Impairmen t t es ts f or cash gener a ting units c on t aining goodwil l C alcula tion o f r ec o v er able amoun ts T he r ec o v er able amoun t o f as se ts is the gr e a t er o f their f air v alue les s c os ts t o sel l and v alue in use In as ses sing v alue in use the es tima t ed futur e cash fo ws ar e disc oun t ed t o their pr esen t v alue using a pr e t a x disc oun t r a t e tha t r e fec ts curr en t mark e t as ses smen ts o f the time v alue o f mone y and the risks specifc t o the as se t F or an as se t tha t does no t gener a t e lar gely independen t cash in fo ws the r ec o v er able amoun t is de t ermined f or the cash gener a ting unit t o which the as se t belongs T he goodwil l ac quir ed in a busines s c ombina tion f or the purpose o f impairmen t t es t ing is al loca t ed t o cash gener a ting units tha t ar e e xpec t ed t o bene ft fr om the syner gies o f the c ombina tion T he f ol lo wing cash gener a ting units ha v e signifcan t carry ing amoun ts o f goodwil l In mil lions o f A UD C onsolida t ed 2019 2018 ALS Miner als 3682 3596 ALS Lif e Scienc es Aus tr alia 484 485 ALS Lif e Scienc es Nor th America 1608 1111 ALS Lif e Scienc es South America 561 508 ALS Lif e Scienc es Eur ope 1006 1019 ALS F ood P harma Eur ope 851 865 ALS Lif e Scienc es A sia 203 201 ALS C oal 376 380 ALS Indus trial 1489 1469 Other cash gener a ting units 05 05 10265 9639 T he v alue in use calcula tions per f ormed f or al l cash gener a t ing units use cash fo w pr ojec tions based on ac tual oper a ting r esults the Boar d appr o v ed budge t f or FY2019 and f or ecas ts dr a wn fr om FY2020 thr ough t o FY2024 which ar e based on managemen t s es tima t es o f underlying ec onomic c onditions pas t fnancial r esults and o ther f ac t ors an ticipa t ed t o impac t the cash gener a ting units per f ormanc e A dis c oun t ed t erminal cash fo w v alue is calcula t ed pos t FY2024 using a nominal gr o w th r a t e o f 275 per c en t T erminal gr o w th r a t es ar e c onsis t en t with the prior y e ar Dir ec t ors belie v e these t erminal gr o w th r a t es ar e an appr opria t e es tima t e o f the long t erm a v er age gr o w th r a t es achie v able in the indus tries in which the Gr oup par ticipa t es T he f ol lo wing nominal pr e t a x disc oun t r a t es ha v e been used in disc oun ting the pr ojec t ed cash fo ws In mil lions o f A UD Pr e t a x nominal disc oun t r a t e 2019 2018 ALS Miner als 124 125 ALS Lif e Scienc es Aus tr alia 120 118 ALS Lif e Scienc es Nor th America 101 104 ALS Lif e Scienc es South America 163 165 ALS Lif e Scienc es Eur ope 92 84 ALS F ood P harma Eur ope 98 104 ALS Lif e Scienc es A sia 119 132 ALS C oal 110 130 ALS Indus trial 131 131 T he de t ermina tion o f the r ec o v er able amoun ts o f the Gr oup s cash gener a ting units in v olv es signifcan t es tima t es and judgemen ts and the r esults ar e subjec t t o the risk o f adv erse and sus t ained changes in the k e y mark e ts and or geogr aphies in which the Gr oup oper a t es With the e x c ep tion o f the ALS Indus trial and ALS Lif e Scienc es South America C GU s sensitivit y analyses per f ormed indica t e tha t a r e asonably pos sible change in an y o f the k e y as sump tions f or the Gr oup s C GU s w ould no t r esult in impairmen t ALS Indus trial C GU T he es tima t ed r ec o v er able amoun t o f the ALS Indus trial C GU e x c eeded its carrying v alue b y appr o xima t ely 377 mil lion T he Gr oup has iden tifed tha t a r e asonably pos sible change in tw o k e y as sump tions c ould cause the carrying amoun t t o e x c eed the r ec o v er able amoun t o f the C GU F or the es tima t ed r ec o v er able amoun t t o be equal t o the carrying amoun t the f ol lo wing as sump tions w ould need t o change b y the amoun t specifed whils t holding al l o ther as sump tions c ons t an t a the pr e t a x disc oun t r a t e w ould need t o incr e ase b y 17 per c en t t o 148 per c en t or b the c ompound a v er age gr o w th r a t e acr os s the f or ecas t period w ould need t o decr e ase b y 03 per c en t age poin ts t o 32 per c en t ALS Lif e Scienc es South America C GU T he es tima t ed r ec o v er able amoun t o f the ALS Lif e Scienc es South America C GU e x c eeded its carrying v alue b y appr o xima t ely 261 mil lion T he Gr oup has iden tifed tha t a r e asonably pos sible change in tw o k e y as sump tions c ould cause the carrying amoun t t o e x c eed the r ec o v er able amoun t o f the C GU F or the es tima t ed r ec o v er able amoun t t o be equal t o the carrying amoun t the f ol lo wing as sump tions w ould need t o change b y the amoun t specifed whils t holding al l o ther as sump tions c ons t an t a the pr e t a x disc oun t r a t e w ould need t o incr e ase b y 45 per c en t t o 208 per c en t or b the c ompound a v er age gr o w th r a t e acr os s the f or ecas t period w ould need t o decr e ase b y 07 per c en t age poin ts t o 46 per c en t 59 ALS LIMITED AND IT S SUBSIDIARIES A NNU AL F INANCIAL R EPOR T F OR THE Y EAR E NDED 31 M AR CH 2019 F INANCIAL REPOR T F INANCIAL S T A TEMENT S N O TES T O THE FINANCIAL S T A TEMENT S C apit al emplo y ed w orking capit al and o ther ins trumen ts