Revizorski izvjestaj 2006 (pdf) - Montenegro berza

NOTES TO THE FINANCIAL STATEMENTS
December 31, 2006
CRNOGORSKA KOMERCIJALNA BANKA A.D., PODGORICA
3. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
3.11. Employee Benefits
In accordance with the Collective Bargaining Agreements, the Bank has an obligation to disburse
an employment retirement benefit to a retiree, in an amount equal to twelve average net salaries
effective in the Bank in the month prior to the employee’s retirement. In addition, employees are
entitled to receive employment anniversary awards at their 10 th 20 th and 30 th employment
anniversaries with the Bank as follows:
- for 10 years of service – one minimal salary in the Bank,
- for 20 years of service – two minimal salaries in the Bank,
- for 30 years of service – three minimal salaries in the Bank.
The Bank does not have defined benefit plans or share-based remuneration options as of
December 31, 2006. The Bank’s management judges that the present value of the future
obligations to employees with respect to retirement benefits and jubilee awards are not materially
significant as of December 31, 2006.
4. INTEREST INCOME AND EXPENSE AND SIMILAR INCOME AND EXPENSE
a) Interest Income
(thousands of €)
Year Ended December 31,
2006 2005
Loans and advances to customers 23,271 13,061
Placements to banks 2,114 676
Treasury bills 104 378
Obligatory reserve 124 72
25,613 14,187
b) Interest Expense and Similar Charges
(thousands of €)
Year Ended December 31,
2006 2005
Interest expense and similar charges
Deposits from customers 13,177 5,609
Deposits from banks 1,198 1,443
Borrowed funds 1,856 522
16,231 7,574
14