2007 Interactive Registration Document - Renault

2.3.5 OTHER RISKS
2.3.5.1 OFF-BALANCE-SHEET
COMMITMENTS
The main commitments concern guarantees and endorsements granted by the
Group in the normal course of business, as well as savings plans in Argentina.
Off-balance-sheet commitments are discussed in note 29 of the notes to the
c onsolidated fi nancial s tatement. To the knowledge of senior management, no
material off-balance-sheet commitments have been omitted.
2.3.5.2 RISKS LINKED TO PENSION
COMMITMENTS
Renault operates in countries where, in general, pension systems are publicly
run. Renault’s commitments in this respect consist primarily of retirement
compensation, as specifi ed in note 20 of the notes to the c onsolidated fi nancial
s tatements. These commitments may be sensitive to changes in the parameters
used to calculate them (funding, labor factors, interest rates).
2.3.6 DISPUTES
In general, all known legal disputes in which Renault or Group companies are
involved are examined at year-end. After seeking the opinion of the appropriate
advisors, the Group sets up the provisions deemed necessary to cover the
estimated risk.
✦ Global Reporting Initiative (GRI) Directives
< TABLE OF CONTENTS >
2.3.5.3 TAX AND CUSTOMS RISKS
MANAGEMENT REPORT 02
RISK MANAGEMENT
The Group is regularly subject to tax inspections in France and in the countries
in which it carries on its business. Valid demands for tax arrears are booked
via provisions. Disputed demands are taken into account on a case-by-case
basis according to estimates that build in the risk that the disputed demands
may not be overturned even though the Group’s actions and appeals are wellfounded.
In the normal course of its business, the Group is involved in various legal
proceedings connected with the use of its products. At present, Renault
estimates that none of these actions is likely to materially affect its assets,
fi nancial position, activities or earnings.
01
02
03
04
05
06
07
08
Registration Document Renault 2007 77