Mercedes 2003 Annual Report Download - page 15
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Please find page 15 of the 2003 Mercedes annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.Dividend of €1.50 per share. The Board of Management and the
Supervisory Board will propose to shareholders at the Annual
Meeting that a dividend of €1.50 per share should be distributed
for the year 2003 (2002: €1.50). The total dividend distribution
would therefore amount to €1,519 million (2002: €1,519 million).
This proposal takes account not only of the development of
operating profit and cash flow in 2003, but also of our expectations
for the coming years, which are based on the large number of
new products to be launched and a gradual acceleration of economic
growth in our major markets of the world.
Unsatisfactory growth for global economy. The global economy’s
unusually long weak phase, including a significant downturn in
companies’ capital expenditure and ongoing uncertainty among
both consumers and investors, continued into 2003. The main
negative factors in the first half of the year were the war in Iraq and
the lung disease, SARS. However, in the second half of the year,
a moderate recovery of the world economy became apparent.
Economic growth in the United States accelerated considerably
during the year. Japan’s economy also improved. However,
economic developments in Western Europe were disappointing.
Whereas growth in Eastern Europe and in some of Asia’s emerging
markets was above average, there was stagnation in South America.
Weighted for each country’s share of the Group’s revenues,
economic expansion of 2.3% in the markets in which Daimler-
Chrysler operates was better than the prior year’s 2.0%, but
was still well below the long-term trend of around 3%.
During the course of the year, the euro appreciated in value
by 20% against the US dollar, by 8% against the British pound and
by 9% against the Japanese yen.
Lack of stimulus in worldwide demand for automobiles in 2003.
Worldwide market conditions in the automotive industry were
extremely difficult for both passenger cars and commercial vehicles
in 2003. Competition intensified due primarily to weak demand
in various major markets and the associated further reductions in
capacity utilization.
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In millions
2003
€€
5,686
3,126
(506)
855
1,240
1,285
6,854
3,020
609
(343)
3,060
903
2002
Operating Profit (Loss)
In millions
2003
€€
136,437
51,446
49,321
28,517
14,037
440
147,368
50,170
60,181
28,401
15,699
508
2002
Revenues
2003
US $
2003
US $
7,16 3
3,938
(637)
1,077
1,562
1,619
171,870
64,807
62,130
35,923
17,682
554
Note:
With reporting for the year 2003, DaimlerChrysler has departed from its previous practice of
presenting earnings with and without one-time effects; only one figure is reported for operating
profit, net income and earnings per share.
In order to ensure comparability, a reference is made to the one-time effects included in the
prior year’s figures.
DaimlerChrysler is following the new rules adopted by the Securities and Exchange Commission
(SEC), which apply to the 2003 financial year and require reporting of “one-time effects” much
more restrictively.
DaimlerChrysler Group
Mercedes Car Group
Chrysler Group
Commercial Vehicles
Services
Other Activities
DaimlerChrysler Group 1
Mercedes Car Group
Chrysler Group
Commercial Vehicles
Services
Other Activities 1
1 Excluding MTU Aero Engines
Consolidated Revenues
25
50
75
100
125
150
175
20032002200120001999
Other markets
USA
European Union
in billions of €
The Maybach 57 on Hibiscus Island, Florida