annual report 2010 uk

8/3/2019 Annual Report 2010 UK

1/60

T LGO GO

201

Annual Report


2/60

2 The LGO Group Aual Rpr 2010

2010 2009 2008 2007 2006

Income Statement:

Revenue 16,014 11,661 9,526 8,027 7,798

Expenses (10,899) (8,659) (7,522) (6,556) (6,393)

Operatingprofitbeforespecialitems 5,115 3,002 2,004 1,471 1,405

Specialitems (142) (100) 96 (22) (80)

Financialincomeandexpenses (84) (15) (248) (35) (44)

Profitbeforeincometax 4,889 2,887 1,852 1,414 1,281

Netprofitfortheyear 3,718 2,204 1,352 1,028 1,290

Balance Sheet:

Totalassets 10,972 7,788 6,496 6,009 6,907Equity 5,473 3,291 2,066 1,679 1,191

Liabilities 5,499 4,497 4,430 4,330 5,716

Cash Flow Statement:

Cashflowsfromoperatingactivities 3,744 2,712 1,954 1,033 1,157

Investmentinproperty,plantandequipment 1,077 1,042 368 399 316

Investmentinintangibleassets 123 216 75 34 -

Cashflowsfromfinancingactivities (3,477) (906) (1,682) (467) 597

Totalcashflows (871) 558 128 592 1,925

mployees:

Averagenumber(full-time) 8,365 7,286 5,388 4,199 4,908

Financial ratios (in %):

Grossmargin 72.4 70.3 66.8 65.0 64.9

Operatingmargin(ROS) 31.1 24.9 22.0 18.1 17.0

Netprofitmargin 23.2 18.9 14.2 12.8 16.5

Returnonequity(ROE) 84.8 82.3 72.2 71.6 147.1

Returnoninvestedcapital(ROICI) 161.2 139.5 101.8 69.7 63.6

Returnoninvestedcapital(ROICII) 157.9 138.0 113.8 77.1 67.4

Equityratio 49.9 42.3 31.8 27.9 17.2

Equityratio(incl.subordinateloan) 49.9 42.3 39.5 46.2 33.2

FinancialratioshavebeencalculatedinaccordancewiththeRecommendationsandFinancialRatios2010,issuedbythe

DanishSocietyofFinancialAnalysts.Fordefinitions,pleaseseethesectiononaccountingpolicies.

Parenthesesdenotenegativefigures.

Financial ighlightsThe LGO Group

(mDKK)

FINANCIALIGLIGTS


3/60

The LGO Group Aual Rpr 2010 3

CONTNTSAnnualReport2010ispublishedfortheLEGOGroupbyCorporateFinance,GroupFinanceandCorporateCommunications.

Designandprint:GRCGraphicouse

LEGO,theLEGOlogo,theBrickconfiguration,theMinifigureandDUPLOaretrademarksoftheLEGOGroup.2011TheLEGOGroup.

2011LucasfilmLtd.&TM.Allrightsreserved.

LEGOA/SAastvej1DK-7190Billund,Denmark

Tel: +4579506070CVR-no: 54562519Incorporated: 19December,1975R es ide nc e: B illu ndFinancialYear: 1January

31DecemberInternet: www.LEGO.com

5 Company Information

6 ManagementsStatement

7 IndependentAuditorsReport

8 Management sReview

11 IncomeStatement1January-31December,theLEGOGroup

12 BalanceSheetat31December,theLEGOGroup

14 StatementofChangesinEquity,theLEGOGroup

15 CashFlowStatement1January-31December,theLEGOGroup

16 Notes,theLEGOGroup

45 IncomeStatement1January-31December,ParentCompany

46 BalanceSheetat31December,ParentCompany

48 StatementofChangesinEquity,ParentCompany

49 Notes,ParentCompany

57 GroupStructure

contents

Annual Report 2010

Printed matter


4/60



5/60


Company Information

compAny noRmAton

Jrgen Vig Knudstorp

chif exuiv offir ad prid

Sten Daugaard

chif iaial offir

Mads Nipper

exuiv Vi prid,

mark ad prdu

Lisbeth Valther allesen

exuiv Vi prid,

cui, eduai ad Dir

Christian Iversen

exuiv Vi prid,

crra cr

Iqbal adda

exuiv Vi prid,

Glbal sul chai

Niels Jacobsen

chaira f h Bard i 2008.

ceo & prid f Willia Da Hldig A/s.Du chaira f h Bard f KRKB A/s.Du chaira f h Bard fA.p. mllr-mrk A/s.chaira f h Bard f ur hf.mbr f h cral Bard f hcfdrai f Daih duri.

Thomas Kirk Kristiansen

mbr f h Bard i 2007.

sharhldr ad rrig h furhgrai f h wr fail.mbr f h Bard f KRKB A/s.

Kjeld Kirk Kristiansen

Du chaira f h Bard i1996. mbr f h Bard i 1975.

chaira f h Bard f KRKB A/s, hLeGo udai ad ol Kirk udai.prid ad ceo fr h LeGo Gru 1979-2004.majri harhldr f KRKB A/s.

Caroline SeborgAhlefeldt-Laurvig-Bille


ceo f cAsALB As.chaira f h Bard f 2Bm A/s.Du chaira f od thar.mbr f h Bard f a ubr f hrai, iludig noR.lluiai A/s,

DyRBeRG/KeRn, coop A/s ad Vkfd.

Kre Schultz


exuiv Vi prid ad coo fnv nrdik A/s, Dark.chaira f h Bard f Ral Uibrw A/s.

Board of Directors

Management Board

Corporate Management

Auditors

pwc,saaurir Rviiakilkab

Torben Ballegaard Srensen


chaira f h Bard f cAt rkrark A/sad taj A/s.Du chaira f padra Hldig A/s,sai sfwar egirig A/s admbrg-thr A/s.

mbr f h Bard f h eg udaiad eg raial A/s, AB elrlux,As3-cai A/s ad ridr Arkikr A/s.

Sren Thorup Srensen

mbr f h Bard i Aril 2010.

ceo f KRKB A/s.mbr f h Bard f tDc ad tDaark


6/60


mAnAGements stAtement

Board of Directors

nil Jab Kjld Kirk Kriia tha Kirk Kriiachaira Du chaira

Kr shulz carli sbrg Ahlfld-Laurvig-Bill trb Ballgaard sr

sr thru sr

Managements Statement

th maag Bard ad h Bard f Dirr havda idrd ad add h Aual Rr f LeGo

A/s fr h fiaial ar 1 Jauar 31 Dbr 2010.

th clidad iaial sa ar rard i

arda wih raial iaial Rrig sadard

a add b h eU, ad h iaial sa ar r-

ard i arda wih h Daih iaial sa

A. mrvr, h clidad iaial sa ad h

iaial sa ar rard i arda wih addi-

ial Daih dilur rquir fr iaial sa.

maag Rviw i rard i arda wih h

Daih iaial sa A.

ur ii, h clidad iaial sa ad h

iaial sa giv a ru ad fair viw f h fiaial

ii a 31 Dbr 2010 f h Gru ad h caad f h rul f h Gru ad ca rai ad

lidad ah flw fr h fiaial ar 1 Jauar - 31

Dbr 2010.

ur ii, maag Rviw ilud a ru ad fair

au f h dvl i h rai ad fiaial

irua f h Gru ad h ca, f h rul

fr h ar ad f h fiaial ii f h Gru ad

h ca a wll a a drii f h igifia

rik ad l f urai faig h Gru ad h

ca.

W rd ha h Aual Rr b add a hAual Gral mig.

Billud, 23 bruar 2011

Management Board

Jrg Vig Kudr s Daugaard

prid ad ceo co


7/60


Independent Auditors Report

nDepenDent AUDtoRs RepoRt

Billud, 23 bruar 2011

wC

saaurir Rviiakilkab

Lar Hlug Hrik Kraghsa Auhrizd publi Aua sa Auhrizd publi Aua

To the Shareholders of LGO A/S

eport on the Consolidated Financial Statements and the

Financial Statements

W hav audid h clidad iaial sa, h

iaial sa ad maag Rviw f LeGo A/s

fr h fiaial ar 1 Jauar - 31 Dbr 2010. th c-

lidad iaial sa ad h iaial sa

ri sa, A, Liabilii ad equi,

sa f chag i equi ad n fr h Gru ad

h ca a wll a sa f crhiv

ad cah lw sa fr h Gru. th clidad

iaial sa ar rard i arda wih r-

aial iaial Rrig sadard a add b h eUad addiial Daih dilur rquir fr iaial

sa, ad h iaial sa ar rard i

arda wih h Daih iaial sa A. ma-

ag Rviw i rard i arda wih h Daih

iaial sa A.

Managements esponsibility

maag i ribl fr h rarai ad fair r-

ai f h clidad iaial sa ad h

iaial sa i arda wih h abv-id

lgilai ad dilur rquir. thi ribili

ilud: digig, ilig ad aiaiig iral

rl rlva h rarai ad fair rai fclidad iaial sa ad iaial sa

ha ar fr fr arial ia, whhr du fraud

r rrr. th ribili al ilud lig ad al-

ig arria auig lii, ad akig auig

ia ha ar raabl i h irua. urhr-

r, maag i ribl fr rarig a maag-

Rviw ha ilud a ru ad fair au i ard-

a wih h Daih iaial sa A.

Auditors esponsibility and Basis of Opinion

our ribili i xr a ii h cli-

dad iaial sa, h iaial sa ad

maag Rviw bad ur audi. W dud uraudi i arda wih Daih Audiig sadard. th

sadard rquir ha w l wih hial rquir

ad la ad rfr h audi bai raabl aur-

a whhr h clidad iaial sa, h

iaial sa ad maag Rviw ar fr frarial ia.

A audi ivlv rfrig rdur bai audi

vid abu h au ad dilur i h c-

lidad iaial sa, h iaial sa ad

maag Rviw. th rdur ld dd

h audir judg, iludig h a f h rik

f arial ia f h clidad iaial sa-

, h iaial sa ad maag Rviw,

whhr du fraud r rrr. akig h rik a-

, h audir idr iral rl rlva h

ca rarai ad fair rai f clidad

iaial sa ad iaial sa ad h

rarai f a maag Rviw ha ilud a ruad fair au i rdr dig audi rdur ha ar

arria i h irua, bu fr h ur f

xrig a ii h ffiv f h ca

iral rl. A audi al ilud valuaig h arri-

a f auig lii ud ad h raabl

f auig ia ad b maag, a wll a

valuaig h vrall rai f h clidad ia-

ial sa, h iaial sa ad maag

Rviw.

W bliv ha h audi vid w hav baid i uffi-

i ad arria rvid a bai fr ur audi ii.

our audi ha ruld i a qualifiai.

