18 Leasing
The LLB Group as lessee
The LLB Group applied IFRS 16 for the first time from 1 January 2019. The following table shows the transition of liabilities from leasing contracts in accordance with IAS 17 to IFRS 16 on the basis of certain options on the date of transition, and while applying IFRS 16. The recognised lease liability on 1 January 2019 corresponds to the acquisition cost of the rights of use.
| Download |
in CHF thousands |
2019 |
|
|---|---|---|
Future commitments for operating leases as per 31 December 2018 |
15'505 |
|
Minus short-term leasing liabilities |
–291 |
|
Minus low-value leasing liabilities |
–19 |
|
Plus changes due to the revaluation of termination and extension options during the transition period |
19'756 |
|
Total undiscounted lease payments |
34'950 |
|
Minus discount (discount rates between 0.1 and 1.7 per cent) |
–1'942 |
|
Recognised leasing liability as per 1 January 2019 |
33'008 |
| Download |
in CHF thousands |
Property |
Motor vehicles |
Total property and motor vehicles |
|||
|---|---|---|---|---|---|---|
As at 1 January 2019 |
|
|
|
|||
Cost |
32'498 |
510 |
33'008 |
|||
Accumulated depreciation / revaluation |
|
|
|
|||
Net book amount |
32'498 |
510 |
33'008 |
|||
|
|
|
|
|||
Year ended December 2019 |
|
|
|
|||
Opening net book amount |
32'498 |
510 |
33'008 |
|||
Additions |
11'050 |
160 |
11'209 |
|||
Disposals |
–56 |
–3 |
–59 |
|||
Depreciation / Revaluation |
–4'479 |
–259 |
–4'737 |
|||
Disposals / (Additions) from accumulated depreciation / revaluation |
4 |
3 |
7 |
|||
Currency effects |
54 |
8 |
63 |
|||
Closing net book amount |
39'072 |
420 |
39'492 |
|||
|
|
|
|
|||
As at 31 December 2019 |
|
|
|
|||
Cost |
43'492 |
667 |
44'159 |
|||
Accumulated depreciation / revaluation |
–4'420 |
–247 |
–4'667 |
|||
Net book amount |
39'072 |
420 |
39'492 |
Recognised leases
Details of leases are provided in further sections of this annual report. These relate to the repayment of lease liabilities (see Statement of cash flows and note 26) as well as maturities (see Risk management, chapter 2), interest expenses (see note 1) and depreciation (see note 8).
| Download |
in CHF thousands |
2019 |
|
|---|---|---|
Short-term lease expenses |
518 |
|
Low-value lease expenses |
3 |
|
Total expenses for unrecognised lease obligations |
521 |
Expenses from unrecognised leases are included in general and administrative expenses.
Further information
Within the scope of its strategy, the LLB Group evaluates which locations have relevance in its target markets and whether properties should be bought or leased at these locations. If it decides against the purchase of properties, leasing contracts are concluded. These often contain termination and extension options. The assessment of these options is taken into consideration at the time of initial recognition; they are reassessed annually.
The recognised liabilities from leasing contracts and the accompanying rights of use contain extension options. These reflect the current assumptions regarding durations.
The non-recognised leasing contracts largely encompass parking places, which contain reciprocal short-term termination options. These are classified as short-term leases provided substitutability exists for them.
The LLB Group as lessor
Future claims from operating leases
The LLB Group will apply the modified retrospective method from the introduction of IFRS 16. Accordingly, the comparison figures from the previous year have not been restated.
| Download |
in CHF thousands |
31.12.2018 |
|
|---|---|---|
Due within one year |
1'594 |
|
Due within one to five years |
4'705 |
|
Due in more than five years |
4'557 |
|
Total future net receivables from operating leases |
10'856 |
| Download |
in CHF thousands |
31.12.2019 |
|
|---|---|---|
Due within one year |
1'653 |
|
Residual period to maturity between 1 and 2 years |
1'579 |
|
Residual period to maturity between 2 and 3 years |
1'364 |
|
Residual period to maturity between 3 and 4 years |
1'297 |
|
Residual period to maturity between 4 and 5 years |
1'204 |
|
Due in more than five years |
4'715 |
|
Total future net receivables from operating leases |
11'812 |
For the 2019 business year CHF thousands 1’819 and for the 2018 business year CHF thousands 1’581 from operating leases are reported in other income. Only properties are leased.