burani designer holding n.v

Burani Designer Holding N.V. .

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BURANI DESIGNER HOLDING N.V.

Head office: Amsterdam, Olympic Plaza, Fred. Roeskestraat 123, 1076 EE

- CONSOLIDATED INTERIM RESULT 30/06/2007

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Board of directors Mr. G.W. Burani Mr. G. Gullo Mr. Kevin Compere Tempestini Mr. D.P. Stolp Mr. David Enderlin Mr. Dick Haarsma Mr. Simon Prior Palmer Audit Company Mazars Paardekooper Hoffman N.V.

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Directors’ report BDH Group Overview Burani Designer Holding N.V. (the “Company”) aims to become a leading provider of Italian lifestyle products worldwide through investments in operating companies mainly active in the accessible luxury goods market. On 30 June 2007 the Company held 52,765% of the issued ordinary shares of Mariella Burani Fashion Group S.p.A. (“MBFG”). MBFG’s ordinary shares are listed on the Mercato Telematico Azionario of Borsa Italiana and on the Star segment since it was established in March 2001. MBFG’s leather goods division, Antichi Pellettieri, is currently among the leaders in the accessible segment of the Italian leather goods market and is listed on the Expandi market of Borsa Italiana. The Company currently holds 54.4% of the issued ordinary shares of MBFG. In early 2007, after having identified beachwear, underwear and cosmetics as attractive market segments of the accessible luxury goods market, the Company made the strategic decision to acquire a 100% interest in Arcte (luxury beachwear and underwear), a 50% interest in Crisfer (luxury beachwear) and a 50% interest in Eurocosmesi (cosmetics). Key strengths Management believes that the Company has the following key strengths: -track record of Burani Family and Management in value building across different sectors; -tested business model; and -complementary contributions of the Company’s core shareholders and management. Investment strategy The Company’s investment strategy focuses on targeted investments, cooperation with the founders of its acquired businesses, and value creation. The Company aims to: -pursue a selective acquisition strategy focused on high potential small- to medium-sized, niche companies operating in the accessible luxury goods market; -further develop the Company’s ‘‘partnership’’ business model by continuing to involve the founders in the business management while adopting a ‘‘tailor-made’’ approach; and create shareholder value through synergies and management expertise and maximise value creation through optimal capital allocation. Implementation of investment strategy The Company’s investment strategy involves expanding its operations by acquiring companies operating within the Italian lifestyle luxury market, such as its newly acquired subsidiaries, Arcte, Crisfer and Eurocosmesi. The Company believes that acquiring such companies will create synergies among and between such companies and its publicly-held subsidiary, MBFG, including scale and cost efficiencies, cross-selling and brand-building opportunities, distribution advantages through existing networks in emerging markets and possibilities to in-license new brands and extend existing brands.

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Change in Management On 22 May 2007 the current Board of Directors was appointed/installed. Mr. J.H. Scholts and Mr. G.F.X.M. Nieuwenhuizen resigned as a director of the Company. INFORMATION ON THE BDH GROUP BUSINESS OVERVIEW The Company aims to become a leading provider of Italian lifestyle products worldwide through investments in operating companies mainly active in the accessible luxury goods market. On 30 June 2007 the Company held 52,765% of the issued ordinary shares of MBFG(currently 54.4%) , which operates in the fashion apparel, leather goods and jewellery market segments. The Company’s recently acquired operating subsidiaries are active in the beachwear and underwear and cosmetics market segments. The Company intends to diversify its operations by acquiring interests in a number of competitive companies in attractive niche market segments of the accessible luxury goods market. The Company expects to create value by creating focused business units, or poles, which it believes will benefit from the synergies achievable amongst the companies in each of these business units as well as amongst different business units within the BDH Group and within MBFG. The Company’s business model is based on the business model successfully demonstrated by MBFG. MBFG’s leather goods division, Antichi Pellettieri, is currently among the leaders in the accessible segment of the Italian leather goods market and was listed on the Expandi market of the Borsa Italiana in June 2006. Following the development of Antichi Pellettieri, MBFG further expanded its operations to include a new fashion jewellery division with the recent acquisitions of Italian fashion jewellery makers Facco, Rosato, Valente and Calgaro. In April 2007, the Company made the strategic decision, after having identified beachwear and underwear as attractive target segments of the accessible luxury goods market, to acquire a 50% interest in Crisfer, an Italian company that produces luxury beachwear under the Fisico and Fisichino brand names, and a 100% interest in Arcte, an Italian luxury beachwear and underwear company whose lines include Argentovivo and Bacirubati. In May 2007, the Company further expanded its operations by acquiring a 50% interest in Eurocosmesi, an Italian business that distributes a wide range of perfumes for men and women under its brands and licences with well known Italian fashion houses and skincare products under the Eurocosmesi-owned Transvital trademark. HISTORY OF THE BDH GROUP Introduction In early 2007, the Company began to pursue its current strategy of development involving the acquisition and management of operating companies active in the Italian lifestyle luxury market. The history of the Company and MBFG is characterised by three phases of diversification: (i) MBFG’s growth and the development of its fashion apparel division; (ii) MBFG’s diversification of its operations to include leather goods and jewellery; and (iii)

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diversifying the BDH Group business through the Company. Each of these phases is described in detail below. Growth and Development of MBFG and its Fashion Apparel Division MBFG was founded by Walter Burani in 1960 and grew organically in the fashion apparel sector for the first 40 years of its activity. In the 1980s and 1990s, MBFG added the Mariella Burani per Amuleti, Pi`u donna di Mariella Burani and Mariella de Mariella Burani brand names and began to operate as a licensee for other fashion houses. In July 2000, 39% of the share capital of MBFG was listed on the Mercato Telematico Azionario of the Borsa Italiana and currently on the Star segment (established in March 2001). Beginning in 2002, MBFG became a more vertically integrated structure with the acquisitions of textile company Compagnia della Seta S.p.A., as well as Revedi S.p.A., and Revedi S.A. which operate outlets in Italy and Switzerland that sell luxury fashion apparel at a discount. Also, during this period, MBFG decided to shift away from licensed brands and focus more on strengthening its own brand apparel business including expanding its brand name line through acquisitions such as the Rene’ Lezard line in 2003. Diversification of MBFG In order to further leverage its distribution network and operating platform, MBFG began diversifying its activities in 2000 by entering the leather goods sector. From 2000 to 2006, MBFG invested in several leather goods companies operating in the accessible Italian luxury market through Antichi Pellettieri. MBFG S.p.A. grouped the acquisitions under one division in order to stimulate growth through the exploitation of synergies. MBFG’s leather goods division, headed by Antichi Pellettieri S.p.A., is among the leading businesses in the accessible Italian luxury segment of the leather goods market. In June 2006, Antichi Pellettieri S.p.A. was successfully listed on the Expandi market of Borsa Italiana, with MBFG, (and indirectly the Company), remaining the controlling shareholder with 52.9% of Antichi Pellettieri’s issued share capital. Building on the success of Antichi Pellettieri, MBFG recently entered the fashion jewellery business. In September 2006 MBFG acquired 51% of Facco for €1.9 million, which was subsequently transferred to its subsidiary Goielli d’Italia S.r.l., incorporated in December 2006.The enterprise value to 2006 EBITDA ratio for this acquisition was 3.7x.In December 2006, MBFG, through its controlled subsidiary, Gioielli d’Italia S.r.l., entered into agreements to acquire controlling interests in Rosato and Valente, two Italian companies in the fashion jewellery business. The acquisitions of Rosato and Valente were completed in March 2007 and April 2007, respectively. The total consideration paid for Rosato was €5 million plus an additional deferred amount of €3 million, which is contingent on certain earnings and financial targets being met in 2007. The enterprise value to 2006 EBITDA ratio for this acquisition was 4.0x.The total consideration paid for Valente was €1.8 million, comprising €0.3 million in cash and €1.5 million in raised capital plus an additional deferred amount of €0.5 million which is contingent on certain earnings and financial targets. The enterprise value to 2006 EBITDA ratio for this acquisition was 5.7x. In May 2007, MBFG acquired 51% of the issued share capital of Italian fashion jewellery maker Calgaro for a total purchase price of approximately €3 million, consisting of €1.5 million in cash plus an additional deferred amount of €1.0 million which is contingent on certain earnings and financial targets. MBFG plans to develop the fashion jewellery division through

