AB WILH. BECKER ANNUAL REPORT 2010 - Beckers Group

AB WILH. BECKER ANNUAL REPORT 2010

CONTENTs 

Highlights and key figures 2010 4 

The Beckers Group 6 

CEO’s review 8 

Our vision and values 10 

Business Areas 12 

Becker Industrial Coatings 14 

Beckers Consumer Design Finishes 18 

The new Becker Industrial Coatings CEO 19 

ColArt 20 

CSR – Human Resources/Sustainability 24 

Corporate Governance 28 

Board of Directors’ report 30 

Wilh. Becker Headquarter 

Becker Industrial Coatings 

ColArt 

Proposed distribution of earnings 34 

Income Statement 35 

Balance Sheet 36 

Cash Flow Statement 38 

Notes 39 

Audit Report 55 

Five-year summary 55 

Board of Directors, Senior Officers and Auditors 56 

Definitions 58 

Addresses 58

A sTRONG TRADITION OF VALUE-ADDED INNOVATION 

Carl Wilhelm Becker began as the sole proprietor of an art materials retail establishment in 1865. 

By 1874 he was manufacturing paint and varnishes, too. Employing five people, Beckers was 

the first company in Sweden to combine manufacturing, retail and wholesale. In 1929, Beckers 

acquired AB M Hansen and Fernis AB Ferbo. A series of subsequent mergers led to the creation 

of the Beckers Group. The first international acquisition was made in 1961. Further growth and 

expansion continued throughout the 1970s and 1980s. 

In 1974 Ulf G. Lindén became the CEO of Beckers and in 1985 he delisted the company, 

returning it to private ownership. Since its humble beginnings, Beckers has earned recognition for 

its commitment to innovation. From waterborne and UV-curing technologies to heat-reflective 

coatings and high-tech finishes for mobile handsets, Beckers brings value-added innovation to 

customers and consumers. Today, Beckers is a competitive, global business with strong family roots.

4 | HIGHLIGHTs AND KEy FIGUREs 

HigHligHts and Key Figures

• Beckers Group divested the Becker Acroma business 

area to The Sherwin Williams Company for 

SEK 1,492 million, resulting in capital gains of SEK 

880 million. The sale puts the Beckers Group in a 

very strong, practically debt-free position. 

• Group operating income improved significantly as 

the market stabilised and the financial crisis eased. 

Year-on-year sales for ongoing operations grew 

2.4%. Sales at constant exchange rates increased 

by 9.3%. Operating income for ongoing business 

was SEK 298 million, up 63% compared to 2009. 

Total group operating income, excluding capital 

gain of divesting Becker Acroma, reached SEK 

381 million. 

• Cash flow from operating activities totalled SEK 

226 million. Higher activity increased capital employed. 

Investments fell sharply in 2009 in the wake 

of the financial crisis; more normal investment 

levels in 2010 negatively impacted operating cash 

flow compared to 2009. Overall, operating cash 

flow decreased compared to record levels in 2009. 

• Beckers Group renegotiated the financing agreements 

with its banks following the sale of Becker 

Acroma. A new agreement with the banks was 

signed 22 December 2010. 

HIGHLIGHTs 2010 

KEy FIGUREs 

KEy FIGUREs 2010 2009 2008 

Net sales, SEK million 7 565 8 168 8 665 

Operating income, SEK million* 381 187 357 

Profit before tax, SEK million 1 212 46 227 

Return on capital employeed, %* 11 4 10 

Equity / asset ratio, % 58 31 29 

Investments, SEK million 157 119 297 

Average number of employees 3 686 3 981 4 426 

* Excluding capital gain of SEK 880 million of divestment of Becker Acroma 

• All of Becker Industrial Coatings’European manufacturing 

units are now ISO 14001 approved. BIC 

signed a Strategic Partnership Agreement with a 

new customer in China. In the U.S., an operational 

excellence program substantially improved delivery 

accuracy and reduced total average cycle 

time at the Chicago manufacturing hub. Beckers 

Consumer Design Finishes commercialised a new 

technology for vacuum metalisation, a key technology 

in the consumer electronics field. 

• ColArt announced plans to close a plant in 

England, consolidating manufacturing in France. 

An agreement was reached with the labour 

union and the relocation should be complete by 

Q3 2011. ColArt continued to report stable sales 

and impressive growth in operating income. 

Michaels, the world’s largest arts & crafts retailer 

with over 1,000 stores, named ColArt “vendor of 

the year” for the second consecutive year.

sETTING THE sTANDARD IN qUALITy, sERVICE 

AND INNOVATION 

Founded in 1865, the Beckers Group comprises two distinct business areas. These are both global 

leaders in their clearly defined segments of Industrial Coatings and branded art materials. 

Becker Industrial Coatings specialises in coil coatings and special coatings, and has a unit (Beckers 

Consumer Design Finishes) which develops and manufactures finishes for consumer electronics 

and household appliances. ColArt is a global leader in branded artist colours and fine art materials. 

ColArt’s brand portfolio is the strongest in its industry, serving artists of all abilities in over 120 countries 

worldwide. Each brand has its specific target consumer group. 

The Beckers Group’s industrial operations add value and vibrancy to everything from towering 

skyscrapers to mobile phones that fit in the palm of your hand. Its art materials business helps artists 

create treasured and timeless masterpieces. 

THE BECKERs GROUP | 7 

THE BECKERs GROUP 

GLOBAL NETWORK, LOCAL RELATIONsHIPs 

From its headquarters in Höganäs, Sweden, the Beckers Group operates a global network spanning 

19 countries. A robust culture of co-operation – sharing knowledge and best practices – harnesses 

the power of this network. To promote accountability, each business area operates as an independent 

profit centre and enjoys a high level of autonomy in its particular market. 

Each business area innovates, develops, manufactures and markets products globally while 

nurturing customer relationships locally. 

KEy mARKETs 

The Beckers Group’s key markets comprise North America, China, France, Italy and the United 

Kingdom. These markets account for 52% of group turnover. Eastern Europe and Asia, however, are 

emerging as high-growth markets. Markets outside Sweden account for 95% of group turnover. 

OWNERsHIP sTRUCTURE 

The Beckers Group is wholly-owned by the Lindén family through Lindéngruppen AB. 

BECKRymIx UNIT IN mONTBRIsON, FRANCE. 

The Beckrymix mixing technology enables our customers 

to adjust the final shades and the quantities with a very 

high level of quality, precision and consistency and become 

more competitive through lower costs, inventory levels and 

reduced supply chain risk.

8 | CEO’s REVIEW 

POIsED FOR GROWTH AND ExPANsION 

Looking back at the past two years, I’m extremely 

proud of how Beckers quickly responded to the global 

financial crisis. We focused intently on targeted costcutting, 

scaling back non-critical activities. At the same 

time, we optimised day-to-day operations, redeploying 

resources to strategically vital business functions. It was 

a company-wide effort demanding perseverance and 

unbending commitment. Our drive and passion have 

positioned Beckers for growth and expansion. 

Sales recovered quickly in the first half of 2010, 

flattening out in the second half of the year. Fullyear 

sales decreased 7%, owing to the divestment 

of a business area. The remaining business provided 

healthy year-on-year growth. Our focus on cost-cutting 

has boosted operating profits for the remaining 

business, which increased by 63% to SEK 298 million 

despite continued restructuring charges and pressure 

on gross margins. In September we closed the sale of 

Becker Acroma to The Sherwin-Williams Company. This 

transaction has put Beckers in the strongest financial 

position ever. The balance sheet is very robust and net 

profits for the year amounted to SEK 1,096 million. 

CLEAR-sIGHTED AND FOCUsED 

One of our greatest strengths is clarity when it comes 

to defining and achieving strategic goals and priorities. 

We strive for excellence and aim to take a leading 

position in our industry segments. The sale of Becker 

Acroma this year to The Sherwin-Williams Company 

illustrates our dedication to this principle. We lacked 

the capacity to enable the industrial wood-finishing 

business area to achieve its full potential as a global 

market leader and approached a buyer we believed 

would nurture the business and take good care of 

its highly valued employees and customers. Becker 

Acroma provides the backbone for Sherwin-Williams’ 

European expansion, and the proceeds from the deal 

significantly strengthened our own financial position 

at a key juncture. The transaction is a true win-win 

situation for all stakeholders. 

This business-minded approach, coupled with 

a customer focus that remained sharp despite the 

global economic downturn, has set the stage for new 

opportunities. Our management teams are strong and 

driven. Our R&D people are prioritising the innovation 

customers need. Our salespeople are making inroads 

and capturing market share. We’re building even closer 

relationships to customers and engaging consumers. 

Investments will be made in Becker Industrial Coatings 

and ColArt to further strengthen their market positions 

going forward. 

GRACE UNDER PREssURE 

ColArt has had a solid year. Despite a challenging 

environment we have continued to make significant 

commercial progress in the North American market, 

while also seeing good growth in certain European and 

export markets. The new global organisation is now in 

place, and investments are being made in consumerfocused 

marketing. 

ColArt continues to be under significant cost 

pressure and the main challenge for this business 

area going forward will be to optimise its European 

footprint in terms of manufacturing as well as 

warehousing and commercial operations. This is a key 

priority, giving us the right cost base and enabling 

us to invest more heavily in marketing that bolsters 

our global leadership position. In order to address the 

global cost base, we have, in line with the European 

manufacturing consolidation, made the difficult 

decision to close our UK site in Wealdstone. This will 

unfortunately result in redundancies amongst our 

talented and dedicated workforce. We are investing 

considerable resources to ensure that we can support 

all our departing employees through the transition. 

Growing the business will also hinge on becoming 

even more interactive in our relationships with 

consumers. On the one hand, consumer insights 

help to drive innovation. And on the other, ColArt 

educational advisors impart knowledge by, for instance, 

lecturing at art colleges about technical issues such as 

the drying properties of different colour media. 

BUILDING ON A LEGACy 

Becker Industrial Coatings recovered well in 2010, 

and though volumes haven’t rebounded to pre-crisis 

levels, cost-reductions implemented last year enable 

the business area to contribute significantly to Beckers’ 

bottom line. The business is also seeing tremendous 

growth in Asia as a whole, posting record volumes in 

China. 

During the coming years, Becker Industrial 

Coatings will focus primarily on organic growth 

and capturing market share in China, as well as on 

growing market share in the United States. We will 

also consolidate and optimise our position in Europe. 

Beckers Consumer Design Finishes continues to deliver 

solid growth and profitability, and its R&D team is

innovating some extremely exciting technologies that 

we expect will play an important role in decorating 

and functionalising the surfaces of tomorrow’s highend 

consumer electronics. 

Ralph Kabalo has, after 28 years of exceptional 

service, decided to retire at the end of 2010. Ralph has 

been pivotal in the development of Becker Industrial 

Coatings, first through his key role at Becker Industrie 

in France, and then as Business Area Manager for the 

past six years. We would like to thank Ralph for his 

tremendous contribution and dedication and wish him 

all the best in his much deserved retirement. Dr Boris 

Gorella succeeded Ralph as CEO of Becker Industrial 

Coatings in January 2011. 

DEEPER COmmITmENT TO sUsTAINABILITy 

In August, Beckers hosted a global manager meeting 

in Sweden. More than 70 managers from around the 

world gathered to share knowledge and ideas as well 

as to gain insights and inspiration. It was a fantastic 

experience and Sweden provided the ideal setting 

for a serious, forward-looking discussion about the 

company’s business and environmental priorities. 

Indeed, the sustainability pilot projects Becker 

Industrial Coatings conducted in Märsta in co-operation 

with the non-profit organisation The Natural 

Step, served as the centrepiece of the meeting. The 

project, which spanned nearly two years, comprised a 

thorough climate analysis of the Märsta site operations 

as well as a sustainability life-cycle analysis (SLCA) of 

several coating products. 

We are now studying the results of the pilot 

project and crafting a strategy to implement a new 

sustainability platform and framework throughout the 

organisation. We are deeply committed to reducing 

our environmental impact while never losing sight of 

customer needs. Setting and achieving meaningful 

and relevant objectives will require a concerted, unified 

effort – everyone working together to set the standard. 

A more detailed account of the pilot project and our 

environmental aims can be found in the sustainability 

section of this annual report. 

Looking to 2011 and beyond, our strategic goals 

and vision are clear. We will continue to leverage and 

capitalise on strong positions in each market segment. 

We will seek out and seize new opportunities. We will 

ramp up efforts as the global markets begin slowly 

to emerge from financial crisis. We will invest in our 

core assets, coupling innovation and sustainability to 

grow our business while shrinking our impact on the 

environment. It’s all about living our values and setting 

the standard in everything we do. 

ERIK URNEs

10 | OUR VIsION 

OUR VIsION 

To set the standard in our industry segments – to 

leverage our outstanding customer relationships, 

to secure a leading innovative edge and foster a 

culture always striving for the best solutions for 

our customers, our group and the environment.

OUR VALUEs 

We put DRIVE and PAssION into everything we do. 

“The reset of the massive arts and crafts chain michaels engaged and 

animated the entire ColArt organisation. This concerted, global effort 

ensured a successful process and earned ColArt the michaels Vendor of 

the year award – for the second straight year!” 

Anne-Marie Moesch, Senior Product Manager, ColArt, Americas 

We stand for TRUsT and INTEGRITy in our relationships with 

customers, employees and the environment. 

“When the decision was made to consolidate ColArt’s manufacturing, 

everyone was invited to the table in order to assure the best possible 

outcome. A deep sense of mutual trust enabled ColArt to successfully 

manage this change event.” 

Gilles Gomas, Operations Director, ColArt, France 

We foster a BUsINEss-mINDED culture at every level of the 

organisation. 

“Efficiency, quality and reliability are key in today’s highly competitive 

marketplace. We’re never satisfied with the solutions of today and are 

constantly exploring new methods and technologies that will enable us 

to bring higher value to both our customers and ourselves” 

Percy Xu, Production Manager, Becker Industrial Coatings, Shanghai 

We maintain a strong CUsTOmER FOCUs in every decision 

and process. 

“I take pride in our razor-sharp customer focus. It’s something that goes 

without saying. The customer is right there with us in everything we do.” 

Michal Stasiak, Coil Sales Manager, Becker Industrial Coatings, Poland 

We are UNIFIED and WORKING TOGETHER to set the 

standard. 

“Tapping into our vast employee knowledge base provides a wealth 

of perspectives and options. Also, it energizes the entire workforce by 

demonstrating that is truly a group effort.” 

Mike Weihrauch, Quality Assurance Manager, 

Becker Industrial Coatings, US 

OUR VALUEs | 11

12 | BUsINEss AREAs 

THE BECKERs WAy 

INTEGRATING INNOVATION, mANUFACTURING 

AND mARKETING. We’re seamlessly integrated – from 

scientists to salespeople. Meeting evolving customer 

and consumer needs in a highly competitive market 

demands a holistic approach. 

IDENTIFyING, LIsTENING AND ACTING. We innovate 

and deliver quality, relevant and reliable products and 

services. Customer success depends on it. 

ENGAGING THE RIGHT TALENT. We build top-flight 

teams by attracting, developing and retaining the best 

talent the market has to offer. Excellence and diversity 

translate to market leadership. 

LEVERAGING A GLOBAL NETWORK. We serve 

customers across the globe, harnessing best practices, 

economies of scale and leading-edge technology. This 

is a must in today’s globalised marketplace. 

BUILDING LAsTING LOCAL RELATIONsHIPs. We 

forge enduring partnerships, empowering our people 

on the ground to anticipate and respond quickly to 

customer needs. Global reach is nothing without a 

local touch. 

PROmOTING GOOD CORPORATE CITIzENsHIP. 

We strive to set the standard when it comes to 

sustainability, environmental practices and code of 

conduct. Our planet’s people and natural resources 

must be part of the equation. 

BECKER INDUsTRIAL COATINGs KEy FIGUREs 2010 

Net sales, SEK million 4 328 

Investments, SEK million 85 

Average number of employees 1 686 

Group share 

of net sales 

71% 


of net sales 

29% 


of employees 

55% 

COLART KEy FIGUREs 2010 

Net sales, SEK million 1 761 

Investments, SEK million 49 

Average number of employees 1 380 


of employees 

45%

BECKER INDUsTRIAL COATINGs 

COLART

14 | BECKER INDUsTRIAL COATINGs 

sWEDIsH PAVILION, ExPO 2010 sHANGHAI, EmPLOyING BECKRyTHERm COATINGs

BecKer industrial coatings


RALPH KABALO | 

CHIEF ExECUTIVE 

OFFICER 

Becker Industrial Coatings is the European market leader in coil 

coating, used to pre-coat steel and aluminium for subsequent 

forming, without damage to the finish. It is also a major supplier 

of industrial finishing systems for metals and plastics. 

Rest of the world 10% 

Rest of Europe 19% 

Russia 6% 

Italy 8% 

France 13% 

5000 

4000 

3000 

2000 

1000 


of net sales 

0 

Net sales by market 2010 

71% 

Net sales, sEK million 

10 09 08 07 06 


of employees 

55% 

Asia 23% 

North America 6% 

Germany 5% 

sweden 3% 

UK 7% 




Average number of 1 686 1 678 1 779 

employees 

GLOBAL ExPERTIsE, 

WORLD-CLAss sERVICE 

Becker Industrial Coatings is a leading global manufacturer and supplier of 

coatings for a wide range of applications. Its innovative, world-class products and 

quality customer service have earned the company a strong reputation in Europe 

and Asia as well as growing recognition in North America. 

