H
1111111
IIfl
N
v
LIIIIH
I
‘
1111111 TA LII N NA
IIIL FEIINJKAULIKOOL
2010 CONSOLIDATED
ANNUAL REPORT
(Translation of the Estonian original)
hIll
1111111
2
2010 Consolidate Annual Report
(Translation ofthe Estonian Original)
TABLE OF CONTENTS
TABLE OF CONTENTS
CONTACT DATA AND BRIEF DESCRIPTION OF THE GROUP
MANAGEMENT REPORT
CONSOLIDATED FINANCIAL STATEMENTS
Consolidated balance sheet
Consolidated statement of revenue and expenses
Consolidated cash flow statement
Consolidated statement of changes in net assets
Notes to the consolidated financial statements
Note 1
Accounting policies adopted in the preparation of the consolidated financial statements
Note 2 Subsequent events
Note3 Cashandbank
Note 4 Trade receivables
Note 5 Other short-term receivables
Note 6 Taxes
Note 7 Shares in associates
Note 8 Long-term receivables
Note 9 Intangible assets
Note 10
Property, plant and equipment
Note II
Borrowings
Note 12
Finance lease
Note 13
Operating lease
Note 14
Deferred income
Note 15
Operating income
Note 16
Revenue from government grants
Note 17
Operating expenses
Note 18
Scholarships and study allowances
Note 19
Interest income and expenses
Note 20
Establishment of the right of superficies
Note 21
Off-balance sheet assets
Note 22
Related party transactions
Note 23
Potential liabilities arising from the tax audit
Note 24
Unconsolidated financial statements
INDEPENDENT AUDITOR’S REPORT
Management Board’s confirmation of the consolidated financial statements 2010
2
3
4
43
43
45
46
47
48
48
58
58
59
59
60
60
60
61
62
63
64
65
65
66
66
67
67
68
68
68
68
70
71
76
77
lfll
Ill
3
N:
2010 Consolidate Annual Report
(Translation of the Estonian Original)
CONTACT DATA AND BRIEF DESCRIPTION OF THE GROUP
Name:
Tallinn University of Technology
Commercial Register no.
of the parent company:
74000323
Address:
Ehitajate Road 5
Tallinn
19086
Phone:
+372 620 2001
Fax:
+372 620 2020
E-mail:
[email protected]
Type of ownership:
legal entity under public law
Main activities:
promote sciences in all of its activities, provide higher
education based on research and academic professional
activities at all levels and provide services based on
research, study and development activities
Financial year:
01.01.2010-31.12.2010
Auditor:
AS PricewaterhouseCoopers
Council of TUT:
40 members
Chairman of Council of TUT:
Rector Andres Keevallik
Board of Government of TUT: 17 members
Chairman of Board of
Government of TUT:
Rector Andres Keevallik
lUll
4
liiiIl
2010 Consolidate Annual Report
(Translation of the Estonian Original)
MANAGEMENT REPORT
Brief overview
Tallinn University of Technology (hereinafter TUT) was founded at 17 September 1918 as an
educational institution of technical higher education. In its academic activities, TUT follows the
principles of the European universities, Magna Charta. TUT is an educational, research,
development and cultural institution offering Bachelor’s, Master’s and Doctoral level studies carried
out in various fields of study such as technology, manufacturing and construction; natural and exact
sciences; social sciences, business and law; servicing and education. Studies based on the integrated
curriculum of Bachelor’s and Master’s study and professional higher education are also carried out at
TUT.
Tallinn University of Technology is a legal person in public law that acts in accordance with the
Constitution of the Republic of Estonia, the Universities Act, the Organisation of Research and
Development Act, its statutes and other legislation.
The objective of TUT is to promote educational, research and development activities, provide
education based on integrated educational and research activities in compliance with the standards of
higher education, arrange continuing studies, promote academic customs and provide knowledge
services necessary for the society.
The tasks of TUT are:
1.
implement and develop education meeting modern quality requirements at three stages of
higher education and issue respective graduation documents;
2.
provide a continuing education service and issue respective certificates;
3.
initiate and implement basic and applied research in its fields of research;
4.
carry out research funded with governments grants and research grants, and perform
commissioned research and development works;
5.
modernise the infrastructure of TUT through real estate development, renewing the subject
base of educational and research activities and creating modem working and living
conditions for its members;
6.
initiate and arrange the implementation of programmes and projects related to research and
development activities and implement the research results;
7.
establish and develop foreign relations, collaborate with and enter into contracts with other
educational and research institutions and organisations both in Estonia as well as abroad;
8.
implement expert evaluations and provide other services;
9.
prepare and publish technical approvals of construction products and materials, and
represent Estonia in the European Organisation for Technical Approvals;
10. publish research and educational methodology publications;
Ii. develop legal protection of intellectual property;
12. develop the Library of TUT as the University’s library and a research library for general use
as well as the information centre for technical sciences in Estonia;
13. develop the creative, cultural and athletic self-fulfilment opportunities of its membership,
increasing the effectiveness of its educational and research activities;
UIi
5
2010 Consolidate Annual Report
(Translation of the Estonian Original)
1111111
14. inform the public of its activities;
15. perform other tasks arising from these statutes and other legal acts.
To fulfil its tasks, TUT may set up academic associations and societies, support their activities and
found or participate in foundation of legal persons associated with the objective of TUT and
participate in their activities.
The areas at activity of TUT are:
1.
educational, research and development activities;
2.
service of the research library;
3.
assessment and verification of compliance of products and materials with requirements;
preparation and publication of technical approvals of products and materials; representation
of Estonia in relevant international organisations;
4.
cultural activities.
Mission
Tallinn University of Technology creates and promotes values which ensure Estonia’s development
in the globalised world.
While fulfilling its mission, the University of Technology promotes sciences, academic and
professional higher education as well as technology culture. TUT creates a synergy in the fields of
technological, exact, natural and social sciences which serves the development of the society.
Vision 2015
TUT is an internationally acclaimed university of technology, the promoter of the economic
development and innovation of Tallinn and Estonia.
Vision 2020
Tallinn University of Technology is one of the leading universities of technology in the Baltic
region, and an active partner for collaboration networks between universities, business clusters and
state institutions.
Environment
In 2010, there were 33 institutions of higher education in Estonia (2008 and 2009: 34).
Higher educational institutions in 2010: 9 universities (md. 6 universities in public law and 3 private
universities); 22 institutions of higher professional education; 2 vocational education institutions.
(2009: 10 universities, 6 universities in public law, 4 private universities, 21 institutions of higher
professional education and 3 vocational education institutions).
The Universities Act regulates 6 universities in public law University of Tartu, Tallinn University
of Technology, Tallinn University, Estonian University of Life Sciences, Estonian Academy of Arts,
and Estonian Academy of Music and Theatre. By decree no. 96 of the Council of TUT of
19.10.2010, a draft contract of Tallinn University of Technology was approved, which laid down the
legal foundation of the activities of Tallinn University of Technology as a university governed by
public law, relations with the state and other persons and its differences as compared to other
universities governed by public law. The Rector presented the draft to the Ministry of Education and
Research for further processing.
—
1
6
2010 Consolidate Annual Report
(Translation of the Estonian Original)
At the beginning of the 2010/2011 academic year, 69,1 13 students were admitted at institutions of
higher education, i.e. 128 students more than in the previous academic year. In 2010, the number of
admitted students decreased as compared to 2009; in 2010, 18,404 students were admitted (2009:
19,167 students). In 2010, 3,993 students (2009: 4,013 students) were admitted into TUT, i.e. 21.7%
of the total number of students admitted.
In 2010, 11,450 students graduated from institutions of higher education (2009: 11,489 students). In
2010, TUT had 1,890 graduates (2009: 2,096 graduates), i.e. 16.5 % of the graduates of institutions
of higher education in Estonia.
Table 1. Students in Estonia and TUT, as at the beginning of the 20 10/201 1 academic year
Students in Estonia
Total
Students in TUT
2008
2009
2010
2008
2009
2010
68,399
68,985
69,113
13,263
13,739
14,151
Institutions consolidated in the annual report of TUT
The consolidated financial statements of TUT include the financial statements of 00 TUT Sport,
MTCJ TUT OliOpilaskula, MTO TUT Spordikiubi and MTCJ TUT Kultuurikeskus. An overview of
the activities of these institutions is provided below, the remaining chapters in the management
report of TUT for the year 2010 do not include the information of the consolidated institutions.
QjTjott
The main activity of 00 TUT Sport is to offer athletic opportunities to students and leasing of
athletic premises. In 2010, the top priority was maximisation of the occupancy rate of the sports hail
and popularisation of the building.
In 2010, the revenue of 00 TUT Sport totalled EEK 7,636 thousand (2009: EEK 7,999 thousand),
100% of which was generated from the sale of services in Estonia. As compared to 2009, the sale of
services decreased by 5%. The break-down of rental income showed that the majority of revenue
was generated by the large sports hall of bailgames and the weight-lifting room.
The gross loss of 00 TUT Sport was EEK 132,780 (2009: profit EEK 397,1 12).
In 2010, investments in real estate totalled EEK 1,250,000. (2009: no investments were made).
ln 2010, the average number of employees of 00 TUT Sport was 9 (2009: 7). In 2010, the entitys
payroll expenses with social security taxes totalled EEK 2,122 thousand (2009: EEK 2,293
thousand), mci. remuneration of the Managing Director of EEK 558.6 thousand (2009: EEK 583.3
thousand) and remuneration of the members of the Board of Government of EEK 86.5 thousand
(2009: EEK 80.4 thousand).
MTU TUT Oliopilaskula
MTU TUT Oliopilaskula was founded in 2000 by Tallinn University of Technology and the
foundation Development Fund of Tallinn University of Technology. The main activity of the
Oliopilaskula is accommodation of students. The Uliopilaskula has a five-member Board, which also
students participate in pursuant to the statutes. The Chairman of the Board oversees the work of the
Board.
The General Meeting of the members of MTO TUT Oliopilaskula ruled that from 1 December 2010,
MTU TUT Oliopilaskula has three members. The third member is MTU TUT OliOpilasuhendus,
with the goal of engaging more student organisations in management of the Oliopilaskula. With the
11111
7
1k \l I
2010 Consolidate Annual Report
(Translation of the Estonian Original)
decision of the members, the number of representatives of student organisation will be increased
from one to two, which was also carried out at the beginning of 2011.
As at 31.12.2010, the UliOpilaskula had accommodations for 1,689 students (2009: 1,711
accommodations). The academic hostel can accommodate 216 people on a short-term basis (2009:
216 people). MTO TUT ClliOpilaskula also manages a 45-apartment building at Akadeemia Road 7a,
Tallinn, of which Tallinn Technical University owns 31 apartments and which are used to
accommodate the lecturers and employees of TUT. The apartment building like dormitory with 80
apartments located at Akadeemia Road 5a, Tallinn is primarily used for accommodation of student
families. The CJliopilaskUla owns a dormitory at Raja 4D, which was completed in 2006 and which
accommodates the headquarters of the UliOpilaskula, and the dormitory and hostel building at the
address Akadeemia Road 11 which is in the balance sheet of Swedbank and which is used under a
lease agreement. The other dormitory buildings are in the ownership of Tallinn University of
Technology and they have been leased out to the CJliOpilaskUla.
In 2010, the ClliOpilaskula continued its non-profit activities accommodating students and managing
the registered immovables. In 2010, the Uliöpilaskula changed the safety concept, during the course
of which 14 security guards were laid off, a total of EEK 378,690 was invested in additional security
appliances and cooperation with TUT security structures and contractual security company was
launched. In respect of outdoor maintenance, the service was outsourced and 5 employees were laid
off. A total 19 employees were laid off at the Ohiopilaskula in 2010, leading to significant cost
savings. In 2011, investments are budgeted in the amount of EUR 35,000, primarily for replacement
of obsolete fittings and fixtures of dormitories.
In 2010, the rental fees for accommodation at the dormitory was EEK 750 1,200 per month until
30 June and from 1 July, EEK 750 1,080, plus fees for water and sewage, heat and electricity
(2009: EEK 50- 1,200). At the beginning of the new accommodation period at 1 July 2010, the rental
fees for accommodation were reduced by 54%. In 2010, the average occupancy rate of the
dormitories was 84.9%. As a result of the rearrangement and reduction of rental fees at the
UliOpilaskula, the average occupancy rate was 98.3% in the last four months of 2010 (2009: 90.1%).
The average occupancy rate of the hostel was 57.3%, growth was 25.5% as compared to 2009.
Considering the demand of students for single occupancy rooms, in 2010, the number of single
occupancy rooms at the dormitories increased, this is on ongoing process. In 2011, the rental fees
will not be changed.
—
—
MTO TUT Spordiklubi
MTU TUT Spordiklubi was founded at 24 May 1990. The Board is in charge of the activities of
MTO TUT Spordiklubi. The Chairman oversees the work of the Board. The TUT Spordiklubi acts in
accordance with its statutes and development plan. The top priority is promotion of physical
education and sports of the students. According to its statutes, MTU TUT Spordiklubi coordinates
recreational, competitive and professional level athletic activities and ensures participation in
competitions for athletes, purchase of athletic gear, rent of the sports hail, etc.
In the financial year, study-training work occurred in 8 different athletic sections, with 300 athletes
training throughout the year. Training sessions were conducted in basketball, track and field events,
soccer, rink hockey, badminton, tennis, triathlon, volleyball. According to the development plan, the
preferred athletic fields include basketball, volleyball, rink hockey, track and field events.
In accordance with the resolutions of the Board of TUT Spordikiubi, scholarships were also paid to
athletes in 2010 in the total amount of EEK 2,388.3 thousand (2009: EEK 3,200.9 thousand).
fl1l
8
i’ ik \
2010 Consolidate Annual Report
(Translation of the Estonian Original)
In 2010, the total proceeds were EEK 7,271.1 thousand, of which membership fees totalled EEK
5,027.7 thousand (2009: revenue of EEK 8,325.4 thousand and membership fees of EEK 5,699.1
thousand).
The number of employees of the TUT Spordiklubi was 8 (2009: 7). In 2010, employee wages and
salaries totalled EEK 741.3 thousand (2009: EEK 711.5 thousand).
In 2010, the remuneration of the Chairman of the Board was EEK 120.0 thousand and compensation
for the use of a private car totals EEK 12 thousand. The other members of the Board did not receive
any remuneration or other benefits (2009: EEK 120 thousand and EEK 12 thousand, respectively).
MTU TUT Kultuurikeskus
MTCJ TUT Kultuurikeskus is a non-profit association, whose members include five legal persons:
Tallinn University of Technology, TUT Meeskoor, TUT Naiskoor, non-profit association Kuijus,
Inseneride Meeskoor and three TUT collective groups: authorised representatives of the
Kammerkoor, Vilistlaste Naiskoor and Puhkpilliorkester, each represented by one person.
The goal of MTU TUT Kultuurikeskus is to develop creative and cultural self-fulfilment
opportunities of the students, employee and alumni through the activities of its members.
In the financial year, the main activities included concerts of our amateur groups at the home
university, in the home-country and abroad.
Management
TUT is run by the Rector who exercises the highest administrative and disciplinary authority at the
university and who is accountable for the general state and development of TUT and the lawful and
expedient use of its financial resources.
As a result of the election of the Rector at 23 April 2010 and pursuant to the resolution of the
electoral body, from 1 September 2010, the Rector of TUT is Professor Andres Keevallik. The
Rector of TUT has been elected to this position for five years.
Rector Andres Keevallik established the positions of 2 Vice Rectors and 3 Directors and appointed
the Vice Rector for Research Erkki Truve, Vice Rector for Academic Affairs Jakob Kubarsepp,
Director for Finance Ardo Kamratov, Director for Facilities Margus Leivo, and Director for
Administration Heiki Lemba (Directive no. 151 of 01.09.2010). By the Rector’s Directive no. 152
ofOl.09.20l0, the areas of activity of Vice Rectors and Directors were established as follows:
D
Area of activity of the Vice Rector for Academic Affairs: studies (exci. Doctoral study);
collaboration: institutions of higher education, Ministry of Education and Research, Student
Council, FESU (Federation of Estonian Student Unions), Estonian Information Technology
Foundation (EITF), SA Innove, SA Archimedes, Baltech
El
Area of activity of the Vice Rector for Research: research and development, md. Doctoral
study, technology transfer; collaboration: institutions of higher education, Ministry of
Education and Research, Estonian Academy of Sciences, Estonian Research Fund, EAS,
KIK, TAKs, Technopol, SA Archimedes, companies.
Area of activity of the Director for Finance: budget and finances, settlements, arrangement
of public procurements, calculation of fixed assets, calculation of wages and salaries,
representation of TUT regarding financial issues in non-profit organisations, foundations
and companies; collaboration: institutions of higher education, Ministry of Finance,
9
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Ministry of Education and Research, Ministry of Economic Affairs and Communication,
banks in budgetary and financial issues.
Area of activity of the Director for Facilities: real estate management and maintenance,
procurement, repairs, construction, transportation, technology and real estate development,
technical preparation of public procurements; collaboration: institutions of higher
education, Ministry of Education and Research, Ministry of Economic Affairs and
Communication, companies.
Area of activity of the Director for Administration: development and collaboration of
administrative and support structure, HR policy, marketing and communication strategy.
international relations, alumni movement, administration and legal advisory; collaboration:
institutions of higher education, SA Archimedes, PARE, advertising and media agencies,
media publications, ECIU, Student Council, FESU. EUL.
The collegial decision-making body of the University is the Council of TUT. In the 2010/2011
academic year, the Council has 39 members and pursuant to the statutes, it is composed of the
Rector. Vice Rectors, deans, directors of institutions of TUT, former Rector, representatives of
academic and research staff, representative of employees in administrative and support structural
units, representatives of students, and the Speaker of the Council appointed by the Rector and up to
two members appointed by the Rector. There are 8 representatives of students in the Council of TUT
in the 2010/2011 academic year. According to the statutes, the Council Secretary, the authorised
representatives of TUT’s Advisory Board, the persons appointed or invited by the Rector may
participate in the sessions with the right to speak. By the Rector’s Directive no. 155 of 01.09.2010,
the persons with the right of speaking in the sessions of the Council of TUT are the Director for
Administration Heiki Lemba, Director for Finance Ardo Kamratov, Director for Facilities Margus
Leivo, Chairman of the Trade Union Toivo Roosimaa. The Chairman of the Council is the Rector
Andres Keevallik and in the 2010/2011 academic year, the responsibilities of the Speaker of the
Council are performed by Professor Sulev Mäeltsemees. In the 2010/2011 academic year, the
Director of the Institute of Cybernetics at TUT Andrus Salupere acts as the Vice Chairman of the
Council. The responsibilities of the secretary of the Council are performed by the secretary of the
University, Kai Aviksoo.
The operating bodies of the Council of TUT are the permanent committees of the Council of TUT
which in their areas at activity prepare drafts to be discussed at the Council, provide estimates on
issues on the agenda of the session of the Council and discuss matters which the Rector or the
Council prepare for the commission for an opinion.
In the 2010/2011 academic year, there are four permanent committees:
I. Academic Committee 13 members, Chairman Andres Keevallik, Secretary Kai Aviksoo
2. Development and
19 members, Chairman Toomas Rang, Secretary Katrin Toompuu
Budget Committee
3. Research Committee 19 members, Chairman Jun Elken, Secretary Pille Kasepuu
4. Study Committee
15 members, Chairman Margus Kruus, Secretary Marju HOimla
For the first time, replacement members have also been appointed for the members of permanent
commissions.
