ANNUAL REPORT 2004 - Luxottica Group

More documents

Recommendations

Info

Excluding current maturities, long-term debt matures in the years subsequent to December 31, 2005 as follows: In thousands of Euro Years ended December 31 2006 2007 2008 2009 2010 Thereafter Total 9. EMPLOYEE BENEFITS LIABILITY FOR TERMINATION INDEMNITIES 104,777 260,427 357,003 546,263 8,568 457 1,277,495 The liability for termination indemnities represents amounts accrued for employees in Australia, Austria, Greece, Israel, Italy and Japan, determined in accordance with labour laws and labour agreements in each respective country. Each year, the Company adjusts its accrual based upon headcount, changes in compensation level and inflation. This liability is not funded. Therefore, the accrued liability represents the amount that would be paid if all employees were to resign or be terminated as of the balance sheet date. This treatment is in accordance with SFAS No. 112, Employers’ Accounting for Post Employment Benefits, which requires employers to expense the cost of benefits paid before retirement (i.e. severance) over the service lives of employees. The charge to earnings during the years ended December 31, 2002, 2003 and 2004 aggregated Euro 5.7 million, Euro 12.5 million and Euro 10.4 million, respectively. QUALIFIED PENSION PLAN NOTES TO CONSOLIDATED FINANCIAL STATEMENTS During fiscal years 2003 and 2004, U.S. Holdings sponsors a qualified noncontributory defined benefit pension plan which provides for the payment of benefits to eligible past and present employees of U.S. Holdings upon retirement. Pension benefits are accrued based on length of service and annual compensation under a cash balance formula. As of December 31, 2004, associates that work for the acquired Cole businesses and legal entities were not eligible to participate in the above mentioned pension plan. As of the effective date of the Cole acquisition, U.S. Holdings, through its newly acquired subsidiary sponsors the Cole National Group, Inc. Retirement Plan. This is a qualified noncontributory defined benefit pension plan that covers Cole employees who have met eligibility service requirements and are not members of certain collective bargaining units. The pension plan provides for benefits to be paid to eligible employees at retirement based primarily upon years of service and the employees’ compensation levels near retirement. In January 2002, this plan was frozen for all participants. The average pay for all participants was frozen as of March 31, 2002 and covered compensation was frozen on December 31, 2001. Benefit service was also frozen as of March 31, 2002 except for those individuals who were at least age 50 with at least ten years of benefit service as of that date, whose service will continue to increase as long as they remain employed by U.S. Holdings or one of its subsidiaries. 127
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS NONQUALIFIED PENSION PLAN U.S. Holdings also maintains a nonqualified, unfunded supplemental executive retirement plan (“SERP”) for participants in its qualified pension plan to provide benefits in excess of amounts permitted under the provisions of prevailing tax law. The pension liability and expense associated with this plan are accrued using the same actuarial methods and assumptions as those used for the qualified pension plan. As of the Cole acquisition date, U.S. Holdings through its newly acquired subsidiary, sponsors the Cole National Group, Inc. Supplemental Pension 128 Plan. This plan is a nonqualified unfunded SERP for certain participants of the Cole pension plan who were designated by the Board of Directors of Cole at the recommendation of Cole’s Chief Executive Officer at such time. This plan provides benefits in excess of amounts permitted under the provisions of the prevailing tax law. The pension liability and expense associated with this plan are accrued using the same actuarial methods and assumptions as those used for the qualified pension plan. The following tables provide key information pertaining to U.S. Holdings’ pension plans and SERP. U.S. Holdings uses a September 30 measurement date for these plans.
