Beiersdorf AG

Interim / Quarterly Report • Aug 7, 2009

Interim Report

January – June 2009

Beiersdorf strengthens Asia business: New NIVEA factory opened in Shanghai.

Contents

• 03 Business Developments Overview
• 04 Segment Overview
• 05 Beiersdorf's Shares

Interim Management Report – Group

• 06 Results of Operations Group
• 07 Results of Operations Business Segments
• 11 Balance Sheet Structure Group
• 12 Financial Position Group, Employees
• 13 Other Disclosures, Opportunities and Risks
• 14 Outlook for 2009

highlights

(1) James C. Wei strengthens Beiersdorf 's Executive Board. Beiersdorf is driving forward its regional focus and has appointed James C. Wei, 52, as an additional Executive Board member for Asia (China, Singapore/Malaysia, Thailand, Indonesia, Korea, and India) as of June 1, 2009. Mr. Wei, who is from Taiwan, will also take over functional responsibility for the newly formed "New Distribution Channels" area.

(2) Updated Sustainability Report online.

At the end of April, Beiersdorf published its new Sustainability Report at www.Beiersdorf.com/ Sustainnability. The Report provides again extensive information on all aspects of how the Company discharges its responsibilities in the areas of sustainable business management, environmental protection and occupational safety, employees and society.

(3) New look for Beiersdorf website.

In mid-July, Beiersdorf launched its new-look Internet presence at www.Beiersdorf.com. The innovative navigational concept guides users to the information they are looking for quickly and intuitively. The website's light and airy design also reinforces Beiersdorf's image as a leading skin and beauty care company.

(4) NIVEA launches "Germany turns blue" campaign.

NIVEA – Germany's bestselling beauty care brand * – surprised its German customers with an unique marketing and retail campaign: At the end of June, 15 million households received the "NIVEA No. ONE Shopping Bag" together with a gift coupon by mail. This was NIVEA's way of thanking consumers for the trust they have placed in the brand.

* GfK / Gesellschaft für Konsumforschung, Germany, cosmetics and body care, 2008 sales.

about the cover

Beiersdorf strengthens Asia business: New NIVEA factory opened in Shanghai.

In June, Beiersdorf opened a new state-of-the-art production facility in Shanghai. €18 million was invested in the location. The factory, which in future will supply both China and other Asian countries with NIVEA products that are specially developed for this market, will initially have an annual output of 15,000 tonnes. A further expansion phase will enable capacity to be increased to up to 25,000 tonnes per year. In order to meet the growing demand for body care products in Asia, Beiersdorf has also in vested in the NIVEA factory in Bangplee (Thailand) – production capacity here has been doubled to 31,000 tonnes per year. These measures are aimed at systematically expanding Beiersdorf's market position in the key Asian growth market.

Interim Consolidated Financial Statements

• 15 Income Statement, Statement of Comprehensive Income
• 16 Balance Sheet
• 17 Cash Flow Statement
• 18 Selected Explanatory Notes, Responsibility Statement by the Executive Board
• 19 Financial Calendar, Contact Information

Business Developments – Overview

Business developments in line with current expectations

• » Consumer sales (organic) +0.3% above previous year
• » tesa maintains strong position despite difficult environment
• » Group EBIT margin of 9.9%
• » Consolidated profit after tax of €189 million

Outlook for Fiscal Year 2009

• » Consumer sales (organic) up on previous year
• » Consumer EBIT margin above 10%
• » Challenging business trend at tesa to continue

Beiersdorf at a Glance

(in € million, unless otherwise stated)

Jan. 1–June 30, 2008	Jan. 1–June 30, 2009
3,091	2,941
8.3	–2.8
11.5	–4.5
8.5	–4.8
2,649	2,593
442	348
407	291
392	291
292	189
9.4	6.4
1.28	0.82
292	223
65	59
72	73
22,296	21,700

Jan. 1–June 30 Full year Return on sales after tax * in % 8.6 8.2 8.8 9.1 6.4 200 0 400 600 2007 486 244 2008 490 282 189 2009

profit after tax * (in € million)