The advisory body to the Rector is the Board of Government of TUT. In the 2010/2011 academic
year, the Board of TUT has 17 members; the Chairman of the Board is the Rector Andres Keevallik.
The Board is composed of the Rector, Vice Rectors (2), Directors (3), deans (8), representatives of
IWI
1111111
10
2010 Consolidate Annual Report
(Translation of the Estonian Original)
research institutions (2) and the chairperson of the Student Council. The secretarial responsibilities
of the Board are performed by the secretary of the University, Kai Aviksoo.
The TUT Academic Court which has five members and is elected for a term of three years is
engaged in resolving internal academic disputes. By decree no.166 of the Council of TUT of
21.12.2010, the elections of the VII membership of the academic court were held.
The Advisory Board is the link between TUT and the society. By regulation no. 458 of the
Government of Estonia of 02.12.2010, the following persons were appointed as members of the
Advisory Board: Ulo Jaaksoo, Kaia Jappinen. Lembit Kaijuvee, Valdo Kaim, Mart Laar, Sandor
Liive, Andres Lipstok, Toomas Luman, Eiki Nestor, Alar Tamkivi, Tea Varrak. The Chairman of the
Advisory Board is Toomas Luman.
State supervision over the legality of the activities of TUT is performed by the Estonian Ministry of
Education and Research that has jurisdiction arising from the Universities Act.
The reporting by TUT and its structural units are carried out pursuant to the procedure provided by
legislation.
The economic activities of TUT group are audited by the State Audit Office, regular and special
audits appointed by the Council of TUT and the Internal Audit Office.
The financial statements of TUT group are audited by the auditor appointed by the Council of TUT.
By decree no. 100 of the Council of TUT of 19.10.2010, AS PricewaterhouseCoopers was appointed
to perform the audit of the 2010 financial statements of TUT.
Structure
The structure of TUT consists of the academic and administrative-support structure. The academic
structure of TUT is made up of:
I.
faculties and institutions, including their institutes, educational centres, research and
development centres, laboratories and other structural units;
2.
other structural units.
As at 3 1.12.2010, the structure of TUT is made up of 8 faculties, 10 institutions (md. 4 colleges),
35
institutes, 12 centres, 21 laboratories, 112 chairs, 6 lectorates, 16 administrative-support structural
units.
The structural units act pursuant to the statutes or by-laws.
_________________________________
iUII
11
2010 Consolidate Annual Report
(Translation of the Estonian Original)
EERvBEEj
Faculty of Civil Engineering
Dean Roode Liias
Deans office
5 institutes
I centre
6 laboratories
15 chairs
3 lectorates
Rector’s office
Administrative and support units:
Internal Auditing Department
Faculty of Power Engineering
Dean TOnu Lehila
Dean’s office
4 institutions
8 chairs
VICE RECTOR FOR
ACADEMIC AFFAIRS
Jakob Kubarsepp
Faculty of information technology
Dean Ennu Rustern
Dean’s ofice
6 institutes
I centre
3 laboratories
21 chairs
Faculty of Chemical and Materials
Technology
Dean Andres Opik
Deans office
4 institutes
I centre
5 laboratories
10 chairs
VICE RECTOR FOR
RESEARCH
Erkki Truve
Faculty of Economics
Dean Ullas Ehrlich
Dean’s office
5 institutes
4 centres
I laboratory
19 chairs
FINANCIAL
DIRECTOR
Faculty of Mathematics and Natural
Sciences
Dean Tönis Kanger
Deans office
4 institutes
I centre
2 laboratories
16 chairs
Ardo Kamratov
Faculty of Mechanical Engineering
Dean Tauno Otto
Dean’s office
4 institutes
4 laboratories
13 chairs
Margus Leivo
Faculty of Humanities
Dean Sulev Maeltsemees
Dean’s office
3 institutes
4 centres
10 chairs
3 leetorates
DIRECTOR OF
FACILITIES
DIRECTOR OF
ADMINISTRATION
Heiki Lemba
Chart I Organisational structure of TUT 31.12.2010
Institutions:
Kuressaare College
Tallinn College
Tartu College
Virumaa College
Administrative and support units:
Open university
Preparatory Courses Department
Study Department
Institutions:
Institute of Geology
Institute of Cybernetics
Institute of Marine Systems
Library
Technomedicum
Certification Centre
Administrative and support units:
Testing Centre
Research and Development Department
Administrative and support units:
Accounting and Finance Department
Public Procurement Department
Administrative and support units:
Department of Construction and
Operational Management
Business Administration Department
Administrative and support units:
IT Department
Legal Department
Secretarial Department
HR Department
International Relations Department
Marketing and Communication
Department
1111111
.llil.
E.H
12
NN
\T
I1
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Membership
The membership of TUT is composed of the employees and students of TUT, professors emeritus
and docents emeritus of TUT, and other persons of TUT with the decree of the Council.
Employees
At the year-end 2010, there were 2,038 positions at TUT, of which 1,691.95 were filled and in which
2,003 people were employed (2009: 1,990 positions with 1,661.25 filled, 1,932 employed).
The number of employees has increased by 13% over the last five years: e.g. in 2010, the number of
people employed increased by 71 people as compared to 2009.
The average work load per one employee was 0.83 and it has remained the same as compared to
2009.
Chart 2 Number of employees 2006-20 10
Table 2 Number of positions 2005-2010
ADMINISTRATIVE AND SUPPORT
STRUCTURE
RECTOR’ S OFFICE
STUDENT COUNSIL
ACADEMIC STRUCTURE
md. academic staff
mci. teaching staff
research frilows
studysupportpersonnel
EMPLOYEES OF INSTITUTIONS OF
TUT
Total
2005
2006
2007
2008
2009
2010
201
12
1
1,090
755
479
276
335
217
8
1
1,135
779
485
294
356
218
9
1
1,188
844
489
355
344
239
9
1
1,248
880
533
347
368
222
8
1
1,201
864
516
348
337
217
8
1,243
891
508
383
352
416
1,720
439
1,800
486
1,902
535
2,032
558
1,990
569
2,038
Pursuant to the university’s development plan (2006-2010), the goal is to increase the share as well
as the number of research employees. The total number of the positions of research fellows increased
(+122) and made of 46.6 % of academic positions in 2010 (2006: 42.9%). The share of non
academic positions among the university’s staff has decreased from year to year: in 2010, there were
0.78 positions of administrative and study-support personnel per each academic position (2006:
0.86).
-
-
iflIl
1111111
13
R
Chart
2010 Consolidate Annual Report
(Translation of the Estonian Original)
\
3 Emnlovees by tvne of nosition 2006-2010
20 1 0
613
2009 I
616
2008
633
2007 I
567
2006 1
550
;
1
—
I
lecturers
I research
. vs
——
0% 10% 20% 30% 40% 50% 60% 70% 80% 90
100%
The distribution of positions between the structural units has not significantly changed over the last
several years. The share of positions at faculties increased slightly in 2010 (+1%) and decreased by
the same percentage in the administrative and support structure.
Chart 4 Distribution of positions between structural units in 2010
colleges; 184; 9%
research institutions;
385; 19%
/
faculties
• administrative-support
faculties; b research institutions
1243; 61°/ID colleges
administrative
support structure; 226;
11%
At the year-end 2010, there were 1,148 (2009: 1,112) academic positions at the university, of which
935.69 (2009: 901.64) were filled. As compared to the previous year, the number of researchers
(+26) and lecturers (+13) increased the most.
In 2010, there were 0.87 (2009: 0.81) research fellows per each lecturer.
Chart 5 Number of academic positions 2006-2010
professor
2006
dean
leading and senior
research fellows
•2007
ii
research fellows
assistant
1120080200
lecturer, teacher
2010
The development plan of the University (2006-2010) set a goal of increasing the share of foreign
lecturers and research fellows in 2010 to 60 (2005: 8). The number of foreign lecturers and research
fellows has increased year after year and was 62 in 2010. By the year-end, there were 32 foreign
lecturers and 30 foreign research fellows.
IflIl
14
2010 Consolidate Annual Report
(Translation of the Estonian Original)
) ()
Chart 6 Number of foreign lecturers and research fellows.
fellows in 2006-20 10
md.
lecturer
mci. foreign lecturer
research staff
md. foreign research fellows
D
•
2006
2007
2008
2009
foreign lecturers and foreign research
2010
Considering all positions at the university, the share of female and male employees was equal in
2010. With regard to employees in academic positions, there were fewer female employees: the
share of female employees among senior lecturers was 39.6% and among research fellows, 36.1%.
The share of female employees among non-academic staff was 66.9%.
Chart 7 Share of female and male employees in 2010
academic staff
1
ins I. lecturers
ii
mci. research staff
other employees
all employees 1
IIIY
0%
50%
100%
At the year-end 2010, the average age of university employees was 47 years. The average age of
academic staff was 48 (mcI. 50 for senior lecturers and 46 for research fellows). In the same time
period, the average age of non-academic staff was 45 years. The average age of staff has remained
the same as compared to last year. The average age of academic staff has decreased slightly.
Chart 8 Average age of academic staff 2001-2010
50.1
50.3
II
49.6
494
iilliiiiii
49.0
48.7
48.7 48.6
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010
in 2010, 103 employees left the university and the staff turnover was 10.4%. The turnover among
non-academic employees (13.8%) and docents (11.4 %) was the highest.
15
N
2010 Consolidate Annual Report
(Translation of the Estonian Original)
kC)
Table 3 Staff turnover %. 2006-20 10
2006
2007
turndeparted over n
position
no.
Professor
106
2
1.9
Docent
127
5
3.9
Lecturer
144
8
5.6
,1ssistant
Teacher
Leading
research
fellow
Senior
research
fellow
Research
fellow
77
4
6
0
7.8
9
2008
turn-
2009
turnturndeparted over n
2010
turn-
departed over
n
110
2
1.8
121
3
2.5
120
5
4.2
131
9
6.9
147
13
8.9
134
19
14.2
143
7
4.9
172
7
4.1
174
15
8.6
0
75
7
8
0
10.7
0
73
12
2
0
2.7
0
67
9
1
1
1.5
11.1
0
0
10
0
0
12
0
0
15
0
0
169
3
1.8
2
13
7A 208
6
2.9 208
16
140
10
7.1
170
14
8.2 163
27
16.6 174
23
Other
employees 727
33
4.5 730
119
16.3 727
88
12.1 762
114
departed over n
turndeparted over
116
3
2.6
132
15
11.4
185
16
8.7
65
10
2
0
3.1
0
17
0
0
7 216
12
5.6
197
23
11.7
15 745
103
13.8
13.2
In 2010, Professor Tauno Otto became the Dean of the Faculty of Mechanical Engineering and
Professor TOnis Kanger became Dean of the Faculty of Mathematics and Natural Sciences. Elections
of the Dean were also carried out at the Faculty of Civil Engineering where Professor Roode Liias
continues as the Dean and at the Faculty of Economics, where Professor CJlias Ehrlich was elected as
the Dean.
New Directors were appointed at the following institutions: Department of International Relations
(Professor Peeter Muursepp) and Department of Mathematics (Professor Jaan Janno). The following
Directors were re-elected in their positions: Professor Lembit Nei (TUT Tartu College), Professor
Vahur Oja (Department of Chemical Engineering), Professor Kaie Kerem (Department of
Economics), Professor Toomas Rang (Department of Electronics), Aleksander Kilk (Department of
Fundamentals of Electrical Engineering and Electrical Machines), Professor Irene Liii (Department
of Building Production).
During 2010, the Council of TUT awarded the title of a professor emeritus to 10 people (the Council
of TUT’s decree no. 71 of 15.06.2010 docents Kostel Gerndorf, Gb Kristjuhan, Milvi Loitve, Arvi
Poobus were awarded the title of a docent emeritus from 01.09.2010; by the Council of TUT’s
decree no. ill of 21.12.2010, Uno Juurvee, Inga LOokene, Enn Tali, Eduard Tearo, Villu Vares
were awarded the title of a docent emeritus from 01.01.2011 and Rein Oidram from 15.02.2011) and
three people were awarded the title of a professor emeritus (by the Council of TUT’s decree no. 70
of 15.06.20 10, professors Rein Laaneots, Rein Küttner, Jun Sutt were awarded the title of a
professor emeritus from 01.09.2010). As at the year-end, there were 149 professors and docents
emeriti; including 52 professors’ emeriti and 97 docents emeriti.
In accordance with the Council decree no. 15 of 02.02.2010, from 1 February 2010, the
remuneration of a Professor emeritus is EEK 4,125 per month and the remuneration of a docent
emeritus is EEK 1,350 per month.
Personnel training
In 2010, the HR Department arranged 25 and in collaboration with other structural units, 60 training
sessions, for a total of 85 various training sessions/seminars and the number of participation days
16
2010 Consolidate Annual Report
(Translation of the Estonian Original)
was 1,485 (2009: 87 and 1,096, respectively). Certificates were issued to 605 employees of TUT
who had participated in training sessions lasting for more than 7 academic hours (2009: 330
employees).
Within the framework of the 1st sub activity of the ESF programme Primus ‘Development of the
Teaching and Mentoring Skills of Lecturers”, in 2010, a total of EEK 1,155 thousand could be used
for training and development of lecturers, teaching doctoral students, mentors and teaching
assistants, of which EEK 200 thousand was aimed at development of e-studies. Within the
t1
framework of 4
activity of the same programme “Enhancement of Strategic Management
Capability at Institutions of Higher Education”, a total EEK 437.5 thousand was allocated to TUT.
As a subsidy from the university, a total of EEK 250 thousand was allocated for continuing
education and development activities of the employees.
With the help of the ESF programme, several important strategic and development seminars, such as
“Learner-Centred University”, “TUT Development Trends for the Years 2011-201 5, a forum:
Manager and His Assistant Partners in Daily Work”, etc. were conducted with a goal of the
university’s development.
—
An important activity worth mentioning is the general principles of primary and continuing
education of lecturers and teachers at the university completed in collaboration with the ESF
programme “EDUKO” and TUT Estonian Engineering Pedagogical Centre. A continuing study
form, i.e. “digi-wisdom” has been developed and implemented, targeted at older generation lecturers
who hold positions at the university. Three mentor-lecturers who had completed special courses
started to work. Active foreign-language continuing training continued to be provided to the staff.
Chart 9 Personnel training 2006-20 10
2006
r
I
• Tiruiuiig
2007
2008
e*1OjL
2009
2014)
• Tianung paIt1c1pai1t
nuici niinigeuaI IaIuI1g hoiu
naI iiiaiageiia1 ranuiig paIt1uI)ant
•nicl didactic and e—leaiiuun Iioiu
Crncl didacrii and e—Ieannng paaticipaiir
Occupational health and safety
Investments in occupational health and safety related activities have increased year after year: in
2010, they totalled EEK 673.3 thousand (2009: EEK 369.7 thousand); md. EEK 162.1 thousand
on employee health check-ups (218 employees) (2009: EEK 173.4 thousand and 282 employees),
105.4 thousand on compensation of reading glasses (96 employees) (2009: EEK 105.6 thousand
and 98 employees) and EEK 137.7 thousand on occupational health and safety, mci. first-aid
training (2009: EEK 34.5 thousand).
1111111
L\
17
\
2010 Consolidate Annual Report
(Translation of the Estonian Original)
In addition to occupational health related preventive activities (e.g. health check-ups, training
opportunities, etc.), the university enables its sick employees to use up to three so-called sick
days per year to cure themselves, during which they still receive pay.
Chart 10 Use of sick days 2006-2010
300
250
200
D number of employees
total number of sick dy
150
ooJJ
0
2006
2007
2008
2009
2010
Students
The student body of TUT is an institution which performs the right of the students of TUT to have a
government to independently decide and arrange the issues related to the student life, in accordance
with laws and pursuant to laws, considering the interests, needs, rights and obligations of the
students of TUT.
-
The Student Council of TUT is the responsible and regulative representative body democratically
elected by the students of TUT, that represents the students and protects their interests and that acts
in accordance with the statutes of the student body of TUT approved by the Council.
The university’s budget stipulates the funds that the Student Council can use for the student selfgovernment to perform the tasks arising from law (Universities Act) and the statutes of the student
body.
In 2010, the total budget of the Student Council was EEK 3,370.8 thousand (2009: EEK 2,898.7
thousand). In 2010, the revenue in the budget of the Student Council was EEK 3,971.3 thousand, of
which EEK 3,728.5 thousand was used (2009: EEK 2,882.8 thousand and EEK 2,618.8 thousand,
respectively).
In 2010, study allowances were paid to the students. The amount of the principal allowance and
supplementary allowance per month were: in spring, principal allowance EEK 875 and
supplementary allowance EEK 440 (2009: EEK 1,000 and 500, respectively); the allowance paid to
Doctoral candidates was EEK 6,000 per month (2009: same). In 2010, the coefficient of the principal
and supplementary allowance was 0.4 and they were paid for 10 months of the year. The allowance
for Doctoral candidates was paid for all 12 months of the year.
In 2010, the Ministry of Education and Research allocated EEK 27,390.7 thousand (2009: EEK
30,002 thousand) from its budget as the principal and supplementary allowances. The allowance for
Doctoral candidates was included in the funding of state-commissioned education and the estimated
allowances for Doctoral candidates totalled EEK 17,172 thousand (2009: EEK 16,380 thousand). In
ll
18
2010 Consolidate Annual Report
(Translation of the Estonian Original)
,
,
2010, study allowances paid out and the costs related to the payment of study allowances totalled
EEK 47,150.2 thousand (2009: EEK 48,705.2 thousand).
Admission
In the 2010 admission period, over 10,000 applications were submitted at all study levels as SAIS
for the second consecutive year.
Bachelor’s, engineering and professional higher education programmes received a total of 7,850
applications, of which 5,618 to state-commissioned (SC) and 2,232 non state-commissioned (NSC)
student places. A total of 2,515 new students were admitted (2009: 2,614).
The most popular specialties were business, real estate management, economics, applied chemistry
and biotechnology, gene technology, business information technology and food technology.
A total of 2,675 applications were submitted to the Master’s study, and 1,305 students were admitted
(2009: 1,238). The most popular state-commissioned specialties were the specialties of the Faculty
of Economics and Social Sciences, business information technology, earth science, environmental
organisation and cleaner production and product development and production engineering. For the
first time, students were admitted into the design and product development specialties.
The average competition for 62 state-commissioned student places was 2.74. A total of 173 Doctoral
students commenced their studies (2009: 161).
