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Deutsche bahn group
Pending approval by the responsible cartel authorities the transaction is expected to close at the end of
August 2010. If the authorities sanction the acquisition, Arriva shares will be delisted from trading and
Arriva will become a wholly owned subsidiary of DB UK Holding Limited, London /Great Britain.
In addition to Great Britain, Arriva operates train and bus routes in eleven other European
countries, including Germany. The company recorded revenues of about GBP 3.15 billion in 2009 and
has about 42,300 employees.
ECONOMIC ENVIRONMENT
The global economy has continued to recover. Global production figures are anticipated to have risen
sharply in the first half of 2010 according to the Kiel Institute for the World Economy (Institut for Weltwirtschaft;
IfW) indicator for global economic activity. The economies of the developing and emerging
countries, in particular, are posting strong growth while production in the industrialized nations has
also rebounded significantly. However, the economic upswing is being driven not lastly by increased
restocking of inventories and the positive effects of expansive monetary and fiscal policies in place in
many countries.
The economic recovery in the USA continued in the first half of 2010 and was supported by rising
inventory levels, personal consumption, and capital expenditures for plant and equipment. The pace of
recovery noted in the Asian region has accelerated. Overall economic production has risen sharply in
Japan. In addition to already strongly expanded exports, especially in neighboring Asian countries,
consumer spending also increased substantially. During the first half of 2010 the Chinese economy
once again posted notable growth rates due to the government’s extensive economic stimulus program
and strong foreign demand for Chinese goods.
The European economy grew moderately in the first half of 2010, especially in Western Europe. The
slight expansion in the Eurozone was mainly driven by firms restocking their inventories. Economic
development in the new EU member countries continues to be markedly different from the rest of the EU,
even though production expanded further in most countries. The economic situation in Poland remains
particularly encouraging, due primarily to the favorable influence of the country’s fiscal and monetary
policies. The gross domestic product (GDP) figure in the Eastern Europe region remained above the EU
average. The Russian economy rebounded strongly due mainly to higher oil prices.
The German economy continued to recover in the first half of 2010. Economic growth was mainly
driven by foreign trade. GDP growth in Germany was also assisted by the restocking of inventories,
government spending programs and a slight rise in investments for plant and equipment. In contrast,
lower consumer spending and reduced construction activity due to severe winter weather hindered
economic growth.
The relevant economic environment for passenger transport in Germany provided only very minor
support during the first half of 2010. The situation in the labor market remained very robust as in 2009.
The number of employed persons remained slightly below the previous year’s level. The labor market
was stabilized by short-time working hours, which also continued to dampen the increase in the number
of unemployed persons. Disposable income rose slightly in real terms, while consumer spending declined.
Fuel prices rose sharply due to higher oil prices.