8	Property, plant and equipment

Changes in the carrying amount of property, plant and equipment and accumulated depreciation for the years ended December 31, 2018 and 2017 are analysed as follows:


	Land and industrial buildings			Machinery and equipment			Office furniture and equipment			Retail gallery and store furnishing			Leasehold improvements			Constr. in progress			Total

Cost as at January 1, 2017		174,134			131,759			15,519			33,490			18,596			336			373,834
Additions		682			2,327			377			430			2,641			—			6,457
Disposals		(1,595	)		(732	)		(233	)		(251	)		(1,973	)		(32	)		(4,816	)
Effect of translation adj.		(3,948	)		(1,114	)		(251	)		(1,083	)		186			(32	)		(6,242	)

Cost as at December 31, 2017		169,273			132,240			15,412			32,586			19,450			272			369,233
Additions		646			2,320			365			881			2,288			660			7,160
Disposals		(27	)		(7,905	)		(725	)		(20,329	)		(917	)		—			(29,903	)
Effect of translation adj.		153			(301	)		27			356			(85	)		(20	)		130

Cost as at December 31, 2018		170,045			126,354			15,079			13,494			20,736			912			346,620


Accumulated depreciation as at January 1, 2017	(80,416	)	(111,659	)	(14,731	)	(33,032	)	(12,291	)	—	(252,129	)
Depreciation	(3,570	)	(4,090	)	(478	)	(1,619	)	(1,104	)	—	(10,861	)
Disposals	348		234		573		1,556		1,362		—	4,073
Effect of traslation adj.	1,750		1,030		384		1,274		436		—	4,874

Accumulated depreciation as at December 31, 2017	(81,888	)	(114,485	)	(14,252	)	(31,821	)	(11,597	)	—	(254,043	)

Depreciation	(4,018	)	(3,381	)	(204	)	(140	)	(2,411	)	—	(10,154	)
Disposals	23		7,588		369		20,060		501		—	28,541
Effect of traslation adj.	(100	)	484		4		(357	)	91		—	122

Accumulated depreciation as at December 31, 2018	(85,983	)	(109,794	)	(14,083	)	(12,258	)	(13,416	)	—	(235,534	)

Net book value as at January 1, 2017	93,718		20,100		788		458		6,305		336	121,705

Net book value as at December 31, 2017	87,385		17,755		1,160		765		7,853		272	115,190

Net book value as at December 31, 2018	84,062		16,560		996		1,236		7,320		912	111,086

Annual rate of depreciation for 2018 and 2017	0%-10%		10%-25%		10%-20%		25%-35%		10%-20%		—

The following table shows property, plant and equipment by country:


	31/12/18		31/12/17
Italy		61,271		64,117
Romania		23,406		24,157
United States of America		17,830		16,440
Brazil		4,552		5,009
China		2,562		4,908
Europe		1,463		555
Other countries		2		4

Total		111,086		115,190

As at December 31, 2018 and 2017, the carrying amount of property, plant and equipment not in use is of 16,011 and 14,914, respectively. The increase against last year is due to one additional Italian plant which was idled during 2018. The Company plans to sell such assets in the next years.

In 2018 and 2017, the Company performed an impairment test in accordance with its accounting policy over those property, plant and equipment for which events and changes in circumstances indicated that the carrying amount of certain assets or CGU may not be recoverable.

For property, plant and equipment in use, the Company determined the recoverable amount as value in use using the discounted cash flow method, at the lowest level for which identifiable cash flows are independent of other cash flows, and compared it with the carrying value. Cash flow projections have been derived from the budget approved by the Board of Directors . Forecasts have been developed taking into consideration the track records of actual results reported by the Company.

For property, plant and equipment not in use, the fair value less costs to sell was estimated through independent third-party appraisals, which assessed the fair value of land using the comparable market method and assessed the fair value of machinery and equipment using the depreciated replacement cost method, adjusted for an obsolescence rate and a marketability rate.

As a result of the 2018 and 2017 impairment review of the Company’s property, plant and equipment, no impairment losses have emerged.