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both organic and non-organic growth, including by way of acquisition or joint venture, utilising the same business model followed in the development of Antichi Pellettieri. Diversifying the BDH Group through the Company Indirect control of the Company was acquired by the Burani Family in 1990, and the Company was subsequently transformed into a holding company for the Burani Family’s investments in MBFG. Over the past several years, the Burani Family has begun opening up the Company’s share capital to strategic partners in order to foster the future development of the BDH Group. In 2003, the Burani Family transferred 11.25% and 18.75% of the Company’s share capital to two financial partners, Interbanca International Holding S.A. (part of the ABN AMRO Group) and the private equity fund Interbanca Gestione Investimenti SGR S.p.A. (the predecessor of IGI), respectively. Subsequently, in 2005 and 2006, the entire share capital of the Company was transferred through multiple transactions to a new Italian holding company, Burani Private Holding, owned by the Burani Family (73.57%), Interbanca S.p.A. (14.60%) and IGI (11.82%). Beginning in 2006, the Burani Family took further steps to expand the Company’s role within the MBFG structure. First, on 13 December 2006, the Burani Family together with Ettore Burani sold its direct stakes in MBFG to the Company as a contribution in kind for 31,500 new Shares in the Company, thereby increasing the Company’s percentage of share capital in MBFG from 31.8% to 52.8%. Between December 2006 and May 2007, the Burani Family transferred an aggregate of 18.7% of the Company’s share capital to other investors that operate in the luxury goods market such as Itochu, Romano Minozzi and the Gualandi family. These investors have operations which management believes are complementary to the BDH Group’s business with the aim that they will help foster the BDH Group’s further growth, including the BDH Group’s entry into new luxury markets such as Asia, for example, where Itochu has a strong presence. The BDH Group has recently begun to diversify outside MBFG’s operations by acquiring businesses operating in the Italian beachwear and underwear and cosmetics segments. On 5 April 2007, the Company completed its acquisition of a 50% stake in Crisfer, an Italian beachwear company, for a purchase price of €2.6 million in cash. The enterprise value to 2006 EBITDA ratio for this acquisition was 9.0x. On 4 May 2007, the Company acquired 100% of the share capital of Arcte, an Italian company operating in the beachwear and underwear market, for a purchase price of €22,5 million. As consideration for the acquisition of Arcte, the Company paid the selling shareholders €11.0 million in cash and issued 2,608 Ordinary Shares (3.0% of the Company’s issued ordinary share capital prior to Admission). The enterprise value to 2006 EBITDA ratio for this acquisition was 10.5x. On 14 May 2007, the Company completed its acquisition of a 50% controlling stake in Eurocosmesi, which designs products under licence agreements and skincare products under the Eurocosmesi owned Transvital trademark for an initial purchase price of €9 million, comprising €8 million in Ordinary Shares(1,815 Ordinary Shares, 2.11% of the Company’s issued ordinary share capital prior to Admission) and €1 million in cash. The terms of the

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acquisition provide for future consideration to be paid in 2009 dependent on the future financial performance of Eurocosmesi. Pursuant to the acquisition, Coswell transferred the Transvital trademark to Eurocosmesi and Eurocosmesi will record the transfer and perfect their right. Management believes that each of these acquisitions complements MBFG’s established fashion apparel and leather goods operations, thus providing an opportunity to create and exploit significant synergies and stimulate further growth. KEY COMPETITIVE STRENGTHS Management believes that the future of the BDH Group will be driven by a combination of competitive strengths that differentiate it from other players in the luxury goods market: Track record of the Burani Family in value building across different sectors The Burani Family and the management teams within the individual businesses of the BDH Group have investment experience across different sectors in acquiring and integrating small and medium sized companies with the aim of creating value through the realisation of synergies. The Burani Family has experience outside the BDH Group with the development of Greenvision Ambiente and Bioera Greenvision Ambiente, which operates in the environment field as a manufacturer of natural insulators and other eco-friendly products mainly used in bio-building and as a provider of renewable energies, environmental services and other solutions aimed at improving safety measures and protecting the environment, was founded by the Burani Family in 1968 and later publicly listed on the Expandi Market of Borsa Italiana in July 2004. Bioera, a producer and distributor of organic food and beverages and natural cosmetics, was acquired by the Burani Family in December 2004 and was later listed on the Expandi market of the Borsa Italiana in July 2005. Tested business model Management believes that the distinctive features of its business model are the following: -Selective, systematic acquisition strategy with a focus on high potential, small- or medium-sized companies, distinctive, accessible luxury goods businesses, characterised by strong management, established brand names, considerable growth and synergistic potential and attractive operating margins. -Disciplined financial approach, with a debt/equity ratio for each transaction that management believes to best suit the acquired business and the BDH Group’s capital allocation. -Flexible, tailor-made approach to each acquisition, in order to accommodate vendors’ needs. In particular, the Company can offer cash or Ordinary Shares or stock of certain of its privately held subsidiaries or a combination as consideration, thus offering the sellers the opportunity to invest in the enlarged combined entity. -Involvement of the founders and managers of the acquired companies who remain invested and become partners of the BDH Group, continuing in their operative roles in the acquired companies. Top management of the various business lines are selected among the founders and managers of the acquired companies and, if necessary, supported by the BDH Group’s managers or independently recruited managers on a ‘‘best man for the job’’ basis. -Pursuit of commercial, operational and managerial synergies within each business line as well as across business lines, leveraging MBFG’s established operating and financial platform, know-how and global network as appropriate. -Respect for, and emphasis on, the distinctive identity of each acquired business and brand.