Segment Overview

Business Developments by Business Segment

sales	Apr. 1–June 30, 2008		Apr. 1–June 30, 2009		Jan. 1–June 30, 2008		Jan. 1–June 30, 2009			Change in %
(in € million)		% of total		% of total		% of total		% of total	nominal	adj. for curr. trans. effects
Consumer	1,350	86.1	1,326	88.2	2,649	85.7	2,593	88.2	–2.1	–1.8
tesa	218	13.9	177	11.8	442	14.3	348	11.8	–21.2	–21.0
Total	1,568	100.0	1,503	100.0	3,091	100.0	2,941	100.0	–4.8	–4.5
ebitda (in € million)	Apr. 1–June 30, 2008		Apr. 1–June 30, 2009		Jan. 1–June 30, 2008		Jan. 1–June 30, 2009			Change in %
		% of sales		% of sales		% of sales		% of sales		nominal
Consumer	207	15.3	162	12.2	399	15.1	328	12.7		–17.7
tesa	30	13.9	12	6.3	60	13.6	18	5.1		–70.3
Total	237	15.1	174	11.5	459	14.8	346	11.8		–24.6
operating result (ebit) (in € million)	Apr. 1–June 30, 2008		Apr. 1–June 30, 2009		Jan. 1–June 30, 2008		Jan. 1–June 30, 2009			Change in %
		% of sales		% of sales		% of sales		% of sales		nominal
Consumer	185	13.7	140	10.6	358	13.5	284	11.0		–20.7
Consumer (excluding special factors) *	172	12.7	140	10.6	343	12.9	284	11.0		–17.1
tesa	25	11.3	6	3.2	49	11.1	7	2.0		–85.9
Total	210	13.4	146	9.7	407	13.2	291	9.9		–28.5
Total (excluding special factors) *	197	12.5	146	9.7	392	12.7	291	9.9		–25.7
gross cash flow (in € million)	Apr. 1–June 30, 2008		Apr. 1–June 30, 2009		Jan. 1–June 30, 2008		Jan. 1–June 30, 2009			Change in %
		% of sales		% of sales		% of sales		% of sales		nominal

Consumer 99 7.3 96 7.2 247 9.3 206 7.9 –16.8

tesa 22 10.4 10 6.0 45 10.2 17 4.9 –62.0 Total 121 7.7 106 7.0 292 9.4 223 7.6 –23.8

Business Developments by Region

sales	Apr. 1–June 30, 2008		Apr. 1–June 30, 2009		Jan. 1–June 30, 2008		Jan. 1–June 30, 2009		Change in %
(in € million)		% of total		% of total		% of total		% of total	nominal	adj. for curr. trans. effects
Europe	1,118	71.3	1,030	68.5	2,195	71.0	1,992	67.7	–9.3	–6.1
Americas	194	12.4	195	13.0	390	12.6	393	13.4	0.8	–2.1
Africa/Asia/Australia	256	16.3	278	18.5	506	16.4	556	18.9	10.0	0.0
Total	1,568	100.0	1,503	100.0	3,091	100.0	2,941	100.0	–4.8	–4.5
operating result (ebit) (in € million)	Apr. 1–June 30, 2008	% of sales	Apr. 1–June 30, 2009	% of sales	Jan. 1–June 30, 2008	% of sales	Jan. 1–June 30, 2009	% of sales	Change in %	nominal
Europe	196	17.6	146	14.1	373	17.0	279	14.0		–25.4
Europe (excluding special factors) *	183	16.4	146	14.1	358	16.3	279	14.0		–22.2
Americas	2	0.8	–5	–2.3	6	1.5	-	0.1		–93.1
Africa/Asia/Australia	12	4.7	5	1.9	28	5.7	12	2.2		–56.3
Total	210	13.4	146	9.7	407	13.2	291	9.9		–28.5
Total (excluding special factors) *	197	12.5	146	9.7	392	12.7	291	9.9		–25.7

* Excluding special factors due to the realignment of the Consumer Supply Chain. Figures in percent are calculated based on thousands of euros.

Beiersdorf's Shares

Following the sharp economic slowdown in the fi rst three months of the year, the global downturn continued in the second quarter. Although leading indicators recently pointed to an easing of the downtrend, key global economic parameters indicated a further drop in activity. In developed markets, it was mainly the fall in real estate prices and substantial adjustments to balance sheets in the fi nancial services sector that continued to impact market players' confi dence. The decline in demand from these markets had a signifi cant adverse effect on a number of developing regions. For example, China recorded much weaker growth – a trend which, according to observers, would have been even more pronounced if the government had not taken substantial infrastructure measures to stimulate demand. In Latin America, Mexico and Argentina, among other countries, recorded a drop in economic activity; overall, however, the effect of the global recession in this region was relatively limited.

