Download Annual Report 2006 - Mühlbauer Group

CONSOLIDATED FINANCIAL STATEMENTS, NOTES49• Development expenses: When investigating the intrinsicvalue of the capitalized development costs, the company,on principle, targets the opportunity to draw a futureeconomic benefit from the utilization of any resultingproducts. Factors such as the overall market and competitiveassessment and the corresponding marketabilityrisks as well as alterations of base technologies can resultin a value adjustment.• Accruals: The valuation of pension obligations is basedon a method that takes into account the various parameters,such as percentage of discount, the expectedsalary, wage and pension trend as well as earnings fromplan assets. If these parameters develop considerablydifferent than expected, this can impact pension obligationssignificantly. The formation of other accruals isbased on assumptions in respect of the obligations. Theassumptions can entail risks and insecurities that maylead to the fact that the actual obligations deviate considerablyfrom the amounts currently estimated.Any change of estimate is recorded for the respective periodand offset against the item in respect of which it wasformed.Interpretations and amendments of published standards,which must be applied from 2006 onwardsThe amendment of IAS 19 “Employee benefits” must beapplied to reporting periods commencing on or after 1January 2006. The amendments introduce the opportunityof an alternative method for the recording of actuarialgains and losses. Moreover, the amendments may resultin further accounting requirements for the joint schemes ofseveral employers, who hold insufficient information to applyaccounting to performance-oriented schemes. Additionally,new information must be provided in the notes.Further publications and amendments:• IAS 21 (Amendment)“The Effects of Changes in Foreign Exchange Rates”• IFRS 1 (Amendment)“First-time Adoption of International Financial ReportingStandards”• IFRS 6“Exploration for and Evaluation of Mineral Resources”• IFRS 6 (Amendment)“Exploration for and Evaluation of Mineral Resources”• IAS 39 (Amendment)“Financial Instruments: Recognition and Measurement”• IFRS 4 (Amendment)“Insurance Contracts”• IFRIC 4“Determining whether an Arrangement contains a Lease”• IFRIC 5“Rights to Interests arising from Decommissioning,Restoration and Environmental Rehabilitation Funds”• IFRIC 6 “Liabilities arising from Participation in a SpecificMarket”• IFRIC 7“Applying the Restatement Approach under IAS 29Financial Reporting in Hyperinflationary Economies”• IFRIC 8”Scope of IFRS 2”The initial application of these standards or amendmentsresulted in extended statements in the notes, in particular.