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Complementary contributions of the Company’s core shareholders and management The Company benefits from the complementary contributions of its core shareholders and management: -The Burani Family, through Burani Private Holding, controls the Company and is represented in the management team by Giovanni Burani as the Company’s Executive Chairman. The Burani Family has developed expertise in the Italian accessible luxury goods sector as well as a group-building track record. As such, the Burani Family has established a reputation as a business partner and a consolidator of small and medium sized Italian family-owned companies operating in the accessible luxury goods market. -The Burani Family and the managers of the BDH Group have developed a network of commercial and business partners in key markets for Italian accessible luxury brands, such as in Russia, the Middle East and the Far East, which the BDH Group hopes to leverage in order to foster the expansion of its acquired companies in such markets. -The shareholders that have recently joined the Company have been selected mainly on the basis of their capabilities to offer know-how and complementary contributions to foster the Company’s investment strategy. Itochu, for instance, is a $18.9 billion sales Japanese trading company operating in diversified business segments, including textiles, general merchandise and food, and is active in 100 countries worldwide (with a focus on Japan and the Far East). Management believes that Itochu might help provide the BDH Group with access to an established distribution platform for existing and newly acquired brands. Romano Minozzi is the founder and chairman of Iris Group, a leading Italian group active in the production and distribution of high quality ceramic tiles in over 100 countries. Management believes that Mr Minozzi can bring to the BDH Group his expertise in the habitat products business sector. The Gualandi family, founder and shareholder of Eurocosmesi, have developed expertise in the luxury cosmetics sector which management believes will support the BDH Group in expanding its new cosmetics division. The Company’s management team is led by Kevin Compere Tempestini, an experienced Italian stock research analyst. The management team comprises a combination of key representatives of MBFG senior management in particular Mr. Giuseppe Gullo who followed all acquisitions in MBFG including diversification in leather goods and Antichi Pelletieri IPO and the managers of the acquired businesses, and the management team benefits from their collective investment experience and track record. Mr Tempestini and the new senior management members provide scouting, business and financial analysis and transaction management backgrounds, whilst MBFG management representatives provide continuity with the MBFG history. The combination of the Burani Family’s expertise and reputation in the luxury goods market, the skill sets contributed by the new management and the experience of the Company’s strategic shareholders represents, in management’s view, a key strength for the Company and a critical driver of its investment strategy.

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INVESTMENT STRATEGY The Company intends to continue investing in companies operating in the Italian lifestyle luxury market with a strategic focus on the accessible segment where management believes Italian lifestyle products are synonymous with quality and product excellence worldwide. The Company aims at achieving such expansion by identifying, acquiring and integrating a number of target businesses in different sectors of the luxury goods market, and increasing their value over time by leveraging, through its influence as a shareholder, MBFG’s operating platform, know-how, synergies and capabilities. Investment Strategy: pursue a selective acquisition strategy focused on high potential small-cap, niche companies operating in the accessible luxury goods segment The Company’s investment strategy is based on acquisitions within the accessible segment of the Italian lifestyle luxury goods market. Target Areas The Company intends to focus its investment strategy within sectors of the Italian lifestyle luxury goods market that management has identified as offering opportunities for growth and the creation and exploitation of intra-group synergies. The Company has already expanded its operations to include beachwear and underwear and cosmetics with the acquisition of controlling interests in Arcte, Crisfer and Eurocosmesi in 2007. Management has also identified potential target segments for future investment as boating and yachting, interior design, fine food and wine and wellness and spas. The Company is currently actively evaluating a number of opportunities and does so on an ongoing basis. The Company will decide on a case-by-case basis whether to acquire majority stakes or strategic minority interests. This decision will be based on several considerations, including the size of any potential target. Future acquisition and investment targets may be significantly larger than the recent Arcte, Crisfer and Eurocosmesi acquisitions. Management intends to focus on sectors, which it considers to have fragmented markets with local, minimally integrated distribution networks that are inadequate to meet global market needs. In addition, each of the target segments is experiencing a shift in consumer demand from unbranded to branded products, accompanied by a process of market consolidation. Furthermore, management believes that products and services at the top end of these segments are becoming more and more aspirational, with opportunities for premium pricing. In addition, management believes several small- and medium-sized companies in the above described business areas may be facing dimensional or succession issues whereby they cannot achieve a growth step up and are not able to compete in the international market for lack of operating or financial leverage or depth of management, and would therefore particularly benefit from integration within a larger and more international group with strong management and greater financial resources. Management believes that the above features were present in the leather goods market when MBFG launched the Antichi Pellettieri division. Management further believes that the establishment of this strategy created attractive conditions that promoted a process of consolidation of small and medium sized companies

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with established brands and helped to foster their international growth through leveraging the BDH Group platform. Management also believes these features are present in the beachwear and underwear market segments. Acquisition Targets In line with the BDH Group business model, target companies are identified on the basis of a set of characteristics that include: -prime brands which are, or have the potential to become, leaders in their respective segments; -presence or development opportunities in geographic markets offering high growth potential (Eastern Europe, and the Middle and Far East); and strong management team. Before proceeding with any acquisition, management will undertake appropriate due diligence, including retaining external advisers where they deem it necessary. Acquisition Approach: further develop its ‘‘partnership’’ business model by continuing to involve the founders in the business management while adopting a ‘‘tailor-made’’ approach Partnerships with Targets’ Founders The Company believes that the continued involvement of the founders and the key management of the acquired companies will facilitate the integration of such companies in the enlarged group without losing business continuity and cultural identity. In addition, the possibility offered by the Company to the founders of acquired companies to retain a stake in the target company and, in certain cases, to invest in the enlarged BDH Group is considered by management to be an effective incentive tool. In agreement with the target company’s founders and shareholders, the Company will therefore decide on a case-by-case basis with a ‘‘tailor-made approach’’ the founders’ and selling shareholders’ level of involvement in the share capital of the acquired company, or the sub-group’s holding company or the Company itself in certain situations. Utilising the experience gained by the Burani Family and common management in growing MBFG through strategic acquisitions, the Company aims to achieve mutually satisfactory agreements with selling entrepreneurs whereby they will retain strong operational guidance on the target and will be entrusted with the achievements of the growth targets of the enlarged group. Acquiring Entity Acquisitions may be made directly by the Company or its subsidiaries. The choice of the entity that will consider and, if deemed appropriate, carry out any such acquisitions will be decided on a case-by-case basis with the aim of maximising potential value creation for the Company’s shareholders. As the BDH Group’s business model is based on the development of specialised sub-groups, management expects future acquisitions to be carried out by its sub-holding companies. The Company does not expect to carry out future acquisitions with respect to fashion apparel, leather goods and fashion jewellery, in which the MBFG group, including Antichi Pellettieri operates, other than through MBFG.

