<PAGE>

                  ______________________________________________________________
                  Report of the Chairman of the Board of             Exhibit 10
                  Executive Directors

                  _______
                  The year 2000 brought a good recovery in revenues and income
                  growth. Revenues grew in all markets in which Oce is active.
                  Net income from ordinary activities in the 2000 financial year
                  went up from (Euro) 132 million in 1999 to (Euro) 152 million.
                  That is an increase of 15%. Net income from ordinary
                  activities in 1999 increased with 2% from (Euro) 129 million
                  to (Euro) 132 million.

Growth            Overall, especially in the light of the market situation, the
                  business showed a solid development, based on a high-quality
                  range of products and services. In 2000 this range was further
                  expanded, with a role of growing importance for service,
                  software and consultancy.

                    Our company also responded to the favourable development of
                  the economy and the weaker euro, which had a positive
                  influence on the development of our results and our
                  competitive position.

                    Despite the negative effects that the exchange rate changes
                  had on competing suppliers based in the United States and
                  Japan, substantial (price) competition continued to exist,
                  especially in the office market. There was high pressure on
                  prices and margins in the office market, though this
                  specifically occurred in the lower volume segments. The high
                  volume segments, which Oce focuses on and in which the company
                  holds a strong position, were more stable. In addition, this
                  high volume segment is showing a growing need for business
                  services and consultancy. In wide format and production
                  printing, where price competition is lower, Oce holds a
                  leading position world-wide. In these markets, too, demand for
                  products and services, particularly in the areas of system
                  integration and consultancy, is on the increase.

Good condition    What the figures do not reflect are the radical changes that
                  are taking place within Oce to strengthen the organisation.
                  These changes will increasingly start to yield concrete
                  results in the years ahead. It is characteristic of the good
                  condition of our business that the offensive that has been
                  launched has found a broad basis of support and has been
                  accepted by many as a challenge. At Oce we are now in a phase
                  of dynamic development, which is marked by countless changes
                  and improvements in the organisation, by the strengthening of
                  our market position and, more than anything, by the series of
                  major steps that have been taken to initiate new activities
                  that customers expect from us.

                    In view of the situation in the markets on which Oce
                  operates and the problems that a number of competitors were
                  confronted with in 2000, the measures that have been taken are
                  in our view effective, timely and decisive.

                    During the year under review the restructuring operation,
                  which affected 1,000 jobs, was completed.

___
8
<PAGE>

                  ______________________________________________________________
                  Report of the Chairman of the Board of Executive Directors

                  ________
                  Strategy: reviewed and substantially refocused

                  Oce has achieved the positive results through a deliberately
                  chosen strategic positioning on the markets in which the
                  company is active. During 2000 the strategy for all activities
                  was reviewed and then refocused.

                    Oce's strategy is focused primarily on value creation and
                  therefore on enhancing the company's market value. As a result
                  of this the product offerings will be geared to products with
                  a high added value. High volume printers and copiers, colour
                  printers and colour copiers, software and the provision of
                  professional services will receive particular attention.

                    In all activities value creation will also be translated
                  into efforts to achieve the highest operational standard
                  (operational excellence). E-business will be optimally
                  deployed in all application areas. The successful
                  implementation of Oce's strategy will be accompanied by
                  investments, disposals, acquisitions and alliances and by an
                  ongoing strengthening of the quality of our personnel.

Investments       In all our markets the foregoing leads to sizeable investments
                  in the development of the software and services needed to
                  confirm Oce's position as a supplier of integrated management
                  systems for document flows. That position is essential for the
                  profitable growth of our company over the longer term.

                    The new generation of black-and-white and colour printers
                  will likewise require considerable investments and initial
                  costs. The construction of the new plant for speciality
                  consumables for colour printers is one example of this.

Tighter focus     Everything points to the fact that the document, as a clearly
                  arranged collection of information (both physical and digital)
                  will remain the formal means of communication. Oce seeks to
                  make the expensive processes relating to that document more
                  efficient, cheaper and faster. A number of years ago we had
                  already made the move from analogue to digital, a technology
                  that is seen as decisive for developments in our sector.
                  However, Oce also makes it possible for analogue and digital
                  products to operate alongside each other, which means that
                  costly investments by customers are not lost. Today our
                  digital machines, software and systems have become more and
                  more an integral part of the management of document flows
                  within (and increasingly often, also outside) an organisation.
                  As part of this approach our system consultants handle the
                  analysis, the design and the maintenance of the systems. In
                  addition to machines and service, consultancy and software are
                  the major new products that Oce is focusing on.

                    Illustrative of these developments are the disposals and
                  acquisitions. In the Netherlands and Switzerland a number of
                  manufacturing sites for (conventional) consumables were
                  closed down. The production units in Chateauroux and Guerande
                  (France) were transferred to third parties. Against that we
                  acquired the software business Computer Gesellschaft Konstanz
                  mbH (now called Oce Document Technologies GmbH) in Germany
                  and entered into a joint venture with Real Software Group N.V.
                  in Belgium. This means a strengthening for Oce in terms of
                  both advanced digital products and a wealth of know-how and
                  ICT development capacity.

___
9
<PAGE>

                  ______________________________________________________________
                  Report of the Chairman of the Board of Executive Directors


                  _________
Internet and      The possibilities offered by internet and e-business are being
e-business        extensively explored and in some instances are already being
                  exploited. There are many ways in which the web influences
                  Oce's sphere of operations, and in all cases the effects are
                  positive: as a generator of print volume, as an ever more
                  important communication channel, both internally in contacts
                  with customers (web-based support), and as an additional sales
                  channel for a number of specific products. For a certain
                  category of customers (job printers and copy shops) the web
                  also serves as a channel for transmitting assignments to Oce.
                  The enabling software is supplied by Oce.

                  The year under review was characterised by intensive efforts
                  to change and accelerate numerous business processes. Those
                  efforts were rewarded with success and are reflected in the
                  results. That is due in the first place to the dedication
                  shown by employees world-wide. Thanks to them the fast
                  restructuring operation, which has meanwhile been completed,
                  has yielded the anticipated result. We would like to express
                  our sincere appreciation for all those efforts.

                    We are grateful to customers, shareholders, suppliers and
                  partners for their continuing confidence in the route we are
                  taking and for their faith in the company's objectives.

                  R.L. van Iperen, chairman


___
10
<PAGE>

                  _____________________________________________________________
                  Report of the Board of Executive Directors

                  ________
                  Strategic outlook

                  The Report of the Chairman of the Board of Executive Directors
                  mentions value creation as the company's central strategic
                  objective. Value creation as described there implies that we
                  will respond to changes in the market by leveraging Oce's
                  leading position that it holds in the (sub-)markets in which
                  it operates.

                    The trends from analogue to digital, from black-and-white to
                  colour and from the supply of hardware to the provision of a
                  combination of hardware, software and services will determine
                  the strategic choices that are made. Besides, the borders
                  between our sub-markets will become more diffuse, largely due
                  to the far-reaching influence of software developments and the
                  internet.

                    During the year 2000 Oce mapped out its strategic route for
                  the years ahead. The present positioning of all Strategic
                  Business Units has been evaluated and refocused to deliver
                  greater value creation. For all activities objectives such as
                  growth in revenues and income and asset management have been
                  translated into concrete form. These objectives and the
                  emphasis placed on the underlying value drivers differ for
                  each activity, whilst the analyses that were applied clarify
                  the `why and how'.

                    Organisational changes will accompany these strategic
                  initiatives and extra attention will be devoted to
                  accelerating the supply of software and to improving the
                  service activities. For Facility Services and Imaging Supplies
                  activities organisational changes have been implemented to
                  ensure that these activities can perform to their full
                  potential. On a regional basis, too, activities will be
                  assessed as to their contribution. This relates to both front-
                  office and back-office activities.

                    In Oce's strategic vision machines will play a crucial role.
                  The new strategic products that will be brought to market are
                  therefore of vital importance. These introductions, together
                  with the strategic initiatives outlined above, will make
                  extremely high demands on the Oce organisation. Investments,
                  disposals, acquisitions and strategic alliances will also be
                  needed to achieve the sought-after result. Recruitment of new
                  personnel, further training and career monitoring are
                  essential and high requirements will be set for effective
                  system support.

                    The challenge is enormous but the choices are clear, as is
                  the conviction that Oce will take the strategic steps with
                  success.

                  _________
                  Results

                  Total revenues increased by 14% to (Euro) 3,224 million.
                  Autonomous growth accounted for 4% of this increase; the
                  contribution by exchange rate effects and acquisitions to the
                  increase in total revenues amounted to 8% and 2% respectively.
                  In the previous year net revenues increased by 3% to (Euro)
                  2,838 million. Excluding exchange rate effects (1%) and
                  acquisitions (1%) the increase amounted to 1%.

                    Operating income went up by 14% to (Euro) 282 million. Last
                  year operating income went up by 1% to (Euro) 248 million. On
                  a per share basis, basic earnings from ordinary activities
                  increased by 14% to (Euro) 1.76 (1999: (Euro) 1.54).
                  Expenditure on Research & Development increased by 19% to
                  (Euro) 199 million. This is equivalent to 6.2% of total
                  revenues (1999: (Euro) 167 million and 5.9% of total
                  revenues).

                    Gross capital expenditure on `Property, plant and equipment'
                  amounted to (Euro) 114 million (1999: (Euro) 115 million).
                  Depreciation and disposals worked out at a total of (Euro) 136
                  million (1999: (Euro) 124 million).

                    In the market for Wide Format Printing Systems Oce booked
                  total revenues of (Euro) 901 million, an increase of 15%.
                  Excluding acquisitions (3%) and exchange rate effects (9%),
                  revenues increased by 3%. In the previous year revenues went
                  up by 1% to (Euro) 782 million. After deduction of acquisition
                  (2.5%) and exchange rate
____
11
<PAGE>

                  ______________________________________________________________
                  Report of the Board of Executive Directors


                  _________
                  effects (1%) revenues decreased by 2.5%. This increase was
                  mainly attributable to successful sales of the Oce 9600 mid-
                  volume printer/copier and to the strong increase in revenues
                  from service and software. In addition to the growth in the
                  Technical Documentation Systems market, there was also strong
                  growth in Display Graphics, despite the fact that Oce's
                  participation in this market is still limited in size.

