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11 Property, plant and equipment
| All figures in £ millions | Land and buildings |
Plant and equipment |
Assets in courseof construction |
Total |
|---|---|---|---|---|
| Cost | ||||
| At 1 January 2005 | 280 | 604 | 13 | 897 |
| Exchange differences | 18 | 40 | – | 58 |
| Transfers | – | 13 | – | 13 |
| Additions | 32 | 41 | 1 | 74 |
| Disposals | (5) | (28) | – | (33) |
| Acquisition through business combination | 3 | 6 | – | 9 |
| Reclassifications | – | 7 | (7) | – |
| At 31 December 2005 | 328 | 683 | 7 | 1,018 |
| Exchange differences | (20) | (54) | – | (74) |
| Transfers | – | (11) | (1) | (12) |
| Additions | 12 | 52 | 13 | 77 |
| Disposals | (9) | (32) | – | (41) |
| Acquisition through business combination | 9 | 12 | – | 21 |
| Reclassifications | – | 8 | (8) | – |
| Transfer to non-current assets held for sale | (7) | (27) | – | (34) |
| At 31 December 2006 | 313 | 631 | 11 | 955 |
| Depreciation | ||||
| At 1 January 2005 | (106) | (436) | – | (542) |
| Exchange differences | (7) | (33) | – | (40) |
| Charge for the year | (17) | (63) | – | (80) |
| Disposals | – | 30 | – | 30 |
| Acquisition through business combination | – | (2) | – | (2) |
| At 31 December 2005 | (130) | (504) | – | (634) |
| Exchange differences | 10 | 41 | – | 51 |
| Transfers | – | 5 | – | 5 |
| Charge for the year | (17) | (60) | – | (77) |
| Disposals | 4 | 27 | – | 31 |
| Acquisition through business combination | – | (8) | – | (8) |
| Transfer to non-current assets held for sale | 5 | 20 | – | 25 |
| At 31 December 2006 | (128) | (479) | – | (607) |
| Carrying amounts | ||||
| At 1 January 2005 | 174 | 168 | 13 | 355 |
| At 31 December 2005 | 198 | 179 | 7 | 384 |
| At 31 December 2006 | 185 | 152 | 11 | 348 |
Depreciation expense of £18m (2005: £19m) has been included in the income statement in cost of goods sold, £6m (2005: £7m) in distribution expenses and £53m (2005: £54m) in administrative and other expenses. In 2006 £6m (2005: £4m) relates to discontinued operations.
The Group leases certain equipment under a number of finance lease agreements. The net carrying amount of leased plant and equipment included within property, plant and equipment was £4m (2005: £3m).