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Value Creation: create shareholder value through synergies and management expertise and maximise value creation through optimal capital allocation Synergy Plans The Company intends to create value from its acquisitions by leveraging its key strengths and, particularly, its ability to integrate the acquired companies and generate synergies and enable the acquired companies to benefit from an integrated operating platform. This business model is based on the integration of the acquired companies and the development of common operating platforms in supply, brand building, distribution, advertising and promotion, sharing of management talent, geographic expansion and marketing expertise. Management expects such common operating platforms to allow the Company to generate cost and revenue synergies. Expected cost synergies mainly relate to the sourcing of raw materials, logistics and third-party manufacturing arrangements, as well as financial arrangements. Amongst the expected revenue synergies, management expects to pursue cross-licensing and cross-selling opportunities for products of different brands and shared intelligence on how to develop a retail presence in new markets. Related parties transactions will continue to be entered into on an arms’ length basis consistent with the Combined Code and applicable law. Management believes that the entities it acquires will benefit from intra group interaction with MBFG and other entities previously acquired by the Company whilst simultaneously maintaining an individual style and product identity. Moreover, the acquisition of several targets belonging to the same sector (e.g. beachwear and underwear) is expected to allow the Company to create specialised business units or ‘‘poles’’ of companies that will be able to capitalise on sector-specific competence and synergies, including: -improvement of the manufacturing and sourcing strategies; -rationalisation of product lines; and -strategic repositioning of each acquired brand. With respect to the Company’s three recent acquisitions Arcte, Crisfer and Eurocosmesi, management believes that the following cost and revenue synergies can be achieved: -brand extension of MBFG own brands in underwear, beachwear and fine fragrances; -attractive third-party licensing agreement of brands in underwear, beachwear and fine fragrances; -distribution synergies in emerging markets favoured by brand awareness of several MBFG brands; -accelerated openings of Arcte and Crisfer directly operated single brand stores and corners; -Arcte to provide Crisfer with access to its distribution channels; -possibility for Crisfer to exploit Arcte’s manufacturing structure and warehouses; and -increased bargaining power with suppliers. Strategic Commercial Partner The Company considers itself a strategic commercial partner of the targets it invests in, and it will manage them with a medium-term ownership perspective. For this reason, the Company

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will aim at developing the full potential of the acquisitions over time, with the aim of maximising investment returns. Therefore, the development of the targets’ potential, and its positive impact on the Company’s share price, is likely to constitute the main value creation driver. Capital Allocation The Company will periodically review the allocation of its investment in the various business sectors in which it operates and in the various entities in the BDH Group with the aim of improving overall value creation for its shareholders. Therefore the BDH Group may consider a range of exit solutions from its investments whenever it determines that such an option represents a better value creation approach and that alternative investments exist in the same business area or in other business areas, which offer higher returns. In order to improve the allocation of financial resources amongst business areas and to raise funds to further develop specialised business units, the Company may consider in the longer term listing a business unit on an exchange. This IPO approach for some of its investments could follow a similar pattern to the one that led to the IPO of Antichi Pellettieri namely, the creation of a pool of companies operating in the same sector, which have already started to constitute a common operating platform. DESCRIPTION OF THE COMPANY’S NEW ACQUISITIONS The Company has entered the beachwear, underwear and cosmetics segments through its recently acquired operating subsidiaries, Arcte, Crisfer and Eurocosmesi. The Company plans to develop its beachwear, underwear and cosmetics operations by utilising the business model applied by the Burani Family in the development of MBFG and Antichi Pellettieri. In particular, management expects to expand each of the new acquisition’s distribution network with a particular focus on emerging markets. Already, the Company has assisted Crisfer in opening the first Fisico directly operated single brand store on Via Montenapoleone in Milan, Italy. In addition, management expects to grow the operations of each acquired company by obtaining attractive new third-party licensing agreements of brands in underwear, beachwear and cosmetics. Arcte Arcte has manufactured and distributed luxury beachwear and underwear under its own brand names since 1954. In 2006, Arcte’s consolidated revenues amounted to €47.7 million, of which €37.7 million (79%) was generated in Italy and €10 million (21%) in export markets. Out of the revenue generated in export markets, €1.7 million was generated in Russia, a primary expansion target market for the BDH Group. In comparison, in 2005, Arcte’s consolidated revenues were €47.4 million, of which 77% was generated in Italy and 23% in export markets. In 2006, the export share of Arcte’s two largest brands (Bacirubati and Argentovivo) accounted for 95% of Arcte’s total export revenues and for 40% of Arcte’s total revenues of the two brands. Arcte has a wide portfolio of brands. In April 2007, Arcte entered into a new licence agreement for the production of beachwear and underwear products for Replay.

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Arcte has two creative design teams, one for the women’s line and one for the men’s line. Each creative team has employees organised on three tiers: the creative manager, the internal stylists (fashion brand designers) and the line coordinators (fashion coordinators). The creative design teams also collaborate with external stylists. Currently, Arcte is collaborating with a stylist for Julipet and another for Argentovivo Mare. Arcte’s business strategy is to have strong prototype and sample collection capabilities and, at times, to cooperate with external designers who contribute to the creative process. Arcte currently outsources almost all of its manufacturing activities to external workshops located in Poland, Slovenia, Bulgaria, Serbia and Moldova. Almost all of these workshops work exclusively for Arcte through long-term agreements. Production is based on prototypes manufactured in Italy. Arcte serves approximately 4,000 specialised underwear boutiques, department stores and high level apparel shops worldwide. Arcte has a flagship store in Bologna and concessions in the following department stores: Harrods (London); LaRinascente (Milan), KaDeWe (Berlin), Oberpollinger (Munich), Mercury (Moscow), SEIBU (Tokyo), Sogo and Idee (Taipei). Julipet is marketed in El Corte Ingl´es (Spain) shops in Barcelona and Madrid. Bacirubati is marketed in the shop chain ‘‘Beldona’’ in Switzerland and the Bustier shop chains in Russia. Argentovivo is marketed in the Wild Orchid shops in Russia. On 1 July 2006, Arcte opened a subsidiary ‘‘Arcte France’’ in Paris in order to serve the French market directly and plans are currently in place to open a Spanish subsidiary to directly serve the Iberian region. Crisfer Crisfer was founded in 1995 by designer Cristina Ferrari. Since then, Crisfer has been active in the design, production and distribution of beachwear and beachwear accessories for the Italian luxury market. In 2006, Crisfer’s revenues amounted to €4.4 million, of which €4 million (92%) was generated in Italy and €0.4 million (8%) in export markets. Crisfer manufactures products under the Fisico, Fisico Beach Couture and Fisichino own brands. The product development and design work of Crisfer is carried out by Cristina Ferrari, together with a product development team composed of two employees located at Crisfer’s head office and styling centre in Turin, Italy. External stylists and image consultants are also retained from time to time. For example, on 30 October 2006, Crisfer entered into a consultancy agreement with Fashion Research S.r.l. for the Fisico and Fisichino collections for the fall/winter season 2007/2008 and spring/summer season 2008. The manufacturing activities of Crisfer are entirely outsourced to external workshops in Italy specialised in third-party garment manufacturing. Raw materials are sourced by the company directly from suppliers in Italy. The sales function of the Company is handled by Mario Bergamini who is also a shareholder in Crisfer. Crisfer distributes its products through two channels: (i) direct distribution by Crisfer’s sales department to certain clients and two directly operated shops located in Portorotondo, Sardinia, Italy and Via Montenapoleone in Milan, Italy; and (ii) indirect distribution through a single-brand boutique located in Capri, Italy which purchases merchandise directly from Crisfer and sells the collections under the brands Fisico and Fisichino through a network of twelve agents in Italy.

