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26. Capital commitments

27. Contingencies

28. Related parties

★★ Purchase option granted to a third party on land in Valencia next to Kinepolis Paterna (Spain);

★★ After the cancellation on 30 September 2008 of the planning per-mit for the Kinepolis multiplex in Ostend, a new planning permit was issued in 2013;

★★ At the end of 2013 the Group had contingencies for € 1.6 million. These are minimum guarantee commitments of Kinepolis Film Distribution NV toward Dutch Filmworks BV for flms that were not yet released, but for which contractual obligations already exist.

The transactions between the Group and its subsidiaries were elimi-nated in the consolidation and are accordingly not included in this note. The transactions with other related parties are explained below.

IN ’000 € 2012 2013

Directors

Remuneration 312 327 Executive officers (CEOs)

Short-term employee benefits 1 390 1 473 Share-based payments 176 122 Group insurance 10 10

Remuneration of the Directors and executive offcers

The CEOs and the Chairman of the Board of Directors took part in the 2007-2016 Group Share Option Plan (Incentive Plan) (see Note 20)

★★ Pentascoop NV provides a number of maintenance and transport services to the Group, charging a market rate of € 0.3 million in 2013, € 0.1 million of which was not yet paid at 31 December 2013.

29. Subsequent events

There were no important events after the end of the year.

The leases as lessor primarily concern the multiplex in Poznan (Poland) leased to Cinema City since January 2007 for a term of ten years (renewable by 5 years). The rent consists of a fxed and a vari-able portion, the latter is expressed as a percentage of Box offce rev-enue. This variable rent was € 0.0 million in 2013 (2012: € 0.1 million).

The Group also leases part of its complexes to third parties for the exploitation of shops or cafes. These concessions have a term of 3 to 36 years (renewable). A fxed rent is always charged.

Finally, the car parks of a number of multiplexes are leased for a period of 1 to 15 years (renewable) in Belgium and for an indefnite term in Poland. A fxed rent is charged for part of these car parks. The revenue from the other car parks is variable, based on the number of sold parking tickets, adjusted for management costs.

At the end of 2013 the Group had material capital commitments for € 2.1 million (2012: none). These are commitments relating to the construction of a children’s playground of 1 000 m² at the Kinepolis

multiplex in Madrid (Spain), which will open in spring 2014, the second part of the renovation of the complex in Leuven (Belgium) and the investments in a new front offce software for the Group.

Transactions with other related parties:

★★ Kinohold BIS SA provides certain administrative services to the Group, charging a market rate of € 0.4 million in 2013, € 0.0 million of which was not yet paid at 31 December 2013;

(207 924 options in 2013 and 2012). At 31 December 2013, 129 953 of these options were exercisable.

ANNUAL REPORT 2013 KINEPOLIS GROUP 05 Financial Report 81