                    In the market for Document Printing Systems Oce's revenues
                  rose by 11% to (Euro) 1,551 million. After deduction of
                  exchange rate effects the increase in revenues amounted to 4%.
                  In the previous year revenues went up by 2% to (Euro) 1,399
                  million and exclusive exchange rate effects (1%) the increase
                  amounted to 1%. Revenues from analogue printing decreased, but
                  this decline was amply offset by the strong increase in
                  digital printing. Especially the Oce 31X5 family contributed
                  to this. In the Network Printing Solutions segment revenues
                  were favourably influenced by the increased interest in our
                  products for integral document management.

                    In the market for Production Printing Systems revenues grew
                  by 17% to (Euro) 772 million, of which 8% stemmed from
                  exchange rate effects and 4% from acquisitions. In 1999
                  revenues increased by 7% to (Euro) 657 million, of which 1%
                  was the result of exchange rate effects. In this market the
                  print volume increased strongly and revenues from service,
                  software and supplies also grew. In the Printing & Publishing
                  segment Oce's revenues rose by more than 50%, twice the rate
                  of the market growth.

                    Revenues in the Facility Services market increased by 48%
                  (1999: 34%). This increase occurred both in the United States
                  and in Europe.

                    While revenues were higher, the profitability of Imaging
                  Supplies came under pressure, chiefly because of an
                  accelerated phase-out of diazo materials and further
                  rationalisation of the range and the manufacturing and
                  logistics operations.

                  Dividend

                  For the 2000 financial year we propose to distribute a
                  dividend of (Euro) 0.58 1999: (Euro) 0.50) per ordinary share
                  of (Euro) 0.50 nominal. This dividend involves an amount of
                  (Euro) 49.5 million (1999: (Euro) 41.7 million). If the
                  General Meeting of Shareholders adopts this proposal the final
                  dividend will amount to (Euro) 0.43; the interim dividend
                  amounted to (Euro) 0.15. It is proposed to distribute the
                  final dividend fully in cash. The pay-out ratio of 33.4%
                  (1999: 32.4% before exceptional items) is at a level that we
                  consider necessary for a healthy and balanced financing of our
                  expansion.

                  Prospects

                  Oce has successfully completed the change-over from analogue
                  to digital and has grown to a leading company in the supply of
                  integrated document solutions for use in professional
                  environments. The launches of hardware and software products,
                  which started at the end of 2000 with the Oce DPS400, the Oce
                  TDS400 and the Oce TDS800, will form a solid basis for the
                  development of income in the years ahead. In 2001 the Oce
                  CPS700, the digital colour copier for the office environment,
                  will be shipped to market. This is the first product on the
                  market based on Oce's own colour technology.

                    Oce expects that the positive development in revenues and
                  income will be maintained in 2001 despite substantial costs
                  for the production start-up and market launch of new products
                  and barring unforeseen developments on the foreign exchange
                  and interest markets. This expectation is based on the
                  introduction of the above-mentioned products and on
                  continuation of the cost-control measures which proved
                  successful during the past year.

___
12
<PAGE>

                  ______________________________________________________________
                  Report of the Board of Executive Directors

                  ______
Yield objective   Oce seeks further improvement in the overall profitability of
                  the business through autonomous growth, acquisitions,
                  increased efficiencies and a reduction in capital intensity. A
                  return of 12% on total assets continues to be the medium-term
                  objective. In 2000 this return amounted to 9.3% (1999: 9.0%).

                  _______
                  Risk management

                  Oce is faced with the commercial and technological risks of a
                  company which specialises in the development, manufacture and
                  distribution of technologically advanced products on a global
                  scale. Oce concentrates on high-value professional markets in
                  which its unique technology allows the company to profile
                  itself clearly.

Market risks      Because of the fast-moving developments in technology and in
                  the markets in which Oce operates, the company has always
                  placed great emphasis on managing the residual value risks of
                  the Oce machines. To the extent that residual value risks
                  exist, they are mainly restricted to the lease/rental
                  portfolio in the office market. Oce has lowered the risk by
                  applying a clear and standard depreciation for all the
                  machines in the office market. Besides, the risk is limited
                  because the machines -- after a complete overhaul -- are given
                  a second useful lifetime.

                    Oce's broad technology base, the variety of markets on which
                  the company operates and its links, mostly on a long-term
                  basis, with highly diverse customer categories ensure also a
                  spread of the risks. The revenues from rentals, leases,
                  service and supplies, the highly diversified customer base and
                  the wide geographical spread of operations help to create
                  stability in the total revenue flow.

Technological     Oce has deliberately invested heavily in R&D in recent years.
risks             That has resulted in a range of self-developed core
                  technologies and products and highly market-focused
                  innovations in the area of applications, operating concepts
                  and improved environmental and safety features. Those core
                  technologies also encompass a number of unique components and
                  processes for new generations of printers and copiers for both
                  black-and-white and colour applications. Oce's own colour
                  technology for the office market will be launched in 2001. Oce
                  also holds a leading position in printer technology for
                  continuous-feed applications. In addition to its strengths in
                  hardware technology Oce has expanded, partly through
                  acquisitions and joint ventures, to become a software business
                  that develops programs and systems both for its own products
                  and for customers.

                    To guarantee the closest possible contact with the market,
                  service and sales employees are involved in the development of
                  hardware and software products at an early stage. Over the
                  course of the years this has steadily reduced the learning
                  curve further. In addition, recent changes in the way that
                  product development is steered have strongly boosted the
                  company's reaction speed and the flexibility of its response
                  to new circumstances and customer needs.

Foreign exchange  Oce achieves its revenues all over the world, with particular
risk              emphasis on Europe and the United States. A considerable
                  proportion of the costs are incurred in the currencies of the
                  sales areas (US dollar, euro and pound sterling). Oce also has
                  costs denominated in Japanese yen for the purchase of sub-
                  assemblies and products to complete its range.

                    As regards the revenues from service, the foreign exchange
                  risk is limited because most of the costs, consisting of the
                  payroll expenses of the service technicians, are in local
                  currency.

____
13
<PAGE>

                  ______________________________________________________________
                  Report Of The Board Of Executive Directors

                  ____________
                  The effects of exchange rate fluctuations over the long term
                  are offset as much as possible by conducting buying
                  activities, where possible, in those currency areas in which
                  the revenues are also achieved (matching principle) and by
                  raising the local added value content. In addition, endeavours
                  are made to offset the short-term consequences of foreign
                  exchange fluctuations by pursuing an active currencies
                  management policy. Oce applies a central foreign exchange
                  management policy and a defensive foreign currency policy
                  aimed at controlling the company's commercial and net asset
                  exposures in various currencies. For this purpose Oce uses a
                  number of financial instruments, particularly forward foreign
                  exchange contracts. The policy and the plans based on it are
                  implemented in close consultation with the Board of Executive
                  Directors.

Interest rate     Most of the interest revenues originate from market placements
risks             of machines under financial lease contracts. Financial lease
                  contracts usually comprise a fixed interest which corresponds
                  to the rates charged by external leasing businesses. These
                  contracts are mainly financed by interest-bearing capital
                  whose interest rate is generally fixed in line with the
                  duration of the contracts.

                    The interest rate policy is largely executed centrally at
                  corporate level through the use of financial instruments.
                  Implementation of this policy, which is subject to strict
                  rules, likewise takes place in close consultation with the
                  Board of Executive Directors.

Euro              Since 1999 Oce has been in a position to conclude contracts in
                  euros. For the benefit of the operating companies a conversion
                  program has been prepared which they can use to adapt their
                  accounting system rapidly if they decide to switch over to the
                  new currency. In general Oce is ready to use the euro.
____
14
<PAGE>

                              __________________________________________________

                              Report of the Board of Executive Directors/Finance



                              _____

                              Financial review

 Total revenues               In 2000 total revenues rose by 14% to (Euro) 3,224
                              million. Autonomous revenue growth was 4%.
                              Exchange rates and acquisitions had a positive
                              effect on revenues of 8% and 2% respectively. In
                              1999 revenues increased by 3% to (Euro) 2,838
                              million. Disregarding acquisitions (1%) and
                              exchange rate effects (1%), the increase in
                              revenues amounted to 1%. Revenues from sales were
                              (Euro) 1,893 million, 15% higher than in the
                              previous year (1999: no increase as revenue was
                              only (Euro) 1 million higher with (Euro) 1,647
                              million). Earnings from rental and service rose by
                              11% to (Euro) 1,216 million (1999: 7% to (Euro)
                              1,091 million). Interest income from financial
                              leases increased by 15% to (Euro) 115 million
                              (1999: 11% to (Euro) 100 million).

                                 The growth in revenues was influenced not only
                              by favourable exchange rate effects but also by
                              higher revenues from facility services. Facility
                              Services activities now account for 9% of
                              revenues, as compared to 7% in 1999. The share of
                              digital in total earnings climbed from 51% in 1999
                              to 54% in 2000. Calculated as a percentage of
                              total revenues from machines and the related
                              earnings from software and service -- i.e.
                              excluding Imaging Supplies -- the share of digital
                              increased to 63% (1999: 60%).

 Gross margin                 As a percentage of total revenues the gross margin
                              was 41.8% (1999: 42.8% and 1998: 42.5%). The
                              principal reasons for the decrease in 2000 are:

                            _ the growing importance of Facility Services in
                              total revenues; Facility Services has a lower
                              gross margin than Oce's other activities, but it
                              also has a different operational cost structure;

                            _ exchange rates effects; the results of the hedging
                              policy pursued are included in the margin.
                                 Both these factors had an almost equal impact
                              on the decrease in gross margin.
                                 The average interest realised on the lease
                              portfolio amounted to 10.5% (1999: 10.4% and 1998:
                              10.5% In the financial lease contracts the
                              interest percentage is fixed for the entire
                              duration of the contracts.

 Operating income             Operating income increased by 14% to (Euro) 282
                              million (1999: (Euro) 248 million and 1998: (Euro)
                              245 million). This is equivalent to 8.8% of total
                              revenues (1999: 8.7% and 1998: 8.9%) and
                              corresponds to 9.3% of the average balance sheet
                              total (1999: 9.0% and 1998: 9.6%). This was
                              achieved because the increase in operational costs
                              remained limited thanks to stringent cost control
                              and the restructuring programme implemented in
                              2000.

