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Services in figures
All figures relate to continuing operations. * before taxes and minority interest
			2002/2003		2003/2004
Order intake	million €		10,707		12,006
Sales	million €		10,603		11,887
EBITDA	million €		240		434
Income*	million €		36		271
Employees (September 30)			34,629		33,469

The Services segment is focused on high-quality process and supply services for manufacturing industry, including maintenance and repair, production support, in-plant logistics, scaffold services and technical services for the erection and maintenance of plant and facilities.

We are also one of the world's largest suppliers of stainless steel, nonferrous metals and plastics. Our range of products comprises over 125,000 items available from stock. The segment offers numerous value-adding services including slitting, cutting to length, cutting, sawing, flame cutting, milling, drilling and coating. All a customer has to do is order the material in the required form and volume, and we will supply it just in time. If required, we also handle the entire supply chain management for international customers, encompassing all activities from the purchase order to warehousing to delivery.

The portfolio is rounded off by the worldwide supply of steel and tubes, service activities in railway equipment and civil engineering as well as the distribution of metallurgical products, minerals and special coke.

Strong international focus

Services offers its customers full service packages in procurement, production, logistics and distribution from a single source. This frees up customers to focus on their core business. Our strong international focus means we can successfully bid for high-volume orders outside Germany. Services' customers come mainly from the steel, steel processing, automotive, aerospace, engineering, chemicals, oil and gas industries.

The segment's strategic and operating performance in Western Europe, in particular France, the Benelux countries and the UK, is very encouraging. As a growth market, the NAFTA region is also attractive. In the USA, for example, we have a five-year agreement for logistics services with Rolls-Royce. Overall Services generates around 20% of its sales in the USA, Canada and Mexico, mostly in materials services. However, in the future the USA could also play an increasingly important role in our industrial services business.

A further attractive growth market is Eastern Europe. We operate our own companies in Poland, Hungary and the Czech Republic. These supply local manufacturers with an extensive range of materials from stock along with complex services, for example for automakers. The Services companies currently generate sales of €300 million in Eastern Europe and this will be expanded over the next few years. This region is already important for the sale of large-diameter pipe as well as for the purchase of metals, alloys and minerals.

Focus on customers

Services continues to systematically tailor its products and activities to the needs of customers: "What do they want?" and "What else do they need?". In our target markets of Western Europe, Eastern Europe and NAFTA, we plan to set up additional locations through targeted investment, partnerships and alliances. Focusing on regions in which the segment can supply its full range of services, we will offer service-oriented system and marketing solutions to local producers and conclude long-term contracts.

In addition, we plan to achieve further organic growth by winning orders from within the ThyssenKrupp Group.