Rueil Malmaison, April 27, 2007 - Schneider Electric shareholders met in Annual and Extraordinary Meeting yesterday, primarily to hear the reports of the Management Board and Supervisory Board and approve the financial statements for 2006. The Meeting was chaired by Henri Lachmann, Chairman of the Supervisory Board.
Prior to the Annual and Extraordinary Meeting, the Supervisory Board co-opted Richard Thoman to replace Chris Richardson, who has resigned.
Jean-Pascal Tricoire, Chairman of the Management Board and CEO, reviewed the highlights of 2006:
- A successful change in the growth profile, as demonstrated by record organic sales growth,
- A sustained improvement in profitability, with operating margin at a historic high in 2006 and a doubling of operating income since 2003,
- The acquisition of APC to become the world leader in critical power and cooling services, a market shaped by strong and lasting growth.
Shareholders approved all of the resolutions recommended by the Management Board, which concerned:
- Approval of the 2006 financial statements,
- Payment of a net dividend of €3 per share, up 33% over the previous year. It will be payable at May 2, 2007,
- An amendment to the bylaws to allow the appointment of a member of the Supervisory Board recommended by employee shareholders,
- Financial authorizations given to the Management Board and regulated agreements.
Shareholders rejected the two following resolutions not recommended by the Management Board:
- An amendment to the bylaws to permit the direct appointment of a member of the Supervisory Board by employees of the Group’s French subsidiaries,
- An amendment to the bylaws to eliminate the clause limiting voting rights.
The quorum was 46.1% and the resolutions were adopted with a majority vote of between 81.2% and 99.9%. The results of the voting are posted on the website www.schneider-electric.com
Commenting on the outlook for 2007, Jean-Pascal Tricoire noted that Schneider Electric’s strategy of continued investments in innovation, new businesses, and in geographical coverage allows to generate superior growth. The APC acquisition, which holds great potential, illustrates this strategy.
Assuming current economic conditions, Schneider Electric anticipates exceeding its revised new2 company program target with organic sales growth for full-year 2007 of 8%.
Jean-Pascal Tricoire observed that Schneider Electric has a flexible, high-performance business model based on partnerships and leadership positions in Power & Control, a comprehensive, integrated and innovative offering, and wide geographical coverage with strong local presence. He expressed his confidence in Schneider Electric’s ability to take full advantage of the industry long-term growth drivers and deliver attractive returns to its shareholders in light of these unique strengths and the Group’s capacity to play a consolidation role through acquisitions.
The presentation made to the Shareholders’ Meeting and the video webcast replay is now available: click here.
Schneider Electric half-year financial results and second-quarter sales will be released on August 1, 2007.
Schneider Electric: Giving the best of the New Electric World to everyone, everywhere, at any time
Schneider Electric is the world’s power and control specialist. Through its world-class brands, Merlin Gerin, Square D and Telemecanique, Schneider Electric anticipates and satisfies its customers’ requirements in the residential, building, industry and energy and infrastructure markets. With 105,000 employees and operations in 190 countries, Schneider Electric generated sales of €13.7 billion in 2006 through 15,000 distributor outlets.
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