Becker Industrial Coatings serves leading manufacturers and supply chain 

partners, producing coil coatings for residential and commercial construction, 

and special coatings for agricultural and construction equipment (ACE), defence, 

automotive parts and many other finished products. The Beckers Consumer Design 

Finishes (Beckers CDF) unit innovates and manufactures finishes for consumer 

electronics and household appliance producers. Becker Industrial Coatings works 

closely with customers, leveraging leading-edge technologies to meet today’s 

exacting coating needs. 

yEAR IN REVIEW 

The entire coatings industry was hit hard during the global financial crisis. As 

customers eased or completely halted production, the company pursued targeted 

austerity measures in order to absorb the market downturn. Becker Industrial 

Coatings set itself apart from industry peers, however, by refusing to cut back on 

two critical departments: R&D and sales. 

In fact, by continuing to inject new technologies into the pipeline and keeping 

the sales force on the road, Becker Industrial Coatings was able to capture market 

share during the downturn. This key insight – that lasting customer relationships 

are built on genuine loyalty and must be able to weather any storm – has helped 

to poise the company for further growth and expansion. 

OUR mARKET 

The market picked up in early 2010, easing during the second half of the year. 

Uncertainty about the pace of recovery persists, which is depressing investment 

levels in areas crucial to the special and coil coatings businesses, such as 

transportation and commercial construction. Geographically, Becker Industrial 

Coatings’ West European and North American markets remain stable, and the 

Asian and Central European markets are trending up. 

The market drivers for the Beckers Consumer Design Finishes unit are different; 

demand for personalised consumer electronics is driven by consumers’ fast-paced 

trend sensitivity and ever-evolving fashion sense.

Major highlights during 2010 included coatings for the new football stadium 

in Durban, South Africa, which hosted the 2010 World Cup, as well as for the 

Chinese and Swedish pavilions at the Expo 2010 Shanghai. Becker Industrial 

Coatings also saw growth in the Russian coil coatings market. Once again, the 

company owes this success to its focus on close customer relationships. 

OUR CUsTOmERs 

Becker Industrial Coatings’ unrelenting commitment to customer service spans the 

entire value chain, from its scientists to its sales force. For nearly 20 years, Becker 

Industrial Coatings has conducted rigorous R&D through, among other facilities, 

the Long Term Development (LTD) laboratory in the United Kingdom. Recently, 

LTD has been researching pre-treatment primers, bio-sourced raw materials, more 

durable polyesters and heat-absorbing paint. A new LTD-unit was during 2010 

established in Malaysia. 

When it comes to special coatings, the company’s R&D experts are exploring 

new ways to add value to customers businesses. Lowering paint-application 

costs through the advent of one-coat finishes can also help boost energy savings. 

Beckers Consumer Design Finishes has seen strong growth in the personal 

computer industry. Demand is high for decorative and protective coatings and 

finishes for consumer electronics goods as well as for UV products for appearance. 

OUR PEOPLE 

Becker Industrial Coatings works hard to attract, retain and develop the best talent 

the market has to offer. Employees aim to set the standard every day, in every way, 

and in every area of the organisation – from science to sales. 

Living and breathing the company’s core values comes naturally and 

instinctively. This singular mindset provides a firm foundation as the company 

redoubles its efforts, defining new strategic priorities, setting even higher goals 

and implementing new programmes to improve sustainability. 

OUTLOOK 

Overall, the outlook for 2011 is optimistic. In Europe, Becker Industrial Coatings 

is adapting its organisation to better meet customer needs. It is also launching a 

new operation in South America and expects further growth in the Asian, Central 

European and North American markets. 

The company will continue to aggressively pursue R&D innovation and sales 

activities, coupled with the implementation of a more business-segment-oriented 

structure. Ralph Kabalo retired at the end of 2010 after serving Beckers for 28 

exceptional years. Dr Boris Gorella succeeded Ralph Kabalo as CEO of Becker 

Industrial Coatings effective 1 January 2011. 

Paint it red 

The China Pavilion or “Crown of the East”, 

erected for Expo 2010 Shanghai, arises from the 

concept of “Oriental Crown, Splendid China, 

Ample Barn, and Rich People” and expresses 

the spirit and disposition of Chinese culture. 

The pavilion’s stunning and highly symbolic red 

exterior – projecting a complex array of values 

such as fortune, joy, happiness and harmony – 

was made possible by the technical expertise 

of Becker Industrial Coatings. 

Initially, however, the Construction 

Headquarter Office of Expo 2010 Shanghai 

faced a vexing challenge. Large structures are 

seldom, if ever, entirely red because this can 

cause unwanted residual visual stimulation. 

The China Academy of Art was approached to 

address this issue, and it developed a precisely 

gradated colour scheme, which was presented 

to BIC Shanghai. 

BIC Shanghai then partnered with 

the architects at Hunter Douglas China to 

calibrate colours and materials in an effort 

to achieve a perfectly balanced and uniform 

“Chinese Red” system for surfaces ranging from 

aluminium to canvas. The joint effort resulted 

in a distinct, integrated red colour scheme 

that merges seamlessly when seen from afar, 

while revealing intricate variations up close. 

What’s more, varying light conditions produce 

different and striking visual effects. 

Becker Industrial Coatings’ rigorous testing 

and unflinching commitment to the project 

were rewarded and it was named the supplier 

of all interior and exterior coil-coated material 

for the China Pavilion. The eye-catching 

pavilion earned high praise from Shanghai’s 

mayor, Han Zheng, and will be enjoyed by 

generations to come.


HIGH PERFORmANCE, HIGH FAsHION 

Beckers Consumer Design Finishes (Beckers CDF), an 

integral part of Becker Industrial Coatings, develops and 

applies protective and decorative coatings and finishes 

for a wide range of consumer electronics products as 

well as major household appliances. Buying decisions 

are increasingly based on form, feel and function. 

Individualistic consumers are demanding greater 

personalisation capabilities and dynamic product 

finishes often are the first thing to grab one’s attention in 

a retail setting. Beckers CDF helps its customers bring 

the next big thing to market in the most eco-effective, 

sustainable way possible. 

RIsING TO THE CHALLENGE 

In response to a steady rise in consumer demand for 

individualised electronic goods, Beckers CDF’s colour 

styling experts, chemists and application professionals 

are embracing new competencies and technologies 

that integrate seamlessly into global supply chains. 

This forward-looking approach, combined with 

Becker Industrial Coatings’ extensive expertise in 

high-performance coatings and finishes, allows Beckers 

CDF to meet and exceed the exacting demands of 

manufacturers worldwide. 

In today’s marketplace, consumer electronics 

products, such as mobile phones and e-book readers 

must meet discerning fashion and function needs. 

Wear resistance, for example, is a major concern 

for mobile handsets. Major appliances also require 

coatings that combine aesthetically harmonious 

design features and daily use durability. Beckers CDF 

engineers and delivers high-performance decorative 

Design Innovation, merging Trend Forecasting with Colour and 

Effect Design is one of Beckers CDFs key areas. 

and protective solutions that give manufacturers 

a competitive advantage and help build consumer 

loyalty. 

AHEAD OF THE CURVE 

Securing its position on the cutting edge of technology, 

Beckers CDF has dedicated the past year to amassing 

worldclass design and R&D resources. The group’s 

core mission is to turn new trends and technologies 

into mass-market solutions. Beckers CDF also forged a 

number of partnerships in 2010 in a move to accelerate 

product development. These partnerships will evolve 

into a full-fledged innovation concept in 2011. 

In addition to trend analysis and customer workshops, 

Beckers CDF is strengthening its abilities to 

anticipate consumer needs. Beckers CDF also partners 

with innovative companies to explore new ways 

to reduce the carbon footprint and environmental 

impact attributable to raw materials, production 

and application processes. The ability to continually 

engineer and deliver inspirational and functional 

surface solutions means staying ahead of the curve. 

NEW CONVERsATIONs IN 2011 

Beckers Consumer Design Finishes continues to 

strengthen its organisation, globalising its Design 

Innovation unit and expanding its marketing activities. 

The ongoing development of a new, strategic 

marketing toolbox will enable Beckers CDF to engage 

with stakeholder audiences in their desired arena – 

from interactive websites and webinars to Twitter, 

Facebook and other social media outlets. Going 

forward, these efforts will enhance Beckers CDF’s 

proximity to the various stakeholders engaged in the 

hundreds of projects Beckers CDF manages every day. 

It’s all about being in the right place at the right time. 

Bridging cultural gaps and breaking down 

language barriers are key in global business. As Beckers 

Consumer Design Finishes expands, it must continue 

unleash its synergistic learning organisation. This 

global effort is framed by five core values and guided 

by the Beckers group Code of Conduct. Building a 

cohesive team around these values and articulating 

a strong brand will enable Beckers CDF to embrace 

new challenges and exceed expectations in 2011. 

Beckers CDF is well on its way to setting the standard 

in relation to its competitors and customers.

Becker Industrial Coatings welcomes Dr Boris Gorella as 

its new CEO, effective 1 January 2011. 

Boris Gorella, 45, holds a Ph.D. in chemistry and an 

MBA (INSEAD) and has over 21 years’ experience in the 

chemical industry. Prior to joining Becker Industrial 

Coatings, Boris Gorella held positions at Degussa/Evonik 

and BASF. He has also worked for leading private equity 

and consulting firms. Boris Gorella spent over six years 

running a business in the Asia Pacific region, headquartered 

in Shanghai, China. Boris Gorella is married 

and has one daughter. 

WHy DID yOU DECIDE TO jOIN BECKER INDUsTRIAL 

COATINGs? 

This is an exciting industry with fantastic growth opportunities. 

Carving out a leading position in the marketplace 

demands a strong commitment to customer 

satisfaction backed by outstanding technologies. Becker 

Industrial Coatings combines a highly motivated sales 

force with a depth of expertise and a strong technology 

platform. I am very excited to join the Becker Industrial 

Coatings team. Its business achievements and potential 

are impressive, as are the standards and values of the 

entire Beckers Group. 

HOW DO yOU PLAN TO mAKE THE COmPANy mORE 

sUsTAINABLE? 

Improving sustainability is a priority at Becker Industrial 

Coatings as well as among its customers and suppliers. 

Becker Industrial Coatings will play an active role 

THE NEW BECKER INDUsTRIAL 

COATINGs CEO 

in implementing the group-wide sustainability 

programme. Not only do I personally believe that this is 

the right thing to do, it is fully in line with our strategic 

priorities. 

WHAT Is yOUR mANAGEmENT PHILOsOPHy? 

The coating business remains largely decentralised 

when it comes to customer structures. Providing the 

best possible customer service demands a strong local 

presence. However, different customer groups and 

regions require different expertise. Our management 

structure and style will reflect this reality. At the backend 

of the value chain we see significant synergies 

in leveraging our global research and operational 

knowledge across groups and regions. I believe in factbased 

management decisions and value a passionate, 

loyal and collaborative team. 

WHAT Is yOUR VIsION FOR THE COmPANy? 

To become the world’s leading coating company in 

our market segments. I am confident we will achieve 

this by setting the highest standards, leveraging our 

outstanding customer relationships and securing our 

leading edge in innovation and technology. 

WHAT DO yOU LIKE TO DO IN yOUR FREE TImE? 

I try to spend as much time as possible with my family. 

We enjoy nature and spend quite a bit of time in the 

great outdoors. If time permits I try to improve my golf 

game and catch up with my wife’s handicap. 

BECKER INDUsTRIAL COATINGs | 19

20 | COLART 

DANIEL PREECE IN HIs sTUDIO UsING WINsOR & NEWTON® ARTIsTs’ OIL COLOUR

colart

22 | COLART 

Net sales by market 2010 




Average number of 1 380 1 405 1 483 

employees 

2500 

2000 

1500 

1000 


of net sales 

500 

0 

29% 

10 09 08 07 06 

THOmAs 

BRÄUTIGAm | 

CHIEF ExECUTIVE 

OFFICER 

ColArt produces and markets many of the world’s top brands of 

fine art materials and helps artists, school children, hobbyists and all 

others interested in arts and crafts around the world give colour to 

their creativity. 

Rest of the world 7% 

Asia 10% 

North America 32% 

Net sales, sEK million 

Europe 51% 


of employees 

45% 

HELPING ARTIsTs CREATE ENDURING 

mAsTERPIECEs 

ColArt is the global leader in branded artist colours 

and fine art materials. It develops, manufactures and 

markets a wide range of products, serving artists of 

all abilities in over 120 countries worldwide. Taken 

together, ColArt’s brand portfolio is the strongest 

in the industry. Each individual brand, however, is 

calibrated to a specific target group. 

Winsor & Newton® is the only truly premium 

global brand in the fine art market and the world’s 

largest premium fine art brand. Lefranc & Bourgeois® 

is the leading fine art brand in France and the 

French-speaking territories, and Liquitex® commands 

a world-leading position in acrylic and innovative 

colour media. The rest of the brand portfolio consists of well-known brands such 

as Reeves®, Conte® and Snazaroo®. 

ColArt leverages an unrivalled history, unbending commitment to superior 

quality and team of dedicated professionals – all in an effort to help artists create 

treasured and timeless masterpieces. 

yEAR IN REVIEW 

While it appears as though the most severe phase of the global financial crisis 

has passed – and, indeed, one can see signs of recovery in some countries – the 

situation remains fragile and jitters persist. ColArt, for its part, remains cautiously 

optimistic going forward. However, it must be said that 2010 has been a year of 

mixed blessings. 

On the one hand, some difficult decisions had to be made this year, which 

unavoidably affected a number of ColArt employees. After 77 years of colour 

production at the site, ColArt announced plans to wind down the Wealdstone 

plant in Harrow, United Kingdom. The increasingly competitive market demanded 

a consolidation of the colour manufacturing operations. Situated in a densely 

populated residential area, the Wealdstone facility offered limited opportunities 

for the expansion needed to meet this demand. 

On the other hand, ColArt’s continued attention on cost-efficiencies has paid 

off. It’s moving towards a leaner organisation, and with volumes beginning to 

rebound, the stage is set for a more positive scenario. The consolidation of the 

colour manufacturing operations will, in addition to reducing the company’s 

overall carbon footprint, enable strategic investments in marketing and other 

commercial activities aimed at generating growth. We stand poised for expansion, 

due in large part to the hard work and determination of employees at every level 

of the company. 

OUR mARKET 

The artist material market comprises a number of product segments, including 

colour, surface materials, applicators and accessories. Brands play an important role 

because consumers want a wide assortment of high-quality, durable products they 

can trust. In light of retail consolidation, suppliers must have international reach 

and respond to an increasing demand for private labels and solid logistical systems.

There is general production overcapacity, which is particularly evident in Europe 

now that a great deal of manufacturing has shifted to the Far East. 

The market for artist materials is trending in line with GDP. In general, the art 

materials market tends to be less sensitive to financial-crisis-related fluctuations 

and volatility. ColArt is addressing most of the strategic challenges by focusing 

on key customers, product innovation, efficiency programmes and a commitment 

to the art education community. 

OUR CONsUmERs AND CUsTOmERs 

In February, Michaels Stores, Inc., North America’s largest arts and crafts specialty 

retailer with over 1,000 stores, implemented a massive plannogram reset across 

Canada and the continental United States. ColArt designed, manufactured and 

successfully rolled out almost eight miles of fixtures dedicated to colours and 

brushes. 

Fundamentally, though, our business is consumer-driven. Success means 

understanding and listening to the artists that use our products, and reaching out 

to those who don’t. 

Artists are fiercely product and brand loyal. Once they come to know and trust 

a particular product, they seldom stray. They may use one brand for water colours, 

and a different one for acrylics. In some cases, artists prefer a palette of different 

brands within the same product category. ColArt strives to offer a range of brands 

and categories to match each artist’s distinct preferences and personality. 

The artist community thrives on reputation and word of mouth. Capturing 

market share in this business means earning the respect of influencers within 

this community. Thus, ColArt has for many years worked closely with leading art 

institutions and artists. 

OUR PEOPLE 

The decision to close the Wealdstone plant was not an easy one. However, 

every care has been taken to ensure responsible outcomes for the 190 people 

employed at the facility. ColArt has initiated far-reaching measures – such as 

outplacement programmes, job training and other related activities – to ensure a 

successful transition for our employees. Looking to the future, focus has also been 

put on clarifying structures and establishing effective management practices 

including communication, performance reviews and succession planning. ColArt 

takes its role as a good corporate citizen – both internally and externally – very 

seriously and works diligently to set the standard every day and every way. 

OUTLOOK 

Looking ahead to 2011 and beyond, ColArt is cautiously optimistic. Global 

markets are out of sync, with inflation in China and deflationary concerns in the 

West. When it comes to raw materials prices and other costs, the next 12 months 

could be bumpy. At the same time, ColArt’s 

consolidation efforts, cost-efficiencies as 

well as investment in the core business and 

targeted marketing activities create the 

conditions for a positive scenario. ColArt is 

poised for growth and expansion. 

THE mICHAELs REsET 

Michaels Stores, Inc. is North America’s largest 

arts and crafts specialty retailer, whose over 1,030 

stores sell a range of products from floral and 

candles to scrapbooking materials and fine art. 

Although primarily considered a crafts destination, 

Michaels is ColArt’s largest customer in the U.S. 

