Economic value generated and distributed

The table showing the Group’s directly generated and distributed economic value was prepared by reclassifying the consolidated income statement according to GRI-G3 guidelines (2006). The table distinguishes between three main elements of economic value: generated, distributed and retained by the Group.

Economic value represents the total wealth created by the Group which is later divided between the various stakeholders: suppliers (operating costs), employees (remuneration/ salaries), lenders and shareholders (remuneration of lenders and shareholders), government (taxes) and the community (charity).

(€k) 2009 2008 * 2007
Economic value generated by the Group 5,937,075 6,021,853 5,041,570
Revenue and other operating income 5,962,735 6,022,322 5,042,782
Financial income 6,511 6,703 8,544
Impairment of financial assets (127) 3,347 432
Writedowns of receivables (1,203) (1,025) 626
Writedowns on tangible and intangible assets (30,841) (9,494) (10,814)
Economic value distributed by the Group 5,549,620 5,625,505 4,732,472
Operating costs 3,866,476 3,919,599 3,130,572
Payroll 1,439,035 1,469,263 1,314,614
Remuneration of shareholders and lenders 115,596 150,376 162,759
Remuneration of the State 128,133 85,727 124,038
Donations (direct) 380 540 489
Economic value retained by the Group 387,455 396,348 309,098
Depreciation and amortisation 324,557 294,670 212,459
Provisions 25,884 17,998 14,879
Reserves 37,014 83,680 81,760

* The calculation of 2008 Added value takes in consideration the application of the IFRS 3 Revised to the Group 2009 consolidated statements. Further information are available in 2009 Report and Accounts

The economic value produced by the Group in 2009 was around € 5,937m (down 1.4% on 2008). The value assigned to stakeholders was around € 5,550m. Around 65% of this value was used to cover operating costs, including the costs of raw and subsidiary materials, merchandise and external services, rents, concessions and royalties for brand licensing. Confirming the fact that most of the wealth produced by the Group returns to those who contribute to its generation, 24% went to employees and 2% to lenders and shareholders as interest and dividends, while 2% went to government in taxation. The Group’s direct donations to charity amounted to € 380,000.

economic value