Hornbach-Baumarkt-AG Group

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Notes on the Consolidated Balance Sheet 129
By resolution of the Annual General Meeting of HORNBACH-Baumarkt-AG on July 7, 2011, revenue reserves of
€ 47,710,500 were converted into share capital by issuing bonus shares in the 2011/2012 financial year
(please see "Share capital").
Disclosures concerning capital management
The capital management practiced by HORNBACH-Baumarkt-AG pursues the aim of maintaining a suitable
equity base in the long term. The equity ratio is viewed as representing an important key figure for investors,
analysts, banks and rating agencies. The company aims on the one hand to achieve the growth targets it has
set itself while maintaining healthy financing structures and a stable dividend policy, and on the other hand
to achieve long-term improvements in its key rating figures. The capital management instruments deployed
include active debt capital management.
The company has entered into covenants towards some providers of debt capital which, among other conditions,
require it to maintain an equity ratio of at least 25%. The equity ratio, interest cover, debt/equity ratio
and company liquidity (cash and cash equivalents plus available committed credit lines) are monitored
monthly as part of the company’s internal risk management. Further key figures are calculated on a quarterly
basis. Should the values fall short of certain target levels, then suitable countermeasures are initiated at an
early stage. The covenants were complied with at all times during the 2011/2012 financial year. The equity
ratio amounted to 51.4% as of February 28, 2013 (2011/2012: 48.6%).
No changes were made to the company’s capital management approach in the financial year under report.
(21) Distributable earnings and dividends
The distributable amounts involve the unappropriated net profit reported in the balance sheet of HORNBACH-
Baumarkt-AG prepared in accordance with German commercial law.
HORNBACH-Baumarkt-AG concluded the 2012/2013 financial year with an annual net surplus of
€ 45,705,836.24.
Following the allocation of € 22,802,336.24 to other revenue reserves, the unappropriated net profit amounts
to € 22,903,500.00.
The Board of Management and the Supervisory Board of HORNBACH-Baumarkt-AG will propose to the Annual
General Meeting that the unappropriated net profit of HORNBACH-Baumarkt-AG reported as of February 28,
2013 be appropriated as follows:
€
Dividend of € 0.50 on 31,807,000 shares 15,903,500.00
Additional allocation to revenue reserves 7,000,000.00
22,903,500.00
By resolution of the Annual General Meeting held on July 5, 2012, a dividend of € 0.50 (2011/2012: € 1.00)
per share was distributed on a total of 31,807,000 (2011/2012: 15,903,000) individual shares in the
2012/2013 financial year. The total amount distributed thus amounted to € 15,904k (2011/2012: € 15,904k).