Notes to the accounts

14 Investments accounted for using the equity method

	2007 £m	2006 £m
Investments in associated companies
At start of period	14.0
Acquisitions		13.8
Other movements		2.3
Share of results after tax	(0.5)	(1.1)
Dilution of interest	(1.2)
Foreign exchange adjustment	(0.3)	(1.0)
At end of period	12.0	14.0

Additions during 2006 comprised the Group’s 43% interest in Cross Match Technologies, Inc, which was acquired in exchange for the Group’s interest in Heimann Biometric Systems GmbH.

	Period ended 31 July 2007 £m	Period ended 5 August 2006 £m
Group share of results of associated companies
Revenue	25.3	23.7
Operating costs and other income	(25.0)	(24.0)
Profit/(loss) before taxation	0.3	(0.3)
Taxation	(0.8)	(0.8)
Share of post-tax result from associated companies	(0.5)	(1.1)

Net assets and liabilities of associated companies

	2007 £m	2006 £m
Non-current assets	9.9	42.9
Current assets	36.9	32.5
Total assets	46.8	75.4
Non-current liabilities	(5.0)	(4.2)
Current liabilities	(16.5)	(13.6)
Total liabilities	(21.5)	(17.8)
Net assets	25.3	57.6

The above table principally represents the assets and liabilities of Cross Match Technologies, Inc. The Group share of those assets and liabilities attributable to Smiths Group is 37% (2006: 43%).

The dilution of the interest in Cross Match Technologies, Inc. resulted from warrants and options being exercised in the period.

Smiths Group divisions:
Smiths Detection, Smiths Medical, Smiths Specialty Engineering