2008 Registration Document - Rexel

6. Operating and financial review6.2.1 Rexel’s consolidated financial resultsThe following table sets out Rexel’s consolidated income statement for the years and fourth quarters 2008 and 2007, in millionsof euros and as a percentage of sales.(in millions of euros)Year ended December 31,2008 2007 % changeREPORTED FINANCIAL DATASales 12,861.6 10,704.4 20.2%Gross profit 3,062.3 2,615.6 17.1%Distribution and administrative expenses (1) (2,432.3) (1,967.2) 23.6%EBITA (2) 630.0 648.4 (2.8)%Other income and expenses (76.6) (77.9)Operating income 553.4 570.5Financial expense (210.2) (319.2)Income tax (111.7) (107.8)Net income 231.5 143.5as a % of sales 1.8% 1.3%(1) Including depreciation. (102.5) (77.0) 33.1%(2) EBITA = Operating income before other income and other expenses.(in millions of euros)Year ended December 31,Hagemeyer (3) as of April 1,2008 2007 % changeCONSTANT BASIS ADJUSTED FINANCIAL DATASales 12,861.6 12,893.7 (0.2)%Same number of working days (0.8)%Gross profit 3,124.1 3,129.1 (0.2)%as a % of sales 24.3% 24.3%Distribution and administrative expenses (2,424.7) (2,411.0) 0.6%as a % of sales (18.9)% (18.7)%EBITA (2) 699.4 718.1 (2.6)%as a % of sales 5.4% 5.6%Adjusted EBITA excluding non-recurring items in Q1, 2007 (4) 699.4 702.1 (0.4)%as a % of sales 5.4% 5.4%(3) Hagemeyer Retained Entities.(4) Non-recurring positive effect resulting from specific sales actions.SalesIn the year 2008, Rexel’s consolidated sales increasedby 20.2% to reach €12,861.6 million, a 0.8% decreaseon a constant basis and same number of working days.Acquisitions net of divestitures accounted for an increaseof €2,592.0 million, mainly related to the Hagemeyertransaction, while the negative effect of changes inexchange rates amounted to €402.7 million, mainly dueto the depreciation of the US dollar against the Euro. Inthe fourth quarter of 2008, sales decreased by 6.7% on aconstant basis and same number of working days.PAGE 72 | REXEL 2008