Viscom AG — Interim / Quarterly Report 2011

Aug 25, 2011

INTERIM REPORT AS OF 30 JUNE 2011

FOREWORD 4
VISCOM SHARES 6
CONSOLIDATED INTERIM MANAGEMENT REPORT 8
Revenue and Earnings 8
Net Assets and Financial Position 8
Employees 9
SEGMENT INFORMATION 10
Opportunities/Risks and Outlook Report 12
Significant Transactions with Related Parties 14
General Information on the Company 14
Personnel 14
IFRS CONSOLIDATED INTERIM FINANCIAL STATEMENTS 15
Consolidated Statement of Income and Accumulated Earnings 15
Consolidated Balance Sheet: Assets 16
Consolidated Balance Sheet: Liabilities and Shareholders' Equity 17
Cash Flow Statement 18
Statement of Changes in Shareholders' Equity 19
SPECIAL DISCLOSURES 20
RESPONSIBILITY STATEMENT 21
GLOSSARY OF TECHNICAL TERMS 21
FINANCIAL CALENDAR 2011 22
IMPRINT 23

KEY GROUP FIGURES

KEY GROUP FIGURES

	01.01.– 30.06.2011	01.01.– 30.06.2010
Revenue	26,853 K€	12,844 K€
EBIT	5,626 K€	915 K€
Financial result	242 K€	188 K€
Taxes on income	-1,453 K€	9 K€
Net profit for the period	4,415 K€	1,112 K€
Number of shares	9,020,000	9,020,000
Number of weighted shares	8,885,060	8,885,060
Diluted and undiluted earnings per share	0.50 €	0.13 €
Number of employees (as of 30 June)	266	255

FOREWORD

Dr. Martin Heuser Member of the Executive Board

Volker Pape Member of the Executive Board

Dirk Schwingel Member of the Executive Board

These are successful times: The German and international markets provided large growth potential in the first half of 2011 and Viscom optimally exploited these opportunities. Investors showed an increasing willingness to invest in the main sales markets and the automotive industry recorded a steep upward trend in the past six months. According to current information from the Association of the Automobile Industry (VDA), German automobile manufacturers are setting records – at over 90 % capacity utilisation, the German market is returning to normal after the massive slump. Viscom participated in this positive trend, as business figures for the first half of the year show. Our strategic acquisition activities with focus on the international markets bore fruit far beyond the Automotive segment. The future-oriented segments Communication and EMS (job order producers) accounted for 15 % of total revenue (31 December 2010: 12 %).

According to the latest information from the German Engineering Association (VDMA e.V.), incoming orders in the German engineering sector were up 22 % year-on-year in real terms. Viscom AG's incoming orders even rose as much as 44 % compared to the same period in the previous year.

We defended our leadership in the European market and positive figures in the USA also confirmed our strong position amongst the international competition. The Asian market performed just as positively, due to the fact that parts of the European revenue can be added to direct revenue in Asia when orders are placed in Europe but installation and start-up takes place in Asia.

Viscom is rigorously preparing new ground for additional growth and is investing in new products and future technologies. The results are innovative, practical and user-oriented solutions. A new operating and application software for all Viscom inspection systems, which will provide for intuitive operation via a touch screen, is about to be launched. The idea behind the clearly structured and selfexplanatory user interface is to avoid unnecessary input and complicated navigation.

International trade fairs are more than just product presentations. They set the stage for new business relationships and enable companies to prepare sound market forecasts. Our innovation strategy was confirmed at the SMT Hybrid Packaging 2011 in Nuremberg, the APEX in Las Vegas and the NEPCON Shanghai 2011. At the Nuremberg fair alone we were able to almost double our customer contacts compared to the previous year.

Viscom's product portfolio ranges from automatic inspection systems for high-precision recording of 3D surface geometries to a computer tomography system for capturing internal structures. Comprehensive services and training options round off the product range. Viscom generates the highest possible technological standard in all of its segments.

Interest in Viscom inspection systems is high and customers have started investing in our products again. Production capacities within the Company remain high. A large number of newly concluded service agreements also confirm our customers' trust in our service portfolio.

Our performance in the first half of 2011 makes us optimistic about developments in the second half of the year and about the future development of our Company. This positive trend is the reason we are increasing our guidance for 2011 to between € 50 million and € 53 million in revenue and an EBIT margin of between 15 % and 18 %. Power of innovation, reliable system quality and a high level of consulting expertise remain the key factors for our success.