 Research & Development (R&D) Spending on R&D rose to (Euro) 199 million (1999:
                              (Euro) 167 million and 1998: (Euro) 155 million),
                              which corresponds to 6.2% of total revenues
                              (1999: 5.9% and 1998:

[GRAPH: Total Revenues x (Euro) million]
[GRAPH: Operating income x (Euro) million]

----
 19
<PAGE>

          ______________________________________________________________________

           Report of the Board of Executive Directors/Finance

<TABLE>
<CAPTION>
           -------             ----------------    ----------------    ---------------

           Development of      2000                1999                1998
           total revenues by   -------   -------   -------   -------   -------   -------
           Strategic           total revenues as % total revenues as % total revenues as %
           Business Unit       x (Euro) million    x (Euro) million    x (Euro) million

           -------             -------   -------   -------   -------   -------   -------
           <S>                 <C>        <C>       <C>      <C>       <C>       <C>
           Wide Format
           Printing Systems        901        28       782        28       772        28
           Document
           Printing Systems      1,551        48     1,399        49     1,367        50
           Production
           Printing Systems        772        24       657        23       614        22
                               -------   -------   -------   -------   -------   -------

           Total                 3,224       100     2,838       100     2,753       100
           -------             -----------------   -----------------   -----------------

           Total revenues      2000                1999                1998
           by geographical     -------   -------   -------   -------   -------  --------
           areas               total revenues as % total revenues as % total revenues as %

                               x (Euro) million    x (Euro) million    x (Euro) million
           -------             -------   -------   -------   -------   -------  --------

           Germany                 405        13       383        13       383        14
           France                  220         7       213         8       214         8
           United Kingdom          219         7       210         7       207         7
           Netherlands             260         8       219         8       200         7
           Rest of Europe          595        18       582        21       567        21
           United States         1,287        40     1,049        37     1,018        37
           Rest of the world       238         7       182         6       164         6
                               -------   -------   -------   -------   -------  --------
           Total                 3,224       100     2,838       100     2,753       100
</TABLE>


           5.6%). In 2000 no repayment liability in respect of development
           credits was added to R&D expenditure. As from the end of 2000 the
           only repayment liabilities that may arise are dependent on the
           success of the colour printer which is still to be introduced. During
           2000 a subsidy of a maximum of (Euro) 22.7 million was approved by
           the European Commission for the development of a pioneering colour
           technology for wide format applications. An amount of (Euro) 7
           million was included in the results for 2000 (1999: (Euro) 5
           million); this is 24% of the costs incurred for this project over the
           past financial year.

               [GRAPH: Operating income as % of total revenues]

               [GRAPH: Research & Development x (Euro) million]

___
19
<PAGE>

                              __________________________________________________

                              Report of the Board of Executive Directors/Finance

                              _____

 General administrative and   The general administrative and selling expenses
 selling expenses             increased from (Euro) 793 million in 1999 to
                              (Euro) 877 million (+10.6%). In 1999 these costs
                              increased by 5% compared with 1998. Expressed as a
                              percentage of total revenues these expenses
                              decreased to 27.2% (1999: 27.9% and 1998: 27.4%).

 Financial expense (net)      Financial expense (net) -- the balance of interest
                              paid and other interest received -- increased from
                              (Euro) 59 million in 1999 to (Euro) 61 million in
                              2000. In the previous year financial expense (net)
                              went down with (Euro) 2 million to (Euro) 59
                              million. Based on an average interest rate of 5.3%
                              (1999: 5.1% and 1998: 5.6%) the average interest-
                              bearing capital increased by (Euro) 53 million.
                              This is largely due to foreign exchange effects
                              (particularly the conversion of USD loans) and to
                              the increase in the financial lease receivables.
                              Interest income from financial leases amounted to
                              (Euro) 115 million in 2000 (1999: (Euro) 100
                              million and 1998: (Euro) 90 million).

 Income taxes                 The average taxation charge amounted to 30.3%
                              (1999 and 1998 both 29.0%). A further gradual
                              increase in tax rate is expected in the years
                              ahead.

 Net income                   Net income from ordinary activities increased by
                              15% to (Euro) 152 million. In the previous year
                              net income before exceptional items increased by
                              2% to (Euro) 132 million. This corresponds to
                              16.8% of the average shareholders' equity (1999:
                              (Euro) 132 million and 17.1%). As a percentage of
                              total revenues, net income amounted to 4.7% (1999:
                              4.6% before exceptional items and 1998: (Euro)
                              1.53). Basic earnings per share, calculated on
                              the basis of the average number of ordinary shares
                              outstanding, increased by 14% to (Euro) 1.76
                              (1999: (Euro) 1.54 before exceptional items and
                              1998: (Euro) 1.53).

                                  The net income attributable to the holders of
                              ordinary shares, i.e. after deduction of the
                              dividend on financing preference shares, increased
                              to (Euro) 148 million (1999: (Euro) 73 million
                              after exceptional items and 1998: (Euro) 125
                              million).

                              _____

                              Commercial and financial activities

                              Oce's activities are characterised by a
                              combination of commercial and financial services,
                              each with their own income profile and balance
                              sheet characteristics.

                                  In assessing the financial position of the
                              Company as a whole, a distinction must be made
                              between these two types of activities. As
                              indicated below, the assessment criteria for both
                              activities differ widely. The revenue from
                              financial activities is formed by the interest
                              from financial leases. The costs comprise the
                              costs of financing the lease portfolio and the
                              selling and administrative expenses. Where the
                              financial activities are financed from interest-
                              bearing capital, it has been assumed that this has
                              been done fully on a fixed interest basis.

                                  The costs of financing are then allocated on
                              the basis of the average amount of fixed interest-
                              bearing capital. For the selling and
                              administrative expenses, including provisions for
                              doubtful debtors, a cost level has been applied
                              which corresponds to that of external `captive'
                              lease companies with similar activities. After
                              expiry of the lease contracts the machines,
                              provided they have not been written off in full,
                              are transferred to the commercial activities at
                              their residual book value.

                                  For the financing of the financial activities
                              a ratio of 0.15 between the equity and the balance
                              sheet total is used. This ratio is derived from
                              `captive' companies in the financial services
                              industry which publish their own annual accounts.
                              Under this method the remaining part of the equity
                              is allocated to the commercial activities.

                                  The table on the next page gives a breakdown
                              of the salient financial figures for the two
                              company activities. The figures have been calcuted
                              on the basis of consistent assumptions that have
                              remained unchanged for a number of years.

                                  Net income from the commercial activities
                              increased last year by 14%. For the financial
                              activities the average interest from financial
                              leases was maintained at its high level of 1999.

                              ____

                              20
<PAGE>

<TABLE>
<CAPTION>
               --------------------------------------------------------------------------------------------------------
               Report of the Board of Executive Directors/Finance


               -----------                                    ----------          ----------         ------------------
                                                              2000                1999               x(Euro)million
               -----------                                    ----------          ----------         ------------------
               <S>                                            <C>                 <C>                <C>
               Commercial
               Revenues                                            3,109               2,738
               Gross margin                                        1,234               1,115
               Operating income                                      200                 177
               Financial expense (net)                                13                  15
               Result before taxation                                187                 162
               Income taxes                                           57                  47
               Result after taxation                                 130                 115
               Net income                                            128                 112

               Shareholders' equity                                  809                 659
               Minority interest                                      42                  42
                                                              ----------          ----------
               Group equity                                          851                 701
               Interest-bearing liabilities                          200                 288
               Provisions and other liabilities                      905                 870
                                                              ----------          ----------
               Balance sheet total                                 1,956               1,859

               Ratios
               Operating income as % of average
               balance sheet total                                  10.5                10.0
               Net income as % of average
               shareholders' equity                                 17.4                18.1
               Shareholders' equity as % of
               balance sheet total                                  41.4                35.5

               Financial
               Interest from financial leases                        115                 100
               Selling and general administrative expenses            32                  29
               Financial expense (net)                                48                  44
               Result before taxation                                 35                  27
               Income taxes                                           11                   8
               Result after taxation                                  24                  19

               Shareholders' equity                                  180                 159
               Interest-bearing liabilities                        1,019                 898
                                                              ----------          ----------
               Balance sheet total                                 1,199               1,057

               Ratios
               Interest from financial leases as % of
               average balance sheet total                          10.2                10.0
               Net income as % of average
               shareholders' equity                                 14.3                12.6
               Shareholders' equity as %
               of balance sheet total                               15.0                15.0
</TABLE>

            _____
            21


<PAGE>

                            __________________________________________________
                            Report of the Board of Executive Directors/Finance


                            __________

                            Use of funds and finance

Gross capital expenditure   In 2000 Oce's gross capital expenditure on
                            `Property, plant and equipment' amounted to (Euro)
                            114 million (1999: (Euro) 115 million).
                            An amount of (Euro) 136 million (1999: (Euro) 124
                            million) was released from depreciation and
                            disposals.

<TABLE>
<CAPTION>
                            ----------          ----------------------------------------    ------------------------------------
                            Geographical        2000                                        1999
                            spread of assets    ----------------         ---------------    ----------------         -----------
                                                x (Euro) million         as %               x (Euro) million         as %
                            ----------          ----------------         ---------------    ----------------         -----------
                            <S>                 <C>                      <C>                <C>                      <C>
                            Germany                          489                      15                 478                  17
                            Netherlands                      597                      19                 505                  17
                            United Kingdom                   252                       8                 254                   9
                            France                           180                       6                 204                   7
                            Rest of Europe                   431                      14                 449                  15
                            United States                  1,066                      34                 884                  30
                            Rest of the world                140                       4                 142                   5
                                                  --------------          --------------     ---------------         -----------
                            Total                          3,155                     100               2,916                 100

</TABLE>

Rental equipment and        The book value of rental equipment decreased by
financial lease             (Euro) 24 million to (Euro) 233 million (a decrease
receivables                 of 9%). In 1999 the book value of rental copying
                            equipment increased by (Euro) 17 million to (Euro)
                            257 million (an increase of 7%). The capitalised
                            value of financial lease receivables (including
                            short term accounts receivable) increased from
                            (Euro) 1,026 million in 1999 to (Euro) 1,175 million
                            (an increase of 15%). In 1998 compared with 1997 the
                            financial lease receivable increased by 13% to
                            (Euro) 1,026 million. The aggregate value of rental
                            equipment and financial lease receivables went up by
                            10% and represented 44.6% of the balance sheet total
                            (1999: 44.0%).

