Growth picks up further speed: Hilti at a glance Corporate culture ...

Annual Report
2006
Growth picks up further speed: Hilti at a glance
Corporate culture: the journey continues
The marathon breaker hammer
New faces at the top: meet the Executive Board

Page 2
Contents
4 “We create enthusiastic customers ...”
The complete Mission Statement
5 “. . . and build a better future”
Social and ecological responsibility
6 Hilti in 2006: Growth picks up further speed
14 Corporate culture: the journey continues
16 Strategy: the three Cs continue
16 Processes: a complete makeover
17 Research and development: platforms for efficiency
18 Supply chain: logistics keeps pace with growth
19 Ecology: environment-friendly construction and waste
disposal
20 A breaker hammer runs a marathon –
for the environment as well
26 “The difference is immediately apparent,” says a customer
29 Always the latest technology
29 Customer satisfaction: constantly high
32 News for building professionals
39 Social responsibility: Codes of Conduct for
employees as well as for partners and suppliers
40 Social responsibility: sharing success with others
41 Social responsibility: committed to the next generation
42 The Executive Board
44 The Board of Directors
6 The Hilti Group is growing
under its own steam
and created 1395 new
jobs worldwide in 2006.
40 Hilti employees
are committed to
a vocational
training center.
20 This breaker hammer,
a durable top performer,
also protects its user’s
health. How is that possible?
Hilti in brief
Hilti provides leading-edge
technology to the global
construction industry. Hilti products,
systems and services offer
the construction professional innovative
solutions with outstanding
added value. The headquarters
of the Hilti Group are in
Schaan in the Principality of
Liechtenstein.
Some 18,000 employees, in more
than 120 countries around the
world, enthuse their customers
while building a better future. The
corporate culture is founded on
integrity, courage, teamwork and
commitment.
Hilti excels through outstanding
innovation, top quality, direct
customer relations and effective
marketing. Two-thirds of the employees
work directly for the customer
in sales organizations and
in engineering. Hilti has its own
production plants as well as research
and development centers
in Europe and Asia.
Founded in 1941, the worldwide
Hilti Group evolved from a small
family company. Since 2000, the
Martin Hilti Family Trust holds
all shares and, since 2003, about
99 percent of the participation
certificates of Hilti Corporation.
This safeguards the further development
of the company founder
Martin Hilti’s life’s work in the
long term.
Hilti upholds a clear value orientation
and pursues a policy of
stakeholder value. Integrating the
interests of all the company’s
partners – customers, suppliers
and staff – into its strategy and actively
honoring its social and ecological
responsibility creates the
foundation of trust that makes
possible the long-term success of
the company.

‘‘
The fact that our sales turnover
surpassed four billion
Swiss francs for the first time in
2006 is due not only to the excellent
shape of the global economy.
The Hilti Group made further remarkable
progress this past year
in sales force development, and
we have thus been able to take advantage
of the ongoing economic
upturn as well as to continue to
improve our market penetration in
the future. Our company is expanding
under its own steam, in
line with our strategy of sustainable
profitable growth. Our operating
result of 422 million
Swiss francs represents 31 percent
growth in 2006, once again
ahead of sales turnover, which
itself posted a sound 13 percent
growth.
But 2006, a year of continued
double-digit growth, will also go
down in company annals as a time
of transition. At the foot of this
page, dear reader, you will notice
the signatures of three men:
Michael Hilti, who handed over the
Chair of the Board of Directors to
Pius Baschera on January 1, 2007,
and remains on the Board; Pius
Baschera, who has in his turn
handed over the job of Chief Exec-
Annual Report 2006
The duties
of growth
utive Officer to Bo Risberg; and
Bo Risberg himself, until December
31, 2006, a member of the Executive
Board and now responsible
for the entirety of our operations.
We announced our plans for a
changing of the guard already in
2005, including Egbert Appel’s
intended withdrawal from the Executive
Board and the fact that
Christoph Loos and Stefan Nöken,
both of our management, would be
joining that body. Corporate continuity,
the development of our culture
and our continuing success –
these are important to us. That is
why we are taking up the issue of
succession in good time, and ensuring
a smooth transition. We put
our new Executive Board in place
gradually throughout the second
half of 2006, and the new team
has already set its strategic agenda
into 2015.
As a business enterprise we share
responsibility for our society and
our environment, a duty that we believe
is indispensable to our corporate
well-being. After all, we will
not be able to continue on this
same successful path unless we in-
Michael Hilti Pius Baschera Bo Risberg
Page 3
For Pius Baschera,
Michael Hilti and
Bo Risberg (from left),
economic success
and sustainability
are of equal
importance.
tegrate social and ecological accountability
into our activities,
and thus strive to meet the needs
of all stakeholders. It is with this
in mind that we address purely
economic aspects alongside the issue
of sustainability in the Annual
Report 2006.
We would like to express our
thanks to all those who share
our comprehensive commitment,
and who have contributed to our
success: our staff and customers,
our partners and suppliers
’’
around the globe.

Page 4
We create
enthusiastic
customers . . .
At Hilti, the Mission Statement is the source of
each success and every activity. It appears word
for word here in the Annual Report.
Our purpose
We passionately create enthusiastic
customers and build a better
future!
Enthusiastic customers
We create success for our customers
by identifying their needs
and providing innovative and
value-adding solutions.
Build a better future
We foster a company climate in
which every team member is
valued and able to grow.
We develop win-win relationships
with our partners and suppliers.
We embrace our responsibility
towards society and environment.
We aim to achieve significant
and sustainable profitable growth,
thus securing our freedom of action.
We live our values
The foundation of our culture is
integrity, courage, teamwork and
commitment.
Our culture
We share a common purpose.
We take self-responsibility for the
development of the business, our
team and ourselves.
We encourage, coach and support
each other to achieve outstanding
results.
Our culture is a journey – Our Culture
Journey.
We accomplish our
purpose through people
We have excellent team members.
We expect high performance and
we offer high incentives.
We recruit and develop our people
based on their competencies, accomplishments
and potential.
We give them the chance to grow
with us as part of a team and to
develop a long-term career within
the Hilti Group.
We accomplish our
purpose through
our Champion 3C
Strategy
Customer: We want to be our customers’best
partner. Their requirements
drive our actions.
Competency: We are committed
to excellence in innovation, total
quality, direct customer relationships
and effective marketing.
Concentration: We focus on products
and markets where we can
achieve and sustain leadership
positions.
We accomplish our
purpose through global
processes
All of our activities are derived
from our strategic imperatives
“Product Leadership,” “Market
Reach” and “Operational Excellence.”
In order to continuously improve
customer satisfaction and productivity,
our approach is based on
the highest level of harmonization
and ongoing optimization of our
business processes.

Annual Report 2006
. . . and
build a better
future
Hilti employees follow the Mission Statement, along
with its call for social and ecological responsibility.
Fulfilling this duty is the only way for a company to
remain profitable over the long term.
Hilti tradition and corporate
culture testify to the company’s
highly developed sense of
responsibility. But that is not yet
enough to satisfy either the company
or its employees. Beginning
as early as 1998, all production
plants as well as the individual
business units, with Product Development,
were certified to the
ISO 14001 environmental standard.
In 2004 initial preparations were
made to apply the principle of sustainability
to additional units, to
further systematize it, and to make
it possible to quantify and manage
it over the long term.
Just as important as ecological
responsibility for sustainable corporate
success is the social dimension.
For Hilti, this social dimension
comprises two elements,
which it lives out as a “Great Place
to Work” and a “Great Citizen.”
Thus, on the one hand, the focus is
on the employees and their families.
“We are looking to hire the
best possible staff, train and develop
them, and keep them in our
employ,” says Egbert Appel, who
was a member of the Executive
Board until the end of 2006 and is
now a trustee, and thus a member,
of the Martin Hilti Family Trust.
“As a ‘Great Citizen,’ on the other
hand, we take a stand on matters
of general social concern,” Egbert
Appel continues. “The Martin
Hilti Family Trust, together with
the Hilti Group, is helping to build
a better future.” Read more about
Hilti as a “Great Place to Work”
and a “Great Citizen” on pages 14
and 39.
In spring of 2006 Hilti signed the
United Nations Global Compact
and thus committed itself to supporting
the initiative’s ten principles.
These set out core values in
the areas of environmental protection,
human rights, labor rights and
anti-corruption. In his then-capacity
as Chief Executive Officer, Pius
Baschera joined high-ranking representatives
of international engineering
and construction firms at
the 2004 Davos World Economic
Forum in signing a document
strongly condemning corruption.
Furthermore, as early as 2002,
Hilti developed its own “Code of
Conduct,” guidelines for employees
striving to uphold a global
standard. The Hilti code not only
satisfies legal provisions, it actually
exceeds them in many points.
Page 5
A further “Code of Conduct”
obliges Hilti suppliers, among
other things, to tolerate neither
corruption nor child labor, to guarantee
staff security, and to produce
and dispose of waste in an environment-friendly
fashion. For details
of these two “Codes of Conduct”
see page 39.
Hilti is currently introducing reporting
processes aimed at measuring
sustainability in all relevant
business units and establishing it
as a component of its management
system.