Table 4 Admission of students in 2010
SC
Level ofstudy
NSC-Diffcrentiated
Total
admission
in summer
admission
in winter
Total
statefunded
admission
in summer
admission
in winter
admission
in summer
admission in
winter
Ad
mitte
d
196
160
0
160
107
0
24
0
291
35
37
0
37
131
3
4
0
175
1,025
1 036
0
1 036
475
12
8
0
1,531
44
23
0
23
189
41
3
0
256
115
213
0
213
32
0
0
0
245
0
0
0
0
17
0
0
0
17
Master’s study
70t
592
108
700
520
50
33
2
1,305
Doctoral study
62
62
0
62
100
11
0
0
173
2,178
2,123
108
2,231
1,57t
117
72
2
3,993
Professional
higher
education
Professional
higher
education
(distance
learning)
Bachelor’s
stud>
Bachelors
study (distance
learning)
Engineering
Engineering
(distance
[
NSC
Statecommissi
oned
education
Total
university
(data include additional admission in January 2011, as at 15.02.2011)
19
II’S”
I lUll
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Chart 11 Admissions 2006-2010
1449
1419
SC
NSC
2006
SC
NSC
2007
1469
1437
SC
NSC
2008
SC
XSC
2009
SC
NSC
2010
year! fin, source
Bach.-,eng.-, prof. higher educMaster’s study DDoctoral study
Students
In the 2010/2011 academic year, as at 01.10.2010, a total of 14,151 students (01.10.2009:
13,739
students), studied at the university, of them 6,936 (49%) were in state-funded and 7,215 (5
1%) were
in non state-funded student places. The largest faculty is Economics with 3,131 students. The
second
largest faculty is Information Technology with 2,363 students. The smallest is the Faculty
of
Chemical and Materials Technology with 675 students. A total of 2,262 students studied
at four
colleges of the university (16%) and 2,583 students studied in distant learning programmes (18%).
As at 01.10.2010. there were 460 foreign students, i.e. those whose domicile is not Estonia,
i.e.
35.9% of the students studying in Estonia (at the beginning of the 2010/2011 academic year,
1,282
students from 62 countries studied at Estonian universities), most of them from Finland (215), Latvia
(29) and China (26).
There were 35 foreign students studying in the Doctoral programme, and there were 1
51 foreign
visiting students.
H I
1111111
11111
\
20
N
2010 Consolidate Annual Report
(Translation of the Estonian Original)
N
Chart 12 Students by faculty and institution as at 31.12.2010
Tartu College
3%
Virumaa College
4%
Kuressaare College
1%
Tallinn College
7%
Civil Engineering
11%
Energy
—
Faculty of Social Sciences
11%
Information technology
17%
/
Mathematics-natural,siences
6%
Economics
21%
\ Chemical- and Materials
Mechanical Eng.
8%
Technology 5%
Chart 13 Students by area as at 31.12.2010
5 141
2 728
Education (teacher training and educational sciences)
B Social sciences, business and law (social and behavioural sciences, journalism, information transmission
business and administration, law)
D Natural and exact sciences (biosciences, physical natural sciences, mathematics and statistics, computer
sciences)
C Engineering, manufacturing and construction (engineering fields, manufacturing and processing.
architecture and construction)
B Services (personal services, transport services, environmental protection, security)
21
1111111
I
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Chart 14 Number of students by level of study as at October 2010
6456
6541
6626
5049
E Professional higher educ.
3532
• Bachelor’s study
U Engineering study
U Master’s study
12 2
S Doctoral study
783
588
2007
2008
2009
2010
Chart 15 Non-state-funded students by faculty and institution 2010
Virumaa College;
Kuressaare
College; 1% Tartu College; 1%
1%
Civil engineering; 6%
Tallinn College;
Power engineering; 3%
Social sciences: 19%
15%
Mathematicsz//’”r
Natural sciences; 3%
Economics; 40%
“—Information technology; 7%
Chemical and materials
technology;
1%
Mechanical engineering; 3%
flli
Ills”
lUll
22
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Chart 16 Distance learning students by faculty and institution 2010
Tartu College;
0.2%
‘Civil engineering; 3%
Kuressaare
College; 4Q\\
Virumaa College;
3%
Power engineering; 4%
Tallinn College;_
20%
Social sciences; 35%
Economics; 20%
Mechanical
engineering; 1%
Information technology;
10%
Chemical and materials
technology;
0.2%
Table 5 TUT Number of students by study level as at 3 1.12.2010
Level of study
statefunded*
non-statefunded**
Professional higher education
573
Bachelor’s study
3,247
Engineering study
1,049
Master’s study
1,534
Doctoral study
296
Total
6,699
* State-funded
student places ** non-state-funded student places
1,155
3,098
249
1,808
479
6,789
Total
1,728
6,345
1,298
3,342
775
13,488
Table 6 Number of students of TUT in 2005— 2010 (as at 31 December)
year
Total number of
students
2005
2006
2007
2008
2009
2010
10,222
10,614
10,553
12,636
12,944
13,488
mc!. Master’s level mci. Doctoral level
2,154
2,438
2,552
2,920
3,056
3,342
477
525
569
610
683
775
23
111111
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Table 7 Students by firii1tv and institution in 2007-201 1
31.12.2007
31.12.2008
Civil Engineering
1,439
1,471
Power Engineering
701
707
Information Technology
2,022
1,954
Chemical and Materials
Technology
578
562
Mechanical Engineering
1,032
1,040
Economics
1,910
3,756
Mathematics and Natural
Sciences
494
554
Humanities
631
647
Total faculties
8,807
10,691
Kuressaare College
123
129
Virumaa College
418
465
Tartu College
196
269
Tallinn College
1,009
1,082
Total colleges
1,746
1,945
TOTAL TUT
10,553 i
12,636
31.12.2009
1,486
729
2,1 17
582
31.12.2010
1,462
781
2,290
627
983
3,006
658
1,086
2,915
749
1,286
10,847
164
533
326
1,074
2,097
12,944
1,479
11,389
176
568
371
984
2,099
13,488
Graduates and drop-outs
In 2010, 1,890 students graduated from the university (2009: 2,096 graduates). A total
of 179
graduates received CUM LAUDE diplomas.
Number of graduates in 2010 by levels of study:
Professional higher education
206
Rachelors study
923
Master’s study
716
Doctoral study
45
Chart 17 Graduates 2006-2010
Cl
C.,
2005
0 hacheloi’s stud
Rinofessiona]. lu..1iei education
201 ()
0 masteis stud
B doctotal stuth’
In 2010, 1,932 dropped out of the university, which is 54 students less than in 2009.
1111111
24
\i
N NA
AL Li N K.AI Li LOOL.
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Chart 18 Drop-out reasons in 2010
40°o
65L
552 29°o
33°o
undejacluevement
S
not participatilia in the lessons
IoosLn2 the spot in the universit
a not pay 1112 the tuition fees
a own decision
a (tile to death
628.
33°o
Research and development activities (R&D)
More than 65% of TUT’s R&D funds comes from the Estonian R&D state funding system, of which
the most important instruments for the university include:
•
government grants for research topics
•
research grants of SA ESF (Estonian Science Foundation)
•
various measures of the programmes funded from EU structural funds (Mobilitas, DoRa,
R&D infrastructure development)
base-line funding for research activities
•
The funding of the first three instruments is based on competition and it can be used only for the
purpose of funding the topics/projects that were directly applied for, whereas the last one, base-line
funding for research activities is the only one allocated from state funds (launched in 2005) to an
R&D institution on the basis of the results in the previous 3 years and the institution is free to decide
which specific R&D activities will receive the funding.
lUll
25
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Table 8 TUT and allocations of base-line funding granted to its R&D institutions (EEK thousand)
and their dynamics (as a comparison, information is also provided about the other largest universities
of Estonia)
Change
Percentage of total %)
2009-10
TOTAL TUT
(EEL( thousand)
Faculties
Institute of Geology
Institute of Cybernetics
Institute of Marine
Systems
Technomedicum
TOTAL Tallinn
University
TOTAL Estonian
University of Life
Sciences
TOTAL University of
Tartu
Total base-line funding
2007
2008
2009
20,677
28,607
27,526
25,622
-6.92
16,821
23,522
22,652
20,139
-11.09
2010
(%)
1.153
1,585
L567
1.683
7.40
1,750
2.227
1,988
2.067
3.97
954
1,273
1,319
1,219
-7.58
515
0
2007
2008
2009
2010
21.2
22.6
24.5
22.79
4,872
6,342
6,073
6,484
6.77
5
5
5.4
5.77
8,650
10,626
10,367
9,421
-9.13
8.9
8.4
9.2
8.38
45,452
59,691
58,145
53,419
-8.13
46.7
47.1
51.7
47.52
97,310
126,751
121,442
112,405
-7.44
Pursuant to the procedure laid down in the resolution of the Council of TUT and the R&D strategy
concerning base-line funding, TUT used the funds for the realisation of strategic development goals,
funding all-university research and development projects and setting up a support fund for research
projects.
Table 9 All-university projects funded from base-line funding in 2010
All-university projects and activities:
Centres of excellence
SPINNO co-funding
Technology development centre co-funding
Intellectual property of TUT
Motivational system
Co-funding of Doctoral schools
Library documents
TUT Technomedicum
Support fund for science projects
Base-line funding for institutions
TOTAL
1
Allocation
(EEK thousand)
6,660
900
850
2,280
500
210
200
720
1,000
13,478
5,484
25,622
The procedure for using base-line funding allocated to the TUT institutions from the state budget is
laid down by the Council/Research Council of a TUT institution.
II
26
t
Ifl
2010 Consolidate Annual Report
(Translation of the Estonian Original)
The research groups operating in the areas of high priority from the viewpoint of the development of
TUT and/or the foundation of new research groups were financed from the support fund of research
projects. The total number of research groups was 9, including two research groups led by young
researchers.
Two rounds of applications to fund the projects from the support fund of research projects were
arranged. A total of 73 project applications were submitted to the contests. Experts were engaged to
evaluate the projects. In evaluating the projects, their significance to TUT and the society, the raising
of the problem and depth of the application, competency of the research group, the planned budget
and the correspondence of the grant applied for from the point of view of the project. At the
suggestion of experts and the Vice Rector for Research, 32 research projects received funding with
the decree of the Rector (md. for funding short-term research projects, upgrading and maintenance
of infrastructure, co-financing of foreign projects, supporting research conferences).
A total of EEK 12,286.3 thousand (2009: EEK 13,581 thousand) was allocated from the support
fund to the research groups for the performance of the topics and projects.
Table 10 Research groups funded from the base-line funding in 2010
Topics of research projects
Launch of the Centre for Biorobotics
Centre for Biology of Integrated Systems
Synthetic receptors from molecularly imprinted electrically
conductive polymers
New technology for smart grids and their potential
implementation in the power system
Public administration reforms and modernisation
Research and competence centre for planning buildings
with low energy consumption
Research and development activities of TUT’s
meteorological capability and sustamnability 2010
Economic cycles in Central and Eastern European transfer
economies
Electron-nuclear magnet resonance (ENMR)
Beginning
2007
2008
2008
End Person in charge
2010 Maarja Kruusmaa
2010
Madis Metsis
2010
Vitali SOritski
2009
2010
TOnu Lehtla
2009
201 1
2009
201 1
Tuna Randma
Li iv
Hendrik Voll
2010
2010
Andres Kiitam
2010
2012
Karsten Staehr
2010
2013
Ago Samoson
Within the framework of SA Archimedes DoRa programme activity no. 8 “Participation of Junior
Research Fellows in International Knowledge Circulation”, 224 students and junior research fellows
(2009: 143) participated in international conferences and seminars with their presentations, in
professional courses or conducted research at foreign universities and research institutions. For this
purpose, travel grants were allocated in the amount of EEK 3,824.2 thousand (2009: EEK 2,745
thousand).
Within the framework of DoRa programme activity no. 6 “Development of International
Collaboration Networks Doctoral Studies Abroad” (Doctoral students’ semester abroad), 18 funding
decisions were made in 2010 in the total amount of EEK 1,147,362.
One of the objectives of the development plan of TUT group for the years 2006—2010 was to prepare
at least 250 graduates with Doctoral degrees, 76% of the target has been met.
27
1111111
2010 Consolidate Annual Report
(Translation ofthe Estonian Original)
Chart 19 Number of Doctoral degrees earned 20052010*
50
2005 2006 2007 2008 2009 2010
*the diagram contains only the Doctoral degrees earned at TUT.
In 2009, three Doctoral schools run by TUT were launched as a result of the first round of
applications under the sub-measure “Doctoral Schools” of the measure Development of
Cooperation and Innovation of Institutions of Higher Education” financed from the EU structural
funds (European Social Fund).
The Doctoral schools coordinated by TUT:
•
Doctoral school of energy and geotechnology 11
•
Doctoral school of information and communication technology
•
Doctoral school of construction and environmental engineering
TUT participates as a partner in the following Doctoral schools run by Tartu University:
•
Doctoral school of economics and innovation
•
Doctoral school of biomedicine and biotechnology
•
Estonian doctoral school of mathematics and statistics
•
Doctoral school “Functional Materials and Technologies”
•
Doctoral school of geography and ecology
As at 01 .01 .2010, 513 Doctoral candidates of TUT were enrolled at the doctoral schools.
The objective of the sub-measure is to raise competitiveness of Estonian research with the help of
interdisciplinary doctoral schools that focus on increasing efficiency of Doctoral study, including
raising the quality in instructing the Doctoral candidates through international and national
cooperation.
The development plan of TUT for the years 2006-2010 foresees the improvement and
implementation of monetary and non-monetary incentives, thereby acknowledging academic
achievements and valuing the outcome of the supervision of Doctoral students. Motivated staff with
decent professional training and ability to learn is crucial in implementing the goals set out in the
development plan.
At the initiative of the research and development department, the first elements of the motivational
system of TUT were launched in 2005 when the best applied research projects of TUT were
selected. In 2006, the statutes were developed and arrangement of the best research article of the
year and the best junior research fellow was launched. In 2007, the Research Fellow of the Year was
elected was the first time.
According to a decree of the Council of TUT, the total volume of the motivational system project
was EEK 210 thousand (2009: EEK 210 thousand).
1111111
28
2010 Consolidate Annual Report
(Translation of the Estonian Original)
The costs related to the management of the patent portfolio of TUT were covered from the funds of
the project allocated for the protection of the intellectual property of TUT
for maintaining the
industrial property owned by TUT, covering the costs related to the preparation and presentation of
new patent applications (state taxes, fees for patent agents and translation services, etc.).
—
In 2010, 8 Estonian, 6 Us, 3 international (PCT), 3 European, I Chinese and 1 Indian patent
applications were submitted on behalf of TUT. I Estonian, 9 US, 4 European, 2 Canadian and 2
Mexican patent applications were filed for legal protection on inventions which TUT researchers
participated in.
TUT was issued 10 Estonian. 2 US. I European and I Chinese patents.
Nine foreign patents were granted for inventions in which TUT employees participated, mcI. 3 US, 2
European, 2 UK, 2 Hong Kong patents. On behalf of TUT, applications for 2 useful models were
submitted and a registration certificate was issued for 1 useful model to TUT.
Two contracts were concluded for the transfer of patents (Dimentio 01], Crystalsol OU).
In order to continuously update the scientific equipment, the measure “The Updating of the
Scientific Equipment and Appliances” of the EU structural funds, which has been launched for the
period of 2007-2013, includes several new sub-measures. The updating of small-scale research
infrastructure (maximum rate of grant is EKK 1,000 thousand) is financed from grants to research
topics of the Estonian R&D institutions. TUT submitted 17 applications for small-scale research
infrastructure (grant applied for: EEK 10.3 million), of which 4 applications were approved
(maximum grant receivable: EEK 3.9 million). The eligibility period of the grant is 01.01.20113 1.12.2012.
The objective of the sub-measure “The Updating of the Scientific Equipment and Equipment of
Research and Development Institutions” is to support the development of high-priority areas of the
Estonian R&D&l strategy, supporting investments (grants in the amount of EEK 1,000-10,000
thousand) in the infrastructure of research and development activities. Under the sub-measure,
support is provided to the acquisition of infrastructure for research and development activities as
well as to updating of the existing infrastructure, and to the actions that are directly justified by or
important to such activities. The contest was announced at the end of the year with the deadline of
21 February. TUT filed for 7 project applications within the framework of the research apparatus of
the research institutions.
Table 11 Funding of research from the budget of the Ministry of Education and Research. and
allocations to the researcher-professor, 2007-20 10
Research work
Grants for research topics
Base-line funding
Researcher-Professor
National programme “Collections of Liberal Arts
and Natural Sciences”
National programme “Estonian language
technical support”
Infrastructure costs
Procurement of research information for research
library
Operating expenses of research library
TOTAL
2007
71,649
20,677
500
2008
97,647
28,607
500
2009
89,281
27,526
2010
86,477
25,622
-
-
966
1,219
1,143
1,035
1,280
21,774
2,3 15
28,642
1,651
25,934
1,690
25,100
7,836
9,467
7,700
176,097
5,998
7,245
158,779]
8,451
6,586
154,961
-
127,614
lUll
29
1111111
I
2010 Consolidate Annual Report
(Translation of the Estonian Original)
*1c
National cooperation and development activities
The Technology and Innovation Centre of TUT (TIC) coordinates communication with the
companies at TUT. in October 2010, TIC was transferred to TUT’s research and development
department. A business division was established at the department, which continued as a final
beneficiary of 3 SPINNO Pluss programme funded by Enterprise Estonia. The goal of the activities
of the business division is development of the collaboration between the university, companies and
the public sector.
in 2010, 6 new contracts were added to the database of the framework contracts of TUT which have
been concluded with the following partners:
-
-
-
-
-
AS Tallinna Diagnostikakeskus (2.02.10);
MTCJ Eesti Kütte- and Ventilatsiooniinseneride Ohendus (EKVU)(1.02.10);
Estonian University of Life Sciences, University of Tartu (4.03.10);
HansaPlast 00 (13.09.10);
Trade union Garant(1.10.10);
Foundation Estonian Human Rights Centre (17.11 .10).
Therefore. TUT has a framework contract with 54 institutions.
In 2010, Enterprise Estonia continued to give grants within the framework of innovation units made
available in 2009. As compared to the number and volume of units issued in 2009 (between March
and December), both measures approximately doubled in the same period of 2010, demonstrating a
great interest of companies to collaborate with research institutions.
For collaboration with TUT, Enterprise Estonia issued innovation units in the amount of EEK
.9
million which was primarily distributed among the following structural units of TUT: Department of
Materials Technology, Department of Information, Department of Chemistry, Department of
Environmental Engineering, Department of Material Science, Department of Polymer Materials,
Department of Mining, Department of Mechanics, TUT Institute of Cybernetics, TUT Virumaa
College, Department of Automatics, Department of Thermal Engineering.
In order to foster establishment of spin-off companies, the procedure for registration of spin-off
companies of TUT was simplified in November 2010. Collaboration continues with the following
spin-off companies:
I.
Otter AG OU, area of activity: engine fuel and internal combustion engines (fundamental
and applied research, consulting, training);
2.
lB Uneko 00, area of activity: adult in-service training in the area of occupational safety
and health, and in the highly hazardous professions;
3.
Vahiuuringute TAK, area of activity: development of technological platforms and their use
for early diagnosis and anticipation of cancer;
4.
00 Testonica Lab, area of activity: development of platforms for testing and diagnostics of
systems;
5.
Stratum 00, area of activity: transportation planning and traffic organisation;
6.
Crystalsol 00, area of activity: development of solar batteries.
7.
In 2010, a new spin-off company
Biolaborid OCT was set up. The company provides
primarily production laboratory services in the conditions of semi-industrial GMP and
—
H
30
2010 Consolidate Annual Report
(Translation of the Estonian Original)
continuing education in the areas of quality systems, medicinal appliances and medicinal
product regulations.
Regional activities
TUT continued to successfully participate in the call for applications of the support measure of
competency centres announced by Enterprise Estonia. Grants were received for Small Vessel
Competence Centre to be built at TUT Kuressaare College and the Oil Shale Competence Centre to
be built at TUT Virumaa College, which will be used to more thoroughly prepare and implement
activities for the development of competence centres. A competence centre is an association of the
representatives from the private, public and academic sectors, which is primarily set up for the
purpose of developing the region’s business environment.
