Operator: Good morning, and welcome to Henkel's Conference Call. With us today are Kasper Rorsted, CEO; Carsten Knobel, CFO; and Investor Relations team.
For the duration of the call, you will be on listen-only. Today’s conference call is being recorded and the webcast is available at www.henkel.com/ir.
At this time, I'd like to turn the call over to Mr. Kasper Rorsted. Please go ahead sir.
Kasper Rorsted - CEO: Good morning, ladies and gentlemen, and welcome to our conference call. First, I'd like to focus on the key developments of the fiscal year 2012, then Carsten Knobel, our CFO will provide to you with the fourth quarter and the fiscal year 2012 financials in greater detail. After that, I will briefly comment on the key achievements for the period '08 to '12. I will close my presentation with the financial targets for the horizon 2016 and the outlook for fiscal year 2013, and finally we'll take your questions.
I'd like to begin by reminding everyone that the presentation which contains the usual formal disclaimer to forward-looking statements within the meaning of relevant U.S. legislation can be accessed via our website at henkel.com/ir. The presentation and discussions are conducted subject to the disclaimer. We will not read the disclaimer, but propose we take it as read into the records for the purpose of this conference call.
Our strategy for the last four years is well-known to you, it's based on our business potential customers and team and we've now come to the end of our last four-year period. We also went through what the strategy for the next four years would look like, build and outperform, globalize, simplify and inspire, and I'll take you briefly through some of those details at the end of this presentation.
Let me now take you through the key developments of 2012. For the year 2012 our guidance was 3% to 5%, we came in at 3.8%. Our adjusted EBIT margin target for fiscal year 2012 was 14%, we came in at 14.1% and our adjusted EPS growth guidance that we changed in the summer time from 10% to 15%, came in 17.8%, meaning that we hit or overachieved all our KPIs for the fiscal year 2012.
When I look upon the achievements, we saw a solid organic growth driven by all businesses. We saw a substantially enhanced profitability and Carsten will take you through the details. We continue to optimize our portfolio and we’ll continue to do so also in the future. That is part of the value creation within our organization.
We (expand) our level of shared services should become faster and quicker but also more efficient. We have greatly enhanced our cash generation which you'll also see in greater details for Carsten and last but at least we continue to strengthen our global team and also use our performance culture as a driver for overall Company performance.
On the downside, we continue to see weakness in Southern European with Southern European being negative and overall Western Europe being slightly negative or at a stable level. We see Latin America will reduce growth dynamics and we’ve also seen continuity of political unrest, particularly in the Middle East that overall did not greatly impact our business, but did disrupt our business within quarters. We expect this volatility to continue.