Chrysler 2011 Annual Report Download - page 81

Report on
Operations
80
Financial
Review –
Fiat Group
Statement of Financial Position for Fiat Group at 31 December 2011
Total assets amounted to €80,031 million at 31 December 2011 and included assets recognized upon initial consolidation of Chrysler in the amount
of €26,333 million. Total assets of €73,442 million at 31 December 2010 related to Fiat Group pre Demerger, of which €41,521 million for Continuing
Operations.
Non-current assets totaled €43,477 million at year end. The €26.2 billion increase for the year (€17.3 billion at 31 December 2010) was almost entirely
attributable to the consolidation of Chrysler. Net of that change in scope of operations and measurement of Fiat’s right to receive an additional 5% ownership
interest in Chrysler upon occurrence of the Ecological Event (which took place at the beginning of 2012), non-current assets were essentially unchanged.
Current assets totaled €36,488 million, representing an increase of €6,711 million. Net of the change in financial receivables from Fiat Industrial – totaling
€5.6 billion at year-end 2010 and subsequently settled along with the associated liabilities – current assets were approximately €12 billion higher almost
entirely as a result of consolidation of the assets of Chrysler, consisting primarily of cash and inventories.
Working capital (net of items relating to vehicles sold under buy-back commitments that are held in inventory) was a negative €9,693 million (negative
€4,666 million at 31 December 2010). The change includes the impact of the consolidation of Chrysler, which ended the year with negative working capital
of approximately €4.1 billion.
(€ million) 31.12.2011 31.12.2010 Change
Inventory (a) 7,729 3,806 3,923
Trade receivables 2,625 2,259 366
Trade payables (16,418) (9,345) (7,073)
Current taxes receivable/(payable) & Other current receivables/(payables) (b) (3,629) (1,386) (2,243)
Working capital (9,693) (4,666) (5,027)
(a) Inventory is reported net of the value of vehicles repurchased under buy-back commitments that are held for sale by Fiat Group Automobiles and Chrysler and those sold under buy-back
commitments that are still held by customers
(b) Other current payables, included under current taxes receivable/(payable) & other current receivables/(payables), exclude the buy-back price payable to customers upon expiration of
lease contracts and advance payments from customers for vehicles sold under buy-back commitments, which is equal to the difference, at the contract date, between the initial sale
price and the buy-back price. Recognition of those amounts is apportioned over the duration of the contract
At 31 December 2011, trade receivables, other receivables and receivables from financing activities falling due after that date and sold without recourse –
and, therefore, eliminated from the statement of financial position pursuant to the derecognition requirements of IAS 39 – totaled €3,858 million (€3,524
million at 31 December 2010). That amount includes €2,495 million (€2,376 million at 31 December 2010) in receivables from financing activities, mostly
relating to the sales network, that were sold to jointly-controlled financial services companies (FGA Capital group).
Excluding the impact of consolidation of Chrysler, working capital decreased approximately €1.2 billion (at constant exchange rates).