Volvo 2005 Annual Report Download - page 133

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Volvo Group 2005 129
Cash fl ow: In accordance with IFRS, receivables within Volvo’s
customer fi nancing operations are classifi ed as cash fl ow from oper-
ating activities. Under US GAAP the classifi cation depends on how
the actual cash fl ow occurs. In cases when customer fi nancing is to
an external customer and thereby results in an actual cash fl ow,
according to US GAAP this should be classifi ed as cash fl ow from
fi nancing activities. Approximately 15% of Volvo’s customer fi nance
receivables relates to this kind of contracts and should hence be
classifi ed as cash fl ow from investing activities under US GAAP.
Payroll Tax: An adjustment of positive 104 has been booked for
social expenses on employee benefi ts.
I. Income taxes on US GAAP adjustments. Deferred taxes are
reported for temporary differences arising from differences between
US GAAP and IFRS.
J. Minority interest: In accordance with IFRS, minority interest is
recognized a part of shareholders’ equity and are included in net
income for the year in the income statement. Under US GAAP,
minority interest is reported as a separate item in both the income
statement and balance sheet.
Comprehensive income (loss) 2004 2005
Net income (loss) in accordance with US GAAP 14,416 11,396
Other comprehensive income (loss), net of income taxes
Translation differences (172) 3,458
Unrealized gains and (losses) on securities (SFAS 115):
Unrealized gains (losses) arising during the year (14) 83
Less: Reclassifi cation adjustment for (gains) and losses included in net income (3,285) –
Additional minimum liability for pension obligations (SFAS 87) (471) (284)
Fair value of cash-fl ow hedges (SFAS 133) 13 (1,442)
Other (1) 98
Other comprehensive income (loss), subtotal (3,930) 1,913
Comprehensive income (loss) in accordance with US GAAP 10,486 13,309