Note 16 Tangible fixed assets

Group 2017, MSEK Buildings and land Machinery and equipment Construction in progress Total
Opening acquisition value  2,090 8,062 137 10,289
Purchases 10 1,171 293 1,474
Purchases through acquired companies 4 29 33
Sales/disposals -18 -385 -403
Sales via sold company -101 -101
Reclassifications 1) 756 54 -110 700
Exchange rate differences  7 -52 -45
Closing accumulated acquisition value 2,849  8,778 320 11,947
Opening depreciation -782 -5,212  -5,994
Accumulated depreciation in acquired companies -6 -6
Sales/disposals 14 342 356
Sales via sold company 80 80
Depreciation -102 -757 -859
Reclassifications 1) -40 -40
Exchange rate differences 44 44
Closing accumulated depreciation -910 -5,509  -6,419
Opening write-downs -2 -16  – -18
Write-downs 2) -2 -2
Closing accumulated write-downs  -4 -16 -20
Closing recognized value 1,935 3,253 320 5,508

 

Group 2016, MSEK Buildings and land Machinery and equipment Construction in progress Total
Opening acquisition value 2,009 7,205 72 9,286
Purchases  30  966  112  1,108
Purchases through acquired companies  112  180  292
Sales/disposals  -67  -437  -504
Sales via sold company  -3  -3
Reclassifications  -4  56  -48  4
Exchange rate differences  10  95  1  106
Closing accumulated acquisition value 2,090 8,062 137 10,289
Opening depreciation -774 -4,834 -5,608
Accumulated depreciation in acquired companies  -30  -30
Sales/disposals  60  382  442
Sales via sold company  1  1
Depreciation  -74  -678  -752
Reclassifications  9  7  16
Exchange rate differences  -3  -60  -63
Closing accumulated depreciation -782 -5,212 -5,994
Opening write-downs -2 -22 -24
Sales/disposals  6  6
Closing accumulated write-downs -2 -16 -18
Closing recognized value 1,306 2,834 137 4,277

 

1) After a revision of Peab’s property portfolio it was decided that some property previously reported as project and development property, i.e. inventory properties, will instead be classified as operations property, in the case where there is no plan to divest the property and it is expected to remain in the Group for the foreseeable future. For this reason, as of 1 January 2017 properties for a total recorded value of SEK 619 million have been reclassified as operations property.

 

2) Write-downs are reported in the following line of the income statement:

MSEK 2017  2016
Production costs  -2
Total  -2

 

Machinery and equipment
Parent company, MSEK 2017 2016
Opening acquisition value  5 5
Closing accumulated acquisition value 5 5
Opening depreciation -4 -4
Closing accumulated depreciation -4 -4
Closing recognized value 1 1

Group financial leasing

Companies in the Group lease vehicles, construction machinery and other production equipment through many different leasing agreements. The reported value related to Group financial leasing amounted to SEK 598 million (643). When the leasing agreements terminate Peab normally has a liability to buy equipment at its residual value. The leased assets are owned by the lessors.