In addition, TUT participates as a partner in the activities of the following competence centres:
SolarBase.ee competence centre for innovative buildings and living environment, Smart House
Competence Centre, Wood-Processing Technology and Product development Competence Centre.
—
Technology development centres
In 2010, TUT continued to participate in the activities of the following technology development
centres (RDC):
1.
00 Eliko Tehnoloogia Arenduskeskus (Eliko Technology Development Centre), area of
activity: research and development activities in electronics, information and
communications technology.
2.
MTU Toidu- and Fermentatsioonitehnoloogia Arenduskeskus (Development Centre for
Food and Fermentation Technology), area of activity: research and development activities
in the area of bio and food technology.
3.
AS Vahiuuringute Tehnoloogia Arenduskeskus (Technology Development Centre for
Cancer Research), area of activity: development and use of technological platforms for
early diagnostics and prevention of cancer.
4.
Technology Development Centre for Innovative Manufacturing Engineering Systems, area
of activity: integration of business and production planning, relying on e-production and
product life-cycle management.
5.
00 Tarkvara Tehnoloogia Arenduskeskus (Software Technology Development Centre), area
of activity: development of technologies to increase efficiency and quality of software
development.
Cluster development
The cluster is a group of companies and other partners (educational institutions, organisations
supporting the development of business, support structures) that, by sharing similar economic
interests, determine the common objectives, plan joint activities and carry out initiatives of a cluster.
The objective is to develop long-term cooperation that is aimed at increasing competiveness and
profitability of companies in the cluster. It will result in a closer network of companies successful
cooperation in the area of technology and innovation. The key roles of universities in the cluster
development are the creation and transfer of knowledge and technologies, development of labour
force, creation of channels for technology transfer.
—
inn
31
!Hi
2010 Consolidate Annual Report
(Translation of the Estonian Original)
The university participates as a collaboration partner in the following clusters: Estonian ICT cluster,
wood building cluster, wind power cluster, Eesti 1KT Demokeskus (Estonian ICT Democentre),
cluster of logistics companies, cluster initiative of health technologies, cluster of space applications.
In addition to the clusters established in previous years, in 2010, TUT participated in two new cluster
initiatives: Living Lab cluster initiative and cluster initiative to increase exporting capabilities of
furniture industry. The goal of the former is to find solutions which Estonia could potentially export
in the area of financial services; create an environment which would foster creation of radically
innovative services/products. The goal of the latter is to increase the exporting and competitive
capabilities in international markets of partners and decrease the acquisition costs of materials
through joint purchases.
In spring 2010, an information seminar on introduction of Estonian ICT cluster was conducted at the
imitative of the technology and innovation centre, the goal of which was to exchange information, be
engaged in and find collaboration means between the representatives of various areas. The seminar
focused on the collaboration between ICT, and collaboration between the clothing industry and ICT
and construction sector companies. A lively discussion followed the end of the seminar, between the
company representatives, TUT Faculty of Civil Engineering, Faculty of Information Technology and
Faculty of Chemical and Materials Technology as well as the representatives of Estonian ICT cluster
representatives. The seminar helped primarily to create a lively communication between the
participants and movement of information.
Educational activities
The most important developments in 2010 were related to the transfer of output-based evaluation of
curricula, transfer to a new quality assessment system of curriculum groups, launching of new
curricula, mci. joint curricula. In the 2010 autumn semester, an internal audit review related to the
arrangement of practical training was conducted. All TUT academic structural units engaged in
studies, including practical training of students, were audited. The audit results will be used in the
following years for developing of the practical training system of TUT.
In 2010, the European Social Fund programme TULE was launched, offering an opportunity for
people who have interrupted their higher education studies to complete their students. With the help
of TULE programme, those who suspended their studies in the 2003/2004 2008/2009 academic
years can continue their studies for free and those who need to complete not more than half of the
curriculum can continued their studies.
—
In the autumn semester of the 2010/2011 academic year, 97 students were admitted into TUT within
the framework of this programme.
Table 12 Niimhr of students continuing their studies within the framework of TULE by level of
study, admission in the 2010/201 1 academic year
Continuing level of study within the framework of TULE
3+2 Bachelor’s study
3+2 Master’s study
Integrated Bachelor’s and Master’s study
Professional higher education
ETotal
Number of students
66
15
13
3
97
I
lfll
“I’ll
Ill
32
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Chart 20 Students admitted under TULE by area of study. 2010/11 admission
-
a
-
-
-
-
-
-
-
-
•
I
-
-
I
Engineering, manufacturing and construction: 57
Integrated study: 13
Bachelors study: 34
Master’s study: 8
Professional higher education: 2
Services:3
Bachelor’s study: 1
Master’s study: 1
Professional higher education: I
Natural and exact sciences: 29
Bachelor’s study: 25
Master’s study: 4
-
-
-
Social sciences, business and la: 8
Bachelor’s study: 6
Master’s study: 2
Table 13 Base costs of a student place in 2002-2010, EEK thousand
Level of study
2002
2003
2004
2005
2006
2007
2008
Bachelor’s study
20
20
20
20
20
20
26
Professional
higher education
12,6
14
14
18
18
18
23,4
22.7
(..3%)*
2009
2010
July
24.18
21.98
(..7%)* (155%)*
21.76
19.78
(..7%)* (15,5%)*
Master’s study
30
30
30
30
30
30
39
37.83
(..3%)*
36.27
32.97
(..7%)* (l5,5%)*
Integrated
Bachelor’s and
Master’s study
20
25
25
25
25
25
32,5
31.53
(..3%)*
30.23
27.48
(..7%)* (15.5%)*
2x
2x
2x
2x
2x
2x
2x
152.0
Doctoral study
-basecost
March
25.22
(..3%)*
150.0 150.0 150.0 150.0 150.0 150.0 150.0
-performance
pay
‘
200.0 200.0 200.0 200.0 200.0 200.0 200.0
200.0
148.8
141.81
( (-5.4%)’
2.1%)*
192.0
73
l
5
.
J
4
(..4%)* (l2.7%)*
I
the decrease is shown in comparison with 2008
Table 14 Performance of state-commissioned education (abbreviated as SCE), 2010
FIELD OF STUDY
Master’s study, engineering study
Teacher training and educational sciences
Humanities- and behavioural sciences
Business and administration
Biosciences
Physical sciences
Computer sciences
SCE
Grad.
% of total
18
16
28
25
31
191
16
25
155
13
25
95
88.9
156.3
553.6
52
80.6
49.7
I
HI II
33
lIl
Architecture and civil engineering (ins)
Technical areas
Production and processing
Transport services
Environmental protection
Total
Professional higher education
Computer sciences
Personal service activities
Technical areas
Production and processing
Architecture and Civil Engineering
Total
Doctoral studies
Architecture and Civil Engineering
Business and administration
Computer sciences
Biosciences
Physical sciences
Social sciences
Technical areas
Total
2010 Consolidate Annual Report
(Translation of the Estonian Original)
14
268
58
13
21
783
126
150
41
13
24
683
110.5
56
70.7
100
114.3
87.2
15
15
30
30
35
125
5
7
17
21
10
60
33.3
46.7
56.7
70
28.6
48
5
0
11
6
6
1
26
55
7
3
9
7
3
2
17
48
140
81.8
1 16.7
50
200
65.4
87.3
Curricula
In the 2010/2011, the number of current curricula in the autumn semester was 106 (2009:
102).
Admission occurred according to 98 curricula: 13 in professional higher education (md.
3 only nonstate-funded study), 26 in Bachelor’s study (mcI. 4 only non- state-funded study), in
3
Engineering
study, 46 in Master’s study (mcI. 15 only non- state-funded), 10 Doctoral study. Distance
learning
occurred in 24 curricula 10 in Bachelor’s study, 1 in Engineering study, 8 in Master’s
study, 5 in
professional higher education.
—
In the autumn semester 2010/2011, 4 new curricula were added, 3 of them are joint curricula:
• Small vessel construction (professional higher education’s joint curriculum with
the
Estonian Maritime Academy)
• Maritime activity (Mastefs joint curriculum with the Estonian Maritime Academy)
• Design and product development (Master’s joint curriculum with the Estonian
Art
Academy)
• Personnel work and development (Master’s curriculum)
The universitys Council approved 2 new curricula, which will be implemented in
the 2011/2012
academic year:
• Energy efficiency of buildings (Master’s curriculum)
• European law (Doctoral study)
English-language study occurs according to 20 curricula, 4 of them in Bachelor’s and
16 in Master’s
curricula. Studies in Russian occurred in 9 curricula (4 in professional higher
education, 2 in
Bachelofs study and 3 in Master’s study). It was possible to study in Russian in 17 Bachelor’s
and
professional higher education studies to the extent of general and basic study subjects.
1111111
1
H
N N \
N K\L
34
2010 Consolidate Annual Report
(Translation of the Estonian Original)
kO[
Administrative and economic activities
Salaries and wages
Chart 21 Average gross salaries in the Republic of Estonia and at TUT 2005-20 10, EEK/month
Education
19flJ
Republic ofEstonia
-g4gf I
TflT total
14gr1 I
Olier employees
Academic personnel
1ncl
0
5000
10000
15000
20000
fl2010 fl2009 F12008 r2007 •2006 fl2005
Table 15 Average salaries at TUT 2005-20 10. EEKlmonth
Year
Academic staff
Other employees
TUT total
2005
2006
2007
2008
2009
2010
15,444
16,696
19,830
22,051
22,219
21,198
10,088
10,677
10232
14,921
15,038
15,403
12,766
13,686
15,031
18,486
18,628
18,300
25000
II
1111111
35
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Chart 22 Average monthly salaries by academic position 2003-2010 (EEK /month)
40000
35000
30000
25000
20000
15000
10000
5 000
0
—*—-Professor
Seniorsetentist
——Lectuier
2003
2004
2005
2006
200
2008
2009
2010
20384
2221
25866
28654
32425
36668
35895
36534
1388
16185
1622
9
7
P9
20683
23489
22330
20’99
13290
1386’
15226
16996
19928
22500
22404
22943
10388
11628
13134
1359
15109
4S1
183r
1633
4s—Scientist
999
1008
12252
14689
14956
1S45
19584
S3
.ssistaHt
830
9698
11126
11892
13682
1620
16202
1449
——Protessor —4-—Docent
Senior scientist Lecturer
Scientist
Assistant
*does not include the average salary of TUT institutions with independent book-keeping
Chart 23 Average salaries by position by faculty (EEK/month)
60000
50000
40000
30000
20000
10000
LIlL
Assistant
I Docent
D Lec turea
I Profes’or
0
C
Scieaitist
C
Senica scientist
4cf
Real estate development and management, non-current assets in 2010
In 2010, the university continued to develop its real estate properties in accordance with the
development plan. During the year. the IV study complex was reconstructed and by the year-end, the
reconstruction of the study building of the most complex building from the construction technical
36
lilipi
2010 Consolidate Annual Report
(Translation of the Estonian Original)
point of view was practically completed. At the beginning of 201 1, the study building will be taken
into use again. In September, the reconstruction of the university’s old library into a student house
was launched and in December, construction work of the IIB study building was launched. Both
st
projects will be completed in the 1
half of 2011. In autumn, the outer surface of TUT Tähetorn was
restored, windows and doors were replaced and an access road which was previously missing, was
built. For its restoration work, the university received a letter of acknowledgment from Tallinn City
Government. The buildings of the old automobile farm were demolished and the landscaping was
completed for the area. These were the largest and most noteworthy construction and repair works
completed during the year. In addition, the following large-scale construction, repair and
design
works were completed:
the premises of Tehnopolis 3 building at Akadeemia Road 15 were finished, md. Marine Systems
Institute and Biorobotics Centre;
the premises of Technomedicum were finished at the new library building;
fire water system of the study building at Ehitajate Road 5 was built;
design work of reconstruction of the V and VI study buildings was completed.
-
-
-
-
In addition to renovation and construction work, the Council of TUT decided to acquire the building
of natural sciences (Council’s decree no-32 of 16.03.2010) and this transaction was completed in
May 2010.
In 2010, a total of EEK 78,395 thousand was invested in construction and repair work (2009: EEK
240,765 thousand).
Current registered immovables, land units and non-current assets and changes therein in 2010
As at 1 January 2011, TUT Concern had ownership of 48 registered immovables with the
total
square area of 81.69 hectares, including 39 registered immovables in Tallinn with the square area
of
56.27 ha and 9 registered immovables outside Tallinn with the square area of 25.42 ha. In addition,
there were 37 apartment ownerships in the buildings at Akadeemia Road 7a and Rävala Av 11 /
13/15
and one movable property ownership the research vessel “Salme” used by the Marine
Systems
Institute. On the registered immovables, there were 44 buildings in the ownership of the university
with the total area of 15.01 ha. The other owners own, on the basis of the right of superficies,
six
buildings and one facility (stadium) on the registered immovables of the university, including
two
dormitories of TUT’s ClliOpilaskula and one hostel with the total square area of 1.37 ha.
In 2010, the university transferred two registered immovables with the intended purpose of traffic
a
land, to the City of Tallinn to enable the city to build Männiliiva Street with a good potential
at the
University’s sports zone. With its decree no. 103 of 16.11.2010, the Council of TUT decided
to sell
apartment ownership at Rävala Av 13, the physical share of which is non-residential premises,
by a
public written auction.
—
Detailed plans and draft designs
In 2010, three detailed plans for the purpose of the university’s real estate development
were
approved. The detailed plan for Ehitajate Road 5 provides opportunities for the final completion
of
the complex of study buildings. The detailed plan for the area between Mäepealse Raja
Lossi
Streets will in turn create opportunities for the university’s building development. The detailed
plan
for Aegviidu sports base is targeted at the immediate future with the goal of reconstruction
of the
winter sports base of TUT in Harju County.
—
—
lUll
37
lIII
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Participation in non-profit organisation, foundations, companies and other organisations
In 2010, decisions were made in respect of the following memberships and participation in
foundation:
By decree no. 12 of the Council of TUT of 02.02.2010, it was decided to participate in the
foundation of the non-profit association Society for Development of Information Society;
By decree no. 13 of the Council of TUT 02.02.20 10, it was decided to join the non-profit association
Society for Development of Estonian Personnel Work;
By decree no. 31 of the Council of TUT of 16.03.20 10, it was decided to support liquidation of the
non-profit association Development Centre for Food and Fermentation Technology and participate
in the foundation of public limited company Development Centre for Food and Fermentation
Technology;
By decree no. 66 of the Council of TUT 15.06.20 10, it was decided to transfer the part of 00
Institute for European Studies in the ownership of TUT;
By decree no. 102 of the Council of TUT 16.11.2010, it was decided to participate in the foundation
of the non-profit association Cell Treatment.
Budget
A balanced budget is prepared for all revenue and expenses of TUT which is approved by the
Council of TUT with its resolution. The basis for the preparation of the budget of TUT is the rules
and regulations of the budget of TUT.
By decree no. 115 of the Council of TUT of 15.12.2009, the total volume of revenue and expenses of
TUT for the year 2010 in the amount of EEK 1,049,040 thousand was approved.
By decree no. 84 of the Council of TUT of 28.09.2010, the first amendment to the budget of TUT
for the year 2010 was adopted, and the total volume of revenue and expenses of the budget of TUT
for 2011 was approved in the amount of EEK 1,303,873 thousand.
By decree no. 109 of the Council of TUT of2l.12.2010, the total volume of revenue and expenses of
the budget of TUT for the year 2011 was approved in the total amount of EEK 1,393,241 thousand
(EUR 89,044 thousand).
A report is prepared regarding the budget performance at the end of each financial year, approved by
the Council of TUT with its resolution.
Chart 24 Performance of the budget and revenue in 2003-2010 (EEK thousand)
Dbudget
I
2003
2004
I
2005
Sbudt
2006
2007
2008
2000
2010
4li11ii
1111111
38
N
2010 Consolidate Annual Report
(Translation of the Estonian Original)
k..\t.H
Chart 25 Allocations from the budget of the Ministry of Education and Research in 2005-20 10 (EEK
thousand)
2005
2006
S
2007
Statefunded
2008
Research
2009
2010
D Special—purposed projects
Research work includes allocations for provision of grants to research topics, funding of research
projects, grants for Doctoral studies, allocations for state centres of excellences, allocations for
infrastructure development, state programmes, allocations for the research library for obtaining
research information, etc.
Funds allocated for specific purposes include funds allocated for the writing off of study loans, funds
allocated for the payment of study allowances (including also Doctoral grants paid on account of
state-commissioned education in the amount of EEK 17,172 thousand), funds allocated for the
payment of remuneration for professors emeriti, funds allocated for investments (md. so-called
amortisation component), etc.
Table 16 Detailed overview of transfers for intended purposes in 2005-20 10 (EEK thousand)
Transfers intended for
specific purposes
Write-off of student loans
Study aid
Remuneration of professors
emeritus
Other grants, funds allocated
Investments
TOTAL
2005
1,799.1
28,229.4
2006
2,056.0
34,183.0
2007
2,159.0
35,139.0
2008
2,317.7
44,742.0
2009
2,291.6
46,382.1
2010
2,873.6
44,562.7
2,439.0
0
0
32,467.6
1,835.0
2,108.0
272.8
5,422.0
750.0 166,248.6
39,096.8 211,076.6
3,019.4
3,101.1
4,212.6
57,392.7
3,133.6
2,168.9
20,000.0
73,976.2
2,802.7
279.0
20,000.0
70,518.0
Budget performance in 2010
According to the procedure for the budget of TUT, revenue is determined on the basis of collection
irrespective of the year for which they have been calculated or when they had to be received.
Therefore, prepayments and deducted accounts receivable have been included in the budgeted
revenue. Budget balance from previous year is also shown.
In 2010, revenue amounted to EEK 1,196,248.8 thousand, as compared to 2009, revenue has
decreased by 13.1 % (2009: EEK 1,376,913.2 thousand).
39
lijl
N
rx N
2010 Consolidate Annual Report
(Translation ofthe Estonian Original)
N)
Table 17 TUT’s revenue performance (EEK thousand)
2010 budget
revenue
Revenue
Budget balance from previous year
1
Revenue from studies
md.
state-commissioned education
formal education for charge
open university study service fees
continuing education
other study —related revenue (md. structural funds, etc.)
Revenue from research activities
Budget performance
in 2010 Difference
217,344.2
217,344.2
0.0
473,430.8
493,729.5
20,298.6
330,855.2
329,483.1
-1,372.1
100,725.6
116,618.5
15,892.9
6,849.6
7,259.7
410.1
13.061 .5
18,985.6
5,924.1
21,939.0
21,382.6
-556.4
410,608.0
404630.8
86.476.7
-5977.1
grants for research topics from state budget
86,476.7
grant for infrastructure expenses from state budget
base-line funding
25,100.2
25,100.2
0.0
25,622.3
25,622.3
0.0
md.
0.0
other funding from state budget
infrastructure programme
17.761 .9
17.761 .8
-0.1
45,428.2
20,885.6
-24,542.5
Estonian Science Foundation grants
24,092.3
23,632.3
-460.0
136,602.8
151,377.4
14,774.6
National grants for R&D development (mci.
contracts. services, grants. transfers from
foundations, subsidies, etc.)
