2009R0250 — EN — 01.07.2013 — 001.001

This document is meant purely as a documentation tool and the institutions do not assume any liability for its contents

►B COMMISSION REGULATION (EC) No 250/2009 of 11 March 2009 implementing Regulation (EC) No 295/2008 of the European Parliament and of the Council as regards the definitions of characteristics, the technical format for the transmission of data, the double reporting requirements for NACE Rev.1.1 and NACE Rev.2 and derogations to be granted for structural business statistics (Text with EEA relevance) (OJ L 086, 31.3.2009, p.1)

Amended by:









▼B

COMMISSION REGULATION (EC) No 250/2009

of 11 March 2009

implementing Regulation (EC) No 295/2008 of the European Parliament and of the Council as regards the definitions of characteristics, the technical format for the transmission of data, the double reporting requirements for NACE Rev.1.1 and NACE Rev.2 and derogations to be granted for structural business statistics

(Text with EEA relevance)







THE COMMISSION OF THE EUROPEAN COMMUNITIES, Having regard to Regulation (EC) No 295/2008 of the European Parliament and of the Council concerning structural business statistics ( 1 ), and in particular Article 11(1)(a), (c), (d) and (e) thereof, Whereas: (1) Regulation (EC, Euratom) No 58/97 ( 2 ) established a common framework for the production of Community statistics on the structure, activity, competitiveness and performance of businesses in the Community. For reasons of clarity and rationalisation that Regulation has been recast, with substantial amendments to various provisions. (2) Commission Regulations (EC) No 2700/98 on the definitions of characteristics for structural business statistics ( 3 ) and (EC) No 2702/98 on the technical format for the transmission of structural business statistics ( 4 ) must be modified in order to take account of those amendments. For the sake of clarity they should be replaced by this Regulation. (3) It is necessary to define the characteristics for structural business statistics in order to produce data comparable and harmonised between Member States. (4) It is also necessary to specify the technical format and the procedure for transmission of the structural business statistics listed in Annexes I to IX to Regulation (EC) No 295/2008 in order to produce data comparable and harmonised between Member States, to reduce the risk of errors in the transmission of data and to increase the speed with which the data collected can be processed and made available to users. (5) Moreover, it is necessary to specify the requirements for the double reporting of structural business statistics according to NACE Rev.1.1 in addition to the statistics required according to NACE Rev.2 for the reference year 2008. (6) Article 10 of Regulation (EC) No 295/2008 provides that derogations from the provisions of the Annexes to that Regulation may be accepted during the transitional periods. (7) Some Member States have asked for derogations for the transitional periods from certain provisions of Annexes I, II, III, VIII and IX to Regulation (EC) No 295/2008 in order to put in place the necessary data collection systems or adapt the existing ones so that by the end of the transitional period the provisions of that Regulation will have been met. (8) It seems justified to grant those derogations, as the Member States' requests are based on a legitimate need to further adapt their data collection systems. (9) The measures provided for in this Regulation are in accordance with the opinion of the Statistical Programme Committee, Whereas: HAS ADOPTED THIS REGULATION:







Article 1

The characteristics referred to in Article 3(3) of Regulation (EC) No 295/2008 shall be as defined in Annex I to this Regulation.

When reference is made in these definitions to company accounts, these shall be deemed to refer to the headings laid down in Article 9 (balance sheet), Article 23 (profit and loss account) or Article 43 (notes on the accounts) of the Fourth Council Directive 78/660/EEC on the annual accounts of certain types of companies ( 5 ) as well as to the headings laid down in the Annex to Commission Regulation (EC) No 1725/2003 ( 6 ).

Article 2

The technical format for the transmission of data in accordance with Regulation (EC) No 295/2008 shall be as set out in Annex II to this Regulation.

Article 3

The data and metadata transmitted pursuant to this Regulation shall be sent in electronic form by Competent National Authorities (National Statistical Offices and Authorities supervising certain financial institutions) to the Commission (Eurostat). The transmission format shall conform to appropriate interchange standards specified by the Commission (Eurostat). Data shall be transmitted or uploaded by electronic means to the single entry point for data, maintained by the Commission (Eurostat).

Member States shall implement the interchange standards and guidelines supplied by the Commission (Eurostat) according to the requirements of this Regulation.

Article 4

The requirements for double reporting as referred to in Section 9, point 2 of Annex I to Regulation (EC) No 295/2008 shall be as set out in Annex III to this Regulation.

Article 5

Derogations from the provisions of Regulation (EC) No 295/2008 as referred to in Annex I, Section 11, Annex II, Section 10, Annex III, Section 9, Annex VIII, Section 8 and Annex IX, Section 13 to that Regulation shall be granted as specified in Annex IV to this Regulation.

Article 6

Regulations (EC) No 2700/98 and (EC) No 2702/98 are hereby repealed.

They shall, however, continue to apply as regards the collection, compilation and transmission of data for reference years up to and including 2007.

Article 7

This Regulation shall enter into force on the 20th day following that of its publication in the Official Journal of the European Union.

This Regulation shall be binding in its entirety and directly applicable in all Member States.









ANNEX I

DEFINITIONS OF CHARACTERISTICS

Code : 11 11 0

Name : Number of enterprises

Annex : I to VIII

Definition:

A count of the number of market enterprises as defined in Council Regulation (EEC) No 696/93 ( 7 ) registered to the population concerned in the business register corrected for errors, in particular frame errors. Only active units which either had turnover or employment at any time during the reference period should be included. Dormant (temporarily inactive) and inactive units are excluded. This statistic should include all units active during at least a part of the reference period. It also includes local units (branches) which do not constitute a separate legal entity and which are dependent on foreign enterprises except for the activities covered by Annex V of Regulation (EC) No 295/2008. For the statistics on activities defined in Section 3 of Annex V of Regulation (EC) No 295/2008 this characteristic shall be limited to the number of enterprises established according to the law of the reporting country and branches of enterprises with head-office in non-EEA countries. For reinsurance enterprises no branches of enterprises with head-office in non-EEA countries are recorded. For the statistics on activities defined in Section 3 of Annex VII of Regulation (EC) No 295/2008 this characteristic shall also comprise pension funds that do not employ personnel. It shall also include pension funds which are not established as legal entities and which are managed by pension fund management companies, insurance enterprises or other financial institutions (without however being covered by the annual accounts of these institutions). This characteristic shall however not include the number of pension funds which are not established separately from the sponsoring undertaking or trade (i.e. the non-autonomous pension funds or the book reserve system normally managed as an ancillary activity by the employer).

Code : 11 11 1

Name : Number of enterprises broken down by legal status

Annex : V and VI

Definition:

The number of enterprises (see variable 11 11 0) is broken down by legal status;

Link to other variables:

‘Number of enterprises broken down by legal status’ is a further breakdown of the number of enterprises (11 11 0).

Code : 11 11 2

Name : Number of enterprises broken down by size class of gross premiums written

Annex : V

Definition:

The number of enterprises (see variable 11 11 0) broken down by size classes of gross premiums written.

Link to other variables:

Number of enterprises broken down by size class of gross premiums written is a further breakdown of the number of enterprises (11 11 0).

Code : 11 11 3

Name : Number of enterprises broken down by size class of gross technical provisions

Annex : V

Definition:

The number of enterprises (see variable 11 11 0) broken down by size classes of gross technical provisions.

Link to other variables:

Number of enterprises broken down by size class of gross technical provisions is a further breakdown of the number of enterprises (11 11 0).

Code : 11 11 4

Name : Number of enterprises broken down by residence of the parent enterprise

Annex : VI

Definition:

‘Parent enterprise’ shall mean a parent undertaking as defined in Articles 1 and 2 of Council Directive 83/349/EEC of 13 June 1983 ( 8 ) based on Article 54(3)(g) of the Treaty on consolidated accounts and any undertaking which, in the opinion of the relevant supervisory authority, effectively exercises a dominant influence over the credit institution.

The following geographical breakdown of parent enterprises has to be used: parent enterprise situated in the home Member State (the observed enterprise can be regarded as domestic controlled), parent enterprise situated in other countries (the observed enterprise can be regarded as foreign controlled). Branches of credit institutions with head office in another country than the reporting country do not have any parent enterprise. These enterprises are not considered here. The ultimate controlling institutional unit as defined in Regulation (EC) No 716/2007 of the European Parliament and of the Council ( 9 ) is the preferred concept which should as far as possible be followed.

Link to other variables:

‘Number of enterprises broken down by residence of the parent enterprise’ is part of the number of enterprises (11 11 0).

Code : 11 11 5

Name : Number of enterprises broken down by country of residence of the parent enterprise

Annex : V

Definition:

‘Parent enterprise’ shall mean a parent undertaking within the meaning of Article 1(1) of Council Directive 83/349/EEC of 13 June 1983 based on the Article 54(3)(g) of the Treaty on consolidated accounts, and any undertaking which, in the opinion of the relevant supervisory authority, effectively exercises a dominant influence over the insurance enterprise.

The following geographical breakdown of parent enterprises has to be used: parent enterprise situated in the home Member State (the observed enterprise can be regarded as domestic controlled), parent enterprise situated in other countries (the observed enterprise can be regarded as foreign controlled). As mutual enterprises and branches of insurance enterprises with head office in non-EEA countries do not have any parent enterprise, these enterprises are not considered here. The ultimate controlling institutional unit as defined in (EC) No 716/2007 is the preferred concept which should as far as possible be followed.

Link to other variables:

‘Number of enterprises by residence of the parent enterprise’ is part of the number of enterprises (11 11 0)

Code : 11 11 6

Name : Number of enterprises broken down by size classes of the balance sheet total

Annex : VI

Definition:

The number of enterprises (see variable 11 11 0) is broken down by size classes of the balance sheet total. The balance sheet total at the end of the accounting year (see variable 43 30 0) is considered.

