Siegfried Annual Report 2009

13. Treasury shares
Treasury shares are deducted at transaction value directly
from Equity. At 31.12. 2009 the nominal amount of the
treasury shares was CHF 65 476 (2008: CHF 59 156).
2008 Change 2009
Treasury shares
Shares reserved for
Employee Share Plan 8 762 3 160 11 922
Treasury shares not reserved 20 816 – 20 816
Total treasury shares 29 578 3 160 32 738
Total shares in issue 2 770 422 –3 160 2 767 262
Total Siegfried shares 2 800 000 – 2 800 000
and the financing of expected growth. As of 31.12.2009
CHF 71.2 million (2008: CHF 86.1 million) of this credit line
has been drawn; the covenants were met. In connection
with the decision not to capitalize development costs related
to the inhalation technology, an amendment of the
covenants was discussed with the banks in the reporting
period. The covenants were adapted to the new situation.
In addition the credit line of CHF 200 million was reduced
to CHF 120 million. At year-end, the company was again
negotiating with the banks to adjust the covenants, but the
credit line is unchanged. The company is confident that
these discussions will be concluded in the first quarter 2010.
The syndicated bank loan will be due for repayment in 2012.
Siegfried has the right to draw up to CHF 30.0 million in
additional debt capital outside this facility.
14. Financial liabilities
In 1000 CHF 2009 2008
Loans from banks 71 210 86 127
Other non-current liabilities 126 –
Total non-current interest bearing liabilities 71 336 86 127
Maturity and average interest rates of bank loans:
2009 2008
In the year 2012 71 210 86 127
Ø Interest rate in % 4.0% 5.4%
Total 71 210 86 127
15. Provisions
Environmental Other
In 1000 CHF provisions provisions Total
Statement of changes
As of December 31, 2008 10 522 4 809 15 331
Costs incurred –178 – –178
Additions, interest 601 1 717 2 318
Releases (unused provisions) –1 000 –1 255 –2 255
As of December 31, 2009 9 945 5 271 15 216
Of which current 3 595 5 271 8 866
of which non-current 6 350 – 6 350
Variable interest rate bank loans of CHF 40.0 million and
USD 32.0 million (2008: CHF 40.0 million and USD 32 million)
were fixed with interest rate swaps. The remaining
financial liabilities are subject to interest rate risks.
The financial liabilities are denominated in the following
currencies:
In 1000 CHF Total CHF EUR USD
As of
December 31, 2009
Bank loans 71 210 38 000 – 33 210
Other non-current
liabilities 126 –
Total 71 336 38 000 – 33 210
As of
December 31, 2008
Bank loans 86 127 30 000 22 332 33 795
Total 86 127 30 000 22 332 33 795
In August 2006 a credit line of a syndicated bank loan of
CHF 200 million was opened. This credit line was arranged
with a group of banks to secure planned capital expenditure
Environmental provisions The Siegfried Group produces
chemicals at various locations. As part of the manufacturing
process, undesirable incidents may arise that result in an
obligation to remedy pollutant effects on the environment.
Such obligations are recognized in the period when they
become apparent. A provision is recorded if it is expected
that the obligation results in an outflow of economic
resources in the medium term and if a reasonable estimate
of that obligation can be made. By their nature the amounts
and timing of any outflows are difficult to predict. In connection
with planned construction projects, environmental
investigations were performed. Possible remediation obligations
of CHF 9.9 million have been provided for. The start of
the planned construction projects is anticipated within the
next 15 years; in connection with the construction of a laboratory
building CHF 0.2 million of the provision was used;
the unused portion of the provision foreseen for this purpose
of CHF 1.0 million has been released to income. The
environmental provision was discounted to the present value
of the expected expenditures. Management reviews the provisions
annually based on regulatory changes or changes in
planned investments.
Financial Statements Siegfried Group 95