ANNUAL REPORT 2011 - Kuehne + Nagel

90
Consolidated Financial Statements 2011 _ _ _ _ _ _ Other Notes
Authorised and conditional share capital
The Annual General Meeting held on May 18, 2010, extended its
authorisation of authorised share capital up to a maximum
of CHF 20 million by a further two years until May 8, 2012.
The Annual General Meeting held on May 2, 2005, approved a
conditional share capital increase up to a maximum of CHF 12 million
and to add a respective section in the articles of association.
So far no use has been made of these rights. There is no resolution
of the Board of Directors outstanding for further issuance of either
authorised or conditional capital.
At the Annual General Meeting held on May 2, 2006, the shareholders
approved a 1:5 split of the registered shares and a commensurate
increase in the number of Kuehne + Nagel shares. At
the same time the nominal value per share relating to approved
share capital and conditional share capital was also lowered from
CHF 5 to CHF 1.
Capital Management
The Group defines the capital that it manages as the Group’s
total equity, including non-controlling interests. The Group’s
main objectives when managing capital are:
— To safeguard the Group’s ability to continue as a going concern,
so that it can continue to provide services to its customers;
— To provide an adequate return to investors based on the level
of risk undertaken;
— To have the necessary financial resources available to allow
the Group to invest in areas that may deliver future benefits
for customers and investors.
Capital is monitored on the basis of the equity ratio and its
development is shown in the table below:
CHF million 2011 2010 2009 2008 2007
Total equity 2,405 2,378 2,290 2,073 2,367
Total assets 6,141 5,941 5,933 5,555 6,438
Equity ratio in per cent 39.2 40.0 38.6 37.3 36.8
The Group is not subject to regulatory capital adequacy requirements
as known in the financial services industry.
36 Provisions for pension plans
and severance payments
The Group maintains defined benefit pension plans predomi-
nantly in Germany, the Netherlands, the USA and Switzerland as
well as defined contribution plans in some other countries.
Retirement benefits vary from plan to plan reflecting applicable
local practices and legal requirements. Retirement benefits are
based on years of credited service and the compensation as
defined.