Boskalis jaarverslagen 2011

30. Related parties

30.1 Identity of related parties

The identified related parties to the Group are its Group companies, its joint ventures, its associated companies (see note 16), its shareholders with significant influence, its pension funds that are classified as funded defined benefit pension schemes in accordance with IAS 19 and the members of the Supervisory Board and Board of Management.

Group companies
The following are the most relevant active Group companies.

Company   City of incorporation   COUNTRY OF INCORPORATION   2011   2010
                 
Baggermaatschappij Boskalis B.V.   Papendrecht   The Netherlands   100%   100%
Baggermaatschappij Holland B.V.   Papendrecht   The Netherlands   100%   100%
Boskalis Finance B.V.   Papendrecht   The Netherlands   100%   100%
Boskalis Holding B.V.   Papendrecht   The Netherlands   100%   100%
Boskalis International B.V.   Papendrecht   The Netherlands   100%   100%
Boskalis Maritime Investments B.V.   Papendrecht   The Netherlands   100%   100%
Boskalis Offshore B.V.   Papendrecht   The Netherlands   100%   100%
Boskalis Westminster Dredging B.V.   Papendrecht   The Netherlands   100%   100%
Boskalis Westminster International B.V.   Papendrecht   The Netherlands   100%   100%
Boskalis Westminster Shipping B.V.   Papendrecht   The Netherlands   100%   100%
Boskalis Zinkcon B.V.   Papendrecht   The Netherlands   100%   100%
BW Marine B.V.   Papendrecht   The Netherlands   100%   100%
BW Soco B.V.   Sliedrecht   The Netherlands   100%   100%
Hydronamic B.V.   Sliedrecht   The Netherlands   100%   100%
Boskalis Dolman B.V.   Dordrecht   The Netherlands   100%   100%
A.H. Breijs & Zonen B.V.   Rotterdam   The Netherlands   100%   100%
Boskalis B.V.   Rotterdam   The Netherlands   100%   100%
Rotterdam Tug B.V.   Rotterdam   The Netherlands   100%   100%
SMIT Harbour Towage Rotterdam B.V.   Rotterdam   The Netherlands   100%   100%
SMIT Heavy Lift Europe B.V.   Rotterdam   The Netherlands   100%   100%
Smit Internationale Beheer B.V.   Rotterdam   The Netherlands   100%   100%
Smit Internationale N.V.   Rotterdam   The Netherlands   100%   100%
Smit Internationale Overseas B.V.   Rotterdam   The Netherlands   100%   100%
SMIT Marine Projects B.V.   Rotterdam   The Netherlands   100%   100%
Smit Nederland B.V.   Rotterdam   The Netherlands   100%   100%
SMIT Salvage B.V.   Rotterdam   The Netherlands   100%   100%
SMIT Subsea Europe B.V.   Rotterdam   The Netherlands   100%   100%
SMIT Transport Europe B.V.   Rotterdam   The Netherlands   100%   100%
Smit Vessel Management Services B.V.   Rotterdam   The Netherlands   100%   100%
Cofra B.V.   Amsterdam   The Netherlands   100%   100%
Aannemingsmaatschappij Markus B.V.   Halfweg   The Netherlands   100%   100%
MNO Vervat - International B.V.   Nieuw Vennep   The Netherlands   100%  
MNO Vervat B.V.   Nieuw Vennep   The Netherlands   100%  
URS Nederland B.V.   Terneuzen   The Netherlands   100%   100%
J. van Vliet B.V.   Wormerveer   The Netherlands   100%   100%
SMIT Transport Belgium N.V.   Antwerpen   Belgium   100%   100%
Unie van Redding- en Sleepdienst België N.V.   Antwerpen   Belgium   100%   100%
Unie van Redding- en Sleepdienst N.V.   Antwerpen   Belgium   100%   100%
Dredging & Contracting Belgium N.V.   Overijse   Belgium   100%   100%
Heinrich Hirdes GmbH   Hamburg   Germany   100%   100%
Heinrich Hirdes Kampfmittelräumung GmbH   Duisburg   Germany   100%   100%
Rock Fall Company Ltd   Ayrshire   United Kingdom   100%   100%
Boskalis Westminster Ltd   Fareham   United Kingdom   100%   100%
Cofra Ltd   Fareham   United Kingdom   100%  
Westminster Dredging (Overseas) Ltd   Fareham   United Kingdom   100%   100%
Westminster Dredging Company Ltd   Fareham   United Kingdom   100%   100%
Westminster Gravels Ltd   Fareham   United Kingdom   100%   100%
Smit Subsea Africa Ltd.   Isle of Man   United Kingdom   100%   100%
