In addition to the acquisitions and disposals cited in Note 2, the following significant transactions affected the Group’s net assets, financial position and results of operations in financial year 2007:

As a result of the 2008 corporate tax reform, the nominal rate of income tax applying to German Group companies was reduced from 39.9% to 29.8% (corporation tax and solidarity surcharge 15.8%, municipal trade tax 14%). As the amount of deferred tax liabilities reported by German Group companies is considerably higher than the amount of deferred tax assets reported, remeasurement in financial year 2007 resulted in a tax benefit of around €188 million.

The sale of the Deutsche Postbank Group’s insurance companies resulted in a deconsolidation gain amounting to €391 million. This was offset by losses from the sale of low-interest securities (€–183 million), additional portfolio optimisation measures, transaction costs, write-downs in connection with the subprime crisis (€–112 million), extraordinary effects relating to administrative expenses and non-recurring effects in net interest income, resulting in a net effect of €–25 million.

In December 2007, an impairment loss of €594 million was recognised in respect of the non-current assets of the EXPRESS Americas cash-generating unit, which were written down to their fair value less costs to sell.

The table below presents an overview of the significant non-recurring effects in financial year 2007 (at Group level):