V D L G R O E P

A N N U A L R E P O R T

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V D L G R O E P

A N N U A L R E P O R T

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VDL Groep bv

Hoevenweg 1

5652 AW Eindhoven, the Netherlands

Phone +31 (0)40 - 292 50 00

Fax +31 (0)40 - 292 50 01

info@vdlgroep.com

www.vdlgroep.com

3 Financial highlights

4 Profile

5 Group structure

7 Report of the Board of Management

43 Report of Supervisory Board

44 Auditor’s report

45 Subsidiaries

57 Financial report 2014

62 Principles for valuation and

determining the result

C O N T E N T S

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F I N A N C I A L

H I G H L I G H T S

(x 1,000 euro)

2014 2013 2012 2011 2010

Combined turnover 2,545,519 1,812,313 1,756,354 1,718,724 1,472,373

Consolidated turnover 2,342,041 1,632,108 1,628,857 1,574,805 1,353,726

Gross profit 117,988 95,610 87,407 96,275 102,779

Profit before tax 120,209 98,027 75,679 83,377 97,447

Profit before tax / turnover 4.7% 5.4% 4.3% 4.9% 6.6%

Net profit 104,247 88,582 56,755 66,014 76,762

Net profit / turnover 4.1% 4.9% 3.2% 3.8% 5.2%

Depreciation of (in)tangible fixed assets 46,300 47,326 32,490 30,465 28,844

Cash flow 150,547 135,908 89,245 96,479 105,606

(Dis-)investments including acquisitions 114,459 82,456 213,072 52,100 29,445

Equity 924,894 854,350 788,480 577,638 537,679

Total assets 1,660,407 1,382,879 1,403,669 1,062,228 1,017,657

Equity / total assets 55.7% 61.8% 56.2% 54.4% 52.8%

Net profit / equity 11.3% 10.4% 7.2% 11.5% 14.3%

Employees as at 31 December 10,303 9,216 8,757 7,135 7,126

4

VDL Groep is an international industrial company devoted to the development, production and sales of

semi-finished products, buses & coaches and other finished products, as well as the assembly of cars.

From its head office in Eindhoven (the Netherlands) VDL supervises its subsidiaries, which have a high level

of autonomy and responsibility for results.

The establishment in 1953 of ‘Metaalindustrie and Constructiewerkplaats P. van der Leegte’ laid the basis

for what today is VDL Groep. Through targeted acquisition and autonomous growth, this family business

has developed into a group encompassing 85 subsidiaries spread over 19 countries and a workforce of

approximately 10,300.

In subcontracting, VDL is a leader in the fields of metalworking, mechatronic systems and system supply,

plastics processing and surface treatment. The car assembly division includes the production of passenger

cars for third parties. The bus & coach division consists of chassis, chassis modules, coaches, public

transport buses, mini & midi buses, special projects and second-hand buses. The finished products division

is extensive: suspension systems for the trailer and truck industry, heating, cooling and airtechnical

systems, production automation systems, systems for the oil, gas and petrochemical industry, systems for

the agricultural sector, sunbeds and roof boxes, container handling equipment, waste collection systems,

cigar-making and packaging machines, components for bulk handling and dust extraction installations, and

systems for explosion and fire protection.

VDL Groep strives to achieve growth both through acquisitions and autonomous means. This entails a

focus on making continuous improvements to its products and production processes. Such a vision

imposes a number of preconditions: modern machinery, locations based on good logistics, a critical quality

policy and a high level of expertise amongst its workforce. Investments made by VDL Groep enable the

group to meet customer requirements.

VDL Groep has a flat organisational structure with short policy lines. The company culture is characterised

by the shared VDL philosophy of ‘human added value’. This forms the basis for close cooperation between

companies within the group.

P R O F I L E

V D L G R O E P

G R O U P S T R U C T U R E

Subcontracting

VD Leegte Metaal

VDL Gereedschapmakerij

VDL TIM Hapert

VDL VDS Technische Industrie

VDL Laktechniek

VDL Belgium

VDL Technics

VDL Kunststoffen

VDL HMI

VDL NSA Metaal

VDL Apparatenbouw

VDL MPC

VDL Parree

VDL Staalservice

VDL Lasindustrie

VDL RPI Metaal

VDL Rotech

VDL Systems

VDL Postma

VDL Industrial Modules

VDL Konings

VDL Wientjes Roden

VDL Wientjes Emmen

VDL Services

VDL Enabling Technologies Group

VDL ETG Eindhoven

VDL ETG Research

VDL ETG Projects

VDL ETG T&D

VDL ETG Almelo

VDL ETG Singapore

VDL ETG Suzhou

VDL Network Supplies

VDL Fibertech Industries

VDL Fibertech Belgium

VDL GL Precision (as of 3 March 2015)

Car assembly

VDL Nedcar

Buses & coaches

VDL Bus & Coach

VDL Bus Chassis

VDL Bus Modules

VDL Bus Heerenveen

VDL Bus Venlo

VDL Bus Roeselare

VDL Bus Valkenswaard

VDL Bus & Coach Nederland

VDL Bus & Coach France

VDL Bus & Coach Italia

VDL Bus & Coach Belgium

VDL Bus & Coach Polska

VDL Bus & Coach Deutschland

VDL Bus & Coach Suisse

VDL Bus & Coach Czech Republic

VDL Bus & Coach South Africa (70%)

VDL Bus & Coach Serbia

VDL Bus & Coach Danmark

VDL Bus Center Nederland

VDL Bus Center Deutschland

VDL Busland

VDL Bus & Coach Service FRY-ZHN

VDL Bus & Coach Service Brabant

VDL Parts

VDL Groep

VDL Nederland VDL Holding Belgium

5

Finished products

VDL Agrotech

VDL Industrial Products

VDL Steelweld

VDL Steelweld UK

VDL Steelweld Deutschland

VDL Steelweld Sweden

Hapro International

VDL Klima

VDL Klima Belgium

VDL Klima France

VDL KTI

VDL Delmas

VDL Containersystemen

VDL Containersysteme

VDL Translift

VDL Weweler

VDL Weweler Parts

Weweler-Colaert

Truck & Trailer Industry

PMB-UVA International

VDL USA

VDL Middle East

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This has been a remarkable year for VDL Groep, with the reopening of VDL Nedcar by King Willem-

Alexander and the launch of MINI production in the Netherlands, on 17 July 2014. Another milestone

in our history was the arrival of the 10,000th employee in August, at VDL Steelweld in Breda.

From a financial point of view, 2014 was a stable and favourable year for VDL Groep, with four solid

quarters. In every respect, 2014 became a record year. Naturally, the start of production at VDL Nedcar had

a positive influence on results, but even without this contribution, we can look back on a year of growth.

Combined turnover rose from 1.812 billion euro in 2013 to 2.546 billion euro in 2014. Consolidated

turnover amounted to 2.342 billion euro as compared to 1.632 billion euro in 2013. Net result rose from

88.6 million euro in 2013 to 104.2 million euro in 2014. The tax burden in the first half of 2014 was

lower, based on the forecast fiscal loss at VDL Nedcar. Total turnover for 2014 was the best in our history

and that is a performance we can be proud of. This fact offers further room for investments in 2015.

The balance sheet position remains unabatedly strong, with a solvency of 56%.

The number of employees rose from 9,216 at year end 2013 to 10,303 at year end 2014 (of which

81% employed in the Netherlands). 94% of this 1,087 person increase was achieved autonomously.

The other employees entered the service of our business following the takeover of Translift (Dronten).

This autonomous growth demonstrates that production in the Netherlands and Belgium still remains

possible. Nonetheless, a sound industrial policy is vital. We continue to call for a level playing field in

Europe. This is essential if we are to continue manufacturing here. A good lending climate, sound credit

insurance and a flexible labour force – with a structural system of part-time unemployment benefit and

flexible employment schemes for the over 55s – and technical training programmes are of key importance.

We must continue in pursuit of a level playing field not only in Europe but throughout the world.

Many countries around the globe impose import duties, while Europe continues to believe in a free trade

zone. We must treat our trading partners in the world the same way they treat us. Only then can

employment opportunities in Europe be maintained and we can form a strong block to uphold our

position in the world economy.

R E P O R T

O F T H E B O A R D

O F M A N A G E M E N T

8

Turnover

Combined turnover for 2014 amounted to 2.546 billion euro. As compared to the 1.812 billion euro in

2013, this represents an increase of 41%. Internal deliveries also increased, but fell as a percentage of

total turnover.

2014 2013

million euro million euro

Combined turnover 2,546 1,812

Internal deliveries - 204 - 180

Consolidated turnover 2,342 1,632

The balance between international and domestic turnover clearly changed in 2014. The share of

international turnover rose by 10% in 2014, as compared to 2013. This is mainly due to the start of

production at VDL Nedcar for our client BMW Group in Germany.

2014 2013

million euro % million euro %

International 1,799 77 1,096 67

Domestic 543 23 536 33

2,342 1,632

In 2014, we supplied products worldwide to 111 countries outside the Netherlands. International turnover,

divided among the various continents, is as follows: Europe 1.571 billion euro (41 countries), Asia 137

million euro (30 countries), North America 48 million euro (2 countries), South and Central America 28

million euro (15 countries), Africa 11 million euro (20 countries) and Oceania 4 million euro (3 countries).

If turnover is broken down country by country, we see that Germany has become our largest market, even

overtaking the Netherlands. In addition, Sweden and Great Britain were important markets.

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CONSOLIDATED TURNOVER(in million euro)

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CONSOLIDATED TURNOVER(in million euro)

NET PROFIT(in million euro)

TURNOVER PER COUNTRY(in million euro)

Germany 970

Netherlands 543

Sweden 108

Great Britain 106

Singapore 92

Belgium 84

Spain 53

France 51

USA 47

Finland 32

Switzerland 26

Poland 25

Italy 25

Jamaica 25

Norway 20

Czech Republic 12

Denmark 12

Others 111

9

Divisions

If the combined turnover of VDL Groep is broken down according to the divisions subcontracting, car

assembly, buses and coaches and finished products, we see that all divisions contributed to grow, whereby

car assembly made the greatest contribution.

2014 2013

million euro % million euro %

Subcontracting 795 31 794 44

Car assembly 775 31 120 7

Buses and coaches 417 16 391 21

Finished products 559 22 507 28

2,546 1,812

Subcontracting

Turnover in the subcontracting division rose fractionally from 794 million euro in 2013 to 795 million euro

in 2014. The semiconductor and automotive market, both important to this division, showed a slight

downturn in the second six months. At year end 2014, the order book amounted to 250 million euro, as

compared to 237 million euro at year end 2013. The subcontracting division showed a profit in 2014,

although the result was less than last year.

In 2014, VDL invested heavily in research and development capacity with a view to further optimising our

expertise as a high-tech subcontractor. The outcome was open cooperation with customers in the field of

research and development. Collaboration with ASML was for example intensified, whereby VDL adopted

full responsibility for the design and fabrication of the wafer handler at ASML.

Turnover in the subcontracting division rose by more than 10% in the first quarter of 2015, from 194

million euro in the first quarter of 2014 to 214 million euro. The order book in week 13 amounted to 261

million euro, which was higher than in the same week last year (250 million euro). The semiconductor and

automotive market, both important for this division, appear to be showing some recovery, and

expectations for 2015 are reasonably good.

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2014 2013

million euro % million euro %

Mechatronic systems 422 53 432 54

Metalworking 294 37 290 37

Plastics processing 72 9 65 8

Surface treatment 7 1 7 1

795 794

Mechatronic systems and system supply

Turnover in the mechatronic systems and system supply sector fell from 432 million euro in 2013 to

422 million euro in 2014. This was mainly due to the temporary delay in the definitive breakthrough by

EUV, the next generation of lithographic systems for the semiconductor industry. This delay meant a fall in

demand for those technologies in which VDL has traditionally occupied a solid position such as

‘lithography’ and ‘metrology’. To meet growing market demand for other semiconductor technologies

‘deposition’ and ‘etching’, VDL further expanded its presence in Silicon Valley (United States). This is the

leading region where there is a concentration of businesses specialising in those fields. This made it

possible to respond better to the ever continuing clustering of businesses operating worldwide in the

sector of production equipment for semiconductors.

The markets for production equipment for LED and solar cells developed as expected during the course of

last year. Alongside these markets, in 2014, VDL also focused considerable attention on the market for

equipment for scientific and technological applications. Important steps were for example taken in

cooperation with institutes including CERN and PSI, in the field of linear accelerators, and with ESO in

relation to the development of the world’s largest telescope in Chile.

We expect moderate growth in 2015, fuelled by an upturn in previous generation products for our

customers in the semiconductor industry. As a consequence of the ever broader use of semiconductors,

this generation of products can once again be deployed competitively. The order book remains stable, and

we predict a positive year, in particular now the figure for VDL GL Precision in Eindhoven will be included

in this sector. This company, with a staff of 150, was taken over in March 2015 from Gerard van der

Leegte, the brother of Wim van der Leegte.

SUBCONTRACTING

Mechatronic systems 53%

Metalworking 37%

Plastics processing 9%

Surface treatment 1%

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The activities of VDL GL Precision, in particular in the field of high-end processing technologies, tie in well

with the existing activities of the mechatronic systems and system supply sector. The company specialises in

the manufacturing of very complex fine-mechanical components and assemblies for among others the

semiconductor industry, the aerospace industry and the optical industry. The core activities of the business

also include a number of specific processes including microlaser welding, representing an important

addition for VDL Groep.

Metalworking

Turnover in the metalworking sector grew from 290 million euro in 2013 to 294 million euro in 2014.

The fact that we have a presence in many industrial sectors proved particularly useful. As a metalworking

player, VDL is active in the automotive industry, the food industry, the energy market, telecom,

construction and infrastructure, and the waste processing industry. New markets are constantly being

explored, and new products are being developed that fit in with the current product range.

Over the past year, we once again invested in advanced machinery and further automated production

processes to maintain our international competitive position. For example, on 1 January 2014, VD Leegte

Metaal in Hapert obtained the international NEN-EN 1090 welding certificate in the highest execution class

4. This means that the metalworking company is authorised to weld construction parts in the heaviest

category. In particular for orders from the construction and infrastructure market, this new standard is of

key importance. VDL has numerous customers in this sector.

To meet the needs of our customers in the automotive industry, in particular at VDL VDS Technische

Industrie in Hapert, we considerably expanded the machine fleet with a series of new machines, a 3D laser

cutting machine, two flanging machines, a CNC spot welding robot and an automated welding cell.

Increasingly, VDL companies are required to supply ever more complete products, products manufactured

using follow on-bending-butting tools, followed by a variety of fastening techniques such as robot

welding, spot welding and/or a whole range of assembly activities. Using these machines we can easily

fulfil these requirements.

The prices in this sector remain under pressure due to the availability of products from low wage countries,

and customers demand ever shorter delivery times combined with quality and flexibility. The VDL

companies serve increasingly as system supplier, with involvement in the entire process from design and

production through to delivery and maintenance. Through collaboration with other group companies,

VDL demonstrates its added value.

The order book in the metalworking sector is currently well-filled. Despite rising raw material prices and

difficult recovery in some markets, prospects for 2015 can be described as broadly positive, and slight

growth is expected.

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Plastics processing

Turnover in the plastics processing sector rose by 11%, from 65 million euro in 2013 to 72 million euro in

2014. The automotive sector and medical industry were once again key markets over the past year.

VDL Wientjes Roden moved to a new location with cleanroom facilities. Investments at this company also

included a lathe and a cutting machine. Together with VDL Parree, a 3D photographic measurement

system was purchased; a very precise system that is also suitable for reverse engineering (product

improvement) and that has already been deployed on several occasions, at specific customer request.

At VDL Parree in Sevenum, investments were also made in three new injection moulding machines (80,

140 and 500 tonnes) and a CNC processing machine for tool making. This makes it possible to deploy a

variety of new techniques during the injection moulding process, such as Mucell (for weight saving and

shape retention in the product) and prägen (to reduce internal tensions in the product).

VDL Kunststoffen saw deliveries to the logistic sector rise considerably in 2014. These deliveries focused

mainly on components and assemblies for internal transport systems for distribution centres for consumer

articles sold online.