Opinion

ur ii, h clidad iaial sa giv a

ru ad fair viw f h fiaial ii f h Gru a 31

Dbr 2010 ad f h rul f h Gru rai

ad ah flw fr h fiaial ar 1 Jauar - 31 D-

br 2010 i arda wih raial iaial Rrig

sadard a add b h eU ad addiial Daih dil-

ur rquir fr iaial sa.

ur ii, h iaial sa giv a ru ad fair

viw f h fiaial ii f h ca a 31 Dbr

2010 ad f h rul f h ca rai fr h

fiaial ar 1 Jauar - 31 Dbr 2010 i arda

wih h Daih iaial sa A. ur ii, maag Rviw ilud a ru ad fair

au f h dvl i h rai ad fiaial

irua f h Gru ad h ca, f h rul

fr h ar ad f h fiaial ii f h Gru ad h

ca a wll a a drii f h igifia rik

ad l f urai faig h Gru ad h c-

a i arda wih h Daih iaial sa A.


8/60


mAnAGements ReVeW

Managements eview

th rg grwh ahivd b h LeGo Gru i rar iud a h a a i 2010. th al f LeGo

rdu grw idrabl all vr h wrld, ad h Gru

arig irad igifial.

th LeGo Gru rfi bfr ax aud DKK 4,889

illi i 2010 agai DKK 2,887 illi h ar bfr. th

rul i idrd highl aifar.

Sales

th LeGo Gru rvu irad b 37.3% i 2010 DKK

16,014 illi agai DKK 11,661 illi h ar bfr.

pariularl h ark dfid b h LeGo Gru a -ial grwh ara, h UsA, Gra Briai, Ruia ad ear

eur, hav ribud h xiv grwh, bu all h

LeGo Gru ark gaid ark har i a lighl

iraig glbal ark.

th lai rdu li uh a LeGo ci, LeGo DUpLo

ad LeGo Star WarsTM rad h high al i 2010. Hw-

vr, arl all rdu li hwd highr ira i 2010

ha xd.

th w li ga LeGo Uivr wa lauhd a h

d f 2010 ad hrfr l had liid ff al i

2010, bu did xai fr h ar.

Licence and royalty expenses

Li ad ral x irad i 2010 DKK 988

illi fr DKK 694 illi i 2009.

th i ilud ral h KRKB Gru fr h u f

radark, iludig h LeGo radark, bu al ilud

li agr wih ivr, digr ad hr li-

fr h u f illual righ.

Li i fr hr ai u f h LeGo

Gru radark irad i 2010 b DKK 33 illi

DKK 145 illi.

rofit before special items,financial income and expenses and tax

th LeGo Gru rfi bfr ial i, fiaial i

ad x ad ax aud DKK 5,115 illi i 2010

agai DKK 3,002 illi i 2009.

th raig argi (Ros) wa 31.1% i 2010 agai 24.9% i

2009.

th highl aifar rul ar ail aribuabl h

aiv al ira ad iuu rl.

Special itemsth LeGo Gru ha rfrd a iair a

f h Gru iagibl a a f 31 Dbr 2010. c-

qul, h Gru ha rgizd a wri-dw auig

DKK 150 illi.

Financial income and expenses

n fiaial aud a x f DKK 84 illi i

2010 agai DKK 15 illi i 2009.

Corporation tax

crrai ax au DKK 1,171 illi agai DKK 683

illi h ar bfr. th ffiv ax ra fr h ar i 24%

whih i h a lvl a i 2009.

rofit for the year

th LeGo Gru rfi fr h ar aud DKK 3,718

illi i 2010 agai DKK 2,204 illi i 2009.

quity and cash flows

Gru a irad b DKK 3,184 illi ad au

DKK 10,972 illi agai DKK 7,788 illi a h d f 2009.

Rur ivd aial (Roc) wa 161.2% i 2010 agai

139.5% i 2009.

Afr rgii f h rfi fr h ar ad diribui f

dividd, Gru qui irad b DKK 2,182 illi DKK

5,473 illi i 2010.A h d f 2010, h qui rai f h Gru wa 49.9%.

Rur qui fr h Gru rahd 84.8% i 2010 agai

82.3% i 2009.

cah flw fr raig aivii aud DKK 3,744

illi agai DKK 2,712 illi i 2009.

cah flw fr ivig ad fiaig aivii aud

DKK -4,615 illi agai DKK -2,154 illi i 2009.

th Gru al ah flw hu aud DKK -871 il-

li agai DKK 558 illi i 2009.

Capacity investments

2010, h LeGo Gru iud i xai f rdu-

i aai i r ar. th xai riaril

ilud h li f a w warhu a h far i

Klad, h czh Rubli, ad h rui f a w

uldig hall a h far i mrr, mxi. th uld-

ig hall i xd b rad fr u i 2011.

th aai xai huld b i h ligh f h

xiv al ira i r ar. Bad h

aai xai, h LeGo Gru x b abl

aiai ad ira high ul uri fr i ur.


9/60


mAnAGements ReVeW

Intellectual capital resourcesA ira dii fr h iud u f h LeGo

Gru i h iuu dvl f h kill f LeGo

l. thrfr, bh al dvl ad gral

dvl ar vr ira l f h

Gru pl & culur rag. cqul, hr ha

b gra fu h rarai f idividual dvl

la fr LeGo Gru l.

th avrag ubr f full-i l wa 8,365 i 2010

agai 7,286 i 2009. th ira i aribuabl bh

h aai xai ad h larg ira i aivii

i i wih h idrabl al grwh. suh a

ira i h ubr f l la hav dad h Gru i r f rruiig, wlig ad irdu-

ig w l. thrfr, iv wr ad i bh

ralid ad dralid rrui rur ad l

i 2010.

mrvr, iuu ffr ar ad ur ha h w

l ar quikl brugh udrad h Gru

bjiv, valu ad ragi diri.

ur f h Gru ulur, h bai ulural l

ar dribd i a -alld brad frawrk. A r

daild drii i fud i h LeGo Gru prgr

Rr 2010.

Sustainability

2003, a h fir a i h idur, h LeGo

Gru igd h Un Glbal ca. thi wa a fir-

ai f h a ar ur f hua righ, labur

adard ad h vir. Glbal ca ha lar

b xdd ilud ai-rrui. th LeGo Gru

fir i ur Glbal ca. th LeGo Gru

iu prgr Rr 2010 dribig hw h LeGo Gru

i wrkig wihi h ara f hua righ, labur adard,

h vir ad ai-rrui.

th prgr Rr 2010 hu iu h aur a-

f ial ribili urua i 99 a f hDaih iaial sa A.

th prgr Rr 2010 al drib h LeGo Gru

ffr ahiv i -fiaial gal.

Market development

th LeGo Gru ai aivi i h dvl, rdu-

i, arkig ad al f la arial. th ark fr ra-

diial , i whih h Gru ra, ha fr a ubr

f ar b udr rur fr w rdu gru;

hwvr, i 2010 hi ark aw a ligh ira. th wrld

larg ark UsA grw b al w r whil

f eur aw highr grwh ra.th Jaa ark iu b udr high r-

ur whil bh r f Aia, Auralia/nw Zalad ad LaiAria xrid idrabl grwh.

LGO sales

LeGo ci ad LeGo Star Wars wr al i 2010 h w b

llig rdu li f h LeGo Gru.

ohr lai li uh a LeGo DUpLo, LeGo Brikr,

LeGo crar ad LeGo thi ar al hwig high

grwh ra. Likwi, qui w rdu li uh a Alai

ad Hr ar ar ribuig grwh.

th glbal lauhig f h bard ga, LeGo Ga,

whih wr iiiall lauhd ld ark i 2009,

ruld i idrabl al grwh i 2010.

A h d f 2010, h LeGo Gru fr h fir i rdh ark fr li a ga hrugh h lauhig f

LeGo Uivr, a -alld mmoG (aivl ulilar

li ga). A h rdu wa lauhd a h d f h

ar, LeGo Uivr l had liid ff al i 2010.

th LeGo Gru ahivd grwh all ark i 2010.

th xiv grwh h eglih-akig ark

i r ar wa furhr rifrd i 2010.

Alhugh h ur i eur ar h wh, avrag,

w h larg ubr f LeGo brik i h wrld, dubl-

digi grwh ra wr ralid i ark. th high

grwh ra ar h ear eura ark ad

Gra Briai big ar f h fu ara f h LeGo Grugrwh rag.

R ar grwh h Aia ark al iud.

th grwh al iludd Jaa, whih ha ahivd dubl-

digi grwh ra i 2010 di h fiaial rii i r

ar.

Dir al ur, auig fr 10% f h

LeGo Gru al, hav al a ajr ira i 2010.

sal h duaial r, whih hav i r ar

b iad b h fiaial rii, ahivd idrabl

grwh i 2010.

thak h grwh grad durig h ar, h LeGoGru glbal ark har a h d f 2010 au

arxial 5.9%.

xpectations for 2011

o h bai f h dvl i 2010, a ligh ira i

h glbal ark fr radiial i xd al i 2011.

Bad h highl aifar dvl f h LeGo

Gru i 2010 ad h igifia aivii iiiad i 2010, h

LeGo Gru x al grwh i 2011, hugh a a lwr

al ha 2010. th grwh i xd fr h

ai ark i nrh Aria ad eur a wll a fr

h allr, raidl grwig w ark.

Bad hi, aifar rul ar xd fr 2011.