Link to other variables:

‘Number of enterprises broken down by size classes of the balance sheet total’ is a further breakdown of the number of enterprises (11 11 0).

Code : 11 11 7

Name : Number of enterprises broken down by category of credit institutions

Annex : VI

Definition:

The number of enterprises (see variable 11 11 0) is broken down by category of credit institutions as follows: licensed banks, specialised credit granting institutions, other credit institutions.

Link to other variables:

‘Number of enterprises broken down by category of credit institutions’ is a further breakdown of the number of enterprises (11 11 0).

Code : 11 11 8

Name : Number of enterprises broken down by size of investments

Annex : VII

Definition:

The number of enterprises as defined in variable 11 11 0 broken down by size classes of investments, these are the investments covered by the variables 48 10 0 or 48 10 4, i.e. total investments at market value.

Link to other variables:

The variable ‘Number of enterprises broken down by size of investments’ (11 11 8) is a further breakdown of the variable ‘Number of enterprises’ (11 11 0).

Code : 11 11 9

Name : Number of enterprises broken down by size classes of members

Annex : VII

Definition:

The number of enterprises as defined in variable 11 11 0 broken down by size classes of members, these are the members defined in the variable Number of members (48 70 0).

Note : The number of members at the end of the accounting year should be considered.

Link to other variables:

The variable ‘Number of enterprises broken down by size classes of members’ (11 11 9) is a further breakdown of the variable ‘Number of enterprises’ (11 11 0).

Code : 11 15 0

Name : Number of enterprises with non-autonomous pension funds

Annex : VII

Definition:

This variable concerns the number of enterprises that constitute book reserves for paying out pensions to their employees. The management of the non-autonomous pension fund is an ancillary activity to these enterprises.

Code : 11 21 0

Name : Number of local units

Annex : I to IV and VI

Definition

A count of the number of local units as defined in Regulation (EEC) No 696/93 registered to the population concerned in the business register corrected for errors, in particular frame errors. Local units must be included even if they have no paid employees. This statistic should include all units active during at least a part of the reference period.

Code : 11 31 0

Name : Number of kind-of-activity units

Annex : II and IV

Definition

A count of the number of kind-of-activity units as defined in Regulation (EEC) No 696/93 registered to the population concerned in the business register corrected for errors, in particular frame errors, or an estimate if this type of unit is not registered. This statistic should include all units active during at least a part of the reference period.

Code : 11 41 0

Name : Total number and location of branches in other countries

Annex : V

Definition:

Branch as defined in Article 1 of the Council Directive 92/49/EEC (Third Non-life Insurance Directive) ( 10 ) and Article 1 of Council Directive 92/96/EEC (Third Life Assurance Directive) ( 11 ). The following geographical breakdown of the number of branches abroad has to be used: each single other Member State, other EEA countries, Switzerland, USA, Japan, other third countries (rest of the world).

Code : 11 41 1

Name : Total number of branches broken down by location in non-EEA countries

Annex : VI

Definition:

‘Branch’ is defined in Article 1 of the Council Directive 89/646/EEC ( 12 ) and is detailed in the Commission Communication on the freedom to provide services and on the interest of the general good in the Second Banking Directive (95/C 291/06).

The following geographical breakdown of the number of branches abroad has to be used: Switzerland, USA, Japan, third countries (rest of the world).

Note : All active branches in non-EEA countries notified in the home Member State of the credit institution are taken into consideration.

Code : 11 51 0

Name : Total number of financial subsidiaries broken down by location in other countries

Annex : VI

Definition:

‘Subsidiary’ shall mean a subsidiary undertaking as defined in Articles 1 and 2 of Directive 83/349/EEC based on Article 54(3)(g) of the Treaty on consolidated accounts. All enterprises being in the scope of financial services enterprises (as defined in chapter 1.3 of the methodological manual for statistics on credit institutions) are to be included.

Note : The following geographical breakdown of subsidiaries has to be used: Each single other Member State, Other EEA countries, Switzerland, USA, Japan, third countries (rest of the world). Only the first level of subsidiaries is taken into consideration.

Code : 11 61 0

Name : Number of pension schemes

Annex : VII

Definition:

This variable shall comprise the total number of pension schemes under the administration of pension funds. A pension scheme is based on an agreement, in general between social partners, stipulating which retirement benefits are granted and under which conditions.

Code : 11 91 0

Name : Population of active enterprises in t

Annex : IX

Definition

A count of market enterprises that had either turnover or employment at any time during a given reference period.

Code : 11 92 0

Name : Number of births of enterprises in t

Annex : IX

Definition

A count of the number of births of market enterprises registered to the population concerned in the business register corrected for errors. A birth amounts to the creation of a combination of production factors with the restriction that no other enterprises are involved in the event. Births do not include entries into the population due to mergers, break-ups, split-off or restructuring of a set of enterprises. It does not include entries into a sub-population resulting only from a change of activity.

Code : 11 93 0

Name : Number of deaths of enterprises in t

Annex : IX

Definition

A count of the number of deaths of market enterprises registered to the population concerned in the business register corrected for errors. A death amounts to the dissolution of a combination of production factors with the restriction that no other enterprises are involved in the event. Deaths do not include exits from the population due to mergers, take-overs, break-ups or restructuring of a set of enterprises. It does not include exits from a sub-population resulting only from a change of activity.

Code : 11 94 1

Name : Number of enterprises newly born in t-1 having survived to t

Code : 11 94 2

Name : Number of enterprises newly born in t-2 having survived to t

Code : 11 94 3

Name : Number of enterprises newly born in t-3 having survived to t

Code : 11 94 4

Name : Number of enterprises newly born in t-4 having survived to t

Code : 11 94 5

Name : Number of enterprises newly born in t-5 having survived to t

Annex : IX

Definition

Enterprise survival as referred to in these characteristics occurs if an enterprise is active in terms of employment and/or turnover in the year of birth and the following year(s). Two types of survival can be distinguished:

1) An enterprise born in year t-1 is considered to have survived in year t if it is active in terms of turnover and/or employment in any part of year t (= survival without changes).

2) An enterprise is also considered to have survived if the linked legal unit(s) have ceased to be active, but their activity has been taken over by a new legal unit set up specifically to take over the factors of production of that enterprise (= survival by take-over).

Code : 12 11 0

Name : Turnover

Annex : I to V, VII and VIII

Definition

For the statistics on activities defined in Section 3 of Annexes I to IV and VIII of Regulation (EC) No 295/2008 except for the activities classified in NACE Rev.2 Section K turnover comprises the totals invoiced by the observation unit during the reference period, and this corresponds to market sales of goods or services supplied to third parties. The sales of goods include the goods produced by the enterprise as well as the merchandise purchased by a retailer or land and other property held for resale (if land and other property were initially purchased for investment purposes they should not be included in turnover). The rendering of services typically involves the performance by the enterprise of a contractually agreed task over an agreed period of time. The revenue of the long-term contracts (e.g. building contracts) should be recognised by reference to the stage of completion of the contract and not the finished contract method. Goods produced for own consumption or investment should be excluded from turnover.

Turnover includes all duties and taxes on the goods or services invoiced by the unit with the exception of the value added type taxes (VAT). VAT are collected in stages by the enterprise and fully borne by the final purchaser.

It also includes all other charges (transport, packaging, etc.) passed on to the customer, even if these charges are listed separately in the invoice. Reduction in prices, rebates and discounts as well as the value of returned packing must be deducted.

Income classified as other operating income, financial income and extra-ordinary income in company accounts according to the 4th Accounting Directive and revenue from the use by others of enterprise assets yielding interest, royalties and dividends and other income according to IAS/IFRS is excluded from turnover. Operating subsidies received from public authorities or the institutions of the European Union are also excluded.

For the statistics on activities defined in Section 3 of Annex V of Regulation (EC) No 295/2008, the corresponding title of this characteristic is ‘Gross premiums written’. This characteristic is defined in Article 35 of Directive 91/674/EEC ( 13 ). Note: For the layout of the profit and loss account (technical account): Article 34, I. 1(a) of Directive 91/674/EEC for non-life insurance business and Article 34, II. 1(a) of Directive 91/674/EEC for life insurance business.

For the statistics on activities defined in Section 3 of Annex VII of Regulation (EC) No 295/2008, the corresponding title of this characteristic is ‘Total pension contributions’. This characteristic shall comprise all pension contributions, due during the financial year, in respect of pension contracts, such as all mandatory contributions, other regular contributions, voluntary additional contributions, incoming transfers, other contributions.

Link to company accounts

For the statistics on activities defined in Section 3 of Annexes I to IV and VIII of Regulation (EC) No 295/2008 except for the activities classified in NACE Rev.2 Section K

4th Accounting Directive: Council Directive 78/660/EEC

Turnover as defined above for statistical purposes comprises the accounting heading

— Net turnover including other taxes on products linked to turnover but not deductible

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 ( 14 )and Commission Regulation (EC) No 1725/2003

Turnover as defined above for statistical purposes comprises the accounting headings:

— revenue from the sales of goods and the rendering of services (IAS 18.35). If revenue of interests, dividends and royalties is included in this item, they should be subtracted.

Link to other variables:

For the statistics on activities defined in Section 3 of Annexes I to IV and VIII of Regulation (EC) No 295/2008 with the exception of enterprises with an activity classified in NACE Rev.2 Section K

— Turnover is used in the calculation of Production value (12 12 0) and other aggregates and balances.

— Turnover may be broken down by activity: Turnover from i) the principal activity, ii) industrial activities, iii) trading activities of purchase and resale and intermediary activities, iv) intermediary activities (agents), v) other service activities (18 11 0 to 18 16 0).

