14MB - Pirelli

EXTRAORDINARY SESSION CONSOLIDATED FINANCIAL STATEMENT SUSTAINABILITY REPORT DIRECTORS' REPORT PRELIMINARY INFORMATION
29. Revenues from sales and services
Revenues from sales and services can be analyzed as follows:
(in thousands of euros)
394 PIRELLI & C. S.p.A. MILAN
2008 2007
Revenues from sales of products 4,342,434 5,672,612
Revenues from services 304,711 402,390
Revenues on construction contracts 13,030 595
4,660,175 6,075,597
30. Other income
“Other income” amounts to Euros 175,928 thousand compared to Euros 274,939 thousand in
2007 and includes income from rent, commissions, royalties, compensation, insurance refunds
and other minor items.
The decrease compared to 2007 is mainly in reference the subsidiary Shared Service Center,
which was sold at the end of 2007 (Euros 110,011 thousand).
Total other income includes income from nonrecurring events for Euros 17,000 thousand for
the consideration received by Pirelli & C. Real Estate Società di Gestione del Risparmio S.p.A.
on the sale of the management of Fondo Berenice to another SGR, which, in fact, represents
a advance on what would have been due as fees in future years. The percentage of income
from nonrecurring events to total other income is equal to 9.7 percent. Last year, income from
nonrecurring events amounted to Euros 2,818 thousand and included compensation for the expropriation
of land located in Settimo Torinese for Euros 1,746 thousand and the refund of the
events tax for the periods it was not due for Euros 1,072 thousand.
31. Personnel costs
Personnel costs consist of the following:
(in thousands of euros)
2008 2007
Salaries and wages 851,374 843,801
Social security costs 173,956 183,843
Leaving indemnity and similar costs (*) 30,136 25,191
Defined contribution pension fund costs 18,906 17,164
Defined benefit pension fund costs (2,188) (3,444)
Defined benefit medical care plan costs 1,224 1,373
Long-service bonus costs 782 984
Defined contribution medical care plan costs 23,739 20,120
Other costs 76,922 6,913
1,174,851 1,095,945
* Includes Italian and foreign companies.
With regard to amounts relating to employees’ leaving indemnity, pension funds and medical care
defined benefit plans, reference should be made to “Employee benefit obligations” (Note 23).