Porsche 2010 Annual Report Download - page 104

Group management report
In the regulation of 23 April 2009 on CO2
emission performance standards, the EU Commis-
sion set an upper limit of 130 g/ km for the mean
emissions of the entire European fleet of new vehi-
cles from 2012. A further ten grams should be at-
tained by supplementary measures, such as the use
of bio-fuels, low-drag tires, effective air conditioners
and other technical improvements.
The regulation sets European manufacturers
the target of average emissions of 95 g/ km from
2020, to be achieved through phased reductions. As
of 2012, the Commission will impose an annual
excess emissions premium on any manufacturer that
exceeds its emission target. The regulation has a
major impact on the variety of products, the distribu-
tion among the segments and the earnings on the
European market.
Moreover, companies like Porsche Zwischen-
holding GmbH and its subsidiaries, which have a very
special product portfolio and small production runs,
have the possibility of applying for a special ruling so
as to avoid losing their economic foundation. Alterna-
tively, they can form an emissions pool together with
other manufacturers and be considered as one manu-
facturer with regard to the regulation. Emission and
CO2 levels are also being reduced this way in the
USA. As a small series manufacturer, Porsche has
been granted an exemption until 2016, according to
which Porsche vehicles may have a 25 percent
higher fuel consumption compared to products of
other (mass) producers.
Compliance with the environmental protec-
tion regulations is technologically demanding and
cost intensive. However, as a result of its leading
technologies and products, Porsche Zwischenholding
GmbH group sees itself in a position to master most
of these future challenges.
Other factors
Going beyond the risks already outlined, the-
re are other factors that cannot be predicted and are
therefore difficult to manage. Should these transpire,
they could have an adverse effect on the further
development of the group. These factors include
natural disasters, epidemics and terror attacks.
Overall statement on the risks faced by
the Porsche Zwischenholding GmbH group
Based on the information currently available,
no developments were identified in the Porsche
Zwischenholding GmbH group that could jeopardize
the ability of the group to continue as a going con-
cern or that could significantly and negatively impact
the net assets, financial position and results of op-
erations of the group. The overall risk exposure of
the Porsche Zwischenholding GmbH group is made
up of the individual risks presented above, which are
managed using the risk management system.
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