) respectively to Deloitte LLP and its affiliates during the year. Deloitte LLP and its affiliates have also received amounts totalling less than £1 million in each of the last three years in respect of services provided to pension schemes and charitable foundations associated to the Group.
A description of the work performed by the Audit Committee in order to safeguard auditor independence when non-audit services are provided is set out in “Corporate governance”.
© Copyright Vodafone 2010
