Notes to the Consolidated Financial Statements  Cardno Limited and its Controlled Entities for the year ended 30 June 2010 2010  $’000  2009  $’000  12. PROPERTY, PLANT & EQUIPMENT CONTINUED (a) Movements in carrying amounts continued Motor vehicles & field lab equipment – under lease Carrying amount at the beginning of the year  3,083 2,184 Additions 925 1,977 Amortisation expense  (1,156) (1,082) Foreign exchange  (12) 33 Transfer between classes  (103) (29) Carrying amount at the end of the year  2,737 3,083 Leasehold improvements – under lease  Carrying amount at the beginning of the year  311 1,007 Increase through merger acquisitions  - 19 Additions  Disposals  15 (7) 19  -  Amortisation expense  (112) (270) Transfer between classes  (52) (464) Carrying amount at the end of the year  155 311 Property – at fair value  Carrying amount at the beginning of the year  163 11 Additions  Disposals  - (151) 150  -  Foreign exchange  - 2 Carrying amount at the end of the year  12 163 Total Property, Plant & Equipment  Carrying amount at the beginning of the year  27,014 22,026 Additions  Increase through merger acquisitions  4,065  7,363  12,565  3,224  Disposals (731) (2,020) Depreciation & amortisation expense  (8,104) (9,930) Transfer between classes  - - Foreign exchange  (399) 1,149 Carrying amount at the end of the year  29,208 27,014 13. DEFERRED TAX ASSETS & LIABILITIES Recognised deferred tax assets and liabilities  Deferred tax assets and liabilities are attributable to the following:  Assets  Accruals 2,193 1,719 Provisions 10,034 8,176 Carried forward tax losses  482 932 Lease timing  404 326 Property, plant and equipment  88 393 Change in tax rate (NZ)  9 - Discretionary reserve 342 - Capitalised software  340 - Other 10 446 Total deferred tax assets  13,902 11,992 Set-off of deferred tax liabilities  (10,351) (9,882) Net deferred tax assets  3,551 2,110 Page 44 of 80 