Investments and acquisitions

The Fresenius Group invested € 931 million in 2009 (2008: € 4,617 million, driven by the acquisition of APP Pharmaceuticals). At € 671 million (2008: € 764 million), investments in property, plant and equipment was well above the level of depreciation of € 562 million and serves as the basis for preserving the Company’s value over the long term and for expansion. At 4.7 % of sales, investments returned to our targeted long-term level in 2009 after the high capital expenditure in 2007 and 2008, equivalent to 6.2 % of sales in each case. € 260 million was invested in acquisitions (2008: € 3,853 million). Of the total capital expenditure in 2009, 72 % was invested in property, plant and equipment; 28 % was spent on acquisitions.

Investments and Acquisitions


in million € 2009 2008 Change
Investment in property, plant and equipment 671 764 - 12 %
thereof maintenance 50 % 49 %  
thereof expansion 50 % 51 %  
Investment in property, plant and equipment as % of sales 4.7 % 6.2 %  
Acquisitions 260 3,853 - 93 %
Total investments and acquisitions 931 4,617 - 80 %

in million € 2009 2008 Change
Investment in property, plant and equipment 671 764 - 12 %
thereof maintenance 50 % 49 %  
thereof expansion 50 % 51 %  
Investment in property, plant and equipment as % of sales 4.7 % 6.2 %  
Acquisitions 260 3,853 - 93 %
Total investments and acquisitions 931 4,617 - 80 %

The table shows the distribution of investments by business segment. The pie chart shows the regional breakdown.

The cash outflows for acquisitions related mainly to the acquisition of dialysis clinics at Fresenius Medical Care. At Fresenius Helios, expenditure was for the acquisition of five acute care hospitals. Fresenius Kabi and Fresenius Vamed made no significant acquisitions in 2009.

The main investments in property, plant and equipment were as follows:

  • start-up of 118 de novo dialysis clinics, of which 85 were in the United States, and expansion and modernization of existing clinics for Fresenius Medical Care
  • expansion and modernization of production facilities for Fresenius Medical Care, including the expansion of production capacities for dialysis products in Germany in response to strong global demand, and for Fresenius Kabi in different regions
  • hospital modernization at Fresenius Helios. The largest single projects were the HELIOS clinics in Berlin-Buch, Krefeld, and Schwerin.

Investments in property, plant and equipment of € 181 million will be made in 2010 to continue with major ongoing investment projects on the reporting date. These are chiefly investment obligations for hospitals at Fresenius Helios as well as investments to expand and optimize production facilities for Fresenius Medical Care and Fresenius Kabi. These projects will be financed from operating cash flow.

Investments by Business Segment


in million € 2009 2008 Thereof property,
plant and
equipment
Thereof
acquisitions
Change % of total
Fresenius Medical Care 549 687 411 138 - 20 % 59 %
Fresenius Kabi 157 3,749 125 32 - 96 % 17 %
Fresenius Helios 203 140 124 79 45 % 22 %
Fresenius Vamed 7 39 5 2 - 82 % 1 %
Corporate / Other 15 2 6 9 -- 1 %
Total 931 4,617 671 260 - 80 % 100 %

in million € 2009 2008 Thereof property,
plant and
equipment
Thereof
acquisitions
Change % of total
Fresenius Medical Care 549 687 411 138 - 20 % 59 %
Fresenius Kabi 157 3,749 125 32 - 96 % 17 %
Fresenius Helios 203 140 124 79 45 % 22 %
Fresenius Vamed 7 39 5 2 - 82 % 1 %
Corporate / Other 15 2 6 9 -- 1 %
Total 931 4,617 671 260 - 80 % 100 %

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Assets and liabilities

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