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JPG dansk 3-25

Dalhoff Larsen & Horneman A/S
Annual accounts 2000
Group Chart as at 1 March 2001
Share capital
Ownership share
hjj
Dalhoff Larsen & Horneman A/S, Høje Taastrup
DKK 171,622,000
DLH Nordisk A/S, Høje Taastrup
DKK 50 million
100.0%
DLH Timber (UK) Ltd., Sevenoaks, UK
GBP 0.9 million
100.0%
DLH Nordisk Inc., Greensboro, USA
USD 3.6 million
100.0%
Indufor N.V., Antwerp, Belgium
BEF 100 million
100.0%
NLG
NLG 25,000
25,000
100.0%
100.0%
DLH Nordisk (Holland) B.V. Flushing,
Houtopslag-maatschappij. Flushing,
NLG 1.0 million
NLG 1.0 million
50.0%
50.0%
Nordisk Holz GmbH, Hamburg, Germany
DEM 2 million
100.0%
Nordisk Bois S.A.R.L., Nantes, France
FRF 5 million
100.0%
FRF 20 million
100.0%
DLH Drewno Spólka. z o.o., Poland
PLN 2.385 million
100.0%
DLH Nordisk Sp. z o.o. W Karlinie, Poland
PLN 2 million
100.0%
Nordisk Timber Ltda., Belém, Brazil
BRL 19.308 million
100.0%
DLH Nordisk S.A.R.L., Abidjan, Ivory Coast
XOF 50 million
100.0%
Nordisk Gabon S.A., Libreville, Gabon
XAF 5 million
100.0%
DLH Nordisk S.A.R.L., Pointe Noire, Congo
XAF 30 million
100.0%
Boplac S.A., Pointe Noire, Congo
XAF 500 million
DLH A/S, Høje Taastrup
DKK 25.5 million
100.0%
Nordic Wood & Board AB, Sweden
SEK 0.1 million
100.0%
Støvring Tømmerhandel A/S, Høje Taastrup
DKK 3.1 million
100.0%
Dansk Emne Produktion A/S, Herskind
DKK 0.3 million
50.0%
DLH Træ & Byg A/S, Høje Taastrup
DKK 40 million
100.0%
C & N Trælasthandel A/S, Aalborg
DKK 4 million
100.0%
DKK 1 million
100.0%
DKK 40 million
100.0%
DKK 19 million
100.0%
DKK 13 million
100.0%
Skodborg Trælasthandel A/S, Rødding
DKK 5 million
100.0%
Tune Trælasthandel A/S, Tune
DKK 3 million
100.0%
Karlslunde Trælast A/S, Karlslunde
DKK 0.5 million
100.0%
Walter Jessen A/S, Brøndby
DKK 22.4 million
100.0%
Indubois S.A., Sète, France
C & N Nuuk A/S, Nuuk
A/S Kr. Præstegaards Tømmerhandel, Grindsted
KPT Invest A/S, Høje Taastrup
KPT af 1.1.1999 A/S, Høje Taastrup
43.5%
CONTENTS
4
Financial highlights and financial ratios
for the DLH Group
5
Operational review for the DLH Group
for year 2000
6
Superior structure of the DLH Group and
description of the organisational structure
7
Management annual report 2000
10
Endorsement of the Board of Directors
and auditors‘ report
Board of Directors, Management and
Group Management
ANNUAL GENERAL MEETING
The Annual General Meeting of
Dalhoff Larsen & Horneman A/S
(CVR-NR 34 14 19 13)
will be held
12
Hardwood Division
26
Accounting policies applied
14
Timber & Board Division
27
Profit and loss account
16
Retail Division
28
Balance sheet as at 31 December
18
Risk profile
30
Cash flow statement for the Group
20
Forestry and environment
31
Notes to consolidated accounts and
annual accounts of Parent Company
21
DLH and its employees
38
22
IT development
Business units of the Group as at 1
March 2001
22
Shareholders
39
DLH worldwide
24
Annual report 2000
CALENDAR OF EXPECTED PUBLICATION DATES FOR STOCK
EXCHANGE NOTIFICATIONS IN YEAR 2001:
16 May 2001
15 August 2001
15 November 2001
Quarterly Review
Interim Report
Quarterly Review
on Wednesday 4 April 2001 at 3 p.m.
at Glostrup Park Hotel, (Byparken),
Hovedvejen 35, DK-2600 Glostrup.
This is a translation of the official Danish accounts.
In case of doubt about the translation, only the Danish version is valid.
3
Financial highlights and financial ratios for the DLH Group
2000
1999
1998
1997
1996
Net turnover
4,585)
3,161)
3,071)
3,224)
2,633)
Gross profit
736)
538)
481)
519)
406)
Operating profit
172)
102)
31)
116)
46)
Financial items
(72)
(51)
(56)
(64)
(56)
(in million DKK)
PROFIT AND LOSS ACCOUNT:
100)
51)
(25)
52)
(10)
Profit/loss on ordinary activities after tax
68)
39)
(20)
35)
(7)
Profit/loss for the year
84)
39)
(20)
35)
0)
408)
Profit/loss on ordinary activities before tax
BALANCE SHEET:
Assets:
461)
468)
412)
422)
Current assets
1,613)
1,441)
991)
1,088)
967)
Total assets
2,074)
1,909)
1,403)
1,510)
1,375)
603)
437)
399)
428)
395)
9)
14)
0)
0)
0)
284)
Fixed assets
Liabilities:
Equity
Provisions
406)
356)
238)
213)
Creditors: short-term
1,056)
1,102)
766)
869)
696)
Total liabilities
2,074)
1,909)
1,403)
1,510)
1,375)
Creditors: long-term
(43)
25)
123)
(26)
21)
(100)
(147)
91)
(110)
(52)
Average number of employees
1,322)
1,158)
1,169)
1,189)
1,134)
PERFORMANCE RATIOS:
Gross profit as a percentage
16.0%)
17.0%)
15.7%)
16.1%)
15.4%)
Cash flow from operating activities
Cash flow from operating activities and after investments
Profit margin
3.7%)
3.2%)
1.0%)
3.6%)
1.8%)
Return on equity
12.1%)
9.4%)
(4.8%)
8.5%)
(1.8%)
Equity ratio
29.1%)
22.9%)
28.4%)
28.3%)
28.7%(
*) 352)
368)
335)
360)
332)
208)
175)
136)
315)
295)
DKK 21) DKK 103)
DKK (22)
DKK 18)
10.7)
neg.)
STOCK MARKET RATIOS:
Book value (per DKK 100) as at 31 December
Share price as at 31 December
Cash flow per share
Price earning ratio (P/E)
DKK (25)
5.2)
5.3)
neg.)
*) In January 2000, the share capital was increased by nominally DKK 52,631,600 at the fixed price of 190.
The comparative figures for the years 1996-1999 have been changed in accordance with the change in accounting
policies applied relating to the recognition of deferred tax asset, capitalisation of financial leasing, and omitting to
book dividend as a liability.
The financial ratios have been calculated in accordance with the recommendations made by the Danish Society of
Financial Analysts.
4
annual accounts 2000
Operational review for the DLH Group for year 2000
Record turnover and profit
Immense progress internationally
was DKK 4,585 million – represen• Turnover
ting an increase of DKK 1,424 million or
+45% on the year before.
expected, profit on ordinary activities
• Asbefore
tax was DKK 100 million as compared to DKK 51 million last year.
for the year after tax amounts to DKK
• Profit
84 million as compared to DKK 39 million
the year before.
For the year 2000 the result includes extraordinary income in the amount of DKK
16 million from the sale of real property.
•
The three divisions contributed to the improvement in the result in the following
ways:
The Hardwood Division produced turnover
of DKK 2,313 million (+99%) and made a
contribution of DKK 73 million (DKK 26
million the year before).
Following the successful merger with EAC
Timber, the Hardwood Division consolidated its position as the world’s largest
supplier in its field.
The Timber & Board Division produced
turnover of DKK 1,184 million (+11%) and
made a contribution of DKK 20 million
(DKK 18 million the year before).
The Retail Division produced turnover of
DKK 1,207 million (+17%) and made a
contribution of DKK 19 million (unchanged
from the year before on a comparable basis).
the year 2000, equity rose by DKK 256
• Inmillion
to DKK 603 million out of which the
capital increase in January amounts to
DKK 96 million. DKK 90 million are attributable to changed accounting policies.
equity ratio increased to 29.1% as
• The
compared to 22.9% a year ago.
on equity was 12% p.a. as com• Return
pared to 9% p.a. in 1999.
the year 2000, the Board of Directors
• For
propose a dividend of DKK 10 per share
as compared to DKK 9 per share last year.
for the year 2001 are a modest• Prospects
ly increasing turnover with profit on ordinary activities, both before and after tax, on a
par with the figures for the year 2000.
This projection presupposes stable conditions on both the Danish and international
market and more or less unchanged
foreign exchange and interest rates.
5
Superior structure of the DLH Group
Group Management
Personnel Service
IT and Finance
Forestry & Environment
Hardwood Division
Retail Division
Description of the organisational structure
The DLH Group has been organised into
three business divisions: The Hardwood
Division, the Timber & Board Division and
the Retail Division.
Tasks common to the entire DLH Group
are handled by IT & Finance, the Personnel Department and the Forestry and Environment Department.
Dalhoff Larsen & Horneman A/S is the Parent Company of the DLH Group, performing
general management functions. The Group
Management consists of the President, the
Manager for IT and Finance and the Managers of each of the three divisions.
The Hardwood Division acts as the world’s
largest independent business intermediary between wood-producing and woodconsuming countries.
6
The division has been organised with DLH
Nordisk A/S as the parent company and a
number of subsidiaries and branches.
The Timber & Board Division distributes
softwood and sheet materials throughout
Europe, while trade in hardwood and veneers is limited to Denmark and the neighbouring export markets. In Denmark the
division acts as importer and stock-holding wholesaler, offering the widest product
range in the market. On the export markets, the division primarily acts as a direct
supplier to the wood-consuming industry.
The division has been organised with DLH
A/S as the parent company.
The Retail Division includes 23 timber merchant companies, 22 of which are situated
in Denmark and 1 in Greenland. The divi-
sion has been organised into 6 companies.
The timber merchant companies supply the
local market with softwood, sheet materials, builders’ materials, tools and fittings.
The customers are mainly builders, contractors, institutions and small businesses.
In 13 of the timber merchant companies
do-it-yourself markets have been set up
which target end-consumers as well.
As at 1 January 2000 all retail companies
have been joined under the parent company, DLH Træ & Byg A/S.
Furthermore, DLH Træ & Byg A/S co-ordinates the purchasing function in the Retail
Division. All retail companies have their
own manager and executive group and a
board of directors consisting of members
of the Group Management.
Management annual report 2000
CORPORATE OBJECTIVES
AND STRATEGIES:
MISSION STATEMENT:
Based on the requirements of our customers, it is our mission as an international
business intermediary to procure, process
and distribute wood and wood-based products as well as builders’ materials.
OBJECTIVES:
It is the objective of the DLH Group to produce a profit and an effective deployment
of the capital invested, the combination of
which will secure the shareholders a competitive increase in value at an equity ratio
of at least 30%.
It is the objective of the Hardwood Division
to be the dominant player in the exportation of hardwood from South America, Africa and South East Asia to Europe and to
be a market leader in selected specifications for the USA and the Far East.
It is the objective of the Timber & Board
Division to be a market leader in the distribution of sheet materials and hardwood in
the Danish market and to be one of the
dominant distributors of softwood to timber
merchant companies and the industry at
large. Furthermore, the division seeks to become one of the major suppliers of sheet
materials and softwood from Eastern Europe, including Russia, to the Western European market.
It is the objective of the Retail Division to
contribute to the restructuring of the industry by means of strategic acquisitions
in order to consolidate its position as one
of the major players in the timber merchant
trade in Denmark.
STRATEGY:
To realise economies of scale through
growth and thus further consolidate the
position of DLH on the market. Growth
must be achieved both organically and by
means of acquisitions within the existing
fields of business.
The focus will be on the sales markets
and business fields in which the DLH
Group has the potential of becoming one
of the major or dominant players.
The growth strategy is being implemented
by constantly developing the core skills of
the DLH Group, including the identification
and development of new sources of supply, new product lines and new channels of
distribution for wood and wood-based
products.
The DLH Group aims to improve the application of capital by having less capital tied up
in stocks, debtors and plant (fixed assets).
In future, shareholder value will be an integral part of internal controls and reporting.
The business potential is to be optimised
by taking full advantage of the possibilities
created by IT. The DLH Group aims to be
at the cutting edge as regards the effective exploitation of IT.
The DLH Group has adopted a set of ethical, environmental and social values.
These basic values embody the attitudes
and ethics that the Group abides by in all
its operations.
In addition, the Management of the DLH
Group intends to adhere to its commitment to both external and internal environmental issues and seeks to influence
manufacturers to develop environmentfriendly methods throughout the process
from forestry over the felling of wood to
the finished product.
The DLH Group is a globally oriented business with representations in approx. 25
countries of different political, social and
religious orientation. DLH respects the human rights adopted by the UN. The Management believes that trade and communication is one way of creating “fertile
soil” for human rights in all countries.
