APC 2003 Annual Report Download - page 74

New companies
■Schneider Shilin (Suzhou) Transformers Company
Limited (SSST), a joint venture in China 49%-owned
by SEEC (a non-Group unit) and 51% by Schneider
Electric.
■Schneider Electric Devices (Dong Guan) Company
Limited (SEDD), a wholly-owned subsidiary in China.
■Schneider Electric Australia Holding Pty Limited, a
wholly-owned subsidiary.
All three companies are fully consolidated.
Acquisition of minority interests
■On March 13, 2003 and September 26, 2003,
Schneider Electric acquired interests of 2% and
1.8%, respectively, in MGE Finances for € 14.8 mil-
lion, raising its total stake to 36.1%.
For further details, see Note 27.
■On August 14, 2003, a 15% interest was acquired
in subsidiary Tianjin Merlin Gerin Company Limited
for €1.3 million, raising the Group’s total stake to
75%.
Divestments
■Schneider Electric contributed two subsidiaries
–PDL Electric (S) Pte Ltd and Schneider Electric
Devices (Dong Guan) Company Limited (SEDD)– to
the new Clipsal Asia Holdings Limited joint venture
created at the end of the year (see Note 8.2).The two
subsidiaries were consolidated until December 31,
2003.
Full consolidation of former equity investments
■On January 1, 2003, the Group fully consolidated
Schneider Electric Malaysia and Schneider Electric
Industries Malaisie SDN (formerly Schneider Scott &
English), which were previously accounted for by the
equity method. The Group had acquired the 51%
interest in Schneider Electric Industries Malaisie held
by minority shareholders, raising its stake to 100%.
Although Schneider Electric owns only 30% of
Schneider Electric Malaysia, it exercises exclusive
control over its decision-making bodies following the
signature of a shareholders’ pact at end-2002.
3.2 - Impact of the main acquisitions
on the 2003 financial statements
The acquisitions of Digital Electronics Corporation
and TAC had the following impact:
Consolidated and Parent Company Financial Statements
72
Pro forma data
( € millions) Dec. 31, Dec. 31, Dec. 31,
2003 2003 2002
Excl. Digital
Reported and TAC Reported
Sales 8,780.3 8,496.8 9,060.5
Operating income 1,007.4 987.0 1,039.6
Operating margin 11.5% 11.6% 11.5%
Net income before amortization of goodwill 623.5 613.5 614.6
Amortization of goodwill (190.7) (174.2) (192.6)
Net income 432.8 439.3 422.0
Goodwill 3,512.8 3,031.2 3,371.9
Property, plant & equipment and intangible assets 1,709.8 1,593.9 1,833.2
Other non-current assets 1,331.1 1,540.0 976.0
Current assets 7,367.1 7,604.1 7,588.4
Total Assets 13,920.8 13,769.2 13,769.5
Shareholders’ equity (excluding minority interests) 7,658.7 7,677.6 7,784.7
Minority interests 74.9 73.1 76.2
Long-term debt 1,475.8 1,470.9 1,723.8
Provisions for contingencies and charges 829.2 810.1 985.1
Current liabilities 3,882.2 3,737.5 3,199.7
Total Liabilities and shareholders’ equity 13,920.8 13,769.2 13,769.5