Smit Harbour Towage (U.K.) Ltd.   Londen   United Kingdom   100%   100%
Irish Dredging Company Ltd.   Cork   Ireland   100%   100%
Atlantique Dragage SARL   Nanterre   France   100%   100%
Sociedad Española de Dragados SA   Madrid   Spain   100%   100%
Dragapor Dragagens de Portugal SA   Alcochete   Portugal   100%   100%
Boskalis Italia S.r.l.   Rome   Italy   100%   100%
Terramare Oy   Helsinki   Finland   100%   100%
Boskalis Offshore A/S   Randaberg   Norway   100%   100%
Boskalis Sweden AB   Gothenburg   Sweden   100%   100%
Boskalis Polska Sp. z O.O.   Szczecin   Poland   100%   100%
Terramare Eesti Osaühing   Tallinn   Estonia   100%   100%
UAB Boskalis Baltic   Klaipeda   Lithuania   100%   100%
OOO Bolmorstroy   Sint Petersburg   Russia   100%   100%
Boskalis Westminster Dredging and Contracting Ltd   Nicosia   Cyprus   100%   100%
Boskalis Westminster Dredging Ltd   Nicosia   Cyprus   100%   100%
Boskalis Westminster Middle East Ltd   Nicosia   Cyprus   100%   100%
BW Marine (Cyprus) Ltd   Nicosia   Cyprus   100%   100%
Boskalis do Brasil Dragagem e Serviços Maritímos Ltda   Rio de Janeiro   Brazil   100%   100%
Rebras Rebocadores do Brasil S.A.   Rio de Janeiro   Brazil   100%   50%
Boskalis Canada Dredging & Marine Service Ltd.   Vancouver   Canada   100%   100%
Smit Marine Canada Inc.   Whitehorse   Canada   100%   100%
Stuyvesant Dredging Co.   Metairie   United States of America   100%   100%
Stuyvesant Projects Realization Inc.   Metairie   United States of America   100%   100%
Boskalis Westminster Inc.   Wilmington   United States of America   100%   100%
Stuyvesant Envirionmental Contracting LLC   Wilmington   United States of America   100%   100%
Dragamex S.A. de CV   Coatzacoalcos   Mexico   100%   100%
Boskalis Panama S.A.   Ancon   Panama   100%   100%
Smit Harbour Towage (Panama), Inc.   Panama City   Panama   100%   100%
Smit Caribbean Ltd.   Dominica   Dominica   100%   100%
Boskalis Westminster St. Lucia Ltd   Castries   St. Lucia   100%   100%
Boskalis Guyana Inc.   Georgetown   Guyana   100%   100%
Riovia S.A.   Montevideo   Uruguay   100%   100%
Boskalis International Uruguay S.A.   Montevideo   Uruguay   100%   100%
Dravensa C.A.   Caracas   Venezuela   100%   100%
BKI Egypt for Marine Contracting S.A.E.   Cairo   Egypt   49%   49%
Nigerian Westminster Dredging and Marine Ltd   Lagos   Nigeria   60%   60%
Adreco - Serviços de Dragagem Ltda   Luanda   Angola   49%   49%
BKI Gabon S.A.   Libreville   Gabon   100%   100%
Smit Amandla Marine (Pty) Ltd.   Kaapstad   South Africa   70%   70%
Smit Marine South Africa (Pty) Ltd.   Kaapstad   South Africa   100%   100%
Boskalis Westminster (Oman) LLC   Seeb   Oman   49%   49%
Boskalis Westminster Al Rushaid Co Ltd   Dhahran   Saoedi-Arabië   49%   49%
SMIT Subsea Middle East L.L.C.   Dubai   Untied Arab Emirates   49%   49%
Boskalis Australia Pty Ltd   Chatswood   Australia   100%   100%
Smit Marine Australia Pty Ltd   Sydney   Australia   100%   100%
Boskalis International (S.) Pte Ltd   Singapore   Singapore   100%   100%
Zinkcon Marine Singapore Pte Ltd   Singapore   Singapore   100%   100%
Koon Zinkcon Pte Ltd   Singapore   Singapore   50%   50%
Smit Shipping Singapore Private Ltd.   Singapore   Singapore   100%   100%
Smit Singapore Pte. Ltd.   Singapore   Singapore   100%   100%
Smit Holding Singapore Private Ltd.   Singapore   Singapore   100%   100%
Smit Tak Heavy Lift (S) Pte. Ltd.   Singapore   Singapore   100%   100%
P.T. Boskalis International Indonesia   Jakarta   Indonesia   100%   100%
Boskalis International (M) Sdn Bhd   Kuala Lumpur   Malysia   30%   30%
Boskalis Dredging India PvT Ltd.   Mumbai   India   100%   100%
Beijing Boskalis Dredging Technology co Ltd.   Beijing   China   100%   100%
Boskalis Taiwan Ltd   Taipei   Taiwan   100%   100%
Smit Taiwan Investments Holding Co. Ltd.   Taipei   Taiwan   100%   100%

Joint ventures

The following are the most relevant active joint ventures.