The Hardwood Division has adopted a global growth strategy which is being implemented through the penetration of selected sales markets in Europe, the USA and
the Far East with the main emphasis on
setting up the Company’s own sales offices. The supply areas are subject to constant development in order to satisfy the
rising demand.
The Hardwood Division will continue to cultivate its international contacts in the timber trade with a view to bringing the DLH
Group ever closer to both suppliers and
end-users.
It is the intention for the Timber & Board
Division to expand through increased
sales to the industry and to the timber
merchant companies, including those belonging to the Retail Division. The division
will endeavour to improve the direct service to the wood-consuming industry as
well as that of the timber merchant companies through further processing, effective distribution, customer service and
marketing. The product range and sales
effort targeting the retail chains must be
expanded to include trade in processed
goods.
The sales effort in respect of sheet materials, hardwood and veneer must be increased in the neighbouring export markets. In addition, the volume of sales of
softwood and sheet materials from Eastern Europe, including Russia and White
Russia, to the Western European market
must be increased. Having its own representation in the above mentioned geographical areas of supply, the DLH Group
has special knowhow in this attractive, albeit difficult area.
The Retail Division aims to achieve
growth by focusing on trade customers in
cities and their catchment areas as well
as in selected geographical regions of
Denmark in which the DLH Group is not
yet represented. The Retail Division will
7
improve the direct servicing of the enduser within the trade segment (small trade
customers, contractors, builders and public institutions).
In addition to the more traditional product
range consisting of wood, wood-based
products and builders’ materials, the
existing timber merchant companies are
being expanded one by one to include tool
shops. The product range, consisting of
tools and fittings for builders, contractors
and the industry, targets the same customers as does the basic product range of
the timber merchant companies.
The expansion in the Retail Division is
also of importance to the Timber & Board
Division since the Timber & Board Division
thereby expands its important channel of
distribution represented by the DLH
Group’s own timber merchant companies.
It is the intention for the expansion to
take place mainly through organic growth
and the setting up of new businesses as
well as through the acquisition of existing
timber merchant companies.
DEVELOPMENTS IN THE DLH GROUP IN
THE YEAR 2000:
Developments were satisfactory in the year
2000. For the year, turnover was DKK 4.6
billion as compared to DKK 3.2 billion the
year before. The change was primarily attributable to the take-over of EAC Timber.
Conditions on the international timber
market were favourable, and the positive
trend of 1999 continued throughout the
year 2000.
The combination of the high exchange
rates of US dollars and Swedish kronor
and low interest rates, albeit slightly
above the level of the year before, have
had a favourable impact on earnings.
Due to rising energy prices and uncertain-
8
ty as to the development of interest rates,
the demand on the Danish market has
been modest overall. This limited the
earnings potential of the Retail Division
(the timber merchant companies) and had
an adverse effect on the domestic trade
of the Timber & Board Division.
The Hardwood Division spent the year consolidating itself following the take-over of
EAC Timber as at 1 November 1999,
which was the date on which EAC Timber
became integrated with the Hardwood Division of DLH.
The integration has been very successful
indeed. The anticipated positive synergies
have been realised in full.
In connection with the take-over of EAC
Timber, an extraordinary general meeting
held in January 2000 passed a resolution
to increase the share capital of the Parent
Company Dalhoff Larsen & Horneman A/S
by nominally DKK 52,631,600 at the fixed
price of 190 in a direct placement with A/S
The East Asiatic Company (EAC).
Prior to the share issue, the EAC had concluded agreements with DLH-FONDEN, the
Employees’ Capital Pension Fund (LD) and
the Danish Labour Market Supplementary
Pension Scheme (ATP) concerning the sale
of Class B shares corresponding to 70%
of the newly issued shares for delivery immediately following the implementation of
the capital increase.
During the past year, the Timber & Board
Division consolidated its position as a distributor of timber and boards, primarily
from Eastern Europe, including Russia, on
the Western European export markets.
The Retail Division took over Karlslunde
Trælast as at 1 June 2000. With its two
timber merchant companies, this brought
the number of timber merchant companies
in the Retail Division up to 23. Karlslunde
Trælast will presumably contribute DKK
100 million to the annual turnover of the
division.
The executive capacity has been strengthened in the common functions of the organisation. This applies especially to IT
and finance.
In the year 2000, the DLH Group took
steps towards a comprehensive investment in IT. Such increased reliance on IT
will enhance both business routines and
systems by taking full advantage of the
business and technological potential of
Supply Chain Management and B2B solutions created by the Internet and the Intranet especially. This process is supported by a new infrastructure for IT and telecommunications which will effectively tie
the Group together in a global network.
The DLH Group increased its total number
of staff by 164 employees to 1,322 persons on average for the year 2000. Turnover per employee rose from DKK 2.7 million in 1999 to DKK 3.5 million in the year
2000 – representing a 30% increase.
A performance-related bonus scheme has
been implemented for the Group Management and other executives.
RESULT FOR THE YEAR:
Turnover was DKK 4,585 million – representing an increase of DKK 1,424 million
or up 45% on the year before.
Profit for the year before tax and extraordinary income has been almost doubled at
DKK 100 million as compared to DKK 51
million last year. To this must be added
extraordinary income in the amount of
DKK 16 million after tax, derived from the
sale of real property.
The accounting policies have been
changed, among other things, as regards
the recognition of a deferred tax asset.
Thus on a comparable basis, tax for the
year on the profit from ordinary activities
was DKK 32 million, and the tax for last
year has been calculated at DKK 12 million.
The Timber & Board Division produced
turnover of DKK 1,184 million – representing an increase of DKK 112 million or 11%
on the year before.
APPROPRIATION OF THE RESULT FOR
THE YEAR:
The result for the year 2000 of the Parent
Company was DKK 83,741,000.
The operating profit was DKK 37 million,
and the contribution made by the division
was DKK 20 million as compared to DKK
18 million the year before.
The Board of Directors recommends to the
General Meeting that dividend for the year
2000 is paid in the amount of DKK
17,162,200, corresponding to DKK 10 per
issued share. The proposed dividend represents 25% of the profit on ordinary activities after tax.
The Retail Division produced turnover of
DKK 1,207 million – representing an increase of DKK 173 million or 17% on the
year before. On a comparable basis, this
represents a 14% improvement.
On a comparable basis, profit for the year
after tax thus amounts to DKK 84 million
as compared to DKK 40 million last year.
The result is the best ever, both before
and after tax.
On a comparable basis, the operating profit amounted to DKK 24 million, and the
contribution of the division was DKK 19
million, unchanged from the year before.
The Hardwood Division produced turnover
of DKK 2,313 million – representing an increase of DKK 1,149 million or 99% on
the year before.
Equity ratio
By virtue of the result, the changed accounting policies and the capital increase,
the equity ratio was 29.1% as compared
to 22.9% the year before. The target remains an equity ratio of at least 30%.
Operating profit was DKK 119 million, and
the division’s contribution was DKK 73 million as compared to DKK 26 million last
year.
5 YEARS OF DEVELOPMENT
(in million DKK)
The balance of the profit for the year,
amounting to DKK 66,578,800, will be
transferred to the reserves.
PROSPECTS FOR THE YEAR 2001:
Expectations for the year 2001 are a modestly increasing turnover with profit on ordinary activities, both before and after tax, still
on a par with the figures for the year 2000.
This projection presupposes that Danish
and international market conditions and
foreign exchange and interest rates remain relatively stable.
DIVISION CONTRIBUTION
(in million DKK)
80
5000
Result after tax
Hardwood Division
4000
Turnover
3000
800
2000
700
600
70
60
Equity
50
Retail Division
40
30
500
20
400
10
300
1996
1997
1998
1999
2000
0
200
-10
100
-20
0
-30
-100
-40
1996
1997
1998
1999
2000
9
Endorsement of the Board of Directors
BOARD OF DIRECTORS:
The Board of Directors and the Management have today considered and adopted
the consolidated accounts, the annual accounts, and the annual report. The consolidated accounts and the annual accounts are recommended for approval by
the General Meeting.
Hans Ejvind Hansen
Benny Hermann
Lau N. Nygaard
Niels Oluf Kyed
Ole Fuhr Pedersen
Uffe Steen Mathiesen
Viggo Spile
(Chairman)
Høje Taastrup, 7 March 2001
Arne Vierø
MANAGEMENT:
(Deputy Chairman)
Jørgen Møller-Rasmussen
1
2
Stig Christensen
3
4
5
6
7
Board of Directors
Hans Ejvind Hansen 2
Chairman
Hegelsvej 12
2920 Charlottenlund
Position of Trust:
Chairman of the Board of the Copenhagen Stock
Exchange A/S, Statens Ejendomssalg A/S, Nykredit Invest, Nykredit Invest Engros, and Nykredit Almen Bolig Invest. Member of the Board of the Financial Institute for Industry and Trade A/S. Member of the Management of Danmarks Statistik.
Arne Vierø 1
Deputy Chairman
Ryvangs Allé 66
2900 Hellerup
Position of Trust:
Managing Director and member of the Board of AVByggeentreprise A/S. Chairman of the Board of Micro Clean A/S, and Stringerarmering ApS. Member
of the Board of Klaus Nielsen A/S and member of
the Management of Danmarks Statistik. Member
of the Board of DLH-FONDEN.
10
Stig Christensen 3
Fyrrevænget 108
7190 Billund
Position of Trust:
Chairman of the Board of Phase One A/S, ROVSING Dynamics A/S, and GAMA Dan Equip A/S.
Member of the Board of Martin Gruppen A/S,
i-data international a-s, DICO A/S, and Metaphor
Reklamebureau as.
Benny Hermann 4
Tofthøjparken 20
9280 Storvorde
Elected by the employees of the Group.
Member of the Board of DLH-FONDEN.
Niels Oluf Kyed 5
Jarding & Kyed
Frederiksberggade 2
Postboks 1008
1006 København K.
Position of Trust:
Chairman of the Board of BMS A/S, V. Burchardt &
Søn A/S, Compact A/S, dk-invest Management A/S,
E. Michaelis & Co. A/S, Intersport Denmark A/S,
and Wormald International A/S. Member of the
Board of Aktieselskabet af 18. juni 1984, Dissing +
Weitling arkitektfirma A/S, and Stevnhoved & Søgaard A/S.
Uffe Steen Mathiesen 6
Blegehusvej 2
2970 Hørsholm
Position of Trust:
Chairman of the Board of Foras Holding A/S.
Member of the Board of “Bean 88” A/S.
AUDITORS’ REPORT
We have audited the consolidated accounts and annual accounts of Dalhoff
Larsen & Horneman A/S for the year
2000 presented by the Board of Directors
and the Management.
BASIS OF OPINION:
We have planned and conducted our audit
in accordance with generally accepted
Danish auditing standards and international auditing standards (ISA) to obtain reasonable assurance that the consolidated
Copenhagen, 7 March 2001
8
accounts and annual accounts are free of
material misstatements. Based on an
evaluation of materiality and risk, we have,
during the audit, tested the basis and
documentation for the amounts and disclosures in the consolidated accounts and
annual accounts. Our audit includes an
assessment of the accounting policies applied and estimates made. In addition, we
have evaluated the overall adequacy of
the presentation in the consolidated accounts and annual accounts.
Our audit has not resulted in any qualifications.
OPINION:
In our opinion, the consolidated accounts
and annual accounts have been prepared
in accordance with Danish demand of the
accounting provisions of legislation and
give a true and fair view of the Group’s and
Parent Company’s assets and liabilities, financial position and profit for the year.
KPMG C.JESPERSEN
9
ERIK LUND
Jørgen W. Laursen
J. Skovbæk Johansen
State Authorized Public Accountant
10
11
12
13
14
Management and Group Management
Lau N. Nygaard 7
Rygårds Allé 69
2900 Hellerup
Elected by the employees of the Group
Ole Fuhr Pedersen 8
Skæring Hedevej 72
8250 Egå
Viggo Spile 9
Rolighedsvej 15B
Hareskovby
3500 Værløse
Position of Trust:
Member of the Board of Viemose & Spile A/S.
Member of the Board of DLH-FONDEN.
Jørgen Møller-Rasmussen 11
President, CEO
Position of Trust:
Chairman of the Board of Glenco A/S.
Member of the Board of Dansk Industri Invest A/S.
Carsten Vindnæs 14
Executive Vice President
IT and Finance
Martin Grome 12
Hardwood Division
Jørgen Ipsen 10
Arnold D. Johansen 13
Retail Division
11
It is the objective of the Hardwood Division to be the dominant player in the exportation of hardwood from South America, Africa and South East Asia to Europe and to be a
market leader in selected specifications for the USA and South East Asia.
12
annual accuonts
accounts 2000
Hardwood Division
KEY FIGURES
in million DKK
Turnover
Operating profit (loss)
Contribution of the division
2000
1999
1998
2,313
1,164
1,005j
The division’s contribution is the result after directly attributable costs and interest payable,
121
52
(2)
but before tax. The return on investment is the operating profit (loss) as a percentage of the
74
26
(32)
average invested capital. Invested capital includes all assets; from this the non-interest
Average invested capital
854
494
458j
bearing loan capital is deducted. Invested capital thus corresponds to the sum total of the
Return on investment
14%
10%
(0)%
loan capital and the capital and reserves attributable to the division.