Page 1 and 2:
ANNUAL REPORT 2004
Page 3 and 4:
ANNUAL REPORT 2004
Page 5 and 6:
ANNUAL REPORT 2004
Page 7 and 8:
ANNUAL REPORT 2004 PROFILE OF LUXOT
Page 9 and 10:
PROFILE OF LUXOTTICA GROUP QUARTERL
Page 11 and 12:
ANNUAL REPORT 2004
Page 13 and 14:
ANNUAL REPORT 2004
Page 15 and 16:
LUXOTTICA GROUP IN 2004 to have dir
Page 17 and 18:
LUXOTTICA GROUP IN 2004 Luxottica G
Page 19 and 20:
ANNUAL REPORT 2004
Page 21 and 22:
DISTRIBUTION As for the performance
Page 23 and 24:
DISTRIBUTION focused on the relatio
Page 25 and 26:
DISTRIBUTION capacity, a direct pre
Page 27 and 28:
ANNUAL REPORT 2004
Page 29 and 30:
CHANGE YOUR VIEW
Page 31 and 32:
www.vogue-eyewear.com
Page 34 and 35:
Making its debut in 1926, Persol wa
Page 36 and 37:
Launched in California in 1992, Arn
Page 38 and 39:
The Sferoflex brand was acquired by
Page 40 and 41:
DISTRIBUTION LICENSE BRANDS 39
Page 42 and 43:
The Byblos brand has been licensed
Page 44 and 45:
The Miu Miu brand was created in 19
Page 46 and 47:
Sergio Tacchini, ever synonymous wi
Page 48 and 49:
ANNUAL REPORT 2004
Page 50 and 51:
DISTRIBUTION Today, Luxottica Group
Page 52 and 53:
VERTICAL INTEGRATION Over the decad
Page 54 and 55:
Over the years, Luxottica Group has
Page 56 and 57:
WHOLESALE BRAND PORTFOLIO Luxottica
Page 58 and 59:
Give the Gift of Sight is a Luxotti
Page 60 and 61:
ANNUAL REPORT 2004
Page 62 and 63:
In accordance with U.S.GAAP (1) 200
Page 64 and 65:
MANAGEMENT’S DISCUSSION AND ANALY
Page 66 and 67:
expenses, thanks to economies of sc
Page 68 and 69:
This information is being provided
Page 70 and 71:
The swap will expire on June 17, 20
Page 72 and 73:
ANNUAL REPORT 2004
Page 74 and 75:
(1) Except for earnings per share (
Page 76 and 77:
(1) 1 ADS = 1 ordinary share. (2) C
Page 78 and 79: with the procedure set forth by it,
Page 80 and 81: CORPORATE GOVERNANCE Set out below
Page 82 and 83: - Sergio Erede - Sabina Grossi: Mem
Page 84 and 85: INTERNAL AUDIT COMMITTEE The commit
Page 86 and 87: 3. the Chief Financial Officer, the
Page 88 and 89: STOCK OPTIONS PLANS At the Extraord
Page 90 and 91: ANNUAL REPORT 2004 LUXOTTICA GROUP
Page 92 and 93: (1) Through 1998 the Euro/U.S. Doll
Page 94 and 95: LUXOTTICA GROUP S.P.A. We have audi
Page 96 and 97: In accordance with U.S. GAAP (1) Tr
Page 98 and 99: In accordance with U.S. GAAP In tho
Page 100 and 101: In accordance with U.S. GAAP (1) Tr
Page 102 and 103: NOTES TO CONSOLIDATED FINANCIAL STA
Page 104 and 105: Maintenance and repair expenses are
Page 106 and 107: customers take receipt of products
Page 108 and 109: In thousands Weighted average share
Page 110 and 111: The Company recognizes forfeitures
Page 112 and 113: 2. RELATED PARTY TRANSACTIONS FIXED
Page 114 and 115: In thousands of Euro Assets purchas
Page 116 and 117: This pro forma financial informatio
Page 118 and 119: The Company believes that the preli
Page 120 and 121: (1) Goodwill acquired in 2003 and 2
Page 122 and 123: Estimated annual amortization expen
Page 124 and 125: Since fiscal year 2004, for income
Page 126 and 127: 8. LONG-TERM DEBT Long-term debt co
Page 130 and 131: OBLIGATIONS AND FUNDED STATUS In th
Page 132 and 133: The accumulated benefit obligations
Page 134 and 135: CONTRIBUTIONS U.S. Holdings expects
Page 136 and 137: The following table sets forth the
Page 138 and 139: STOCK INCENTIVE PLANS Luxottica Gro
Page 140 and 141: Years ended December 31 (1) Inter-s
Page 142 and 143: In thousands of Euro Years ending D
Page 144 and 145: such higher consideration to all te
Page 146 and 147: eviewed at the end of January 2004,
Page 148 and 149: ANNUAL REPORT 2004 KEY CONTACTS AND
Page 150 and 151: EUROPE LUXOTTICA S.r.l. KILLERLOOP
Page 152 and 153: MIDDLE EAST AND FAR EAST LUXOTTICA
show all

ANNUAL REPORT 2004 - Luxottica Group

Create successful ePaper yourself

Delete template?

Save as template?