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Technologies · Systems · Solutions - Dürr

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Cylinder head cleaning: A highpressure<br />

lance, working with an<br />

operating pressure of approximately<br />

400 bar, removes residues of contamination<br />

originating from the manufacturing<br />

process. The lance is mounted<br />

on a robotic arm that makes sure the<br />

high pressure water jet is directed just<br />

where it is needed. Final cleaning<br />

is carried out with multi-nozzle spray<br />

systems.<br />

Ecoclean business unit<br />

Course set for<br />

earnings improvement<br />

Difficult market environment in Germany<br />

Earnings enhancement measures under way<br />

New cleaning systems for diesel fuel injection systems<br />

Amounts in €m<br />

2004 2003 Change<br />

Total incoming orders 183.6 176.9 3.8%<br />

Total sales 186.1 208.1 –10.6%<br />

EBITDA –2.0 9.4 –121.3%<br />

EBT –5.1 5.7 –189.5%<br />

Employees at year’s end 909 932 –2.5%<br />

For the Ecoclean business unit, 2004 was marked by very weak demand in the important<br />

German market, which we were only partly able to offset with an increase in<br />

business in the United States, where capital spending restraint in the automotive<br />

industry was slowly beginning to ease. A gratifying development came out of the<br />

newly tapped Chinese market, where we smoothly completed a showcase project<br />

involving 19 cleaning systems for an automotive joint venture through our local<br />

unit established there in 2003.<br />

33<br />

Earnings enhancement measures introduced without delay<br />

A difficult overall market environment, insufficient capacity utilization in Germany and<br />

Spain, and unscheduled expenditures in the Coolant Filtration product line resulted<br />

in considerable reductions in profit. In response, we immediately launched a series of<br />

short and medium-term measures as part of the JUMP restructuring program. These<br />

measures will increase our profitability and strengthen our market position, especially<br />

since some of our smaller competitors have been unable to withstand the price and<br />

cost pressures and have withdrawn from the market.<br />

We are cutting production costs by simplifying the concepts and designs of our cleaning<br />

systems without compromising on functionality and quality.<br />

To further utilize the potential of the international Ecoclean network, we are installing<br />

a process-oriented organization based on international centers of competence.<br />

The interfaces between sales, purchasing, design, and assembly are being optimized<br />

to accelerate product development and order processing times and to reduce costs<br />

and capital tie-up. Strengthening project management as a key overarching process is<br />

playing a vital role.

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