Viscom expects that the current turbulence on the financial markets will not materially impact customer investment activity, particularly in Asia. Nevertheless, the Group is watching developments very closely in order to react if needed.

We would like to thank you for your interest, support and trust in our Company.

Hanover, 25 August 2011

The Executive Board

Dr. Martin Heuser Volker Pape Dirk Schwingel

VISCOM SHARES

Listing	Regulated market (General Standard)
Abbreviation	V6C
ISIN	DE 000 7846867
Number of shares	9,020,000
Market capitalisation as of 30 June 2011	€ 61.25 million
High (Xetra) on 25 February 2011	€ 7.72
Low (Xetra) on 31 January 2011	€ 5.60
Average trading volume (Xetra/day)	6,660
Earnings per share	€ 0.50

As of 30 June 2011

The stock markets experienced several serious turbulences over the past six months. The unrest in North Africa and the natural disaster in Japan had a negative impact on stock market developments in the first half of 2011. In mid-March, the German lead index DAX slumped by around 1,000 points in just a few days, falling to its annual low at approximately 6,500 points. But the index was quickly able to make up for this loss despite the looming bankruptcies of Greece, Portugal and Ireland. The DAX therefore broke out of its downward trend, a development which is sending new buy signals.

SHAREHOLDER STRUCTURE

The Viscom share price was also rather volatile in the first six months of the year. In January and February alone, the Viscom share fell to its annual low of € 5.60 at the end of January, only to rise back up to its annual high of € 7.72 on 25 February 2011. In the following months however, the share price remained relatively stable, continuously fluctuating around a € 6.79 average. At the end of the first half of the year, the share was traded at € 6.79 (Xetra).

The Annual General Meeting of Viscom AG took place in Hanover on 16 June 2011. The share capital carrying voting rights amounted to 8,885,060 no-par value shares, of which 5,703,750 no-par value shares (64.19 % of share capital) attended. All points on the agenda were approved by the shareholders and shareholders' representatives present with the required majority.

The next Annual General Meeting is scheduled to be held on 14 June 2012 in Hanover.

TREND OF THE VISCOM SHARES IN THE FIRST HALF OF 2011

Source: www.ariva.de

The main objective of Viscom AG's investor relation activities is to enable all capital market participants to fairly assess Viscom as a company. Open and honest communication is therefore of utmost importance. Viscom AG also promptly publishes all information on the Viscom share on its website at http://www.viscom.de/en_ir.

CONSOLIDATED INTERIM MANAGEMENT REPORT

REVENUE AND EARNINGS

Market participants' willingness to invest rose steeply again this year in Viscom's key sales markets and forecasts confirm this continuing positive economic trend.

Incoming orders once again developed positively in the first half of the year. In the first six months, the Company received orders with a total volume of € 24,493 thousand (previous year: € 17,017 thousand), corresponding to a rise of 44 % year-onyear.

On 30 June 2011, order backlog was € 11,120 thousand compared to € 9,428 thousand in the previous year.

Viscom generated revenue of € 26,853 thousand in the first half of 2011 (previous year: € 12,844 thousand). Compared to the previous year's period, this is a rise of 109 %. This confirms the Company's expectation of an upturn in business this year.

Earnings before interest and taxes (EBIT) were € 5,626 thousand, a definite improvement on the previous year's figure of € 915 thousand. This corresponds to an EBIT margin of 21.0 %. The positive result was impacted by the capitalisation of companyproduced assets to the amount of € 930 thousand. Adjusted for these one-off effects, EBIT amounted to € 4,696 thousand and the adjusted EBIT margin to € 17.5 %. Net profit for the period nearly quadrupled from € 1,112 thousand to € 4,415 thousand.

NET ASSETS AND FINANCIAL POSITION

In the first half of 2011, Viscom continued to improve its net assets and financial position on the back of the economic recovery and the resulting positive revenue development.

Cash flow from operating activities was positive, at € 4,155 thousand (previous year: € -579 thousand), the main reason being the steep rise in net profit for the period, which came to € 4,415 thousand (previous year: 1,112 thousand).