                               The balance sheet value of rental equipment is
                            calculated on the basis of the all-in costs, less
                            depreciation. Financial lease receivables are valued
                            at the net present value of the contracted lease
                            instalments plus the residual value. Both these
                            valuations give only a partial reflection of the
                            economic significance of the population of machines
                            installed on rental and on lease. A better
                            assessment can be obtained by comparing the balance
                            sheet value of rental equipment and financial lease
                            receivables with their

[GRAPH: Rentals and leases x (Euro) million]

[GRAPH: Contracted cash inflows x (Euro) million]

________

22
<PAGE>

_______________________________________________________________________________
Report of the Board of Executive Directors/Finance

<TABLE>
<CAPTION>
                                   ______________                            _______________    ____________     _________________

                                                                               2000              1999              x(Euro)million
                                   ______________                            _______________    ____________     _________________

                                  <S>                                               <C>             <C>           <C>
                                   Contractual cash inflows from:
                                   Rental contracts                                      448            508
                                   Financial leases and the related
                                   service contracts                                   2,190          2,063
                                                                                  ----------       --------
                                   Total                                               2,638          2,571

                                   Balance sheet value of:
                                   Rental contracts                                      234            257
                                   Financial lease receivables                         1,175          1,026
                                                                                  ----------       --------
                                   Total                                               1,409          1,283

</TABLE>
                              economic value, which consists of the cash inflows
                              expected to be generated on a contract basis.

                                        As the above table shows, the population
                               of rented and leased machines and the related
                               service contracts generate a gross cash flow
                               which is about 1.9 times (1999: 2.0 times and
                               1998: 1.9 times) higher than their balance sheet
                               valuation. The average remaining duration of the
                               lease contracts is about three years and that of
                               the rental contracts is about one-and-a-half
                               years. The contractual revenue from rentals,
                               service and financial leases forms a stable basis
                               for the future. The rental equipment and
                               financial lease receivables also have a high
                               liquidity value.
                                         The cash flows generated by rentals,
                               financial leases and service also contribute to
                               the company's financial strength. To illustrate
                               this, the table on page 24 shows the relationship
                               between the cash flows expected to arise from the
                               rental, financial lease and service contracts
                               existing at balance sheet date and the total
                               interest-bearing capital. The contractual cash
                               flows have been reduced for this purpose by
                               subtracting the relevant cash outflows. The
                               latter consist of the estimated service costs and
                               financial expenses that have to be incurred
                               during the subsistence of the rental and
                               financial lease contracts. Calculated on this
                               basis, the net resultant cash flow from rentals,
                               financial leases and service exceeds the total
                               interest-bearing capital by 37% (1999 year end:
                               36% and 1998 year end: 28%).


Interest-bearing capital       At the 2000 year end the interest-bearing capital
                               amounted to (Euro) 1,220 million (1999 year end:
                               (Euro) 1,187 million). Of this amount, (Euro) 854
                               million (70%) had been taken out over the long
                               term (1999: (Euro) 884 million).

Group equity                   Group equity increased to (Euro) 1,031 million
                               (1999: (Euro) 860 million and 1998: (Euro) 766
                               million). This increase was the result of
                               earnings retained (+(Euro) 99 million), foreign
                               currency translations (+ (Euro) 61 million),
                               optional stock dividend (+ (Euro) 12 million),
                               conversion of debentures (+ (Euro) 4 million),
                               goodwill paid upon acquisitions (-(Euro) 2
                               million) and other movements (-(Euro) 3
                               million).

                                       Group equity as a percentage of the
                               balance sheet total amounted to 32.7% (1999: 29.
                               5% and 1998: 29.2%). Including the convertible
                               subordinated guilder debenture loan, which will
                               mature in June 2001 and whose conversion price is
                               lower than the share price, this ratio amounted
                               to 32.9% (1999: 29.8% and 1998: 29.7%). This
                               ratio between interest-bearing borrowings and
                               Group equity was 118:100 (1999: 138:100 and
                               141:100 in 1998).

------

23
<PAGE>

                   ____________________________________________________________
                    Report of the Board of Executive Directors / Finance

<TABLE>
<CAPTION>

                               _____________                            __________________     _______________    ________________
                                                                         2000                    1999              x(Euro)million
                               _____________                            __________________     _______________    ________________
                               <S>                                      <C>                    <C>                <C>
                               Contractual cash inflows from:
                               Rental contracts                                        448                 508
                               Financial leases and the related
                               service contracts                                     2,190               2,063
                                                                               -----------         -----------
                               Total                                                 2,638               2,571

                               Expected cash outflows from:
                               Operational cash flows                                  830                 845
                               Financial expense (net)                                 131                 108
                                                                               -----------         -----------
                               Total                                                   961                 953



                               Expected net cash flows                               1,677               1,618
                               Interest-bearing capital                              1,220               1,187
                               Surplus as a %                                           37                  36      percentage
</TABLE>


                               The shareholders' equity per ordinary share,
                               calculated on the basis of the average number of
                               ordinary shares outstanding at the end of the
                               financial year, amounted to (Euro) 10.91 (1999
                               and 1998: (Euro) 9.14 and (Euro) 8.09
                               respectively).


 Cash flow                     Cash flow from operating activities amounted to a
                               positive (Euro) 39 million in 2000, compared with
                               a positive (Euro) 53 million in 1999 and a
                               positive (Euro) 77 million in 1998. The lower
                               outcome of 2000 is mainly attributable to the
                               negative change of long term liabilities while on
                               the other hand net income increased strongly. The
                               detoriation in 1999 compared with 1998 can be
                               attributed mainly to the decrease of net income.
                                   Investing activities required a cash outflow
                               of (Euro) 58 million which is (Euro) 32 million
                               less compared with 1999. This development is
                               caused by lower needs for acquisitions while the
                               proceeds from sale of property increased with
                               (Euro) 15 million.
                               By comparison in 1999 the net cash outflow
                               of(Euro) 90 million was approximately (Euro) 61
                               million less than in 1998. This reflects the
                               lower consideration for acquisitions.
                                   The needs of the financing activities were
                               decreasing with (Euro) 54 million from (Euro) 63
                               to (Euro) 9 million as the repayment of long term
                               debt was approximately(Euro) 47 higher than the
                               proceeds from newly acquired long term debt. In
                               1999 the cash flow from financing activities were
                               stable, (Euro) 64 million, compared with 1998.


                                           [Graph: Dividend per share amounts in
                                            euro per 0.50 ordinary shares]


___________

24
<PAGE>

                    ____________________________________________________________

                    Report of the Board of Executive Directors / Finance

<TABLE>
<CAPTION>
                               _________                              ----------------    -----------   ------------------------

                                                                       2000                1999          x(Euro) million

                               _________                              ----------------    -----------   ------------------------
                               Investments in:
<S>                                                                   <C>                 <C>           <C>
                              Property, plant and equipment (net)                   65             81
                              Rental equipment (net)                                80            107
                              New financial lease receivables                      520            446
                                                                      ----------------    -----------

                              Total                                                665             634
</TABLE>


 Credit facilities            At the end of the financial year a total of(Euro)
                              906 million (1999: (Euro)702 million) of unused
                              credit facilities were available to the Oce Group,
                              the greater part of which are in the form of
                              multi-year stand-by credit contracts.

                              ________

                              Financial leases

                              In the markets in which Oce operates, financing is
                              an essential component of the product offering. By
                              actively offering this possibility, therefore, the
                              company takes on the role of a one stop supplier.
                              Oce offers financing via lease programmes tailored
                              to meet the specific wishes of each customer.

                                  This one stop shopping concept has advantages
                              for both the customer and Oce. For Oce it means
                              that the constant flow of revenues from
                              maintenance and supplies is accompanied by a
                              relatively constant and profitable inflow of
                              interest earnings.

                                  Oce's strength lies in the combination of
                               leasing and the possibilities for remarketing
                               after expiry of the contract. The company
                               operates remanufacturing and remodelling
                               programmes which extend the technical and
                               economic lifetimes of its machines. As a result
                               Oce can keep its machines on the market for
                               longer periods, both via contract extension and
                               via placement with other customers.

                                  The debtors risk is slight, not only thanks to
                               the spread of customers across many customer
                               categories in many countries and the close
                               relationship that exists with customers via the
                               provision of technical service, but also because
                               Oce can realise the value of the machines when
                               they are remarketed.

[GRAPH: Investments x (Euro) million]

--
25
<PAGE>

                         _______________________________________________________
                         Report of the Board of Executive Directors/Finance


                         ________

Funding                  Since almost all lease contracts are based on an
                         interest rate that is fixed for their entire duration,
                         it is Oce's policy to finance its lease portfolio
                         predominantly with interest-bearing capital, with the
                         interest rate generally being fixed in line with the
                         duration of the contracts (matching principle) so as to
                         safeguard the interest spread during the full
                         contractual period.

Accounting               The lease programmes that Oce offers can be split into
                         financial leases and operational leases. The latter
                         type are also referred to as rentals. In the case of
                         financial leases the economic risk passes to the
                         customer. The duration of these lease contracts is
                         three to six years and is usually equal to and
                         sometimes longer than the depreciation period
                         applicable to the relevant machines. As a result, the
                         residual value risk is limited.
                              At the moment when the financial lease contract is
                         signed, the selling price of the machine is recorded as
                         revenue in the form of the net present value of the
                         financial lease instalments. During the subsistence of
                         the contract the interest received is booked to
                         revenue. Revenues from maintenance and service are
                         accounted for separately.
                              Machines for which an operational lease contract
                         has been concluded are rented to customers for
                         durations of, normally, one to three years. In these
                         contracts the rental instalments are included in
                         revenue for the reporting period in which they fall
                         due. The rental instalments represent a fee to cover
                         the cost of use, servicing and interest.
                               In 2000 50% (1999: 48% and 1998: 47%) of all
                         direct sales of machines were installed on the basis of
                         financial leases. In Document Printing Systems this
                         percentage was considerably higher than in Wide Format
                         Printing Systems and Production Printing Systems.
                               Interest income from financial leases went up by
                         15% to (Euro) 115 million (1999: (Euro) 100 million and
                         1998 (Euro) 90 million). The balance sheet value of the
                         financial lease receivables increased by 15% to (Euro)
                         1,175 million and represented 37% of the total invested
                         capital at the 2000 year end (1999 and 1998 year end:
                         both 35%). The aggregate balance sheet value of
                         financial and operational leases rose by 10% to (Euro)
                         1,409 million and amounted to 44.6% of the total
                         invested capital at the 2000 year end (year end 1999
                         and 1998: 44% and 43.8% respectively).
                               In view of the average interest rate of 10.5%
                         (1999: 10.4% and 1998: 10.5%) achieved on the lease
                         portfolio, financial leases make a good contribution to
                         the result. The return on financial leases represents
                         14.3% (1999: 12.6% and 1998: 10.9%) of average
                         shareholders' equity.


