Annual report 2006 - Dexia.com

4.3.4. Net income for the year
4.3.8 Amounts payable within one year
As of December 31, 2006, net income totaled EUR 1,317.7 million.
This result is composed of the dividends received from
Dexia’s operating entities (EUR +1,395.3 million), financial
results (EUR +24.9 million), exceptional income (EUR 0.1 million)
and net income (EUR 24.1 million) after deduction of the
holding company’s operating expenses (EUR -126.7 million) .
PROVISIONS AND DEFERRED TAXES
4.3.5. Provision for fiscal charges
The permanent establishment in Paris made a provision for
fiscal charges of EUR 1 million within the context of fiscal consolidation
as a consequence of an adjustment impacting the
earlier tax deficits of a subsidiary.
4.3.6. Provisions for other liabilities and charges
Succeeding Dexia Crédit Local at the head of the tax consolidation
group in France, Dexia, through its permanent
establishment, assumed vis-à-vis the former head of the tax
consolidation group commitments initially subscribed by Dexia
Crédit Local within the context of a tax leverage operation
carried out in France with the approval of French tax authorities.
For the 2006 financial year, these operations resulted in
tax savings of EUR 4.1 million (cash savings) included in the
total of EUR 25 million mentioned in the note “Corporate
income tax”, and in an allowance in the same amount.
The balance of these provisions as of December 31, 2006 is
EUR 34.1 million.
The provision of EUR 0.1 million associated with the transfer
of the registered office to the Dexia Tower, Place Rogier 11,
B–1210 Brussels has been used.
Moreover, a provision of EUR 1.5 million provided for returning
the premises at Square De Meeûs to pristine condition is
also reversed.
Furthermore, the provision for removal costs for the move of
the permanent establishment in Paris currently situated at
7-11, quai André Citroën to new premises in the Tour Dexia
CBX located in the La Défense district of Paris is still held in
the accounts (EUR 0.1 million). Initially planned for 2005, this
move has been postponed to 2007.
DEBTS
4.3.7. Amounts payable after more than one year
Financial debts
These debts relate to short-term financing concluded with
Group companies in the amount of EUR 3,276.7 million and
overdrafts on sight accounts up to EUR 0.5 million.
Trade debts
Suppliers’ invoices not yet paid amount to EUR 7.7 million and
invoices to be received EUR 27.6 million.
Taxes, remuneration and social security
This item includes:
• VAT to be paid (EUR 0.5 million);
• payroll withholding tax (EUR 0.8 million);
• debts corresponding to compensation and social contributions
(EUR 9.2 million).
Other amounts payable
As already specified above, the permanent establishment in
Paris of Dexia SA is the head of the tax consolidation group
in France. The permanent establishment is therefore the only
establishment liable to the corporate income tax, the withholding
tax and the annual flat tax owed by the tax group
in France.
For subsidiaries, belonging to a fiscal integration group has a
neutral impact in relation to the tax situation which they would
have been in if there had been no integration. In fact, subsidiary
companies must therefore pay to the permanent establishment
their contribution to the tax payment on companies in
the fiscal integration group. For the year 2006, advances paid
by subsidiaries exceed the tax they are estimated to owe the
head of the group, which is why the permanent establishment
on December 31, 2006 had a debt of EUR 1 million to the
subsidiaries taking part in the French tax consolidation.
Dividends relating to the 2005 financial year still to be paid
amount to EUR 24.7 million whilst the balance of dividends
for previous financial years is EUR 45.9 million.
4.3.9. Accrued charges and deferred income
This item is composed exclusively of expenses to be accrued
as follows:
• financial charges on a currency and interest swap
(EUR 3.5 million);
• financial charges linked to loans due with Group companies
(EUR 38.2 million);
• pro rata operating expenditures attributable to the 2006
fiscal year (EUR 0.8 million).
RAPPORT DE GESTION
COMPTES CONSOLIDÉS
ANNUAL
FINANCIAL STATEMENTS
Financial debts payable after more than one year concerned
loans contracted with Group companies in the amount of
EUR 200 million.
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