The international stock markets regained their risk appetite in the second quarter as a result of general expectations of an approaching turnaround. Share price volatility decreased, but still remained well above the level before the beginning of the economic crisis. The substantial ongoing uncertainty on the markets with regard to future share price trends was refl ected in a debate about whether the economy – and therefore share prices – would follow an L-, U-, or V-shaped trajectory in the coming months. Toward the end of the quarter, a W-shaped trend was regarded as likely, driven by a decline in the international stock indices. The DAX also recorded another downward trend in June and closed the month at 4,808 points.

Beiersdorf's share price performance in the second quarter saw a clear, lasting market reaction to the Company's ad hoc disclosure on its Q1 results, which was published on April 17. The slowdown in growth in the entire HPC (Household and Personal Care) sector turned out to be sharper than expected; this led to share prices throughout the sector underperforming overall market indices. Beiersdorf's shares, too, trailed the DAX for the entire quarter, offering investors a good opportunity to take initial positions. This was another reason why demand on the capital markets for information about Beiersdorf was extremely high in the second quarter, and was refl ected among other things in a large number of discussions between the management and investors at conferences in Paris, Stockholm, and Luxembourg. In the course of the second quarter, our shares recovered some of the losses they experienced after the publication of our quarterly results and closed the gap to the DAX slightly to fi nish Q2 at €33.51.

Beiersdorf.com / IR

Results of Operations – Group Interim Management Report – Group

• » Sales (organic) 2.8% below prior year
• » EBIT margin of 9.9%
• » Profit after tax of €189 million

Group sales, adjusted for currency translation effects and excluding prior-year sales by our divestments (the BODE Group and the Futuro business), decreased by 2.8% in the fi rst six months as against the prior-year fi gure. The organic trend in the Consumer business segment was 0.3% above the previous year, while tesa recorded a 21.0% decline in sales. Adjusted for currency translation effects only, the decline in group sales amounted to 4.5%. At current exchange rates, they were down by 4.8% as against the prior year, at €2,941 million (previous year: €3,091 million).

income statement (in € million)

	Jan. 1–June 30, 2008	Jan. 1–June 30, 2009
Sales	3,091	2,941
Cost of goods sold	–994	–951
Gross profi t	2,097	1,990
Marketing and selling expenses	–1,467	–1,439
Research and development expenses	–72	–73
General and administrative expenses	–142	–145
Other operating result	–24	–42
Operating result (EBIT, excluding special factors)	392	291
Special factors relating to the realignment of the Consumer Supply Chain	15	-
Operating result (EBIT)	407	291
Financial result	20	3
Profi t before tax	427	294
Income taxes	–135	–105
Profi t after tax	292	189
Basic/diluted earnings per share (in €)	1.28	0.82

The operating result (EBIT) amounted to €291 million (previous year excluding special factors: €392 million). The corresponding EBIT margin was 9.9% (previous year: 12.7%). While maintaining investments in marketing and research and development, Beiersdorf initiated cost-saving and costreducing measures to safeguard EBIT.

The fi nancial result amounted to €3 million (previous year: €20 million). The decrease is primarily caused by lower interest rates and the switching of a large proportion of cash funds from bank deposits to securities whose gains or losses will in some cases only be recognized in profi t or loss when they are sold.

Profi t after tax amounted to €189 million (previous year: €292 million); the corresponding return on sales after tax was 6.4% (previous year: 9.4%).

Earnings per share were €0.82 on the basis of 226,818,984 shares (previous year: €1.28).

Results of Operations – Business Segments

Consumer

• » Sales by Consumer business segment up slightly on previous year on a like-for-like basis
• » Consumer EBIT margin of 11.0%

Europe Americas Africa/Asia/ Australia Total Sales 2009 1,734 355 504 2,593 Change (organic) –1.7% 5.5% 4.6% 0.3% Change (adjusted for currency translation effects) –3.7% 0.1% 4.4% –1.8% Change (nominal) –7.1% 2.9% 15.0% –2.1% EBIT 2009 279 –1 6 284 EBIT margin 2009 16.1% –0.2% 1.2% 11.0% EBIT 2008 * 324 2 17 343 EBIT margin 2008 * 17.3% 0.7% 3.9% 12.9% consumer (Jan. 1–June 30, in € million)

* Excluding special factors due to the realignment of the Consumer Supply Chain (exclusively in Europe).

