26 Provisions
|
in CHF thousands |
Provisions for legal and litigation risks |
Provisions for other business risks and restructuring |
Total 2020 |
Total 2019 |
|
As at 1 January |
5'255 |
9'651 |
14'907 |
30'661 |
|
Provisions applied |
– 511 |
– 3'647 |
– 4'158 |
– 12'514 |
|
Increase in provisions recognised in the income statement |
1'965 |
2'689 |
4'654 |
7'108 |
|
Decrease in provisions recognised in the income statement |
– 3'952 |
– 193 |
– 4'145 |
– 10'251 |
|
Changes due to foreign exchange differences |
0 |
– 59 |
– 59 |
– 97 |
|
As at 31 December |
2'757 |
8'441 |
11'199 |
14'907 |
|
in CHF thousands |
31.12.2020 |
31.12.2019 |
+ / – % |
|
Short-term provisions |
11'199 |
14'907 |
– 24.9 |
|
Long-term provisions |
0 |
0 |
|
|
Total |
11'199 |
14'907 |
– 24.9 |
Provisions for legal and litigation risks
In a case against LLB Verwaltung (Switzerland) AG, formerly Liechtensteinische Landesbank (Switzerland) AG, a settlement was reached with the claimants in May 2020. As a result of this settlement, LLB Verwaltung (Switzerland) AG was able to write back provisions amounting to CHF 3.7 million as at 31 December 2020. It will assert its claims against the insurance company.
Provisions for other risks and restructuring measures
In the 2020 business year, the LLB Group had allocated provisions for restructuring measures. These relate to various strategic initiatives, and in particular, to the StepUp2020 strategy of the LLB Group announced in October 2015. Provisions were set aside for the estimated costs of the corresponding social plans for employees.
In addition, there are provisions for a service agreement for the use of the Tambas banking software, which will be used for the intended purpose until the end of 2021. The banking software is no longer being used, but the service contract remains in place until the end of 2021.