68
ARINSO I N T E R N AT I O N A L ANNUAL REPORT 2002 www.arinso.com
ARINSO International combines world-class ICT skills
with an innovative HR approach. We’ll run your HR engine,
so you can fully focus on the road ahead.
www.arinso.com
THE HUMAN CAPITAL COMPANY
ARINSOI N T E R N A T I O N A L
ANNUAL REPORT2 0 0 2
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ARINSO International (Euronext Brussels: ARIN) is a global HR Services partner offering
comprehensive HR business solutions to the world’s largest employers. ARINSO is dedicated
to HR Excellence through Strategic Guidance, Integration Services and customised
HR Service Delivery Solutions.
ARINSO was founded in 1994, and currently employs close to 1,200 staff in 20 countries:
Belgium, Luxembourg, the Netherlands, France, Spain, Portugal, Italy, United Kingdom, Germany,
Sweden, Finland, US, Canada, Argentina, Brazil, Mexico, Singapore, Malaysia, Taiwan and Morocco.
INVESTMENT SUMMARY
In just eight years, ARINSO has become an EUR 121 million company with 11% EBIT and 1200 staff,
by integrating state-of-the-art HRM Systems.
Increasingly, ARINSO helps clients design innovative HRM Strategies.
ARINSO aims to be a trusted partner in operating clients’ HR & Payroll processes.
Key financial drivers behind this strategy: Higher growth opportunities
Long-term recurring revenues
Long-term sustainable margins
ARINSO Africa37, Av. Abdelkarim El KhattabiCasablancaMoroccoTel. +212 22 95 60 80Fax +212 22 95 14 35
ARINSO ArgentinaAv. Cramer 2038 P.B. ‘A’1428 Buenos AiresArgentinaTel. +54 11 4788 97 17Fax +54 11 4788 96 44
ARINSO BelgiumHumaniteitslaan 116Boulevard de l’Humanité 1161070 BrusselsBelgiumTel. +32 2 558 06 70Fax +32 2 558 06 80
ARINSO BrazilAlameda Mamoré 98915° andar, conjunto 1501Crystal Tower 06454-030 BarueriSao PauloBrazil Tel. +55 11 4197 3434Fax +55 11 4197 3435
ARINSO Canada185 The West MallSuite 1530Etobicoke, OntarioCanada M9C5L5Tel. +1 416 622 9559Fax +1 416 622 2676
ARINSO FinlandMannerheimintie 12B 5th floor 00100 HelsinkiFinlandTel. +358 9 2516 6406 Fax +358 9 2516 6100
ARINSO FranceEspace 2131, Place Ronde92986 Paris La Défense 7FranceTel. +33 1 49 00 31 31Fax +33 1 49 00 31 69
ARINSO GermanyBerliner Strasse 10140880 RatingenGermanyTel. +49 2102 99 79 0Fax +49 2102 99 79 79
ARINSO ItalyVia G. Murat 2320159 MilanoItalyTel. +39 02 694 321Fax +39 02 694 322 01
ARINSO LuxembourgPlace d’Armes 3L-1136 LuxembourgG.D. of LuxembourgTel. +352 46 60 83Fax +352 46 60 84
ARINSO MalaysiaEmpire TowerLevel 35A-1 Empire Tower182 Jalan Tun Razak50400 Kuala LumpurMalaysiaTel. +60 3 2166 5886Fax +60 3 2166 5887
ARINSO MexicoBelisario Domínguez 64Col. Miguel HidalgoDelegación Tlalpan14410 Mexico DFMexicoTel. +52 56 65 22 85Fax +52 56 66 05 70
ARINSO NetherlandsBeurs-World Trade CenterBeursplein 37 PO Box 301843001 DD RotterdamThe NetherlandsTel. +31 10 205 25 33Fax +31 10 205 53 79
ARINSO PortugalPr. Marqués de Pombal, 16 A, 5º Piso1250-163 LisboaPortugalTel. +351 21 350 40 56Fax +351 21 350 40 01
ARINSO Singapore83 Clemenceau Avenue# 14-01 UE SquareSingapore 239920Tel. +65 6 73 61 366Fax +65 6 73 62 655
ARINSO SpainCarretera de la Coruña, km. 23,2Edificio ECU Planta 228230 Las RozasMadrid – SpainTel. +34 91 640 28 90Fax +34 91 640 28 91
ARINSO Sweden Solna Strandväg 78171 54 SolnaSwedenTel. +46 8 505 21091Fax +46 8 545 21010
ARINSO Taiwan9/F No. 342Sec. 1, Keelung RoadTaipei Taiwan R.O.C.Tel. +65 6 73 61 366Fax +65 6 73 62 655
ARINSO United Kingdom107 Fleet StreetLondon EC4A 2ABUKTel. +44 20 7936 90 14Fax +44 20 7936 91 41
ARINSO United States3535 Piedmont RoadBuilding 14, Suite 1000Atlanta, GA 30305USTel. +1 404 260 19 00Fax +1 404 260 19 01
ARINSO International • Humaniteitslaan 116 • B-1070 Brussels
Tel. +32 2 558 06 70 • Fax +32 2 558 06 80
ARINSO International is part of
the NextEconomy Quality Segment on EURONEXT Brussels.
CONTENTS
1. CONSOLIDATED KEY FIGURES 2002 3
2. CHAIRMAN STATEMENT 4
3. MANAGEMENT STATEMENT 5
4. REPORT FROM THE BOARD OF DIRECTORS 6
5. ARINSO INTERNATIONAL: STRATEGIC FOCUS 14
6. WORLDWIDE STRUCTURE AND PERFORMANCE 16
7. CORPORATE GOVERNANCE 18
8. INFORMATION FOR SHAREHOLDERS 25
9. FINANCIAL INFORMATION 2002
• Consolidated accounts of ARINSO International 29
• Statutory accounts of ARINSO International 49
A R I N S O
contents
1
120,000
110,000
100,000
90,000
80,000
70,000
60,000
50,000
40,000
30,000
20,000
10,0000
1999 2000 2001 2002
55,06
6
81,34
2
110,8
83
6,000
4,000
2,000
0
-2,000
-4,000
1999 2000 2001 2002
6,792
-4,40
6
6,495
1,200
1,000
800
600
400
200
0
1999 2000 2001 2002
598
959
1,100120,8
08
3,268
1,194
Net Sales
in ‘000 EUR
Net Result
in ‘000 EUR
Headcount Growth
16,000
14,000
12,000
10,000
8,000
6,000
4,000
2,000
0 1999 2000 2001 2002
12,00
5
8,539
15,66
1
13,29
5
Current EBIT
in ‘000 EUR
15,000
10,000
5,000
0
-5,000
-10,000
1999 2000 2001 2002
5,320
-5,93
2
10,10
1
15,69
5
Net Operating Cash Flow
in ‘000 EUR
10,000
9,000
8,000
7,000
6,000
5,000
4,000
3,000
2,000
1,000
0 1999 2000 2001 2002
8,154
6,652
10,49
7
8,623
Current Result
in ‘000 EUR
A R I N S O
consolidated key fi gures
2
(1) Pro froma consolidated accounts
(2) The consolidation extended in
2000 with the following acquired
companies: ARINSO Germany,
ARINSO Brazil, Idégé (Canada)
and HRS (Italy), and the
incorporated companies:
ARINSO Africa, ARINSO
Argentina, ARINSO Mexico,
ARINSO Singapore, ARINSO
Malaysia and ARINSO Taiwan.
(3) Net sales consists of the period’s
turnover less project expenses
charged to customers.
(4) Costs in relation to the capital
increase, start-up investments,
acquisition costs and cost of
restructuring.
(5) The increased goodwill
depreciation is due to the
acquisition of the DPS activities
(Canada - Q2) and the IT2
acquisition (Germany - Q4)
in 2002.
(6) The non current fi nancial costs for
2002 exclusively relate to the
impact of the devaluation of the
Argentinean peso, the Mexican
peso and the Brazilian real on the
outstanding foreign currency loans.
(7) Extraordinary charges for 2002
consist mainly of:
• The sale of the Remix activities
in Q2: K EURO 395
• The downsizing of the Mexican
operations in Q4:
K EURO 106
• Accruals related to claims of
former employees:
K EURO 149
(8) The total net cash fl ow of 2000
includes the capital increase of
K EURO 52,912
1. CONSOLIDATED KEY FIGURES 2002
in ‘000 EUR 1999 (1) 2000 (2) 2001 2002
Net Sales (3) 55,066 81,342 110,883 120,808
Operating Profi t 11,415 450 12,576 9,848
Non recurring items (4) 583 6,471
Depreciation consolidation goodwill (5) 7 1,618 3,085 3,447
EBIT (current) 12,005 8,539 15,661 13,295
EBIT Margin (current) 21.8% 10.5% 14.1% 11.0%
Depreciation and write-offs on fi xed assets 1,475 2,335 2,669 1,912
Write-offs on trade receivables 50 800 239 66
EBITDA 13,530 11,674 18,569 15,273
EBITDA Margin (current) 24.6% 14.4% 16.7% 12.6%
Financial Result 100 559 1,073 356
Financial Income 234 1,437 1,775 2,271
Financial Cost - current (134) (878) (702) (631)
Financial Cost - non current (6) (1,284)
Result on ordinary activities 11,515 1,009 13,649 10,204
Extraordinary Result (772) (2,969) (917) (624)
Extraordinary income 28 158 108 69
Extraordinary charges (7) (800) (3,127) (1,025) (693)
Result before taxes 10,743 (1,960) 12,732 9,580
Taxation (3,951) (2,446) (6,237) (6,312)
Current result 8,154 6,652 10,497 8,623Net result after taxes, before non current items, depre-ciation on consolidation goodwill & extraordinary results
Net result 6,792 (4,406) 6,495 3,268
Net operating cash fl ow 5,320 (5,932) 10,101 15,695
Total net cash fl ow (8) 4,601 26,402 6,246 10,086
Capital and reserves 12,599 61,023 67,240 71,186
Balance sheet 28,156 80,855 93,133 99,667
Solvency 44.4% 75.4% 72.2% 71.4%
Net fi nancial debt 2,595 516 178 14
Results per share (EUR)
Number of shares 13,228,021 14,550,823 14,550,823 14,550,823
Current result 0.62 0.46 0.72 0.59
Current result after depreciation on consolidation goodwill 0.62 0.35 0.51 0.36
Net result 0.51 (0.30) 0.45 0.22
Net operating cash fl ow 0.40 (0.41) 0.69 1.08
Total net cash fl ow 0.35 1.81 0.43 0.69
A R I N S O
consolidated key fi gures
3
4 5
2. CHAIRMAN STATEMENT
___ 2002: ARINSO INTERNATIONAL OUTPERFORMING ITS INDUSTRY
In a year that was particularly challenging for the IT services industry, ARINSO International
has succeeded in keeping to its path of internal growth and consolidation. At the outset,
we set ourselves a clear target: to grow net sales by 10%, while maintaining an operational
margin above 10%. We achieved consolidated net sales of EUR 121 million (up 9 %),
almost entirely by organic growth and ended the year with an EBIT margin of 11%.
Looking back on our stellar growth of previous years, this is not as exciting as we would
have hoped, but compared with most competitors it is an exceptionally strong performance.
ARINSO is just about the only player IT services company which has managed to grow both
in sales and employment throughout 2001 and 2002.
Both the effectiveness and the effi ciency of our organization have been improved. ARINSO
has managed to attract and retain some of the brightest consultants and managers in our
industry. Operations have been set up in Scandinavia, home of some of Europe’s largest
multinational employers. In the US we have had a particularly strong year, winning business
with high visibility.
In light of the current global economic instability, the Board of Directors must remain
cautious about 2003. We are however confi dent that ARINSO will successfully deliver its
corporate strategy for a number of reasons: ARINSO has a solid mainstream business,
a focused strategy, an impressive client list and the fi nancial resources to make signifi cant
up-front investments in new operating models. Above all, ARINSO enjoys the continued
drive of management and determined staff to succeed.
For the longer term, therefore, we believe that ARINSO will remain a successful competitor
in its industry. Once the important investments in the Business Process Outsourcing
strategy take root, generating important assignments, we should expect a period of steadily
growing recurring revenues with increasing margins.
Allow me to conclude this statement with a personal note. As I approach my mid-80’s, it is
my intention to retire from the ARINSO Board of Directors on the occasion of ARINSO’s
2003 Annual Shareholders’ meeting. It has been an honor to have been the chairman of this
company for over three years, During this time solid foundations have been laid as a market
leader in global HR solutions. I wish ARINSO, its management, staff, partners, clients and
shareholders every good fortune for the future.
Sir Alcon CopisarowChairman of the Board of Directors
A R I N S O
chairman statement
4 5
3. MANAGEMENT STATEMENT
___ 2002: PUTTING ARINSO ON THE GLOBAL HR RADAR SCREEN
2002 was once again a productive year in the development of our corporate strategy.
We confi rmed our position as a global HR Services partner offering comprehensive
HR business solutions to the world’s largest employers. ARINSO is perceived by many
clients as dedicated to HR Excellence through Strategic Guidance, Integration Services
and customized HR Service Delivery Solutions.
With close to 1,200 staff in 20 countries, we have reached market leadership across
Europe, and have become a respected challenger in North America and the Asia Pacifi c.
We have continued to strengthen our operational and managerial structure as we have
moved successfully into new business areas such as HR Transformation and HR Business
Process Outsourcing. For a growing number of multinational clients, we have become the
partner of choice for international HR Management Solutions.
ARINSO offers HR Strategy Consulting, in which we help clients analyze their internal
HR processes – and ultimately assist them in improving and transforming these processes.
Our core activity is still in Integrating HR Management Systems, from Enterprise
Resource Planning to e-HR and Enterprise Portals. We have continued to build strong
relationships with all leading providers of HR Software. For the years ahead, the business
line with the highest opportunities for growth, however, will be the outsourcing of
HR Operations. ARINSO not only sets up HR Shared Service Centers for clients, but can
also take up the day-to-day management of HR processes.
Refl ecting on 2002, we would also like to thank all the individuals who have made ARINSO
the success it is. Without the dedication, creativity and enthusiasm of our management and
staff, ARINSO’s position and reputation would not be what it is today. Also, we wish to thank
all of our clients and shareholders, both national and international, for the confi dence they
have given us. In 2003, the ARINSO management team will continue to strive to meet the
expectations of all our stakeholders: deliver shareholder value as well as high client
satisfaction ratings, through a motivated and dedicated workforce.
Jos SluysChief Executive Offi cer
Marleen VercammenChief Financial Offi cer
A R I N S O
management statement
6 7
4. REPORT FROM THE BOARD OF DIRECTORS
OVERVIEW OF ACTIVITIES IN 2002
ARINSO INTERNATIONAL MEETS TARGETSIN CHALLENGING MARKET CONDITIONS
ARINSO managed to grow consolidated net sales to EUR 120.8 million in 2002,
a year with particularly challenging market conditions. Compared with net sales of 2001,
this means net sales growth of 9%.
Like-for-like growth is also 9%, factoring out the disinvestments of the Italian affi liate Systech
and the Remix activities and the acquisitions of IT2 in Germany and DPS in Canada.
Organic growth at constant exchange rates would have been 11%, as lower USD,
CAD and Brazilian Real exchange rates infl uenced net sales with EUR -3 million or -2.6%.
In 2002, ARINSO launched a successful initiative to continuously improve its working capital,
leading to a record performance in Net Operating Cashfl ow (EUR 15.7 million, up 55%).
ARINSO reports current EBIT of EUR 13.3 million – a margin of 11.0%.
The EBIT margin is lower than in 2001 (14.1%), caused by three elements:
1. Slowdown in IT and service spending throughout the industry, with subsequent
project delays and pressure on consultancy rates.
