Board of Directors Report and Notes

Note 3 - Segment information

All amounts in SEKm unless otherwise stated

Reportable segments – Business areas

The Group has six reportable segments. Products for the consumer durables market, i.e., major appliances and small appliances, have five reportable segments: Major Appliances Europe, Middle East and Africa; Major Appliances North America; Major Appliances Latin America; Major Appliances Asia/Pacific; and Small Appliances (previously named Floor Care and Small Appliances). Products within major appliances comprise mainly of refrigerators, freezers, cookers, dryers, washing machines, dishwashers, room air-conditioners and microwave ovens. Small appliances include vacuum cleaners and other small appliances. Professional products have one reportable segment. As of 2011, Small Appliances is reported as a separate segment. The financial information of 2010 for the segments involved has been restated.

  Net sales   Operating income
  2011 2010   2011 2010
Major Appliances Europe, Middle East and Africa 34,029 36,596   709 2,297
Major Appliances North America 27,665 30,969   250 1,442
Major Appliances Latin America 17,810 16,260   820 951
Major Appliances Asia/Pacific 7,852 7,679   736 793
Small Appliances 8,359 8,422   543 802
Professional Products 5,882 6,389   841 743
  101,597 106,315   3,899 7,028
Group common costs 1 11   –744 –534
Items affecting comparability — —   –138 –1,064
Total 101,598 106,326   3,017 5,430
Financial items, net — —   –237 –124
Income after financial items — —   2,780 5,306

In the internal management reporting, items affecting comparability is not included in the segments. The table specifies the segments to which they correspond.

Items affecting comparability
  Impairment/restructuring
  2011 2010
Major Appliances Europe,  –34 –658
Middle East and Africa –104 –406
Major Appliances North America — —
Major Appliances Latin America — —
Major Appliances Asia/Pacific — —
Small Appliances — —
Total  –138 –1,064
Inter-segment sales exist with the following split:
  2011 2010
Major Appliances Europe, Middle East and Africa 349 310
Major Appliances North America 908 1 169
Major Appliances Asia/Pacific 339 94
Eliminations 1,596 1,573
The segments are responsible for the management of the operational assets and their performance is measured at the same level, while the financing is managed by Group Treasury at group or country level. Consequently, liquid funds, interest-bearing receivables, interest-bearing liabilities and equity are not allocated to the business segments.

  Assets
December 31,		   Equity and liabilities December 31,   Net assets
December 31,
  2011 2010   2011 2010   2011 2010
Major Appliances Europe, Middle East and Africa 29,877 27,481   20,427 20,668   9,450 6,813
Major Appliances North America 8,138 9,072   2,822 2,060   5,316 7,012
Major Appliances Latin America 11,634 7,228   4,166 4,082   7,468 3,146
Major Appliances Asia/Pacific 4,293 3,920   2,253 1,900   2,040 2,020
Small Appliances 4,951 4,057   2,741 2,334   2,210 1,723
Professional Products 2,643 2,492   1,711 1,618   932 874
Other1) 6,892 6,462   6,294 6,507   598 –45
Items affecting comparability 117 4   1,120 1,643   –1,003 –1,639
  68,545 60,716   41,534 40,812   27,011 19,904
Liquid funds 7,839 12,805   — —   — —
Interest-bearing receivables — —   — —   — —
Interest-bearing liabilities — —   14,206 12,096   — —
Equity — —   20,644 20,613   — —
Total  76,384 73,521   76,384 73,521   — —
                 
1) Includes common Group functions and tax items.            
  Depreciation and amortization   Capital expenditure   Cash flow1)
  2011 2010   2011 2010   2011 2010
Major Appliances Europe, Middle East and Africa 1,460 1,397   1,199 1,409   –1,099 1,910
Major Appliances North America 809 1,061   700 692   1,794 1,363
Major Appliances Latin America 314 266   526 650   –3,116 825
Major Appliances Asia/Pacific 173 188   286 198   725 773
Small Appliances 139 147   118 116   –13 525
Professional Products 104 116   287 96   760 863
Other2) 174 153   47 60   –1,278 –1,290
Items affecting comparability — —   — —   –585 –375
Financial items — —   — —   –214 –72
Taxes paid — —   — —   –1,625 –1,316
Total  3,173 3,328   3,163 3,221   –4,651 3,206
                 
1) Cash flow from operations and investments.
2) Includes Group functions.    
Geographical information    
  Net sales1)
  2011 2010
USA 26,637 29,782
Brazil 14,633 14,231
Germany 5,474 5,974
Australia 5,285 5,514
Sweden (country of domicile) 4,210 3,353
Italy 4,092 4,609
Canada 4,037 4,390
Switzerland 4,027 3,667
France 3,809 4,223
United Kingdom 2,544 2,898
Other 26,850 27,685
Total 101,598 106,326
     
1) Revenues attributable to countries on the basis of the customer’s location.

Tangible and non-tangible fixed assets located in the Group’s country of domicile, Sweden, amounted to SEK 2,361m (2,093). Tangible and non-tangible fixed assets located in all other countries amounted to SEK 24,406m (18,107). Individually, material countries in this aspect are Italy with SEK 2,958m (2,877), USA with SEK 3,012m (2,836) and Egypt with SEK 2,734m (0), respectively.