Notes to the accounts
7. Discontinued operations
On 5 May 2007, the Group sold its Aerospace operations to General Electric Company. The Aerospace operations sold comprised the previously reported Aerospace business segment and a US microwave company. The disposal group was treated as a discontinued operation in the 2007 Annual Report and Accounts.
Profit on disposal of operation
|
Year ended |
Year ended |
|---|---|---|
Total consideration |
|
6.1 |
Provisions and disposal costs |
(5.7) |
17.1 |
Provision for settlement loss |
|
3.6 |
Pre-tax (loss)/profit on disposal |
(5.7) |
26.8 |
|
|
|
Cash received from disposal of Aerospace operations |
0.2 |
3.0 |
Disposal costs |
(2.1) |
(9.3) |
Net cash outflow on disposal |
(1.9) |
(6.3) |
Provisions and disposal costs includes exchange gains and losses on disposal provisions.
The £6.1m consideration recognised in the year ended 31 July 2008 arose from the finalisation of the working capital adjustment. The provisions and disposal costs movement for the year ended 31 July 2008 included £4.3m other finance income relating to retirement benefits and £12.7m relating to the reassessment of the carrying value of other assets and liabilities
Financial information for the Aerospace operations after Group eliminations is presented below.
Results from discontinued operations
|
Year ended |
Year ended |
|---|---|---|
(Loss)/profit on disposal |
(5.7) |
26.8 |
Attributable tax charge (note 6) |
(0.2) |
(2.3) |
(Loss)/profit for the period |
(5.9) |
24.5 |
|
|
|
Earnings per share from discontinued operations – pence |
|
|
Basic |
(1.5p) |
6.3p |
Diluted |
(1.5p) |
6.2p |
Cash-flows from discontinued operations
|
Year ended |
Year ended |
|---|---|---|
Profit before taxation (including profit on disposal of Aerospace operations) |
(5.7) |
26.8 |
Profit on disposal of discontinued operations |
5.7 |
(26.8) |
Net cash inflow from operating activities |
|
|
|
|
|
|
Year ended |
Year ended |
Investing activities |
(1.9) |
(6.3) |
|
(1.9) |
(6.3) |