Excluding prior-year sales by the divestments made in 2008 (the BODE Group and the Futuro business), sales increased slightly compared with the previous year, recording organic growth of +0.3%. Adjusted for currency translation effects, sales fell by 1.8% in the fi rst six months. At current exchange rates, sales in the Consumer business segment reached a nominal amount of €2,593 million, down 2.1% on the previous year (€2,649 million).

Global NIVEA sales recorded organic growth of +0.7%. NIVEA Bath Care, NIVEA DEODORANT, as well as NIVEA SUN and NIVEA Hair Care developed positively compared with the strong prior-year period. Our La Prairie brand in the luxury segment was particularly hit by the negative economic developments. Sales were well below the previous year. Eucerin generated encouraging growth of +9.0% in the fi rst six months. The DermoDENSIFYER series established itself successfully.

EBIT amounted to €284 million (previous year excluding special factors: €343 million), while the EBIT margin was 11.0% (previous year: 12.9%).

consumer sales in europe (Jan. 1–June 30, in € million)

	Germany	Western Europe (excluding Germany)	Eastern Europe	Total
Sales 2009	483	962	289	1,734
Change (organic)	3.3%	–5.2%	2.1%	–1.7%
Change (adjusted for currency translation effects)	–3.3%	–5.5%	1.5%	–3.7%
Change (nominal)	–3.3%	–6.6%	–14.2%	–7.1%

In Europe, sales in the Consumer business segment were down by 1.7% on the previous year on a like-for-like basis. Adjusted for currency translation effects only, the decline in sales amounted to 3.7%. At current exchange rates, sales decreased by 7.1% to €1,734 million (previous year: €1,865 million).

Adjusted for prior-year sales by the BODE Group and the Futuro business, which were sold at the end of 2008, Beiersdorf recorded sales growth of +3.3% in Germany. Sales of NIVEA Hair Care, NIVEA DEODORANT, and NIVEA Body Care were particularly good. Eucerin and Florena also achieved strong growth rates. However, NIVEA FOR MEN and NIVEA SUN remained below the previous year's levels. In nominal terms, sales in Germany were down 3.3% on the previous year.

Adjusted for divestments, organic sales in Western Europe fell by 5.2% on the prior-year fi gure. This represents an improvement as against the fi rst quarter (–7.8%). Switzerland (+2.8%) and the Nordic/Baltic Group (+1.5%) recorded slight increases in sales. The Benelux/France Group (–4.7%), the UK/Ireland Group (–4.2%), and Italy (–1.7%) saw a relatively low drop in sales. The decrease at the La Prairie Group (–21.6%) was more pronounced. The decline in sales in Western Europe affected almost all NIVEA products and our La Prairie brand in particular. By contrast, Eucerin again achieved positive growth. Adjusted for currency translation effects, sales in Western Europe were 5.5% below the previous year.

Organic sales in Eastern Europe rose by +2.1% compared with the previous year. Poland contributed to this with sales growth of 3.0%, and the Russia/Ukraine Group saw an increase of 3.9%. NIVEA Shower, NIVEA DEODORANT, NIVEA Baby, and Eucerin performed especially well in this region. Sales by NIVEA FOR MEN and NIVEA Body Care declined. Adjusted for currency translation effects only, sales in Eastern Europe were up 1.5% on the previous year.

Consumer EBIT in Europe amounted to €279 million (previous year excluding special factors: €324 million). The corresponding EBIT margin was 16.1% (previous year: 17.3%).

consumer sales in the americas (Jan. 1–June 30, in € million)

	North America	Latin America	Total
Sales 2009	147	208	355
Change (organic)	–3.3%	11.9%	5.5%
Change (adjusted for currency translation effects)	–12.4%	10.0%	0.1%
Change (nominal)	–1.3%	6.2%	2.9%

In the Americas region, sales increased by +5.5% on the previous year on a like-for-like basis. Adjusted for currency translation effects only, growth amounted to +0.1%. At current exchange rates, sales totaled €355 million, up 2.9% on the prior-year fi gure (€345 million).

Organic sales development in North America was 3.3% below the previous year. Our focus categories NIVEA Body Care, NIVEA FOR MEN, and La Prairie continued to suffer from the substantial effects of the economic crisis in the USA, and recorded a sharp decline in sales. Eucerin achieved slight sales growth. Adjusted for currency translation effects, sales in North America were down 12.4% on the prior-year period.