VDL Fibertech Industries strengthened its position for composite (carbon and glass fibre-reinforced) plastics

in 2014 with the takeover of the activities of Acrosoma in Belgium. This has added to the range of

possibilities a promising technique of stitched and pultruded sandwich panels (drawn through a mould).

Possible applications have been expanded to include aerospace and transport.

These investments in the latest machines, techniques and automation, combined with our high level of

knowledge in the field of plastics mean that we can increasingly act as a system supplier in successfully

tackling the complex problems posed by our customers.

The order book for the total plastics processing sector is currently reasonably well-filled. Despite the

considerable rise in raw material prices, prospects for 2015 are fairly positive, and we expect turnover to

be slightly higher than in 2014.

Surface treatment

Turnover in the surface treatment sector remained practically unchanged (7 million euro). In 2014,

VDL Laktechniek stood out as a logistic partner for Volvo. From Eindhoven, the parts painted by us are

transported directly to the various production locations in Europe. To meet this customer requirement, we

equipped a new warehouse. Our competitive position has been strengthened, and despite price pressure

from the automotive sector, the forecast for 2015 is that turnover will rise slightly, as compared to 2014.

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Car assembly

The car assembly division made a contribution to turnover of 775 million euro in 2014, as compared to

120 million euro in 2013. This turnover was not only achieved from the production of cars on behalf of

BMW Group, but also from the work by seconded personnel to other companies, the supply of press work

to third parties, and engineering and installation work. The start-up costs for the first six months of 2014

were compensated for by the provisions established for that purpose. VDL Nedcar contributed to the result

in 2014, with a slightly positive result.

2014 2013

million euro % million euro %

Car assembly 775 100 120 100

775 120

The first six months of 2014 were hallmarked by completion of the technical alterations to the production

facilities in and around the plant. At the same time the first trial series of the new vehicles were built, and

the production facilities tested. More than 800 new employees were recruited and trained.

At the latest by 1 January 2015, all 1,500 original staff were to have returned to work at VDL Nedcar, but

this target had already been achieved by mid-2014, and the number of employees actually rose to almost

2,500 at year end.

17 July 2014 was the big day: VDL Nedcar in Born was officially reopened by King Willem-Alexander. On this

occasion, the starting signal was also given for MINI production in the Netherlands. The King’s grand mother

and mother preceded him by opening the car plant in 1968 and the refurbished production halls in 1995.

We can look back on a memorable day that we were able to celebrate together with our employees,

customers and business relations.

Since last summer, VDL Nedcar has been producing the 3-door MINI Hatch, on behalf of BMW Group.

The start of production went according to plan. Quality and delivery reliability easily meet the requirements

imposed. In 2014, VDL Nedcar produced a total of 29,196 vehicles, all of the type MINI Hatch.

In 2014, VDL Nedcar also focused on expanding its strategy of developing into a fully independent vehicle

manufacturer, producing on behalf of third parties. An active policy of acquisition is in place, for attracting

new customers. Together with the relevant government bodies, we are investigating the possibilities of

equipping the space and infrastructure efficiently and sustainably for future growth. Finally, work is actively

underway on increasing utilisation of the production capacity in the press hall.

17

Production volumes are expected to rise considerably as compared to 2014, and for the longer term

prospects for growth in production numbers and employment are favourable. A number of investments

are planned: premises were recently purchased adjacent to the VDL Nedcar site. We will also be focusing

on strengthening and expanding our competences and on the acquisition of new orders. Clear attention

will also be paid to spatial planning. As an independent car manufacturer, VDL Nedcar will continue to

adopt a flexible attitude in respect of its clients.

During the first quarter of 2015, VDL Nedcar generated turnover of 224 million euro as compared to

178 million euro in the first quarter of last year. The order book is well-filled, both now and for the long

term. Production is in line with planning and prospects for 2015 are positive.

Buses & coaches

Turnover in the buses & coaches division rose from 391 million euro in 2013 to 417 million euro in 2014.

The order book also grew from 128 million euro to 197 million euro at year end. Following a very slight

upturn in 2013, the bus and coach market in Europe continued to shrink. Competition from vehicles from

low wage countries continues to grow. Nonetheless, the buses & coaches division succeeded in

substantially improving the result, although remaining slightly loss-making. This is partly due to high

development costs for new products and production processes in 2014.

The number of buses and coaches sold in 2014 was 42% higher than in 2013 (1,490 as compared to

1,046), thereby increasing our market share. Our complete range of vehicles, both for public transport and

coaches, has now been successfully placed on the market, in a Euro 6 version. Heavy investments were

also made in hybrid and electrical drive systems which for the first time made a considerable contribution

to the order book, in 2014. Over the past year, the effects of a number of organisational changes became

more visible. Efficiency and effectiveness in the buses & coaches division have been further increased.

For 2015, the focus will be on further intensifying efforts in our domestic markets for both coaches and

public transport buses. We will also be focusing further on our export markets. As a result, we expect a

higher number of deliveries in 2015 than achieved in 2014.

During the first quarter of 2015, turnover remained almost unchanged from the first quarter of 2014:

102 million euro. The order book grew as compared to last year from 139 million euro in week 13 of 2014

compared to 186 million euro this year. VDL expects a reasonable year for the buses & coaches division.

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2014 2013

million euro % million euro %

Coaches 154 37 136 35

Public transport buses 129 31 102 26

Parts & services 69 16 60 15

Second-hand buses 41 10 41 11

Mini & midi buses 16 4 12 3

Chassis & chassis modules 6 1 36 9

High-quality Public Transport systems 2 1 4 1

417 391

Coaches

In 2014, turnover in the coaches sector rose from 136 million euro to 154 million euro. However, the

number of coaches delivered fell from 561 in 2013 to 544 in 2014. The changing product mix and the

higher price for Euro 6 vehicles had a positive influence on the turnover.

Our customers, the coach operators, have been facing a difficult market for years; a situation reflected in

their investment behaviour. The introduction of the new Euro 6 technology may have resulted in a better

and more environmentally-aware industry, but costs continue to rise and these increases are difficult for

coach operators to pass on to their end customers. This is also the reason why during the first six months,

many Euro 5 coaches deliberately produced for stock were sold. From the summer of 2014 onwards, these

vehicles were sold out, and the complete switch was made to Euro 6 vehicles.

Also in 2014, VDL Bus & Coach delivered the first Futura FMDs (Futura Medium Deck). The FMD is a new,

lower variant within the Futura family. It is a profitable all-rounder, that can be deployed for both the

touring and higher end intercity market. The core values of our production range, low vehicle weight,

low fuel consumption, high passenger capacity, ample baggage space and low kilometre price make the

Futura FMD a high-value investment for operators. In 2014, 65 of these new FMDs were sold.

BUSES & COACHES

Coaches 37%

Public transport buses 31%

Parts & services 16%

Second-hand buses 10%

Mini & midi buses 4%

Chassis & chassis modules 1%

High-quality Public Transport Systems 1%

20

The total market volume for coaches in 2014 was just under 3% larger than in 2013. This slight growth

was primarily achieved in Germany, Spain, Great Britain and Ireland. Italy and France saw a slight fall as

compared to 2013. The total market share in the Western European coach market achieved by VDL Bus &

Coach rose slightly from 6.7% to 6.8%. The greatest progress was achieved in Sweden, where the FMD2

was sold in large numbers.

We expect the coach market to remain under considerable pressure over the next few years, but to show

slight recovery in the countries of Southern Europe. The first indications of an upturn are already visible in

Spain and in Portugal, although it is too early to talk of a trend. We continue to focus on further

developing the Futura family, and we will be adding a new double-decker model in 2015.

Public transport buses

The public transport bus sector has completed a good year, with an upturn in both turnover from

102 million euro to 129 million euro, and in the number of delivered buses. In 2014, we delivered

637 vehicles, as compared to 561 vehicles in 2013. In a number of countries, limited numbers of public

transport buses were purchased in response to government austerity measures, but this was easily

compensated for by higher numbers purchased in Scandinavia, Germany, the Netherlands and Belgium.

Competition has become more cut-throat, but we have succeeded in maintaining employment

opportunities in the bus sector in the Netherlands and the Flanders region of Belgium, despite increased

price pressure combined with suppliers from low wage countries.

The rise in the number of deliveries was mainly due to the Scandinavian market, where once again many

public transport companies have opted for VDL products. In Finland, for the third successive year, VDL is

again market leader thanks to the complete acceptance of the light-weight concept employed in the Citea

Light Low Entry (LLE). This represents huge advantages as compared to all other competitors, in particular

thanks to the low emission level as a result of favourable fuel consumption and lower operating costs.

More and more cities in Germany have also discovered the Citea LLE, including Düsseldorf and Berlin.

Following intensive testing, Berlin opted for the LLE in 2014, as its 12-metre city bus for the coming year.

In total, 236 LLEs were purchased by Berlin, to be supplied by VDL between 2015 and 2017. In the

Netherlands itself, VDL also supplied 164 Citea LLE vehicles, for use in the Province of North Brabant. In

addition to a number of electrical projects, including a pilot involving 15 Citea Electrics for the Province of

North Brabant, a large order for 120 hybrid buses was awarded for De Lijn, in Belgium. These vehicles are

to be delivered in 2015.

Total market volume for public transport buses in Western Europe fell by 4% as compared to 2013.

This fall was mainly caused by a major downturn in France, Italy and Great Britain. Despite this fall,

VDL Bus & Coach increased its market share in the Western European public transport market, by almost

one percent, from 5.50% in 2013 to 6.45% in 2014.

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We expect a stable or slight downturn in the market for 2015. In particular in VDL’s key public transport

markets, few deliveries are expected, due to an overall fall in the number of tenders for deliveries in 2015.

However, the situation is expected to turn around, in 2016.

VDL will be further investigating the possible applications of hydrogen, and will be focusing more

intensively on E-Mobility. The VDL Citea Electric has already been introduced, whereby the high degree of

modularity in the Citea means we can offer tailor-made products to our client operators. The Citea Electric

is ideal for any specific local situation. Our essential core values such as light-weight construction, optimum

access and comfort for both passengers and drivers can be guaranteed, as a result. There are already

projects in Finland, Sweden, Germany and the Netherlands, whereby during the course of 2015, 12 and

18-metre articulated versions of the electrical buses will be delivered. The 18-metre buses for the German

city of Cologne will be given a new BRT (Bus Rapid Transit) design. In Belgium, the 120 Citea SLF hybrid

buses are due to go into operation. The Citea SLF Hybrid is based on the Citea Electric and uses the same

modular construction.

Parts & services

Despite increased competition, 2014 was a good year for parts & services, with growth in turnover of 15%

(from 60 to 69 million euro). For parts & services, the bus and coach market is in a considerable state of

flux, with prices for parts and repair & maintenance conditions under huge pressure. This is partly due to

ever growing numbers of suppliers from China, Brazil and India, who are attempting to acquire a greater

market share in Europe.

Central Service (previously a division within VDL Bus & Coach) was physically and organisationally

integrated with VDL Parts in January 2014. As a result, all VDL Bus & Coach after sales activities have been

centralised at a single location at VDL Parts in Veldhoven. In 2014, VDL Parts achieved growth in England,

the United Arab Emirates, Scandinavia and Germany. Turnover growth was also achieved in the Benelux

countries. Due to the absence of tenders in a number of other export countries, sales in those countries

actually fell, for example in South Africa, Jamaica, and Ghana.

VDL Parts achieved its first ‘Bus Related Parts’ success in 2014. Over the next two years, we will be

supplying parts for ‘non-VDL buses’ to a large public transport operator in Germany. This year, ‘Bus Related

Parts’ is on the agenda to become an ever larger proportion of our turnover, but that will require further

intensifying the relationship with our sales network and end customers.

In 2014, VDL Busland moved from Eindhoven to Valkenswaard, where it now shares premises at the VDL

Bus Valkenswaard location, together with VDL Bus & Coach Nederland. The aim of this move is to improve

service to our customers for maintenance, repair, and damage repair. In the domestic market in the

Netherlands, VDL Busland once again achieved considerable advances, in 2014. Alongside the already

existing workshops, new workshops were opened in Den Bosch and Tilburg at the end of 2014, raising the

number of VDL Bus & Coach workshops in the Netherlands to seven.

24

Prospects for 2015 are positive. We will continue to invest in strengthening our commercial activities,

above all with a view to expanding our VDL Bus & Coach after sales activities.

Second-hand buses

The stabilisation in turnover expected for 2014 did indeed continue, so that turnover at VDL Bus Center

remained the same, at 41 million euro. The total number of buses sold fell from 802 to 479, but the

proportion of young second-hand buses sold was higher than in 2013. The number of second-hand public

transport buses sold fell from 417 to 113. This fall was due to the postponement of purchase decisions to

2015 and uncertain political situations in a number of important sales markets. The number of coaches

and mini & midibuses sold fell from 385 to 366. However, sales of coaches to new European Member

States rose, and VDL Bus Center expects further growth on this market in 2015. This growth is due to

more intensive collaboration with the existing sales network, on which much energy was spent over the

past few years. These efforts will be further expanded in 2015.

In 2015, our focus will be on cooperation with new local professional agents for export outside Europe,

and these efforts are expected to start to bear fruit over the coming year. The activities of VDL Bus Center

France were fully integrated in the VDL Bus & Coach France sales organisation, in December 2014. This

move will have a positive impact on the figures for VDL Bus Center in 2015. We expect turnover to remain

at a similar level, in 2015.

Mini & midi buses

Turnover in the mini & midi buses sector (including police vehicles and damage repair) rose from

12 million euro in 2013 to 16 million euro in 2014. The number of vehicles delivered rose from 132 in

2013 to 172 in 2014. The focus we have placed on the MidCity and international tenders in the public

transport market over the past few years was continued. The order for MidCitys for public transport in

Belgium was fully delivered in 2014, and was followed by a further major series order. As expected our

market share in Germany, Belgium and the Scandinavian countries rose further in 2014, and we predict

further slight growth in 2015. In particular prospects are positive in Germany, and in Italy we are gaining

ground. We are seeing signs of recovery in the Netherlands, and we above all supplied more VIP vehicles

and luxury buses for airport transport and hotel shuttles. The demand for new police vehicles was below

expectations, but the upgrading and alteration of existing vehicles influenced turnover positively, as was

the case in 2013.

In 2015, we expect to once again deliver more new vehicles, and to achieve higher turnover in the special

(electrically-powered) vehicles and projects. Turnover in the damage repair division fell slightly in 2014.

Despite a shrinking market and major changes among our clients, we have a broadly positive view for the

future in this division. The order book for the entire mini & midi buses sector is well-filled and we therefore

expect further growth for 2015.

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Chassis & chassis modules

External turnover for chassis and module builder VDL Bus Chassis fell from 36 million euro in 2013 to

6 million euro in 2014. This fall in turnover was due to delivery of modules to bus and coach builders

outside VDL, that fell from 586 chassis in 2013 to 278 in 2014. Sales generated by deliveries to sister

companies within VDL Bus & Coach for the construction of complete vehicles, on the other hand, rose

considerably from 747 to 1,094 modules. The total number of modules delivered therefore rose from

1,333 in 2013 to 1,372 modules in 2014.

In 2014, VDL Bus Chassis successfully transformed its chassis configurations for the European market to

the Euro 6 standard. Euro 3 and Euro 5 chassis remain available for delivery, but only for the export market

outside Europe.

Engineering activities in 2014 were above all hallmarked by the further optimisation of the product range,

with lower weight and improved emission values. The core competence in the field of driveline technology

was further extended over the year just ended. In the field of innovation, VDL Bus Chassis above all

achieved progress with the development of hybrid and fully electrical bus systems. In 2015, this

development will be added to the core competences.

In production, continuous improvements are being achieved in the logistic process and assembly process,

in turn leading to higher quality and lower costs. The principles of lean manufacturing are the basis for

further production optimisation. The final changes were made to the assembly line, last year. In 2015, a

start will be made on further automating the welding process.

Partly thanks to stabilisation of the market, total external turnover in 2015 is expected to remain at a level

similar to that achieved in 2014.

High-quality Public Transport Systems

Turnover in the High-quality Public Transport Systems sector fell from 4 million euro in 2013 to 2 million

euro in 2014. APTS (Advanced Public Transport Systems) in Helmond, a company in which VDL Groep held

70% of the shares, was unfortunately forced to cease activities in November 2014. Over the past few

years, the company has been faced with loss-making projects in France and in Italy. Part of the payments

for these projects remained uncollected and there were numerous technical/commercial points of discussion.

