Gerresheimer Achieves Sales Target for 2009

PR Newswire

DUSSELDORF, Germany, February 9

    DUSSELDORF, Germany, February 9 /PRNewswire-FirstCall/ --
    - Profit Margin Better Than Expected

    - Sales on like-for-like basis almost at prior year level (-1.5 percent)
    - Adjusted EBITDA margin of 19.2 percent (on like-for-like basis) better
      than expected
    - CEO Dr. Axel Herberg: "We have demonstrated our stability and
      profitability in a difficult environment."
    - Outlook for 2010: sales increase of 2 to 4 percent and Adjusted EBITDA
      margin of mid 19 percent

In the economically challenging environment of the past year,
Gerresheimer AG has achieved its sales target and turned in a better
operating margin than expected.

Group sales in the past financial year (to the end of November) reached
EUR1 billion. The pharma business, which now accounts for around three
quarters of Group sales, again ensured a slight growth in sales in 2009. In
contrast, the cyclical fields of cosmetics and Life Science Research suffered
a fall in sales. On a like-for-like basis, i.e. excluding the Technical
Plastics Systems business which was sold as per July 1, 2009, sales were 1.5
percent down on the prior year (forecast -1.5 to -2.5 percent).

The good operating margin (Adjusted EBITDA Margin), which at 19.2 percent
exceeded the forecast of around 18.5 percent on a like-for-like basis, was
achieved through early realignment of production capacity and cost
reductions. Overall, however, there was a year-on-year fall in the operating
result (Adjusted EBITDA) at EUR185.9m (2008: EUR206.4m). In contrast, net
income rose substantially from EUR4.5m to EUR7.0m because of reduced one-off
expenses. As a result, earnings per share increased from EUR0.02 to EUR0.18.

Gerresheimer further improved its finance structure over the past
financial year. The equity ratio is at the comfortable level of 35.8 percent
(prior year 31.6 percent). Net financial debt was reduced by EUR48.3m to
EUR373.3m. Investment at the same time reached the high level of EUR86.4m.

Because of the decline in operating results and in order to strengthen
the financial base for future growth opportunities, the Management Board and
Supervisory Board recommends the Annual General Meeting that no dividend for
the financial year 2009 is paid. Basically, however, Gerresheimer does intend
to distribute attractive dividends again in the future, depending on the
success of business.

"Overall we have demonstrated our stability and profitability in a
difficult environment. We have successfully managed to create the conditions
for future growth through targeted investments in our product portfolio and
new plants throughout the world," says CEO Dr. Axel Herberg.

Broader product portfolio and internationalization

Gerresheimer constantly widens its product portfolio and expands into all
the important strategic regions. In the financial year 2009 for example a
third production line was completed for prefillable syringes, production
capacity was built up for two insulin pen systems and investments were made
in new products in the field of diabetes diagnostics. Within the parameters
of the continued international orientation, three new locations were
established in three continents. In China a state-of-the-art plant was
constructed for pharmaceutical tubular glass. A new research and development
center for medical plastic systems was opened in the USA and a new production
center for pharmaceutical plastic packaging in Spain. In Brazil, a new
production facility for insulin pen systems is planned for early 2010.

Outlook for 2010

The negative effects of the global financial and economic crisis should
gradually abate and a revival in demand is now likely.

While Gerresheimer again expects growth for the pharma market, the
outlook for cosmetics and Life Science Research is more difficult. Against
this background the Management Board expects for the current financial year a
sales increase of 2 to 4 percent (in relation to adjusted sales excluding
Technical Plastic Systems of EUR970.8m) and an improved operating margin
(Adjusted EBITDA Margin) of around 19.5 percent. Investment will total around
EUR75m to 80m.

About Gerresheimer

Gerresheimer employs around 9,400 people in 40 locations in Europe,
Americas and Asia. In the financial year 2009, worldwide sales totaled EUR1
billion. The product portfolio ranges from pharmaceutical vials made of glass
and plastic through to complex drug-delivery systems for the pharma &
healthcare industry. These include sterile syringes, inhalers and other
system-based approaches for safe dosage and application of medications. The
Group enjoys a leading position in markets which are characterized by high
technical and regulatory barriers.

    Group Key Figures (IFRS; Financial Year end November 30)

    in EUR million                     FY 2009  FY 2008        %
    Sales                              1,000.2  1,060.1     -5.7
      Group sales excluding
      Technical Plastics[1]              970.8    985.9     -1.5

    Adjusted EBITDA[2]                   185.9    206.4     -9.9
      in % of sales                       18.6     19.5

    Adjusted EBITDA[2] excluding         186.2     n/a[3]
      Technical Plastics
      in % of sales                       19.2     n/a[3]

    Profit from operations (EBIT)         60.4     61.0     -1.0
    Net income                             7.0      4.5    +55.6
    Adjusted net income[4]                45.2     61.4    -26.4
    Earnings per share in EUR             0.18     0.02    >+100
    Adjusted earnings per share[5] in
      in EUR                              1.34     1.83    -26.8
    Equity ratio in %                     35.8     31.6
    Net financial debt                   373.3    421.6    -11.5
    Capital expenditure                   86.4    107.8    -19.9

    1 The Technical Plastic Systems segment was sold with effect from July 1,
      2009

    2 Adjusted EBITDA: Earnings before income taxes, financial result,
      amortization of fair value adjustments, extraordinary depreciation,
      depreciation and amortization, restructuring expenses and one-off
      income and expenses

    3 The adjusted EBITDA of the Technical Plastic Systems segment of the
      prior year is not available due to the fact that the divestment was
      carried out in the course of the financial year 2008 and is therefore
      included in the Plastic Systems segment

    4 Adjusted net income: Consolidated profit before non-cash amortization
      of fair value adjustments, special effects from restructuring expenses,
      extraordinary depreciation, the balance of one-off income and expenses
      (including significant non-cash expenses) and the related tax effects

    5 Adjusted net income after minorities divided by 31.4m shares

    Contact Press
    Burkhard Lingenberg
    Director Corporate Communication & Marketing Director
    Phone +49-211-6181-250
    Fax +49-211-6181-241
    e-mail b.lingenberg@gerresheimer.com

    Contact Investor Relations
    Anke Linnartz
    Corporate Investor Relations
    Phone +49-211-6181-314
    Fax +49-211-6181-121
    e-mail a.linnartz@gerresheimer.com

SOURCE Gerresheimer AG

Contact

Contact Press: Burkhard Lingenberg, Director Corporate Communication & Marketing Director, Phone +49-211-6181-250, Fax +49-211-6181-241, e-mail b.lingenberg@gerresheimer.com ; Contact Investor Relations, Anke Linnartz, Corporate Investor Relations, Phone +49-211-6181-314, Fax +49-211-6181-121, e-mail a.linnartz@gerresheimer.com