THE DIVISION IS HEADED BY MARTIN GROME, EXECUTIVE VICE PRESIDENT
Developments in the year 2000 were very
satisfactory, and this was primarily due to
favourable market conditions and the takeover of EAC Timber.
Throughout the year 2000, conditions on
the international hardwood market continued the positive trend that started back
in 1999. Similarly, the high US dollar rate,
which prevailed during the entire year,
boosted raw material prices and thus
resulted in higher sales prices, even in
Europe which is the principal market.
The merging of EAC Timber with the Hardwood Division of DLH proved a success
from the very outset and exceeded the favourable expectations that were the motivation behind the amalgamation.
The division has enjoyed fine progress in almost all its markets and fields of business.
France in particular did well, but the Benelux & Germany, the USA, Poland, Southern
Europe, South East Asia, England and
Saudi Arabia also made a positive contribution in the order listed.
West Africa continues to be the main supply area, both in terms of turnover and profit, closely followed by South America and
South East Asia.
Activities have been expanded in the Polish market, both as regards sales of imported tropical hardwood and the exportation of temperate hardwood from Poland.
Some of the exported wood, for instance
ORIGIN TOTAL:
beech, is being dried in the Company’s
own drying plant at Karlino. Total turnover
amounts to approx. DKK 200 million.
In the major cities in Poland, a total of 7
specialist outlets have been established,
selling primarily tropical hardwood and
board products to window manufacturers,
local craftsmen and other trade and woodconsuming customers. This new niche activity produced sales of DKK 145 million
and sound profits during the year 2000. It
is the plan to set up additional similar outlets in Eastern Europe in the years ahead.
◆ Africa 33%
◆ South America 32%
◆ South East Asia 27%
◆ Europe 6%
◆ North America 2%
MARKETS TOTAL:
◆ Europe 65%
The division has just inaugurated its new
headquarters for the Polish activities in
Warsaw. An outlet has been established in
connection with the said centre.
◆ South East Asia 16%
◆ USA 15%
◆ Africa/Middle East 4%
While the year 2000 saw a boom in the
market, conditions in the international
hardwood market are expected to allow for
moderate growth only in the year 2001.
Europe is the principal market in which the
division operates, and it is anticipated
that Europe will remain a stable factor in
the international economy.
Earnings are thus expected to be on a par
with those of the year 2000, provided that
foreign exchange rates and the level of interest remain more or less the same.
On this page is shown the turnover of the
Hardwood Division divided into areas of
origin of the goods and into market areas.
13
It is the objective of the Timber & Board Division to be a market leader in the distribution
of sheet materials and hardwood in the Danish market and to be one of the dominant distributors of softwood to timber merchant companies and the industry at large. Furthermore, the division seeks to become one of the major suppliers of sheet materials and
softwood from Eastern Europe, including Russia, to the Western European market.
14
KEY FIGURES
in million DKK
Turnover
2000
1999
1998
1,184
1,072
1,091
37
33
18
20
18
5
305
265
256
12%
12%
7%
THE DIVISION IS HEADED BY JØRGEN IPSEN, EXECUTIVE VICE PRESIDENT
In the year 2000, developments were better than during the previous two years, but
prices were still under pressure in the
Danish market.
The division’s strength is its wide range of
goods including timber, sheet materials,
hardwood and veneer, catering to both
distributors and the wood-consuming
industry in Denmark. To this must be added exports from the warehouses in Denmark to industrial customers in the neighbouring markets and exportation with
direct supplies of timber and sheet materials from Eastern Europe to customers in
Western Europe and the USA.
SALES CENTRES:
In Denmark, a stable market is envisaged,
albeit with some pressure on prices. In the
export markets, progress is still anticipated, both for the sale of timber and sheet
materials, primarily from Eastern Europe.
◆ Hørning 32%
◆ Hedensted 19%
◆ Gadstrup 18%
◆ Export Dept. Sheet
materials 16%
◆ Export Dept. Softwood 12%
Overall, the result is expected to be slightly better than in the year 2000, provided
that foreign exchange rates and the level
of interest remain more or less the same.
◆ Engesvang 3%
PRODUCT GROUPS:
On this page is shown the spread in turnover on sales centres, product groups, and
sale and distribution channels, respectively.
◆ Sheet materials 52%
◆ Softwood 33%
◆ Hardwood 12%
In line with the strategy adopted, progress
was most noticeable in the export markets with the sale of timber and sheet materials from Eastern Europe (predominantly Russia) to Western Europe. The high exchange rate of the American dollar facilitated sales to the USA which were implemented in the year 2000.
The sale of sheet materials to the timber
merchant companies in Denmark progressed satisfactorily as well.
Sales to the industry have declined slightly, partly due to lower demand and partly
as a result of the divestment of the lossmaking veneer jointing plant in Poland in
mid-1999. Earnings from industrial sales
have thus improved on last year.
◆ Veneer 3%
SALE AND DISTRIBUTION CHANNELS:
◆ Export 35%
◆ Timber merchant
companies (DK) 33%
◆ Industry (DK) 32%
Sheet materials represent the main product
group of the division, and this applies both
in Denmark and in the export markets.
15
It is the objective of the Retail Division to contribute to the restructuring af the
industry by means of strategic acquisitions in order to consolidate its position
as one of the major players in the timber merchant trade in Denmark.
16
Retail Division
KEY FIGURES
in million DKK
2000
1999
1998
1,207
1,035
1,086
23
22
19
19
22
15
430
360
360
5%
6%
5%
Turnover
THE DIVISION IS HEADED BY ARNOLD D. JOHANSEN, EXECUTIVE VICE PRESIDENT
Turnover was DKK 1,207 million in the
year 2000 – representing an increase of
DKK 172 million or up 17% on the year
before. Of the improved result, DKK 53
million are attributable to the acquisition
of Karlslunde Trælast A/S as at 1 June
2000. On a comparable basis, the improvement from 1999 to the year 2000
was 14% due to the fact that property corresponding to a turnover of DKK 26 million
was sold off during 1999.
The growth in activities has primarily taken
place in Eastern Denmark. However, trade
with the chain stores that primarily cater
for the “do-it-yourself” market has increased as well.
In addition, sales of high-quality tools and
fittings have increased due to the newly
established concept stores of ProBeslag,
which cater to trade customers. There are
now ten such stores adjacent to existing
timber merchant companies.
Furthermore, the volume of trade with contractors increased during the past year.
On a comparable basis, operating profit
amounted to DKK 23 million as compared
to DKK 19 million the year before. On a
comparable basis, the division contributed
DKK 19 million as last year. (Last year activities were closed down in both Denmark
and Poland, which impacted on the result
with proceeds of just over DKK 3 million).
Apart from the timber merchant company
C&N Trælasthandel A/S in Aalborg, developments have been satisfactory. Competition in the catchment area of Aalborg is now
considerably keener. Here the result was a
loss of DKK 6 million which was attributable
to lower turnover than expected as well as
declining margins. The necessary cost adjustment and restructuring of the Company’s
management has taken place.
Generally, the market has been affected by
keen competition and a demand which has
slackened over the year. The storm in December 1999 did have a certain impact on
turnover, especially in Southern and MidJutland, in the first six months of the year.
The division continued to apply the strategy adopted, concentrating on the trade
market with both organic growth and acquisitions (Karlslunde Trælast A/S). The
division now has more than 23 timber
merchant companies, 13 companies of
which have a do-it-yourself outlet. However,
sales to private individuals only account
for approx. 7% of the turnover of the division and this proves that the primary focus of the division is the trade market.
Throughout the year, many resources were
invested in the training of staff and the expansion of IT systems. The next step now
is a joint IT platform for the entire division,
which will produce efficiency gains in the
form of better controlling facilities and
more efficient operations.
units, ProTræ Vejle A/S moved into their
new domicile in the industrial area north
of the city of Vejle mid-August. The new location improves access, and the new layout promotes internal logistics, all of
which improve customer service.
New developments are expected to decline slightly while the repair and maintenance sectors will remain stable.
However, the improvement in earnings is
primarily expected to be achieved from the
progress of C&N Trælasthandel in Northern Jutland as well as from efficiency
measures and continued organic growth.
Below is shown the spread of the turnover
of the product groups.
PRODUCT GROUPS:
◆ Other building articles 46%
◆ Softwood 18%
◆ Sheet materials 13%
◆ Articles for bricklayer 12%
◆ Tools and fittings 9%
A common design, which is in the process
of being implemented, has been adopted
for the Retail Division. The new common
design supports the increasing co-operation between the business units of the division with a view to achieving additional
economies of scale.
◆ Hardwood 2%
In their efforts to constantly improve the
service facilities of the individual business
17
Risk profile
The activities of the DLH Group are subject to a number of commercial and financial risks which may affect the value of its
assets and liabilities and the size of its future earnings and cash flow. The sequence in which the individual risks are
listed is completely arbitrary and thus no
reflection on their magnitude or significance to the DLH Group.
Board Division, it is also easier to match
costs.
SENSITIVITY TO MARKET FLUCTUATIONS
The DLH Group operates in a number of industries that are sensitive to market fluctuations, and earnings have therefore fluctuated dramatically in the past. The international fluctuations in the timber market
have a special impact on the results.
TRADE DEBTORS
Following stocks, the largest asset item in
the balance sheet of the DLH Group is
trade debtors. Credit is granted according
to an active credit policy. Losses on debtors mainly occur in periods of recession.
However, losses do not normally exceed
0.4% of the turnover including costs incidental to credit insurance.
Fluctuations in the timber market are not
governed by the demand situation only, but
may have their own cycle and thus be out
of synch with general economic fluctuations. The cycle may vary from one type of
wood to another with timber and tropical
hardwood being subject to the most dramatic fluctuations.
With the acquisition of EAC Timber, tropical hardwood have accounted for a higher
pro rata share of the sales of the DLH
Group and the sensitivity to market fluctuations have become greater in the shortterm. However, both sales and purchasing
will become more diversified which will in
turn contribute to the stabilisation of sales
and earnings.
Furthermore, the pro rata share of trade
through own local distributors has been increased at the cost of trading directly between the wood-producing industrial countries and distributors and other customers
in the wood-consuming countries. This
means that a greater share of the trade of
DLH takes place directly to the end-consumer than was previously the case and
thus the market fluctuations are reduced.
The level of activity of the DLH Group is
also affected by fluctuations in the construction industry and activities in the
wood-consuming industry in Denmark and
other countries.
The costs incurred by the DLH Group are
primarily overheads which for many of the
business units are difficult to adjust in
case of a recession. However, it is possible
to some extent to re-allocate resources to
other business divisions and/or markets.
In the Retail Division, activities are primarily
affected by the general economic fluctuations in Denmark. Since the economic
trends, to which the Retail Division is subject, are more stable than those applying to
the Hardwood Division and the Timber &
18
Generally, one may conclude that costs
can only to some extent be adjusted to
downturns in the trade cycles, conversely
costs only rise slowly during upswings.
This implies that earnings will fluctuate
more than the market as a whole.
In the Hardwood Division credit is to a large
extent granted on the basis of letters of
credit or payment against documents.
Otherwise, credit is primarily granted on the
basis of credit insurance with part coverage
of potential losses. To this must be added
individual trade debtors where credit is
granted on the basis of trust which therefore naturally is more risky.
In the Timber & Board Division, credit
granted to industrial customers and customers outside Denmark is primarily
based on credit insurance with part coverage of potential losses. Conversely, credit
to timber merchants in Denmark is granted on the basis of own credit ratings and
a relationship of trust established with the
individual customer.
In the Retail Division, credit is primarily
granted on the basis of credit insurance
supplemented by own credit ratings.
50-60% of the trade debtors of the DLH
Group are covered by credit insurance. In
addition, a high proportion of the sales of
the Hardwood Division are based on letters of credit and payment against documents.
SUPPLIERS
It applies to the DLH Group in general that
its suppliers are numerous, but relatively
small. However, the Timber & Board Division
primarily purchases softwoods from a few
large suppliers in Finland and Sweden while
a single supplier of boards in Russia handles a relatively large proportion of the Division’s supplies of plywood to the European
market. However, the DLH Group has traded
with these suppliers for many years. None
of the suppliers handle more than 10-12%
of the goods purchased by the Division.
Prepayment of suppliers is an important
parameter in securing supplies from Afri-
ca, South America and Eastern Europe.
This carries an inherent risk of losses and
calls for tight control.
Prepayments for goods amounted to a total of DKK 30-50 million in the year 2000,
and an amount of DKK 1.5 million was
charged to the profit and loss account for
the year as provision for losses in connection with prepayments.
MARKETS
All the three business divisions of the DLH
Group operate in markets with fierce competition. The DLH Group is one of the major players in the respective markets.
The turnover of the Hardwood Division is
spread across many markets and countries,
and within each country turnover is spread
across several or many customers. The acquisition of EAC Timber has resulted in an
even greater diversification of the turnover
of the Hardwood Division which lessens the
dependency on individual markets.
In the Hardwood Division, the major markets are, in order of priority: France, the
USA, the Far East (primarily China, the Philippines and Thailand), England, the Benelux and Germany, no single country of
which accounts for more than approx. 20%
of the turnover of the Division.
The turnover of the Timber & Board Division is spread across many customers. No
single customer accounts for more than
5% of the Division’s turnover.
