COMBINED FINANCIAL STATEMENTS > NOTES TO THE COMBINED FINANCIAL STATEMENTS REED ELSEVIER ANNUAL REPORTS & FINANCIAL STATEMENTS 2003 67 Deferred Property taxation lease liabilities obligations Total £m £m £m At 1 January 2003 92 95 187 Transfers (16) – (16) Provided 27 – 27 Utilised (4) (11) (15) Exchange translation differences (6) (9) (15) At 31 December 2003 93 75 168 Deferred Property taxation lease liabilities obligations Total € m € m € m At 1 January 2003 141 145 286 Transfers (23) – (23) Provided 39 – 39 Utilised (6) (16) (22) Exchange translation differences (19) (22) (41) At 31 December 2003 132 107 239 The provision for property lease obligations relates to estimated sub-lease shortfalls and guarantees given by Harcourt General, Inc in favour of a former subsidiary for certain property leases for various periods up to 2016. Deferred taxation comprises: 2003 2002 2003 2002 Note £m £m € m € m Deferred taxation liabilities Excess of tax allowances over related amortisation 45 46 64 70 Pension prepayment 32 35 45 54 Short term timing differences 16 11 23 17 93 92 132 141 Deferred taxation assets Excess of amortisation over related tax allowances (9) (8) (13) (12) Short term timing differences (69) (151) (98) (231) Tax losses carried forward (18) (2) (25) (3) 18 (96) (161) (136) (246) Net deferred tax asset (3) (69) (4) (105) Net deferred tax asset at 1 January (69) (126) (105) (206) Transfers 3 (12) 4 (19) Deferred tax charge in profit and loss account 8 60 58 87 92 Exchange translation differences 3 11 10 28 Net deferred tax asset at 31 December (3) (69) (4) (105) Provisions for liabilities and charges 24