NOTE 23 ADDITIONAL DISCLOSURES
NOTE 23.1 COMMITMENTS GIVEN AND RECEIVED
Payments due by period Contractual commitments Less than 1 year Between 1 to 5 years More than 5 years Total
Rental contracts: ofﬁces Rental contracts: others(1) Total rental contracts Other guarantees: sureties(2)
4,635 3,537 8,172 1,119
6,520 2,744 9,264 1,085
903 – 903 –
12,058 6,281 18,339 2,204
(1) These contracts mainly cover IT and ofﬁce equipment. (2) This mainly concerns sureties given by banks on the company’s behalf, or given by the company to ﬁnancial institutions against leases made by the latter to its subsidiaries.
Rentals booked as expenses in 2014 amounted to €9,991,000. Commitments Received The German subsidiary, Lectra Deutschland GmbH, has access to a conﬁrmed bank credit facility of €1 million intended for the giving of guarantees. This facility is generally renewed annually.
NOTE 23.2 END OF LITIGATION WITH INDUYCO
Lectra received on March 7, 2013, payment of the outstanding €11.1 million which was due by El Corte Inglés (after the absorption of Induyco) further to the decision rendered on January 28, 2013, by the Madrid Court of Appeal. With this decision, the Madrid Court of Appeal had rejected Induyco’s challenge to exequatur, and had thus conﬁrmed the judgment of the Madrid Court of First Instance of June 27, 2011, which had granted exequatur in Spain of the arbitral award rendered against Induyco in October 2009, in London, by an International Arbitral Tribunal. This payment had put an end to eight years of legal proceedings, after Lectra’s ﬁling of its request for arbitration in 2005, and is the mark of success of Lectra’s determination since the dispute arose, to enforce its rights and recover the full amount of the damages the arbitral tribunal had awarded to it. The €11.1 million received resulted in a non-recurring income of the same amount recorded in the 2013 consolidated ﬁnancial statements, a net tax expense of €1.1 million – taking into account the tax losses carried forward of Lectra Spain, with no cash disbursement – and a net income of €10 million. Thus, free cash ﬂow and cash position had been increased by €11.1 million.