Strategic alliances:

Entity   Country of incorporation   2011   2010
             
Archirodon Group N.V.   The Netherlands   40%   40%
Deeprock CV   The Netherlands   50%   50%
Overseas Contracting & Chartering Services B.V.   The Netherlands   50%   50%
Rock Braz B.V.   The Netherlands   50%   50%
Adriatic Towage S.r.l.   Italy   50%   50%
Lamnalco Ltd   Sharjah, United Arab Emirates   50%   50%
Ocean Marine Egypt S.A.E   Egypt   50%   50%
Asian Lift Pte. Ltd.   Singapore   50%   50%
Keppel Smit Towage Pte. Ltd.   Singapore   49%   49%
Maju Maritime Pte. Ltd.   Singapore   49%   49%
Donjon-SMIT LLC   United States of America   50%   50%

Project-driven construction consortiums:

Entity   Country of incorporation   2011   2010
             
Combinatie Haarrijnse Plas   The Netherlands   25%   25%
Combinatie Bowegro vof   The Netherlands   50%   50%
Consortium N11   The Netherlands   17%   17%
Bouwcombinatie Hollandse Meren   The Netherlands   9%   9%
Bouwcombinatie Brabant Noord   The Netherlands   9%   9%
Combinatie HSL 1 Grond & Wegen   The Netherlands   20%   20%
Combinatie HSL 5 Noord Grond & Wegen   The Netherlands   15%   15%
Combinatie Smink BKD vof   The Netherlands   50%   50%
Combinatie BVNN Boskalis Dolman vof   The Netherlands   50%   50%
Oosterhof Holman Boskalis   The Netherlands   50%   50%
N201 Aalsmeer - Uithoorn   The Netherlands   15%   15%
Projectorganisatie Uitbreiding Maasvlakte (PUMA) vof   The Netherlands   50%   50%
Combinatie Grond & Wegen N201   The Netherlands   50%   50%
Combinatie KWS - Markus   The Netherlands   50%   50%
Bouwcombinatie Volgermeer   The Netherlands   50%   50%
Combinatie A2 HoMa   The Netherlands   38%   38%
Combinatie de Keent   The Netherlands   50%   50%
Stemat/Boskalis vof   The Netherlands   50%   50%
Combinatie KWS/Boskalis Westrandweg GWW   The Netherlands   50%   50%
Combinatie Westpoort vof   The Netherlands   15%   15%
Vinkeveen-Haarrijn   The Netherlands   25%   25%
Combinatie Opperduit   The Netherlands   33%   33%
Trajectum Novum Grond & Wegen   The Netherlands   33%   33%
Combinatie Trajectum Novum vof   The Netherlands   13%   13%
Markus - Transverko   The Netherlands   50%   50%
Combinatie Van Kessel - Boskalis Gouwe Park   The Netherlands   50%   50%
Combinatie KWS Infra - Boskalis N23   The Netherlands   30%   30%
CV Projectbureau Grensmaas   The Netherlands   17%   17%
Infrateam N50 Ramspol   The Netherlands   18%   18%
A4all   The Netherlands   10%  
Combinatie Amschberg   The Netherlands   33%  
Boskalis Offshore AS - Tideway vof   The Netherlands   50%   50%
Joint Venture Boskalis - Jac. Rijk   The Netherlands   50%   50%
Boskalis Offshore/Rohde Nielsen vof   The Netherlands   50%   50%
Tideway - Boskalis Offshore L9 vof   The Netherlands   50%   50%
Lago Wirense CV   The Netherlands   50%   50%
Boskalis International - Dredging International CV   The Netherlands   50%   50%
BOFF-TID NL vof   The Netherlands   50%   50%
Vof BKO-TID   The Netherlands   50%   50%
Offshorebasis Cuxhaven LP8   Germany   50%   50%
Weserunterhaltungsbaggerung Bremerhaven   Germany   50%   50%
Binnenhafenkaje Kiel   Germany   50%   50%
Swinoujscie Breakwater   Poland   60%   60%
Britannia Satellites   United Kingdom   50%   50%
UTE Dragado Gijon   Spain   50%   50%
OOO Mortekhnika   Russia   50%   50%
Jurong and Tuas Rock Contractors JV   Singapore   75%   75%
Penta-Ocean Koon DI Boskalis Ham JV (Jurong 4)   Singapore   17%   17%
Ras Laffan Port Expansion   Qatar   50%   50%
Khalifa Port Marine Consortium   Abu Dhabi, United Arab Emirates   43%   43%
Port Rashid   Dubai, United Arab Emirates   50%   50%
Boskalis International - DISC JV   Angola   50%   50%
Boskalis Jan de Nul Ltda   Angola   50%   50%
Boscampo   Cameroon   50%   50%
Bahia Blanca   Argentinia   50%   50%
Quequen   Argentinia   50%   50%

Associated companies
The most relevant active associated companies are mentioned in note 16.