Because there was no sign of improvement in this situation in the short to medium term, the shareholders

– alongside VDL Groep also Simac (18%) and BOM (12%) – recognised the need to halt these activities.

APTS employed a staff of 15. All employees were offered alternative employment at VDL Bus & Coach.

The Phileas vehicles operating in Eindhoven, Istanbul, Haifa, Cologne and Douai are not to be removed

from the road, and VDL Bus & Coach will continue to carry out maintenance.

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Finished products

Turnover in the finished products division rose by 10% from 507 million euro in 2013 to 559 million euro

in 2014, with a positive result. All sectors in this division had an excellent year. Although the order book

shrank from 282 million euro at year end 2013 to 189 million euro at year end 2014, this was above all

due to the fact that the sector production automation systems had an extremely well-filled order book at

year end 2013. VDL Steelweld has now completed a large number of projects, so the total order book for

the finished products division has fallen to a normal but still good level (187 million euro at the end of

week 13 2015). Turnover in the first quarter of 2015 amounted to 105 million euro, which although 5%

lower than in 2014 (111 million euro) in no way changes the fact that prospects for 2015 are favourable.

2014 2013

million euro % million euro %

Production automation systems 201 36 187 37

Suspension systems 133 24 129 26

Heat exchangers 94 17 87 17

Container handling equipment 48 8 20 4

Cigar-making and packaging machines 26 5 27 5

Sunbeds and roof boxes 25 4 26 5

Systems for the agricultural sector 22 4 22 4

Systems for the industrial sector 10 2 9 2

559 507

Production automation systems

2014 was a good year for production automation system manufacturer VDL Steelweld in Breda. Turnover

rose by 7% from 187 million euro in 2013 to 201 million euro in 2014, breaking through the 200 million

euro barrier for the first time.

FINISHED PRODUCTS

Production automation systems 36%

Suspension systems 24%

Heat exchangers 17%

Container handling equipment 8%

Cigar-making and packaging machines 5%

Sunbeds and roof boxes 4%

Systems for the agricultural sector 4%

Systems for the industrial sector 2%

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This record turnover was due to major orders to supply production lines to various automotive manufacturing

plants for Jaguar, Land Rover, Volvo, Ford, and VDL Nedcar. As a result, dozens of new jobs were created in

Breda (the Netherlands), Barford (Great Britain), Cologne (Germany) and Arad (Romania). At the start of

2014, a new plant was also opened in Torslanda, Göteborg (Sweden).

Successes were also achieved outside the automotive industry. Together with a number of other VDL

companies, series production of the previously developed AGV (Automatic Guided Vehicle) is fully up and

running. Also in 2014, a start was made on the development and construction of two prototype AGVs for

the port of Singapore. These activities are due to be further expanded in 2015.

The order book was very well-filled at the start of 2015 and 2015 is expected to be an excellent year.

As well as maintaining the market position in Europe, the focus in 2015 will above all be on the further

internationalisation of activities. A VDL Steelweld entity is due to be established in China, and a joint

venture will be established in India, to support both VDL Steelweld and other VDL companies (in particular

in the buses & coaches division) in the first instance in relation to engineering and design. VDL Steelweld

will also be tackling the American market. We will of course continue to work on a range of product

innovations, and the development and optimisation of production methods.

Suspension systems

Total turnover in this sector rose by 3% from 129 million euro in 2013 to 133 million euro in 2014.

Suspension systems manufacturer VDL Weweler holds almost 40% of the European market. Worldwide,

the share in the sale of air suspension systems for trucks and trailers is approximately 20%. Now the

construction of a new production company in Apeldoorn has been completed, the focus is on new

markets outside Europe. For customers, quality is becoming ever more decisive as compared to where in

the world the suspension systems are produced. This offers opportunities for VDL Weweler, since the

quality of its products is very high, thanks to the high level of automation. The infrastructure in China is

constantly improving, leading to steady growth in the demand for air suspension systems for trailers in that

country. For that reason, a new trading office will be established in China in 2015, VDL Weweler Asia, to

improve the level of service to the market in Southeast Asia.

VDL Weweler Parts, supplier of truck and trailer replacement parts and workshop equipment, continued

the growth experienced over the past few years, through 2014. The warehouse in Apeldoorn has moved

to a larger location, and now serves as the central distribution centre for the other locations in Best,

Hoogezand, Moordrecht and Kapelle. In Kapelle, where space is rented from sister company Hapro

International, warehouse space was doubled in 2014, and sales offices were built. These investments were

necessary to enable us to further expand our product range and service provision, in 2015 and beyond.

Following a successful first six months, turnover figures of the Belgian company Weweler-Colaert

developed less steadily in the second six months of 2014, due to the political crisis in Eastern Europe.

In terms of turnover, Weweler-Colaert closed the year at a level similar to that achieved in 2013.

The company, market leader for the replacement market in Europe, also succeeded in further

strengthening its position in Asia, in the year just ended.

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30

Our sales office in Norway, Truck & Trailer Industry, had a good year, with a slight rise in turnover. Above

all the first three quarters were excellent. Towards the end of the year, sales of suspension systems and

spare parts stagnated, due to the low oil price and the fall in the value of the Norwegian krone, as

compared to the euro. This was compensated for by sales activities at the various Truck & Trailer Industry

service points.

The order book for the total suspension systems sector is well-filled and further growth is expected in 2015.

Heat exchangers

2014 was a good year for the heat exchanger sector, despite continuing difficult market conditions.

Turnover rose by 8% from 87 million euro in 2013 to 94 million euro in 2014.

VDL Klima saw slow growth in the shipbuilding market. The number of investments in the oil and gas

market improved. The market for wind energy also performed well, in particular in France. At the end of

2014, new premises were opened for the production plant in Hamont-Achel (Belgium) with state-of-the-

art machinery for the production of heat exchangers. The major fall in the oil price is expected to have a

negative effect on current and new investments in the oil and gas markets. As a result, investments in

green energy are also likely to stagnate. The huge fall in the value of the euro as compared to the dollar is

expected to have a positive influence on exports.

For VDL KTI in Mol (Belgium), 2014 was a year of recovery as compared to 2013, for both heat exchangers

and high-voltage masts. At the start of 2014, VDL KTI received a major order for high-pressure heat

exchangers for the Chinese market. Production was also started on a series of high-voltage masts for the

Dutch market. Alongside these standard products, major orders were also received for barrels intended for

the Dutch petrochemical industry, and orders for the production of scrubbers. These scrubbers will be used

for cleaning exhaust gases from ships. Based on current legislation, we have positive expectations for this

product. In 2015, VDL KTI expects this positive trend that started in 2014 to continue.

At VDL Delmas in Berlin (Germany), growth was also achieved, but given the current market situation, it is

proving difficult to maintain turnover at this level. Above all on the energy market, the situation remains

difficult because of political unrest and inconsistent energy policy by various governments. The result is

considerable uncertainty among investors. To retain the positive line, more focus is being placed on

exports, for example to India, Brazil and America. The same level of turnover is expected in 2015 as that

achieved in 2014.

The prospects for the total heat exchangers sector are cautiously positive. We expect turnover in 2015 to

match the level achieved in 2014.

Container handling equipment

Turnover in the container handling equipment sector rose considerably from 20 million euro in 2013 to

48 million euro in 2014.

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VDL Containersystemen can look back on a very good year. Truck-related turnover from existing products

such as hook lift, skip loader and cable systems rose. Both large fleet owners and small owner drivers

are slowly starting to once again invest. Turnover from spreaders also rose again due to the completion

of a number of projects, including a project in Turkey where 15 electrical spreaders were supplied, with

an option for a further 7 spreaders. In a number of comparative tests, the spreaders from VDL emerged

as excellent in terms of reliability and speed of maintenance. The introduction of our new product for

the port sector, the AGV (Automatic Guided Vehicle), made a major contribution to the growth of VDL

Containersystemen. In 2014, a start was made on the development and construction of two prototype

AGVs for a customer in Singapore. In collaboration with VDL Steelweld, the AGV segment (both for

the port sector and beyond) will be further expanded in 2015. We have also launched a series of other

projects, including unwinding equipment and snow compressors that will enable us to employ our

expertise in the field of heavy constructions in combination with hydraulics and complex control systems.

In October 2014, the company Translift in Dronten was acquired by VDL Groep. This company, specialising

in waste collection systems, side loaders and underground containers, also contributed to the turnover in

the container handling systems sector. The production of these systems involves intensive cooperation with

other VDL companies. According to expectations, the number of waste collection systems sold will start to

rise in the second half of 2015.

The total order book for the container handling systems sector is very well-filled, and we expect further

growth in turnover, in 2015.

Cigar-making and packaging machines

For PMB-UVA International, 2014 was a stable year with turnover amounting to 26 million euro as

compared to 27 million euro generated in 2013. The patent position was further strengthened, enabling

PMB-UVA International to once again offer a number of unique solutions to its customers. Because these

innovations are based on actual requests from customers, the time to market is short. Such global themes

as food safety and hygiene were also the driving forces behind further product development in 2014.

In 2014, PMB-UVA International also achieved a great deal in the continuous improvement of its internal

processes, with a view to achieving shorter delivery times and even higher product quality. This involved

investment in a new ERP and PDM (Product Data Management) system, and upgrading the ICT infrastructure.

The manufacturing facilities at PMB-UVA International have been renewed and expanded, in order to

achieve shorter response times to customer-specific product developments. This manufacturing capacity

will also be deployed to shorten delivery times for specific spare parts for both customers in the packaging

industry and in the tobacco industry.

In the cigar market, turnover in terms of machines and spare parts once again remained stable. The

portfolio of PMB Tobacco includes a number of unique products, so prospects for this market are positive.

A slight upturn in turnover is expected in 2015. The prospects at UVA Packaging, where vertical packaging

machines are developed and constructed, are also positive for 2015.

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Sunbeds and roof boxes

Turnover at Hapro International, manufacturer of sunbeds, roof boxes, bicycle carriers and skin

improvement equipment, fell slightly from 26 million euro in 2013 to 25 million euro in 2014. Turnover in

the sunbed sector remains under pressure as a consequence of fluctuating reports about this group of

products. The turnover in roof boxes rose steadily. The rise in the number of hybrid vehicles with less

luggage space is one of the main causes. Constructive discussions are currently underway with automotive

manufacturers for the supply of roof boxes, which offer excellent prospects for the future. Asia and

Oceania are important growth markets for roof boxes and skin improvement products. In 2015, we expect

to achieve the same level of turnover as in 2015.

Systems for the agricultural sector

VDL Agrotech has enjoyed a reasonable year. In a shrinking market for housing systems for intensive

livestock farming, turnover remained practically unchanged (22 million euro). A number of new markets,

based around countries like Kazakhstan and Uzbekistan in the Middle East and Central Asia made this

possible, alongside the introduction of a new pan feed system. The lower euro exchange rate also had a

positive influence on sales to countries with dollar-related currencies. The project market is highly

dependent on bank credits, and certainly in Eastern Europe, this represents a difficulty. The political

instability in the Middle East still makes export to a number of countries in this region difficult. In

Central Asia, turnover is expected to grow thanks to a further rise in regular sales via the dealer network.

Expectations for 2015 are positive.

Systems for the industrial sector

For VDL Industrial Products, 2014 was a good year. Turnover rose from 9 million euro in 2013 to 10 million

euro in 2014. In the course of 2014, the company focused on a broader and more in-depth range of

products, based on product development. The selection of rotary valves was expanded with the addition of

a new range (known as the Medium Duty range). These devices are intended specifically for production

processes where higher demands are placed on machines and processes such as the food industry and the

chemical sector. As well as developing products for solid handling, the first steps have been taken to come

up with a number of new developments for fire and explosion protection. VDL Industrial Products

commissioned a complete newly-built test installation, in 2014. This makes it possible to thoroughly test

both customer specific and standard solutions, before they are delivered to the customer. Expectations for

2015 are positive. As well as expanding the product range, we will also be developing new activities in

terms of service. All in all, we expect slight growth in 2015.

New companies

In January 2014, the company VDL Steelweld AB was established in Torslanda, Göteborg (Sweden).

This company offers support for turnkey projects in the field of robot production automation systems for

the automotive industry in Sweden, including projects for our customer Volvo. VDL Steelweld in Sweden

employs approximately 25 people.

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34

35

In mid-May 2014, the activities of the Belgian company Acrosoma were taken over by VDL Groep.

This company, established in Lokeren, specialises in the production of composite sandwich panels that are

for example used for further weight reduction in the aerospace industry, buses and container systems.

This technology ties in well with the current activities at VDL Fibertech Industries in Best. The R&D activities

in Belgium have been integrated with the R&D activities of VDL Fibertech Industries. The plant with

5 employees was renamed VDL Fibertech Belgium.

On 13 October 2014, VDL Groep acquired Translift based in Dronten (the Netherlands). The company,

with 63 employees, will continue to operate under the name VDL Translift. VDL Translift is active in the

development, production, assembly, sale and service of waste collection systems. VDL Translift also has its

own range of innovative side loader systems for the collection of aboveground and underground waste

containers. The activities of VDL Translift tie in well with the other activities of VDL Groep in respect of

container handling, logistic transport systems and waste processing.

In November 2014, the company VDL Bus & Coach Service Brabant was established. This company, with

20 employees, carries out maintenance and repair work for coaches, buses and other transport systems

from workshops in Den Bosch and Tilburg. These workshops are intended to carry out all maintenance and

repair work for the North Brabant concession, as part of the agreement for the supply of 164 public

transport buses for Arriva. A collaborative venture was also entered into with an external party for the

maintenance of the VDL buses in the other towns and cities of Brabant.

Investments

In 2014, VDL Groep invested 115 million euro, approximately one-third in business premises and two-thirds

in machinery and other equipment.

At VDL VDS Technische Industrie in Hapert, the first three phases of the renovation of the building were

completed in 2014. A fourth phase is still to be implemented, in connection with the purchase of an

800-tonnes press. For this investment a production hall with a surface area of 1,350 m² will be raised to

a height of 10 metres. The project will be completed by mid-2015.

Due to lack of space, VDL Wientjes Roden has been renting commercial premises at three different locations

for a considerable time. To solve this situation, new premises were purchased in 2013, occupying

approximately 14,000 m² on a 40,000 m² plot. In 2014, these buildings were prepared for the production of

plastic products. At this new location, VDL Wientjes Roden has once again brought all the processes under

one roof and there is space for expansion. The staff of VDL Wientjes Roden relocated at the start of 2015.

The construction of the new plant for VDL Klima Belgium, previously Klima Warmtetechniek, in Hamont-

Achel (Belgium) was completed at the end of 2014. The new premises cover a total area of 12,500 m², of

which 10,500 m² for the production hall and 2,000 m² for offices.

In 2014, the rented premises at VDL ETG Eindhoven and VDL ETG Almelo were purchased. A start will be

made in 2015 on the first phase of renovating and expanding the current buildings. In Eindhoven,

VDL ETG Eindhoven and VDL ETG T&D will be provided with 5,000 m² of additional office space. A link

between the two buildings will also be completed, measuring 1,900 m² housing offices and washing and

36

changing rooms. The production halls will be expanded by 14,000 m², of which 8,200 m² cleanroom and

5,800 m² warehousing. In Almelo, VDL ETG will be building an additional 4,000 m² office space and 8,600

m² production hall, of which 4,200 m² cleanroom and 4,400 m² warehouse. This project will be carried

out in three phases, the first of which will be completed at the start of 2016.

In Germany, we are currently making preparations for new premises for VDL Delmas in Berlin, where

construction work is set to start in 2015. The project will be completed in 2016.

Preparations for the construction of new premises for VDL Fibertech Industries on the Kempisch

Bedrijvenpark in Hapert are now fully underway. Construction work is set to start at the end of 2015.

In 2014, premises were purchased in Eindhoven close to the head office, and adjacent to existing VDL

premises. The offices in this new building will be fully renovated and expanded, and the plant will be

redesigned, so that PMB-UVA International can take possession, at the end of 2015. As a result, the office

and production areas of PMB-UVA International will be in the same location again.

