Europe Net Sales The following table presents Europe net sales (dollars in millions):
## Table 0 ##
Changes in foreign exchange rates positively affected lknee sales by 9 percent and hip sales by 8 percent.
Excluding these foreign exchange rate effects, the following product categories experienced positive sales growth in our Europe region: the NexGen Complete Knee Solution product line, including the NeaxGen LPS-Flex Knee, NeaGen Trabecular Metat Tbial Components, the NexGen CR-Flex Knee, and the mnex Total Knee System.
Growth in porous stems, incdudingthe CL.
S Spotormo Stem, led hip stem sales.
Longevity and Durasul Highly Crosslinked Polyethylene Liners, the Durom Hip Resurfacing System, Trabecular Metal Acetabular Cups and the Allofit Hip Acetabular System also contributed to hip sales.
The Anatomical Shoulder System, the Anatomical Shoulder Inverse/Reverse System and the Coonrad/Morrey Total Elbow led extremities sales.
The addition of a direct sales force in lItaly as a result of a distributor acquisition contributed to growth in dental sales and the Tupered Screw- Vent Implant System led dental sales.
The Cable-Ready Cable Grip System, Zimmer Periarticular Plates and the NCB Plating System led trauma sales, which were offset by weaker sales of our intramedullary fixation systems.
The Dynesys Dynamic Stabilization System and Trabecular Metal Implants led spine sales.
Wound management products led OSP sales.
Asia Pacific Net Sales The following table presents Asia Pacdfic net sales (dollars in millions):
## Table 1 ##
Changes in foreign exchange rates positively affected knee sales by 5 percent and positively affected hip sales by 2percent.
Reported decreases in average selling pricesnegatively affected hip sales by 3 percent.
The NeaGenComplete Knee Solution product line, including Ne.
xGenTrabecular Metal Tibial Components, the NexGen CR-Flex Knee and the NexGen LPS-Flex Knee led knee sales.
Launch of the Gender Solutions Knee Femoral Implant in Australia also contributed to strong knee sales for the year.
The continued conversion to porous st ems, including the Fiber Metal Taper Stem from the VerSys Hip System, the Alloclassic Zweynmiller Hip System and the CL.
S Spotormo Stem led hip stem sales.
Sales of Longevity Highly Crosslinked Polyethylene Liners and Trabecular Metal Acetabular Cups also exhibited growth.
Extremities sales increased due to stronger sales of our shoulder and elbow products.
The Tapered Screu-Vent Implant Syst em led dental sales.
Trauma sales were led by strong growth in Zimmer Periarticular Plates and Zimmer Plates and Screws, but were partially offset by a reported 5 percent decrease in average selling prices during 2007.
A registration issue with the ST360°· Spinal Fixation System in Japan resulted in a decrease in sales of this device, contributing to the negative growth in Spine sales for 2007.
Powered surgcal instruments and Bone Cement and accessories led OSP sales.
Gross Profit Gross profit as a percentage of net sales was 77.5 percent in 2007, compared to 77.7 percent in 2006.
The following table reconciles the gross margin for 2006 to 2007:
## Table 2 ##
The unfavorable effect of year over year changes in foreign currency hedge gains and losses were partially offset by lower unit manufacturing costs due to productivity gains as well as favorable geographic sales mix.
These gains werefurther ofset by increased inventory charges due to the impact of our newer products on aging product lines.
Operating Ecpenses R&D as a percentage of net sales was 5.4 percent for 2007, which is unchanged from 2006.
R&D increased to $209.6 million for 2007 from S188.3 million in 2006, reflecting increased spending on new product development across all of our product segments.
In 2007, we continued to make investments in our research and development facilities in Warsaw, Indiana.
We continued working with our third party partners on genetically engineered tissues for regenerative therapies, including soft tissue biological repair and replacement.
SG&A, as a percentage of net sales was 38.2 percent for 2007, compared to 38.8 percent in 2006.
The improvement in SG&A as a percent of net sales from the prior year is due to sales growth and well controlled spending.
repurchase programs.
We utilized cash generated from operating activities, $57.0 million in cash proceeds received from employee stock compensation plans and borrowings under credit facilities to fund the repurchases.
During 2008, we borrowed $330.0 million from our existing credit facilities to fund stock repurchases and partially fund the acquisition of Abbott Spine.
We may use excess cash or further borrow from our credit facilities to repurchase additional common stock under the $1.25 billion program which expires December 31, 2009.
