Siemens 2011 Annual Report Download - page 247

153 D. Consolidated Financial Statements
273 E. Additional information
143 C. Additional information for supplemental
financial measures
145 C. Siemens AG (Discussion on basis of
German Commercial Code)
151 C. Notes and forward-looking statements
140 C. Information required pursuant to Section  ()
and Section  () no.  of the German Commer-
cial Code (HGB) and explanatory report
142 C. Compensation report and Corporate Governance
statement pursuant to Section a of the German
Commercial Code (HGB)

Siemens IT Solutions and Services business. At the beginning
of fiscal , Siemens’ IT Solutions and Services business was
transferred to a separately established legal entity, Siemens IT
Solutions and Services GmbH. Also in fiscal , Siemens AG
realized a gain by selling investments to Siemens IT Solutions
and Services GmbH. Siemens IT Solutions and Services GmbH
was sold to Atos S.A. (AtoS), France, on July , . Siemens
AG entered into several contractual commitments with AtoS.
In fiscal  the total effect resulting from these amounted to
€ million and was recognized in extraordinary expenses.
In fiscal , extraordinary result included the above men-
tioned provision of € million and expenses of € million
relating to staff reduction measures in connection with strate-
gic reorientation and establishing of Siemens IT Services and
Solutions as a separate legal entity. Extraordinary results in
the prior year also included effects totaling €() million
from first-time adoption of the provisions of the German Ac-
counting Law Modernization Act (BilMoG).
Income taxes increased in fiscal  from € million to €
million. In contrast to the prior year, current income taxes do
not include material tax refunds for prior years. In addition an
adjustment to transfer price reserves were included in .
Within a € million change in deferred tax expense, the
main factors related to valuation differences in the provisions
for contingent losses and the derecognition of deferred tax
assets of OSRAM AG due to the cancellation of the profit and
loss transfer agreement as of October , .
C.. Net assets
and financial position
Compared to September , , the balance sheet total in-
creased % to €. billion.
Condensed Statement of Financial Position of Siemens AG
September ,
(in millions of €)  
Assets
Non-current assets
Intangible and tangible assets 2,331 2,362
Financial assets 39,637 36,364
41,968 38,726
Current assets
Receivables and other assets 18,586 11,282
Marketable securities 1,350 1
Cash and cash equivalents 1,484 6,125
21,420 17,408
Prepaid expenses 77 52
Deferred tax assets 3,490 3,734
Active difference
resulting from offsetting 35 30
Total assets 66,990 59,950
Liabilities and equity
Equity 20,658 19,848
Special reserve with an equity portion 790 803
Accruals and provisions
Pension plans and similar commitments 9,888 9,547
Other provisions 8,036 7,654
17,924 17,201
Liabilities
Liabilities to banks 116 38
Advanced payments received 1,842 2,354
Trade payables, liabilities to
affiliated companies and other liabilities 25,369 19,438
27,327 21,830
Deferred income 291 268
Total liabilities and equity 66,990 59,950
Financial assets increased % year-over-year, to €. bil-
lion. This was primarily caused by the purchases of additional
shares, amounting to € million, in order to increase
Siemens’ stake in its publicly listed subsidiary Siemens Ltd.,
India, from about % to %. Other increases included €