Cash flow from investing activities amounted to € -8,287 thousand (previous year: € -3,709 thousand). This change is primarily caused by the item "Acquisition of non-current financial investments" of € -7,284 thousand (previous year: € -3,186 thousand), which relates to the acquisition of corporate bonds with remaining terms between two and four years, which should generate higher interest income as they are time-limited financial investments. In addition, € -930 thousand (previous year: € -530 thousand) in development costs were capitalised and recognised accordingly, pursuant to IAS 38.

Cash flow from financing activities amounted to € -14 thousand (previous year: € -7 thousand) for interest payments.

Cash and cash equivalents came to € 21,714 thousand, slightly up on the previous year's level of € 21,301 thousand.

Working capital comprises current assets as well as current and non-current liabilities. This item dropped from € 42,589 thousand on 31 December 2010 to € 39,701 thousand in the first six months of the year on account of a reduction in cash and cash equivalents and other financial receivables.

At 87.4 %, the equity ratio is presently higher than it was on 31 December 2010 (86.3 %). The figure for the comparable period in the previous year is at a similar level (88.2 %).

EMPLOYEES

In the first half of 2011, Viscom Group employed 266 people (excluding trainees). Headcount therefore increased by 11 people year-on-year.

EMPLOYEES

As of 30.06.2011	Europe	Asia	Americas	Total
Total	232	23	11	266
of which full-time	204	23	11	238
of which part-time	28	0	0	28
Plus: trainees	7	0	0	7

SEGMENT INFORMATION

		Europe		Asia		Americas		Total
	01.01.– 30.06. 2011	01.01.– 30.06. 2010	01.01.– 30.06. 2011	01.01.– 30.06. 2010	01.01.– 30.06. 2011	01.01.– 30.06. 2010	01.01.– 30.06. 2011	01.01.– 30.06. 2010
External sales	20,388	7,930	3,623	3,488	2,842	1,426	26,853	12,844
Segment result (EBIT)	4,894	1,076	431	142	301	-303	5,626	915
plus financial result	0	0	0	0	0	0	242	188
less income taxes	0	0	0	0	0	0	-1,453	9
Consolidated net profit	0	0	0	0	0	0	4,415	1,112

DISCLOSURES ON THE GROUP'S GEOGRAPHIC SEGMENTS BY SALES MARKET (K€)

In geographic terms, business is divided into the three largest sales markets worldwide. The Company's headquarters in Hanover, Germany, and a sales subsidiary in Paris, France, which in turn has a subsidiary in Tunisia, service the European sales market. A sales subsidiary near Atlanta, USA, looks after the US market and in Asia, Viscom operates via another subsidiary in Singapore, which in turn has a subsidiary in Shanghai, China.

EUROPE

In its autumn forecast 2009, the European Commission already expected investments to start recovering as late as 2011 in view of the low capacity utilisation at that time, the relatively poor outlook for demand, low profitability growth rates and falling credit growth. Now, two years after this forecast for Europe, the International Monetary Fund (IMF) anticipates strong growth in 17 countries in the euro area despite the debt crisis in some European countries, thereby confirming the Commission's autumn forecast 2009. According to its latest report, growth is being driven by higher investments in Germany and France. With an almost 76 % share in revenue, Europe was Viscom Group's strongest region by far in the first half of 2011, generating € 20,388 thousand in revenue, which corresponded to 157 % growth yearon-year (previous year: € 7,930 thousand).

In Germany, revenue came to € 12,575 thousand, almost two and a half times higher than in the previous year (€ 5,112 thousand).

EBIT in Europe amounted to € 4,894 thousand (previous year: € 1,076 thousand), corresponding to an EBIT margin of 24.0 % (previous year: 13.6 %). Incoming orders were € 17,713 thousand, € 7,045 thousand higher than the comparable value in the previous year of € 10,668 thousand.

Europa		01.01.– 30.06.2011	01.01.– 30.06.2010
Revenue	K€	20,388	7,930
EBIT	K€	4,894	1,076
EBIT margin	%	24.0	13.6
Employees		232	220

ASIA

The International Monetary Fund (IMF) believes that the strong growth in Asia is robust and that it will continue this year and the year after. According to an IMF report published on 11 April 2011, the Asian economy is expected to grow by 8.4 % in 2011 and by the same figure in 2012. In 2010 alone, China's share in the global social product, adjusted for purchasing power, was 13.6 % – almost as high as the entire euro area.

Group revenue in Asia was € 3,623 thousand, slightly up from € 3,488 thousand in the previous year.

