Dear Sir, With regards to the cash flow, the question mentions that interest paid is capitalized. As per my understanding that now means, that the movement in PPE & Inventory will now be deducted as they be seen as purchase of assets. Therefore, they have added back the 18M but why didnt they add back 7M of the total interest paid?
With regards to free cash flow, they added 27m which is net of pension (33-6), but what i dont understand is that 33m is the contributions to the pension scheme therefore it is an outflow so shouldn’t the net of 27m be deducted? or is it that pension scheme payments should not be considered for FCF