ABB Annual Report 2012 PDF - ABB Group Annual Report 2012

Note 13Provisions and other currentliabilities and other non-currentliabilities“Provisions and other current liabilities” consisted of the following:December 31, ($ in millions) 2012 2011Contract-related provisions 684 588Taxes payable 369 377Restructuring and other related provisions 227 242Provisions for contractual penalties and compliance and litigation matters 223 225Provision for insurance related reserves 215 208Current derivative liabilities (see Note 5) 196 431Pension and other employee benefits (see Note 17) 164 76Income tax related liabilities 41 153Environmental provisions (see Note 15) 22 22Other 226 297Total 2,367 2,619“Other non-current liabilities” consisted of the following:December 31, ($ in millions) 2012 2011Income tax related liabilities 732 647Non-current deposit liabilities (see Note 9) 283 286Environmental provisions (see Note 15) 69 70Non-current derivative liabilities (see Note 5) 69 61Deferred income 48 56Other 365 376Total 1,566 1,496Note 14LeasesThe Company’s lease obligations primarily relate to real estate and office equipment. Rent expense was $610 million,$601 million and $510 million in 2012, 2011 and 2010, respectively. Sublease income received by the Company onleased assets was $25 million, $41 million and $44 million in 2012, 2011 and 2010, respectively.At December 31, 2012, future net minimum lease payments for operating leases, having initial or remaining noncancelablelease terms in excess of one year, consisted of the following:($ in millions)2013 5272014 4352015 3642016 2972017 221Thereafter 2952,139Sublease income (62)Total 2,077At December 31, 2012, the future net minimum lease payments for capital leases and the present value of the netminimum lease payments consisted of the following:($ in millions)2013 312014 282015 242016 152017 8Thereafter 82Total minimum lease payments 188Less amount representing estimated executory costs included in total minimum lease payments (2)Net minimum lease payments 186Less amount representing interest (83)Present value of minimum lease payments 103ABB Annual Report 2012 | Financial review 109