TPG publishes audited 2003 financial statements and annual report

Mail, Express and Logistics company TPG N.V. has announced the publication of its 2003 audited financial statements and the availability of its 2003 annual report. This follows the publication of unaudited results on 19 February.

Financial statements and audit for 2003 completed
The completion of TPG’s financial statements and audit for 2003 follows the conclusion of an independent investigation conducted by TPG’s Audit Committee, on behalf of the Supervisory Board, regarding representations made to the UK Inland Revenue and to TPG’s auditors, PricewaterhouseCoopers, with respect to certain UK tax matters originally arising in the late nineties relating to one of our UK subsidiaries. In addition to this investigation, the Audit Committee, with the assistance of independent tax advisors, conducted a review of other UK tax matters that arose from the same period.

Conclusions of the investigations have been acted upon
The investigations conducted by the Audit Committee, with the assistance of independent legal counsel, concluded that not all relevant details of certain tax matters were adequately disclosed to the UK Inland Revenue and PricewaterhouseCoopers. The Audit Committee has directed the Board of Management to make organisational and personnel changes with respect to certain UK subsidiaries. TPG will also formalise and strengthen internal lines of communication and the monitoring of the tax and financial reporting functions around the group. These changes are being implemented, and the Audit Committee will continue to monitor progress.

Additional tax charge of EUR 59 million
In response to the findings of these investigations, TPG has taken an additional tax charge of EUR 59 million in the 2003 results to cover its updated estimate of total liability to the UK Inland Revenue relating to these tax matters. This charge is EUR 19 million higher than the previously communicated estimate of management.

CEO Peter Bakker said: “Now is the time for TPG to resolve all outstanding UK tax issues, for which purpose we shortly are submitting a report to the UK Inland Revenue. Upon completion of the ongoing discussions with the UK Inland Revenue, the actual liability will be settled.”

Annual report available on website, AGM as planned on 7 April For further information about TPG’s 2003 financial statements, reference is made to our 2003 annual report now available on our website www.tpg.com.

TPG will hold its Annual General Meeting of Shareholders as scheduled on Wednesday 7 April.

TPG N.V., with its two brands TNT and Royal TPG Post, is a global provider of mail, express and logistics services. The group employs over 163,000 people in 64 countries and serves over 200 countries. For 2003 the company reported sales of EUR 11.9 billion. TPG N.V. is publicly listed on the stock exchanges of Amsterdam, New York, London and Frankfurt.