External lease partners  In a number of smaller markets efforts will be made in
                         the years ahead to transfer the local lease portfolio
                         to external lease partners. The reason for this is that
                         the small size of these individual portfolios does not
                         warrant the build-up of the specific local knowledge
                         and expertise. These measures, potentially affecting
                         some 20 countries, will require thorough preliminary
                         study, also because this should preferably not lead to
                         negative consequences for the customers.


________

26
<PAGE>

<TABLE>
<CAPTION>
                      --------------------------------------------------------------------------------------------------------------
                      Report of the Board of Executive Directors/Operational developments

                      -----------------------  --------------------   ----------------------------    ------------------------------

Markets and products  Strategic Business Unit  Business Group         Markets                         products/services

                      --------------------------------------------------------------------------------------------------------------
<S>                   <C>                      <C>                    <C>                             <C>
                      WFPS-Wide Format         TDS-Technical          Technical environments, such    Series LV, MV, HV large format
                      Printing Systems         Documentation          as design engineering offices,  printers/copiers, scanners,
                                               Systems                manufacturing and construction  folders.
                                                                      companies, job printers,        Scanning, printing and
                                                                      architectural design offices.   archiving software.
                                               -------------------------------------------------------------------------------------
                                               DG-Display             Printing sector.                Wide format colour printers
                                               Graphics               Full colour posters and other   and scanners.
                                                                      wide format printed matter in   Raster Image Processor (RIP),
                                                                      colour.                         copying and scanning software.
                                                                      Wide format print shops and
                                                                      copy shops.
                      --------------------------------------------------------------------------------------------------------------
                      DPS-Document             DP-Document            Office environments.            Series LV, MV, HV and VHV
                      Printing Systems         Printing               Central repro departments.      copiers/printers/scanners.
                                                                      Electronic Data Processing      Server software. Application
                                                                      environments.                   software.
                                                                      Print-for-pay market.
                                               -------------------------------------------------------------------------------------
                                               NPS-Network            Office environments.            Series MV, HV and VHV
                                               Printing Solutions     Central Repro departments.      printers.
                                                                      Electronic Data Processing      Copiers/printers/scanners.
                                                                      environments.                   Server software. Application
                                                                      Print-for-pay market.           software. Consultancy.
                      --------------------------------------------------------------------------------------------------------------
                      PPS-Production           EPP-Electronic         Banks. Insurance companies.     VHV continued feed printers
                      Printing Systems         Production Printing    Public utilities.               (PAGESTREAM) and cutsheet
                                                                      Electronic Data Processing      printers.
                                                                      environments.                   Application software.
                                                                                                      Consultancy.
                                               -------------------------------------------------------------------------------------
                                               P&P-Printing &         Printers.                       VHV printers and finishing
                                               Publishing             Publishers.                     equipment.
                                                                                                      Application software.
                                                                                                      Consultancy.
                                               -------------------------------------------------------------------------------------
                                               IS-Imaging Supplies    All relevant Oce markets,       Broad range of supplies.
                                                                      for both Oce and third-party    Wide format rolls.
                                                                      equipment.                      A4 white bulk. Specialities.
                                                                                                      Colour copier supplies.
                                                                                                      Toners.
                                               -------------------------------------------------------------------------------------
                                               FS-Facility Services   Companies.                      Document Management Services:
                                                                      Governments.                    consultancy and systems,
                                                                      (Local) authorities.            document creation,
                                                                      Non-profit organisations.       production, distribution,
                                                                                                      archiving.
</TABLE>

_______
30
<PAGE>

________________________________________________________________________________

Report of the Board of Executive Directors/Operational developments

______

Document and data

Over the past ten to fifteen years the document has played a central role in
Oce's activities. However, the significance of the document and the way in which
it is processed have changed. Whereas in the past Oce equipment was used to
reproduce a document and then distribute it, today a document is first
distributed via a network and only printed later - as and when needed. Paper
documents, static and basically nothing more than snapshots of information, had
until recently to be physically transported or transmitted by fax. Digital
documents, consisting of ordered yet still changeable information in the form of
data from various sources, now find their way via the rapidly expanding system
of computer networks. In the meantime the gap between electronic and physical
documents has been closed: scanners convert physical documents into digital
ones.

     Oce's activities have been strongly expanded in recent years, moving from
the manufacture and sale of stand-alone machines to the management of complete
document flows within an organisation. That relates to the production
(compilation), distribution (both physical and digital), reproduction (on
various carrier materials) and archiving (including retrieval) of documents in
the widest sense of the word. As a result, Oce is involved in the active
management of one of the critical success factors for effectiveness and
productivity in office and design engineering practice (more value for money).

     Databases have always formed the basis for Oce's products in the area of
high volume printing. By applying Oce's software and printing products,
companies can handle the round-the-clock processing of enormous and constantly
changing databases, e.g. containing policy conditions or telephone bills, to
produce personalised, ready-to-send documents.

     By using the same basic technology and dedicated software for big databases
it is also possible to produce single copies or small print-runs of technical
manuals, but also of books, educational publications, graphic art or newspapers.

______

Wide Format Printing Systems

Oce holds a leading position world-wide as a supplier of wide format printing,
copying and scan-to-file systems, mostly based on digital technology. The market
for these systems, Wide Format Printing Systems, is growing on average by 2 to
4% per year. Oce is expanding its range every year by adding new machines and
functional software and applications. Although Oce still supplies modern
analogue machines, around 90% of the placements and more than 74% (1999: 71%) of
the revenues (excluding Imaging Supplies) are digital. If supplies are included,
almost 49% of revenues (1999: 46%) relate to digital technology.

     During the year under review revenues of the Strategic Business Unit Wide
Format Printing Systems, including Supplies and Facility Services, increased by
15% from (Euro) 782 million to (Euro) 901 million. Excluding acquisitions and
exchange rate effects, revenues increased by 3%. In 1999 the revenue increased
by 1% from (Euro) 772 to (Euro) 782 million. After deduction of acquisitions and
the effect of exchange rate changes, revenues decreased by 2.5%.

     In terms of the number of placements the good level of 1999 was continued.
Profitability remained at a high level. During the year Oce presented new
machines and software products, which will again reinforce Oce's leading
position in this market in 2001 and 2002.

__

31
<PAGE>

                         _______________________________________________________

                         Report of the Board of Executive Directors/
                         Operational developments

                         ______

Technical Documentation  In the market area served by the Business Group
Systems                  Technical Document Systems the number of placements
                         of the Oce 9600 rose considerably. As had already
                         become apparent in 1999, the number of placements of
                         the Oce 9800 showed a slight decline in 2000. At the
                         beginning of 2001 the successor to this machine was
                         launched: the Oce TDS 800. This system, destined for
                         centralised wide format printing by job printers and
                         in-house production departments, is the world's most
                         productive wide format printer.

                              For the low end of the wide format market Oce
                         introduced the Oce 9300, the world's first wide format
                         LED printer based on the Oce 9400. Launched at the
                         start of 2000, this favourably priced model (comparable
                         in price to an inkjet printer) gives Oce an entry in a
                         market segment that was to date dominated by inkjet
                         machines.

                              The Oce 9400 itself, which still enjoys a high
                         level of placements, will be succeeded at the beginning
                         of 2001 by the Oce TDS400. This model for printing,
                         scanning and copying is intended for the decentralised
                         workplace. It can perform all forms of document
                         processing, from hard copying to the processing of
                         digital files. It is the first Oce printer to use the
                         original version of Adobe Post Script 3(TM) and PDF
                         (TM) and also the first wide format printer to offer a
                         resolution of 600 dpi.

                              In March 2001 the Oce TDS600 will be launched,
                         the new release of the Oce 9600. The machine, destined
                         for printing, scan-to-file and the finishing of
                         technical documents, will be the most flexible system
                         available on the wide format market.

                              Later in 2001 a further launch will be the
                         Oce TDS250, an improved low-end wide format printer.
                         This machine, featuring high print productivity, is
                         aimed at smaller technical work environments such as
                         architectural design offices.

Colour printers for the  In 2001 a new colour inkjet printer will become
CAD market               available. Intended for networked applications, this
                         printer is highly suitable for presentations, utility
                         drawings and geographical applications. Apart from
                         colour prints the printer also produces very good
                         black-and-white plots.

                              The intention is that the range will in future be
                         expanded to include machines manufactured entirely by
                         Oce on the basis of a new inkjet technology developed
                         in-house. This is a technology for the production of
                         prints in full colour, in a limited print-run and with
                         high quality definition.

Software                 The importance of software applications is growing
                         further; a series of new releases, including updates of
                         Engineering Exec and ReproDesk, have been added to the
                         range. Engineering Exec consists of a range of software
                         solutions for the effective printing and archiving of
                         technical documents. At the beginning of 2001 version
                         3.0 of this program will be released.

                              ReproDesk is online software for job preparation
                         and execution, providing an electronic link between the
                         job printer and his customers. Internet meanwhile also
                         plays a role in this area and Oce has responded to
                         that, not only with Oce-Net, but also via closer
                         cooperation with Buzzsaw. ReproDesk, which has now
                         become a standard in the wide format commercial
                         reprographics market, will become available on the
                         whole of the new TDS series in 2001.

                              The provision of complex system advice
                         (consultancy) to customers who want to make optimum use
                         of Oce equipment in their business processes is
                         increasing further in importance. Consultancy
                         activities and the sale of products in the form of
                         software already form a major source of earnings.

