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C | Combined Management Report | Liquidity and Capital Resources
Other financial obligations, financial guarantees
and contingent liabilities
In the context of its normal business operations, the Group
has entered into other financial obligations in addition
to the liabilities shown in the consolidated balance sheet at
December 31, 2013. Table  C.28 provides an overview of
the nominal amounts of other financial obligations. With regard
to their maturities, we refer to E Note 30 (Financial guaran-
tees, contingent liabilities and other financial commitments) and
E Note 32 (Management of financial risks) of the Notes
to the Consolidated Financial Statements.
Within the context of financial guarantees, Daimler generally
guarantees the settlement of the payment obligations of
the main debtor vis-à-vis the holder of the guarantee. The max-
imum potential obligation resulting from these guarantees
amounts to €0.8 billion at December 31, 2013 (end of 2012:
€1.0 billion); liabilities recognized in this context amount
to €0.1 billion at the end of the year (end of 2012: €0.1 billion).
Most of the financial guarantees relate to the situations
described as follows: In connection with the transfer of a major-
ity interest in Chrysler, Daimler provides guarantees for
Chrysler obligations; at December 31, 2013, those guarantees
amounted to €0.3 billion, whereby Chrysler provided €0.2
billion on an escrow account as collateral for the guaranteed
obligations. Another financial guarantee of €0.1 billion relates
to bank loans of Toll Collect GmbH, the operator company
of the toll-collection system for trucks in Germany. Other risks
arise from an additional guarantee that the Group provided
for obligations of Toll Collect GmbH to the Federal Republic
of Germany. This guarantee is related to the completion and
operation of the toll-collection system. A claim on this guarantee
could primarily arise if for technical reasons toll revenue is
lost or if certain contractually defined parameters are not fulfilled,
if the Federal Republic of Germany makes additional claims
or if the final operating permit is not granted. Furthermore,
arbitration proceedings have been initiated against the Group.
The maximum obligation that could result from this guarantee
is substantial, but cannot be reliably estimated.
The contingent liabilities principally constitute buyback
obligations. At December 31, 2013, the best possible estimate
for the loss risk from these guarantees amounted to €1.0
billion (December 31, 2012: €0.8 billion). Warranty and good-
will commitments (product guarantees) provided by the
Group in connection with its vehicle sales are not included
in the contingent liabilities. Contingent liabilities also include
other contingent liabilities. They mainly comprise possible
expenses from liability and litigation risks as well as from tax
risks and import-duty risks. The best possible estimate
for a possible expense from the other contingent liabilities
is €0.4 billion (2012: €0.1 billion).
Further information on other financial obligations and contingent
liabilities from guarantees granted as well as on the electronic
toll-collection system and related risks is provided in E Note 30
(Financial guarantees, contingent liabilities and other financial
commitments) and E Note 29 (Legal proceedings) of the Notes
to the Consolidated Financial Statements.
C.27
Net debt of the Daimler Group
Dec. 31,
2013
Dec. 31,
2012 13/12
In millions of euros Change
Cash and cash equivalents 11,053 10,996 +57
Marketable debt securities 7,066 5,598 +1,468
Liquidity 18,119 16,594 +1,525
Financing liabilities -77,738 -76,251 -1,487
Market valuation and currency
hedges for financing liabilities
-3
665 -668
Financing liabilities (nominal) -77,741 -75,586 -2,155
Net debt -59,622 -58,992 -630
C.28
Other financial obligations (nominal amounts)
Dec. 31, Dec. 31,
2013 2012
In millions of euros
Obligations from purchasing
agreements
9,771
8,763
Non-terminable rental and
leasing agreements
1,980
2,139
Irrevocable loan obligations 1,508 1,022
Other miscellaneous financial
obligations
1,356
1,396
Other financial obligations 14,615 13,320