— Turnover may be broken down by product type: Breakdown of turnover by product type (18 21 0).

For the statistics on activities defined in Section 3 of Annex V of Regulation (EC) No 295/2008, ‘Gross premiums written’ (12 11 0) is calculated as follows:

Gross direct premiums written (12 11 1),

+ Gross reinsurance premiums accepted, written premiums (12 11 2).

Gross premiums written is used in the calculation of Gross premiums earned (32 11 0) and other aggregates and balances.

For the statistics on activities defined in Section 3 of Annex VII of Regulation (EC) No 295/2008 Turnover (Total pension contributions) is calculated as follows:

Pension contributions receivable from members (48 00 1),

+ Pension contributions receivable from employers (48 00 2),

+ Incoming transfers (48 00 3),

+ Other pension contributions (48 00 4)

or:

Pension contributions to defined benefit schemes (48 00 5),

+ Pension contributions to defined contribution schemes (48 00 6),

+ Pension contributions to hybrid schemes (48 00 7).

For the statistics on activities defined in Section 3 of Annex VIII of Regulation (EC) No 295/2008 ‘Turnover’is further broken down into products and the residence of the client

Code : 12 11 1

Name : Gross direct premiums written

Annex : V

Definition:

Article 35 of Council Directive 91/674/EEC. Only direct insurance premiums are covered.

Note:

For the layout of the profit and loss account (technical account): Article 34, I. 1(a) of Directive 91/674/EEC for non-life insurance business and Article 34, II. 1(a) of Directive 91/674/EEC for life insurance business.

Link to other variables:

Gross direct premiums written (12 11 1)

+ Gross reinsurance premiums accepted, written premiums (12 11 2)

= Gross premiums written (12 11 0)

Code : 12 11 2

Name : Gross reinsurance premiums accepted, written premiums

Annex : V

Definition:

Article 35 of Council Directive 91/674/EEC — gross reinsurance premiums accepted, written premiums is included in the technical part of the profit and loss account. Only written premiums of the business accepted are covered.

Note:

For the layout of the profit and loss account (technical account): Article 34, I. 1(a) of Directive 91/674/EEC for non-life insurance business and Article 34, II. 1(a) of Directive 91/674/EEC for life insurance business.

Link to other variables:

Gross direct premiums written (12 11 1)

+ Gross reinsurance premiums accepted, written premiums (12 11 2)

= Gross premiums written (12 11 0)

Code : 12 11 3

Name : Gross direct premiums written, individual premiums

Annex : V

Definition:

Article 35 of Council Directive 91/674/EEC — gross direct premiums written, individual premiums is included in the technical part of the profit and loss account.

Note:

For the breakdown individual premiums: Article 63 of Directive 91/674/EEC.

Link to other variables:

Gross direct premiums written, individual premiums (12 11 3)

+ Gross direct premiums written, premiums under group contracts (12 11 4)

= Gross direct premiums written (12 11 1)

Code : 12 11 4

Name : Gross direct premiums written, premiums under group contracts

Annex : V

Definition:

Article 35 of Council Directive 91/674/EEC — gross direct premiums written, premiums under group contracts is included in the technical part of the profit and loss account.

Note:

For the breakdown premiums under group contracts: Article 63 of Directive 91/674/EEC.

Link to other variables:

Gross direct premiums written, individual premiums (12 11 3)

+ Gross direct premiums written, premiums under group contracts (12 11 4)

= Gross direct premiums written (12 11 1)

Code : 12 11 5

Name : Gross direct premiums written, periodic premiums

Annex : V

Definition:

Article 35 of Council Directive 91/674/EEC — gross direct premiums written, periodic premiums is included in the technical part of the profit and loss account.

Note:

For the breakdown periodic premiums: Article 63 of Directive 91/674/EEC.

Link to other variables:

Gross direct premiums written, periodic premiums (12 11 5)

+ Gross direct premiums written, single premiums (12 11 6)

= Gross direct premiums written (12 11 1)

Code : 12 11 6

Name : Gross direct premiums written, single premiums

Annex : V

Definition:

Article 35 of Council Directive 91/674/EEC — gross direct premiums written, single premiums is included in the technical part of the profit and loss account.

Note:

For the breakdown single premiums: Article 63 of Directive 91/674/EEC.

Link to other variables:

Gross direct premiums written, periodic premiums (12 11 5)

+ Gross direct premiums written, single premiums (12 11 6)

= Gross direct premiums written (12 11 1)

Code : 12 11 7

Name : Gross direct premiums written, premiums from non-bonus contracts

Annex : V

Definition:

Article 35 of Council Directive 91/674/EEC — gross direct premiums written, premiums from non-bonus contracts is included in the technical part of the profit and loss account.

Note:

For the breakdown premiums from non-bonus contracts: Article 63 of Directive 91/674/EEC.

Link to other variables:

Gross direct premiums written, premiums from non-bonus contracts (12 11 7)

+ Gross direct premiums written, premiums from bonus contracts (12 11 8)

+ Gross direct premiums written, premiums from contracts where the investment risk is borne by policyholders (12 11 9)

= Gross direct premiums written (12 11 1)

Code : 12 11 8

Name : Gross direct premiums written, premiums from bonus contracts

Annex : V

Definition:

Article 35 of Council Directive 91/674/EEC — gross direct premiums written, premiums from bonus contracts is included in the technical part of the profit and loss account.

Note:

For the breakdown premiums from bonus contracts: Article 63 of Directive 91/674/EEC.

Link to other variables:

Gross direct premiums written, premiums from non-bonus contracts (12 11 7)

+ Gross direct premiums written, premiums from bonus contracts (12 11 8)

+ Gross direct premiums written, premiums from contracts where the investment risk is borne by policyholders (12 11 9)

= Gross direct premiums written (12 11 1)

Code : 12 11 9

Name : Gross direct premiums written, premiums from contracts where the investment risk is borne by policyholders

Annex : V

Definition:

Article 35 of Council Directive 91/674/EEC — gross direct premiums written, premiums from contracts where the investment risk is borne by policyholders is included in the technical part of the profit and loss account.

Note:

For the breakdown premiums from contracts where the investment risk is borne by policyholders: Article 63 of Directive 91/674/EEC.

Link to other variables:

Gross direct premiums written, premiums from non-bonus contracts (12 11 7)

+ Gross direct premiums written, premiums from bonus contracts (12 11 8)

+ Gross direct premiums written, premiums from contracts where the investment risk is borne by policyholders (12 11 9)

= Gross direct premiums written (12 11 1)

Code : 12 12 0

Name : Production value

Annex : I to IV, VI and VII

Definition

For the statistics on activities defined in Section 3 of Annexes I to IV of Regulation (EC) No 295/2008 with the exception of enterprises with an activity classified in NACE Rev.2 Section K

The production value measures the amount actually produced by the unit, based on sales, including changes in stocks and the resale of goods and services.

The production value is defined as turnover or revenue from sales of goods and rendering of services, plus or minus the changes in stocks of finished products, work in progress and goods and services purchased for resale, minus the purchases of goods and services for resale (only for the goods and services sold during the reporting period and excluding the costs of storage and transport of the goods purchased for resale), plus capitalised production, plus other (operating and extra-ordinary) income (excluding subsidies). Income and expenditure classified as financial or as revenue in the form of interests and dividends in company accounts is excluded from production value. Included in purchases of goods and services for resale are the purchases of services purchased in order to be rendered to third parties in the same condition.

Note : Capitalised production includes the own-account production of all goods that are retained by their producers as investment. The latter includes the production of fixed tangible assets (buildings, etc.) as well as intangible assets (development of software, etc.). Capitalised production is unsold production and is valued at production cost. Note that these capital goods are also to be included in investment.

Note : Other (operating and extra-ordinary) income is a company accounting heading. The contents of this heading may vary between sectors and over time and as such can not be defined precisely for statistical purposes.

For the statistics on activities of NACE Rev.2 groups 65.1 and 65.2, the production value is defined gross premiums earned plus total portfolio investment income plus other services produced minus gross claims incurred, excluding claims management expenses plus capital gains and provisions.

For the statistics on activities defined in Section 3 of Annex VI of Regulation (EC) No 295/2008, the production value is defined as interest receivable and similar income less interest payable and similar charges plus commissions receivable plus income from shares and other variable-yield securities plus net profit or net loss on financial operations plus other operating income.

For the statistics on activities defined in Section 3 of Annex VII of Regulation (EC) No 295/2008, the production value is defined as turnover less insurance premiums payable plus investment income plus other income plus insurance claims receivable less total expenditure on pensions less net change in technical provisions.

For the enterprises of the NACE Rev.2 class 64.11 (central banks) the production value is defined as interest receivable and similar income less interest payable and similar charges plus commissions receivable plus income from shares and other variable-yield securities plus net profit or net loss on financial operations plus other operating income.

