Siemens 2012 Annual Report Download - page 285

135 D. Consolidated Financial Statements 239 E. Additional Information
140 D. Consolidated Statements of Changes in Equity
142 D. Notes to Consolidated Financial Statements
232 D. Supervisory Board and Managing Board
136 D. Consolidated Statements of Income
137 D. Consolidated Statements of Comprehensive Income
138 D. Consolidated Statements of Financial Position
139 D. Consolidated Statements of Cash Flow
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tion which confirmed that the proceedings against Siemens
Healthcare Diagnostics S.r.l. were closed, but accused Siemens
S.p.A. of having participated in an anti-competitive arrange-
ment. In August , the Italian Antitrust Authority fined sev-
eral companies, including Siemens S.p.A. for alleged anti-com-
petitive behavior. The fine imposed on Siemens S.p.A. amounts
to €. million. The company appealed the decision. In April
, the Regional Administrative Court overturned the deci-
sion of the Italian Antitrust Authority. In November , the
Italian Antitrust Authority appealed the decision of the Region-
al Administrative Court.
As previously reported, in September , the Competition
Commission of Pakistan requested Siemens Pakistan Engineer-
ing Co. Ltd., Pakistan (Siemens Pakistan), to present its legal
position regarding an alleged anti-competitive arrangement
since calendar  in the field of transformers and air-insu-
lated switchgears. Siemens cooperated with the authority.
In December , Siemens Pakistan filed a leniency applica-
tion. In April , the Competition Commission of Pakistan ac-
cepted the leniency application and granted Siemens Pakistan
a % penalty reduction for the alleged behavior.
As previously reported, in October , the local Antitrust
Authority in Rovno, Ukraine, notified DP Siemens Ukraine
(Siemens Ukraine) of an investigation into anti-competitive
practices in connection with a delivery of medical equipment to
a public hospital in calendar . Siemens cooperated with
the authority. The authority imposed a fine in an amount equiv-
alent to €,. Siemens Ukraine did not appeal the decision.
As previously reported, in June , the Turkish Antitrust
Agency confirmed its earlier decision to impose a fine in an
amount equivalent to € million on Siemens Sanayi ve Ticaret
A.S., Turkey, based on alleged antitrust violations in the traffic
lights market. Siemens Sanayi ve Ticaret A.S. has appealed this
decision and this appeal is still pending.
In May , the Brazilian Anti Trust Authority notified Siemens
Ltda., Brazil of an investigation into anti-trust behavior in the
field of air-insulated switchgear and other products from calen-
dar  to . Siemens is cooperating with the authorities.
 
As previously reported, Siemens AG is a member of a supplier
consortium that has been contracted to construct the nuclear
power plant “Olkiluoto ” in Finland for Teollisuuden Voima Oyj
(TVO) on a turnkey basis. Siemens AG’s share of the consider-
ation to be paid to the supplier consortium under the contract
is approximately %. The other member of the supplier con-
sortium is a further consortium consisting of Areva NP S.A.S.
and its wholly-owned subsidiary, Areva NP GmbH. The agreed
completion date for the nuclear power plant was April ,
. Completion of the power plant has been delayed for rea-
sons which are in dispute. In December , the supplier con-
sortium informed TVO that the completion of the plant is ex-
pected in August . The supplier consortium and TVO cur-
rently assess potential further slippage in the schedule. The fi-
nal phases of the plant completion require the full cooperation
of all parties involved. In December , the supplier consor-
tium filed a request for arbitration against TVO demanding an
extension of the construction time, additional compensation,
milestone payments, damages and interest. In June , the
supplier consortium increased its monetary claim to €. bil-
lion (and has not updated it since then). TVO rejected the
claims and made counterclaims against the supplier consor-
tium consisting primarily of damages due to the delay. In June
, the arbitral tribunal rendered a partial award ordering the
release of withheld milestone payments to the supplier consor-
tium of approximately € million plus interest. As of Septem-
ber , TVO’s alleged counterclaims amounted to €. billion
based on a delay of up to  months. Based on a completion in
August , TVO estimates that its counterclaims amount to
€. billion. The further delay of more than  months (beyond
December ) as well as the potential materialization of fur-
ther schedule uncertainties in the completion of the plant
could lead TVO to further increase its counterclaims. The arbi-
tration proceedings may continue for several years.
As previously reported, Siemens AG terminated its joint ven-
ture with Areva S.A. (Areva) in January . Thereafter
Siemens AG entered into negotiations with the State Atomic
Energy Corporation Rosatom (Rosatom) with a view to forming
a new partnership active in the construction of nuclear power
plants, in which it would be a minority shareholder. In April
, Areva filed a request for arbitration with the ICC against
Siemens AG. Areva sought an order enjoining Siemens AG
from pursuing such negotiations with Rosatom, a declaration
that Siemens AG is in material breach of its contractual obliga-
tions and a reduction of the price payable to Siemens AG for its
stake in the Areva NP S.A.S. joint venture. The final award of
the arbitral tribunal was notified in May . According to this
award, Siemens had to pay Areva liquidated damages of €
million plus interest. Pursuant to the arbitral award, the dis-
puted non-compete obligation was reduced to four years (end-
ing in September ).
As previously reported, Siemens is involved in a power plant
construction project in the United States in which one of the
other parties to the project filed an arbitration proceeding in