10/60



11/60


Note 2010 2009

Rvu 3 16,014 11,661

prdui 4,6,7 (4,413) (3,463)

Gross profit 11,601 8,198

sal ad diribui x 4,6,7 (4,627) (3,602)

Adiiraiv x 4,5,6,7 (931) (855)

ohr raig x 4,6,7,9 (928) (739)

Operating profit before special items 5,115 3,002

sial i 4,7,8 (142) (100)

Operating profit 4,973 2,902

prfi fr aia afr ax 15 - -

iaial i 10 21 131

iaial x 11 (105) (146)

rofit before income tax 4,889 2,887

tax rfi fr h ar 12 (1,171) (683)

Net profit for the year 3,718 2,204

Allocated as follows:

par ca harhldr 3,696 2,197

n-rllig ir 22 7

3,718 2,204

Consolidated statement of comprehensive income

prfi fr h ar 3,718 2,204

cah flw hdg (201) -

tax ah flw hdg 38 -

curr ralai diffr 143 21

Total comprehensive income for the year 3,698 2,225

Allocated as follows:

par ca harhldr 3,676 2,218

n-rllig ir 22 7

3,698 2,225

ncome stAtement

Income Statement 1 January 31 DecemberThe LGO Group

(mDKK)


12/60


Note 2010 2009

ASSTS

Non-current assets

Dvl rj ad ra fr iagibl a 78 116

sfwar 26 33

Li, a ad hr righ 81 83

Intangible assets 13 185 232

Lad, buildig ad iallai 863 699

pla ad ahir 983 766

ohr fixur ad fiig, l ad qui 384 246

ixd a udr rui ad ra 338 219roperty, plant and equipment 14 2,568 1,930

Dfrrd ax a 20 180 94

v i aia 15 3 3

Other non-current assets 183 97

Total non-current assets 2,936 2,259

Current assets

vri 16 1,327 1,056

trad rivabl 17 3,321 2,128

ohr rivabl 618 604

curr ax rivabl 12 111Rivabl fr rlad ari 30 1,956 -

cah ad ah quival 29 802 1,630

Total current assets 8,036 5,529

TOTAL ASSTS 10,972 7,788

BALAnce sHeet

Balance Sheet at 31 DecemberThe LGO Group

(mDKK)


13/60


Note 2010 2009

QITY AND LIABILITIS

QITY

shar aial 18 20 20

Rrv fr hdg auig (114) 49

Rrv fr urr ralai (138) (281)

Raid arig 19 5,684 3,488

LeGo A/s har f qui 5,452 3,276

n-rllig ir 21 15

Total equity 5,473 3,291

LIABILITISNon-current liabilities

Brrwig 26 826 832

Dfrrd ax liabilii 20 21 82

pi bligai 21 52 56

prvii 23 75 20

ohr lg-r db 22 92 71

Total non-current liabilities 1,066 1,061

Current liabilities

Brrwig 26 6 5

trad aabl 1,518 1,336

curr ax liabilii 297 94

prvii 23 3 100ohr hr-r db 22 2,609 1,901

Total current liabilities 4,433 3,436

Total liabilities 5,499 4,497

TOTAL QITY AND LIABILITIS 10,972 7,788

BALAnce sHeet

Balance Sheet at 31 DecemberThe LGO Group

(mDKK)


14/60


Balance at 1 January 2010 20 49 (281) 3,488 3,276 15 3,291

crhiv i/

(x) fr h ar - (163) 143 3,696 3,676 22 3,698

Dividd rlaig rir ar - - - (1,500) (1,500) (16) (1,516)

Balance at 31 December 2010 20 (114) (138) 5,684 5,452 21 5,473

Balance at 1 January 2009 20 49 (302) 2,291 2,058 8 2,066

crhiv i/

(x) fr h ar - - 21 2,197 2,218 7 2,225

Dividd rlaig rir ar - - - (1,000) (1,000) - (1,000)

Balance at 31 December 2009 20 49 (281) 3,488 3,276 15 3,291

stAtement o cHAnGes n eUty

Statement of Changes in quityThe LGO Group

(mDKK)

eserve LGOeserve for Groups

Share hedge exchange etained share of Minority Total

capital accounting adjust. earnings equity interests equity


15/60


Note 2010 2009

Cash flows from operating activities:

prfi bfr i ax 4,889 2,887

r aid (105) (146)

r rivd 21 131

ax (aid)/rivd (939) (619)

ohr rvral wih ff ah flw 27 445 463

chag i wrkig aial 28 (567) (4)

n ah grad fr raig aivii 3,744 2,712

Cash flows from investing activities:

purha f rr, la ad qui (1,077) (1,042)

purha f iagibl a (123) (216)prd fr al f rr, la ad qui 62 10

n ah grad fr ivig aivii (1,138) (1,248)

Cash flows from financing activities:

Dividd aid harhldr (1,500) (1,000)

Dividd aid -rllig ir (16) -

paid rlad ari, (1,956) 600

Ra f brrwig ad ubrdiad la aial (5) (506)

n ah (ud i)/grad fr fiaig aivii (3,477) (906)

Total cash flows (871) 558

cah ad ah quival a 1 Jauar 1,630 1,129exhag gai/(l) ah ad ah quival 43 (57)

Cash and cash equivalents at 31 December 29 802 1,630

cAsH LoW stAtement

Cash Flow Statement 1 January 31 DecemberThe LGO Group

(mDKK)


16/60


notes

NotesThe LGO Group

th clidad iaial sa f h LeGo Gru

hav b rard i arda wih raial iaial

Rrig sadard (Rs) a add b h eU ad addi-

ial Daih dilur rquir.

th iaial sa hav b rard i arda

wih h hirial vri, a difid b h rvalua-

i f fiaial a ad fiaial liabilii (iludig fia-

ial iru) a fair valu.

ffects of new accounting standards

All w ad add adard ad irrai ffiv

a f 1 Jauar 2010 hav b add. sadard rlva

h LeGo Gru ar:

Ad f As 39 rribig ha a -ial

hdgd i i a ah flw hdg ha i valu.

th ad i i arda wih urr auig

lii ad hrfr, h ilai f h ad-

ha ia rgii ad aur.

Durig 2010 fllwig adard ad hag xiig

adard hav b iud wih ff f 2010, whih uldb rlva fr h LeGo Gru bu ild b

h LeGo Gru:

Aual irv iig f a ubr f ir

ad xiig adard.

maag i urrl aig h ial ia.

i h maag idia a ha h abv

id hag i Rrig sadard ad irra-

i will hav a igifia ia rgii ad

aurig.

Consolidation practiceth clidad iaial sa ri LeGo A/s(par ca) ad h ai i whih LeGo A/s

dirl r idirl hld r ha 50% f h v r

hrwi xri rl (ubidiari). LeGo A/s ad h

ai ar rfrrd a h LeGo Gru.

subidiari ar full lidad fr h da whih -

rl i rafrrd h LeGo Gru. th ar d-lidad

fr h da whih rl a.

Aia ar all ii vr whih h LeGo Gru ha ig-

ifia iflu bu rl, ad ar grall rrd

b a harhldig f bw 20% ad 50% f h vig righ.

v i aia ar aud fr uig h qui

hd f auig ad ar iiiall rgizd a .

ra raai, bala ad uralizd gai

raai bw gru ai ar liiad. Ural-

izd l ar al liiad ul h raai rvid

vid f iair f h a rafrrd. subidiari

auig lii hav b hagd whr ar ur i wih h lii add b h LeGo

Gru.

n-rllig ir ilud hird ar harhldr

har f h qui ad h rul fr h ar i ubidiari

whih ar 100% wd.

th ar f h ubidiari rul ha a b aribud

-rllig ir fr ar f h rfi r l fr h

ar. n-rllig ir har f h qui i ad a

a ara i i qui.

Foreign currency translation

Functional and presentation currency

iludd i h fiaial a f ah f h LeGo

Gru ii ar aurd uig h urr f h ri-

ar i vir i whih h i ra. th

clidad iaial sa ar rd i Daih

krr (DKK), whih i h fuial ad rai urr

f h par ca.

Transactions and balances

rig urr raai ar ralad i h fuial

urr uig h xhag ra rvailig a h da fh raai. rig xhag gai ad l rulig

fr h l f uh raai ad fr h rala-

i a bala h da xhag ra f ar a

ad liabilii diad i frig urri ar rg-

izd i h i a, x wh dfrrd i qui

a qualifig ah flw hdg.

Note 1. Significant accounting policies


17/60


NotesThe LGO Group

notes

Group companies

th rul ad fiaial ii f ubidiari ha hav a

fuial urr diffr fr h rai urr ar

ralad i h rai urr a fllw:

A ad liabilii fr ah ubidiar ar ralad i

DKK a h lig ra a h bala h da.

ad x fr ah ubidiar ar ralad a

avrag xhag ra.

Diffr drivig fr ralai f h frig ubidi-

ari ig qui h xhag ra rvailig a h

bala h da, ad diffr wig h ralaif h i a f h frig ubidiari fr

avrag xhag ra bala h da xhag

ra ar rgizd i hr rhiv i ad

laifid a a ara rrv fr xhag adju

udr qui.

Derivative financial instrumentsDrivaiv fiaial iru ar iiiall rgizd i h

bala h a fair valu ad ar ubqul aurd

a fair valu. Drivaiv fiaial iru ar rgizd i

hr rivabl ad hr hr-r db.

chag h fair valu f drivaiv fiaial iru- whih h riria fr hdgig h fair valu f a

rgizd a r a rgizd liabili ar rgizd i h

i a ghr wih a hag i h fair valu

f h hdgd a r liabili aribuabl h hdgd rik.

th ffiv ri f hag h fair valu f drivaiv

fiaial iru whih h riria fr hdgig fuur

ah flw ar rgizd i hr rhiv i

ad i a ara rrv udr qui. ad x

rlaig h hdg raai ar rafrrd fr qui-

wh h hdgd i aff h i a. th

au i rgizd i fiaial i r x.

air valu hag i digad a ah flw hdg-

ig iru ri hag aribuabl hag i

h ra. air valu hag aribuabl h i valu

ar rgizd i h i a.

a f l f a drivaiv digad a a ah flw

hdg, h auulad fair valu adju rai i qui-

uil h hdgd raai ur. f h hdgd raa-

i i lgr xd ak la, a auulad

fair valu adju i rafrrd fr qui h i

a udr fiaial i r x.

Income Statement

ecognition of sales and revenues

sal rr h fair valu f h al f gd xludig

valu addd ax ad afr ddui f rvii fr rurd

rdu, rba ad rad diu rlaig h al.

prvii ad arual fr rba ur ar ad i

h rid i whih h rlad al ar rrdd. Hirial

daa ar radil availabl ad rliabl ad ar ud fr i-

aig h au f h rdui i al.

Rvu fr h al f gd ar rgizd wh all h

fllwig ifi dii hav b ad h rl

vr h gd ha b rafrrd h bur.

sigifia rik ad rward f wrhi f h gd

hav b rafrrd h bur.

th rvu a b aurd rliabl.

i rbabl ha h i bfi aiad wih

h raai will flw h LeGo Gru.

c iurrd r b iurrd i r f h raa-

i a b aurd rliabl.

th dii ar uuall b h i h rdu ardlivrd h ur.

Li f ar rgizd a arual bai i ard-

a wih h rlva agr.

Rvu ar aurd a h fair valu f h idrai

rivd r rivabl.

Taxes

curr i ax, bad axabl i fr h ar, i

xd ghr wih hag i dfrrd ax fr h ar.

Dfrrd i ax rar diffr ariig bw

h ax ba f a ad liabilii ad hir arrigau i rvidd i full i h clidad iaial sa-

, uig h liabili hd.

th rvii f dfrrd ax rfl h ff f a ax l-

arrid frward . h x i i idrd likl ha

uh i a b uilid agai fuur axabl i. t

h x alulad dfrrd ax i iiv, hi i rgizd

i h bala h a a dfrrd ax a a h xd

raliabl valu.

A hag i dfrrd ax du hag i ax ra ar

rgizd i h i a.