Foreign grants for R&D activities
grants. subsidies, etc.)
(md.
contracts,
Revenue from ordinary activities
Additional operating income
49.523.6
53.540.6
4,017.0
33,379.0
26,714.9
-6,664.0
169,111.0
104,289.5
-64,821.5
Prepayments received
Accounts receivable
-23,740.7
-26,458.6
Total revenue
Table 18 University’s budget performance
1,303,873.0
—
1,196,248.8
-107,624.1
expenses (thousan.)
Expenses
Budget
expenses in
2010
Budget
performance
of 2010
Difference
Faculties
527,354.3
525,072.5
-2,281.8
Civil Engineering
52,458.5
49,349.1
-3.109.4
Power Engineering
30,103.6
30,129.4
25.8
Humanities
37,162.7
37,308.8
146.1
Information Technology
116,470.2
115,306.3
-1.163.9
Chemical and Materials Technology
54,030.4
55,441.4
1,41 1.1
Economics
79,876.8
76,794.6
-3,082.2
Mathematics and Natural Sciences
99,049.3
101,611.5
2.562.1
Mechanics
58,202.8
59,131.5
928.7
Institutions
186,221.6
175,028.3
-11,193.3
64,473.4
58,244.3
-6,229.1
120,154.6
1 15.123.1
-5,031.5
1,593.6
1,660.9
67.3
Educational institutions
Research institutions
Other institutions
Support project for base-line financing
Administrative and support structure
4,020.1
0.0
-4,020.1
85,996.1
85,395.3
-600.7
All-university projects
72,629.7
63,449.3]
-9,180.4
lIItl
40
Reserves
Capital budget
Maintenance fees of registered immovables
Transfers for intended purposes
Budget deficit transferred /elimination of internal sales
Total expenses
2010 Consolidate Annual Report
(Translation of the Estonian Original)
19,074.2
10,110.7
287,002.5
238,423.5
-8,963.5
-48,579.1
61,662.4
60,970.9
55,353.9
4,558.2
53,574.0
-15775.7
-691.5
-1,779.9
-20,333.9
1,303,873.0
1,196,248.8
-107,624.1
In 2010, TUT’s expenses increased by 3.2% as compared to 2009 (2009: EEK 1.159,459.1
thousand).
Table 19 Performance of capital budget (EEK thousand)
r
2010 budget
2010 budget
performance
Transferable budget balance
Allocations to capital expenditure budget:
-5,641.6
24,800.0
24,800.0
From state-commissioned training funds
From funds of studies for a charge
16,800.0
16,800.0
Revenue
-5,641.6
6.000.0
6.000.0
2,000.0
2,000.0
18,882.4
18,882.4
Rent of dormitories, rent of furniture
1,000.0
7,287.1
555.3
5,156.7
Other proceeds, md. bank interest, allocation/repayment from
structural units, fines, etc.
1,020.0
2,307.3
264.4
29,693.1
264.4
30,582.7
29,307.8
19,015.8
20,000.0
20,000.0
77,000.0
0.0
115,923.0
Allocation from Tallinn College of TUT, research institutions
Funds allocated for infrastructure costs
Fee for the right of superficies (Tehnopol)
0(1 TLJT Sport, Aegviidu funding
State funding for the construction programme
Infra of institution’s appliance
State investment into construction in progress and improvement of
study environment
Borrowings
Total revenue
Expenses
All-university loan and lease liabilities
203,613.1
68,681.2
59,272.2
bridge financing
40.681,0
40,681.0
Construction and repairs
md.
118,135.1
78,395.4
Project and reconstruction of IV building
Project and reconstruction of V and VI building
54,027.0
37.599. I
5,906.3
2,233.7
Library
11,340.0
11,166.0
Research and project of student house
Restoration of Tahetorn (project and general construction)
Reconstruction of study building IIB
All-university repairs
10,620.8
5.502.1
Work related to detailed plan (studies. expert assessments)
Aegviidu
FQShale Competence Centre
I TP 3 Ciil Engineering and furniture
1.757,0
1,445.9
15,525.0
1,155.2
5.695,0
4.497,2
600.0
513.6
264.0
286.9
1.200,0
9,000.0
666.0
11,463.6’
Demolition of garages
500.0
486.0
Sarghaua renovation
200.0
49.5
1,200.0
1,156.7
Renewal of FUT pass-through systems
I’ll”
41
2010 Consolidate Annual Report
(Translation of the Estonian Original)
lrnatzoloeical concent of the camous
300.0
173.9
Acquisitions
96,724.2
94,157.7
Purchase of registered immovable at Puiestee Street. Tartu
Acquisition of equipment from infrastructure programme
Natural sciences house
7,200.0
7,177.5
11,143.2
8,869.3
7&540.0
76.540.0
1300.0
0.0
Apartment at Kollane Street
Science appliances of Gene Technology Institute
Equipment purchased from the funds allocated from structural funds
Leasing of Faculty of Mathematics and Natural Sciences
Total expenses*
3,462.0
3,462.0
287,002.5
235,287.3
Difference between revenue and expenses
-83,389.4
-119,364.3
*
541.0
539.3
0.0
1.03 1.6
internal revenue in the capital budget between objects has been eliminated
By decree no.67 of the Council of TUT of 15.06.2010, it was decided to refinance the investment
loan taken from the Republic of Estonia in the amount EEK 5.1 million. A public procurement was
arranged to refinance the loan and SEB Bank made the best offer.
Main goals and performance indicators for the upcoming period
The long-term objectives of TUT are set out in the development plant of TUT. By decree no. 16 of
the Council of TUT of 15.02.2011, the development plan of TUT was approved for the years 20112015.
Table 20 Performance indicators in 2010 and 2015
Performance indicator
Research and development activities
I. Number of pre-referenced research publications according to classificatory used
in ETIS per one participation in research work
2.
3.
Share of foreign lecturers and research fellows in the total academic staff
Contest to fill the position of a Professor
4. Share of R&D budget in the total budget of study, research and development
activities
md. share of volume of contracts entered into with companies in
the R&D budget
5. Number of Doctoral degrees defended
2010
2015
0.95
1.2
5.40%
10%
1.04
1.5
4 1.60%
over 50%
11.10%
15%
45
90
19.90%
25%
13.60%
11%
Studies
I. Share of students of TUT (excl. students in continuing education programme) of
all students of Estonia
2. Share of drop-out students of all students
3.
4.
Share of joint educational programmes (inch foreign research universitmes)
Share of foreign students by levels of study (Masters and Doctoral)
5. Share of the monetary volume of continuing education
the monetaD volume of studies
(md.
open learning) of
S.
%
6
/O
l6%/4%
3.6%/4.5%
8%JlO%
6.20%
8.50%
The current development plan calls for investments in the total amount of EEK 2,042,000
thousand.
As at today, most of the planned investments have been made.
lIfl
1111111
42
N \\
K\
2010 Consolidate Annual Report
(Translation of the Estonian Original)
KuO
Table 21 Necessary investments in construction and real estate 2011—2015 (estimated cost in 2010
prices, EEK millionJEUR million)
I Construction activity
I a Construction activities with cash cover
1.
Reconstruction of V and VI study buildings
2.
(mci. furnishing and installation)
Restructuring of IIB study building
Total
Total
EEK
million
EUR
million
mci. own
funding
EEK
million
mci. own
funding
EUR
million
291.9
18.66
108.8
6.95
15.5
0.99
15.5
0,99
3.
(including furnishings and installation)
Old library and partial reconstruction ofT study building (including
furnishings and installation)
34
2.17
34
2.17
4.
Reconstruction of the boiler house
15
0.96
15
0,96
(mci. installation)
5.
General construction of the Oil Shale Competence Centre in (mci.
furnishing and installation)
60
3.83
20
1.28
6.
Reconstruction of the building of TUT Kuressaare College at the
competence centre
20
1.28
2
0.13
7.
(mci. furnishing and installation)
Design and general construction of Stirghaua field station
furnishing and installation)
40
2.56
4
0,26
8.
Reconstruction of the stadium
30
1.92
9.
Total other
6.8
0.43
0.5
0,03
513,2
32.8
199.8
12.77
5
0.32
16.8
1.07
33.6
2.15
(md.
Total
I b Construction activities with no cash cover
10.
I 1.
12.
General construction of Aegviidu sports base (4 camping
buildings)
Reconstruction of buildings at Akadeemia Road 5a and 7a
(improvement of energy efficiency)
Reconstruction of the building of construction structure building at
Maepealse 3
13.
Reconstruction of the gallery of Ill study building
11
0.7
14.
9
0.58
15.
Reconstruction of the gallery’ of VI study building
Reconstruction of Tahetorn
5.1
0.33
16.
General construction of the swimming pool
200
12.78
17.
General construction of the new building of IT Faculty at Raja
Street 4
Development of registered immovable at Manniliiva Street 6
150
9.59
19.
Reconstruction of the premises of the Institute of Cybernetics at
Akadeemia Road 21
34.4
2.2
20.
Combo-station and smart networks
40
2.56
5
0.32
509.9
32.6
18.
21.] Total other
Total
II Real estate and other financing
1.
Total
Acquisition of registered immovable at Puiestee 76, 78, 80, 80a
X
43
2010 Consolidate Annual Report
(Translation of the Estonian Original)
CONSOLIDATED FINANCIAL STATEMENTS
Consolidated balance sheet
(in EEK)
31.12.2010
31.12.2009
Note
82,461,107
265,541,002
3
16,251,575
1,592,641
128,948,661
13,944,467
12,216,796
843,272
106,750,274
6,477,605
4
6
5
160,737,344
126,287,947
1,958
542,389
798,362
1,958
626,401
814,598
1,342,709
244,541,160
1,442,957
393,271,906
643,862
473,584
181,300
343,017
478,680
68,800
1,298,746
1,250,000
890,497
0
82,178,985
1,180,954,436
157,940,022
143,839,795
41,628,449
82,178,985
1,159,133,914
176,109,235
153,205,955
13,483,715
ASSETS
CURRENT ASSETS
Cash and bank
Short-term financial investments
Receivables and prepayments
Trade receivables
Prepaid taxes
Other short-term receivables
Prepayments for services
Total
Inventories
Raw materials and materials
Finished goods
Goods purchased for sale
Total
TOTAL CURRENT ASSETS
NON-CURRENT ASSETS
Long-term financial investments
Shares in associates
Long-term receivables
Other shares and securities
Total
Investment property
Property, plant and equipment
Land
Buildings
Machinery and equipment
Other property, plant and equipment
Construction in progress and prepayments
Total
Intangible assets
Patents, licenses and other intangible assets
Total
TOTAL NON-CURRENT ASSETS
1,606,541,687
1,584,111,804
10
14,825,468
14,825,468
1,623,915,901
18,606,650
18,606,650
1,603,608,951
9
TOTAL ASSETS
1,868,457,061
1,996,880,857
The notes to the consolidated financial statements set out on pages 48
the consolidated financial statements.
‘r
—
7
8
75 form an integral part of
jJIv1
1/. C)(I)
Hfl
liiiiI
LIABILITIES AND NET ASSETS
LIABILITIES
CURRENT LIABILIT1ES
Borrowings
Current portion of long-term bank loans
Current portion of long-term lease liabilities
Total
Payables and prepayments
Supplier payables
Payables to employees
Tax liabilities
Other payables
Prepayments received
Total
Other deferred income
TOTAL CURRENT LIABILITIES
NON-CURRENT LIABILITIES
Long-term borrowings
Bank loans
Long-term lease liabilities
Total
TOTAL NON-CURRENT LIABILITIES
TOTAL LIABILITIES
NET ASSETS
Accumulated surplus/deficit
Net surplus/deficit for the financial year
TOTAL NET ASSETS
TOTAL LIABILITIES AND NET ASSETS
44
2010 Consolidate Annual Report
(Translation of the Estonian Original)
31.12.2010
31.12.2009
Note
14,721,091
9,765,670
24,486,761
55,404,874
9,768,715
65,173,589
11
12
16,639,387
25,112,480
45,254,057
7,184,125
2,244,030
96,434,079
85,228,600
206,149,440
14,224,618
49,471,888
42,451,382
10,450,157
5,196,491
121,794,536
105,570,784
292,538,909
312,152,087
31,467,983
343,620,070
343,620,070
549,769,510
326,878,415
41,233,653
368,112,068
368,112,068
660,650,977
1,336,229,880
-17,542,329
1,318,687,551
1,868,457,061
1,280,227,051
56,002,829
1,336,229,880
1,996,880,857
The notes to the consolidated financial statements set out on pages 48
the consolidated financial statements.
—
Li
dS
Kuupde
U
6
14
11
12
75 form an integral part of
u
dU
HP
d.
U. U
U:
___________
___________
___________
___________
___________
__________
__________
__________
__
1111111
45
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Consolidated statement of revenue and expenses
(in EEK)
2010
2009
222,356,297
21 5,242,275
514,160,712
314,563,346
1,051,080,355
546,218,594
318,331,373
1,079,792,242
15
13,281,702
260,304,658
80,544,928
11,647,418
253,441.169
76,162,866
17
18
412,127,288
134,263,889
5,647,570
552.038,747
151,391,269
5,383,123
1,062,944,427
404,274,755
131,329,425
3,91 5,173
539,519,353
133,906,662
5,537,690
1,020,215,158
SURPLUS/DEFICIT FROM OPERATIONS
-11,864,072
59,577,084
Financial income and expenses
Financial income and expenses from associates
Interest expenses
Interest income
Foreign exchange gains (-losses)
Other financial income and expenses
Total financial income and expenses
300,845
-7,482,704
1,354,683
-164,861
313,780
-5,678,257
169.179
-10,892,122
5.653,087
-476,423
1,972,024
-3,574,255
-17,542,329
56,002,829
REVENUE FROM OPERATIONS
Revenue from ordinary activities
Government grants for operating expenses from state
budget
Other income
Total revenue from operations
OPERATING EXPENSES
Goods, raw materials and services
Other operating expenses
Scholarships, study allowances
Personnel expenses
mci. wages and salaries
Social security costs
Unemployment insurance premium
Total personnel expenses
Depreciation and impairment losses
Other expenses
Total operating expenses
Net surplus/deficit for the financial year
Note
9,10
7
11,12,19
11,12.19
The notes to the consolidated financial statements set out on pages 48 —75 form an integral part of
the consolidated financial statements.
‘
M
14
lfl
I’ll”
III
46
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Consolidated cash flow statement
(in EEK)
2010
2009
-11,864,072
59,577,084
148,798,955
2,597,411
129,765,746
4,525,082
-34,449,397
100,248
121,927,353
153,639
-45,702,641
-7.482,704
51,997,800
-7,206,135
-10,892,122
297,850,647
Cash flows from investing activities
Purchase of property, plant and equipment, and
intangible assets
Acquisition of investment property
Proceeds from sale of non-current assets
Interest received
Acquisition of subsidiaries and associates
Fines and surcharges received
Total cash flows from investing activities
-170,039,971
-1,250,000
0
1,354,683
-112,500
313,780
-169,734,008
-266,029,634
0
300,000
5,653,087
-61,800
1,972,025
-258,166,322
9,10
Cash flows from financing activities
Borrowings
Repayments of borrowings
Repayments of finance lease principal
Total cash flows from financing activities
79,797,660
-135,207,771
-9,768,715
-65,178,826
140,819,400
-16,049,070
-10,139,820
114,630,510
11
11
12
Total cash flows
-182,915,034
154,314,835
Cash and cash equivalents at beginning of the year
Net increase/decrease in cash and bank
Currency translation differences
Cash and cash equivalents at end of the year
265,541,002
-182,915,034
-164,861
82,461,107
111,679,141
154,314,835
Cash flows from operating activities
Surplus/deficit from operations
Adjustments
Depreciation and impairment losses
Profit from sales and write-down of non-current assets
Change in receivables and prepayments related to
operating activities
Change in inventories
Change in receivables and prepayments related to
ordinary activities
Interest paid
Total cash flows from ordinary activities
The notes to the consolidated financial statements set out on pages 48
the consolidated financial statements.
—
Lisa
9.10
9,10
11,12
19
-452,974
265,541,002
75 form an integral part of
-,
tiA4
:1
(/!
U I
1111111
11111
47
N
2010 Consolidate Annual Report
(Translation of the Estonian Original)
K
Consolidated statement of changes in net assets
(in EEK)
Net surplus/deficit
Accumulated
surplus/deficit
for the financial
year
Total
987,048,472
293,178,579
1,280,227,051
293,178,579
-293,178,579
0
0
56,002,829
56,002,829
31.12.2009
1,280,227,051
56,002,829
1,336,229,880
31.12.2009
Carry-forward of net
surplus/deficit for 2009
Net surplus/deficit for the
financial year
1,280,227,051
56,002,829
1,336,229,880
56,002.829
-56,002.829
0
0
-17,542,329
-17,542,329
31.12.2010
1,336,229,880
-17,542,329
1,318,687,551
31.12.2008
Carry-forward of net
surplus/deficit for 2008
Net surplus/deficit for the
financial year
The notes to the consolidated financial statements set out on pages 48
the consolidated financial statements.
—
75 form an integral part of
H M
IL (. Cij
UlI
1111111
N
llI
48
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Notes to the consolidated financial statements
Note 1
Accounting policies adopted in the preparation of the consolidated financial
statements
The 2010 consolidated financial statements of Tallinn University of Technology have been prepared
in accordance with the generally accepted accounting principles of Estonia. The generally accepted
accounting principles are prescribed by the Accounting Act and supplemented by the requirements
set out in the general rules for state accounting as well as the guidelines issued by the Accounting
Standards Board.
The consolidated financial statements have been prepared under the historical cost convention,
except as disclosed in the accounting policies below.
The amounts shown in these consolidated financial statements are presented in Estonian kroons
(EEK).
The 2010 consolidated financial statements include the financial statements of Tallinn University of
Technology (parent company) and its wholly-owned subsidiaries OU TUT Sport, MTU TUT
IJliopilaskula, MTU TUT Spordiklubi and MTC TUT Kultuurikeskus.
The financial information of Tallinn University of Technology (parent company) includes the
financial information of its institutions (Institute of Geology, Institute of Cybernetics, Marine
Systems Institute, Library, Tartu College, Kuressaare College, Tallinn College and Virumaa
College). Investments in subsidiaries and associates are reported at cost (less any impairment losses)
in the separate financial statements of the parent company which are disclosed in the notes to the
consolidated financial statements.
Tallinn University of Technology has 100% ownership in all abovementioned subsidiaries. All of the
subsidiaries operate in Estonia.
00 Eliko Tehnoloogia Arenduskeskus and 00 IMECC are recognised as associates.
Preparation of the consolidated financial statements
Principles ofconsolidation
In the consolidated financial statements, all financial information of the subsidiaries under the
control of the parent company has been consolidated on a line-by-line basis. All intragroup
receivables and liabilities, transactions between group companies and the resulting unrealised gains
and losses have been eliminated in full. Where necessary, accounting policies of subsidiaries have
been changed to ensure consistency with the policies adopted by the Group.
Subsidiaries
A subsidiary is an entity controlled by the parent company. Control is presumed to exist when the
parent company owns, directly or indirectly through subsidiaries; more than one half of the voting
power of its subsidiary or otherwise has power to govern the financial and operating policies of the
subsidiary.
When the parent company acquired or transferred control over the subsidiary during the period, the
respective subsidiary is consolidated from the date of its acquisition until the date of its disposal.
