LISI FINANCIALREPORT2013 I
77
COMPANYFINANCIALSTATEMENTS
4
3.2.6Provisionsforrisksandcharges
(In€'000)
Amount
at year start
for the period
Provisions
for the period
Reversals
for the period
used
Reversals
for the period
unused
Amount
at year end
for the period
Provision forenvironmental risks
Provision for longservicemedals
6
2
8
Provisions for charges
374
(146)
228
Provision for stockoptionsand theallocationof freeshares
483
1,419
1,902
Total
863
1,421
(146)
2,138
Provisions forchargesmainlycoverthesettingupofaprojectdesignedtoreducethenumberofaccidentsatwork.
3.3
|
DETAILOFMAIN INCOMESTATEMENT ITEMS
3.3.1Financialincomefrominvestments
(In€'000)
Amounts
Dividends received fromsubsidiaries
14,005
Dividends receivedoutside thegroup
Interest from loans tosubsidiaries
2,318
Total
16,323
3.3.2Breakdownofcorporationtax
(In€'000)
Profit
(loss)
current
Profit (loss)
non-recurring
Profit (loss)
accounting
Pre-taxearnings
12,002
(37)
11,966
Income tax
(141)
4
(137)
Taxcredits, IFA&
miscellaneous
4
4
Additional contribution to
thecorporate income tax
on theamountdistributed (440)
(440)
Tax integration taxes
9,158
9,158
Netearnings
20,583
(33)
20,550
TheLISIGroupbenefits from the tax integration regime,whichcoversall
itsFrenchsubsidiaries.The tax integrationagreementstipulates that tax
gainsshouldberetainedattheparentcompanylevel.Theoverallamount
ofcorporate incometaxatDecember31,2013 isatax income.
3.4
|
FINANCIALCOMMITMENTS
Financialguaranteesgiven
LISI S.A. has signed letters of intent with banks relating to the
commitments made by some of the Group’s subsidiaries. Moreover,
its agreements with some partners require compliance with financial
covenants.
Commitments given under the terms of the transaction for the
divestitureof LISICOSMETICS
Commitment forcompensationgranted in favorof thebuyerconcerning
any reassessments from the taxorenvironmentalauthorities, subject to
adeductibleof€500k, toexceedingaminimum thresholdof€35kand to
anupper limitof€6m.
Financialderivatives
LISI SA uses derivative financial instruments to hedge its exposure
to foreign exchange risk, and occasionally to hedge its interest rate
risks resulting from its financial activities. In accordance with its cash
management policy, LISI S.A. neither holds nor issues derivatives for
tradingpurposes.
ThecurrencyhedgesareunderwrittenbyLISI S.A. tocover all of theLISI
Group'sneeds.