EBIT in Asia amounted to € 431 thousand (previous year: € 142 thousand), and the EBIT margin almost tripled, increasing to 11.9 %.

Incoming orders of € 4,399 thousand were slightly down year-on-year (previous year: € 4,561 thousand).

Asia		01.01.– 30.06.2011	01.01.– 30.06.2010
Revenue	K€	3,623	3,488
EBIT	K€	431	142
EBIT margin	%	11.9	4.1
Employees		23	21

AMERICAS

The US economy is only slowly and reluctantly emerging from its long slump. According to the latest IMF forecasts, the US economy will grow by 2.5 % this year – in April 2011, this figure was still at 2.8 %. Especially the reduction of private debt, the continuing crisis in the real estate market and high unemployment are slowing down consumer spending, but at least exports have recovered considerably – according to the IMF – and the situation in the financial markets has also improved.

Established customers are increasingly willing to invest again and new customers have been successfully acquired. Both factors aided the positive development in the US market. Viscom recorded a slow but steady recovery of the US economy in the key market segments of the US electronics industry. Although it is still difficult to obtain finance for capital goods, the US economic stimulus packages are starting to show a positive effect.

The positive trend in the US market continued for Viscom. Revenue almost doubled in this region in the first six months of the year, amounting to € 2,842 thousand (previous year: € 1,426 thousand).

The Americas region recorded positive EBIT of € 301 thousand in the first half of 2011 (previous year: € -303 thousand).

Incoming orders of € 2,381 thousand were around 33 % up on the previous year's value of € 1,788 thousand.

Americas		01.01.– 30.06.2011	01.01.– 30.06.2010
Revenue	K€	2,842	1,426
EBIT	K€	301	-303
EBIT margin	%	10.6	-21.2
Employees		11	14

OPPORTUNITIES / RISKS AND OUTLOOK REPORT

For over 25 years, Viscom has been a global supplier of automated optical and X-ray inspection systems for quality assurance and process optimisation in the industrial production of electronic assemblies. The Company develops and produces its products exclusively at its Hanover site. Viscom is setting quality assurance standards with innovative solutions such as the AOI/AXI combination system X7056 and the bonding wire control system.

Viscom systems are top technological products that are employed around the world for improving quality and efficiency of electronics production processes. Its product portfolio spans from automated inspection systems for high-precision recording of 3D surface geometries to a computer tomography system for capturing internal structures. Viscom is about to launch a new operating and application software for all Viscom inspection systems, providing for intuitive operation of inspection systems via touch screen.

Viscom AG's main target group is the electronics industry, and particularly the automotive, telecommunication and EMS, aerospace and medical submarkets. The Company is currently the only producer in all major fields of SMT production inspection.

In addition to its existing and established products, Viscom is presently carrying out intensive research and development and has developed and launched further future-oriented products. These include:

• S3088 SPI 3D soldering paste inspection system

Early error recognition with the help of a soldering paste inspection system is of great importance when inspecting assemblies. Viscom has equipped its high-performance AOI system S3088 with the reliable CyberOptics sensor technology so as to further increase the speed and efficiency of 3D paste inspection. The combination of leading AOI system and high-performance 3D SPI sensor technology provides for the highest speeds and precision in soldering paste inspection systems. This 3D SPI sensor technology – Viscom S3088 SPI – was introduced at the "SMT Hybrid Packaging 2011" trade fair in May 2011 in Nuremberg, where it received very positive customer feedback across the board.

• 3088 flex – new soldering point inspection system

Like its S3088-III predecessor, this system stands out with its effective assembly inspection capabilities, but important features regarding sustainability, system performance and operation have been added. 3088 flex runs on Windows 7 and the i7 processor provides much greater processing power. The 3088 flex is also "vVision-reday", meaning that it will be 100 % compatible with the new software platform vVision.

• New SI 7.44 software release

Viscom released the new 7.44 software in April 2011. It offers many useful features and additional functions that make the use of AOI/AXI in production even faster and more comfortable. In this new release, the bar code reader with systemintegrated camera was further improved. Now the device can reliably and quickly read even large bar codes that exceed the camera frame – an intelligent tool that simplifies the inspection process and ensures the quality of the inspection programmes.

The general economic environment for the major industries in Germany and abroad developed positively.

