Tiscali 2013 Annual Report Download - page 100

Annual financial report as at 31 December 2013
Date
File Name
Status
Page
-
Annual Report as at 31
December 2013
100
Other non-current liabilities (note 25)
(EUR 000)
31 December 2013
Restated 31
December 2012*
Payables to suppliers
1,935
3,371
Other payables
1,411
1,361
Total
3,346
4,732
Payables to suppliers are mainly represented by the medium/long-term portion of the debt contracted
for the purchase of the rights to use the fibre optic network (“Indefeasible right of use” or “IRU”).
Liabilities for pension obligations and staff severance indemnities (note 26)
The table below shows the changes during the period:
(EUR 000)
31
Decembe
r 2012
Restated*
Provision
s
Utilisatio
n
Payment
s to
Funds
(**)
Actuarial
(Gain)/los
s
31
Decembe
r 2013
Staff severance
indemnities
5,312
2,174
(230)
(2,007)
(102)
5,146
Total
5,312
2,174
(230)
(2,007)
(102)
5,146
(*) The figures as at 31 December 2012 have been recalculated so as to assimilate the effect of the application,
as from 1 January 2013 (retrospectively), of the new revised IAS 19 accounting standard (employee benefits); for
further details please see the section “Form and content of the accounting statements”.
(**) These are payments made to the treasury funds and other supplementary pension funds
The staff severance provision, which comprises the indemnities accrued in favour of employees,
amounts to EUR 5.1 million as at 31 December 2013 and refers to the Parent Company and the
subsidiaries operating in Italy.
In accordance with Italian Law No. 297/1982, the amount due to each employee accrues depending
on the service provided, and has to be immediately disbursed when the employee leaves the
company. On termination of the employment contract, the amount due is calculated based on the
duration of the contract and the taxable salary of each employee. The liability is annually adjusted in
compliance with the official cost of living index, and with the interest established by law. It is not
associated with any condition or period of accrual, or with any financial funding obligation; therefore,
there are no assets serving the provision. In compliance with IAS 19, the provision was recorded
under “Defined benefit plans”.
In compliance with the new rules introduced by Italian Legislative Decree No. 252/2005, and by Italian
Law No. 296/2006 (Finance Act 2007), for the companies with at least 50 employees, the staff
severance indemnities accrued from 2007 are assigned either to the Social Security Institute (INPS)
Treasury Fund (from 1 January) or to the supplementary pension forms (from the option month), and
acquire the nature of “Defined contribution plans”. However, the revaluations of the provision existing