At the end of last year, at VDL Nedcar in Born, an adjacent plot of land measuring 72,000 m2 was

purchased, housing premises occupying 27,000 m2, for future activities.

In total, at year end 2014, VDL Groep owned approximately 1,200,000 m2 of commercial space. VDL also

once again invested heavily in machinery and other equipment in 2014. A series of presses, folding

machines, laser cutting machines and welding robots have been installed. Investments were also made in

measuring equipment and software. In 2015, we are going to invest around 72 million euro in new

buildings, machinery and the optimisation of production processes.

Employees

The number of employees at VDL Groep has risen from 9,216 at year end 2013 to 10,303 at year end

2014, a rise of 12%. 94% of these 1,087 new employees were achieved through autonomous growth.

The remaining employees entered the service of VDL following the takeover of Translift in Dronten.

We would like to express our huge appreciation for the dedication and involvement of our employees over

the past year. Partly thanks to their excellent cooperation, we achieved the highest turnover in the history

of VDL Groep, in 2014.

2010 2011 2012 2013 2014

6500

6000

7000

7500

8000

8500

9000

9500

10000

10500

EMPLOYEES(as at 31 December, including temporary employees)

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Worker participation

Within the Netherlands and Belgium, employees of the majority of VDL companies are represented by their

own Works Council. At group level, there is a worker participation structure, based around the Joint Works

Council (JWC).

The JWC consists of representatives of the various Dutch VDL companies. The JWC met with a member of

the Board of Management on five occasions in 2014, including an annual meeting with representatives from

the Supervisory Board. In November 2014, the new JWC was installed, consisting of 23 members.

Consultation with the JWC is best described as open and positively critical.

Regular themes at JWC meetings are financing and market development for each division, and the

accompanying sectors. The following subjects were also discussed: intensive cooperation between

VDL companies and the HRM department (with special attention for the Employment and Security Act, the

Bezava Act, the Participation Act, changes to pension schemes and legislation and the Old Age Pensions Act),

incapacity for work, job classification and assessment, sickness absenteeism, accidents and the employment

expenses scheme.

Consultation on social issues within the Belgian VDL companies was also constructive, in 2014. Within the

Works Councils, socio-economic issues remain an important topic of discussion. Just as in the Netherlands,

over the next few years, a whole raft of changes are set to take place in Belgium in relation to wage costs,

pensions, part-time employment and incapacity for work. Among the targets set by the new government

are to fully eradicate the wage costs handicap within just a few years, while retirement age will be raised

to 67, in the longer term. The possibilities for taking early retirement will be considerably reduced, and

part-time working will be made less attractive, in order to keep people longer employed. Above all

EMPLOYEES BY GEOGRAPHICAL AREA(as at 31 December 2014)

Netherlands 8,320 (81%)

Belgium 909 (9%)

Rest of Europe 442 (4%)

Rest of the world 632 (6%)

Total number of employees 10,303

EMPLOYEES BY DIVISION(as at 31 December 2014)

Subcontracting 4,158 (41%)

Car assembly 2,495 (24%)

Buses & coaches 1,871 (18%)

Finished products 1,646 (16%)

Head office in the Netherlands and Belgium 133 (1%)

Total number of employees 10,303

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changes to the pension schemes and the prospects of having to work longer were regular subjects of

discussion within the social consultation.

The overall conclusion is that more and more responsibility is being placed with employers, while government

(both in the Netherlands and in Belgium) continues to withdraw ever further. In itself this is a perfectly

acceptable development on condition that government offers employers sufficient authority, and encourages

preventive measures, that remain in line with these developments.

Corporate social responsibility

VDL Groep views corporate social responsibility as an integral part of its overall business policy. As a family

business, VDL Groep had traditionally maintained strong ties with its living and working environment. For

us it is no more than logical that we intend to contribute to the sustainable development of our society.

We demonstrate our social responsibility in various ways, for example through close cooperation with

educational institutions and government, and by sponsoring a range of sporting, cultural and social events

and associations. In 2014, the VDL Foundation was established on the occasion of the reopening of VDL

Nedcar in Born. This foundation supports social care and welfare projects in the Province of Limburg. In

2014, the Cancer Research Fund Limburg / Maastricht University Medical Centre+ was the first beneficiary

of the VDL Foundation. VDL Groep also contributes to Ondernemend Oranje Kapitaal (Orange

Entrepreneurial Capital), an organisation that aims to assist promising Dutch SME businesses to achieve

their (growth) plans.

Technology and technical education

VDL Groep supports a range of initiatives to promote the technical sector and technical education,

including the Ir. Noordhofprijs (our employee Patrick Claassen at VDL ETG Eindhoven was one of the

winners of this prize in 2014) and the Dutch Technology Week. This support is provided with the aim of

encouraging people to become interested in the technical sector, and to underline the importance of

craftsmanship. For regular education, we supply both financial and material support in the form of

providing machines and robots, and offering guest lectures and tours. We also offer internship and

graduation placements at all levels, and operate in-house training courses. In 2014, PMB-UVA International

was nominated for the title ‘Best Learning Establishment Southern Netherlands’.

Alongside the already existing internal training programme for assembly work, in the autumn of 2014 we

launched our own BBL (Working Learning Pathway) training programme for the qualification operator

production technology in plastics. This study programme was developed in combination with the Summa

College and the Mikrocentrum. In-house training programmes have proven extremely effective in matching

supply and demand from practice.

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Employees

VDL is closely involved with its employees. Employee wellbeing is a high priority at VDL. We have our own

disability case managers who strive to establish a plan for each employee’s reintegration from day one,

with special emphasis placed on a personal approach. We also focus continuous attention on creating a

safe workplace. We also offer workplaces for employees with restricted capacities. In November 2014,

VDL VDS Technische Industrie in Hapert won the ‘Bronzen Venster’ award, which is presented once every

two years to companies who have made particular efforts in encouraging the employment of individuals

with restricted capabilities. From a social and financial point of view, we recognise the importance of

ensuring that these people also have an opportunity to participate in society.

The environment

In respect of the environment, VDL operates a sustainable policy. Energy saving and waste prevention

plans and the recycling of raw materials are constant areas of attention. We build company premises under

our own management, and the people who supervise this work from within VDL closely monitor the latest

developments in the field of sustainable building. Our focus is on less material use, lower energy

consumption and reduced environmental burdens. This is achieved for example by using sustainable

materials, the introduction of geothermal heating, and the use of residual heat from the production

process, for heating business premises; for example reusing the heat generated during welding. Another

example of renewed energy use was the installation of solar panels covering the entire roof area of the

factory halls at VDL Steelweld in Breda in May 2014. These panels generate 50% of the company’s energy

requirements.

Sustainable living environment

Despite the fact that the contribution from VDL to a variety of products due to our subcontracting

activities is often less than apparent, we do supply essential components for products that make a

contribution to improving the living environment. One example is a production line for producing

sustainable construction material such as façade panels from plant residues. Recharging columns for

electrical cars, systems for the medical sector and machines for the production of flexible solar cells and

LED lighting are other examples. In the development and manufacture of our own products, such as the

VDL Citea Electric and the VDL AGV, a hybrid-powered port vehicle, corporate social responsibility is an

integral part of the process. All in all, VDL strives to produce innovative products that are manufactured

very smartly from a cost point of view, while at the same time contributing to a sustainable living

environment.

Innovation

Our overall policy is focused on innovation in connection with products and production methods.

We continuously seek the best techniques and invest in the most advanced machinery. Every day, we are

involved in the latest developments to strengthen our competitive position on the world market. We view

technical innovation as an integral part of innovative entrepreneurship. Creativity, daring and craftsmanship

are the key elements.

40

The head office of VDL Groep is based in Eindhoven, and subsidiary companies are concentrated in

Southeast Brabant. This top technology region, Brainport Eindhoven, is an excellent homebase for our

company. Here, we are able to realise high-tech products and projects in collaboration with educational

institutions, government and other companies. From this location, we have succeeded in establishing

unique collaborative ventures with various customers in which we, as an authoritative supplier, provide

highly innovative technical solutions, developed through open innovation.

In 2014, we spent 83 million euro on research & development, and a total of 874 employees were

involved in R&D-related activities across all VDL companies. Those facts place VDL Groep in 7th place in the

Technisch Weekblad index (top 30 business R&D April 2015) making us one of the most innovative

companies in the Netherlands. Once again in 2015 we will be investing heavily in innovations, with a view

to further strengthening our position.

Strategy

VDL Groep aims at controlled development, in which the control of the organisation and the maintenance

of the financial position are the main considerations. The policy of VDL Groep is aimed at continuous

improvement of its competitive position. An essential aspect of this is the analysis and control of costs.

VDL Groep also endeavours to maintain the highest level of quality within all its subsidiaries. The

investments are therefore geared towards the renewal, improvement and expansion of the product range

and the production facilities. In addition, a priority in our personnel policy is to ensure internal promotion

possibilities for employees.

VDL Groep believes strongly in the importance of continued manufacture in the Netherlands and the

Flanders region of Belgium, in a competitive manner. Through our investment in solid professional skills,

as well as in robotisation and automation, we aim to continuously improve our competitive position in the

international market. In addition, our industrial activities in Eastern Europe and Asia enable us to respond

to the specific wishes of our customers in terms of production in those regions. As a result of our sales

branches in various countries and our extensive network of importers and agencies, we are able to sell our

products worldwide. Despite the size of VDL Groep and the increasingly international character of the

company, VDL is and will remain a 100% family business.

Act on Management and Supervision

VDL Groep is subject to the Act on Management and Supervision (Wet bestuur en toezicht), which

regulates the structure of management supervision in public and private limited liability companies. In

accordance with this Act, the company must attempt to ensure that at least 30% of the Supervisory Board

and Board of Management consists of women.

In the past, VDL Groep has had two female members in the Supervisory Board. In 2014, the Supervisory

Board at VDL Groep consisted of 4 people, all men. In the next appointment, we will certainly take

account of a balanced distribution within the Supervisory Board.

41

In 2014, the Board of Management at VDL Groep consisted of six people, all men. Of these six people,

four are due to step down in the next three years. VDL Groep intends to appoint one woman to the Board

of Management in 2016.

Policy at VDL Groep is to encourage the internal transfer of employees, and strives to establish long-term

relationships with its employees, with a view to retaining the company’s culture. We consider the capacity

of the individual, with the aim of placing the right person in the right place, irrespective of gender, age,

nationality or background. In the future, we will of course attempt to take account of a balanced

distribution of Supervisory Board and Board of Management, since we share the opinion that diversity in

the broadest sense of the word is good for the organisation.

Prospects

The fact that for VDL Groep 2014 was a stable year in many respects offers a sound basis for further

growth in 2015. Turnover in the first quarter of 2015 rose from 585 million euro in 2014 to 646 million

euro in 2015. The order book (excluding VDL Nedcar) is slightly less well-filled at 634 million euro at the

end of week 13 of this year as compared to 669 million euro last year, but has remained practically

unchanged compared with the end of 2014 (636 million euro).

All in all, we are on the right track and expect turnover, profit and the number of employees to be slightly

higher in 2015 than in 2014. We have every confidence in the dedication, knowledge and expertise of our

employees, and are convinced that this will once again be a successful year.

Eindhoven, 13 April 2015

The Board of Management,

Wim van der Leegte (Chairman)

Jan Karssen

Wim Maathuis

Jan Mooren

Theo Toussaint

Rini Vermeulen

42

43

We are delighted to present to the shareholders for adoption the

annual report for 2014 drawn up under the authority of the Board of

Management. The annual accounts contained in the report were

audited by Govers Accountants in Eindhoven, and an approved

statement was issued. We subsequently approved the annual accounts.

We propose that the shareholders adopt the annual accounts and

discharge the Board of Management and the Supervisory Board for

the policy implemented and the supervision maintained in the financial

year 2014.

In 2014, the Supervisory Board convened five times in the presence of the Board of Management.

Members of the Board met regularly face to face with members of the Board of Management and the

president. The Supervisory Board convened once in the absence of the Board of Management with a view

to discussing the performance of the Supervisory Board itself, its individual members and the Board of

Management. The normal annual consultation took place with the external accountant, during which the

opportunity was taken to discuss the summary of the audit findings, the accountant’s report, the

accounting systems and the financial administrative organisation of the group. Members of the Supervisory

Board each year attend a meeting of the Joint Works Council.

The Supervisory Board currently consists of four members. Within the Supervisory Board, no special

commissions have been appointed.

During all meetings, the operation and financial state of affairs as compared to the budgets and other

targets for all individual companies and of the divisions to which those companies belong were discussed

in detail. The discussions included the outline of strategic policy, the investment and acquisition policy, the

operating result, the internal management and control system of the company, social policy, the

organisation and development of human resources and management development. During all meetings,

intensive discussions were also held with the Board of Management concerning the integration of VDL Nedcar,

and the further expansion of the relationship with BMW Group. Developments within the buses & coaches

division were also regularly discussed.

Once again in 2014, despite continuing difficult market conditions, VDL Groep achieved an excellent

result. Both turnover and employee numbers rose to record levels. Further explanatory notes are provided

to the development of turnover and results.

Lastly, we would like to express our appreciation to the Board of Management, the Joint Works Council

and all the employees for the achieved result and for their efforts in 2014.

Eindhoven, 13 April 2015

The Supervisory Board,

Louis Deterink (Chairman)

Theo van Deursen

Arie Kraaijeveld

Lau Pas

R E P O R T O F T H E

S U P E R V I S O R Y

B O A R D

44

AUDITOR’S

REPORT

Statement concerning the abbreviated

annual accounts

The accompanying abbreviated annual accounts, consisting of

the consolidated balance sheet as at 31 December 2014, the

consolidated profit and loss account 2014, the statement of

source and application of funds for 2014 and the principles for

valuation and determination of result were derived from the

consolidated annual accounts for 2014 of VDL Groep B.V. We

have issued an approved opinion together with the annual

accounts in our auditor’s report, dated 13 April 2015.

The abbreviated annual accounts do not contain all explanatory notes as required in accordance with Book

9 of the Dutch Civil Code 2. Inspection of the abbreviated annual accounts can therefore not take the

place of inspection of the audited annual accounts of VDL Groep B.V.

Responsibility of the Board

The Board is responsible for compiling a summary of the audited annual accounts in accordance with the

principles as explained in the explanatory notes.

Responsibility of the accountant

Our responsibility is to issue an opinion on the abbreviated annual accounts on the basis of our work,

undertaken in accordance with Dutch law, including Dutch Standard 810, ‘Assignments to report on

abbreviated financial summaries’.

Opinion

In our opinion, the abbreviated annual accounts, in all materially-relevant aspects, are consisted with the

audited annual accounts of VDL Groep B.V. for 2014 and comply with the principles as described in the

explanatory notes.

Eindhoven, 13 April 2015

Govers Accountants / Adviseurs

Paul van Vroonhoven RA

V D L G R O E P

S U B S I D I A R I E S

45

46

S U B S I D I A R I E S

VDL Groep bvBoard of Management:

Wim van der Leegte (Chairman)

Jan Karssen

Wim Maathuis

Jan Mooren

Theo Toussaint

Rini Vermeulen

Vice Presidents:

Wim van Bakel

Simon Bambach

Joost Govaarts

Rémi Henkemans

Henri Koolen

Bas van der Leegte

Jennifer van der Leegte

Pieter van der Leegte

Willem van der Leegte

Hoevenweg 1

5652 AW Eindhoven, the Netherlands

T: +31 (0)40 - 292 50 00

F: +31 (0)40 - 292 50 50

info@vdlgroep.com

www.vdlgroep.com

VDL Nederland bvManaging Director: Jan Karssen

Hoevenweg 1

5652 AW Eindhoven, the Netherlands

T: +31 (0)40 - 292 50 00

F: +31 (0)40 - 292 50 01

info@vdlgroep.com

Supports all group companies as regards financial

affairs, ICT, social affairs, environment & safety,

communications, subsidies and legal affairs.

VDL Holding Belgium nvManaging Director: Leen Van de Voorde

Antwerpsesteenweg 124

2630 Aartselaar, Belgium

T: +32 (0)3 - 870 55 40

F: +32 (0)3 - 870 55 45

info@vdlholding.be

Support of all Belgian and French group companies

in the field of accounting and personnel matters.

