BMW 2014 Annual Report Download - page 144

144
90 GROUP FINANCIAL STATEMENTS
90 Income Statements
90 Statement of
Comprehensive Income
92 Balance Sheets
94 Cash Flow Statements
96 Group Statement of Changes in
Equity
98 Notes
98 Accounting Principles and
Policies
116 Notes to the Income Statement
123 Notes to the Statement
of Comprehensive Income
124
Notes to the Balance Sheet
149 Other Disclosures
165 Segment Information
in € million 1. 1. 2014 Translation Additions Reversal of Utilised Reversed 31. 12. 2014
differences
discounting
Obligations for personnel and social expenses 1,698 13 1,438 9 – 1,271 – 16 1,871
Obligations for ongoing operational expenses 3,468 304 2,435* 70 – 1,304 – 86 4,887
Other obligations 2,074 62 602 23 – 449 – 280 2,032
Other provisions 7,240 379 4,475 102 – 3,024 – 382 8,790
* Including the reclassification described in note 31 amounting to € 641 million.
in € million 31. 12. 2014 31. 12. 2013*
Total thereof Total thereof
due within due within
one year one year
Obligations for personnel and social expenses 1,871 1,442 1,698 1,300
Obligations for ongoing operational expenses 4,887 1,786 3,468 1,076
Other obligations 2,032 1,294 2,074 1,036
Other provisions 8,790 4,522 7,240 3,412
* Prior year figures have been adjusted in accordance with IAS 8, see note 9.
37
Other provisions
Other provisions comprise the following items:
Provisions for obligations for personnel and social ex-
penses comprise mainly performance-related remunera-
tion components, early retirement part-time working
arrangements and employee long-service awards. Obli-
gations for performance-related remuneration compo-
nents are normally settled in the following financial year.
Provisions for obligations for on-going operational
ex-
penses relate primarily to warranty obligations and com-
prise both statutorily prescribed manufacturer warranties
and other guaranties offered by the BMW Group. De-
pending on when claims are made, it is possible that
the BMW Group may be called upon to fulfil obligations
over the whole period of the warranty or guarantee.
Provisions for other obligations cover numerous specific
risks and obligations of uncertain timing and amount,
in particular for litigation and liability risks.
Other provisions changed during the year as follows:
Income from the reversal of other provisions amounting to € 198 million (2013: € 134 million) is recorded in cost of
sales and in selling and administrative expenses.
to measure the level of funding. In conjunction with
these valuations, funding plans are drawn up and the
amount of any special allocations determined.
Statutory minimum funding and recovery requirements
apply in the UK and the USA which may have an effect
on future amounts. Valuations are performed regularly