GENERAL INFORMATION

THE SAP GROUP OF COMPANIES

Founded in 1972, SAP is today one of the world’s leading providers of business software and the world’s third-largest independent software company based on market capitalization. SAP counts more than 38,000 customers in over 120 countries and employs more than 39,300 individuals at sales and development locations in more than 50 countries in the Europe, Middle East, and Africa (EMEA), Americas, and Asia Pacific Japan regions. SAP is headquartered in Walldorf, Germany.

Software licensing for SAP solutions created by our more than 11,000 developers all over the world constitutes the core of our business. With these solutions, companies can successfully design their business processes and make sustainable improvements to value creation. In 2006, our solution portfolio featured the SAP NetWeaver platform and included the following software applications:

The SAP Business Suite family of business applications, which contains applications to help enterprises improve business operations ranging from supplier relationships, production, and warehouse management to sales, administrative functions, and customer relationships

Prepackaged SAP All-in-One solutions and the SAP Business One application that address the needs of small businesses and midsize companies

Specific solutions for more than 25 industries in the discrete manufacturing, financial services, consumer products, public service, process, and service sectors.

In addition, we offer maintenance, consulting, and training services tailored to our software solutions. We develop and market products in close cooperation with business partners.
 

FORWARD-LOOKING STATEMENTS  

MANAGING FOR VALUE  

NON-GAAP MEASURES 

Pictures and graphs are included for illustrative purposes only and are not part of the audited Review of SAP Group Operations. In this Review of SAP Group Operations, earnings per share reflect the issuance in 2006 of of bonus shares at a 1-to-3 ratio under a capital increase from corporate funds. (See Note 23 in the Notes to Consolidated Financial Statements section.) The figures for earlier years have been adjusted accordingly. The Compensation Report in the front section of the annual report is part of this audited Review of SAP Group Operations.