EANS-Adhoc: PUMA AG Rudolf Dassler Sport
Irregularities committed by Greek
Joint Venture Partner to affect PUMA AG's Consolidated Financial Statements
ad-hoc disclosure pursuant to section 15 of the WpHG transmitted by euro adhoc with the aim of a Europe-wide distribution. The issuer is solely responsible for the content of this announcement.
Company Information
25.10.2010
AD HOC RELEASE PURSUANT TO § 15 WpHG
PUMA AG Rudolf Dassler Sport (ISIN: DE00069696303 WKN: 696960) PUMA WAY 1, D-91074 Herzogenaurach
Irregularities committed by Greek Joint Venture Partner to affect PUMA AG's Consolidated Financial Statements
Herzogenaurach, 25 October 2010 - PUMA AG's Management Board announces that irregularities, discovered at its Joint Venture 'PUMA Hellas S.A.' in Greece, will affect PUMA's consolidated financial statements.
PUMA AG has initiated a comprehensive special audit by an independent auditing firm, appointed a new local management in Greece and put a halt to further irregularities. According to the preliminary findings of the audit, it is suspected that the Greek joint venture partner, along with members of the Greek local management, has committed a series of criminal acts.
As most of the irregularities have occurred prior to the fiscal year 2010, PUMA will have to restate its prior-year financial statements in line with IAS 8, i.e. adjust the 2009 comparative figures in the 2010 financial report. In total, the maximum extraordinary write-off effect should not exceed pre-tax 115 million Euros and does not affect the cash position. An estimated amount of up to 15 million Euros should affect fiscal year 2010 with the remainder applying to previous years.
Due to these irregularities and the general market situation in Greece, the company is further planning a restructuring in Greece that could lead to additional one-time charges of approximately 15 million Euros in the fourth quarter. As a consequence, it is likely that one-time charges of up to 30 million Euros will be booked in the fourth quarter of fiscal year 2010. A note to financial statements will be included in the third quarter results to be released on 26 October 2010.
PUMA AG's Management and Supervisory Board have resolved to assert all claims according to civil and criminal law against the Greek Joint Venture minority partner and members of the local Greek management.
Media Relations:
Ulf Santjer - Corporate Communications - +49 9132 81 2489 - ulf.santjer@puma.com Kerstin Neuber - Corporate Communications - +49 9132 81 2984 -kerstin.neuber@puma.com
Investor Relations:
Klaus Bauer - Investor Relations - +49 9132 81 2303 - klaus.bauer@puma.com Michael Lämmermann - Investor Relations - +49 9132 81 2260 - michael.laemmermann@puma.com
end of announcement euro adhoc
Further inquiry note:
Ulf Santjer
Telefon: +49 (0)9132 81-2489
E-Mail: ulf.santjer@puma.com
Branche: Consumer Goods
ISIN: DE0006969603
WKN: 696960
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