Acquisitions of subsidiaries are accounted for using the purchase method (except for business
combinations involving entities under common control that are recognised using the adjusted
purchase method). According to the purchase method, the assets, liabilities and contingent liabilities
of the acquired subsidiary (i.e. acquired net assets) are recognised at their fair values; the positive
dn fr.r.eks
lnti to tk pm pmt o 1mitfc t(m
Al
1/ C l1
.
lII
49
2010 Consolidate Annual Report
(Translation of the Estonian Original)
difference between the cost of acquisition and the fair value of the acquired net assets is recognised
as positive goodwill, the negative difference is recognised as income in the profit and loss statement.
From the acquisition date, the Group’s interest in the assets, liabilities and contingent liabilities of
the acquired entity and the resulting goodwill are recognised in the consolidated balance sheet, and
the interest in the acquired entity’s income and expenses is included in the consolidated income
statement. Positive goodwill is recognised as an intangible asset in the consolidated balance sheet.
Associates
An associate is an entity over which the Group has significant influence, but which it does not
control. Generally significant influence is presumed to exist when the Group holds between 20% and
50% of the voting power of the investee.
In the consolidated financial statements, investments in associates are accounted for using the equity
method. Under this method, the investment is initially recognised at cost which is thereafter adjusted
for post-acquisition changes in the investor’s share of the investee’s equity (changes both in the
profit! loss of the associate as well as other equity items). The Group’s share in the results of
operations of the associates is presented in the consolidated statement of income and expenses in the
line Financial income and expenses from associates’.
Unrealised gains on transactions between the Group and its associates are eliminated to the extent of
the Group’s interest in the associates. Unrealised losses are also eliminated unless the transaction
provides evidence of impairment of the asset transferred.
When the Group’s share of losses in its associate equals or exceeds its interest in the associate.
the
investment is reported at nil value and further losses are recognised off-balance-sheet. If the Group
has guaranteed or is required to meet the commitments of its associate, the respective liability
as
well as the loss under the equity method are reported in the balance sheet.
The Group’s investments in the assets and the liabilities of the associates acquired and the goodwill
arising in acquisition are reported as a net amount in the line Shares in associates”.
At each balance sheet date, it is assessed whether there is any indication that the recoverable amount
of the investment has fallen below its carrying amount. If any such indications exist, an impairment
test is performed. To determine the recoverable amount of the investment, the principles described
in
section Impairment ofassets are used as the basis.
Foundations and non-profit organisations
Interests in foundations and non-profit organisations are recognised as follows:
1) when the public entity has control over the foundation or a non-profit organisation (generally
not
more than 50% of the voting power), the interest is recognised as 100%;
2) when the public entity has significant influence over the foundation or non-profit organisation
(generally 20-50% of the voting rights), neither the interest nor the financial investment is included
in the balance sheet (payments to the items’ foundations are recognised as expense related to
the
grant).
,1L
/,,
jJ
Ul
50
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Unconsolidated financial statements of the parent company disclosed in the notes to the consolidated
financial statements
In accordance with the Accounting Act of Estonia, the separate principal statements of the
consolidation entity (parent company) shall be disclosed in the notes to the consolidation financial
statements. The same accounting policies have been used for preparation of the primary statements
of the parent company that have also been used for the preparation of the consolidated financial
statements. Investments in the shares of subsidiaries and associates in the unconsolidated financial
statements of the parent company presented as a note to these consolidated financial statements, are
carried at cost, less any impairment losses.
Financial assets
The Group has the following financial assets: cash and cash equivalents, trade and other receivables
and short- and long-term financial investments.
The purchases and sales of financial assets are recognised at the settlement date (i.e. at the date at
which the Group becomes the owner of the acquired financial asset or loses its right of ownership
over the sold financial asset).
To account for the sales and purchases of financial assets reported at fair value, the changes in the
value of acquired assets in the period between the trade date and the balance sheet date is taken to
profit or loss for the period.
Cash and cash equivalents, trade receivables and other receivables (accrued income, loans granted
and other short- and long-term receivables), other than the receivables acquired for the purpose of
selling, are reported at amortised cost. The amortised cost of short-term receivables normally equals
their original invoice amount (less any refunds and discounts), therefore short-term receivables are
carried in the balance sheet at their net realisable value. For determining the amortised cost of longterm receivables, they are initially recognised at the fair value of the consideration receivable and
interest income is calculated on the receivable in subsequent periods using the effective interest rate
method. Receivables held with an intention to sell are measured at fair value.
Short and long-term investments in shares and other equity instruments (except for such investments
in subsidiaries and associates that are accounted for using either the consolidation or equity method)
are recognised at fair value if it can be measured reliably. The basis of fair value is the listed market
price of the financial instrument. Shares and other equity instruments whose fair values cannot be
measured reliably are recognised at amortised cost (less any impairment losses when the carrying
amount of the investment is not recoverable).
Short and long-term investments in bonds and other debt instruments are measured at amortised cost
if the Company intends to hold them until maturity. If the Company is not certain at the time of
acquisition whether it intends to hold a certain debt instrument until its maturity or it is probable that
it will be sold before maturity, the financial investment is carried at fair value.
Short-term financial investments include securities held for the purpose of trading (shares, bonds,
debentures, fund units, etc) and securities with fixed maturities with due dates of 12 months after the
balance sheet date.
Long-term financial investments (other long-term investments in shares and securities and long-term
receivables) include securities (shares, bonds, debentures, fund units, etc.) not intended to be
itsiasrud
H d or t pw
dc tic
fl t
14
rk
51
lIIl
2010 Consolidate Annual Report
(Translation of the Estonian Original)
disposed of within the next 12 months (except for investments in subsidiaries and associates),
securities with fixed maturities greater than 12 months after the balance sheet date and loans granted
with due dates later than 12 months after the balance sheet are recognised as long-term financial
investments (as other long-term investments in shares and securities, and long-term receivables).
At each balance sheet date, an assessment is made whether there is any evidence of impairment of an
asset. If any such evidence exists, the impairment losses are determined as follows:
(a)
Financial assets carried at amortised cost (receivables and held-to-maturity investments) are
written down to the present value of estimated future cash flows (discounted at the effective interest
rate computed at initial recognition of the financial asset);
(b)
Financial assets carried at cost (shares and other equity instruments, the fair value of which
cannot be reliably measured) are written down to the present value of estimated future cash flows
discounted at the current market rate of return for a similar financial asset);
(c)
Financial assets carried at fair value are written down to their fair value.
Impairment losses are recognised in profit or loss. For financial assets carried at fair value through
revaluation reserve in equity, the negative revaluation reserve previously included in equity is taken
to profit or loss whenever there is any evidence of impairment.
Cash and cash equivalents
For the purposes of the balance sheet and the cash flow statement, cash and cash equivalents
comprise cash on hand, bank account balances and term deposits with maturities of three months or
less.
Trade receivables
Short-term receivables generated from provision of training services and other ordinary activities are
classified as trade receivables. Trade receivables are carried at amortised cost (original invoice
amount less provisions made for impairment of these receivables).
An allowance for impairment of trade receivables is established when there is objective evidence
that the Group will not be able to collect all amounts due according to the original terms of
receivables. Significant financial difficulties of the debtor, probability that the debtor will enter
bankruptcy or financial reorganisation, and default or delinquency in payments are considered
indicators of the impairment of a trade receivable. The impairment of the receivables that are
individually significant (i.e. need for a write-down) is assessed individually for each customer, based
on the present value of expected future collectible amounts. Receivables that are not individually
significant or for which no objective evidence of impairment exists, are collectively assessed for
impairment using previous years’ experience on uncollectible receivables. The amount of the
impairment loss of doubtful receivables is the difference between the carrying amounts of
receivables and the present value of expected future cash flows discounted at the effective interest
rate. The carrying amount of receivables is reduced by the amount of the impairment loss of doubtful
receivables and the impairment loss is recognised in profit or loss within Other operating expenses.
If a receivable is deemed irrecoverable, the receivable and the impairment loss are taken off the
balance. The collection of the receivables that have previously been written down is accounted for as
a reversal of the allowance for doubtful receivables.
1/
L.
;llll:
52
2010 Consolidate Annual Report
(Translation ofthe Estonian Original)
Other receivables
All other receivables (accrued income and other short and long-term receivables) are reported at
amortised cost.
The amortised cost of short-term receivables is generally equal to their original invoice amount (less
any impairment losses); therefore short-term receivables are carried in the balance sheet at the
collectible amount. To calculate the amortised cost of long-term receivables, they are initially
recognised at the fair value of the consideration receivable and in subsequent periods, interest
income is calculated on the receivable using the effective interest rate method.
Inventories
Finished goods and work-in-progress are recorded at production cost, consisting of direct and
indirect production expenditures which are necessary for taking the inventories to their current
condition. Other inventories are initially recognised at cost, consisting of the purchase costs and
other directly attributable expenses.
The FIFO method is used for the accounting for the cost of inventories, Inventories are measured in
the balance sheet at the lower of acquisitionlproduction cost and net realisable value. The net
realisable value is the estimated selling price in the ordinary course of business less the estimated
costs of completion and the estimated costs necessary to make the sale.
Investment property
Investment property includes only such real estate properties (land, building, part of a building),
which are leased out to non-public sector units for the purpose of earning rental income or capital
appreciation and which are not used in core operations. Some real estate properties (land, building)
are primarily used in its own business operations, but to a lesser degree also for the purpose of
earning rental income. These real estate properties are not separately transferable, as a result of
which the whole property is accounted for as an item of property, plant and equipment.
Investment property is initially recognised in the balance sheet at cost, including also transaction
costs directly attributable to acquisition, without which the purchase transaction would not probably
have taken place. Investment properties are subsequently carried at cost in the balance sheet, less any
accumulated depreciation and any impairment losses.
Subsequent expenditure have been capitalised when it is probable that future economic benefits
associated with the asset will flow to the Group and the cost of expenditure can be measured
reliably. Other subsequent expenditure (for example, repairs and maintenance) have been expensed
when incurred. When a component of an investment property is replaced, the cost of the new
component is added to the cost of the asset and the carrying amount of the replaced component is
derecognised.
Investment property is derecognised on disposal or when the asset is withdrawn from use and no
future economic benefits are expected. Gains or losses from the derecognition of investment
properties are included within other income or other expenses in the income statement of the period
when derecognition occurs.
h
ii Ia ;erd
¶
nut
Prcewat.erhouseCoopers, inn
53
2010 Consolidate Annual Report
(Translation of the Estonian Original)
When the purpose of use of an investment property changes, the asset is reclassified in the balance
sheet. From the date of the change, the accounting policies of the group into which the asset has been
transferred are applied to the asset
Property, plant and eQuipment
Since 01.01.2008, property, plant and equipment are regarded as assets used in the operations of the
Company with a useful life of over one year and a cost of over EEK 30,000. Assets with a useful life
of over 1 year and a cost of less than EEK 30,000 are recorded as low-value items (in inventories)
and are fully expensed when the asset is taken into use. Low-value assets that have been expensed
are accounted for off-balance sheet.
As an exception, the following items, irrespective of their cost, are allowed to be recognised:
1) works of art (art or antique objects, museum objects, records, precious books), whose value does
not decline with time;
2) books in those public libraries, whose main activity is the holding and lending of books.
An item of property, plant and equipment is initially recognised at its cost which consists of the
purchase price and other expenditures directly related to the acquisition that are necessary for taking
the asset to its operating condition and location. An item of property, plant and equipment is carried
in the balance sheet at its cost less any accumulated depreciation and any accumulated impairment
losses.
As Tallinn University of Technology is a public sector entity, the exceptions to the general rules for
state accounting are used to account for items of property, plant and equipment. Due to entry into
force of the general rules for state accounting on January 1, 2004, public sector entities are not
allowed to capitalise the value added tax and other non-refundable taxes and fees (except for taxes
calculated on labour resources) into the cost of items of property, plant and equipment and intangible
assets; therefore, non-refundable taxes and fees paid in acquisition of items of property, plant and
equipment are not recognised as expenses at the time of acquisition and they are not included within
the cost of assets.
Subsequent expenditures incurred for items of property, plant and equipment which meet the criteria
of non-current assets are capitalised as non-current assets in the balance sheet. Other repair and
maintenance costs are recognised as expenses at the time they are incurred.
The straight-line method is used for the determination of depreciation. Depreciation rates are set
separately for each item of property, plant and equipment depending on its useful life.
The annual depreciation rates for groups of non-current assets are the following:
Buildings, facilities and their structural components
2-8%
Machinery and equipment
W-30%
Means of transport
20%
Other property, plant and equipment
20-40%
Land, books and artwork are not subject to depreciation.
fltSL
1r
d h.
1!. (5
c,f(
lUll
54
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Depreciation is started at the time when the asset is ready to be used for the purpose intended by
management and is terminated when the residual value exceeds the carrying amount, the asset is
completely removed from use or is reclassified as a non-current asset held for sale”. At each
balance sheet date, the depreciation rates, the depreciation method and the residual value are
assessed for appropriateness.
Where an assets carrying amount is greater than its estimated recoverable amount (higher of an
assets net selling price and its value in use), it is written down immediately to its recoverable
amount.
Book funds
The State Accounting Act paragraph 41 section 2 stipulates that irrespective of their cost, books are
to be recognised at public libraries, where the storing and lending of books to the general public are
its primary activities.
The following items of the book funds are presented in the Group’s balance sheet (they are
accounted for off-balance sheet):
1) books received as donation;
2) compulsory copies.
At the library, books are written off in accordance with the Literature utilisation regulation”. which
stipulates the principles for writing off books. Books are written off at their cost.
Intangible assets
An intangible asset is initially measured at cost, comprising of its purchase price and any directly
attributable expenditure. An intangible asset is carried in the balance sheet at its cost less any
accumulated amortisation and any accumulated impairment losses.
The straight-line method is used to calculate the amortisation of intangible assets with finite useful
lives. The amortisation rates are set separately for each intangible asset depending on its useful life.
The range of amortisation rates for groups of intangible assets is 20-40%.
Non-current assets held for sale
Non-current assets held for sale are items of property, plant and equipment and intangible assets
which are estimated to be sold within the next 12 months and with regard to which management has
started active sales activities and the assets are for sale at a price which is realistic as compared with
their fair value.
Depreciation of non-current assets held for sale is terminated and they are reported at the lower of
the carrying amount and fair value (less costs to sell) as non-current assets in the separate balance
sheet item “Non-current assets held for sale”.
lUll
1
‘IP
55
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Impairment of assets
Assets that are not subject to depreciation (land, artworks) and assets that are subject to deprecation
are evaluated for any evidence of impairment. If such evidence exists, the carrying amount of the
asset is assessed and compared with its carrying amount in balance sheet.
An impairment loss is recognised in the amount by which the carrying amount of the asset exceeds
its recoverable amount. The recoverable amount of the asset is the higher of the asset’s fair value
less costs to sell and its value in use. For the purpose of assessing impairment, the recoverable
amount is assessed for each individual asset or the smallest possible group of assets for which it is
possible to determine cash flows (cash generating unit).
The impairment losses of assets are recognised as expenses of the reporting period. Impaired assets
are evaluated at each subsequent balance sheet date to determine whether it is possible that the
recoverable amount has increased meanwhile (except for goodwill whose impairment losses are not
reversed).
If the impairment test indicates that the recoverable value of an asset or asset group has increased
above its carrying amount, the previous impairment loss is reversed up to the carrying amount that
would have been determined had no impairment loss been recognised for the asset in prior years.
The reversals of impairment losses are reported as a reduction of the cost of non-current assets in the
income statement
Finance and operating leases
Leases of property, plant and equipment which transfer all significant risks and rewards incidental to
ownership to the lessee are classified as finance leases. Other leases are classified as operating
leases.
Group as the lessee
Finance leases are capitalised at the inception of the lease at the lower of the fair value of the leased
property and the present value of the minimum lease payments. Each lease payment is allocated
between the liability and finance charges (interest expense). The interest element of the finance cost
is charged to the income statement over the lease period so as to produce a constant periodic rate of
interest on the remaining balance of the liability for each period. The assets acquired under finance
leases are depreciated similarly to acquire non-current assets over the shorter of the useful life of the
asset and the lease term. Direct initial costs incurred by lessees when concluding finance lease
agreements are included within the cost of leased assets.
Payments made under operating leases are charged to the income statements on a straight-line basis
over the period of the lease.
Group as the lessor
Assets leased out under operating leases are reported in the balance sheet similarly to other non
current assets. They are depreciated using the same depreciation principles as for similar owned
assets. Operating lease payments are recognised as revenue on a straight-line basis over the lease
term.
HN.
1111111
1
\ N
56
I I.KL I
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Financial liabilities
All financial liabilities (supplier payables, borrowings, accrued expenses and other short and longterm borrowings) are initially recorded at the proceeds received, including all transaction costs
incurred. After initial recognition, financial liabilities are measured at amortised cost.
The amortised cost of current financial liabilities normally equals their nominal value; therefore
short-term financial liabilities are stated in the balance sheet in their redemption value. To calculate
the amortised cost of long-term financial liabilities, they are initially recognised at the fair value of
the consideration received (less transaction costs), calculating interest charges on the liability in
subsequent periods using the effective interest rate method.
Financial liabilities are recognised as current, when their settlement is due within twelve months
after the balance sheet date; or the Company does not have an unconditional right to defer payment
for later than 12 months after the balance sheet date. Borrowings with the due date within 12 months
after the balance sheet date but which are refinanced as non-current after the balance sheet date but
before the financial statements are authorised for issue are recognised current. Borrowings that the
creditor has the right to recall due to violation of loan covenants are also recognised as current.
Provisions and contingent liabilities
Provisions are potential commitments, which have arisen as a result of events occurred before the
balance sheet date, and whose timing or amounts of settlement are not known. Provisions are
recognised based on the management’s estimates regarding the amount and timing of the expected
outflows. A provision is recognised in the balance sheet in the amount which according to
management is necessary as at the balance sheet date for the meeting of the obligation arising from
the provision or transfer to the third party.
Other potential or existing commitments whose settlement is less probable than non-settlement or
whose accompanying costs cannot be measured with sufficient reliability are disclosed in the notes
to the financial statements as contingent liabilities.
Government grants
Government grants are recognised under the gross method.
Li
Government grants are recognised as income over the periods necessary to match them with the
related costs, which they are intended to compensate. Government grants received to compensate the
operating expenses of the previous period or where there are no additional conditions attached to
grants to be addressed in the future, are accounted for as income when the grant is received.
Government grants are not recognised as income before there is reasonable assurance that the entity
will comply with all attached conditions and the grant will be received. Potential liabilities related to
government grants are recognised as provisions or as contingent liabilities.
Government grants relating to operating expenses
Government grants received for covering operating expenses are accounted for using the principle of
matching income and expenses. The income from government grants is recognised in the statement
of income and expenses proportionately with the related expenses. The Group uses the gross method
57
1
1
ç
)(
2010 Consolidate Annual Report
(Translation ofthe Estonian Original)
for recognition of government grants, i.e. the grant received and the expenses to be compensated for
are reported in separate lines in the statement of income and expenses.
Grants received for acquisition ofproperty, plant and equipment
Public sector entities whose main goal is not to earn income for their owners will recognise grants
for acquire non-current assets at the date of acquisition of the non-current assets.