2. Signifi cant investments made in staffi ng and marketing the Business Process
Outsourcing (BPO) initiative in Europe and North America. ARINSO reconfi rms its
2002 statement that “trading short-term profi tability for long-term recurring revenues
and profi t is the right strategic choice”. These investments were further accelerated in
Q4, leading to EUR 3.2 million for 2002, or 2.6 % of net sales.
3. Accruals of EUR 0.8 million for restructuring in some countries, increasing fl exibility
to adapt to market evolutions.
Current result for the year was EUR 8.6 million (-18% yoy). After depreciation on
consolidation goodwill and non-current fi nancial results, net profi t for 2002 was
EUR 3.3 million (-49% yoy).
A number of exceptional events had a negative infl uence on the net profi t:
1. Devaluation of the Argentinean peso, the Mexican peso and the Brazilian real –
causing a fi nancial loss of EUR 1.2 million, non recurrent.
2. Sale of the REMIX activities in Brazil: extraordinary loss of EUR 0.4 million.
3. Exceptional costs of EUR 0.2 million in Q4 to downsize Mexican operations.
A R I N S O
report from the board of directors
6 7
ARINSO’s Board and Management are satisfi ed to report this solid performance in an
industry waiting for signs of recovery. ARINSO clearly outperforms most of its peers
through a dedicated HR focus and global presence. Promising investments in the Business
Process Outsourcing area combined with fast growing strategic consultancy assignments in
the area of HR transformation are accelerating our full service offering to our impressive
customer base. ARINSO’s unique expertise in HR & Payroll integration proves to be a major
differentiator, as clients want to implement new HR Service Delivery models. It appears that
the Outsourcing trend is now also reaching Europe. The market is showing a growing
interest in ARINSO’s Managed Payroll solution, the forefront of more comprehensive
HR-BPO contracts to come.
___ BALANCE SHEET
The ARINSO consolidated balance sheet as per December 31, 2002 remains extremely solid,
with a solvency ratio (equity vs. total assets) of 71.4 %, no fi nancial debts and a cash position
of EUR 49.4 million, allowing the Company to fulfi ll its strategic ambitions in the areas of
HR Strategy and HR Business Process Outsourcing.
Inherent to our business, the amounts receivables are the second most important element
of the working capital of ARINSO (35% of total assets). As a result of continuous
management focus, risks of non-recovery are limited and accrued for. The average days
outstanding is in line with the average in our industry.
The healthy cash situation allows ARINSO to fi nance potential needs for working capital on
behalf of its subsidiaries. In order to further streamline and optimize the fi nancing structure
of the group, as well as to separate these intra-group fi nancing activities from the
operational activities, the Board decided to consolidate these fi nancing activities in a
separate legal structure. As a result, the legal ownership within the group of certain
subsidiaries has been rescheduled, leading to an exceptional gain of EUR 15.3 million in the
statutory accounts of ARINSO International NV per December 31, 2002. For the group,
this decision is neutral and does not impact the consolidated accounts.
___ CASH FLOW
Operating activities generated a net cash fl ow of EUR 15.7 million versus EUR 10.1 million
in 2001. EUR 4.8 million was spent in investments in fi nancial (DPS and IT2) and non-
fi nancial fi xed assets, where the investing activities in 2001 resulted into net cash out of
EUR 3.3 million. Financing activities caused a net cash out of EUR 0.8 million versus
EUR 0.5 million in 2001. Together with the effect of exchange rate differences on cash and
cash equivalents, ARINSO reports a 2002 net cash increase of EUR 9.5 million.
A R I N S O
report from the board of directors
8 9
___ STAFFING
Per December 31, 2002, ARINSO International employed 1,194 staff in 19 countries.
Compared to 2001, this is an increase of 9%. ARINSO is one of the few IT services
providers to expand its workforce in diffi cult market conditions. The voluntary attrition
rate (% of staff leaving the company at their own initiative) is below 10 %, a record low.
It should be noted that the acquisition of IT2 in Germany had a positive effect on the
total workforce (+30), whereas the sale of the Remix activities in Brazil had a negative
effect (-15).
The composition of the ARINSO workforce continues to evolve towards more seniority.
Whereas in 2000 close to 30% of all consultants were of a junior experience level, this
number is now limited to 10%. This refl ects ARINSO’s reputation as a specialized niche
player in HR Technology, offering higher degrees of project expertise than most of its
competitors.
___ CLIENTS
ARINSO International enjoys a client reference list consisting mainly of tier-one
employers (20,000 employees and more), who select ARINSO as their global HR
Technology partner. There is a high recurrence in ARINSO’s revenues: eight of the
top-ten clients of 2001 also fi gure in the top-ten list of 2002.
Although 2002 was a challenging year for our industry, ARINSO was able to strengthen its
market position in most major markets, both in terms of clients, skills & resources, and
promising service offerings. In key markets such as France and Belgium, ARINSO won all
major deals that came on the market in 2002.
A R I N S O
report from the board of directors
Staff Profi les 2002
Staff Evolution
5% Senior Management 12% Management & Support 9% Expert / Project Manager 17% Senior Consultant 47% Consultant 10% Junior Consultant
Headcount 2001 Q1 Q2 Q3 Q4 2002
Employees hired 107 59 85 99
Left the company 69 65 80 42
Total headcount 1,100 1,138 1,132 1,137 1,194 1,194
8 9
Since October 2002, ARINSO has concluded several international deals. Management
considers Q4 2002 to be the strongest quarter ever in terms of international business
development. This evolution is the result of recent investments:
1. Dedicated international sales & delivery organization, built on local expertise,
knowledge and relationships
2. Completeness of our service offerings and innovative HR solutions
The importance of ARINSO’s international accounts grew considerably in 2002. In total,
90 companies out of the Fortune Global 500 are active or recent accounts. ARINSO has
developed strong relationships with major corporations on a regional or global level and is
able to capitalize on these partnerships.
ARINSO counts 90 Clients within Fortune Global 500
Consumer & RetailAhold, Carrefour, Compass, Dior, L’Oréal, Metro,
Sodexho, Unilever, Whirlpool
Financial ServicesABN AMRO, AXA, Barclays Spain, Citigroup, Commerzbank,
Dexia Group, Deutsche Bank, Dresdner Bank, Fortis, Hypovereinsbank, ING, KBC, Rabobank, Unicredito-Pekao
Pharma & ChemicalsAkzo Nobel, Astra Zeneca, Aventis,
Bayer, Celanese, Degussa, DSM, Dow Chemical, du Pont de Nemours,
JohnsonDiversey, Procter & Gamble, Rhodia
EnergyChevronTexaco, ConocoPhilips, ExxonMobil, E.ON, EDF, Norsk Hydro, RAG Repsol YPF, Royal
Dutch/Shell Group, RWE Group, Statoil
Pharma & ChemicalsAkzo Nobel, Astra Zeneca, Aventis,
Bayer, Celanese, Degussa, DSM, Dow Chemical, du Pont de Nemours,
ChevronTexaco, ConocoPhilips, ExxonMobil, E.ON, EDF, Norsk
auto-
aero
sp
ace
utili
ties
&
telecomenergy
chem
ical
s
financial
consumer
8
9
11
16
11
1214
9
&de
fe
nce
engi
neer
ing
technology -
phar
ma
&
services
& retailmotive
AutomotiveBMW, Goodyear, General Motors, Paccar, Renault, Robert Bosch, Volkswagen, Volvo Trucks
Aerospace & DefenceAir France, Bombardier, EADS Airbus, Honeywell, KLM, Lockheed, Lufthansa, Pratt & Whitney, Rolls Royce
Utilities & EngineeringArcelor, Bouygues, Corus, Halliburton, Lafarge, Saint Gobain, SchlumbergerSEMA, StoraEnso, Tyco, Thyssen Krupp, Tetrapak
Technology - TelecomAlcatel, AT&T, Bouygues Telecom, Canon, Comparex, France Telecom, Nortel, Siemens, Sony, Telefonica, Nokia, Ericsson, HP, Sun, EDS, Oracle
FortuneGlobal500
A R I N S O
report from the board of directors
Global or Multi Country ARINSO Clients
Shell
ExxonMobil
Paccar
SAP (contractor)RenaultCelaneseIFFKLM
Client 11-20
Client 31-40
Other
INGFortis
Client 21-30
Client 41-60
15.9
10.4
3.22.72.22.12.12.11.71.6
12.0
8.0
6.0
8.0
22.0
00
100%100%
percentageaandeel
client
Shell (energy)
ExxonMobil (energy)
Paccar (automotive)
SAP (subcontracting)Renault (automotive)Celanese (chemicals)IFF (chemicals)KLM (airline)
Client 11-20
Client 31-40
Others
ING (financial)Fortis (financial)
Client 21-30
Client 41-60
15.9
10.4
3.2
2.7
2.22.12.12.11.71.6
12.0
8.0
6.0
8.0
22.0
100%100%
% client
2002 Revenue per Client
1 0 1 1
The services delivered on a international level to industry leaders such as Shell and
ExxonMobil have set new standards in multi-country HR service delivery, producing more
HR value while lowering signifi cantly total cost of payroll ownership in more than
25 countries.
___ PARTNERSHIPS
ARINSO International has developed partnerships with leading software companies such as
SAP, PeopleSoft, Oracle, Meta4, BrassRing and Recruitsoft. With over 600 HR Management
Systems live, ARINSO combines a proven ability to implement and operate best-of-breed
software platforms with a global presence.
___ INVESTMENT STRATEGY
From a strategic point of view, ARINSO continues to streamline and strengthen its business
before investing in further acquisitions or geographic expansion. The key focus continues to
be on internal growth, profi tability and developing new vertical business lines.
___ HR STRATEGY & HR BPO HIGHLIGHTS 2002
Early 2002, ARINSO set up HR Strategy & BPO teams in both North America and Europe.
These teams are advising leading organizations in their HR Transformation process, possibly
leading to HR Service Centers and HR Business Process Outsourcing. ARINSO expects that
by 2006, half of its business will be in long-term HR outsourcing contracts. Therefore, the
decision has been made to accelerate BPO investments, in terms of infrastructure, senior
staff & marketing. ARINSO’s overall investment in HR BPO (people and infrastructure) was
close to 3 % of its 2002 revenue. These investments have been entirely expensed in the
2002 accounts.
In the area of HR Transformation studies and HR Business Process Outsourcing (BPO)
blueprints, ARINSO made signifi cant progress in 2002. An important number of studies are
being executed and presented to some of the largest employers in Europe and North
America. ARINSO’s fi rst HR BPO deal with Celanese Americas, started one year ago,
is an operational and fi nancial success proving our HR BPO capabilities. Most industry
researchers recognize that ARINSO is becoming a thought leader in distributed
HR Delivery.
___ INVESTMENT HIGHLIGHTS 2002
1. Acquisition of DPS Consulting Inc.
The integration of DPS Consulting, a Canadian SAP-HR consulting company acquired in
May 2002, was successful. The deal confi rms ARINSO’s market leadership in SAP-HR, and
provides critical mass in the British Columbia market (Western Canada), while further
enhancing the group’s ability to deliver large SAP-HR projects in Canada.
A R I N S O
report from the board of directors
1 0 1 1
2. ARINSO Nordic AB
ARINSO has successfully established its operations in Sweden and Scandinavia. Together
with SAP, ARINSO is ready to develop the Nordic Payroll market – and is expected to make
the necessary investments in this promising geography. Contracts have been won for a
number of large Scandinavian multinationals, ensuring the successful start of ARINSO’s
19th country offi ce.
3. Disinvestments of REMIX (Brazil) – Downsizing of Mexican operations
In Brazil, Remix has sold its business activities, as they had become non-core to ARINSO.
The exceptional loss related to this sale amounted to EUR 0.4 million, including the
amortization at 100% of the remaining goodwill on Remix. In 2001, Remix generated net
sales of EUR 0.8 million with a negative Ebit margin of -45%.
In Mexico, ARINSO downsized its operation in Q4 of 2002.
4. Strengthening market position in France
In June 2002, ARINSO announced a partnership in France with Bureau van Dijk Computer
Services, through which Bureau van Dijk SAP clients would benefi t from ARINSO’s
experience and expertise in SAP-HR. This move will further strengthen ARINSO’s market
leadership in SAP-HR in France.
5. Acquisition of IT2 Information Systems AG
In December 2002, ARINSO International announced the acquisition of IT2 Information
Systems AG in Germany, leading ARINSO towards a leadership position in the world’s
largest SAP-HR market. IT2 also brings a number of excellent client relationships with
leading German companies in the banking and public sector. IT2’s revenues for 2002 were
about EUR 3.5 million.
The integration of IT2 into ARINSO Deutschland will be completed by Q1 of 2003.
Combined, the entity operates from three offi ces (Frankfurt, Hamburg, Ratingen) covering
the entire German market. With a total of 70 consultants, ARINSO has become the market
leader in Germany. IT2 Information Systems AG has been consolidated by ARINSO as of
Q4 2002.
___ IMPORTANT EVENTS AFTER THE CLOSING OF THE FISCAL YEAR
JANUARY 2003
First HR BPO contract demonstrates success through results
In January 2002, Celanese Americas (NYSE: CZ) and ARINSO International
announced a 7-year contract for the outsourcing of human resources and payroll services in
the United States. Under this agreement ARINSO took over all-transactional and
administrative tasks related to HR, payroll, and health & welfare benefi ts for Celanese’s
5,500 US employees, providing ongoing application support for SAP-HR.
One year into the contract, both Celanese and ARINSO feel all of the objectives for the
partnership have been largely met. Processes such as US Payroll, US Benefi ts, Organizational
Management, Employee Record Management and Reporting are now operated through the
ARINSO Employee Service Center in Atlanta, Georgia.
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1 2 1 3
FEBRUARY 2003
Further strengthening ARINSO’s leading position in Financial Services
In February, ARINSO Belgium announced that it had successfully fi nalized the blueprint
phase for KBC’s new HR Management System – together with lead consultant Accenture.
According to KBC, great progress had been made in preparing this 3000 man-days project.
For ARINSO, this project confi rms its leading position in HR Technology for the Financial
Services industry, both in Belgium and in Europe. KBC will be the largest Belgian showcase
ever for SAP Portals, through which staff will be able to access growing amounts of
HR related data via an employee portal. KBC expressed the ambition to use technology
as a driver to optimize HR Service delivery towards its employees.
Rhodia contract confi rms ARINSO leading position in Managed Payroll Services
Rhodia, a world leader in specialty chemicals signed a 5-year multi-million EURO Managed
Payroll Services Agreement with ARINSO. Within the framework of this agreement,
ARINSO will run and manage the SAP-HR based payroll of all +11,000 employees of Rhodia
in France, through ARINSO’s service center in France.
Rhodia is one of the world’s leading manufacturers of specialty chemicals. Providing a wide
range of innovative products and services to the automotive, health care, food, consumer,
fi bers, electronics, agricultural and industrial markets, Rhodia offers its customers tailor-
made solutions based on the cross-fertilization of technologies, people and expertise.
Rhodia employs 27,000 people worldwide, and is listed on the Paris and New York stock
exchanges.
MARCH 2003
ARINSO launches operation in Finland
ARINSO International and SAP AG partner for Payroll solutions in the Nordic countries
Finland and Sweden. The objective of the partnership is to promote SAP Payroll as the
reference payroll solution for organizations in the Nordics. Over the next two years, SAP
and ARINSO will further develop successful payroll references in Sweden, Finland, Norway
and Denmark. In a move to make this commitment more tangible and to better support
existing Finnish clients, ARINSO has opened an offi ce in Helsinki, which will – together with
the Stockholm offi ce – function as a bridgehead for the Nordic region.
After the closing of the fi scal year no specifi c events took place that may have
infl uenced the annual accounts proposed to the General Assembly.
