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Report of the month

April 2009

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Océ Venlo, The Netherlands Report Facts Company name: OCE N.V. Fiscal year end: June 30, 2008 Report title: Documents on Demand Executive Board Chairman: Rokus van Iperen Supervisory Board Chairman: Peter Elverding Number of books: 1 Report length: 184 pages Auditors: Pricewaterhouse Coopers Accountants Design: Carmen Arends - Geert Setola (cover) E-mail: investor@oce.com	Report Rating 3.5/5 (Rating scale below) Profile-Products (Excerpts, as from the report) Océ enables its customers to manage their documents efficiently and effectively by offering innovative print and document management products and services for professional environments. Océ is the only European producer of printing systems and a leading supplier of these systems worldwide. Océ is commercially active in around 100 countries… has 23,000 employees. (Annual Report p 3, p 6) (Italics are own company’s words) Key Figures Revenues: EUR 2,909 million EBIT: EUR 46 million Net income: EUR 3.8 million Free cash flow: EUR 18.8 million Earnings per share: EUR (0.01) Dividend per share: EUR 0.15 Solvency ratio: 26.7% Return on capital employed: 3.0% (Source: 2008 figures sourced from the annual report) Major Competitors Canon HP (Hewlett-Packard) Ricoh Xerox Konica Minolta Lexmark

Triple A > Enlightening thematic section on Document-on-demand. > Highly substantial review of business areas, year facts, market trends, divisional strategies, backed with a few “case studies” and animated with pictorials. > Internal control system clearly described. Major risks, control measures and actions put in plain language. > Explanatory notes on Goodwill allocation to cash-generating units (including key assumptions used). > Three facilitators for readers: the “pointing” Contents, a rich glossary, a good use of page footer.

Double A > Come good or bad, Key figures are thorough, do not conceal the numerous negative (changes in) figures, and include a number of significant ratios and percentages (e.g. gross margin, EBIT, return on sales, solvency…). > Ambitions and strategy clearly set out. > Tables make up a bit for the lacks in financial review (see Selected Page below). > Good five-year review of historical data, not lacking in ratios.

Simple A > Some might view the back cover as a less puzzling front cover. > Chairman’s report not evasive about the difficulties. Is it fully convincing about the course –and changes? > Illustration system and visual thread -is it a real one?- from story-telling (a plus) to underplayed or halfway…

B Sides > Sustainability underdeveloped. > Document management not fully optimized: 184 pages, numerous blanks and empty spaces, underused covers and flaps, same fonts all across. The report could be managed under 160 pages. > Executive Board’s report is referred to as a Financial review (in Contents on p 5) but certainly doesn’t deliver up to demanding expectations: less than four (real) pages, very short commentary on most aspects.

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Selected Page (p 25 of Océ Annual Report 2008)	Rating Scale 5 First-Rate 4.5 Excellent 4 Very good 3.5 Sound 3 Average 2.5 Uneven 2 Common 1.5 Substandard 1 Poor 0.5 Uncompetitive The rating is based on ReportWatch internal desk research and does not take into account the independent Rating Panel’s judgment.