As a member of the Michaels key vendor 

council and its category leaders in the fine art 

area, ColArt participated in a 2006 study to identify 

the Michaels consumer and, based on insights, to 

present a “Blue Sky” concept for this department. 

In 2007, ColArt unveiled a store-in-store 

concept positioning Michaels as a credible 

destination for fine artists, and promoting ColArt’s 

leading global brands. The new Michaels Fine 

Art Plannogram was successfully rolled out 18 

months later. 

Today, Michaels offers a more targeted 

selection of ColArt’s core fine art brands. ColArt 

was also able to better utilise existing retail space, 

growing the number of linear metres available for 

displaying products. ColArt’s year-to-date sales 

increases reflect the more harmonious mix of 

brands and product ranges. In fact, following the 

reset, the fine art department has outperformed 

Michaels’ overall sales increase. 

Signalling ColArt’s success in setting the 

standard for this major customer, ColArt earned 

Michaels’ coveted Vendor of the Year Award in 

2009 and 2010 in recognition of its customer 

focus, professionalism and passion during the 

conceptualisation and execution of the new 

plannogram.

24 | CsR – HUmAN REsOURCEs / sUsTAINABILITy 

sETTING THE 

sUsTAINABILITy sTANDARD 

Setting the standard speaks to goals and ambitions. It’s 

about the journey. As a leading company present in all 

major markets from North America and Europe to Asia, 

Beckers always strives to set the highest of standards. 

As Beckers embraces a more sustainable approach in 

everything from sales to science, it’s only natural that it 

strives to set the standard in this area, too. 

Beckers aims to be socially, environmentally and 

financially sustainable. The company takes a long-term 

view and is adopting a systematic implementation 

strategy. Dialogue with stakeholders informs the 

effort to define guidelines and policies. Promoting the 

interests of current and future generations animates 

the company’s drive to sustainability. 

sUsTAINABILITy mAKEs GOOD BUsINEss sENsE 

Beckers is a global manufacturer whose operations 

have environmental implications. Sustainability is 

not only vital to the planet; it’s also business-critical. 

Customers are increasingly demanding sustainable 

products and purchasing criteria often include high 

sustainability performance. 

With new challenges come new opportunities. 

Indeed, technological advancements are promising 

the possibility of environmentally responsible products 

that offer superior performance and aesthetics. 

In addition to a reduced carbon footprint and 

other environmental upsides, Beckers believes that 

its sustainability efforts will have a positive impact 

on its brand and bottom line. Elevated employee 

satisfaction and customer loyalty, greater production 

and logistics efficiencies as well as a sharper focus 

on R&D innovation are just some of the positive side 

effects to be expected. Simply put, doing good makes 

business sense. 

A NATURAL sTEP TOWARDs sUsTAINABILITy 

A sustainability pilot study, launched at the Märsta 

facility in Sweden in 2009, was completed this 

year. Becker Industrial Coatings, together with the 

international non-profit organisation The Natural 

Step, conducted a Sustainability Life Cycle Analysis 

(SLCA) of several Beckers products and a Climate 

Analysis examining the carbon footprint of the facility 

itself. Beckers plans to implement The Natural Step’s 

framework for sustainable development across the 

entire organisation. 

WHAT Is A sUsTAINABLE PRODUCT? 

The SLCA pilot study sets the parameters of a wholly 

sustainable product. Beckers has established the 

following criteria for a sustainable coating: 

1. It does not contain mined materials that are scarce 

in nature. It is free from persistent substances. 

It uses renewable raw materials from sustainably 

managed ecosystems. 

2. It is manufactured and transported using energy 

derived from renewable and sustainable resources. 

Production and packaging processes are designed 

to be closed-loop. 

3. It eliminates the risk of exposure to health and 

environmental hazards and improves the living 

standard for all people on the planet through a 

more efficient utilisation of natural resources.

CsR - HUmAN REsOURCEs / sUsTAINABILITy | 25

26 | CsR – HUmAN REsOURCEs / sUsTAINABILITy 

A GLOCAL APPROACH 

Beckers is adopting a glocal – global and local – 

approach, enabling a systematic company-wide rollout. 

A dedicated sustainability task force will craft the 

overarching strategy, delegating implementation to 

local business units. 

In 2011, a thorough analysis will be performed, 

providing Beckers a baseline from which to measure 

its global environmental impact. Each site will be able 

to measure and report its impact by 2012. 

EVERyDAy sUsTAINABILITy 

Operations. Products. Relationships. Beckers’ goal 

is to be sustainable in all of these areas, seamlessly 

integrating social, environmental and financial 

sustainability into the way it does business – every day. 

When it comes to operations, setting the 

standard means compliance with the Beckers 

Code of Conduct, as well as adherence 

to laws and regulations. Operational 

excellence also demands lean 

manufacturing practices and efficient 

resource management. Beckers engages 

in cross-functional knowledge sharing 

and leverages best practices at all levels. 

Global targets and local ingenuity are key 

to achieving sustainable operations. 

Beckers strives to develop and 

manufacture high-performance, 

sustainable products. The sustainability 

mindset shall permeate the entire process, 

from science to sales. Though the company 

adopts different strategies for each 

product, the ultimate goal is the same. 

Stakeholder relationships are crucially 

important and depend on trust, integrity 

and transparency. Beckers will never 

engage in so-called Greenwashing. The 

company’s sustainability ambitions are 

genuine and sincere. Beckers will continue to be 

a valued employer and good corporate citizen in 

every country where it is present. An unwavering set 

of sustainable beliefs and values will help to attract and 

retain the best talent and most sought-after customers. 

sUsTAINABLE HR 

Beckers believes that a sustainable world starts at 

home – within the company. Though truly a global 

enterprise, Beckers remains family owned and 

operated. The engaged ownership of the Lindén family 

is particularly evident in its approach to employee 

relations. To be sure, employee health and wellbeing 

are tremendously important at Beckers and the 

company goes to great lengths to ensure that its 

people prosper in the workplace. 

Beckers’ decentralised organisation empowers 

people with local knowledge and expertise. The 

business areas are agile and flexible, assuming 

responsibility for nearly all human resource decisions 

as well as for sales and profitability targets. This strong 

local presence mitigates risk and enhances service. 

LIVING THE CODE OF CONDUCT 

The Beckers Code of Conduct sets forth the ethical 

and moral guidelines for the entire organisation. Under 

the Code, the company adheres to and promotes 

standards and values pertaining to human rights, 

labour standards, anti-corruption and the environment 

as stated in the Ten Principles of the United Nations 

Global Compact. Beckers strictly enforces this Code of 

Conduct, which has been translated into 24 languages 

and distributed worldwide. 

THE ROAD TO A sUsTAINABLE BECKERs 

There is much work yet to be done. During the 

coming year, Beckers will perform thorough analyses 

and identify action points. The company is deeply 

committed to this effort and will devote the resources 

and manpower needed to realise its vision of a 

sustainable organisation that works in harmony with 

the environment. 

Beckers is confident that it can meet these goals 

by relying on its inherent strength, innovation and 

endurance. Beckers will get there – one green step at 

a time.

jENNy LINDéN URNEs, CHAIRmAN, DIsCUssEs 

THE BECKERs APPROACH TO sUsTAINABILITy 

ExPLAIN THE ROLE OF sUsTAINABILITy AT 

BECKERs. 

Beckers has a long tradition of environmental awareness, 

but until now it hasn’t been formalised into a 

global policy framework and set of guidelines. We’re 

stepping up the effort to integrate sustainability into 

the way we do business at Beckers. 

WHy Is sUsTAINABILITy ImPORTANT? 

Our products have an undeniable impact on the 

environment. Our footprint encompasses everything 

from raw materials and manufacturing to transportation 

and application. The future of our planet and our 

business depends on our ability to adopt and embrace 

sustainable solutions. 

HOW ARE yOU GOING TO mAKE BECKERs mORE 

sUsTAINABLE? 

We’re getting everyone involved, in addition to 

building a dedicated organisation for the 

implementation. Also, the Natural Step® will work 

alongside Beckers throughout this process. 

CsR – HUmAN REsOURCEs / sUsTAINABILITy | 27 

ARE yOU PERsONALLy INVEsTED IN THIs PROjECT? 

Absolutely. Environmental issues have been important 

to me for a very long time and when I assumed ownership 

of Beckers I made sustainability a top priority. But 

I’m not alone. In my conversations with our people 

around the world it’s clear that sustainability matters. 

WHEN DO yOU ExPECT TO sTART sEEING sOmE 

REsULTs? 

We’re making good progress and setting targets. But 

the roll-out will take some time. I’m confident that a 

sustainable Beckers is within our grasp.

28 | CORPORATE GOVERNANCE 

CORPORATE GOVERNANCE 

REPORT 2010 

AB Wilh. Becker hereby submits its Corporate 

Governance Report for 2010. The company auditors 

have not reviewed this report. 

Lindéngruppen AB owns 100% of the parent 

company, AB Wilh. Becker. The owner assumes ultimate 

responsibility for matters pertaining to corporate 

governance through the appointment of the Board 

of Directors, Chairman and Auditors at the Annual 

General Meeting (AGM). The Board of Directors is 

responsible for ongoing compliance with prevailing 

laws, regulations and guidelines. 

AGm 

The 2010 Annual General Meeting was held on 31 May 

2010 in Viken, Sweden. AB Wilh. Becker conducts its 

AGM in Swedish. The agenda of the Annual General 

Meeting includes the election of the Chairman and 

Board of Directors. No new directors were elected 

and none resigned in 2010. However, Kjell Lindgren 

and Patrik Adolfsson no longer serve on the Board of 

Directors as they represented the employees of Becker 

Acroma, which was divested to The Sherwin-Williams 

Company in 2010. 

Election 

Board of Directors 

AB Wilh. Becker 

Election 

Election 

CEO 

AB Wilh. Becker 

Report 

Operational Board 


Business Area 

Manager 


AGM 

REmUNERATION TO THE AUDITORs AND BOARD 

OF DIRECTORs 

Remuneration to the Board of Directors was set at SEK 

1,200,000, to be allocated evenly between the Board 

members elected by the AGM and not employed by the 

group. Remuneration to personnel representatives is 

SEK 2,000 per person and meeting. Remuneration to the 

Auditors was set in accordance with current account. 

REsPONsIBILITIEs AND 2010 REVIEW 

The Chairman ensures that the Board of Directors acts 

in compliance with the Swedish Companies Act as well 

as with other relevant laws and regulations and the 

company’s own system of internal audits. The Chairman 

monitors operations in dialogue with the CEO and is 

responsible for furnishing the Board of Directors with 

timely and performance-critical information. 

The Chairman leads the Board’s activities and 

serves as a link between the Board and the executive 

management. The Chief Legal Officer serves as the 

Board’s secretary. Employees are invited to attend 

meetings of the Board when, for example, presenting 

the findings of a report or for administrative purposes. 

Report 

Operational Board 

ColArt 

Report Report Election Report Election 

Election 

Report 

Business Area 

Manager 

ColArt 

Report 

Report 

Auditors 

Election

Board BIC, Viken o�ce 

Board ColArt, London 

Board AB Wilh. Becker, Viken o�ce 

Strategic review business areas, YTD Aug. 

Board ColArt, Le Mans o�ce 

Board BIC, Paris 

Board AB Wilh. Becker, extra meeting 

Divestment of Becker Acroma 


Budget 2011, Forecast 2010, YTD Nov. 

The Board of Directors comprises seven members, 

elected by the Annual General Meeting, as well as two 

employee representatives appointed by the labour 

unions. The Board of Directors defines the Group’s overall 

strategy and enforces compliance with Swedish 

Companies Act. Further, the Board of Directors establishes 

guidelines for group operations in accordance 

with the strategic and budgetary framework. 

The Board of Directors supervises the activities of 

the Chief Executive Officer on a regular basis throughout 

the year. The Board presents the annual financial 

statement at the AGM. 

Under the rules of procedure, the Board of 

Directors is to hold four meetings annually in addition 

to the statutory meeting. However, the Board of 

Directors may meet on further occasions should 

circumstances demand it. 

In 2010, the Board held four ordinary meetings, one 

statutory meeting and three extra meetings. Regular 

business at scheduled meetings includes, among 

other items, a review of key financials, sales targets 

and investment decisions. In 2010, the Board decided 

on the divestment of Becker Acroma, and addressed 

issues related to the global financial crisis, as well as the 

company’s sharper focus on corporate governance and 

sustainability. 

AUDITORs 

The Annual General Meeting elects the Auditors every 

four years. The Auditors examine the full-year financial 

results and internal financial controls, and present their 

findings in person to the Board of Directors. 

CEO AND sENIOR OFFICERs 

Appointed by the Board of Directors, the CEO assumes 

overall responsibility for group operations as determined 

by the Board. A management team comprising the Chief 

Financial Officer, Chief Legal Officer, Business Area CEOs 

Q3 

Q4 

Oct 

Sep 

Nov 

Aug 

Dec 

Jul 

Jan 

Board Meetings 

– annual cycle 

Feb 

Q1 

Mar 

Apr 

Board ColArt, Wealdstone o�ce 



Annual Report 2009, Auditors Report,YTD Feb. 


Divestment of Becker Acroma 

May 


Jun 

Q2 Divestment of Becker Acroma 


AGM, Viken o�ce 

Board AB Wilh. Becker, Statutory meeting 

Board ColArt, Viken o�ce 


Forecast 2010, YTD May 

and Director of Business Development supports the 

Chief Executive Officer. 

Group management convenes regular meetings 

during the year to co-ordinate and pursue the overall 

strategy for the group and its business areas. The 

management team addresses a wide range of issues, 

including market trends, budgetary matters, financial 

performance, personnel, potential investments and 

divestments and regulatory compliance. 

The Chief Executive Officer complies with the 

Swedish Companies Act and acts within the framework 

established by the Board of Directors. In consultation 

with the Chairman of the Board, the Chief Executive 

Officer prepares the necessary and decision-critical 

information ahead of Board meetings. 

The Chief Executive Officer provides regular status 

reports to the Board of directors on such matters as 

sales and operations. 

Group management conducts regular operational 

reviews, which are led by the Chief Executive Officer. 

OPERATIONAL BOARDs 

The Chief Executive Officer appoints members of an 

operational board for each business area. The members 

may be senior officers, including the Business Area 

CEO, as well as external members. The Beckers Group 

Chief Executive Officer and Chief Financial Officer are 

members of both operational boards. The operational 

boards address a wide range of issues, including marketing, 

investment strategies, personnel, financial 

performance and product range. 

Each operational board conducts four regular 

meetings per year. The purpose of the operational 

board is to explore relevant issues in greater detail and 

before, if so required by the Beckers Group’s Rules of 

Procedure, being presented to the Board of Directors 

of AB Wilh. Becker. 

CORPORATE GOVERNANCE | 29

30 | BOARD OF DIRECTORs’ REPORT 

BOARD OF DIRECTORs’ REPORT 

The Board of Directors and the Chief Executive Officer 

of AB Wilh. Becker, corporate registration number 

556221-9104, hereby present the Annual Report and 

consolidated accounts for the 2010 financial year. 

• Business area Becker Acroma was divested to The 

Sherwin-Williams Company as of 1 September 2010. 

Beckers Group reported capital gains of SEK 880 

million from the divestment. 

• Cash flow from operations for Beckers Group totalled 

SEK 226 million. 

• Sales increased by 2.4% for Beckers Group ongoing 

business. Sales at constant exchange rates increased 

by 9.3%. 

• Profit after financial items increased to SEK 1,212 

million (46). 

• Becker Industrial Coatings divested the Inks business 

in Italy. The selling price was SEK 34 million which 

was also the book value. BICs ongoing business grew 

by 6%. Sales at constant exchange rates increased by 

12.8%. 

• ColArt sales decreased by 5.7%. Sales at constant 

exchange rates increased by 1.4%. 

OWNERsHIP sTRUCTURE 

The Parent Company AB Wilh. Becker is 100% owned 

by Lindéngruppen AB. 

OPERATIONs AND sIGNIFICANT EVENTs DURING 

THE yEAR 

Beckers Group’s operations are divided into Business 

Areas. Becker Industrial Coatings (BIC) is the European 

market leader in coil coatings, used to pre-coat steel 

and aluminium for subsequent forming without 

damage to the finish. It is also a major supplier of 

industrial finishing systems for metal and plastics. BIC 

continued to develop the organisation during 2010 

with more depth in the European organisation. Europe 

has been split into north and south Europe with 

corresponding split of responsibilities. This enables 

BIC to create specific manufacturing centers in each 

region for each type of business, thus increasing 

manufacturing efficiency. The Business Area is the 

largest in the Beckers Group, with 2010 sales of SEK 

4.3 billion. Sales increased 3.3% in 2010 compared 

to last year, and 6.0% on a like for like basis. All areas 

of BIC saw positive sales growth when excluding 

the divested business. BIC Italy divested their Inks 

business in early 2010. The selling price was SEK 34 

million which was also the book value. This business 

was not part of BIC’s core business and was previously 

included in the Special Coatings arm. Coil sales have 

continued to trace a positive trajectory since late 2009. 