Pension funds that are classified as funded defined pension schemes in accordance with IAS 19 
For information on pension funds that are classified as funded defined benefit pension plans in accordance with IAS 19, we refer to note 24.1. There were no further material transactions with these pension funds.

Members of the Board of Management and members of the Supervisory Board
The only key management officers qualifying as related parties are the members of the Board of Management and the members of the Supervisory Board.

30.2 Related party transactions

Joint ventures
In October 2011, Lamnalco, a joint venture in which Boskalis participates for 50%, has acquired a significant part of the terminal business of SMIT. The Group invested capital in and issued a loan to Lamnalco for the financing of a part of this transaction. We refer to note 5.4. During the financial years 2011 and 2010, there were no material transactions with strategic alliances other than in joint control. Those material transactions were mainly in proportion to the percentage of participation in the activities in project-driven construction consortiums. Transactions with project-driven construction consortiums take place on a large scale because of the nature of the business activities. In respective joint venture agreements, equivalence between individual partners is achieved by means of, inter alia, agreed rates for personnel and equipment. The joint Group companies have, at year-end 2011, amounts receivable from and payable to project-driven construction consortiums amounting to € 106 million and € 286 million respectively (2010: € 106 million and € 295 million respectively).

The proportional share of the Group in the assets, liabilities, revenue and expenses of joint ventures is stated below.

    2011   2010
         
Non-current assets   565,633   437,534
Current assets   463,064   482,329
Total assets   1,028,697   919,863
         
Non-current liabilities   105,338   163,527
Current liabilities   509,281   414,758
Total liabilities   614,619   578,285
         
Net assets   414,078   341,578
         
Contract revenue   908,691   988,641
Expenses   -738,222   -824,847
Net profit   170,469   163,794

Associated companies
Transactions with associated companies other than those disclosed in note 16, are not material. 

Transactions with members of the Board of Management and members of the Supervisory Board
The emoluments for members of the Board of Management and Supervisory Board of the company in 2011 and 2010 were as follows:

    Annual salaries and remu- neration   Employer's pension contri- butions   Short- and long-term variable remu- neration paid   Other reim- burse-ments   Total   2010
                         
Members of the Board of Management                        
dr. P.A.M. Berdowski   659   167   750   7   1,583   1,535
T.L. Baartmans   477   121   495   7   1,100   1,009
J.H. Kamps   477   121   535 *)   7   1,140   1,037
    1,613   409   1,780   21   3,823   3,581**)
                         
Members of the Supervisory Board                        
J.M. Hessels
(from August 17 , 2011)
  20           1   21  
H.J. Hazewinkel
(from March 27, 2010)
  41           2   43   28
H. Heemskerk
(till March 22, 2011)
  15           1   16   62
M.P. Kramer   39           2   41   41
M. Niggebrugge   44           2   46   46
M. van der Vorm
(untill May 12, 2011)
  14           1   15   39
J. van Wiechen
(from May 12, 2011)
  26           2   28  
C. van Woudenberg   42           2   44   43
    241           13   254   259
                         
Total 2011   1,854   409   1,780   34   4,077    
                         
Total 2010   1,651   300   1,860   29       3,840

*) including jubilee bonus
**) The emoluments for members and former members of the Board of Management amounted to € 4,244 thousand over 2010.

The variable remuneration paid in 2011 is related to the achievement of certain targets during the 2010 financial year (short-term variable remuneration) and the achievement of certain targets during the 2008 - 2010 period (long-term variable remuneration).

No loans or guarantees have been provided to, or on behalf of, members of the Board of Management or members of the Supervisory Board.

Long-term incentive plan
The members of the Board of Management participate in a long-term (three years) incentive plan which consist of a part that is based on the development of the share price of the ordinary shares of Boskalis and for a part that depends on the realization of certain objectives, as defined by the Supervisory Board, which are derived from the strategic agenda and in accordance with the objectives of Boskalis for the underlying periods.

As at December 31, 2011 an accrual amounting to € 2.1 million (2010: € 1.9 million) with regard to abovementioned long-term incentive plan is recognized under Other creditors and accruals for the periods 2009/2011, 2010/2012 and 2011/2013.

Multi-year summary of variable remunerations
With regard to the years 2010 up till 2012 the following variable remunerations were granted to the members of the Board of Management:

    year of payment
    2012   2011   2010
             
dr. P.A.M. Berdowski   1,089   750   830
T.L. Baartmans   682   495   501
J.H. Kamps   682   495   529
Total   2,453   1,740   1,860

 

Added to My report add to My report Source: Annual report 2011, page 108