Daimler Annual Report 2011 - Alle jaarverslagen

Glossary
BlueEFFICIENCY. Efficiency packages for saving fuel.
They include measures taken inside engines, bodywork weight
reductions, tires with low roll resistance, aerodynamic
improvements, the ECO start-stop function etc. As a result,
fuel consumption can be reduced by more than 20%.
BLUETEC. A combination of inner-engine measures to reduce
emissions and the treatment of exhaust gases. It improves
diesel engines’ efficiency for cars and commercial vehicles
by optimizing their combustion, and reduces their emissions
with SCR catalysts.
BRIC. This abbreviation stands for the four countries of Brazil,
Russia, India and China.
Code of Ethics. The Daimler Code of Ethics applies to the
members of the Board of Management and senior executives
with special responsibility for the contents of financial reporting.
The regulations contained in the Code are designed to prevent
misconduct and to ensure ethical behavior and the correct
disclosure of information on the Group.
Compliance. By the term compliance, we understand adherence
to all laws, rules, regulations and voluntary commitments
that are relevant for our business, as well as the related internal
policies and guidelines of the Daimler Group.
Consolidated Group. The consolidated Group is the total
of all those companies that are included in the consolidated
financial statements.
Corporate governance. The term corporate governance
applies to the proper management and supervision of a company.
The structure of corporate governance at Daimler AG is
determined by Germany’s Stock Corporation Act (AktG), Codetermination
Act (MitbestG) and capital-market legislation.
Cost of capital. The cost of capital is the product of the average
amount of capital employed and the cost-of-capital rate.
The cost-of-capital rate is derived from the investors’ required
rate of return (see pages 89 ff).
EBIT. Earnings before interest and taxes are the measure
of operating profit before taxes (see pages 86 ff).
Equity method. Accounting and valuation method for shareholdings
in associated companies and joint ventures, as well as
for subsidiaries that are not fully consolidated.
Fair value. The amount for which an asset or liability could be
exchanged in an arm’s length transaction between knowledgeable
and willing parties who are independent of each other.
Goodwill. Goodwill represents the excess of the cost of an
acquired business over the fair values assigned to the separately
identifiable assets acquired and liabilities assumed.
Hybrid drive. Hybrid drive systems combine internal-combustion
engines with electric motors, which can be operated separately
or together depending on the type of vehicle and driving situation.
IFRS – International Financial Reporting Standards.
The IFRS are a set of standards and interpretations for companies’
external accounting and financial reporting developed by
an independent private-sector committee, the International
Accounting Standards Board (IASB).
Integrity Code. The Integrity Code has been in effect since
1999 and was last amended in 2011. It lays down binding rules
of conduct for all employees worldwide.
Lithium-ion batteries. They are at the heart of future electric
drive systems. Compared with conventional batteries, lithiumion
batteries are considerably smaller and feature significantly
higher power density, short charging times and long lives.
Net assets. Net assets represent the capital employed by the
Group and the industrial divisions. The relevant capital basis for
Daimler Financial Services is equity capital (see pages 89 ff).
NEDC – New European Driving Cycle. A measuring method
used in Europe for the objective assessment of vehicles’
fuel consumption.
CSR – corporate social responsibility. A collective term
for the social responsibility assumed by companies, including
economic, environmental and social aspects.
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