DHL 2001 Annual Report Download - page 120

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Based on profit from ordinary activities and the
expected income tax expense, the reconciliation to
the effective tax expense is shown below:
The difference between the expected and the
effective income tax expense is due in particular
to temporary differences between the carrying
amounts in the IAS financial statements and in the
tax accounts of Deutsche Post AG and Deutsche
Postbank AG resulting from differing carrying
amounts (initial differences) in the opening tax
accounts as of January 1, 1996. In accordance with
IAS 12.15 (b) and IAS 12.24 (b), the Group did
not recognize any tax assets on these temporary
differences,which relate mainly to property,plant
and equipment, the goodwill carried in the tax
accounts and to pensions and other employee
benefits.
The remaining temporary differences between
the carrying amounts in the IAS financial state-
ments and in the tax accounts as of December 31,
2001 amount to around €6.8 billion (previous year:
€8.2 billion).
19. Minority interest
The profit for fiscal year 2001 attributable to minority
shareholders amounts to €13 million (previous year:
€15 million), and losses attributable to minority
shareholders amount to €3 million (previous year:
€0 million).
20. Earnings per share
Basic earnings per share are computed in accordance
with IAS 33 (Earnings per Share) by dividing con-
solidated net profit by the average number of shares.
Basic earnings per share for fiscal year 2001 were
€1.42 (previous year: €1.36).
To compute diluted earnings per share, the
average number of shares outstanding is adjusted
for the number of all potentially dilutive shares.
There were 7,387,544 stock options for employees
and 5,641,722 stock options for executives at the
reporting date. There was no difference in the
amount of basic and diluted earnings per share in
the year under review.
2000
Reconciliation
Profit from ordinary activities 2,153 2,038
Expected income tax expense 859 813
Deferred tax assets on temporary differences
not recognized for
Initial differences -370 -510
Goodwill amortization 68 64
Elimination of negative goodwill -86 -95
Other assets and liabilities 0 -18
Deferred tax liabilities on temporary differences
not recognized for
Initial differences 0 8
Other assets and liabilities 17 8
Deferred tax assets of foreign Group companies
not recognized for tax loss carryforwards 20 147
Deferred taxes not recognized for losses at
foreign investees 56 0
Tax-exempt income -1 -2
Differences in tax rates at foreign companies -3 -16
Differences in tax rates in German income taxes 0 -2
Effect of tax reform on German deferred taxes 0 114
Effective income tax expense 560 511
2001
in €m
2000
Diluted earnings per share
Average number of shares outstanding 1,112,800,000 1,112,800,000
Average number of shares after the effect of dilution 1,112,800,000 1,113,559,906
Consolidated net profit in €m 1,583 1,512
Diluted earnings per share in € 1.42 1.36
2001