notes to the Consolidated Financial Statements (cont’d) (iv) Short-term employee benefits (v) Termination benefits income tax revenue recognition 65 AnnuAl RepoRt 2011 The Company offers various marketing programs to customers and consumers including volume rebates, cooperative advertising and  various other trade marketing programs, and consumer discount coupons. Marketing programs to customers and consumers  including volume rebates, cooperative advertising and other trade marketing programs that reduce sales are all customer specific  programs to target consumers to purchase High Liner product at the Company’s customers. Consequently, sales are recorded net of  these estimated sales and marketing costs, which are recognized as incurred at the time of sale. Coupon redemption costs are  recognized when coupons are issued as a reduction to sales. Certain customers require the payment of one-time listing allowances  (slotting fees) in order to obtain space for a new product on its shelves. These fees are recognized as reductions of revenue at the  earlier of the date the fees are paid in cash or on which a liability to the customer is created (usually on shipment of the new product).  All other non-customer specific marketing costs (general advertising, etc.) are expensed as incurred as selling, general and  administrative expense. The Company recognizes sales in income when the risks and rewards of the underlying products have been substantially transferred  to the customer, usually on delivery of the goods. The Company experiences very few product returns and collectability of its invoices  is consistently high.  A deferred tax asset is recognized for unused tax losses, tax credits and deductible temporary differences, to the extent that it is  probable that future taxable profits will be available against which they can be utilized. Deferred tax assets are reviewed at each  reporting date and are reduced to the extent that it is no longer probable that the related tax benefit will be realized. Deferred tax is recognized in respect of temporary differences between the carrying amounts of assets and liabilities for financial  reporting purposes and the amounts used for taxation purposes. Deferred tax is not recognized for the following temporary  differences: the initial recognition of assets or liabilities in a transaction that is not a business combination and that affects neither  accounting nor taxable profit or loss; and differences relating to investments in subsidiaries and jointly controlled entities to the  extent that it is probable that they will not reverse in the foreseeable future and the timing of the reversal of the temporary  differences can be controlled. In addition, deferred tax is not recognized for taxable temporary differences arising on the initial  recognition of goodwill, which is not deductible for tax purposes. Deferred tax assets and liabilities are measured at the tax rates that  are expected to apply in the year when the asset is realized or the liability is settled, based on tax rates and tax laws that have been  enacted or substantively enacted at the reporting date. Current tax assets and liabilities are offset if there is a legally enforceable right  to offset current tax liabilities and assets, and they relate to income taxes levied by the same tax authority on the same taxable entity,  or on different tax entities, but they intend to settle current tax liabilities and assets on a net basis or their tax assets and liabilities  will be realized simultaneously.  Current tax is the expected tax payable or receivable on the taxable income or loss for the year, using tax rates enacted or  substantively enacted at the reporting date, and any adjustment to tax payable in respect of previous years. Income tax expense comprises current and deferred tax. Current tax and deferred tax are recognized in profit or loss except to the  extent that it relates to a business combination, or items recognized directly in equity or in other comprehensive income. Termination benefits are recognized as an expense when the Company is committed demonstrably, without realistic possibility of  withdrawal, to a formal detailed plan to either terminate employment before the normal retirement date, or to provide termination  benefits as a result of an offer made to encourage voluntary redundancy. Termination benefits for voluntary redundancies are  recognized as an expense if the Company has made an offer of voluntary redundancy, it is probable that the offer will be accepted,  and the number of acceptances can be estimated reliably. If benefits are payable more than 12 months after the reporting period, then  they are discounted to their present value. A liability is recognized for the amount expected to be paid under short-term cash bonus or profit sharing plans if the Company has a present legal or constructive obligation to pay this amount as a result of past service provided by the employee, and the obligation  can be estimated reliably. Short-term employee benefit obligations are measured on an undiscounted basis and are expensed as the related service is provided.