Project development costs
Company – unconsolidated Subsidiaries Total*
2007 6,425.48 80.40% 1,566.37 19.60% 7,991.85 100.00%
Note * Project development cost in consolidated financial statements as of 31 December 2006 and 2008 • The company’s project development costs (unconsolidated) changed slightly between 2006 and 2007, given the correlation between values of project development and transfer. The costs increased Bt659.67 million in 2008 as the company developed and expanded 4 projects. Project development costs in 2008 amounted to Bt7,085.15 million, Bt75.54 million of which was net allowance for loss on diminution in value of projects booked as required by accounting standard when accounting cost exceeds independent appraisers’ evaluation price. • Project development costs of the company’s subsidiaries were as follows: • Estate Perfect Co., Ltd. had two projects under development. The costs in 2008 were Bt1,333.99 million, Bt9.106 million were net allowance for loss on diminution in value of projects. • Bright Development Bangkok Co., Ltd. had 1 project under development. The costs in 2008 amounted to Bt510.39 million. • Centrepoint Shopping Mall Co., Ltd had project development costs of Bt1.55 million in 2008.
Net land bank
Company – unconsolidated Subsidiaries Total *
2008 1,585.30 85.21% 275.07 14.79 1,860.37 100.00%
2007 2,979.84 100.00% - - 2,979.84 100.00%
(Unit : Million Baht) 2006 3,042.35 100.00% - - 3,042.35 100.00%
Note * Net land bank mentioned in financial statements at 31 December 2006 and 208 •
72
2008 7,085.15 79.33% 1,845.93 20.67% 8,931.08 100.00%
(Unit : Million Baht) 2006 6,531.99 81.48% 1,484.20 18.52% 8,016.19 100.00%
Annual Report 2008
The company’s and subsidiaries’ net land held for development at the end of 2006, 2007 and 2008 had value of Bt3,042.35 million, Bt2,979.84 million and Bt1,860.37 million, respectively. The costs incorporated land costs, land development costs, construction costs, capitalized interest, less transferred to costs of sales, land transferred to settle debts under rehabilitation plan and allowance for loss on depreciation of land held for development. The company and subsidiaries recorded allowance for loss on depreciation of land held for development amounting to Bt127.35 million during 2006 to 2007 and Bt103.99 million in 2008. Starting from 2007, value of land held for development has been fallen as the company develops projects on the land and reduces purchases of new land plots. The company and subsidiaries will consider reverting land bank to book as project development cost only when the development starts - for example, when the land is being cleared or when development plan is plotted.