|Other provisions||31 December 2015||31 December 2014|
|Total other provisions||108,109||191,206|
|Changes in other provisions in the year ended 31 December 2015||Opening balance||Increase||Use||Release||Business combinations||Exchange differences||Closing balance|
|Provision for restructuring expenses 1)||9,354||3,760||(6,604)||(3,733)||-||-||2,777|
|Provision for disputed claims and potential liabilities||781||56||-||-||3,219||-||4,056|
|Provision for the Office of Competition and Consumer Protection penalties 2)||119,551||3||(50,384)||(11,290)||-||-||57,880|
|Provision for exit costs of the GraphTalk project 3)||22,668||338||(17,392)||-||-||-||5,614|
|Provision for PTE’s reimbursement of undue fees to the Social Insurance Institution||7,234||1,881||(23)||-||-||-||9,092|
|Total other provisions||191,206||21,447||(90,423)||(24,333)||10,325||(113)||108,109|
1) Provisions for restructuring expenses are described in Note 56.2.
3) Additional information is presented in Note 53.4.
|Changes in other provisions in the year ended 31 December 2014||Opening balance||Increase||Use||Release||Business combinations||Exchange differences||Closing balance|
|Provision for restructuring expenses||-||17,687||(8,333)||-||-||-||9,354|
|Provisions created for potential liabilities relating to CLSiOR investments||916||-||-||(916)||-||-||-|
|Provision for disputed claims and potential liabilities under insurance contracts||3,075||289||-||(2,583)||-||-||781|
|Provision for the Office of Competition and Consumer Protection penalties 1)||119,549||2||-||-||-||-||119,551|
|Provision for exit costs of the GraphTalk project||50,944||509||-||(28,785)||-||-||22,668|
|Provision for PTE’s reimbursement of undue fees to the Social Insurance Institution||7,401||-||(167)||-||-||-||7,234|
|Total other provisions||192,906||33,365||(13,006)||(34,773)||12,522||192||191,206|
Provision for the GraphTalk project exit costs
The total "Provision for the GraphTalk project exit costs" includes PZU Życie provision created for the costs of closing the IT GraphTalk project.
The provision was established in relation to completion of the GraphTalk project and failure to meet economic objectives. Additionally the provisions amount includes estimation of potential liabilities due to litigation with CSC Computer Sciences Sp. z o.o. – aspect described in Note 53.4.
Provision for PTE’s reimbursement of undue fees to the Social Security Institution
A detailed method for determining and settlement of undue premiums to be returned is regulated in Article 100a of the Act on organization and operation of pension funds of 28 August 1997 (Journal Laws of 2013, item 989, as amended) pursuant to which if premiums unduly received are returned, the nominal amount of the service fee collected by the pension society managing a given fund should be returned to the Social Insurance Institution as well.
Since 2008, PTE PZU has been maintaining a provision for reimbursement of handling fees related to excess premiums paid by the Social Insurance Institution in previous periods. The calculation is made on the basis of information provided by the Social Security Institution for the years 1999-2015, and the rate of payment of premiums charged by PTE PZU and deducted by the Social Security Institution from the premiums.
Due to the fact that, as at signing of the consolidated financial statements, not all required information has been received from the Social Security Institution, it is not possible to specify the date of return of the fees on premiums.