Siemens 2013 Annual Report Download - page 97

Contents Financial Report
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All in all, these are solid results, but we’re not satisfied with them – because we
fell clearly short of our potential and did not meet our initial forecast for the year.
In the summer, we had to retract the margin targets we’d set for our Sectors.
Special burdens associated with projects in the areas of solar technology, high-speed
trains, wind turbines and North Sea platforms for connecting offshore wind farms
to the power grid put pressure on our profits. These burdens in operations were
partially offset by the profits from the divestment of Nokia Siemens Networks (NSN)
and from the cross-Sector activities of Siemens Real Estate (SRE) and Financial
Services (SFS). The spinoff and public listing of OSRAM was also a welcome success.
Our diligence and perseverance in preparing this move paid off, as the very grati-
fying development of the OSRAM share price over the past few months also confirms.
Based on these and other achievements, we’ll again propose an unchanged dividend
of €3.00 per share at the upcoming Annual Shareholders’ Meeting. You’ll also
profit from the share buyback program that we intend to implement over the next
two years, which will have a volume of up to €4 billion.
Siemens has scored many successes recently – not just in fiscal 2013 but also
between 2007 and 2011. Peter Löscher, my predecessor as President and CEO, played
a pivotal role in our achievements during this period and, in particular, in the
exemplary investigation of the corruption affair. On behalf of the Company and its
employees, I’d like to express my gratitude to Mr. Löscher and my high regard for
his commitment while in office over the past years.
I’d also like to thank the two other members of the Managing Board who have left
the Company in recent months. Barbara Kux had been responsible for supply
chain
management and sustainability at our Company since 2008. Her work was
instrumental in Siemens’ being ranked – once again this year – the most sustain-
able company across seven industries in the internationally renowned Dow Jones
Sustain
ability Index. Brigitte Ederer also made many valuable contributions to
the Company as a member of the Managing Board of Siemens AG and in her pre-
vious position as the long-time head of Siemens AG Österreich. On behalf of the
entire Siemens workforce, I’d like to extend my sincere gratitude to both Ms. Kux
and Ms. Ederer for their dedicated service.
Peter Y. Solmssen will resign from the Managing Board on December 31, 2013. He
played a central role in establishing a sustainable corporate culture of integrity
which is viewed as exemplary worldwide. This achievement will remain our bench-
mark and our beacon as we further align our legal and compliance organization.
I’d like to thank Mr. Solmssen most sincerely for his service and his collegiality as
a member of the Managing Board.
My appreciation also goes to Dr. Gerhard Cromme and the members of the Super-
visory Board for their farsighted support for the work of the Managing Board.
I’m very pleased that the Supervisory Board has appointed Dr. Ralf P. Thomas, an
outstanding financial expert, to serve as Chief Financial Officer. Dr. Thomas will
be responsible for ensuring that Siemens’ financial strategy remains as sound as
it has always been – because in the future, as in the past, we always want to have
the resources we need for investments in growth, jobs and innovation as well as
employee training and continuing education.