Notes on the Consolidated Profit and Loss Statement

The consolidated profit and loss statement for the Continuing Operations reflected the seasonality of the tourism business, as a result of which earnings generated in the period from October to December are negative.

The decline in turnover and the cost of sales was above all attributable to the economic down-turn, in particular in the first quarter of the period under review.

(1)    Cost of sales and ­administrative expenses
The cost of sales and administrative expenses comprised the following items:

Lease, rental and leasing expenses

Personnel costs

Depreciation/amortisation/impairments

(2)    Other income/Other expenses

Other income/other expenses

(3)    Financial income/Financial expenses
The financial result for the first half of 2009/10 included in particular interest effects of €22.9m from on the measurement of the loans and hybrid capital granted to Albert Ballin Holding GmbH & Co. KG and Hapag-Lloyd AG using the effective interest method.

(4)    Adjustments
In addition to the disclosures required under IFRS, the consolidated profit and loss statement comprises a reconciliation to underlying earnings. The adjustments show deconsolidation income as gains on disposal, events according to IAS 37 as restructuring measures and any effects of purchase price allocations on EBITA, ancillary acquisition costs and contingent purchase price payments as purchase price allocation. This reconciliation also includes one-off expenses. The adjustments exclusively related to TUI Travel.

(5)    Income taxes
The tax income arising for the first half of the year was largely attributable to the seasonality of the tourism business.

(6)    Group profit/loss attributable to minority interests

Group profit/loss attributable to minority interests

Profit and Loss Statement of the TUI Group for the period from 1 October 2009 to 31 March 2010