Agfa-Gevaert’s position concerning lawsuits instituted by AgfaPhoto GmbH employees

Recently some statements have been made by the labor court in Germany concerning a number of lawsuits instituted by former AgfaPhoto GmbH employees against Agfa-Gevaert AG. Given the complexity of the case and the specific German circumstances, Agfa-Gevaert wishes to provide background information and to explain its point of view.

The divestiture of Agfa-Gevaert’s Consumer Imaging to AgfaPhoto GmbH took place in November 2004. Before the closure of the transaction, the consultative bodies and all personnel were provided correct and complete information in accordance with the prevailing German legislation. This gave them the opportunity to make an informed choice about whether or not to transfer to AgfaPhoto GmbH. All employees, with only a few exceptions, chose to transfer to AgfaPhoto GmbH.

After AgfaPhoto GmbH’s insolvency a number of employees have filed claims against Agfa-Gevaert for various reasons. A number of them claim that the information they obtained was not complete. Three out of twelve cases that were handled last Wednesday, January 11, were dismissed by the court. Three of them were delayed and in six cases the court decided against Agfa-Gevaert.

Although Agfa-Gevaert does not yet have the full and motivated judgment, the company wishes to state that it is convinced that all employees have been provided with correct and complete information and that it has acted strictly in accordance to all legal consultation procedures and regulations. If the court order would not be in line with the company’s argumentation, Agfa-Gevaert will lodge an appeal. However, the company has full confidence in the German court of law.