The accrual date for the grant is the date of acquisition of property, plant and equipment under the
accrual basis outlined in the application (in case of works subject to capitalisation, the final date of
the period of the works subject to capitalisation).
When the grant has been received but the conditions attached to it have not been met yet, the funds
received are recognised in the balance sheet as accrued income related to the government grant.
When the costs have been incurred and the payment request has been approved, but payment has not
been received yet, the grant is recognised as income and a receivable.
Non-monetary government wants
Non-monetary government grants are reported at the fair value of the asset received. When the fair
value of the asset received cannot be determined reliably, no accounting entries are made with regard
to assets.
Foreign currency transactions and assets and liabilities denominated in a foreign currency.
All other currencies except for the Estonian kroon (i.e. presentation currency of the Group) are
considered as foreign currencies. Foreign currency transactions are recorded based on the foreign
currency exchange rates of the Bank of Estonia prevailing at the dates of the transactions. Monetary
assets and liabilities denominated in foreign currencies (receivables and loans payable in cash) are
translated into Estonian kroons on the basis of official exchange rates of the Bank of Estonia
prevailing at the balance sheet date. Profits and losses from foreign currency transactions are
recognised in the income statement as income or expenses of that period.
Non-monetary assets and liabilities denominated in foreign currencies that are measured at fair value
(investment property recognised at fair value biological asses short and long term financial
investments in shares and other equity instruments which fair value can be determined reliably) are
translated into the functional currency using the official exchange rates of the Bank of Estonia hich
prevail at the date of determining fair value Non monetary assets and liabilities which are not
measured at fair value (e g prepayments, inventories reported under the cost method property, plant
and equipment as well as intangible assets) in a foreign currency are not revalued but continue to be
reported using the official exchange rate of the Bank of Estonia prevailing at the date of the initial
transaction
Revenue recognition
3
—
—
Revenue from the sale of goods is measured at the fair value of the consideration received or
receivable taking into account the amount of any trade discounts and volume rebates granted
Revenue from the sale of goods is recognised when all significant risks and rewards of ownership of
the goods are transferred to the buyer, when the amount of revenue and the costs incurred in respect
of the transaction can be measured reliably and it is probable that the economic benefits associated
with the transaction will flow to the Group. Revenue from rendering of services is recorded upon
lUlL
58
2010 Consolidate Annual Report
(Translation of the Estonian Original)
rendering of the service or when services are performed over a longer period of time, based
on the
stage of completion.
Revenue includes government grants for operating expenses from the state budget, grants
received
and revenue from ordinary activities. It also includes grants for specific purposes from the
state
budget.
Revenue from ordinary activities includes educational services for a charge, revenue
from
continuing education, and contractual revenue from the sale of knowledge services. Revenue
from
rendering of services is recorded upon rendering of the service or when services are performed
over
a longer period of time, based on the stage of completion.
Revenue arising from interest is recognised when the receipt of revenue is probable and
the amount
of the revenue can be measured reliably. Interest income is recognised using the effective
interest
rate of the asset.
Events after the balance sheet date
Material matters that have an effect on the evaluation of assets and liabilities and that
became
evident between the balance sheet date of 31 December 2009 and the date of preparing the financial
statements but that are related to transactions in the reporting period or earlier periods, are
recorded
in the financial statements.
Events after the balance sheet date that have not been taken into consideration while
evaluating
assets and liabilities but that have a significant effect on the results of the next financial
year have
been disclosed in the notes to the financial statements.
Note 2 Subsequent events
On 1 January 2011, the Republic of Estonia joined the euro area and adopted the euro
as a national
currency, replacing the Estonian kroon. Consequently, the functional currency of TUT
concern is the
euro from 2011 and the annual reports for 2011 and subsequent years to be submitted
to the
Commercial Register will be presented in euros. Comparative figures will be translated
to euros
using the conversion rate of EUR I EEK 15.6466, which is the fixed exchange
rate that was
applicable also in the earlier periods.
Note 3 Cash and bank
Cash
Bank accounts
Term deposits
Cash and bank
31.12.2010
37,789
31,211,805
51,211,513
82,461,107
31.12.2009
109,842
53,605,989
211,825,171
265,541,002
The interest rate on deposits in 2010 was 1,5% (2009.a. 3,71%).
p
I I
41. C & i
-
1111111 1 Ii [ N N I
N
I. kOOL..
59
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Note 4 Trade receivables
Trade receivables
Accounts receivables
Allowance for doubtful receivables
Total trade receivables
31.12.2010
1 7,468,358
-1,216,783
Doubtful receivables
Doubtful receivables at beginning of the period
Collection of doubtful receivables
Amounts expensed as doubtful during the period
Amounts expensed as irrecoverable during the period
Doubtful receivables at end of the period
31.12.2010
Note 5
16,251,575
-1,583,797
237,044
-414,762
544,732
-1,216,783
31.12.2009
13,800,593
-1,583,797
12,216,796
31.12,2009
-228,901
63,575
-1,673,331
254,860
-1,583,797
Other short-term receivables
Other short-term receivables include short-term receivables from employees (2010: EEK 1,083,912
and 2009 EEK: 1,120,253), warranty deposits (2010: EEK 625,864 and 2009: EEK 0) and
uncollected receivables from grants.
Government grants not received
Estonian Information Technology Foundation
Foundation for Lifelong Learning Development
‘Innove’
Enterprise Estonia
Environmental Investment Centre
Estonian Agricultural Registers and Information
Board
Tartu University
Archimedes foundation
Estonian Science Foundation
Estonian Ministry of Interior
Estonian Ministry of Education and Research
Ministry of the Environment of the Republic of
Estonia
Other domestic financiers
Foreign government grants
Total
31.12.2010
2,383,192
31.12.2009
1,892,524
1,723,049
4,401,743
301,331
2,475,858
28,753,966
784,617
1,404,840
3,304,215
76,698,798
2,221,242
337,261
2,059,636
0
1,459,426
39,003,171
3,398,793
0
0
985,987
1,118,292
30,299,299
127,238,885
775,162
538,776
26,547,728
105,630,021
jr
Ku v/
ii’! C
60
Note 6
Tax
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Taxes
Value added tax
Personal income tax
Social security tax
Fringe benefit income tax
Fringe benefit social security tax
Unemployment insurance premium
Contribution to mandatory funded
pension
Corporate income tax
Land tax
Sales tax
Balance of prepayment account
Total
31.12.2010
prepayment tax liability
0
1,452,720
0
14,901,470
0
25,266,725
0
180,266
0
259,555
0
2,676,437
0
0
0
0
1,592,641
1,592,641
508,463
8,349
0
72
0
45,254,057
31.12.2009
prepayment tax liability
0
2,530,417
0
12,752,689
0
23,764,180
0
189,113
0
296,986
0
2,535,786
0
0
0
0
843,272
843,272
203,202
12,188
166,821
0
0
42,451,382
Note 7 Shares in associates
OU Eliko Tehnoloogia
Arenduskeskus
Estonia
OU IMECC
Estonia
2009
Ownership % at end of the year
Holding in associate’s equity at end of the year
Carrying amount of holding at end of the year
35
43 250
43 250
21.05
299 767
299 767
2010
Ownership % at end of the year
Holding in associate’s equity at end of the year
Carrying amount of holding at end of the year
35
61 657
61 657
2 1,05
582 205
582 205
Location
Note 8 Long-term receivables
The contract to set the right of superficies for the benefit of Albu rural municipality
on a registered
immovable in Albu rural municipality is recognized as a long-term receivable.
The right of superficies is set for the next 25 years, with the annual fee of
ELK 40,000. The
receivable is discounted with the rate of 6%.
Pursuant to the contract, as at 31.12.2009, the superficiary undertakes to reconstruct
the building
according to the project which concern has transferred to the superficiary.
At 12.06.2009, an agreement was concluded for amending the contract regarding
the setting of
the right of superficies. pursuant to which the reconstruction date was extended until 31.12.2012
and the fee for the right of superficies for the period 01.06.2009 01.06.2012
was fixed at EEK
20.000.
—
H M.
11 (
11111
lII
61
I
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Note 9 Intangible assets
Software licenses
Other intangible
assets
Total
Balance as at 31.12.2008
Cost
Accumulated amortisation
Net book amount
27,479,810
-13,384,345
14,095,465
6,704,700
-838,087
5,866,613
34,184,510
-14,222,432
19,962,078
Changes occurred in 2009
Additions
Write-off
Amortisation charge
4,967,955
-177,228
-4,609,661
0
0
-1,536,494
4,967,955
-177,228
-6,146,155
Balance as at 31.12.2009
Cost
Accumulated amortisation
Net book amount
30,947,299
-16,670,768
14,276,531
6,704,700
-2,374,581
4,330,119
37,651,999
-19,045,349
18,606,650
Changes occurred in 2010
Additions
Write-off
Amortisation charge
2,574,007
-94,267
-4,584,746
0
0
-1,676,175
2,574,007
-94,267
-6,260,921
28,295,669
-16,124,145
12,171,524
6,704,700
-4,050,756
2,653,944
35,000,369
-20,174,901
14,825,468
Balance as at 31.12.2010
Cost
Accumulated amortisation
Net book amount
On 26.05 .2008, Tallinn University of Technology concluded a merger agreement for the merging of
AS Audentes International University Audentes with Tallinn University of Technology on June 30,
2008. In accordance with the agreement, a total of EEK 10,000,000 was paid to AS Audentes, of
which library supplies totalled EEK 3,295,300 and the lists of the students of Audentes in the
amount of EEK 6,704,700 were accounted for as intangible assets. The list of students transferred
from Audentes consists of 1,313 active students. The student lists will be amortised over a period of
4 years (period during which the students currently studying at Audentes will graduate).
Amortisation is calculated on a straight-line basis.
:Ise 1tud nut
t
w pc
‘
4
..
Balance as at 31.12.2010
Cost
Accumulated depreciation
Net book amount
Changes occurred in 2010
Acquisitions and improvements in reporting period
Reclassification
Sales and write-offs
Depreciation charge
Balance as at 31.12.2009
Cost
Accumulated depreciation
Net book amount
Changes occurred in 2009
Acquisitions and improvements in reporting period
Reclassification
Received from other institutions
Sales and write-offs
Depreciation charge
Land
1,438,692,989
-257,738.553
1,180,954,436
-985,107
-64,543,392
0
0
82,178,985
0
82,178,985
78,630,410
12.369.987
1,354,637,632
-195,503,718
1,159,133,914
172,934,129
325.721.3l7
0
-168,998
-55,837,958
855,135,952
-138.650,528
716,485,424
Buildings
0
0
82,178,985
0
82,178,985
0
0
0
0
0
82,178,985
0
82,178,985
Property, plant and equipment
Balance as at 31.12.2008
Cost
Accumulated depreciation
Net book amount
Note 10
lH1I
373,417,692
-215.904,882
157,512,810
-47,600,379
-697,051
31,045,498
0
351,252,202
-175.142,967
176,109,235
46.844,760
836,178
75.000
-3.714,794
-45,264,011
312,333,096
-135,000,994
177,332,102
Machinery and
euuipment
62
190,696,419
-126,906.899
63,789,520
-23,364,431
-708,581
15,177,625
0
198,548,884
-123,830.015
74,718,869
41.407.408
0
0
-674,001
-22,453,991
171,564,641
-I 15,125.188
56,439,453
Other property,
plant and
equinment
80,477,487
0
80,477,487
0
-107,309
2.097,710
0
78,487,086
0
78,487,086
3,855,799
0
0
-190,983
-63,631
74,885,901
0
74,885,901
Book funds
1
41,628,449
0
41,628,449
0
0
40,514,721
-12.369.987
c
f2- ‘“-
13,483,715
0
13,483,715
0
-34,000
0
-325.72l.3l7
0
339,239,032
0
339,239,032
LC11
0
0
0
0
0
0
0
0
0
0
0
-836,178
0
0
0
836,178
0
836,178
Construction in
procress Prepayments
2,207,092,021
-600.550.334
1,606,541,687
-135.508,202
-2,498,048
167.465,964
0
2,078,588,504
-494,476.700
1,584,1 11,804
265,042.096
0
75.000
-4,782,776
-123,619,591
1,839,040,019
-391.642,944
1,447,397,075
Total
2010 Consolidate Annual Report
(Translation of the Estonian Original)
11111
63
1111111
lHl
N
2010 Consolidate Annual Report
(Translation of the Estonian Original)
N
Additional information on assets pledged as collateral for borrowings is disclosed in Notes 11 and
12.
Additional information on non-current assets leased under finance lease terms is disclosed in Note
12.
The line Depreciation” in the balance sheet includes depreciation as well as expenses related to the
write-off of non-current assets.
Note 11 Borrowings
3 1.12.2010
Loan balance
Incl. noncurrent portion
Inci. current
portion
Maturity
Interest rate
16 000 000
10 000 000
6 000 000
2013
205 909 256
198 555 354
7 353 902
2038
Long-term loan (SEB)
79 797 660
79 797 660
0
2019
Euribor +
0,9%
Euribor ±
0,3%
Euribor +
1,5%
Long-term loan (SEB)
25 166 262
326 873 178
23 799 073
312 152 087
1 367 189
14 721 091
2015
Euribor +
0,7%
Long-term loan (SEB)
Long-term loan (Nordea)
31.12.2009
Loan balance
md. noncurrent portion
current
portion
md.
Maturity
Financing (Nordea)
40,681,160
0
40,681,160
2010
Long-term loan (SEB)
22,000,000
16,000,000
6,000,000
2013
Long-term loan (Nordea)
Long-term loan (Mm. of
Finance)
213,263,158
205,909,256
7,353,902
2038
79,797,660
79,797,660
0
2019
Long-term loan (SEB)
26,541,311
382,283,289
25,171,499
326,878,415
1,369,812
55,404,874
2015
Interest rate
Euribor +
3,5%
Euribor +
0,9%
Euribor +
0,3%
Euribor +
3,5%
Euribor
0,7%
-4-
The loans are denominated in Estonian kroons or Euros.
At 31.01.2008, a loan contract was concluded with Nordea Bank Finland Plc for funding the ongoing
construction of buildings in the amount of EUR 14,100,000, with the due date of 20.12.2038. The
loan has been taken out in full amount in 2010.
At 18.12.2008, a loan contract was concluded with Nordea Bank Finland Plc with the loan limit of
EUR 9,600,000 for funding the investment projects outlined in the plan of investments included in
Directive no. 247 of the Government of the Republic of 30.05.2008. During 2009, EUR 2,600,000 of
this loan was taken out which was paid off in full at 06.01.2010, therefore, the loan is accounted for
as short-term loan. The loan contract was amended at 05.03.2010 to lower the contract amount to
EUR 8,000,000 and this was divided into two parts, of which EUR 1,000,000 is meant for covering
the costs of investment projects and upon the payment of which, a new limit can be set. The due date
of the loan in the amount of EUR 7,000,000 is 31.12.2011. As at 31.12.2010 the loan had not been
taken out.
11111
1111111
llll
\
L
64
\ \
2010 Consolidate Annual Report
(Translation of the Estonian Original)
K \1 1
At 09.11.2009, a loan contract was concluded with the Ministry of Finance for funding the
investment programme in the amount of EUR 5,100,000. The due date of the loan is 01 .09.2019. The
loan was refinanced with a loan contract with the same terms and conditions, but with lower interest
margin. The loan to Ministry on Finance was repaid in full amount on 05.11.2010.’
At 19.06.2008, an overdraft contract was entered into with SEB Bank with the limit of EUR
3,195,582. The amount is used as needed. The contract is in effect until 31.12.2013, the interest rate
is I -monht EURIBOR + 0.55% p.a.
The loan contracts are unsecured.
At 23.09.2005, the loan limit of the loan agreement with MTCJ TUT UliOpilaskula was EUR
1,790,648, with a mortgage on the right of superficies as collateral with the value of EEK
40,000,000 at Raja 4d.
Note 12 Finance lease
Tallinn University of Technology and its institutions lease the following assets under the finance
lease terms:
31.12.2010
Cost
Accumulated depreciation
Depreciation charge in 2010
Net book amount
Buildings
76,925,312
18,308,445
3,209,486
58,616,867
3 1.12.2009
Cost
Accumulated depreciation
Depreciation charge in 2009
Net book amount
Buildings
76,925,312
15.432,484
3,209,486
61,492,828
Finance lease liability
md.
with maturity
lncl. up to I
year
2-5 years
over 5 years
Interest rate
Payments made in
financial year
Interest expense of financial year
Equipment
4,108.051
1,232,415
821,610
2,875,636
Computers
430,011
347,032
107,503
82,979
Total
81,033,363
19,540,860
4,031,096
61,492,503
Equipment
6,741,174
1,507,942
674,117
5,233,232
Total
84,096,497
17,287,458
3,991,106
66,809,039
31.12.2010
41.233,653
31.12.2009
51,002.368
9,765,670
31,467,983
0
9,768,715
41,233,653
0
2010.a.
2,3-10%
2009.a.
3,7-7%
9,768,715
1,801,339
10,139,820
2,686,992
All finance lease liabilities are denominated in Estonian kroons or Euros.
The assets acquired under lease agreements have been pledged as collateral for finance lease.
___________
___________
_
65
1111111
I.