___ PROSPECTS FOR 2003
The outlook for 2003 remains hopeful, although ARINSO, just as most IT Services
companies, is cautious forecasting the year. Diffi cult economic circumstances for some
of the larger clients may lead to projects being postponed, and continued pressure on
consulting fees. ARINSO has made the strategic choice to accelerate investments in
HR Business Process Outsourcing (BPO) as short-term structural investments need to be
made to win long-term outsourcing contracts. ARINSO is convinced that trading short-term
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report from the board of directors
1 2 1 3
profi tability for long-term recurring revenues and profi ts is the right strategic choice.
In light of this investment strategy, ARINSO will not issue any dividends over 2002.
Although visibility across the industry will remain limited throughout the year,
ARINSO is confi dent that it will be able to grow both top line and bottom line in 2003.
___ RESEARCH AND DEVELOPMENT ACTIVITIES
Being a supplier of services, ARINSO International does not perform any specifi c activities
in the fi eld of research and development.
___ MODIFICATION OF THE ARTICLES OF ASSOCIATION
• Extraordinary General Meeting of May 21st, 2002 (B.S. June 28th, 2002);
• Rescheduling of the date of the Annual shareholders’ meeting to April 29th at 10h00,
unless this day is a Saturday, Sunday or Public Holiday, in which case the meeting will
be held on the preceding working day;
• Modifi cation of the articles of association in order to align them with the decisions
taken.
___ AUDITOR’S REPORT
The individual and consolidated annual accounts of the Company were audited by
the Auditors, BCV Klynveld Peat Marwick Goerdeler Bedrijfsrevisoren, represented by
Mr. Pierre Berger. The fee paid to the Auditors for carrying out this assignment is
36,450 EUR per annum.
During the fi nancial year 2002, the Auditors, KPMG Bedrijfsrevisoren and associated
companies were paid a total amount of 18,200 EUR and 116,980 EUR respectively in fees
for the performance of additional tax services and other services.
___ PROPOSAL FOR APPROPRIATION OF THE RESULTS
The Board of Directors proposes to appropriate the result of ARINSO International NV,
as shown in the individual annual accounts, as follows:
• Profi t for the year available for appropriation 30,548,809 EUR
• Profi t brought forward 2,159,730 EUR
• Profi t to be appropriated 32,708,539 EUR
The Board of Directors proposes to distribute the profi t balance for appropriation as
follows:
• Transfer to legal reserves 1,527,441 EUR
• Profi t to be carried forward to the next fi nancial year 31,181,098 EUR
A R I N S O
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5. ARINSO INTERNATIONAL: STRATEGIC FOCUS
ARINSO offers HR Strategy Consulting, in which we help clients analyze their internal
HR processes – and ultimately assist them in improving and transforming these processes.
Our core activity is still in Integrating HR Management Systems, from Enterprise
Resource Planning to e-HR and Enterprise Portals.
The business line with the highest opportunities for growth, however, will be the
Outsourcing of HR Operations. ARINSO not only sets up HR Shared Service Centers
for clients, but can also take up the day-to-day management of HR processes.
In many large organizations today, HR departments are overworked yet undervalued.
Too much time and effort is spent on routine administrative tasks, driving the focus away
from HR Strategy development.
In terms of HR Outsourcing, ARINSO can practice what it preaches: besides setting up
Service Centers and providing Application Maintenance Support, we are also moving into
the HR Business Process Outsourcing fi eld. This means that ARINSO can actually run a
client’s HR processes – managing infrastructure, content and maintenance. We strongly
believe that this business line will deliver important growth opportunities for our company.
Outsourcing non-core functions has become a signifi cant trend in the global economy. In
particular, the market for HR Business Process outsourcing and payroll is expected to grow
at a rate above 25%.
Part of those administrative tasks can be redirected to the employee via self-service
initiatives such as enterprise portals. By improving the service/cost ratio per employee,
companies face a huge savings potential in terms of HR costs per employee, per year.
Strategy- HR Business Analysis- HR Process Improvement- HR Transformation Management
HR Business AnalysisHR Process ImprovementHR Transformation Management
HR
Integration- Enterprise Resource Planning (ERP)- e-HR- Enterprise Portals
ARINSO the Human Capital Company
Operations- HR Shared Service Centers (HRSC)- HR Application Maintenance Outsourcing (AMO)- HR Business Process Outsourcing (BPO)
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1 4
At the time of ARINSO’s Initial Public Offering, the company unveiled an ambitious strategy
to balance its revenues over the various business lines. The underlying strategy was and
continues to be that long-term growth and profi tability will come from stable and recurring
HR outsourcing business. It is ARINSO’s aim to see half its revenues come from recurring
HR Strategy and HR Operations contracts within four years.
In order to speed up this shift towards HR Operations, we have accelerated our ambitious
plan to expand our offering in HR Strategic Consulting and HR Business Process
Outsourcing (BPO). In both Europe and the United States, HR Strategy and BPO teams are
being pulled together to drive ARINSO’s growth in these areas – again proving that HR
BPO has become a cornerstone of ARINSO’s global growth strategy.
Turnover Evolution per Business Line
HR Strategy HR Operations HR Integration
2001 2002 2006 (E)
82%
3%
15%18%
45%
78% 50%
4% 5%
1 6 1 7
6. WORLDWIDE STRUCTURE AND PERFORMANCE
Even in diffi cult market conditions, ARINSO has seen strong sales growth in the United
States, the United Kingdom, Asia Pacifi c, Germany, Spain and Belgium. Other countries
succeeded in maintaining their strong positions in mature markets. As a start-up region,
Scandinavia performed well in its fi rst year, which has led to the opening of the Finland
offi ce early 2003.
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worldwide structure
C.T.O.Tony Luckx
C.F.O.Marleen Vercammen*
Corporate Communications Luc Osselaer
Human ResourcesPierre Terlinchamp°
C.E.O.Jos Sluys*
* Members of the ARINSO Board of Directors° Members of ARINSO Executive Management HR Strategy & BPO Regional Directors Country Management
2002: Sales & EBIT performance per region
Region NET SALES EBIT
2002 2001 Diff. In % 2002 2001 Diff. In %
Western Europe 42,858 43,310 -1.0% 3,388 7,519 -54.9%
Northern Europe 11,844 6,031 96.4% 2,030 400 407.5%
Central Europe 31,355 28,362 10.6% 5,880 5,367 9.6%
North America 26,622 25,721 3.5% 4,762 2,728 74.6%
Southern Europe & Latin America 16,383 17,185 -4.7% 671 -89 n/a
Asia Pacifi c 3,475 2,645 31.4% 521 -264 n/a
Investments BPO and add. accruals -3,958 n/a
Interco correction on net sales -11,728 -12,371 -5.2%
ARINSO GROUP in ‘000 EUR 120,809 110,883 9.0% 13,294 15,661 -15.1%
EVP HR Strategy & BPO - EuropeRudy Vandenberghe*
HR Strategy & BPOEurope
Maurits HouckLuc Bossaert
PresidentEVP HR Strategy
& BPO - N-AmericaStephen Bergson*
HR Strategy & BPONorth America
Fabyan Saxe
United StatesRon Harman°
United StatesScott McNerneyWim De Smet
Southern Europe & LAIgnacio Palomera°
SpainVictor D’AngeloAmadeo Carbó
PortugalIgnacio Palomera
ItalyAndrea Giannuzzi
BrazilKelly Ribeiro
ArgentinaVictor D’Angelo
MexicoAmadeo Carbó
Western EuropeJean-Pierre Winant°
FranceDenis Tournesac°Olivier Carpentier
BelgiumChristophe De WitEric Delafortrie
LuxembourgPhilippe Lahaye
AfricaPhilippe Cahez
Northern EuropeBarrie Peake°
United KingdomW. CarstensenGraham Young
ScandinaviaMaria Linde
Central EuropeLeo Wagemans°
NetherlandsJan Timmer°Peter Bouten
GermanyHarald Goetsch
Frank-Reiner Gross
Canada & Asia Pac.Darcy Lalonde°
CanadaMichel Schinck
SingaporeBart Dhaese
MalaysiaYaacob Razali
TaiwanDarcy Lalonde
1 6 1 7
Of all ARINSO International consultants, 75 % are operating in Europe, 15 % in North
America, 6% in Latin America and the remaining 4% in Asia Pacifi c.
25,000
20,000
15,000
10,000
5,000
0
Netherlan
ds
Evolution Net Sales 2000 - 2002Fra
nce
Unite
d Sta
tes
Belgi
um
Unite
d Kin
gdom
Cana
da
Spain
& P
ortuga
l
Italy
Germ
any
Asia
Pacifi c
Luxemb
ourg
Brazil
Nordic
Morocco
Mexic
o
Argentina
200220012000
2002 Revenues
33% 9%
24%
12%
19%
3%
30% 6%
26%
19%
15%
4%
EUR 121 M1,194 staff
2002 Staff
ARINSOI N T E R N A T I O N A L
Northern EuropeEUR 11.8 M • 70 p
United Kingdom EUR 9.8 M • 68 p
NordicEUR 2.0 M • 2 p
Central EuropeEUR 31.4 M • 318 p
The NetherlandsEUR 25.6 M • 240 p
GermanyEUR 5.1 M • 78 p
Southern Europe & LAEUR 16.4 M • 226 p
Spain & PortugalEUR 6.5 M • 91 p
ItalyEUR 6.2 M • 68 p
BrazilEUR 2,5 M • 52 p
ArgentinaEUR 0.4 M • 8 p
MexicoEUR 0.4 M • 7 p
North AmericaEUR 26.6 M • 184 p
United StatesEUR 16.9 M • 90 p
CanadaEUR 9.7 M • 94 p
Asia Pacifi cEUR 3.5 M • 45 p
SingaporeEUR 1.8 M • 27 p
MalaysiaEUR 1.7 M • 18 p
Western EuropeEUR 42.9 M • 351 p
BelgiumEUR 15.5 M • 154 p
FranceEUR 23.8 M • 157 p
LuxembourgEUR 3.0 M • 24 p
AfricaEUR 0.9 M • 16 p
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worldwide structure
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7. CORPORATE GOVERNANCE
In view of ensuring the interests of its shareholders and more generally all stakeholders,
ARINSO continuously seeks to optimize the management, administration and controlling of
its operations in accordance with the principles “Corporate Governance” as recommended
by the Belgian Commission for Corporate Governance.
Open, regular, transparent and high quality communication is considered a key component
of the corporate culture. ARINSO communicates on a regular basis with the press,
the fi nancial analysts, the shareholders and the public in general, by way of press releases
(at least quarterly on its fi nancial results), the distribution of the Annual Report, via the
internet site and on an ad hoc basis.
For 2002, for the second time running, ARINSO has been recognized for its high quality
fi nancial communications by the Belgian Association of Financial Analysts and was listed
fourth in the evaluation for the annual award for Best Financial Information.
This constant focus on transparency also shows in the way the rules for organization,
functioning and decision-making are established within the Board of Directors and the
various committees.
___ BOARD OF DIRECTORS
1. Composition, appointment and expiration of the Board of Directors
In accordance with article 12 of the articles of association, the Company is managed by
a Board of Directors consisting of legal or physical persons, who do not have to be
shareholders.
Pursuant to the articles of association, the directors are appointed by the General
Meeting of Shareholders for a term of maximum 6 years and are re-eligible.Terms
of offi ce expire at the end of the ordinary annual meeting.
Pursuant to the articles of association, at least two members of the Board of Directors
must be independent in that they are not an employee or consultant of the Company or its
subsidiary companies, that they hold no participating interest of 3% or more of the shares
of the Company and that they have no other relationship with the Company which may
have an infl uence on their independence.
As of December 31, 2002, the Board of Directors of ARINSO consisted of 7 people.
No legal persons are members of the Board of Directors.
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The mandates of all Board members expire at the occasion of the General Assembly
in 2006.
Proposals to the General Meeting for the appointment of new Board members are made
on the recommendation of the Board of Directors, based on both professional management
ability and representation of shareholder interests.
The auditor for ARINSO International N.V. is Klynveld, Peat Marwick, Goerdeler, (KPMG),
represented by Mr. Pierre Berger, whose mandate expires at the occasion of the Annual
Shareholders Meeting of April 2005.
2. Functioning of the Board of Directors
In accordance with the articles of association, the Board of Directors meets on request of
the Chairman or 2 Directors, whenever the interests of the company so require.The Board
meets at least 4 times a year.
During the fi nancial year 2002, the Board of Directors met 7 times.
The Board of Directors has, in addition to its legal assignments such as the annual tasks laid
down by the Companies Code, control of the most elaborate authorities to execute all
actions that are necessary or useful for the realization of the company’s goals.
The company is legally represented towards third parties by two directors acting jointly, or
by the Managing Director. Mr. Jos Sluys, founder and majority shareholder, holds the position
of Managing Director.
In addition to taking decisions regarding the general and strategic policy of the company,
the Board of Directors is primarily concerned with following matters:
Independent non-executive Sir Alcon Copisarow Chairman of the Board of ARINSO
Directors Mr. Joseph McCarthy Senior Vice President and
Chief Marketing Offi cer for
CHUBB Financial Solutions
Mr. Willy Breesch Chairman of the Board of KBC Bank
Insurance Holding and KBC Bank
Executive Directors representing Mr. Jos Sluys Chief Executive Offi cer of ARINSO
the main shareholders Mr. Rudy Vandenberghe Vice-Chairman of the Board of
ARINSO and EVP HR Strategy and
HR BPO Europe
Other Executive Directors Mr. Stephen Bergson President ARINSO North America and
EVP HR Strategy and BPO North
America
Mrs. Marleen Vercammen Chief Financial Offi cer of ARINSO
ARINSO Board
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• Assigning fi nancial and other means to fulfi ll the strategy
• Controlling management and the different committees
• Formation and dissolution of subsidiaries
• Defi ning the management structure of the subsidiaries
• Evaluation of budgets and fi gures of the Group at periodic intervals
The Board operates as follows :
The Board can only validly deliberate or take decisions when a majority of directors is
present or represented. If this condition is not met, a minimum of two directors are
required to be present or represented when a new meeting is convened with the same
agenda before resolutions can be rendered legitimate.
Decisions of the Board are taken by a simple majority vote of the members present or
represented. In case of a tied vote, the chairman of the meeting exercises his casting vote.
In practice decisions are passed by consensus.
A Director unable to attend the Board of Directors may be represented by power of
attorney given to another Director.
For urgent matters, a Board of Directors may be convened within two days. In case of
extreme urgency, the Managing Director (CEO) is authorized to decide independently.
The Managing Director may decide independently in matters of daily management.
The Board does not observe any regulations with respect to carrying out a directorship.
Prior to every meeting, an agenda is sent to all Board members, as well as documents in
view of preparation of the various items on the agenda.The Directors are informed of all
major events relating to the Group.
Although there is no formal procedure for the provision of internal information or for the
engagement of services of external experts by Directors, the Directors do exercise their
right to information on an ad hoc basis.The CEO, the CFO and the Executive Management
Committee inform the Board of Directors on a quarterly basis on the status of the
activities within the different subsidiaries, in order for the Board to supervise these
subsidiaries.This reporting is done within the framework of discussions on the quarterly
consolidated results; the updated forecast for the principal Group companies; and major
developments at the companies on an ad hoc basis.
The members of the Board have signed a code of conduct concerning insider trading.
The presence of three independent Directors, out of seven, including the chairman, and the
existence of the committees discussed hereafter, ensures the proper functioning and the
autonomy of the Board.
___ COMMITTEES
Audit Committee
In 2000 the Board of Directors created an Audit Committee that consists of at least
4 members.
The independent Directors are always represented in this Committee.
Mr. Rudy Vandenberghe and Mrs. Marleen Vercammen also are member of the Audit
Committee.
