Siemens 2010 Annual Report Download - page 266

6 To our shareholders 21 Corporate Governance 49 Combined management’s discussion and analysis

the final storage, the updated accounting estimates applied as
of the third quarter of fiscal , now assume a continuous
outflow until  related to the costs for dismantling as well
as intermediate and final storage. The change in estimates re-
sulted in a decrease of the related provision of €.
The determination of the provisions related to major asset re-
tirement obligations will continue to involve significant esti-
mates and assumptions. Uncertainties surrounding the
amount to be recognized include, for example, the estimated
costs of decommissioning because of the long time frame over
which future cash outflows are expected to occur. Amongst
others, the estimated cash outflows related to the asset retire-
ment obligation could alter significantly if, and when, political
developments affect the government’s plans to develop the
“Schacht Konrad.” Another factor that might impact the esti-
mated costs is the ruling about the life-span of the German
nuclear reactors that may affect the timing of the intermediate
and final storage of the radioactive waste and the demand for
storage capacity. As of September ,  and , the provi-
sion totals €, and €, respectively, and is recorded net
of a present value discount of €, and €,, respectively.
The total expected payments for each of the next five fiscal
years and the total thereafter are €, €, €, €, €, and
€, which includes €, for the estimated costs associated
with final storage in .
The Company recognizes the accretion of the provision for as-
set retirement obligations using the effective interest method
applying current interest rates prevailing at the period-end
date. In fiscal  and , the Company recognized € and
€, respectively in accretion expense in Other Financial in-
come (expense), net. Changes in discount rates increased the
carrying amount of provisions by € and € as of Septem-
ber ,  and , respectively.
 – Other liabilities
September ,
 
Employee related liabilities 685 815
Deferred income 274 194
Other 1,321 1,013
2,280 2,022
Common stock
(authorized and issued)
Authorized capital
(not issued)
Conditional capital
(not issued)
in thousands
of €
in thousand
shares
in thousands
of €
in thousand
shares
in thousands
of €
in thousand
shares
As of September ,  2,742,610 914,203 671,130 223,710 860,002 1 286,667 1
Expired capital – – (600,000) (200,000) (702,485) (234,161)
Newly approved capital – – 520,800 173,600 600,000 200,000
As of September ,  2,742,610 914,203 591,930 197,310 757,517 1 252,506 1
Expired or cancelled capital – – – – (600,000) (200,000)
Newly approved capital – – – – 600,000 200,000
As of September ,  2,742,610 914,203 591,930 197,310 757,517 1 252,506 1
1 Due to rounding, amounts presented may not add up precisely.
 – Equity
Common stock
Siemens common stock is composed of no par value shares
with a notional value of €. per share. Each share of com-
mon stock is entitled to one vote.
The following table provides a summary of outstanding capital
and the changes in authorized and conditional capital for fiscal
years  and :