THE NATURE OF OUR BUSINESS – STABLE GROWTH - Symrise

The current bank borrowings deriving from the Senior Facility -
Term B, amounting to € 273.5 million (2007: € 127.1 million) relate
to borrowings available to the Group under the terms of a revolving
credit arrangement of € 300.0 million that is available until
December 31, 2011.
For further information on the short term loan of € 72.4 million
deriving from the Senior Facility - Term A, we refer to note 8.20.
As at December 31, 2008, Symrise had an unutilized line of credit
available amounting to € 44.1 million (2007: € 172.0 million).
Bank borrowings with a nominal value of € 132.4 million (2007:
€10.4 million) are designated in $ 187.5 million (2007: $ 15.0 million).
Duetothevariableinterestratesandtherelatedpaymentobligations,itcan
be assumed that the carrying amounts for all borrowings correspond to
their fair value at the balance sheet reporting date.
8.17. Other Current Liabilities
T€
Taxes on wages and social security
Outstanding invoices
Purchase price adjustment
Liabilities to personnel
Performance-related remuneration
Other taxes
Miscellaneous other liabilities
Total
Dec. 31, 2007
19,607
19,728
0
35,881
2,015
0
25,332
102,563
Dec. 31, 2008
6,005
13,056
709
23,520
466
4,575
19,255
67,586
The purchase price adjustment amounting to T€ 709 relates to the
acquisition of Intercontinental Fragrances and was set up within
the context of the provisional purchase price allocation for obligations
that are linked to particular conditions.
The reduction in payroll taxes is related to payments made from
the Management Participation Program in the previous year.
Liabilities to personnel primarily relate to bonus liabilities already
earned but not yet paid out to employees as well as liabilities arising
from vacation yet to be taken and from accrued flextime credits.
Miscellaneous other liabilities mainly relate to wages and salaries,
social security contributions, value added tax and other taxes as
well as to short-term derivative financial instruments (note 8.3)
and remaining purchase price obligations deriving from the acquisitions
of Kaden Biochemicals GmbH (€ 1.2 million), Aromatics
SAS (T€ 300) and Steng Ingredients Ltd (T€ 193) that were made
in previous years.
8.18. Other Noncurrent Liabilities
T€
Liabilities to personnel
Derivative financial instruments -
Miscellaneous other liabilities
Total
Dec. 31, 2007
7,967
0
8,704
16,671
Dec. 31, 2008
9,105
14,859
3,704
27,668
Liabilities to Personnel
Liabilities to personnel mainly relate to provisions for long-service
awards, phased early retirement and other personnel costs.
Miscellaneous Other Liabilities
Noncurrent liabilities amounting to T€ 284 resulted from the acquisition
of Aromatics SAS (for disclosures relating to the current portion,
we refer to note 8.17).
8.19. Defined Benefit Obligations
Individual Group companies have established pension plans that
are either financed by themselves directly by the recognition of
provisions or by making contributions to external investment fund
companies. The manner in which these benefits are provided to
employees varies depending on the legal regulations and the fiscal
and economic environments of the respective countries involved.
In addition, in some countries, the Group has agreed to
provide certain additional post-employment healthcare benefits to
its employees. Retirement benefits and healthcare benefits are
generally measured based on the wages or salary of the employees
and their respective years of service. The obligations relate to
both existing retirees and also to entitlements of future retirees.
With the exception of pension-related interest costs, current expenses
for the fiscal year are included in the Group’s operating result.
The active participation of employees of the former Haarmann &
Reimer GmbH, Germany in the Bayer AG pension fund was terminated
with effect from March 31, 2003. The employees of Haarmann
& Reimer GmbH who had already acquired vested pension
rights as of this date automatically became passive members of
the pension fund.
132 Annual Report 2008 Symrise AG