Link to company accounts

For the statistics on activities defined in Section 3 of Annexes I to IV of Regulation (EC) No 295/2008 except for the enterprises with an activity classified in NACE Rev.2 Section K

4th Accounting Directive: Council Directive 78/660/EEC

The components of Production value are included in the following accounting headings;

— Net turnover

— part of Other operating income — excluding subsidies

— part of Extra-ordinary income — excluding subsidies

— Variation in stocks of finished goods and work in progress

— part of Raw materials and consumables relating to purchases and change in stocks of goods for resale

— Work performed by the undertaking for its own purposes and capitalised

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Commission Regulation (EC) No 1725/2003

The components of Production value are included in the following accounting headings (function of expense method):

— Revenue from sales of goods and rendering of services, income from royalties (excluding revenue from interests and dividends if included in revenue)

— Other income — excluding subsidies

— + Changes in inventories of finished goods and work in progress

— - part of raw materials and consumables used relating to purchases and change in stocks of goods for resale

— + work performed by the undertaking for its own purposes and capitalised (included in other income)

The components of Production value are included in the following accounting headings (nature of expense method):

— Revenue from sales of goods and rendering of services, income from royalties (excluding revenue from interests and dividends if included in revenue)

— Other income — excluding subsidies

— - cost of sales excluding depreciation and amortization costs

— + work performed by the undertaking for its own purposes and capitalised (included in other income)

Link to other variables:

For the statistics on activities defined in Section 3 of Annexes I to IV, of Regulation (EC) No 295/2008 except for the enterprises with an activity classified in NACE Rev.2 Section K, the production value is based on

Turnover (12 11 0),

+/- Change in stocks of finished products and work in progress manufactured by the unit (13 21 3)

+/- Change in stocks of goods and services purchased for resale in the same condition as received (13 21 1)

- Purchases of goods and services purchased for resale in the same condition as received (13 12 0)

+ Capitalised production

+ Other operating income (excluding subsidies)

Production value is used in the calculation of Value added at factor cost (12 15 0) and other aggregates and balances.

For the statistics on activities of NACE Rev.2 groups 65.1 and 65.2, the production value is calculated as follows:

For life insurance:

Gross premiums written (12 11 0),

+ Gross change in the provision for unearned premiums (32 11 2)

+ Investment income (32 22 0)

- Value re-adjustments on investments (32 71 5)

- Gains on the realisation on investments (32 71 6)

- Income from participating interests (32 71 1)

+ [(Total gross technical provisions (37 30 0) — Total net technical provisions (37 30 1))/Total net technical provisions (37 30 1)] × (Investment income (32 22 0) — Value readjustments on investments (32 71 5) — Gains on the realisation of investments (32 71 6) — Income from participating interests (32 71 1)),

+ Other technical income, net amount (32 16 1)

+ Other income (32 46 0)

- Gross claims payments (32 13 1)

- Gross change in the provision for outstanding claims (32 13 4)

+ External and internal claims management expenses (32 61 5)

+ Gains on the realisation on investments (32 71 6)

+ Unrealised gains on investments (32 23 0)

- Losses on the realisation on investments (32 72 3)

- Unrealised losses on investments (32 28 0)

- Gross change in life insurance provision (32 25 0,

- Bonuses and rebates, net amount (32 16 3)

- Change in fund for future appropriations (part of 32 29 0)

- Net changes in other technical provisions, not shown under other headings (32 16 2).

For non-life insurance and reinsurance:

Gross premiums written (12 11 0)

+ Gross change in the provision for unearned premiums (32 11 2)

+ Investment income (32 42 0)

- Value re-adjustments on investments (32 71 5)

- Gains on the realisation on investments (32 71 6)

- Income from participating interests (32 71 1)

+ [(Total gross technical provisions (37 30 0) — Total net technical provisions (37 30 1))/Total net technical provisions (37 30 1)] × (Investment income (32 42 0) — Value readjustments on investments (32 71 5) — Gains on the realisation of investments (32 71 6) — Income from participating interests (32 71 1))

+ Other technical income, net amount (32 16 1)

+ Other income (32 46 0)

- Gross claims payments (32 13 1)

- Gross change in the provision for outstanding claims (32 13 4)

+ External and internal claims management expenses (32 61 5)

+ Gains on the realisation on investments (32 71 6)

- Losses on the realisation on investments (32 72 3)

- Bonuses and rebates, net amount (32 16 3)

- Change in the equalisation provision (32 15 0)

- Net changes in other technical provisions, not shown under other headings (32 16 2).

For the statistics on activities defined in Section 3 of Annex VI of Regulation (EC) No 295/2008, Production value is calculated as:

Interest receivable and similar income (42 11 0)

- Interest payable and similar charges (42 12 0)

+ Commissions receivable (42 14 0)

+ Income from shares and other variable-yield securities (42 13 1)

+ Net profit or net loss on financial operations (42 20 0)

+ Other operating income (42 31 0)

For the statistics on activities defined in Section 3 of Annex VII of Regulation (EC) No 295/2008, Production value is calculated as:

Turnover (12 11 0),

- Insurance premiums payable (48 05 0)

+ Investment income (48 01 0)

+ Other income (48 02 2),

+ Insurance claims receivable (48 02 1)

- Total expenditure on pensions (48 03 0)

- Net change in technical provisions (48 04 0)

Code : 12 13 0

Name : Gross margin on goods for resale

Annex : II to IV

Definition

Corresponds to the return on the activity of purchase and resale without further processing. It is calculated from turnover, purchases and changes in stocks of goods and services purchased for resale in the same condition as received.

Included in turnover, purchases and changes in stocks of goods and services for resale are the sales, purchases and changes in stocks of services purchased in order to be rendered to third parties in the same condition.

Also called gross trading margin.

Link to company accounts

For the statistics on activities defined in Section 3 of Annexes I to IV of Regulation (EC) No 295/2008 except for the enterprises with an activity classified in NACE Rev.2 Section K

4th Accounting Directive: Council Directive 78/660/EEC

These figures may not be isolated in company accounts. They are part of net turnover and raw materials and consumables in the accounts according to the 4th Accounting Directive (78/660).

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Commission Regulation (EC) No 1725/2003

These figures may not be isolated in company accounts. In the nature of expense method they are part of revenue and raw materials and consumables used. In the function of expense method they are part of revenue and cost of sales.

Link to other variables:

Gross margin on goods for resale is based on

Turnover from trading activities of purchase and resale (18 16 0)

- Purchases of goods and services purchased for resale in the same condition as received (13 12 0)

+/- Changes in stocks of goods and services purchased for resale in the same condition as received (13 21 1)

— Gross margin on goods for resale is a part of Production value (12 12 0)

Code : 12 15 0

Name : Value added at factor cost

Annex : I to IV, VI and VII

Definition

For the statistics on activities defined in Section 3 of Annexes I to IV, of Regulation (EC) No 295/2008 except for the enterprises with an activity classified in NACE Rev.2 Section K, value added at factor cost is the gross income from operating activities after adjusting for operating subsidies and indirect taxes.

It can be calculated from turnover, plus capitalised production, plus other operating income (including operating subsidies), plus or minus the changes in stocks, minus the purchases of goods and services, minus other taxes on products which are linked to turnover but not deductible, minus the duties and taxes linked to production. The duties and taxes linked to production are compulsory, unrequited payments, in cash or in kind which are levied by general government, or by the Institutions of the European Union, in respect of the production and importation of goods and services, the employment of labour, the ownership or use of land, buildings or other assets used in production irrespective of the quantity or the value of goods and services produced or sold. Alternatively it can be calculated from gross operating surplus by adding personnel costs.

Income and expenditure classified as financial in company accounts according to the 4th Accounting Directive (78/660/EEC) is excluded from value added. Income and expenditure classified as interest income, dividend income, foreign exchange gain from foreign currency borrowings related to interest costs, gains on redemption and extinguishment of debt or finance costs according to Commission Regulation (EC) 1725/2003 are excluded from value added

Value added at factor costs is calculated ‘gross’ as value adjustments (such as depreciation and impairment losses) are not subtracted.

For the statistics on activities of NACE rev.2 groups 65.1 and 65.2, the value added at factor costs is defined as production value minus gross value of reinsurance services received minus commissions minus other external expenditure on goods and services.

For the statistics on activities defined in Section 3 of Annex VI of Regulation (EC) No 295/2008, the value added at factor costs is defined as production value less total purchases of goods and services.

For the statistics on activities defined in Section 3 of Annex VII of Regulation (EC) No 295/2008, the value added at factor costs is defined as production value less total purchases of goods and services.

For the enterprises of the NACE Rev.2 class 64.11, the value added at factor costs is defined as production value less total purchases of goods and services.

Link to company accounts

For the statistics on activities defined in Section 3 of Annexes I to IV of Regulation (EC) No 295/2008 except for the enterprises with an activity classified in NACE Rev.2 Section K

4th Accounting Directive: Council Directive 78/660/EEC

Value added at factor costs can be calculated directly from the following accounting headings;

— Net turnover

— Variation in stocks of finished goods and work in progress

— Work performed by the undertaking for its own purposes and capitalised

— Raw materials and consumables

— Other external charges

— Other operating charges

— Other operating income

— Extra-ordinary charges

— Extra-ordinary income

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Commission Regulation (EC) No 1725/2003

Value added at factor costs can be calculated directly from the following accounting headings from the nature of expense method

Revenue (excluding revenue from interests and dividends if included in revenue)

+/- Changes in inventories of finished goods and work in progress

- Raw materials and consumables used

- Other expenses

+ Other income

Value added at factor costs can be calculated directly from the following accounting headings from the function of expense method

Revenue (excluding revenue from interests and dividends if included in revenue)

- Cost of sales (excluding employee benefits costs, depreciation and amortization costs)

- Distribution costs (excluding employee benefits costs)

- Administrative expenses (excluding employee benefits costs)

- Other expenses

+ Other income

Link to other variables:

For the statistics on activities defined in Section 3 of Annexes I to IV, of Regulation (EC) No 295/2008 except for the enterprises with an activity classified in NACE Rev.2 Section K,

Value added at factor cost is based on

Turnover (12 11 0)

+/- Change in stocks of goods and services (13 21 0)

+ Capitalised production

+ Other operating income

- Purchases of goods and services (13 11 0)

- Other taxes on products which are linked to turnover but not deductible

- Duties and taxes linked to production

— Value added at factor cost is used in the calculation of gross operating surplus (12 17 0) and other aggregates and balances.