VDL International bvManaging Director: VDL Groep bv

Hoevenweg 1

5652 AW Eindhoven, the Netherlands

T: +31 (0)40 - 292 50 35

F: +31 (0)40 - 292 50 50

Holding company for foreign operating companies.

VD Leegte Beheer bvManaging Director: VDL Groep bv

Hoevenweg 1

5652 AW Eindhoven, the Netherlands

T: +31 (0)40 - 292 50 35

F: +31 (0)40 - 292 50 50

Holding company for Dutch operating companies.

VDL Bus Beheer bvManaging Director: VDL Groep bv

Hoevenweg 1

5652 AW Eindhoven, the Netherlands

T: +31 (0)40 - 292 50 35

F: +31 (0)40 - 292 50 50

Holding company for bus and coach companies.

VDL Vastgoed bvManaging Director: Pieter van der Leegte

Hoevenweg 1

5652 AW Eindhoven, the Netherlands

T: +31 (0)40 - 292 50 00

F: +31 (0)40 - 292 50 43

Real estate company for VDL commercial real estate.

VDL Participatie bvManaging Director: Godfried de Jongh

Hoevenweg 1

5652 AW Eindhoven, the Netherlands

T: +31 (0)40 - 292 50 35

F: +31 (0)40 - 292 50 50

Participation company with various minority

participations.

VDL Car Beheer bvManaging Director: VDL Groep bv

Hoevenweg 1

5652 AW Eindhoven, the Netherlands

T: +31 (0)40 - 292 50 35

F: +31 (0)40 - 292 50 50

Holding company for car assembly.

47

S U B C O N T R A C T I N G

VD Leegte Metaal bvManaging Director: Jos Bax

Handelsweg 21

5527 AL Hapert, the Netherlands

T: +31 (0)497 - 33 11 00

F: +31 (0)497 - 33 11 01

info@vdleegtemetaal.nl

www.vdleegtemetaal.nl

Specialty: heavy construction work and complex

welding assemblies (20 welding robots). Automated

metalworking, such as cutting, setting, punching,

deep-drawing and laser cutting. In-house tool shop

and assembly department.

VDL Gereedschapmakerij bvManaging Director: Jos van Meijl

Industrieweg 29

5527 AJ Hapert, the Netherlands

T: +31 (0)497 - 38 10 62

F: +31 (0)497 - 38 68 09

info@vdlgereedschapmakerij.nl

www.vdlgereedschapmakerij.nl

Tools ranging from simple to high grade and

complex. Complex follow-on cutting and bending

tools and dies. Series production of precision

components. CNC-5 spindle milling, sawing, CNC

grinding, turning, wire sparking and co-drilling.

Processes are carried out in 2D and 3D CAD/CAM.

VDL TIM Hapert bvManaging Director: Piet Spooren

Energieweg 2

5527 AH Hapert, the Netherlands

T: +31 (0)497 - 38 38 05

F: +31 (0)497 - 38 68 65

info@vdl-tim.nl

www.vdltimhapert.nl

Specialised in mechanical processing of cast and

forging work and welding assemblies by means of

CNC lathes and (robotised) CNC processing

machines. Assembly work.

VDL VDS Technische Industrie bvManaging Director: Jos van Meijl

Industrieweg 29

5527 AJ Hapert, the Netherlands

T: +31 (0)497 - 38 38 44

F: +31 (0)497 - 38 68 09

info@vdlvds.nl

www.vdlvds.nl

Mechanical and hydraulic punching, bending and

drawing possible up to 800 tonnes, with integrated

finishing. Medium-sized and large series from simple

to complex metal parts with minimum tolerances.

Material thickness 0.10-10 mm. (Robotic) welding,

(CNC) spot welding, riveting, 3D laser cutting,

automated assembly and (sub)assembly.

VDL Laktechniek bvManaging Director: Ad Pasmans

Meerenakkerweg 20

5652 AV Eindhoven, the Netherlands

T: +31 (0)40 - 250 19 00

F: +31 (0)40 - 255 58 50

info@vdllaktechniek.nl

www.vdllaktechniek.nl

Grit blasting, zinc phosphate coating, cataphoresis

painting, powder coating, wet painting, assembly

and warehousing. Fully-automated cataphoresis and

powder coating line including pre-treatment and

zinc phosphating.

VDL Belgium nvManaging Director: Marco van Tongeren

Industrielaan 15

Industriezone III - Erembodegem

9320 Aalst, Belgium

T: +32 (0)53 - 83 70 90

F: +32 (0)53 - 83 61 80

sales@vdlbelgium.com

www.vdlbelgium.com

Metal processing including cutting, stamping,

setting, (robotic) welding, spot welding. Specialty:

CNC tube bending up to 150 mm diameter.

Production of insulated tubes. Tool shop, ultrasonic

cleaning and own wet-paint spray line.

VDL Technics bvManaging Director: Hans Sanders

Korenmolen 2

5281 PB Boxtel, the Netherlands

T: +31 (0)411 - 68 29 80

F: +31 (0)411 - 68 27 51

info@vdltechnics.nl

www.vdltechnics.nl

Laser cutting 4 and 6 KW with Stopa warehouse,

CNC punching, cutting, profiling and squaring.

Specialisation in construction work and robotic

welding with offline programming. Mechanical

finishing up to 14 metres of (complex) welded

assemblies. Stamping work up to 200 tonnes with

hydraulic and fully-automatic eccentric presses.

Engineering, project management and assembly.

VDL Kunststoffen bvManaging Director: Rick van Haren

Industrieweg 107

5591 JL Heeze, the Netherlands

T: +31 (0)40 - 224 11 60

F: +31 (0)40 - 224 11 99

info@vdlkunststoffen.com

www.vdlkunststoffen.com

High-grade technical plastic injection moulded

components, 2K injection moulding, insert and

outsert moulding. Engineering, product

development and project support to customers

during the development processes. Assembly and

finishing of components and finished products.

Own tool shop.

VDL HMI bvManaging Director: Hans van Raak

Kleibeemd 1

5705 DP Helmond, the Netherlands

T: +31 (0)492 - 54 08 00

F: +31 (0)492 - 53 79 50

info@vdlhmi.nl

www.vdlhmi.nl

Metalworking such as cutting, sawing, stamping,

setting, pipe bending, CNC punching, CNC plate

cutting and 3D pipe laser cutting, (robotic) welding

and soldering. Sheet-metal work, construction work

and assembly work.

48

S U B C O N T R A C T I N G

VDL NSA MetaalManaging Director: Bart Spackler

De Run 4234

5503 LL Veldhoven, the Netherlands

T: +31 (0)40 - 254 45 65

F: +31 (0)40 - 254 50 65

info@vdlnsametaal.nl

www.vdlnsametaal.nl

All aspects of sheet-metal working. Development,

prototyping, tooling, production and composition

of sheet metal parts in, for example, stainless steel,

aluminium and steel, from single items to medium-

sized series. Highly advanced machinery.

VDL Apparatenbouw bvManaging Director: Pieter Aarts

Sigarenmaker 8

5521 DJ Eersel, the Netherlands

T: +31 (0)497 - 51 51 50

F: +31 (0)497 - 51 76 53

info@vdlapparatenbouw.com

www.vdlapparatenbouw.com

System supplier in the area of (complex) medical,

optical and mechatronic modules for OEM and

consumer markets. Development, manufacture,

testing and provision of service, overall logistics and

project management, as well as the design and

manufacture of filter and tank installations for the

agricultural and chemical industry.

VDL MPC bvManaging Director: Leo Spaan

Terminalweg 40

3821 AJ Amersfoort, the Netherlands

T: +31 (0)33 - 454 29 00

F: +31 (0)33 - 455 59 11

info@vdlmpc.com

www.vdlmpc.com

Production, assembly and prototyping of complex

sheet-metal parts, mechatronic components and

assemblies. Specialised in machine building,

(cleanroom) assembly of high-grade mechanical

components and modules. All common sheet-metal

working techniques such as laser cutting, punching,

welding, bending, turning, milling, spark machining

and degreasing of metal products.

VDL Parree bvManaging Director: Ger Stappers

Spoorstraat 8

5975 RK Sevenum, the Netherlands

T: +31 (0)77 - 467 70 88

F: +31 (0)77 - 467 70 80

info@vdlparree.nl

www.vdlparree.com

Specialist in the field of high-quality technical

plastic injection moulded parts, metal parts,

assemblies and metal and plastic combinations. 2K

techniques, gas injection, in-mould labelling, insert

and outsert moulding, prägen and Mucell

extrusion. Co-design function, product innovations,

product optimisation and engineering. In-house

tool shop and assembly department.

VDL Staalservice bvManaging Director: Paul Hermans

Celsiusstraat 13

6003 DG Weert, the Netherlands

T: +31 (0)495 - 54 08 38

F: +31 (0)495 - 53 98 65

info@vdlstaalservice.nl

www.vdlstaalservice.nl

The manufacture of customer-specific welded

assemblies, laser, plasma and autogenic cut,

bevelled and mechanically finished products.

Metalworking such as CNC laser cutting, CNC

flame cutting and CNC plasma cutting. Punching,

cutting, CNC squaring, welding (MIG/MAG/TIG),

machining and water jet cutting.

VDL Lasindustrie bvManaging Director: Piet Sterrenburg

Wekkerstraat 1

5652 AN Eindhoven, the Netherlands

T: +31 (0)40 - 292 33 00

F: +31 (0)40 - 251 00 50

info@vdllasindustrie.nl

www.vdllasindustrie.nl

From engineering and prototyping through to

production of small and large series. Specialised in

sheet-metal and construction work. Cutting, sawing,

CNC punching, CNC laser cutting, CNC setting,

drilling, tapping, milling and all welding activities

such as robotic welding, welding (MIG/MAG/TIG),

spot welding and stud welding.

VDL RPI Metaal bvManaging Director: Hans de Bresser

Nijverheidsweg 40

3341 LJ Hendrik-Ido-Ambacht, the Netherlands

T: +31 (0)78 - 683 18 00

F: +31 (0)78 - 681 97 28

info@vdlrpimetaal.nl

www.vdlrpimetaal.nl

Sheet-metal working: from 0.5 mm in steel,

stainless steel and aluminium, specialised in desks

and frame building for complicated assemblies. All

welding processes including robotic welding, stud

welding and spot welding. Machined sheet-metal

processes, punching, laser cutting, squaring and

cutting. Machining: turning, milling and drilling.

Mounting and mechanical assembly.

VDL Rotech SRLManaging Director: Silviu Nitulescu

Zona industriala NV str. 1 nr. 5

310419 Arad, Romania

T: +40 (0)257 - 25 66 43

F: +40 (0)257 - 22 03 00

info@vdlrotech.ro

Metalworking, specialised in CNC machining as

milling and turning. Production of welded

constructions and assembly work. Thin sheet-metal

work: cutting, stamping, and spot welding.

VDL Systems bvManaging Director: Edwin Willems

Erfstraat 3

5405 BE Uden, the Netherlands

T: +31 (0)413 - 25 05 05

F: +31 (0)413 - 25 10 25

info@vdlsystems.nl

www.vdlsystems.nl

Development, production and installation of

machines and internal transport systems for OEMs

who produce Food Processing Equipment. Specialised

in the processing of stainless steel and aluminium.

VDL Postma bvManaging Director: Johan Zwarts

Leeuwarderstraatweg 121d

8441 PK Heerenveen, the Netherlands

T: +31 (0)513 - 62 25 36

F: +31 (0)513 - 61 01 21

info@vdlpostma.nl

www.vdlpostma.nl

Sheet-metal processing: laser cutting, CNC punch

nibbling, cutting, and squaring. Pipe processing:

CNC bending, rolling, (robotic) welding and

machining. Powder coating including chemical

pre-treatment by means of separated immersion

baths for steel and aluminium.

49

S U B C O N T R A C T I N G

VDL Industrial Modules bvManaging Director: Jeroen van den Hurk

Brandevoortse Dreef 4

5707 DG Helmond, the Netherlands

T: +31 (0)492 - 50 58 00

F: +31 (0)492 - 50 58 01

info@vdlindustrialmodules.nl

www.vdlindustrialmodules.nl

System supplier for the OEM market. Development,

prototyping, precision sheet-metal processing,

(cleanroom) assembly and testing of high-quality

modules and systems. With a strong focus on

integral cost-price-control, logistics and minimising

financial risks in the supply chain. Design and

production of dynamic and static road signs.

VDL Konings bvManaging Director: Sjoerd van de Velde

Bosstraat 93

6071 XT Swalmen, the Netherlands

T: +31 (0)475 - 50 01 00

F: +31 (0)475 - 50 01 01

info@vdlkonings.com

www.vdlkonings.com

Design, engineering, prototyping, production,

assembly and installation of customer-specific

mechanisation work, machines and installations for

the film, foil, foam and paper industry.

Development, production and supply chain

management of modules and systems for OEMs for

example in the medical sector. Certified welding

and large-format mechanical processing including

turning, milling, boring and drilling.

VDL Wientjes Roden bvManaging Director: Chris Mulder

Ceintuurbaan Noord 130

9301 NZ Roden, the Netherlands

T: +31 (0)50 - 502 48 11

F: +31 (0)50 - 502 48 66

info@vdlwientjesroden.nl

www.vdlwientjesroden.nl

Engineering, design and production of high-quality

plastic products. Various processing techniques,

including vacuum forming, CNC machining, laser

cutting, welding, gluing and assembly.

VDL Wientjes Emmen bvManaging Director: Hans Meuleman

Phileas Foggstraat 30

7825 AK Emmen, the Netherlands

T: +31 (0)591 - 66 96 66

F: +31 (0)591 - 63 49 92

info@vdlwientjesemmen.nl

www.vdlwientjesemmen.nl

Engineering, design and production of high-quality

plastic products. Production techniques: injection

moulding of (fibre-reinforced) thermoplastics, gas

injection, 2-components and in-mould labelling.

Hot-pressing of thermoharders (polyester) and

assembly. Producer of sheet moulding compound

(SMC), a glass fibre-reinforced polymer semi-

manufacture.

VDL Services bvManaging Director: Rob Diepstraten

Handelsweg 21

5527 AL Hapert, the Netherlands

T: +31 (0)497 - 38 01 00

F: +31 (0)497 - 33 11 33

info@vdlservices.nl

www.vdlservices.nl

Repair, maintenance and installation of a range of

(VDL) products supported by a 24/7 service

organisation with a network of service engineers

throughout the Netherlands. Also project

supervision and implementation, worldwide.

VDL Enabling Technologies Group bvGeneral Managing Director: Simon Bambach

Technical Managing Director: Guustaaf Savenije

Achtseweg Noord 5

5651 GG Eindhoven, the Netherlands

T: +31 (0)40 - 263 88 88

F: +31 (0)40 - 263 82 40

info@vdletg.com

www.vdletg.com

VDL Enabling Technologies Group is aimed at

system integration and logistic/supply chain

management for mechatronic (sub)systems on

behalf of OEMs for high-tech capital goods. The

general management of the seven VDL ETG

branches in Eindhoven, Almelo, Singapore and

Suzhou (China) is located in Eindhoven. In addition,

new business development and key account

management, technology, engineering and

purchasing are organised centrally.

VDL ETG Eindhoven bvManaging Director: Wil-jan Schutte

Achtseweg Noord 5

5651 GG Eindhoven, the Netherlands

T: +31 (0)40 - 263 88 88

F: +31 (0)40 - 263 84 20

info@vdletg.com

www.vdletg.com

Operates in the business of system integration of

mechatronic (sub)systems and modules for OEMs in

the high-tech capital equipment industry and in the

area of production mechanisation. System supplier

from (co-)engineering through parts production to

assembly and testing.

VDL ETG Research bvManaging Director: Jadranko Dovic

High Tech Campus 7

5656 AE Eindhoven, the Netherlands

T: +31 (0)40 - 274 83 69

F: +31 (0)40 - 274 68 79

info@vdletg.com

www.vdletg.com

Is the starting point for R&D departments with

development and hardware questions. Provides

support for the realisation of new products, in field

of mechanics, mechatronics and electronics, from

first prototype via transfer to volume production.

In-house workshops guarantee the speed and

makeability while maintaining extreme precision.

