7 Investments and marketable securities

Listed investments comprise an investment in Superscape Group plc, the fair value of which at 31 December 2007 is £1,180,000 (2006: £1,885,000; 2005: £3,474,000). In 2008, Superscape was acquired by Glu Mobile Inc. for 10 pence per share, and therefore the Company’s investment has been impaired to this carrying value through the income statement, with the further reduction in carrying value to 7.98 pence per share at 31 December 2007 going through equity. In 2006, the Company disposed of its investment in CSR plc for £5.6 million resulting in a profit of £5.3 million that was recognised in the 2006 income statement. The fair value of this investment at 31 December 2005 was £3,521,000.

In 2007, the Company invested £2,534,000 in W&W Communications Inc. by way of a convertible loan note. This note earns interest at 10% per annum, and may convert into equity to a maximum investment of 14.99%. Also during 2007, an investment of £123,000 was made in Embest Info and Tech Inc., an unlisted company based in China. In 2005, the Company invested £274,000 in Luminary Micro Inc., an unlisted company, and made a further investment of £165,000 in the company in 2006.

At 31 December 2007, the Company had £1,582,000 (2006: £19,151,000; 2005: £8,835,000) of short-term marketable securities. These represent both the fair market value and amortized cost of these securities.