For the statistics on activities of NACE rev.2 groups 65.1 and 65.2, Value added at factor cost is calculated as:

Production value (12 12 0),

- Total purchases of goods and services (13 11 0).

For the statistics on activities defined in Section 3 of Annex VI of Regulation (EC) No 295/2008, the value added at factor cost is calculated follows:

Production value (12120),

- Total purchases of goods and services (13 11 0).

For the statistics on activities defined in Section 3 of Annex VII of Regulation (EC) No 295/2008, the value added at factor cost is calculated follows:

Production value (12 12 0),

- Total purchases of goods and services (13 11 0).

Code : 12 17 0

Name : Gross operating surplus

Annex : I to IV

Definition

Gross operating surplus is the surplus generated by operating activities after the labour factor input has been recompensed. It can be calculated from the value added at factor cost less the personnel costs. It is the balance available to the unit which allows it to recompense the providers of own funds and debt, to pay taxes and eventually to finance all or a part of its investment.

Link to company accounts

For the statistics on activities defined in Section 3 of Annexes I to IV of Regulation (EC) No 295/2008 except for the enterprises with an activity classified in NACE Rev.2 Section K

4th Accounting Directive: Council Directive 78/660/EEC

Gross operating surplus can be calculated from the following accounting headings;

Net turnover

— Variation in stocks of finished goods and work in progress

— Work performed by the undertaking for its own purposes and capitalised

— Raw materials and consumables

— Other external charges

— Other operating charges

— Other operating income

— Extra-ordinary charges

— Extra-ordinary income

— Staff costs

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Commission Regulation (EC) No 1725/2003

Gross operating surplus can be calculated directly from the following accounting headings from the nature of expense method

— Revenue (excluding revenue from interests and dividends if included in revenue)

— +/- Changes in inventories of finished goods and work in progress

— - Raw materials and consumables used

— - Other expenses

— + Other income

— - employee benefits costs

Gross operating surplus can be calculated directly from the following accounting headings from the function of expense method

— Revenue (excluding revenue from interests and dividends if included in revenue)

— - Cost of sales (excluding depreciation and amortization costs)

— - Distribution costs (excluding depreciation and amortization costs)

— - Administrative expenses (excluding depreciation and amortization costs)

— - Other expenses (excluding depreciation and amortization costs)

— + Other income

Link to other variables:

Gross operating surplus is based on

Value added at factor cost (12 15 0)

- Personnel costs (13 31 0)

Code : 13 11 0

Name : Total purchases of goods and services

Annex : I to IV, VI and VII

Definition

Purchases of goods and services include the value of all goods and services purchased during the accounting period for resale or consumption in the production process, excluding capital goods the consumption of which is registered as consumption of fixed capital. The goods and services concerned may be either resold with or without further transformation, completely used up in the production process or, finally, be stocked.

Included in these purchases are the materials that enter directly into the goods produced (raw materials, intermediary products, components), plus non-capitalised small tools and equipment. Also included are the value of ancillary materials (lubricants, water, packaging, maintenance and repair materials, office materials) as well as energy products. Included in this variable are the purchases of materials made for the production of capital goods by the unit.

Services paid for during the reference period are also included regardless of whether they are industrial or non-industrial. In this figure are payments for all work carried out by third parties on behalf of the unit including current repairs and maintenance, installation work and technical studies. Amounts paid for the installation of capital goods and the value of capitalised goods are excluded.

Also included are payments made for non-industrial services such as legal and accountancy fees, patents and licence fees (where they are not capitalised), insurance premiums, costs of meetings of shareholders and governing bodies, contributions to business and professional associations, postal, telephone, electronic communication, telegraph and fax charges, transport services for goods and personnel, advertising costs, commissions (where they are not included in wages and salaries), rents, bank charges (excluding interest payments) and all other business services provided by third parties. Included are services which are transformed and capitalised by the unit as capitalised production.

Expenditure classified as financial expenditure or as revenue in the form or interests and dividends is excluded from the total purchases of goods and services.

Purchases of goods and services are valued at the purchase price, i.e. the price the purchaser actually pays for the products, including any taxes less subsidies on the products bought excluding however value added type taxes

All other taxes and duties on the products are therefore not deducted from the valuation of the purchases of goods and services. The treatment of taxes on production is not relevant in the valuation of these purchases.

For the statistics on activities defined in Section 3 of Annexes I to IV, of Regulation (EC) No 295/2008 except for the enterprises with an activity classified in NACE Rev.2 Section K, expenditure classified as financial expenditure in company accounts is excluded from the total purchases of goods and services.

For the statistics on activities of NACE Rev.2 groups 65.1 and 65.2, the total purchases of goods and services is defined as the gross value of reinsurance services received plus total of commissions as referred to in Article 64 of Council Directive 91/674 plus any other external expense on goods and services (excluding personnel costs).

For the statistics on activities defined in Section 3 of Annex VI of Regulation (EC) No 295/2008, the total purchases of goods and services is defined as commissions payable plus other administrative expenses plus other operating charges.

Link to company accounts

For the statistics on activities defined in Section 3 of Annexes I to IV of Regulation (EC) No 295/2008 except for the enterprises with an activity classified in NACE Rev.2 Section K

4th Accounting Directive: Council Directive 78/660/EEC

Purchases of goods and services can be calculated from the accounting headings

— Raw materials and consumables (before account is made of changes in stocks of goods and services)

— Other external charges (before account is made of changes in stocks of goods and services)

— part of Other operating charges — The part included here concerns payments for goods and services not included in the two headings above (raw materials and consumables and other external charges). The part not included here concerns the payment of taxes on production.

— Extra-ordinary charges

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Com-mission Regulation (EC) No 1725/2003

Purchases of goods and services can be calculated from the following accounting headings from the nature of expense method

— Raw materials and consumables used

— Other expenses (before account is made of changes in stocks of goods and services)

Purchases of goods and services can be calculated from the following accounting headings from the function of expense method

— Cost of sales (before account is made of changes of goods and services and excluding employee benefits costs, depreciation and amortization costs)

— Distribution costs (made during the accounting period and excluding employee benefits costs, depreciation and amortization costs)

— Administrative expenses (made during the accounting period and excluding employee benefits costs, depreciation and amortization costs)

— Other expenses

Link to other variables:

For the statistics on activities defined in Section 3 of Annexes I to IV, of Regulation (EC) No 295/2008 except for the enterprises with an activity classified in NACE Rev.2 Section K, total purchases of goods and services is used in the calculation of Value added at factor cost (12 15 0) and other aggregates and balances.

Many items included within Total purchases of goods and services are identified separately

— Purchases of goods and services purchased for resale in the same condition as received (13 12 0)

— Payments for agency workers (13 13 1)

— Payments for long term rental and operational leasing of goods (13 41 1)

— Purchases of energy products (20 11 0)

For the statistics on activities of NACE Rev.2 groups 65.1 and 65.2, Total purchases of goods and services is calculated as:

For life insurance:

Reinsurance balance (32 18 0),

+ [(Total gross technical provisions (37 30 0) — Total net technical provisions (37 30 1))/Total net technical provisions (37 30 1)] × (Investment income (32 22 0) — Value re-adjustments on investments (32 71 5) — Gains on the realisation of investments (32 71 6) — Income from participating interests (32 71 1)),

+ Commissions (32 61 1),

+ External expenditure on goods and services (32 61 4)

For non-life insurance and reinsurance:

Reinsurance balance (32 18 0),

+ [(Total gross technical provisions (37 30 0) — Total net technical provisions (37 30 1))/Total net technical provisions (37 30 1)] × (Investment income (32 42 0) — Value re-adjustments on investments (32 71 5) — Gains on the realisation of investments (32 71 6) — Income from participating interests (32 71 1)),

+ Commissions (32 61 1),

+ External expenditure on goods and services (32 61 4)

For the statistics on activities defined in Section 3 of Annex VI of Regulation (EC) No 295/2008, total purchases of goods and services is calculated as:

Commissions payable (42 15 0),

+ Other administrative expenses (42 32 2),

+ Other operating charges (42 33 0).

For the statistics on activities defined in Section 3 of Annex VII of Regulation (EC) No 295/2008, The variable Total purchases of goods and services (13 11 0) is used in the calculation of the variable Total operational expenses (48 06 0).

Code : 13 12 0

Name : Purchases of goods and services purchased for resale in the same condition as received

Annex : I to IV

Definition

Purchases for resale are purchases of goods for resale to third parties without further processing. It also includes purchases of services by ‘invoicing’ service companies, i.e. those whose turnover is composed not only of agency fees charged on a service transaction (as in the case of estate agents) but also the actual amount involved in the service transaction, e.g. transport purchases by travel agents. The value of goods and services which are sold to third parties on a commission basis are excluded since these goods are neither bought nor sold by the agent receiving the commission.

When services for resale are referred to here, the services concerned are the output from service activities, rights to use predetermined services, or physical supports for services. Purchases of goods and services purchased for resale in the same condition as received are valued at the purchase price excluding deductible VAT and other deductible taxes linked directly to turnover. All other taxes and duties on the products are therefore not deducted from the valuation of the purchases of goods and services.

The treatment of taxes on production is not relevant in the valuation of these purchases.

Link to company accounts

For the statistics on activities defined in Section 3 of Annexes I to IV of Regulation (EC) No 295/2008 except for the enterprises with an activity classified in NACE Rev.2 Section K

4th Accounting Directive: Council Directive 78/660/EEC

Purchases of goods and services purchased for resale in the same condition as received may not be isolated in company accounts. It is a part of

— Raw materials and consumables

— Other external charges

— Other operating charges

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Com-mission Regulation (EC) No 1725/2003

Purchases of goods and services purchased for resale in the same condition as received may not be isolated in company accounts. It is part of the following accounting headings from the nature of expense method

— Raw materials and consumables used (before account is made of changes in stocks of goods and services)

— Other expenses

Purchases of goods and services purchased for resale in the same condition as received may not be isolated in company accounts. It is part of the following accounting headings from the function of expense method:

— Cost of sales (before account is made of changes of goods and services and excluding employee benefits costs, depreciation and amortization costs)

— Other expenses

Link to other variables:

Part of Total purchases of goods and services (13 11 0)

— Purchases of goods and services purchased for resale in the same condition as received is used in the calculation of Gross margin on goods for resale (12 13 0), in Production value (12 12 0) and other aggregates and balances.