Development departments and start-ups are

assisted with the further development of the

product or production and testing equipment.

VDL ETG Projects bvManaging Director: Arie van Kraaij

Hurksestraat 13

5652 AH Eindhoven, the Netherlands

T: +31 (0)40 - 263 82 18

F: +31 (0)40 - 263 82 10

info@vdletg.com

www.vdletg.com

Develops, produces, assembles and installs (mass)

fabrication equipment worldwide for a wide range

of markets varying from food and medical through

to solar and semicon, in the form of both one-offs

and roll-outs. Also makes and assembles high-

quality technical prototypes for mechanical

components and complete assemblies with very

short lead times.

50

S U B C O N T R A C T I N G

VDL ETG Technology & Development bvManaging Director: Geert Jakobs

Achtseweg Noord 5

5651 GG Eindhoven, the Netherlands

T: +31 (0)40 - 263 88 88

F: +31 (0)40 - 263 84 20

info@vdletg.com

www.vdletg.com

Development organisation responsible for the

development of high-tech mechatronic

(sub)systems and the further optimisation of

production processes within VDL ETG to ensure

the provision of optimum solutions to meet

customer needs.

VDL ETG Almelo bvManaging Director: Sander Verschoor

Bornsestraat 345

7601 PB Almelo, the Netherlands

T: +31 (0)546 - 54 00 00

info@vdletg.com

www.vdletg.com

Operates in the business of system integration of

mechatronic (sub)systems and modules for OEMs in

the high-tech capital equipment industry and in the

area of production mechanisation. System supplier

from (co-)engineering through parts production to

assembly and testing.

VDL Enabling Technologies Group (Singapore) Pte LtdManaging Director: Wu Yong Lin

259 Jalan Ahmad Ibrahim

Singapore 629148, Singapore

T: +65 650 803 20

F: +65 626 574 66

info@vdletg.com

www.vdletg.com

Operates in the business of system integration of

mechatronic (sub)systems and modules for OEMs in

the high-tech capital equipment industry and in the

area of production mechanisation. System supplier

from (co-)engineering through parts production to

assembly and testing.

VDL Enabling Technologies Group of Suzhou LtdManaging Director: Ton de Haan

288 Su Hong Xi Road

Suzhou Industrial Park,

Jiangsu P.R.C. 215021, China

T: +86 512 - 85 18 89 98

F: +86 512 - 85 18 92 88

info@vdletg.com

www.vdletg.com

Operates in the business of system integration of

mechatronic (sub)systems and modules for OEMs in

the high-tech capital equipment industry and in the

area of production mechanisation. System supplier

from (co-)engineering through parts production to

assembly and testing.

VDL Network Supplies bvManaging Director: William van Hout

Handelsweg 21

5527 AL Hapert, the Netherlands

T: +31 (0)497 - 33 11 00

F: +31 (0)497 - 33 11 01

info@vdlnetworksupplies.nl

www.vdlnetworksupplies.nl

Specialised in the production of semi-finished,

finished products and related services for the

construction, housing and extension of large and

national networks such as mobile phone, telecom,

energy and railway networks.

VDL Fibertech Industries bvManaging Director: Michiel Wassink

Hallenweg 15

5683 CT Best, the Netherlands

T: +31 (0)499 - 36 76 76

F: +31 (0)499 - 36 76 75

info@vdlfibertechindustries.com

www.vdlfibertechindustries.com

Develops and produces high-tech composite and

polyurethane products, for the markets healthcare,

defence, semiconductor, transportation and

aerospace. Using RTM, Hot Pressing, (R) RIM and

Acrosoma® Sandwich technologies.

VDL Fibertech BelgiumManaging Director: Michiel Wassink

Wolfsakker 2

9160 Lokeren, Belgium

T: +31 (0)499 - 36 76 76

F: +31 (0)499 - 36 76 75

info@vdlfibertechindustries.com

www.vdlfibertechindustries.com

Develops and produces high-tech composite and

polyurethane products, for the markets healthcare,

defence, semiconductor, transportation and

aerospace. Using RTM, Hot Pressing, (R) RIM and

Acrosoma® Sandwich technologies.

VDL GL Precision bvManaging Director: Herman Rusch

Hurksestraat 23

5652 AH Eindhoven, the Netherlands

T: +31 (0)40 - 292 20 55

F: +31 (0)40 - 292 20 47

info@vdlglprecision.nl

www.vdlglprecision.nl

Fabricates extremely close tolerance precision

mechanical components and modules for the

semiconductor, optical, machine building and

aerospace industries. Performs all required

processes in-house, including machining, micro-

laser processing and cleanroom activities.

51

VDL Nedcar bvGeneral Managing Director: Joost Govaarts

Technical Managing Director: Karel Bouckaert

Dr. Hub van Doorneweg 1

6121 RD Born, the Netherlands

T: +31 (0)46 - 489 44 44

F: +31 (0)46 - 489 54 44

info@vdlnedcar.nl

www.vdlnedcar.nl

Independent contract manufacturer of vehicles,

with the primary activity being the series

production of cars. Also makes pressed parts for

various customers. VDL Nedcar is the only major

automotive plant in the Netherlands, with

production capacity for some 200,000 vehicles a

year, based on a two-shift system.

C A R A S S E M B L Y

52

53

B U S E S & C O A C H E S

VDL Bus & Coach bvManaging Director: Rémi Henkemans

De Vest 7

5555 XL Valkenswaard, the Netherlands

T: +31 (0)40 - 208 44 00

F: +31 (0)40 - 208 44 99

info@vdlbuscoach.com

www.vdlbuscoach.com

VDL Bus & Coach offers an extensive product

range: chassis and chassis modules, coaches, public

transport buses, mini & midi buses, special vehicles

and second-hand buses. VDL Bus & Coach has an

extensive, international network of offices, agents

and importers offering sales and after sales support.

VDL Bus Chassis bvManaging Director: Jan-Cees Santema

Hoevenweg 1

5652 AW Eindhoven, the Netherlands

T: +31 (0)40 - 250 05 00

F: +31 (0)40 - 257 09 04

info@vdlbuscoach.com

www.vdlbuscoach.com

Development and assembly of complete chassis,

chassis modules and CKD packages for public

transport buses and coaches.

VDL Bus Modules bvManaging Director: Frank Van Geel

De Vest 55

5555 XP Valkenswaard, the Netherlands

T: +31 (0)40 - 208 24 24

F: +31 (0)40 - 208 24 25

info@vdlbusmodules.nl

www.vdlbuscoach.com

Production of modules for luxury coaches,

doubledeckers, VIP coaches, regional buses and

special projects.

VDL Bus Heerenveen bvManaging Director: Dennis van Opzeeland

Wetterwille 12

8447 GC Heerenveen, the Netherlands

T: +31 (0)513 - 61 85 00

F: +31 (0)513 - 62 97 89

info@vdlbusheerenveen.nl

www.vdlbuscoach.com

Production of buses for public transport, such as

city and regional buses.

VDL Bus Venlo bvManaging Director: Mark Bakermans

Huiskensstraat 49

5916 PN Venlo, the Netherlands

T: +31 (0)77 - 320 00 80

F: +31 (0)77 - 351 70 48

info@vdlbusvenlo.nl

www.vdlbuscoach.com

Production of mini & midi buses for coach and

public transport, police vehicles, taxi buses, airport

transport and special transport (such as disabled

persons and VIP) in all possible types. Also body

repair of cars and commercial vehicles under the

trade name VDL Kusters as part of ABS Autoherstel.

(www.absvdlkusters.nl / T: +31 (0)77 - 351 70 45)

VDL Bus Roeselare nvManaging Director: Peter Wouters

Schoolstraat 50

8800 Roeselare, Belgium

T: +32 (0)51 - 23 26 11

F: +32 (0)51 - 23 27 90

info@vdlbusroeselare.be

www.vdlbuscoach.com

Production of buses for public transport, luxury

coaches, VIP coaches and carrying out special

projects.

VDL Bus Valkenswaard bvManaging Director: Marc van Doorn

De Vest 9

5555 XL Valkenswaard, the Netherlands

T: +31 (0)40 - 208 46 11

F: +31 (0)40 - 204 20 45

info@vdlbusvalkenswaard.nl

www.vdlbuscoach.com

Development and assembly of luxury coaches, VIP

coaches and carrying out special projects.

VDL Bus & Coach Nederland bvManaging Director: Ard Romers

De Vest 3

5555 XL Valkenswaard, the Netherlands

T: +31 (0)40 - 208 44 90

F: +31 (0)40 - 208 44 85

info@vdlbuscoach.com

www.vdlbuscoach.com

Sales and after sales for all VDL Bus & Coach

products in the Netherlands.

VDL Bus & Coach France sarlManaging Director: Manon Raynal

5, rue du Pont de la Brèche

Z.A.E. ‘Les Grandes Vignes’

95192 Goussainville Cedex, France

T: +33 (0)1 - 343 88 940

F: +33 (0)1 - 343 88 941

info@vdlbuscoach.fr

www.vdlbuscoach.com

Sales, after sales and parts for all VDL Bus & Coach

products in France.

VDL Bus & Coach Italia s.r.l. a socio unicoManaging Director: Anno Dirksen

Piazza dei Beccadori, 12

41057 Spilamberto (MO), Italy

T: +39 059 - 78 29 31

F: +39 059 - 78 59 80

info@vdlbuscoach.it

www.vdlbuscoach.com

Sales, after sales and parts for all VDL Bus & Coach

products in Italy.

VDL Bus & Coach BelgiumManaging Director: Willem van der Leegte

Schoolstraat 50

8800 Roeselare, Belgium

T: +32 (0)51 - 23 26 06

F: +32 (0)51 - 23 27 63

info@vdlbuscoach.be

www.vdlbuscoach.com

Sales, after sales and parts for all VDL Bus & Coach

products in Belgium and Luxembourg.

VDL Bus & Coach Polska Sp. z o.o.Managing Director: Bolesław Piekorz

Straszków 121

62-604 Kościelec, Poland

T: +48 (0)63 - 261 60 91

F: +48 (0)63 - 261 04 80

info@vdlbuscoach.pl

www.vdlbuscoach.com

Sales, after sales and parts for all VDL Bus & Coach

products in Poland.

VDL Bus & Coach Deutschland GmbHManaging Director: Silke Tödter

Oberer Westring 1

Industriegebiet West

33142 Büren, Germany

T: +49 (0)2951 - 60 80

F: +49 (0)2951 - 60 82 22

info@vdlbuscoach.de

www.vdlbuscoach.com

Sales, after sales and parts for all VDL Bus & Coach

products in Germany.

54

B U S E S & C O A C H E S

VDL Bus & Coach Danmark A/S Managing Director: Anita Palm Laursen

Naverland 21

2600 Glostrup, Denmark

T: +45 70 23 83 23

F: +45 70 23 84 23

info@vdlbuscoach.dk

www.vdlbuscoach.com

Sales, after sales and parts for all VDL Bus & Coach

products in Denmark.

VDL Bus Center bvManaging Director: Rémi Henkemans

De Run 4232

5503 LL Veldhoven, the Netherlands

T: +31 (0)40 - 295 46 35

F: +31 (0)40 - 255 78 80

info@vdlbuscenter.com

www.vdlbuscenter.com

Purchase and sales of used buses and coaches of all

makes and models.

VDL Bus Center GmbHManaging Director: Burkhard Gieffers

Oberer Westring 2

Industriegebiet West

33142 Büren, Germany

T: +49 (0)2951 - 98 920

F: +49 (0)2951 - 76 53

info@vdlbuscenter.de

www.vdlbuscenter.com

Purchase and sales of used buses and coaches of all

makes and models.

VDL Busland bvManaging Director: Ton Behr

De Vest 3

5555 XL Valkenswaard, the Netherlands

T: +31 (0)40 - 208 44 60

F: +31 (0)40 - 208 44 80

info@vdlbusland.nl

www.vdlbuscoach.com

Specialised workshop for the maintenance, repair

and damage repair of all makes of coaches and buses.

VDL Bus & Coach Service FRY-ZHN bvManaging Director: Ton Behr

De Vest 3

5555 XL Valkenswaard, the Netherlands

T: +31 (0)40 - 208 44 60

F: +31 (0)40 - 208 44 80

info@vdlbusland.nl

www.vdlbuscoach.com

Specialist workshop for maintenance, repair and

damage repair of coaches, buses and other means

of transport, with units in Leiden, Krimpen aan den

IJssel, Leeuwarden and Sneek.

VDL Bus & Coach Service Brabant bvManaging Director: Ton Behr

De Vest 3

5555 XL Valkenswaard, the Netherlands

T: +31 (0)40 - 208 44 60

F: +31 (0)40 - 208 44 80

info@vdlbusland.nl

www.vdlbuscoach.com

Specialist workshop for maintenance, repair and

damage repair of coaches, buses and other means

of transport, with units in Den Bosch and Tilburg.

VDL Parts bvManaging Director: Peter Schellens

De Run 5410

5504 DE Veldhoven, the Netherlands

T: +31 (0)40 - 208 41 00

F: +31 (0)40 - 204 88 22

info@vdlparts.nl

www.vdlparts.com

Worldwide purchase and sales, logistics and

information provision for all original VDL

Bus & Coach spare parts and related accessories.

VDL Bus & Coach (Suisse) GmbHManaging Director: Bernard Donzé

Erlenstrasse 29

Postfach

2555 Brügg, Switzerland

T: +41 (0)32 - 366 65 65

F: +41 (0)32 - 366 65 66

info@vdlbuscoach.ch

www.vdlbuscoach.com

Sales, after sales and parts for all VDL Bus & Coach

products in Switzerland.

VDL Bus & Coach Czech Republic s.r.o.Managing Director: Pavel Schlosser

Haštalská 6/1072

110 00 Prague, Czech Republic

T: +420 - 384 420 348

F: +420 - 384 420 348

info@vdlbuscoach.cz

www.vdlbuscoach.com

Sales, after sales and parts for all VDL Bus & Coach

products in the Czech Republic and Slovakia.

VDL Bus & Coach South Africa (Pty) LtdManaging Director: Jan-Cees Santema

Isando Business Park

Unit H1

Cnr Gewel & Hulley Street

1600

Isando, South Africa

T: +27 (0)11 - 392 14 70

F: +27 (0)11 - 392 43 93

info@vdlbuscoach.co.za

www.vdlbuscoach.com

Sales, after sales and parts for all VDL Bus & Coach

products in South Africa.

VDL Bus & Coach Serbia d.o.o. BeogradManaging Director: Branislav Radovanović

Gandijeva 99d

11070 Belgrade, Serbia

T: +381 (0)11 2166 525

F: +381 (0)11 3189 760

info@vdlbuscoach.rs

www.vdlbuscoach.com

Sales, after sales and parts for all VDL Bus & Coach

products in Serbia.

55

F I N I S H E D P R O D U C T S

VDL Agrotech bvManaging Director: Brian van Hooff

Hoevenweg 1

5652 AW Eindhoven, the Netherlands

T: +31 (0)40 - 292 55 00

F: +31 (0)40 - 292 55 01

info@vdlagrotech.nl

www.vdlagrotech.com

Equipment for intensive livestock keeping, including

engineering and erection of complete turnkey

projects. Manure drying tunnel.

VDL Industrial Products bvManaging Director: Carlos Ooijen

Hoevenweg 3

5652 AW Eindhoven, the Netherlands

T: +31 (0)40 - 292 55 80

F: +31 (0)40 - 292 55 02

info@vdlindustrialproducts.com

www.vdlindustrialproducts.com

Sales and service of components for dust extraction

installations and bulk material handling such as

modular tube systems, rotary valves, fans, cyclones,

diverter and butterfly valves and vibrating

conveyors. Also sales and service of complete

systems for explosion and fire-protection of

industrial processes.

VDL Steelweld bvManaging Director: Peter de Vos

Terheijdenseweg 169

4825 BJ Breda, the Netherlands

T: +31 (0)76 - 579 27 00

F: +31 (0)76 - 587 47 54

info@vdlsteelweld.com

www.vdlsteelweld.com

Design, production, installation and service of

robotised production automation systems with a

wide range of handling, assembly and connection

joining techniques for industrial applications

including for the automotive industry. Also active in

product development, prototype manufacture and

production of special machines and series

production of mechatronic modules and systems

for applications in industrial vehicle technology

such as automatic guided vehicles (AGVs) and

agricultural vehicles.

