Risk report

Global market presence promotes stability

Thanks to a systematic and efficient risk management system, risks at ThyssenKrupp are contained and manageable. There are no identifiable risks which could in the future pose a threat to the existence of the Company. Business processes are well controlled. On major projects in particular, detailed project controls ensure that set objectives are achieved and variances identified in good time. Our global market presence reduces the Group's susceptibility to cyclical price and volume developments in individual regions. Furthermore, our diversified product and customer structure limits our risks from business with individual products, customers and sectors. To hedge against financial risks, we use among other things derivative financial instruments. The information contained in the risk report in the 2005/2006 Annual Report is still valid.

We report on pending lawsuits, claims for damages and other risks in Note 8.