In the financial year 2009, Looser Holding generated revenues of 468.4 million Swiss francs and a gratifying operating result (EBITDA) of 59.4 million Swiss francs. After currency and acquisition-related adjustments, net revenues only declined by 3.3 percent against the prior year and the operating margin, at 12.7 percent, was almost as high as in the previous year (13.0 percent). Net debt was reduced by a marked 57.3 million Swiss francs. The equity ratio amounted to 40.5 percent.

In the financial year 2009, Looser Holding AG, headquartered in Arbon (Switzerland), reported a 5.8 percent decline in net revenues against the previous year to 468.4 million Swiss francs (prior year: 497.4 million Swiss francs) in a difficult economic environment. After adjustments for currency and acquisition effects, the decrease in revenues against the previous year amounted to a mere 3.3 percent. The operating result (EBITDA) was 59.4 million Swiss francs, a decline by 8.2 percent against 2008. The EBITDA margin of 12.7 percent was only marginally below the prior year figure (13.0 percent). Thanks to a strong fourth quarter, Looser Holding thus outperformed its own expectations. The good result in spite of the economic crisis was due to the strong operating performance and diversified business portfolio. Thanks to the positive development in three out of four business divisions, profitability remained at a satisfactory level.

In terms of EBIT, Looser Holding even slightly improved its margin against the previous year from 8.8 percent to 8.9 percent. This increase mainly  resulted from production relocations initiated in 2008 as well as property sales in the Coatings division.

Strongly improved financial flexibility
The net debt of Looser Holding decreased from 190.4 million Swiss francs to 133.1 million Swiss francs. On the one hand, this was due to cashflows from operations, which rose markedly against the prior year from 36.6 million Swiss francs to 44.4 million Swiss francs, and, on the other hand, to a capital increase implemented in the summer of 2009 as well as the sale of non-operating properties. The ratio of net debt to equity (gearing) now amounts to 0.62 which constitutes a major improvement in Looser Holding,s financing situation (prior year: gearing of 1.14). As a result of the capital increase and good Group profits, the equity ratio increased to 40.5 percent (prior year: 31.4 percent). Consolidated net income before minority interests amounted to 21.4 million Swiss francs and thus only slightly declined against the previous year (22.5 million Swiss francs). 

First distribution planned 
For the financial year 2009, the Board of Directors will submit a motion to the general meeting to implement the envisaged distribution in the form of a tax-privileged par value reduction of 1.30 Swiss francs per registered share by the end of July 2010. Thus the shareholders of Looser Holding will for the first time benefit from a distribution. 


Coatings: Markedly improved operating performance
The Coatings division (FLH Group) recorded a decline in revenues by 3.4 percent to 196.5 million Swiss francs for the financial year 2009. After currency adjustments, the drop in revenues amounted to 1.9 percent. Thanks to strong growth in the segments Non-Stick Coatings (plus 11 percent) and Industrial Wood Coatings in Europe (plus 18 percent) as well as the general improvement in revenue developments against the prior year at the Asian companies in the fourth quarter of 2009, the declining revenues of other business divisions were practically offset.  

The operating result (EBITDA) amounted to 19.9 million Swiss francs or 10.2 percent of net sales (prior year: EBITDA 17.6 million Swiss francs or 8.6 percent). This major improvement against the previous year was due to strict cost management as well as an improved gross margin resulting from lower prices of raw materials. The full impact of the restructuring completed in 2009 (shutdown of the Feycolor production plant in Austria) of the Feycolor Group (Industrial Coatings) will be felt as from 2010 onwards in the form of further cost savings of about 1.0 million Swiss francs. 

Industrial Services: Record results despite the crisis
The Industrial Services division (Condecta Group) generated record results in the financial year 2009. Although net revenues after currency and acquisition-related adjustments declined by 3 percent against the prior year, the operating result (EBITDA) increased from 12.6 million Swiss francs in the previous year to 14.9 million Swiss francs. The operating margin amounted to an outstanding 27.7 percent and thus again rose significantly against the prior year (23.7 percent). Mobi-Toil AG, which was acquired in June 2009, contributed revenues of 2.3 million Swiss francs as well as EBITDA of 0.4 million Swiss francs to this good result.