Page 6
The Hilti Group in 2006
Profitable
growth picks up
further speed
The Hilti Group used the general economic upturn in 2006 to further
accelerate its growth. 65 years after the company’s foundation, sales
turnover has exceeded the four-billion mark, increasing 13 percent
to reach 4.1 billion Swiss francs. The operating result, meanwhile, grew
31 percent to 422 million Swiss francs, outstripping turnover. The
Hilti Group thus further accelerated its profitable organic growth.
The global economy was firing
on all cylinders in 2006.
In order to take advantage of this
extraordinarily positive economic
environment and penetrate markets
even more decisively, Hilti
massively enhanced its sales capacities,
with new staff joining the
individual marketing organizations
throughout the year. In sales
alone, 1079 new employees signed
on, an increase of 8.6 percent.
Overall, Hilti created 1395 new
jobs last year. The average number
of employees in 2006 was
17,250 (2005: 16,050).
Parallel to this development, Hilti
also successfully launched new
products and services in 2006.
The enhancement of its sales network
and the introduction of additional
attractive product and
service offerings led to a 13 percent
boost in sales turnover in
2006, from 3,638 million to 4,118
million Swiss francs, or an increase
of 12 percent in local currencies.
The Hilti Group was thus
able to continue expanding and
anchoring its position on the market.
Double-digit growth rates in Swiss
francs were posted across all regions,
with North America, Latin
America and the Asia / Pacific
market regions increasing the
most. The European region with
its greater market penetration also
saw marked sales growth.
Contributing 65 percent of total
sales (2005: 66 percent), the Europe
/Africa market region retains
its lead. North America contributed
22 percent of total sales
(2005: 21 percent), Latin America
Europe /Africa North America
Latin America Asia /Pacific
The Hilti Group generates some
two-thirds of its turnover in Europe.
2 percent, as in 2005, and Asia/Pacific
also remained steady against
the previous year at 11 percent.
Sales growth January–December 2006 year on year:
Higher
operating result
The sharp rise in commodity
prices and accelerated increase in
costs due to development of sales
capacities negatively influenced
the operating result. However,
through continuous improvement
of processes and further internal
productivity-raising measures, the
Hilti Group was able to overcompensate
and thus achieve an overproportionate
increase in its operating
result. Growth of the Group
was further strengthened by the
positive currency effects produced
by the euro’s appreciation.
The overall consequence was an
operating result of 422 million
2006 2005 Difference Difference
in millions CHF in millions CHF in CHF (%) in local currency (%)
Europe /Africa 2,668 2,408 10.8 8.9
North America 906 764 18.6 17.2
Latin America 96 81 18.0 14.7
Asia /Pacific 448 385 16.3 16.8
Group 4,118 3,638 13.2 11.6

Swiss francs. This represents a 31
percent gain over the 322 million
Swiss francs posted in 2005. The
Hilti Group was thus able to further
accelerate the pace of its traditionally
profitable growth virtually
under its own steam.
Earnings before interest and taxes
(EBIT) climbed 21 percent in
2006 from 389 million to 471 million
Swiss francs. The positive
currency effects visible in the operating
result were partly neutralized
at EBIT level by the lower
USD valuation of customer receivables.
The EBIT margin, meanwhile,
increased to 11.4 percent
(2005: 10.7 percent).
At 344 million Swiss francs, net
income in 2006 exceeds the 284
million posted in 2005 by 21 percent.
On December 31, 2006, the equity
ratio stood at 57 percent as against
55 percent year on year.
Annual Report 2006
The Board of Directors proposes
to the General Meeting of Hilti
Corporation a dividend of 44.––
Swiss francs per participation certificate
for 2006.
2007 outlook
Assuming that the economy remains
as strong as it was in 2006,
the Hilti Group is set to continue
on its growth path in 2007. This
will include further expansion of
its sales capacities as well as
of its product and service range.
Having for the first time posted
sales turnover above the fourbillion
mark in 2006, the Hilti
Group aims to double this figure
by 2015.
The Hilti business model
Page 7
The people who work for Hilti and for Hilti customers do so in line with
their own Mission Statement: “We create enthusiastic customers and
build a better future.” – See the whole text on page 4.
When a company’s employees continue to develop, this means that
the company grows as well. This conviction forms the bedrock of the
Hilti Group’s well-developed corporate culture, as well as of its economic
success. – For more on people and corporate culture see
page 14.
Corporate strategy and processes are developed on the basis of
Mission Statement and corporate culture. The Hilti Group continues
to stand by its successful “Champion 3C Strategy” and in 2006 planned
its next strategic period to 2015, with growth, differentiation,
productivity and people the watchwords that will guide the Group
through 2007 and into the future. – For more on strategy see page 16.
In addition to increasing its efficiency, process-oriented work makes
Hilti a reliable partner for customers and suppliers both. Core processes
are those affecting marketing and sales (page 16), research and development
(page 17), the supply chain (pages 18–19) and Professional Services
(page 29). With the inauguration of the logistics center in Nendeln
in Liechtenstein, supply chain processes will see continued improvement
in 2007 – and customers will enjoy shorter delivery times.
Process orientation at work also means more energy for innovation. In
2006 Hilti spent 164 million Swiss francs on research and development,
or a gain of 9 percent over the 151 million spent in 2005. – For the 2006
key innovations see page 32. The ability to innovate also leads to differentiation
and added value in products and services, as set out, among
other things, in strategic planning for the coming years.
Mission Statement, corporate culture, strategy and processes all have a
common goal: surprising and enthusing customers. Hilti products and
services provide customers today with the things they will need tomorrow.
Hilti increased its customer satisfaction rate in 2006 by one point,
to score 82 on a scale of 0 to 100. – See more on page 29. Customer satisfaction
depends on the happiness of both employees and suppliers. –
See more on pages 15 and 17.
Surprising how much sustainability one breaker hammer can provide –
see more beginning on page 20. No matter how well it performs, it is only
by respecting customer health and providing workplace safety that a
Hilti product can contribute to the company’s economic success. The
Hilti Group traditionally takes its responsibility for society and the environment
seriously. It is currently introducing reporting processes aimed
at measuring sustainability in all relevant business units and establishing
it as a component of its management system. Long-term economic
success is reserved for companies guided by the principle of sustainability.

Page 8
Key statistics
Asia / Pacific
North America
Latin America
Europe /Africa
Net sales (CHF million) Operating result (CHF million)
2002 2003 2004 2005 2006
306
729
69
1,889
308
649
59
1,997
338
685
64
2,212
385
764
81
2,408
2,993 3,013 3,299 3,638 4,118
EBIT (CHF million)
448
906
96
2,668
2004 2005 2006
343 389 471
135 137 140 151 164
2002 2003 2004 2005 2006
223 235 276 322 422
Net income (CHF million)
2002 2003 2004 2005 2006
27 186 246 284 344
Research and
development expenditure (CHF million) Employees (average of year)
2002 2003 2004 2005 2006 2002 2003 2004 2005 2006
Asia / Pacific
North America
Latin America
Europe /Africa
1,690
2,275
680
9,945
1,685
2,282
547
10,126
1,750
2,354
498
10,518
1,739
2,502
554
11,255
1,765
2,725
600
12,160
14,590 14,640 15,120 16,050 17,250

Important Note
Annual Report 2006
The following pages contain extracts from the 2006 financial report of
the Hilti Group. Because these pages do not contain the full consolidated
financial statements, they do not present complete information about
the financial position, financial performance and cash flows of the Hilti
Group for 2006. Complete information, including the notes to the consolidated
financial statements referred to below, is contained in the 2006
financial report which will be available on the Group’s website
(www.hilti.com) from late March 2007.
Consolidated income statement (amounts in CHF million)
Net sales (29) 4,118.2 3,638.1
Other operating revenues 55.6 50.2
Total operating revenues 4,173.8 3,688.3
Change in inventory of components of work in progress and finished goods 48.5 31.5
Material costs (30) (1,304.0) (1,166.8)
Personnel expenses (31) (1,565.0) (1,388.3)
Depreciation and amortisation (32) (170.7) (164.1)
Other operating expenses (33) (760.8) (678.4)
Total operating expenses (3,752.0) (3,366.1)
Operating result 421.8 322.2
Share of profit /(loss) of equity-accounted associates and joint ventures (10) 0.8 0.9
Other revenues and expenses (net) (34) 48.6 66.1
Earnings before finance costs and income tax expense (EBIT) 471.2 389.2
Finance costs (35) (70.4) (67.7)
Net income before income tax expense 400.8 321.5
Income tax expense (36) (56.9) (37.7)
Net income 343.9 283.8
Net income is 100% attributable to equity holders of the parent. The
group has no minority interest.
The notes to the consolidated financial statements which immediately
follow the consolidated cash flow statement are an integral part of,
Page 9
The full 2006 consolidated financial statements which are included in
the 2006 financial report have been prepared in accordance with international
financial reporting standards (IFRS). The five-year summary
information in the charts on the previous page and in these extracts
which covers operating result, EBIT, net income, and equity is reported
in accordance with IFRS only from the 2004 year. The 2002 and 2003
information has not been restated from the prior basis of reporting
(Swiss GAAP FER).
Note
2006
2005
and should be read in conjunction with, the consolidated balance sheet,
the consolidated income statement, the consolidated statement
of recognized income and expense, and the consolidated cash flow
statement.

Page 10
Consolidated balance sheet of the Hilti Group as at December 31 (amounts in CHF million)
ASSETS
Intangible assets (7) 184.5 169.2
Property, plant and equipment (8) 704.4 651.9
Investment property (9) 5.9 6.2
Investments in associates and joint ventures (10) 6.0 5.2
Deferred income tax assets (11) 101.7 103.1
Other financial investments (12) 14.1 15.1
Trade and other receivables (14) 119.6 66.8
Derivative financial instruments (16) – –
Total non-current assets 1,136.2 1,017.5
Inventories (13) 560.2 473.3
Trade and other receivables (14) 992.2 843.6
Current income taxes receivable (26) 9.6 7.9
Accrued income and prepayments (15) 51.2 48.4
Derivative financial instruments (16) 5.9 –
Financial assets at fair value through profit or loss (17) 45.0 43.9
Cash and cash equivalents (18) 978.0 937.3
Assets classified as held for sale (19) 0.5 1.1
Total current assets 2,642.6 2,355.5
TOTAL ASSETS 3,778.8 3,373.0
The notes to the consolidated financial statements which immediately
follow the consolidated cash flow statement are an integral part of,
and should be read in conjunction with, the consolidated balance sheet,
Note
2006
2005
the consolidated income statement, the consolidated statement
of recognized income and expense, and the consolidated cash flow
statement.