______

32
<PAGE>

                         _______________________________________________________

                         Report of the Board of Executive Directors/
                         Operational developments

                         ________

Display Graphics         For a number of years Oce has also been active in the
                         Display Graphics market, which is based on a similar
                         technology. This involves the production of wide format
                         colour prints on various materials and in relatively
                         small print-runs. Sales of machines and the related
                         supplies are growing rapidly, though the overall size
                         of this activity is still comparatively limited for
                         Oce. For this market Oce is provisionally using bought-
                         in engines which are equipped with Oce's own
                         controllers and application software. In the
                         year under review two new printers were added to the
                         range: the Oce CS5050 and the Oce CS5070. In 2001 the
                         Oce CS5090 will be introduced. This printer, which can
                         handle a maximum of eight colours, offers high quality,
                         flexibility and a colour reproduction of unrivalled
                         accuracy.

Japan                    As part of the further development of the Japanese
                         market following the acquisition of NS CalComp
                         Corporation, now called Oce-Japan Corporation, three
                         machines have been adapted to meet the specific wishes
                         and requirements of the Japanese market. The
                         introduction of these specifically tailored products
                         warrants the expectation that Oce-Japan will
                         increasingly start to contribute to the further
                         development of revenues and income.

                         ________

                         Document Printing Systems

Service in development   With the shift from analogue to digital technology and
                         from black-and-white to colour, fast-moving changes are
                         taking place in the nature and content of servicing
                         activities, particularly in the office market. In the
                         wide format market, where digitisation was first
                         introduced, that shift has already been completed. The
                         high speed, high volume printers have been digital for
                         years. All this means a major change-over for the
                         service technicians, especially in the office market;
                         because of digitisation the technician now has to deal
                         more and more with problems in the user's direct IT
                         environment. In parallel with its efforts to achieve
                         that change-over, Oce is also completely reorganising
                         the service process itself with a view to greater
                         efficiency and effective. During the year under review
                         work was done on improved service methods in three
                         countries as part of the Columbus Project. The
                         concentration on specific aspects - call screening,
                         population management, components management and visit
                         planning - has quickly led to improvements. By having
                         the first service contact screened via a call centre,
                         supported by a computer with a knowledge base, a number
                         of malfunctions can be remedied immediately. If
                         a visit form a technician or a system specialist is
                         still needed, he is fully prepared and can take along
                         the right components. This enables very rapid response
                         times and eliminates the need for a follow-up visit. In
                         2001 the methods will be further perfected and rolled
                         out in the other countries.

                              The market for Document Printing Systems is
                         growing by about 3% per year. With its high volume
                         analogue machines for the market Oce covers a
                         considerable part of the office market, especially
                         departments in which large numbers of prints and copies
                         are constantly produced: central repro facilities,
                         smaller data printing environments and offices in which
                         a lot of prints and/or copies are made.

                              The market is very extensive (worth an estimated
                         (Euro) 36 billion) and competition is intense, but in
                         the high and very high volumes Oce has acquired a
                         strong position in Europe - also thanks to the
                         productivity of its machines. In the United States Oce
                         plays a relatively modest yet growing role.

                              In the office market a strong shift has been seen
                         in recent years from analogue to digital equipment. As
                         a result, the stand-alone use of machines is being
                         replaced by their use in networks.

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                         Report of the Board of Executive Directors/
                         Operational developments

                         _________

                         Oce is very much involved in the next stage in this
                         development: using intelligent software applications to
                         handle complex information and document flows via the
                         network and the servers, controllers, scanners and
                         printers within that network.

                              Despite the rapid digitisation of this market
                         there are still tens of thousands of analogue machines
                         in operation on customer premises and these continue to
                         generate a positive cash flow for Oce via lease
                         contracts, service and supplies - and in a later stage
                         possibly via remanufacturing. Oce discontinued the
                         production of new analogue machines for the office
                         market as from November 2000. Via remanufacturing and
                         remarketing programmes Oce continues to place
                         substantial numbers of analogue machines back in the
                         market on a profitable basis.

                              Compared to the year 1999, Oce's performance in
                         the office market again showed an upward line in the
                         year 2000. Including service, supplies and Facility
                         Services, revenues increased from (Euro) 1,399 million
                         to (Euro) 1,551 million. Autonomous growth amounted to
                         4% and the effect of exchange rates was 7%. In the
                         previous year revenues increased with 2% of which 1%
                         caused by the effect of exchange rates.

 Document printing       Via an ever-tighter focus on the high to very high
                         volume segment and by profiling itself more distinctly
                         as a supplier of solutions for complex document flows
                         and thus creating value for the customer, Oce is
                         concentrating on the more profitable part of the office
                         market. During the year Oce introduced a number of new
                         machines and software products which will further
                         strengthen Oce's profile in this segment of the market
                         in the next few years.

                              Sales of the Oce 31 X 5 family (the Oce
                         3145/55/65) developed very successfully. Thanks to the
                         addition of scanning functionality the number of
                         application areas has been further extended, both for
                         the repro and the office environment.

                              In 2001 Oce will be introducing a new family of
                         printers/copiers (85 ppm) alongside the Oce 31 X 5.
                         This will comprise the Oce DPS200 for the productive
                         market segment and the Oce DPS300 for the centralised
                         work environment.

                              As from the second quarter of 2001 the Oce DPS400,
                         a very high volume Print-On-Demand printer/copier for
                         the centralised work environment, will be ready for
                         regular market shipment. This product will make a major
                         contribution to the growth of the DPS activities.

Colour printers          The use of colour in the office environment is
                         undeniably on the increase, albeit less than was
                         previously anticipated. The print volume is growing
                         faster than the number of machines installed in the
                         market. The bought-in machines that Oce currently has
                         in its range have built up a good reputation and are
                         being used both in the office environment and in print
                         shops. This means that sales staff and service
                         technicians have gained a wealth of experience in the
                         area of colour technology.

                              The company's own colour printer/copier, the Oce
                         CPS700, will be launched in March 2001 at the CeBIT
                         2001 Trade Fair. Certain essential components of the
                         machine have been redesigned, so that the required
                         stability has now been largely achieved. The Oce CPS700
                         features a unique technology developed by Oce itself.
                         The new Direct Imaging Process drums with seven colours
                         in a monolayer system and the renowned CopyPress
                         technology (further developed for colour) ensure
                         constant quality of an excellent standard coupled with
                         high productivity. The first shipments of this
                         productive colour system to customers are scheduled for
                         the fourth quarter of 2001.

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                              --------------------------------------------------
                              Report of the Board of Executive Directors /
                              Operational developments
                              ________

Software                      Software is playing a more and more crucial role.
                              Thanks to the application of Optical Character
                              Recognition (OCR), it is relatively easy to use
                              Oce equipment for advanced archiving systems. To
                              handle this work Oce supplies software that
                              harnesses the special features of Oce machines.
                              The acquisition of Computer Gesellschaft Konstanz
                              (now called Oce Document Technologies) has further
                              strengthened Oce's potential in this area.

Network Printing Solutions    During the course of 2001 Oce will launch a series
                              of output management software products having the
                              same basic properties that are traditionally
                              associated with the Oce name: reliability,
                              productivity, quality and ease of use. In this
                              series Oce will be offering COM Works automatic
                              job recognition and completion notification,
                              whilst Oce DOC Works will provide central repro
                              departments with easy and direct access to
                              documents that have been created in a company's
                              network. Oce Intra Logic provides the customer
                              with web access for all printers and also forms a
                              bridge to Oce e-Services.

                                   Oce Office Exec meets the output management
                              needs of users working in a decentralised
                              environment.

                                   In November a joint venture was concluded
                              between Oce-Technologies B.V. and the Belgian
                              software business Real Software Group N.V. The
                              joint venture Oce-Real Business Solutions B.V.
                              markets an innovative software product, called Var
                              E-Docs, which enables customers to automatically
                              create complex and personalised business documents
                              using whatever data they wish. A great need exists
                              for this product in ERP and e-business
                              applications.
                              ________

                              Production Printing Systems

                              In the market for Production Printing Systems Oce
                              is active with a complete and highly competitive
                              range of high speed (>85 ppm) continued feed and
                              cutsheet A4 printers. In the EPP (Electronic
                              Production Printing) segment the market is growing
                              by about 3% each year. Oce is one of the three
                              leading suppliers. Both in Europe and in the
                              United States Oce holds an important position in
                              this market with a total market share of more
                              than 25%. In the highest volume segments Oce is
                              European market leader. That position is being
                              strengthened further, for instance by offering
                              advanced application software that simplifies and
                              manages the document production process. An
                              important plus-point here is that Oce equipment
                              can process the data flows produced by machines
                              made by two of its main competing suppliers. Oce's
                              ultimate ambition is to be able to process data
                              flows 'from any to any format' in this
                              environment. The developments in recent years
                              feature various separate trends, each having its
                              own significance for the near future: a continuing
                              strong importance of the paper document and,
                              consequently, a strong growth in printing volume,
                              an increasing demand for colour, both spot colour
                              and full colour, and a growing demand for workflow
                              management and document management systems.

                                   Revenues of the Strategic Business Unit
                              Production Printing Systems, including consumables
                              and Facility Services, increased by 17% from
                              (Euro) 657 million to (Euro) 772 million.
                              Excluding exchange rate effects (8%), revenues
                              went up by 9%. Profitability lity was maintained
                              at a high level. In 1999 autonomous growth
                              amounted to 6% whilst 1% resulted from exchange
                              rate changes.

Electronic Production         The market for Electronic Production Printing has
Printing                      been affected by price erosion for quite some
                              time; last year prices were down by some 5%.
                              During the year under review, however, this was
                              more than offset by higher print volumes per
                              machine,
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                         Report of the Board of Executive Directors /
                         Operational developments

                         _________

                         higher revenues from software and services, a reduction
                         in capital requirements, increased service efficiency
                         and savings in head office and production costs.

                              In 2000 Oce installed fewer machines in this
                         market, but the volume per printer increased by about
                         7%. This links up with the growth that was apparent in
                         the print volume and it also reflects the level of
                         productivity (reliability and speed) of Oce machines.

                              In 2001 the Triplex system will be put on the
                         market. This configuration allows double-sided
                         printing, including spot colour, at a very high speed.
                         Peripheral equipment will also be launched to further
                         boost the productivity of the high speed printers and
                         print complete finished documents, including cutting
                         and binding.

