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Annual report and accounts 2005

22 Provisions

Rolls-Royce
  At
December 31,
2004
£m
Exchange
adjustments
£m
Unused
amounts
reversed
£m
Charged to
income
statement
£m
Utilised
£m
At
December 31,
2005
£m
Warranty/guarantees 171 1 (10) 46 (46) 162
Contract loss 48 (3) 9 (11) 43
Customer financing 92 (3) (1) 16 (14) 90
Insurance 38 1 (1) 38
Restructuring 16 5 (12) 9
Other 28 1 (3) 3 (10) 19
  393 (1) (17) 801 (94) 361
  1. Includes £5m for amounts discounted.
Analysed as:
  At December 31, 2005
£m
At December 31, 2004
£m
Current liabilities 138 173
Non-current liabilities 223 220
  361 393

Warranty provisions primarily relate to products sold and generally cover a period of up to three years.

Provisions for contract loss and restructuring are generally expected to be utilised within one year.

Customer financing provisions cover guarantees provided for asset values and/or financing as described in note 30. Timing of utilisation is uncertain.

Insurance provisions relate to the Group's captive insurance business with timing of utilisation being uncertain.

Other provisions comprise a number of liabilities with varying expected utilisation rates.