5 Operating expenses by nature

	2016	2017
January to June, CHF 1,000
Material costs	82,790	87,783
Personnel costs	85,827	92,143
Depreciation of property, plant and equipment	3,406	3,403
Amortization of intangible assets	6,795	8,310
Other operating costs (net)	32,228	38,026

Total operating costs incurred (gross)	211,046	229,665

Capitalization of development costs in position inventories	(1,326)	(500)
Capitalization of development costs in position intangible assets	(2,199)	(5,439)

Total operating expenses, according to statement of profit or loss	207,521	223,726

As a result of the legal integration of a subsidiary in the previous year, the Group recognized a plan curtailment. The positive past

service costs in the amount of CHF 1.4 million are included in the personnel costs of 2016.