The underlying markets have stabilised and, though 

Coil sales have trended up, they have not yet reached 

peak levels of 2007 and 2008. Beckers Consumer 

Design Finishes (Beckers CDF) continues to enjoy good 

growth and profitability. BIC will continue to cement 

its position as leader in the coil coatings, specialised 

metals and plastic finishing sectors. Investments have 

remained in line with modest 2009 levels. Ralph Kabalo 

has, after 28 years of exceptional service, decided to 

retire at the end of 2010. Ralph has been pivotal in 

the development of Becker Industrial Coatings, first 

through his key role at the Beckers Industrie SA in 

France, and then as Business Area Manager for the past 

six years. Dr Boris Gorella succeeded Ralph as CEO of 

Becker Industrial Coatings in January 2011. 

ColArt is the world’s largest producer and dis- 

tributor of artist materials, with 2010 sales of SEK 1.8 

billion. ColArt manufactures and markets some of the 

world’s top brands in fine art materials. Professional 

artists, children, hobbyists, students and other 

enthusiasts from around the world use ColArt’s products 

to express their creativity in colour. In 2010 ColArt sales, 

excluding negative exchange rate effects, and profits 

increased compared to last year. ColArt will continue to 

expand its brand portfolio, while combining organic 

growth with strategic investments in manufacturing 

efficiency. Operations at ColArt’s Wealdstone (UK) 

manufacturing site will be relocated to France in order to 

better utilise production capacity. This strategic move 

will generate cost savings and consolidate manufacturing 

expertise. The project is progressing according 

to plan and will be completed in 2011. Investment levels 

normalised compared to very low levels in 2009. 

Becker Acroma was divested as of 1 September 

to The Sherwin-Williams Company. The selling price 

for Becker Acroma was SEK 1,492 million and Beckers 

Group reported capital gains of SEK 880 million. In 

addition to the selling price, Becker Acroma serviced 

all debt owed to Beckers Group. Becker Acroma’s 

share of the group’s Operating Income for 2010 was 

SEK 81 million (5). The decision to sell was a strategic 

one. It is the opinion of the Board of Directors that

Sherwin-Williams is better positioned to capitalise on 

opportunities presented by accelerated consolidation 

in the industrial wood finishing industry. In addition, 

the transaction put the Beckers Group in a very 

strong financial position, enabling more aggressive 

investments in the remaining the Business Areas: 

ColArt and Becker Industrial Coatings. 

Improvements owing to the centralisation of the 

financing, a process initiated in 2007, have materialised 

in full in 2010. The Beckers Group has benefitted from 

a lower net debt position as well as lower interest 

rates. The parent company, AB Wilh. Becker, handles 

most of the funding needs via a central credit facility 

from a bank consortium. AB Wilh. Becker has, in turn, 

set up cash pools in different currencies to finance 

all subsidiaries. In 2010, Beckers Group signed a new 

agreement for a central credit facility due to the 

divestment of Becker Acroma. 

sALEs AND EARNINGs 

Group sales fell 7.4% to SEK 7.6 billion (8.2). The 

decrease is attributable to the divestment of Becker 

Acroma, which was consolidated for only eight 

months. Group sales for current operations increased 

2.4% to SEK 6.1 billion (5.9). Exchange rate effects on 

consolidated sales during the year were negative. 

Based on constant exchange rates, Group sales for 

current operations increased 9.3%. BIC’s Coil sales 

trended up in the UK, Germany, Italy, France, Middle 

East, Poland, China, Malaysia, Vietnam, India, US and 

Canada. Overall, growth in BIC’s Coil and other 

businesses out-performed expectations. ColArt 

enjoyed sales growth in the US, China, Europe and 

some export markets, offsetting lower sales primarily in 

France and the UK. Raw material prices increased 

significantly during the second half of 2010, and that 

put pressure on value added margins which decreased 

for the full year compared to 2009. Value-added 

margins for the Group decreased to 32.3% (32.5%). 

Upward pressure on raw material prices decreased 

value-added margins for BIC, whilst ColArt was able 

to improve value-added margins from last year. The 

Swedish share of total Group sales amounted to 5% 

(5%) in 2010. Consolidated operating income 

amounted to SEK 1,261 million, of which capital gains 

of SEK 880 million from the divestment of Becker 

Acroma, (187). The restructuring programmes implemented 

in 2009, achieving full effect in 2010, also had 

a positive impact on operating income. Operating 

income for ongoing business was SEK 298 million, up 

63% compared to 2009. Total group operating income, 

including operating income from Becker Acroma for 

the period January – August but excluding capital gain 

of divesting Becker Acroma, reached SEK 381 million 

(187). Net financial items amounted to SEK -49 million 

(-141). Year over year net financial items have improved 

due to rationalisation of financing facilities and lower 

levels of utilised credit. Profit after financial items 

amounted to SEK 1,212 million (46). The return on 

capital employed was 11% (4%). The Group’s equity/ 

assets ratio totalled 58% (31%). 

INVEsTmENTs 

Group investments totalled SEK 157 million (119). 

Becker Industrial Coatings investments totalled SEK 85 

million (74) and ColArt investments totalled SEK 49 

million (12). The largest projects comprised investments 

aimed at increasing capacity and efficiency as well as 

improving environmental performance. 

REsEARCH AND DEVELOPmENT 

The Group pursues R&D projects aimed at improving 

existing products and expanding the product range. 

A great deal of the development effort is conducted in 

close co-operation with customers. R&D costs amount 

to around 3% (3) of sales. BIC conducts development 

locally at most production facilities. The development 

is focused on specific customer requirements and 

improvement of existing products as well as development 

of new products. BIC launched a new Long Term 

Development (LTD) laboratory in Malaysia in 2010, in a 

move to service its expanding business in Asia; it was in 

the start-up phase as of year-end. Together with an 

existing LTD laboratory in the UK, this new unit will 

improve BIC’s long-term research capabilities. 

ENVIRONmENTAL INFORmATION 

The Group manufactures and markets protective and 

aesthetically pleasing coating products. Managing the 

environmental impact of its products – from manufacture 

and application to waste – is a major concern at 

Beckers Group. The Group therefore strives to develop 

products that combine performance and functionality 

with environmental sensibilities. Both business areas 

have their own environmental policy adapted to its 

operations. The companies in the group are striving to 

utilise energy and materials in a resource-efficient and 

environment-friendly manner and at the same time 

minimise the volume of waste and waste material. 

The Group’s Swedish and foreign subsidiaries 

engage in certain permit-regulated activities, primarily 

related to manufacturing processes where the 

environment is affected by air emissions. All operational 

subsidiaries possess the requisite permits. In 

Sweden, the Group has one permit-regulated operation, 

where the permit refers to where the environment 

is affected by air emissions. In Sweden, BIC’s operations 

conform to the ISO-9001 quality and ISO-14001 

environmental systems. 

BOARD OF DIRECTORs’ REPORT | 31

32 | BOARD OF DIRECTORs’ REPORT 

CORPORATE sOCIAL REsPONsIBILITy (CsR) 

Beckers Group continued to follow up and improve 

on its CSR agenda in 2010. A formal CSR policy was 

adopted in 2009; the Beckers Code of Conduct. Beckers 

embraces, supports and enforces – within its sphere of 

influence – the core values of human rights, labour 

standards, as well as of the environment and anticorruption 

as expressed in the Ten Principles of the 

United Nations Global Compact. The introduction of 

Beckers Code of Conduct has resulted in a group wide 

effort in CSR issues that put focus on prioritised areas 

for the group. The work has resulted in concrete 

improvement plans and regular follow-up of the 

performance will be conducted. Beckers Group has in 

addition to that continued to work with the specifically 

designated organisation for CSR issues. The task of this 

organisation is to further develop methods and 

systems for measuring and follow-up of Key Performance 

Indicators related to CSR, all in order to facilitate 

and increase speed of implementation in group 

companies. The goal is to have CSR issues as an integral 

part of the daily processes in all companies and 

functions. The CSR organisation reports directly to 

Beckers Group Management. 

FINANCING AND LIqUIDITy 

The Group’s net financial liabilities (interest-bearing 

liabilities less liquid funds and interest-bearing 

receivables) were positive at year-end 2010. The Group’s 

net financial liabilities were SEK 1.6 billion at year-end 

2009. Cash flow from current operations amounted 

to SEK 226 million (714). The lower cash flow is mainly 

attributable to increases in working capital as activity 

improved in 2010 with added negative impact from 

exchange rate effects. The Group’s liquid funds, including 

unutilised credit facilities, amounted to SEK 2,013 

million (2,106) at year-end. The financial net improved 

significantly during 2010 due to the divestment of 

Becker Acroma. Combined with improved operating 

income, the interest coverage ratio from 1.4 in 2009 

to 6.1 in 2010. The divestment of Becker Acroma has 

improved all aspects of financing and liquidity. In 2010 

the Group continued to wind down credit facilities for 

individual group companies, replacing them with a 

new centralised funding facility. The centralisation has 

created a more flexible funding solution for the Group, 

where actual utilised credit can be minimised and 

interest levels optimised. AB Wilh. Becker signed a new 

five-year financing agreement in late 2010. The new 

financing agreement comprises a credit facility of SEK 

1.5 billion which is conditioned by customary covenants. 

RIsK AND RIsK mANAGEmENT 

The Board of Directors has identified the following 

major risks: business risk, currency risk, interest-rate risk, 

credit risk, liquidity risk, insurable risk and purchasing 

risk. The Group’s risks are mainly managed locally, at the 

Business Area and Business Unit levels, in co-operation 

with the parent company. 

BUsINEss RIsK 

Beckers Group’s exposure to the cyclical construction 

industry represents one of its key business risks. BIC is 

also dependent on a relatively small number of large 

customers within the Beckers CDF business. 

LIqUIDITy RIsK 

Liquidity risk is the risk arising in a scenario in which 

Beckers Group can no longer meet contractual 

obligations through unconstrained access to funding 

at reasonable market rates. Liquidity management 

involves forecasting funding requirements and 

maintaining sufficient long-term credit facilities to 

meet the Group’s funding needs. At year-end, the 

outstanding credit facilities amounted to SEK 1.6 billion 

(3.3), of which SEK 1.4 billion (1.7) were unused. The 

majority of these credit facilities are subject to agreements 

that mature in 2015. The credit facilities are 

conditioned by covenants, with which the Group 

complies. 

INTEREsT-RATE RIsK 

Interest-rate risk is the risk that a change in interest 

rates will have an adverse effect on Group profits. Net 

debt last year totalled SEK 1.6 billion. The Group had a 

positive net-debt position at year-end 2010. The Group 

ordinarily uses interest-rate swaps and interest caps to 

manage this risk. 

CURRENCy RIsK 

Currency risk partly concerns the potentially negative 

impact on profits arising from a commercial transaction 

denominated in a foreign currency, relative to the 

company’s reporting currency, known as transaction 

exposure. It also concerns translation exposure; that is, 

the risk that values will change as a result of exchange 

rate changes. This occurs when assets and liabilities in a 

foreign currency will change in value as a result of 

them being translated at each rate of exchange ruling 

at the time of measurement, and that Group profit is 

affected by the translation of foreign subsidiaries to 

Swedish currency at the exchange rate ruling. The 

Group manages its transaction exposure, as far as 

possible, by matching in- and outflows of the same 

currency. Where this matching is not possible, the 

Group uses forward contracts in order to hedge major 

currency exposures. The exposure related to capital 

employed in foreign currencies is as far as possible 

handled by financing in the same currencies. The 

Beckers Group has currency exposure in several currencies 

and the main currencies a as listed in note 28.

CREDIT RIsK 

Commercial credit risk concerns the potentially 

negative impact on Group profits should one of its 

customers become insolvent and fail to fulfil its 

contractual obligations. Credit risk is managed at local 

business unit level through internal routines and 

controls for creditworthiness assessment and credit 

control. Year over year, Group’s credit risk is deemed to 

be lower due to the recovery of the world economy 

and the stabilisation of the Group’s underlying markets. 

INsURABLE RIsK 

The Group has traditional insurance policies covering 

property, transport and liability risks. These policies are 

global and, with few exceptions (for strictly legal 

reasons), encompass all Group operations and entities. 

For the exceptions, local insurance coverage has been 

acquired. Insurance is managed centrally in cooperation 

with the Group’s insurance broker. The scope 

of this effort also includes activities attributable to risk 

management. 

PURCHAsING RIsK 

Purchasing risks mainly include delivery, quality, and 

price risks related to vital raw materials. The purchasing 

departments of all main manufacturing entities are 

responsible for managing these risks on a daily basis, 

while specific purchasing managers/co-ordinators 

within each Business Area are responsible for selecting 

suppliers, purchasing co-ordination, overall price 

negotiations, etc. As a rule, there must be at least two 

suppliers for each key raw material. 

PERsONNEL, WORK ENVIRONmENT, AND 

COmPETENCy DEVELOPmENT 

In 2010, the Group’s average number of employees 

totalled 3,686 (3,981), of which 3,279 (3,510) were 

located outside of Sweden. Becker Acroma’s average 

number of employees was 609 (886). Since Becker 

Acroma was only consolidated for eight months, 

the average number of employees was substantially 

lower in 2010. The number of employees at the 

parent company was 11 (12). Salary and benefits 

reduced Group profit by SEK 1,134 million (1,335) 

and parent company profit by SEK 16 million (16). 

For more information on salaries and benefits, please 

see Note 4. The Group endeavours to attract and 

retain qualified employees; in recent years, the Group 

sharpened its focus on competency and leadership 

development. Though progress in this effort varies 

within each Business Area, all employees share in the 

goal of creating and maintaining an inspirational, 

developmental and safe work environment. Employees 

are offered good educational opportunities and 

training, which help strengthen the company and 

stimulate the employees. 

PENsIONs 

The Group has both defined-contribution and definedbenefit 

pension schemes. Defined-contribution 

schemes are clearly predominant. However, in the 

UK, Sweden and USA, a proportion of employees are 

covered by defined benefit schemes. The Group has 

during 2010 changed the conditions in a definedbenefit 

pension scheme in the UK. As a result of this 

change, the Group reports a positive cost regarding 

past service of SEK 26 million. See Note 21 for further 

information on how the Group recognises pensions. 

PARENT COmPANy 

The parent company, AB Wilh. Becker, manages group 

management, intragroup accounting and finance 

functions. Profit after financial items amounted to SEK 

920 million (11). The divestment of business area Becker 

Acroma was made through the divestment of the shares 

in Becker Industrial Products AB by AB Wilh. Becker. The 

capital gain of the divestment of Becker Acroma was SEK 

102 million. As a part of the transaction, AB Wilh. Becker 

acquired the shares of Becker Industrial Holding AB from 

Becker Industrial Products AB and the shares of Becker 

Acroma Ltd from Becker Acroma Group AB prior to the 

divestment of the business area. Becker Acroma serviced 

all debt to Beckers Group, mainly to AB Wilh. Becker, 

when the business area was divested. AB Wilh. Becker 

serviced in turn all debt, within the central credit facility, 

to the banks as a result of the divestment of Becker 

Acroma. AB Wilh. Becker signed a new financing 

agreement in late 2010 that comprises a credit facility 

of SEK 1.5 billion. 

mARKET OUTLOOK 

Beckers is well positioned for the future, with a strong 

foundation in attractive markets, high market shares 

and a good product range. The divestment of Becker 

Acroma consolidated the Group’s financial position and 

put it in a much stronger position for strategic investments 

in the two remaining Business Areas. Sales 

volumes in the first months of 2011 are expected to be 

in line with the last months of 2010. Though overall 

demand in 2011 is hard to assess due to the relatively 

limited visibility, the Group forecasts a slow and limited 

recovery in 2011 in Western Europe and North America, 

but a significantly higher growth rate in Asia. Continued 

upward pressure on raw material prices cannot be ruled 

out. Overall, for the Beckers Group, this implies continued 

focus on price-management, cost control and 

efficiency improvements. However, the improved 

financial position also enables the Group to seek 

strategic opportunities to expand the business. 

sUBsEqUENT EVENTs 

No significant events have occurred after the end of 

the year. 

BOARD OF DIRECTORs’ REPORT | 33

34 | DIsTRIBUTION OF EARNINGs 

PROPOsED DIsTRIBUTION OF EARNINGs 

According to the consolidated balance sheet, the Group’s unappropriated earnings 

amount to SEK 2,597 million after profit for the year of SEK 1,096 million. 

Parent company 

Proposed distribution of earnings 

Reported profit for the year 933 198 616 

Retained earnings 2 375 471 594 

SeK 3 308 670 210 

Höganäs, 23 March 2011 

Jenny Lindén Urnes Mair Barnes Georg Brunstam 

Chairman 

Mats Hansson Urban Jansson Hans Mivér 

Jan Stridfeldt Berit Jacobsson Erik Urnes 

Chief Executive Officer 

My audit report was submitted on 23 March 2011. 

Alf Svensson 

Authorised Public Accountant 

The Board of Directors and the CEO propose a payment of dividends to the Parent 

Company, Lindéngruppen AB, of SEK 250 million and that the remaining amount of 

SEK 3,059 million be carried forward. 

The Board considers that the proposed dividend will not prevent the company 

from fulfilling its commitments in the short term and the long term, nor from completing 

required investments. The proposed dividend can thus be justified with reference 

to the content of chapter 17, section 3 (2-3) of the Swedish Companies Act (the 

precautionary rule). The proposed dividend reduces the Group's debt-equity ratio by 

five percentage points. It is believed that it will be possible to maintain liquidity in the 

Group at a satisfactory level. 

Regarding the company’s profits and financial position otherwise, the reader is 

referred to the following Income Statement and Balance Sheet with associated notes.

