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19. Investments in associates

Changes in the carrying amounts of the Group’s interests in associates included at equity were as follows:

Changes in Carrying Amounts of Investments in Associates	[Table 4.51]
	2008	2009
	€ million	€ million
Carrying amounts, January 1	484	450
Acquisitions	-	-
Other additions	14	1
Divestitures	-	-
Miscellaneous retirements	(15)	-
Equity-method loss after taxes	(47)	(48)
Exchange differences	14	(8)
Carrying amounts, December 31	450	395

These interests relate exclusively to the MaterialScience subgroup, which holds them for strategic reasons.

In 2000, Bayer acquired the polyols business and parts of the propylene oxide (PO) production operations of Lyondell Chemicals with the objective of ensuring access to patented technologies and safeguarding the long-term supply of PO, a starting product for polyurethane, at reasonable prices. As part of this strategy, two joint ventures have been established to produce PO (PO JV Delaware, United States, Bayer’s interest 41%, and Lyondell Bayer Manufacturing Maasvlakte VOF, Netherlands, Bayer’s interest 50%). The production facilities of both companies are operated by Lyondell. Bayer benefits from fixed long-term supply quotas/volumes of PO based on fixed price components.

The following tables present a summary of the aggregated items of the income statements and statements of financial position of the associates included at equity in the consolidated financial statements of the Bayer Group.

Aggregated Income Statement Data of Associates Included at Equity	[Table 4.52]
	2008	2009
	€ million	€ million
Sales	919	648
Gross profit	(25)	(27)
Net loss	(95)	(95)
Share of pre-tax loss	(47)	(48)
Pre-tax loss from interests in associates included at equity	(47)	(48)
Pre-tax loss upon derecognition of other interests	(15)	-
Pre-tax loss from interests in associates included at equity (equity-method loss)	(62)	(48)

Aggregated Data from the Statements of Financial Position of Associates Included at Equity	[Table 4.53]
	Dec. 31, 2008	Dec. 31, 2009
	€ million	€ million
Noncurrent assets	944	863
Current assets	238	193
Noncurrent liabilities	13	10
Current liabilities	178	171
Equity	991	875
Share of equity	430	377
Other	20	18
Carrying amount of associates included at equity	450	395

The item “other” mainly comprises differences arising from adjustments of data to Bayer’s uniform accounting policies, purchase price allocations and their amortization in income, and impairment losses.