Weir Group PLC · LSE:WEIR

Weir — The Weir Group — Investor Presentation (July 2005)

10 slides from Weir's investor presentation, Jul 1, 2005

  1. Slide 1: Adoption of International Financial Reporting Standards ("IFRS")

    Excellent The Weir Group PLC Engineering Solutions 1 July 2005 Adoption of International Financial Reporting Standards (“IFRS”)

  2. Slide 2: Summary

    The Weir Group PLC Excellent Engineering Solutions Summary ƒ No change to economics of business ƒ No impact to cash flows ƒ Principal impact on 2004 restated P&L account due to: - Presentation of JVs and Associates - Goodwill amortisation - Pensions - Other ƒ Net Assets at 31 December 2004 increased

  3. Slide 3: UK GAAP reported results in IFRS format

    The Weir Group PLC Excellent Engineering Solutions UK GAAP reported results in IFRS format Full Year 2004 Share of UKGAAP IFRS Group JVs & Assoc Format Format £m £m £m £m Turnover 739.4 108.2 847.6 739.4 Operating profit 51.3 10.0 61.3 58.4 Net Interest & Other income (3.7) (0.2) (3.9) (3.7) Other F

  4. Slide 4: Areas affected by IFRS

    The Weir Group PLC Excellent Engineering Solutions Areas affected by IFRS ƒ Measurement of 2004 results - Goodwill - Share based payments - Exchange on intra group loans - Post employment benefits - Tax ƒ Measurement of 2005 results - Financial instruments - Research and development costs 4

  5. Slide 5: Pre Tax Profit Bridge from UK GAAP to IFRS

    The Weir Group PLC Excellent Engineering Solutions Pre Tax Profit Bridge from UK GAAP to IFRS £m (2.7) 0.1 0.2 0.2 (0.7) JVs & Holiday Share Exchange Associates Assoc tax pay based on intra payments group loans 58.3 55.6 55.4 -4.6% -0.4% UK GAAP in UK GAAP in Restated UK GAAP IFRS format under IFRS

  6. Slide 6: Profit from Operations Bridge from UK GAAP to IFRS

    The Weir Group PLC Excellent Engineering Solutions Profit from Operations Bridge from UK GAAP to IFRS £m (2.9) 0.1 0.2 0.2 (0.7) Holiday Share Exchange Associates JVs & pay based on intra Associates payments group interest & loans tax 61.3 58.4 58.2 -4.7% -0.3% UK GAAP in UK GAAP Restated UK GAAP IF

  7. Slide 7: Summary Comparison of IFRS and UK GAAP

    The Weir Group PLC Excellent Engineering Solutions Summary Comparison of IFRS and UK GAAP Full Year 2004 £m UK GAAP UK GAAP in Restated % as reported IFRS format under IFRS Change Change Sales 847.6 739.4 738.7 -0.7 -0.1% Profit from operations 61.3 58.4 58.2 -0.2 -0.3% Profit before tax 58.3 55.6 5

  8. Slide 8: Net Assets - Bridge from UK GAAP to IFRS

    The Weir Group PLC Excellent Engineering Solutions Net Assets - Bridge from UK GAAP to IFRS £m (0.3) 9.2 Holiday Pay accruals 0.6 7.1 Deferred Tax (15.3) 19.4 Minority Goodwill (0.9) Interest 265.3 to +7.8% Equity Associates Mid to bid Proposed 246.1 pensions dividend 245.5 +0.2% valuation UK GAAP i

  9. Slide 9: Prospective Adoption of IAS 32 and IAS 39

    The Weir Group PLC Excellent Engineering Solutions Prospective Adoption of IAS 32 and IAS 39 ƒ Applying IAS 32 and IAS 39 prospectively from 1 January 2005 ƒ Restated 2004 does not reflect impact from adopting these IASs ƒ From 1 January 2005 change accounting for transaction hedging ƒ Derivatives o

  10. Slide 10: IAS 32 and IAS 39 – Financial Impact

    The Weir Group PLC Excellent Engineering Solutions IAS 32 and IAS 39 – Financial Impact 1 January 2005 £m Other Tax Net Funds Equity assets / liabilities Restated under IFRS 232.1 20.6 12.6 (265.3) Fair value adjustments 3.7 (1.0) (0.3) (2.4) Pro-forma under IAS 32 and IAS 39 235.8 19.6 12.3 (267.7)

The Weir Group — Investor Presentation (July 2005) on 6ix