Code : 13 13 1

Name : Payments for agency workers

Annex : I to IV

Definition

Included in this figure are payments to temporary employment agencies and similar organisations supplying workers to clients' businesses for limited periods of time to supplement or temporarily replace the working force of the client, where the individuals provided are employees of the temporary help service unit. However, these agencies and organisations do not provide direct supervision of their employees at the clients' work sites. Only the payments for the provision of personnel which is not linked to the provision of a particular industrial or other non-industrial service is included.

Link to company accounts

For the statistics on activities defined in Section 3 of Annexes I to IV of Regulation (EC) No 295/2008 except for the enterprises with an activity classified in NACE Rev.2 Section K

4th Accounting Directive: Council Directive 78/660/EEC

Payments for agency workers may not be isolated in company accounts. It is part of other external charges and other operating charges.

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Commission Regulation (EC) No 1725/2003

Payments for agency workers may not be isolated in company accounts. It is part of the heading other expenses or part of raw materials and consumables used (in some cases when the agency workers concern production activities) from the nature of expense method.

Payments for agency workers may not be isolated in company accounts. It is part of the headings cost of sales, distribution costs, administrative expenses and/or other expenses from the function of expense method.

For the statistics on activities of NACE Rev. 2 groups 65.1 and 65.2

Payments for agency workers may not be isolated in company accounts as described in Article 34, III 16 of Council Directive 91/674/EEC

For the statistics on activities of credit institutions of NACE rev.2 classes 64.19 and 64.92

Payments for agency workers may not be isolated in Other administrative expenses, as referred to in Article 27, item 8b, and Article 28, item A 4b of Directive 86/635/EEC

Link to other variables:

Part of Total purchases of goods and services (13 11 0)

Code : 13 21 0

Name : Change in stocks of goods and services

Annex : III

Definition

Change in stocks (positive or negative) is the difference between the value of the stocks at the end and the beginning of the reference period. Change in stocks may be measured by the value of entries into stocks less the value of withdrawals and the value of any recurrent losses of goods held in stocks. Stocks are recorded at purchaser's prices exclusive of VAT if they are purchased from another unit, otherwise at production cost.

Among stocks (and the change in stocks), the following breakdown can be made:

— stocks of finished goods

— stocks of work in progress

— stocks of goods and services purchased for resale in the same condition as received,

— stocks of raw materials and consumables.

Included are the stocks of finished products or in the course of production, which have been produced by the unit and which have not yet been sold. These products include work in progress belonging to the unit, even if the products in question are in the possession of third parties. Equally, products held by the unit which belong to third parties are excluded.

Included are the stocks of goods and services bought for the sole purpose of reselling them in the same condition. Excluded are stocks of goods and services which are provided to third parties on a commission basis. Products purchased for resale and stocked by services enterprises can include goods (industrial equipment in the case of ‘turnkey’ engineering contracts, or buildings in the case of property development, etc.) as well as services (rights to use advertising space, transport, accommodation, etc.).

When services are stocked the services concerned are the output from service activities, rights to use predetermined services, or physical supports for services.

Included also are the stocks of raw and ancillary materials, intermediary products, components, energy, non-capitalised small tools and services which belong to the unit.

Link to company accounts

4th Accounting Directive: Council Directive 78/660/EEC

Changes in stocks of goods and services can be calculated from the following headings;

Variation in stocks of finished goods and in work in progress

Part of raw materials and consumables

Part of other external charges

Part of other operating charges

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Commission Regulation (EC) No 1725/2003

Changes in stocks of goods and services can be calculated from the following headings in the income statement according to the nature of expenses

Changes in inventories of finished goods and work in progress;

Part of raw materials and consumables used

Part of other expenses

Changes in stocks of goods and services can be calculated from the following headings in the income statement according to the function of expenses

Part of Cost of sales;

Part of distribution costs

Part of administrative expenses

Part of other expenses

Link to other variables:

— Change in stocks of goods and services is used in the calculation of Value added at factor costs (12 15 0) and other aggregates and balances.

— Change in stocks of goods and services may be broken down by type of stocks: i) Change in stocks of goods and services purchased for resale in the same condition as received (13 21 1) ii) Change in stocks of finished products and work in progress manufactured by the unit (13 21 3) and iii) Change in stocks of raw materials and consumables.

Code : 13 21 1

Name : Change in stocks of goods and services purchased for resale in the same condition as received

Annex : III

Definition

This variable is defined as the change in stocks at purchaser's prices exclusive of VAT between the end and the beginning of the reference period. The change in stocks may be measured by the value of entries into stocks of products purchased for resale less the value of withdrawals and the value of any recurrent losses of goods held in stocks.

Included in these stocks are goods and services bought for the sole purpose of reselling them in the same condition. Excluded are stocks of goods and services which are provided to third parties on a commission basis.

Products purchased for resale and stocked by services enterprises can include goods (industrial equipment in the case of ‘turnkey’ engineering contracts, or buildings in the case of property development, etc.) as well as services (rights to use advertising space, transport, accommodation, etc.).

When services are stocked the services concerned are the output from service activities, rights to use predetermined services, or physical supports for services.

Link to company accounts

4th Accounting Directive: Council Directive 78/660/EEC

Change in stocks of goods purchased for resale in the same condition as received may not be isolated in company accounts. They are part of raw materials and consumables, other external charges and other operating charges

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Com-mission Regulation (EC) No 1725/2003

Changes in stocks of goods and services for resale in the same condition as received may not be isolated in company accounts. They are part of raw materials and consumables used and other expenses in the income statement according to the nature of expenses

Changes in stocks of goods and services for resale in the same condition as received may not be isolated in company accounts. They are part of Cost of sales and other expenses in the income statement according to the function of expenses

Link to other variables:

— Change in stocks of goods purchased for resale in the same condition is used in the calculation of gross margin on goods for resale (12 13 0), Production value (12 12 0) and other aggregates and balances.

— Part of Change in stocks of goods and services (13 21 0)

Code : 13 21 3

Name : Change in stocks of finished products and work in progress manufactured by the unit

Annex : II and IV

Definition

This variable is defined as the change in the value of the stocks of finished products or in the course of production, which have been produced by the unit and which have not yet been sold, between the first and last days of the reference period.

These products include work in progress belonging to the unit, even if the products in question are in the possession of third parties. Equally, products held by the unit which belong to third parties are excluded.

Stocks are valued at production cost, and are valued prior to value adjustments (such as depreciation).

Link to company accounts

4th Accounting Directive: Council Directive 78/660/EEC

Change in stocks of finished goods and work in progress are recorded in company accounts as the heading Variation in stocks of finished goods and work in progress.

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Commission Regulation (EC) No 1725/2003

Changes in stocks of finished goods and work in progress are recorded in the income statement according to the nature of expenses as the Heading Changes in inventories of finished goods and work in progress;

Changes in stocks of finished goods and work in progress are part of the Heading cost of sales in the income statement according to the function of expenses

Link to other variables:

— Change in stocks of finished goods and work in progress manufactured by the unit is used in the calculation of Production value (12 12 0) and other aggregates and balances.

— Part of Change in stocks of goods and services (13 21 0)

Code : 13 31 0

Name : Personnel costs

Annex : I to VII

Definition

Personnel costs are defined as the total remuneration, in cash or in kind, payable by an employer to an employee (regular and temporary employees as well as home workers) in return for work done by the latter during the reference period. Personnel costs also include taxes and employees' social security contributions retained by the unit as well as the employer's compulsory and voluntary social contributions.

Personnel costs are made up of:

— wages and salaries

— employers' social security costs

All remuneration paid during the reference period is included, regardless of whether it is paid on the basis of working time, output or piecework, and whether it is paid regularly or not. Included are all gratuities, workplace and performance bonuses, ex gratia payments, thirteenth month pay (and similar fixed bonuses), payments made to employees in consideration of dismissal, lodging, transport, cost of living and family allowances, commissions, attendance fees, over-time, night work etc. as well as taxes, social security contributions and other amounts owed by the employees and retained at source by the employers.

Also included are the social security costs for the employer. These include employer's social security contributions to schemes for retirement pensions, sickness, maternity, disability, unemployment, occupational accidents and diseases, family allowances as well as other schemes. These costs are included regardless of whether they are statutory, collectively agreed, contractual or voluntary in nature.

Payments for agency workers are not included in personnel costs.

Link to company accounts

4th Accounting Directive: Council Directive 78/660/EEC

Personnel costs can be calculated directly from the following accounting headings;

— Staff costs, which is the sum of the headings wages and salaries and social security costs

Council Regulation (EC) No 1606/2002 and Commission Regulation (EC) No 1725/2003

Personnel costs can be calculated directly from the accounting heading Employee benefits costs in the income statement according to the nature of expenses

Employee benefits costs are disclosed in addition to the income statement according to the function of expenses

Link to other variables:

Personnel costs is based on

Wages and salaries (13 32 0)

+ Social security costs (13 33 0)

Personnel costs is used in the calculation of Gross operating surplus (12 17 0) and other aggregates and balances.

