Menu

3rd Interim Report 2021
3rd Interim Report 2021
Open report

Language

Leave

Report switcher allows selecting another report from a different reporting period

3rd Interim Report 2021
  • 1st Interim Report 2025
  • Sustainability Impact Report 2024
  • Annual Report 2024
  • 3rd Interim Report 2024
  • 2nd Interim Report 2024
  • 1st Interim Report 2024
  • Annual Report 2023
  • 3rd Interim Report 2023
  • 2nd Interim Report 2023
  • 1st Interim Report 2023
  • Annual Report 2022
  • 3rd Interim Report 2022
  • 2nd Interim Report 2022
  • 1st Interim Report 2022
  • Annual Report 2021
  • 3rd Interim Report 2021
  • 2nd Interim Report 2021
  • 1st Interim Report 2021
  • Annual Report 2020
  • 3rd Interim Report 2020
  • 2nd Interim Report 2020
  • 1st Interim Report 2020
  • Annual Report 2019
  • 3rd Interim Report 2019
  • 2nd Interim Report 2019
  • 1st Interim Report 2019
  • Index
  • Search

Table of contents for the 3rd Interim Report 2021 report

3rd Interim Report 2021
KPIsBusiness performance
SummarySegment resultsDepreciation and amortisation, non operating resultsCash flowsNet asset positionOutlook
Consolidated interim financial statements
Consolidated statement of comprehensive income (unaudited)Consolidated balance sheet (unaudited)Consolidated statement of cash flows (unaudited)Consolidated statement of changes in equity (unaudited)
Notes to the interim financial statements
About this report1 Changes in accounting principles2 Segment information3 Operating costs4 Dividends5 Financial liabilities6 Financial result7 Net current operating assets8 Provisions and contingent liabilities9 Defined benefit plans
Alternative performance measures
Reconciliation of alternative performance measures
Further information
Share informationQuarterly review 2020 and 2021Forward looking statements
We found 0 search results

No search results. Please enter a different search term.

8 Provisions and contingent liabilities

Provisions

Provisions changed as follows in the first nine months of 2021:


In CHF million
  Dismantlement
and restoration
costs
  Regulatory and
competition law
proceedings
 
Termination
benefits
 

Others
 

Total
Balance at 1 January 2021   741   233   63   179   1,216
Additions to provisions   –   60   1   26   87
Adjustments recognised under property, plant and equipment   (38)   –   –   –   (38)
Present-value adjustments   3   27   –   –   30
Release of unused provisions   –   –   –   (20)   (20)
Use of provisions   (7)   (8)   (16)   (24)   (55)
Balance at 30 September 2021   699   312   48   161   1,220
Thereof current provisions   –   40   44   58   142
Thereof non-current provisions   699   272   4   103   1,078

In accordance with the revised Telecommunications Act, Swisscom provides access services (incl. interconnection) to other telecommunication service providers in Switzerland. In February 2020, a provider of telecommunications services requested from the Federal Communications Commission (ComCom) that the interest on recovery claims from access-related proceedings should be based on the weighted average cost of capital (WACC). In June 2021, ComCom confirmed this interest rate regulation. Swisscom filed an appeal against this ruling with the Federal Administrative Court in the third quarter of 2021.

In its investigation as to the invitation to tender for the corporate network of the Swiss Post in 2008, COMCO reached the conclusion in November 2015 that Swisscom has a dominant position on the market for broadband access for business clients. As a result of this conduct, which was judged to be unlawful under competition law, COMCO imposed a penalty of CHF 8 million. Swisscom has challenged COMCO’s rulings concerning the invitation to tender for the corporate network of Swiss Post in the Federal Administrative Court. In June 2021, the Federal Administrative Court largely confirmed COMCO’s ruling and ordered Swisscom to pay a fine of CHF 7 million. As a result of the legally binding decision on abuse of a market-dominant position, claims could be asserted against Swisscom under civil law.

In December 2019, the Federal Supreme Court dismissed a complaint by Swisscom in the COMCO proceedings for abuse of market dominant in ADSL services in the last instance and affirmed the penalty. As a result of the legally binding determination of market abuse, civil law claims were filed by telecommunications service providers in the second quarter of 2020. Negotiations in respect of these civil claims took place in the second quarter of 2021. The civil proceedings have not yet been concluded.

COMCO opened an investigation into Swisscom’s optical fibre network in December 2020 and ordered pre­cautionary measures against Swisscom. In its ruling of 30 September 2021, the Federal Administrative Court confirmed the precautionary measures ordered by COMCO on 16 December 2020 and dismissed Swisscom’s appeal.

In the past, Swisscom recognised provisions for regulatory and antitrust proceedings on the basis of legal assessments. Due to a reassessment of these proceedings, provisions of CHF 34 million were recognised in the third quarter of 2021. Any payments to be made will depend upon the date on which legally binding decrees and decisions are issued, and could probably occur within five years.

Contingent liabilities for regulatory and antitrust proceedings

With regard to the contingent liabilities reported in the 2020 consolidated financial statements in connection with regulatory and antitrust proceedings, Swisscom is of the opinion that an outflow of resources is unlikely and has therefore, as before, not recognised any provisions for this in the consolidated financial statements as at 30 September 2021.