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The tasks and responsibilities of the Committee are clearly described in the Audit
Committee’s charter that was established at the meeting of 2 November 2000. The Audit
Committee assists the Board of Directors in the fi rst place in exercising supervision over
the following matters:
• The external fi nancial reporting of the Company towards the shareholders,
government institutions and the public;
• The internal control system on fi nance, accounting, compliance with the legal
requirements and ethical rules created by the management and the Board of
Directors;
• The audit, accounting and fi nancial reporting process of the Company;
• The external audit.
In accordance with the stipulations of the Audit Committee Charter, the Audit Committee
met two times over the past period. At both these occasions the Audit Committee met
with the external auditors.
Remuneration Committee
In 2000, within the Board of Directors, a Remuneration Committee was created that
consists of at least 3 members.The independent Directors are always represented in this
Committee.
Mr. Bergson and Mrs.Vercammen are also member of the Remuneration Committee.
The tasks and responsibilities of the Committee are clearly described in the charter of the
Remuneration Committee that was established at the meeting of 2 November 2000.
In the Remuneration Committee proposals are discussed concerning the remuneration of
the Directors and the members of the Board of the subsidiaries. The remuneration
committee also provides recommendations on the Group’s general remuneration and
bonus policy towards its principal managers as well as for the Managing Director.
Resolutions of the remuneration committee are submitted to the Board of Directors for
approval.
A member of this Committee cannot attend the voting concerning his own remuneration.
The Remuneration Committee meets at least twice a year.The Committee met twice over
the past period.
Stock option Committee
The Stock option Committee is responsible for managing the different warrant plans and is
also authorized to elaborate and grant new warrant plans.
A member of this Committee is not allowed to vote concerning the creation or allocation
of his own warrants.
___ DAY TO DAY MANAGEMENT
The Board of Directors has put one of its members, Mr. Jos Sluys, CEO, in charge of the
company’s day to day management. As such Mr. Sluys is also the chairman of the Executive
Management Committee, being the executive committee of the Group.
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Executive Management Committee
This Committee consists of the regional managers, the country managers of the three most
important countries in the group and the vice presidents of the “Strategy & HR BPO
departments”, both in North America and Europe. The Committee generally meets every
two to three months and evaluates and advizes on the current and future policy of the
Company, on business development as well as fi nancial and organizational matters. The
Committee is also responsible for the communication and implementation of strategic
decisions of the Board of Directors towards the countries.
As of 2002/2003 the Executive Management Committee consists of the following members:
Jos Sluys (Director and Chief Executive Offi cer)
Marleen Vercammen (Director and Chief Financial Offi cer)
Pierre Terlinchamp (Manager Group Human Resources)
Rudy Vandenberghe (Director and Executive Vice President
HR Strategy & BPO Europe)
Stephen Bergson (Director and Executive Vice President
HR Strategy & BPO North America)
Jean-Pierre Winant (Regional Manager Western Europe)
Leo Wagemans (Regional Manager Central Europe)
Ignacio Palomera (Regional Manager Southern Europe & Latin America)
Darcy Lalonde (Regional Manager Asia Pacifi c and Canada)
Barrie Peake (Regional Manager Northern Europe)
Ron Harman (Country Manager US)
Jan Timmer (Country Manager Netherlands)
Denis Tournesac (Country Manager France)
Other executives of the Group and its subsidiaries, such as the Chief Technical Offi cer,
the other Country Managers and the Communications & Investor Relations Director are
invited to attend the meetings of the Executive Management Committee whenever deemed
necessary.
___ REMUNERATION
At the Annual Meeting of May 15, 2001 it was decided to set the remuneration of the
external board Members at a fi xed amount per year.
The executive Directors, as well as the main executives of the Group are remunerated for
their management functions with a fi xed salary and a variable bonus, based on individual
performance and on the fi nancial results of the Group and its subsidiaries and that may
not exceed a certain ceiling.
For 2002, the overall gross remuneration of the members of the Board of Directors of
ARINSO International NV, including the fi xed and variable remuneration for their activities
as executives at ARINSO and its subsidiaries amounted to 1,347,000 EUR in total, of which
the fi xed part totaled 1,122,000 EUR and the variable part 225,000 EUR; the share of non
executive Directors amounting to 75,000 EUR in total for the three of them.
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The global amount that was paid to the members of the Executive Management
Committee, who are not member of the Board of Directors, amounts to 1,687,000 EUR in
total, being 1,378,000 EUR fi xed and 309,000 EUR variable.
ARINSO International does not offer advances or loans or guarantees to Directors,
executives or advisory bodies.
The executive Directors, Jos Sluys, Rudy Vandenberghe and Stephen Bergson jointly hold
10,062,811 shares. The total number of shares owned by the other members of the
Executive Management Committee amounts to 433,619 shares.
___ SHAREHOLDER STRUCTURE
At the time of the Initial Public Offering, 1,322,802 new shares were fl oated together with
1,322,802 existing shares.
During the General Meeting of 16 July 1999, the Company approved the creation of 62,500
warrants for the benefi t of Mr. Jos Sluys and a share option plan of 375,000 warrants for the
benefi t of its employees.
During the General Meeting of 17 December 1999, the Company approved the creation of
500,000 warrants for the benefi t of specifi c employees, Directors or persons in charge of a
management task at the subsidiaries of ARINSO International NV.
To date, 15,000 warrants have been attributed to Directors of ARINSO International, and
48,000 warrants to the other members of the Executive Management Committee.
Each warrant was granted for free and gives the right to two shares, exercisable at 3.5 EUR
per share.
At the end of February 2003, the total number of warrants granted amounts to 596,250.
Based on the stipulations of the different share option plans and taken into consideration
the decision taken by the Board of Directors in November 2002, in conformity with the
power delegated to it by a decision of the Extraordinary Shareholder Meeting of May 21,
2002, these warrants become exercisable in three periods, being March 2003, March 2004
and March 2005.
As such this means that during the month of March 2003, a fi rst third of the warrants
granted, or a maximum of 198,750 warrants can be exercised, as such leading to the
creation of a maximum number of 397,500 new ARINSO Shares and a capital increase
for a maximum amount of 7 times the number of warrants that will be exercised during
the month of March 2003. The notary act that will formally state the fi nal amount of the
capital increase and the corresponding number of new shares will take place at the end
of April 2003.
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After Exercise of the Warrants
Number of Shares
Based on the notifi cation published in April 2000, the shareholders’ structure is as follows:
Shareholder number of shares %
Jos Sluys * 9,212,669 63.3%
Rudy Vandenberghe * 784,264 5.4%
Geert Truyts * 640,750 4.4%
Other nominative shareholders (13) * 1,267,533 8.7%
Public 2,645,604 18.2%
TOTAL 14,550,823 100%* Acting in accordance with each other
Shareholder after exercise of the warrants %
Jos Sluys 9,337,669 56.8%
Rudy Vandenberghe 784,264 4.8%
Geert Truyts 640,750 3.9%
Other nominative shareholders (13) 1,267,533 7.8%
Public 2,645,604 16.1%
Personnel 1,750,000 10.6%
TOTAL 16,425,823 100%
Except for the above mentioned information, the Company has not received any other
notifi cation of any ownership of shares of more than 3% in compliance with the articles
of association.
___ POLICY FOR THE APPROPRIATION OF THE RESULTS
In preparing the proposal to the Annual Shareholders Meeting concerning the
appropriation of the result and the payment of profi ts, the Board of Directors will take
into consideration various factors, including the fi nancial situation of the Group, operating
results, current and future needs for liquid assets in order to realize the Group’s strategy.
In the light of ARINSO’s strategic choice to further accelerate investments (mainly
infrastructure, senior staff and marketing) in HR Business Process Outsourcing (BPO),
the Board will propose not to issue any dividends over 2002.
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8. INFORMATION FOR SHAREHOLDERS
ARINSO International (Euronext Brussels: ARIN) is a global HR Services partner
offering comprehensive HR business solutions to the world’s largest employers.
ARINSO is dedicated to HR Excellence through Strategic Guidance, Integration Services
and customized HR Service Delivery Solutions.
ARINSO was founded in 1994, and currently employs close to 1,200 staff in 20 countries:
Belgium, Luxemburg, the Netherlands, France, Spain, Portugal, Italy, the United Kingdom,
Germany, Sweden, Finland, US, Canada, Argentina, Brazil, Mexico, Singapore, Malaysia, Taiwan
and Morocco.
The Company’s registered offi ce is located at Humaniteitslaan 116 Bld de l’Humanité,
1070 Brussels, Belgium.
Brussels trade register n° 579.760
The fi nancial year starts on 1 January and ends on 31 December of each year.
The Company’s statutory and
consolidated annual accounts and
additional reports are deposited
with the National Bank of Belgium.
The articles of association and the
special reports required by the
Company law can be obtained at
the Clerk’s offi ce of the
Commercial Court of Brussels.
These documents can be consulted
at the registered offi ce of the
Company.
Each year, the annual reports of the
Company will be sent to the
registered share-holders, as well as
to persons who request them.
They can also be obtained from the
registered offi ce of the Company
as well as any other public
information.
At www.arinso.com there is an
Investor Relations section including
all fi nancial information on our
Company.
A R I N S O
information for shareholders
2 6 2 7
In December 2002, ARINSO was recognized for its high quality fi nancial communications by
the Belgian Association of Financial Analysts (BVFA), which announced its annual
Price for Best Financial Information in 2002.
After a fi rst consultation round among its members-analysts, the Association made a
selection of approximately 45 listed Belgian companies with a minimum of stock
capitalization. In its second year as a public company, ARINSO International was listed fourth
in this evaluation, behind highly reputed companies such as Umicore, Bekaert and KBC. The
speed and quality of fi nancial information, as well as the guidance provided to analysts, were
considered ARINSO’s key strengths.
30,000
25,000
20,000
15,000
10,000
5,000
0
ARINSO share: evolution
number of shares in EUR
16
14
12
10
8
6
4
2
0
VolumeShare Price
Jan 2
002
Feb
2002
Mar 20
02
Apr 20
02
May 20
02
Jun
2002
Jul 2
002
Aug
2002
Sep
2002
Oct 20
02
Nov 20
02
Dec 20
02
Jan 2
003
Feb
2003
Benchmark Indices
in %
Jan 2
002
Feb
2002
Mar 20
02
Apr 20
02
May 20
02
Jun
2002
Jul 2
002
Aug
2002
Sep
2002
Oct 20
02
Nov 20
02
Dec 20
02
Jan 2
003
Feb
2003
120
100
80
60
40
20
0
ARINSO InternationalBEL20 IndexNASDAQ Composite IndexNASDAQ Europe Composite IndexBloomberg Europe Computer Services Index
A R I N S O
information for shareholders
2 6 2 7
ARINSO International joined the NextEconomy segment from the launch, demonstrating
that it chooses to adopt the higher international standards on fi nancial transparency.
___ NEXTECONOMY: A LABEL FOR STRONGLY INVESTOR-ORIENTED COMPANIES
Launched in January 2002, the NextEconomy segment brings together listed technology
companies that choose to make particular efforts to offer a higher standard of fi nancial
communication and liquidity. By joining NextEconomy, companies undertake to respect
precise rules on fi nancial communication and liquidity, which complement the regulatory
obligations in their market of origin.
___ INFORMATION AND TRANSPARENCY
The creation of the NextEconomy segment meets the need expressed by investors for
more in-depth and regular information on listed companies, for a way of rapidly identifying
companies by their profi le (according to their sector of activity and liquidity), and the need
for listed companies to improve the identifi cation and awareness of their equities among
investors.
Based on specifi c commitments for fi nancial transparency, participation in the segments
ensures greater visibility for listed companies towards their partners and fi nancial investors.
By respecting the requirements inherent in their participation, companies demonstrate their
willingness to develop high-quality fi nancial communication. And, since the requirements
they undertake conform to international standards, the companies in the segments are
meeting investors’ need for international comparisons, while encouraging investment in
their capital.
___ REQUIREMENTS FOR COMPANIES JOINING NEXTECONOMY
Requirements for liquidity
In order to provide investors with the liquidity they demand, all stocks admitted to the
NextEconomy segment must be traded continuously.
Requirements for fi nancial transparency
In addition to the local regulatory obligations which apply to listed companies, the additional
requirements for fi nancial communication undertaken by participant companies involve:
• the use of English in publications destined for the
fi nancial community (01/01/2002)
• the publication of quarterly reports (01/01/2004)
• the inclusion of additional information in the annual report (01/01/2003)
• publishing the annual report within 3 months (01/01/2003)
A R I N S O
information for shareholders
2 8
• the adoption of international fi nancial reporting standards (IFRS),
or at least the reconciliation of existing information
with those standards (01/01/2004)
• stating their policy on corporate governance (01/01/2002)
• the publication of a corporate action timetable (01/01/2002)
• holding at least two analysts’ meetings per year (01/01/2002)
• making fi nancial information available to investors via the Internet (01/01/2002)
• publishing information on shareholders (01/01/2002)
___ CALENDAR FOR SHAREHOLDERS
29 April 2003 Annual Meeting of Shareholders (Anderlecht, 10h)
27 May 2003 1Q2003 Results (before trading)
2 Sept 2003 1H2003 Results (before trading)
18 Nov 2003 3Q2003 Results (before trading)
25 Feb 2004 Full 2003 Results (before trading)
A digital version of the Annual Report 2002 is available as from 29 March 2003.
Requests can be sent to: [email protected] or downloads from www.arinso.com
___ MORE INFORMATION
ARINSO International ARINSO International
Luc Osselaer Marleen Vercammen
Director Communications & Investor Relations Chief Financial Offi cer
Tel. +32 2 558 06 70 Tel. +32 2 558 06 70
Fax +32 2 558 06 80 Fax +32 2 558 06 80
[email protected] [email protected]
A R I N S O
information for shareholders
2 8
ARINSOI N T E R N A T I O N A L
9. FINANCIAL INFORMATION 2002
A R I N S O
fi nancial information 2002
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A R I N S O
fi nancial information 2002
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1. CONSOLIDATED KEY FIGURES
Financial year as per 31 December (in ‘000 EUR) 2001 2002
Net sales (1) 110,883 120,808
EBIT (current) (2) 15,661 13,295
EBIT Margin 14.1% 11.0%
EBITDA 18,569 15,273
EBITDA Margin 16.7% 12.6%
Current profi t (3) 10,497 8,623
Net result 6,495 3,268
Shareholders’ equity 67,240 71,186
Balance sheet total 93,133 99,667
Solvency 72.2% 71.4%
Net Operating Cash Flow 10,101 15,695
Total Net Cash Flow 6,246 10,086
Information per share (In EUR)
Number of shares 14,550,823 14,550,823
Current profi t 0.72 0.59
Current profi t after depreciation of goodwill 0.51 0.36
Net result 0.45 0.22
Net Operating Cash Flow 0.69 1.08
Total Net Cash Flow 0.43 0.69
(1) Net sales consist in the period’s turnover less project expenses charged to customers. The latter are not considered as operating income.(2) Current EBIT equals the operating profi t, less depreciation on consolidation goodwill. (3) Current profi t equals net profi t after tax, before depreciation on consolidation goodwill and extraordinary result.
A R I N S O
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A R I N S O
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2. REVIEW OF THE CONSOLIDATED BALANCE SHEET AND INCOME STATEMENT
___ 2.1 ASSETS
The main assets of ARINSO are the amounts receivable on short term (EUR 35 million) and the cash and cash
equivalents (EUR 49 million). Together with the net book value of the consolidation goodwill (EUR 11 million),
approximately 95% of the total of assets are explained.
Positive consolidation differences
The consolidation goodwill is the difference between the acquisition cost of the acquired participations and the value
of the shareholders’ equity, calculated at the time ARINSO obtained the majority of control in the respective affi liate,
increased with the additional payments in application of a possible earn-out scheme related to an acquisition.