Note 1. Significant accounting policies, continued


18/60


NotesThe LGO Group

notes

Balance Sheet

Software, development

projects and prepayments for intangible assets

Rarh x ar hargd h i a a

iurrd. sfwar ad dvl rj ha ar larl

dfid ad idifiabl ad whih ar xd gr-

a fuur i rfi ar rgizd a iagibl -

urr a a hirial l auulad arizai

ad a iair l. Arizai i rvidd a raigh-

li bai vr h xd uful lif whih i rall 3-6ar. ohr dvl ar rgizd i h i

a. A aual iair f h iagibl fixd

a udr rui i rfrd.

Brrwig rlad fiaig dvl rj ha

ak a ubaial rid f i l ad wh -

da i r afr 1 Jauar 2009 ar iludd i

h ri.

Licences, patents and other rights

Aquird li, a ad hr righ ar aializd

h bai f h iurrd. th ar arizd vr

h hrr f hir iad uful liv ad h raualdurai.

roperty, plant and equipment

Lad ad buildig ri ail fari, warhu

ad ffi. prr, la ad qui (ppe) ar aurd

a , l ubqu driai ad iair l,

x fr lad, whih i aurd a l iair

l.

Driai i alulad uig h raigh-li hd

alla h f ah a i ridual valu vr i

iad uful lif a fllw:

Buildig 40 ar

allai 10-20 ar

pla ad ahir 5-15 ar

muld 2 ar

uriur, fiig ad qui 3-10 ar

th ridual valu ad uful liv f h a ar rviwd

ad adjud, if arria, a ah bala h da.

Gai ad l dial ar drid b arig

h rd wih h arrig au ad rgizd i h

i a.

c ri aquiii ri ad x dirl

rlad h aquiii uil h i wh h a i rad

fr u. th f lf rud a ri dir

x fr wag ui ad arial. Brrwig

rlad fiaig lf rud a ha ak

a ubaial rid f i l ad wh -

da i r afr 1 Jauar 2009 ar iludd ih ri.

Leases

La f a whr h LeGo Gru ha ubaiall

all rik ad rward f wrhi ar aializd a fia

la udr rr, la ad qui ad driad

vr h iad uful liv f h a, ardig h

rid lid udr h i prr, la ad qui-

. th rrdig fia la liabilii ar rg-

izd i liabilii.

oraig la x ar rgizd i h i a-

a raigh-li bai vr h rid f h la.

Impairment of assets

A ha ar ubj driai ad arizai ar

d fr iair whvr v r hag i iru-

a idia ha h arrig au a b rv-

rabl. agibl a udr dvl ar d fr

iair a ah rrig da.

A iair l i rgizd fr h au b whih h

arrig au f h a xd i rvrabl au.

th rvrabl au i h highr f h fair valu f a

a l x ll ad valu i u. r h ur

f aig iair, a ar grud a h lwlvl fr whih hr ar aral idifiabl ah flw

(ah graig ui).

Non-current assets held for sale

n-urr a hld fr al ar aurd a arrig

au a h i f laifiai a hld fr al r a a

lwr raliabl valu.



19/60


notes

NotesThe LGO Group

Inventories

vri ar aurd a h lwr f ad rali-

abl valu. c i drid uig h fir-i, fir-u (o)

hd.

th f raw arial, uabl ad urhad

gd ri h ivi ri lu dlivr x.

th f fiihd gd ad wrk i rgr ri

h urha ri f arial ad dir labur lu

idir rdui . dir rdui ilud

idir arial ad wag, aia ad driaif la ad ahir, far buildig ad hr qui

a wll a x fr far adiirai ad aag-

.

eceivables

trad rivabl ar iiiall rgizd a fair valu ad

ubqul aurd a arizd l rvii fr

l. prvii fr l ar ad h bai f a idi-

vidual a f h rik rlaig ah rivabl.

quity

eserve for hedge accounting

th rrv fr hdg auig i f h ffiv

ri f gai ad l hdgig iru dig-

ad a ah flw hdg.

eserve for exchange adjustments

th rrv fr xhag adju i f xhag

ra diffr ha ur wh ralaig h frig ub-

idiari fiaial a fr hir fuial urr

i h LeGo Gru rai urr. o dial f

h iv, h rrv fr xhag adju f

ha frig ubidiar i rgizd i h i a.

Dividend distribution

Dividd ar rgizd a a liabili i h rid i whih

h ar add a h Aual Gral mig.

Liabilities

Borrowings

Brrwig ar iiiall rgizd a fair valu, f ra-

ai x iurrd. Brrwig ar ubqul

aurd a arizd . A diffr bw h

rd ad h rdi valu ar rgizd i h

i a vr h rid f h brrwig uig h

ffiv ir hd.

Brrwig ar laifid a urr liabilii ul h LeGoGru ha a udiial righ dfr l f h

liabili fr a la 12 h afr h bala h da.

mployee benefits

Wag, alari, ial uri ribui, aid aual

lav ad ik lav, bu ad -ar l

bfi ar arud i h ar i whih h aiad

rvi ar rdrd b h l f h LeGo Gru.

Whr h LeGo Gru rvid lg-r l b-

fi, h ar auulad ah h rdrig f h

rvi b h l rd.

etirement benefit obligationth LeGo Gru ha a ubr f bh dfid ribui

ad dfid bfi la.

c rgardig dfid ribui la ar rgizd

i h i a i h rid i whih h rlad

l rvi ar dlivrd.

n bligai i r f dfid bfi i la

ar alulad aral fr ah la b iaig h

au f fuur bfi ha l hav ard i

rur fr hir rvi i h urr ad rir rid; ha

bfi i diud dri i r valu, ad h

fair valu f a la a i ddud. Diu ra arbad h ark ild f high quali rra bd

i h ur rd arxiaig h r f h

LeGo Gru i bligai. th alulai ar

rfrd b a qualifid auar uig h prjd Ui

crdi mhd. Wh h bfi f a la ar irad, h

ri f h irad bfi rlaig a rvi b

l i rgizd a a x i h i a-

vr h vig rid. t h x ha h bfi

ar vd, h x i rgizd i h i a-

idial.



20/60


NotesThe LGO Group

notes

Auarial gai ad l ar rgizd i h i a-

i h rid i whih h ur.

n i a ar rgizd h x ha h

LeGo Gru i abl driv fuur i bfi i h

wa f rfud fr h la r rdui f fuur ribu-

i.

rovisions

prvii ar rgizd wh h LeGo Gru idifi

lgal r ruiv bligai a a rul f a vad i i rbabl ha i will lad a uflw f rur

ha a b rliabl iad. hi i, h LeGo

Gru ak h ia bad u a valuai f h

idividual, likl u f h a. a whr

a rliabl ia a b ad, h ar dild a

ig liabilii.

urhr rvii fr rruurig x ar l rg-

izd wh h dii i ad ad aud bfr h

bala h da. prvii ar ad fr fuur ra-

ig l.

prvii ar aurd a h r valu f h iadbligai a h bala h da.

Other liabilities

ohr liabilii ar aurd a arizd ul ifi-

all ad hrwi.

Cash Flow Statementth lidad ah flw a hw ah flw fr

h ar brk dw b raig, ivig ad fiaig

aivii, hag fr h rid i ah ad bak vrdraf

ad ah ad bak vrdraf a h bgiig f h ar.

cah flw fr raig aivii ar alulad idirl

a h rfi fr h ar adjud fr -ah i, fiaial

x aid, i ax aid ad hag i wrkig

aial.

cah flw fr ivig aivii ri a

rlaig aquiii ad dial f aivii, iagibl

a, rr, la ad qui, fixur ad fiig a

wll a fixd a iv. urhrr h ri

ir ad dividd rivd.

cah flw fr fiaig aivii ri rd fr

brrwig, ra f ir-barig db ad dividd

aid harhldr.

cah ad ah quival ri ah ad bak vr-

draf . ha a radil b vrd i ah rdud b

hr-r bak db.



21/60


Financial ratiosiaial rai hav b alulad i arda wih h Guidli ad iaial Rai 2010, iud b h Daih si

f iaial Aal.

Gr argi: Gr rfi x 100

Rvu

oraig argi (Ros): oraig rfi (eBt) x 100Rvu

n rfi argi: n rfi fr h ar x 100

Rvu

Rur qui (Roe): n rfi fr h ar x 100

Avrag qui

Roc : eBtA bfr ial i x 100

Avrag ivd aial

Roc : eBtA afr ial i x 100

Avrag ivd aial

equi rai: equi (il. n-rllig ir) x 100

tal liabilii ad qui

Avrag ivd aial i alulad a rr, la ad qui, ivri ad rivabl xludig ax rivabl

l rvii, xludig rvii rlaig rruurig ad dfrrd ax, ad l hr-r db, xludig rgag

la ad ax. A h a f Roc , rvii rlaig rruurig ar rvr ddud.

NotesThe LGO Group

notes



22/60


Note 2. Significant accounting estimates and judgements

Wh rarig h Aual Rr i i ar ha maag ak a ubr f auig ia ad judg

ha aff h rrd au f a ad liabilii ad h rrd au f rvu ad x.

eia ad judg ud i h driai f rrd rul ar iuul valuad. maag ba h

judg hirial xri ad hr aui ha maag a ar raabl udr h giv ir-

ua. Aual rul a diffr fr h ia udr diffr aui r dii.

th fllwig auig ia ad judg ar h ha maag a b arial fr h Aual Rr:

roperty, lant & quipment

A f iad ridual valu ad uful lif f prr, pla & equi rquir judg. i maaga ha h ia ar raabl.

Inventories

calulai f idir rdui rquir ia ad judg rgardig variu aui. th iivi f h

aur h aui a b igifia. i h a f maag ha h aui ad ia

ad ar raabl.

Note 3. evenue

Rvu ai al f gd ad li i. sal f gd au DKK 15,869 illi (DKK 11,549 illi i 2009),

ad li i au DKK 145 illi (DKK 112 illi i 2009)

Note 4. xpenses by nature

2010 2009

Raw arial ad uabl ud 2,800 1,820

el x ( 6) 2,878 2,500

Driai, arizai ad iair ( 7) 606 429

Li ad ral x 988 694

ohr xral x 3,769 3,316

Total operating expenses and restructuring expenses 11,041 8,759

Note 5, Auditors fees

2010 2009

pwc:

saur audi f h iaial sa 9 8

ohr aura gag - 1

tax aia 5 8

ohr rvi 3 5

17 22

NotesThe LGO Group

(mDKK)

notes


23/60


Note 6. mployee expenses

2010 2009

Wag ad alari 2,599 2,232

pi , dfid bfi la ( 21) 6 10

pi , dfid ribui la 131 110

ohr x ad ial uri x 142 113

2,878 2,465

Classified as:

prdui 937 846

sal ad diribui x 1,196 954

Adiiraiv x 535 475

ohr raig x 210 1902,878 2,465

ludig K maag prl:

salari 25 23

shr-r iiv la 11 10

Lg-r iiv la 10 8

46 41

Including fee to Board of Directors: 3 3

iv la ri a hr-r iiv la bad arl rfra ad a lg-r

iiv la rlad lg-r gal rgardig valu rai.

