81
REPORT ON THE CONSOLIDATED FINANCIAL STATEMENTS
Additionally, and considering the assumption implied in the preceding paragraph, the Group has conducted a sensitivity analysis of the result of the
impairment test to changes in the following situations:
Scenario 1:
- An increase of 100 basis points in the discount rate.
- Use of a perpetuity growth rate of 0%.
Scenario 2:
- A 1% reduction in the occupancy level.
- A 1% reduction in the average daily rate (ADR).
These sensitivity analysis do not reveal the existence of any impairment in either scenario.
7.- INTANGIBLE ASSETS
The breakdown and movements under this heading during 2015 and 2014 were as follows (in thousands of euros):
Balance at
31/12/2013
Currency
translation
differences
Inclusions/
Allowances Retirements Transfers
(Note 8)
Balance at
31/12/2014
Change in
scope of
consolidation
(see Note
2.5.4)
Currency
translation
differences
Inclusions/
Allowances Retirements Transfers Balance at
31/12/2015
COST
Hotel operating rights
30,548
-
99
-
(38)
30,610 36,660
(6,826)
99
(150)
-
60,393
Rental agreement
premiums
68,430
(4)
-
(757)
-
67,669
-
-
627
-
-
68,296
Concessions, patents
and trademarks
34,662
-
87
(503)
(1,646)
32,600 6,635
(1,110)
106
(129)
-
38,102
Software applications
69,873
(7)
21,592 (4,106)
(383)
86,969
-
(13)
18,481
(243)
-
105,194
203,514
(11)
21,778 (5,366) (2,067) 217,848 43,295
(7,949)
19,313
(522)
-
271,985
CUMULATIVE DEPRECIATION
Hotel operating rights (17,686)
-
(1,221)
(10)
3
(18,914)
-
134
(2,340)
149
13,903 (7,068)
Rental agreement
premiums
(14,019)
4
(924)
260 6,034 (8,645)
-
113
(2,012)
-
(728)
(11,272)
Concessions, patents
and trademarks
(10,215)
-
(556)
483
(5,440) (15,728)
-
36
(794)
28
-
(16,458)
Software applications (65,996)
7
(8,033)
788
(41)
(73,275)
-
105
(9,646)
223 (13,175) (95,768)
(107,916)
11
(10,734)
1,521
556 (116,562)
-
388
(14,792)
400
-
(130,566)
Impairment
(22,982)
-
(464)
141
861
(22,444)
-
-
-
307
-
(22,137)
NET BOOK VALUE
72,616
78,842
119,282
7.1 Hotel operating rights
Additions to the rights of use in the current year in the column of changes in the scope of consolidation amounting to 36.7 million euros from the
purchase of Hoteles Royal.
On 28 July 1994, NH Hoteles, S.A. was granted a right of use on Hotel NH Plaza de Armas in Seville, which is owned by Red Nacional de los
Ferrocarriles Españoles (RENFE), for a thirty-year period commencing on the date the agreement was executed. NH Hoteles, S.A. paid RENFE the
amount of 30.2 million euros in accordance with a payment schedule which concluded in 2014.
The Group has reflected the entire amount agreed upon as the transaction’s price in the “Hotel operating rights” item. In order to correctly accrue
this price, the result of spreading out the cost over the thirty-year term of the agreement was assigned to the consolidated comprehensive profit
and loss statement in accordance with an increasing instalment with a percentage annual growth of 4%.
7.2 Concessions, patents and trademarks
As a result of the entry into the scope of consolidation of Grupo Hoteles Royal, brands operated by the Royal Hotel Group with a useful life of 20
years have been recognised under this heading.
7.3 Software applications
The most significant inclusions in 2015 were in Spain, as a result of the investments made to develop the new website and implement front office
systems of the hotels.
