Total number of shares ... ... 90,638,708 ... 90,361,658 Number of floating shares1 on Dec. 31 ... ... 90,515,040 ... 90,231,488 Absolute share of capital stock ...per share, € ... 10.00 ... 10.00 Year-end price ...€ ... 31.39 ... 22.80 Highest price2 ...€ ... 31.39 ... 24.89 Lowest price3 ...€ ... 22.20 ... 15.95 Annual performance4 ...% ... 40.3 ... 34.1 Beta relative to the MDAX ... 0.70 ... 0.84 Market capitalization5 ...€ million ... 2,841 ... 2,057 Average trading volume per day ... ... 102,563 ... 62,697 Earnings per share (basic)6 ...€ ... 1.51 ... 1.28 Earnings per share (diluted)6 ...€ ... 1.48 ... 1.26 Price-earnings ratio7 ... 20.8 ... 17.8 Dividend per share8 ...€ ... 0.75 ... 0.44 Total dividend payment ... € million ... 68.0 ... 39.7 Dividend yield on Dec. 319 ...% ... 2.4 ... 1.9 1 Total number of shares on the balance sheet date, minus treasury shares
2 Closing price on December 30, 2004 and September 4, 2003 3 Closing price on May 18, 2004 and January 8, 2003 4 Percentage increase in the overall yield in the period under review 5 Year-end price multiplied by the number of floating shares 6 Relating to the weighted annual average of the floating shares 7 Relating to the year-end price
8 Dividend proposed (for 2004) 9 Dividend per share/year-end price
Shareholder structure
The biggest individual shareholders continue to be the State of Hesse, Stadtwerke Frankfurt am Main Holding GmbH and the Federal Republic of Germany. The free float amounts to 29.4% of the shares.
We estimate that German private investors hold about 30% of this free float. 70% are owned by institutional investors, with an approximately equal regional spread over the USA, Great Britain and Continental Europe.
Dividend policy
The earnings per share increased in line with the development of the profit for the year, by 18% from € 1.28 to € 1.51. There is to be a disproportionately large increase in the dividend: the Supervisory Board and the Executive Board will be proposing to the Annual General Meet- ing this year that a resolution is passed to pay a dividend of € 0.75 per share (previous year: € 0.44). This would represent an increase of 70% and the dividend payout ratio would amount to almost 50% of the Group profit; 34.5% were paid in the previous year.
Investor Relations at Fraport
Our objective is to create maximum transparency for the capital market by providing compre- hensive, open and prompt information.
Fraport gave presentations to institutional investors in Germany and abroad on 53 roadshow days in fiscal 2004. We intensified our existing contacts and established new ones as a result. The Executive Board also presented the company at the Annual General Meeting as well as at annual financial press, analysts’ and capital market conferences. For the second time, the Ex- ecutive Board invited investors to an event that took place this year at Frankfurt-Hahn Airport.
Stadtwerke Frankfurt am Main Holding GmbH Shareholder structure % 20.4 31.9 29.4 State of Hesse
Federal Republic of Germany
18.3
About 1,600 shareholders and shareholders’ representatives came to the Jahrhunderthalle in Frankfurt-Höchst for the third Annual General Meeting on June 2, 2004. 77.7% of the capital stock was represented and the conduct of the business by the Executive Board and the Supervi- sory Board was approved with 99.98% of the votes. The meeting was moderated by the Chair- man of the Supervisory Board Karlheinz Weimar, Finance Minister of Hesse, who took this office over from Prime Minister Roland Koch in December 2003.
Our IR activities have become considerably more extensive now that the German legislation to improve shareholder protection (AnSVG) has come into force (effective October 30, 2004). The regulations about insider liability, ad hoc publishing requirements and directors’ dealings have also been redefined and tightened up.
A study commissioned by the business magazine “Capital” confirms the quality of our IR activi- ties. Analysts from all over Europe assessed the credibility, quality and topicality of our activities as well as the corporate governance standards. Fraport was rated ninth out of 50 MDAX compa- nies in 2004.
The high level of acceptance of Fraport AG on the finance markets is also reflected by the fact that 29 major German and international private and investment banks now carry out research and publish studies.
The illustration shows the banks’ assessment at the end of the year. 12 banks recommend to buy the share, 14 to hold it and 3 to sell it.
We will be expanding our website, which plays a particularly important role in communication with our private investors, again in 2005. We already provide a wide range of information in the “investor relations” section of our website (www.fraport.com). With the online annual report, live broadcasts of analysts’ conferences and the availability of all the figures in Excel format, we go beyond standard practice. In co-operation with banks and shareholders’ associations, we aim to increase our program of events for private investors, too.
Employee investment plan
Since the IPO in 2001, Fraport employees have been able to subscribe shares once a year in the context of the performance- and success-based compensation program “LEA”. Fraport AG buys back the shares for this program, making use of some of the authorized capital following a capi- tal increase in return for the injection of cash, and passes them on to its employees.
In 2004, about 5,100 employees opted for one of the share models offered and subscribed 146,450 Fraport shares. This means that the participation level rose from 33.1% in 2003 to 41.5%. The shares were issued in May 2004 at a price of € 22.22; the price was calculated from the average final Xetra price in the period between April 1 and 16, 2004 minus a deduction of € 1.00.
Fraport employees have therefore bought 719,736 shares since the employee investment plan started. Analysts’ recommendations Date: December 31, 2004 14 12 3 Buy Hold Sell Institutional investors/USA Institutional investors/UK Free float shareholders’ structure* % 25 30 22 Private investors 23 Institutional investors/ Continental Europe
50 Investor Relations ... Corporate Governance