Latin America saw organic sales growth of +11.9%. We generated double-digit growth in all our major markets. In addition to the key markets of Mexico (+10.0%) and Brazil (+13.2%), the Andean Group (+25.1%) and Argentina (+15.5%) made especially strong contributions to this growth. In particular, NIVEA DEODORANT, NIVEA Body Care, and NIVEA Soap performed extremely well in this key region. After adjustment for currency translation effects only, growth in this region amounted to +10.0%.

Consumer EBIT in the Americas was –€1 million (previous year: €2 million). The EBIT margin amounted to –0.2% (previous year: 0.7%).

consumer sales in africa/asia/australia (Jan. 1–June 30, in € million)

	Africa/Asia/Australia
Sales 2009	504
Change (organic)	4.6%
Change (adjusted for currency translation effects)	4.4%
Change (nominal)	15.0%

The Africa/Asia/Australia region generated growth of +4.6% on a like-for-like basis. Adjusted for currency translation effects only, sales increased by +4.4%. In nominal terms, sales amounted to €504 million and, up 15.0% on the previous year (€439 million).

Our Chinese hair care brand SLEK, NIVEA VISAGE, NIVEA FOR MEN, and Eucerin performed well in this region. We achieved extremely good results in China, where the China Group recorded sales growth of +16.1% and La Prairie Shanghai, which was formed in 2007, achieved +22.5% growth from a relatively low base. Thailand also generated an encouraging growth rate of +9.9%, with NIVEA VISAGE, NIVEA FOR MEN, and Eucerin being particularly successful. In Japan, sales rose by +1.2% as against the prior-year period due to strong performances by NIVEA SUN, 8x4, and NIVEA FOR MEN.

EBIT growth in this region continued to be impacted by increased marketing investments in the Chinese hair care business. EBIT amounted to €6 million (previous year: €17 million). The EBIT margin was 1.2% (previous year: 3.9%).

tesa

• » tesa business segment continues at a significantly lower sales level
• » tesa EBIT margin at 2.0%

tesa.com

tesa (Jan. 1–June 30, in € million)
	Europe	Americas	Africa/Asia Australia	Total
Sales 2009	258	38	52	348
Change (organic)	–19.6%	–18.7%	–29.1%	–21.0%
Change (adjusted for currency translation effects)	–19.6%	–18.7%	–29.1%	–21.0%
Change (nominal)	–21.7%	–15.4%	–22.5%	–21.2%
EBIT 2009	-	1	6	7
EBIT margin 2009	–0.2%	3.0%	12.2%	2.0%
EBIT 2008	34	3	12	49
EBIT margin 2008	10.4%	6.8%	17.2%	11.1%

tesa's sales in the fi rst half of 2009 were down 21.0% on the previous year (adjusted for currency translation effects). At current exchange rates, sales amounted to €348 million (previous year: €442 million) and therewith were down by 21.2% as against the prior year.

The trend that began in fall 2008 continued in the second quarter of 2009. Although the overall market environment remained extremely challenging, overall consolidation was seen at a low level. The effects of the economic crisis were felt strongly in the industry segment, and in particular in sales to customers in the automotive and electronics industry. Overall, the consumer business was somewhat more positive, turning in a performance that was only slightly below the previous year.

tesa recorded a drop in sales in all regions.

EBIT in the tesa business segment was €7 million (previous year: €49 million), while the EBIT margin amounted to 2.0% (previous year: 11.1%).

Balance Sheet Structure – Group

balance sheet (in € million)
assets	Dec. 31, 2008	June 30, 2008	June 30, 2009
Non-current assets	1,167	1,092	1,172
Inventories	634	663	590
Other current assets	2,045	1,272	2,143
Cash and cash equivalents	613	1,136	604
	4,459	4,163	4,509
equity and liabilities (in € million)	Dec. 31, 2008	June 30, 2008	June 30, 2009
Equity	2,460	2,174	2,435
Non-current liabilities	599	561	537
Current liabilities	1,400	1,428	1,537
	4,459	4,163	4,509

Non-current assets increased by €5 million to €1,172 million compared to December 31, 2008. In the fi rst half of 2009, capital expenditure amounted to €59 million (previous year: €65 million). €41 million (previous year: €53 million) of this fi gure was attributable to the Consumer business segment and €18 million (previous year: €12 million) to tesa. Depreciation and amortization amounted to €55 million (previous year: €52 million). By consistent application of Supply Chain measures for stock reduction, inventories could be reduced by €44 million to €590 million. Other current assets increased to €2,143 million. Compared to the previous year's quarter, Beiersdorf switched €805 million of its bank deposits into securities in order to diversify its risk. In addition, trade receivables increased compared to year-end due to seasonal factors.

