2007: Beiersdorf grows significantly faster than the market

• Record sales in anniversary year
• Market share increase thanks to 9.1% growth in sales
• Double-digit growth in focus regions
• Operating result (EBIT, excluding special factors) rose 14.7%, above average
• Successful acquisition in China
• Dividend of €0.70 proposed for each share carrying dividend rights (previous year: €0.60), an increase of 17%
• Further growth in sales of more than 8% planned for the Consumer business in 2008.

Thomas-B. Quaas, Chairman of the Executive Board of Beiersdorf AG, at today's Annual Accounts Press Conference:

"In our 125th anniversary year, we achieved new record results which even slightly exceeded our expectations. Beiersdorf is successfully expanding its position in a growing global market. We will further pursue our strategy making Beiersdorf a global leader for skin and beauty care.

The acquisition of a majority interest in C-BONS Hair Care in China has put us in an excellent strategic starting position in one of the world's most dynamic and important markets of the future.

For 2008 we again expect our sales to grow at a faster rate than the market general. For the Consumer business, we are planning organic growth of more than 8%, along with a further increase in the EBIT margin."

Beiersdorf 2007 Annual Report

Fiscal Year 2007

Adjusted for currency translation effects, Group sales at Beiersdorf rose by 9.1% in 2007, to €5,507 million (previous year: €5,120 million). This rate of increase was significantly higher than the market. Both business segments contributed dynamically to overall growth, with the Consumer business segment up 9.3% and the tesa business segment up 8.1%. The operating result (EBIT) excluding special factors rose to €684 million (previous year: €597 million), while the EBIT margin increased to 12.4% (previous year: 11.7%). Profit after tax excluding special factors increased to €486 million (previous year: €387 million). Earnings per share excluding special factors rose to €2.12 (previous year: €1.69). The proposed dividend per share was increased to €0.70 (previous year: €0.60).

Consumer business segment

In the Consumer business segment, Beiersdorf's sales advanced by 9.3% to €4,661 million last year adjusted for currency translation effects (previous year: €4,327 million), resulting in a further increase in global market share. EBIT excluding special factors rose to €596 million (previous year: €524 million), EBIT margin to 12.8% (previous year: 12.1%).

tesa business segment

Adjusted for currency translation effects, tesa's sales climbed by 8.1% to €846 million (previous year: €793 million). EBIT rose to €88 million (previous year: €73 million), while the EBIT margin increased to 10.4% (previous year: 9.2%).

Innovations Drive Global Growth in Skin and Beauty Care

The three global brands – NIVEA in the mass market, Eucerin for dermocosmetics, and La Prairie in the luxury segment – contributed to the positive business development with double-digit growth rates.
Following the successful launch of NIVEA VISAGE DNAge in the previous year, the introduction of NIVEA VISAGE Oxygen Power in 2007 also made an excellent start. In particular, NIVEA's worldwide growth of 11.4% was driven by NIVEA deodorant, NIVEA body and NIVEA FOR MEN as well as the successful relaunch of NIVEA Hair Care. The Eucerin brand recorded global growth of 19.6%. The La Prairie Group generated sales growth of 10.7%.

Consumer Regional Results: Particularly Strong Growth in Strategic Growth Markets

In Eastern Europe, Beiersdorf's Consumer business achieved double-digit growth of 24.4% (adjusted for currency translation effects and on comparable basis). In Russia, NIVEA deodorant, NIVEA Hair Care, and NIVEA FOR MEN were the main growth drivers. In Poland, sales of NIVEA deodorant, NIVEA VISAGE, and NIVEA body rose in particular.

Consumer sales in Latin America rose by 20.0% to €377 million, adjusted for currency translation effects. In addition to the large markets of Brazil (+22.4%) and Mexico (+15.0%), our affiliates in Venezuela (+47.2%) and Argentina (+35.7%) made a particularly high contribution to this strong growth. NIVEA Bath Care, NIVEA FOR MEN, NIVEA deodorant, and NIVEA VISAGE reported the highest growth rates in this region.

The Africa/Asia/Australia region generated strong growth of 18.7% (adjusted for currency translation effects and on comparable basis). At 45.1%, growth in China was maintained at a high level. NIVEA VISAGE and NIVEA FOR MEN were the largest contributors to this impressive performance. Thailand recorded significant increases in nearly all segments (sales +21.1%). In Africa, sales increased considerably by 54.0% compared to the previous year. NIVEA deodorant, NIVEA body, and NIVEA VISAGE were the main contributors to this excellent performance.

Besides the printed version Beiersdorf again provides a media friendly online version of the Annual Report 2007 at www.annualreport.beiersdorf.com/2007 .

Please find here here the presentation of the Annual Accounts Press Conference and the Financial Analyst Meeting.