Naturally, the turnover of the Retail Division is more diversified still as regards
customers. No single customer accounts
for more than approx. 5% of the Division’s
turnover.
ENVIRONMENT
The DLH Group is very environmentally
aware. Sustainable forestry is crucial to
the survival of DLH, and the aim of the environmental policy implemented by DLH is
to promote sustainable forestry.
Suppliers are thus carefully selected with
this in mind. The certification of wood is
promoted. Own forestry projects in Brazil
and Ghana are based on sustainable forestry and used actively as documentation
to customers and suppliers.
The supplies of the Group do not seem to
be particularly threatened. DLH is an active participant in the ongoing debate
which in most cases has turned into a
sound dialogue. Please see also the coverage of this subject on page 20 under “Forestry and environment” and on page 7 in
the management annual report.
The activities of the DLH Group do not have
a particularly negative environmental impact. For the compregnation of wood only
the chrome-free impregnating agent, Tanalith-E, is used, which has been approved by
the Danish Environmental Agency.
POLITICAL RISKS
In the supplier countries of the DLH
Group, Africa, South America, Eastern Europe and South East Asia, political conditions are unstable. War and other types of
disorder may for periods of time preclude
supplies from these countries. Political
conditions are monitored very closely.
Well-functioning systems have been set
up, among other things, for the approval of
any prepayment to suppliers and to monitor that the funds are in turn offset
against supplies of goods. The risk has
been minimised year by year due to the
continued spreading of supplies across
more and more countries and suppliers
and due to the fact that the three large
supply regions, South America, West Africa
and South East Asia now each account for
almost identical shares of the turnover of
the Hardwood Division.
For many years, the DLH Group has distributed teak from Myanmar, and annual purchases now account for approx. DKK 30 million
per year. In the year 2000, DLH closed down
its procurement office in the country.
DLH is continually monitoring developments in the country and is at the same
time looking into the possibility of finding
alternative countries of supply for highquality teak.
INTEREST
The borrowing requirements of the DLH
Group are relatively high, and the interestbearing debt of the DLH Group amounts to
DKK 1.2 billion by the end of the year
2000. Both the Danish and the foreign
level of interest rates are of vital importance to the result of the Company. A portion of the debt carries a fixed rate of interest thus reducing the risk in connection
with an increase in the rates of interest.
Long-term fixed-interest debt to mortgage
banks thus amounts to DKK 124 million.
In addition, 3-year fixed-interest loans in
Danish kroner and EURO, in the countervalue of DKK 150 million, and a 5-year
fixed-interest loan of DKK 50 million were
raised in the year 2000.
On an annual basis, a change in the rate of
interest of 1 percentage point would affect
the result of the DLH Group by less than
DKK 8 million at the present level of activity and with the present capital structure.
RISKS IN CONNECTION WITH
THE TAKE-OVER OF EAC TIMBER
The purchase of EAC Timber is the biggest
acquisition by the DLH Group to date. The
amalgamation of EAC Timber with the
Company has been progressing according
to plan and no special risks have been incurred which were not already reflected in
the accounts for the year 2000.
FOREIGN CURRENCIES
While the DLH Group does not speculate
in foreign currencies, exchange rate fluctuations do affect the result. Through its exchange control policy the DLH Group
seeks to minimise the risk of losses.
Wherever possible, goods are sold and
bought in the same currency. Where this
is not possible, extraordinary foreign exchange risks are hedged by means of forward exchange contracts.
The general policy is for debt and credit
balances in foreign currencies to be balanced in the balance sheet and for any imbalances to be hedged by forward exchange transactions or by raising loans in
foreign currencies.
The currencies most important to the DLH
Group are USD, EUR, GBP and SEK.
Fluctuations in exchange rates may affect
the profit and loss account and the balance sheet in the following three main
areas:
When converting the results of the foreign subsidiaries into Danish kroner:
Simultaneous exchange rate fluctuations
of up to 5% in the above main currencies
will affect the result by less than DKK 3
million.
When converting the gross profit on the
Danish companies’ foreign-currencybased trade into Danish kroner:
Simultaneous exchange rate fluctuations
of +/-5% p.a. in the main currencies will
affect the result by less than DKK 10 million.
Value adjustment of stocks purchased in
foreign currencies, but booked in the local currency:
A change in the level of foreign exchange
rates in the main currencies of e.g. 5% is
thought to affect the result by approx. DKK
5 to 7 million. The effect is relatively
greater in the case of a decline than in
case of an increase in foreign exchange
rates.
The decisive factor when evaluating the effect on the result is how the stocks of the
competitors are affected by exchange rate
fluctuations which in reality is the same
as a change in the replacement cost.
STOCKS
Capital tied up in stocks is the major asset item in the balance sheet of the DLH
Group, and at the present level of activity
it amounts to more than DKK 900 million.
The majority of stocks have been sold and
are on their way to the customers or are
being made up for shipment to the customers and are thus not subject to any
particular risk.
Risks on stocks primarily consist in depreciation due to declining prices or foreign
exchange rates.
Management takes the view that, with
tight control, the risk of losses on stocks
is modest, but mismanagement may
cause losses in case of a recession.
19
Forestry and environment
It is in the commercial divisions of DLH
that its environmental policy must be
made visible and put into practice. The
Forestry & Environment Department has
thus also in the year 2000 been co-operating closely with the divisions on environmental concerns, including the former EAC
Timber activities that have been incorporated into the Hardwood Division. Key environmental issues are discussed regularly
by the Group Management and Board of
Directors. Information concerning environmental matters is disseminated on a regular basis, for instance in DLH Information.
Clients experience a growing need for information on environmental concerns relating to the timber products distributed by
DLH. With its environmental policy, DLH is
well equipped to meet these needs, but
DLH can only honour the expectations of
clients by simultaneously co-operating with
its own suppliers. It is the forest – and especially the way it is managed – that will
determine whether a timber product can
be termed sustainable.
CERTIFICATION
An increasing number of clients wish to
purchase wood products that are certified
for sustainable production. DLH supports
certification, but keeping up with the demand is a challenge since FSC-certification (Forest Stewardship Council) has not
had the expected impact. To this day, only
a limited number of forests are certified,
and the tropics in particular are lagging behind. The situation in the tropical forests
is a complex one, and there are no easy
solutions. If these forests are to be preserved, it is necessary to keep up trade –
even if the products are not certified in the
short-term – while at the same time supporting efforts to improve forestry and certification. Here DLH plays a pivotal role in
conjunction with its suppliers. Short-sightedly boycotting these forests due to the
lack of certification would lead to additional clearing of forests as many forests
would then be used as agricultural land instead. A number of other certification
20
schemes are under way in Europe (PEFC),
Malaysia, Indonesia, the USA and Canada,
and DLH keeps a close watch on these
new schemes.
In the year 2000, DLH has been co-operating with a number of suppliers on certification, notably in Brazil, where the Forestry &
Environment Department advises many
producers on improved forestry and certification. The Brazilian forester of DLH is a
member of the national FSC working
group. In order to further support this
work, DLH Nordisk Ltda. in Brazil has
joined the “Certification Wood Buyers’
Group” which was established in Brazil in
the year 2000, and the members of which
consider the purchase of FSC-certified
wood a high priority. In addition, DLH is involved in certification in Ghana, having
tested the Ghanaian standards and criteria for sustainable forestry in its own forestry project.
Furthermore, the Ghanaian forester of DLH
is a member of the Forestry Commission,
which is the superior consultative body of
forest management in Ghana.
In order to be able to distribute certified
timber, DLH has implemented a so-called
“chain-of-custody” certification (COC) under the FSC. The Danish divisions of DLH
as well as DLH Nordisk, Karlino, Poland,
have now been COC certified. Furthermore, the divisions of DLH Nordisk in Brazil, England and the USA are in the process
of becoming COC certified. In addition, Indufor NV in Belgium has been COC certified under the Dutch Keurhout scheme in
order to make possible the distribution of
certified wood to the Dutch market.
THE ENVIRONMENTAL PROJECT IN GHANA
The objective of the project is to improve
the management of the natural resources
in a forest of 16,000 hectares in collaboration with a local sawmill, Ghana Primewood Products Ltd., CARE Denmark, the
local community in the area, and Danida.
Still in the year 2000, the emphasis is on
improved forestry, certification, planting of
trees on agricultural land, and the introduction into the global market of lesser
known timber species.
THE FORESTRY PROJECT IN BRAZIL
DLH develops and demonstrates sustainable forestry in its own forest in Brazil.
The forest takes up 3,000 hectares and
was declared a natural reserve in the year
2000. The knowhow gathered is made
available to the Brazilian suppliers of
DLH. For a number of years now, research
projects have been carried out in collaboration with Oxford University and Brazilian
research institutes. The first findings from
research into the natural regeneration of
mahogany trees are now available. The results represent a breakthrough and will be
presented at a seminar in Oxford in April
2001.
COOPERATION WITH NGOS
Several environmental organisations – or
NGOs (Non-Governmental Organisations) along with DLH are interested in preserving our forests. DLH has a well-established working relationship with several
NGOs. The Danish organisation CARE
Denmark has joined the environmental
project in Ghana and in the forestry
project in Brazil there is a close co-operation with the Brazilian NGO, Fundacao Zoobotanico de Maraba, which is working for
the preservation of animal species in the
rain forest. In addition, DLH supports the
Tropical Forest Foundation, an American
NGO, which develops improved methods
of felling in tropical forests.
As with the environment, ethical values,
such as human rights issues, are increasingly important in internationally oriented
companies. DLH has adopted a set of basic values, outlining the applicable attitudes. In addition, a relationship has
been established with Amnesty International. Furthermore, DLH has joined the
project “Business and Human Rights” in
collaboration with the Confederation of
Danish Industries, the Industrialization
Fund for Developing Countries and the
Danish Centre for Human Rights.The aim
is to develop tools that facilitate the assessment of the activities of a business
from a human rights point of view. DLH is
in favour of the collaboration with “new”
stakeholders such as the NGOs in the development of the underlying values of the
business of DLH.
DLH and its employees
DLH was founded almost one hundred
years ago, and the founders wanted the
Company to be characterised by credibility,
honesty and empathy, values which constituted the basis of the staff policy of DLH
and which have now been incorporated
into the basic value statement of DLH.
The strategy is still to attract, maintain and
develop the best employees in the industry, and through its training policy, among
other things, DLH aims to create the practical framework for developing and maintaining skills that are crucial in a situation
with enhanced competition.
HUMAN RESOURCE DEVELOPMENT
To a large extent, the DLH Group owes its
success as a trading partner to the human
resources and skills available to the Company. Against this background, DLH is constantly focusing on honing and adding to
the skills and knowhow which have been
built up in DLH over the years.
In order to promote the development aspect, employee development interviews
are conducted with each employee every
year during which the employee and his
superior discuss various aspects of the
job and the future development of that employee. These efforts are supported by the
course catalogue of DLH.
Prior to conducting these interviews in the
year 2000, all managers and heads of
staff participated in selected Danish parts
of a management seminar, including the
following subjects: The emotional skills
and success of managers, effective communication and factors of motivation.
GROUP LIAISON TEAM
“With a view to promoting co-operation
among managers and staff in the Group
and thus increase job satisfaction and in
turn the competitiveness of the enterprise”, a Group Liaison Team has been set
up parallel with the local consultation
committee, consisting of representatives
from both the managerial side and the employee side of selected Danish branches.
PENSION SCHEME
In order to keep up with developments in
the labour market, the DLH Group has
changed its pension scheme. With effect
from 1 October 2000, higher contributions
and improved basic cover were introduced,
applicable to salaried employees in Denmark and employees on secondment. The
scheme was expanded to include critical
illness, and the employees now have the
possibility of investing their own pension
contribution in pools.
and in the Hardwood Division that take the
commerce line are mostly offered a stay
abroad of at least six months during their
2-year training period. However, the visits
abroad are often interrupted by schooling
periods in Denmark, and for this reason the
Vocational Committee for the Commerce
Line has decided to give its support to
long-distance training via the Internet, at
the request of DLH. The introduction to the
Commerce Line itself and the final exam
will still take place in Denmark, however.
The fact that the turnover for the year of
DKK 4.6 billion represents DKK 3.5 million per employee shows that every single
employee is a valuable asset to DLH.
PIE CHART SHOWING EMPLOYEES BY BUSINESS DIVISION AS AT 31 DECEMBER 2000:
◆ Hardwood Division 42%
TRAINEES
Of the 39 trainees employed with the DLH
Group – corresponding to 3% of the total
workforce – the Danish trainees of the
DLH Group are qualifying as specialists in
commerce (softwood, sheet materials or
hardwood), clerical work or retail trade (doit-yourself markets, tools and fittings). In
order to facilitate administration – especially for the Retail Division which at
present provides vocational training for 28
trainees within the specialist fields mentioned above – the Group gave DLH the goahead to handle the education of trainees
in the said areas in 1997.
Trainees in the Timber & Board Division
◆ Retail Division 36%
◆ Timber & Board Division 17%
◆ Dalhoff Larsen
& Horneman A/S 5%
PIE CHART SHOWING EMPLOYEES BY
CONTINENT AS AT 31 DECEMBER 2000:
◆ Denmark 58%
◆ South America 17%
◆ Europe 16%
◆ Middle East
and South East Asia 5%
◆ North America 2%
◆ Africa 2%
21
Shareholders
The value of the DLH-share rose by 19% in
the year 2000, and liquidity in the share
rose by 36%. The Board of Directors recommends to the General Meeting that dividend in the amount of DKK 17,162,200 is
paid for the year 2000, corresponding to
DKK 10 per issued share.