INCOmE sTATEmENT 

INCOmE sTATEmENT | 35 

Group Parent company 

SeK million note 2010 2009 2010 2009 

Net sales 2 7 565 8 168 – – 

Cost of goods sold -5 122 -5 517 – – 

Gross profit 2 443 2 651 – – 

Selling expenses -1 024 -1 236 – – 

Administrative expenses -724 -808 -57 -51 

Research and development expenses -215 -275 – – 

Other operating income 22 42 103 2 

Other operating expenses -121 -187 – – 

Divestment of business 7 880 – – – 

Operating profit/loss 3, 4, 5, 6 1 261 187 46 -49 

Profit from participations in Group companies 

Profit/loss from other securities and receivables 

7 – – 975 1 

reported as non-current assets 8 – -12 – – 

Other interest income and similar profit/loss items 9 16 4 39 122 

Other interest expenses and similar profit/loss items 10 -65 -133 -140 -63 

Profit after financial items 1 212 46 920 11 

Tax on profit for the year 11 -110 -36 14 9 

Minority participations in profit/loss for the year -6 -6 – – 

PrOFit FOr tHe Year 1 096 4 934 20

36 | BALANCE sHEET 

BALANCE sHEET 


SeK million, 31 december note 2010 2009 2010 2009 

aSSetS 

non-current assets 

intangible non-current assets 12 

Patents, trademarks, etc. 95 117 1 – 

Goodwill 588 717 – – 

total intangible non-current assets 683 834 1 – 

tangible non-current assets 13 

Buildings and land 516 828 2 3 

Plant and machinery 275 423 – – 

Equipment, tools, fixtures and fittings 58 119 1 1 

New construction in progress and advance payments 45 18 – – 

total tangible non-current assets 894 1 388 3 4 

Financial non-current assets 

Participations in Group companies 14 – – 1 543 1 608 

Participations in associated companies 15 – 2 – – 

Receivables from Group companies 16 – – 1 590 2 742 

Other securities held as non-current assets 17 2 3 0 0 

Deferred tax claims 11 215 258 20 4 

Other long-term receivables 18 10 17 – – 

total financial on-current assets 227 280 3 153 4 354 

total non-current assets 1 804 2 502 3 157 4 358 

Current assets 

inventories 

Raw materials and consumables 383 466 – – 

Work in progress 95 134 – – 

Finished goods and goods for resale 483 581 – – 

Advance payments to suppliers 2 1 – – 

total inventories 963 1 182 – – 

Current receivables 

Trade and other receivables 1 134 1 577 0 – 

Receivables from Group companies – – 719 493 

Other receivables 92 141 0 2 

Tax receivables 54 78 – – 

Prepaid expenses and accrued income 19 68 131 25 21 

total current receivables 1 348 1 927 744 516 

Cash at bank and in hand 570 443 202 98 

total current assets 2 881 3 552 946 614 

tOtaL aSSetS 4 685 6 054 4 103 4 972

BALANCE sHEET | 37 


SeK million, 31 december note 2010 2009 2010 2009 

eQUitY and LiaBiLitieS 

equity 

restricted equity 

20 

Share capital (500,000 shares) 50 50 50 50 

Restricted reserves 10 10 10 10 

total restricted equity 60 60 60 60 

non-restricted equity 

Non-restricted reserves 1 501 1 760 2 375 2 412 

Profit for the year 1 096 4 934 20 

total non-restricted equity 2 597 1 764 3 309 2 432 

total equity 2 657 1 824 3 369 2 492 

Minority interests 52 48 – – 

Provisions 

Provisions for pensions 21 247 374 1 1 

Deferred tax liability 11 42 46 – – 

Other provisions 22 139 112 5 4 

total provisions 428 532 6 5 

Long-term liabilities 

Liabilities to credit institutions 23 35 1 519 – 1 454 

Bank overdraft facility 24 76 61 42 24 

Liabilities to Group companies – – 0 0 

Other long-term liabilities 25 21 65 – – 

total long-term liabilities 132 1 645 42 1 478 

Current liabilities 

Liabilities to credit institutions 23 22 23 – – 

Liabilities to Group companies – – 660 981 

Liabilities to parent company 6 4 7 4 

Prepayments from customers 11 4 – – 

Trade and other payables 732 1 099 1 3 

Bills payable 2 23 – – 

Tax liabilities 28 57 – 0 

Other liabilities 119 157 4 1 

Accrued expenses and deferred income 26 496 638 14 8 

total current liabilities 1 416 2 005 686 997 

tOtaL eQUitY and LiaBiLitieS 4 685 6 054 4 103 4 972 

Pledged assets 27 36 170 – – 

Contingent liabilities 27 8 7 193 307

38 | CAsH FLOW sTATEmENT 

CAsH FLOW sTATEmENT 


SeK million note 2010 2009 2010 2009 

29 

Operating activities 

Operating profit/loss 

Adjustments for items not included in cash flow 

1 261 187 46 -49 

Depreciation and impairments 241 332 1 1 

Capital gain from divestment -877 3 – – 

Exchange rate differences 22 2 -92 6 

Provisions and other items -39 -50 1 4 

Interest received 3 6 39 73 

Dividend received – – 873 1 

Interest paid -49 -90 -37 -69 

Other financial expenses -1 -13 – 7 

Taxes paid -123 -79 0 0 

Cash flow before change in working capital 438 298 831 -26 

Change in inventories -159 161 – 

Change in current receivables -69 68 1 29 

Change in current liabilities 16 187 3 -1 

Change in working capital -212 416 4 28 

Cash flow from operating activities 226 714 835 2 

investment activities 

Divestment of Group companies 1 600 7 1 665 – 

Acquisition of Group companies – – -1 282 – 

Acquisition of intangible non-current assets -4 -4 -1 – 

Acquisition of tangible non-current assets -153 -105 0 0 

Sale of tangible non-current assets – 27 – – 

Change in financial receivables -6 2 – – 

Cash flow from investment activities 1 437 -73 382 0 

Cash flow after investments 1 663 641 1 217 2 

Financing activities 

Repayment of debt -1 483 -493 -1 457 -422 

Borrowings 21 2 21 – 

Change in intra-Group transactions -3 3 383 517 

Change in other long-term liabilities -5 -38 – – 

Dividend -50 – -50 – 

Cash flow from financing activities -1 520 -526 -1 103 95 

CaSH FLOW FOr tHe Year 143 115 114 97 

Cash and cash equivalents at the beginning of the year 443 348 98 1 

Exchange rate difference in cash and cash equivalents -16 -20 -10 – 

Cash and cash equivalents at the end of the year 570 443 202 98

NOTEs 

nOte 1 | aCCOUntinG PrinCiPLeS 

The Annual Report has been prepared in accordance 

with the Swedish Annual Accounts Act and the Swedish 

Accounting Standards Board’s General Recommendations, 

apart from BFNAR 2008:1 Annual Reports in 

Smaller Companies. The Parent Company applies the 

same accounting principles as the Group. In cases 

where the Parent Company’s accounting principles 

deviate from the Group’s, this is due to limitations in 

the possibility to apply Swedish Financial Accounting 

Standards Council’s recommendation RR 29 in the 

Parent Company as a consequence of the Swedish 

Annual Accounts Act, the Swedish Act on Safeguarding 

of Pension Obligations and recommendation RR 6:99 

with regard to leasing. 

revised accounting principles 

The Group's accounting principles remain unchanged 

compared to the previous year. 

Valuation principles 

Assets, provisions and liabilities have been assessed 

at cost unless otherwise stated below. Revenue 

recognition is reported in accordance with the Swedish 

Accounting Standards Board's general recommendation 

BFNAR 2003:3 “Revenue”. Revenue is reported in the 

income statement where it will in all probability lead 

to future financial benefits for the company and that 

these benefits can be calculated reliably. Revenue from 

the sale of goods is recognised when the company has 

transferred essential risks and benefits associated with 

ownership and continued administration of the goods 

to the buyer or third party. 

The company recognises as revenue the fair 

value of what has been received or will be received. 

Deductions are made for discounts provided. 

Revenue and losses from forward contracts 

entered into for the purpose of hedging are recognised 

together with the transaction to which the hedge 

pertains. 

Consolidated accounts 

The consolidated accounts include the Parent Company, 

AB Wilh. Becker, and those companies in which 

the Parent Company directly or indirectly owns shares 

corresponding to more than 50 % of total voting rights 

for all shares and companies in which the Parent Company, 

without a majority of voting rights, otherwise 

exercises a controlling influence. Other companies in 

which share holdings amount to 20-50 % of share capital, 

and where the holdings are long-term in nature, 

are reported as associated companies according to the 

equity method. 

The consolidated accounts were prepared in 

accordance with the Swedish Financial Accounting 

Standards Council’s recommendation RR 1:00 and the 

Swedish Accounting Standards Boar's general recommendation 

BFNAR 2005:1 on the adoption of RR 1:00. 

Consolidated goodwill arises when the cost of 

participations in subsidiaries exceeds the fair value of 

the acquired company’s identifiable net assets. Goodwill 

is reported at acquisition cost less accumulated 

depreciation and any impairments. 

When preparing the consolidated accounts, all 

items related to foreign subsidiaries are translated into 

SEK using the current method. This means that the income 

statements are translated using average exchange 

rates, while the balance sheets, with the exception of 

net profit/loss, are translated using the exchange rates 

at the relevant year-end. Resulting exchange rate differences 

are transferred directly to equity. 

Intra-Group receivables and liabilities, income 

and costs and unrealised gains and losses are fully 

eliminated in the consolidated financial statements. 

Unrealised losses are eliminated in the same way 

as unrealised profits, provided there is no impairment 

loss. Acquired companies are included in the 

consolidated accounts from the date of acquisition, 

while companies divested during the year are included 

in the consolidated accounts up to and including the 

date of divestment. 

Group contributions 

Group contributions are posted together with associated 

current tax to equity among retained earnings. 

revenue recognition 

Revenue from product sales is recognised when all 

risks and rights associated with ownership have been 

transferred to the buyer, which usually occurs in connection 

with delivery, when the price is fixed and the 

collection of a receivable is probable. Interest, royalties 

and dividends are recognised as revenue only when 

it is probable that the economic benefits associated 

with the transactions will flow to the company and 

the amount of the revenue can be measured reliably. 

Interest income is recognised by applying the rate 

of interest that gives an effective yield on the asset. 

Royalty income is recognised on an accrual basis in accordance 

with the economic substance of the relevant 

agreement. Dividend income is recognised when the 

shareholder’s right to receive payment is approved. 

intangible and tangible non-current 

assets 

Depreciation and amortisation according to plan is 

based on acquisition costs of the assets and their 

estimated economic life. Depreciation of fixed assets 

commences in conjunction with utilisation of the asset. 

The amortisation of intangible fixed assets, such as 

goodwill and brands, is based on estimated useful life, 

principally over 10-20 years. Assets that are depreciated 

over a period of 20 years relate to strategically 

important acquisitions within areas where market and 

technology conditions are deemed to be particularly 

stable. Depreciation rates for different types of fixed 

assets are shown in the table below. 

Intangible assets 5-20% 

Machinery and equipment 3-20% 

Office buildings 2-5% 

Industrial buildings 2-5% 

No depreciation is made on land and new construction 

in progress. 

inventories 

Inventories are valued at the lower of cost, calculated 

to the first in-first out principle, fair value or net realisable 

value. The risk of obsolescence has been taken 

into account. For semi-finished and finished products, 

the cost consists of direct manufacturing costs and a 

reasonable proportion of the indirect costs based on 

normal capacity utilisation. 

trade and other receivables 

Trade and other receivables are recognised at the 

amounts in which they are expected to be paid, based 

on individual assessments. 

Foreign currencies 

Receivables and liabilities in foreign currencies are valued 

at year-end exchange rates both in the individual 

Group companies and the consolidated accounts. In 

cases where trade and other receivables and trade and 

other payables are hedged through forward contracts, 

the forward rate is used to evaluate the underlying receivable 

or liability. Exchange rate differences on loans 

hedged to protect net assets in foreign subsidiaries 

are reported in relation to translation differences in the 

shareholders’ equity of these companies. 

employee benefits (pensions) 

Remunerations on completion of employment - such 

as pensions, healthcare benefits and other remunerations 

– are largely paid through continuous payments 

to independent authorities or bodies, which consequently 

take over the obligations to the employees’ 

defined contribution plans. Commitments regarding 

contributions to defined contribution plans are reported 

as a cost in the Income Statement as they arise. 

Defined benefit plans, whereby a certain pension 

is payable in relation to the final salary and the number 

of years within the plan, have been accounted in 

accordance with recommendation RR 29 on employee 

benefits from 1 January 2007. Defined benefit plans 

are in use in Sweden, the UK and the USA. The defined 

benefit plans are both funded and unfunded. In the 

case of funded plans, the assets are allocated mainly in 

pension funds. These plan assets can only be used for 

paying out benefits in accordance with the pension 

agreements. 

The Group’s net commitments for defined 

benefit plans are calculated separately for each plan by 

estimating the future benefits employees have accrued 

through employment in current and previous periods. 

This remuneration is discounted to present value and 

NOTEs | 39 1 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 

14 

15 

16 

17 

18 

19 

20 

21 

22 

23 

24 

25 

26 

27 

28 

29 

30

40 | NOTEs 

nOte 1 | aCCOUntinG PrinCiPLeS, COntinUed 

the fair value of potential plan assets is deducted. 

The discount rate is the yield on an investmentgrade 

corporate bond with a maturity corresponding 

to the Group’s pension commitments, as of year-end. 

When there is no active market for such corporate 

bonds, the market yield on government bonds with 

a corresponding duration is utilised. These calculations 

are carried out by qualified actuaries using the 

projected unit credit method. 

The corridor rule is used for actuarial gains and 

losses. This rule implies that the portion of the accumulated 

actuarial gains and losses that exceed 10% of the 

greater of the present value of commitments and the 

fair value of plan assets is reported to profits over the 

expected average remaining length of service for the 

employees covered by the plan. Otherwise, actuarial 

gains and losses are disregarded. 

When the calculation results in an asset for the 

Group, the carrying amount of the asset is limited to 

the net of the unreported actuarial losses and 

unreported costs for service during previous periods 

and the present value of future repayments from the 

plan or reduced future payments to the plan. When the 

benefits of a plan improve, that share of the increased 

benefits attributable to employee service during 

previous periods is reported as a cost in the income 

statement on a straight-line basis divided over the 

average period until benefits are fully accrued. If 

benefits are fully accrued, a cost is reported directly in 

the income statement. 

When there is a difference between how pension 

costs are determined in legal entities and the 

nOte 2 | diStriBUtiOn OF net SaLeS 

Net sales by business area are distributed as follows: 

Net sales by geographical market are distributed as follows: 

Group, a provision or receivable for special employer’s 

contribution is reported, based on this difference 

(Swedish entities). The present value of this provision 

or receivable is not calculated. 

The net of the interest on pension liabilities and 

expected returns on associated plan assets is reported 

in net financial items. Other components are reported 

in operating income. 

tax 

The Company and the Group apply the Swedish 

Accounting Standards Board's general principles for 

reporting income taxes, BFNAR 2001:1. Total tax comprises 

current tax and deferred tax. Taxes are reported 

in the income statement except when the underlying 

transaction is reported directly against equity, 

whereby the associated tax effect is reported under 

equity. Current tax (formerly “Paid tax”) is tax that is to 

be paid or received in respect of the current year. This 

also includes adjustment of current tax attributable 

to previous periods. Deferred tax is calculated using 

taxable values of assets and liabilities. The amounts are 

calculated based on how the temporary differences 

are expected to be exploited, and by applying the tax 

rates and regulations approved or announced as of 

year-end. Temporary differences are not considered in 

Group goodwill, nor in differences attributable to participations 

subsidiaries and associated companies that 

are not expected to be subject to tax in the foreseeable 

future. Untaxed reserves including deferred tax liabilities 

are reported in legal entities. In the consolidated 

financial statements however, untaxed reserves are 

divided into deferred tax liability and equity. Deferred 

tax assets regarding deductible temporary differences 

and tax-loss carryforwards are only reported to the extent 

that it is likely they will entail lower tax payments 

in the future. 

reporting of leasing 

Leasing is reported in the consolidated accounts in 

accordance with the Swedish Annual Accounts Act 

and Recommendation, RR 6:99. Leasing is classified 

in the consolidated accounts as either a finance lease 

or operating lease. A finance lease exists when the 

economic risks and benefits associated with ownership 

are, in essence, transferred to the lessee; otherwise it 

is classified as an operating lease. Assets leased under 

finance leases are reported as assets in the consolidated 

balance sheet. A commitment to pay future 

leasing charges is reported as a long-term or current 

liability. These assets are depreciated according to plan 

while leasing payments are reported as interest and 

amortisation on the liabilities. Operating leases entail 

leasing charges being carried as an expense over the 

duration starting from commencement of use. All leasing 

agreements in the Parent Company are reported as 

operating leasing agreements. 

information about the Parent Company 

The Parent Company of the largest Group, in which the 

company is a subsidiary and where the consolidated 

financial statements are prepared, is Lindéngruppen 

AB, 556205-4956, Höganäs, Sweden. 