Viscom has installed a risk management system in accordance with Section 91 (2) of the Stock Corporation Act (Aktiengesetz - AktG). The guiding principle of risk management is that the relevant decision-makers should be made aware of the development of significant risks as promptly and comprehensibly as possible in order to facilitate a timely and appropriate response or pre-emptive action. To this end, the risk managers from the individual business areas meet on a regular basis to discuss and clarify the current status of and approach to the significant risk positions on the basis of corresponding evaluations and reports. Specialist employees provide additional clarification as necessary.

Although the majority of Group revenue is invoiced in euros, Viscom remains at risk from currency translations arising from sales and acquisitions. The main risks originate from US dollars, as part of the revenue generated in the Asian and US subsidiaries is invoiced in this currency. This part however currently amounts to less than 15 % of total revenue.

Viscom AG's Executive Board increased its revenue and earnings forecast for the business year 2011 in an ad hoc release in accordance with Section 15 of the German Securities Trading Act (WpHG) published on 27 July 2011.

According to this guidance, the company now expects revenue of between € 50 million and € 53 million and an EBIT margin of 15 % to 18 % in 2011.

The reason for this adjustment is the large volume of incoming orders and a steep rise in recognised revenue in the first half of the year. This new forecast differed from the targets set by the Executive Board in the official 2011 guidance of € 45 million to € 47 million in revenue and an EBIT margin of 10 % to 13 %.

Viscom expects that the current turbulence on the financial markets will not materially impact customer investment activity, particularly in Asia. Nevertheless, the Group is watching developments very closely in order to react if needed.

Significant Transactions with Related Parties

The Company has entered into lease agreements for seven properties in Carl-Buderus-Strasse and one property in Fraenkische Strasse, Hanover, with Dr. Martin Heuser/Petra Pape GbR, Hanover, Marina Hettwer/ Petra Pape GbR, Hanover, and HPC Vermoegensverwaltung GmbH, Hanover. All these contracting parties are classed as related parties within the meaning of IAS 24.

Viscom has also entered into car lease agreements with HPC Vermoegensverwaltung GmbH. HPC Vermoegensverwaltung GmbH provides further services such as Company childcare, cleaning services and other miscellaneous services.

General Information on the Company

The headquarters of Viscom AG are in Hanover, Germany, and the Company is registered at Hanover Commercial Register, file number HR B 59616. The business address is: Viscom AG, Carl-Buderus-Strasse 9 – 15, 30455 Hanover, Germany.

The Company's business activities consist of the development, manufacture and sale of automated inspection systems for industrial production.

Personnel

The Supervisory Board of Viscom AG appointed Dirk Schwingel as a full member of the Executive Board with effect from 1 June 2011. He assumed responsibility for Finance and Controlling as well as Investor Relations, HR and Administration.

IFRS-CONSOLIDATED INTERIM FINANCIAL STATEMENTS

CONSOLIDATED STATEMENT OF INCOME AND ACCUMULATED EARNINGS

	01.01.– 30.06.2011 K€	01.01.– 30.06.2010 K€
Revenue	26,853	12,844
Other operating income	271	363
	27,124	13,207
Changes in finished goods and work in progress	2,280	1,121
Other capitalised company-produced assets	930	530
Cost of materials	-10,582	-3,293
Staff costs	-8,077	-7,034
Depreciation and amortisation expense	-369	-396
Other operating expenses	-5,680	-3,220
Operating expenses	-21,498	-12,292
Operating profit	5,626	915
Interest income	256	195
Interest expenses	-14	-7
Financial result	242	188
Income taxes	-1,453	9
Net profit for the period	4,415	1,112
Other earnings
Currency translation differences	-62	334
Other earnings after taxes	-62	334
Total earnings	4,353	1,446
Earnings per share (diluted and undiluted) in €	0.50	0.13

CONSOLIDATED BALANCE SHEET: ASSETS

ASSETS

	30.06.2011 K€	31.12.2010 K€
Current assets
Cash and cash equivalents	21,714	25,905
Trade receivables	12,724	12,155
Current income tax assets	175	282
Inventories	12,842	10,162
Other financial receivables	381	2,014
Other assets	269	602
Total current assets	48,105	51,120
Non-current assets
Property, plant and equipment	1,271	1,221
Intangible assets	3,116	2,310
Financial assets	10,450	3,166
Loans originated by the Company	130	162
Deferred tax assets	3,433	4,214
Total non-current assets	18,400	11,073
Total assets	66,505	62,193

