GB00_erste lage_E - Erste Group

2000 CONSOLIDATED FIANCIAL STATEMENTS ACCORDING TO IAS
Commercial Code reporting deferred taxes is optional in the separate financial statements. According
to the Austrian Commercial Code, tax accruals and deferrals are only permissible as a
consequence of temporary differences between the result according to commercial law and the
profit determined in accordance with tax regulations, provided a tax expense would actually have
been incurred before accounting for tax losses carried forward. The Commercial Code prohibits
the capitalisation of deferred taxes from tax losses carried forward.
Fiduciary transactions In line with their economic purpose, fiduciary operations conducted in the
bank’s name but for the accounts of third parties are not included in the Balance Sheet pursuant
to IAS. According to Section 48 (1) Austrian Banking Act, such fiduciary agreements are to be
reported in principle by the fiduciary agent. However, should other regulations exist according to
which the assets held in trust can be segregated from bankruptcy proceedings, they should be
reported as an off-balance-sheet item.
Net interest income Pursuant to IAS, this item includes interest income, interest expenses, income
from investments, other dividends and income earned on variable-yield securities. Interest
income and funding expenses resulting from items attributed to the trading portfolio, on the other
hand, are reported in the Income Statement under the net trading result.
According to the form stipulated by the Austrian Banking Act, net interest income and income
from variable-yield income securities and investments are reported as two separate items.
Depreciation Included in this item are depreciation, amortisation and extraordinary write-offs of
all tangible and intangible fixed assets. Amortisation of acquired goodwill, which is accounted for
in the item depreciation according to the Austrian Commercial Code, is reported under other operating
results pursuant to IAS.
126 Erste Bank 2000