Annual Accounts and Report as at 30 June 2011 Draft - Mediobanca

Dividends and commissionsThese are recognized as and when they are realized, provided there isreasonable likelihood that future benefits will accrue.Fees included in amortized cost for purposes of calculating the effectiveinterest rate are not included, but are recorded under net interest income.Related parties (IAS 24)In accordance with IAS 24, related parties are defined as:a) individuals or entities which directly or indirectly:1. are subject to joint control by Mediobanca (including the parent company,subsidiaries and associates);2. hold an interest in Mediobanca which allows them to exert a significantinfluence over Mediobanca: significant influence is presumed to exist incases where an individual or entity holds an interest of more than 5% inthe share capital of Mediobanca, along with the entitlement to appoint atleast one member of the Board of Directors;b) associate companies;c) management with strategic responsibilities, that is, individuals with powersand responsibilities, directly or indirectly, for the planning, direction andcontrol of the parent company’s activities, including the members of the Boardof Directors and Statutory Audit Committee;d) subsidiaries, jointly-controlled companies and companies subject tosignificant influence by one of the individuals referred to in letter c) above, orin which they themselves hold, directly or indirectly, a significant share of thevoting rights or are shareholders and hold strategic roles (Chairman or ChiefExecutive Officer);e) close family members of the individuals referred to in letter c) above, that is,individuals who may be expected to influence them or be influenced by themin their relations with Mediobanca (this category includes partners, children,partners’ children, dependents and partners’ dependents) as well as anyentities controlled, jointly controlled or subject to significant influence bysuch individuals, or in which such individuals hold, directly or directly, asignificant share of the voting rights;f) pension funds for employees of the parent company or any other entity relatedto it.86 –