2010 2009 

Becker Industrial Coatings 4 324 4 185 

Becker Acroma 1 485 2 126 

ColArt 1 761 1 867 

Internal deliveries between business areas -5 -10 

total 7 565 8 168 


Sweden 355 396 

Rest of the Nordic region 402 479 

France 869 985 

Italy 496 654 

Poland 219 232 

UK 612 605 

Germany 368 437 

Rest of Europe 1 314 1 482 

North America 1 055 1 134 

Asia 1 299 1 075 

Other 576 689 

total 7 565 8 168

nOte 3 | aVeraGe nUMBer OF eMPLOYeeS 


average number Of which average number Of which 

of employees men, % of employees men, % 

Parent company 11 64 12 58 

Subsidiaries 

Sweden 396 72 459 69 

Denmark 12 83 18 89 

Finland 10 80 14 79 

France 594 70 626 70 

India 78 91 75 91 

Italy 241 83 314 82 

Japan 23 65 47 66 

Canada 89 87 101 88 

China 838 65 850 65 

Malaysia 53 75 54 81 

Netherlands 29 79 31 81 

Norway 13 85 20 85 

Poland 66 65 70 69 

UK 608 48 616 57 

South Africa 56 66 50 74 

Germany 198 75 216 76 

USA 168 75 174 76 

Others 203 80 234 79 

total, subsidiaries 3 675 68 3 969 70 

total, Group 3 686 68 3 981 70 

The number of women in Group management is 0 (0) of a total of 6 (8) people. One of the subsidiaries' managing directors is a woman. 

nOte 4 | WaGeS, SaLarieS, OtHer reMUneratiOn and SOCiaL SeCUritY COStS tO eMPLOYeeS, BOard and aUditOrS 


Wages, salaries Social Wages, salaries Social 

and other security (of which and other security (of which 

remunerations pension costs) remunerations pension costs) 

Parent Company 16 10 16 10 

(3) (3) 

Subsidiaries 1 118 295 1 319 387 

(54) (108) 


(57) (111) 

Pension costs to the Board and Managing Directors amount to 2 (2) for the Parent Company and 8 (9) for the Group. 

NOTEs | 41 1 

2 

3 

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nOte 4 | WaGeS, SaLarieS and OtHer reMUneratiOn tO MeMBerS OF tHe BOard and eMPLOYeeS, Per COUntrY, COntd. 


Board and Md Board and Md 

(of which (of which 

performance- performance- 

based Other based Other 

remuneration) employees remuneration) employees 

Parent Company 9 7 9 7 

Of which performance-based (1) (1) 

Subsidiaries 

Sweden 9 165 8 191 

Denmark 1 7 1 14 

Finland 1 4 1 7 

France 4 222 8 243 

India 0 5 0 4 

Italy 3 101 14 162 

Japan 2 11 2 11 

Canada 2 37 3 43 

China 0 57 2 58 

Malaysia 1 7 1 6 

Netherlands 0 12 1 13 

Norway 1 9 1 16 

Poland 2 11 3 13 

UK 9 186 13 199 

South Africa 2 10 1 6 

Germany 5 100 5 118 

USA 8 67 8 81 

Others 11 46 12 50 

total, subsidiaries 61 1 057 84 1 235 

Of which performance-based (6) (4) 


Severance pay agreements 

Five senior executives in the Group are entitled to notice period and severance pay corresponding to 6 to 18 month of salaries, including pension benefits, in the event of 

termination of employment by the Company. 

Sick leave in Sweden 

The Parent Company has no obligation to report sick leave in accordance with Chapter 5, Section 18a of the Swedish Annual Accounts Act. 

audit fees 

Audit fees and other remunerations to auditors: 


2010 2009 2010 2009 

KPMG, audit assignments 8 11 2 2 

KPMG, tax-related matters 3 2 3 1 

KPMG, assignments excl. audits 0 – – – 

KPMG, other assignments 7 – 6 – 

Others, audit assignments 1 2 – – 

Others, tax-related matters 0 1 – – 

Others, assignments excl. audits 1 – – – 

Others, other assignments 1 – – – 

total 21 16 11 3

nOte 5 | dePreCiatiOn/aMOrtiSatiOn BY FUnCtiOn 



Cost of goods sold 104 132 – – 

Selling expenses 11 13 – – 

Administrative expenses 21 26 1 1 

Research and development expenses 6 8 – – 

Other operating expenses 89 130 – – 

total depreciation/amortisation 231 309 1 1 

Impairments, cost of goods sold 10 21 – – 

Impairments, selling expenses – 2 – – 

total depreciation and impairments 241 332 1 1 

Depreciation/impairments for items that cannot be distributed per function are reported under the item headed “other operating expenses”. This includes amortisation of goodwill 

of SEK 78 (115) million. 

nOte 6 | OPeratinG LeaSinG 

The Group´s operating leasing agreements relate largely to machinery and equipment of limited value such as cars, forklifts and office equipment. Operating leasing also includes 

a small number of rental contracts. 

Group Operating 

leasing 

2011 43 

2012–2015 83 

2016 or later 36 

total 162 

Operating leasing costs for the year totalled SEK 74 (91) million. The Parent Company has no substantial leasing agreements. 

nOte 7 | PrOFit/LOSS FrOM PartiCiPatiOnS in GrOUP COMPanieS 

nOte 8 | PrOFit/LOSS FrOM OtHer SeCUritieS and reCeiVaBLeS rePOrted aS nOn-CUrrent aSSetS 


nOte 9 | OtHer intereSt inCOMe and SiMiLar PrOFit/LOSS iteMS 



Dividends – – 873 1 

Capital gain 880 – 102 – 

total 880 – 975 1 


Impairment loss – securities, Rotoflex – -12 – – 

total – -12 – – 



Interest income 1) 3 3 39 73 

Exchange rate differences 13 – – 6 

Others * – 1 – 43 

total 16 4 39 122 

1) of which from Group companies – – 39 73 

* During 2009 the Parent Company reversed SEK 36 million in previously depreciated receivables from subsidiaries. 

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nOte 10 | OtHer intereSt eXPenSeS and SiMiLar PrOFit/LOSS iteMS 



Interest expenses 1) -63 -102 -39 -63 

Exchange rate differences – -17 -101 – 

Other -2 -14 – – 

total -65 -133 -140 -63 

1) of which from Group companies – – 0 -1 

nOte 11 | taXeS 

tax on profit for the year 



Current tax -132 -82 – – 

Deferred tax 22 46 16 0 

Tax effect of Group contribution – – -2 9 

total taxes -110 -36 14 9 

The tax rate calculated for the year before taxes, excl. the profit from the divestment of Becker Acroma, is 33% (78). After adjustment for goodwill amortisation, the tax rate for the 

year was 27% (22). Temporary differences arise in those cases where accounted values of assets or liabilities and their tax value differ. Temporary differences, unutilised loss carry- 

forwards and other future tax deductions have led to deferred tax liabilities and tax assets. 



Deferred tax claims 215 258 20 4 

Deferred tax liability 42 46 – – 

total deferred tax reported 173 212 20 4 

Deferred tax receivables are shown for unutilised loss carry-forwards and temporary differences in the balance sheet, when they can be met by resolving untaxed reserves or 

those that in all probability are calculated to be used in the near future. A single calculation is made for each company with respect to past earnings trends, future plans and the 

option of using loss carry-forwards. 

nOte 12 | intanGiBLe nOn-CUrrent aSSetS 


Patents and Patents and 

trademarks Goodwill trademarks 

Acquisition value, opening balance 268 1 831 – 

Purchases 4 – 1 

Disposals/obsolescence -1 -128 – 

Divestment of business -30 -367 – 

Translation differences -21 -113 – 

acquisition value, closing balance 220 1 223 1 

Depreciation, opening balance 151 1 069 – 

Reclassifications 2 – – 

Depreciation for the year 13 78 – 

Disposals/obsolescence -1 -106 – 

Divestment of business -26 -367 – 

Translation differences -14 -58 – 

accumulated depreciation, closing balance 125 616 – 

Accumulated impairment losses, opening balance – 45 – 

Disposals/obsolescence – -22 – 

Translation differences – -4 – 

accumulated impairments, closing balance – 19 – 

Closing book value 95 588 1

nOte 13 | tanGiBLe nOn-CUrrent aSSetS 


Buildings Construction Buildings 

and land Machinery equipment in progress and land inventories 

Acquisition value, opening balance 1 380 1 524 541 18 42 2 

Purchases 37 41 27 48 – 0 

Reclassifications 4 3 6 -13 – – 

Disposals/obsolescence -39 -42 -43 – – 0 

Divestment of business -395 -322 -264 -5 – – 

Translation differences -105 -106 -30 -3 – – 

acquisition value, closing balance 882 1 098 237 45 42 2 

Depreciation, opening balance 535 1 100 418 – 39 1 

Reclassifications -2 0 0 – – – 

Disposals/obsolescence -35 -37 -39 – – – 

Depreciation for the year 40 71 29 – 1 – 

Divestment of business -142 -237 -207 – – – 

Translation differences -44 -78 -23 – – – 

accumulated depreciation, closing balance 352 819 178 – 40 1 

Accumulated impairment losses, opening balance 17 1 4 – – – 

Impairments for the year 6 3 1 – – – 

Disposals/obsolescence -5 – -3 – – – 

Divestment of business -2 -1 0 – – – 

Translation differences -2 1 -1 – – – 

accumulated impairments, closing balance 14 4 1 – – – 

Closing book value 516 275 58 45 2 1 

Properties in Sweden 

Reported value 45 2 

Tax assessment values 111 75 

FinanCe LeaSinG 

Book value of assets under finance leasing agreements: 

acquisition value 2010 2009 

Buildings and land 27 70 

Machinery – 6 

Equipment, tools, fixtures and fittings – 16 

total 27 92 

accumulated depreciation 

Buildings and land -11 -19 

Machinery – -4 

Equipment, tools, fixtures and fittings – -5 

total -11 -28 

reported value 

Buildings and land 16 51 

Machinery – 2 

Equipment, tools, fixtures and fittings – 11 

total 16 64 

Finance leasing contracts relate to properties, machinery and inventories used in operating activities. 

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nOte 14 | PartiCiPatiOnS in GrOUP COMPanieS 

Participation in subsidiary Subsidiary's domicile, country Shareholding, per cent 


Soab AB, 556038-5824 Höganäs, Sweden 100 100 

Beckers UK Ltd, 03037554 Haverhill, Suffolk, UK 100 100 

Syntema Scotland Ltd, 4144952 Haverhill, Suffolk, UK 100 100 

Chiltern Surface Coatings Ltd, 3263643 Haverhill, Suffolk, UK 100 100 

Becker Industrial Coatings Holding AB, 556037-2392 Stockholm, Sweden 100 100 

Wilh. Becker Holding GmbH, HRB 14592 Neuss, Germany 100 100 

Wilh Becker Industrielack GmbH, HRB 4840 Dormagen, Germany 100 100 

Becker Industrial Coatings AB, 556049-5649 Märsta, Sweden 100 100 

Becker Industrial Coatings Italia S.p.a., 012400280667 Milan, Italy 100 100 

Siquam Inks Italy S.r.l, 12411490159 Milan, Italy 100 100 

Becker Industrie SA, 381035815 Montbrison, France 100 100 

Becker Pintura España SA, A61179750 Barcelona, Spain 100 100 

Becker Ind Coatings LLC (RAK) Ras al Khaimah, United Arab Emirates 100 100 

SCI des Iles de Mars, 443491238 Pont de Claix, France 100 100 

Becker High Performance Coatings, 67596705-X Tianjin, China 100 100 

Becker Specialty Corp USA, 22-3803887 Elk Grove Village, IL, USA 100 100 

Becker Industrial Coatings (M) Sdn. Bhd, 489501-P Selangor, Malaysia 100 100 

Becker Industrial Coatings (Shanghai) Ltd, 60743258-X Shanghai, China 100 100 

Becker Industrial Coatings Inc, 85134-8177-RC0001 Toronto, Canada 100 100 

Berger Becker Coatings (Pvt) Limited New Delhi, India 51 51 

Becker Farby Przemyslowe Sp.z o.o., 0000040703 Tarnów, Poland 100 100 

Becker Industrial Coatings (Vietnam) Co Ltd Thuan An District, Vietnam 100 100 

Becker Industrial Coatings (Pty) Ltd, 1998/016406/07 Vereeniging, South Africa 100 100 

Becker Industrial Coatings (Guanghzhou) Ltd , 757755990 GuangZhou, China 100 100 

Becker Industrial Coatings (China) Ltd, 20279958-000 Hong Kong, China 100 100 

Becker Industrial Coatings (Korea) Ltd, 27 Hwaseong-city, South Korea 100 100 

Becker Industrial Coatings Russia Moscow, Russia 100 100 

Becker Industrial Coatings (HK) Ltd, 31151993-000 Hong Kong, China 100 100 

Becker Holdings Ltd, 4377977 Liverpool, UK 100 100 

Becker Industrial Coatings Ltd, 680990 Liverpool, UK 100 100 

Becker North Ltd, 03493919 Liverpool, UK 100 100 

Goodlass Wall & Co Ltd, 00253362 Soham, Cambs, UK 100 100 

Georgeview Ltd, 01979100 Soham, Cambs, UK 100 100 

Becker Properties Ltd, 00775000 Soham, Cambs, UK 100 100 

Becker South Ltd, 00468832 Liverpool, UK 100 100 

Wilhelm Becker Ltd, 01215482 Liverpool, UK 100 100 

ColArt International Holdings Ltd, 3659130 Middlesex, UK 100 100 

Colart Pensions Trustees Ltd, 3879681 Middlesex, UK 100 100 

ColArt Finance Ltd, 3659137 Middlesex, UK 100 100 

ColArt Contract Manufacturing Ltd, 2496559 Middlesex, UK 100 100 

ColArt Sweden AB, 556022-6200 Järna, Sweden 100 100 

Dryad Ltd, 254410 Middlesex, UK 100 100 

Winsor & Newton Ltd, 256000 Middlesex, UK 100 100 

Reeves and Sons Ltd, 272356 Middlesex, UK 100 100 

ColArt Ltd, 1003961 Middlesex, UK 100 100 

ColArt International SA, B 576 650 394 Le Mans, France 100 100 

ColArt Italiana SpA, MI 123882 Milanese, Italy 100 100 

ColArt Iberica SA Zaragoza, Spain 100 100 

ColArt Deutschland GmbH, HR 5983 Maintal, Germany 100 100 

ColArt b.v., 24270865 Rotterdam, Netherlands 100 100 

Paillard SA,B 347 917 189 Le Mans, France 100 100 

Charbonnel SA, B 345 184 444 Le Mans, France 100 100 

ColArt Americas Inc, 22-3141603 New Jersey, USA 100 100 

Liquitex International Inc, 22-3776162 New Jersey, USA 100 100 

ColArt Fine Art & Graphics Ltd, 16193 Middlesex, UK 100 100 

Crown Artist Brush Ltd, 267073 Middlesex, UK 100 100 

ColArt Hong Kong Ltd, Kowloon, Hong Kong 100 100 

ColArt Tianjin Art Material Co Ltd, 120000400076215 Tianjin, China 90 90 

Liquitex Trading Co Ltd, 120104000083370 Tianjin, China 90 90 

Oasis Art & Craft Products Ltd, 1296366 Middlesex, UK 100 100 

Inscribe 2003 Ltd, 4892459 Middlesex, UK 100 100 

Mirum Products Ltd, 1252478 Middlesex, UK 100 100 

ColArt Camlin Canvas Pvt Ltd, Tarapur, India 60 60 

Bonny ColArt Co Ltd Tokyo, Japan 50 50 

Jinhua Universal Canvas Manufacturing Company, 330700400003067 Zhejiang, China 60 60 

Snazaroo Holdings Ltd, 5109650 Middlesex, UK 100 100 

In-Resort Services Ltd, 2453402 Middlesex, UK 100 100 

Creative Leisure Ltd, 424968 Middlesex, UK 100 100

nOte 14 | PartiCiPatiOnS in GrOUP COMPanieS, COntd. 

divested subsidiaries Subsidiary's domicile, country Shareholding, per cent 


Becker Industrial Products AB, 556057-1852 Stockholm, Sweden – 100 

A/S Becker Acroma, 925.836.702 Skedsmokorset, Norway – 100 

Becker Acroma (Dublin) Ltd, 8249294 Dublin, Ireland – 100 

Becker Acroma (Ireland) Ltd, 88980 Dublin, Ireland – 100 

Becker Acroma (Thailand) Ltd, 0105541036789 Chonburi, Thailand – 100 

Becker Acroma A/S, 24502511 Herning, Denmark – 100 

Becker Acroma Arti GmbH, HRB Wuppertal 20277 Wuppertal, Germany – 100 

Becker Acroma Belarus Ltd, 190876783 Minsk, Belarus – 100 

Becker Acroma Benelux N.V., BE 433.779.050 Merelbeke, Belgium – 100 

Becker Acroma China Ltd, 703626 Central Hong Kong, China – 100 

Becker Acroma Corp., FEIN: 32-0034530 Elkhart, Indiana, USA – 100 

Becker Acroma Eastern Europé AB, 556715-7739 Sigtuna, Sweden – 100 

Becker Acroma Group AB, 556531-1486 Sigtuna, Sweden – 100 

Becker Acroma Holding AB, 556528-1812 Stockholm, Sweden – 100 

Becker Acroma Holdings Corp, FEIN: 98-0167498 USA – 100 

Becker Acroma Inc., CRA Bus No:12220-5347 & FEIN: 98012978 Brantford, Ontario, Canada – 100 