EQUITY AND LIABILITIES
Equity (20) 2,158.9 1,853.8
Provisions (21) 138.6 125.7
Pension and termination benefit obligations (22) 108.3 154.8
Deferred income tax liabilities (11) 35.5 26.5
Bonds (23) 147.6 201.3
Long-term bank borrowings (24) 11.3 11.5
Trade and other payables (25) 13.1 12.1
Derivative financial instruments (16) 0.9 –
Total non-current liabilities 455.3 531.9
Provisions (21) 45.6 65.8
Trade and other payables (25) 272.5 237.1
Current income taxes payable (26) 100.6 92.2
Accrued liabilities and deferred income (27) 334.1 277.9
Bonds (23) 200.7 150.1
Short-term bank borrowings (28) 204.8 149.7
Derivative financial instruments (16) 6.3 14.5
Total current liabilities 1,164.6 987.3
Total liabilities 1,619.9 1,519.2
TOTAL EQUITY AND LIABILITIES 3,778.8 3,373.0
Equity comprises issued capital and reserves. These are 100% attributable
to equity holders of the parent. The group has no minority interest.
The notes to the consolidated financial statements which immediately
follow the consolidated cash flow statement are an integral part of,
Information on participation certificates (PCs) (CHF / no.)
Annual Report 2006
2006
(IFRS)
Consolidated net income per PC 135.7 112.0 96.9 73.2 10.7
Consolidated equity per PC 851.9 731.4 640.9 537.7 902.0
Dividend per PC 44.0 36.5 28.0 20.0 250.0
Issued and dividend-bearing PCs 774,400 774,400 774,400 774,400 774,400
Authorized PC capital (CHF million) 5 5 5 5 5
Note
2005
(IFRS)
2004
(IFRS)
2006
2003
Page 11
2005
and should be read in conjunction with, the consolidated balance sheet,
the consolidated income statement, the consolidated statement
of recognized income and expense, and the consolidated cash flow
statement.
2002

Page 12
Look into
my eyes

Underwater satisfaction: off
the coast of the Egyptian
city of Alexandria, the French underwater
archaeologist Franck
Goddio and his team have discovered
statues unseen for more than
two thousand years. Specialist
divers have brought to light the
Annual Report 2006
treasures of the ancient cities of
Canopus and Herakleion, including
monumental objects weighing
several tons. “Egypt’s Sunken
Treasures” were shown publicly
for the first time in Berlin in the
summer of 2006. The exhibition
of some 500 objects in the Martin-
Gropius-Bau attracted 450,000
visitors, making it one of Germany’s
most successful museum
shows. For more than ten years the
Hilti Foundation has been supporting
Franck Goddio’s excavations,
which shed new light on Egyptian
history.
Page 13

Page 14
Hilti aims to recruit the best possible employees, people who are prepared
to give their all and develop beyond what is actually required
of them. In return, Hilti, a “Great Place to Work,” offers them the
opportunity for a long-term career within the company. Their grasp
of the corporate culture affords them a basis for success – both
personal and corporate.
Corporate culture:
the journey continues
The pace of work at Hilti
makes it imperative to pause
for thought every now and then.
The employees are constantly
growing, both personally and professionally,
and the corporate culture
is constantly growing along
with them. They liken the experience
to a journey with periodic rest
stops, from which they emerge refreshed
and ready to proceed all
the more alertly. The journey, “Our
Culture Journey,” is never-ending.
At Hilti, these rest stops take the
form of so-called Team Camps, to
which teams retreat every 15 to 18
months. These interactive workshops
feature extremely candid discussions
of ways of living out the
Mission Statement in future, considerations
of obstacles to the effort
to go from “Good to Great,” and
ideas for the further promotion and
implementation of the company’s
four core values, integrity, courage,
teamwork and commitment.
The number of Hilti employees
who have visited Team Camp 1 increases
continuously, climbing
from 7,000 to 15,000 in the course
Values lived out in common, successes celebrated together: the management team of Hilti France meets for a planning session.
More than 90 percent of all staff have already attended Team Camp 1.
of 2006. In other words, around
90 percent of all staff have attended
their Team Camp. And not
a few of them, some 1,000 in all,
have already been through the next
phase, Team Camp 2, in 2006, actively
contributing to the several
days they spent in each other’s
company. Expenditure for these
workshops alone rose from 6.8
million Swiss francs in 2005 to
12.5 million Swiss francs, with a
concomitant rise in the number of
working days needed for the Team
Camps from some 16,000 in 2005
to 32,000 in 2006.

87 percent of all staff worldwide are proud to work for Hilti.
Hilti employees are all familiar
with the process: each
September they are asked for their
opinion in an anonymous survey.
In 2006, 92 percent took part. And
every year, around 87 percent say
they are proud to work for Hilti.
This pride is also reflected in the
numbers of those who remain with
Hilti over the long term, and who
plan and pursue their careers at the
company: for years now, this figure
has remained constant above
an already high 85 percent. In
2006, 87 percent stayed on, which
means a fluctuation rate of 13 percent.
It is only when new staff are properly
integrated that they can fully
realize their potential at Hilti.
Annual Report 2006
“I feel good here.
I want to stay”
Many of the employees who signed
on during the previous 24 months
are staying at Hilti, with their ranks
rising in 2006 from their long-time
stable level of around 80 percent
to almost 82 percent. The welldeveloped
– and developing – corporate
culture is surely a central
reason for this increase.
Another constantly high figure
also suggests that people sign on at
Hilti, and commit themselves to
Hilti customers, for the long term,
and that the company itself sets
great store by continuity: while
some 82 percent of vacant management
positions in 2005 were
filled with internal candidates, in
2006 this figure had dropped
slightly to 76 percent, a decline
that can be ascribed to the global
expansion of sales capacities. Nor
is this spirit evident in sales
turnover and results alone: the
average number of employees rose
once again in 2006, following a 5.9
Retention Rate Integration Success Rate
95%
85%
75%
65%
85.20%
81.30%
Page 15
percent increase in 2005, from
16,050 to 17,250, up 7.5 percent
over the previous year. In sales
alone, Hilti in 2006 saw 1079 new
employees come on board.
87.00% 86.70%
79.80%
81.60%
2004 2005 2006
It is only when new staff are properly integrated that they can realize
their potential at Hilti and plan their careers.

Page 16
Strategy
The three Cs continue
For Hilti staff, the three Cs are more than simply
a corporate credo: they form the strategic blueprint
for their activities. The Hilti Group has been
guided by its “Champion 3C Strategy” since
1996, and will continue to follow it in the future.
The customer comes first –
without exception. That is
why the first C stands for customer.
Hilti provides its customers
with unique competency – the
source of the second C. The products,
systems and services offered
to the customers are distinguished
by pathbreaking innovation and
total quality. The third C stands
for concentration on markets and
products where Hilti can achieve
and sustain leadership positions.
While staff worked toward their
immediate operational goals in
2006, the Hilti Group’s Executive
Board and Executive Management
Team were preparing for the next
strategic period, to stretch into
2015. They were aided in their
planning by experts from a range
When Hilti Española S.A.
switched over in May
2006, it meant that a total of 18
marketing organizations, including
the 11 largest, all eight Hilti
production plants and corporate
headquarters had begun to operate
of specialist areas and geographic
regions. They confirmed the fundamental
soundness of the “Champion
3C Strategy” with a series
of profound and comprehensive
analyses, and in view of future
development scenarios.
At the International Strategy Forum
in Davos, which brought
together some 150 members of
upper management from around
the world in November 2006, the
third phase of the corporate strategy
was inaugurated: Hilti will
continue on its growth path, profiling
itself even more distinctly by
means of its products and services,
increasing productivity further in
all areas while at the same time
making its employees and their
development its main priority. “We
with the new processes and the
new system. The second phase of
the rollout, which started in the
summer of 2006, is now reaching
the remaining marketing organizations
in Eastern Europe, Southern
Europe and South America.
are aware of the fact that we must
continue to learn, both as individuals
and as an organization, if we
are to be successful in an increasingly
competitive environment,”
said Bo Risberg in Davos, setting
the tone for his coming work
as Chief Executive Officer. “That
said, our core competency remains
the same as ever: providing innovative
solutions, developed with
the help of our practical expertise
and direct customer relations. This
will continue to form the basis of
our business model.”
Processes
A complete makeover
The largest internal project so far in the company’s
history, the introduction of globally
standardized processes and a corresponding
IT system, reached a milestone in May 2006.
The project aims to boost customer satisfaction
and employee efficiency.
“At the end of 2005, two-thirds
of the worldwide Hilti team had
switched over,” says Martin Petry,
the Hilti Group’s Chief Information
Officer, “while by late 2006
three-quarters of all Hilti staff were
using the new processes and the
new system.” By mid-2008, all
Hilti customers and staff will be
able to take advantage of the significant
benefits arising from the
processes and system.
Efficiency – for
the customer
“I was able to see with my own
eyes once more what makes our
company so successful, by stepping
into the shoes of a technical
salesperson: equipped with laptop
and handheld, no longer taking
manual notes after a customer
meeting but instead studiously
and diligently organizing
electronic customer data.”
Bruno Walt,
Head of Europe 2 Region,
April 2006
“Thanks to our standardized
processes and corresponding
system, the entire sales staff of
each marketing organization now
have the same information available.
That way, they always know
where every customer stands,
and what subjects they should
bring up with them.”
Kerim Can,
Global Process
Owner Market Reach,
June 2006
“When one of my customers
buys something at a Hilti Center,
I see it the next day on my laptop.
For me, the new technology
means more efficiency and less
stress.”
Christian Calenzani,
Technical Salesperson,
Hilti Italia S.p.A.,
July 2006
“When we are able to use the information
collected to offer our
customers comprehensive and
speedy service, it makes us just
as enthusiastic as them.”
Beat Ganz,
Customer Service,
Hilti (Schweiz) AG,
November 2006

