annual report - FIAT SpA

Other non-current provisions
At 31 December 2010, this item totaled €1,021 thousand (€1,245 thousand at 31 December 2009) and mainly relates
to future amounts to be paid to employees who left the Company in previous years under a long-term benefit program
which bridges the period prior to retirement.
During 2009, changes in provisions for employee benefits and other non-current provisions were as follows:
(€ thousand) 31 December 2008 Accruals Utilizations Other changes 31 December 2009
Provisions for employee benefits and similar provisions 25,163 2,256 (2,459) (764) 24,196
Other non-current provisions
Total provisions for employee benefits and
1,255 - (10) - 1,245
other non-current provisions 26,418 2,256 (2,469) (764) 25,441
21. Non-current financial liabilities
At 31 December 2010, non-current financial liabilities totaled €2,561,442 thousand, an increase of €744,660 thousand
over 31 December 2009, and included the following:
(€ thousand) 31 December 2010 31 December 2009 Change
Financial payables to Group companies 2,550,000 1,800,000 750,000
Financial guarantees 11,442 16,782 (5,340)
Total non-current financial liabilities 2,561,442 1,816,782 744,660
Financial payables to Group companies related to euro-denominated loans received from Fiat Finance S.p.A. which are
due beyond 12 months. Interest is payable on those loans at rates between 6.81% and 7.18%. The amount reported at
31 December 2010 is net of €1,050,000 thousand reclassified under "Liabilities to be demerged" (see Note 18),
representing non-current financial payables to be demerged to Fiat Industrial S.p.A. as a result of the Demerger.
Principal changes during 2010 included repayment of a €400 million loan received on 24/05/2006 (maturing 24/02/2010
with interest of 6.35% p.a.), in addition to two new variable rate loans received, respectively, on 05/03/2010 for €400
million (maturing 05/03/2012) and on 23/06/2010 for €750 million (maturing 22/06/2012).
The breakdown of loans by maturity is as follows:
(€ thousand) 31 December 2010
Maturing in 2011 400,000
Maturing in 2012 1,150,000
Maturing in 2013 1,000,000
Total financial payables to Group companies 2,550,000
The fair value of these loans at 31 December 2010 was €2.7 billion and was calculated using market rates of interest
appropriately adjusted to reflect the credit spreads applicable to Fiat at the balance sheet date.
The item financial guarantees represents the fair value of the liabilities assumed in relation to guarantees issued. After
assessing the potential risks in relation to which contingent liabilities must be recognized and given that this item
relates essentially to guarantees provided in relation to loans received by Group companies, it has been concluded that
the present value of fees receivable for guarantees issued (see other financial assets in Note 12) represented the best
estimate of the fair value of these guarantees.
The breakdown by maturity date is as follows:
(€ thousand)
Financial guarantees
31 December 2010 31 December 2009
due within one year 3,593 5,344
due after one year but within five years 7,746 11,145
due beyond five years 103 293
Total 11,442 16,782
Fiat S.p.A. – Statutory Financial Statements at 31 December 2010 298