In CHF million
|Balance at 31 December 2015||593||310||236||1,139|
|Additions of provisions||1||1||8||10|
|Release of unused provisions||(1)||–||(1)||(2)|
|Use of provisions||(2)||(186)||(5)||(193)|
|Balance at 31 March 2016||654||125||239||1,018|
|Thereof current provisions||–||11||153||164|
|Thereof non-current provisions||654||114||86||854|
Provisions for dismantling and restoration costs
The provisions for dismantling and restoration costs relate to the dismantling of the mobile base stations and transmitter stations of Swisscom Broadcast and the restoration to its original state of the land owned by third parties on which the stations are located. The provisions are computed by reference to estimates of future dismantling costs and are discounted using an average interest rate of 1.07%. The drop in the discount rate resulted in an effect of CHF 61 million, recognised under property, plant and equipment. The non-current portion of the provision is expected to be settled after 2020.
Provisions for regulatory and antitrust proceedings
In 2009, the Competition Commission (ComCo) sanctioned Swisscom for abuse of a market-dominant position in the case of ADSL services in the period up to the end of 2007 and levied a fine of CHF 220 million. Swisscom appealed the ruling to the Federal Administrative Court. In October 2015, the Federal Administrative Court confirmed in principle the Competition Commission’s decision and reduced the penalty imposed by the Competition Commission from CHF 220 million to CHF 186 million. As a result of this decision, Swisscom recognised a provision of CHF 186 million in the third quarter of 2015. Swisscom does not consider the sanction justified and has lodged an appeal with the Federal Court. At the beginning of 2016, Swisscom paid the penalty of CHF 186 million charged by the Competition Commission.
Other provisions mainly include provisions for termination benefits and environmental, contractual and tax risks. The other provisions recognised in the 2015 consolidated financial statements have not changed materially during the current financial year.