Consolidated Financial Statements of the Stadtwerke Leipzig Group ...

Report of the Supervisory Board
Management report of Stadtwerke Leipzig GmbH
Business climate and general conditions
Income situation, fi nancial position, net worth position
Risk report
Forecast report
Annual fi nancial statements
Notes to the fi nancial statements of Stadtwerke Leipzig GmbH
List of abbreviations
04
05
05
12
25
31
36
40
64
2.5.4 Others
The mergers of AVV and KVV with Stadtwerke
Leipzig GmbH led to a profit for KVV amounting
to €0.6 million and a loss for AVV of €7k.
These profit effects were posted by Stadtwerke
Leipzig GmbH under Extraordinary profit/loss.
The merger AVV and KVV with Stadtwerke
Leipzig GmbH led to a fall in income from profit
transfers.
in HL komm (€2 million) and LAS (€1 million)
in the context of group financing.
Income unrelated to the accounting period and
remaining other income was also posted here.
No events of special importance took place after
the end of the financial year.
€3 million was invested in financial assets during
the financial year (2008: €8 million). This essentially
related to long-term financial investments
3 Risk report
3.1 Risk management system
A comprehensive, systematic and efficient risk
management system (RMS) was installed in
2000 and extended to the whole of the Stadtwerke
Leipzig Group in 2008. Risk management
aims to identify risks that could prejudice the
continued existence or business results of the
Group.
The overall responsibility for Group-wide risk
management lies with the Stadtwerke Leipzig
GmbH’s executive management, while operational
management in the business units and
subsidiaries is directly responsible for the early
detection, analysis, control and communication
of risks. The RMS has a decentralised structure,
and the main structural features are the functions
of the risk owner, the divisional/departmental
risk manager, central risk management
(risk controlling) and the Stadtwerke Leipzig
GmbH Risk Commission.
Risk communication proceeds from the risk
owners to the responsible heads of the business
units or managing directors of the subsidiary
companies – and then in aggregated form to the
management of Stadtwerke Leipzig GmbH. The
subject and frequency of reports are determined
by the analysis-related rules of the risk portfolio,
which is regularly reviewed and confirmed by
the Risk Commission.
Stadtwerke Leipzig GmbH’s business units and
its majority-owned direct subsidiaries are involved
in the RMS in an identical manner. For
direct subsidiaries that are not majority-owned
by Stadtwerke Leipzig GmbH or have no business
Annual Financial Statements of Stadtwerke Leipzig GmbH | 25