4 Operating profit
a Operating profit is arrived at after charging/(crediting):
Depreciation, amortisation and impairment of fixed assets
| |
Group |
| £ million |
2008 |
2007 |
| Owned assets |
362 |
340 |
| Finance leased aircraft |
119 |
116 |
| Hire purchased aircraft |
118 |
153 |
| Other leasehold interests |
62 |
77 |
| Impairment reversals on property, plant and equipment |
|
(2) |
| Amortisation of intangible assets |
31 |
30 |
| Total depreciation, amortisation and impairment expense |
692 |
714 |
Operating lease costs
| |
Group |
| £ million |
2008 |
2007 |
| Minimum lease rentals: |
|
|
| – aircraft |
80 |
90 |
| – property |
119 |
136 |
| Sub-lease rentals received |
(16) |
(16) |
| Net onerous lease provision (release)/arising |
(9) |
1 |
| |
174 |
211 |
Cost of inventories
| |
Group |
| £ million |
2008 |
2007 |
| Cost of inventories recognised as an expense, mainly fuel and other |
2,128 |
2,012 |
| Includes write-down of inventories to net realisable value |
5 |
|
b Exceptional items
| |
Group |
| £ million |
2008 |
2007 |
| Recognised in operating profit: |
|
|
| Employee costs – restructuring costs |
1 |
84 |
| Credit arising on changes to pension scheme |
|
(396) |
| Provision for settlement of competition investigations |
|
350 |
| |
1 |
38 |
During the prior year the Group incurred restructuring costs in relation to organisational changes across the business including costs associated with the reduction in management numbers announced in November 2005.
ˆ back to top
