Chrysler 2013 Annual Report Download - page 115

114 Report on Operations Financial Review – Fiat S.p.A.
The following information is based on the 2013 financial statements prepared in accordance with the International Financial Reporting Standards
(“IFRS”) issued by the International Accounting Standards Board (“IASB”), as adopted by the European Union, and regulations implementing
Article 9 of Italian Legislative Decree 38/2005.
Operating Performance
Fiat S.p.A. reported a loss of €227 million for 2013, compared with a loss of €152 million for the prior year.
The principal components of the income statement were as follows:
(€ million) 2013 2012
Income from investments (3) 68
Dividends 536 1,030
Impairment (losses)/reversals on investments (540) (962)
Gains/(losses) on disposals 1-
Personnel and operating costs, net of other income (28) (35)
Financial income/(expense) (210) (216)
PROFIT/(LOSS) BEFORE TAXES (241) (183)
Income taxes 14 31
PROFIT/(LOSS) FOR THE YEAR (227) (152)
Income from investments was a negative €3 million for the year (positive €68 million for 2012), with dividends received more than offset by
net impairments:
Dividends totaling €536 million included €500 million received from Fiat Gestione Partecipazioni S.p.A. (now Fiat Partecipazioni S.p.A.),
€23 million from Fiat Finance S.p.A., €5 million from Teksid S.p.A. and €8 million from Fiat Industrial S.p.A. (now CNH Industrial N.V.).
In 2012, dividends totaling €1,030 million were received from Fiat Gestione Partecipazioni S.p.A. (€1,000 million), Fiat Finance S.p.A.
(€24 million) and Fiat Industrial S.p.A. (€6 million).
Net impairment on investments of €540 million consisted of a €465 million impairment on the investment in Fiat Gestione Partecipazioni
S.p.A. (now Fiat Partecipazioni S.p.A.), aligning the carrying amount with the book value of the investee’s equity following the distribution of
reserves to Fiat S.p.A., as well as impairment losses on the investments in RCS MediaGroup S.p.A. (€74 million) and Teksid Aluminum S.r.l.
(€17 million), net of a partial reversal for Fiat Partecipazioni S.p.A., now FGA Real Estate Services S.p.A. (€16 million).
In 2012, net impairments totaled €962 million, consisting of a €933 million impairment on the investment in Fiat Gestione Partecipazioni S.p.A.,
for the same reason as the adjustment recognized in 2013, as well as impairment losses on the investments in RCS MediaGroup S.p.A.
(€35 million) and Teksid Aluminum S.r.l. (€15 million), net of a partial reversal for Fiat Powertrain Technologies S.p.A. (€21 million).
Gains on disposals totaled €1 million and related to the transfer of the shareholdings in Fiat Revisione Interna S.c.p.A. and Isvor Fiat S.c.p.A.
to Fiat Partecipazioni S.p.A. In 2012, no shareholdings were sold.
Financial Review – Fiat S.p.A.