PDF (10.9MB) - ThyssenKrupp AG

2.4 Management report on the Group Financial position
Issuer ratings since 2001
We have been rated by Moody’s and Standard & Poor’s since 2001 and by Fitch since 2003.
ThyssenKrupp’s credit standing is currently rated by the agencies as follows:
Long-term
rating
90
Short-term
rating Outlook
Standard & Poor’s BB+ B stable
Moody’s Baa3 Prime-3 stable
Fitch BBB- F3 stable
Experience shows that ratings upgrades lead to lower refinancing costs, while downgrades generally have a
negative effect. Regaining investment grade status with Standard & Poor’s therefore remains an important
goal.
Analysis of the statement of financial position
Compared with September 30, 2010, total assets decreased slightly by €109 million to €43,603 million.
Compared with September 30, 2010, non-current assets decreased significantly by a total of €3,576 million.
There was a €3,673 million reduction in property, plant and equipment. This decrease was mainly due to the
reclassification of €2,394 million to assets held for sale/disposal due to the disposal of the Stainless Global
business area initiated in fiscal year 2010/2011 (€2,269 million) and the sale of the Xervon group in the
Materials Services business area initiated in August 2011 (€125 million); in addition, depreciation in the
Steel Americas business area exceeded additions by €1,342 million, particularly as a result of the
€1,685 million impairment charges recorded in this area. The €485 million decline in intangible assets was
mainly due to goodwill impairment of €338 million as well as a €144 million increased reclassification to
assets held for sale/disposal. The €253 million increase in other non-current non-financial assets was
mainly due to the recognition of reimbursement rights in connection with non-income-based taxes. This was
partly offset by a €350 million increase in deferred tax assets due mainly to losses outside Germany.
Current assets increased in total by €3,467 million.
Inventories stood at €8,105 million on September 30, 2011, down €157 million from the prior year.
Increases resulting mainly from the good business situation in the reporting period and the ramp-up of
production at the new steel plants in Brazil and the USA were offset in particular by decreases from a
€1,890 million higher reclassification to assets held for sale/disposal. In addition, inventories at the Marine
Systems business area declined due to the delivery of a submarine to the Greek Navy and there were writedowns
of excess inventory held in the Steel Americas business area due to the ramp-up.