report

CHF 1000
27 Provisions
44
Personnel
provisions
Other
provisions Total
Balance at 1 January 2010 9 434 3 376 12 810
Increase 8 225 663 8 888
Usage (1 022) (462) (1 484)
Decrease (2 055) (470) (2 525)
Reclassification – – –
Effect of exchange rates (1 737) (497) (2 234)
Balance at 31 December 2010 12 845 2 610 15 455
Increase 780 676 1 456
Usage (6 055) (315) (6 370)
Decrease (340) (2 000) (2 340)
Reclassification – – –
Effect of exchange rates (270) (40) (310)
Balance at 31 December 2011 6 960 931 7 891
CHF 1000 31.12.2011 31.12.2010
Disclosure:
– Short-term provisions 1 310 9 254
– Long-term provisions 6 581 6 201
Total 7 891 15 455
“Personnel provisions” are mainly associated with pension liabilities and settlements,
according to local laws, to be paid to employees of various Group companies.
The increases and decreases are attributable to alterations to pension and settlement
liabilities recognized in the income statement. Usage reflects the annual pension
payments that are offset by the provisions. The decreases in the year under review
and previous year were mainly attributable to provisions that were no longer required.
“Other provisions” mainly includes estimated cash outflows connected with legal
matters.
The precise timing of the estimated outflows of funds from “Other provisions” is
difficult to ascertain and largely out of the company’s control. The Management
assumes that the outflow will occur within the next one to three years.