2010 Consolidate Annual Report
(Translation of the Estonian Original)
KAL I
Note 13 Operating lease
Passenger cars
2010
2009
Operating lease payments made
during the period
Current portion of operating lease
payments under non-cancellable
rental agreements
Inch up to 1 year
1-5 years
Security
equipment
2010
2009
Office equipment
2010
2009
764,029
887,406
95,701
100,540
0
102,734
1,658,481
666,760
991,721
1,383,031
610,115
772,916
79,047
32,541
46,506
174,748
95,701
79,047
0
0
0
0
0
0
The rental expenses of premises are related to the contract of the right of superficies (see Note 20)
Note 14 Deferred income
Prepayments made by financiers on the basis of research and
development agreements
Funds received through government grants
Funds received for study allowance
Prepayment for training service
Other prepayments
Total
2010
2009
604,152
763,338
88,658,498
72,1 18,946
0
1 2,196,001
309,501
85,228,600
2,974,715
12,600,264
573,969
105,570,784
Funds received through government grants
Estonian Ministry of Education and Research
Estonian Science Foundation
Estonian Information Technology Foundation
Archimedes foundation
Ministry of Defence of the Republic of Estonia
Environmental Investment Centre
Ministry of Economic Affairs and Communications of
the Republic of Estonia
Ministry of Social Affairs
Other domestic financiers
Foreign government grants
Total
31.12.2010
2,617,950
6,220,480
376,184
14,193,395
2,432,334
395,540
31.12.2009
0
4,721,084
468,380
13,975,103
864,981
91,145
0
380,000
129,190
45,373,873
72,118,946
116,521
0
208,645
68,212,639
88,658,498
i
,
______________________
lfl
1111111
ilill
66
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Note 15 Operating income
2010
Revenue from ordinary activities
Revenue from state budget
Transfers for study costs
Grants for research topics
Base-line funding
Grants for infrastructure development
Assignments
Other allocations from state budget
Other income
Revenue from government grants (See Note 16)
Other income (rental income, resold utilities expenses,
office services, disposal of non-current assets)
Total
Note 16 Revenue from government grants
Government grants received
Estonian Ministry of Education and Research
Estonian Science Foundation
Estonian Information Technology Foundation
Tiger Leap foundation
Foundation for Lifelong Learning Development
lnnove’
Archimedes foundation
Ministry of Defence of the Republic of Estonia
Ministry of Economic Affairs and Communications of
the Republic of Estonia
Enterprise Estonia
Ministry of Agriculture of the Republic of Estonia
Environmental Investment Centre
Estonian Agricultural Registers and Information
Ministry of the Interior Affairs of the Republic of
Estonia
Tallinn City Enterprise Board
Tartu University
Tallinn University
Tallinn Education Department
The State Chancellery
Ministry of Culture of the Republic of Estonia
Ministry of the Environment of the Republic of Estonia
Other domestic financiers
Foreign financiers
Total
Grants received for acquisition of property. plant and
equipment
Estonian Information Technology Foundation
Archimedes foundation
514,160,712
328,673,723
86,476,700
25,622,300
25,100,200
36,343,479
11,944,310
314,563,346
277,500,659
2009
215,242,275
546,218,594
350,396,543
89,280,576
27,525,984
25,933,647
44,027,319
9,054,525
318,331,373
256,628,727
37,062,687
1,051,080,355
61,702,646
1,079,792,242
222,356,297
2010
2009
28,487,956
13,156,216
6,616,535
271,145
10,209,587
9,129,037
5,280,856
0
4,268,437
75,134,928
4,237,876
3,011,714
40,671,855
7,402,903
32,681
7,550,782
0
1,798,756
4,026,240
1,742,153
13,685,200
865,000
3,864,484
0
337,261
30,000
6,946,589
41,782
200,000
0
8,000
985,485
2,046,965
64,071,127
0
35,000
3,048,614
0
0
350,000
365,000
775,162
1,210,826
23,806,289
220,248,761
125,453,680
2010
106 366
54 128 797
2009
737 642
82 780 279
U
67
Estonian Ministry of Education and Research
Ministry of Defence of the Republic of Estonia
Enterprise Estonia
Environmental Investment Centre
Tartu University
Estonian Academy of Sciences
Other domestic financiers
Foreign financiers
Total
Non-monetary government grants
Other domestic financiers
Total
Total revenue from government grants
2010 Consolidate Annual Report
(Translation of the Estonian Original)
461
41
-125
94
2 326
417
667
588
487
864
0
65 000
152 888
18 625
544
24 906
1 564
1 088
76
57
720
57 251 898
155
606
125
078
011
328
181
642
131 100 047
2010
0
0
277,500,659
2009
75,000
75,000
256,628,727
Note 17 Operating expenses
Maintenance expenses of registered
immovables
Acquisition of inferior assets
Subcontracting services
Transport costs
Business travel
Advertising costs
Membership fees
Office expenses
Representation costs
Personnel training
Other expenses
Total
2010
2009
71,392,887
12,195,763
85,861,378
6,062,383
27,988,695
9,196,406
1,816,206
18,955,857
5,615,290
1,973,449
19,246,344
78,216,752
14,385,481
48,275,814
5,249,503
25,781.246
7,567,679
1,908,793
19,607,454
4,603,906
1,953,686
45,890,855
260,304,658
253,441,169
Other expenses also include value-added tax related to the acquisition of non-current assets.
Note 18 Scholarships and study allowances
2010
Student allowances
Scholarships
Student loan write-offs
46,842,865
32,269,336
1,432,727
Total
80,544,928
2009
48,370,440
26,279,863
1,512,563
76,162,866
.1/
(C/?
!Ult
68
2010 Consolidate Annual Report
(Translation of the Estonian Original)
K
Note 19 Interest income and expenses
Interest expenses
Interest income
2010
2009
-7,482,704
-10,892,122
1,354,683
5,653,087
Loan and lease interest is accounted for as interest expenses.
Interest income includes interest from term deposits in the amount of EEK 1,339,939 (2009: EEK
3,508,055) and the interest used for discounting a long-term receivable in the amount of EEK 14.744
(2009: EEK 2.145,032).
Note 20 Establishment of the right of superficies
On 29.07.2004, TUT set the right of superficies for 24 years for the benefit of AS Tehnopolis
Kinnisvara on the registered immovable at Akadeemia Road 15. According to the contract, the
superficiary undertakes to renovate the building during 9 months and lease it to TUT.
On 12.05.20 10 the contract on the rights of superficies was changed, according to which TUT
became the sole owner ot the Loodusteaduste Maja and repaid the EEK 76,540,000 spent for repairs
by AS Tehnipolis Kinnisvara.
In 2010, TUT made lease payments to AS Tehnopolis Kinnisvara in the amount of EEK 2,882,691
(2009: EEK 6,918,458).
In 2010, the fee for the right of superficies amounted to EEK 1,042,156 (2008: EEK 1,100,000).
Note 21 Off-balance sheet assets
The off-balance sheet assets of concern total between EEK 3,000 and EEK 30.000. As at
3 1 .12.2010, the off-balance sheet assets totalled EEK 131,956,122 (31 .12.2009: EEK 123,635,507).
Note 22 Related party transactions
In compiling the annual report of the concern, the following entities have been considered as related
parties:
a.
associates;
b.
management and supervisory boards (supervisory board, director of administration and
finance);
c.
close relatives of the persons mentioned above and the companies related to them.
The following transactions occurred between the Group and abovementioned related parties:
Purchases
2010
00 Eliko Tehnoloogia
Arenduskeskus
00 IMECC
484,099
608,333
1,092,432
Sales
2009
2010
2009
228,715
19,558
366,667 251,005
595,382 270,563
537,176
0
537,176
________________________
___________
___________
__
2010 Consolidate Annual Report
(Translation of the Estonian Original)
69
1111111
Ill
I
\
k
Balances with the related
parties
31.12.2010
31.12.2009
Short-term receivables
OC IMECC
61,206
0
Short-term payables
OU Eliko Tehnoloogia
Arenduskeskus
54.959
0
No write-downs were performed with regard to receivables from related parties in 2009 and 2008.
The following transactions have been concluded with institutions related to members of
administration and board of TUT:
Non-profit organisations
Foundations
Self-employed entrepreneurs
Companies
Non-profit organisations
Foundations
Companies
Additions
2010
2009
774,789
2,375,279
1,262,577
965,641
0
73,500
2,532,282
1,648,792
4,569,648
5,063,212
Receivables
31.12.2010
31.12.2009
0
4,885
2,483,616
1,942,423
130,267
169,751
2,613,883
2,117,059
Sales, grants
2010
0
6,525,071
0
1,788,160
8,313,231
2009
59,117
6,028,413
0
2,955,218
9,042,748
Liabilities
31.12.2010
31.12.2009
167,248
32,700
314,961
272,490
328,349
8,580
810,558
313,770
In 2010. the remuneration of the management totalled EEK 4,223,506 mcI. additional remuneration
of EEK 262,000 (2009: EEK 4,155,109, mcI. additional remuneration of EEK 550,060). In relation
to the ending of management contract on 31.08.2010, additional compensation in the amount of EEK
2,464,823 (mcI. accrued vacation compensation) was paid for the termination of employment
contract.
With reference to the procedure for applying for a free semester, additional benefits of EEK 480,000
was paid out to the previous management in 2010.
Pursuant to the statutes of TUT, the regulations for the arrangement of the work of the Rector, the
following liabilities relate to the termination of the employment contracts with management:
1) Upon the expiration of the employment contract with the Rector (31.08.2015), he receives
compensation totalling up to 6-month remuneration. In addition, the Rector is entitled to 12 months
leave from work with the preservation of his main remuneration as a rector if he continues in an
academic position.
2) Upon the termination of the employment contract (3 1.08.2015), Science Prorector is paid
remuneration totalling up to their 6-month remuneration. In addition, the pro-rector is entitled to 6
months leave from work with the preservation of his main remuneration as a pro-rector if he
continues in an academic position.
3) Upon the termination of the employment contract (31.08.2015), Study Prorector is paid
remuneration totalling up to their 5,5-month remuneration. In addition, the pro-rector is entitled to 6
70
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Ik\
months leave from work with the preservation of his main remuneration as a pro-rector if he
continues in an academic position.
4) Upon the termination of the employment contract (31 .08.2015), Finance Director is paid
remuneration totalling up to their 5 month remuneration. If the contract is terminated before
31.08.2015, the remuneration is paid out proportionally to the employed time, but not less than 3
months’ salary,
5) Contracts with administration directors are without a term, termination of contract does not bring
any financial liabilities.
Note 23 Potential liabilities arising from the tax audit
The tax authorities have the right to verify the concem tax records up to 6 years from the time of
submitting the tax declaration and upon finding errors, impose additional taxes, interest and fines.
The management estimates that there are not any circumstances which may lead the tax authorities
to impose additional significant taxes on the institution.
d
K
HA
1111111
\ N \
FNK\LL k.)(11,
71
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Note 24 Unconsolidated financial statements
The financial information regarding the consolidating unit includes the primary separate financial
statements of the consolidating unit (balance sheet, statement of revenue and expenses, statement of
cash flows and statement of changes in net assets), the disclosure of which is required by the
Accounting Act of Estonia. The primary financial statements of the parent company have been
prepared using the same principles which have been used in the preparation of the consolidated
financial statements, except for investments in subsidiaries which are reported at cost.
Unconsolidated balance sheet
31.12.2010
31.12.2009
76,387,669
258,027,354
15,751,212
1,409,718
128,987,125
13,828,217
159,976,272
11,163,575
827,757
106,960,890
6,372,775
125,324,997
1,958
542,389
798,362
1,342,709
237,706,650
1,958
626,401
813,979
1,442,338
384,794,689
40,000
643,862
473,584
181,300
1,338,746
40,000
343,017
478,680
68,800
930,497
ASSETS
L
CURRENT ASSETS
Cash and bank
Short-term financial investments
Receivables and prepayments
Trade receivables
Prepaid taxes
Other short-term receivables
Prepayment for services
Total
Inventories
Raw materials and materials
Finished goods
Goods held for sale
Total
TOTAL CURRENT ASSETS
NON-CURRENT ASSETS
Long-term financial investments
Shares of subsidiaries
Shares of associates
Long-term receivables
Other shares, bonds and notes
Total
Property, plant and equipment
Land
Buildings
Machinery and equipment
Other property, plant and equipment
Construction-in-progress and prepayments
Total
Intangible assets
Patents, licenses and other intangible assets
Total
TOTAL NON-CURRENT ASSETS
82,178,985
1,130,583,872
157,302,166
139,523.105
41,628.449
1,551,216,577
82,178,985
1,105,702,974
175,821,778
147,358,908
13,483,715
1,524,546,360
14,507,952
14,507,952
1,567,063,275
18,175,538
18,175,538
1,543,652,395
TOTAL ASSETS
1,804,769,925
1,928,447,084
1111111
N N
72
2010 Consolidate Annual Report
(Translation of the Estonian Original)
LIABILITIES AND NET ASSETS
LIABILITIES
CURRENT LIABILITIES
Borrowings
31.12.2010
31.12.2009
Current portion of long-term bank loans
Current portion of long-term lease liabilities
Total
Payables and prepayments
Supplier payables
Payables to employees
Tax liabilities
Other liabilities
Prepayments received
Total
Other deferred income
TOTAL CURRENT LIABILITIES
NON-CURRENT LIABILITIES
Long-term borrowings
Bank loans
Long-term lease liabilities
Total
TOTAL NON-CURRENT LIABILITIES
TOTAL LIABILITIES
13,353,902
7,486,471
20,840,373
54,035,062
7,489,516
61,524,578
15,331,241
24,488,882
44,541,136
4,003,263
2,848,477
91,212,999
84,919,099
196,972,471
13,707,293
48,417,953
41,394,434
10,450,278
2,815,693
116,785,651
104,996,815
283,307,044
288,353,014
7,346,317
295,699,331
295,699,331
492,671,802
301,706,916
14,832,788
316,539,704
316,539,704
599,846,748
1,328,600,336
-16,502,213
1,312,098,123
1,804,769,925
1,272,950,790
55,649,546
1,328,600,336
1,928,447,084
NET ASSETS
Accumulated surplus/deficit
Net surplus/deficit for financial year
TOTAL NET ASSETS
TOTAL LIABILITIES AND NET ASSETS
JI
/Ci)
1111111
73
I\
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Unconsolidated statement of revenue and expenses
REVENUE FROM OPERATIONS
Revenue from ordinary activities
Government grants for operating expenses from state
budget
Other income
Total revenue from operations
OPERATING EXPENSES
Other operating expenses
Scholarships, travel benefits
Personnel expenses
Inch Personnel expenses
Social security costs
Unemployment insurance premium
2010
2009
187,558,692
1 83,340,823
514,160,712
324,411,768
1,026,131,172
325,564,589
1,055,124,006
266,269,956
78,156,598
404,520,272
131,726,173
546,218,594
261,712,360
72,961,966
395,901,341
128,514,659
3,839,298
5,541,590
541, 788,035
146,658,649
5,070,360
1,037,943,598
528,255,298
129,251,399
5,426,438
997,607,461
SURPLUSIDEFICIT FROM OPERATIONS
-11,812,426
57,516,545
Financial income and expenses
Financial income and expenses from associates
Interest expenses
Currency translation differences
Other financial income and expenses
Total financial income and expenses
300,845
-5,142,037
-162,375
313,780
-4,689,787
169,179
-3,536,436
-471,766
1,972,024
-1,866,999
-16,502,213
55,649,546
Total personnel expenses
Depreciation and impairment losses
Other expenses
Total other operating expenses
Net surplus/deficit for the financial year
ftA.
41/ cc ac 1,1
lfli
liIIII
74
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Unconsolidated cash flow statement
2010
2009
-11,812,426
57,516,545
144,066,335
2,597,409
125,110,482
4,554,046
-34,651 ,275
99,629
121,414,232
153,590
-45,650,366
-6,390,660
48,258,646
-8,304,038
-8,933,321
291,511,536
Cash flows from investing activities
Purchase of property. plant and equipment, and
intangible assets
Proceeds from sale of non-current assets
lnterestreceived
Investments in subsidiaries and associates
Fines and surcharges received
Total cash flows from investing activities
-169,661,281
0
-112,500
1,248,623
313,780
-168,211,378
-265,705,807
300,000
-61.800
5,396.885
1,972,025
-258,098,698
Cash flows from financing activities
Grants of non-current assets
Repayments of loans received
Repayments of finance lease principal
Total cash flows from financing activities
79,797,660
-133,832,722
-7,489,516
-61,524,578
140,819,400
-13,353,902
-7,860,621
119,604,877
Total cash flows
-181,477,310
153,017,715
Cash and cash equivalents at beginning of the
period
Net increase/decrease in cash and bank
Currency translation differences
Cash and cash equivalents at end of the period
258,027,354
-181,477,310
-162,375
76,387,669
105,481,405
153,017,715
-471,766
258,027,354
Cash flows from ordinary activities
Surplus/deficit from operations
Adjustments:
Depreciation and impairment losses
Gain from sales and write-off of non-current assets
Change in receivables and prepayments related to
ordinary activities
Change in inventories
Change in liabilities and prepayments related to
ordinary activities
Interest paid
Total cash flows from operating activities
Cs
AIl
1111111
11111
75
2010 Consolidate Annual Report
(Translation of the Estonian Original)
Unconsolidated statement of changes in net assets
Net
surplus/deficit
Accumulated
for the
surplus/deficit financial year
Total
980,258,864
292,691,927 1,272,950,790
Balance as at 31.12.2008
Book value of holdings under
controlling and significant influence
Book value of holdings under
controlling and significant influence
under equity method
Adjusted unconsolidated net assets at 31.12.2008
Transfer of the net surplus/deficit for
2008
292,691,927
Net surplus/deficit for 2009
0
Balance as at 31.12.2009
1,272,950,790
Book value of holdings under
controlling and significant influence
Book value of holdings under
controlling and significant influence
under equity method
Adjusted unconsolidated net assets at 31.12.2009
Transfer of the net surplus/deficit for
2009
55,649,546
Net surplus/deficit for 2010
0
Balance as at 31.12.2010
1,328,600,336
Book value of holdings under
controlling and significant influence
Book value of holdings under
controlling and significant influence
under equity method
Adjusted unconsolidated net assets at 31.12.2010
40,000
7,236,261
1,280,227,051
-292,691,927
0
55,649,546
55,649,546
55,649,546 1,328,600,336
40,000
7,589,544
1,336,229,880
-55,649,546
0
-16,502,213
-16,502,213
-16,502,213 1,312,098,123
40,000
6,549,428
1,318,687,551
H- A1
ci., i’i
pwc
INDEPENDENT AUDITOR’S REPORT
(Translation of the Estonian original)’
To the Board of Tallinn University of Technology
We have audited the accompanying consolidated financial statements of Tallinn University of
Technology and its subsidiaries, which comprise the consolidated balance sheet as of
31 December 2010 and the consolidated statement of revenue and expenses, statement of changes
in
net assets and cash flow statement for the year then ended, and a summary of significant accounting
policies and other explanatory information.
Management Board’s Responsibility for the Consolidated Financial Statements
Management Board is responsible for the preparation, and true and fair presentation of these
consolidated financial statements in accordance with accounting principles generally accepted in
Estonia, and for such internal control as the Management Board determines is necessary to enable the
preparation of consolidated financial statements that are free from material misstatement, whether
due to fraud or error.
Auditor’s Responsibility
Our responsibility is to express an opinion on these consolidated financial statements based on our
audit. We conducted our audit in accordance with International Standards on Auditing. Those
standards require that we comply with ethical requirements and plan and perform the audit to obtain
reasonable assurance about whether the consolidated financial statements are free from material
misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures
in the consolidated financial statements. The procedures selected depend on the auditor’s judgment,
including the assessment of the risks of material misstatement of the consolidated financial
statements, whether due to fraud or error. In making those risk assessments, the auditor considers
internal control relevant to the entity’s preparation, and true and fair presentation of the consolidated
financial statements in order to design audit procedures that are appropriate in the circumstances, but
not for the purpose of expressing an opinion on the effectiveness of the entity’s internal control. An
audit also includes evaluating the appropriateness of accounting policies used and the reasonableness
of accounting estimates made by management, as well as evaluating the overall presentation of the
consolidated financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for
our audit opinion.
AS PricewaterhouseCoopers, Pärnu mnt 15,10141 Tallinn, Estonia; Audit Company’s Registration No.6
T: +372 614 i8oo, F: +372 6141900, WWW.pWC.ee
pwc
Opinion
In our opinion, the consolidated financial statements give a true and fair view of the financial position
of Tallinn University of Technology and its subsidiaries as of 31 December 2010, and of their financial
performance and cash flows for the year then ended in accordance with accounting principles generally
accepted in Estonia.
AS PricewaterhouseCoopers
/signed/
/signed/
Tiit Raimla
Auditor’s Certificate No.287
Laile Kaasik
Auditor’s Certificate No.511
ii
May 2011
This version of our report is a translation from the original, which was prepared in Estonian. All
possible care has been taken to ensure that the translation is an accurate representation of the
original. However, in all matters of interpretation of information, views or opinions, the original
language version of our report takes precedence over this translation.
2 (2)
lllfl
111,111
77
2010 Consolidate Annual Report
(Translation ofthe Estonian Original)
Management Board’s confirmation of the consolidated financial statements 2010
The signing TUT consolidated 2010 annual report on the 11th of May, 2011.
Rector
Andres Keevallik
Finance Director
Ardo Kamratov
Chief Accountant
Ulle POder