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Eurocosmesi Eurocosmesi was incorporated in 2007. It was created by selling founders Coswell S.p.A. and Bagni della Porretta S.p.A. in connection with the sale of the business to the Company. Prior to the acquisition, which occurred on 14 May 2007, Coswell S.p.A. transferred its perfume and skincare distribution division to Eurocosmesi, while Bagni della Porretta S.p.A. transferred its commercial division (which distributes toiletries and body care products to luxury hotels) to Eurocosmesi on 2 May 2007. Eurocosmesi is active in the distribution of products to high end cosmetics boutiques and shops, major supermarkets and distributors and luxury hotels. The brands distributed by Eurocosmesi are split into two main categories: (i) own brands (such as Transvital); and (ii) brands under licence from third parties. Eurocosmesi’s Transvital brand is an anti-ageing treatment line that competes in the luxury sector and operations include distributing the Transvital products to specialised spas. All design and manufacture of the products distributed by Eurocosmesi will be carried out by Coswell S.p.A, Coswell S.p.A’s subsidiary LCS S.A. and Bagni della Porretta S.p.A. DESCRIPTION OF MBFG MBFG operates in the fashion apparel, leather goods and fashion jewellery market segments and licenses certain brands to third parties in other segments, including beachwear and fine fragrances. Founded by Walter Burani in 1960, MBFG was historically centred on fashion apparel until 2000, when it began to expand its operations to include the leather goods market segment. MBFG’s ordinary shares were listed on the Mercato Telematico Azionario of the Borsa Italiana in 2000 and on the Star segment in 2001. MBFG aims to increase the percentage of its total revenue derived from leather goods and fashion jewellery to 70%, with the remaining 30% derived primarily from fashion apparel. Fashion Apparel Fashion apparel, which was historically MBFG’s core division, includes the design, manufacture and distribution of MBFG’s own fashion apparel brands in addition to brands licensed from third parties. MBFG’s own principal fashion apparel brands are Mariella Burani, Ren´e Lezard, Mariella Burani per Amuleti, Amuleti J and Le Donne di Mariella Burani. MBFG’s key licensed apparel brands are Thierry Mugler (women’s apparel), Ungaro Fuchsia, Anglomania whose licence was granted by Vivienne Westwood, Alviero Martini, Patrizia Pepe and Killah. The value-added stages of design, prototype development and quality control on final products are internally performed. MBFG outsources the majority of its production requirements for fashion apparel to approximately 60 third party producers who are mainly located in Italy and work exclusively for MBFG. Leather Goods MBFG currently hold 53.5% of the issued ordinary shares of Antichi Pellettieri, which specialises in the design, production and distribution of leather accessories, such as bags and small leather goods, footwear and leather apparel collections. The main brands owned by the subsidiaries of Antichi Pellettieri are Francesco Biasia, Baldinini, Braccialini, Sebastian, GFM and Coccinelle. The key licensed brands of Antichi Pellettieri and its subsidiaries are Vivienne Westwood, Warner Brothers, Miss Sixty, Missoni and Luigi Borrelli. Antichi Pellettieri also produces leather goods under the Mariella Burani brand through a licence agreement with

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MBFG S.p.A. Similar to MBFG’s fashion apparel business, Antichi Pellettieri controls critical phases of the productiondistribution chain carrying out internally all value added phases such as design, planning, supply, quality, marketing and communication activities while outsourcing only the production and logistics phases. Antichi Pellettieri’s manufacturing activities are outsourced to 30 third party producers in Italy and abroad. Jewellery Over the course of 2006 and 2007, MBFG acquired Italian jewellery makers Facco, Rosato, Valente and Calgaro. Facco has been designing, manufacturing and distributing fashion jewellery in Italy since 1969. Facco’s main brands are ‘‘Facco Gioielli’’ and ‘‘Charms & Charms’’. Rosato has been designing, producing and distributing fashion jewellery under the Rosato names in Italy since 2000. Valente has been designing, producing and distributing fashion jewellery in Italy since the early 1960s. Valente only distributes fashion jewellery under the Valente name. Calgaro was founded in 2000 by Giuseppe Calgaro and Monica Fin. Calgaro distributes through high profile retailers and foreign distributors worldwide (including Mercury in Russia and Nieman Marcus in the United States). Calgaro has patented production technologies for creating gold and silver string that can be coloured and assembled into knitted gold fabric which can be used in apparel, accessories and jewellery. Management believes that Calgaro is positioned in the premium end of the luxury jewellery market segment. All four jewellery acquisitions outsource the majority of their production while retaining inhouse the critical value added stages such as design. Digital Fashion MBFG also has non-core operations in digital fashion that include all the companies of MBFG which carry out production, marketing and software installation activities, maintenance and distribution of hardware equipment and internet services. The companies in this division carry out their activity in support of the information technology requirements of either other MBFG companies or of customers outside the MBFG group. Management of MBFG will continue to evaluate its options for the future of the digital fashion division. Revenues Breakdown MBFG 1H 2007 1H 2006 DIVISIONS' REVENUES %of %of Growth EUR 1000 total. total %

APPAREL 153.011 47,1%

151.055 55,0% 1,3%

LEATHER GOODS 132.698 40,8%

107.591 39,2% 23,3%FASHION JEWELLERY 19.761 6,1% - 0,0% n.s.DIGITAL FASHION 19.443 6,0% 16.029 5,8% 21,3%

TOTAL(Continuing Business) 324.914 100,0%

274.676 100,0% 18,3%OTHERS 46.959 86.951

GRAND TOTAL 371.873

361.627 2,8%

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The Apparel division generated 47,1% of the MBFG operative consolidated revenues of the first half of 2007; Leather Goods division (Antichi Pellettieri) the main growth driver of the Group generated 40,8% of MBFG operative consolidated revenues of the period; Digital Fashion division contribution in term of revenues for the period was 6,0% of MBFG operative consolidated revenues. Finally Fashion Jewellery division, an important new growth driver for further development of MBFG Group generated in the first half of 2007 about 6,1% of revenues. MBFG goes on its development strategy of own brands for further implement in the long run a growth with better profit margins. Events during the period On January 15th, 2007 Antichi Pellettieri decided to redeem the full €10,994,386 allowable (per regulations and as described in the prospectus) of the €13,992,853 in convertible bondsissued on April 12th, 2006. The total outlay for Antichi Pellettieri was €11,971,291, including the redemption premium and accrued interest. On the same date, again in accordance with the bond regulations and as described in the prospectus, Development Capital decided to convert as of January 31st, 2007 the remaining €2,998,467 in bonds into 503,944 shares of Antichi Pellettieri S.p.A. On February 13th, 2007, the Company subscribed to 77% of the share capital on incorporation of Seven Management Group S.r.l., which is based in Milan, Italy. The object of this subsidiary is to provide corporate, financial and merger and acquisitions advisory services for BDH as well as independent third parties, for example private equity funds, private enterprises. On March 5th, 2007 the German antitrust authority approved the acquisition of 50% of Rosato Gioielli Srl by the subsidiary Gioielli d'Italia Srl; the Austrian antitrust authority confirmed that notification of the transaction was unnecessary. On March 5th, 2007 the German antitrust authority approved the acquisition of 51% of Valente Gioiellieri S.p.A. by the subsidiary Gioielli d'Italia Srl; the Austrian antitrust authority confirmed that notification of the transaction was unnecessary. On March 9th, 2007 Gioielli d'Italia Srl closed the purchase of 50% of Rosato Gioielli Srl, having received permission to proceed from the antitrust authority. On March 29th, 2007 MBFG signed a preliminary purchase agreement for 51% of Calgaro Srl through its subsidiary Gioielli d'Italia Srl, confirming the Group's plan to extend its leadership in the European accessible luxury market to the jewelry sector, which has strong synergies with leather goods and fashion in general. The strategic plan, following the successful example of the Leather Goods division (Antichi Pellettieri), calls for the acquisition of small and midsize jewelers with high expertise in

