Siemens 2011 Annual Report Download - page 288

6 A. To our shareholders 51 C. Combined management’s discussion and analysis 23 B. Corporate Governance
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Year ended September ,
(in millions of €)  
Valuation allowance as of beginning
of fiscal year 168 165
Increase in valuation allowances recorded
in the Consolidated Statements of Income
in the current period 34 45
Write-offs charged against the allowance (65) (64)
Recoveries of amounts previously written-off 715
Foreign exchange translation differences (2) 7
Valuation allowance as of fiscal year-end 142 168
Minimum future lease payments to be received are as follows:
September ,
(in millions of €)  
Within one year 2,139 2,145
After one year but not more than five years 3,047 3,185
More than five years 166 168
5,352 5,498
The following table shows a reconciliation of minimum future
lease payments to the gross and net investment in leases and
to the present value of the minimum future lease payments
receivable:
September ,
(in millions of €)  
Minimum future lease payments 5,352 5,498
Plus: Unguaranteed residual values 145 182
Gross investment in leases 5,497 5,680
Less: Unearned finance income (613) (633)
Net investment in leases 4,884 5,047
Less: Allowance for doubtful accounts (142) (168)
Less: Present value of unguaranteed
residual value (125) (153)
Present value of minimum
future lease payments receivable 4,617 4,726
The gross investment in leases and the present value of mini-
mum future lease payments receivable are due as follows:
September ,
(in millions of €)  
Gross investment in leases 5,497 5,680
Within one year 2,167 2,187
One to five years 3,155 3,308
Thereafter 175 185
Present value of minimum
future lease payments receivable 4,617 4,726
Within one year 1,830 1,785
One to five years 2,639 2,790
Thereafter 148 151
Investments in finance leases primarily relate to equipment
for information technology and office machines, industrial
machinery, medical equipment and transportation systems.
Actual cash flows will vary from contractual maturities due to
future sales of finance receivables, prepayments and write-
offs.
 – Other current financial assets
September ,
(in millions of €)  
Derivative financial instruments 869 949
Loans receivable 869 740
Other 1,161 921
2,899 2,610