DLH is working on a new and more informative
web site in a new design. This website will be
implemented in 2nd quarter of 2001.
”Global Trade and Supply Chain Project”
(GTS) is a Supply Chain Management
project that focuses on the principal business processes of the Group: International
trade and logistics, primarily in the Hardwood Division and in the Timber & Board
Division.
Internet technology, including the Intranet
and the Extranet, is also of major importance in the IT development plans of the
Group as a basis for a knowledge portal
and an important factor in the development projects GTS and Phønix.
Like other medium-sized and small companies quoted on the Copenhagen Stock
Exchange, DLH has been somewhat overshadowed by e.g. IT shares and the more
liquid shares in the Copenhagen Stock
Exchange Index. Nevertheless, the trade
in the DLH-share rose during the year. A
total of 300,259 shares at nominally
DKK 100 were sold at the price of DKK
58 million in total. On average, 1,372
shares were traded daily. In comparison,
1,008 shares were traded daily on average in 1999. In the year 2000, DLHshares were traded on 192 trading days
as compared to 176 trading days in
1999. One reason for the increased turnover was the increased interest in the
Company following the merger with EAC
Timber. In addition, a market maker deal
has had the effect that bid and offer prices
quoted on the stock exchange are always
current, and small deals can always be
effected.
The objective is to create effective business processes that exploit the possibilities of IT technology and which will contribute to consolidating the position of DLH in
the value chain.
In particular, the XML standard is considered to be of great importance and the expectations for the future applications of
this standard in the areas of trade, logistics and financial information are high.
SHARE CAPITAL
In January 2000, the share capital was
increased by 526,316 Class B shares at
the price of 190 in a direct placement.
Hereafter the Company’s share capital
The DLH Group is a global enterprise,
which has its own procurement organisation in all major areas of supply and distribution through companies and offices in
many countries. Due to long distances geographically and long transport routes, optimising the internal supply chain and the
capital tied up in this process are important elements in the project.
Moreover, the development of the XMLstandard (XBRL) in the fields of financial
and accountancy reporting is being carefully monitored. The said standard has
been widely approved by analysts, banks,
firms of accountants and IT suppliers and
would greatly facilitate the exchange and
analysis of financial information.
IT development
During the year 2000, DLH took a number
of important steps in the IT field which in
the years ahead are to place the Group at
the cutting edge as regards the effective
exploitation of IT and of the possibilities
created by the ongoing developments in
Internet technology.
Furthermore, new and more efficient ways
of co-operating with other tiers in the value chain, such as suppliers and customers, must be found.
The objective of the “Phønix” project is to
realise a number of synergies in the Retail
Division, partly in the form of cost reduc-
22
THE DLH-SHARE
At year-end 2000 the price of the DLH
share was DKK 208 per share, up 19% in
the year 2000. During the same period of time, the Copenhagen Stock Exchange Index and the Carnegie Small Cap
Index rose by 23% and 24%, respectively.
tions in operations and maintenance
gained by integrating the business systems on one platform, partly by way of efficiency measures and centralisation of the
business routines. The business systems
in the timber merchant companies in the
Retail Division are today running on five
different machines locally.
SHAREHOLDING OF THE MANAGEMENT
As at 31 December 2000, the Board of Directors and the
Management held 9,433 shares in total in Dalhoff Larsen &
Horneman A/S, corresponding to 0.5% of the share capital.
Shareholders
INFRASTRUCTURE
In support of the developments outlined,
the infrastructure of communications
(IT and telecommunications) will be significantly upgraded during the year 2001. The
Group will thus be effectively linked together in a global VPN-network (Virtual Private Network).
CHRISTENSEN, STIG
HANSEN, HANS EJVIND
Number of
shares
700
1,250
HERMANN, BENNY
112
NIELS OLUF KYED
100
NYGAARD, LAU
740
PEDERSEN, OLE FUHR
113
SPILE, VIGGO
2,918
VIERØ, ARNE
1,900
THE BOARD IN TOTAL
7,833
JØRGEN MØLLER-RASMUSSEN
1,600
BOARD OF DIRECTORS IN TOTAL
9,433
amounts to 1,716,220 shares in total,
187,500 of which are Class A shares,
whereas the remainder are Class B
shares. The Class B shares of DLH have
been listed by the Danish Stock Exchange
since 1986, while the Class A shares are
unlisted and owned by the DLH-FONDEN.
The listed Class B shares had a market
value of DKK 318 million at year-end
2000.
SHAREHOLDER POLICY
DLH wishes to increase the liquidity in the
Company’s shares. One way of achieving
this is by aiming to secure the shareholders an attractive return on their investment, both in the form of capital gains and
dividend. In addition, it is the plan to increase the level of information, among other things, through quarterly reviews and
better promotion of the Company’s website
which may be visited at www.dlh-group.com.
nually at the rate of approx. 25% of the
profit for the year after tax with due regard
to the development plans of the Group
and its need for consolidation.
ties to relevant information on the Company. Interested parties would for instance
be able to receive news and accounts by
e-mail.
The Board of Directors proposes to the
General Meeting that dividend is paid in
the amount of DKK 10 per share of a
nominal value of DKK 100 for the financial
year 2000, corresponding to 25% of the
profit on ordinary activities net.
INVESTOR INQUIRIES
Please direct any inquiries relating to the
DLH Group and its fields of business or
the annual accounts to Jørgen Møller-Rasmussen, President and CEO of the Group.
Any inquiries relating to shareholder matters should be addressed to Claus Mejlby
Nielsen, Financial Manager.
INVESTOR RELATIONS
DLH aims to keep the lines of communication with financial analysts, stock brokers
and investors open. This is with a view to
providing the share market with the best
possible information in order to create an
objective basis for the price formation of
the shares of DLH.
DLH urges all shareholders to have their
shares registered as this would enable
DLH to send out vital information to the
shareholders direct.
For this reason, DLH is happy to participate in meetings with shareholders, investors, analysts and others with a view to
giving further particulars of the Company’s
development to the extent permitted by
the Stock Exchange Code of Ethics.
DIVIDEND POLICY
In future, the Board of Directors intends
for dividend to be paid to shareholders an-
In the near future, DLH is planning to
launch an up-to-date website which will further facilitate the access of interested par-
CONNECTED PARTIES:
Connected parties include the major shareholders, the Company’s Management and
the Company’s subsidiaries.
Apart from intra-group transactions, which
have been eliminated in the group accounts, transactions with connected parties are shown in the annual accounts and
group accounts.
During the financial year, there have been
no transactions with connected parties
which have been of material importance to
the understanding of the annual accounts
or which are deemed to have material importance in the years ahead.
OWNERSHIP
Pursuant to Section 29 of the Danish Securities Trading Act, the following shareholders have
reported their shareholdings to the Company as at 6 March 2001:
300
Share of
share capital
votes
Small Cap
DLH-FONDEN,
Ved Stranden 18, Postboks 2034, 1012 Copenhagen K
250
27.7%
63.6%
11.0%
5.5%
9.2%
4.6%
9.2%
4.6%
6.5%
3.3%
The Labour Market Supplementary Pension Fund,
Kongens Vænge 8, 3400 Hillerød
Employees’ Capital Pension Fund,
Vendersgade 28, 1363 Copenhagen K
A/S The East Asiatic Company,
KFX
200
Indiakaj 16, 2100 Copenhagen Ø
Ellen & Knud Dalhoff Larsen’s Fond,
Amaliegade 42, 1256 Copenhagen K
150
Calendar for the year 2001 of expected publication
dates of stock exchange notifications:
16.05.2001
Quarterly review
15.08.2001
Interim report
15.11.2001
Quarterly review
January
February
December
October
November
September
July
August
May
June
April
March
January
February
STOCK EXCHANGE NOTIFICATIONS
The following important notices have been submitted to the Copenhagen Stock Exchange and
to all registered shareholders since the beginning of the year 2000:
05.01.2000
DLH takes over EAC Timber
07.01.2000
Notice convening extraordinary general meeting (capital increase)
21.01.2000
Publication of prospectus
16.03.2000
Notification of annual accounts for the year 1999
03.04.2000
Notice convening the ordinary general meeting
and submission of annual accounts
25.05.2000
Quarterly review
31.05.2000
DLH takes over the activities in Karlslunde
and Solrød Byggemarked & Trælasthandel A/S
24.08.2000
Interim report
16.11.2000
Quarterly review
07.03.2001
Notification of annual accounts for the year 2000
23
Annual report 2000
IN GENERAL:
The annual accounts and the group accounts have been prepared pursuant to
the provisions of the Danish Company Accounts Act and the guidelines laid down by
the Copenhagen Stock Exchange for the
preparation of accounts of listed companies, including Danish accounting standards.
The accounting policies applied have been
changed in respect of the following four
areas:
• Recognition of deferred tax asset
• Not booking dividend for the year as a
liability
• Disclosure concerning financial instruments
• Capitalisation of assets under financeleases.
The changes are being implemented as a
result of developments in both Danish and
international accounting standards, including the implementation of accounting
standards No. 14 and 15.
The changed accounting policies have had
the following effect on the group accounts
for the year 2000: At the beginning of the
year, equity was increased by DKK 90 million, the profit and loss account was reduced by DKK 17 million, primarily as higher income tax, assets were increased by
DKK 68 million at year-end, and debt was
increased by DKK 10 million at year-end.
The comparative figures for 1999 have
been adjusted in accordance with the
changed accounting policies. Financial
highlights and key ratios for 1998 and earlier have likewise been changed.
ACQUISITIONS AND DIVESTMENTS:
With effect from 1 June 2000, the Retail
Division took over Karlslunde Trælast.
With its two timber merchant companies
this brought the number of timber merchant companies of the division up to 23.
During the year 2000, Karlslunde Trælast
increased the turnover of the division by
DKK 53 million.
The acquisition of the EAC as at 1 November 1999 was finally backed by a capital
increase at an extraordinary general meeting in mid-January 2000, and the acquisition has had the full impact on the accounts for the year 2000.
GROUP STRUCTURE:
The Group structure remains unchanged
divided into three business divisions: The
Hardwood Division (with DLH Nordisk A/S
as the parent), the Timber & Board Division (with DLH A/S as the parent) and the
24
Retail Division. On 1 January 2000, the
shares in the individual timber merchant
companies in the Retail Division were
transferred from the Parent Company to
DLH Træ & Byg A/S, which then became
the parent of the Retail Division. The legal
and business structures now coincide.
The Parent Company Dalhoff Larsen &
Horneman A/S is a holding company
which owns the above companies. At the
end of the year 2000, the Parent Company
sold off the property in Taastrup and concluded a lease with the purchaser to the
effect that the Group’s headquarters are
still located here.
The Parent Company owns the properties
at Hedensted and Gadstrup, and the said
two properties have been let to DLH which
uses the property as central warehouses
and sales and distribution centres for the
Timber & Board Division. In addition, the
Parent Company performs administrative
tasks common to DLH Nordisk A/S, DLH
A/S and DLH Træ & Byg A/S.
In connection with the merging of EAC Timber and the Hardwood Division of DLH, a
number of intra-group mergers and organisational amalgamations have been implemented.
With a few exceptions, the accounts of the
subsidiaries are audited by the main auditor of the Parent Company, KPMG.
FOREIGN EXCHANGE POLICY:
The general policy is for debt and credit
balances in foreign currencies to be balanced in the balance sheet and for any imbalances to be hedged by forward exchange transactions or by raising loans in
foreign currencies. Furthermore, wherever
possible, goods are sold and bought in
the same currency and extraordinary foreign exchange risks are hedged by means
of forward exchange contracts.
Forward exchange contracts to hedge the
credit balances or liabilities stated in the
balance sheet in foreign currencies are
subject to exchange equalisation via the
profit and loss account, and the exchange
equalisation is included in the balance
sheet under the accruals concept of accounting.
As a rule, stocks are financed in the local
currency of the individual countries of sale.
In selected local markets where the sales
price follows the currency of purchase, however, financing of stocks is kept in the currency of purchase (primarily in USD).
Forward exchange contracts to hedge future sales or purchases are not included
in the profit and loss account or in the bal-
ance sheet, but are charged as incurred.
The Group only makes foreign exchange
transactions that are commercially sound.
Equity in the foreign subsidiaries is hedged
wherever possible and expedient. Costs incidental to such hedging are charged directly to the equity.
In some few foreign subsidiaries the majority of the activities are financed by means
of Group loans in Danish kroner. The loans
are considered part of the net investment
in the companies and the hedging of the
loans is directly attributable to the equity
just as is the exchange equalisation of the
companies’ equity.
With the introduction of the common currency, the EURO, this currency is the preferred trading currency to Danish kroner or
Swedish kronor, and increasingly an alternative to the US dollar as well.
PROFIT AND LOSS
ACCOUNT FOR THE YEAR 2000:
Turnover was DKK 4,585 million – up DKK
1,424 million on the year before, representing a 45% increase.