Becker Acroma Italia S.p.A, 09986280155 Modena, Italy – 100 

Becker Acroma KB (share capital), 969624-5142 Eksjö, Sweden – 100 

Becker Acroma LLC, FEIN: 98-0577706 Jeffersonville, Indiana, USA – 100 

Becker Acroma Polska Sp.z o.o., 630750510 Gluchowo, Poland – 100 

Becker Acroma Quingdao Co Ltd, 370200400141642 Quingdao, China – 100 

Becker Acroma Quingdao Trading Ltd, 370200400140481 Quingdao, China – 100 

Becker Acroma SAS, 381 632 629 Evry, France – 100 

Becker Acroma spol.s r.o., 49447301 Velké Mezifiki, Czech Republic – 100 

Becker Acroma Ukraine Ltd, 34913490 Kiev, Ukraine – 100 

Becker Acroma Vietnam Co Ltd, 462043000525 Binh Duong, Vietnam – 100 

Klintens AB, 556052-0248 Stockholm, Sweden – 100 

Klintens Holding Europe BV, 9723973 Amsterdam, Netherlands – 100 

Klintens International AB, 556023-3594 Helsingborg, Sweden – 100 

Klintens Lack Handelsges.mbH, FN 43724 Vienna, Austria – 100 

Kuhn & Klemmer GmbH, HRB München 100289 Munich, Germany – 100 

Oy Becker Acroma Ab, 0130613-2 Helsinki, Finland – 100 

S.C. Becker Acroma Balkan Srl, 31/3562/2007 Timisoara, Rumania – 100 

UAB Becker Acroma, 111620384 Vilnius, Lithuania – 100 

ZAO Becker Acroma, INN 7710508708 St. Petersburg, Russia – 100 

Parent company 2010 2009 

accumulated acquisition costs 

At beginning of year 1 608 1 608 

Purchases during the year 1 282 – 

Divestments during the year -1 347 – 

Closing balance, 31 december 1 543 1 608 

SPeCiFiCatiOn OF direCt Parent COMPanY PartiCiPatiOnS in SUBSidiarieS 

Capital Book value 

SeK million number of shares Share, % 2010 2009 

Becker Industrial Products AB – – – 1 347 

Soab AB 166 660 100 0 0 

Becker Industrial Coatings Holding AB 1 612 100 1 250 – 

Colart International Holding Ltd 60 000 1,49 24 24 

Wilhelm Becker Ltd 18 000 000 100 231 231 

Beckers UK Ltd 24 820 000 100 32 0 

Wilh Becker Industrielack GmbH 1 6 6 6 

total 1 543 1 608 

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nOte 15 | PartiCiPatiOnS in aSSOCiated COMPanieS 

Group 2010 2009 

Opening balance, 1 January 2 2 

Divested business -2 – 

Closing balance, 31 december – 2 

Book value 

Group Share, % 2010 2009 

Bellare Industrial Coatings Inc – – 1 

Camcoat – Quebec Inc – – 1 

total – 2 

nOte 16 | reCeiVaBLeS FrOM GrOUP COMPanieS 


Opening balance, 1 January 2 742 2 904 

Additional receivables 62 138 

Settled receivables -1 099 -287 

Exchange rate differences for the year -115 -13 


nOte 17 | OtHer SeCUritieS HeLd aS nOn-CUrrent aSSetS 


Group 2010 2009 2010 2009 

Opening balance, 1 January 3 15 0 0 

Divested business -1 – – – 

Impairment – -12 – – 


Parent Company’s holdings 

nominal value Book value 

number of shares ('000) 2010 2009 

Syntema i Tibro AB 45 25 0 0 

total 0 0 

Subsidiaries' holdings 

Rotoflex Metallized Paper SPA 0 0 

Di.Ver Service S.r.l. 2 2 

Other 0 1 

total 2 3 

total, Group 2 3 

In 2009 the Group wrote down of the entire value of the shares in Rotoflex by SEK 12 million, which constitutes accumulated impairment losses.

nOte 18 | OtHer LOnG-terM reCeiVaBLeS 

nOte 19 | PrePaid eXPenSeS and aCCrUed inCOMe 

nOte 20 | eQUitY 

Share restricted non-restricted Profit for 

Group equity reserves reserves the year total 

Opening balance, 1 January 2010 50 10 1 760 4 1 824 

Appropriation of profits – – 4 -4 – 

Dividend – – -50 – -50 

Translation difference – -372 159 – -213 

Transfer between restricted and non-restricted capital – 372 -372 – – 

Profit for the year – – – 1 096 1 096 

Closing balance, 31 december 2010 50 10 1 501 1 096 2 657 

The Parent Company has 500,000 shares, all class A shares, with a par value of SEK 100 per share. 



Assets in pension plans 3 6 – – 

Advance payments to suppliers – 1 – – 

Other 7 10 – – 

total 10 17 – – 



Opening balance, 1 January 17 33 – – 

Added 7 2 – – 

Settled -3 -1 – – 


Reclassification – -16 – – 

Exchange rate difference -1 -1 – – 

Closing balance, 31 december 10 17 – – 



Prepaid insurance premiums 8 8 0 – 

Prepaid rents and leasing costs 4 9 0 0 

Prepaid pension premiums 1 1 0 0 

Other prepaid expenses 24 51 2 – 

Accrued bonus income 4 11 – – 

Accrued royalties 1 1 – – 

Goods delivered, not invoiced 1 0 – – 

Prepaid financing expenses 9 7 9 6 

Accrued income 16 43 14 15 

total 68 131 25 21 

Share restricted non-restricted Profit for 

Parent Company equity reserves reserves the year total 

Opening balance, 1 January 2010 according to 

adopted balance sheet 50 10 2 412 20 2 492 

Appropriation of profits – – 20 -20 – 

Dividend – – -50 – -50 

Group contributions – – -9 – -9 

Tax effect of Group contribution – – 2 – 2 

Profit for the year – – – 934 934 

Closing balance, 31 december 2010 50 10 2 375 934 3 369 

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nOte 21 | PenSiOn PrOViSiOnS 


Present value of funded obligations 1 311 1 483 

Fair value of plan assets -1 144 -1 114 

net funded obligations 167 369 

Present value of unfunded obligations 122 190 

Current value of net commitment 289 559 

Unrecognised actuarial gains (+) and losses (-) -45 -191 

net reported amount relating to defined benefit plans 244 368 

the net amount is reported in the following Balance Sheet items 

Pension provisions 247 374 

Other long-term receivables 3 6 

net reported amount relating to defined benefit obligations 244 368 

Changes to the net commitment reported for defined benefit obligations in the Balance Sheet 

1 January 368 408 

Remuneration paid -6 -6 

Contributions paid into the plan -45 -75 

Cost recognised in the Income Statement 1 34 

Transferred through divestment of companies -59 – 

Translation difference -15 7 

net commitment for defined benefit plans as of 31 december 244 368 

Change in defined benefit obligations 

1 January 1 673 1 332 

Expenses relating to service during current year 13 11 

Interest expense 86 82 

Expenses relating to service in previous years -26 – 

Actuarial gains (+) and losses (-) -41 294 

Employee contributions paid 5 7 

Benefits paid -61 -64 



31 December 1 433 1 673 

Change in fair value of plan assets 

1 January 1 114 924 

Expected return on plan assets 74 60 

Actuarial gains (+) and losses (-) 71 95 

Contributions paid by employees 5 7 

Contributions paid by employer 45 75 

Benefits paid -55 -58 



31 December 1 144 1 114 

real return on plan assets 145 155

nOte 21 | PenSiOn PrOViSiOnS, COntd. 


Cost recognised in the income Statement 

Expense relating to service during current period 13 11 

Interest expense on the commitment 86 82 

Expected return on plan assets -74 -60 

Expense relating to service in previous years -26 – 

Reported actuarial gains or losses 

total net cost recognised in the income Statement in respect of 

2 1 

defined benefit plans 1 34 

Cost relating to defined contribution plans in the Income Statement 68 100 

Total pension expense in the Income Statement 69 134 

Of total pension expenses, SEK 12 (22) million has been reported as interest expense under net financial income/expense and SEK 57 (112) million under operating profit. 

SEK 96 million is covered by credit insurance via FPG/PRI. 

Significant actuarial assumptions 

The calculation of pension commitments, pensions accrued for the year and returns are based on a number of assumptions founded on Beckers Group expectations and market 

expectations relating to financial factors. The assumptions used on the Balance Sheet date comprise a weighted average of: 

Sweden UK USa 

2010 Pri, % % % 

Discount rate 3,75 5,54 6,00 

Expected return on plan assets – 6,86 6,50 

Expected salary increase 3,00 3,97 4,00 

Future increase in pensions 2,00 3,44 4,00 

norway Sweden UK USa 

2009 % Pri, % % % 

Discount rate 4,50 3,75 5,73 6,00 

Expected return on plan assets 5,70 – 6,68 6,50 

Expected salary increase 4,50 3,00 3,97 4,00 

Future increase in pensions 1,40 2,00 3,65 4,00 


defined benefit assumptions 

Present value of unfunded obligations 1 1 

Liability included in the Balance Sheet 1 1 

the change in the pension commitment is due to the following factors: 

1 January 1 1 

Pension expense for the period 0 0 

Benefits paid 0 0 

Liability included in the Balance Sheet 1 1 

Liability in the parent company relates to: 

Other pension commitments 1 1 

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nOte 22 | OtHer PrOViSiOnS 

nOte 23 | LiaBiLitieS tO Credit inStitUtiOnS 

nOte 24 | BanK OVerdraFt FaCiLitieS 



Opening balance, 1 January 112 116 4 – 

Additional provisions 75 23 2 4 

Settled provisions -13 -5 -1 – 

Reversed provisions – -16 – – 


Reclassification -6 – – – 

Translation difference -12 -6 – – 


SEK 72 (73) million of the Group's provisions relate to personnel-related provisions, SEK 14 (35) million to claims and disputes, and SEK 53 (4) million to "other". 

Of the Group´s liabilities to credit institutions of SEK 57 million, SEK 57 million is intended to be amortised within five years. 

The credit facilities are conditioned by standard covenants, with which the Group is in compliance. 

Approved overdraft facilities within the Group amounted to SEK 399 (314) million, and within the Parent Company SEK 318 (340) million. Included in the overdraft facilities for the 

Group is 30 (25) million from joint ventures with Berger Becker Coatings (pvt) Ltd. Of the Group's overdraft facilities of SEK 76 million, SEK 76 million is intended to be amortised 

within five years. 

nOte 25 | OtHer LOnG-terM LiaBiLitieS 



Finance leasing liabilities 15 58 – – 

Other long-term liabilities 6 7 – – 

total 21 65 – – 

Finance leasing liabilities 

Minimum Capital 

leasing charges interest amount 

Group 2010 2010 2010 

Within one year 3 1 2 

Between one and five years 8 2 6 

Longer than five years 10 1 9 

total 21 4 17 

nOte 26 | aCCrUed eXPenSeS and PrePaid inCOMe 



Accrued vacation liability 47 77 1 1 

Accrued staff costs 130 112 2 1 

Accrued pension premiums 2 4 – – 

Goods received, not invoiced 13 18 – – 

Accrued audit, consultancy fees, etc. 15 15 3 – 

Accrued bonus and discounts 82 117 _ 1 

Accrued royalties 0 5 – – 

Current provision 112 161 – – 

Accrued interest expenses 7 3 7 3 

Other accrued expenses 88 126 1 2 

total 496 638 14 8

nOte 27 | PLedGed aSSetS and COntinGent LiaBiLitieS 

nOte 28 | FinanCiaL inStrUMentS 



Pledged assets 

Security for finance leasing 16 64 – – 

Other pledged assets 20 106 – – 

total pledged assets 36 170 – – 

Pledged assets relating to liabilities to credit institutions amount to SEK 37 (170) million. The liabilities are reported under “liabilities to credit institutions” and “overdraft facilities” 

and “other long-term liabilities” in the Balance Sheet. 



Contingent liabilities 

Guarantees1 6 4 193 307 

Other contingent liabilities 2 3 – – 

total contingent liabilities 8 7 193 307 

1) of which on behalf of Group companies – – 193 307 

The Group uses derivatives to hedge foreign exchange and interest rate risk. As of 31 December 2010 there were both forward contracts and interest rate swap agreements. 

As a result of currency forwards contracts concluded, the Group has sold foreign currency corresponding to a nominal amount of SEK 228 (438) million and bought foreign 

currency corresponding to a nominal amount of SEK 29 (189) million The market value of these contracts amounted to SEK -4 (6) million. 

Currency nominal Hedged Market 

amount rate value 

USD/EUR 13 1,29 -1 

EUR/USD 18 0,83 0 

USD/GBP 54 1,54 1 

EUR/SEK 54 9,56 3 

EUR/PLN 1 4,00 0 

JPY/GBP 15 189,97 -8 

CNY/USD 102 6,56 1 

total -4 

The Group has hedged a proportion of interest rate exposure in the borrowing portfolio by entering into interest rate swap contracts. Total contracts entered into correspond to a 

nominal amount of SEK 184 (781) million. The market value of these contracts as of 31 December 2010 was SEK -7 (-20) million. The whole market value was charged to the profit 

for 2010, and these will therefore not affect the profit for future years. 

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54 | NOTEs 

nOte 29 | CaSH FLOW StateMent 


divestment of Group companies - Group Becker acroma Others* total Powder** 

Divested assets and liabilities: 

Non-current assets 449 2 451 – 

Inventories 293 8 301 – 

Current receivables 488 24 512 – 

Cash and cash equivalents 111 – 111 – 

total assets 1 341 34 1 375 – 

Provisions -89 – -89 – 

Long-term liabilities -37 – -37 – 

Current liabilities -698 – -698 – 

total provisions and liabilities -824 – -824 – 

Purchase price received 1 492 34 1 526 – 

Minus: cash and cash equivalents in the divested business -111 – -111 – 

Divestment expenses -41 – -41 – 

Change in debt in connection with divestment 216 10 226 7 

effect on cash and cash equivalents 1 556 44 1 600 7 

* During 2010 the Ink business in Italy was sold for SEK 34 million, and the Group received SEK 10 million in final payment for the divestment of Becker Poudre SAS, France, Becker 

Polveri SpA, Italy and Becker Powder Coatings Ltd, UK. 

** In 2009 SEK 7 million was received in respect of the divestment of Becker Poudre SAS, France, Becker Polveri SpA, Italy and Becker Powder Coatings Ltd, UK. 



items with no effect on cash flow 

Group contributions – – -9 35 

Finance leasing – 10 – – 

net items with no effect on cash flow – 10 -9 35 

nOte 30 | inCOMe StateMent, reMaininG BUSineSS OPeratiOnS 

SeK million 2010 2009 

Net sales 6 064 5 922 

Cost of goods sold -4 146 -4 021 

Gross profit 1 918 1 901 

Selling expenses -758 -813 

Administrative expenses -601 -616 

Research and development expenses -159 -182 

Other operating income 12 26 

Other operating expenses -114 -133 

Operating profit 298 183 

The Income Statement for remaining business operations shows the consolidated profit excluding Becker Acroma and the Ink business in Italy. 

Group

AUDIT REPORT 

to the annual meeting of shareholders of aB Willh. Becker 

Corporate ID number 556221-9104 

I have audited the annual accounts, the consolidated accounts, the accounting records 

and the administration of the Board of Directors of AB Willh. Becker for the year 

2010. The annual accounts and the consolidated accounts form part of the printed 

version of this document on pages 30–55. The Board of Directors and the CEO are 

responsible for these accounts and the administration of the Company as well as for 

the application of the Annual Accounts Act when preparing the annual accounts and 

the consolidated accounts. My responsibility is to express an opinion on the annual 

accounts, the consolidated accounts and the administration based on my audit. 

I conducted my audit in accordance with generally accepted auditing standards 

in Sweden. Those standards require that I plan and perform the audit to obtain 

high but not absolute assurance that the annual accounts and the consolidated 

accounts are free of material misstatement. An audit includes examining, on a test 

basis, evidence supporting the amounts and disclosures in the accounts. An audit 

also includes assessing the accounting principles used and their application by the 

board of directors and the Chief Executive Officer and significant estimates made by 

the board of directors and the Chief Executive Officer when preparing the annual 

accounts and the consolidated accounts as well as evaluating the overall presentation 

of information in the annual accounts and the consolidated accounts. As a basis 

for my opinion concerning discharge from liability, I examined significant decisions, 

actions taken and circumstances of the company in order to be able to determine the 

FIVE-yEAR sUmmARy 

Key figures 

REVIsIONsBERÄTTELsE/FEmÅRsÖVERsIKT | 55 1 

liability, if any, to the company of any board member or the Chief Executive Officer. I 

also examined whether any board member or the Chief Executive Officer has, in any 

other way, acted in contravention of the Companies Act, the Annual Accounts Act or 

the Articles of Association. I believe that my audit provides a reasonable basis for my 

opinion set out below. 

The annual accounts and the consolidated accounts have been prepared in accordance 

with the Annual Accounts Act and give a true and fair view of the company’s 

and the Group’s financial position and results of operations in accordance with generally 

accepted accounting principles in Sweden. The statutory administration report is 

consistent with the other parts of the annual accounts and the consolidated accounts. 

