Personnel costs

31. Personnel costs

Personnel costs consist of the following:

(in thousands of Euros)

2007

2006

Salaries and wages

885,692

809,982

Stock option costs

1,513

6,069

Social security costs

196,806

185,600

Leaving indemnity and similar costs (*)

25,671

38,185

Defined contribution pension fund costs

19,608

8,296

Defined benefit pension fund costs

(3,444)

2,589

Defined benefit medical care plan costs

1,373

1,535

Long-service bonus costs

1,235

560

Defined contribution medical care plan costs

20,507

17,534

Other costs

7,209

5,421

1,156,170

1,075,771

* includes Italian and foreign companies

With regard to the amounts relating to employees’ leaving indemnity, pension funds and medical care defined benefit plans, reference should be made to “Employee benefit obligations” (Note 23).

“Leaving indemnity and similar costs” include a positive amount of Euros 5,186 thousand relating to the curtailment of the provision for employees’ severance indemnity which is explained in Note 23 – “Employee benefit obligations”.