Since the acquired EAC Timber activities
primarily generate trade outside Denmark,
and since the DLH Group overall has made
the most progress in its international
trade, 60% of the turnover was derived
from trade outside Denmark as compared
to 46% the year before.
Gross profit has been calculated at 16.0%
of turnover as compared to 17.0% a year
ago. The changed allocation of turnover as
a result of the acquisition of EAC Timber is
the sole factor responsible for this decline.
Aggregated costs overall were DKK 564
million, representing a 29% increase which
must be seen in the context of the 46% increase in turnover and the 37% rise in
gross profit.
Financing costs were DKK 72 million net
as compared to DKK 51 million the year
before, representing a 41% increase. This
is attributable to the increase in activities
and a slightly higher level of interest.
Profit on ordinary activities before tax
was DKK 100 million as compared to DKK
51 million last year.
Following the change in accounting policies, tax on the profit on ordinary activities was DKK 32 million for the year 2000
and DKK 12 million for 1999, corresponding to effective tax rates of 32 and 23, respectively. The lower tax rate in 1999 was
due to tax in connection with jointly taxed
foreign subsidiaries.
The result for the year 2000 includes extraordinary income after tax in the
amount of DKK 16 million from the sale of
the property of the head office in Taastrup. The purchaser of the property has
leased back the property to DLH on market terms.
Profit for the year after tax amounts to
DKK 84 million as compared to DKK 40
million the year before.
BALANCE SHEET AS
AT 31 DECEMBER 2000:
Total assets of the DLH Group amounted
to DKK 2,074 million at year-end, up DKK
165 million on last year, corresponding to
a 9% increase.
The increase primarily stems from the item
trade debtors, which has risen by DKK 77
million (+14%) and the item stocks, which
has risen by DKK 99 million (+12%).
Intangible fixed assets amount to DKK 58
million and consist solely of goodwill arisen on the acquisition of enterprises. Depreciation for goodwill is charged over 10
years corresponding to the expected useful life of the individual asset.
The divestment of the property of the
head office in Taastrup has reduced the
book value of fixed assets by DKK 29 million.
Stocks represent the largest asset in the
balance sheet, amounting to DKK 922 million as at 31 December 2000, as compared to DKK 823 million the year before.
Efforts are being made to reduce stocks
by endeavouring to match the demand and
supply of the individual business units.
Trade debtors were DKK 622 million at
year-end, the second-largest item in the
balance sheet and 14% up on last year.
During the year 2000, the equity of the
DLH Group has changed as follows in the
year 2000, expressed in DKK million:
Equity as at 1 January 2000
(after changed accounting policies)
+ capital increase
- issue costs
- dividend for 1999
+ profit for the year
+ foreign currency conversion etc.,
subsidiaries abroad
437.4
)
100.0)
(4.5)
(15.5)
83.7
2.3
Equity as at 31 December 2000 603.4)
Tangible fixed assets amount to DKK 338
million.
In the year 2000, investments in tangible
fixed assets amounted to DKK 81 million
in total. Of this amount, DKK 16 million relate to the acquisition of Karlslunde
Trælasthandel A/S. Of other major investments a new head office in Warsaw, Poland, as well as a new timber merchant
company in Vejle could be mentioned.
However, the majority of the investments
in tangible fixed assets represent ongoing
replacements of rolling stock and various
operating plants. Financially leased assets
are included in the accounts with DKK 10
million.
The equity ratio has been calculated at
29.1% as at 31 December 2000 as compared to 22.9% the year before.
Interest-bearing debt has been calculated
at DKK 1,195 million as at 31 December
2000 as compared to DKK 1,039 million
the year before, up DKK 156 million
(+15%).
CASH FLOW STATEMENT:
The cash flow statement shows that the
item “cash flow from operating activities”
was negative in the amount of DKK (43)
million as compared to positive in the
amount of DKK 25 million last year. The
alteration is accounted for by the rise in
the level of activities, which has increased
stocks and debtors by DKK 182 million as
compared to DKK 80 million last year.
“Cash flow from investing activities” is
negative in the amount of DKK (57) million. This is partly attributable to the acquisition of Karlslunde Trælast A/S, representing a financing requirement of DKK 41
million net, while other fixed asset investments required financing amounting to
DKK 63 million, from which must be deducted the sale of the property in Taastrup, the location of the head office, generating cash receipts of DKK 45 million.
“Cash flow from operating activities and
after investments” hereafter amounts to
DKK (100) million.
The said financing requirement is covered
by the capital increase of DKK 96 million
and an increase in bank loans of DKK 64
million after having redeemed long-term
debt, for instance mortgage debt, in connection with the sale of property and instalments as well as dividend of DKK
15.5 million for 1999.
Overall, the interest-bearing debt was increased by DKK 156 million during the
year 2000, a prerequisite for financing operations and net investments.
FINANCES:
We take the view that the financial resources are completely adequate to cover
the activities scheduled for the year 2001.
25
Accounting policies applied
CONSOLIDATION:
The consolidated accounts include the
Parent Company and all subsidiaries.
The consolidated accounts are prepared
on the basis of the accounts of each individual company by aggregating items of a
uniform nature. At the aggregation, intergroup earnings and expenses as well as
inter-group accounts are eliminated, and
unrealised profit on stocks due to intergroup sales is deducted.
Upon consolidation, the book value of the
Parent Company’s investment in subsidiaries is eliminated by the proportionate
share of the equity of the subsidiaries.
The accounts have been prepared according to uniform guidelines, which also applies to the valuation of the assets. The
accounts of the foreign companies have
been converted into Danish kroner as follows: Profit and loss accounts at weighted
average rates of exchange, and balance
sheets on the basis of the rates of exchange quoted at the end of the year.
In case of acquisitions or sale of subsidiaries, the operations of the company in
question are included in the consolidated
accounts for the part of the year in which
the subsidiary was owned by the DLH
Group. For new companies acquired, the
value of their net assets is calculated on
the day of acquisition, and any added value
(goodwill), if any, is capitalised and depreciated over the estimated economic life.
THE PROFIT AND LOSS ACCOUNT:
The profit and loss account is presented
in the vertical format based on type of expenditure.
Receipts and expenses:
Revenue derived from the sale of goods
and services is included in the profit and
loss account if delivered and invoiced before the end of the year. Realised and unrealised exchange gains and exchange
losses in connection with accounts in foreign currencies are included in the profit
and loss account.
The profit and loss account of the Parent
Company includes the proportionate share
of the result of subsidiaries and associated
companies for the same year, adjusted in
respect of inter-group profit on stocks and
deducting depreciation of group goodwill.
The consolidated profit and loss account
includes the proportionate share of the result of associated companies. Dividend on
shareholdings in other companies is entered as income in the year in which it is
declared and distributed.
Depreciation:
Depreciation for intangible and tangible
fixed assets is charged over the estimated
economic lives of such assets, by calendar month on a pro rata basis and based
26
on the cost of acquisition. As regards tangible fixed assets, revaluation, if any, will
be taken into account when charging for
depreciation.
Both in Denmark and abroad the economic lives of such assets are as follows:
Goodwill
5-20 years
Administration buildings
20-50 years
Other buildings and other
fixed assets
20-25 years
Cost of loans
5 years
Plant and machinery
5-10 years
Rolling stock and equipment
3-7 years
Computer hardware and software 0-5 years
Purchases of tangible fixed assets below
DKK 10,000 are not carried as assets,
but are entered under costs.
Taxation:
The Parent Company is taxed jointly with
most of its subsidiaries.
The tax payable on the income for the year
is charged to the profit and loss account
with an adjustment for the change of the
year made in the provision for deferred tax.
The provision for tax is attributed to the result of ordinary and extraordinary activities, respectively. The assessed current
tax on the jointly taxed income is distributed fully between the Danish profit- or lossmaking companies that are taxed jointly.
Provision for deferred tax is made in respect of all temporary differences between the book values and values for tax
purposes. Provision for deferred tax does
not comprise investments in subsidiaries
and associated companies.
The above mentioned differences and any
tax deficits that may be carried forward
must be stated separately for each of the
Group companies. Should such differences result in a tax asset, the said tax asset will be off-set against other tax liabilities within the same taxable entity or stated as a net tax asset in the balance sheet
at the estimated realisable value, based
on a specific valuation.
The provision has been calculated according to the tax provisions and tax rates applicable at the time of preparing the balance sheet in the relevant countries.
BALANCE SHEET:
The balance sheet is presented in the horizontal format.
Valuation:
Intangible and tangible fixed assets are
entered at the cost of acquisition. Tangible
fixed assets also include loan costs and
any revaluations made. Investments in affiliated companies are entered in the Parent Company’s balance sheet at net book
value with the deduction of inter-group
profit on stocks and with the addition of
amounts paid for group goodwill.
Investments in associated companies are
entered in the balance sheet of the Parent
Company as well as that of the Group at
net book value and with the addition of
amounts paid for group goodwill.
Other financial fixed assets are entered at
whichever is the lower of the cost of acquisition and the assessed value.
Stocks are entered at the lower of the
cost of acquisition, manufacturing price
and net realisable value. Cost and manufacturing prices are entered as FIFO or a
weighted average. Processed goods include consumption of materials as well as
direct and indirect processing costs.
Trade debtors are entered less provision
for bad debts.
Any items in foreign currencies are converted into Danish kroner at the rates of
exchange quoted at the end of the year. If
outstanding accounts have been covered
through forward exchange contracts, an
exchange adjustment of such contracts
will be made over the profit and loss account, and the corresponding adjustments
are entered as accruals in the balance
sheet.
Leased assets:
Assets under finance leases are entered
as tangible fixed assets at the full cost of
acquisition, and straigt-line depreciation is
charged over the expected useful lives of
the assets. The leasing commitment is entered as debt under liabilities in the accounts, and, leasing payments are treated
as interest and instalments incidental to
the commitment. Assets under operating
leases are not entered in the balance
sheet. The leasing commitments are entered under contingent liabilities.
CASH FLOW STATEMENT:
The cash flow statement has been drawn
up according to the indirect method on the
basis of the operating profit or loss. The
cash flow statement shows the Group’s
cash flow from operating activities, from investment activities and from financing activities, and shows the liquid funds of the
Group at the beginning and end of the year.
Cash flow from operations is entered as
the result from operations adjusted for
non-cash items and the year’s changes in
working capital and corporate tax paid.
Cash flow from investment activities comprises cash flow from the acquisition and
sale of companies and of fixed assets.
Cash flow from the acquisition and sale of
companies is presented separately.
Cash flow from financing comprises cash
flow from the raising of loans and instalments on interest-carrying loans as well as
share issues and dividend to shareholders.
Liquid funds comprise bank deposits.
In tables, figures stated in brackets indicate
items to be deducted or negative results.
