Report of the Executive Board Financial review continued Purchase of property, plant and equipment was on a slightly lower level compared to 2005. Proceeds from the sale of property, plant and equipment amounted to €182 million versus €151 million in 2005. A net amount of €72 million in 2006 was invested in acquisitions and expansion of existing interests, compared to €460 million in 2005. In 2005 we invested €730 million of which €530 million in Russia. As part of the divestment of non-core assets we sold amongst others our real estate business in Austria, which resulted in a total cash inflow of €270 million in 2005. Net cash flow increased strongly to €401 million compared to €86 million in 2005. This was mainly due to the decline in cash flow from acquisitions amounting to €388 million. This decline was partly offset by higher cash flow from financing activities of €57 million, largely due to higher dividend payments of €23 million and purchase of own shares of €14 million in connection with our long-term incentive plan for our Executive Board and Senior Management. Financing structure In millions of EUR 2006 2005 Total equity 5,520 42 4,514 Deferred tax liabilities 471 4 393 3 Employee benefits 665 5 664 6 Provisions 242 2 273 Other liabilities6,099 47 5,985 51 12,997 100 11,829 100 Total equity as a percentage of total assets 2002 2003 2004 2005 2006 I Wm 38.9 I 35.8 34.6 38.2 42.5 Gearing Net debt as a percentage of Shareholders' equity 2002 2003 2004 2005 2006 I 52.7 74.0 84.8 66.7 40.0 C/1 Heineken N.V. 0*T Annual Report 2006

Jaarverslagen en Personeelsbladen Heineken

Jaarverslagen | 2006 | | pagina 57