Deutsche Telekom AG - The 2009 financial year

The following table shows the development of allowances on trade receiv- ables: millions of € 2009 2008 Allowances as of January 1 1,023 1,071 Currency translation adjustments (11) (7) Additions (allowances recognized as expense) 676 547 Use (447) (437) Reversal (63) (151) Allowances as of December 31 1,178 1,023 The following table presents expenses for the full write-off of trade receiv- ables as well as income from recoveries on trade receivables written off: millions of € 2009 2008 2007 Expenses for full write-off of receivables 327 424 378 Income from recoveries on receivables written off 39 55 52 All income and expenses relating to allowances and write-offs of trade receivables are reported under selling expenses. 3 Inventories. millions of € Dec. 31, 2009 Dec. 31, 2008 Raw materials and supplies 193 118 Work in process 48 27 Finished goods and merchandise 929 1,147 Advance payments 4 2 1,174 1,294 Of the inventories reported as of December 31, 2009, write-downs of EUR 33 million (2008: EUR 53 million; 2007: EUR 55 million) on the net realizable value were recognized in profit or loss. The carrying amount of inventories recognized as expense amounted to EUR 6,311 million (2008: EUR 6,188 million; 2007: EUR 5,713 million). 4 Non-current assets and disposal groups held for sale. As of December 31, 2009, current assets recognized in the consolidated statement of financial position included EUR 6.5 billion in non-current assets and disposal groups held for sale as well as directly associated liabilities of EUR 1.4 billion. The following table sets out the major classes of assets and liabilities classified as held for sale: millions of € T-Mobile UK Europe operating segment Real estate portfolio Group Headquarters & Shared Services Other Dec. 31, 2009 Current assets 547 – – 547 Trade and other receivables 314 – – 314 Other current assets 233 – – 233 Non-current assets 5,870 55 55 5,980 Intangible assets 3,821 – 26 3,847 Property, plant and equipment 1,608 55 29 1,692 Other non-current assets 441 – – 441 Non-current assets and disposal groups held for sale 6,417 55 55 6,527 Current liabilities 761 – – 761 Trade and other payables 503 – – 503 Other current liabilities 258 – – 258 Non-current liabilities 662 – – 662 Liabilities directly associated with non-current assets and disposal groups held for sale 1,423 – – 1,423 155Consolidated financial statements Notes