Research and development
Craftspeople and construction
workers want highperformance
tools – preferably
powered with rechargeable batteries
for consistent mobility. The
lithium-ion batteries launched by
Hilti in 2006 specifically for the
building trade are the answer to
this wish. Hilti has developed both
battery technology and the corresponding
products, such as the
recharger, as a platform that can be
used for various tool types. “It is
becoming ever more imperative to
develop technological platforms,”
notes Matthias Gillner, Head of
Partnerships with suppliers
built on trust are a key success
factor. In 2006 Hilti had
itself rated by its suppliers for
the first time in an International
Supplier Opinion Survey. “We
are delighted with the result,”
says Stefan Nöken, previously
Head Supply Chain, since January
1, 2007, member of the Ex-
Annual Report 2006
Platforms for
efficiency
Business Area Electric Tools &
Accessories, “not only for reasons
of efficiency and cost, but also
because of an ever-expanding
range of products. In 2006 we actually
doubled our range of cordless
screwdrivers, from six models
to twelve.” According to Matthias
Gillner, the Hilti lithium-ion based
product portfolio will continue to
expand: “This technology will
make new applications possible.”
Expenditure on research and development
rose in 2006 by 9
percent, in absolute terms from
Success through partnership
ecutive Board. “It also shows us
where we still have room for improvement.”
The purchasing teams have
launched three global initiatives,
as well as numerous initiatives at
the individual team level, so as to
make collaboration with suppliers
work even more smoothly, and in-
151 million
Swiss francs to
164 million. Compared
to sales turnover, which has
increased sharply, expenditure
now stands at 4.0 percent (2005:
4.2 percent).
Read more about lithium-ion
technology and the new
products launched in 2006 on
page 33.
crease their already high level of
satisfaction. Studies show that
manufacturers that are held in
high esteem by their suppliers are
among the most successful companies.
Stefan Nöken puts it this way:
“Further strengthening our supplier
relations is our supply chain’s
way of contributing to sustainable
profitable growth.”
Page 17
One technology
for many different tools:
the lithium-ion based product
portfolio requiring one single
charger (far right) is expanding.
Hilti has devised a “Code of Conduct”
specially tailored for suppliers,
setting out behavioral
guidelines for dealings with staff,
society and the environment. For
more information see page 39.
You can find the whole “Code of
Conduct” at www.hilti.com

Page 18
Logistics keeps
pace with growth
In future Hilti aims to supply its customers even more promptly. The logistics center in Nendeln, in Liechtenstein, which will begin
operations in 2007, is the starting point for the distribution network.
From Liechtenstein to the
world: in 2007, Hilti will
open its new logistics center in
Nendeln in Liechtenstein. With
room for almost 30,000 palettes,
the center is the company’s largest
and most automated warehouse. It
is also more than simply a token
of constant growth: the logistics
center is the starting point for
the distribution network developed
for Hilti by experts and currently
being implemented. In future Hilti
aims to supply its customers around
the world even more promptly and
has set itself as a goal a delivery
turnaround of one day at most for
over 90 percent of orders. Alongside
improved processes, further
warehouses are being established
in North America and Eastern Europe.
This will cut down on customers’storage
and administration
requirements and make it possible
for them to work efficiently and
cost-effectively. In return, Hilti
will be able to use its new distribution
network to serve its customers
with greater flexibility and quicker
turnaround, and guarantee reliable
delivery even as it continues to
grow.

Environment-friendly construction
Working together with Liechtensteinische
Kraftwerke (LKW,
Liechtenstein power plants), Hilti
has installed the country’s largest
photovoltaic facility on the roof of
its new logistics center in Nendeln.
The modules supply around 40
percent of the solar energy produced
in Liechtenstein. In addition,
the logistics center and the
new office building that went up in
2006 on the grounds of Hilti head-
Environment-friendly
waste disposal
In European Union member
states, customers can return their
old Hilti tools free of charge to a
Hilti Center. Hilti disposes of waste
with the greatest possible respect
for the environment. The European
WEEE guidelines (Waste Electrical
and Electronic Equipment) call for
at least 70 percent of the weight of
each electrical or electronic device
to be recoverable in future; furthermore,
the reusable and recyclable
proportion of the device may not
make up less than 50 percent of its
weight. This is an ambitious goal,
considering that easily recyclable
metal components are being replaced
ever more commonly with
parts made of synthetic materials.
The tools are thus lighter, which
Annual Report 2006
quarters in Schaan use geothermal
energy for heating and cooling,
while the production facility in
Kaufering, in Germany, cools its
equipment and offices with well
water, which reduces energy use
and maintenance needs. Finally,
some 70 percent of the waste heat
produced by the ventilation systems
is recovered – which saves
on natural gas.
meets a key customer requirement
and is contributing significantly to a
healthier workplace. “Together with
our recycling partners, our suppliers
and the producers of synthetic
components, we are working on new
approaches to the recovery of synthetic
materials,” explains Remo
Kluser, who manages Repair Services
at Hilti headquarters along
with his team.
The team and external experts dismantled
the entire Hilti tool range
in order to determine what sort of
waste disposal each part requires.
Their analyses also serve to monitor
compliance with RoHS, the European
guideline on the restriction
of hazardous substances. “This
Liechtenstein’s largest photovoltaic facility has been installed
on the roof of the logistics center.
way, we’re also getting prepared
for the future,” says Remo Kluser,
who assumes that restrictions are
only bound to get stricter. “We’re
TE 705 TE 706-AVR
Quotas
Recycling and
reuse 68.2% 52.7%
Recovery 98.3% 92.0%
Disposal 1.7% 8.0%
Page 19
The Hilti TE 706-AVR breaker hammer – see page 20 for more details –
exceeds the European Union’s call for at least 70 percent of the entire
weight of a device to be made up of material that is reusable, recyclable
and recoverable, and for the recyclable and reusable proportion to be
higher than 50 percent.
getting ready for it now.” The findings
of the analyses are already being
used in the development of new
products.

Page 20

Annual Report 2006
A breaker hammer
runs a marathon –
for the environment
as well
Page 21
Who would have thought that a Hilti breaker hammer could do something
for the environment? The Hilti TE 706-AVR protects the health of its users,
saves on raw materials and boosts cost efficiency. In durability and performance
– as well as in its marathon for the environment – it more than
meets customer expectations, thus contributing its share to the economic
success of Hilti.

Page 22
Users who do not unnecessarily expend
physical force, but instead allow the
breaker hammer to work for them, proceed
with maximum efficiency and safety.
The Hilti TE 706-AVR breaker hammer has its center of gravity in its chisel shaft.
Just because something is big doesn’t mean it has to feel heavy.
Staying power makes
for cost efficiency
The Hilti TE 706-AVR breaker
hammer is a marathon runner with
true endurance – it just keeps on
running, twice as long as its predecessor,
according to trials. Such
reliability means less time is
wasted on equipment breakdown,
which in turn means that builders
need fewer tools: this is how
Hilti contributes to its customers’
cost efficiency. The long-distance
runner has equal talent in the
sprint. Its performance is extremely
high: when the Hilti
TE 706-AVR breaker hammer was
launched, no other tool of its kind
on the market demonstrated both
higher performance and increased
durability
Healthy workers,
thanks to shell concept
Conveyed to the hands and arms of
their users, the vibrations produced
by electrical tools produce stress
and exhaustion. And if the recommended
allowable daily dose of
such vibrations is exceeded (as regulated
by its very own set of guidelines
in the European Union), this
can over time prove damaging to
workers’health. With their long periods
of use and heavy vibrations,
breaker hammers can be particularly
problematic.
Now, with the Hilti TE 706-AVR
electropneumatic breaker hammer,

uilders can help keep their workers
comfortable and healthy. Using
innovative technology to reduce
vibration, Hilti is continuing a tradition
begun in 1997 with the
TE 905-AVR breaker hammer. The
tool’s Active Vibration Reduction
(AVR) system means that the Hilti
TE 706-AVR’s active components –
motor, gears and striking mechanism
– are not rigidly connected to
its passive components, which consist
of its shell, switch and grip. The
active components, attached as
they are by articulated arms, thus
“swim” in the direction of the
chisel shaft and transmit only restricted
vibrations to the exterior
shell. In addition, these vibrations
are absorbed by a spring, which
also keeps the active components
in the correct position for work.
The tool’s developers have made
the chisel shaft its center of gravity,
thus minimizing the cross accelerations
arising from operation of the
tool and further optimizing vibration
muffling. Measurements have
shown that AVR reduces vibration
of the Hilti TE 706 breaker hammer
by up to half, which puts the tool at
the top of its class.
Excessive contact pressure brings
the “swimming internal machinery”
to a standstill at the rubbermounted
grip, completely compressing
the vibration-absorbing
spring and reducing the muffling
effect. The spring, however, is de-
Annual Report 2006
signed precisely for such a “swimming”
state, to allow the tool to
achieve maximum performance.
Users thus work with maximum efficiency
and safety when they do
not unnecessarily expend physical
force, but instead allow the tool to
work for them. This means both
a reduction in long-term health
hazards and above-average performance,
reason enough for the
TE 706-AVR to win a prize for innovation
at an accident prevention
and health and safety fair held in
Bordeaux, France.
Reducing tiredness
in the arms
Just because something is big
doesn’t mean it has to feel heavy.
The TE 706-AVR breaker hammer
has its center of gravity in its chisel
shaft, so it requires very little
strength to hold it in a horizontal
position. And since its motor needs
less than normal headroom, the
electronics can be placed directly
above it, which also makes for optimal
weight distribution. The tool
can simply be turned around its
chisel shaft. With its smooth grips
and its shell, which can be held
anywhere, it can be used in any
number of positions, according to
the needs of the worker.
Thanks to its shell concept, the
tool’s active components, the heatproducing
motor, gears and striking
mechanism, do not come in
The end of a paradox
Page 23
While developing rotary, combi and breaker hammers, Hilti is constantly
resolving a contradiction. Users demand higher performance, greater
durability and top comfort at the same time. But comfort is in fact reduced
by higher performance and greater durability, which in theory mean a
heavier tool with greater volume, higher vibration, more contact pressure
and rugged chisel action. The TE 706-AVR breaker hammer and other
tools prove that Hilti is capable of resolving this paradox.
Sustainable development
Breaker hammer 7 kg weight class
Weight Excavation rate Durability
350%
300%
250%
200%
150%
100%
50%
0%
Vibration
100%
80%
60%
40%
20%
0%
1989
TP 400
1989
TP 400
1994
TE 704
1994
TE 704
1998
TE 705
1998
TE 705
2005
TE 706-AVR
2005
TE 706-AVR
Although the Hilti breaker hammers in the 7 kg weight class have gained
only insignificantly in weight over the past 16 years, their excavation rate
has risen a healthy 158 percent, while its durability has more than tripled,
representing a 318 percent increase. At the same time, Hilti development
engineers have been able to cut vibration to 36 percent of the original
value, a reduction of nearly two-thirds.

