100 % FUTURE - ALNO

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Kitchens manufactured by the ALNO Group are primarily sold in Germany to furniture and specialist
kitchen wholesalers/retailers, as well as self-service and cash-and-carry markets, which are predominantly
organized into purchasing associations. Around 84 of kitchen furniture is sold via such
purchasing associations. Due to these market structures, the ALNO Group depends on a limited
number of customers. The default risk of individual large customers, however, is met by commercial
credit insurance or the del credere liability of the central claims settling agencies.
The maximum default risk is expressed by the carrying amounts of the financial assets recognized
in the balance sheet.
An overview of the default risk for unimpaired financial assets, and changes in specific valuation
allowances, is presented under item D.6. “Trade accounts receivable”.
5. LIQUIDITY RISKS
Liquidity risk refers to the risk that the Group might encounter difficulties with the contractual settlement
of its financial liabilities.
ALNO AG acts as financial coordinator for all Group companies so as to ensure the most advantageous
and permanently adequate cover of financing needs for business operations. The necessary
information potential is updated monthly, and is subjected to a divergence analysis within the
framework of rolling financial planning with a one-year planning horizon.
This financial forecast is supplemented by daily cash flow development forecast for the domestic
companies that is continuously reconciled with actual cash flows. The foreign companies are
updated monthly. ALNO AG continuously monitors the liquidity reserves on hand.
The intra-Group financial equalization carried out in Germany within the framework of cash pooling,
which takes into consideration statutory regulations from the subsidiaries’ perspective, leads
to a reduction in the volume of external financing with a positive effect on the Group’s net interest
result. The internal financial equalization ensures the use of liquidity surpluses of individual Group
companies for the internal financing of other Group companies. Cash pooling is managed on a
manual basis.
Receivables of Wellmann KG in a value of up to EUR 26,000 thousand, and of Impuls and pino in
a value of up to a total of EUR 20,000 thousand were also assigned in the past as part of factoring
agreements, in order to expand the requisite scope for liquidity maneuver for the ALNO Group. As
the result of the introduction of reverse factoring in 2007, payment target extensions to suppliers
were realized with a financing effect of up to EUR 3,600 thousand.
The contractually agreed interest and redemption payments of financial liabilities are presented in the
following table. All liabilities outstanding as of the balance sheet date, and for which payments were
contractually agreed, are included. Budget figures for future new liabilities are not included. Amounts
denominated in foreign currencies were in each case translated at the closing rate. The variable
interest payments were calculated on the basis of the last interest rates fixed before the balance
sheet date. Financial liabilities repayable on demand are always assigned to the earliest time frame.