2. Exchange rates
2. Exchange rates
The Group's principal overseas operations during the year were located within the Eurozone and the United States.
The results and cash flows of these operations have been translated into sterling at an average rate for the year of €1 = £0.68 (2006: €1 = £0.68) and £1 = US$2.00 (2006: £1 = US$1.84). Assets and liabilities have been translated at the year end rate of €1 = £0.73 (2006: €1 = £0.67) and £1 = US$1.99 (2006: £1 = US$1.96).
Total foreign currency movements during 2007 resulted in a gain recognised in the income statement of £45 million (2006: £99 million gain).
