18.03.09
Ad hoc Announcement
Stuttgart, March 18, 2009: The BMC Group, which focuses on the exhibition
and advertising sector, realized a significant loss during the 4th quarter
of 2008. The turnover and the result were heavily influenced by the
consequences of the global financial crisis.
Consequently, the turnover increase of approx. 20% to EUR 27.7 million does
not meet the expectations for the total year 2008, during which expenses
increased disproportionately. Moreover, taking into account the current
data, depreciation of bad debt and goodwill will be integrated into BMC
Group's consolidated accounts, same as the elimination of deferred tax
assets. Overall, the consolidated accounts for the financial year 2008 show
a negative result, to the order of 15-17 mn EUR.
The adjustments and the negative operating result lead to a considerable
consolidation of the balance sheet as well as a strong decrease of equity
ratio to around 30%. The financial situation remains very tense.
Cost reduction measures and restructuring processes have been initiated.
Loss-making subsidiaries will be closed down or sold, administration costs
will be reduced considerably in Germany and China.
Business Media China AG's final audited annual accounts are scheduled to be
published on March 31, 2009.
Today the new Management Board was appointed with Mr. Heinz Zuercher as CEO
and Mr. Christian Hoelscher as CFO. The new management will redefine the
strategy of the BMC Group.
Effective today, Mr. Klaus Michael Hilligardt, Mr. Peter Sassmann, and Mr.
Li Yang Yang resigned from their management board positions due to the
changes in the shareholder structure and the impact of the global financial
crisis on the results of the group.