Chrysler 2012 Annual Report Download - page 152

151
Consolidated
Financial Statements
at 31 December 2012
5. Other income/(expenses)
Other net expenses amounting to €103 million in 2012 (net expenses of €49 million in 2011) consists of miscellaneous operating costs not attributable to
specific functional areas, such as accruals to miscellaneous provisions and indirect taxes and duties, net of other income which is not attributable to the
typical sales and services operations of the Group.
6. Result from investments
In 2012 the net gain, amounting to €107 million (a net gain of €131 million in 2011), consists mainly of the Group’s share of €94 million (€146 million in
2011) in the net profit or loss of investees accounted for using the equity method; the item also includes write-downs for impairment, reversals, accruals to
provisions against investments and dividends.
In particular, in 2012, the item includes (amounts in € million): investments held by the EMEA region €160 million (€160 million in 2011), the investment in
RCS MediaGroup in respect of the investee’s loss -€68 million (-€2 million in 2011), investments held by the Components and Production System operating
segment €2 million (-€15 million in 2011) and other investments €13 million (-€12 million in 2011).
7. Gains/(losses) on the disposal of investments
In 2012, this item includes the write-down of €91 million of the investment in Sevelnord Société Anonyme following its reclassification to Assets held for sale
and subsequent measurement at fair value.
In 2011, Gains/(losses) on the disposal of investments amounted to a net gain of €21 million and included, among others, the gain of €8 million arising from
the disposal of the investment in Fiat Switzerland to the Fiat Industrial group.
8. Restructuring costs
Restructuring costs, a net cost of €15 million in 2012, relates to the EMEA region for €43 million, the Component and Production System operating
segment and Other Activities for €20 million. The item includes the release of restructuring provisions previously made by the NAFTA region for €48 million.
Restructuring costs in 2011 amounted to €102 million and mainly related to the EMEA region for €78 million and the Component and Production System
operating segment for €16 million.
9. Other unusual income/(expenses)
In 2012 other unusual expense of €145 million consists mainly of costs arising from disputes relating to operations terminated in prior years, costs related
to the termination of the joint venture Sevelnord Société Anonyme and to the process of rationalising relations with certain suppliers.
Other unusual income amounted to €2,100 million in 2011. Of this, €1,729 million related to the gain resulting from the measurement at fair value of the
investment of 30% in Chrysler held before the acquisition of control and €288 million to the valuation of the right to receive an additional ownership interest
of 5% following the occurrence of the Ecological Event. In 2011, Other unusual income also included a gain of €69 million on Other post-employment
benefits arising from a plan amendment associated with a Chrysler legal services plan which will terminate in 2013.
Other unusual expenses, amounting to €1,075 million in 2011, included €220 million relating to the revaluation of the inventories of Chrysler on initial
consolidation as the consequence of measuring the identifiable assets acquired and identifiable liabilities assumed at fair value, this item was recognised as
an expense in the income statement in June of the same year as a result of the rapid turnover of inventories. The amount of €855 million arising from the
other regions and operating segments (mainly the EMEA region) was principally the result of the process for the strategic realignment of the manufacturing
and commercial activities of Fiat with those of Chrysler, which accelerated further following the acquisition of control, as well as the realignment of certain
minor activities. The above-mentioned amount included the write-down of Goodwill by €224 million, of Development costs by €161 million, and of certain
Fixed assets by €302 million.