Page 24
contact with its passive component.
Thus, since the surface temperature
of the shell only rises insignificantly
above the ambient
temperature, the tool’s user can
touch and hold it anywhere apart
from the chisel.
Nor must ergonomic construction
forsake beauty: the Hilti TE 706-
AVR breaker hammer has won the
“red dot design award” from the
Design Zentrum Nordrhein West-
falen, a distinction much sought
after by designers.
Two chambers
save on nerves
Woe betide you if dust gets in the
gears! Mixed with oil, it produces
a sort of grinding compound that
strips the teeth off pinions and
gearwheels in no time. That’s
why the Hilti TE 706-AVR breaker
hammer has two lubrication chambers:
dirty oil remains in the striking
mechanism, where it is prevented
from getting into the
lubrication chamber for the gearing.
This means that repairs are
less probable – and there is less
need for spare parts.
Modules save money
The Hilti TE 706-AVR breaker
hammer’s striking mechanism is
the only component that is exposed
to increased wear and tear caused
by dust and dirt. Thanks to modular
construction, however, a defect
on an element of the striking mechanism
subject to wear and tear remains
isolated and cannot cause
any greater damage. This helps
keep repair time to a minimum –
and keeps costs down. And the
Hilti Lifetime Service already
saves builders and craftspeople
money, with repairs during the first
year or two following purchase of
a Hilti tool free of charge, and re-
pair costs in the subsequent period
capped at 25 to 40 percent of the
new tool’s list price.
Carbon brushes are
a thing of the past
The construction method of the
Hilti TE 706-AVR breaker hammer’s
motor makes carbon brushes
superfluous, which in turn means
no replacements, and thus less
equipment downtime. And thanks
to robust, low-wear-and-tear ma-
chinery, service intervals are longer
and maintenance is more costeffective.
Hilti is the only manufacturer
offering a tool of this size
without carbon brushes, resulting
in even greater savings for the customers.
Hard luck
for thieves
The electronic module of the Hilti
TE 706-AVR breaker hammer also
contains the brains of its active
antitheft system: the Theft Protection
System (TPS) supplements
the passive antitheft precaution
involving registration of a tool’s serial
number together with the cus-
The tool’s a marathon
runner, after all, so the
polygon chisel is too:
it sharpens itself. That
means lower costs
and higher productivity.
tomer number. The Hilti TE 706-
AVR breaker hammer equipped
with TPS can only be activated and
unlocked by means of an activation
key by those in possession of a
specially coded company card or
control unit. If the power supply
is interrupted for longer than
20 minutes, the tool can no longer
be activated without being unlocked
again. Unauthorized users
are no longer able to activate it, not
even by dismantling its electronics.
With TPS, Hilti helps its customers
keep their tools safe and sound.
The peak
of innovation
Forget resharpening, reforging and
rehardening: thanks to their polygon
design, Hilti polygon chisels
sharpen themselves, yet another
boost to cost efficiency. And
performance benefits too: this “permanent
sharpness” ensures constantly
high chisel action throughout
its entire lifespan, as well as
improved breaking effect. The result:
chiseling productivity increases
by up to 30 percent. Another
consequence of the new geometry
is the decreased likelihood of
the chisel getting stuck in the
material being worked on! This
means no interruptions of work
and no time spent painstakingly
shaking, pulling and even chiseling
it free.
Don’t forget
the environment
When the Hilti TE 706-AVR
breaker hammer does finally give
up the ghost, it is taken care of:
as a member of the European Power
Tool Association (EPTA), Hilti
collaborates with a recycling partner
in every European Union member
state, and is thus already implementing
the EU’s guidelines on
the disposal of used electrical and
electronic appliances (Waste Elec-

trical and Electronic Equipment
WEEE – more information on
page 19).
So the next generation
is even
better
Repair center
staff can read
the elec-
tronic module of
the Hilti TE 706-AVR
breaker hammer like a book.
The module contains information
on the tool’s running time as well
as a history of electrical brownouts
that have led to equipment breakdown.
These data are conveyed
to a server at Hilti headquarters,
where they are evaluated for the
development of the next tool generation.
Annual Report 2006
Like drilling through butter
In 1967 the legendary Hilti TE 17 rotary hammer revolutionized drilling in
concrete. The centerpiece of what was then the only rotary hammer fit for
a construction site was its electropneumatic striking mechanism, which
allows the drill or chisel to hammer into the material on its own, as it were.
And Hilti was already worrying about the safety of its customers even
then, forty years ago: the Hilti TE 17 already had a mechanical slip clutch
to help prevent the tool lashing out on contact with iron girders. Hilti has
developed these and other innovations continuously ever since, making
its rotary, breaker and combihammers capable of ever higher performance
and robustness, and ensuring greater comfort and safety at the
workplace. These achievements are supplemented by equally innovative
services, such as Hilti Fleet Management and Hilti Lifetime Service – see
page 29 for more information.
Page 25
A look inside the
Hilti TE 706-AVR breaker
hammer: since its motor
needs less than normal headroom,
the electronics can be
placed directly above it, which
makes for optimal weight
distribution.

Page 26
“You can feel
the difference
immediately”
Franck Hugon, department head at a construction
company, is always thinking of ways to
do better. Especially when it comes to the safety,
health and comfort of his employees.
He’s on a construction site
two or three times a week.
Franck Hugon wants to see
progress – as well as worker safety.
He is not best pleased to find ladders
lying around or a gap in the
ground left uncovered. These pose
accident risks, and can be avoided.
Today he has rolled up his sleeves
and is moving a wheelbarrow out
of the way himself. “No big deal,”
he says, and yet he is always noticing
things he or his workers could
be doing better.
Looking for
the best solution
Doing better. This is Franck
Hugon’s personal goal, his vision
of his profession, his passion. “At
our company we get together in
a small group to discuss every
possibly aspect of our work, until
we have found the best solution for
a given building problem. We often
find ourselves with a result no one
could possibly have imagined before
our meeting.” Sometimes he
picks up the telephone and calls
Pierre Massoulard, his man at
Hilti. “I got to know Pierre at a
time when we had more than one
problem to solve. Since then we
have developed a partnership. I set
great store by a contact person who
is efficient and who can help me
quickly and effectively.”
As a department head at Jugla, a
member of “Groupe GTM Con-
struction,” Franck Hugon leads the
company’s Bordeaux branch. The
company has some 70 employees
and additional offices in the regions
of Médoc and Saint-Emilion
and specializes in renovating hospitals,
sports halls and schools – as
well as castles, a common local
feature. The names of these noble
abodes are often to be found on the
labels of world-famous Bordeaux
vintages. When Franck Hugon
talks about “doing better” he is
principally thinking about his
workers: about their health and
safety, as well as their on-the-job
comfort, which means a great deal
to him. For instance, the company
provides them with such things as
an air-conditioned container in
which they can have their lunch
breaks during the heat of summer,
or showers to get them on their way
home feeling clean and fresh.
Franck Hugon knows only too well
how important health and safety
are in recruitment as well, what
with qualified construction workers
being a sought-after commodity.
“The better our working conditions
are, the greater our chances
as an employer.” He believes that
construction work will in future
become even more mechanized,
precisely with worker safety in
mind. “They are less and less accustomed
to dealing with weight.
Take sacks of cement, for example.
They are now virtually half as
heavy as they used to be. So we
will either be reducing weight, or
mechanizing.”
Of course, the trend to mechanization
also has its downside. It can
cause new health risks – such as
vibration. “Extensive use of a jackhammer
leaves its mark on a
worker’s hands and muscles. Plus
the device is heavy and noisy, and
uses compressed air. The first time
I held a Hilti TE 706-AVR breaker
hammer in my hands and gave it a
trial run, I understood immediately
what it could mean to work with
comfort.” Franck Hugon bought
one tool to start with. But chiseling
is a big part of renovation work.
“And my staff realized immediately
what they had in their hands.
So I soon ordered a second, and a
third.”
Employers must
be able to offer
advantages
The Hilti TE 706-AVR breaker
hammer is designed to significantly
reduce vibration, or to allow
only very slight vibration to be
conveyed to the hands of its user –
for more information see page 22.
Franck Hugon also stresses the
tool’s performance compared to its
weight – as well as emphasizing its
appearance: “At first I thought it
looked kind of strange, but then I
saw that the rounded form makes it
versatile, and that workers can hold
it in various positions. And its symmetrical
design gives the tool very
good balance, so that users get less
tired holding it. And by the way, all
you need to run it is electrical power,
and there are no grease stains to
worry about anymore, like the ones
you get with a compressor.”
And there’s more
where that came
from...
The Hilti TE 706-AVR’s technology
and innovation convinced
Franck Hugon, and he has just ordered
its “big brother,” the Hilti
TE 906-AVR breaker hammer,
which also features active vibration
reduction. Franck Hugon also
likes the Hilti TE 76-ATC combihammer,
with its Active Torque
Control quick shutdown feature:
when the drill gets stuck in the material
getting worked on, the tool is
barely able to turn on its own axis
any longer, and thus usually cannot
pull its user’s arm with it. Health
and safety – here too a primary
concern.
At the moment one of Franck
Hugon’s teams is building an extension
to a geriatric center in Pessac
near Bordeaux. Not far from
the wheelbarrow his boss has
just moved, a worker with a Hilti
breaker hammer puts his hand on
his chest. “With other tools, I used
to feel the vibrations right here in
my heart,” he says.

Annual Report 2006
Franck Hugon: “Construction work will in future become even more mechanized, precisely with worker safety in mind.
They are less and less accustomed to dealing with weight.”
Page 27

Page 28
Using the newest
tools means
working efficiently
and to top safety
standards. But
there are also
other advantages
to Hilti Fleet
Management.

