Service-oriented - Die Schweizerische Post

29 Contingent liabilities
Annual Report | Financial Report | Financial statements of Swiss Post Group
Contingent liabilities were as follows as at 31 December 2006:
Guarantees
Guarantees and guarantee obligations amount to 59 million francs (2005: 8 million francs). The increase was
based largely on a guarantee declaration by DocumentServices AG to Swisscom IT Services AG.
Legal cases
As regards claims or legal cases for which provisions have not been set up, the Executive Management believes
either that they can be refuted or that they will not have a major impact on the Group’s financial situation or
operating result.
30 Related parties and key employees
Pursuant to IFRS, Swiss Post Group has relations with related parties such as subsidiaries, associates and
key employees. Likewise, as the owner of Swiss Post, the Swiss Confederation is now deemed to be a related
party.
All transactions between Swiss Post and related parties are concluded at market rates. As the owner of
Swiss Post, the Confederation paid compensation of 80 million francs (2005: 80 million francs) and 187 million
francs (2005: 188 million francs).
Transactions between Swiss Post and its subsidiaries were eliminated on consolidation and not included in the
information contained in these Notes.
Swiss Post and its subsidiaries carried out the following transactions with related parties that are not part
of the Group.
Sales of goods and
services
Purchases of goods
and services
Receivables and loans
with related parties
Liabilities with
related parties
CHF m
2006 2005 2006 2005 31. 12. 2006 31. 12. 2005 31. 12. 2006 31. 12. 2005
Companies with joint management or significant influence 490 399 245 208 152 603 446 310
Swiss Confederation 309 250 64 65 104 585 277 75
Swisscom 139 113 90 78 13 6 18 19
Swiss Federal Railways 42 36 91 65 35 12 151 216
RUAG 0 0 0 0 0 0 0 0
Skyguide 0 0 0 0 0 0 0 0
Transactions with minority shareholders of subsidiaries 26 25 0 0 2 2 0 –
Associates 10 8 7 2 0 2 1 0
Other related parties 0 – 54 84 0 – 10 1
Compensation paid to key employees
In the past business year, compensation including fringe benefits of 5.5 million francs (2005: five million
francs) and pension benefits of around one million francs – as in the previous year – were paid to key
employees. Those defined as key employees are members of the Board of Directors and Executive Management.
The performance­based component paid out to members of Executive Management in 2006 was based
on the 2005 target attainment and amounted to around one million francs (2005: approx. one million francs).
There are no loan agreements in place with key employees.
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