During 2002, the changes in the consolidation goodwill resulted from:
• the sale of the Remix activities, reducing the net book value of the consolidation goodwill with EUR 124,531;
• the acquisition of IT2 Information Systems (Germany) in 4Q 2002, increasing the consolidation goodwill by
EUR 3,418,560;
• the acquisition of DPS (Canada) in 2Q 2002, increasing the consolidation goodwill by EUR 408,308.
In the consolidated accounts, goodwill is depreciated at charge of the income statement over a period of fi ve years,
pro rata the number of months since the acquisition date. In 2002, the depreciation is calculated as follows: Remix and
IT2 over three months, DPS over nine months, ARINSO Germany, ARINSO Brazil, Idégé and ARINSO HRS Italia over
twelve months.
Costs of incorporation
The expenses of incorporating new affi liates and capital increases are capitalized and depreciated over a period of fi ve
years. Whenever the importance of these costs is minor, they are entirely expensed if the Board of Directors decides
so. At year-end the book value of the start-up expenses amounted to EUR 45,017.
Intangible and tangible fi xed assets
Given the activity of ARINSO, the tangible fi xed assets mainly consist of hardware and software. When the software
applications have the character of system software, they are capitalized together with the hardware as tangible fi xed
assets (EUR 1,242,526). Application software, bought from third parties, is shown in the balance sheet as intangible
fi xed assets, representing a net book value of EUR 5,536 per 31 December 2002.
ARINSO does not own land and buildings. Leasehold improvements have a net book value of EUR 187,698, offi ce
equipment and vehicles count for EUR 866,373.
Financial fi xed assets
Since ARINSO International NV holds, directly and indirectly, only fully controlled participations in all affi liates, no
other participations are revealed in the consolidated accounts. The fi nancial fi xed assets contain the granted
guarantees, mainly for rented offi ce space. The increase mainly results from the offi ce move of ARINSO US to a larger
offi ce in view of the expansion of the Business Process Outsourcing activities.
A R I N S O
fi nancial information 2002
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A R I N S O
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Work in progress
The majority of ARINSO’s contracts are scoped ‘Time and Material’, meaning that services are invoiced towards the
customers on a periodical basis, based on activity reports. Other contracts are ‘fi xed price’, where a total sales price
is agreed in advance for clearly defi ned tasks. These fi xed price projects are subdivided into so-called Milestones or
Deliverables. On 31 December 2002, direct contract costs for fi xed price contracts in the United Kingdom, Germany
and Italy are capitalized and will be expensed in direct relation to the achievement of the milestones. Based on
management’s judgement of the projects’ progress, no fi nancial provision had to be accounted for to guarantee the
achievement of the milestones.
Amounts receivable within one year
Trade debtors remain one of the most important elements of the working capital of ARINSO, EUR 33,284,513.
However important, due to constant management focus, the risk of non-recovery is limited and accrued for in the
records. As a consequence of a close customer follow-up within the whole group, the average days outstanding
decreased in the course of the year.
The other amounts receivable (EUR 1,502,687) primarily are income and value-added taxes to be recovered.
Investments and cash at bank and in hand
The healthy cash situation of EUR 49 million gives ARINSO the independence to make all the necessary investments
in further expanding its services portfolio and entering the BPO-market. In 2002, ARINSO succeeded in generating
EUR 9,485,028 extra cash (cfr. Cash Flow Statement).
___ 2.2 LIABILITIES
The consolidated equity represents an amount of EUR 71.2 million, compared to a total of liabilities of
EUR 99.7 million, resulting in a solvency ratio of 71.4%. This high degree of fi nancial independence is the result of the
capital increase in 2000, combined with balanced growth management and positive net results in 2001 and 2002.
Shareholders’ equity
The table below summarizes the composition and the evolution of the consolidated shareholders’ equity of ARINSO
International in 2002:
In EUR 31.12.2001 + - 31.12.2002
Capital 60,245,424 60,245,424
Consolidated reserves 7,240,127 3,267,724 10,507,851
Currency translation differences (245,649) 678,683 433,034
TOTAL 67,239,902 71,186,309
Thanks to the after tax profi t of EUR 3,267,724 in 2002, the consolidated reserves increased to EUR 10,507,851.
The conversion of the equity of the non-EURO companies in the consolidation caused positive currency translation
differences of EUR 433,034.
Provision for liabilities and charges and deferred taxation
The provisions for liabilities and charges contain accruals for technical guarantee obligations (EUR 223,947),
contract termination fi nes (EUR 317,726) and provisions for claims and legal exposures (EUR 290,000).
A R I N S O
fi nancial information 2002
3 2
A R I N S O
fi nancial information 2002
3 3
The deferred tax liabilities amount to EUR 266,511 as a consequence of the tax effect on consolidation entries
resulting from the difference between local and group valuation rules, as well as from the recalculation of fi xed asset
depreciation based on the group valuation rules.
Amounts payable after one year and within one year
The favourable current ratio of ARINSO is enforced by the very low fi nancial debts. Whereas in 1999 the Group still
owed EUR 2,595,083 of debt to fi nancial institutions and leasing companies, this amount further decreased from
EUR 515,559 in 2000 to EUR 178,159 in 2001 and EUR 13,619 in 2002.
The advances received on contracts in progress concern consulting services that have already been invoiced in
advance, but not yet performed at year-end.
The increase in headcount directly links to a higher amount of remunerations and social security payable.
___ 2.3 CONSOLIDATED INCOME STATEMENT
ARINSO’s growth is clearly refl ected by the important increase of the turnover from EUR 117 million to
EUR 128 million in 2002. ARINSO closes its fi nancial records with a consolidated net income of 3.3 million EUR.
Operating income
The consolidated turnover includes an important amount of project expenses incurred by consultants in their daily
operations (travel and accommodation) that are borne by customers. As this revenue brings no added value to the
operational activity, the expenses are excluded from the Group’s Net Sales. 2002 Net Sales are EUR 120.8 million,
an increase of 9% compared to 2001. This increase is almost exclusively realized through organic growth.
Operating charges
Wages and social security costs increased as a result of the increasing headcount. At the end of 2002, ARINSO
employed 1.194 staff in 19 countries.
As a result of the sale of the Remix activities, the remaining goodwill of Remix has been taken into result during 2002
as an exceptional charge, decreasing the depreciation on consolidation goodwill of the year. The net increase of the
depreciation on consolidation goodwill results from the additional goodwill arising from the acquisition of IT2 and
DPS, amounting to EUR 3.8 million in total.
Financial results
Given the excellent cash position, the interest income remained, whereas the fi nancial charges on outstanding debts
kept decreasing. Fluctuations in foreign currencies infl uence the fi nancial result both in a positive and negative way.
Non-current fi nancial costs of EUR 1,284 K relate to the impact of the devaluation of the Argentinean peso, the
Mexican peso and the Brazilian real on the outstanding foreign currency loans.
Extraordinary results
The extraordinary charges consist mainly of the loss following the sale of Remix (EUR 395 K, including the remaining
goodwill of EUR 124 K), the accruals related to claims of former employees (EUR 149 K) and the downsizing of the
operations in Mexico (106 K).
A R I N S O
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3. CONSOLIDATED BALANCE SHEET AND INCOME STATEMENT
___ 3.1 BALANCE SHEET
ASSETS (In EUR) 31.12.2001 31.12.2002
Fixed assets 14,169,380 14,000,841
Formation expenses 62,036 45,017
Intangible fi xed assets 6,286 5,536
Consolidation differences 10,723,617 10,986,740
Tangible assets 2,771,564 2,298,194
B. Plant, machinery and equipment 1,417,120 1,242,526
C. Offi ce furniture and vehicles 1,056,116 866,373
D. Leasing and similar rights 7,195 1,597
E. Other tangible assets 261,981 187,698
F. Advance payments 29,152
Financial assets 605,877 665,354
B. Other companies
2. Amounts receivable 605,877 665,354
Current assets 78,963,765 85,665,687
Amounts receivable after one year 60,000 228,755
A. Trade receivables 99,244
B. Other receivables 60,000 129,511
Inventory and contracts in progress 1,841,819 37,621
B. Contracts in progress 1,841,819 37,621
Amounts receivable within one year 36,282,964 34,787,200
A. Trade debtors 33,815,554 33,284,513
B. Other amounts receivable 2,467,410 1,502,687
Investments 23,741,719 19,578,728
Cash at bank and in hand 16,189,428 29,771,618
Deferred charges and Accrued income 847,835 1,261,765
TOTAL ASSETS 93,133,145 99,666,528
A R I N S O
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A R I N S O
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LIABILITIES (In EUR) 31.12.2001 31.12.2002
Equity 67,239,902 71,186,309
Capital 60,245,424 60,245,424
Consolidated reserves 7,240,127 10,507,851
Currency translation differences (245,649) 433,034
Minority interest 2,500
Provisions and Deferred taxation 1,259,663 1,098,184
Provisions for liabilities and charges 1,141,152 831,673
4. Other liabilities and charges 1,141,152 831,673
Deferred taxation 118,511 266,511
Debts 24,633,580 27,379,535
Amounts payable after one year 112,330 9,899
5. Other loans 112,330 9,899
Amounts payable within one year 24,037,563 26,830,659
A. Long term debts, due within 12 months 3,270
B. Financial debts 65,829
C. Trade payables 7,864,287 9,675,272
D. Advanced payments received 996,033 248,284
E. Taxes, remuneration and social security 14,919,285 16,873,639
1. Taxes 6,953,952 6,225,489
2. Remuneration and social security 7,965,333 10,648,150
F. Other amounts payable 192,129 30,194
Accrued charges and Deferred income 483,687 538,527
TOTAL LIABILITIES 93,133,145 99,666,528
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___ 3.2 PROFIT AND LOSS STATEMENT
In EUR 31.12.2001 31.12.2002
Operating income 120,313,628 126,759,103
A. Turnover 117,097,096 127,823,160
B. Changes in contracts in progress 1,176,713 (1,737,521)
D. Other operating income 2,039,819 673,464
Operating charges 107,737,974 116,910,793
A. Purchases 5,936,278 9,098,665
B. Services and other goods 30,224,889 29,727,540
C. Remuneration and social security 64,755,372 72,096,946
D. Depreciation and amounts written off on formation expenses, intangible and tangible fi xed assets 2,669,099 1,911,592
E. Amounts written off on inventory, work in process
and trade receivables 238,583 65,685
F. Provisions for liabilities and charges 73,496 (298,979)
G. Other operating charges 754,862 862,395
I. Depreciation on consolidation goodwill 3,085,395 3,446,949
Operating profi t 12,575,654 9,848,310
Financial income 1,775,567 2,270,730
B. Income from current assets 1,387,345 1,171,416
C. Other fi nancial income 388,222 1,099,314
Financial charges 702,543 1,915,099
A. Interests 216,296 140,591
C. Write-off on current assets 60,000
D. Other fi nancial charges 486,247 1,714,508
Result on ordinary activities before taxation 13,648,678 10,203,941
Extraordinary income 108,344 69,269
D. Adjustments to provision for liabilities and charges 53,052 27,000
E. Gain on disposal of fi xed assets 55,217 41,049
F. Other extraordinary income 75 1,220
Extraordinary charges 1,025,064 693,346
A. Extraordinary depreciation charges 2,071 25,803
C. Write-off on fi nancial fi xed asset 5,156
D. Provision for extraordinary costs 108,686
E. Loss on disposal of fi xed assets 202,312 27,177
F. Other extraordinary charges 706,839 640,366
Result of the year before taxation 12,731,958 9,579,864
Deferred taxation 193,594 (148,000)
Income taxes (6,431,030) (6,164,140)
Consolidated result of the year (Net income) 6,494,522 3,267,724
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___ 3.3 NOTES TO THE CONSOLIDATED ANNUAL ACCOUNTS
I.A Consolidation criteria
All affi liated companies and companies in which a participating interest is held are included in the consolidation
perimeter of ARINSO International NV on the basis of the following consolidation methods:
• Full consolidation This method is applied to companies in which ARINSO International NV holds,
directly or indirectly, more than 50% of the voting rights or in companies where
the Group has a de facto control;
• Proportional consolidation This method is applied to companies the Group controls jointly with other
shareholders;
• Equity method This method is used for subsidiaries where ARINSO International NV has a
signifi cant management infl uence.
I.B Changes in the list of consolidated companies during 2002
In the course of the fi scal year 2002, the following changes were made to the scope of consolidation:
• In the beginning of the year 2002, ARINSO Canada and Idégé have been merged into one company,
ARINSO Canada.
• The activities of Remix were sold, as these were no longer considered core business to ARINSO.
The remaining goodwill on Remix has entirely been taken into the exceptional result of the second
quarter of 2002.
• During the last quarter of 2002, Remix and HRMS have been merged into one company, called
ARINSO Brazil.
• In Germany, ARINSO acquired 100% of IT2 Information Systems AG. This subsidiary has been included
in the consolidation from the fourth quarter of 2002 onwards.
• In 2002 new subsidiaries were incorporated in Sweden (ARINSO Nordic), France (ARINSO Services
France) and Luxembourg (ARINSO Services and LDP).
II. Scope of consolidation
II.A List of fully consolidated subsidiaries
ARINSO Nederland Rotterdam NL 100 %
ARINSO France Paris La Défense FR 100 %
ARINSO Services France Paris La Défense FR 100 %
ARINSO Luxembourg Luxembourg LUX 100 %
Luxembourgeoise Des Participations Luxembourg LUX 80 %
ARINSO Services Luxembourg LUX 100 %
ARINSO United Kingdom London UK 100 %
ARINSO Ibérica Madrid ESP 100 %
ARINSO Portugal Lisbon POR 100 %
ARINSO Italia Milan IT 100 %
ARINSO HRS Italia Milan IT 100 %
ARINSO Deutschland Dusseldorf DE 100 %
IT2 Information Systems Frankfurt DE 100 % >
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A R I N S O
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ARINSO Nordic Stockholm Sweden 100 %
ARINSO International US Atlanta USA 100 %
ARINSO Canada Ontario CAD 100 %
ARINSO Brazil Sao Paulo BR 100 %
ARINSO Argentina Buenos Aires ARG 100 %
ARINSO Mexico Mexico MEX 100 %
ARINSO Singapore Singapore SGP 100 %
ARINSO Malaysia Kuala Lumpur MAL 100 %
ARINSO Taiwan Taipe TWN 100 %
ARINSO Africa Casablanca Morocco 100 %
We refer to the Consolidated Financial Accounts of ARINSO International NV for the full address of ARINSO’s
affi liates.
VI. Summary of valuation rules and methods of calculation of deferred taxes
VI.A.General
The consolidated accounts are prepared in accordance with the Belgian Accounting Law and the regulations of the
Royal Decree of 30 January 2001.
The consolidated accounts as per 31 December 2002 and 31 December 2001 apply the closing date of the mother
company ARINSO International NV and all the affi liates, and eventually after profi t distribution of the mother
company.
Valuation rules
• Costs of incorporation and intangible fi xed assets
The incorporation costs and the costs of capital increases are valued at cost and depreciated over 5 years. In specifi c
situations, the Board of Directors may decide to include these costs directly in the profi t and loss statement in the
period of occurrence. Any loan costs are depreciated annually in line with the terms of the loan.
The intangible fi xed assets are capitalized on the balance sheet at cost and depreciated on a straight-line basis at a
rate of 20 % per year as from the month of acquisition. System software and fi rmware are considered tangible fi xed
assets and capitalized together with the hardware as Equipment.