Average number of full-time employees 8,365 7,286

Note 7. Depreciation, amortization and impairment

2010 2009

Li, a ad hr righ 9 86

sfwar 166 3

Buildig ad iallai 24 34

pla ad ahir 342 250

ohr fixur ad fiig, l ad qui 65 56

606 429

Classified as:

prdui 347 276

sal ad diribui x 59 27

Adiiraiv x 49 40

sial i 150 85

ohr raig x 1 1

606 429

NotesThe LGO Group

(mDKK)

notes


24/60


Note 8. Special items

2010 2009

air 150 85

el rlad x 2 35

Rvral f rvii fr rruurig (4) (25)

ohr (6) 5

142 100

Note 9. esearch and development costs

2010 2009

Rarh ad dvl hargd durig h ar 306 292306 292

Note 10. Financial income

2010 2009

r i fr rlad ari 3 11

r i fr rdi iiui 3 8

ohr ir i 3 -

exhag gai, 12 -

Gai fr drivaiv fiaial iru - 112

21 131

Note 11. Financial expenses

2010 2009

r x rgag la 4 9

r x rlad ari 6 29

r x rdi iiui 9 18

ohr ir x - 2

L fr drivaiv fiaial iru 86 -

exhag l, - 88

105 146

NotesThe LGO Group

(mDKK)

notes


25/60


Note 12. Tax on profit for the year

2010 2009

curr ax rfi fr h ar 1,316 627

Dfrrd ax rfi fr h ar (45) 94

ohr 1 (2)

Valu adju dfrrd ax (13) (37)

Adju f ax rlaig rviu ar, urr ax (62) 10

Adju f ax rlaig rviu ar, dfrrd ax (26) (9)

1,171 683

Income tax expenses are specified as follows:

calulad 25% ax rfi fr h ar bfr i ax 1,222 722

tax ff f:Highr/lwr ax ra i ubidiari 16 (1)

n-axabl i (4) (2)

n-dduibl x 38 17

Dfrrd ax, ff f hag i ax ra (3) -

Adju f ax rlaig rviu ar (88) 1

chagd valuai f dfrrd ax a ad liabili (13) (37)

ohr 3 (17)

1,171 683

effiv ax ra 24% 24%

NotesThe LGO Group

(mDKK)

notes


26/60


NotesThe LGO Group

(mDKK)

notes

Note 13. Intangible assets

Licenses, Development

patents and projects and

other rights Software prepayments Total

c a 1 Jauar 2010 171 38 116 325

exhag ra adju ar-d ra 7 (2) - 5

Addii - - 123 123

Dial - - - -

trafr - 161 (161) -

c a 31 Dbr 2010 178 197 78 453

Arizai ad iair l a 1 Jauar 2010 88 5 - 93Ariza fr h ar 9 16 - 25

air l fr h ar - 150 - 150

Arizai ad iair l a 31 Dbr 2010 97 171 - 268

Carrying amount at 31 December 2010 81 26 78 185

th LeGo Gru ha divrd a hallgig ark iuai ad qul iaird h iagibl fixd a au-

ig DKK 150 illi. aig h valu i u h LeGo Gru ha ud a r-ax diu ra f 13.54%, rflig h

LeGo Gru vrall WAcc.

Licenses, Development

patents and projects and

other rights Software prepayments Totalc a 1 Jauar 2009 4 15 90 109

exhag ra adju ar-d ra - - - -

Addii 167 - 49 216

Dial - - - -

trafr - 23 (23) -

c a 31 Dbr 2009 171 38 116 325

Arizai ad iair l a 1 Jauar 2009 2 2 - 4

Ariza fr h ar 1 3 - 4

air l fr h ar 85 - - 85

Arizai ad iair l a 31 Dbr 2009 88 5 - 93

Carrying amount at 31 December 2009 83 33 116 232


27/60


NotesThe LGO Group

(mDKK)

notes

Note 14. roperty, plant and equipment

Other Fixed assets

fixtures & under con-

Land, fittings, struction

buildings & lant & tools and and pre-

installations machinery equipment payments Total

c a 1 Jauar 2010 1,255 3,195 725 219 5,394

exhag adju ar-d ra 43 1 35 7 86

Addii 86 529 190 272 1,077

Dial (64) (178) (52) - (294)

trafr 109 42 9 (160) -

c a 31 Dbr 2010 1,429 3,589 907 338 6,263

Driai ad iair l a 1 Jauar 2010 556 2,429 479 - 3,464

exhag adju ar-d ra 6 3 18 - 27

Driai fr h ar 24 342 65 - 431

Dial (20) (168) (39) - (227)

Driai ad iair l a 31 Dbr 2010 566 2,606 523 - 3,695

Carrying amount at 31 December 2010 863 983 384 338 2,568

Including assets under finance leases 61 - - - 61

roperty, plant and equipment in general

A bligai rgardig h urha f rr, la ad qui f DKK 58 illi xi a 31 Dbr 2010 (DKK 45 il-li a 31 Dbr 2009).

Assets under finance leases

A udr fia la i f buildig.


28/60


NotesThe LGO Group

(mDKK)

notes

Note 14. roperty, plant and equipment, continued

Other Fixed assets

fixtures & under con-

Land, fittings, struction

buildings & lant & tools and and pre-

installations machinery equipment payments Total

c a 1 Jauar 2009 1,090 2,762 676 78 4,606

exhag adju ar-d ra - (11) (2) - (13)

Addii 9 483 131 419 1,042

Dial (19) (86) (136) - (241)

trafr 175 47 56 (278) -

c a 31 Dbr 2009 1,255 3,195 725 219 5,394

Driai ad iair l a 1 Jauar 2009 541 2,262 537 - 3,340

exhag adju ar-d ra (1) - (1) - (2)

Driai fr h ar 34 250 56 - 340

Dial (18) (83) (113) - (214)

Driai ad iair

l a 31 Dbr 2009 556 2,429 479 - 3,464

Carrying amount at 31 December 2009 699 766 246 219 1,930

Including assets under finance leases 65 - - - 65


29/60


Note 15. Investments in associates

2010 2009

c a 1 Jauar 4 4

c a 31 Dbr 4 4

Valu adju a 1 Jauar (1) (1)

shar f rfi/(l) - -

Valu adju a 31 Dbr (1) (1)

Carrying amount at 31 December 3 3

th LeGo Gru har f rfi fr h ar ad al a (iludig gdwill ad liabilii) f aia, f whih ar ublil lid au :

LGO

Groups share of

Net profit Total Total Total rofit for

Name evenue the year assets liabilities equity quity the year

KABOOKI A/S, Denmark (19.8%) 175 2 43 26 17 3 -

th fiaial ifrai rgardig KABooK A/s i bad ia.

v i aia ri f KABooK A/s, Dark. th LeGo Gru w 19.8% f h har aial, ad i id-

rd hav igifia iflu i KABooK A/s a h LeGo Gru i rrd h Bard f Dirr f KABooK A/s.

th a i hrfr laifid a iv i aia.

Note 16. Inventories

2010 2009

Raw arial ad 121 106

Wrk i rgr 428 383

iihd gd 778 567

1,327 1,056

c f al rgizd i rdui 3,406 2,679

NotesThe LGO Group

notes

(mDKK)


30/60


Note 17. Trade receivables

2010 2009

trad rivabl (gr) 3,466 2,268

prvii fr bad db:

Bala a h bgiig f h ar (140) (194)

exhag adju ar-d ra (7) 2

chag i rvii fr h ar (19) 47

Ralizd l fr h ar 21 5

chag fr h ar rgizd i h i a 2 52

Bala a h d f h ar (145) (140)

trad rivabl () 3,321 2,128

All rad rivabl fall du wihi ar. th ial valu i idrd qual h fair valu f rivabl fallig du

wihi ar fr h bala h da.

th ag diribui f rad rivabl i a fllw:

2010 2009

n vrdu 2,984 1,938

0 - 60 da vrdu 366 212

61 - 120 da vrdu 1 5

121 - 180 da vrdu 5 1

mr ha 180 da vrdu 110 112

3,466 2,268

79% f al rad rivabl ar vrd b iura (64% i 2009) ad hrfr hi ar f h rdi rik i rdud h

rik rlaig h iura ai rd. DKK 721 illi (DKK 826 illi i 2009) rrdig 21% f rad

rivabl (36% i 2009) ar vrd b iura.

th LeGo Gru ha igl igifia rad dbr, r ar h rad rivabl rad i ifi uri. th

LeGo Gru ha fixd rdur fr h driai f h LeGo Gru graig f rdi. th LeGo Gru rik rlaig

rad rivabl i idrd b dra. r r ifrai, 25.

Note 18. Share capital

th har aial i f (DKK):

1 A-har f DKK 1,000 r ulil hrf (2009: 1)

9 B-har f DKK 1,000 r ulil hrf (2009: 9)

10 c-har f DKK 1,000 r ulil hrf (2009: 10)

20 Total shares at 31 December 2010 (2009: 20)

th al ubr f har i 205 (205 i 2009). All iud har ar full aid u.

eah rdiar A-har f DKK 1,000 giv 10 v, whil ah rdiar B-har f DKK 1,000 giv 1 v, ad ah rdiar

c-har f DKK 1,000 giv 1 v. c-har a axiu riv a aual dividd f 8%.

Shareholders that own more than 5% of the share capital:

KRKB A/s, Kldigvj 2, 7190 Billud, Dark

Kldigvj 2, Billud A/s, Kldigvj 2, 7190 Billud, Dark

NotesThe LGO Group

(mDKK)

notes


31/60


32/60


Note 21. ension obligations

Defined contribution plans:

dfid ribui la, h LeGo Gru rgi i h i a h riu a (g a fixd au

r a fixd rag f h alar) h idd iura ai ribl fr h i bligai. o h

i ribui fr dfid ribui la hav b aid, h LeGo Gru ha furhr i bligai ward

urr r a l. th i la i h Daih a ad f h frig ai ar all dfid ri-

bui la. h LeGo Gru, DKK 131 illi (DKK 110 illi i 2009) ha b rgizd i h i a a

rlaig dfid ribui la.

Defined benefit plans:

dfid bfi la, h LeGo Gru i bligd a a rai i bfi. th ajr dfid bfi la i h

Gru ilud l i Gra, h UsA ad h UK. h LeGo Gru, a bligai f DKK 26 illi (DKK 31 illii 2009) ha b rgizd rlaig h LeGo Gru bligai ward urr r a l rig dfid

bfi la. th bligai i alulad afr ddui f h la a. h LeGo Gru, DKK 6 illi (DKK 10 illi i

2009) ha b rgizd i h i a.

n w l will b iludd i h dfid bfi la.

