Values

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Report Statements Supervisory
Board
Income Statement
Statement of Comprehensive Income
Balance Sheet
Cash Flow Statement
Statement of Changes in Equity
Notes
Deferred tax assets and liabilities resulted from the following
items and factors:
Deferred Taxes
12/31/2009 12/31/2009 12/31/2008 12/31/2008
Assets Liabilities (adjusted) (adjusted)
in € millions
Assets Liabilities
Intangible assets 357 139 361 147
Property, plant and equipment 27 133 18 169
Financial assets 7 64 12 22
Inventories 59 2 57 2
Accounts receivable 95 32 86 36
Advance payments and other assets 175 77 139 79
Provisions 300 91 301 90
Financial debt 23 89 31 79
Liabilities 11 12 12 3
Advance payments and other liabilities 52 31 53 20
Loss carry-forwards/tax credits 2,741 – 2,686 –
Subtotal 3,847 670 3,756 647
Valuation allowances (2,227) – (2,153) –
Total 1,620 670 1,603 647
Netting (567) (567) (488) (488)
Carrying amount 1,053 103 1,115 159
Current and deferred tax assets and liabilities are netted against
each other if they relate to the same tax authority and meet the
criteria for off setting.
Valuation allowances for deferred tax assets are recognized
on temporary diff erences, tax loss carry-forwards and
tax credits when it is unlikely that they can be utilized in the
foreseeable future.
Th e need to recognize valuation allowance is assessed primarily
based on existing deferred tax liabilities from temporary
Th e temporary diff erences, tax loss carry-forwards and tax credits
against which valuation allowances were recognized can be
Bertelsmann Annual Report 2009
diff erences and projected taxable income within a specifi ed
planning period.
Th e deferred tax asset carried in the U.S. in the previous
year is based on assumed positive income, which is confi rmed
in the current earnings.
Eff ective January 1, 2004, tax loss carry-forwards in Germany
can only be off set against the fi rst €1 million of taxable
profi ts plus 60 percent of profi ts above that threshold. Tax loss
carry-forwards in Germany can still be carried forward indefi -
nitely.
carried forward for the following limited periods of time:
Maturity
in € millions
Tax loss carry-forwards
12/31/2009 12/31/2008
To be carried forward for more than 5 years 7,128 6,678
To be carried forward for up to 5 years
Temporary differences
163 467
To be carried forward indefi nitely
Tax credits
107 157
To be carried forward for more than 5 years 28 16
105