Consolidated Financial Statements - L. Possehl & Co. mbH

14
Harburg-Freudenberger provides the rubber and natural rubber processing
industry with an extensive range of machinery and know-how for all
of the essential production stages, from raw material preparation to
natural rubber processing to vulcanization. Plants that produce tires
are therefore particularly important.
In the fi eld of edible oil technology, worm extruders for the preparation
of oilseed as well as for meat and bonemeal production, machines
for solvent extraction for the edible oil industry and refi ning systems
for plant and animal oils and fats have been developed, produced and
marketed for over 80 years.
The group has two internal production sites in Harburg (natural rubber
technology, edible oil technology) and in Freudenberg (rubber compound
technology) as well as subsidiaries in the USA, Croatia and the
new sales companies in France and Russia established in 2005.
Special-Purpose Construction: The Construction business division
is positioned as a specialist for surface processing in airport, industrial
and road construction. The companies in this business division
include sites in Germany, the Netherlands, Austria, Slovenia, Croatia,
Spain, France and Belarus. The managing company is Possehl
Spezialbau GmbH in Wiesbaden.
The companies of the Spezialbau Group carry out maintenance and
repair work on traffi c areas made of asphalt and concrete. These special
constructive measures serve both to preserve the substance and
to improve the surface characteristics of traffi c areas in interior and
exterior zones. Its competence as a full-service provider is the reason
for the good market position enjoyed by the Group.
Through its joint technology and the Katfi x and EP-Grip products,
Possehl Spezialbau is involved in both the new construction of streets
and the preservation, repair and safeguarding of existing traffi c routes.
The group of companies manufactures high-quality building protection
products on the basis of reaction resins, which are known on the market
as cds-building protection products. Another important brand-name
product of Possehl Spezialbau is its anti-skid facings in the form of
coatings for runways, which help improve fl ight safety both at home and
abroad. The coating system developed by Possehl Spezialbau reduces
the off-times on runways during installation and is being used throughout
Europe at numerous large civilian and military airports.
Group structure and business activities
Group Management Report
TRADING BUSINESS SEGMENT
The Trading business segment is represented at Possehl by the International
Trading unit. The companies of the Erzkontor- and Possehl Inc.
Group belong to this unit. The companies of the Erzkontor Group are
represented primarily in Europe and Asia; the regional focal point of
activities of the Possehl Inc. Group is in North and South America.
Possehl Erzkontor: Possehl Erzkontor GmbH is one of the two management
companies of the Possehl Group and concentrates mainly on
international trading. The business is operated primarily from the central
offi ce in the Hanseatic city of Lübeck, with the help of a subsidiary
in Hong Kong and offi ces in Krefeld, Paris, Bratislava, Jekaterinburg,
Beijing, Dalian and Chennai. Affi liated companies in Schiedam, Wesel,
Krefeld and Duisburg round out the activities of the group.
The main areas of concentration of the Erzkontor Group are in commercial
trade with raw materials for the fi reproof and metallurgical
industry, the chemical, welding electrode, cement, plastics and paper
industries. Trade activities include representing well-known mines and
producers as well as free commercial transactions. In addition to the
drop shipment business, the storage and processing sector also plays
an important role.
With its commercial and technical competence as a long-term provider
of industrial minerals, its international know-how and global orientation,
the Erzkontor Group is assured of a strong position in the market. This
position could also be expanded during the last several years due to the
fact that additional activities were grouped around the actual core business
– international trading in raw materials for the fi reproof and metallurgical
industry. Today, with the help of modern grinding aggregates,
crushing and sifting plants, the Erzkontor Group can manufacture all of
the usual standard grains and grinding fi nenesses at various locations
within Europe. All processing operations are certifi ed according to the
applicable DIN EN ISO norms. Three German operating sites also have
the special approvals required for the processing and mixing of waste
materials from the steel and other industries.
Possehl Inc.: During the reporting period, the USA-based Possehl Inc.
Group consisted of the two primary trading companies Possehl Inc.
and Alumina Trading Co., fi ve affi liated companies and a purchasing