We have a five year $1,350 million revolving, multicurrency, senior unsecured credit facility maturing November 30, 2012 (the “Senior Credit Facility”).
We had $460.1 million outstanding under the Senior Credit Facility at December 31, 2008, and an availability of $889.9 million.
The Senior Credit Facility contains provisions by which we can increase the line to $1,750 million and request that the maturity date be extended for two additional one-year periods.
We and certain of our wholly owned foreign subsidiaries are the borrowers under the Senior Credit Facility.
Borrowings under the Senior Credit Facility are used for general corporate purposes and bear interest at a LIBORbased rate plus an applicable margin determined by reference to our senior unsecured long-term credit rating and the amounts drawn under the Senior Credit Facility, at an alternate base rate, or at a fixed rate determined through a competitive bid process.
The Senior Credit Facility contains customary affirmative and negative covenants and events of default for an unsecured financing arrangement, including, among other things, limitations on consolidations, mergers and sales of assets.
Financial covenants include a maximum leverage ratio of 3.0 to 1.0 and a minimum interest coverage ratio of 3.5 to 1.0.
If we fall below an investment grade credit rating, additional restrictions would result, including restrictions on investments, payment of dividends and stock repurchases.
We were in compliance with all covenants under the Senior Credit Facility as of December 31, 2008.
Commitments under the Senior Credit Facility are subject to certain fees, including a facility and a utilization fee.
The Senior Credit Facility is rated A- by Standard & Poor’s Ratings Services and is not rated by Moody’s Investors’ Service, Inc.
Notwithstanding recent interruptions in global credit markets, as of the date of this report, we believe our access to our Senior Credit Facility has not been impaired.
In October 2008, we funded a portion of the acquisition of Abbott Spine with approximately $110 million of new borrowings under the Senior Credit Facility.
Each of the lenders under the Senior Credit Facility funded its portion of the new borrowings in accordance with its commitment percentage.
We also have available uncommitted credit facilities totaling $71.4 million.
Management believes that cash flows from operations, together with available borrowings under the Senior Credit Facility, are sufficient to meet our expected working capital, capital expenditure and debt service needs.
Should investment opportunities arise, we believe that our earnings, balance sheet and cash flows will allow us to obtain additional capital, if necessary.
CONTRACTUAL OBLIGATIONS We have entered into contracts with various third parties in the normal course of business which will require future payments.
The following table illustrates our contractual obligations (in millions):
## Table 3 ##
CRITICAL ACCOUNTING ESTIMATES Our financial results are affected by the selection and application of accounting policies and methods.
Significant accounting policies which require management’s judgment are discussed below.
Excess Inventory and Instruments – We must determine as of each balance sheet date how much, if any, of our inventory may ultimately prove to be unsaleable or unsaleable at our carrying cost.
Similarly, we must also determine if instruments on hand will be put to productive use or remain undeployed as a result of excess supply.
Reserves are established to effectively adjust inventory and instruments to net realizable value.
To determine the appropriate level of reserves, we evaluate current stock levels in relation to historical and expected patterns of demand for all of our products and instrument systems and components.
The basis for the determination is generally the same for all inventory and instrument items and categories except for work-in-progress inventory, which is recorded at cost.
Obsolete or discontinued items are generally destroyed and completely written off.
Management evaluates the need for changes to valuation reserves based on market conditions, competitive offerings and other factors on a regular basis.
Income Taxes – We estimate income tax expense and income tax liabilities and assets by taxable jurisdiction.
Realization of deferred tax assets in each taxable jurisdiction is dependent on our ability to generate future taxable income sufficient to realize the benefits.
We evaluate deferred tax assets on an ongoing basis and provide valuation allowances if it is determined to be “more likely than not” that the deferred tax benefit will not be realized.
Federal income taxes are provided on the portion of the income of foreign subsidiaries that is expected to be remitted to the U. S.  We operate within numerous taxing jurisdictions.
We are subject to regulatory
Notes to Consolidated Financial Statements (Continued) December 31, 2008 is approximately $14.0 million of inventory step-up resulting primarily from the Abbott Spine acquisition.
Inventory step-up values are based upon estimated sales prices less distribution costs and a profit allowance.
