100 % FUTURE - ALNO

105
Securities and participating interests in investees are classified as “available-for-sale” financial assets.
They are generally measured at fair value after initial recognition.
In the case of securities, fair value corresponds to the market price. Gains and losses from fair
value changes are taken directly to equity until the financial asset has been disposed of, or until
impairment is ascertained. In the instance of impairment, the accumulated net loss is removed from
equity, and recognized in profit or loss.
Participating interests in investees are measured at cost, since there is no active market, and their
fair values cannot be reliably calculated since there are no company forecasts. Any indicators of
impairment are recognized in income.
Financial assets are generally recognized on their settlement date.
Financial assets are derecognized if the contractual rights to cash inflows from the asset have
expired, or if all risks and opportunities have essentially been transferred. They are also derecognized
on their settlement date.
Financial assets are also derecognized if their transfer results in neither the significant opportunities
and risks connected with their ownership being transferred to the acquirer, nor being retained, and
where the power of disposal over the financial assets has transferred to the acquirer. The rights and
obligations arising or remaining as the result of this transfer are reported separately as assets or
liabilities. If, by contrast, the power of disposal over the transferred financial assets remains with the
ALNO Group, the assets that have been sold continue to be reported to the level of the continuing
commitment. At the same time, a related liability is reported among other liabilities. Differences
between the recognized assets and liabilities are reported in the financial result.
Other assets are carried at cost, and cash and cash equivalents are recognized at nominal value.
Pension provisions
The ALNO Group operates a defined benefit pension plan for former members of its Managing
Board, and its executives in Germany and abroad.
ALNO’s pension plan is a defined benefit plan within the meaning of IAS 19.27, and includes a direct
commitment by the company to provide agreed benefits to current and former employees; actuarial
risks and investment risks are essentially borne by the company. The provision is calculated using
the Projected Unit Credit Method according to IAS 19 to the extent that it is not covered by existing
plan assets. Interest expenses are carried under financial expenses.
The Group uses the option of taking all actuarial gains and losses that occur during the fiscal year
directly to equity.
Other provisions
Other provisions are formed within the meaning of IAS 37 if a current – legal and constructive – obligation
to third parties is likely that can lead to an outflow of resources that can be reliably estimated.
Provisions for expenses are generally not formed.
Provisions are measured in the amount of the best possible estimate of the expense that is required
to fulfill the obligation on the balance sheet date. Non-current provisions are carried at their fulfillment
amount, and discounted to the balance sheet date, according to IAS 37, to the extent that the effect
is material. In the event of discounting, the increase in the provision caused by the passage of time
is carried under financial expenses.