The following information is part of the consolidated financial statements as of 31 December 2003, which were audited and issued with an unqualified certificate by KPMG Deutsche Treuhand AG, Wirtschaftprüfungsgesellschaft.

Consolidated Statement of Changes in Shareholders' Equity

The accompanying notes are an integral part of the Consolidated Financial Statements.

 
Statement of Changes in Shareholders' Equity
in € m. 2003 2002 2001
Common shares      
Balance, beginning of year 1,592 1,591 1,578
Common shares distributed under employee benefit plans – 1 13
Retirement of common shares (102) – –
Balance, end of year 1,490 1,592 1,591
Additional paid-in capital      
Balance, beginning of year 11,199 11,253 10,876
Common shares distributed under employee benefit plans – 21 462
Net losses on treasury shares sold (36) (129) (85)
Other (16) 54 –
Balance, end of year 11,147 11,199 11,253
Retained earnings      
Balance, beginning of year 22,087 22,619 23,331
Net income 1,365 397 167
Cash dividends declared and paid (756) (800) (801)
Net losses on treasury shares sold (386) – –
Retirement of common shares (1,801) – –
Other (23) (129) (78)
Balance, end of year 20,486 22,087 22,619
Common shares in treasury, at cost      
Balance, beginning of year (1,960) (479) (119)
Purchases of shares (25,464) (30,755) (37,032)
Sale of shares 23,903 28,441 36,090
Retirement of shares 1,903 – –
Treasury shares distributed under employee benefit plans 647 833 582
Balance, end of year (971) (1,960) (479)
Equity classified as obligation to purchase common shares      
Balance, beginning of year (278) – –
Additions (2,911) (330) –
Deductions 879 52 –
Balance, end of year (2,310) (278) –
Share awards – common shares issuable      
Balance, beginning of year 1,955 1,666 1,883
Deferred share awards granted, net 888 1,098 487
Deferred shares distributed (647) (809) (704)
Balance, end of year 2,196 1,955 1,666
Share awards – deferred compensation      
Balance, beginning of year (1,000) (767) (1,016)
Deferred share awards granted, net (888) (1,098) (487)
Amortization of deferred compensation, net 646 865 736
Balance, end of year (1,242) (1,000) (767)
Accumulated other comprehensive income (loss)      
Balance, beginning of year (3,604) 4,310 7,150
Reversal of 1999/2000 credits for tax rate changes 215 2,817 995
Change in unrealized net gains on securities available for sale , net of applicable tax and other 1,781 (9,123) (3,919)
Change in unrealized net gains/losses on derivatives hedging variability of cash flows, net of tax (4) 2 (1)
Change in minimum pension liability, net of tax 8 (8) –
Foreign currency translation, net of tax (990) (1,602) 85
Balance, end of year (2,594) (3,604) 4,310
Total shareholders' equity, end of year 28,202 29,991 40,193