Code : 13 32 0

Name : Wages and salaries

Annex : I to IV

Definition

Wages and salaries are defined as ‘the total remuneration, in cash or in kind, payable to all persons counted on the payroll (including homeworkers), in return for work done during the accounting period.’ regardless of whether it is paid on the basis of working time, output or piece-work and whether it is paid regularly or not.

Wages and salaries include the values of any social contributions, income taxes, etc. payable by the employee even if they are actually withheld by the employer and paid directly to social insurance schemes, tax authorities, etc. on behalf of the employee. Wages and salaries do not include social contributions payable by the employer.

Wages and salaries include: all gratuities, bonuses, ex gratia payments, ‘thirteenth month payments’, severance payments, lodging, transport, cost-of-living, and family allowances, tips, commission, attendance fees, etc. received by employees, as well as taxes, social security contributions and other amounts payable by employees and withheld at source by the employer. Wages and salaries which the employer continues to pay in the event of illness, occupational accident, maternity leave or short-time working may be recorded here or under social security costs, dependent upon the unit's accounting practices.

Payments for agency workers are not included in wages and salaries.

Link to company accounts

4th Accounting Directive: Council Directive 78/660/EEC

Wages and salaries are recorded in company accounts as the heading Wages and salaries.

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Commission Regulation (EC) No 1725/2003

Wages and salaries are part of the heading Employee benefits costs in the income statement according to the nature of expenses

Wages and salaries are part of the heading Employee benefits costs disclosed in addition to the income statement according to the function of expenses

Link to other variables:

Wages and salaries is used in the calculation of Personnel costs (13 31 0)

Code : 13 33 0

Name : Social security costs

Annex : I to IV

Definition

Employers' social security costs correspond to an amount equal to the value of the social contributions incurred by employers in order to secure for their employees the entitlement to social benefits.

Social security costs for the employer include the employer's social security contributions to schemes for retirement pensions, sickness, maternity, disability, unemployment, occupational accidents and diseases, family allowances as well as other schemes.

Included are the costs for all employees including homeworkers and apprentices.

Charges are included for all schemes, regardless of whether they are statutory, collectively agreed, contractual or voluntary in nature. Wages and salaries which the employer continues to pay in the event of illness, occupational accident, maternity leave or short-time working may be recorded here or under wages and salaries, dependent upon the unit's accounting practices.

Link to company accounts

4th Accounting Directive: Council Directive 78/660/EEC

Social security costs are recorded in company accounts as the heading Social security costs.

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Commission Regulation (EC) No 1725/2003

Social security costs are part of the heading Employee benefits costs in the income statement according to the nature of expenses

Social security costs are part of the heading Employee benefits costs disclosed in addition to the income statement according to the function of expenses

Link to other variables:

Social security costs is used in the calculation of Personnel costs (13 31 0)

Code : 13 41 1

Name : Payments for long term rental and operational leasing of goods

Annex : II and IV

Definition

The payments for long-term rental include all charges relative to the renting of tangible goods for a period greater than one year.

Operational leases are those leases which do not transfer substantially all the risks and rewards incident to legal ownership to the lessee. Under an operational lease, the lessee acquires the right to use a durable good for a certain period of time, which may be long or short and not necessarily settled in advance. When the leasing period expires, the lessor expects to receive his good back in more or less the same condition as when he hired it out, apart from normal wear and tear. Thus the leasing period does not cover all, or a predominant part of, the good's economic lifetime. Payments for the operational leasing of goods relate to the cost of using the tangible goods made available to the unit through these contracts.

If all risks and rewards of ownership are, de facto though not de jure, transferred from lessor to lessee, the lease is a financial one. In financial leasing, the leasing period covers all, or most of, the economic lifetime of the durable good. At the end of the leasing period the lessee often has the option to buy the good at a nominal price. The lessor does not need to possess any expertise about the good in question. He offers no repair, maintenance or replacement services to the lessee. Normally, the good is chosen by the lessee and delivered directly to him by the producer or seller. The lessor's role is thus purely financial. All payments regarding financial leasing should be excluded from variable 13 41 1. The purchase price of the good in question should be recorded under gross investments at the time of the acquisition of the good.

Link to company accounts

4th Accounting Directive: Council Directive 78/660/EEC

Payments for long term rental and operational leasing of goods may not be isolated in company accounts. It is part of other external charges and other operating charges.

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Commission Regulation (EC) No 1725/2003

Payments for long term rental and operational leasing of goods may not be isolated in company accounts. It is part of other expenses in the income statement according to the nature of expenses

Payments for long term rental and operational leasing of goods may not be isolated in company accounts. It is part of other expenses in the income statement according to the function of expenses.

Link to other variables:

Part of Total purchases of goods and services (13 11 0)

Code : 15 11 0

Name : Gross investment in tangible goods

Annex : I to IV, VI and VII

Definition

Investment during the reference period in all tangible goods. Included are new and existing tangible capital goods, whether bought from third parties, acquired under a financial lease contract (i.e. the right to use a durable good in exchange for rental payments over a predetermined and protracted term) or produced for own use (i.e. Capitalised production of tangible capital goods), having a useful life of more than one year including non-produced tangible goods such as land. The threshold for the useful life of a good that can be capitalised may be increased according to company accounting practices where these practices require a greater expected useful life than the 1 year threshold indicated above.

All investments are valued prior to (i.e. gross of) value adjustments, and before the deduction of income from disposals. Purchased goods are valued at purchase price, i.e. transport and installation charges, fees, taxes and other costs of ownership transfer are included. The value of goods acquired via financial lease corresponds to the market value of the good if it had been purchased in the year of acquisition only. This value is in principle known in the contract or can be estimated by summing-up the part of the instalments that cover the capital reimbursement. The part of instalments corresponding to the interest payments are to be excluded. Own produced tangible goods are valued at production cost. Goods acquired through restructurations (such as mergers, take-overs, break-ups, split-off) are excluded. Purchases of small tools which are not capitalised are included under current expenditure.

Also included are all additions, alterations, improvements and renovations which prolong the service life or increase the productive capacity of capital goods.

Current maintenance costs are excluded as is the value and current expenditure on capital goods used under rental and operational lease contracts. Annual payments for assets used under financial leasing should be excluded. Investments in intangible and financial assets are excluded.

Financial leasing furthermore is characterized by the fact that all risks and rewards of ownership are de facto though not de jure transferred from lessor to lessee. The leasing period covers all, or most of, the economic lifetime of the durable good. At the end of the leasing period the lessee often has the option to buy the good at nominal price. The lessor's role is purely financial.

Concerning the recording of investments where the invoicing, delivery, payment and first use of the good may take place in different reference periods, the following method is proposed as an objective:

Investments are recorded when the ownership is transferred to the unit that intends to use them. For the goods acquired via financial leasing the value is to be recorded at the time when the good is delivered to the lessee. Capitalised production is recorded when produced. Concerning the recording of investments made in identifiable stages, each part-investment should be recorded in the reference period in which they are made.

In practice this may not be possible and company accounting conventions may mean that the following approximations to this method need to be used:

i) investments are recorded in the reference period in which they are delivered,

ii) investments are recorded in the reference period in which they enter into the production process,

iii) investments are recorded in the reference period in which they are invoiced,

iv) investments are recorded in the reference period in which they are paid for.

Link to company accounts

Investment is not recorded in the balance sheet. However, the additions, disposals and transfers of all fixed assets as well as the value adjustments of these fixed assets are shown in the balance sheet or the notes to the accounts.

4th Accounting Directive: Council Directive 78/660/EEC

Tangible goods are listed in company accounts under Fixed assets — tangible assets. The value of tangible goods acquired through financial leasing is not referred to in the IVth Accounting Directive. However, some national accounting standards do permit these goods to be capitalised in the balance sheet.

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Commission Regulation (EC) No 1725/2003

Tangible goods are listed in company accounts under Property, plant and equipment. Information regarding financial leases has to be disseminated separately in the company accounts.

Link to other variables:

Gross investment in tangible goods is based on

Gross investment in land (15 12 0)

+ Gross investment in existing buildings and structures (15 13 0)

+ Gross investment in construction and alteration of buildings (15 14 0)

+ Gross investment in machinery and equipment (15 15 0)

Gross investment in tangible goods can be greater than the sum of 15 12 0+15 13 0+15 14 0+15 15 0 as there are asset items such as art, forests, orchards, cattle… which cannot be attributed to either of the categories of tangible goods.

Code : 15 12 0

Name : Gross investment in land

Annex : II to IV

Definition

Included under this variable, in addition to land, are underground deposits, forests and inland waters. Where land is purchased with existing buildings and the value of the two components is not separable, the total is recorded under this heading if it is estimated that the value of the land exceeds the value of the existing buildings. If the existing buildings are estimated to be of greater value than the land, the total is recorded under gross investment in existing buildings and structures (15 13 0). Also included here is land merely improved by levelling, the laying of pipes or by the provision of paths or roads. Land acquired through restructurations (such as mergers, take-overs, break-ups, split-off) is excluded.

Link to company accounts

Investment is not recorded in the balance sheet. However, the additions, disposals and transfers of all fixed assets as well as the value adjustments of these fixed assets are shown in the balance sheet or the notes to the accounts.

4th Accounting Directive: Council Directive 78/660/EEC

Land is not isolated in the list of tangible assets included in company accounts under Fixed assets — tangible assets — Land and buildings. The part relating to buildings should be excluded from this. Part of payments on account and tangible assets in course of construction should be included insofar as they relate to land.