2010 2009

The amounts recognized in the balance sheet are calculated as follows:

pr valu f fudd bligai (109) (97)

air valu f la a 119 114

10 17

pr valu f ufudd bligai (36) (48)

n liabili rgizd i h bala h (26) (31)

of whih iludd a ar f h liabilii (52) (56)

of whih iludd a ar f h a 26 25

The change in present value of defined benefit obligations over the year is as follows:

pr valu a 1 Jauar (145) (123)

exhag adju ar-d ra (3) (17)

trafr la a 8 -

pi rlaig urr fiaial ar (2) (1)

r x (7) (7)

Auarial l/(gai) (8) (5)

Bfi aid 12 8pr valu a 31 Dbr (145) (145)

NotesThe LGO Group

(mDKK)

notes


33/60


Note 21. ension obligations, continued

2010 2009

The change for the year in fair value of plan assets is as follows:

pla a a 1 Jauar 114 96

exhag adju ar-d ra 4 12

trafr fr dfid bfi bligai (8) -

exd rur la a 5 4

Auarial (l)/gai 6 4

elr ribui 2 1

el ribui - -

Bfi aid (4) (3)

pla a a 31 Dbr 119 114

lan assets are specified as follows:

2010 2009

shar 6 5% 5 4%

Db iru 87 73% 78 68%

ohr 26 22% 31 28%

119 100% 114 100%

2010 2009

The amount recognized in the income statement is specified as follows:

pi rlaig urr fiaial ar 2 1

r x 7 7

exd rur la a (5) (4)Auarial l, 2 6

6 10

Classified as:

Adiiraiv x 6 10

6 10

Movements in the net liability recognized in the balance sheet are as follows:

n liabili a 1 Jauar 31 27

exhag adju ar-d ra (2) 7

tal x hargd h i a 6 10

cribui aid (9) (13)

n liabili a 31 Dbr 26 31

The actual return on plan assets amounts to 11 8

NotesThe LGO Group

(mDKK)

notes


34/60


Note 21. ension obligations, continued

th auarial aui alid i h alulai var fr ur ur du lal i ad ial dii.

th avrag aui alid ar ifid a fllw:

2010 2009

Diu ra 3% - 6% 3% - 6%

exd rur la a 4% - 6% 3% - 6%

uur alar ira 2% - 4% 2% - 4%

uur i ira 2% - 4% 1% - 3%

Note 22. Other debt

2010 2009

Wag-rlad aabl ad hr harg 780 679

Db rlad ari 278 183

ia la bligai 62 71

ohr urr liabilii 1,581 1,039

2,701 1,972

Specified as follows:

n-urr 92 71

curr 2,609 1,901

2,701 1,972

Finance lease obligations

th fair valu f bligai rgardig a udr fia la rrd h arrig au. th fair valu i ia-

d qual h r valu f xd fuur ah flw a a ark ir ra fr iilar la.

2010 2009

obligai rgardig fia la ar a fllw:

0-1 ar 3 10

1-5 ar 39 41

> 5 ar 20 20

62 71

Riliai f arrig au ad gr liabili:carrig au f h liabili 62 71

r x arud 3 4

Gr liabili 65 75

n ig la hav b rgizd i x i 2010 r 2009. n f h a udr fia la hav b

ublad.

NotesThe LGO Group

(mDKK)

notes


35/60


NotesThe LGO Group

(mDKK)

notes

Note 23. rovisions

2010 estructuring Other Total

prvii a 1 Jauar 33 87 120

exhag adju ar-d ra 1 1 2

Addii 4 18 22

Ud (9) (4) (13)

Rvrd (16) (37) (53)

prvii a 31 Dbr 13 65 78


n-urr 75

curr 378

2009 estructuring Other Total

prvii a 1 Jauar 66 135 201

exhag adju ar-d ra - 7 7

Addii 12 20 32

Ud (30) (27) (57)

Rvrd (15) (48) (63)

prvii a 31 Dbr 33 87 120


n-urr 20curr 100

120

prvii fr rruurig bligai rla riaril l-dw ad rdui f rdui failii ad rduda r-

gra. th ajri f h bligai i xd rul i ah uflw i h rid 2012-2015.

ohr rvii i f variu f rvii, iludig rvii fr lgal diu. th ajri f hr rvii i

xd b ud wihi h x 2 ar.


36/60


Note 24. Contingent assets, contingent liabilities and other obligations

Contingent liabilities and other obligations

2010 2009

Guara 73 93

oraig la bligai 1,110 709

ohr bligai 7 11

1,190 813

th LeGo Gru la variu ffi, warhu ad la ad ahir udr -allabl raig

la. th la hav varig r, lau ad righ.

th LeGo Gru al la la ad ahir udr allabl raig la.th LeGo Gru i rquird giv variu i f riai f h agr.

La x fr h ar hargd h i a au : 233 225

uur iiu la a udr -allabl raig la ar ifid a fllw:

elated parties

0-1 ar 32 25

1-5 ar - -

> 5 ar - -

32 25

Other0-1 ar 248 163

1-5 ar 544 357

> 5 ar 286 164

1,078 684

suri ha b giv i lad, buildig ad iallai wih a arrig au f DKK 177 illi (DKK 155 illi i 2009)

fr h LeGo Gru rgag la.

th LeGo Gru ha uilid ax l i -Daih juridii i h Daih ji axai uil 31 Dbr 2004.

th dfrrd ax f hi au DKK 102 illi, f whih DKK 17 illi ha b rgizd a a dfrrd ax rvii.

th raiig au f DKK 85 illi i xd b raurd.

NotesThe LGO Group

(mDKK)

notes


37/60


NotesThe LGO Group

notes

Note 25. Financial risks

Credit risk

iaial iru ar rd i wih urari wih a rdi raig f A+/A1 r highr fr sadard & pr r md

vr srvi.

siilarl, h LeGo Gru l u iura ai wih a rdi raig f A-/A3 r highr fr sadard & pr r

md vr srvi. th LeGo Gru d u rdi raig wh hdgig lrii ui.

crdi rik rgardig rad rivabl i dild i 17.

r Bak ad fiaial iiui, l iddl rad ari wih a iiu raig f A ar ad. th LeGo Gru

u h rlad a KRKB v A/s fr la ad di. n iddl raig xi bu igifia rik arrgizd. th axiu rdi rik rrd h arrig au f la grad ad rivabl, f 26. n igifi-

a rik ar rgizd.

th rdi rik f h LeGo Gru ar idrd b lw.

Foreign exchange risk

th LeGo Gru ha igifia iflw i eUR, UsD ad Jpy, whil cZK, HU ad mXn au fr h igifia x-

ur h uflw id.

th LeGo Gru frig xhag rik i aagd rall bad a frig xhag li arvd b h Bard f

Dirr. rward ra ad i ar ud vr urha ad al i frig urri. th frward ra

ar ail laifid a hdgig ad h auig rquir fr hdgig f fuur ah flw.

lad ff rfi bfr ax f urr ira agai DKK a 31 Dbr 2010 whih maag idr rb-

abl ar ifid a fllw:

%-change 2010 2009

:

equi 2% (10) (12)

n rfi fr h ar 2% (2) 7

SD:

equi 10% (256) (103)

n rfi fr h ar 10% 15 (35)

JY:equi 10% (29) (14)

n rfi fr h ar 10% 8 5

CZK:

equi 10% 50 59

n rfi fr h ar 10% (16) (7)

MXN

equi 10% 47 18

n rfi fr h ar 10% 2 6

F

equi 10% 17 16n rfi fr h ar 10% (17) (5)

(mDKK)


38/60


NotesThe LGO Group

(mDKK)

notes

Note 25. Financial risks, continued

Interest rate risk

th LeGo Gru ir ra rik rla ir-barig db ad ir-barig a. th LeGo Gru ir-bar-

ig a i ail f liquid fud. Liquid fud ild ir h hr-r ark. A ira i h ir

lvl f 1.0% fr 2010 wuld hav had a gaiv ia h LeGo Gru rfi bfr ax f arx. DKK 7.8 illi (DKK 8.4

illi i 2009). th LeGo Gru ir ra rik i idrd iigifia ad i xd hav a igifia ia

h LeGo Gru rul.

Other market risk

Electricity derivatives

th LeGo Gru ha rd i lrii drivaiv i rdr hdg ar f h LeGo Gru lrii ui fr

2011-2012. th LeGo Gru d u hdg auig lrii drivaiv. A a qu h rfi bfr axha b affd iivl wih DKK 4.0 illi. A ira / dra i h lrii ri f DKK 0.05 r kWh wuld hav

irad/rdud h i wih DKK 4.0 illi.

Liquidity risk

Liquidi i aagd rall ad i iuall ad. i urd ha, a a giv i, uffii fiaial rur ar

availabl. Bad h fiaial rrv wih bak ad rdi failii availabl i rdi iiui ad fr rlad ari,

hr ar liquidi rbl. th liquidi rik i hrfr igifia. urhrr x liquidi i lad a h ar

a KRKB A/s wh h urar rik i ad b lw.

Capital risk management

Dividd f DKK 1,500 illi ha b aid i 2010 (DKK 1,000 illi i 2009). i xd ha h dividd fr 2010, b aid

i 2011, will au DKK 2,500 illi. th dividd a rfl h rag bhid h aial ruur whr h LeGo

Gru i h raial a ad a urlu liquidi i diribud h par ca KRKB A/s.


39/60


NotesThe LGO Group

notes

Note 26. Financial instruments recognized

th auri rfil f fiaial liabilii i dild ardig agr ad la diribud rid auri. All ir

a ad ra f fiaial a ad liabilii ar bad ra. r a flaig-ra iru-

ar fixd b a f a zr u ir uur. n f h ah flw ar diud.

A 31 Dbr 2010 frward ra hav b alid fr hdgig f ah flw vrig fuur fiaial rid. th hdg-

ig ail rla h LeGo Gru al f gd ad rvi i UsD, eUR, Jpy, GBp ad cAD a wll a urha f

gd i cZK, mXn ad HU. mrvr, ar f h LeGo Gru urha f lrii i hdgd. Bid frward ra,

h LeGo Gru ha a 31 Dbr 2010 ddiad i fr h hdgig f al i UsD ad GBp fr h fiaial ar 2011.

All ra ar xd xir - ad hu aff rul - i h fiaial ar 2011 ad 2012.

th fllwig abl hw h iig f ah flw rlad fiaial liabilii ad hdgig iru.

