Significant Events After the Balance Sheet Date

In January 2014, Arvato took over significant parts of Netrada Group and combined the e-commerce businesses of both companies. As a result of the merger, Arvato has become one of the leading European service providers for integrated e-commerce services and at the same time benefits from Netrada’s strong position in the growing fashion and lifestyle market segment. The range of services includes the development and operation of web shops, financial services, transport and logistics as well as customer service.

In February 2014, BMG acquired a 100-percent interest in the Dutch music publishing company Talpa Music B.V. The music company currently owns over 37,000 songs including many electronic dance music titles. The company also represents the publishing interests of various dance labels.

The bond due in January 2014 and the promissory note due in February 2014 were repaid when these matured. Part of cash and cash equivalents was used in this regard.