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191
ANNUAL REPORT 2007 --- adidas Group
33 OTHER INFORMATION
EMPLOYEES The average numbers of employees are as follows:
EMPLOYEES
Year ending Dec. 31
2007 2006
Own retail
Sales
Logistics
Marketing
Central functions and administration
Production
Research and development
Information technology
T
o
t
a
l
11,18
0
6,790
4,
0
65 5,527
4
,
55
0
4,000
2,84
2
2,552
2
,
929
2,619
1,
91
0
1,847
97
3
1,014
76
9
718
7
29,218 25,067
ACCOUNTANT SERVICE FEES Following the formation of KPMG Europe LLP effective October 1,
2007, KPMG LLP (UK) is an affi liated company of KPMG Germany as defi ned under § 271 section
2 HGB. The disclosure requirement for audit and accounting services fees provided by KPMG LLP
(UK) relate to services rendered after September 30, 2007.
In 2007, adidas AG recorded € 1.2 million (2006: € 0.5 million) as expense for the profession-
al service fee for the auditor of the annual and consolidated fi nancial statements.
Expenses for tax consultancy services provided by the auditor, for other confi rmation servic-
es provided by the auditor and for other services provided by the auditor amounted to € 0.1 mil-
lion (2006: € 0.3 million), € 0.0 million (2006: € 0.3 million) and € 0.5 million (2006:
€ 0.0 million), respectively.
wREMUNERATION OF THE SUPERVISORY BOARD AND THE EXECUTIVE BOARD OF ADIDAS AG
SUPERVISORY BOARD Pursuant to the Articles of Association, Supervisory Board members
xed annual payment amounted to € 0.3 million (2006: € 0.3 million). Furthermore, € 0.2 million
in 2007 and € 0.5 million in 2006 was paid due to project-related fi xed-term advisory contracts
to one member of the Supervisory Board in 2007 and two members of the Supervisory Board in
2006, respectively. Total compensation of the Supervisory Board in 2007 thus amounted to
€ 0.5 million (2006: € 0.8 million).
No members of the Supervisory Board were granted loans in 2007.
EXECUTIVE BOARD In 2007, the overall compensation of the members of the Executive Board
totaled € 11.1 million (2006: € 9.4 million).
In 2007, former members of the Executive Board received pension payments totaling
€ 1.7 million (2006: € 1.9 million).
Pension provisions for pension obligations relating to former members of the Executive
Board amount to € 37.6 million (2006: € 42.1 million) in total.
No members of the Executive Board were granted loans in 2007.
Under the Management Share Option Plan (MSOP) of adidas AG, members of the Executive
Board held non-transferable stock options for 0 and 2,800 shares of adidas AG as at December
31, 2007 and 2006, respectively. In addition, former members of the Executive Board held non-
transferable stock options on 0 and 1,300 shares of adidas AG as at December 31, 2007 and
2006, respectively. Members of the Executive Board have not received any stock options since
2003. In 2007, current and former members of the Executive Board exercised 4,100 stock options
(2006: 12,100). Details of the Management Share Option Plan are also included in these Notes.
see Note 32
Further information on disclosures according to § 314 section 1 no. 6a HGB (German commercial
law) is provided in the Compensation Report. see Compensation Report, p. 030
34 INFORMATION RELATING TO THE GERMAN CORPORATE GOVERNANCE CODE
INFORMATION PURSUANT TO § 161 GERMAN STOCK CORPORATION ACT (AKTG) On February
11, 2008, the Executive Board and Supervisory Board of adidas AG issued the updated declara-
tion of conformity in accordance with § 161 of the Stock Corporation Act (AktG). The full text of
the Declaration of Compliance is available on the Group’s corporate website.
35 EVENTS AFTER THE BALANCE SHEET DATE
GROUP-SPECIFIC SUBSEQUENT EVENTS Effective January 2008, the adidas Group acquired
additional shares of its subsidiary in Greece, adidas Hellas A. E., Thessaloniki.
Effective January 3, 2008, adidas Canada acquired 100 % of the shares of Saxon Athletic
Manufacturing Inc. for a purchase price in the amount of CAD 4.6 million. Based in Brantford /
Ontario (Canada), Saxon Athletic is a design, development, marketing and manufacturing
company for team uniforms worn by professional and amateur teams throughout North America.
The purchase price allocation is not fi nalized so far.
On January 29, 2008, adidas AG announced the launch of a share buyback program. Treasury
shares of up to 5 % of the Company’s stock (up to 10,182,248 shares) with an aggregate value of
up to € 420 million (excluding incidental purchasing costs) shall be repurchased, exclusively via
the stock exchange. adidas AG intends to cancel the repurchased shares, thus reducing its stock
capital.
Effective February 11, 2008, TaylorMade-adidas Golf divested the Maxfl i brand. The divested
business accounted for approximately 1 % of TaylorMade-adidas Golf sales in 2007.
DATE OF AUTHORIZATION FOR ISSUE The Executive Board of adidas AG approved the consoli-
dated fi nancial statements for submission to the Supervisory Board on February 15, 2008. It is
the Supervisory Board’s task to examine the consolidated fi nancial statements and give their
approval and authorization for issue.
Herzogenaurach, February 15, 2008
The Executive Board of adidas AG
05