VDL Steelweld UKManaging Director: Darren Dowsett / Peter de Vos

Unit 3, The Barford Exchange

Wellesbourne Road, Barford,

Warwickshire, CV35 8AQ, Great Britain

T: +44 (0)1926 - 2 47 10

info@vdlsteelweld.com

www.vdlsteelweld.com

Design, production, installation and service of

robotised production automation systems with a

wide range of handling, assembly and connection

joining techniques for industrial applications

including for the automotive industry. Also active in

product development, prototype manufacture and

production of special machines and series

production of mechatronic modules and systems

for applications in industrial vehicle technology

such as automatic guided vehicles (AGVs) and

agricultural vehicles.

VDL Steelweld Deutschland GmbHManaging Director: Peter de Vos

Max Planck Straße 38

50858 Cologne, Germany

T: +49 (0)2234 - 988 23 110

F: +49 (0)2234 - 988 23 122

info@vdlsteelweld.com

www.vdlsteelweld.com

Design, production, installation and service of

robotised production automation systems with a

wide range of handling, assembly and connection

joining techniques for industrial applications

including for the automotive industry. Also active in

product development, prototype manufacture and

production of special machines and series

production of mechatronic modules and systems

for applications in industrial vehicle technology

such as automatic guided vehicles (AGVs) and

agricultural vehicles.

VDL Steelweld Sweden ABManaging Director: Peter de Vos

Flygfältsgatan 16A

423 37 Torslanda, Göteborg, Sweden

T: + 46 (0)733 90 90 83

info@vdlsteelweld.com

www.vdlsteelweld.com

Design, production, installation and service of

robotised production automation systems with a

wide range of handling, assembly and connection

joining techniques for industrial applications

including for the automotive industry. Also active in

product development, prototype manufacture and

production of special machines and series

production of mechatronic modules and systems

for applications in industrial vehicle technology

such as automatic guided vehicles (AGVs) and

agricultural vehicles.

Hapro International bvManaging Director: Dick van de Linde

Fleerbosseweg 33

4421 RR Kapelle, the Netherlands

T: +31 (0)113 - 36 23 62

F: +31 (0)113 - 36 23 99

info@hapro.com

www.hapro.com

Develops, produces, assembles and distributes

sunbeds for both the consumer market and

professional tanning studios. Sales of accessories

for the tanning market. Development, production

and assembly of car roof boxes and bicycle carriers.

VDL Klima bvManaging Director: Wim Jenniskens

Meerenakkerweg 30

5652 AV Eindhoven, the Netherlands

T: +31 (0)40 - 298 18 18

F: +31 (0)40 - 298 18 00

info@vdlklima.com

www.vdlklima.com

Development and production of heat exchangers

(incl. air/air coolers, air/water coolers, box coolers,

and shell and tube heat exchangers) and ventilation

systems for various applications (such as electrical)

propulsion systems, power generators, and

transformers.

VDL Klima Belgium nvManaging Director: Wim Jenniskens

Industriestraat 13

3930 Hamont-Achel, Belgium

T: +32 (0)11 - 80 47 00

F: +32 (0)11 - 66 12 40

belgium@vdlklima.com

www.vdlklima.com

Production company of VDL Klima products.

VDL Klima France sarlManaging Director: Pascal Pécuchet

Business Park Bat H

87 Rue du Molinel

59700  Marcq en Baroeul, France

T: +33 (0)320 - 65 91 65

F: +33 (0)320 - 65 91 60

klima.france@vdlklima.com

www.vdlklimafrance.com

Development and sales of heat exchangers and

cooling units for the electromechanical industry and

other industrial applications.

56

F I N I S H E D P R O D U C T S

VDL KTI nvManaging Director: William van Hout

Nijverheidsstraat 10

Industrial Area II

2400 Mol, Belgium

T: +32 (0)14 - 34 62 62

F: +32 (0)14 - 34 62 63

info@vdlkti.be

www.vdlkti.be

Development and production of parts for industrial

furnaces (convection/radiation), as well as complete

furnace modules, pressure vessels, heat exchangers,

skids and separation modules for the chemical,

petrochemical, oil and gas industry. Production of

high-voltage masts.

VDL Delmas GmbHManaging Director: Jörg Nelius

Breitenbachstraße 10

13509 Berlin, Germany

T: +49 (0)30 - 438 09 20

F: +49 (0)30 - 438 09 226

info@vdldelmas.de

www.vdldelmas.de

Development, production and delivery of heat

exchangers, cooling units and related aggregates

for industrial applications.

VDL Containersystemen bvManaging Director: Frans van Dommelen

Industrieweg 21

5527 AJ Hapert, the Netherlands

T: +31 (0)497 - 38 70 50

F: +31 (0)497 - 38 68 55

sales@vdlcontainersyst.nl

www.vdlcontainersystemen.com

Development, production, sales, repair and

installation of hydraulic container handling

equipment (hooklift systems, skip loaders and cable

systems), container trailers and containers.

Development, production, sales and repair of

spreaders and automatic guided vehicles (AGVs) for

handling 20, 40 and 45 feet ISO containers.

VDL Containersysteme GmbHManaging Director: Frans van Dommelen

Oberer Westring 2

33142 Büren, Germany

T: +31 (0)497 - 38 70 50

F: +31 (0)497 - 38 68 55

sales@vdlcontainersyst.nl

www.vdlcontainersystemen.com

Sales and after sales of container handling

equipment and trailers in Germany.

VDL Translift bvManaging Director: Rolf-Jan Zweep

Staalwijk 7

8251 JP Dronten, the Netherlands

T: +31 (0)321 - 38 67 00

info@vdltranslift.nl

www.vdltranslift.nl

Development, production, assembly, sales and

services of waste collection systems. VDL Translift

has its own line of innovative side-loader systems

for optimisation of collection from aboveground

and underground refuse containers.

VDL Weweler bvManaging Director: Dick Aalderink

Ecofactorij 10

7325 WC Apeldoorn, the Netherlands

T: +31 (0)55 - 538 51 00

info@vdlweweler.nl

www.vdlweweler.nl

Development, production and sales of air spring

and axle lift systems for manufacturers of axles,

trailers, trucks, buses and coaches.

VDL Weweler Parts bvManaging Director: Danny Orgers

Kanaal Zuid 120

7332 BD Apeldoorn, the Netherlands

T: +31 (0)55 - 538 04 00

F: +31 (0)55 - 538 04 09

info@vdlwewelerparts.nl

www.vdlwewelerparts.nl

Distribution of high-quality technical components

for trucks, trailers, semi-trailers and buses.

Weweler-Colaert nvManaging Director: Jacques Colaert

Beneluxlaan 1-3

8970 Poperinge, Belgium

T: +32 (0)57 - 34 62 05

F: +32 (0)57 - 34 62 08

info@weweler.eu

www.weweler.eu

Development, production and sales of leaf and

parabolic springs for the automotive industry.

Distribution of high-quality technical components

for trucks, trailers, semi-trailers and buses.

Truck & Trailer Industry ASManaging Director: Øyvind Stenersen

Persveien 20

0581 Oslo, Norway

T: +47 (0)23 - 03 96 00

F: +47 (0)23 - 03 96 01

post@tti.no

www.tti.no

Sales from four offices in Norway of VDL Weweler

suspension systems and spare parts for trucks,

trailers and buses.

PMB-UVA International bvManaging Director: Marius Ponten

Meerenakkerweg 32

5652 AV Eindhoven, the Netherlands

T: +31 (0)40 - 282 50 00

F: +31 (0)40 - 282 50 01

sales@pmb-uva.com

www.pmb-uva.com

Development, production, sales and service for the

packaging and tobacco industries. Vertical film

packaging machines for among others food, animal

feed and detergent sectors. Machines for production

and packaging of cigars.

VDL USA IncManaging Director: George van Bergen

8111 Virginia Pine Ct.

Richmond VA 23237, USA

T: +1 804 - 275 80 67

F: +1 804 - 271 30 96

info@vdlusa.com

www.vdlusa.com

Sales and service of VDL products in North

America.

VDL Middle East fzCo Managing Director: Rémi Henkemans

5WA (West Ring)

Dubai Airport Free Zone,

United Arab Emirates

Sales, after sales and service of VDL products in the

Middle East.

V D L G R O E P

F I N A N C I A L R E P O R T

2 0 1 4

57

58

Assets 31 December 2014 31 December 2013

Fixed assets

Intangible fixed assets

Goodwill 339 398

Tangible fixed assets

Buildings and land 478,585 462,728

Machinery and installations 124,981 82,287

Other fixed assets 46,041 36,373

649,607 581,388

Financial fixed assets

Participations 48,984 41,827

Other financial fixed assets 6,955 3,493

55,939 45,320

Current assets

Stocks

Raw materials and consumables 131,823 96,961

Work in progress 182,444 159,083

Finished products and commodities 90,760 109,364

405,027 365,408

Projects in progress 0 19,822

Accounts receivables

Trade debtors 397,571 255,007

Taxes 0 10,297

Other receivables and accrued income 12,939 9,316

410,510 274,620

Cash at bank and in hand 138,985 95,923

1,660,407 1,382,879

C O N S O L I D A T E D B A L A N C E (x 1,000 euro)

59

Liabilities 31 December 2014 31 December 2013

Group capital

Shareholders’ equity 924,894 854,350

Provisions

Pension provisions 1,424 1,545

Warranty provisions 26,477 28,892

Taxation provisions 13,012 36,585

Other provisions 19,638 81,011

60,551 148,033

Long-term liabilities

Debts to credit banks 58,260 77,632

Current liabilities

Debts to credit banks 14,261 12,200

Projects in progress 129,529 0

Debt to suppliers 207,791 174,948

Taxes and social security contributions 80,177 26,286

Other debts and deferred liabilities 184,944 89,430

616,702 302,864

1,660,407 1,382,879

60

2014 2013

Invoiced turnover 2,342,041 1,632,108

Changes to projects in progress -176,320 132,591

Inter-company trading 818 1,019

Other operating income 53,549 95,678

Total operating income 2,220,088 1,861,396

Costs of raw materials and consumables 1,152,981 934,168

Subcontracted work and other external costs 328,893 273,455

Salaries and wages 453,320 389,654

Social security contributions and other personnel costs 113,949 102,141

Depreciation of (in)tangible fixed assets 46,300 47,326

Other operating costs 6,657 19,042

Total operating costs 2,102,100 1,765,786

Operating profit 117,988 95,610

Financial expenses -5,459 -5,349

Profit on ordinary activities 112,529 90,261

Profit on non-consolidated shareholdings 7,680 7,766

Profit before tax 120,209 98,027

Tax -15,962 -7,341

Third party interests 0 -2,104

Net profit after tax 104,247 88,582

C O N S O L I D A T E D P R O F I T

A N D L O S S A C C O U N T (x 1,000 euro)

61

2014 2013

Source of funds

Profit appropriation 104,247 88,582

Depreciation (in)tangible fixed assets 46,299 47,326

Changes to consolidated participations 4,671 99

Changes to other financial fixed assets - 826

155,217 136,833

Application of funds

Third party interests - 431

Investments minus desinvestments 114,459 82,457

Changes to other financial fixed assets 3,436 -

Repayment on long-term loans 19,372 66,014

Changes in provisions 87,509 67,290

Changes to non-consolidated participations 7,156 6,796

Other changes in equity 38,374 22,380

270,306 245,368

Changes in working capital -115,089 -108,535

S T A T E M E N T O F S O U R C E A N D

A P P L I C A T I O N O F F U N D S(x 1,000 euro)

62

P R I N C I P L E S F O R

V A L U A T I O N A N D

D E T E R M I N I N G

T H E R E S U L T

GENERAL EXPLANATORY NOTES

Activities

The activities of VDL Groep B.V. and its subsidiaries consist of:

• Subcontracting division: metalworking, mechatronic systems

and system supply, plastics processing and surface treatment;

• Car assembly division: the production of passenger cars for

third parties;

• Buses & coaches division: chassis & chassis modules, coaches,

public transport buses, mini & midi buses, special vehicles and

second-hand buses;

• Finished products division: suspension systems for the trailer and truck industry, heating, cooling and

airtechnical systems, production automation systems, installations for the oil, gas and petrochemical

industry, systems for the agricultural sector, sunbeds, roof boxes, container handling equipment, waste

collection systems, cigar-making and packaging machines, components for bulk handling and extraction

installations and systems for explosion and fire protection.

Sales are made in the Netherlands and abroad, whereby the countries of the European Union represent the

most important sales market.

Estimates

To make it possible to apply the principles and rules for drawing up the annual accounts, it is necessary

that the management of VDL Groep B.V. prepares a judgement on various issues, and that the

management makes estimates that could prove essential for the amounts contained in the annual

accounts. If necessary for the degree of insight required in article 2:362 paragraph 1 of the Netherlands

Civil Code, the nature of these judgements and estimates, including the accompanying assumptions, is

contained in the explanatory notes to the relevant items in the annual accounts.

Consolidation

In the consolidated annual accounts of VDL Groep B.V. the financial details are accounted for the group

companies and other legal entities over which predominant control can be exercised or over which central

management is undertaken. Group companies are legal entities over which VDL Groep B.V. can directly or

indirectly exercise predominant control, since it holds the majority of the voting rights or in any other way

can control the financial and operational activities. This also takes into account potential voting rights that

can be exercised directly on the balance sheet date.

The group companies and other legal entities over which predominant control can be exercised or over

which central management is undertaken are 100% accounted for in the consolidation. The third party

share of group equity and in the group result is listed separately.

Intercompany transactions, intercompany profits and mutual receivables and liabilities between group

companies and other legal entities contained in the consolidation are eliminated, in as much as the results

are not realised by transactions with third parties outside the group. Unrealised losses on intercompany

transactions are also eliminated, except in the case of extraordinary downward value adjustment. Principles

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of valuation of group companies and other legal entities contained in the consolidation have where

necessary been adjusted to comply with the applicable valuation principles for the group.

Applicability of article 2:402 of the Netherlands Civil Code

Because the profit and loss account for 2014 of VDL Groep B.V. is accounted for in the consolidated annual

accounts, in accordance with article 2:402 of the Netherlands Civil Code, reproduction of an abbreviated profit

and loss account is considered sufficient, in the single annual accounts.

Related parties

All legal entities over which predominant control, shared control or significant influence can be exercised

are identified as related parties. Legal persons capable of exercising predominant control are also identified

as related parties. The members of the Board under the Articles of Association, other key officers in the

management of VDL Groep B.V. and the parent company of VDL Groep B.V. and close relatives are related

parties.

Significant transactions with related parties are explained in as much as not entered into in accordance

with the normal market conditions. Of these transactions, the nature and scale of the transaction and

other information necessary for providing sufficient insight is provided.

Acquisitions and disposal of group companies

From the date of takeover, the results and identifiable assets and liabilities of the acquired company are

accounted for in the consolidated annual accounts. The date of takeover is the moment at which

predominant control can be exercised over the company in question.

The acquisition price consists of the monetary amount or equivalent agreed for acquisition of the acquired

company plus any directly attributable costs. If the acquisition price is higher than the net amount of the

fair value of the identifiable assets and liabilities, the excess (as goodwill) will be capitalised as intangible

fixed assets. If the acquisition price is lower than the net amount of the fair value of the identifiable assets

and liabilities, the difference (negative goodwill) will be accounted for under equity capital.

The companies involved in the consolidation will continue to be accounted for in the consolidation up to

the moment at which they are sold; deconsolidation will take place at the moment the predominant

control is transferred, or the participations no longer fulfil the criteria of group companies.

GENERAL PRINCIPLES

General

The consolidated annual accounts were prepared in accordance with the statutory provisions in Part 9

Book 2 of the Netherlands Civil Code and the clear statements from the Guidelines for annual accounting,

issued by the Dutch Accounting Standards Board.

Assets and liabilities are generally valued at acquisition price or manufacturing cost or current value. If no

specific valuation principle is stated, valuation is made according to acquisition price.

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Comparison with previous year

The principles of valuation and determination of result remain unaltered as compared with the previous year.

