Chrysler 2003 Annual Report Download - page 167

166 Fiat S.p.A. Financial Statements at December 31, 2003
Notes to the Financial Statements
Advances
Advances totaled 5,371,032 thousand euros and consisted of advances received from Treno Alta Velocità – T.A.V. S.p.A. for the
High-Speed Railway Project, as previously described at Note 4, Inventories. They refer mainly to work completion and contractual
advances. The Florence-Bologna line accounted for 2,873,802 thousand euros and the Turin-Novara sub-line for 2,497,230 thousand
euros. Work completed as at December 31, 2003 amounted to 2,591,299 thousand euros and 2,181,817 thousand euros, respectively.
The 1,511,988 thousand euro increase since December 31, 2002 is due to 317,225 thousand euros in advances received for work
completed on the Florence-Bologna line and advances for work completion on the Turin-Novara sub-line in the amount of 1,194,763
thousand euros.
T.A.V. S.p.A. has been provided with bank suretyships to secure these advances and proper execution of work for a total of 1,565,814
thousand euros, as described more exhaustively in Notes 4 and 14.
Trade payables
Trade payables stem from services received (consulting, publications, etc.) and amounts due to CAV.E.T. and CAV.TO.MI. for progress
payments due for work completed in the fourth quarter of 2003 and paid in the first quarter of 2004. They totaled 399,485 thousand
euros at December 31, 2003, a net increase of 76,357 thousand euros compared with December 31, 2002, mainly due to the
consideration owed to the CAV.TO.MI. Consortium.
Payables to subsidiaries
These stood at 402,819 thousand euros at December 31, 2003, showing a net decrease of 77,746 thousand euros from a year earlier.
A breakdown of this item is as follows:
(in thousands of euros) 12/31/03 12/31/02 Change
Financial payables 383,334 466,563 (83,229)
Trade payables 15,635 12,991 2,644
Other payables 3,850 1,011 2,839
Total payables to subsidiaries 402,819 480,565 (77,746)
Financial payables at December 31, 2003 include 250,000 thousand euros for the fixed rate loan payable to the subsidiary Fiat Ge.Va.
S.p.A. and due on July 15, 2004, and amounts payable to subsidiaries for their VAT receivables, which they transferred to Fiat S.p.A.
under the consolidated VAT filing system (133,334 thousand euros).
Trade payables reflect the purchase of external relations, administrative and general services.
Taxes payable
At December 31, 2003, taxes payable totaled 10,702 thousand euros, a net decrease of 997 thousand euros from the figure at
December 31, 2002. A breakdown is as follows:
(in thousands of euros) 12/31/03 12/31/02 Change
VAT payable 5,866 4,631 1,235
Liability for substitute tax payable on the capital gain from the sale of IN.TE.SA.
(Legislative Decree No. 358/1997) 1,747 3,494 (1,747)
Taxes withheld on payments to employees and independent contractors 2,624 3,143 (519)
Miscellaneous items 465 431 34
Total taxes payable 10,702 11,699 (997)
The last installment of the substitute tax payable on the capital gain earned on the sale of IN.TE.SA. S.p.A. will be paid within the
filing deadline for the 2003 tax return.
Social security payable
This item totaled 2,344 thousand euros at December 31, 2003, an increase of 909 thousand euros from December 31, 2002.