4.3 CURRENT TRADE AND OTHER PAYABLES

The detail of “Current Trade and Other Payables” at 31 December 2017 and 2016 is as follows:

a) Trade payables

The detail of the trade payables at 31 December 2017 and 2016 is as follows:

The balance of “Trade Payables” decreased by EUR 16 million compared to the balance recognised at 31 December 2016, mainly as the result of the appreciation of the euro against the other foreign currencies in which the Group operates.

This line item includes the balances payable to suppliers sent for reverse factoring (see Note 1.3.3.4 in Accounting policies) amounting to EUR 286 million (31 December 2016: EUR 253 million).

Group management considers that the carrying amount of the trade payables approximates their fair value.

b) Disclosure obligation in relation to payments to suppliers provided for in Additional Provision Three of Law 15/2010

In compliance with the obligation to disclose the average period of payment to suppliers provided for in Article 539 and Additional Provision Eight of the Spanish Limited Liability Companies Law (in accordance with the new wording of Final Provision Two of Law 31/2014 reforming the Spanish Limited Liability Companies Law), the Company hereby states that the average period of payment to the suppliers of all the Group companies domiciled in Spain in 2017 was 49 days.

Set forth below is the detail required by Article 6 of the Spanish Accounting and Audit Institute Resolution of 29 January 2016 in relation to the disclosures to be provided on the average period of payment to suppliers in 2016 and 2017:

Reciprocal trade receivables and payables between Ferrovial Group companies are eliminated on consolidation and, accordingly, no balances payable to Group companies are presented in the consolidated statement of financial position. Therefore, the information shown in the foregoing table refers only to the Group’s external suppliers, although it is hereby stated for information purposes that the average payment period between Group companies is normally 30 days.

c) Amounts billed in advance for construction work and customer advances

These line items relate to:

• The amounts billed in advance by various companies in the Services and Construction Divisions in relation to contracts the revenue from which is recognised by reference to the stage of completion, as described in 1.3.3.4 and 4.4.
• Advances received from customers, amounting to EUR 652 million (31 December 2016: EUR 424 million), of which EUR 158 million (31 December 2016: EUR 133 million) relate to advances received by the Real Estate business in Poland; and EUR 493 million (31 December 2016: EUR 291 million) relate to advances received by companies in the Construction and Services Divisions in relation to contracts the revenue from which is recognised by reference to the stage of completion, as described in Note 4.4. This last variation is due mainly to changes in the Construction division in the US (EUR 132 million) and Poland (EUR 71 million).

d) Other non-trade payables

The detail of “Other Non-Trade Payables” is as follows:

“Remuneration Payable” relates to the employee remuneration earned but not paid during the year amounting to EUR 289 million.

Also, “Accounts Payable to Public Authorities” includes tax payables other than income tax, mainly VAT and employer social security taxes.