Mercedes 2010 Annual Report Download - page 254

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CSR – corporate social responsibility. A collective term
for the social responsibility assumed by companies, including
economical, ecological and social aspects.
EBIT. Earnings before interest and taxes are the measure
of operating profit before taxes (see pages 74 ff).
Equity method. Accounting and valuation method for share-
holdings in associated companies and joint ventures, as well as
subsidiaries that are not fully consolidated.
Fair value. The amount for which an asset or liability could be
exchanged in an arm’s length transaction between knowledgeable
and willing parties who are independent of each other.
Goodwill. Goodwill represents the excess of the cost of an
acquired business over the fair values assigned to the separately
identifiable assets acquired and liabilities assumed.
Hybrid drive. Hybrid drive systems combine combustion engines
with electric motors, which can be operated separately or
together depending on the type of vehicle and driving situation.
IFRS – International Financial Reporting Standards. The IFRS
are a set of standards and interpretations for companies’ external
accounting and financial reporting developed by an independent
private-sector committee, the International Accounting Standards
Board (IASB).
Integrity Code. Our Integrity Code has been in use since 1999
and was revised and expanded in 2003. It sets out a binding
framework for the actions of all our employees worldwide.
Lithium-ion batteries. They are at the heart of future electric
drive systems. Compared to conventional batteries, lithium-ion
batteries are considerably smaller and characterized by signifi-
cantly higher power density, short charging times and long lives.
Net assets. Net assets represent the capital employed by the
Group and the industrial divisions. The relevant capital basis for
Daimler Financial Services is equity capital (see pages 77 ff).
BlueEFFICIENCY. Efficiency packages for saving fuel. They
include various measures taken inside engines, bodywork weight
savings, tires with low roll resistance, aerodynamic optimizations,
the ECO start-stop function etc. In this way, fuel consumption
can be reduced by more than 20%.
BLUETEC. A combination of inner-engine measures to reduce
emissions and the treatment of exhaust gases. It improves diesel
engines’ efficiency for cars and commercial vehicles by optimizing
their combustion, and reduces their emissions with SCR catalysts.
BRIC. This abbreviation stands for the four countries of Brazil,
Russia, India and China.
C
ode of Ethics. The Daimler Code of Ethics applies to the members
of the Board of Management and senior executives who have
special responsibility for the contents of financial reporting. The
regulations contained in the Code are designed to prevent miscon-
duct
and to ensure ethical behavior and the correct disclosure of
information on the Group.
Compliance. By the term compliance, we understand adherence
to all laws, rules, regulations and voluntary commitments that are
relevant for our business, as well as the related internal policies
and guidelines of the Daimler Group.
Consolidated Group. The consolidated Group is the total of all
those companies that are included in the consolidated financial
statements.
Corporate governance. The term corporate governance applies
to the proper management and supervision of a company. The
structure of corporate governance at Daimler AG is determined
by Germany’s Stock Corporation Act (AktG), Codetermination Act
(MitbestG) and capital-market legislation.
Cost of capital. The cost of capital is the product of the average
amount of capital employed and the cost-of-capital rate. The
cost-of-capital rate is derived from the investors’ required rate of
return (see pages 77 ff).
Glossary