104 FINANCIAL STATEMENTS NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS HEINEKEN N.V. ANNUAL REPORT 20' 8 15. Intangible assets Brands and customer-related/contract-based intangibles acquired The main brands acquired in 2008 are Fosters, Strongbow and Sagres. The main customer-related and contract-based intangibles acquired are related to customer relationships with pubs or retailers in the UK, Finland and Portugal (constituting either by way of a contractual agreement or by way of non-contractual relations). Furthermore, Fleineken extended its licence agreement with FEMSA Cerveza for 10 years. Under the terms of the agreement Fleineken will be the exclusives importer, marketer and seller of the Femsa beer brands. Impairment tests for cash-generating units containing goodwill Per region the aggregate carrying amounts of goodwill allocated to each cash-generating unit are as follows: In millions of EUR 2008 2007 Western Europe 3,220 94 Central and Eastern Europe (excluding Russia) 1,479 1,251 Russia 104 435 The Americas 356 16 Africa and the Middle East 234 86 5,393 1,882 Goodwill in respect of Western Europe, Central and Eastern Europe (excluding Russia) and the Americas is monitored on a regional basis for the purpose of impairment testing. In respect of operating companies that are less integrated in the other regions and Russia, goodwill is monitored on an individual country basis. The increase in goodwill relates to the newly acquired entities as further explained in note 6. Throughout the year goodwill reduced due to foreign currency losses and the impairment of goodwill related to Fleineken Russia. As explained in note 3b, the accounting treatment for JVs has changed from proportionate consolidation to the equity method and as such the goodwill on CCU is no longer accounted for separately. Consequently, the goodwill is now included in the cost of the joint venture. Goodwill is tested for impairments annually. The recoverable amounts of the cash-generating units are based on value in use calculations. Value-in-use was determined by discounting the future post-tax cash flows generated from the continuing use of the unit using a post-tax discount rate. The key assumptions used for the value-in-use calculations are as follows: Cash flows were projected based on actual operating results and the three-year business plan. Cash flows for a further seven-year period were extrapolated using expected annual per country volume growth rates, which are based on external sources. Management believes that this forecasted period is justified due to the long-term nature of the beer business and past experiences. The beer price growth per year after the first three-year period is assumed to be at specific per country expected annual long-term inflation, based on external sources. Cash flows after the first 10-year period were extrapolated using expected annual long-term inflation, based on external sources, in order to calculate the terminal recoverable amount. A per cash-generating unit-specific post-tax Weighted Average Cost of Capital (WACC) was applied in determining the recoverable amount of the units. The WACCs used are presented in the table below, accompanied by the expected volume growth rates and the expected long-term inflation:

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