Strategy – Expanding Our Leading Position

• Taking Advantage of the Industry's Best Start-up Position in Threshold and Industrialized Countries
• Greater Need to Catch Up in Printing Press Investments in the Industrialized Countries
• Further Reducing Dependence on Cyclical Fluctuations through the Services Business
• Improvement of Positioning in the Market for Short Print Runs through Cooperation with a Digital Printing Press Manufacturer

Heidelberg has overcome the worst crisis in its corporate history and preserved its strong position in a tough competitive environment. The Group has a new, highly efficient, and customer-driven organization, and its cost structures have been adapted to the changed market conditions. In the end, we implemented the right strategy during the crisis: competitive products and services, a strong presence in newly industrializing countries, dedication to less cyclical segments such as services and consumables, and the expansion of business with packaging print shops.
The print media industry is also recovering in the industrialized countries. We will make use of our strong market position to benefit to a greater extent than our competitors. The capital increase and the successful refinancing have served to enhance the Group's financial stability. These measures are an important signal for the Group's turnaround and also serve to improve our ability to respond to new situations.

As at: July 2011