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creativity, design and distribution. Their development will be fostered by synergies with the rest of the Group. MBFG S.p.A.'s purchase of 51% of Calgaro Srl, through the subsidiary Gioielli d'Italia, involved a total outlay of €3 million: €1.5 million in cash and the rest in the form of a capital increase. Founded in Vicenza in 2000 by Giuseppe Calgaro and Monica Fin, the company introduced a revolutionary kind of jewelry in which gold and silver are transformed into thin, supple threads that are expertly woven, colored and enameled. Its three inseparable hallmarks—technology, design, and genuine Italian quality—have been honored by several patents and two "Gold Virtuosi" awards, including the Award of Excellence. Calgaro sells 80% of its collections abroad (25% in Western Europe, 12% in Eastern Europe & Russia, 15% in the U.S. and Caribbean, 20% in Asia, 8% in the United Arab Emirates and the rest of the world), to the best retailers and distributors (Mercury in Russia, Neiman Marcus in the United States, etc.). On April 5th, 2007, the Company completed its acquisition of a 50% stake in Crisfer, an Italian beachwear company, for a purchase price of €2.6 million in cash. The enterprise value to 2006 EBITDA ratio for this acquisition was 9.0x. On April 24th, 2007 Gioielli d'Italia Srl closed the purchase of 60% of Valente Gioiellieri S.p.A., having received permission to proceed from the antitrust authority. On May 4th, 2007, the Company acquired 100% of the share capital of Arcte, an Italian company operating in the beachwear and underwear market, for a purchase price of €22,5 million. As consideration for the acquisition of Arcte, the Company paid the selling shareholders €11.0 million in cash and issued 2,608 Ordinary Shares (3.0% of the Company’s issued ordinary share capital prior to Admission). The enterprise value to 2006 EBITDA ratio for this acquisition was 10.5x. On May 7th, 2007 Gioielli d'Italia closed the purchase of 51% of Calgaro Srl. The price of €3 million was paid half in cash and half through a capital increase; there is also an earn-out clause of €1 million for 2008, depending on results achieved that year and in 2007. Monica Fin and Giuseppe Calgaro, the company's founders, will continue to run the business as CEO and chairman, respectively. On May 14th, 2007, the Company completed its acquisition of a 50% controlling stake in Eurocosmesi, which designs products under licence agreements and skincare products under the Eurocosmesi owned Transvital trademark for an initial purchase price of €9 million, comprising €8 million in Ordinary Shares (2.11% of the Company’s issued ordinary share capital prior to Admission) and €1 million in cash. The terms of the acquisition provide for future consideration to be paid in 2009 dependent on the future financial performance of Eurocosmesi. Pursuant to the acquisition, Coswell transferred the Transvital trademark to Eurocosmesi and Eurocosmesi will record the transfer and perfect their right. Management believes that each of these acquisitions complements MBFG’s established fashion apparel and leather goods operations, thus providing an opportunity to create and exploit significant synergies and stimulate further growth. On May 24th, 2007 with a view to streamlining the Group's structure, MBFG's Board of Directors bought an additional 49% interest in Moda Trading Srl from three of its

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shareholders, Messrs. Rosetti, Calcagno and Maristella, for a total of €400,000. MBFG already held 51% of the company and thus a majority of the voting rights. On June 5th, 2007 MBFG signed an agreement with DAMAS, an international jewellery distribution group based in Dubai with revenues of $1.2 billion, for the creation of a fashion jewellery joint venture. Tawhid Abdullah, CEO of DAMAS Jewellery LLC, is admired for his international expertise in the Jewellery business. He owns interests in Aston Martin and Saks (Middle East) and has received a number of honors, including "Businessman of the Year 2006" for the United Arab Emirates. The joint venture between MBFG and DAMAS, based in Italy, will be held 51% by Gioielli d'Italia Srl, a sub-holding company of Mariella Burani Fashion Group that already owns Facco Corporation SpA, Valente Gioiellieri SpA, Rosato Gioielli Srl, and Calgaro Srl. The main objective of the partnership will be to discover and acquire fashion jewellery companies in Italy and throughout the world. Even for the short term, the agreement will help Gioielli d'Italia enjoy a significant increase in revenues. The project will exploit the special expertise of both partners. DAMAS will focus on logistics, distribution and marketing, using its knowledge of the international fashion jewellery market and a retail network of 326 boutiques worldwide (growing to 400 in the next 12 months). Mariella Burani Fashion Group will contribute its talent for bringing companies together, as demonstrated by the four acquisitions closed in 2006 and 2007, using Antichi Pellettieri as a model for the rapid, synergistic development of the businesses acquired. On June 20th, 2007 The Company announced the IPO on the Alternative Investment Market (AIM) of the London Stock Exchange. The BDH Group sells Italian lifestyle products and services to an international clientele. It operates in apparel, leather goods and jewellery through its subsidiary MBFG, and in two complementary segments: beachwear & underwear and cosmetics. The Company plans to expand into other sectors such as interior design and wellness & spas and skincare. On June 26th, 2007 Antichi Pellettieri, the leather goods division of MBFG (listed on the Expandi market of the Milan Stock Exchange) and its subsidiary Francesco Biasia signed two long-term licensing agreements with Aquascutum, the icon of London-style fashion and luxury. Kim Winser, Aquascutum's chairman and CEO, is implementing an ambitious plan to develop and revitalize the brand. Aquascutum, created in 1851, is a historic luxury clothing brand. Expansion within the luxury market has led it to choose Antichi Pellettieri for the production and international distribution of footwear and leather goods. The exclusive collection of Aquascutum accessories, to debut in spring/summer 2008, will be made and distributed by Francesco Biasia and will feature accessories made from fine, high-performance materials. The footwear collection will be produced and distributed by Antichi Pellettieri, starting with a men's collection MBFG Quarterly report at June 30th, 2007 and eventually including a line for women as well. Accessories and footwear alike will express their made-in-Italy heritage, in perfect harmony with the spirit of the traditional English brand. This major agreement for the production and international distribution of footwear and accessories for Aquascutum is entirely consistent with the Group's strategy of adding licenses

