Siemens 2008 Annual Report Download - page 213

Management’s discussion and analysis 117
Earnings before interest and taxes, or EBIT (adjusted); Earnings before interest, taxes, depreciation and amorti-
zation, or EBITDA (adjusted); Return on capital employed (ROCE); Return on equity (ROE); Free cash ow; Cash
conversion rate; and Adjusted industrial net debt are non-GAAP nancial measures. These non-GAAP nancial
measures should not be viewed in isolation as alternatives to measures of our nancial condition, results of opera-
tions or cash ows as presented in accordance with IFRS in our Consolidated Financial Statements. Information
for a reconciliation of these amounts to the most directly comparable IFRS nancial measures is available on our
Investor Relations website under www.siemens.com/ir -> Financial Publications. “Prot Total Sectors” is reconciled
to “Income from continuing operations before income taxes” in the table “Segment Information.”
This Annual Report contains forward-looking statements and information – that is, statements related to future,
not past, events. These statements may be identied by words such as “expects,” “looks forward to,” “anticipates,”
“intends,” “plans,” “believes,” “seeks,” “estimates,” “will,” “project” or words of similar meaning. Such statements
are based on our current expectations and certain assumptions, and are, therefore, subject to certain risks and
uncertainties. A variety of factors, many of which are beyond Siemens’ control, affect our operations, performance,
business strategy and results and could cause the actual results, performance or achievements of Siemens to be
materially different from any future results, performance or achievements that may be expressed or implied by
such forward-looking statements. For us, particular uncertainties arise, among others, from changes in general
economic and business conditions (including margin developments in major business areas); the behavior of
nancial markets, including uctuations in interest and exchange rates, commodity and equity prices, debt prices
(credit spreads) and nancial assets generally; continued volatility and further deterioration of the capital markets;
the commercial credit environment and, in particular, additional uncertainties arising out of the subprime, nan-
cial market and liquidity crises; future nancial performance of major industries that we serve, including, without
limitation, the Sectors Industry, Energy and Healthcare; the challenges of integrating major acquisitions and
implementing joint ventures and other signicant portfolio measures; introduction of competing products or tech-
nologies by other companies; lack of acceptance of new products or services by customers targeted by Siemens;
changes in business strategy; the outcome of pending investigations and legal proceedings, especially the corrup-
tion investigations we are currently subject to in Germany, the United States and elsewhere and actions resulting
from the ndings of these investigations; the potential impact of such investigations and proceedings on our
ongoing business including our relationships with governments and other customers; the potential impact of such
matters on our nancial statements; as well as various other factors. More detailed information about certain of
these factors is contained throughout this report and in our other lings with the SEC, which are available on the
Siemens website, www.siemens.com, and on the SEC’s website, www.sec.gov. Should one or more of these risks or
uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially
from those described in the relevant forward-looking statement as expected, anticipated, intended, planned,
believed, sought, estimated or projected. Siemens does not intend or assume any obligation to update or revise
these forward-looking statements in light of developments which differ from those anticipated.