Mercedes 2013 Annual Report Download - page 276

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Equity method. Accounting and valuation method for
share holdings in associated companies and joint ventures,
as well as for 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 knowledge-
able 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 internal-
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. The “Integrity Code” has been in effect since
November 2012. It defines the principles of behavior and
guidelines for everyday conduct that are applicable at Daimler.
Fairness, responsibility and compliance with legislation are
key principles in this context.
INTELLIGENT DRIVE. With this new technology from
Mercedes-Benz, thanks to improved environment sensors,
intelligent assistance systems analyze complex situations
and recognize potential dangers in road traffic even better.
Lithium-ion batteries. They are at the heart of future electric
drive systems. Compared with conventional batteries, lithium-
ion batteries are considerably smaller and feature significantly
higher power density, short charging times and long lives.
NEDC – New European Driving Cycle. A measuring method
used in Europe for the objective assessment of vehicles’
fuel consumption.
Glossary.
BlueEFFICIENCY. Efficiency packages for saving fuel.
They include measures taken inside engines, bodywork
weight reductions, tires with low roll resistance, aerodynamic
improvements, the ECO start-stop function etc. As a
result, fuel consumption can be reduced by more than 20%.
BLUETEC. A combination of inner-engine measures to reduce
emissions and treat 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.
Compliance. By the term compliance, we understand adher-
ence to all laws, rules, regulations and voluntary commitments,
as well as the related internal guidelines and policies in
connection with all activities 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. E see page 80
CSR – corporate social responsibility. A collective term
for the social responsibility assumed by companies, including
economic, environmental and social aspects.
EBIT. Earnings before interest and taxes are the measure
of operating profit before taxes. E see pages 86 ff