32 Obligations under leasing arrangements

A leasing contract that mainly transfers the economic risk to Repower is recognised as a finance leasing arrangement. All other leasing contracts are classified as operating leasing arrangements. Assets which are recognised in connection with a finance lease are depreciated in accordance with the guidelines explained under property, plant and equipment. If the depreciation period of the asset is greater than the length of the lease agreement, the asset is depreciated over the term of the leasing contract.