CONSOLIDATED BALANCE SHEET: LIABILITIES AND SHAREHOLDERS' EQUITY

LIABILITIES

	30.06.2011 K€	31.12.2010 K€
Current liabilities
Trade payables	1,991	1,681
Advance payments received	326	788
Provisions	1,387	1,173
Current income tax liabilities	937	607
Other financial liabilities	2,217	2,506
Other current liabilities	1,144	1,477
Total current liabilities	8,002	8,232
Non-current liabilities
Non-current provisions	402	299
Total non-current liabilities	402	299
Shareholders' equity
Subscribed capital	9,020	9,020
Capital reserves	35,221	35,135
Retained earnings	13,783	9,368
Exchange differences	77	139
Total shareholders' equity	58,101	53,662
Total liabilities and shareholders' equity	66,505	62,193

CASH FLOW STATEMENT

CASH FLOW STATEMENT

	01.01.– 30.06.2011 K€	01.01.– 30.06.2010 K€
Cash flow from operating activities
Net profit for the period after interest and taxes	4,415	1,112
Adjustment of net profit for income tax expense (+)	1,453	-9
Adjustment of net profit for interest expense (+)	14	7
Adjustment of net profit for interest income (-)	-256	-195
Adjustment of net profit for depreciation and amortisation expense (+)	369	396
Increase (+) / Decrease (-) in provisions	317	139
Gains (-) / losses (+) on the disposal of non-current assets	-77	-110
Increase (-) / decrease (+) in inventories, receivables and other assets	-1,047	-2,308
Increase (+) / Decrease (-) in liabilities	-777	437
Income taxes repaid (+) / paid (-)	-256	-48
Net cash used in/from operating activities	4,155	-579
Cash flow from investing activities
Proceeds (+) from the disposal of non-current assets	32	78
Acquisition (-) of property, plant and equipment and noncurrent intangible assets	-250	-162
Acquisition (-) of non-current financial investments	-7,284	-3,186
Capitalisation of development costs (-)	-930	-530
Interest received (+)	145	91
Net cash from/used in investing activities	-8,287	-3,709
Cash flow from financing activities
Interest paid (-)	-14	-7
Cash flow from financing activities	-14	-7
Changes in cash and cash equivalents due to changes in interest rates	-45	274
Cash and cash equivalents
Changes in cash and cash equivalents	-4,146	-4,295
Cash and cash equivalents at 1 January	25,905	25,322
Total cash and cash equivalents	21,714	21,301

STATEMENT OF CHANGES IN SHAREHOLDERS' EQUITY

SHAREHOLDERS' EQUITY

	Subscribed Capital K€	Capital Reserve K€	Exchange Rate Differences K€	Retained Earnings K€	Total K€
Shareholders' equity at 1 January 2010	9,020	41,583	-158	-7,603	42,842
Net profit for the period	0	0	0	1,112	1,112
Other earnings	0	0	334	0	334
Total earnings	0	0	334	1,112	1,446
Shareholders' equity at 30 June 2010	9,020	41,583	176	-6,491	44,288
Shareholders' equity at 1 January 2011	9,020	35,135	139	9,368	53,662
Net profit for the period	0	0	0	4,415	4,415
Other earnings	0	0	-62	0	-62
Total earnings	0	0	-62	4,415	4,353
Other changes	0	86	0	0	86
Shareholders' equity at 30 June 2011	9,020	35,221	77	13,783	58,101

SPECIAL DISCLOSURES

Declaration of Compliance

The present interim financial statements were prepared at the end of the second quarter of 2011 in accordance with all International Financial Reporting Standards (IFRS) and International Accounting Standards (IAS) as applicable on the balance sheet date on 30 June 2011, including in particular IAS 34 (Interim Reporting). These standards were uniformly applied throughout.

Basic Principles of Preparation

The IFRS Interim Financial Statements were prepared in Euros. Most figures are presented in K€. The segment report is included in the Consolidated Interim Management Report.

Essentially, the same accounting and valuation methods as in the 2010 consolidated financial statements were applied.

The income statement was prepared in accordance with the total cost method.

Pursuant to IAS 1, assets and liabilities are classified as either current or non-current. Assets or liabilities are classified as current if they are designated for disposal/redemption within one year.