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Commission Regulation (EC) No 1725/2003

Gross investment in land is not isolated in the company accounts, it is included under Property, plant and equipment

Link to other variables:

Part of Gross investment in tangible goods (15 11 0)

Code : 15 13 0

Name : Gross investment in existing buildings and structures

Annex : II to IV

Definition

The investment includes the cost of the existing buildings (that have been used before) and structures which have been acquired during the reference period. Where land is purchased with existing buildings and the value of the two components is not separable, the total is recorded under this heading if it is estimated that the value of the existing buildings exceeds the value of the land. If the land is estimated to be of greater value than the existing buildings, the total is recorded under gross investment in land (15 12 0). Purchases of new buildings that have never been used are excluded. Existing buildings and structures acquired through restructurations (such as mergers, take-overs, break-ups, split-off) are excluded.

Link to company accounts

Investment is not recorded in the balance sheet. However, the additions, disposals and transfers of all fixed assets as well as the value adjustments of these fixed assets are shown in the balance sheet or the notes to the accounts.

4th Accounting Directive: Council Directive 78/660/EEC

Gross investment in existing buildings and structures is not isolated in the list of tangible assets included in company accounts under Fixed assets — tangible assets — Land and buildings. The parts relating to Land and construction and alteration of buildings should be excluded from this. Part of payments on account and tangible assets in course of construction should be included insofar as they relate to existing buildings and structures.

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Com-mission Regulation (EC) No 1725/2003

Gross investment in existing buildings and structures is not isolated in the company accounts, it is included under Property, plant and equipment

Link to other variables:

Part of Gross investment in tangible goods (15 11 0)

Code : 15 14 0

Name : Gross investment in construction and alteration of buildings

Annex : II to IV

Definition

This variable covers expenditure during the reference period on the construction or conversion of buildings. Purchases of new buildings that have never been used are included. Also included are all additions, alterations, improvements and renovations which prolong the service life or increase the productive capacity of buildings.

Included are permanent installations such as water supply, central heating, air conditioning, lighting etc. as well as construction expenditure related to oil wells (drilling), operational mines, pipe lines, power transmission lines, gas-pipes, railway lines, port installations, roads, bridges, viaducts, drains and other site improvements. Current maintenance costs are excluded.

Link to company accounts

Investment is not recorded in the balance sheet. However, the additions, disposals and transfers of all fixed assets as well as the value adjustments of these fixed assets are shown in the balance sheet or the notes to the accounts.

4th Accounting Directive: Council Directive 78/660/EEC

Gross investment in construction and alteration of buildings is not isolated in the list of tangible assets included in company accounts under Fixed assets — tangible assets — Land and buildings. The parts relating to Land and existing buildings and structures should be excluded from this. Part of payments on account and tangible assets in course of construction should be included insofar as they relate to existing construction and alteration of buildings.

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Commission Regulation (EC) No 1725/2003

Gross investment in construction and alteration of buildings is not isolated in the company accounts, it is included under Property, plant and equipment

Link to other variables:

Part of Gross investment in tangible goods (15 11 0)

Code : 15 15 0

Name : Gross investment in machinery and equipment

Annex : II to IV

Definition

This variable covers machinery (office machines, etc.), special vehicles used on the premises, other machinery and equipment, all vehicles and boats used off the premises, i.e. motor cars, commercial vehicles and lorries as well as special vehicles of all types, boats, railway wagons, etc. acquired new or second hand during the reference period.. Machinery and equipment acquired through restructurations (such as mergers, take-overs, break-ups, split-off) are excluded. Also included are all additions, alterations, improvements and renovations which prolong the service life or increase the productive capacity of these capital goods. Current maintenance costs are excluded.

Link to company accounts

Investment is not recorded in the balance sheet. However, the additions, disposals and transfers of all fixed assets as well as the value adjustments of these fixed assets are shown in the balance sheet or the notes to the accounts.

4th Accounting Directive: Council Directive 78/660/EEC

Gross investment in machinery and equipment is included in the list of tangible assets included in company accounts under Fixed assets — tangible assets — Plant and machinery and other fixtures and fittings, tools and equipment. Part of payments on account and tangible assets in course of construction should be included insofar as they relate to machinery and equipment.

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Commission Regulation (EC) No 1725/2003

Gross investment in machinery and equipment is not isolated in the company accounts, it is included under Property, plant and equipment. Part of payments on account and tangible assets in course of construction should be included insofar as they relate to machinery and equipment

Link to other variables:

Part of Gross investment in tangible goods (15 11 0)

Code : 15 21 0

Name : Sales of tangible investment goods

Annex : II to IV

Definition

Sales of tangible goods includes the value of existing tangible capital goods, sold to third parties. Sales of tangible capital goods are valued at the price actually received (excluding VAT), and not at book value, after deducting any costs of ownership transfer incurred by the seller. Value adjustments and disposals other than by sale are excluded

Link to company accounts

Sales of investment goods are not recorded in the balance sheet. However, the additions, disposals and transfers of all fixed assets are shown in the balance sheet or the notes to the accounts.

4th Accounting Directive: Council Directive 78/660/EEC

Tangible investment goods refers to assets listed in company accounts under Fixed assets — tangible assets.

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Commission Regulation (EC) No 1725/2003

Tangible investment goods refer to assets listed in company accounts under Property, plant and equipment

Code : 15 42 0

Name : Gross investment in concessions, patents, licences, trade marks and similar rights

Annex : II

Definition

Investment in concession, patents, licences, trade marks and similar rights are recognised to be an intangible asset if and only if it is probable that the future economic benefits that are attributable to the asset will flow to the enterprise and if the cost of the asset can be measured reliably. This requirement applies whether an intangible asset is acquired externally or generated internally.

A concession is a business operated under a contract or license associated with a degree of exclusivity in exploiting a business within a certain geographical area. For example, sports arenas or public parks may have concession stands; and public services such as water supply may be operated as concessions. The owner of the concession — the concessionaire — operates as an independent business and pays either a fixed fee, a percentage of revenue or profit, or both to the entity with the ability to assign exclusive rights for an area or facility. A concession may involve the transfer to the concessionaire of the right to use some existing infrastructure required to carry out a business (such as a water supply system in a city).

A patent is a legal title of industrial property granting its owner the exclusive right to exploit an invention commercially for a limited area and time. The patent confers its owner the right to stop others from, among other things, making, using or selling such invention without authorization. In return for the exclusive right to exploit it, the technical details of the invention are published. Patentability requires novelty, inventiveness and industrial applicability of the invention.

A licensor may grant license under ‘intellectual property’ to do something (such as copy software or use a patented invention) without fear of a claim of intellectual property infringement brought by the licensor. A license under intellectual property commonly has several component parts, including a term, territory, renewal, as well as other limitations deemed vital to the licensor.

A trademark is a distinctive sign that can be represented graphically. A competitive tool, it is a means for industries and other businesses of attracting and retaining customers by distinguishing their goods and services from their competitors'

A Mark is used to differentiate a product or a service. Trademarks can be two- or three-dimensional and can be made up of words, pictures, colours, and/or sounds and so forth.

Link to company accounts

Investment is not recorded in the balance sheet. However, the additions, disposals and transfers of all fixed assets as well as the value adjustments of these fixed assets are shown in the balance sheet or the notes to the accounts.

4th Accounting Directive: Council Directive 78/660/EEC

Concessions, patents, licenses, trademarks and similar rights refer to assets listed in company accounts under Fixed assets — intangible assets.

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Commission Regulation (EC) No 1725/2003

Concessions, patents, licenses, trademarks and similar rights refer to assets listed in company accounts under intangible assets.

Code : 15 44 1

Name : Investment in purchased software

Annex : II, IV

Definition

Investment in purchased software are recognised to be an intangible asset if and only if it is probable that the future economic benefits that are attributable to the asset will flow to the enterprise and if the cost of the asset can be measured reliably. If the purchase of software does not meet these conditions, it is recognised as an expense when it is incurred and included in the value of variable 13 11 0 Total purchases of goods and services.

The investment in purchased software comprises its purchase price, including any import duties and non-refundable purchase taxes, and any directly attributable expenditure on preparing the software for its intended use. Directly attributable expenditure includes, for example, professional fees for its installation. Any trade discounts and rebates are deducted in arriving at the cost.

Link to company accounts

Investment is not recorded in the balance sheet. However, the additions, disposals and transfers of all fixed assets as well as the value adjustments of these fixed assets are shown in the balance sheet or the notes to the accounts.

4th Accounting Directive: Council Directive 78/660/EEC

Investments in software are listed in company accounts under Fixed assets — intangible assets.

IAS Regulations: European Parliament and Council Regulation (EC) No 1606/2002 and Commission Regulation (EC) No 1725/2003

Investments in software refer to assets listed in company accounts under intangible assets.

Code : 16 11 0

Name : Number of persons employed

Annex : I to VII

Definition

The number of persons employed is defined as the total number of persons who work in the observation unit (inclusive of working proprietors, partners working regularly in the unit and unpaid family workers working regularly in the unit), as well as persons who work outside the unit who belong to it and are paid by it (e.g. sales representatives, delivery personnel, repair and maintenance teams). It includes persons absent for a short period (e.g. sick leave, paid leave or special leave), and also those on strike, but not those absent for an indefinite period. It also includes part-time workers who are regarded as such under the laws of the country concerned and who are on the pay-roll, as well as seasonal workers, apprentices and home workers on the pay-roll.

The number of persons employed excludes manpower supplied to the unit by other enterprises, persons carrying out repair and maintenance work in the enquiry unit on behalf of other enterprises, as well as those on compulsory military service.

Unpaid family workers refer to persons who live with the proprietor of the unit and work regularly for the unit, but do not have a contract of service and do not receive a fixed sum for the work they perform. This is limited to those persons who are not included on the payroll of another unit as their principal occupation.

Note : In order to check the comparability of data, it is necessary to indicate whether voluntary workers have been included under this heading or not.

The number of persons employed is a headcount and is measured as an annual average using at least data for each quarter of the year except for the statistics on the activit