Profit and loss account
(in million DKK)
Note
Group
2000
1
Net turnover
Cost of sales
Gross profit
Result of group companies before tax
2
21
9
3
4
5
3,161.3
(2,623.0)
2000
1999
-
-
-
735.8
538.3
-
-
-
-
113.6
60.9
(317.3)
(198.7)
(57.4)
9.4
(250.5)
(146.3)
(46.0)
6.6
(23.1)
(15.1)
(9.5)
37.5
(20.2)
(11.9)
(8.3)
37.1
Costs, net
(564.0)
(436.2)
(10.2)
(3.3)
Operating profit
171.8
102.1
Financial items:
Result of shares in associated companies
Income from financial fixed assets
Financing income
Financing costs
0.4
31.6
(103.6)
0.0
0.0
19.9
(70.6)
4.0
11.0
(18.2)
0.0
2.7
7.1
(16.0)
(71.6)
(50.7)
(3.2)
(6.2)
Profit on ordinary activities before tax
24
1999
Costs:
Staff costs
Other distribution and administrative costs
Depreciation and amounts written off fixed assets
Other operating income
Financial items, net
6
4,585.3
(3,849.5)
Parent Company
57.6
51.4
100.2
51.4
(32.1)
(12.0)
(32.1)
(12.0)
Profit on ordinary activities after tax
68.1
39.4
68.1
39.4
Extraordinary income after tax
15.6
0.0
15.6
0.0
Result for the year
83.7
39.4
83.7
39.4
Tax on ordinary result
100.2
103.4
27
(in million DKK)
Note
Group
Parent Company
2000
1999
2000
1999
58.3
48.8
0.0
0.0
234.0
19.3
81.9
2.8
230.8
13.4
87.2
4.4
24.0
0.0
6.0
0.0
54.6
0.0
8.4
0.0
338.0
335.8
30.0
63.0
3.9
1.6
1.7
57.9
3.9
2.5
1.7
75.0
577.5
0.0
110.0
0.0
37.5
361.2
0.0
70.0
0.0
48.1
65.1
83.1
725.0
479.3
461.4
467.7
755.0
542.3
885.7
36.3
775.1
47.7
0.0
0.0
0.0
0.0
922.0
822.8
0.0
0.0
622.0
52.3
9.2
545.2
52.4
6.5
0.0
190.2
4.6
1.0
0.0
246.6
2.2
0.5
683.5
604.1
195.8
249.3
7.2
14.5
0.0
0.0
Total current assets
1,612.7
1,441.4
195.8
249.3
Total assets
2,074.1
1,909.1
950.8
791.6
ASSETS:
Fixed assets:
7
7
8
9
10
11
Intangible fixed assets:
Goodwill
Tangible fixed assets:
Land and buildings
Plant and machinery
Rolling stock and equipment
Tangible fixed assets under construction
Financial fixed assets:
Investments in group companies
Investments in associated companies
Other securities and investments
Loans to group companies
Loans to associated companies
Deferred tax asset
Total fixed assets
Current assets:
Stocks:
Commercial goods and manufactured goods
Prepayment for goods
Debtors:
Trade debtors
Amounts owed by group companies
Other debtors
Prepayments and accrued income
Cash funds
28
(in million DKK)
Note
Group
Parent Company
2000
1999
2000
1999
LIABILITIES AND EQUITY:
12
13
14
15
Equity:
Share capital Parent Company
Premium fund Parent Company
Net revaluation according to the equity method
Retained earnings
171.6
102.9
328.9
119.0
59.9
258.5
171.6
102.9
25.5
303.5
119.0
59.9
16.5
242.0
16
Total equity
603.4
437.4
603.4
437.4
11
Provisions:
Deferred tax
Integration projects
9.4
0.0
6.3
7.2
0.0
0.0
0.0
0.0
9.4
13.5
0.0
0.0
112.7
293.3
133.7
222.6
27.0
217.3
61.9
130.0
406.0
356.3
244.3
191.9
783.2
120.8
5.9
12.6
132.9
-
671.0
137.4
11.3
8.7
131.3
142.2
24.8
2.0
0.9
69.3
0.0
19.7
0.0
37.7
2.1
3.3
103.0
0.0
16.2
0.0
1,055.3
1,101.9
103.1
162.3
Total liabilities
1,461.3
1,458.2
347.4
354.2
Total liabilities and equity
2,074.1
1,909.1
950.8
791.6
17
18
11
19
20
21
Creditors: long-term:
Mortgage debt on land and buildings
Bank debt
Creditors: short-term:
Bank debt
Suppliers of goods and services
Current portion of creditors falling due after one year
Amounts owed to group companies
Corporation tax
Other creditors
Debt to EAC
Mortgages
Contingent liabilities
Financial instruments
29
Cash flow statement for the Group
(in million DKK)
Operating profit
Depreciation and amounts written off fixed assets
Reservations and other items without liquid influence
171.8
57.4
24.8
102.1
46.0
11.4
254.0
159.5
(99.0)
(82.9)
(18.6)
(15.2)
(67.3)
(12.4)
18.5
(21.5)
Cash flow from activities before financial items
38.3
76.8
31.6
(103.6)
(8.8)
19.9
(70.7)
(1.5)
Cash flow from operating activity
(42.5)
24.5
Purchase of companies
Investment in and renewal of fixed assets
Divestment of the property at Skagensgade, DK
Investment in other financial fixed assets
(40.5)
(62.7)
45.0
0.9
(142.2)
(29.6)
0.0
0.1
Cash flow from investment activity
(57.3)
(171.7)
Cash flow from operations and after investments
(99.8)
(147.2)
Extension of capital
Repayment of creditors: long-term
Raising of mortgage debt
Change in bank debt
Debt to EAC
Dividend paid in the past year
95.5
(28.4)
0.0
183.1
(142.2)
(15.5)
0.0
(28.5)
0.7
37.7
142.2
0.0
Cash flow from financing activity
92.5
152.1
Change in liquid funds
(7.3)
4.9
Liquid funds as at 1 January
14.5
9.6
7.2
14.5
Liquid funds as at 31 December
30
1999
Change in working capital:
Stocks
Debtors from sales
Suppliers of goods and services
Other operating debts, net
Financial income
Financial charges
Corporation tax paid
23
2000
Notes to consolidated accounts and annual accounts of Parent Company
(in million DKK)
Group
1
1999
2,313.4
1,184.3
1,206.6
1,163.5
1,071.7
1,035.0
4,704.3
3,270.2
Intra-group share of turnover
Total
Turnover outside Denmark
(119.0)
(108.9)
4,585.3
3,161.3
60%
46%
295.6
15.7
6.0
236.0
9.7
4.8
107.8
5.2
0.0
94.6
4.1
0.5
317.3
250.5
113.0
99.2
Reimbursement for employees employed in the Parent
Company, but working for the subsidiary companies:
DLH Nordisk A/S, DLH A/S and DLH Træ & Byg A/S
Number of employees on average for the year
1,322
1,158
Number of these working for subsidiaries
Employed by Dalhoff Larsen & Horneman A/S
Remuneration to the Parent Company’s Board and
Management:
Board of Directors
Management
5
(89.9)
(79.0)
23.1
20.2
319
303
(262)
(251)
57
52
1.1
2.8
0.8
2.2
1.1
2.8
0.8
2.2
3.9
3.0
3.9
3.0
4.0
2.7
Income from financial fixed asset investments:
Interest receivable from group companies
4
1999
Staff costs:
Salaries and wages
Pension contribution
Social security costs
3
2000
Net turnover:
Allocation of net turnover per division:
Hardwood Division
Retail Division
2
Parent Company
2000
Financing income:
Interest receivable from group companies
Other financing income
Financing costs:
Interest paid to group companies
Other financing costs
31.6
19.9
10.9
0.1
7.1
0.0
31.6
19.9
11.0
7.1
103.6
70.6
0.9
17.3
2.8
13.2
103.6
70.6
18.2
16.0
31
(in mllion DKK)
Group
2000
6
Tax on profit from ordinary activities:
Current tax
Adjustment of deferred tax
Tax in subsidiaries
Danish subsidiaries’ contribution to joint tax
Adjustment of effective tax rate
Tax rate on Denmark
Non deductable costs
Lower tax in foreign subsidiaries
1999
2000
Parent Company
1999
(15.2)
(16.9)
-
(3.1)
(8.9)
-
0.0
(9.6)
(35.6)
13.1
0.0
0.0
(12.0)
-
(32.1)
(12.0)
(32.1)
(12.0)
32.0
1.0
(0.3)
32.0
1.0
(9.7)
(32.7)
23.3
Fixed Assets:
Goodwill
7
Group:
Acquisition 1.1.2000
Adjustment in connection with
change in accounting policies
Reclassifications
Exchange rate adjustment
Additions from acquisition of
companies
Additions during the year
Disposals during the year
Cost of acquisition 31.12.2000
Plant
and
machinery
Rolling
stock and
equipment
174.1
Tangible fixed
assets under
construction
305.1
54.8
0.5
0.6
1.7
2.5
4.3
2.6
15.1
(8.0)
1.6
0.1
0.2
15.1
(1.9)
6.9
15.3
-
15.1
27.6
(45.0)
7.0
(5.0)
0.8
36.4
(18.6)
2.7
(4.6)
15.9
73.7
(73.2)
77.4
307.0
201.4
2.8
63.7
4.4
54.3
12.2
(0.2)
0.0
7.1
128,6
41.4
98.5
574.9
268.5
3.5
(2.9)
1.1
3.5
(1.2)
3.1
1.7
0.6
1.4
10.8
6.1
33.4
50.3
(14.4)
(4.5)
(14.1)
(33.0)
Depreciation 31.12.2000
19.1
127.3
44.4
119.5
Book value 31.12.2000
58.3
234.0
19.3
81.9
538.4
54.3
291.2
2.8
Book value of loan costs are included under land and buildings in the amount of DKK 0.7 million.
Book value of fixed assets under finance leases as at 31 December 2000 amount to DKK 10 million.
According to the official assessment as at 1 January 2000, properties in Denmark are valued at DKK 206.8 million
(book value as at 31 December 2000: DKK 182.4 million).
32
Tangible
fixed assets
in total
61.0
Revaluation 1.1.2000
and 31.12.2000
(Revaluation made in 1994)
Depreciation and amounts
written off 1.1.2000
Adjustment in connection with
change in accounting policies
Reclassifications
Exchange rate adjustment
Depreciation and amounts written
off during the year
Reversal of depreciation charge
on assets sold
Land and
buildings
338.0
(in million DKK)
Parent Company:
Land and
buildings
Rolling
stock and
equipment
97.0
0.4
(42.3)
29.2
5.1
(0.2)
Transferred to another Group company
-
-
55.1
34.1
Revaluation 1.1. and 31.12.2000
Depreciation for the year
Reversal of depreciation, assets sold
7.0
49.4
2.2
(13.5)
20.8
7.4
(0.1)
38.1
28.1
Book value 31.12.2000
24.0
6.0
Transferred to another Group company
Book value of loan costs are included under land and buildings in the amount of DKK 0.3 million.
According to the official assessment as at 1 January 2000, properties in Denmark are valued at
DKK 57.1 million (book value as at 31 December 2000: DKK 24.0 million).
Parent Company
8
Investments in Group companies:
Intra-group disposals
318.1
290.0
(56.1)
552.0
Value adjustment 1.1.2000
Adjustment in connection with change in accounting policies
Value adjustment during the year
Intra-group disposals
16.5
26.6
55.6
(73.2)
25.5
Total
577.5
Investments in Group companies include:
(All companies are 100% owned)
DLH Nordisk A/S
DLH A/S
DLH Træ & Byg A/S
KPT Holding A/S
Registered address
Høje Taastrup
Høje Taastrup
Høje Taastrup
Høje Taastrup
Share
DKK
DKK
DKK
DKK
capital
50.0 million
25.5 million
40.0 million
54.0 million
33
(in million DKK)
Group
9
Investments in associated companies:
8.5
(0.3)
8.2
Value adjustment during the year
(4.6)
0.3
(4.3)
Total
3.9
The investment comprises the following companies:
Registered
office
Boplac S.A.
Dansk Emne Produktion A/S
Houtopslag-maatschappij, Flushing, NL
Congo
Herskind
Holland
Ownership
share %
43.5
50.0
50.0
Share capital
(100%)
CFA 500 million
DKK 500,000
NLG 1,000
The investment in Boplac S.A. has been included with zero value. The annual accounts for Boplac S.A. for the year 2000 are expected to show the result and the equity to be negative. No guarantees of further injection of funds have been given. Due to the
civil war in the Congo Republic, the company is without activity.
The annual accounts for Dansk Emne Produktion A/S for the year 2000 show a profit of DKK 0 million and equity of DKK 0.9
million. Houtopslag-maatschappij, NL, has produced profits of DKK 0.8 million and an equity of DKK 7.0 million.
Group
2000
10
11
Other securities and capital shares:
Costs of acquisition 1.1.2000
2.5
0.2
(1.1)
1.6
0.0
0.0
0.0
0.0
Tax in the balance sheet:
Corporation tax due
Beginning of year
Charge for the year
Tax paid
Reclassification, deferred tax
Year-end
(8.7)
(15.2)
8.0
3.3
(12.6)
0.0
0.0
0.0
0.0
Deferred tax, net asset:
Beginning of year, debt
Change of accounting policies, beginning of year
Adjustment for the year
Reclassification, current tax
Year-end
(6.3)
75.0
(16.9)
(3.3)
48.5
0.0
47.1
(9.6)
37.5
57.9
(9.4)
48.5
37.5
0.0
37.5
16.2
12.6
19.7
48.5
17.8
0.0
19.7
37.5
Consists of:
Deferred tax asset
Deferred tax liability
The deferred tax asset is attributable to
temporary differences relating to:
Fixed assets
Current assets
Tax losses brought forward
34
Parent Company
2000
(in million DKK)
Group
12
Share capital in Parent Company:
Share capital 1.1.
Capital increase
The share capital consists of:
A-shares: 187,500 at a nominal value of DKK 100
B-shares: 1,528,720 at a nominal value of DKK 100
13
Premium fund in Parent Company:
Premium fund account 1.1.
Capital increase
Premium fund account 31.12.
14
15
18
119.0
52.6
119.0
0.0
119.0
52.6
119.0
0.0
171.6
119.0
171.6
119.0
18.8
152.8
18.8
100.2
18.8
152.8
18.8
100.2
171.6
119.0
171.6
119.0
59.9
43.0
59.9
0.0
59.9
43.0
59.9
0.0
102.9
59.9
102.9
59.9
16.5
9.0
35.2
(18.7)
Balance 31.12.
25.5
16.5
Retained earnings:
Balance 1.1.
Changed accounting policies applied
168.3
90.2
135.8
84.0
151.8
90.2
100.6
84.0
Adjusted balance 1.1.
258.5
219.8
242.0
184.6
Balance 31.12.
17
1999
Net revaluation according to the equity method:
Balance 1.1.
Value adjustments during the year
Currency translation, foreign subsidiaries
Transferred from net revaluation according
to the equity method, cf. note 14
Profit for the year
Dividend for the previous year
16
Parent Company
2000
1999
2000
Equity of the Group:
Equity 1.1.
Changed accounting policies applied:
Deferred tax asset
Dividend for the previous year
Capitalisation of assets under finance leases
2.3
83.7
(15.5)
(0.7)
39.4
328.9
258.5
347.2
314.7
75.0
15.5
(0.3)
2.3
(9.0)
83.7
(15.5)
(0.7)
18.7
39.4
303.5
242.0
84.0
0.0
-
Adjusted equity 1.1.
Capital increase
Currency translation, foreign subsidiaries
Group profit for the year
Dividend paid
437.4
95.5
2.3
83.7
(15.5)
398.7
(0.7)
39.4
-
Equity 31.12.