Always the latest
technology
Tiresome administrative work, major investments
in equipment and lengthy downtime due
to unavailable tools – for more and more Hilti
customers, these are things of the past now that
they can depend on Hilti Fleet Management.
Customers from all trades and companies of
all sizes the world over are now enjoying its
benefits.
Anyone able to take advantage
of the latest technology
works more efficiently and to
a top safety standard. This motivates
staff without costing companies
a fortune – as long as they use
Hilti Fleet Management to keep
their equipment flexible and up to
date. The simple equipment administration
also helps save on administration
costs. Clear labeling
means that all tools are immediately
identifiable and can easily be
assigned to an employee, a construction
site or a cost center,
which in turn reduces loss and
makes it easier to keep track of
equipment. The Fleet Management
Annual Report 2006
online Internet portal, created exclusively
for Fleet Management
customers, offers even greater convenience:
users can call up all
equipment information around the
clock. Fleet Management online
means additional fleet transparency
and another significant reduction
in the expense of equipment
management.
“We will be writing further chapters
in the Fleet Management
success story,” says Daniel Setzer,
responsible for developing these
offerings in the Professional Services
area, “and expanding our
range of services in a custo-
Comprehensive service
Satisfaction:
constantly high
Hilti customers’high satisfaction
rate continues to be one
of the key success factors. In 2006,
customer surveys in countries of
the eleven largest marketing organizations
showed a satisfaction rate
of 82 on a scale from 0 to 100.
Hilti was thus able to slightly
increase last year’s already high
score by one point.
mer-friendly manner.” Starting in
2006 – depending on their contract
and in combination with the
TPS theft protection system (see
page 24 for more information),
Hilti customers who have already
discovered Hilti Fleet Management
are also being offered theft
insurance. Customer feedback
Page 29
clearly indicates that the new offering
meets a requirement. Thanks
to Hilti Fleet Management, customers
can finally get back to concentrating
all their energy on their
core business.
Just what customers have been wanting – Hilti Lifetime Service,
launched worldwide on January 1, 2006: repairs free of charge for the
first year or two, followed by a clear cost limit and a manufacturer’s
warranty for the entire life of the tool. “Next to product quality, repair
service and warranty are the key criteria for buyers,” explains Alexander
T. Stampfl, Service Manager at Hilti Switzerland. He bases his assessment
on the Swiss customer survey – for more information see article
below.
Hilti Lifetime Service is the comprehensive, easy-to-understand basic
package provided to every customer on purchase. It allows buyers to
calculate the costs over the lifespan of their new equipment. And Fleet
Management customers get even more: they don’t pay for repairs at all,
ever.
All in all, some 10,000 customers
in 19 countries were surveyed
in 2006 concerning Hilti, its products
and its services.
With the global launch of Hilti
Lifetime Service (see article
above for more information) on
January 1, 2006, the customer
survey also encompasses this
service. Results show that, while
it could be better publicized, Hilti
Lifetime Service is already making
a difference: customers clearly
indicate that they see a pronounced
cost/benefit improvement. They
are now getting more for their
money.

Page 30
The ubiquitous fla

Aflash of red somewhere
in the magnificent winter
scenery of the European Alps: a
toolbox, a rotary hammer, a man.
Annual Report 2006
sh of red
He needs to make a repair to a chair
lift pylon, quickly and professionally,
and the next socket is miles
away. No problem!
See the following pages for news
about the latest Hilti products, especially
the cordless tools featuring
lithium-ion technology.
Page 31

Page 32
News for building
professionals
The handheld circular saws launched by Hilti in 2006 deliver every bit as much performance as plug-in tools.
At Hilti, customers get consulting along with the product they purchase – for instance on fastening problems.
Every tool Hilti develops, produces and brings
to market is designed to make life easier for
building professionals, in addition to offering
them added value.
At Hilti, building professionals
can meet practically all
their needs, whether they involve
measurement, alignment, demolition,
drilling, cutting, sanding,
fastening, installation, insulation
or fire protection. And they also
get free consulting and expert
support.
Engineers come to Hilti for advice
when they are still in the planning
phase, to get their fastening problems
solved so construction can go
ahead. Even when projects go
through changes during realization,
Hilti usually has a solution to
hand. And come what may, customers
can count on the help and
advice of experienced specialists
from project planning to the completion
of a construction. They also
have access to software for calculating
anchors, direct fastening and
installation systems as well as to
technical documentation, and they
can have their staff trained in the
correct use of Hilti products.
Added value and efficiency gains
are thus more than just empty
promises – they are a part of everyday
life on the job.
Building professionals also appreciated
the launch of Hilti Lifetime
Service in 2006 – more information
on page 29. They place their
trust in Hilti Fleet Management
and thus reduce their administration
costs – more information on
page 29. And they are grateful for
TPS (Theft Protection System) –
more information on page 24.

Measuring
Lithium-ion technology (Liion)
is no stranger to the
commercial arena. Until now,
however, systems from the household
and home working areas
were largely the focus of this
technology. But for the professional
with specific demands, Liion
technology was not always
able to keep the promises it made.
Hilti has designed a new Li-ion
standard with Cordless Power Care
(CPC). This ensures all of the outstanding
characteristics of the new
Annual Report 2006
Brilliantly digital
The new Hilti PD 38 laser range
meter puts traditional, time-consuming
measurement methods once
and for all in the shade. Thanks to
wireless Bluetooth communication,
this innovative product can
for instance enter measurements
directly into a digital photographic
representation.
Tomorrow’s cordless technology
Hilti Cordless Power Care (CPC) takes lithium-ion
technology to the next level. The advantages:
greater capacity and security, more performance and
a longer lifetime for mobile use.
battery technology even under the
most adverse construction site conditions
– coupled with the legendary
Hilti durability.
CPC monitors each individual cell
with a special electronic procedure.
This is one of a kind on the market
and particularly significant. During
charging and discharging, the cells
are all in various conditions and
must therefore be protected individually
to prevent deep discharge,
overcharging and overheating. This
is the only way to ensure optimal
long-term usage and care for the
entire system. For long-lasting, secure
cordless performance.
The universal Li-ion charger from
Hilti charges all CPC batteries in
the rapidly expanding product
Page 33
Through ceiling and wall
The Hilti PX 10 transpointer lets
building professionals see both sides
of the wall. One of a kind to this day,
the system transfers reference points
through masonry and concrete walls
having a thickness of up to 1.35 m
(4.4 ft) while also giving an accurate
reading of wall and ceiling thickness.
So you know in advance the
position of the drill or drill bit’s exit
point. Overhead drilling becomes
unnecessary because – depending
on the desired exit point – the hole’s
starting point can be transposed.
Power source:
one charger for all
CPC batteries.
portfolio. And by the way, Hilti
Lifetime Service – see page 29 for
more information – applies to all
CPC system batteries and to the
charger. It is also available with
theft protection, one further advantage.

Page 34
Drilling and demolition
The strongest
in its class
The Hilti TE 7-C rotary hammer is
the new front-runner in the lightweight
class for long periods of demanding
drilling or light chiseling
work. With its impressive hammering
energy and ergonomic design,
it’s a professional tool of the kind
Hilti customers expect. Anyone
looking to remain mobile while
maintaining high performance will
opt for the Hilti TE 7-A with
rechargeable battery, at the moment
the only battery-powered rotary
hammer with supplementary
chisel action.
Cutting and sanding
When the socket is
somewhere else
The new Hilti TE 6-A rotary hammer
with rechargeable battery
gives a full 36 volts of performance
without plugs or sockets.
The handy 3.8 kg mobile dynamo
drills anchor holes and apertures
into concrete, stone and masonry.
High-IQ drilling
The new Hilti TE-C3X drill bits are
distinguished by drilling speed,
penetration and durability. Its fully
hard-metal head with four cutting
edges and a gradient technology
unique in the world makes it easier
Plug-in circular saws:
a thing of the past!
Full performance without a pesky
cable: the Hilti WSC 70-A36 and
the Hilti WSC 55-A24 handheld
circular saws, with 36- and 24volt
batteries, respectively, deliver
every bit as much performance as
plug-in tools. And pros can rely on
And, despite 5,000 strokes a minute,
vibration remains slight. The
Hilti TE 6-A was the first tool
Hilti launched in 2006 with
lithium-ion technology. For more
information see the article on “Tomorrow’s
cordless technology” on
page 33.
to get started drilling, and it is also
more impact-resistant. Productive,
professional drilling really does begin
in the head!
the new lithium-ion technology
with Hilti CPC – for more information
see page 33.
The new ultrathin yet very robust
saw blades are coated with Teflon
to ensure particularly low friction
losses.

Fastening and installation
Solar power systems
easily installed
With its new MSP substructure
system for solar power installation,
Hilti lends its support to the renewable
energy trend. The components
are preinstalled, and the complete
easy-to-handle fastening system
can be installed from above, the
only one of its kind at the moment.
This can mean just half as much
The masonry
connection
The Hilti HIT-HY 20 and HIT-
HY 50 injectable adhesive mortars
have found millions of buyers
around the world – and are now being
replaced by a new generation:
the Hilti HIT-HY 70. The chemical
fastening system has proven itself
in both interior and exterior application,
in both dry and damp drill
holes as well as across a wide range
of temperatures.
Annual Report 2006
installation time. The system comprises
only five components,
which reduces logistics work in the
warehouse and on the construction
site. Customers already using the
Hilti MSP program will require up
to 60 percent fewer components
than for conventional substructure
systems.
The new injectable mortar is joined
on the market by the Hilti ED 3500
pistol, which can be used either as
a cordless or as a plug-in tool – a
unique innovation. The cordless
pistol maintains the same high
power, comparable with a pneumatic
system, at low temperatures
and considerable injection depths,
while remaining mobile, unencumbered
by a heavy compressor.
18 volts in top form
The new Hilti SFH 181-A cordless
impact drill / driver and the Hilti
SF 181-A cordless drill/driver
combine power, performance output
and versatility.
Making an impact
The new impact screwdrivers are
turning heads with rounds per
minute and torque thought to be
out of reach for cordless tools. The
Page 35
Hilti SI 144 with 14.4 volts is available
with a hexagon socket (SID)
or flex head (SIW) tool fitting.

