Groenlo, 16 November 2009 

The revenues of the N.V. Nederlandsche Apparatenfabriek "Nedap" for the 2nd half-year are expected to show a limited rise (*) compared to the 1st half-year 2009 (€ 55.5 million) The profit after tax from normal business activities, € 1 million in the 1st half-year, will therefore also be higher. The cost of the reorganisation, which was largely carried out in the 2nd half-year, and which required approximately € 3.7 million after tax (1st half-year € 0.4 million), will be offset against this. Even after payment of the reorganisation costs, the financial position of Nedap N.V. remains undiminished strong. The savings, which are estimated to be € 2.2 million per annum, will be visible in the results as of 2010.

Compared to the year 2008, the decline in revenues in 2009 will be significant to strong (2008: € 143 million). The profit after tax, and before deduction of the reorganisation costs, will therefore be modest this year (2008: € 13.9 million). Given the circumstances, the management is however not entirely dissatisfied with the state of affairs. The market groups have continued to invest in product development and marketing despite the worldwide crisis. The total expenditure on research and development is expected to stay at the same level this year as for previous years. With a solvency position of over 40%, the financial position remains undiminished strong.

The various market groups have experienced very differing developments. The market groups Healthcare (computerisation of time registration for the healthcare sector) and Library Solutions (RFID self-service check-in/checkout systems for libraries) saw their revenues rise once more this year. The Healthcare group mainly achieved its revenues from automation products for homecare. In addition, the group successfully launched a new service for the employment agency sector. The Library Solutions group generated its revenues mainly from RFID (radio frequency identification) solutions in Germany, Belgium, France, the Netherlands, and Spain.

Thanks to their extensive network of business partners, the market groups Security Management (systems for access control, payment, fire and intruder alarms, observation and biometrics) and AVI (Automatic Vehicle Identification) were less impacted by the economic situation than expected. Their revenues will remain at more or less the same level as 2008.

The revenues from the market group Agri (computerization, management and information systems for the dairy-cattle and pig-farming sectors) are considerably less than expected this year. In 2007 and 2008 the group still benefited strongly from the investment wave in above all the dairy farming sector. The economic crisis and low milk prices have had a visible impact on the sector this year. Positive points here are the gradually recovering milk prices and the improved market situation in East Europe and North America. The relatively small market groups Education (access control in computerised attendance registration of students) and Locker Management Systems (electronic locks and management systems for lockers for clothing, luggage, medicines, etc.) have gone through a difficult year. The revenues will be lower this year than in 2008.

The market group Election Management Systems is currently in a transitional phase. The group, active in several countries, developed a new election management system during the year, and a system with which local councils can consult citizens via the internet. However, the group will achieve hardly any revenues this year.

The market groups Power Supplies (electronic controlling systems based on power electronics for light, office computerization, medical scanning equipment, autonomous energy systems, etc.) and Specials (electronic control systems for home comfort and car comfort, as well as telecom connecting equipment) have operated this year almost entirely as classical suppliers, with a relatively high dependency on their clients. Nedap has previously decided to rapidly reduce this dependency by introducing its own product lines and focusing its commercial activities on these products. Work is currently being carried out on product lines for energy and lighting control systems and systems for home and care. The first products were launched on the market this autumn. Nonetheless, the revenues of both market groups in 2009 will be strongly down on 2008. This is largely due to the automotive and mobile power supply sub-markets.

The revenues of the market group Retail Support (anti-shoplifting systems, control and information systems to combat stock losses) are also down. This was caused by the poor economic situation in East Europe, Spain, and Great Britain. The group has developed and launched new market concepts during the last period. It is thus focussing even more prominently on consumers. The initial results are promising. The group now has a presence in Asia with its own branch in Shanghai since the beginning of this year. This has allowed it to strengthen its position both in terms of purchasing and sales. Other market groups are now also operating out of this branch.

The above expectations for the year 2009 are based on the facts known at the time of writing of this press release. Due to the project-based character of a large part of the revenues, however, considerable changes may still occur.

(*) Nedap has applied to the ‘scale of Mock' in this press release.

For more information:

G.J.M. Ezendam
Financial Director
Tel.: 0544-471102
www.nedap.com