Porsche 2008 Annual Report Download - page 227

225
[33] Other financial obligations
Sundry other financial obligations contain in particular obligations from the future acquisition of
shares of LeasePlan Corporation N.V. (please refer to note [34]) and include order volumes from
the acquirer of the gedas group, agreed to by contract for the coming years.
Rent and leasing payments recorded as an expense in the fiscal year total €310 million (prior year:
€ 49 million). The leases also contain renewal and purchase options as well as escalation clauses.
Litigation
Porsche SE or any of its group companies are not party to any legal or arbitration proceedings
that may have a material effect on the economic position of the group, or have had such an effect
within the last two years. Legal proceedings are expected for the tax treatment of part of the
stock option gains. Income tax provisions have been recognized for possible obligations arising
from this litigation. Appropriate provisions are established by the group company concerned for
any potential costs arising from other legal or arbitration proceedings pending, or the company
has adequate insurance cover.
[34] Subsequent events
On 13 August 2009 and 11 September 2009, the supervisory board of Porsche SE approved the
basic agreement negotiated between the executive boards of Porsche SE and of Volkswagen AG,
the workforce representatives of both companies and the ordinary shareholders of Porsche SE,
describing the stages of creating an integrated automotive group. This basic agreement provides
in a first step an indirect, 42% investment from Volkswagen AG in Porsche AG, for which the for-
mer will implement a capital increase in the first half of 2010. Porsche SE plans to raise capital by
issuing new ordinary and preference shares in the first half of 2011. In addition, the shareholders
of Volkswagen AG will be presented an amendment to the articles of association to vote on at the
next annual general meeting. This will establish the State of Lower Saxony's right to appoint two
members of the supervisory board of Volkswagen AG. A further proposal to be decided at the
annual general meeting is to confirm the regulation already included in the articles of association
that requires an 80% majority on resolutions for which the German stock corporation law requires
at least a three-quarters majority of the share capital represented. The planned amendment of the
articles of association with respect to the right of the State of Lower Saxony to appoint two mem-
bers of the supervisory board of Volkswagen AG will not allow that Porsche SE continues to con-
Payable Payable Payable Total
Porsche
without VW Total
€ million 2010 2011-2013 from 2014 2008/09 2008/09 2007/08
Purchase commitments in respect of
Property, plant and equipment 1,973 808 11 2,792 324 423
Intangible assets 207 151 0 358 190 119
Investment property 2 0 0 2 00
Obligations from
irrevocable credit commitments 1,844 0 0 1,844 00
loan commitments to subsidiaries 109 0 0 109 00
long-term leasing and rental contracts 359 943 1,492 2,794 128 91
Sundry other financial obligations 1,886 937 4 2,827 21 17