Panalpina Annual Report 2011

86
6
Consolidated Financial Statements 2011
Information by business
The Group’s business can be divided into three divisions: Air Freight, Ocean Freight and Logistics.
2011 (in million CHF)
Panalpina Annual Report 2011
Air Freight
Ocean
Freight
Logistics
Total Group
Net forwarding revenue 3,281 2,313 906 6,500
Forwarding services from third parties (2,593) (1,874) (556) (5,023)
Gross profit 688 439 350 1,477
2010 (in million CHF)
Air Freight
Ocean
Freight
Logistics
Total Group
Net forwarding revenue 3,503 2,771 890 7,164
Forwarding services from third parties (2,836) (2,318) (530) (5,684)
Gross profit 667 453 360 1,480
Personnel expenses
in thousand CHF 2011 2010
Wages and salaries 695,473 694,834
Compulsory social security contributions 84,421 85,304
Contributions to defined contribution plans 49,166 47,649
Expenses related to defined benefit plans (note 7) 987 4,946
Staff training
Share-based compensation (note 8)
8,823 7,561
Equity-settled compensation plan 1,917 2,216
Cash-settled compensation plan 1,019 65
Other personnel-related expenses 50,615 48,362
Total personnel expenses 892,421 890,937
Number of employees 15,051 14,136
thereof in Switzerland 775 749
7
Post-employment benefit obligations
Panalpina’s objective is to provide attractive post-employment benefits to employees, while at the same time ensuring that the various plans
are appropriately financed, while managing any potential impacts on the Group’s long-term financial position. The nature of such plans
varies according to legal regulations and fiscal requirements in the countries in which the employees are employed. Other post-employment
benefits consist mostly of post-retirement schemes. Post-employment benefit plans are classified for IFRS as “defined contribution plans”
if the Group pays fixed contributions in a separate fund or to a third-party financial institution and will have no further legal or constructive
obligation to pay further contributions. All other plans are classified as defined benefit plans. The Group’s major defined benefit plans are
located in Switzerland, Germany, Japan, Taiwan and France. Plans are usually established as trusts independent of the Group and are
funded by payments from the Group and by employees. In some cases, notably for the major defined benefit plans in Germany and Japan,
the plans are unfunded and the Group pays pensions to retired employees directly from its own financial resources.
Current and past services as well as expected returns on plan assets and interest costs are charged to the income statement as personnel
expenses. Actuarial gains and losses are recorded directly in equity. The recognition of pension assets is limited to the total of the
present value of any future refunds from the plans or reduction in future contributions to the plans and any cumulative unrecognized past
service costs. Adjustments arising from the limit on the recognition of assets for defined benefit plans are recorded directly in equity.
Qualified independent actuaries carry out valuations on a regular basis and for major plans annually as at the reporting date. For funded
plans, which are usually trusts independent of the Group’s finances, the net asset / liability recognized on the Group’s statement of