E_mg_GB_03_vorne-29_3_04

MANAGEMENT SHARE STRATEGY SPECIAL SECTION MANAGEMENT REPORT FINANCIAL STATEMENTS FURTHER INFORMATION
Consolidated Balance Sheets • Statements of Income • Statements of Cash Flows • Statements of Changes in shareholders’ Equity • Fixed Assets Schedule • Notes • Independent Auditors’ Report
Although the Executive Board of mg technologies ag decided in October 2003 to concentrate the
company’s activities on specialty mechanical engineering and plant engineering and subsequently
made preparations to sell Dynamit Nobel, Dynamit Nobel is still reported as a continued operation.
In line with the fundamental principles of the ‘Holzmüller’ ruling by in Germany’s Federal Court of
Justice, the Executive Board of mg technologies ag will seek the Annual Shareholders’ Meeting’s
approval to sell Dynamit Nobel. Consequently, as of the balance sheet date Dynamit Nobel cannot
be reported under ‘discontinued operations’ in accordance with SFAS 144.
As various investors have shown a keen interest in acquiring either all or part of these activities,
the Executive Board of mg technologies ag – subject to approval being granted by the Annual Shareholders’
Meeting – expects this disposal to have been completed by the end of 2004. In order to
illustrate the impact of Dynamit Nobel’s disposal on the balance sheets, however, in some cases the
figures relating to the Dynamit Nobel companies are given.
solvadis
Once the Executive Board of mg technologies ag had decided to focus the company’s activities on
specialty mechanical engineering and plant engineering, preparations were made to sell solvadis.
Safic-Alcan S.A., Paris, France, which belonged to solvadis, was sold in January 2004 (see below).
There are several prospective buyers for solvadis’ remaining businesses, so that the Executive Board
of mg technologies ag expects its disposal to be completed by the end of 2004.
The (abridged) statement of income for solvadis is as follows:
1/1/2003 - 10/1/2002 -
12/31/2003 12/31/2002
u ’000 t ’000
Revenues 1,416,038 425,624
Cost of sales – 1,288,500 – 390,882
Other expenses and income – 134,944 – 30,636
Pre-tax earnings – 7,406 4,106
Income taxes – 5,926 259
Minority interests – 23 – 3
Profit/loss on discontinued operations – 13,355 4,362
The following assets and liabilities attributable to solvadis are reported in the consolidated balance
sheets as ‘Assets from discontinued operations’ and ‘Liabilities from discontinued operations’:
101