Tiscali 2009 Annual Report Download - page 172

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Outlay for services provided by third parties includes the costs of professional consultancy in the legal,
administrative and financial field of EUR 2.1 million, marketing costs, insurance expenses and other general
expenditure of EUR 1.1 million. The decrease from the previous year was justified by the smaller impact of
expenditure for professional consulting connected with everyday management.
Costs for services acquired by group companies, net of the adjustment referred to above, came to EUR 0.2
million and are wholly attributable to the Italian subsidiary Tiscali Italia S.p.A. for overheads, transfer costs
and outlay connected with personnel management.
Payroll and related costs (note 3)
Staff costs are stated in detail as:
2009 2008
(EUR 000)
Wages and salaries 2,797 6,950
Remunerative component from Stock Option plans 324 2,481
Other personnel costs 2,222 4,817
Total 5,344 14,248
The decrease in the costs of wages and salaries with regard to the previous year, in the amount of EUR 4.1
million, is mainly explained by the economic effect of the resignation of the group Chief Executive Officer
Tommaso Pompei which took place in February 2008, and that of the finance director Massimo Cristofori
which took place in June 2008.
The remunerative item arising from Stock Option plans in the amount of EUR 0.3 million (as against EUR
2.5 million in 2008) refers to the figures of charges maturing in the year 2009 following plans allocated to
company managers in consideration of cross-entries in the appropriate reserve in Net Assets. The reduction
compared with the previous year of EUR 2.1 million was connected with the acceleration effects of the plan
reserved for the former Chief Executive Officer and the former Finance director, who have maintained their
rights, allocated even after leaving the Group, and were present in the figure at 31 December 2008.
It is also highlighted that the remuneration item arising from the Stock Option plans for managers employed
in other group companies is not allocated to the income statement of the parent Company Tiscali S.p.A. but
is allocated to increase the book value of the shareholdings in group companies that employ the managers
that were assigned Stock option plans (representing a capital account contribution in their favour) with as a
counterpart, an increase in the appropriate net Asset reserve.
Other staff costs, equal to EUR 2.2 million, show a decrease compared with the previous year equal to EUR
2.6 million due to EUR 2.4 million of provisions made for the process of the reviewing the organisational
structure launched in the year 2008 and completed in the course of 2009.
At 31 December 2009, Tiscali S.p.A. had 20 employees.
Tiscali S.p.A. Accounting Statements and Explanatory Notes