Non-current liabilities decreased by €62 million to €537 million since the year-end, as the fi rst portion of the option for the minority interests in C-BONS Hair Care Group was already reclassifi ed to current fi nancial liabilities in the fi rst quarter. Furthermore, the growth in current liabilities is due to the operational increase in current provisions and trade payables.

Current liabilities

Financial Position – Group

cash flow statement (in € million)

	Jan. 1–June 30, 2008	Jan. 1–June 30, 2009
Gross cash fl ow	292	223
Change in working capital	–152	–34
Net cash fl ow from operating activities	140	189
Net cash fl ow from investing activities	50	51
Free cash fl ow	190	240
Net cash fl ow from fi nancing activities	–163	–251
Other changes	–8	2
Net change in cash and cash equivalents	19	–9
Cash and cash equivalents as of Jan. 1	1,117	613
Cash and cash equivalents as of June 30	1,136	604

Gross cash fl ow amounted to 223 million. The cash outfl ow from the change in working capital amounted to €34 million. The reduction compared with the previous year was primarily infl uenced by a decrease in inventories by €44 million. Overall, net cash fl ow from operating activities amounted to €189 million. Net cash infl ow from investing activities was €51 million. Capital expenditure of €59 million was offset by cash infl ows from the sale of securities of €90 million, from the sale of fi xed assets of €5 million and interest and other fi nancial cash infl ows of €15 million. Free cash fl ow reached €240 million. Due to the dividend payment of €204 million, the reduction of fi nancial liabilities of €38 million, as well as interest and other fi nancing expenses of €18 million, the net cash outfl ow from fi nancing activities amounted to €251 million. Cash and cash equivalents amounted to €604 million.

The number of employees declined by 66 compared with the fi gure on December 31, 2008, to 21,700. As of June 30, 17,874 employees worked in the Consumer business segment and 3,826

Employees

at tesa.

Beiersdorf.com / career

Total: 21,700 employees as of June 30, 2009.

Other Disclosures

Beiersdorf strengthens Asia activities with new Executive Board member

Beiersdorf is systematically driving forward its regional focus and has appointed an additional Executive Board member for Asia as of June 1, 2009. Taiwanese native James C. Wei will be responsible for the regions of China, Singapore/Malaysia, Thailand, Indonesia, Korea, and India. In addition, he will assume functional responsibility for the newly formed "New Distribution Channels" area.

The regions of Japan, Africa, Australia, and the Middle East will continue to report to Peter Kleinschmidt, who will also remain responsible for the Human Resources and Sustainability Executive Board functions. All other Executive Board functions and regional responsibilities remain unchanged.

Opportunities and Risks

For more information on opportunities and risks, please refer to our Risk Report in the Group Management Report as of December 31, 2008. There were no signifi cant changes in opportunities and risks as of June 30, 2009.

Outlook for 2009

Expected Macroeconomic Developments

We expect to see a further impact on economic developments in 2009 as a result of the fi nancial and economic crisis. Our planning continues to be based on a signifi cant decline in global economic growth. In particular, we expect to see a drop in economic output in the USA, in Western Europe, Russia, and Japan.

In our opinion, our global Consumer markets will decline as a result of the current economic situation, although regional trends may be extremely varied. We expect some of the major, saturated markets in Western Europe and the USA to contract. The growth regions of Eastern Europe, Latin America, and Asia (excluding Japan) will probably record slower growth compared to previous years.

With regard to tesa's industrial and consumer markets, we are forecasting a continuation of the market downturn that began at the end of 2008. Western Europe and North America will remain clearly below the previous year's levels. The effects of the economic crisis will continue to be extremely pronounced in key industrial sectors such as the automotive industry.

Business Developments

The Beiersdorf Group will not be able to match last year's sales in full-year 2009. Based on current developments in the context of the economic crisis, we expect the Group's EBIT margin to be below the prior-year fi gure.

The Consumer business segment is expected to continue growing in excess of the market in 2009, and to reach sales slightly in excess of the previous year. We are forecasting organic growth especially in China, Russia, and Brazil. As we are still investing in marketing and research and development, we expect a slight decline in the full-year EBIT margin, which we are aiming to keep above 10% in this diffi cult economic environment.

