Financial Overview

(in million euros)

	FY2011	FY2010	Rate of change (%)	Factors
Overall
Sales	1,133.5	1,002.8	13.0	1)
Automotive Plastics Division
Sales	525.4	473.7	10.9	2)

Factors
1) Overall
-Sales in 2011 increased by 13.0% to 1,133.5 million euros, which is the highest level seen since the Company focused on the plastics business in 2006.

-Incoming orders rose by 8.1% to 1,129.3 million euros.

2) Automotive Plastics Division
-The Division increased its sales in 2011 by 10.9% to 525.4 million euros.

-Of all sales regions, Asia recorded the strongest growth with 45.7% higher sales. The stable development of volumes in China and numerous new projects with Chinese and Japanese manufacturers were decisive factors.

-Sales development in North America was also encouraging. The automotive boom and the production launch of various new orders were growth drivers.

Recent Development

-The Company has established the new division "New Business Green Car". The division is designed to promote the development of plastics products for variety of new vehicles and drive concepts. (From a press release on June 9, 2011)

Contracts

-Major orders in 2011 are as follows;

• Awarded a contract to supply plastic underbodies for the Audi "A8". As previously with the BMW "7 Series" and the Porsche "Panamera", the components are made from structural material Seeberlite II.
• The Mercedes-Benz "Actros" and "Axor" truck series will be equipped with body undershields, beginning in September 2011.
• The Company supplies air flaps for the Ford "Transit Connect".
• Volkswagen ordered charge-air tubes and intake manifolds for the new 1.0 and 1.4 liter engines.
• Supplied engine undershields to General Motors for the "Insignia" and "Astra" models as well as body undershields for the Epsilon II "Insignia" platform and the Chevrolet "Cruze" since 2010.
• Supplied air flaps for the Chevrolet "Cruze Eco" and the Ford "Focus" since the end of 2010.

Awards

-The Company has been awarded Quality Excellence Award from Ford. This award was given in recognition of the Company's manufacturing: The division achieved an error rate of zero parts per million over a period of 20 months. (From a press release on June 9, 2011)

R&D Activities

-The Company participated this year in a research project to develop a Fiat "Panda" powered by natural gas and hydrogen, from 2012.

Capital Expenditure

(in million euros)

	FY2011	FY2010	FY2009
Overall	40.0	35.9	26.8

 
-76.5% of total capital expenditure in 2011 was dedicated to expanding production capacity, such as the capacity expansion involved the construction of a new hall at the Worms site and the commissioning of new equipment for the production of lightweight underbody panels.

Investment Outside USA

-The Company's 3rd production plant in China is to be built in Chengdu, Sichuan Province. In the second half of 2011, the 13,000 square meters facility will begin manufacturing air duct systems and other components made from engineering plastics. Clients served from this plant will include FAW-VW, Ford Chongqing, and Volvo. (From a press release on April 7, 2011)