Annual Report 2010/11 - Sonova
Annual Report 2010/11 - Sonova Annual Report 2010/11 - Sonova
124 20. Provisions 1,000 cHf 31.3.2011 31.3.2010 Warranty and returns earn-out provisions other provisions total Warranty and returns 1) earn-out provisions other provisions 1) Balance april 1 126,549 84,289 36,912 247,750 44,097 43,324 15,358 102,779 changes through business combinations 1,816 4,739 6,555 68,429 17,751 86,180 amounts used (35,397) (90,732) (14,475) (140,604) (30,594) (8,204) (10,537) (49,335) Reversals (878) (6,517) (1,138) (8,533) (1,294) (9,278) (1,471) (12,043) Increases 56,005 33,875 23,599 113,479 44,301 53,476 15,645 113,422 Present value adjustments 529 5,991 6,520 139 3,821 3,960 exchange differences (15,656) (3,261) (5,039) (23,956) 1,471 1,150 166 2,787 Balance March 31 132,968 23,645 44,598 201,211 126,549 84,289 36,912 247,750 thereof short-term 66,461 21,188 28,360 116,009 63,610 18,775 27,648 110,033 thereof long-term 66,507 2,457 16,238 85,202 62,939 65,514 9,264 137,717 1) Restated based on finalization of the acquisition accounting of advanced Bionics (for details refer to note 3.7). the provision for warranty and returns considers any costs arising from the warranty given on products sold. on average, the Group grants a 15 month warranty period for hearing instruments and related products and up to ten years on hearing implants. during this period, products will be repaired or replaced free of charge. the provision is based on turnover, past experience and projected warranty claims. the large majority of the cash outflows are expected to take place within the next one to six years. earn-out provisions reflect the present value of estimated earn-out payments for acquisitions prior to april 1, 2010. this corresponds to the discounted variable purchase price of the acquired companies. cash outflows are expected to take place within the next one to five years. the change in earn-out provision compared to previous year is primarily driven by a change in the earn-out agreement with insound medical. on february 24, 2011, the Group announced a change in the existing agreement with representatives of the former shareholders of insound medical. it was agreed that a one-time payment of cHf 87.2 million will replace the previous earn-out agreement. the change in the earn-out agreement resulted in a payment that was cHf 31.8 million higher than previously anticipated and was paid out earlier than previously expected. other provisions predominantly include reimbursement to customers as well as provisions in relation to the product recall of advanced Bionics. cash outflows are expected to take place within the next one to two years. in addition, other provisions include provisions for specific business risks such as litigation and restructuring costs which arise during the normal course of business. the timing of cash outflows is uncertain since it will largely depend upon the outcome of administrative and legal proceedings. total 1)
21. short-term debts consolidated financial statements 125 1,000 cHf 31.3.2011 31.3.2010 current maturities of long-term debts 40,018 79,322 other short-term debts 117 1,554 Total 40,135 80,876 Unused borrowing facilities 42,215 66,826 current maturities of long-term debts include the short-term portion of the remaining bank loan of cHf 270 million granted in connection with the acquisition of advanced Bionics (refer to note 24). the total loan amounted to cHf 470 million, out of which cHf 200 million has been repaid in the current financial year. the book value of short-term debts approximates fair value. 22. other short-term liabilities 1,000 cHf 31.3.2011 31.3.2010 other payables 28,734 36,605 accrued expenses 128,989 120,054 deferred income 14,407 8,808 Total 172,130 165,467 other payables include amounts to be remitted in respect of withholding taxes, value added taxes, social security payments, employees’ income taxes deducted at source, and customer prepayments. accrued expenses include salaries, social expenses, vacation pay, bonus and incentive compensation as well as accruals for outstanding invoices from suppliers. the increase is mainly driven by business expansion and acquisitions.
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- Page 138 and 139: 134 the annual General shareholders
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- Page 142 and 143: 138 Amounts recognized in the incom
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- Page 146 and 147: 142 The fair value of options/warra
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- Page 152 and 153: 148 REPORT OF THE STATuTORY AuDITOR
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- Page 164 and 165: 160 Warrants EEAP 10 2) Warrants/ o
- Page 166 and 167: 162 Company name Activity Domicile
- Page 168 and 169: 164 Appropriation of Available Earn
- Page 170 and 171: 166 REPORT OF THE STATUTORy AUDITOR
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21. short-term debts<br />
consolidated financial statements 125<br />
1,000 cHf 31.3.20<strong>11</strong> 31.3.<strong>2010</strong><br />
current maturities of long-term debts 40,018 79,322<br />
other short-term debts <strong>11</strong>7 1,554<br />
Total 40,135 80,876<br />
Unused borrowing facilities 42,215 66,826<br />
current maturities of long-term debts include the short-term portion of the remaining bank loan of cHf 270 million granted<br />
in connection with the acquisition of advanced Bionics (refer to note 24). the total loan amounted to cHf 470 million, out<br />
of which cHf 200 million has been repaid in the current financial year. the book value of short-term debts approximates fair<br />
value.<br />
22. other short-term liabilities<br />
1,000 cHf 31.3.20<strong>11</strong> 31.3.<strong>2010</strong><br />
other payables 28,734 36,605<br />
accrued expenses 128,989 120,054<br />
deferred income 14,407 8,808<br />
Total 172,130 165,467<br />
other payables include amounts to be remitted in respect of withholding taxes, value added taxes, social security payments,<br />
employees’ income taxes deducted at source, and customer prepayments. accrued expenses include salaries, social<br />
expenses, vacation pay, bonus and incentive compensation as well as accruals for outstanding invoices from suppliers. the<br />
increase is mainly driven by business expansion and acquisitions.
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