• Consolidation differences
Consolidation differences represent the differences between the acquisition cost and the corresponding share in the
subsidiary’s equity. They are assigned to specifi c assets or liabilities depending on whether the differences originate
from the over or under valuation of these assets or liabilities. The remaining differences are included in the
consolidated accounts in ‘Consolidation differences’ on the assets’ or liabilities’ side of the balance sheet, depending
on whether the acquisition price is higher or lower than the stake in the acquired company’s equity.
Positive consolidation differences are in principle depreciated on a straight-line basis over a period of fi ve years,
starting from the moment of acquisition of the subsidiary. The actual period chosen depends however on an individual
assessment of the anticipated useful life by the Board of Directors. The remaining differences could be subjected to
complementary or exceptional depreciations as soon as it is no longer justifi ed to keep the goodwill in the
consolidated accounts in view of the economic circumstances.
Negative consolidation differences are kept at initial value until a possible sale of the participation.
A R I N S O
fi nancial information 2002
3 8
A R I N S O
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• Tangible fi xed assets
The tangible fi xed assets are capitalized at cost, including the ancillary charges or at contribution value, minus the
accumulated depreciation.
For the aim of the consolidation, straight-line depreciation is applied on the basis of the expected economical lifetime
of the concerned asset, excluding the possible residual value, with the application of the following depreciation
percentages:
• Computers and computer equipment 50%
• Offi ce design 20%
• Offi ce equipment 20%
• Furniture 20%
• Vehicles 25%
• Other tangible fi xed assets 25%
Investments are depreciated pro rata temporis the month of acquisition. Costs of repairs, maintenance and
replacements are expensed if they do not materially increase the useful life of the asset concerned.
• Financial fi xed assets
The book value of the affi liates consolidated in appliance of the proportional consolidation method is adapted to the
proportional share in the equity of these companies, determined according to the consolidation rules.
The shares that ARINSO holds in other companies are valued at cost, where appropriate subjected to a write-off in
the case of a permanent capital loss.
• Amounts receivable and amounts payable
Amounts receivable and amounts payable are represented at nominal value. If recovery of the whole or part of an
amount receivable is uncertain or doubtful, provisions are accrued.
Amounts receivable and amounts payable in foreign currency are translated at the end of the fi scal year at the closing
rate. The currency translation differences that thus arise are transferred to the income statement if the calculation
per currency results in a negative amount, and to the ‘Accrued charges and deferred income’ on the balance sheet if
the calculation per currency results in a positive difference.
• Investments and cash and cash equivalents
Securities with a fi xed return, shares and bonds are valued at cost, including additional expenses, or at market value if
the latter is lower at balance date.
• Accrued charges/income and deferred income/charges
Accruals and deferrals are booked and valued at cost and recorded in the balance sheet for the part that is carried
forward to the following fi scal period or that has to be attributed to the current fi scal period.
• Consolidated reserves
The consolidated reserves include the reserves and the results carried forward of the consolidated companies, plus
the group share in the profi t or loss.
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• Currency translation differences
Concerning the integration of the accounts of affi liates, expressed in a currency other than EUR, all balance sheet
items are translated at the closing rate, or historical rate for the equity accounts. Income statement items are
translated at average rate per quarter. Differences arising from the translation of non-euro currencies are recorded in
the currency translation differences.
• Provision for liabilities and charges
The Board of Directors decides on a prudent basis which provisions must be accrued to cover the cost of all
liabilities and charges for the past fi scal year or previous years that are probable or defi nite on the date of the
preparation of the accounts but for which it is not possible to assess them precisely.
• Deferred taxes
Deferred taxes are calculated at the rates applicable to the companies concerned on the temporary differences
between the statutory profi t or loss and the profi t or loss reprocessed according to group rules. The concerned
provision is revised annually to account for the trend in the taxable amount and any changes in the legislative fi eld.
ARINSO’s consolidated accounts do not contain deferred tax assets. Any deferred tax asset entered by foreign
subsidiaries in their statutory accounts is reversed to the amount of the part exceeding the deferred tax liabilities
of the company concerned.
• New fi nancial instruments
ARINSO does not use derivatives. Speculative transactions are excluded from management operations.
• Contracts at fi xed price
ARINSO’s activities primarily consist in servicing in the scope of ‘Time and Material’ contracts. Next to these
contracts, a number of contracts exist where a fi xed price is agreed upon for clearly defi ned tasks. Projects can also
require advanced payments made by the customer that are compensated for with later invoicing. Fixed price
agreements are contractually subdivided into so-called Milestones or Deliverables. At the completion of each
milestone, the project manager and the customer mutually agree upon the completion and invoices are raised.
If contractual milestones do not correspond with the closing of an accounting period, the management of the
company and the project manager make an accurate judgement of the progress of the activities and indicate precisely
the fi nancial impact on the accounts. If appropriate, the accounting records are affected to account for the unearned
revenue or the advanced payments. The risk of the project is judged in the same way on the basis of the tasks still to
be performed to achieve the concerned stage of the project or Milestone. The completion costs have to be translated
in a supplementary provision.
In the records of 2002, the correct cut-off and the fi xed price administration lead to an amount of work in progress
of EUR 37,621, and to an amount invoiced in advance of completion of the milestone of EUR 248,284.
A R I N S O
fi nancial information 2002
4 0
A R I N S O
fi nancial information 2002
4 1
VI.B. Future taxation and deferred taxes
In EUR 31.12.2002
Analysis of Heading 168 of the liabilities 266,511
- Future taxation (by application of Article 35 of the Royal Decree of 30 January 2001)
- Deferred taxes (by application of Article 40 of the Royal Decree of 30 January 2001) 266,511
VII. Statement of formation expenses
In EUR 31.12.2002
Net book value as at the end of the previous period 62,036
Movements of the period:
- New expenses incurred 3,425
- Depreciation (20,193)
- Translation differences (251)
Net book value at the end of the period 45,017
Of which: - Incorporation costs or capital increase, loan issue expenses,
other incorporation costs 45,017
VIII. Statement of intangible assets
In EUR 2. Concessions, patents, licences, etc.
a) ACQUISITION COSTS
As at the end of the previous period 13,475
Movements during the period:
- Acquisitions 600
- Sales and Disposals (4,544)
- Currency translation differences (271)
At the end of the period 9,260
c) DEPRECIATION AND AMOUNTS WRITTEN OFF
As at the end of the previous period 7,188
Movements during the period:
- Recorded 1,350
- Written down after sales and disposals (4,544)
- Currency translation differences (270)
At the end of the period 3,724
Net book value at the end of the period 5,536
A R I N S O
fi nancial information 2002
4 2
A R I N S O
fi nancial information 2002
4 3
IX. Statement of tangible fi xed assets
Plant, Machinery Offi ce furniture Leasing and and Equipment and vehicles similar rights
a) ACQUISITION COSTS
As at the end of the previous period 6,616,052 2,142,913 117,446
Movements during the period:
- Acquisitions 1,242,491 290,201 2,737
- Sales and Disposals (418,914) (223,709) (28,992)
- Transfers 29,152
- Translation differences (353,800) (115,929) (12,609)
- Other movements 316,809 69,310
At the end of the period 7,402,638 2,191,938 78,582
c) DEPRECIATION AND AMOUNTS WRITTEN OFF
As at the end of the previous period 5,198,932 1,086,797 110,251
Movements during the period:
- Recorded 1,401,451 441,767 8,210
- Written down after sales and disposals (370,346) (183,602) (28,992)
- Translation differences (260,554) (67,323) (12,484)
- Other movements 190,629 47,947
At the end of the period 6,160,112 1,325,565 76,985
Net book value at the end of the period 1,242,526 866,373 1,597
Of which : - Furniture and vehicles 1,597
A R I N S O
fi nancial information 2002
4 2
A R I N S O
fi nancial information 2002
4 3
Other tangible Advance assets payments
a) ACQUISITION COSTS
As at the end of the previous period 341,165 29,152
Movements during the period:
- Acquisitions 29,406
- Sales and Disposals (31,208)
- Transfers (29,152)
- Translation differences (31,218)
At the end of the period 308,145 -
c) DEPRECIATION AND AMOUNTS WRITTEN OFF
As at the end of the previous period 79,184
Movements during the period:
- Recorded 64,424
- Written down after sales and disposals (11,283)
- Translation differences (11,878)
At the end of the period 120,447
Net book value at the end of the period 187,698 -
X. Statements of fi nancial fi xed assets
1. Participations Other enterprises
a) ACQUISITION COSTS
As at the end of the previous period 5,156
Movements during the period:
- Sales and Disposals (5,156)
At the end of the period -
c) AMOUNTS WRITTEN OFF
As at the end of the previous period 5,156
Movements during the period:
- Written down after sales and disposals (5,156)
At the end of the period
Net book value at the end of the period -
2. Amounts receivable Other enterprises
Net book value at the end of the previous period 605,877
Movements during the period:
- Additions 59,477
Net book value at the end of the period 665,354
A R I N S O
fi nancial information 2002
4 4
A R I N S O
fi nancial information 2002
4 5
XI. Statement of consolidated reserves
Consolidated reserves as at the end of the previous fi nancial period 7,240,127
Movements during the year:
- Share of the group in the consolidated income 3,267,724
Consolidated reserves as at the end of the year 10,507,851
XII. Statement of consolidation differences and differences resulting
from the application of the equity method
Consolidation differences Positive Negative
Net book value at the end of the preceding period 10,723,617
Movements during the period:
- New acquisitions 3,826,868
- Arising from a sale of a participating interest (124,531)
- Depreciation (3,446,949)
- Translation differences 7,735
Net book value at the end of the year 10,986,740
XIII. Statement of amounts payable
A. Breakdown of the amounts originally payable after one year according to their residual term
Amounts payable with a residual term Payable within Payable within one year one and fi ve years
Financial debts
5. Other loans 3,720 9,899
XIV. Operating results
Current year Prior year
A. Net turnover
A.2. Aggregate turnover of the group in Belgium 34,602,807 19,221,318
B. Average Number of persons employed, in units, and personnel charges
B11. Average number of persons employed 1,147 1,020
Employees 1,087 968
Management personnel 60 52
A R I N S O
fi nancial information 2002
4 4
A R I N S O
fi nancial information 2002
4 5
B12. Personnel charges
Remunerations and social charges 72,096,946 64,755,372
B13. Average number of persons employed in Belgium
by enterprises of the group 146 129
C. Extraordinary results
C1. Analysis of the other extraordinary costs,
if it involves signifi cant amounts
Termination agreements 149,010 233,845
Restructuring & Oracle close North America 402,221
Downsizing Mexico 85,520
Sale activities Remix 383,536
Other 22,300 70,773
XV. Rights and commitments not refl ected in the balance sheet
Current period
A.5.b) Commitments from transactions
- to exchange rates 6,515,182
C. Other signifi cant commitments
With regard to the acquired participations in IT2 Information Systems and DPS, the Company has a possible
commitment for payment of an additional amount depending on the realization of certain conditions. These
conditional commitments, which amount to a minimum of zero and a maximum of EUR 5,375K, cannot be
calculated at the moment of approval of the annuals accounts.
A legal claim has been made against the UK company for breach of contract. If an out of court settlement
cannot be reached between the parties, a trial date for resolution has been set for October 2003. The UK
company has made a provision, after taking independent legal advice, of the best estimate of the amount,
including professional fees that may be needed to settle to claim. This provision has been included within the
creditors falling due within one year. No further information will be disclosed on the basis that this information
is expected to seriously prejudice the outcome of the claim.
XVII. Financial relationships with directors or managers of the consolidation enterprise
Current period
A. Total amount of remunerations granted in respect of their responsibilities in the
consolidation enterprise, its subsidiaries and its affi liated enterprises, including the
amount in respect of retirement pensions granted to former directors or managers 1,347,000
A R I N S O
fi nancial information 2002
4 6
A R I N S O
fi nancial information 2002
4 7
4. CASH FLOW STATEMENT
In EUR (note a) 31.12.2001 31.12.2002
OPERATING ACTIVITIES
Operating profi t 12,575,655 9,848,309
Depreciation and write-off on fi xed assets 2,669,099 1,911,592
Depreciation on consolidation goodwill 3,085,395 3,446,949
Write-offs on amounts receivable 238,583 65,685
Provision for liabilities and charges 73,496 (298,979)
Correction on operating cash - sale of Systech (note b) (24,029)
Extraordinary income and charges (648,605) (639,146)
Correction extraord. result – Sale of Remix (note f) 151,968
Gross Cash Flow 17,969,594 14,486,378
Taxation on the fi scal year’s result (6,431,031) (6,164,140)
Changes in the net working capital (1,243,238) 5,705,206
Currency translation differences (194,660) 1,667,084
Net cash fl ow from operating activities 10,100,665 15,694,528
INVESTING ACTIVITIES
Investments in Tangible and Intangible Fixed Assets
Investments in fi xed assets (1,984,279) (1,585,599)
Income from the sale of fi xed assets 187,516 97,055
Net cash fl ow from investments in FA (1,796,763) (1,488,544)
Investments in Financial Fixed Assets
Financial investments (412,390) (106,334)
Income from current assets 1,387,345 1,171,416
Sale of Systech net cash impact (note c) (39,461) -
Participation in ARINSO Germany (note d) (2,450,000) -
Participation in IT2 (note g) - (3,420,000)
Participation in DPS (note g) - (910,973)
Net cash fl ow from fi nancial investments (1,514,506) (3,265,891)
NET CASH FLOW FROM INVESTING ACTIVITIES (3,311,269) (4,754,435)
FINANCING ACTIVITIES
Long term fi nancing (207,689) (102,431)
Short term fi nancial debts (21,222) 3,720
Interest paid on debts (216,296) (140,591)
Other fi nancial income and charges (98,025) (615,193)
NET CASH FLOW FROM FINANCING ACTIVITIES (543,232) (854,495)
Total net cash fl ow 6,246,165 10,085,598
A R I N S O
fi nancial information 2002
4 6
A R I N S O
fi nancial information 2002
4 7
In EUR 31.12.2001 31.12.2002
CHANGE IN CASH AND CASH EQUIVALENTS DUE TO EXCHANGE RATE MOVEMENTS (78,312) (600,570)
NET INCREASE OF CASH AND CASH EQUIVALENTS
Beginning of the year
Cash Equivalents 20,417,026 23,741,719
Cash 13,445,035 16,189,428
Bank overdrafts (164,595) (65,829)
Total cash and cash equivalents at beginning of the year 33,697,466 39,865,318
End of the year
Cash Equivalents 23,741,719 19,578,728
Cash 16,189,428 29,771,618
Bank overdrafts (note e) (65,829) -
Total cash and cash equivalents at the end of the year 39,865,318 49,350,346
Net increase of cash and cash equivalents 6,167,852 9,485,028
General Notes
Note a The cash fl ow statement is represented according to IAS 7, indirect method; ARINSO ventilates cash
income and proceedings over the three classes of cash related transactions (operations, investing and
fi nancing).
Note e As the bank overdrafts are on very short term (overnight), ARINSO considers them as integral part of
their cash policy.
Notes to 2001
Note b The 100% participation in Systech (Italy) was sold to a third party in April 2001. The operational cash the
company generated in the fi rst quarter is excluded from the Group’s 2001 operational cash.
Note c The sales price of the Systech shares is still due for EUR 60,000. The cash impact of the share transaction
is negative (EUR 39,461) in 2001, as the net cash available at the date of sales is excluded in consolidation.
Note d A fi nal instalment was made to the former shareholders of ARINSO Germany (ex Dietz&Werner).
Notes to 2002
Note f The extra-ordinary result consists of some non-cash costs related to the sale of Remix. These items are
corrected here.
Note g In 2002 ARINSO acquired DPS (Canada) and IT2 Information Systems (Germany). The initially paid
acquisition price is expressed here.
