Note 13 – Provisions Audited

Non-Current Provisions

million CHF Environmental Restructuring Other Total
         
At 1 January 2016 61 2 5 68
Increase 25 1 0 26
Used (4) 0 0 (4)
Discount effect 1 0 0 1
Reclassification (to current provisions) 0 (1) 0 (1)
Currency translation differences (1) 0 1 0
At 31 December 2016 82 2 6 90

 

Current Provisions

million CHF Environmental Restructuring Other Total
         
At 1 January 2016 12 11 10 33
Increase 3 19 12 34
Used (4) (8) (5) (17)
Reversed 0 (1) (3) (4)
Reclassification (from non-current provisions) 0 1 0 1
Currency translation differences (1) 1 2 2
At 31 December 2016 10 23 16 49

 

Environmental 

The environmental provision mainly reflects the future expenses for environmental remediation and protection for the plants in Visp (CH) and Castleford (UK) as well as for various other plants of the acquired legacy Arch Chemicals business and is expected to be utilized within ten years. The legacy Arch-related provisions include environmental risks for existing as well as divested plants.

Restructuring 

The restructuring provision primarily contains the expected lease termination costs related to the phasedown of the Hopkinton, MA (USA) site amounting to CHF 17 million (2015: CHF 8 million) as well as CHF 6 million (2015: CHF 4 million) in relation to the VispChallenge restructuring program. The implementation of the planned measures is expected to be completed in 2017.

Other 

Other provisions are mainly associated with customer claims and the asset retirement obligations of the Singapore-based operations.