Pharmaceuticals Sector - Solvay

66
Solvay Global Annual Report 2005
Information per primary segment for 2005 is presented below:
2005 EUR million
Income statement items Pharmaceuticals Chemicals Plastics Unallocated Consolidated
Discontinued
operations
Net sales 2 270 3 034 3 848 0 9 152 491
- Inter-segment sales1 0 -249 -341 0 -590 0
External sales 2 270 2 785 3 507 0 8 562 491
Gross margin 1 564 514 760 0 2 838 85
REBIT 302 285 389 -64 912 22
Non-recurring items -78 -30 -1 -248 -357 524
EBIT 224 255 388 -312 555 546
Cash fl ow items Pharmaceuticals Chemicals Plastics Unallocated Consolidated
Discontinued
operations
EBIT 224 255 388 -312 555 546
Recurrent depreciation and
amortization
74 163 177 13 427 17
Impairments 13 10 -3 0 20 0
Changes in provisions and other
non-cash items
-21 -35 -13 188 119 -538
Changes in working capital
Cash fl ow from operating
80 -15 -6 -9 50 9
activities before taxes 370 378 543 -120 1 171 34
Capital expenditure 1 346 261 293 13 1 913 17
Balance sheet and other items Pharmaceuticals Chemicals Plastics Unallocated Consolidated
Discontinued
operations
Investments2 2 505 1 993 1 858 97 6 453 130
Working capital3 255 451 548 -57 1 197 78
Provisions 450 711 274 1 084 2 519 67
Headcount at Jan. 1 of following
year
10 004 8 721 8 474 1 531 28 730 2 086
1 Inter-segment transfer prices are based on market prices.
2 Non-current assets with the exception of deferred tax assets and other long-term assets.
3 Short-term assets and liabilities and other non-current assets and liabilities, with the exception of dividends payable.
In 2004 discontinued operations included the salt activity (REBIT of EUR 12 million plus a capital gain of EUR
33 million on the sale of this activity), the industrial foils activity (REBIT of EUR 24 million) and the high density
polyethylene activity (REBIT of EUR 12 million).
In 2005 discontinued operations include the capital gain on the sale of the high density polyethylene activity to BP
and the earnings of the industrial foils activity.
It should be noted that in the income statement and balance sheet, discontinued operations appear on separate
lines in 2004 and 2005. In the cash fl ow statement, on the other hand, discontinued operations are included in all
fl ows, with the exception of EBIT.