Panalpina Annual Report 2006

Consolidated and Annual Financial Statements 2006
17
18
96 Panalpina Annual Report 2006
Provisions
in thousand CHF
Employee benefits provisions include the current portion of net liabilities relating to defined benefit plans of CHF 42.1 million
(2005: CHF 29.8 million).
The balance for claims represents a provision for certain claims brought forward against the Group by customers and
forwarding agents. The balance as at 31 December is expected to be utilized within the next two to three years.
Long-term claims include an additional provision for probable potential future payments in connection with transport
damages.
The management determined the provision based on past performance and its expectation of the funds needed for the future
settlement of the claims for the past delivered services which are not yet reported.
Deferred taxes
Deferred taxes are related to the following balance sheet items:
Employee
benefits
Claims
and other
provisions
Long-term provisions
Balance on 1 January 59,104 24,629 83,733 69,722
Translation differences 610 166 776 2,007
Addition 17,207 16,197 33,404 17,006
Reversal of unused amount (1,253) (1,166) (2,419) (1,506)
Charged in income statement 15,954 15,031 30,985 15,500
Utilized during the year (3,209) (10,941) (14,150) (3,496)
Balance on 31 December 72,459 28,885 101,344 83,733
Deferred tax assets Deferred tax liabilities
in thousand CHF 2006 2005 2006 2005
Receivables 8,385 10,290 (1,204) (1,044)
Fixed assets 2,936 2,524 (16,870) (14,018)
Provisions 12,885 7,365 (1,887) (3,952)
Other balance sheet captions 11,023 18,880 (8,348) (15,902)
Deductible loss carry forwards 4,493 4,686 0 0
Total 39,722 43,745 (28,309) (34,916)
Net deferred tax assets (liabilities) 11,413 8,829
In this summary, deferred tax assets and liabilities are shown gross by balance sheet captions. For balance sheet disclosure
purposes, the liabilities and assets are reported net by each subsidiary, resulting in the following balance sheet presentation:
in thousand CHF 2006 2005
Deferred tax assets 27,286 29,999
Deferred tax liabilities (15,873) (21,170)
Net deferred tax assets (liabilities) 11,413 8,829
Total
2006
Total
2005