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financial statements 2014

23. Provisions

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The breakdown of the balance under this heading in the accompanying consolidated balance sheets, based on type of provisions, is as follows:

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Millions of Euros
Provisions. Breakdown by concepts 2014 2013 2012
Provisions for pensions and similar obligations 5,970 5,512 5,777
Provisions for taxes and other legal contingencies 262 208 406
Provisions for contingent risks and commitments 381 346 322
Other provisions (*) 831 787 1,329
Total 7,444 6,853 7,834
(*) Provisions or contingencies that, individually, are not significant.

The changes in the heading “Provisions for contingent risks and commitments” in the accompanying consolidated balance sheets are presented in Note 7.3.8. together with the changes in impairment losses of other financial instruments.

The change in provisions for pensions and similar obligations for the years ended December 31, 2014, 2013 and 2012 is as follows:

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Provisions for Pensions and Similar Obligations.
Changes Over the Period
Notes Millions of Euros
2014 2013 2012
Balance at the beginning
5,512 5,777 5,577
Add -



Charges to income for the year
1,004 605 683
Interest expenses and similar charges 36.2 172 199 257
Personnel expenses 43.1 58 70 54
Provision expenses
774 336 373
Charges to equity (*) 24.2 497 12 462
Transfers and other changes
75 (65) 19
Less -



Benefit payments
(854) (817) (813)
Employer contributions
(264) - (151)
Balance at the end
5,970 5,512 5,777
(*) Correspond to actuarial losses (gains) arising from certain defined-benefit post-employment pension commitments and other similar benefits recognized in "Equity" (see Note 2.2.12). Excel Download Excel
Provisions for Taxes, Legal Contingents and Other Provisions.
Changes Over the Period
Millions of Euros
2014 2013 2012
Balance at beginning 995 1,735 1,628
Add -


Charge to income for the year 387 344 245
Acquisition of subsidiaries - - 678
Transfers and other changes - - -
Less -


Available funds (75) (148) (90)
Amount used and other variations (214) (880) (720)
Disposal of subsidiaries - (56) (6)
Balance at the end 1,093 995 1,735
Ongoing legal proceedings and litigation

Several entities of the Group are party to legal actions in a number of jurisdictions (including, among others, Spain, Mexico and the United States) arising in the ordinary course of business. According to the procedural status of these proceedings and the criteria of the legal counsel, BBVA considers that none of such actions is material, individually or in the aggregate, and none is expected to result in a material adverse effect on the Group's financial position, results of operations or liquidity, either individually or in the aggregate. The Group´s Management believes that adequate provisions have been made in respect of such legal proceedings and considers that the possible contingencies that may arise from such on-going lawsuits are not significant enough to require disclosure to the markets.

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