The tesa business segment expects the economic environment to remain diffi cult. However, tesa will affi rm its strong market position in declining markets. Sales development, depending in particular on trends in demand at our industrial customers, should stabilize on a lower level. Cost saving measures agreed upon in April are being consistently applied in order to lastingly strengthen profi tability. Due to the continuation of investment projects that it has initiated and the impact of economic situation, tesa will only record a slightly positive operative EBIT margin in 2009.

Hamburg, August 2009

Beiersdorf AG

The Executive Board

Interim Consolidated Financial Statements Income Statement

(in € million)

	Apr. 1–June 30, 2008	Apr. 1–June 30, 2009	Jan. 1–June 30, 2008	Jan. 1–June 30, 2009
Sales	1,568	1,503	3,091	2,941
Cost of goods sold	–516	–492	–994	–951
Gross profi t	1,052	1,011	2,097	1,990
Marketing and selling expenses	–743	–727	–1,467	–1,439
Research and development expenses	–38	–36	–72	–73
General and administrative expenses	–71	–75	–142	–145
Other operating result	–3	–27	–24	–42
Operating result (EBIT, excluding special factors)	197	146	392	291
Special factors relating to the realignment of the Consumer Supply Chain	13	-	15	-
Operating result (EBIT)	210	146	407	291
Other fi nancial result	10	-	20	3
Profi t before tax	220	146	427	294
Taxes on income	–72	–57	–135	–105
Profi t after tax	148	89	292	189
Profi t attributable to equity holders	147	87	290	186
Profi t attributable to minority interests	1	2	2	3
Basic/diluted earnings per share (in €)	0.65	0.39	1.28	0.82

Statement of Comprehensive Income

(in € million)
	Jan. 1–June 30, 2008	Jan. 1–June 30, 2009
Profi t after tax	292	189
Remeasurement gains and losses on cash fl ow hedges	–4	–19
Deferred taxes on remeasurement gains and losses on cash fl ow hedges	1	6
Remeasurement gains and losses on cash flow hedges recognized in other comprehensive income	–3	–13
Remeasurement gains and losses on available-for-sale financial assets	-	1
Deferred taxes on remeasurement gains and losses on available-for-sale financial assets	-	-
Remeasurement gains and losses on available-for-sale financial assets recognized in other comprehensive income	-	1
Exchange differences	–14	8
Other items recognized in other comprehensive income	–10	–6
Deferred taxes on other items recognized in other comprehensive income	-	-
Remeasurement gains and losses on other items recognized in other comprehensive income	–10	–6
Other comprehensive income	–27	–10
Total comprehensive income	265	179
Of which attributable to
– Equity holders of Beiersdorf AG	267	183
– Minority interests	–2	–4

Balance Sheet

(in € million)

assets	Dec. 31, 2008	June 30, 2008 *	June 30, 2009
Intangible assets	389	345	385
Property, plant, and equipment	727	699	730
Non-current fi nancial assets	11	6	13
Other non-current assets	4	3	5
Deferred tax assets	36	39	39
Non-current assets	1,167	1,092	1,172
Inventories	634	663	590
Trade receivables	894	1,020	1,093
Other current fi nancial assets	128	96	90
Income tax receivables	45	36	49
Other current assets	81	108	106
Securities	897	-	805
Cash and cash equivalents	613	1,136	604
Non-current assets and disposal groups held for sale	-	12	-
Current assets	3,292	3,071	3,337
	4,459	4,163	4,509
equity and liabilities	Dec. 31, 2008	June 30, 2008 *	June 30, 2009
Equity attributable to equity holders of Beiersdorf AG	2,450	2,168	2,429
Minority interests	10	6	6
Equity	2,460	2,174	2,435
Provisions for pensions and other post-employment benefi ts	235	259	228
Other non-current provisions	131	125	126
Non-current fi nancial liabilities	72	57	28
Other non-current liabilities	6	7	6
Deferred tax liabilities	155	113	149
Non-current liabilities	599	561	537
Other current provisions	363	453	427
Income tax liabilities	99	95	99
Trade payables	690	630	751
Other current fi nancial liabilities	174	172	168
Other current liabilities	74	78	92
Current liabilities	1,400	1,428	1,537
	4,459	4,163	4,509

* Prior-year fi gures adjusted.

