NOTES TO THE INCOME STATEMENT

1. Business segments
The Group’s operational activities are the responsibility of the Group’s CEO assisted by the Group Management Team. The division into business segments is based on the reports used by the Group Management Team for the allocation of resources and assessment of performance.
The Group Management Team monitors business performance by geographical area. The geographical segments monitored are Finland, Sweden, Denmark and the Baltics.
All the geographical segments manufacture, sell and market meat products, processed meat products and convenient foods.
The assets and liabilities of the segments are items that are either directly or fairly allocated to the business of the relevant segment. Segment assets include tangible and intangible assets, shares in associates, inventories and non-interest bearing receivables. Segment liabilities include current non-interest bearing liabilities. Unallocated items include financial and tax items and items common to the entire Group.
Year 2016 Swedish operations Finnish operations Danish
operations
Baltic
operations
Business
segments,
total
Group
adminis-
tration
Elimina-
tions
Un-
allocated
Group
total
INCOME STATEMENT INFORMATION
External sales 778.2 790.7 149.5 154.5 1 872.9 - - - 1 872.9
Internal sales 26.1 15.8 23.7 6.8 72.4 - -72.4 - 0.0
Net sales 804.4 806.5 173.2 161.3 1 945.3 - -72.4 - 1 872.9
Segment EBIT 12.9 14.6 -9.5 6.4 24.4 -14.7 - - 9.7
Unallocated items - - - - - - - - -
EBIT 12.9 14.6 -9.5 6.4 24.4 -14.7 - - 9.7
Share of associates' results -0.5 0.4 - - -0.1 - - - -0.1
Financial income and expenses -8.7 -8.7
Income taxes -4.4 -4.4
Result for the period, continuing operations -3.6
BALANCE SHEET INFORMATION
Segment assets 240.5 346.0 84.2 137.2 807.9 47.9 -64.7 - 791.1
Shares in associates 4.3 14.0 3.7 - 22.0 0.1 - - 22.2
Unallocated assets - - - - - - - 41.5 41.5
Total assets 244.8 360.1 87.9 137.2 830.0 48.0 -64.7 41.5 854.8
Segment liabilities 100.0 155.3 17.9 19.7 293.0 10.2 -33.7 - 269.4
Unallocated liabilities - - - - - - - 175.7 175.7
Total liabilities 100.0 155.3 17.9 19.7 293.0 10.2 -33.7 175.7 445.1
OTHER INFORMATION
Sales, goods 777.5 786.0 149.5 154.3 1 867.3 - - - 1 867.3
Sales, services 0.7 4.7 - 0.2 5.6 - - - 5.6
Investments 19.8 60.3 3.1 10.8 94.0 3.6 - - 97.6
Depreciation and amortisation -11.3 -24.6 -9.4 -8.9 -54.1 -0.4 - - -54.6
Impairment -0.4 - - - -0.4 - - - -0.4
Goodwill 31.4 19.8 3.6 22.2 77.0 - - - 77.0
Cash flow before debt service 8.2 25.9 -0.8 6.7 40.1 -16.4 - - 23.7
Cash flow before debt service reconciliation Group total
Cash flow from operating activities 70.9
Financial items (-) 6.9
Cash flow from investing activities -53.9
Loan receivables Borrowings and repayments (-) -0.2
Cash flow before debt service 23.7
Year 2015 Swedish operations Finnish operations Danish operations Baltic operations Business segments, total Group adminis-tration Elimina-tions Un-allocated Group total
INCOME STATEMENT INFORMATION
External sales 813.5 792.4 145.0 166.3 1 917.1 - - - 1 917.1
Internal sales 28.4 9.2 30.9 7.4 76.0 - -76.0 - 0.0
Net sales 841.9 801.6 175.9 173.6 1 993.1 - -76.0 - 1 917.1
Segment EBIT 21.1 4.9 -9.3 5.4 22.1 -12.5 - - 9.6
Unallocated items - - - - - - - - -
EBIT 21.1 4.9 -9.3 5.4 22.1 -12.5 - - 9.6
Share of associates' results 0.1 0.4 1.2 - 1.7 - - - 1.7
Financial income and expenses -9.1 -9.1
Income taxes -0.3 -0.3
Result for the period, continuing operations 1.9
BALANCE SHEET INFORMATION
Segment assets 244.0 324.0 93.3 142.2 803.5 18.1 -55.9 - 765.7
Shares in associates 4.9 13.7 4.5 - 23.2 0.1 - - 23.3
Unallocated assets - - - - - - - 48.3 48.3
Total assets 248.9 337.7 97.8 142.2 826.6 18.3 -55.9 48.3 837.3
Segment liabilities 93.5 87.7 18.4 19.2 218.8 7.9 -7.6 - 219.2
Unallocated liabilities - - - - - - - 192.4 192.4
Total liabilities 93.5 87.7 18.4 19.2 218.8 7.9 -7.6 192.4 411.5
OTHER INFORMATION
Sales, goods 812.8 786.0 145.0 166.0 1 909.7 - - - 1 909.7
Sales, services 0.7 6.4 - 0.2 7.3 - - - 7.3
Investments 13.7 18.2 5.4 10.6 47.9 1.7 - - 49.6
Depreciation and amortisation -12.2 -22.3 -9.5 -8.9 -52.9 -0.4 - - -53.3
Impairment - -11.4 - - -11.4 - - - -11.4
Goodwill 32.6 19.8 3.6 22.2 78.2 - - - 78.2
Cash flow before debt service 20.4 16.0 -2.1 8.0 42.2 -10.0 - - 32.2
Cash flow before debt service reconciliation to Group total
Cash flow from operating activities 66.8
Financial items (-) 8.5
Cash flow from investing activities -41.8
Loan receivables Borrowings and repayments (-) -1.3
Cash flow before debt service 32.2