603.4
437.4
Long-term debt includes creditors falling due
more than 5 years after the balance sheet date
107.7
122.0
28.6
47.3
Current portion of creditors falling due after one year:
Mortgage debt
Bank debt
5.9
0.0
11.3
0.0
0.9
0.0
3.3
0.0
Total
5.9
11.3
0.9
3.3
35
(in million DKK)
Group
19
20
Parent Company
2000
1999
2000
1999
Mortgaging:
Properties:
In addition to the mortgage debt in the Group and Parent
Company, mortgages have been secured against Danish
properties for
20.8
0.0
13.8
0.0
Letters of indemnity registered on properties,
credit institutions
22.0
47.0
0.0
25.0
Bills receivable discounted with foreign
credit institutions
50.1
59.5
-
-
751.8
475.4
4.0
4.0
4.0
Contingent liabilities:
Guarantee obligations in favour of subsidiaries, maximum
in addition to the bank debt stated in the balance sheet
The increase in the guarantee obligations of the Parent
Company is primarily due to the fact that, following the close
of the annual accounts for 1999, guarantee obligations were
issued in favour of the acquired EAC Timber of DKK 279 million.
Guarantee obligations in favour of others, maximum
4.0
Leasing commitment:
The Parent Company has concluded a 20-year operating lease relating to the head office in Taastrup. The current value of the
leasing commitment amounts to DKK 45 million. The Company is entitled to, but not obliged to terminate the lease after the 7th or
the 10th year at which time the property may be acquired at a fixed price.
21
Financial instruments:
Foreign exchange risks:
The Group’s foreign exchange risks are related to the following items
(book value)
Currency
Payment/
receivable
Outstanding
Debt
Capital interests
EUR
USD
GBP
PLN
Others
0-12 mths
0-12 mths
0-12 mths
0-12 mths
0-12 mths
63
98
2
0
14
(31)
(95)
4
0
(24)
88
28
7
17
0
Forward
exhange contracts
(45)
(47)
(7)
0
(1)
Net
position
75
(16)
6
17
(11)
Interest risk:
The Group’s foreign exchange risk is related to the following items
(book value)
0-1 year
Financial liabilities:
Interest-bearing short-term debt
Long-term mortgage debt
Other long-term fixed-interest debt
Financial instrument not
included in the balance sheet:
Interest swap (variable at fixed interest)
36
Revaluation or maturity, if earlier
1-5 years
>5 years
Total
815
0
0
0
30
262
0
82
6
815
112
268
815
292
88
1,195
50
0
0
50
(in million DKK)
Credit risk:
2000
Book value
Trade debtors
Prepayment for goods
Maximum credit risk
622
36
321
36
The maximum credit risk expresses the book value of creditors less outstanding
receivables that are covered by credit insurance or otherwise secured.
Commercial values:
For the financial instruments below the commercial value deviates from the
value that is included in the Group balance sheet as at 31 December 2000.
2000
Book value
Mortgage debt: long-term 1)
Forward exchange contracts 2)
Interest swap
Commercial value
112.6
0.0
0.0
113.5
0.3
(0.2)
All the main financial assets have been included at the market value as at the balance sheet date.
1)
Of the difference between the book value and the commercial value inconvertible mortgages amount to DKK 0.6 million.
The portfolio of loans is regularly assessed with a view to conversion or refinancing.
2)
Relates to already completed purchases and sale of goods for delivery in the new year.
No foreign exchange hedging has been made for budgeted purchases or sales.
Group
22
23
Remuneration of Parent Company
to auditors elected by the General Meeting:
2000
1999
Auditors:
KPMG C.Jespersen
State authorized public accountant Erik Lund
0.3
0.1
0.3
0.1
Other services:
KPMG C.Jespersen
1.8
0.6
2.2
1.0
1999
Acquisition of enterprises:
Fixed assets
Current assets
Debt
24
2000
Parent Company
(30.8)
(14.6)
4.9
(67.9)
(385.4)
311.1
(40.5)
(142.2)
Extraordinary income:
Proceeds from the sale of the property at Skagensgade
Tax on proceeds
16.3
(0.7)
16.3
(0.7)
Extraordinary income
15.6
15.6
37
Business units of the Group as at 1 March 2001
HARDWOOD DIVISION
DLH Nordisk A/S
Skagensgade 66, 2630 Taastrup
DLH Timber (UK) Ltd
88 Main Road, Sundridge,
Sevenoaks, Kent TN14 6ER,
the UK
DLH Nordisk, Inc.
2211 West Meadowview Road, Suite
10, Greensboro, NC 27407-3408,
USA
INDUFOR N.V.
Noorderlaan 125, 2030 Antwerp,
Belgium
DLH Nordisk (Holland) B.V.
Denemarkenweg 1, Haven no. 3501,
4389 PE Flushing-Oost,
the Netherlands
Nordisk Holz G.m.b.H.
Valentinskamp 24, 20354
Hamburg, Germany
Nordisk Bois S.A.R.L.
Rue de l’Ile aux Moutons,
Zone Industrielle de Cheviré,
44101 Nantes Cedex 04, France
INDUBOIS S.A. (Sète)
1, Zone d’Activités de l’Ancien Pont,
La Peyrade, 34110 Frontignan,
France
DLH Nordisk Sp. z o.o.
Ul. Kolobrzeska 3, 78-230 Karlino,
Poland
DLH Nordisk Sp. z o.o. W Karlinie
Oddzial w Ostrowie Wlkp.
Ul. Chlapowskiego 45,
63-400 Ostrów Wielkopolski,
Poland
DLH Drewno Sp. z o.o.
Ul. Chlapowskiego 45,
63-400 Ostrów Wielkopolski,
Poland
Ul. Sosnkowskiego 1d,
02-495 Warsaw, Poland
Modlinska 231, 03-120
Warsaw, Poland
Ul. Dziadoszanska 10,
61-218 Poznan, Poland
Hutnicza 40, 81-061 Gdynia,
Poland
Nordisk Timber Ltda.
Rodovia Augusto Montenegro,
km 11 - Icoaracy
CEP 66.820.000 Belém, Pará, Brazil
DLH Nordisk S.A.R.L.
Rue Saint Jean, Cocody, Quartier St.
Jean, Abidjan 01, République de la
Côte d’Ivoire
DLH Nordisk A/S
Room 1403, Century Square,
1-13 D’Aguilar Street, Central,
Hong Kong, China
DLH Nordisk Indonesia
Heidelberg Building, Jl. M.T. Haryono
Kav. 14-16, Cawang, Jakarta 13330,
Indonesia
DLH Nordisk A/S
Representive Office, 2A, Persiaran
Raja Muda Musa Bangunan NTS,
Ground Floor, 42000 Port Kelang,
Selangor Darul Ehsan, Malaysia
B.P. 391, San Pedro,
Rép. de la Côte d’Ivoire
DLH Nordisk A/S
Representative Office,
P.O. Box 10705,
88807 Kota Kinabalu,
Sabah, Malaysia
Nordisk Gabon S.A.
B.P. 18003, Libreville/Owendo,
Rép. du Gabon
DLH Nordisk A/S
Nográdyho 14, 960 01 Zvolen,
Slovakia
B.P. 1246, Pointe Noire, Rép. du Congo
DLH Nordisk A/S
Representative Office in Ukraine,
Grabovsky 11/316,
79000 Lviv, Ukraine
Ul. Andrzeja Stuga 42, 70-784
Szczecin, Poland
DLH Nordisk
B.P. 4144, Douala, Cameroon
DLH Drewno Sp. z.o.o.
Ul. Plonów 21, 41-200 Sosnowiec,
Poland
DLH Nordisk A/S
Representative Office, 8 Ixia Street,
Hout Bay 7800, South Africa
Chrobrego 145/147, 87-100 Torun,
Poland
Wasma International
Opp. Dr. Baksh Hospital, Sitteen
Road, Sharafia Dist., Jeddah,
Saudi Arabia
DLH A/S
Sales centre Engesvang (DLH Finer)
Løhdesvej 10, 7442 Engesvang
DLH A/S
96, Obvodniy Kanal Ave.,
163045 Archangel, Russia
DLH A/S
Molokova Str. 7-402,
660077 Krasnoyarsk, Russia
Sales centre Gadstrup
Finervej, Boks 39, 4621 Gadstrup
Warehouse Støvring
Hæsumvej 82, 9530 Støvring
Sales centre Hedensted
Løsningvej 30, 8722 Hedensted
Nordic Wood & Board AB
Ollebo Gård, 230 44 Bunkeflostrand,
Sweden
DLH A/S
Komsomolsky pr. 65-16,
Perm 614039, Russia
DLH A/S
4, Oktyabrskaya Str.,
220023 Grodno, White Russia
DLH A/S
Pyatnitskaya str., 39/1, Office No. 1,
156601 Kostroma, Russia
DLH A/S
Zastoupeni CR a SR,
Prosecká 24, 180 00 Praha 8,
the Czech Republic
INDUBOIS S.A.
Zone de Cheviré Aval,
Rue de l’Ile aux Moutons,
44340 Bouguenais, France
DLH Nordisk (France) S.A. (Sète)
1, Zone d’Activités de l’Ancien Pont,
La Peyrade, 34110 Frontignan,
France
DLH Nordisk A/S
Representative Office,
Biloruska 28/6, 04050 Kiev,
Ukraine
TIMBER & BOARD DIVISION
Sales centre Hørning
Nydamsvej 22, 8362 Hørning
o
RETAIL DIVISION
DLH Træ & Byg A/S
Træ & Byg A/S
Odinsvej 2, 7200 Grindsted
Træ & Byg A/S
Svensgaardsvej 9, 6980 Tim
ProTræ Lendemark a/s
Lendemark 42, 6372 Bylderup-Bov
C&N Trælasthandel A/S
Mineralvej 10-16, 9100 Aalborg
Træ & Byg A/S
Kløvermarken 17, 7190 Billund
Træ & Byg A/S
Industrivangen 1, 4550 Asnæs
Tune Trælasthandel A/S
Industrisvinget 1-5, Tune,
4000 Roskilde
C&N Vinderup A/S
Parallelvej 1, 7830 Vinderup
Træ & Byg A/S
Storegade 48, 6640 Lunderskov
ProTræ Skodborg a/s
Røddingvej 8, Skodborg,
6630 Rødding
C&N Jerslev
Mandøgade 4, 9740 Jerslev J.
Træ & Byg A/S
Industrivej 2, 6840 Oksbøl
C&N Rødkjærsbro A/S
Håndværkervej 6, 8840 Rødkærsbro
Træ & Byg A/S
Gytjevej 10, 6960 Hvide Sande
C&N Nuuk A/S
Industrivej 14, 3900 Nuuk,
Greenland
Træ & Byg A/S
Vesterhavsvej 37, 6830 Nr. Nebel
Træ & Byg A/S
Ndr. Boulevard 86, 6800 Varde
38
ProTræ Vamdrup a/s
Bavnevej 32, 6580 Vamdrup
ProTræ Vejle a/s
Tulipvej 2, 7100 Vejle
ProTræ Odense a/s
Energivej 17, 5260 Odense S.
Karlslunde Trælast A/S
Motorgangen 1-5, 2690 Karlslunde
Solrød Trælast
Solrød Strandvej 18-22,
2680 Solrød Strand
Walter Jessen A/S
Sdr. Ringvej 27, 2605 Brøndby
DLH Worldwide
as at 1 March 2001
Sweden
Greenland
Poland
Ukraine Russia
Archangel
•Lviv
•Kiev
Russia
Kostroma
Russia
Perm
White Russia
Grodno
Germany
Denmark
●
The Netherlands
●
Belgium
●
●●
The UK
● ●● ● ●
France
●
● ●●
• Nantes
●
●
• Sète
●
The Czech Republic
Russia
Krasnoyarsk
O
●
●
Slovakia
USA
●
●
Saudi Arabia
Brazil
Belém
●
●
●
●
The Ivory Coast
●
• Abidjan
• San Pedro
Cameroon ●
Ghana
•Forestry Project
●
Gabon
Congo
Brazil
Forestry Project
●
Indonesia
●
South Africa
DLH Denmark
as at 1 March 2001
O Jerslev
O Ålborg
● Støvring
O Vinderup
Russia
Krasnoyarsk
O Rødkærsbro
O Tim
● Engesvang
O Hvide Sande
● Hørning
Nr. Nebel O
O Grindsted
Oksbøl O
O Varde
O Vejle
● Høje Taastrup
O Brøndby
O Lunderskov
Hong Kong
Skodborg O
O Asnæs
● Hedensted
O Billund
Tune O
Gadstrup●O Karlslunde
O Solrød
O Odense
O Vamdrup
●
Malaysia
Port Kelang
Malaysia
Sabah
●
O Bylderup-Bov
●
●
Indonesia
DLH Poland as at 1 March 2001
● Gdynia
● Karlino
● Szczecin
´
● Torun
●
● Warsaw
´
● Poznan
● Ostrów
● Sosnowiec
DALHOFF LARSEN & HORNEMAN A/S
Skagensgade 66
DK-2630 Taastrup, Denmark
Tel.: +45 43 50 01 00
Fax: +45 43 50 01 90
www.dlh-group.com
e-mail: [email protected]

JPG dansk 3-25

Transcription

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