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for famous brands to its portfolio. Antichi Pellettieri, with its expertise and more than 50 years' experience in Italian craftsmanship, will give Aquascutum an opportunity to grow by rounding out the brand’s presence in luxury leather goods. On June 29th, 2007 the Board of Directors of MBFG approved to sell the Multibrand Retail Division (full interests in Revedi SpA, Revedi SA, Bernie’s AG and Don Gil GmbH) to Abacus Invest, a private equity fund promoted by Paolo Vacchino and Luca Sangalli, which owns 45% of women's apparel company Phard SpA. MBFG's divestment of multibrand retail operations is part of a strategy to focus on leather goods and fashion jewellery, where margins are decidedly higher. The Multibrand Retail operations divested include Revedi SpA with 37 outlets in Italy and 5 in Switzerland, Bernie’s AG with 17 stores in Switzerland, and Don Gil GmbH with 38 stores in Austria for a total of 97 stores. The Multibrand Retail Division, whose managers will take part in the transaction, was originally acquired by MBFG for €17.8 million at an average EV/EBITDA of 2.2x. It grossed €118.6 million in 2006. The division is being sold for €75 million, of which €60 million is payable by December 30th, 2007 and the remainder in instaltments over the next three years. The transaction reflects an EV/EBITDA for 2006 of approximately 10x. As a means of remaining closely involved in the business and ensuring that its brands remain in the divested stores, MBFG plans to reinvest €15 million in the company buying the division. The transaction is consistent with the MBFG Group's new growth strategy, which calls for an ever sharper focus on Leather Goods and Fashion Jewellery and for development of the network of single-brand boutiques. The income from the sale will be reinvested in new acquisitions. Subsequent events On July 12th, 2007 Braccialini Srl, a subsidiary of Antichi Pellettieri SpA (MBFG's Leather Goods Division whose shares are traded on the Expandi market of the Milan Stock Exchange), acquired Dadorosa Srl, the worldwide licensee of renowned brand Gherardini. Gherardini, a Florentine label dating to 1885, is admired internationally for the unique style of its innovative collections of handbags, small leather goods, footwear and accessories. Dadorosa Srl is based in Florence—Italy's premiere leather goods district—and is licensed globally for the production and distribution of the complete range of Gherardini merchandise. It also operates three Gherardini boutiques, in Milan, Florence and Rome. In 2006, Dadorosa grossed €16.8 million and reported EBITDA of €1.4 million. Export revenues account for 61% of total sales, with 50% generated in the Far East. Braccialini has acquired 90% of Dadorosa Srl from Addì Group Srl and will buy the remaining 10% from Misaki Shoji Co. Ltd., a leading Japanese luxury goods distributor. The full purchase price is €8.9 million. With net debt of €0.7 million at April 30th, 2007, the enterprise value of Dadorosa Srl is calculated at €9.6 million, resulting in an EV/EBITDA multiple of 6.7x. Mariella Burani Fashion Group SpA Quarterly report at June 30th, 2007 The acquisition is consistent with the Group's objective of focusing on high-growth businesses such as handbags and accessories and on emerging markets, including the Far East, where the

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Gherardini brand is especially popular. In addition, Dadorosa provides the Group with further opportunities for growth in terms of revenues and synergy development. On July 27, 2007 The Company announced the acquisition of a 51% controlling interest in Granulati Italia SpA, a leading manufacturer and distributor of high quality instant products for fine foods based in Bergamo, Italy. The acquisition, the fourth effected by the Company in the past six months, will be carried out by a newly established holding company whose aim is to extend Company’s reach into the internationally acclaimed Italian fine foods business. Granulati Italia SpA was founded in 1982 by Oscar Nesta in Bergamo, Italy to develop instant food products for an international customer base. Today, the company produces a full range of combined instant products including tea, coffee and other beverages as well as a full range of desserts and ice creams for its own brands including ‘Boston’ and ‘Gelati Italia’ which are distributed to retail and wholesale customers internationally. Over 20% of the Company’s revenues are generated from export markets including Europe and Eastern Europe, Far East, Morocco,Lebanon, South Africa, United States, Cuba and Australia. The Company generated revenues of €10.7 million, EBITDA of €1.4 million and EBIT of €1.3 million in 2006, reflecting a 12.7% EBIT margin. Net Debt at December 31, 2006 was €1.7 million. The Company will acquire a 49% equity interest in Granulati Italia SpA via its new fine foods subsidiary for €3 million cash to be paid at closing. In addition, the Group acquired 2% of the voting rights of Granulati Italia SpA for €50,000, with a call option to acquire up to 10% of the shares of Granulati Italia SpA at the expiry of the 2% voting rights. The shares and voting rights will be acquired from Oscar Nesta, founder of Granulati Italia SpA, who is expected to retain equity interest and continue in his role as CEO, in line with the Company’s successful business model. The closing will take place in the nearby future, probably before the end of October 2007. August 2007 In the Month of August 2007 the Company increased it’s shareholding in the capital of MBFG with 1.7% and the Company currently holds 54.4% of the issued ordinary shares of MBFG. August 7th ,2007- September 13th, 2007 The Company purchased 233,887 ordinary shares in it’s own capital between the dates of August 7th ,2007 and September 13th, 2007 at an average price of € 7.59. All of the purchased shares are being held in treasury to satisfy awards to executive directors and certain employees of the Company under the Company’s Free Shares Plan as described in the Admission Document dated June 15th, 2007

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ACTIVITIES AND RESULT The Company is the holding company of MBFG with a 52.765% shareholding of MBFG’s share capital. MBFG has been fully consolidated in this financial information due to the control over MBFG in the period under review. The following notes address the activity of BDH and its subsidiary (also referred to as the ‘‘Group’’), which produces and distributes accessible luxury apparel, footwear, handbag and accessory collections worldwide under their own brands and under license for international designers. Production is partly internal and partly outsourced; distribution takes place through an extensive retail network in Italy and abroad consisting of stores owned by Group companies and third parties. During the 1H of 2007 the Company has begun an huge process of expansion to create an important Group. The consolidated result for the 1H of 2007 is positive. The Company’s net profit amounting to € million 11.7. The individual result for 1 H of 2007 has been above expectations and is mainly due to the result on MBFG subsidiary deriving by applying fair market value at the MBFG shares. The share price of MBFG increased during the 1H of 2007 from EUR 20.33 till EUR 25.88. The difference in 1H 2007 results respect to 1H 2006 results is generated by the revenues from Antichi Pellettieri IPO realized in 2006.

Future outlook The year 2007 will be an important year for the Company. The extension of activities via the acquisition of further fashion related companies. In line herewith, the Management is full of confidence that the scheduled business expansion will add to the long-term profitability and therefore it is expected that the future outlook of the Company is a prosperous one. Amsterdam, September 27, 2007 Board of directors, Mr. G.W. Burani Mr. G. Gullo Mr. Kevin Compere Tempestini Mr. Simon Prior-Palmer Mr. David Enderlin Mr Dick Haarsma Mr. D.P. Stolp

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BURANI DESIGNER HOLDING N.V.