Cash Flow Statement

(in € million)

Jan. 1–June 30, 2008	Jan. 1–June 30, 2009
Operating result (EBIT) 407	291
Income taxes paid –106	–110
Depreciation and amortization 52	55
Change in non-current provisions (excluding interest) –18	–13
Gain/loss on disposal of property, plant, and equipment, and intangible assets –43	-
Gross cash flow 292	223
Change in inventories –65	44
Change in receivables and other assets –243	–207
Change in liabilities and current provisions 156	129
Net cash flow from operating activities 140	189
Investments –65	–59
Proceeds from divestments 91	5
Payments for the purchase of securities -	–401
Proceeds from the sale of securities -	491
Interest received 21	10
Proceeds from dividends and other fi nancing activities 3	5
Net cash flow from investing activities 50	51
Free cash flow 190	240
Proceeds from loans 91	80
Loan repayments –82	–109
Interest paid –5	–6
Other financing expenses paid –8	–12
Cash dividends paid (Beiersdorf AG) –159	–204
Net cash flow from financing activities –163	–251
Effect of exchange rate fluctuations and other changes on cash held –8	2
Net change in cash and cash equivalents 19	–9
Cash and cash equivalents as of Jan. 1 1,117	613
Cash and cash equivalents as of June 30 1,136	604

Selected Explanatory Notes

Information on the Company and on the Group

The registered offi ce of Beiersdorf AG is at Unnastrasse 48 in Hamburg (Germany) and the Company is registered with the commercial register of the Hamburg Local Court under the number HRB 1787. The ultimate parent of the Company is maxingvest ag. The activities of Beiersdorf AG and its affi liates ("Beiersdorf Group") consist primarily of the manufacture and distribution of branded consumer goods in the areas of skin and beauty care, and of the manufacture and distribution of technical adhesive tapes.

Basis of Preparation

The interim consolidated fi nancial statements for the period from January 1 to June 30, 2009 were prepared in accordance with IAS 34 "Interim Financial Reporting." The interim consolidated fi nancial statements should be read in conjunction with the consolidated fi nancial statements as of December 31, 2008.

Accounting Policies

The fi gures disclosed in this interim report were prepared in accordance with International Financial Reporting Standards (IFRSs). The same accounting policies were used in the interim consolidated fi nancial statements as in the annual consolidated fi nancial statements for 2008. The interim report was not audited or reviewed.

Related Party Disclosures

Please refer to the consolidated fi nancial statements as of December 31, 2008, for related party disclosures. There were no signifi cant changes in the fi rst half of 2009.

Corporate Governance

The declaration of compliance issued by the Supervisory Board and the Executive Board for fi scal year 2008 regarding the recommendations of the German Corporate Governance Code in accordance with § 161 Aktiengesetz (German Stock Corporation Act) was published at the end of December 2008 and is permanently available on our website at www.Beiersdorf.com.

Events After the Balance Sheet Date

No signifi cant events occurred after the balance sheet date that would have a material effect on the Beiersdorf Group's business developments.

Responsibility Statement by the Executive Board

To the best of our knowledge, and in accordance with the applicable reporting principles for interim financial reporting, the interim consolidated financial statements give a true and fair view of the assets, liabilities, financial position, and profit or loss of the Group, and the interim management report of the Group includes a fair review of the development and performance of the business and the position of the Group, together with a description of the principal opportunities and risks associated with the expected development of the Group for the remaining months of the fiscal year.

Hamburg, August 2009

Beiersdorf AG

The Executive Board

Financial Calendar

dates

Interim Report January to September 2009, Financial Analyst Meeting
Publication of Preliminary Group Results
Publication of Annual Report 2009, Annual Accounts Press Conference, Financial Analyst Meeting
Annual General Meeting
Interim Report January to March 2010
Interim Report January to June 2010
Interim Report January to September 2010, Financial Analyst Meeting

Hamburg Commercial Register HRB 1787

Contact Information

Beiersdorf Aktiengesellschaft Unnastrasse 48, 20245 Hamburg Germany

editorial office and concept

Corporate Identity: Telephone: +49 40 4909-2102, E-mail: CI@Beiersdorf.com

published by additional information

Corporate Media Relations: Telephone: +49 40 4909-3077, E-mail: Corporate-Media-Relations@Beiersdorf.com

Investor Relations: Telephone: +49 40 4909-5000, E-mail: Investor.Relations@Beiersdorf.com

Beiersdorf on the Internet: www.Beiersdorf.com

Up-to-Date Information

If you would like up-to-date information about Beiersdorf, why not visit our website? In addition to fi nding the latest facts, fi gures, and press releases, you will experience what drives our work: the emotions and innovations that our brands refl ect.

www.Beiersdorf.com