Investor Relations Presentation May 2024
Managing cost inflation
Price escalation clauses at Paint and Final Assembly Systems
Protection against inflation for long-term projects
■ Link price to material and personnel cost indices
■ Formula proposed by VDMA (association of
mechanical and plant engineering industry)
■ All indexes are publicly available and are published
monthly
Applied in large contracts since 2022
Price escalation clauses formular
=
Price P0 x (Share of labor cost x L1/LO +
Share of purchased parts x M1/M0 +
Share of raw material1 x Sa1/Sa0 +
Share of raw material2 + Sb1/Sb0 + ...)
PO: Price at time of order negotiations;
LO,L1,MO,M1,Sa0, Sa1,...: Index at time of order negotiation and cost incurrence
Large contracts at Paint and Final Assembly Systems include price escalation clauses
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© Dürr AG, CCI, Investor Relations Presentation, May 2024
DÜRR GROUP.
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