Page 36
Systems for the
various trades
Building
Construction
Civil Engineering
Steel & Metal
Interior Finishing
Mechanical / HVAC
Electrical
Oil/Gas/
Petrochemicals
Diamond Service
Contractors
Measuring Drilling and
demolition
PR 25
rotating laser
New: PP 11
pipe laser
New: PD 38
laser range meter
PML 32 line laser
New: PX 10
transpointer
PML 32 line laser
New: PD 38
laser range meter
New: PX 10
transpointer
TE 706-AVR
breaker hammer and
TE-YP polygon chisel
TE 76-ATC
combi hammer,
TE-YX drill bit and
TE-YP polygon chisel
New: TE 7-A cordless
rotary hammer with
lithium-ion battery and
TE-C3X drill bit
TE 2 rotary hammer and
TE-C3X drill bit
DD 130
diamond coring tool
New: TE 6-A cordless
rotary hammer with
lithium-ion battery and
TE-C3X drill bit
TE 76-ATC
combi hammer,
TE-YX drill bit and
TE-YP polygon chisel
DD 300 and 500
diamond coring systems

Cutting and
sanding
New: WSC 70-A36
cordless circular saw
DS-WS 15
electric wire saw
New: DAG 125-S
angle grinder
WFE 380
random orbit sander
WSR 1400 PE
orbital action
reciprocating saw
WSR 900
orbital action
reciprocating saw
DEG 125-D
angle grinder
DS-TS 20-E
electric wall saw
Annual Report 2006
Fastening and
installation
Hilti HIT-HY 150
injectable adhesive
mortar /
HST stud anchor /
HSA stud anchor
Hilti HIT-RE 500
injectable adhesive
mortar
New: Hilti HIT-HY 70
injectable adhesive
mortar and
ED 3500 dispenser
New: SD 5000
drywall screw fastener
and SMD 57
screw magazine
MQ channel installation
system
GX 100-E gas-driven
fastening system and
X-EKS plastic pipe
clips
DX 351 powderactuated
fastening
tool and X-BT threaded
fastener
HKD-D flush anchor
Insulation and
protection
Page 37
DX 460 powder-actuated
fastening tool and X-SW
soft washer fastener
CP 657 firestop brick
CP 672-HE
firestop joint spray
CP 672-HE
firestop joint spray
CP 648 firestop wrap
CP 620 expanding
firestop foam
CP 679 firestop coating
CP 644 firestop collar

Page 38
Hilti employees in all areas know the boundaries within which they are
free to act. The “Code of Conduct” introduced in 2002 helps them make the right
decisions on the job.

The “Code of Conduct” for
partners and suppliers serves
first to let them know what they
can expect from Hilti, followed by
what Hilti expects from them:
compliance with all national and
international laws and regulations
applicable to their activities, zero
tolerance of bribery and payoff,
and respect for human rights,
which in turn presupposes safe and
healthy working conditions. The
Code corresponds to provisions of
the United Nations, the International
Labour Organization, the International
Chamber of Commerce,
the UN Global Compact,
the World Economic Forum and
the European Union.
Annual Report 2006
The “Code of Conduct” also sets
out the environmental responsibility
borne by partners and suppliers
along with the company and its
employees. This includes striving
to minimize waste, emissions and
critical substances, to treat, store
and dispose of chemicals and hazardous
waste in an environmentfriendly
manner, to contribute to
the recycling process of materials
and to continuously improve energy
efficiency.
For its part, Hilti specially trains
employees as auditors to monitor
partner and supplier compliance
with the “Code of Conduct”.
A basis for trust
The Mission Statement followed
by all Hilti employees
– see the whole text on
page 4 – defines integrity as a
basic value, to be lived out more
consciously than any other. The
Mission Statement is also the
foundation of the “Code of Conduct”
Hilti defined and launched
worldwide in 2002. It helps employees
make the right decisions
in their everyday work. They thus
know the boundaries within which
they are free to act, which in turn
allows them to retain their integrity
in actual business situations.
The guidelines clearly set
out ways for staff to avoid such
misconduct as fraud, bribery or
price-fixing, and teaches them
to stamp out conflicts of interest
before they arise. This “Code of
Page 39
Social responsibility means mutual respect and trust, as well as an
atmosphere of equality. As a “Great Citizen,” Hilti commits itself to
social and cultural projects without expecting anything in return. This
is the Hilti way of giving something back to the society in which it has
enjoyed success. By means of donations and personal commitment
and joined by its organizations and staff, Hilti thus lives out its Mission
Statement to “build a better future.”
The same
rules
for all
The success of the Hilti Group and of its products
also depends on its partners and suppliers. And
because economic success and social and ecological
sustainability are mutually contingent,
Supply Chain staff have established a “Code of
Conduct” for partners and suppliers as well.
Conduct” adopted by Hilti provides
the groundwork for compliance
with all international, national
and local laws and norms.
The guidelines are summarized
in a handy pocket-sized brochure,
as well as being available
to employees on the company intranet.
In both forms, the guidelines
use practical examples of
real on-the-job situations, and are
an appropriate reference work for
all. Their practical application is
also a subject in international
cultural workshops – read more
on page 14. Staff can thus integrate
the principles into their
everyday working life.

Page 40
Sharing success
with others
At the vocational training center in Monaragala, young people can learn a trade. The student body is made up of almost as many
girls as boys. The apprentices are getting a promising start in adult life.
Hilti employees from around the globe got together
to finance construction of a vocational
training center for some 150 young people in
Monaragala, in the politically stable southeast
of Sri Lanka. The workshops and teaching
rooms began to fill with life as 2006 wore on.
The initial apprenticeship program
was for carpenters; the
center is also offering courses for
would-be mechanics, welders and
electricians while others learn the
ins and outs of information technology,
working with both computer
hardware and software. In
addition, English instruction is
planned for all.
“It’s a promising project,” says
Cedric de Silva, National Director
of SOS Children’s Villages of Sri
Lanka. Hilti staff have confidence
that SOS Children’s Villages will
be able to take advantage of their
own expertise to develop and run
the vocational training center.
Cedric de Silva goes on to note
that they will be training almost as
many girls as boys. “That’s actually
pretty unusual for a training
center in Sri Lanka. With the professional
skill and knowledge
they develop here, these young
people will be able to earn a decent
living.”
Meanwhile Hilti staff are continuing
to collect and pass on donations,
since they also plan to finance
the annual upkeep of the
center. They are taking part personally
by organizing auctions,
lotteries and other events, as well
as by ceaselessly coming up with
new ideas. As Hilti employee Stefan
Ehrnborg from the United
Arab Emirates says, “It’s great to
see how willing the team is to
share its success with others in the
name of a good cause.”

Committed to the
next generation
The Hilti Group has a tradition of social responsibility. For fifty years now,
young people have received technical and commercial training at its headquarters
in Liechtenstein; more than seventy apprentices are currently
enrolled. Created in 1990, the Martin Hilti Foundation for International Professional
Development enables young people looking for an intercultural work
challenge to spend time on the job in a foreign country. Now Hilti organizations
worldwide are getting into the act as well, contributing to their societies
at the municipal, regional and national level. An example from South Africa.
Swiss and South African
companies, in collaboration
with the Swiss Agency for Development
and Cooperation (SDC),
have founded the Swiss-South
African Co-operation Initiative
(SSACI), to advance educational
opportunities for disadvantaged
young South Africans in order to
enable them to obtain employment.
To this end the organization finances
apprenticeships as well as
the creation of new positions for
school-leavers between the ages
of 16 and 26. The SSACI focuses
on industrial sectors with growth
potential capable of generating
jobs and affording easy entry-level
positions with the possibility of advancement.
In 2006 Hilti South Africa contributed
200,000 South African
rand (roughly 66,500 Swiss francs)
to the SSACI in support of needy
local youth. Based on sales
turnover and earnings, Hilti South
Africa will continue to support the
work of the SSACI.
In addition, Hilti South Africa has
provided a small business founded
by black women with material and
training so as to enable them to
set up a packing firm outside of
the Hilti warehouse. “We’re also
donating Hilti tools to a range of
different charities,” says Giorgio
Mauro, General Manager of Hilti
South Africa. Every year, his team
Annual Report 2006
Among other commitments, Hilti South Africa has helped women
set up a packing firm.
trains thousands of rookie construction
workers on sites across
the country. Once they have become
familiar with Hilti equipment,
they increase their efficiency
and are thus able to save
their employers money – which in
turn also means better business
for Hilti.
In closing, Giorgio Mauro looks
ahead to the future: “We want to
open our company doors to those
hungry for knowledge.” People
who want to learn and develop
themselves further have a chance
at a career with Hilti, while Hilti
benefits from people who want
to improve themselves and their
company.
Promoting research
Page 41
Hilti Corporation has donated 3 million Swiss francs to the ETH Zurich
Foundation, a contribution to the continuing development of the Swiss
Federal Institute of Technology in Zurich. The ETH aims to maintain and
further advance its position as one of the world’s leading technical universities.
The ETH Zurich Foundation is a nonprofit organization intended to
promote research and teaching at the ETH.
The donation to the ETH Zurich Foundation is one of several commitments
by the Hilti Group to research and education in Europe. “We are convinced
of Europe’s importance to our industry as a center of education and innovation,”
notes Pius Baschera, until the end of 2006 Chief Executive Officer
of the Hilti Group and since January 1, 2007, Chairman of the Board
of Directors of Hilti Corporation. “If our industry is not in a position to hold
its own among the leaders in innovation and new technologies, European
companies will stand no chance amidst international competition. By ensuring
direct cooperation between researchers and engineers on the one
hand and with companies in industry on the other, European universities
and institutes of technology can become important innovation drivers.”

Page 42
The Executive Board
(members as of January 1, 2007)
Bo Risberg (far left) has been CEO since January 1, 2007. Marco Meyrat (second from left) has been a member of the Executive Board since early 2005.
Christoph Loos (third from left) and Stefan Nöken (far right) joined the Board on January 1, 2007.