31 December 2010

Carrying Total

amount Fair value 0-1 year 1-5 years Over 5 years cash flows

Measured at amortized cost

Db rdi iiui 832 832 21 659 237 917

trad aabl 1,518 1,518 1,518 - - 1,518

ohr db 2,429 2,429 2,337 72 20 2,429

4,779 4,779 3,876 731 257 4,864

Derivative financial instruments used for hedging purposescah flw hdg 158 158 158 - - 158

air valu hdg 114 114 114 - - 114

272 272 272 - - 272

Total financial liabilities 5,051 5,051 4,148 731 257 5,136

Measured at amortized cost (loans and receivables)

trad rivabl 3,321 3,321 3,321 - - 3,321

ohr rivabl 511 511 511 - - 511

cah a bak ad i had 802 802 802 - - 802

4,634 4,634 4,634 - - 4,634

Derivative financial instruments used for hedging purposes

cah flw hdg 66 66 66 - - 66

air valu hdg 41 41 38 3 - 41

107 107 104 3 - 107

Total financial assets 4,741 4,741 4,738 3 - 4,741

(mDKK)


40/60


NotesThe LGO Group

(mDKK)

notes

Note 26. Financial instruments recognized, continued

31 December 2009

Carrying Total

amount Fair value 0-1 year 1-5 years Over 5 years cash flows

Measured at amortized cost

Db rdi iiui 837 837 24 695 265 984

trad aabl 1,336 1,336 1,336 - - 1,336

ohr db 1,842 1,842 1,781 41 20 1,842

4,015 4,015 3,141 736 285 4,162


cah flw hdg 38 38 38 - - 38

air valu hdg 92 92 92 - - 92

130 130 130 - - 130

Total financial liabilities 4,145 4,145 3,271 736 285 4,292

Measured at amortized cost (loans and receivables)

trad rivabl 2,128 2,128 2,128 - - 2,128

ohr rivabl 430 430 430 - - 430

cah a bak ad i had 1,630 1,630 1,630 - - 1,630

4,188 4,188 4,188 - - 4,188


cah flw hdg 104 104 104 - - 104

air valu hdg 70 70 70 - - 70

174 174 174 - - 174

Total financial assets 4,362 4,362 4,362 - - 4,362

th LeGo Gru ha brrwd DKK 832 illi, ha ilud db va rgardig h db/qui rai ad lidi rai,

whih a b rdd dad, i a h db va ar fulfilld.


41/60


NotesThe LGO Group

notes

Note 26. Financial instruments recognized, continued

th fllwig abl r h LeGo Gru a ad liabilii aurd a fair valu a 31 Dbr 2010.

- ud ri (uadjud) i aiv ark fr idial a r liabilii (lvl 1)

- u hr ha qud ri iludd wihi lvl 1 ha ar brvabl fr h a r liabli, ihr dirl (ha i, a

ri) r idirl (wha i, drivd fr ri) (lvl 2)

- u fr a r libalii ha ar bad brvabl ark daa (ha i, ubrvabl iu) (lvl 3).

31 December 2010

Level 1 Level 2 Level 3 Total

Assets

iaial a a fair valu hrugh rfi r l- tradig drivaiv - 41 - 41

Drivaiv ud fr hdgig - 66 - 66

Total assets - 107 - 107

Liabilities

iaial liabilii a fair valu hrugh rfi r l

- tradig drivai - 114 - 114

Drivai ud fr hdgig - 158 - 158

Total liabilities - 272 - 272

31 December 2009

Level 1 Level 2 Level 3 Total

Assetsiaial a a fair valu hrugh rfi r l

- tradig drivaiv - 16 - 16

Drivaiv ud fr hdgig - 158 - 158

Total assets - 174 - 174

Liabilities

iaial liabilii a fair valu hrugh rfi r l

- tradig drivai - 92 - 92

Drivai ud fr hdgig - 38 - 38

Total liabilities - 130 - 130

2010 2009Development in hedging reserves

air valu adju a 1 Jauar 49 66

chag i ark valu (47) 5

Hdg ad i h ar (151) 66

Dlivrd ad rgizd i h i a (19) (71)

chag i dfrrd ax 55 (17)

air valu adju a 31 Dbr (113) 49

ecognized in the income statement:

iaial i 19 71

19 71

(mDKK)


42/60


Note 27. Other reversals with no effect on cash flows

2010 2009

Driai, arizai ad iair 606 429

L al f rr, la ad qui 5 17

n v i rvii (42) (81)

iaial i (21) (131)

iaial x 105 146

ohr adju (208) 83

445 463

Note 28. Changes in working capital

2010 2009

vri (271) (186)

trad ad hr rivabl (1,207) (471)

trad ad hr aabl 911 653

(567) (4)

Note 29. Cash and cash equivalents

2010 2009

cah a bak ad i had 802 1,630

802 1,630

NotesThe LGO Group

(mDKK)

notes


43/60


Note 30. elated party transactions

th par f h LeGo Gru i LeGo A/s, a a irrad i Dark, wh har ar wd b KRKB A/s (75%)

ad Kldigvj 2, Billud A/s (25%). th har i KRKB A/s ar whll wd b h Kirk Kriia fail (Billud, Dark).

Rlad ari ar idrd b KABooK A/s, KRKB A/s, ubidiari f KRKB A/s, KRKB AG Gru ad mrli erai-

Gru, i whih h abv-id fail ha igifia ir. n f h rlad ar raai ar urd.

th fllwig raai wr arrid hrugh wih rlad ari:

2010 2009

Transactions with KIKBI A/S

r hargd (3) (28)

R hargd (24) (24)srvi f hargd (2) -

(29) (52)

tal raai wih KRKB A/s (29) (52)

Transactions with associates

purha f rdu (4) (4)

tradark f rivd 6 7

2 3

tal raai wih aia 2 3

Transactions with other related parties

sal f rdu 133 108

r rivd 3 11

srvi f rivd 3 9

Dai rivd 6 -

tradark f rivd 9 8

154 136

R hargd (3) (2)

r hargd (4) (3)

srvi f hargd (32) (33)

tradark f hargd (568) (425)(607) (463)

tal raai wih hr rlad ari (453) (327)

NotesThe LGO Group

notes

(mDKK)


44/60


Note 30. elated party transactions, continued

Rurai K maag prl i dild i 6.

traai wih rlad ari wr arrid u a ar lgh bai.

yar-d bala ariig fr al/urha f gd/rvi:

2010 2009

Balances with KIKBI A/S

Rivabl 11 -

paabl (2) (19)

9 (19)

Balances with other related parties

Rivabl 20 2

paabl (235) (156)

(215) (154)

Loans:

KIKBI

KIKBI A/S Invest A/S

Bala a 1 Jauar 2010 - La iv - -

La advad durig h ar - 3,580

Ra - la iv - (1,625)r hargd - 3

r rivd - (2)

Bala a 31 Dbr 2010 - 1,956


curr - 1,956

n-urr - -

- 1,956

Bala a 1 Jauar 2010 - La brrwig - -

La raid durig h ar - (500)

Ra - la brrwig - 500

r hargd - (3)r aid - 3

Bala a 31 Dbr 2010 - -

Bala a 1 Jauar 2009 (509) 607

La raid durig h ar - 300

Ra 500 (912)

r hargd - 11

r x (18) -

r aid/rivd 27 (6)

Bala a 31 Dbr 2009 - -

th LeGo Gru ha la fr aia.

NotesThe LGO Group

(mDKK)

notes


45/60


Note 2010 2009

Rvu 56 44

Gross profit 56 44

ohr rai x (73) (73)

Operating profit before special items (17) (29)

Dividd fr ubidiari 1,513 2,018

iaial i 2 28 7

iaial x 3 (44) (120)rofit before income tax 1,480 1,876

tax rfi fr h ar 4 12 33

Net profit for the year 1,492 1,909

prd diribui f rfi

Dividd 2,500 1,500

Raid arig (1,008) 409

1,492 1,909

Income Statement 1 January - 31 DecemberANT COMANY

ncome stAtement

(mDKK)


46/60


Note 2010 2009

ASSTS

Non-current assets

pa 1 2

Intangible assets 6 1 2

Lad, buildig ad iallai 6 6

roperty, plant and equipment 5 6 6

v i ubidiari 5,846 5,498

v i aia 3 3

Other non-current assets 8 5,849 5,501

Total non-current assets 5,856 5,509

Current assets

Rivabl fr ubidiari - 558

tax rivabl 4 30

ohr rivabl 8 6

Total current assets 12 594

TOTAL ASSTS 5,868 6,103

Balance Sheet at 31 DecemberANT COMANY

(mDKK)

BALAnce sHeet


47/60


Balance Sheet at 31 DecemberANT COMANY

BALAnce sHeet

Note 2010 2009

QITY AND LIABILITIS

QITY

shar aial 9 20 20

Raid arig 536 1,544

prd dividd 2,500 1,500

Total equity 3,056 3,064

LIABILITIS

Non-current liabilities

Brrwig 10 600 600

Dfrrd ax liabilii 7 23 34Total non-current liabilities 623 634

Current liabilities

Db ubidiari 2,127 2,347

ohr hr-r db 62 58

Total current liabilities 2,189 2,405

Total liabilities 2,812 3,039

TOTAL QITY AND LIABILITIS 5,868 6,103

Contingent liabilities and other obligations 11

(mDKK)


48/60


Statement of Changes in quityANT COMANY

(mDKK)

stAtement o cHAnGes n eUty

Share etained roposed

capital earnings dividend Total

quity at 1 January 2010 20 1,544 1,500 3,064

Dividd rlaig rir ar - - (1,500) (1,500)

n rfi fr h ar - 1,492 - 1,492

prd dividd - (2,500) 2,500 -

quity at 31 December 2010 20 536 2,500 3,056

quity at 1 January 2009 20 1,135 1,000 2,155

Dividd rlaig rir ar - - (1,000) (1,000)

n rfi fr h ar - 1,909 - 1,909

prd dividd - (1,500) 1,500 -

quity at 31 December 2009 20 1,544 1,500 3,064


49/60


NotesANT COMANY

notes

NOT 1. Significant accounting policies

th Aual Rr f LeGo A/s ha b rard i

arda wih h rvii f h Daih iaial sa-

A alig rri f rrig la B.

Income Statement

ecognition of sales and revenues

sal rr h fair valu f h al f gd xludig

valu addd ax ad afr ddui f rvii fr rurd

rdu, rba ad rad diu rlaig h al.

prvii ad arual fr rba ur ar ad fr

h rid i whih h rlad al ar rrdd. Hirial

daa ar radil availabl ad rliabl ad ar ud fr i-

aig h au f h rdui i al.

Rvu ar rgizd wh ralizd r raliabl ad

ard. Rvu ar idrd hav b ard wh

LeGo A/s ha ubaiall alihd wha i u d

b ild h rvu.

Taxes

curr i ax, bad axabl i fr h ar,

i xd ghr wih hag i dfrrd ax fr har.

