PDF (10.9MB) - ThyssenKrupp AG

2.1 Management report on the Group Profile Profi le and and strategy
The sale of treasury stock in in July
2011 resulted in a cash inflow infl ow
of €1.6 billion.
– We have found a best owner for the Xervon group in REMONDIS, a service company focused on water
and recycling services. Xervon provides technical services for the erection and maintenance of industrial
plants around the world and is therefore an excellent fit for the REMONDIS portfolio. The sale and
purchase agreement was signed in the final quarter of the reporting year; the closing will follow after
approval by the responsible merger authorities. The approval of the EU competition authority has already
been received. Altrad S.A. of France purchased Xervon’s Spanish subsidiary back in October 2010. This
took Materials Services a major step forward in restructuring its industrial services business.
– The sale of the Metal Forming group to the Spanish automotive supplier Gestamp Automoción was
completed in July 2011 after the approval of the EU competition authorities. The group, which
manufactures high-quality chassis and body parts, was no longer part of the core business of Steel
Europe. In addition it is planned to sell ThyssenKrupp Tailored Blanks.
– Under the new strategic framework we will also combine the chassis operations of the Bilstein group and
Presta Steering, and divest the spring and stabilizer business and the Brazilian Automotive System
operation as part of a best-owner solution. The management structure for the new entity formed from
Bilstein and Presta Steering has already been decided. The combination creates one of the world’s
biggest chassis full-service providers with a global footprint. With its damping and steering expertise it
will be better able to meet customer demands for modern chassis systems. We also plan to divest the US
foundry group Waupaca.
– In September and October 2011 Elevator Technology acquired all the operations of two US companies:
General Elevator Sales and Services, Inc. in Florida, and United Elevator Company, Inc. in Pennsylvania.
Both companies specialize in elevator service, maintenance and modernization and have been operating
successfully on the American market for decades. This consolidates the already strong position of
ThyssenKrupp Elevator in North America and sets us on course for further growth in this region. We
strengthened our market position in Europe with further acquisitions in the Benelux countries and in
Spain, Italy and France.
– In a further step, ThyssenKrupp sold treasury shares equivalent to 9.6% of the capital stock at the
beginning of July 2011. We sold 49,484,842 shares at a price of €32.95 per share, resulting in a cash
inflow of €1.6 billion. The shares were placed mainly with German and international institutional investors
in an accelerated bookbuilding. The transaction strengthened equity and reduced net financial debt.
ThyssenKrupp AG now no longer holds any treasury shares.
– The strategy is supported by a new Group mission statement. Over 1,300 employees from all business
areas worked on its development – among other things in workshops in the USA, Canada, Brazil, Spain,
China, Hong Kong, Dubai, India, South Africa and Germany. As a new “corporate constitution” the
mission statement creates a common roof for all the Group’s employees. It requires and promotes more
transparency, openness and teamwork in our operating culture. Highest standards and common values
such as reliability, integrity and responsibility determine our actions. We are a materials and technology
company and meet the challenges of the future with our customers.
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