Annual Report 2005

tesa Investor Relations 2005

Annual Report 2005

The tesa Group continued its successful performance in its fourth year as an independent company. We succeeded in further boosting our profitability despite the continuing difficult economic environment: adjusted for currency translation effects and on a like-for-like basis, sales rose by 3.1% in 2005, while the EBIT margin reached 8.2%.

This success is mainly due to our innovative strength as well as the expertise and commitment of our employees. Together, we have created a unique corporate culture that is based on a willingness to think and act innovatively and internationally, and to explore new territory. Building on this, we continued systematically pursuing our clearly defined strategy in 2005 and successfully implemented key projects that will allow us to further increase our innovative ability, develop new application areas and expand our business in growth regions.

In December, we commissioned our new tesa factory and a technology center in Suzhou near Shanghai. Barely 30 months were required from the beginning of the planning to the opening of the plant, which features state-of-the-art technology. Achievements such as this and our ongoing business success confirm our conviction that tesa AG is a strong company that is well equipped for the future.

We would like to thank all employees worldwide for their contribution to this success. We also want to take this opportunity to thank our customers, business partners and our shareholder Beiersdorf for their support and the trust that they have placed in us.