Chrysler 2005 Annual Report Download - page 236

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Fiat S.p.A. Financial Statements at D ecember 31, 2005 - N otes to the Financial Statements
Deferred income
Deferred income amounted to 19 thousand euros at D ecember 31, 2005, unchanged with respect to the figure reported at December 31,
2004. D eferred income refers to income to be recognised in 2006.
14. Memorandum accounts
Guarantees granted
Unsecured guarantees
Suretyships
Suretyships totalled 1,257,760 thousand euros at D ecember 31, 2005.
They include suretyships provided on behalf of FiatSava S.p.A. to secure a debenture issue (410,303 thousand euros) and to secure Billets de
Trésorerie issued by Group companies and third parties (totalling 314,000 thousand euros), bank loans (344,359 thousand euros), and rental
obligations for buildings in relation to real estate securitisation operations carried out in previous years (189,098 thousand euros).
The net decrease of 530,900 thousand euros from D ecember 31, 2004 is mainly due to lower guarantees provided to secure Sava debentures
(598,064 thousand euros) and rental obligations for buildings (218,834 thousand euros), partially offset by higher guarantees for financings
(171,998 thousand euros) and the issuance of Billets de Trésorerie (114,000 thousand euros).
O ther unsecured guarantees
This item totalled 7,220,706 thousand euros at D ecember 31, 2005.
It includes the following:
7,100,924 thousand euros in guarantees provided on behalf of subsidiaries to secure loans (Banco CN H Capital S.A. 651,973 thousand
euros, CN H America LLC 130,103 thousand euros, Fiat Automoveis S.A. 78,040 thousand euros, Iveco Fiat Brasil Ltda 14,724 thousand
euros, Magneti Marelli Controle Motor Ltda 3,248 thousand euros, Iveco Latin America Ltda 2,178 thousand euros), bond issues (Fiat
Finance and Trade Ltd 5,426,621 thousand euros, Fiat Finance Canada Ltd. 100,000 thousand euros, Fiat Finance Luxembourg S.A. 14,571
thousand euros), credit lines (CN H Capital America LLC 127,130 thousand euros, CN H Capital Canada Ltd. 39,738 thousand euros, N ew
Holland Credit Company LLC 32,920 thousand euros, CN H Capital Australia Pty Ltd 12,057 thousand euros, Fiat India Private Limited 6,686
thousand euros, Comau India Private Limited 201 thousand euros, N ew Holland Tractors (India) Pty Ltd 73 thousand euros),VAT credits
under the Group consolidation process (278,260 thousand euros), as provided under Ministerial D ecree of 12/13/79 as amended, and
sundry guarantees (182,401 thousand euros);
119,782 thousand euros in miscellaneous guarantees.
The net decrease of 2,547,542 thousand euros with respect to D ecember 31, 2004 is due mainly to fewer guarantees on behalf of subsidiaries
following the reimbursement of bonds and the extinguishment of financings.
Although they are not included in memorandum accounts, mention is made of the following:
At December 31, 2005, outstanding trade and other receivables sold without recourse and due after that date totalled 688 million euros
(415 million euros in 2004 due after December 31, 2004). The turnover of discounting without recourse totalled 1,537 million euros in
2005 (843 million euros in 2004).At December 31, 2005, there was no risk of recourse against sold receivables as there were no
receivables sold with recourse outstanding at that date.