BMW 2009 Annual Report Download - page 58

56
12 Group Management Report
12 A Review of the Financial Year
14 General Economic Environment
18 Review of Operations
42
BMW Group – Capital Market
Activities
45 Disclosures pursuant to § 289 (4)
and § 315 (4) HGB
48 Financial Analysis
48 Internal Management System
50 Earnings Performance
52 Financial Position
54 Net Assets Position
56 Subsequent Events Report
56 Value Added Statement
58 Key Performance Figures
59 Comments on BMW AG
63 Internal Control System
64 Risk Management
70 Outlook
Other provisions went down by 2.4 % to euro 4,764 million,
primarily reflecting lower personnel-related obligations.
Financial liabilities increased by 1.6 % to euro 61,325 mil-
lion, mainly in conjunction with the refinancing of financial
services business. Within financial liabilities, bonds in-
creased
by 11.8 % to euro 27,017 million and deposit lia-
bilities (from banking) rose by 21.0 % to euro 9,933 million.
Working in the opposite direction, liabilities to banks de-
creased by 17.7 % to euro 9,174 million and asset-backed-
financing liabilities were down by 10.2 % to euro 7,812 mil-
lion.
Trade payables amounted to euro 3,122 million and were
thus 21.9 % higher than one year earlier.
Other liabilities decreased by euro 31 million to euro 6,250
million at 31 December 2009.
Overall, thanks to the measures implemented, the BMW
Group succeeded in limiting the negative impact of the
economic and financial crisis on its earnings, financial and
net assets position.
Compensation Report
The compensation of the Board of Management com-
prises
a fixed and a variable component. In addition, bene-
fits are also payable at the end of members’ mandates,
primarily in the form of pension benefits. Further details, in-
cluding
an analysis of remuneration by individual, are dis-
closed in the Compensation Report which can be found in
the Corporate Governance section of the Annual Report
on page 151 et seq. The Compensation Report is a sub-
section of the Management Report.
Subsequent Events Report
No events have occurred after the balance sheet date which
could have a major impact on the earnings performance,
financial position and net assets of the BMW Group.
Value Added Statement
The value added statement shows the value of work
per-
formed less the value of work bought in by the
BMW
Group during the financial year. Depreciation and amortisa-
tion, cost of materials and other expenses are treated as
bought-in costs in the value added calculation. The alloca-
tion statement applies value added to each of the partici-
pants involved in the value added process. It should be
noted that the gross value added treats depreciation as a
component of value added which, in the allocation state-
ment, is treated as internal financing.
Net value added by the BMW Group in 2009 decreased by
0.3 % to euro 10,441 million. Lower cost of materials and
depreciation / amortisation expense could not fully offset
the impact of lower revenues and higher other expenses.
The bulk of the net value added (61.2 %) is applied to
employees. The amount applied to providers of finance
increased to 31.1 % mainly as a result of the higher funding
volume required for financial services business. The govern-
ment / public
sector (including deferred tax expense) ac-
counted for 5.7 % . The proportion of net value added ap-
plied to shareholders, at 1.9 % , was similar to the previous
year’s level.