Porsche 2011 Annual Report Download - page 186

Retained earnings
The retained earnings include the reserve for accumulated profits and reserves for investments
accounted for at equity.
The reserve for accumulated profits includes the profits of Porsche SE and its consolidated
subsidiaries earned in prior years and the reporting year and not yet distributed. These also include the
reclassified revaluation reserves from deconsolidated subsidiaries. This item also recognizes tax effects from
accounting for hybrid capital that is presented within non-controlling interests.
The changes in non-controlling interests at the level of investments accounted for at equity presented
under equity include the proportionate changes in the non-controlling interests within the VW group attributable
to Porsche SE which do not lead to a change in control and are therefore recognized directly in equity with no
effect on the consolidated income statement in the VW group’s consolidated financial statements.
The statutory financial statements of Porsche SE as of 31 December 2011 report a net retained profit
available for distribution of €232 million (prior year: €440 million). The executive board will propose the
distribution of a dividend of €0.754 per ordinary share and €0.760 per preference share, i.e., a total
distribution of €231,831,250.00. The dividend approved for SFY 2010 was €0.500 per preference share. The
ordinary shareholders of Porsche SE had stated that they would not participate in the dividend distribution for
SFY 2010 and that the dividend should be distributed exclusively to the holders of preference shares.
The clauses of the syndicated loan agreement concluded in October 2011 provide for restrictions of
the distributable dividends per fiscal year to the total of distributions received from Volkswagen AG and
Porsche Zwischenholding GmbH in the fiscal year.
Expenses and income from investments accounted for at equity recognized directly in equity are
presented in the separate reserve for investments accounted for at equity. The Porsche SE group does not
have any other income and expenses recognized directly in equity. The changes in income and expenses
recognized directly in equity are therefore presented in the statement of changes in equity as changes in the
reserve for investments accounted for at equity.
The income and expenses recognized directly in equity from investments accounted for at equity
include the following amounts: income before tax from currency translation of €1,360 million (prior year:
€1,176 million), income before tax from marking securities to market of €98 million (prior year: €35 million),
expenses before tax from cash flow hedges of €1,088 million (prior year: €455 million), income after tax
recognized directly in equity arising from investments accounted for at equity of €14 million (prior year: income
of €133 million) and tax income of €348 million (prior year: €170 million).
Non-controlling interests
The hybrid capital disclosed as of the reporting date has a nominal volume of €360 million (prior year:
€360 million). It has an indefinite term to maturity. According to IAS 32, it represents equity of the group.
186 FINANCIALS