335
As a global operator, the Company is exposed to legal risks
primarily, by way of example, in the areas of product liability,
and environmental, antitrust and tax rules and regulations.
Outlays relating to current or future proceedings cannot be
predicted with certainty. It is possible that the outcomes of
such proceedings may give rise to costs that are not covered or
not fully covered by insurance, which would therefore have a
direct effect on the Company’s results.
It is also reported, with reference to the Antitrust
investigations in the various jurisdictions involved, that the
only jurisdiction for which Prysmian S.p.A. has been unable to
estimate the related risk is Brazil.
21. CONTINGENT LIABILITIES
ensuring optimisation of the tax charge.
On 7 June 2012, the head of the tax group sent the required
notice of renewal of the group tax election for the three years
2012 – 2013 – 2014 for the following companies:
• Fibre Ottiche Sud (FOS) S.r.l.
• Prysmian Cavi e Sistemi S.r.l.
• Prysmian Cavi e Sistemi Italia S.r.l.
• Prysmian Treasury S.r.l.
This notice also included the election to include the newly
formed Prysmian Electronics S.r.l. in the group tax filing.
Prysmian PowerLink S.r.l. had renewed its election to file for
tax on a group basis for the three years 2011 - 2012 – 2013 on 7
June 2011.
The rate used for calculating the tax charge is 27.5% for IRES
(Italian corporate income tax), and 5.57% for IRAP (Italian
regional business tax).
