Siemens 2014 Annual Report Download - page 272

108 A. To our Shareholders 131 B. Corporate Governance 171 C. Combined Management Report
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Changes to the valuation allowance of current and long-term
receivables presented in NOTE ,  AND , which belong to
the class of financial assets measured at (amortized) cost are as
follows (excluding receivables from finance leases):
Year ended September ,
(in millions of €)  
Valuation allowance as of beginning
of fiscal year 1,023 1,056
Increase in valuation allowances recorded in
the Consolidated Statements of Income in the
current period 62 205
Write-offs charged against the allowance (126) (208)
Recoveries of amounts previously written-off 69
Foreign exchange translation differences 5(38)
Reclassifications to line item Assets held for
disposal and dispositions of those entities (33) –
Valuation allowance as of fiscal year-end 938 1,023
In fiscal  and , receivables from finance leases, current
amount to € , million and € , million, respectively; the
long-term portion amounts to € , million and € , mil-
lion, respectively. The valuation allowance on current and long-
term receivables from finance leases changed as follows:
Year ended September ,
(in millions of €)  
Valuation allowance as of beginning
of fiscal year 124 134
Increase in valuation allowances recorded in
the Consolidated Statements of Income in the
current period 47 35
Write-offs charged against the allowance (46) (47)
Recoveries of amounts previously written-off 55
Foreign exchange translation differences 5(4)
Reclassifications to and from line item
Assets held for disposal and dispositions
of those entities ––
Valuation allowance as of fiscal year-end 135 124
Minimum future lease payments to be received are as follows:
September ,
(in millions of €)  
Within one year 2,406 2,318
After one year but not more than five years 3,393 3,406
More than five years 233 214
6,033 5,938
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 6,033 5,938
Plus: Unguaranteed residual values 91 97
Gross investment in leases 6,124 6,034
Less: Unearned finance income (643) (649)
Net investment in leases 5,481 5,385
Less: Allowance for doubtful accounts (135) (124)
Less: Present value of unguaranteed residual
value (80) (85)
Present value of minimum future lease
payments receivable 5,266 5,176
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 6,124 6,034
Within one year 2,433 2,345
One to five years 3,449 3,472
Thereafter 242 218
Present value of minimum future lease
payments receivable 5,266 5,176
Within one year 2,013 1,946
One to five years 3,037 3,035
Thereafter 215 195