Volvo 2004 Annual Report Download - page 104

Download and view the complete annual report

Please find page 104 of the 2004 Volvo annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 128

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128

102 Parent Company AB Volvo
Notes to financial statements
Absence due to illness July 1–Dec 31, 2003 Jan 1–Dec 31, 2004
Total absence due to illness as percentage of regular working hours 2.6% 2.2%
of which, continuous sick leave for 60 days or more 46.8% 70.9%
Absence due to illness (as percentage of regular working hours) by gender:
Men 1.4% 0.8%
Women 3.7% 3.6%
Absence due to illness (as percentage of regular working hours) distributed by age group:
29 years or younger 0.5% 0.9%
30–49 years 2.2% 1.2%
50 years or older 3.4% 3.6%
Note 22Personnel
Wages, salaries and other remunerations amounted to 140 (115;
117). Social costs amounted to 111 (110; 193) of which pension
costs, 79 (85; 168). Of these 53 (59; 47) pertained to Board mem-
bers and Presidents. The Company’s outstanding pension obligations
to these individuals amounted to 400 (366; 335).
The number of employees at year-end was 144 (132; 124).
Information on the average number of employees, wages, salaries
and other remunerations including option programs as well as Board
members and senior executives by gender is shown in Note 31 to
the consolidated financial statements.
Volvo's accounting policies for financial instruments are described
in Note 1 and Note 33 to the consolidated financial statements.
Hedging transactions in AB Volvo are carried out through Volvo
Treasury AB. The Parent Company has used interest-rate swaps to
hedge financial liabilities of Group companies. Maturities of these
swaps are between 2006 and 2009. During the year AB Volvo has
used forward exchange contracts for hedging of short-term receiv-
able and liability regarding the amount of the settlement agreement
between AB Volvo and Renault SA (See Note 12). Maturities of
theses contracts are on January 26, 2005. Volvo had in 2003
forward exchange contracts for hedging of a long-term liability to
Renault V.I. These contracts were renewed every sixth month.
Note 21Financial risks and instruments
December 31, 2003 December 31, 2004
Notional amount Carrying value Fair value Notional amount Carrying value Fair value
Interest-rate swaps
– payable position 2,874 (14) (50) 4,563 (17) (17)
Foreign exchange contracts
– receivable position 3,190 11 13 1,942 13 13
Outstanding derivative instruments for hedging of financial currency risks and interest rate risks