Taxes assessment are based on information provided by MCC management and linked either to activity levels or information provided by the fiscal administration.
Depreciation figures are based on investment levels with an average of
7 years depreciation period (linear depreciation). It is assumed that the assets are installed and used the year after the cash out is made.
Current warranty costs amount to undetailed bills sent by the Group with no explanation as to the actual costs incurred by the Group with regards to transmission warranties. For the purpose of the business plan warranty reserves of 2% were accounted for in FY11 and FY12,
1% for FY13 (the assumption being that after two years of additional operations, product quality will have improved).