Foreign currencies

Items in the annual accounts of the group companies are valued taking account of the currency of the

economic environment in which the group company primarily undertakes its business activities (the

functional currency). The consolidated annual accounts are prepared in euros; this is both the functional

and presentation currency of VDL Groep B.V.

Transactions in foreign currencies during the reporting period are reflected in the annual accounts at the

exchange rate on the balance sheet date.

Monetary and non-monetary assets and liabilities in foreign currencies are converted into the functional

currency at the exchange rate on the balance sheet date. Any exchange rate differences arising from the

settlement and conversion are credited or charged to the shareholders’ equity. Conversion differences on

long-term intragroup loans that effectively represent an expansion or reduction of the net investment of

foreign participations are credited or charged directly to the shareholders’ equity.

Assets and liabilities, and income and expenditure for group companies contained in the consolidation

with a functional currency other than the presentation currency, are converted at the exchange rate on the

balance sheet date. Goodwill and the adjustments to fair value of identifiable assets and liabilities are

viewed as a component of these group companies and are also converted at the balance sheet date at the

exchange rate on the balance sheet date. The resultant exchange rate differences are credited or charged

directly to the shareholders’ equity.

Operational leasing

Lease contracts may exist within the company, whereby a large proportion of the advantages and

disadvantages relating to ownership do not lie with the company. These lease contracts are accounted for

as operational leasing. Obligations arising from operational leasing are accounted for on a straight-line

basis in the profit and loss account over the term of the contract, taking account of payments received

from the lessor.

Financial instruments

The group companies listed under financial fixed assets, in as much as relating to the trading portfolio or

equity capital instruments outside the trading portfolio, and derivatives with an underlying stock exchange

quoted value are valued at fair value. All other financial instruments contained in the balance sheet are

valued at (amortised) cost price.

Fair value is the amount for which an asset can be traded or a liability can be settled between parties well

informed on the issue, who are willing to make a transaction and who are independent of one another.

If a reliable fair value cannot immediately be identified, the fair value is approached by deriving this value

from the fair value of the individual component or of a similar financial instrument, or using valuation

models and valuation techniques.

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Upon first inclusion in the balance sheet, derivatives are valued at fair value. Any subsequent valuation of

derived financial instruments (derivatives) will depend on whether the underlying basis for the derivative is

stock exchange quoted or not. If the underlying basis is stock exchange quoted, the derivative will be

included at fair value. If the underlying basis is not stock exchange quoted, the derivate will be accounted

for at cost price or market value, whichever is lower. The method of accounting for value changes of the

derived financial instrument will depend on whether hedge accounting is applied to the derived financial

instrument or not.

VDL Groep B.V. applies hedge accounting. At the moment of entering into a hedge relationship, this is

documented by the company. By means of a test, the company periodically assesses the effectiveness of

the hedge relationship. This may be achieved by comparing the critical characteristics of the hedge

instrument with those of the covered position or by comparing the change in fair value of the hedge

instrument and the covered position.

VALUATION PRINCIPLES FOR THE BALANCE SHEET

Fixed assets

Intangible fixed assets

The intangible fixed assets are valued at acquisition price less depreciation. Account is taken of

extraordinary downward value adjustments; this is the case if the book value of the asset (or of the cash

flow generating unit to which the asset belongs) is higher than the realisable value of the asset. To

determine whether there is an extraordinary downward value adjustment for the intangible fixed asset,

reference is made to the paragraph concerning extraordinary downward value adjustments for fixed assets.

Goodwill arising from acquisitions and calculated in accordance with the paragraph on depreciations on

intangible and tangible fixed assets will be activated less straight-line depreciation during the estimated

future useful life.

Tangible fixed assets

Buildings and land used for business purposes are valued at current value on the basis of assessments

based on private sales value for continued use with costs for the purchaser’s account, less straight-line

depreciation, taking account of the estimated useful life of the assets in question. There is no depreciation

on land. The buildings and land used for business purposes were reassessed in 2014, at assessment values

for December of that year. Assessment was undertaken by an independent expert using the income

capitalisation method. In the case of reassessment of buildings, account was taken of deferred taxation of

15%. Account was taken of the extraordinary downward value adjustment expected on the balance sheet

date. To determine whether a tangible fixed asset is subject to extraordinary downward value adjustment,

reference is made to the paragraph on extraordinary downward value adjustments on fixed assets.

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The other tangible fixed assets are valued at purchase price or manufacturing price, including directly

attributable costs, less straight-line depreciation, taking account of the estimated useful life and

extraordinary downward value adjustments. The manufacturing price consists of the purchase costs for raw

materials and consumables and costs directly attributable to the manufacture, including installation costs.

Grants on investments are deducted from the acquisition price or manufacturing costs for the asset to

which the grants relate.

For obligations for recovery following the end of use of the asset (dismantling costs), a provision is

established for the expected amount at the moment of capitalisation.

The estimated useful life per category is:

Buildings : 20 – 33 years

Installations and facilities : 5 – 20 years

Machines and installations : 5 – 10 years

Other fixed business assets : 5 – 7 years

Financial fixed assets

Participations over which decisive influence can be exercised are valued according to the change in assets

method (net asset value). Decisive influence is assumed wherever 20% or more of the voting rights can be cast.

The net asset value is calculated according to the principles applicable for these annual accounts; for

participations about which insufficient details are available for application of these principles, the valuation

principles for the participation in question are assumed.

If the valuation of a participation according to the net asset value is negative, this participation will be

valued at zero. If and in as much as VDL Groep B.V. in this situation fully or partially secures the debts of

the participation, or has the clear intention to enable the participation to pay its debts, a provision will be

made for this purpose.

The first valuation for purchased participations is based on the fair value of the identifiable assets and

liabilities at the moment of acquisition. For subsequent valuation, the principles are applied that apply to

these annual accounts, assuming the value at first valuation.

Participations over which no decisive influence can be exercised are valued at purchase price. In the event

of extraordinary downward value adjustment, valuation will take place at realisable value. Downward value

adjustment is charged to the profit and loss account.

Receivables included in the financial fixed assets are initially valued at fair value less any provisions

considered necessary. Subsequently, these receivables are valued at amortised cost price.

Deferred tax receivables are established for offsettable fiscal losses or for offsettable temporary

discrepancies between the value of the assets and liabilities according to fiscal regulations on the one hand

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and the valuation principles employed in these annual accounts on the other, on the understanding that

deferred tax receivables are only established in as much as it is probable that there will be future fiscal

profit, against which temporary discrepancies can be set off and losses can be compensated.

The calculation of deferred tax receivables will take place according to the tax rates applicable at the end of

the reporting year or according to rates applicable in coming years, in as much as already laid down in law.

Deferred tax receivables are valued at nominal value.

Extraordinary downward value adjustment of fixed assets

On each balance sheet date, the company determines whether there are indications that a fixed asset may

be subject to an extraordinary downward value adjustment. If such indications are present, the realisable

value of the asset is determined. If it is not possible to determine the realisable value for the individual

asset, the realisable value will be determined for the cash flow-generating unit to which the asset belongs.

An extraordinary downward value adjustment occurs if the book value of an asset is higher than the

realisable value; the realisable value is the higher of the market value and the operating value.

If it is determined that an extraordinary downward value adjustment that was accounted for in the past no

longer exists or has fallen in size, the increased book value for the asset in question will not be set higher

than the book value that would have been determined if no extraordinary downward value adjustment

had been accounted for, for the asset in question.

Also for financial instruments, the company will determine on each balance sheet date whether there are

objective indications for extraordinary downward value adjustment of a financial asset or a group of

financial assets. If such objective indications are present, the company will determine the scale of the loss

from the extraordinary downward value adjustments, and will immediately account for that loss in the

profit and loss account.

In the case of financial assets valued at amortised cost price, the scale of the extraordinary downward

value adjustment will be determined as the difference between the book value of the asset and the best

possible estimate of the future cash flows, capitalised at the effective interest rate of the financial asset as

determined upon the first accounting of the instrument. The downward value adjustment loss that was

taken up must be taken back if the fall in the downward value adjustment relates to an objective event

following deduction. The take-back will be restricted to not more than the amount necessary for valuing

the asset at the amortised cost price at the moment of take-back, if there had been no extraordinary

downward value adjustment. The taken-back loss is accounted for in the profit and loss account.

In the case of an investment in equity capital instruments valued at cost price the size of the extraordinary

downward value adjustment is determined as the difference between the book value of the financial asset

and the best possible estimate of the future cash flows, capitalised at the current asset cost rate for a

similar financial asset. The extraordinary downward value adjustment loss will only be taken back if there

are indications that a loss accounted for in the annual accounts in previous years is no longer present or

has changed as a consequence of downward value adjustment.

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Current assets

Stocks

The stocks of raw materials and consumables are valued at fixed settlement prices, based on the last

known purchase price plus various additional amounts.

The stocks of work in progress (including semi-manufactured goods) and finished products are valued at

manufacturing cost or realisable value, if lower. The manufacturing costs consist of all costs relating to

acquisition or manufacture, and costs incurred for bringing the stock to their current location or their

current condition. Manufacturing costs include direct salary costs and bonuses for indirect fixed and

variable costs related to production.

The realisable value is the estimated sales price less directly attributable sales costs. In determining the

realisable value, account is taken of the unsaleability of the stocks.

Projects in progress

The item projects in progress on behalf of third parties consists of the balance of realised project costs,

allocated profit and if applicable accounted losses and already declared instalments. Projects in progress are

presented individually in the balance sheet under current assets. If the item shows a credit balance, it will

be presented under current liabilities.

Receivables

Receivables including tax and prepayments and accrued income, are initially measured at fair value and

subsequently at amortised cost price. The fair value and amortised cost price are equal to the nominal

value. Any provisions considered necessary for bad debt risk shall be deducted. These provisions are

determined on the basis of an individual assessment of the receivables.

Liquid assets

Liquid assets consist of cash at bank and in hand. Current account debts to banks are listed under debts to

credit institutions under current liabilities. Liquid assets are entered at nominal value.

Shareholders’ equity

Revaluation reserve

If revaluations have been included in the revaluation reserve less relevant (deferred) tax obligations, the

realised revaluations are immediately included in the shareholders’ equity. The corresponding release of

(deferred) tax obligations is credited to the results under the item tax on results from ordinary business

operations.

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Provisions

General

Provisions are established for legally-enforceable or actual obligations existing on the balance sheet date,

whereby an outflow of resources is probably necessary, the scale of which can be reliably estimated.

The provisions are valued at the best estimate for the amounts necessary for settling the obligations as at

the balance sheet date. The provisions are valued at nominal value of the expenditure expected to be

necessary for settling the obligations, unless otherwise stated.

If a third party is expected to reimburse these obligations, and if it is likely that this payment will be

received upon settlement of the obligation, this payment will be deducted from the provisions.

Provisions for pensions

The pension provisions are valued on the basis of the best estimate. Under these provisions, the obligation

is valued at cash value of the expenditure expected to be necessary for settling the obligation. If the period

over which the expenditure is capitalised is not longer than one year, the obligation is not accounted for at

cash value. Additions to and release of pension provisions are credited or charged to the profit and loss account.

Deferred taxation obligations

The provision for deferred taxation relates to future tax obligations arising from differences between the

valuation of the buildings according to these annual accounts and the fiscal valuation of the relevant items.

Deferred tax obligations are calculated according to the current rate of corporation tax and as concerns the

reassessment of buildings, at a rate of 15%. The majority of the provision can be characterised as long-term.

Other provisions

Provisions relate primarily to provisions arising from warranty obligations, transition and anniversary

payments. Provisions are listed at nominal value of the estimated obligations. The provisions can be

characterised broadly as long-term.

Other assets and liabilities

Liabilities are initially valued at fair value. Transaction costs immediately attributable to the acquisition of

liabilities are included in the valuation and initial measurement. Following initial measurement, liabilities are

valued at amortised cost, namely the amount received taking account of the share premium or discount

less transaction costs. The fair value and amortised costs are practically equal to the nominal value.

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PRINCIPLES FOR DETERMINATION OF THE RESULT

General

The result is determined as the difference between the realisable value of goods and services provided and

costs and other expenditures over the year. Income from transactions is reported in the year in which it

was realised.

Revenue recognition

Sale of goods

Income from the sale of goods is included as soon as all essential rights and risks relating to ownership of

the goods have been transferred to the purchaser.

Project income and project costs

For projects in progress, the result of which can be reliably foreseen, the project income and project costs

are accounted for as net turnover and costs in the profit and loss account proportionally to the performance

provided as at the balance sheet date (the ‘Percentage of Completion’ method or PoC method).

The progress of the performance provided is determined on the basis of the project costs incurred up to

the balance sheet date in relation to the estimated total project costs. If a result cannot (yet) be reliably

estimated, the income is accounted for as net turnover in the profit and loss account, up to the amount of

incurred project costs that can probably be recovered; the project costs are then accounted for in the profit

and loss account in the period in which they are incurred. As soon as the result can be reliably determined,

revenue recognition is carried out according to the PoC method, proportionally to the performance as at

balance sheet date.

The result is determined as the difference between the project income and project costs. Project income

relates to the contractually-agreed income and income from additional and less work, claims and payments

if and in as much as it is probable these will be realised and can be reliably predicted. Project costs are the

costs relating directly to the project, that can generally be allocated to project activities and allocated to

the project and other costs contractually attributable to the client. If it is probable that the total project

costs exceed total project income, expected losses are immediately accounted for in the profit and loss

account. This loss is reported in the cost price of turnover. The provision for the loss is part of the item

projects in progress.

Net turnover

Net turnover comprises the income from the delivery of goods and realised project income from projects in

progress less discounts, etc. and any tax levied on turnover, and following elimination of transactions

within the group.

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Employee benefits

Periodically-payable benefits

Wages, salaries and social security contributions are accounted for in the profit and loss account, on the

basis of the employment conditions, in as much as payable to employees.

Pensions

VDL Groep B.V. has accounted for all pension schemes according to the obligations approach. The

premium payable on the year under review is also accounted for as an expense.

Miscellaneous

Depreciation on intangible and tangible fixed assets

Intangible and tangible fixed assets are depreciated during the expected useful life of the asset from the

moment of commissioning. There is no depreciation on land.

If a change is made to the estimated future useful life, future depreciation will be adjusted.

Book profits and losses from the incidental sale of tangible fixed assets are included under other operating

income or costs.

Government grants

Operating grants are accounted for as income in the profit and loss account in the year in which the

granted costs were incurred or income was lost or if a grant operating shortfall occurred. The income is

accounted for when it is likely that it will be received.

Grants relating to investments in tangible fixed assets are deducted from the asset in question, and

accounted for as part of depreciation in the profit and loss account.

Interest income and interest expenses

Interest income and interest expenses are accounted for in proportion to time, taking account of the

effective interest rate for the assets and liabilities in question. In accounting for the interest expenses,

account is taken of the reported transaction costs on the loans received.

Tax on the result from ordinary business operations

The tax on the result is calculated on the result before tax in the profit and loss account, taking account of

any available losses eligible for fiscal compensation from previous financial years (in as much as not

included in deferred tax receivables) and exempted profit components, and following addition of non-

deductible costs. Account is also taken of changes occurring in the deferred tax receivables and deferred

tax liabilities as a result of changes to tax rates imposed.

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FINANCIAL INSTRUMENTS AND RISK MANAGEMENT

Market risk

VDL Groep B.V. operates worldwide but the majority of positions and transactions are in euros meaning

that the currency risks are minimal.

VDL Groep B.V. runs no noteworthy price risks.

VDL Groep B.V. runs interest risk on the interest-bearing receivables (in particular under current assets and

liquid assets) and interest-bearing current liabilities.

For receivables and liabilities with variable interest agreements, VDL Groep B.V. runs risks in respect of

future cash flows; as concerns fixed-interest receivables and liabilities, VDL Groep B.V. runs risks on the fair

value as a consequence of changes to the market rate.

As concerns receivables, no financial derivatives are contracted in respect of interest risk.

Credit risk

VDL Groep B.V. has no significant concentrations of credit risk. Sales are made to customers that meet the

creditworthiness assessment of VDL Groep B.V. Any liquid assets are with banks with at least an A-rating.

Liquidity risk

VDL Groep B.V. has no liquidity risk since the company has sufficient liquid assets.

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