Head office: Amsterdam, Olympic Plaza, Fred, Roeskestraat 123, 1076 EE

Interim consolidated income statements 30 June 2007 30 June 2006 Year ended €’000 €’000 31 December (unaudited) (unaudited) 2006 €’000 Revenue 382,058 361,644 672,615 Change in inventory of finished products and work in progress 3,214 16,824 7,287 Raw materials and consumables (154,225) (127,583) (264,623) Staff costs (54,539) (50,688) (94,258) Other operating costs (116,265) (112,331) (196,733) ───── ───── ───── Earnings before interest, tax, depreciation and amortisation 60,243 87,866 124,288 Depreciation, amortisation and impairment (12,338) (12,693) (32,477) ───── ───── ───── Earnings before interest and tax 47,905 75,173 91,811 ───── ───── ───── Financial income 2,366 907 3,435 Financial charges (15,556) (12,059) (27,601) Exchange gains/(losses) 30 (84) 400 Income from investments in affiliated companies valued at equity (147) - 102 Profit on disposal of assets - - - ───── ───── ───── Profit before tax 34,598 63,937 68,147 Deferred tax - - 6,967 Income tax (7,590) (5,070) (12,463) ───── ───── ───── Profit after tax 27,008 58,867 62,651 Minority interest (15,432) (41,480) (45,732) ───── ───── ───── Profit attributable to equity holders 11,576 17,387 16,919 ═════ ═════ ═════ Earnings per share (€) 0.192 0.288 0.28 ═════ ═════ ═════

Earnings per share deluded (€) 0.192 0.288 0.28 ═════ ═════ ═════

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Interim consolidated balance sheets - assets 30 June 2007 31 December €’000 2006 (unaudited) €’000 Non-current assets Intangible assets 452,384 402,511 Property, plant and equipment 68,479 62,280Investment property 1,664 1,664Capital investments 13,664 13,606Financial assets available for sale 100 649Deferred tax assets 23,774 37,857Other long term financial receivables 151 242 Long term trade and other receivables 21,801 17,729 ───── ───── 582,017 536,538 ───── ───── Current assets Inventories 172,778 194,283 Trade and other receivables 176,332 137,638 Current tax assets 17,698 20,333 Other short term financial receivables 116,304 56,891 Short term financial assets available for sale 28,904 19,779 Negotiable securities valued at fair value 15,742 11,800 Cash and cash equivalents 147,036 58,016 ───── ───── 674,794 498,740 ───── ───── Total assets 1,256,811 1,035,278 ═════ ═════

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Interim consolidated balance sheets - liabilities 30 June 2007 31 December €’000 2006 (unaudited) €’000 Share capital and reserves Capital issued 3,780 41 Share premium reserve 113,412 6,262 Other reserves 178,845 182,593 ───── ───── 296,037 188,896 Minority interest 214,161 207,549 ───── ───── Equity attributable to equity holders of the parent 510,198 396,445 ───── ───── Non current liabilities Long term loans and borrowings 261,921 227,623 Long term financial derivatives 252 543 Deferred tax liabilities 106,542 91,081 Post employment benefits 19,540 17,657 Long term provisions 972 1,865 Other long term liabilities 15,835 15,583 ───── ───── 405,062 354,352 ───── ───── Current liabilities Short term trade and other payables 178,274 156,881 Current tax liabilities 27,583 25,402 Short term loans and borrowings 132,956 100,622 Short term provisions 2,738 1,576 ───── ───── 341,551 284,481 ───── ───── Total liabilities 1,256,811 1,035,278 ═════ ═════

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Interim consolidated statements of cash flows Year ended 30 June 2007 31 December €’000 2006 (unaudited) €’000 As at 1 January 38,427 36,517 Cash flow from operating activities Pre-tax profit 34,598 68,147 Amortisation and depreciation 9,864 24,707 Net loss / (profit) from disposal of property, plant and equipment 5 201 Net profit from disposal of intangible assets - - Net (profit)/loss from disposal of financial assets (39,317) (87,246) Net change in risk reserves and provisions for employee benefits 876 10,280 Profit from investments valued at equity 145 (102) Net financial charges 3,320 6,212 ───── ───── 9,491 22,199 ───── ───── Net change in working capital 6,621 (61,158) Interest paid 10,370 17,774 ───── ───── 16,991 (43,384) ───── ───── Cash flow from investing activities Interest received - - Dividends received (4) (150) Net change in: - Intangible assets (2,730) 30,622 - Property, plant and equipment (6,228) (15,472) - Financial assets 20,777 86,221 ───── ───── 11,815 101,221 ───── ───── Balance carried forward 38,297 80,036 ───── ─────

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Interim consolidated statements of cash flows (continued) Year ended 30 June 2007 31 December €’000 2006 (unaudited) €’000 Balance brought forward 38,297 80,036 ───── ───── Cash flows from financing activities (Decrease) / increase in capital and reserves (38,689) (6,011) Proceeds from capital increase 97,010 - Finance lease payments (410) (476) Payment of loans (28,660) (7,241) Dividends paid (7,632) (2,630) Change in scope of consolidation 18,818 (42,179) ───── ───── Net cash used in financing activities 40,437 (58,537) ───── ───── Net cash flow for the year 78,734 21,499 ───── ───── Cash & cash equivalents at end of year 117,161 58,016 ═════ ═════

Notes to the interim financial statements

1. The interim financial reporting in this report is prepared on the basis of the accounting policies set out in the 2006 Annual Report of the Company. These accounting policies are consistent with International Financial Reporting Standards (IFRS) adopted for use by the European Union.

2. No interim dividend is proposed to be paid for the six months to 30 June 2007. 3. This statement does not comprise statutory accounts as defined in BW 2. Statutory accounts for

the year ended 31 December 2006, on which the former auditor issued an unqualified audit opinion, have been filed with the Chamber of Commerce.

4. The interim financial information as at and for the six months ended 30 June 2007 have been neither audited nor reviewed by the Company’s current auditor.

5. The directors of the Company approved the financial information included in this interim result document on 27 September 2007.

6. The cash flow statement as at June 30, 2007, considering the cash flow from operating activities as at January 01, 2007, does not include the overdraft that was considered at the cash & cash equivalents at the end of the year as at December 31, 2006.

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Consolidated statements of changes in shareholders’ equity amount €/000 Shareholders Share premium Other result for Total Minority Total

Capital reserve reserve the period Group Equity

As at 31 December 2004 25 2,983 49,608 2,176 54,792 161,980 216,772

2005 Result for the period 2,177 7,056 9,233 16,306 25,539 -

Adjustment in FV reserve of - subsidiaries 1,198 1,198 1,198

Var. in cons Perimeter/and var of reserve of sub 4,385 4,385 7,128 11,513

As at 31 December 2005 25 2,983 57,368 9,232 69,608 185,414 255,022

2006 Result for the period 9,232 7,687 16,919 26,332 43,251 - -

Contribution in kind 16 123,913 123,929 123,929 - -

Destination 120,634- 120,634 - -

Var. in cons Perimeter/and var of reserve of sub 21,560- 21,560- 4,197- 25,757-

As at 31 december 2006 41 6,262 165,674 16,919 188,896 207,549 396,445 - -

Destination of result - - 16,919 16,919- - - Result for the period 11,576 11,576 15,433 27,009 Increase in share capital 3,739 109,751 113,490 113,490 Business combination effect 1,826 1,826 1,826 Cash Bonus 2,600- - 2,600- 2,600-

Variation in subsidiaries res 17,151- 17,151- 8,821- 25,972-

As at 30 June 2007 3,780 113,413 167,268 11,576 296,037 214,161 510,198

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