Financial Statements and Management Report - Thyssenkrupp

2.3 Financial statements Notes
General
ThyssenKrupp AG is the strategic corporate headquarters in charge of
managing the ThyssenKrupp Group. Operating business is the
responsibility of the Group companies. The management function of
ThyssenKrupp AG involves the allocation of Group companies to
business areas within the Group as well as the establishment,
acquisition and disposal of other companies, groups of companies and
investments in other companies.
The financial statements and management report as well as the
consolidated financial statements and management report on the
Group of ThyssenKrupp AG for fiscal year 2010/2011 together with the
auditors’ report on each document, the report by the Supervisory
Board, the declaration of conformity and the proposed profit
appropriation are published in the electronic Federal Gazette
"Bundesanzeiger". They will be accessible at www.thyssenkrupp.com
(Investor Relations/Annual General Meeting). They can also be ordered
from ThyssenKrupp AG, ThyssenKrupp Allee 1, 45143 Essen,
Germany.
Overview of transition at October 1, 2010:
Assets
Note
HGB old
Sept. 30, 2010
- EUR -
To improve the clarity of presentation, items are combined in the
statements of financial position and income. They are shown
separately in the Notes.
Accounting and valuation principles under commercial law:
The financial statements are drawn up in accordance with the rules of
the German Commercial Code (Handelsgesetzbuch, HGB) as amended
by the Accounting Law Modernization Act (Bilanzrechtsmodernisierungsgesetz,
BilMoG), which entered into force on May 29, 2009,
(HGB as amended), and the Stock Corporation Act (Aktiengesetz,
AktG). The amended rules are adopted for the first time for fiscal year
2010/2011. The prior-year figures have not been restated. In
connection with the first-time adoption of the BilMoG, minor
adjustments (see table) were transferred to retained earnings effective
October 1, 2010 without passing through the income statement.
HGB BilMoG
Oct. 01, 2010
- EUR -
Change
- EUR -
With income
statement
effect
- EUR -
33
Transfer
to retained
earnings
- EUR -
Receivables from Federal Employment Agency
relating to partial retirement 3 7,348.00 7,393.00 45.00 45.00 —
Equity and liabilities
Accrued pension and
similar obligations
- Pension provisions 7 (372,259,550.00) (383,076,128.00) (10,816,578.00) (10,816,578.00) —
- Partial retirement provisions 7 (11,981,044.00) (12,664,494.00) (683,450.00) (683,450.00) —
Other non-current provisions 7 (280,675,867.03) (288,263,635.59) (7,587,768.56) (7,696,503.00) 108,734.44
Total (19,087,751.56) (19,196,486.00) 108,734.44
Intangible assets are stated at purchase cost and amortized over their
expected useful life (generally 5 years). Impairment is charged where
necessary.
Property, plant and equipment are stated at purchase or manufacturing
cost. Interest on borrowings is not capitalized. Depreciation is charged
over the useful life of the asset. Impairment is charged where
necessary.
Depreciation is based mainly on the following useful lives: Buildings
20 - 33 years, land improvements 5 - 20 years, other equipment 3 - 25
years and factory and office equipment 3 - 10 years.
Depreciation of movable assets is charged by the straight-line method.
In the year of addition depreciation is charged pro rata temporis. Items
with a purchase or manufacturing cost up to and including €150 are
written down to zero in the year of addition. Additions within a fiscal