3.9 Research and development
All internal research costs are expensed as incurred. Internal development expenditure is capitalized only if it meets the recognition criteria of IAS 38 Intangible Assets.
3.10 Impairment of non-financial assets
At each reporting date, the Group reviews the carrying amounts of its intangible assets, goodwill, property, plant and equipment and investments in associates to determine whether there is any indication of impairment.
3.11 Restructuring expenses, other income and expenses
The expenses made by the Group in order to be better positioned to face the economic environment in which it operates are presented in the income statement as “restructuring expenses”.
3.12 Income taxes
The tax expense for the period comprises current and deferred income taxes. Tax expense is recognized in the income statement except to the extent that it relates to items recognized in other comprehensive income or directly in equity.
3.13 Government grants
Grants from the government are recognized at their fair value where there is a reasonable assurance that the grant will be received, and the Group will comply with all attached conditions.
3.14 Intangible assets
Patents, licenses, trademarks and other intangible assets (collectively referred to as “intangible assets”) are shown at historical cost. Intangible assets acquired in a business combination are recognized at fair value at the acquisition date.
Goodwill arises on the acquisition of subsidiaries and associates and represents the excess of the consideration transferred over the Group’s interest in the net fair value of the net identifiable assets, liabilities and contingent liabilities of
3.16 Property, plant and equipment
All property, plant and equipment are carried at cost less accumulated depreciation and impairment losses except for property, plant and equipment under construction, which is carried at cost less accumulated impairment losses.
The Group leases various properties, equipment and cars and the rental contracts are typically made for a fixed, short or long term period. Lease terms are negotiated on an individual basis and contain a wide range of different terms and conditions.
3.18 Financial assets: investments
The Group classifies its financial assets in the following measurement categories: those to be measured subsequently at fair value through profit or loss (FVPL), those to be measured subsequently at fair value through other comprehensive income