Annual Report 2006
Page 43
Bo Risberg, Chief Executive Officer
Bo Risberg (born 1956 in Sweden) has been CEO since January 1, 2007.
His predecessor in office, Pius Baschera, became Chairman of the Board
of Directors, effective on the same date.
Bo Risberg trained as a mechanical engineer in Canada and earned a
Master of Business Administration in Switzerland. He came to Hilti in
1999 as Head of the Business Unit Drilling and Demolition. From 2001
to 2006, as a member of the Executive Board, he was responsible for
the Business Areas, for the Supply Chain (comprising production, sourcing
and logistics) and for New Business & Technology. Since fall 2006
Risberg has served as President of the European Power Tool Association
(EPTA).
Dr. Christoph Loos
Christoph Loos (born 1968 in Germany) has been charged on the Executive
Board with human resources, finance and IT since January 1, 2007.
After a bank apprenticeship he studied business administration at the
University of St. Gallen where he also earned a doctorate degree. He
worked for many years for an international management consulting firm in
Germany and China. When he joined Hilti in 2001 he was first responsible
for the corporate strategy department before building up strategic marketing.
At the end of 2003 he moved to Germany, first as regional sales
head and then, during the past two years, serving as General Manager of
Hilti Deutschland GmbH.
Marco Meyrat
Marco Meyrat (born 1963 in Switzerland) has been responsible on the
Executive Board for all Hilti marketing regions worldwide since the beginning
of 2005. After completing a business degree at the University of
St. Gallen he began his career in 1989 as Product Manager in a Hilti Business
Unit at headquarters in Schaan. Marco Meyrat is a member of the
Board of Directors of Olmero AG, Glattbrugg.
Dr. Stefan Nöken
Stefan Nöken (born 1965 in Germany) has been responsible for the Business
Areas, for the Supply Chain (comprising production, sourcing and
logistics) and for New Business & Technology on the Executive Board
since January 1, 2007. Following studies in mechanical engineering at
Aachen University, where he earned a doctorate, he went on initially to a
series of professional assignments at the Fraunhofer Institute for Production
Technology in Aachen before becoming Senior Vice President Corporate
Engineering at Hilti in 2000. In 2004 he was made Executive Vice
President Supply Chain Management. Stefan Nöken is a member of the
Board of Trustees of the Fraunhofer Institute for Production Technology
in Aachen and Vice President Corporate Partners of the Unitech International
Society, the network of Europe’s leading technical universities.

Page 44
The Board of Directors
(members as of January 1, 2007)
The Board of Directors of Hilti Corporation (from left): Reto Mengiardi, Tis Prager, Hubertus Christ, Jack Schmuckli, Erwin W. Heri, Ewald H. Hoelker,
Giorgio Behr, Michael Hilti and Pius Baschera, Chairman of the Board since January 1, 2007.
Prof. Dr. Pius Baschera, Chairman of the Board of Directors
Pius Baschera (born 1950 in Switzerland) succeeded Michael Hilti as
Chairman of the Board of Directors on January 1, 2007, handing over
the job of Chief Executive Officer, which he had held since 1994, to
Bo Risberg.
Pius Baschera studied mechanical engineering and economic science
at the Swiss Federal Institute of Technology Zurich, where he earned his
doctorate. In 1979 he came to Hilti as head of financial controlling in the
production area. He has been a member of the Board of Directors of
the Schindler Group, Hergiswil, since 2005. He is also a member of the
Advisory Boards of Vorwerk & Co., Wuppertal, and Ardex GmbH, Witten,
Chairman of the Board of Directors of Venture Incubator AG in Zug and
a Professor at the Swiss Federal Institute of Technology Zurich.
Michael Hilti, Schaan, Principality of Liechtenstein
Michael Hilti (born 1946; re-elected to serve until the 2009 Annual General
Meeting), son of the company’s founder, Honorary Professor Martin Hilti,
has been a member of the Board of Directors since 1990. He served
as Chairman of the Board from 1994 to 2006 before handing over these
duties to Pius Baschera on January 1, 2007.
Michael Hilti is a member of the Board of Trustees of the Martin Hilti
Family Trust. Before being nominated as Chairman, he was Chief
Executive Officer and Managing Director. Michael Hilti will continue
to serve as President of the Liechtenstein Chamber of Commerce and
Industry (LCCI) until May 2007, and is a member of the Advisory Board
of the Credit Suisse Group and of the Board of Directors of Hilcona AG,
Schaan.

Annual Report 2006
Prof. Dr. Giorgio Behr, Buchberg, Switzerland
Giorgio Behr (born 1948; re-elected to serve until the 2008 Annual General
Meeting), Honorary Professor at the University of St. Gallen, has been a
member of the Board of Directors of Hilti Corporation since 1993. He
gained his doctorate at the law school of the University of Zurich, was admitted
to the bar and obtained a diploma as a Certified Public Accountant
(CPA). Today he is an entrepreneur in the industrial sector (Behr Bircher
Cellpack BBC Group). An internationally recognized accountancy specialist,
Giorgio Behr has represented Switzerland on various international committees
and was Chairman of the Swiss Accounting Commission as well as
Chairman of the Experts’ Committee of the Swiss Stock Exchange SWX
and member of the Supervisory Board of the European Financial Reporting
Advisory Group (EFRAG) of the European Union. Giorgio Behr is President
of the Swiss Institute of Certified Accountants and Tax Consultants.
Page 45
Prof. Dr. Hubertus Christ, Langenargen, Germany
Hubertus Christ (born 1936; re-elected to serve until the 2008 Annual
General Meeting) joined the Hilti Corporation Board of Directors at the
beginning of 1999. Formerly a member of the Executive Board of ZF
Friedrichshafen AG, he is currently a member of the Board of Directors
of ZF Friedrichshafen and of Forschungszentrum Karlsruhe GmbH as
well as of the Advisory Board of Vorwerk & Co., Wuppertal. Hubertus
Christ also holds several other directorships and supports the promotion
of technical development and education for young people.
Prof. Dr. Erwin W. Heri, Räterschen, Switzerland
Erwin W. Heri (born 1954; re-elected to serve until the 2007 Annual General
Meeting) has been a member of the Board of Directors of Hilti Corporation
since 2001. He is also a member of the Board of Trustees of the Martin
Hilti Family Trust. In addition to his academic career, he has also held leading
positions in private industry. He is Chairman of the Board of Directors
of OZ Holding and OZ Bankers AG, Pfäffikon SZ, and a member of the
Board of Directors of Ciba Specialty Chemicals Inc., Basel, and Chairman
of the Fund Commission of the Swiss federal pension fund Publica.
Ewald H. Hoelker, Vaduz, Principality of Liechtenstein
Ewald H. Hoelker (born 1945; re-elected to serve until the 2008 Annual
General Meeting) has been a member of the Board of Directors of Hilti
Corporation since 2005. A US citizen with an MBA from the University
of North Texas, Ewald Hoelker was, as Executive Board member, responsible
for all Hilti market regions worldwide up to the end of 2004.
Dr. Reto Mengiardi, Chur, Switzerland
Reto Mengiardi (born 1939; re-elected to serve until the 2007 Annual
General Meeting) was asked to join the Board of Directors of Hilti Corporation
in 1991. He is also a member of the Board of Trustees of the Martin
Hilti Family Trust. Formerly a member of the Graubünden cantonal executive,
Reto Mengiardi is currently active as a lawyer and notary and serves
among other things as Vice Chairman of the Board of Directors of Rätia
Energie AG, Poschiavo, and as a member of the Board of Directors of
Holcim (Schweiz) AG, Zurich-Oerlikon.
Dr. Tis Prager, Zumikon, Switzerland
Tis Prager (born 1948) has been a member of the Board of Directors of Hilti
Corporation since June 1, 2006 (elected to serve until the 2010 Annual General
Meeting). He earned a doctorate in law from the University of Zurich in 1975,
was admitted to the bar of the Canton of Zurich in 1978 and is a founding
member of the Prager Dreifuss law firm in Zurich and Bern, specializing in international
commercial law. Among other mandates, Tis Prager is Chairman
of the Board of the IE Engineering Group AG, Zurich, and a member of the
Board of Directors of Bourquin SA, Couvet, and of Scherer & Bühler AG,
Meggen. He is also active in STEP, the Society of Trust and Estate Practitioners.
Jakob (Jack) Schmuckli, Stäfa, Switzerland
Jack Schmuckli (born 1940; re-elected to serve until the 2007 Annual General
Meeting) was appointed to the Board of Directors of Hilti Corporation
at the beginning of 2001. After a long international career at Sony he currently
holds a number of directorships, for the most part in Swiss companies
with international operations. Among other posts, Jack Schmuckli
is Chairman of the Board of Directors of Wicor Holding AG, Rapperswil,
as well as a member of the Board of Directors of SEZ Holding AG, Zurich.

Page 46

Imprint
Publisher: Hilti Corporation
Corporate Communications,
Postfach 333, FL-9494 Schaan,
Principality of Liechtenstein
Concept: Hilti Corporation,
Corporate Communications
Design: Fabrizio Milano,
milano-graphic, Rapperswil, Switzerland
Text: Ursula Trunz,
Hilti Corporation,
Corporate Communications
Annual Report 2006
Photography: Uli Reitz, Hilti Corporation,
Marc Latzel (page 3), Alex Bayer
(pages 4–5), Christoph Gerigk (pages
12–13, copyright Franck Goddio / Hilti
Foundation), David Dudouet (page 14),
Geri Krischker (pages 15 and 38),
Hans Hüsler (page 18), Manfred
Schiefer (page 19), Olivier Moravik
(pages 24 and 27), Simona Moritsch
Staud (page 40), Hilti (South Africa)
(Pty) Ltd. (page 41)
Production: BuchsMedien AG,
Buchs SG, Switzerland
The annual report is issued in German and English.
Page 47
The full financial report, the biographies of members of the Board of Directors
and the Executive Board, the principles of corporate governance, the organization
chart, a list of the consolidated companies of the Hilti Group and information
on the Martin Hilti Family Trust are all available on the internet: www.hilti.com
Next financial information:
June 6: Interim report for January–April
October 1: Interim report for January–August
The next editions of the corporate magazine will be published in July and October 2007.
Hilti is a registered trademark of the Hilti Corporation.

Hilti. Outperform. Outlast.