ANNUAL REPORT 2017 Director-General's Statement
ANNUAL REPORT 2017 LFV is with you on the travel
ANNUAL REPORT 2017 This is LFV
ANNUAL REPORT 2017 The Year in Brief
ANNUAL REPORT 2017 Operating Environment and Marke
t
ANNUAL REPORT 2017 Strategy and Objectives
ANNUAL REPORT 2017 Customer Focus
ANNUAL REPORT 2017 Environment
ANNUAL REPORT 2017 Aviation Safety
ANNUAL REPORT 2017 Innovation
ANNUAL REPORT 2017 Cooperation and Partnerships
ANNUAL REPORT 2017 Employees
ANNUAL REPORT 2017 Board of Director's Report
ANNUAL REPORT 2017 Income Statement, Comments on t
he Income Statement
ANNUAL REPORT 2017 Balance Sheet
ANNUAL REPORT 2017 Comments on the balance sheet a
nd funds statements
ANNUAL REPORT 2017 Financing
ANNUAL REPORT 2017 Accounting and Valuation Princi
ples
ACCOUNTING AND VALUATION PRINCIPLES VIGNETTE have
fixed or determinable payments and fixed maturities, and which the agency intends to keep until maturity. Loans receivable and receivables are financial assets with fixed or determinable payments, which are not derivative instruments. Amortised cost is the amount at which a financial asset or financial liability is recognised after acquisition with regard to: • allocation of interest accrued using the effective interest method, • repayment of principal, and • any write-downs. A financial asset or a financial liability is reported in the balance sheet when the Group becomes a party to the financial instrument’s contractual terms and conditions, regardless of how the instrument is valued. Accounts receivable Accounts receivable are entered at the amount by which they are assessed to flow in. Provisions for the feared risk of losses in terms of outstanding accounts receivable have taken place following individual assessment. Receivables and liabilities in foreign currencies Monetary receivables and liabilities in foreign currencies are recalculated at the exchange rate on the accounting date. Monetary receivables and liabilities that are forward covered are recognised based on the forward rate. Non-monetary receivables and liabilities are recognised at the rate at time of acquisition. Revaluation of non-monetary items in foreign currencies are reported at the exchange rate on the date when the revaluation occurs. Exchange rate differences are recognised in the income statement for the year in which they arise. Exchange gains are reported as financial revenue and exchange losses as financial costs under the heading where the difference has arisen. 48 Provisions and contingent liabilities A provision is defined as a liability with an uncertain amount and/or date when it will be settled. A provision is reported in the balance sheet when 1. the Group has an obligation (legal or informal) as a result of a past event, 2. it is probable that an outflow of resources will be required to settle the obligation, and 3. a reliable estimation of the amount can be made. Provisions for restructuring are made when there is an approved and comprehensive restructuring plan and the affected people have been informed. Future commitments regarding agreements with employees concerning occupational pensions or partial pensions, leave of absence with salary, and those who have been made redundant due to a shortage of work where a future commitment through the Swedish Job Security Foundation may be invoked, may be also reported. The Group computes the present value of liabilities that are pending settlements after more than twelve months. The increase in the provision that is due to the passing of time is reported as an interest charge. Pensions As of 1 January 2016, a new pension agreement applies for the State, PA 16, which consists of two divisions. Division I, involves pension schemes that are defined contribution plans in entirety, and applies to employees born in 1988 or later. Division II involves defined benefit scheme and to some extent a defined contribution. It corresponds to the PA 03 agreement and applies to employees born before 1988. PA 16 thus entails a change of the state pension system that fully impacts employees born in 1988 and later, enabling a shift to a defined contribution pension scheme. Employees born before 1988 have been transferred to PA16 with some adjustments, but retain a defined-benefit pension. For the comparison year, the previous pension agreement PA 03 applied to government employees born in 1943 or later. Defined-benefit pensions in accordance with PA 03, and as of now PA 16, Division II, apply to employees born from 1943 to 1973, or employees with an annual income of at least 7.5 times the income base amount (in 2017, SEK 461,250). People born prior to 1943 who have a retirement age of 65 are covered by PA-91. For air traffic controllers PA-91 applies if they were born prior to 1948. The pension liability includes defined benefit retirement pensions, survivor’s pensions, disability pensions and temporary retirement pensions for air traffic controllers aged 60–65 years. For controllers born in 1988 or later PA16 does not include the exception relating to temporary retirement pension from age 60. The pension liability is calculated by the National Government Employee Pensions Board (SPV) according to the job security grounds and entails that pension rights are calculated at present value. The calculation is based on the current interest rate as per SPV’s board decision on the actuarial grounds for calculating the pension liability The defined-benefit part is adjusted annually with the change in the price base amount. The current value of the pension liability, as of 31 December 2017, has been calculated in accordance with the calculation basis for 2018. The gross rate of -0.6 per cent has been used, with deductions for estimated yield tax of 0.1 per cent and overheads of 0.2 per cent, i.e. the net rate is -0.9 per cent. The current value of the pension liability, as of 31 December 2016, was calculated in accordance with the calculation basis for 2017, which means a gross rate of -0.3 per cent, with deductions for estimated yield tax of 0.1 per cent and overheads of 0.2 per cent (net rate -0.6 per cent). The gross rate is calculated by the Swedish Financial Supervisory Authority as an average of the interest rates for long-term LFV ANNUAL REPORT 2017
ANNUAL REPORT 2017 Notes
ANNUAL REPORT 2017 Investments
ANNUAL REPORT 2017 Reporting in Accordance with Pe
rformance Plan
ANNUAL REPORT 2017 Reporting in Accordance with Ap
propriation Directions
ANNUAL REPORT 2017 Risk Management
ANNUAL REPORT 2017 Dividend Proposal
ANNUAL REPORT 2017 Audit Report
ANNUAL REPORT 2017 Board of Directors
ANNUAL REPORT 2017 Group Management
ANNUAL REPORT 2017 Five Years at a Glance
ANNUAL REPORT 2017 Abbreviations and Explanations