|Other provisions||31 December 2017||31 December 2016|
|Total other provisions||497||367|
|Movement in other provisions in the year ended 31 December 2017||Beginning of the period||Increase||Utilization||Reversal||Change in the composition of the Group||Other changes||End of the period|
|Provision for restructuring expenses||252||61||(222)||(28)||-||-||63|
|Provision for disputed claims and potential liabilities||11||16||(7)||(1)||56||7||82|
|Provision for penalties imposed by the Office of Competition and Consumer Protection 1)||58||-||-||(1)||-||-||57|
|Provision for the costs of closing the Graphtalk project||6||-||-||-||-||-||6|
|Provisions for guarantees and sureties given||18||76||-||(48)||214||-||260|
|Provision for PTE PZU’s reimbursement of undue fees to the Social Insurance Institution||9||-||-||-||-||-||9|
|Total other provisions||367||179||(233)||(81)||294||(29)||497|
|Movement in other provisions in the year ended 31 December 2016||Beginning of the period||Increase||Utilization||Reversal||Change in the composition of the Group||End of the period|
|Provision for restructuring expenses||3||200||(6)||-||55||252|
|Provision for disputed claims and potential liabilities||4||3||(1)||-||5||11|
|Provision for penalties imposed by the Office of Competition and Consumer Protection 1)||58||-||-||-||-||58|
|Provision for the costs of closing the Graphtalk project||6||-||-||-||-||6|
|Provisions for guarantees and sureties given||5||19||-||(16)||10||18|
|Provision for PTE PZU’s reimbursement of undue fees to the Social Insurance Institution||9||-||-||-||-||9|
|Total other provisions||108||229||(15)||(25)||70||367|
1) The main component of the “Provision for penalties imposed by the Office of Competition and Consumer Protection” is explained in section 47.2.
Provisions for guarantees and sureties given
This item includes provisions recognized by banks for the potential loss of economic benefits resulting from off-balance sheet exposures (e.g. granted guarantees or credit exposures).
Provision for restructuring expenses
The item includes mainly a restructuring provision recognized by Alior Bank, earmarked for the payment of statutory severance pay in connection with group layoffs and for the so-called “additional compensation” arising out of an agreement concluded with trade unions and a provision for the branch network restructuring costs and the abandonment of the branches that are located too close to franchise outlets (the provision covers the costs of compensation and costs related to the physical departure from the branch and restoration to its original condition). As at 31 December 2017, the amount of the provision was PLN 39 million (PLN 250 million as at 31 December 2016).
The remaining part of the balance (PLN 24 million) is related to the restructuring process conducted in PZU i PZU Życie. Additional information on this matter is presented in item 50.3.