Mercedes 2010 Annual Report Download - page 104

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Selling expenses increased to €4.9 billion in 2010 (2009: €4.4
billion). The increase was caused by the higher volume of busi-
ness and the related higher charges from impairments of receiv-
ables and cost of shipping. Expenses of information technology
also increased.
Administrative expenses of €2.2 billion were at the level of the
prior year (2009: €2.2 billion).
Other operating income improved by €1.0 billion to €0.9 billion.
The prior year comprised expenses in connection with Chrysler
and from the amendment requirements for former AEG share
holders.
Extraordinary income reflects the income and expenses relat-
ing to the changeover to the new accounting regulations accord-
ing to BilMoG at January 1, 2010.
The income tax expense amounts to €0.5 billion and primarily
comprises the tax expense for the year 2010.
Financial position, liquidity and capital resources
Statements on changes in individual items relate to the recon-
ciled balance sheet amounts at January 1, 2010.
Compared to January 1, 2010, the balance sheet total increased
by 17.0% to €76.7 billion.
Non-current assets increased by €1.5 billion to €39.2 billion
during 2010. This was primarily the result of increased equity
interests in subsidiaries and associated companies and was
mainly related to the strategic cooperation with Renault-Nissan.
As part of the cross-shareholding, Daimler AG received a 3.1%
equity interest in each of Renault and Nissan. Daimler AG placed
those equity interests with a Spanish subsidiary. Capital expen-
diture on property, plant and equipment (excluding leased assets
of approximately €2.1 billion) mainly constituted investment for
the production of the new SLK, CLS and C-Class coupe, as well
as investment in engine and transmission projects for both cars
and commercial vehicles.
Balance sheet structure of Daimler AG
Dec. 31,
2010
Jan. 1,
2010
Dec. 31,
2009
In millions of euros
Assets
Non-current assets 39,151 37,637 45,448
Inventories 5,574 5,006 4,872
Receivables, securities
and other assets
26,123
20,582 20,841
Cash and cash equivalents 5,753 2,251 2,251
Current assets 37,450 27,839 27,964
Deferred expenses
and accrued income
99
53 53
76,700 65,529 73,465
Equity and liabilities
Share capital 3,057 2,938 3,045
(conditional capital €602 million)
Capital reserve 11, 321 11,123 11,123
Retained earnings 11,193 7,279 5,721
Unappropriated profit 2,700 254 0
Equity 28,271 21,594 19,889
Provisions for pensions
and similar obligations
4,027
3,961 12,981
Other provisions 11, 4 6 3 10,624 11,204
Total provisions 15,490 14,585 24,185
Trade payables 4,334 3,111 3,118
Other liabilities 27,598 24,427 24,461
Total liabilities 31,932 27,538 27,579
Deferred income
and accrued expenses
1,007
1,812 1,812
76,700 65,529 73,465
Inventories increased compared with January 1, 2010 by €0.6
billion to €5.6 billion, mainly relating to finished goods and our
higher production volumes.
Receivables, securities and other assets increased compared
with January 1, 2010 by €5.5 billion to €26.1 billion. This was
primarily caused by an increase in receivables due from subsid-
iaries related to the financing function of the parent company
of €7.8 billion. There was an opposing effect from the decrease
of €3.2 billion in securities held as current assets.
Cash and cash equivalents increased by €3.5 billion to €5.8
billion.