Annual report 2014

15 Other non-current and current provisions

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EUR million 1 Jan. 2014 Foreign exchange rate adjustments Changes in the scope of consolidation Reclassi- fication Interest effect Additions Reversals Utilisations 31 Dec. 2014
Provisions for personnel 19 3 -2 -3 17
Provisions for removal 11     2 -1 12
Miscellaneous non-current provisions 86 2 -9 3 1 -2 81
Other non-current provisions 116 2 0 -9 3 6 -3 -5 110
Provisions for personnel 36 1 41 -3 -31 44
Provisions for litigation 2 2 -1 3
Provisions for warranties 3 1 -1 -1 2
Provisions for restructuring 18 1 -2 -9 8
Miscellaneous current provisions 63 1 9 5 -19 -13 46
Current provisions 122 2 0 9 0 50 -26 -54 103

The non-current provisions for personnel comprise obligations from performance cash plans, anniversaries and partial retirement schemes. Current provisions for personnel include bonuses, obligations under social plans and termination benefits.

Provisions for removal usually result from the construction and redesign of land and buildings (improvements and reconstruction) whose removal will be necessary in future because of contractual, constructive or legal obligations. The present value of expected expenses is immediately recognised as a liability and initially corresponds to an appropriate increase in the acquisition cost of the relevant tangible asset.

Current provisions for restructuring include all estimated costs for the restructuring of selected companies and/or business units on the basis of a restructuring plan adopted by the responsible management. The majority of provisions for restructuring as at the end of the year relate to the CWS-boco division.

In the financial year miscellaneous non-current and current provisions contain essentially provisions relating to business combinations and disposals in the amount of EUR 34 million (previous year: EUR 50 million) and provisions amounting to EUR 70 million (previous year: EUR 79 million) for damages in connection with sand-lime bricks that were produced in former Haniel building materials plants using lime substitutes, and which are being settled by Haniel on a goodwill basis. These provisions are measured based on the expected rehabilitation costs of the concerned properties.

The other non-current provisions are expected to be utilised as follows:

  31 Dec. 2014    31 Dec. 2013   
EUR million Up to  2  years 2 to 5 years More than 5 years Total Up to 2 years 2 to 5 years More than 5 years Total
Provisions for personnel 8 6 3 17 6 11 2 19
Provisions for removal 1 11 12 11 11
Miscellaneous non-current provisions 23 39 19 81 19 49 18 86
  32 45 33 110 25 60 31 116