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14 Other provisions



Dec. 31, 2003 Dec. 31, 2002
€ million € million
Provisions for taxes 514.0 334.9
(thereof for deferred taxes) (477.6) (293.5)
Provisions for
Bulletenvironmental remediation 41.2 34.4
Bulletcontractually agreed guarantees and warranties 40.9 20.8
Bulletpersonnel costs 39.6 33.5
Bulletoutstanding trade invoices 29.0 21.8
Bulletlitigation risks 13.3 0.0
Bulletfinal settlement of real estate development invoices 12.9 26.7
Bulletearly repayment penalties 10.3 0.0
Bulletmaintenance obligations under leases 5.6 5.1
Bulletrestructuring 7.1 12.9
Bulletproject losses 3.1 2.6
Bulletmiscellaneous 60.2 58.8
777.2 551.5


The provisions for environmental remediation refer to tank storage site remediation of locations of the former Raab Karcher Tanklager. Remediation has either already begun or an agreement has been reached with the authorities as to how the damage is to be remedied. The cost estimates are based on expert opinions detailing the anticipated duration of the remediation work and the anticipated cost.

The contractually agreed guarantees and warranties relate to product warranties and other contingent liabilities explained in Note 21.

The remaining expenses in connection with real estate development refer to outstanding invoices from building contractors as well as contractually agreed completion work.

The provisions for staff restructuring measures developed as follows:

2003 2002
€ million € million
Provisions as of January 1 12.9 11.7
Additions 0.6 8.0
Use –9.2 –8.8
Release 0.0 –0.9
Change in group of consolidated companies 0.0 2.9
Provisions as of December 31 4.3 12.9


Of the 158 employees for whom a staff restructuring provision was established as of December 31, 2002 amounts are still set aside for 43 as of December 31, 2003. The other 115 employees have received their benefits. No new staff restructuring measures took place in 2003. Therefore as of December 31, 2003 restructuring provisions had been set up for 43 employees.

Additional exit costs of € 2.8 million relating to vacant office space are included in the restructuring costs.