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Munich Reinsurance Company Notes on the accounts
Notes on the balance sheet – liabilities
(6) Shareholders’ funds In November 1995, in partial utilization of the capital authorized for such
purposes in Article 3a of the Articles of Association, the share capital was
increased from TDM 743,350 to TDM 813,350.
The increased share capital is made up of 300,000 bearer shares with a
nominal value of DM 50 each and 7,983,500 (previously 7,283,500)
registered shares with a nominal value of DM 100 each, DM 50 of which is
paid up and entitled to dividend and one vote.
Number Nominal Amount Votes
value paid up
TDM TDM
Bearer 300,000 15,000 15,000 300,000
Registered 7,983,500 798,350 399,175 7,983,500
Total 813,350 414,175 8,283,500
By resolution of the Annual General Meeting on 8th December 1995
an amount of up to TDM 250,000 has been authorized for increasing
the company’s share capital in one or more stages at any time up to
8th December 2000 by issuing new shares against cash contribution.
There is also a contingent capital of TDM 30,000, TDM 21,250 of which
serves to safeguard warrants issued in the 1994 capital increase. The
warrant exercise period initially runs until 13th March 1998. Should the
market price of the registered shares at the end of this period be lower
than the warrant exercise price (DM 2,482) applying since the capital
increase of November 1995, the warrant conditions provide for the exercise
period to be extended by a maximum of two years. No options had been
exercised up to the end of the business year under review.
TDM 545,838 from the 1995 capital increase was allocated to the capital
reserve. In addition, TDM 100,000 of the profit for the year 1995/96 has
been transferred to the revenue reserves.
Altogether, therefore, our shareholders’ funds have increased as follows:
Previous Increase Current
position position
TDM TDM TDM
Subscribed capital 743,350 70,000 813,350
Capital reserve 1,396,467 545,838 1,942,305
Other revenue reserves 363,200 100,000 463,200
Balance sheet profit 102,377 30,159 132,536
Total 2,605,394 745,997 3,351,391
The revenue reserves contain a special reserve for major losses
amounting to TDM 170,000.
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