The preparation of the interim financial statements requires certain assumptions and estimates to be made which affect the amounts and classification of the assets, liabilities, income, expenses and contingent liabilities recognised. Actual amounts may differ from these estimates.

Acquisition and Recognition of Corporate Bonds

Viscom acquired corporate bonds from companies with top credit ratings in the second quarter of 2009 and the first half of 2010. In the first half of 2011, further bonds with this rating were purchased. Viscom will hold these corporate bonds to maturity (some until 2015) and classify them as held to maturity investments in accordance with IAS 39. Their fair value as of 30 June 2011 amounted to € 10,174 thousand.

Events after the Balance Sheet Date

There are no significant events after the balance sheet date on 30 June 2011.

Audit of the Accounts

As in the case of previous quarterly accounts, the interim financial statements as of 30 June 2011 were neither examined by an auditor in accordance with Section 320 of the German Commercial Code (Handelsgesetzbuch – HGB), nor subjected to an audit review within the meaning of the Securities Trade Act (Wertpapierhandelsgesetz – WpHG).

RESPONSIBILITY STATEMENT

"To the best of our knowledge, and in accordance with the applicable principles for interim financial reporting, the interim consolidated financial statements convey a true and fair view of the assets, financial and earnings position of the Company, and the interim Group management report 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 financial year."

Dr. Martin Heuser Volker Pape Dirk Schwingel

GLOSSARY OF TECHNICAL TERMS

TERM	DEFINITION
AOI	automated optical inspection
AXI	automated x-ray inspection
CT	computed tomography
SI	software platform for SP-products (AOI/AXI)
vVision	new machine operating interface
SMT	surface-mounting technology, SMT
EMS (Electronic Manufacturing Services)	contract manufacturer/subcontractor – especially for Consumer, Communication and Computer products

FINANCIAL CALENDAR 2011

▪ 25 AUGUST 2011 Disclosure of interim report 2011, telephone conference
▪ 29 AUGUST 2011 9th Small Cap Conference, Frankfurt/Main
▪ 24 SEPTEMBER 2011 15th Trading Day Hanover
▪ 11 NOVEMBER 2011Disclosure of interim management report

VISCOM AG

FRANCE S.A.R.L., FRANCE

SUPERVISORY BOARD	Bernd Hackmann (Chairman) Klaus Friedland (Deputy Chairman) Prof. Dr. Claus-Eberhard Liedtke
EXECUTIVE BOARD	Dr. Martin Heuser Volker Pape Dirk Schwingel
HEADQUARTERS	Carl-Buderus-Strasse 9 – 15, 30455 Hanover, Germany Commercial Register of Hanover District Court, file number HRB 59616
AFFILIATES	Viscom France S.A.R.L., Cergy Pontoise Cedex, France Viscom Inc., Atlanta, Georgia, USA Viscom Machine Vision Pte Ltd., Singapore
SUBSIDIARY OF VISCOM MACHINE VISION PTE. LTD., SINGAPORE	Viscom Machine Vision (Shanghai) Trading Co., Ltd.
SUBSIDIARY OF VISCOM	Viscom Tunisie S.A.R.L., Tunis, Tunisia

IMPRINT

PUBLISHER	Viscom AG, Carl-Buderus-Strasse 9 - 15, 30455 Hanover, Germany Phone: +49 511 94996-0, Fax: +49 511 94996-900 info@viscom.de, www.viscom.com
CONTENT	Viscom AG, represented by the Executive Board
EDITORS	Dr. Martin Heuser (Executive Board) Volker Pape (Executive Board) Dirk Schwingel (Executive Board) Anna Borkowski (Assistant to the Executive Board)
LAYOUT AND DESIGN	CL*GD corinna.lorenz.grafik.design, www.clgd.de
PHOTOGRAPHY	Viscom AG ISO K° Photography, www.iso-k.de
PRINTING AND PRODUCTION	gutenberg beuys Feindruckerei, www.feindruckerei.de
COMMERCIAL REGISTER AND REGISTRATION NUMBER	Viscom AG Register court: Hanover District Court Registration number: HR B 59616 VAT ID number in accordance with section 27a of the VAT Tax Act: DE 115675169
COPYRIGHT	All photographs and content of this document are protected by copyright. Any kind of reproduction must be authorised in writing by Viscom AG.

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