BASF Report 2009 - BASF Report 2012

164
Consolidated Financial Statements BASF Report 2009
Notes
7 – Financial result
Million € 2009 2008
Income from companies accounted for using the equity method 61 (66)
Income from participations in affiliated and associated companies 88 60
Income from the disposal of participations 13 5
Income from profit transfer agreements 10 7
Income from tax allocation to participating interests 1 2
Other income from participations 112 74
Losses from loss transfer agreements (5) (2)
Write-down of/losses from the sales of participations (35) (80)
Other expenses from participations (40) (82)
Interest income from cash and cash equivalents 106 124
Interest and dividend income from securities and loans 28 50
Interest income 134 174
Interest expenses (734) (601)
Write-ups/profits from the sale of securities and loans 14 –
Expected income from plan assets to cover pensions and similar obligations 675 677
Income from plan assets to cover other long-term personnel obligations 16 27
Income from the capitalization of construction interest 58 43
Miscellaneous financial income – 25
Other financial income 763 772
Write-downs/losses from the disposal of securities and loans (12) (20)
Interest cost on pension obligations and other similar obligations (781) (655)
Expenses from other long-term employee obligations (46) (48)
Interest cost on other long-term personnel provisions (42) (35)
Miscellaneous financial expenses (13) –
Other financial expenses (894) (758)
Financial result (598) (487)
In 2009, the positive result from companies accounted for
using the equity method primarily resulted from gains at OAO
Severneftegazprom. In the previous year, losses on loan
commitments denominated in U.S. dollar and euro due to the
depreciation of the Russian Ruble led to a negative earnings
contribution from this company.
Interest income and expenses relate to expenses and
income from interest-bearing liabilities and financial investments,
including dividend income on securities. In addition, these items
take into account the ongoing interest expenses and income
from interest rate and currency swaps with banks. The financing
of the Ciba acquisition led to a rise in the interest expense.
Interest income declined primarily due to the repayment of loans
by OAO Severneftegazprom and lower market interest rates.
Miscellaneous financial income and miscellaneous financial
expenses relate to gains and losses from the translation of
individual hedged financing-related receivables and payables
and the associated hedging instruments. Furthermore, these
items included, among other things, expense and income from
the interest cost and discounting of long-term liabilities and
receivables as required by IFRS.