Company statement of changes in shareholders' equity

  Number of shares(1) Attributable to equity
holders of the Company		 
In thousands of Euro Issued Outstanding Share capital Share premium Legal reserves Other reserves Retained earnings Total equity
Shareholders' equity as of January 1, 2008 91,015,844 83,491,578 91,016 1,247,140 (11,859) (66,762) (28,858) 1,230,677
Movements in fair value and other reserves:                
Currency translation adjustments         22,475 (39,986)   (17,511)
Gain/(losses) on Treasury shares           (212)   (212)
Fair value gains/(losses), net of tax:                
– Financial assets available-for-sale         184 (426)   (242)
– Variation of actuarial gains and losses in benefit obligation         (168)     (168)
– Cash flow hedges         (5,073) (2,228)   (7,301)
Net income/(expense) recognized directly in equity         17,418 (42,852)   (25,434)
Net income for the period             111,864 111,864
Total recognized income for 2008         17,418 (42,852) 111,864 86,430
Reclassification from/to retained earnings         (1,112)   1,112 –
Share-based compensation expense           11,612   11,612
Employee share option scheme   1,840,871       24,923   24,923
Purchase of Treasury shares, net   (3,036,257)       (64,740)   (64,740)
Capital decrease further to Treasury shares cancellation (3,000,000)   (3,000) (32,711)   35,288   (423)
Balance as of December 31, 2008 88,015,844 82,296,192 88,016 1,214,429 4,447 (102,531) 84,118 1,288,479
                 
Shareholders’ equity as of January 1, 2009 88,015,844 82,296,192 88,016 1,214,429 4,447 (102,531) 84,118 1,288,479
Movements in fair value and other reserves:                
Currency translation adjustments           17,107   17,107
Gain/(losses) on Treasury shares           1,006   1,006
Fair value gains/(losses), net of tax:                
– Financial assets available-for-sale           73   73
– Variation of actuarial gains and losses in benefit obligation           (5,391)   (5,391)
– Cash flow hedges           9,638   9,638
Transfer from Legal reserves to Other reserves         (4,396) 4,396   –
Transfer from Other reserves to Legal reserves         7,410 (7,410)   –
Net income/(expense) recognized directly in equity         3,014 19,419   22,433
Net income for the period             114,796 114,796
Total recognized income for 2009         3,014 19,419 114,796 137,229
Share-based compensation expense           12,327   12,327
Employee share option scheme   2,684,452       30,870   30,870
Purchase of Treasury shares, net   (2,204,431)       (64,964)   (64,964)
Excess of purchase price on SAIT minority interest acquisition       (1,937)       (1,937)
Correction of the excess of purchase price on subsequent acquisition of Gemplus shares(2)       3,843       3,843
Excess of purchase price on subsequent acquisition of Serverside Group Limited       (467)       (467)
Revaluation further to the acquisition of Trusted Logic SA             2,312 2,312
Balance as of December 31, 2009 88,015,844 82,776,213 88,016 1,215,868 7,461 (104,879) 201,226 1,407,692
(1)
As of December 31, 2009, the difference between the number of shares issued and the number of shares outstanding corresponds to the 5,239,631 shares held in treasury.
(2)
As at December 31, 2009, the Company recognized some deferred tax assets that did not meet the recognition criteria at the date of the Combination with Gemplus. As a result, in accordance with the provisions of IFRS 3 and IAS 12, the Company reduced the carrying value of the goodwill and increased the value of the share premium by €3.0 million and €3.8 million respectively.