A R I N S O
fi nancial information 2002
4 8
A R I N S O
fi nancial information 2002
4 9
5. AUDIT REPORT ON THE CONSOLIDATED ANNUAL ACCOUNTS AS PER 31 DECEMBER 2002
FREE TRANSLATION OF THE STATUTORY AUDITOR’S (Commissaris) REPORT ORIGINALLY PREPARED
IN DUTCH ON THE CONSOLIDATED ACCOUNTS OF THE GROUP ARINSO INTERNATIONAL NV
SUBMITTED TO THE GENERAL SHAREHOLDERS’ MEETING
Consolidated accounts for the year ended December 31, 2002
In accordance with legal and regulatory requirements, we are reporting to you on the completion of the mandate which you
have entrusted to us. We have audited the consolidated fi nancial statements for the year ended December 31, 2002 with a
balance sheet total of 99,667(000) EUR, and a profi t for the year (share of the group in the results) of 3,268(000) EUR.
These consolidated fi nancial statements have been prepared under the responsibility of the Board of Directors of the
Company. The fi nancial statements of a certain number of Companies which statements refl ect total assets of 55,814(000)
EUR and total loss of 1,310(000) EUR in the consolidated fi nancial statements were audited by other auditors whose
reports have been furnished to us, and our opinion is based solely on the reports of the other auditors. In addition we have
reviewed the directors’ report.
Unqualifi ed audit opinion on the consolidated fi nancial statements
Our audit was performed in accordance with the standards of the Institut des Reviseurs d’Entreprises-Instituut der
Bedrijfsrevisoren. Those standards require that we plan and perform the audit to obtain reasonable assurance about
whether the consolidated fi nancial statements are free of material misstatement, taking into account the Belgian legal and
regulatory requirements relating to the consolidated fi nancial statements. In accordance with these standards we have taken
into account the administrative and accounting organisation of your group as well as the system of internal control. The
group’s management have provided us with all explanations and information, which we required for our audit. We have
examined on a test basis, the evidence supporting the amounts included in the consolidated fi nancial statements. We have
assessed the accounting policies used, the signifi cant accounting estimates made by the Company and the overall
presentation of the consolidated fi nancial statements. We believe that our audit and the report(s) of the other auditors
provide a reasonable basis for our opinion. In our opinion, based on our audit and the reports of the other auditors, the
consolidated fi nancial statements of ARINSO International NV for the year ended December 31, 2002 present fairly the
fi nancial position of the group and the results of its operations, in conformity with the prevailing legal and regulatory
requirements, and the disclosures made in the notes to the accounts are adequate
Additional assertions
As required by generally accepted auditing standards the following additional assertion is provided. This assertion does not
alter our audit opinion on the consolidated fi nancial statements.
- The consolidated directors’ report contains the information required by law and is in accordance with the
consolidated fi nancial statements.
Antwerp, March 31, 2003
Klynveld Peat Marwick Goerdeler Reviseurs d’Entreprises, Statutory Auditor, represented by
P.P. Berger, Reviseur d’entreprise / Bedrijfsrevisor
Subsequent events
To the Company’s best knowledge, there have been no important events, other than those mentioned in this Annual Report
that might have an infl uence on the annual accounts.
A R I N S O
fi nancial information 2002
4 8
A R I N S O
fi nancial information 2002
4 9
6. STATUTORY ACCOUNTS OF ARINSO INTERNATIONAL N.V.
The Board of Directors decided to further streamline the global fi nancing structure of ARINSO. Consequently,
ARINSO International delegated parts of its intra group fi nancing activities and consolidated these in a new fully
consolidated affi liate. Furthermore, the legal ownership of some entities was optimised, resulting in an exceptional
gain in the records of the mother company of EUR 15.3 million. Neither of these two operations infl uenced the
consolidated accounts of the ARINSO Group. The profi t of the period, EUR 30,548,809, is infl uenced by the changes
in the perimeter and by the received dividends ad EUR 14 million.
___ 6.1. BALANCE SHEET
ASSETS (In EUR) 31.12.2001 31.12.2002
Fixed assets 41,681,494 86,634,017Tangible fi xed assets 259,902 409,225
B. Plant, machinery and equipment 69,093 280,174C. Offi ce furniture and vehicles 131,149 81,986E. Other tangible fi xed assets 59,660 47,065
Financial fi xed assets 41,421,592 86,224,792A. Fully consolidated companies 41,417,415 86,220,615
1. Participating interests 14,151,367 80,926,7102. Amounts receivable 27,266,048 5,293,905
C. Other fi nancial assets 4,177 4,1772. Amounts receivable 4,177 4,177
Current assets 26,486,651 14,763,872Amounts receivable after one year 775,410
B. Other amounts receivable 775,410 Amounts receivable within one year 6,964,590 8,968,385
A. Trade debtors 5,640,873 8,654,629B. Other amounts receivable 1,323,718 313,756
Investments 17,887,277 856,653B. Other investments and deposits 17,887,277 856,653
Cash at bank and in hand 545,257 4,360,656Deferred charges and accrued income 314,116 578,178
TOTAL ASSETS 68,168,145 101,397,889
LIABILITIES (In EUR) 31.12.2001 31.12.2002
Capital and Reserves 63,307,537 93,856,345Capital 60,245,423 60,245,423Reserves 902,383 2,429,823
A. Legal reserves 158,702 1,686,143D. Available reserves 743,681 743,680
Profi t carried forward 2,159,730 31,181,098Provision for Liabilities and Charges 101,368 74,368Debts 4,759,240 7,467,176Amounts payable within one year 4,551,013 7,346,987
C. Trade debts 2,407,231 4,638,093 1. Suppliers 2,407,231 4,638,093E. Amounts payable regarding taxes, remuneration and social security 2,143,783 2,683,894 1. Taxes 333,201 333,936 2. Remuneration and social security 1,810,581 2,349,958F. Other debts 25,000
Accrued charges and deferred income 208,227 120,189
TOTAL LIABILITIES 68,168,145 101,397,889
A R I N S O
fi nancial information 2002
5 0
A R I N S O
fi nancial information 2002
5 1
___ 6.2. INCOME STATEMENT
In EUR 31.12.2001 31.12.2002
Operating income 22,346,265 37,646,802
A. Turnover 19,221,318 34,602,807
D. Other operating income 3,124,947 3,043,995
Operating charges (18,985,175) (35,338,457)
A. Raw materials, consumables and goods for resale 5,256,468 20,803,344
B. Services and other goods 5,069,439 5,005,996
C. Remuneration, social security and pensions 8,167,301 8,939,629
D. Depreciation and amounts written off 415,240 319,528
E. Provision for doubtful debtors 14,410 212,311
G. Other operating charges 62,317 57,649
Operating profi t or loss 3,361,090 2,308,345
Financial income 2,752,611 16,492,982
A. Income from fi nancial fi xed assets 1,168,804 14,695,878
B. Income from current assets 803,517 599,260
C. Other fi nancial income 780,290 1,197,844
Financial charges (923,554) (1,675,722)
A. Interest and other debt charges 172,080 110,221
B. Write-off on current assets 60,000
C. Other fi nancial charges 751,474 1,505,501
Profi t or loss on ordinary activities before taxation 5,190,147 17,125,605
Extraordinary income 45,403 15,427,153
C. Change in provision for risks and costs 27,000
D. Gain on disposal of fi xed assets 45,403 15,400,153
Extraordinary charges (2,182,556) (121,194)
C. Write-off on fi nancial fi xed asset 1,732,285
D. Provision for extraordinary costs 101,368
E. Loss on disposal of fi xed assets 278,129 99,999
F. Other extraordinary charges 70,773 21,195
Profi t or loss for the fi nancial period before taxation 3,052,995 32,431,564
Income taxes (1,333,668) (1,882,755)
PROFIT OR LOSS OF THE YEAR 1,719,327 30,548,809
A R I N S O
fi nancial information 2002
5 0
A R I N S O
fi nancial information 2002
5 1
___ 6.3. APPROPRIATION ACCOUNT
In EUR 31.12.2001 31.12.2002
A. Profi t to be appropriated 2,245,697 32,708,539
1. Profi t for the year available for appropriation 1,719,327 30,548,809
2. Profi t brought forward 526,370 2,159,730
C. Transfer to capital and reserves 85,966 1,527,441
2. To legal reserves 85,966 1,527,441
D. Result to be carried forward 2,159,730 31,181,098
1. Profi t to be carried forward 2,159,730 31,181,098
A R I N S O
fi nancial information 2002
5 2
A R I N S O
fi nancial information 2002
5 3
III. Statement of tangible assets
Plant, machinery Furniture Other tangible and equipment and vehicles assets
a) ACQUISITION COSTS
As at the end of the previous period 1,783,540 671,578 107,553
Movements during the period:
- Acquisitions 420,249 29,645 19,057
- Sales and Disposals (86,278)
At the end of the period 2,203,789 614,945 126,610
c) DEPRECIATION AND AMOUNTS WRITTEN OFF
As at the end of the previous period 1,714,447 540,529 47,892
Movements during the period:
- Recorded 209,168 78,707 31,653
- Written down after sales and disposals (86,277)
At the end of the period 1,923,615 532,959 79,545
Net book value at the end of the period 280,174 81,986 47,065
IV. Statements of fi nancial assets
1. Participations, shares and investments Affi liated companies
a) ACQUISITION COSTS
As at the end of the previous period 14,151,367
Movements during the period:
- Acquisitions 71,850,018
- Sales (5,074,675)
At the end of the period 80,926,710
2. Amounts receivable Affi liated companies Other enterprises
Net book value at previous period 27,266,048 4,177
Movements during the period:
- Additions 2,990,000
- Repayments (7,967,627)
- Currency translation differences (1,877,008)
- Other (15,117,507)
Net book value at the end of the period 5,293,906 4,177
A R I N S O
fi nancial information 2002
5 2
A R I N S O
fi nancial information 2002
5 3
V.A. Investments and social rights held in other companies
Are to be mentioned hereafter, the companies in which the company holds an investment in the sense of the Royal
Decree of October 8, 1976 as well as the other companies in which the company holds shares in case where these
shares represent at least 10% of the subscribed capital.
Rights held by Information from the most recent period available
Name, full address of the the Company Subsi- Annual Mone- Capital Net registered offi ce (directly) diaries accounts tary and result reserves
Number % % as per Unit (+) or (-) (in monetary units)
ARINSO Nederland
Beurs – WTC Beursplein 37
3001 DD Rotterdam,
Nederland 400 100 31/12/2002 EUR 1,393,510 3,598,739
ARINSO France
Espace 21, Place Ronde 31
92986 Paris La Défense,
France 3,000,000 100 31/12/2002 EUR 1,530,643 (1,200,588)
ARINSO Luxembourg
Place d’Armes 3
1670 Luxembourg,
Luxembourg 29,686 100 31/12/2002 EUR 69,268,212 486,097
ARINSO United Kingdom
Fleet Street 107
EC4A 2A London
United Kingdom 25,000 100 31/12/2002 GBP 553,630 269,700
ARINSO International US
Piedmont Road 3575 box 1000
GA 30305 Atlanta, USA 100,000 100 31/12/2002 USD 3,105,460 1,415,986
ARINSO Canada
The West Mall 185, suite 1530
M9C 5L5 Ontario,
Canada 1,000 100 31/12/2002 CAD 4,716,145 1,185,102
ARINSO Argentina
Av. Cramer 2038 PB ‘A’
1428 Buenos Aires,
Argentina 120 100 31/12/2002 USD 97,345 279,652 >
A R I N S O
fi nancial information 2002
5 4
A R I N S O
fi nancial information 2002
5 5
Rights held by Information from the most recent period available
Name, full address of the the Company Subsi- Annual Mone- Capital Net registered offi ce (directly) diaries accounts tary and result reserves
Number % % as per Unit (+) or (-) (in monetary units)
ARINSO Brazil
Alameda Mamoré 989,
andar 15, conjunto 1501, Cry
06454-0 Barueri, Sao Paulo
Brazil 45,000 100 31/12/2002 BRL 5,075,551 (12,807,950)
ARINSO Mexico
Belisario Domínguez 64
Col. Miguel Hidalgo
Delegación Tlalpan
14410 Mexico DF
Mexico 100 31/12/2002 MXN (10,586,153) 2,681,132
ARINSO Singapore
Clemenceau Avenue 83,
14-01 UE Square,
239920 Singapore
Singapore 2 100 31/12/2002 SGD (339,756) (86,336)
ARINSO Malaysia
Level 40, Tower 2,
Petronas Twin Tower,
50088 Kuala Lumpur
Malaysia 100 31/12/2002 MYR 1,930,060 1,622,391
ARINSO Taiwan
18 F Suite C No 156
Ming Sheng R. Road
Sec. 3, Taipe, Taiwan 100 31/12/2000 TWD
ARINSO Nordic
Solna Strandväg 78
17154 Solna,
Sweden 900 100 31/12/2002 SEK 2,605,609 1,682,172
LDP
Rue Emile Bian
L-1235 Luxembourg,
Luxembourg 80 80 31/12/2003
A R I N S O
fi nancial information 2002
5 4
A R I N S O
fi nancial information 2002
5 5
VI. Investments : other investments
Period Preceding period
Term deposits with credit institutions 856,653 17,887,277
Falling due:
- less or equal to one month 856,653 17,877,277
VII. Deferred charges and accrued income
Period
Analysis of heading 490/1 of assets if the amount is signifi cant
Deferred charges 565,267
Accrued income 12,910
VIII. Statement of capital
Amounts Number of shares
A. Capital
1. Issued capital
- at the end of the preceding period 60,245,423 xxxxxxxxx
- changes during this period
- at the end of the period 60,245,423 xxxxxxxxx
2. Structure of the capital
2.1 Different categories of shares
Shares without pair value 60,245,423 14,550,823
2.2 Registered shares and bearer shares
Registered xxxxxxxxx 11,905,219
Bearer xxxxxxxxx 2,645,604
D. Commitments to issue shares
2. Following the exercising of SUBSCRIPTION rights
- Number of outstanding subscription rights 937,500
- Amount of capital to be subscribed 6,562,500
- Maximum number of shares to be issued 1,875,000
E. Authorised capital, not issued 60,245,423
A R I N S O
fi nancial information 2002
5 6
A R I N S O
fi nancial information 2002
5 7
G. Shareholder structure based on notifi cation in April 2000:
Shareholder Number of shares %
Jos Sluys * 9,212,669 63.3%
Rudy Vandenberghe * 784,264 5.4%
Geert Truyts * 640,750 4.4%
Other nominative shareholders (13) * 1,267,533 8.7%
Public 2,645,604 18.2%
Total 14,550,823 100%
* Acting in accordance with each other
Shareholder After exercise of the warrants %
Jos Sluys 9,337,669 56.8%
Rudy Vandenberghe 784,264 4.8%
Geert Truyts 640,750 3.9%
Other nominative shareholders (13) * 1,267,533 7.8%
Public 2,645,604 16.1%
Personnel 1,750,000 10.6%
Total 16,425,823 100%
Except for the above mentioned information, the Company has not received any other notifi cation of any ownership
of shares of more than 3% in compliance with the articles of the association.