                              One of the ways in which Oce responded to the
                         demand for colour this year was by introducing the
                         custom colour programme. The key to this is formed by
                         the toner which can be produced in virtually all
                         colours, for example in colours that exactly match
                         house-style colours.

                              An important aspect of Oce's activities in the
                         high volume printer market is the success of its
                         partnerships with leading hardware and software
                         companies. Oce's printers are almost always installed
                         in configurations with, at the one end, computer
                         systems whose output they handle and, at the other end,
                         finishing equipment. The versatility and flexibility of
                         its machines and software make Oce a sought-after
                         business partner. In the year under review Oce, in
                         conjunction with the UK business IBIS, launched a
                         machine that is able to process print output into
                         booklets at high speed.

Software                 Oce anticipated the growing demand for workflow and
                         document management systems by supplying specialised
                         software packages to its customers at an early stage.
                         In the meantime the proven PRISMA family of software
                         solutions, which was again strongly extended this year,
                         has been chosen as a basis for consultancy activities
                         in this field. Within the PRISMA family the software
                         products PRISMA-production, PRISM A-archive and PRISM
                         A-audit are marketed.

                              In addition to Dokustar for Data Input the year
                         2001 will also see the launch of Recostar for Data
                         Recognition.

                              These software products offer customers a tailor-
                         made package which manages the entire document flow
                         within the high speed printer range, providing a
                         guarantee of completeness and reliability.

Printing & Publishing    Oce's fast high volume printers are eminently suitable
                         for print-on-demand applications. This relates to the
                         electronic production of printed matter (ranging from
                         brochures to catalogues and books) in relatively short
                         print-runs. Specifically for production runs containing
                         data subject to frequent changes this is an excellent
                         process. Via its specialised Printing & Publishing
                         business group, Oce focuses explicitly on this market
                         segment. Since this mainly involves activities in the
                         printing industry market, which is still new for Oce,
                         allowance has been made for a substantial investment in
                         time and resources for the development and marketing of
                         a complete range of equipment and software.

                              After a lengthy period of hesitation the printing
                         industry has meanwhile accepted electronic printing as
                         an alternative for offset for smaller print-runs.
                         Growth in this market has accelerated as a result.
                         Partly thanks to its specialised software, high product
                         quality and its close cooperation with partners, Oce
                         was able to double its revenues in the Printing &
                         Publishing segment last year.

                              During the year under review Oce introduced the
                         DEMANDSTREAM 8090 WEB (700 ppm) for this market.

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                         Report of the Board of Executive
                         Directors / Operational developments

                         _________
                         The book-on-demand printing systems, which had already
                         been launched in the previous year, are also gradually
                         finding their way into the printing industry.
                         Particular interest exists on the part of publishers,
                         who see this as a possibility of quickly producing
                         small print-runs of books which, if they prove
                         successful sellers, are either printed in offset or
                         printed electronically as and when required and in the
                         desired number. Concepts in which books are ordered via
                         internet and are then produced somewhere in the world
                         and shipped out to customers likewise offer attractive
                         prospects.
                              Thanks in part to the application of the
                         Dicopress, Dicopack en Dicopage-colour printing systems
                         (in cooperation with MAN Roland, formerly Chromapress
                         of AGFA/Xeikon) Oce can supply this market with a
                         full range of products and consultancy services.
                              In May 2000 at the five-yearly DRUPA, the biggest
                         trade fair for the printing industry, Oce presented its
                         advanced digital print solution under the motto Go the
                         Digital Way. Digital printing, as specialists also
                         acknowledge, is the obvious link between electronic
                         information and printed matter. For this fast-growing
                         market segment Oce not only supplies the printers, but
                         also guides its customers on their route to the digital
                         future.

                         _______
                         Facility Services

                              To an increasing extent, companies and
                         organisations are moving out of or contracting out
                         activities that they do not consider to be part of
                         their core business. This trend towards outsourcing has
                         been growing vigorously in the past few years; market
                         growth in the USA, where the trend first emerged,
                         amounts to some 25% and in Europe it is even as high
                         as 35 to 40%.
                              The production and distribution processes for
                         documents are also being outsourced more and more
                         often. Oce is excellently positioned to serve this
                         market in which Facility Services take over the
                         responsibility for managing document processes for
                         customers. In Europe Oce is the second biggest supplier
                         in this market segment, specifically handling
                         reprographic activities and archiving services for
                         bigger companies and non-profit organisations; in the
                         USA the company holds a strong market position notably
                         in the area of mail management and distribution.
                              Revenues of Facility Services increased world-wide
                         by 48% to (Euro) 290 million (1999: (Euro) 197 million
                         and growth of 34%); this is equivalent to 9% of total
                         Group revenues (1999: 7%). The growth in revenues
                         occurred both in the United States and in Europe. These
                         revenues are included in the revenues of the three
                         Strategic Business Units: Wide Format Printing Systems,
                         Document Printing Systems and Production Printing
                         Systems. The Facility Services activities have more
                         than 5,000 employees. Within the Facility Services
                         Business Group organisational changes have been made to
                         ensure that these activities can perform to their full
                         potential.
                              The complexity of document processes is growing
                         all the time, particularly because of digitisation:
                         information and communication technology serve as the
                         facilitators of a new approach and bring greater
                         effectiveness in the exchange of information and a more
                         efficient deployment of people and resources. For
                         customers who have outsourced these processes to Oce as
                         a partner, Oce can harness its specific expertise,
                         software and equipment to meet future market demands
                         and also to help achieve the customer's business
                         objectives. Oce does not limit itself to its own
                         products, but also handles the integration with other
                         elements in the customer's IT infrastructure. Facility
                         Services completes the Oce offering of products and
                         services and boosts the synergy effect for the
                         customer: the products, solutions and

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                         Report of the Board of Executive Directors /
                         Operational developments

                         _______
                         services from all Strategic Business Units are
                         optimally dovetailed to fit the operational processes
                         for which the customer has transferred responsibility
                         to Oce Facility Services.

                         _______
                         Imaging Supplies

                         In this highly competitive market Oce succeeded in
                         maintaining its results and expanding its market
                         positions in 2000. Revenues for 2000 rose by around 11%
                         to (Euro) 459 million (1999: (Euro) 414 million) and,
                         if exchange rate effects are eliminated, revenues rose
                         by 2%. In the previous year the revenues went down with
                         1%. This represents 14% of total Group revenues (1999:
                         15%). These revenues, including those of Arkwright,
                         form part of the revenues of the three Strategic
                         Business Units: Wide Format Printing Systems, Document
                         Printing Systems and Production Printing Systems. With
                         a volume growth of 7%, profitability came under
                         pressure, principally because of the accelerated phase-
                         out of diazo materials and a further shift from
                         speciality carrier materials to plain paper.
                              Via its Business Group Imaging Supplies Oce
                         primarily serves Oce customers with a range of wide
                         format paper and A4 paper for cutsheet applications and
                         normally Oce also supplies consumables for use with
                         third-party equipment. However, specifically the
                         materials for printing-industry applications and for
                         small users (SOHO) are also channelled via specialised
                         dealers.
                              In this market e-commerce has meanwhile become an
                         important instrument; Oce has developed and introduced
                         an e-business model for the Dutch market enabling
                         customers to place direct on-line orders. This system
                         will be rolled out to the other countries in 2001.
                              Thanks to a combination of effective sourcing,
                         order processing, logistics and prices, Oce is also
                         able to give commodity products a sought-after and
                         remunerative positioning in the market. For the new
                         markets (Display Graphics) Oce has in introduced a
                         number of special new products based on its expertise
                         in the area of coatings. The American Oce business
                         Arkwright is building up a strong range for this
                         market. For use with Oce's own colour printer/copier
                         customers can choose from an extensive range of
                         supplies specially developed for use in colour
                         printers.
                              The existing A4-format cutsheet range is currently
                         being adapted for use with Oce high speed printers.
                              During the year under review Oce drastically
                         rationalised its manufacturing operations for imaging
                         supplies. The product range has been rationalised and
                         the results of these measures will start to show
                         through in 2001.
                              The factory in Chateauroux (France), which is
                         mainly engaged in the coating and conversion of diazo
                         and inkjet consumables, has been transferred to third
                         parties but will continue to produce for Oce on a
                         contract basis. The manufacturing facilities in
                         Switzerland have been closed down and the production
                         and sales of transfer materials have been relocated to
                         Arkwright (USA) where the coating activities for
                         speciality materials have now been concentrated. The
                         American coating facilities have meanwhile been reduced
                         from five sites to three.

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________________________________________________________________________________
Report of the Board of Executive Directors/Technology and systems

________
Research & Development (R&D)

Oce has a total of eight centres for R&D. The biggest centre is located in Venlo
and focuses on the development of machines, consumables (photoconductors, toners
and other strategic materials) and hardware and software for wide format
printing and document printing. The R&D department in Poing (Germany)
concentrates on the development of high speed, high volume printers and the
related supplies and software. Software development is handled by the centres in
Creteil (France), Namur (Belgium), Konstanz (Germany), Cleveland (United States)
and in Japan. Lastly, the R&D department of Arkwright (United States) is
responsible for developing speciality carrier materials for wide format and
document printing applications.

     In the past year a great many products were channelled from R&D through to
the manufacturing departments. The majority of these will be officially
introduced in 2001.

     For the wide format market the entire range of black-and-white printers has
been updated and modernised. In addition, the inkjet range has been expanded in
cooperation with third parties.

     In the office market both the 100 ppm Oce DPS400 black-and-white printer/
copier and the totally renewed colour printer Oce CPS700 are leading new
products. Development work on a set of controllers and application software has
also been completed. This will ensure that the unique reputation that Oce has in
hardware is continued in its system products. Part of Oce's mission is to supply
users with simple and user-friendly software that provides optimum support for
its hardware products, as our systems are in fact aimed at boosting the
productivity of the end-user.

     Besides the many product launches, good progress was also booked with the
development of our own in-house inkjet technology. The pioneering nature of this
technology has also been recognised in Europe, as was reflected by the subsidy
of a maximum of (Euro)22.7 million approved for the relevant project by the
European Commission.