## Table 4 ##
Depreciation expense was $215.8 million, $182.6 million and $155.0 million for the years ended December 31, 2008, 2007 and 2006, respectively

Tables referenced above, in order (Table 0 first):
<table><tr><td></td><td colspan="2">Year Ended December 31,</td><td></td></tr><tr><td></td><td>2007</td><td>2006</td><td>% Inc</td></tr><tr><td>Reconstructive</td><td></td><td></td><td></td></tr><tr><td>Knees</td><td>$407.8</td><td>$352.2</td><td>16%</td></tr><tr><td>Hips</td><td>459.9</td><td>408.3</td><td>13</td></tr><tr><td>Extremities</td><td>23.2</td><td>17.9</td><td>30</td></tr><tr><td>Dental</td><td>71.3</td><td>47.2</td><td>51</td></tr><tr><td>Total</td><td>962.2</td><td>825.6</td><td>17</td></tr><tr><td>Trauma</td><td>41.1</td><td>38.2</td><td>8</td></tr><tr><td>Spine</td><td>31.2</td><td>24.8</td><td>26</td></tr><tr><td>OSP and other</td><td>46.5</td><td>42.5</td><td>9</td></tr><tr><td>Total</td><td>$1,081.0</td><td>$931.1</td><td>16</td></tr></table>
<table><tr><td></td><td colspan="2">Year Ended December 31,</td><td></td></tr><tr><td></td><td>2007</td><td>2006</td><td>% Inc (Dec)</td></tr><tr><td>Reconstructive</td><td></td><td></td><td></td></tr><tr><td>Knees</td><td>$197.0</td><td>$167.5</td><td>18%</td></tr><tr><td>Hips</td><td>193.2</td><td>184.8</td><td>5</td></tr><tr><td>Extremities</td><td>6.9</td><td>5.5</td><td>27</td></tr><tr><td>Dental</td><td>30.8</td><td>26.4</td><td>17</td></tr><tr><td>Total</td><td>427.9</td><td>384.2</td><td>11</td></tr><tr><td>Trauma</td><td>41.8</td><td>39.4</td><td>6</td></tr><tr><td>Spine</td><td>5.5</td><td>5.7</td><td>-4</td></tr><tr><td>OSP and other</td><td>64.3</td><td>58.5</td><td>10</td></tr><tr><td>Total</td><td>$539.5</td><td>$487.8</td><td>11</td></tr></table>
<table><tr><td>Year ended December 31, 2006 gross margin</td><td>77.7%</td></tr><tr><td>Foreign exchange impact, net</td><td>-0.3</td></tr><tr><td>Other</td><td>0.1</td></tr><tr><td>Year ended December 31, 2007 gross margin</td><td>77.5%</td></tr></table>
<table><tr><td>Contractual Obligations</td><td>Total</td><td>2009</td><td>2010 and 2011</td><td>2012 and 2013</td><td>2014 and Thereafter</td></tr><tr><td>Long-term debt</td><td>$460.1</td><td>$–</td><td>$–</td><td>$460.1</td><td>$–</td></tr><tr><td>Operating leases</td><td>149.3</td><td>38.2</td><td>51.0</td><td>30.2</td><td>29.9</td></tr><tr><td>Purchase obligations</td><td>56.8</td><td>47.7</td><td>7.6</td><td>1.5</td><td>–</td></tr><tr><td>Long-term income taxes payable</td><td>116.9</td><td>–</td><td>69.6</td><td>24.9</td><td>22.4</td></tr><tr><td>Other long-term liabilities</td><td>237.0</td><td>–</td><td>30.7</td><td>15.1</td><td>191.2</td></tr><tr><td>Total contractual obligations</td><td>$1,020.1</td><td>$85.9</td><td>$158.9</td><td>$531.8</td><td>$243.5</td></tr></table>
<table><tr><td></td><td>2008</td><td>2007</td></tr><tr><td>Land</td><td>$21.7</td><td>$19.4</td></tr><tr><td>Building and equipment</td><td>992.7</td><td>855.3</td></tr><tr><td>Capitalized software costs</td><td>136.7</td><td>98.7</td></tr><tr><td>Instruments</td><td>1,161.7</td><td>903.8</td></tr><tr><td>Construction in progress</td><td>149.0</td><td>98.7</td></tr><tr><td></td><td>2,461.8</td><td>1,975.9</td></tr><tr><td>Accumulated depreciation</td><td>-1,197.7</td><td>-1,004.0</td></tr><tr><td>Property, plant and equipment, net</td><td>$1,264.1</td><td>$971.9</td></tr></table>

Question: Does the average value of Land in 2008 greater than that in 2007?
Answer: yes