IX. Provisions for risks and charges
Period
Contract termination penalties 74,368
X. Statement of amounts payable
Period
C. Amounts payable for taxes, remuneration and social security
1. Taxes
b) Non-expired taxes payable 333,936
2. Remuneration and social security
b) Other amounts payable relating to remuneration and social security 2,349,958
A R I N S O
fi nancial information 2002
5 6
A R I N S O
fi nancial information 2002
5 7
XI. Accrued charges and deferred income
Period
Analysis of heading 492/3 of liabilities if the amount is signifi cant
Deferred income 120,189
XII. Operating results
Period Preceding period
C1. Personnel
a) Total number of personnel at year end 142 149
b) Average number of personnel in FTE 135.2 139.5
c) Number of hours worked 227,544 220,145
C2. Personnel charges
a) Remuneration and direct social benefi ts 6,558,387 5,993,939
b) Employers’ contribution for social security 1,799,284 1,771,075
c) Employers’ premium for extra statutory insurance 199,090 13,544
d) Other personnel charges 382,868 388,742
D. Amortization
2. On amounts receivable 212,311 14,410
F. Other operating charges
Taxes relating to operations 22,112 10,742
Others 35,537 51,575
XIII. Financial results
A. Other fi nancial income
Detail of other fi nancial income classifi ed under
this heading, if material
Translation differences 1,197,828 780,281
Other 16 9
D. Write-offs on current assets
Recorded 60,000
E. Other fi nancial charges
Analysis of other fi nancial charges included under
this heading, if material
Translation differences 1,505,064 751,324
Other 437 150
A R I N S O
fi nancial information 2002
5 8
A R I N S O
fi nancial information 2002
5 9
XIV. Income taxes
Period
A. Analysis of heading 670/3
1. Income taxes of the current period 1,698,046
a) Taxes and withholding taxes due or paid 1,408,046
c) Estimated taxes payable 290,000
2. Income taxes of the previous periods 184,710
a) Taxes and withholding taxes due or paid 184,710
XVI. Other taxes and taxes borne by third parties
Period Preceding period
A. The total amount of value added taxes, turnover taxesand special taxes charged during the period
1. to the company (deductible) 874,596 909,503
2. by the company 2,237,670 2,548,070
B. Amounts retained on behalf of third parties
1. payroll withholding taxes 1,944,219 1,861,634
2. withholding taxes on investment income 10,563 33,415
XVII. Rights and commitments accrued in the balance sheet
Period
Amount of forward contracts
- Currencies sold (to be delivered) 6,515,182
XIX. Financial relationships with directors and managers
Period
4. The amount of direct and indirect remuneration and pensions, included
in the income statement as long as this disclosure does not concern,
exclusively or mainly, the situation of a single identifi able person
- to the directors and managers 213,641
A R I N S O
fi nancial information 2002
5 8
A R I N S O
fi nancial information 2002
5 9
XVIII. Relationships with affi liated companies and companies linked by participating interests
Affi liated companies Period Preceding period
1. Financial fi xed assets 86,220,615 41,417,415
Investments 80,926,710 14,151,367
Other 5,293,905 27,266,048
2. Amounts receivable 2,089,169
More than one year 715,410
Less than one year 1,195,038 1,373,759
4. Debts 2,448,476 876,241
Less than one year 2,448,476 876,241
7. Financial results
From fi nancial fi xed assets 14,695,878 1,168,804
Interest costs 8,306
8. Realisation of fi xed assets
Realized gains 15,400,153
Realized losses 99,999
Declaration in relation to the statement of consolidated accounts
A. Information to be disclosed by the reporting company
- Consolidated accounts and a consolidated annual report have been prepared and published pursuant
to the Royal Decree of January 30, 2001 on the consolidated accounts : yes
A R I N S O
fi nancial information 2002
6 0
A R I N S O
fi nancial information 2002
6 1
___ 6.4. SOCIAL BALANCE
If applicable, registration number of the company at the Social Bureau (‘RSZ-number’) : 010-1636985-57
Number of the joint Industrial Committees that are applicable to the company: 218.00
I. Overview of the personnel employed
A. Employees enrolled in the personnel register
1. Full time 2. Part time 3. Total (T) 4. Total (T) or total in full or total in full time equivalents time equivalents (FTE) (FTE) (period) (period) (period) (preceding per.)
1. During this period and the preceding period
Average number of employees 126.0 18.8 135.2 (FTE) 129.1 (FTE)
Number of hours worked 212,506 15,038 227,544 (T) 220,145 (T)
Personnel charges 7,255,700 692,500 7,948,200 (T) 7,407,220 (T)
Other advantages xxxxxxxx xxxxxxxx 127,600 (T) 124,358 (T)
1. Full time 2. Part time 3. Total in full time equivalents
2. At year end date
a. Number of employees enrolled in the personnel register 126 16 133.3
b. According to the type of employment contract
Contract of an undetermined period of time 126 16 133.3
c. According to the sex
Male 93 12 97.4
Female 33 4 35.9
d. According to professional classifi cation
Directors 5 5.0
Employees 120 16 127.3
Other 1 1.0
A R I N S O
fi nancial information 2002
6 0
A R I N S O
fi nancial information 2002
6 1
II. Overview of the personnel turnover during the period
1. Full time 2. Part time 3. Total in full time equivalents
A. Personnel hired
a. Number of employees enrolled in the personnel register during the period 14 14.0
b. According to the type of employment contract
Contract for an undetermined period of time 14 14.0
c. According to the sex and education level
Male : higher education (non-university) 1 1.0
higher education (university) 7 7.0
Female : higher education (non-university) 1 1.0
higher education (university) 5 5.0
1. Full time 2. Part time 3. Total in full time equivalents
B. Personnel resigned
a. Employees with determination date has been noted down in the personnel register 20 1 20.8
b. According to the type of employment contract Contract for an undetermined period of time 20 1 20.8
c. According to the sex and education level
Male : secondary school 7 7.0
higher education (non-university) 1 1.0
higher education (university) 8 8.0
Female : secondary school 1 1 1.8
higher education (university) 3 3.0
d. According to the reason for determination of the employment contract
Dismissal 3 3.0
Other 17 1 17.8
IV. Information concerning staff training during this period
1. Number of 2. Number of 3. Company employees training hours charges involved followed
Total number of training initiatives tothe account of the employer
Male 85 1,295 203,299
Female 26 487 62,502
A R I N S O
fi nancial information 2002
6 2
A R I N S O
fi nancial information 2002
6 3
SUMMARY OF VALUATION RULES
Formation expenses
The formation expenses and the costs of capital increases are valued at cost and depreciated at the rate of 20%
yearly. Any loan costs are depreciated annually in line with the terms of the loan.
Intangible fi xed assets
The intangible fi xed assets are capitalized on the balance sheet at cost and depreciated on a straight line basis at a
rate of 20 % per year as from the month of acquisition. System software and fi rmware are considered tangible fi xed
assets and capitalized together with the hardware as Equipment.
Tangible fi xed assets
The tangible fi xed assets are capitalized at cost, including the ancillary charges or at the value of the contribution,
minus the accumulated depreciation.
For the aim of the consolidation, straightline depreciation is applied on the basis of the expected economic lifetime of
the concerned asset, excluding the possible residual value, with the application of the following depreciation
percentages:
• Buildings 10% straightline
• Plant, machinery and equipment 33% straightline
• Offi ce equipment 20% straightline
• Furniture 20% straightline
• Leasehold improvements 20% straightline
• Vehicles 25% straightline
• Hard and software 50% straightline
Costs of repairs, maintenance and replacements are expensed if they do not materially increase the useful life of the
asset concerned.
Financial fi xed assets
The shares that ARINSO holds in other companies are valued at cost, where appropriate subjected to a write-off in
the case of a permanent capital loss.
Amounts receivable and amounts payable
Amounts receivable and amounts payable are valued at nominal value. If recovery of the whole or part of an amount
receivable is uncertain or doubtful, provisions are accrued.
Amounts receivable and amounts payable in foreign currency are translated at the end of the fi scal year at the closing
rate. The currency translation differences that thus arise are transferred to the income statement if the calculation
per currency results in a negative amount, and to the ‘Accrued charges and deferred income’ on the balance sheet if
the calculation per currency results in a positive difference.
Investments and cash and cash equivalents
Securities with a fi xed return, shares and bonds are valued at cost, including additional expenses, or at market value if
the latter is lower at balance date.
A R I N S O
fi nancial information 2002
6 2
A R I N S O
fi nancial information 2002
6 3
Accrued charges/income and deferred income/charges
Accruals and deferrals are booked and valued at cost and recorded in the balance sheet for the part that is carried
forward to the following fi scal period or that has to be attributed to the current fi scal period.
Provision for liabilities and other charges
The Board of Directors decides on a prudent basis which provisions must be set up to cover the cost of all liabilities
and charges for the past fi scal year or previous years that are probable or defi nite on the date of the preparation of
the accounts but for which it is not possible to assess them precisely.
A R I N S O
fi nancial information 2002
6 4
REPORT FROM THE STATUTORY AUDITOR (Free translation)
REPORT OF THE STATUTORY AUDITOR ON THE STATUTORY ACCOUNTS SUBMITTED TO
THE GENERAL SHAREHOLDERS’ MEETING OF ARINSO INTERNATIONAL N.V.
Financial year ended December 31, 2002
In accordance with legal and statutory requirements, we are reporting to you on the completion of the audit
assignment with which you have entrusted us.
We audited the fi nancial statements as of and for the fi nancial year ended December 31, 2002, with a balance sheet
total of 101,398(000) EUR, and a profi t for the fi nancial year of 30,549(000) EUR. These fi nancial statements have
been prepared under the responsibility of the company’s management board. We also carried out the specifi c
additional audit procedures, required by the law.
Unqualifi ed audit opinion on the fi nancial statements
We performed our audit in accordance with the standards of the “Institut des Réviseurs d’Entreprises - Instituut der
Bedrijfsrevisoren”. These professional standards require that we plan and perform the audit to obtain reasonable
assurance as to whether the fi nancial statements are free of material misstatement, taking into account the Belgian
legal and administrative requirements applicable to fi nancial statements in Belgium.
In accordance with these standards we have considered the company’s administrative and accounting organisation as
well as its internal control procedures. The company’s management has provided us with all explanations and
information we required for our audit. We examined, on a test basis, evidence supporting the amounts in the fi nancial
statements. We assessed the accounting principles used and signifi cant accounting estimates made by the company, as
well as the overall presentation of the fi nancial statements. We believe that our audit provides a reasonable basis for
our opinion.
In our opinion, taking into account the prevailing legal and regulatory requirements, the fi nancial statements for the
year ended December 31, 2002, present fairly the company’s net worth and fi nancial position and the results of its
operations. The disclosures made in the notes to the fi nancial statements are adequate.
Additional Assertions and Information
As required by generally accepted auditing standards, the following additional assertions and information are provided.
These assertions and information do not alter our audit opinion on the fi nancial statements.
• The annual report contains the information required by law and is consistent with the fi nancial statements.
• The appropriation of results proposed to you complies with the legal and statutory provisions.
• There are no transactions undertaken or decisions taken in violation of the company’s statutes or company
law, which we have to report to you.
• Without prejudice to certain formal aspects of minor importance, the accounting records are maintained and
the fi nancial statements have been prepared in accordance with the applicable Belgian legal and regulatory
requirements.
Antwerp, March 31, 2003
Klynveld Peat Marwick Goerdeler, Bedrijfsrevisoren,
Statutory Auditor, represented by
P.P. Berger, Bedrijfsrevisor
ARINSO International (Euronext Brussels: ARIN) is a global HR Services partner offering
comprehensive HR business solutions to the world’s largest employers. ARINSO is dedicated
to HR Excellence through Strategic Guidance, Integration Services and customised
HR Service Delivery Solutions.
ARINSO was founded in 1994, and currently employs close to 1,200 staff in 20 countries:
Belgium, Luxembourg, the Netherlands, France, Spain, Portugal, Italy, United Kingdom, Germany,
Sweden, Finland, US, Canada, Argentina, Brazil, Mexico, Singapore, Malaysia, Taiwan and Morocco.
INVESTMENT SUMMARY
In just eight years, ARINSO has become an EUR 121 million company with 11% EBIT and 1200 staff,
by integrating state-of-the-art HRM Systems.
Increasingly, ARINSO helps clients design innovative HRM Strategies.
ARINSO aims to be a trusted partner in operating clients’ HR & Payroll processes.
Key financial drivers behind this strategy: Higher growth opportunities
Long-term recurring revenues
Long-term sustainable margins
ARINSO Africa37, Av. Abdelkarim El KhattabiCasablancaMoroccoTel. +212 22 95 60 80Fax +212 22 95 14 35
ARINSO ArgentinaAv. Cramer 2038 P.B. ‘A’1428 Buenos AiresArgentinaTel. +54 11 4788 97 17Fax +54 11 4788 96 44
ARINSO BelgiumHumaniteitslaan 116Boulevard de l’Humanité 1161070 BrusselsBelgiumTel. +32 2 558 06 70Fax +32 2 558 06 80
ARINSO BrazilAlameda Mamoré 98915° andar, conjunto 1501Crystal Tower 06454-030 BarueriSao PauloBrazil Tel. +55 11 4197 3434Fax +55 11 4197 3435
ARINSO Canada185 The West MallSuite 1530Etobicoke, OntarioCanada M9C5L5Tel. +1 416 622 9559Fax +1 416 622 2676
ARINSO FinlandMannerheimintie 12B 5th floor 00100 HelsinkiFinlandTel. +358 9 2516 6406 Fax +358 9 2516 6100
ARINSO FranceEspace 2131, Place Ronde92986 Paris La Défense 7FranceTel. +33 1 49 00 31 31Fax +33 1 49 00 31 69
ARINSO GermanyBerliner Strasse 10140880 RatingenGermanyTel. +49 2102 99 79 0Fax +49 2102 99 79 79
ARINSO ItalyVia G. Murat 2320159 MilanoItalyTel. +39 02 694 321Fax +39 02 694 322 01
ARINSO LuxembourgPlace d’Armes 3L-1136 LuxembourgG.D. of LuxembourgTel. +352 46 60 83Fax +352 46 60 84
ARINSO MalaysiaEmpire TowerLevel 35A-1 Empire Tower182 Jalan Tun Razak50400 Kuala LumpurMalaysiaTel. +60 3 2166 5886Fax +60 3 2166 5887
ARINSO MexicoBelisario Domínguez 64Col. Miguel HidalgoDelegación Tlalpan14410 Mexico DFMexicoTel. +52 56 65 22 85Fax +52 56 66 05 70
ARINSO NetherlandsBeurs-World Trade CenterBeursplein 37 PO Box 301843001 DD RotterdamThe NetherlandsTel. +31 10 205 25 33Fax +31 10 205 53 79
ARINSO PortugalPr. Marqués de Pombal, 16 A, 5º Piso1250-163 LisboaPortugalTel. +351 21 350 40 56Fax +351 21 350 40 01
ARINSO Singapore83 Clemenceau Avenue# 14-01 UE SquareSingapore 239920Tel. +65 6 73 61 366Fax +65 6 73 62 655
ARINSO SpainCarretera de la Coruña, km. 23,2Edificio ECU Planta 228230 Las RozasMadrid – SpainTel. +34 91 640 28 90Fax +34 91 640 28 91
ARINSO Sweden Solna Strandväg 78171 54 SolnaSwedenTel. +46 8 505 21091Fax +46 8 545 21010
ARINSO Taiwan9/F No. 342Sec. 1, Keelung RoadTaipei Taiwan R.O.C.Tel. +65 6 73 61 366Fax +65 6 73 62 655
ARINSO United Kingdom107 Fleet StreetLondon EC4A 2ABUKTel. +44 20 7936 90 14Fax +44 20 7936 91 41
ARINSO United States3535 Piedmont RoadBuilding 14, Suite 1000Atlanta, GA 30305USTel. +1 404 260 19 00Fax +1 404 260 19 01
ARINSO International • Humaniteitslaan 116 • B-1070 Brussels
Tel. +32 2 558 06 70 • Fax +32 2 558 06 80
ARINSO International is part of
the NextEconomy Quality Segment on EURONEXT Brussels.
ARINSO International combines world-class ICT skills
with an innovative HR approach. We’ll run your HR engine,
so you can fully focus on the road ahead.
www.arinso.com
THE HUMAN CAPITAL COMPANY
ARINSOI N T E R N A T I O N A L
ANNUAL REPORT2 0 0 2
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