Dfrrd i ax rar diffr ariig

bw h ax ba f a ad liabilii ad hir ar-

rig au i rvidd i full i h clidad iaial

sa, uig h liabili hd.

th rvii f dfrrd ax rfl h ff f a ax l-

arrid frward . h x i i idrd likl ha

uh i a b uilid agai fuur axabl i. t

h x alulad dfrrd ax i iiv, hi i rgizd

i h bala h a a dfrrd ax a a h xd

raliabl valu.

A hag i dfrrd ax du hag i ax ra ar

rgizd i h i a.

Balance Sheet

Translation policies

ohr bala h i frig urri ar ralad i

Daih krr a h xhag ra a h bala h

da. Ralizd ad uralizd gai ad l ar rgizd

i h i a.

Intangible assets

Aquird a righ ar aializd h bai f h

iurrd. th ar arizd vr h hrr f

hir iad uful liv r h raual durai.

roperty, plant and equipment

Lad ad buildig ri ail fari, warhu

ad ffi. prr, la ad qui (ppe) ar a-

urd a , l ubqu driai ad iair

l, x fr lad, whih i aurd a l iair-

l.

Driai f hr a i alulad uig h raigh-

li hd alla h f ah a i ridual

valu vr i iad uful lif a fllw:

Buildig 40 arallai 10-20 ar

ohr fixur ad fiig, l ad qui 3-10 ar

th ridual valu ad uful liv f h a ar rviwd

ad adjud, if arria, a ah bala h da. th

arrig au f a a i wri dw idial

i rvrabl au if h arrig au f h a i

highr ha i iad rvrabl au.

Gai ad l dial ar drid a h diffr-

bw llig ri ad arrig au ad ar r-

gizd i h i a. Brrwig iurrd a

h rui f h qualifig a ar aializd i hrid i whih h a i ad rad fr u.

c ri aquiii ri ad x dirl

rlad h aquiii uil h i wh h a i

rad fr u. th f lf rud a ri

dir x fr wag ui ad arial. r

rlad fiaig lf rud a i rgizd i

h i a.


50/60


NotesANT COMANY

notes

Investments in subsidiaries and associates

subidiari f h par ca ar rgizd a

l auulad iair l. LeGo A/s rgi

i fr h iv l h x ha LeGo A/s

riv dividd fr h ubidiari.

Aia ar all rri i whih h LeGo Gru xr-

i igifia iflu bu rl, grall hrugh

a harhldig f bw 20% ad 50% f h vig righ.

v i aia ar aud fr b uig h

qui hd f auig ad ar iiiall rgizd a.

eceivables

trad rivabl ar iiiall rgizd a fair valu ad

ubqul aurd a arizd l rvii fr

l. prvii fr l ar ad h bai f a idi-

vidual a f h rik rlaig ah rivabl.

Borrowings

Brrwig ar iiiall rgizd a fair valu, f ra-

ai x iurrd. Brrwig ar ubqul

aurd a arizd . A diffr bw h

rd ad h rdi valu ar rgizd i h

i a vr h rid f h brrwig uig h

ffiv ir hd.

Brrwig ar laifid a urr liabilii ul LeGo A/s

ha a udiial righ dfr l f h liabili fr

a la 12 h afr h bala h da.

Dividend distribution

Dividd diribui fr h ar rd b maag

i dild a a ara qui i. Dividd i rgizd

a a liabili i h rid i whih i i dlard a h Aual

Gral mig.

Other liabilities

ohr liabilii ar aurd a arizd ul ifi-

all ad hrwi.

NOT 1. Significant accounting policies, continued


51/60


NotesANT COMANY

notes

NOT 2. Financial income

2010 2009

r i fr ubidiari 1 -

Uralizd urr gai fr ubidiari - 7

exhag gai, 27 -

28 7

NOT 3. Financial expenses

2010 2009

r x rgag la 9 16

r x rlad ari 3 29r x ubidari 32 75

44 120

NOT 4. Tax on profit for the year

2010 2009

curr ax rfi fr h ar 4 30

Dfrrd ax rfi fr h ar 11 5

Valu adju - 20

Adju f ax rlaig rviu ar, urr ax (3) 6

Adju f ax rlaig rviu ar, dfrrd ax - (28)

12 33

(mDKK)


52/60


NotesANT COMANY

(mDKK)

notes

NOT 5. roperty, plant and equipment

Other fixures

Land, & fittings,

buildings & tools and

installations equipment Total

c a 1 Jauar 2010 6 7 13

Addii - - -

Dial - - -

c a 31 Dbr 2010 6 7 13

Driai ad iair l a 1 Jauar 2010 - 7 7

Driai fr h ar - - -Dial - - -

Driai ad iair l a 31 Dbr 2010 - 7 7

Carrying amount at 31 December 2010 6 - 6

Other fixures

Land, & fittings,

buildings & tools and

installations equipment Total

c a 1 Jauar 2009 6 7 13

Addii - - -

Dial - - -c a 31 Dbr 2009 6 7 13

Driai ad iair l a 1 Jauar 2009 - 7 7

Driai fr h ar - - -

Dial - - -

Driai ad iair l a 31 Dbr 2009 - 7 7

Carrying amount at 31 December 2009 6 - 6

Assets under finance leases

n a hav b rgizd udr fia la.


53/60


NotesANT COMANY

notes

NOT 6. Intangible assets

atents

c a 1 Jauar 2010 4

Addii -

c a 31 Dbr 2010 4

Driai ad iair l a 1 Jauar 2010 2

Driai fr h ar 1

Dial -

Driai ad iair l a 31 Dbr 2010 3


atents

c a 1 Jauar 2009 4

Addii -

c a 31 Dbr 2009 4

Driai ad iair l a 1 Jauar 2009 1

Driai fr h ar 1

Dial -

Driai ad iair l a 31 Dbr 2009 2


(mDKK)


54/60


NotesANT COMANY

(mDKK)

notes

NOT 7. Deferred tax

2010 2009

Dfrrd ax, a 1 Jauar (34) (59)

chag i dfrrd ax 11 25

rovision for deferred tax, net at 31 December (23) (34)


Dfrrd ax a a 31 Dbr - -

prvii fr dfrrd ax a 31 Dbr (23) (34)

(23) (34)

NOT 8. Other non-current assets

Investments Investments

in in

associates subsidiaries

c a 1 Jauar 2010 4 5,498

Addii - 348

c a 31 Dbr 2010 4 5,846

Valu adju a 1 Jauar 2010 (1) -

shar f rfi/(l) fr h ar - -

Valu adju a 31 Dbr 2010 (1) -

Carrying amount at 31 December 2010 3 5,846

Investments Investments

in in

associates subsidiaries

c a 1 Jauar 2009 4 5,303

Addii - 195

c a 31 Dbr 2009 4 5,498

Valu adju a 1 Jauar 2009 (1) -

shar f rfi/(l) fr h ar - -

Valu adju a 31 Dbr 2009 (1) -

Carrying amount at 31 December 2009 3 5,498


55/60


NotesANT COMANY

notes

NOT 9. Share capital

2010 2009

The Companys share capital consists of:

A-har f DKK 1,000 r ulil hrf 1 1

B-har f DKK 1,000 r ulil hrf 9 9

c-har f DKK 1,000 r ulil hrf 10 10

Total shares at 31 December 2010 20 20

thr hav b hag i h har aial durig h la 5 ar.

Shareholders holding more than 5% of the share capital:

KRKB A/s, Kldigvj 2, 7190 Billud, DarkKldigvj 2, Billud A/s, Kldigvj 2, 7190 Billud, Dark

NOT 10. Long-term debt

Due Due

Total debt within 1 year within 5 years

Bak ad hr rdi iiui 600 - 600

600 - 600

NOT 11. Contingent liabilities and other obligations

th ca i jil ad vrall liabl fr ax i ai iludd i h ji axai h.

th ca guara rai bligai f f h ubidiari.

th ca ha uilid ax l i frig ubidiari i h Daih ji axai uil 31 Dbr 2004. th dfrrd ax f

hi au DKK 102 illi, f whih DKK 35 illi ha b rgizd a rvii fr dfrrd ax. th raiig au

f DKK 67 illi i xd b raurd. th ca ha h iraial ji axai udr h w Da-

ih rul ji axai a fr 1 Jauar 2005.

(mDKK)


56/60



57/60


Denmark Associates:

LeGo s A/s KABooK A/s 19.8% (Dark)

LeGo Zoom raial As, 51%

urope (other)

LeGo park Hldig UK Ld. LeGo Lifl raial Ld. (UK)

LeGo ca Liid (UK)LeGo eduai eur Ld., 51% (UK)

LeGo Blgiu .v.LeGo nhrlad B .V.

LeGo svrig ABLeGo nrg A/s

o su LeGo Ab (ilad)LeGo GbH (Gra)

LeGo Hadlgll. GbH (Auria)LeGo s.A.s. (ra)

LeGo s..A. (al)LeGo s.A. (sai)

LeGo Lda. (prugal)LeGo prdui .r.. (czh Rubli)LeGo tradig .r.. (czh Rubli)

LeGo shwiz AGLeGo Hugria Kf.

LeGo maufaurig Kf. (Hugar)LeGo plka s. z...

LeGo Ukrai LLcooo LeGo (Ruia)

LLD shar vrwalug GbH (Gra) LLD shar Gbh & c. KG (Gra)

Americas

LeGo d Brazil Lda.LeGo caada .

LeGo mxi s.A. d c.VAd.d srv. LeGo d c.V. (mxi)LeGo orai d mxi s.A. d c.V. (mxi)

LeGo Ral ea, s.A. d c.V. (mxi)LeGo s . (Us)

LeGo Daa . (Us) Daa ad pi LLc, 51% (Us)

LeGo Brad Rail . (Us)

Asia/Africa/Australia

LeGo Hg Kg Liid

LeGo Auralia p. Ld.LeGo nw Zalad Ld.

LeGo Kra c. Ld.LeGo suh Afria (p.) Ld.

LeGo Jaa Ld.LeGo ca Ld. (Hg Kg)LeGo sigar p. Ld.

owrhi i 100% ul ad hrwi

LeGo A/s i 75% wd b KRKB A/s ad i iludd i h clidad Aual Rr f KRKB A/s.KRKB A/s i h ulia par ca.

GO STCTLGO A/S - AS OF 31 DCMB 2010

LEGOA/S,Denmark

GRoUp stRUctURe


58/60



59/60


60/60

The LGO Group

Aastvej

DK-7190Billund

Denmark

Tel.:+4579506070

www.LGO.com

Progress Report

IntheProgressReportyouwillfinddetailedinformationonthe

progressoftheLEGOGroupsworkwithinenvironmental,socialand

Annual Report

IntheAnnualReportyouwillfinddetailedinformationon

theLEGOGroupsfinancialresultsin2010.

http://www.LGO.com/eng/info/

TheLeGOGrOup

201

Annual Report

TheLeGOGrOup

Progress Report

Innovation

G

R

C.D

K

annual report 2010 uk

Documents