Expectations about the future course of the global economy still carry some uncertainty. At present, however, we anticipate global economic growth to continue, primarily driven by the emerging markets and among these notably the BIC countries. We aim to extend our market position in the markets relevant to us further in financial year 2010/2011. We will specifically focus on emerging markets and further step up sales activities there. Our aim is to boost the share of Group revenue generated by these expanding markets to 40 percent in the medium term, purely through organic growth.

In the Industrial Cranes segment, we will continue supplementing our product range to meet the specific needs of emerging market customers. In the next few years, this will include expanding into mid-range products, a segment with huge growth potential. To this end, we have developed a new family of rope and chain hoists in the last two years and are currently trialling prototypes in our test centres. We expect to have the first models in this new product line ready for market no later than the end of 2011. We expect the new line to bring in revenue in the low triple-digit million euro range in financial year 2014/2015.

In the Port Technology segment, too, we will go on adapting our product portfolio to regional customer needs. In a current example, we are designing crane modular kits for a new family of small modular Harbour Cranes. On the one hand, these cranes will replace the current HMK 170E and HMK 130H Generation 4 cranes, while, on the other hand, the same approach and platform can be used to configure cranes for emerging markets based on local modules and components, which we can then build in our existing plants. As ports continue to move towards eco-friendly equipment, we will increasingly concentrate on alternative drive technologies. An example is the development of a battery-powered drive train with automatic battery changing station for heavy-load vehicles, which will initially be used in AGVs. With regard to automated products (ASCs and AGVs), we are focusing on a number of large-scale ports being built or expanded on a fully automated basis. If such plans are executed with our involvement, the structure and profitability of our Port Technology segment will change, not least with a potentially larger role for service business.

In the Services segment, although customers faced a difficult economic environment and operated at times below capacity, we were able to maintain and step up service activities on the basis of close customer relationships in the past year. We stand to benefit particularly well from customer facilities returning to higher capacity levels in mature markets due to our large installed base of cranes and hoists. We therefore plan to expand our service portfolio further and additionally offer services relating to third-party cranes and hoists. In emerging markets, we expect to achieve further growth by expanding our presence and infrastructure in close proximity to customers. By further boosting efficiency in the operating business and through the positive effects of ongoing Group integration, we intend to gradually return the segment to its record profitability levels of previous years.

We aim to exploit the strong financial standing of the Demag Cranes Group chiefly for acquisitions and additions in emerging markets.

By addressing the global economic crisis early on and successfully implementing the restructuring programme in the past financial year, the Management Board has created the conditions necessary for making the Group more competitive for the future.

Given the positive economic outlook, we expect to regain strong rates of revenue growth in the next two financial years. As of today, our Group revenue target for financial year 2010/2011 will be in a range of EUR 970 million to EUR 1 billion. No later than financial year 2012/2013, Group revenue is budgeted to reattain the record level reached in financial year 2007/2008 (EUR 1,225.8 million). The new emerging market product families mentioned above are planned to deliver another sharp jump in revenue in financial year 2014/2015.

The changes in cost structure will also allow us once again to attain substantial improvements in operating EBIT. For financial year 2010/2011, we anticipate an operating EBIT margin slightly above the level attained in financial year 2009/2010 (5.8 percent). In this connection, the expense of developing products for the mid-price segment will impact operating EBIT by an amount in the low double-digit million euro range. Subject to meeting the revenue target, we expect the Group operating EBIT margin to be back above ten percent as early as financial year 2012/2013. The operating EBIT margin is set to climb again sharply with the significant planned revenue growth in financial year 2014/2015, partly because enlarging production facilities and building new ones close to customers will mean administrative and logistics costs do not rise as steeply as revenue.

On the whole, Group capital expenditure will stay around two percent of revenue. This underscores our production philosophy of prime focus on component assembly. In line with our strategy, we will notably invest in emerging markets to reap logistical and cost benefits. Consequently, we also expect working capital to equal less than 20 percent of revenue in financial year 2014/2015.

Research and development is vitally important to our Group, which is why we will continue investing around two percent of revenue in product development.

In light of the positive business performance in the past financial year, the Management Board and Supervisory Board have jointly decided to propose a dividend of EUR 0.60 per share at the Annual General Meeting for financial year 2009/2010. This puts the dividend payout ratio at some 42 percent of Group operating net income after tax. For future years, we aim to retain the same policy of distributing attractive dividends according to Group operating earnings.