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4.10 Intangible assets
An intangible asset is an identifiable non-monetary asset which has no physical substance held for use in
the production or supply of goods or services, for rental to others, or for administrative purposes.
Based on IAS 8 and IFRIC 1 which has been early adopted in 007, Company’s intangible assets consist
of Service Concession Arrangement, trademarks, licences and computer software (Refer further to .1.a)
and .4)
The Service Concession Arrangement is the right that has been granted by the Greek State to the Company
for the purpose of the finance, construction, operation and development of the Athens International Airport.
This intangible asset comprises the fair value of acquiring the Service Concession and it has a useful life
equal to the duration of the concession arrangement following the completion of the construction phase.
Amortisation is calculated using the straight-line method to allocate the cost of the right over the duration
of the Service Concession Arrangement which is approximately 5 years. Any subsequent costs incurred
in maintaining the service ability of the infrastructure are expenses as incurred unless such costs relate to
major upgrades which increase the income generating ability of the infrastructure.
AIA has contractual obligations it must fulfil as a condition of its license (a) to maintain the infrastructure
to a specified level of serviceability or (b) to restore the infrastructure to a specified condition before it is
handed over to the Greek State at the end of the service arrangement, 11th of June 06. Major overhaul
for roads, runways, taxiways and airfield lighting equipment was calculated based on current estimations
as at €47.959.604. For annual provisions that concern these restoration expenses refer to note 4.4.
Trademarks and licences are shown at historical cost and have a finite useful life. Trademarks and licenses
are carried at cost less accumulated amortisation which is calculated using the straight-line method to
allocate the cost over their estimated useful lives.
Computer software licences are capitalised on the basis of the costs incurred to acquire and bring to use
the specific software and have a useful life of to 4 years. Costs associated with developing or maintaining
computer software programmes are recognised as an expense as incurred. Costs that are directly associated
with the development of identifiable and unique software products controlled by the Company, and generate
economic benefits, are recognised as intangible assets.
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An intangible asset is an identifiable non-monetary asset which has no physical substance held for use in
the production or supply of goods or services, for rental to others, or for administrative purposes.
Based on IAS 8 and IFRIC 1 which has been early adopted in 007, Company’s intangible assets consist
of Service Concession Arrangement, trademarks, licences and computer software (Refer further to .1.a)
and .4)
The Service Concession Arrangement is the right that has been granted by the Greek State to the Company
for the purpose of the finance, construction, operation and development of the Athens International Airport.
This intangible asset comprises the fair value of acquiring the Service Concession and it has a useful life
equal to the duration of the concession arrangement following the completion of the construction phase.
Amortisation is calculated using the straight-line method to allocate the cost of the right over the duration
of the Service Concession Arrangement which is approximately 5 years. Any subsequent costs incurred
in maintaining the service ability of the infrastructure are expenses as incurred unless such costs relate to
major upgrades which increase the income generating ability of the infrastructure.
AIA has contractual obligations it must fulfil as a condition of its license (a) to maintain the infrastructure
to a specified level of serviceability or (b) to restore the infrastructure to a specified condition before it is
handed over to the Greek State at the end of the service arrangement, 11th of June 06. Major overhaul
for roads, runways, taxiways and airfield lighting equipment was calculated based on current estimations
as at €47.959.604. For annual provisions that concern these restoration expenses refer to note 4.4.
Trademarks and licences are shown at historical cost and have a finite useful life. Trademarks and licenses
are carried at cost less accumulated amortisation which is calculated using the straight-line method to
allocate the cost over their estimated useful lives.
Computer software licences are capitalised on the basis of the costs incurred to acquire and bring to use
the specific software and have a useful life of to 4 years. Costs associated with developing or maintaining
computer software programmes are recognised as an expense as incurred. Costs that are directly associated
with the development of identifiable and unique software products controlled by the Company, and generate
economic benefits, are recognised as intangible assets.
45
