Notes to the consolidated financial statements
Year ended 31 July 2009

31. Provisions

	Environmental and legal £m	Wolseley Insurance £m	Restructuring £m	Other provisions £m	Total £m
At 1 August 2007	42	48	15	25	130
Utilised in the year	(1)	(15)	(16)	(3)	(35)
Charge for the year	–	17	49	11	77
New businesses	–	–	–	–	–
Exchange differences	1	1	2	2	6
At 31 July 2008	42	51	50	35	178
Utilised in the year	(6)	(22)	(100)	(15)	(143)
Charge for the year	16	20	354	25	415
Disposal of businesses	(1)	–	(106)	(1)	(108)
Exchange differences	7	8	4	5	24
At 31 July 2009	58	57	202	49	366

Provisions have been analysed between current and non-current as follows:

At 31 July 2009	Environmental and legal £m	Wolseley Insurance £m	Restructuring £m	Other provisions £m	Total £m
Current	6	16	79	21	122
Non-current	52	41	123	28	244
Total provisions	58	57	202	49	366

At 31 July 2008	Environmental and legal £m	Wolseley Insurance £m	Restructuring £m	Other provisions £m	Total £m
Current	3	15	36	6	60
Non-current	39	36	14	29	118
Total provisions	42	51	50	35	178

Wolseley Insurance provisions represent an estimate, based on historical experience, of the ultimate cost of settling outstanding claims and claims incurred but not reported on certain risks retained by the Group (principally US casualty and global property damage).

The environmental and legal provision includes known and potential legal claims and environmental liabilities arising from past events where it is probable that a payment will be made and the amount of such payment can be reasonably estimated. Included in this provision is an amount of £42 million (2008: £36 million) related to asbestos litigation involving certain Group companies. This amount has been actuarially determined as at 31 July 2009 based on advice from independent professional advisers. Asbestos related litigation is covered by insurance and accordingly an equivalent insurance receivable has been recorded in other receivables (note 21). The provision and the related receivable have been stated on a discounted basis using a long-term discount rate of 4.3 per cent (2008: 4.6 per cent). The level of insurance cover available significantly exceeds the expected level of future claims and no material profit or cash flow impact is expected to arise in the foreseeable future. There were 273 claims outstanding at 31 July 2009 (2008: 293).

Restructuring provisions include provisions for staff redundancy costs, future lease rentals on closed branches and asset write-downs. In determining the provision for onerous leases, the cash flows have been discounted on a pre-tax basis using appropriate government bond rates. The weighted average maturity of these obligations is approximately five years.

Other provisions mainly consist of separation costs relating to the disposal of Stock, rental commitments on vacant properties other than those arising from restructuring actions, dilapidations on leased properties and warranties. The weighted average maturity of these obligations is approximately four years.

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