Notes to the accounts
14. Trade and other receivables
| 2008 $m |
2007 $m |
|
|---|---|---|
| Trade receivables by geographic location | ||
| – US | 900.6 | 828.8 |
| – UK | 9.8 | 15.5 |
| 910.4 | 844.3 | |
| Less: Provision for impairment of receivables | (62.2) | (52.2) |
| Trade receivables – net | 848.2 | 792.1 |
| Corporation tax recoverable | 0.1 | 0.2 |
| Other receivables and prepayments | 79.2 | 76.8 |
| Trade and other receivables – current | 927.5 | 869.1 |
| Other receivables – non-current | 34.8 | 29.2 |
| 962.3 | 898.3 |
The directors consider that the carrying amount of trade and other receivables approximates to their fair value, which is estimated as the present value of future cash flows, discounted at the market rate of interest at the balance sheet date. The carrying amount of financial assets represents the maximum credit exposure.
The ageing of trade receivables at the reporting date was:
| 2008 | 2007 | |||
|---|---|---|---|---|
| Gross |
Provision for Impairment |
Gross |
Provision for Impairment |
|
| $m | $m | $m | $m | |
| Not past due | 710.7 | (21.4) | 667.8 | (20.1) |
| Past due 0-90 days | 165.0 | (6.3) | 150.6 | (6.3) |
| More than 90 days | 34.7 | (34.5) | 25.9 | (25.8) |
| 910.4 | (62.2) | 844.3 | (52.2) | |
Provision for impairment of receivables
| Balance at beginning of period $m |
Charged to profit $m |
Utilised(1) $m |
Balance at end of period $m |
|
|---|---|---|---|---|
| 52 weeks ended 28 January 2006 | 40.8 | 81.2 | (75.1) | 46.9 |
| 53 weeks ended 3 February 2007 | 46.9 | 73.1 | (67.8) | 52.2 |
| 52 weeks ended 2 February 2008 | 52.2 | 93.6 | (83.6) | 62.2 |
(1)Including the impact of foreign exchange translation.
The provision for impairment charged to profit relates to receivables due from individual customers, and no individual balance is significant. If the Group believes that a specific balance is irrecoverable, it is written off.