I recommend to the annual meeting of shareholders that the income statements 

and balance sheets of the parent company and the group be adopted, that 

the profit of the parent company be dealt with in accordance with the proposal in 

the administration report and that the members of the board of directors and the 

Chief Executive Officer be discharged from liability for the financial year. 

Höganäs, 23 March 2011 

Alf Svensson 


2006 2007 2008 2009 2010 

Net Sales, SEK million 8 344 9 110 8 665 8 168 7 565 

Operating profit, SEK million* 539 524 357 187 381 

Financial income and expenses, SEK million -157 -150 -130 -141 -49 

Profit before taxes, SEK million 382 374 227 46 1 212 

Gross margin, % 33,5 32,2 31,9 32,5 32,3 

Profit margin, % 4,6 4,1 2,6 0,6 16,0 

Total assets, SEK million 6 500 6 847 6 660 6 054 4 685 

Equity, SEK million 1 756 1 580 1 913 1 824 2 657 

Capital employed, SEK million 4 555 4 541 4 702 4 231 3 506 

Return on capital employed, %* 12 13 10 4 11 

Equity/assets ratio, % 28 23 29 31 58 

Interest coverage ratio, times* 3,1 2,8 2,7 1,4 6,1 

Investments, SEK million 226 223 297 119 157 

Average number of employees 4 146 4 382 4 426 3 981 3 686 

* Excl. profit from divestment of Becker Acroma 

2 

3 

4 

5 

6 

7 

8 

9 

10 

11 

12 

13 

14 

15 

16 

17 

18 

19 

20 

21 

22 

23 

24 

25 

26 

27 

28 

29 

30

56 | BOARD OF DIRECTORs, sENIOR OFFICERs AND AUDITORs 

BOARD OF DIRECTORs, sENIOR OFFICERs 

AND AUDITORs 

From left: Urban jansson, Erik Urnes, Berit jacobsson, mats Hansson, jenny Lindén Urnes, jan stridfeldt, mair Barnes, Georg Brunstam and Hans mivér

BOARD mEmBERs 

Jenny Lindén Urnes 

Chairman 

Born in 1971. 

Chairman and CEO of Lindéngruppen AB. 

Chairman of Stiftelsen Färgfabriken. Member of the Board 

of Höganäs AB and Moorbrook Textiles Ltd. 

Member of the Board since 2002. 

Georg Brunstam 

Born in 1957. 

President and CEO of HEXPOL AB. Member of the Board 

of Becker Industrial Coatings Holding AB, Hexpol AB, NIBE 

Industrier AB and DIAB Group AB. 


Urban Jansson 

Born in 1945. 

Chairman of the Board of Bergendahls, Global Health 

Partner, HMS Networks, Rezidor Hotel Group, Svedbergs, 

among others. Member of the Board of Clas Ohlson, 

Höganäs, SEB, among others. 


Hans Mivér 

Born in 1945. 

Chairman of the Board of Fareoffice AB. Member of the 

Board of Becker Industrial Coatings Holding AB. 


Mair Barnes 

Born in 1944. 

Member of the Board of ColArt International Holdings Ltd. 

Member of the Board since 2007 

Mats Hansson 

Born in 1954. 

Executive Vice President and Chief Financial Officer of AB 

Wilh. Becker. Member of the Board of Becker Industrial 

Coatings Holding AB and ColArt International Holdings Ltd. 


erik Urnes 

Born in 1971. 

Chief Executive Officer of AB Wilh. Becker. 

Chairman of the Board of ColArt International Holdings 

Ltd and Becker Industrial Coatings Holding AB. 

Member of the Board of Höganäs AB and Lindéngruppen 

AB. Member of the Board since 2006. 

EmPLOyEE REPREsENTATIVEs 

Berit Jacobsson 

employee representative PtK 

Born in 1948. 

Member of the Board of Becker Industrial Coatings 

Holding AB. Member of the Board since 1997. 

Appointed by PTK (Negotiation Cartel for Salaried 

Employees in the Private Sector) at Beckers. 

Jan Stridfeldt 

employee representative LO 

Born in 1977. 

Member of the Board of Becker Industrial Coatings 

Holding AB. Member of the Board since 2006. 

Appointed by LO branches (Swedish Trade Union 

Confederation) at Beckers. 

sENIOR OFFICERs 

erik Urnes 


Mats Hansson 

Executive Vice President and 

Chief Financial Officer 

Joacim Björk 

Chief Legal Officer 

Boris Gorella 

Chief Executive Officer from 

January 1, 2011 


ralph Kabalo 

Chief Executive Officer until 

December 31, 2010 


thomas Bräutigam 


ColArt 

anthony Bowen 

Director of Business 

Development 

AUDITOR 

alf Svensson 


KPMG AB 

DEPUTy AUDITOR 

Camilla alm andersson 


KPMG AB 

BOARD OF DIRECTORs, sENIOR OFFICERs AND AUDITORs | 57

58 | ADDREssEs 

DEFINITIONs 

Gross margin 

Gross margin as a percentage of net sales. 

Profit margin 

Profit before tax as a percentage of net sales. 

Capital employed 

Average total assets less non-interest-bearing liabilities 

and deferred tax liabilities. 

ADDREssEs 

aB WiLH. BeCKer 

GrOUP Head OFFiCe 

SWeden 

Chief Executive Officer: Erik Urnes 

Bruksgården 

SE-263 83 Höganäs 

Visiting address: Apelvägen 2, Viken 

SWEDEN 

Phone: +46 42 33 85 00 

Fax: +46 42 33 85 15 

E-mail: info@becker.se 

BeCKer indUStriaL COatinGS 

Head OFFiCe 

FranCe 

Chief Executive Officer: Boris Gorella 

Regional Manager – EMEA: Christophe Sabas 

Regional Manager – ASIA: YanPhay Ng 

Regional Manager – Americas: Andrew Blake 

Beckers Consumer Design Finishes Managing 

Director: YanPhay Ng 

Cité Internationale 

62, Quai Charles de Gaulle 

FR-69463 Lyon Cedex 06 

FRANCE 

Phone: +33 4 72 69 06 15 

Fax: +33 4 78 17 47 61 

E-mail: bichq@beckers-bic.com 

Becker Industrie 

40 Rue du Champ de Mars 

BP34 

FR-42601 Montbrison Cedex 

Phone: +33 4 77 96 70 50 

Fax: +33 4 77 96 70 70 

E-mail: info-fr@beckers-bic.com 

MD: Jean-Pierre Genevay 

Canada 

Becker Industrial Coatings Inc 

30 Bethridge Road 

CA-Toronto Ontario M9W 1N1 

Phone: +1 416 743 0963 

Fax: +1 416 743 5114 

MD: Andrew Blake 

return on capital employed 

Profit before tax plus net interest income/expense and 

exchange rate differences on financial loans, in relation 

to average capital employed. 

equity/assets ratio 

Equity plus minority interests, in relation to total assets. 

CHina 

Becker Industrial Coatings (Shanghai) Ltd 

100 Jiangtian East Road 

Songjiang Industrial Zone 

CN-Shanghai 201600 

Phone: +86 21 577 43 788 

Fax: +86 21 577 46 581 

E-mail: info-ch@beckers-bic.com 

MD: YanPhay Ng 

Becker Industrial Coatings (Guangzhou) Ltd 

N°1 Xinzhuang 5th Road 

Yonghe Economic Zone 

Guangzhou Economic & Technological 

Development District 

CN-Guangzhou 511356 

Phone: +86 20 322 21 888 

Fax: +86 20 322 21 883 

E-mail: info-ch@beckers-bic.com 


GM: Roger Xu 

Beckers High Performance Coatings (Tianjin) Ltd 

N°32 Luyuan Road 

Wuqing Economic & Technology 

Development District 

CN-Tianjin 301700 

Phone: +86 22 5962 2818 

Fax: +86 22 5962 2820 


GM: Roger Xu 

GerManY 

Becker Industrielack GmbH 

Norfer Str. 3 

DE-41539 Dormagen 

Phone: +49 2133 501-0 

Fax: +49 2133 50 12 89 

E-mail: info-ge@beckers-bic.com 

MD: Hans-Peter Stübner 

Great Britain 

Becker Industrial Coatings Ltd 

Goodlass Road, Speke 

GB-Liverpool L24 9HJ 

Phone: +44 151 448 10 10 

Fax: +44 151 448 25 00 

E-mail: info-uk@beckers-bic.com 

MD: Paul Thomas 

india 

Berger Becker Coatings Pvt Ltd 

Plot No. 114 

Pilerne Industrial Estate 

Post Saligao 

IN-Goa 403511 

Phone: +91 832 2407 103/104/107 

Fax: +91 832 2407 106 

E-mail: info-in@beckers-bic.com 

MD: Sr. V.P- Rajesh Mehrotra 

itaLY 

Beckers Industrial Coatings Italia SpA 

Via Amendola, 3 

IT-20090 Caleppio di Settala (MI) 

Phone: +39 02 950960 1 

Fax: +39 02 95307271 

Email: info-it@beckers-bic.com 

MD: Mauro Lozza 

SOUtH KOrea 

Becker Industrial Coatings (Korea) Ltd 

258-18 Songsan-ri, Yanggam-myun 

Hwaseong-city 

KR-Kyonggi-do 

Phone: +82 31 354 4688 

Fax: +82 31 354 4687 

E-mail: info-ko@beckers-bic.com 


MaLaYSia 

Becker Industrial Coatings (M) Sdn Bhd 

No 3&5 Jalan Anggerik Mokara 31/54 

Section 31, Kota Kemuning 

MY-40460 Shah Alam, Selangor 

Phone: +603 51227 540 

Fax: +603 51227 542 

E-mail: info-ma@beckers-bic.com 

MD: Jack Na 

POLand 

Becker Farby Przemyslowe Sp. Z.o.o 

Ul. Wilhelma Beckera 7 

PL-33-110 Tarnow 

Phone: +48 14 632 0200 

Fax: +48 14 629 3322 

E-mail: info-pl@beckers-bic.com 

MD: Aleksander Sasim 

interest coverage ratio 

Profit before tax plus net interest expense and exchange 

rate differences on financial loans, in relation 

to interest expense. 

rUSSia 

Becker Industrial Coatings AB 

Branch Office 

1-st Neopalimovsky pereulok, 8 

RU-119121 Moscow 

Phone/Fax: +7 499 788 72 84 

E-mail: info-ru@beckers-bic.com 

MD: Stefan Sivemark 

SOUtH aFriCa 

Becker Industrial Coatings (Pty) Ltd 

105 Houtkop Road, Duncanville 

PO Box 1305 

ZA-Vereeniging 1930 

Phone: +27 16428 4011 

Fax: +27 16428 2711 

E-mail: info-sa@beckers-bic.com 

MD: Clive Macaskill 

SWeden 

Becker Industrial Coatings AB 

Box 2041 

SE-195 02 Märsta 

Visiting address: Brobyvägen 2 

Phone: +46 8 590 790 00 

Fax: +46 8 591 169 49 

E-mail: info-se@beckers-bic.com 

MD: Håkan Franzén 

United araB eMirateS 

Becker Industrial Coatings L.L.C. 

P O Box 12795 

Warehouse 2-9, Al-Khour Port 

UAE-Ras Al Khaimah 

Phone: +971 72 27 88 53 

Fax: +971 72 27 88 63 

MD: Jean-Pierre Genevay 

USa 

Becker Specialty Corporation 

2526 Delta Lane 

US-Elk Grove Village, IL, 60007 

Phone: +1 847 766 3555 

Fax: +1 847 766 3595 

MD: Andrew Blake 

Becker Specialty Corporation 

15310 Arrow Blvd 

US-Fontana, CA, 92335 

Phone: +1 909 356 1095 

Fax: +1 909 356 0854 

MD: Andrew Blake

VietnaM 

Becker Industrial Coatings (Vietnam) Co Ltd 

No 1B, Dong An Industrial Park 

Thuan An District 

VN-Binh Duong Province 

Phone: +84 65 0376 8830 

Fax: +84 65 0376 8705 

MD: Eileen Teh 

Branch of Becker Industrial Coatings 

Vietnam Co Ltd 

TS 5 Road 

Tien Son Industrial Park 

Tien Du district 

VN-84 241 Hanoi - Bac Ninh Province 

Phone: +84 241 3734580 

Fax: +84 241 3734581 

GM: Roger Xu 

COLart 

Head OFFiCe 

Great Britain 

Chief Executive Officer: Thomas Bräutigam 

ColArt International Holdings Ltd 

Whitefriars Avenue 

Wealdstone, Harrow 

GB-Middlesex HA3 5RH 

GREAT BRITAIN 

Phone: +44 20 8424 3200 

Fax: +44 20 8424 3428 

E-mail: info@colart.com 

ColArt Fine Art & Graphics Ltd 

Whitefriars Avenue 

Wealdstone, Harrow 

GB-Middlesex HA3 5RH 

Phone: +44 20 8424 3200 

Fax: +44 20 8424 3428 

E-mail: info@colart.com 

MD: Neil Robson 

Crown Artist Brush Ltd 

Crown Street West 

Lowestoft 

GB-Suffolk NR32 1SG 

Phone: +44 1502 57 31 42 

Fax: +44 1502 56 22 72 

E-mail: info@crownartistbrush.co.uk 

MD: Richard Llewellyn 

Mirum Products Ltd 

Station Road 

Ardleigh 

Colchester 

GB-Essex CO7 7RT 

Phone: +44 1206 230 230 

Fax: +44 1206 231 764 

E-mail: info@mirum.co.uk 

MD: Richard Llewellyn 

Snazaroo Holdings Ltd 

Unit 1D, Brunel Way 

Mart Road Industrial Estate 

Minehead 

GB-Somerset TA24 5BJ 

Phone: +44 1643 707659 

Fax: +44 1643 706492 

E-mail: info@snazaroo.co.uk 

MD: Adrian Ryan 

CHina 

ColArt Tianjin Art 

Materials Co Ltd 

80 Xian Yang Road 

Nankai District 

CN-Tianjin 300113 

Phone: +86 22 2768 7178 

Fax: +86 22 2736 2015 

E-mail: info@colart.com.cn 

MD: Roger Yan 

Jinhua Universal Canvas 

Manufacturing Co Ltd 

9 Wenchanglu Panan County 

CN-Zhejiang Province 

Phone: +86 579 846 673 37 

Fax: +86 579 846 686 38 

MD: Bruce Guo 

FranCe 

ColArt International SA 

5 Rue René-Panhard 

Z.I. Nord 

FR-72021 Le Mans Cedex 2 

Phone: +33 2 43 83 83 00 

Fax: +33 2 43 83 83 09 

E-mail: standard@colart.fr 

MD: Thierry Collot 

GerManY 

ColArt Deutschland GmbH 

Gutenbergstrasse 4 

DE-63477 Maintal 

Phone: +49 6109 76 46 60 

Fax: +49 6109 76 46 89 

E-mail: n.schmitt@colart.de 

MD: Norbert Schmitt 

india 

ColArt Camlin Canvas Pvt Ltd 

G-71, M.I.D.C. Industrial Area 

Tarapur 

Boisar District 

IN-Thane 401506 

Phone: +91 02525 274558 

Fax: +91 02525 270434 

itaLY 

ColArt Italiana SpA 

Strada 4, Palazzo Q7 

IT-20089 Rozzano, MI 

Phone: +39 02 98 28 17 35 

Fax: +39 02 98 28 15 10 

E-mail: info@colart.it 

MD: Philippe Bonenfant 

JaPan 

Bonny ColArt Co Ltd 

3-6-3 Rinkaicho 

Edogawa-ku 

JP-Tokyo 134-8576 

Phone: +81 3 3877 5111 

Fax: +81 3 3877 5129 

E-mail: bonnykun@bonnycolart.co.jp 

MD: Mitsuhiro Murata 

netHerLandS 

ColArt b.v. 

Driemanssteeweg 250 

NL-3084 CB Rotterdam 

Phone: +31 104 58 03 11 

Fax: +31 104 58 06 10 

E-mail: pna@colart.nl 

MD: Piet van Nassau 

SPain 

ColArt Iberica, SA 

Poligono Centrovia 

Calle Bogota, 16 

50196 La Muela 

ES-Zaragoza 

Phone: +34 976 14 44 22 

Fax: +34 976 14 96 52 

E-mail: s.blanca@colart.es 

MD: Santos Blanca 

SWeden 

ColArt Sweden AB 

Box 53 

SE-153 21 Järna 

Visiting address: Tuna Industriväg 35 

Phone: +46 8 709 34 20 

Fax: +46 8 19 55 58 

E-mail: info@colart.se 

MD: Philippe Thibault 

OUR VALUEs | 59 

USa 

ColArt Americas, Inc. 

P O Box 1396 

US-Piscataway, NJ, 08855-1396 

Visiting address: 11 Constitution Avenue 

Phone: +1 732 562 0770 

Fax: +1 732 562 0941 

E-mail: djohnston@colartusa.com 

MD: Doug Johnston

60 | OUR VIsION 

THE GROUP 

www.becker.se 

BUsINEss AREAs 

www.beckers-bic.com 

www.colart.com 

BRANDs WITHIN COLART 

www.winsornewton.com 

www.lefranc-bourgeois.com 

www.liquitex.com 

www.reeves-art.com 

www.snazaroo.co.uk 

AB WILH. BECKER 

SE-263 83 Höganäs, Sweden 

info@becker.se

AB WILH. BECKER ANNUAL REPORT 2010 - Beckers Group

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