Nokia 2008 Annual Report Download - page 90

research and development presence in 16 countries. R&D expenses of Devices & Services as a
percentage of its net sales were 8.9% in 2008 compared with 7.6% in 2007 and 8.1% in 2006.
NAVTEQ R&D expenses for the six months ended on December 31, 2008 as a percentage of its net
sales were 92.0%. In the case of Nokia Siemens Networks, R&D expenses represented 16.3%, 20.5%
and 15.8% of its net sales in 2008, 2007 and 2006, respectively.
5D. Trends Information
See Item 5.A “Operating Results—Principal Factors Affecting our Results of Operations” for information
on material trends affecting our business and results of operations.
5E. OffBalance Sheet Arrangements
There are no material offbalance sheet arrangements that have or are reasonably likely to have a
current or future effect on our financial condition, changes in financial condition, revenues or
expenses, results of operations, liquidity, capital expenditures or capital resources that is material to
investors.
5F. Tabular Disclosure of Contractual Obligations
The following table sets forth our contractual obligations for the periods indicated as at December 31,
2008.
Contractual Obligations Payments Due by Period
2009 20102011 20122013 Thereafter Total
(EUR millions)
Longterm liabilities ....................... 13 525 85 320 943
Operating leases .......................... 315 422 225 194 1156
Inventory purchases ....................... 1896 275 88 92 2351
Total ................................... 2224 1222 398 606 4450
Benefit payments related to the underfunded domestic and foreign defined benefit plan is not
expected to be material in any given period in the future. Therefore, these amounts have not been
included in the table above for any of the years presented.
ITEM 6. DIRECTORS, SENIOR MANAGEMENT AND EMPLOYEES
6A. Directors and Senior Management
Pursuant to the provisions of the Finnish Companies Act and our Articles of Association, the control
and management of Nokia is divided among the shareholders at a general meeting, the Board of
Directors (or the “Board”), the President and the Group Executive Board chaired by the Chief Executive
Officer.
Board of Directors
The current members of the Board of Directors were elected at the Annual General Meeting on May 8,
2008, based on the proposal of the Corporate Governance and Nomination Committee of the Board of
Directors. On the same date, the Chairman and Vice Chairman of the Board of Directors, as well as the
Chairmen and members of the committees of the Board, were elected among the Board members and
among the independent directors of the Board, respectively.
The members of the Board of Directors are annually elected by a simple majority of the shareholders’
votes represented at the Annual General Meeting for a oneyear term ending at close of the next
Annual General Meeting.
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