TDC Group Annual Report 2011(6,4MB) - TDC Annual Report 2011

C: Pensions for former Danish civil servants
TDC has employees who as civil servants have retained
their rights to defined pension benefits from the Danish
government due to previous employment agreements. In
1994, TDC reached an agreement with the Danish
government to make a non-recurring payment of DKK
1,210m in respect of TDC’s pension obligation to
employees who participated in the Danish civil servants’
pension plan. Under the agreement, TDC’s pension
contributions to the Danish Government ceased at 1 July
1994. Previously, TDC paid annual pension contributions to
TDC Group Annual Report 2011
the Danish government. The agreed non-recurring payment
was treated as a prepaid expense, which was amortised and
expensed over the period 1994 to 2008.
In connection with the reduction in the number of
employees in 2011 and previous years, some retired
employees have retained their rights to civil servant
pensions from the Danish government. It is deemed that
the retirements will not cause further payments.
Note 28 Adjustment for non-cash items DKKm
2011 2010
Pension income 152 160
Share-based remuneration 43 0
(Gain)/loss on disposal of enterprises and property, plant and equipment, net (6) (4)
Other adjustments (46) 61
Total 143 217
Note 29 Change in working capital DKKm
2011 2010
Change in inventories 25 (42)
Change in receivables (185) 805
Change in trade payables 196 340
Change in other items, net (103) (532)
Total (67) 571
Note 30 Investment in enterprises
2011
In 2011, TDC made the following acquisitions:
In March 2011, TDC Hosting A/S acquired 100% of the shares in the hosting service provider DIR A/S. The acquisition is
expected to improve TDC's market position in the hosting segment.
In May 2011, TDC A/S acquired 100% of the shares in the mobile service provider Onfone ApS. The acquisition is expected to
improve TDC's market position in the mobile discount segment.
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