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31 Additional information concerning equity

Share capital and treasury shares

As of 31 December 2015, the total number of shares issued remained unchanged from the prior year at 51,801,943 shares. All shares have a par value of CHF 1 and are fully paid up. Each share entitles the holder to one vote. Shares with an aggregate market value of CHF 2 million (prior year: CHF 5 million) were allocated for share-based compensation plans. See Note 11.

The holdings of treasury shares have changed as follows:

   
Number
  Average price
in CHF
 
In CHF million
Balance at 31 December 2013   802   435  
Purchases on the market   8,600   525   5
Allocated for share-based compensation   (9,253)   535   (5)
Balance at 31 December 2014   149   525  
Purchases on the market   3,730   567   2
Allocated for share-based compensation   (3,879)   563   (2)
Balance at 31 December 2015      

As of 31 December 2015, Swisscom had no treasury shares in its portfolio (prior year: 149 shares). As a result, the balance of shares outstanding as at 31 December 2015 totalled 51,801,943 (prior year: 51,801,794 shares).

Other reserves


In CHF million
 

Hedging
reserve
 

Fair value
reserve
  Foreign
currency
translation
adjustments
 
Total
other
reserves
Balance at 31 December 2013   (19)   7   (1,559)   (1,571)
Foreign currency translation adjustments of foreign subsidiaries       (46)   (46)
Change in fair value   10       10
Gains and losses transferred to income statement   5       5
Income tax expense   (3)     15   12
Balance at 31 December 2014   (7)   7   (1,590)   (1,590)
Foreign currency translation adjustments of foreign subsidiaries       (194)   (194)
Change in fair value   (12)   4     (8)
Gains and losses transferred to income statement   11   (6)     5
Income tax expense   2     51   53
Balance at 31 December 2015   (6)   5   (1,733)   (1,734)

The hedging reserves comprise the changes in the fair value of hedging instruments which were designated as cash flow hedges. Changes in the fair value of available-for-sale financial assets are recognised in the fair value reserves. Reserves arising from foreign currency translation adjustments comprise the differences from the foreign currency translation of the financial statements of subsidiaries and associates from the functional currency into Swiss francs. On 31 December 2015, cumulative foreign currency translation losses before taxes at Fastweb amounted to CHF 2,143 million (prior year: CHF 1,960 million).

Other comprehensive income

Other comprehensive income in 2015 may be analysed as follows:


2015, in CHF million
 


Retained
earnings
 


Hedging
reserve
 


Fair value
reserve
 
Foreign
currency
translation
adjustments
 

Equity
holders of
Swisscom
 

Non-
controlling
interests
  Total
other
compre-
hensive
income
Actuarial gains and losses from defined benefit pension plans   (393)         (393)       (393)
Income tax expense   80         80     80
Items that will not be reclassified to income statement, net of tax   (313)         (313)     (313)
Foreign currency translation adjustments of foreign subsidiaries         (194)   (194)     (194)
Change in fair value     (12)   4     (8)     (8)
Gains and losses transferred to income statement     11   (6)     5     5
Income tax expense     2     51   53     53
Items that are or may be reclassified subsequently to income statement, net of tax     1   (2)   (143)   (144)     (144)
Total other comprehensive income   (313)   1   (2)   (143)   (457)     (457)

Other comprehensive income in 2014 may be analysed as follows:


2014, in million CHF, restated
 

Retained
earnings
 

Hedging
reserve
 

Fair value
reserve
  Foreign
currency
translation
adjustments
 
Equity
holders of
Swisscom
 
Non-
controlling
interests
  Total other
compre-
hensive
income
Actuarial gains and losses from defined benefit pension plans   (1,127)         (1,127)   (1)   (1,128)
Income tax expense   238         238     238
Items that will not be reclassified to income statement, net of tax   (889)         (889)   (1)   (890)
Foreign currency translation adjustments of foreign subsidiaries         (46)   (46)     (46)
Change in fair value     10       10     10
Gains and losses transferred to income statement     5       5     5
Income tax expense     (3)     15   12     12
Items that are or may be reclassified subsequently to income statement, net of tax     12     (31)   (19)     (19)
Total other comprehensive income   (889)   12     (31)   (908)   (1)   (909)

Share of equity attributable to non-controlling interests

In 2015, transactions with non-controlling interests totalling CHF 2 million (prior year: CHF 157 million) were recognised. As part of the takeover of PubliGroupe SA in September 2014, the outstanding 49% of the non-controlling shareholdings in Swisscom Directories Ltd and local.ch Ltd were acquired for CHF 162 million. The difference between the purchase price of CHF 162 million and the carrying amount of the non-controlling interests of CHF 26 million was recognised as an equity transaction with no effect on income. For further information see Note 5.