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Bayer Group Consolidated Statements of Income

	Note	2007	2008
		€ million	€ million
Net sales	[7]	32,385	32,918
Cost of goods sold		(16,352)	(16,456)
Gross profit		16,033	16,462

Selling expenses	[8]	(7,782)	(8,105)
Research and development expenses	[9]	(2,578)	(2,653)
General administration expenses		(1,772)	(1,649)
Other operating income	[10]	822	907
Other operating expenses	[11]	(1,569)	(1,418)
Operating result [EBIT]		3,154	3,544

Equity-method loss	[13.1]	(45)	(62)
Non-operating income		834	589
Non-operating expenses		(1,709)	(1,715)
Non-operating result	[13]	(920)	(1,188)

Income before income taxes		2,234	2,356

Income taxes	[14]	72	(636)

Income from continuing operations after taxes		2,306	1,720

Income from discontinued operations after taxes	[6.3]	2,410	4

Income after taxes		4,716	1,724
of which attributable to non-controlling interest	[15]	5	5
of which attributable to Bayer AG stockholders (net income)		4,711	1,719

Earnings per share (€)

From continuing operations	[16]
Basic*		2.91	2.22
Diluted*		2.91	2.22

From discontinued operations	[16]
Basic*		2.93	-
Diluted*		2.93	-

From continuing and discontinued operations	[16]
Basic*		5.84	2.22
Diluted*		5.84	2.22
* The ordinary shares to be issued upon conversion of the mandatory convertible bond are treated as already issued shares.