11 – Noncurrent Assets

Development of intangible assets and property, plant and equipment H1 (Million €)

 

Intangible assets

Property, plant and equipment

 

2021

2020

2021

2020

Cost

 

 

 

 

As of January 1

17,241

17,555

66,015

65,508

Additions

28

805

1,348

1,985

Disposals

–107

–31

–672

–418

Transfers

4

–55

–4

35

Currency effects

297

–120

909

–477

As of June 30

17,463

18,154

67,596

66,633

 

 

 

 

 

Accumulated depreciation and amortization

 

 

 

 

As of January 1

4,096

3,030

46,368

43,716

Additions

306

340

1,442

1,643

Disposals

–81

–19

–595

–372

Transfers

9

–57

–3

–2

Currency effects

65

–14

574

–235

As of June 30

4,395

3,280

47,786

44,750

Net carrying amount as of June 30

13,068

14,874

19,810

21,883

Additions to property, plant and equipment in the first half of 2021 were mainly due to investment projects such as the establishment of a new Verbund site in Zhanjiang, China, and the construction and expansion of the ethylene oxide and polyethylene oxide production plants in Antwerp, Belgium, and in Ludwigshafen, Germany. Furthermore, they included construction and expansion projects as well as modernization measures, primarily at the sites in Ludwigshafen, Germany; Antwerp, Belgium; Shanghai, China; Geismar, Louisiana; and Freeport, Texas.

Disposals of property, plant and equipment in the first half of 2021 resulted primarily from the sale of a production site in Kankakee, Illinois, and the disposal of the share in the condensate splitter in Port Arthur, Texas.

In addition to scheduled depreciation, accumulated depreciation on property, plant and equipment included, in particular, impairments in connection with a plant closure in Freeport, Texas.

Currency effects in the first half of 2021 resulted largely from appreciation of the U.S. dollar against the euro.

Development of investments accounted for using the equity method H1 (Million €)

 

Integral

Non-integral

Total

 

2021

2020

2021

2020

2021

2020

As of January 1

1,878

1,885

10,874

13,123

12,752

15,008

Proportional income after taxes and other adjustments to income and expenses

321

34

73

–941

394

–907

Proportional changes of other comprehensive income

40

–30

29

–132

69

–162

Total comprehensive income

361

4

102

–1,073

463

–1,069

Changes in the scope of consolidation

Additions

12

12

Disposals

–6

–5

–11

–6

–16

Transfers

–116

–123

–488

–57

–604

–180

Net carrying amount as of June 30

2,129

1,761

10,488

11,982

12,617

13,743

Proportional income after taxes and other adjustments to income and expenses improved by a total of €1,301 million, due mainly to the improved results of Wintershall Dea GmbH, Kassel/Hamburg, Germany; BASF-YPC Company Ltd., Nanjing, China; and Heesung Catalysts, Seoul, South Korea.

Proportional changes of other comprehensive income included income and expense recognized directly in equity and related primarily to currency effects of the shareholdings in Wintershall Dea GmbH and BASF-YPC Company Ltd.

Additions to integral investments accounted for using the equity method related to the shareholding in Southeast Texas Pipelines LLC, Wilmington, Delaware.

Disposals in the first half of 2021 included the capital decrease at Yara Freeport LLC, Wilmington, Delaware.

Transfers in the first half of 2021 amounted to –€604 million and mainly included dividend distributions, particularly from Wintershall Dea GmbH, BASF-YPC Company Ltd., and Heesung Catalysts Corporation.

Other financial assets (Million €)

 

June 30, 2021

Dec. 31, 2020

June 30, 2020

Other shareholdings

478

533

506

Long-term securities

55

49

122

Other financial assets

533

582

628