The Company has announced a Shareholder Value Enhancement Program, which is comprised of an ongoing capital management program providing for the distribution of significant funds to shareholders and the proposed formation of a Shareholder Committee to report directly to the Executive and Supervisory Boards. An initial share buy back is scheduled to commence on Wednesday, April 13, as previously announced.
During the period beginning with the IPO in February 2001 and ended on 21 October 2004 - prior to the first public speculation about the Company’s proposal to acquire the LSE - Deutsche Börse’s share price outperformed all but two members of the DAX and all but one member of the Dow Jones Industrial Average (DJIA). In the period beginning 22 October 2004 and ended 8 April 2005, the company’s share price increased by more than 50 percent and in 2005 the share price already has increased by 34 percent.
Last week, the Company rejected demands by The Children’s Investment Fund Management (TCI) for an "immediate and wholesale change" in Supervisory Board membership and asked TCI to support the Company’s plans for an orderly Board transition in the elections scheduled for 2006.
Werner G. Seifert, CEO of Deutsche Börse, said, "Over the past two years, we have benefited from the contributions of Supervisory Board members with extensive industry experience, including in-depth knowledge of Deutsche Börse’s operations. Our success in 2005 will be enhanced by a continuation of this arrangement."
Commenting further, Breuer said, "In line with past practice, we will be seeking shareholder input with respect to the composition of the Supervisory Board and the selection of Board members for election in 2006. We have asked TCI to join with us and other shareholders in promoting the success of an orderly transition."
At the AGM, Deutsche Börse shareholders will consider and vote on, among other things, proposals to approve the actions of the Executive and Supervisory Boards in fiscal year 2004, renew an authorization to buy back up to ten percent of the company’s shares and the cancellation of existing authorized capital and creation of new authorized capital. In addition the Supervisory and Executive Boards will propose to resolve more flexible terms of office for Supervisory Board members in accordance with a new recommendation in the German Corporate Governance Code.
