Targeted Growth in Sales and Earnings.
We have set a target of increasing consolidated net sales by 6% in each of the next two fiscal years.

Expressed in absolute terms, this means that the Wincor Nixdorf Group aims to achieve net sales of around €2,064 million in fiscal 2006/2007 and €2,188 million in fiscal 2007/2008.

Regional Development.
Our aim is to increase our market share still further, especially at an international level, and to achieve net sales growth in every region. Europe will remain our largest market.

Within Germany, we hope to maintain our market leadership in both segments and attract new high-profile customers. We expect a small increase in net sales over the next two fiscal years.

At the European level, we aim to achieve above-market average growth in our retail banking operations, while maintaining our dominant position in the retail trade sector. We believe that within Europe as a whole, we can achieve growth in sales to match that of the entire Group.

In line with our strategy of focusing on Asia and the Americas, we hope to achieve a level of growth in these markets that lies above that of the Group. Thanks to a series of measures introduced in the year under review, we believe that double-digit growth is possible in both regions.

Outlook by Business Stream.
We aim to increase the share of our Solutions/Services activities in total sales to around 50% in the long term. With a view to reaching this target, we are making continued efforts to strengthen this business stream and push forward our development work. We expect our Solutions/Services operations to maintain the same high levels of growth as in recent years. At the same time, this will speed up the process of transition toward providing integrated solutions.

In spite of this positive development, the share of the Solutions/Services stream in total sales will not increase rapidly, as we expect to see equally impressive growth in our Product business.

Costs.
Over the next two fiscal years, as part of our Group-wide "ProImprove" program aimed at boosting profitability, we aim to optimize our costs still further and strengthen our earnings capacity.

Through the optimization of our processes and the globalization of our production and development activities, we hope to achieve productivity gains that will have a beneficial effect on earnings. By exploiting economies of scale and recycling solutions, we can make a positive impact on start-up investments and help achieve a faster return.

As a proportion of revenue, selling and administration costs for fiscal 2006/2007 should remain slightly beneath the already low level of the year under review. We expect to further reduce the selling and administration cost ratio in fiscal 2007/2008 through economies of scale and process optimization across the Group.

Profit.
Earnings before interest, taxes and amortization (EBITA) are expected to grow by 8% in each of the next two fiscal years, with EBITA figures of €174 million for fiscal 2006/2007 and €188 million for fiscal 2007/2008.

Net profit for the period is likely to show a greater increase than EBITA in the coming years. This is due to improved operating profit and a number of other factors: charges arising from the carve-out will fall considerably as a result of lower amortization expense associated with product know-how. The financial result will be reduced thanks to the Group’s healthy financing position. It will also be eased by interest payments for pensions; this expense item will now be accounted for as functional costs under the CTA system. The Group’s overall tax burden will be further reduced by Wincor Nixdorf’s continued internationalization.

Our shareholders will continue to benefit fully from earnings growth, as we intend to maintain our company policy of distributing around half of the adjusted net profit for the period in the form of dividends. The figure for adjusted net profit for the period is calculated by removing amortization of product know-how and any corresponding tax effects.

Segment Performance.
Both the Banking and Retail segments of our business will contribute to the Group’s overall growth in the next two fiscal years.