The increase in operating margin was largely due to strong growth in the rental business (Modular Space, Cranes) by about 20 percent against the prior year. Thus the decline in trading activities was more than offset. In addition, Condecta AG benefited from the lower exchange rate of the Euro in the procurement area with respect to its trading activities which had a positive impact on gross margins. The Condecta Group further positioned itself in Romandy, increasing its revenues in that region by 9.6 percent against the previous year.

The Industrial Services division was expanded further through the acquisition of Mobi-Toil AG, the second largest provider of mobile sanitary units in Switzerland. 

Temperature Control: Still profitable despite drop in revenues
In the financial year 2009, the Temperature Control division (Single Group) was most strongly affected by the current economic situation. The weak demand in the plastics industry, mainly in the machinery and plant construction sectors, as well as the sharp plunge in revenues in the semi-conductor business resulted in a decline in revenues against the record year 2008 by 39.6 percent to 28.7 million Swiss francs (prior year: 47.4 million Swiss francs). In the second half of 2009, the revenue situation stabilized somewhat so that the initial decline in revenues (expressed in local currencies) by 44 percent for the first half-year was reduced to 36.5 percent as of the year-end. Exports from Germany, with the exception of the Swiss and Chinese markets, recorded a particularly strong decline against the prior year. Most OEMs had to cope with a much more severe slump in orders. Thanks to its excellent products and technological applications, Single solidly stood its ground against competitors in terms of revenues. As a result of the measures already initiated at the end of 2008, in particular the introduction of short-time working, the reduction in the number of contract workers as well as the reduced amount of third-party services, a positive operating result of 1.8 million Swiss francs (EBITDA margin of 6.4 percent) was again generated (prior year: EBITDA of 10 million Swiss francs or 21.1 percent). Due to consistent outsourcing of non-core processes, Single is in a position to rapidly respond to any decline in demand. In January 2010, the order situation stabilized with respect to OEMs and direct customers in the machinery and plant construction area as well as with respect to applications for the semi-conductor industry. 

Doors: Upward trend continues – expansion of market share
The Doors division (Prüm-Garant Group) again generated strong results for the financial year 2009, posting net revenues of 190.9 million Swiss francs which, after currency adjustments, corresponds to a 4 percent growth rate against the prior year, although the German market for interior doors, according to market studies, declined in 2009 as it had already   done in the prior year. Thus the Doors division further stabilized its already strong market position and won new market share. Mainly the product segment Lifestyle and Special Function Doors experienced an extremely positive development while the Standard Doors segment slightly declined against the prior year. In 2009, the Prüm-Garant Group also established itself in the project business. The gross margin increased due to the implementation of price increases as well as cost reductions in the procurement area. As a result of a marginal increase in operating expenses, the EBITDA margin, at 14 percent, slightly decreased (prior year: 14.5 percent). EBITDA amounted to 26.7 million Swiss francs (prior year: 28 million Swiss francs). 

In the financial year 2009, the Prüm-Garant Group continued to implement the extensive investment program for the Weinsheim production plant. Despite the related plant reorganization and still less than optimal production processes, productivity was enhanced further.

Prospects for 2010
The order situation in the Temperature Control division improved practically in all application areas. The Doors, Industrial Services and Coatings divisions had a good start to the new financial year. However, any assessment of economic developments continues to be subject to uncertainties. If the economic situation does not deteriorate, revenues and earnings may be expected to grow in the financial year 2010. 


Key figures of the Looser Group
(amounts in thousands of Swiss francs)

Key figures Coatings division
(amounts in thousands of Swiss francs)

Key figures Industrial Services division
(amounts in thousands of Swiss francs)

Key figures Temperature Control division
(amounts in thousands of Swiss francs)

Key figures Doors division
(amounts in thousands of Swiss francs)

To the editorial office:
Detailed figures are set forth in the 2009 annual report which is available for downloading at www.looserholding.com (Investor Relations / Reports and Presentations). Text and pictures are available for downloading at:
www.looserholding.com/medien

For further information please contact:
Tim Talaat, CEO, Chairman of the Group Executive Board
Christoph Fierz, CFO
Telephone: +41 (0) 71 447 20 80
Fax: +41 (0) 71 447 20 81
E-Mail: info@looserholding.com
Internet: www.looserholding.com