The Chr. Hansen Group has consisted of two business units for a number of years: the Ingredients Sector and the Allergy Sector. In the autumn of 2004, the Board of Directors announced the intention to divest the Ingredients Sector. In April 2005, the Board of Directors announced that a binding agreement had been concluded with PAI partners, a French private equity fund, regarding the sale of the Ingredients Sector for DKK 8.2 billion on a cash and debt-free basis.

The divestment was made with accounting effect as from July 29, 2005, and the transaction has consequently had a significant impact on the financial statements for 2004/05. In addition to the gain after tax on the divestment, made up at DKK 4.2 billion, the Ingredients Sector was only consolidated in the income statement for 11 months, and the balance sheet was reduced and now solely comprise the assets and liabilities of the continuing business.

As in previous years, note 33 to the financial statements discloses information on the results, balance sheets and investments of the two sectors. In order to establish a comparative basis for the 2005/06 forecasts, the annual report this year includes the income statement of the continuing business.