     The patents portfolio was strengthened considerably, with new patents being
granted in many different fields. Fulfilling the complex and challenging work
involved in R&D requires ongoing investment in human resources and in the design
processes and related tools. The year 2000, for example, saw the full
introduction in Venlo of 3D-CAD design procedures. A new PDMS (Product Data
Management System) is also being implemented for use not only by R&D, but also
by Oce's manufacturing departments and by suppliers. Via this system all
information is available to all participants and can be consulted at any time.

     Cooperation between the Dutch and German R&D departments was further
intensified during the year under review. This has resulted in a number of
concrete projects, notably for the development of toners and photoconductors.
For a major project in the area of high volume printers an OPC (organic
photoconductor) has been further developed to handle speeds of up to 250 ppm.

     In Creteil the new generation controller for wide format systems has now
been upgraded to make it suitable for application in products such as the high
speed Oce TDS800 printer. The next step in controller development work is
expected to be the addition of colour functionality.

     Within Oce's R&D facilities different technological disciplines work
together in project groups to develop new technology relating to all conceivable
developments in the areas of document handling and printing.

--
42

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               _________________________________________________________________

               Report of the Board of Executive Directors/Technology and
               systems

               _____
               Software development represents one of the major challenges in
               this field. Since the introduction of the first digital wide
               format printers/copiers, various sites within Oce and Oce
               partners all over the world have developed software packages to
               ensure the smooth operation of our machines within users'
               networks.
                    The greater the software content of Oce's products, the more
               important it becomes to have an effective organisation to
               develop and market this software. More than anything, the
               increasingly dynamic nature of the market requires ongoing
               changes. Alongside the tried and tested organisation structure
               for hardware, a dedicated form of organisation will be introduced
               for software to provide us with a better basis for a successful
               software business.
                    The principal areas in which results can be achieved are
               improved feedback from the market, a short time-to-market and a
               fast market introduction. One of the crucial aspects here is the
               establishment of Competence Centres: small product development
               units which focus fully on one market area and whose efforts are
               directed at achieving a short term goal. This project will be
               implemented in detail in 2001 and will primarily have a positive
               impact on the effectiveness of software development efforts. It
               will also form the key to optimum cooperation between the various
               R&D sites.
                    An essential element of the strategy is that we will not
               develop all the software ourselves but will, where possible, do
               this in partnership with third parties. Important partners
               include EFI in the area of colour controllers, Zylab (intelligent
               search and retrieval systems) and Adobe (printer software).

               _____

               Manufacturing & Logistics

 Assembly      The assembly activities in Venlo have traditionally been
               confronted with widely fluctuating production volumes. To ensure
               an optimum workforce level -- also in cases of varying demand --
               flexible manpower resources are deployed. The expectation is
               that, to keep pace with demand, production will again have to be
               substantially boosted in the next few years, bringing it to above
               its peak level of 1998. By sourcing at an increasingly higher
               level of aggregation (complete units), by transferring part of
               the assembly operations to Pardubice (Czech Republic) and by
               substantially boosting productivity, it is expected that the
               strong growth in demand can be handled by a smaller workforce
               than at present. Although the Manufacturing Excellence project,
               which also involves a change-over to flow-production, has not yet
               been fully implemented, considerable productivity gains have
               already been realised. In Pardubice a new assembly hall was
               opened which will also produce modules for the new Oce DPS400.
                    At the beginning of 2001 the assembly facilities in Guerande
               (France) were transferred to Manufacturing Services Ltd. (MSL).
               MSL will continue to produce for Oce on a contract basis. That
               business will therefore continue to be Oce's biggest supplier of
               scanners, folders and integrated circuit boards.

 Logistics     From its main production centres Oce supplies machines, imaging
               supplies and service parts to more than eighty countries. Until
               recently this involved intermediate local storage. At the moment
               a far-reaching centralisation of the logistics operations is
               under way.
                    The centralisation of supplies to the European service
               organisation from Venlo and Poing was completed during the year
               under review. This has had the sought-after result: a reduction
               in stock levels whilst maintaining or even improving the delivery
               performance. For Asian markets a supply centre has been
               established in Singapore.

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                               Report of the Board of Executive
                               Directors/Technology and systems


                               In 2000 the distribution of imaging supplies was
                               handled by an advanced warehouse near Venlo for
                               an initial series of countries. Experiences with
                               this contracting-out project have been good; in
                               2001 the other countries will also be supplied
                               from a central location.
                                   With effect from 2000 Oce started to supply
                               machines from the assembly facilities direct to
                               customers. This implies the closure of
                               intermediate storage facilities in the countries
                               and in many instances also the closure of the
                               workshops which carry out repair and modification
                               activities. Both in Venlo and in Poing con-
                               figuration centres have been established where
                               final assembly takes place to individual customer
                               specifications, after which the machines are made
                               ready for shipment.
                                   In the meantime the shipment flow of (WFPS
                               and DPS) machines for the United States is also
                               being coordinated from Venlo. Tracking and
                               tracing systems enable the movements of the
                               orders to be precisely monitored and pinpointed.

 Manufacturing                 In 2000 the diazo coating activities in Venlo
                               were discontinued after operating for almost
                               eighty years. At the end of October a second OPC
                               plant became operational. It produces the large
                               numbers of photoconductors required for the Oce
                               31 X 5 family and the new Oce DPS 400. Some
                               (Euro) 12 million was invested in the complete
                               renewal and redesign of the toner plant. The
                               plant is suitable for the production of toners
                               for black-and-white and colour machines. It can
                               also produce binary toners.
                                   Consumables are the fastest-growing activity
                               in the Venlo manufacturing facilities. On the
                               basis of a strategic stock customers all over the
                               world can be supplied direct. At the end of the
                               year under review Oce also acquired the licence
                               to manufacture the toner that is used in the high
                               speed, high volume Production Printing Systems
                               machines.

 Recovery and remanufacturing  As noted earlier, there is still an enormous
                               installed base of modern analogue machines which
                               not only perform excellently but also generate a
                               good cash flow. Via population management Oce
                               will wherever possible keep these machines
                               operational in the suitable market segments,
                               possibly after refurbishing or remanufacturing.

                                   Due to the high demand for remanufactured Oce
                               3045 machines, the factory in Prague was expanded
                               strongly over the past year and is operating at
                               full capacity. On an annual basis some 5,000
                               machines are overhauled there and placed back in
                               the market. In the meantime the first digital
                               machines (Oce 3165) are also being returned from
                               the market for remanufacturing.

____
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          ______________________________________________________________________
          Report of the Board of Executive Dircctors/ Sustainable development


          ______
          Oce is a business of and for people. A company which - together with
          its products, but also with its production processes, facility
          services and consultancy -- stands in the midst of society. Oce is
          aware that the company's continuity is dependent on the extent to
          which it shows responsibility towards society, people, raw materials
          and the world we live in. Oce is therefore committed to playing its
          role in promoting sustainable development. That means creating optimum
          conditions in which safety, health, the environment and people are
          paramount.

               As Oce's mission statement clearly emphasises, the company aims
          to enable people and organisations to exchange information efficiently
          and effectively. That calls for various preconditions to be met:
          access to and a command of the most advanced technology and a thorough
          knowledge and expert awareness of the actual markets in which Oce
          operates. People are essential to the achievement of both these
          conditions and it is Oce's ambition to continue to create the
          challenging and inspiring environment in which the best people can
          work to find new solutions to fulfil the Oce mission.

          ______
          Personnel & Organisation
          As mentioned earlier, the recruitment of new personnel, the provision
          of training and career monitoring are crucial factors for the
          business. The strategic trends (from analogue to digital, from black-
          and-white to colour and from hardware to a combination of hardware,
          software and services) impact on the competencies required of
          employees.

               In the year under review intensive training programmes were
          implemented to teach employees the required new competencies, both in
          our operating companies and in Venlo and Poing. To do this we use the
          latest training techniques, such as workshops for problem-based
          training and e-learning in which self-tuition packages are offered via
          the web. The previously described restructuring of software activities
          is focused on creating an organisation specifically dedicated to the
          development and marketing of software, solutions and services. As a
          follow-up to this, initiatives were taken to give the country
          organisations the same focus. A new HRM (Human Resource Management)
          policy has therefore been introduced to map out the required
          competencies and to set the necessary change management process in
          motion. The needed acceleration of this change process also gave rise
          to the Workforce Campaign 2000, which was implemented during the year
          under review with the aim of speeding up the change-over to employees
          with digital skills. One of the reasons for this campaign, which
          involved education and training courses and the recruitment of new
          employees, was the reduction in the population of analogue products.

               The outcome of this project was that over the past year a large
          number of employees moved to another job, also within the business.
          Those affected were provided with every assistance in making the
          transition. It had been noted earlier that particularly some of the
          personnel engaged in service activities might experience practical
          problems as a result of the new requirements set by the change-over to
          digital. The refocusing on service, as was achieved for example via
          the Columbus Project, has had a pronounced effect on the size and
          composition of the personnel. Full implementation of the new service
          methods throughout the business is expected to deliver a further
          improvement in efficiency.

               Ongoing modernisation and professionalisation of the Human
          Resources Management policy is an important strategic issue if the Oce
          Group is to realise its ambitions. The aim is to optimise the
          performances (output) of employees by applying an integrated policy in
          the area of competencies management, job evaluations

          ______
          48

<PAGE>

                         _______________________________________________________

                         Report of the Board of Executive Directors /
                         Sustainable development

<TABLE>
<CAPTION>
                         -------              -------------------------------------      -------------------------------------------
                         Distribution of      2000                                       1999
                         employees by         -------------------      ------------      -------------------        ----------------
                         geographical areas   number                   as %              number                     as %
                         -------              -------------------      ------------      -------------------        ----------------
                         <S>                  <C>                      <C>               <C>                        <C>
                         Netherlands                        3,962                18                    4,155                      19
                         Germany                            3,417                15                    3,144                      14
                         France                             1,491                 7                    1,606                       7
                         United Kingdom                     1,075                 5                    1,104                       5
                         Rest of Europe                     3,349                15                    3,454                      16
                         United States                      7,810                35                    7,103                      33
                         Rest of the world                  1,149                 5                    1,191                       6

                                              -------------------      ------------      -------------------        ----------------
                         Total                             22,253               100                   21,757                     100
                         -------              -------------------------------------      -------------------------------------------
                         Distribution of      2000                                       1999
                         employees by         -------------------      ------------      -------------------        ----------------
                         types of work        number                   as %              number                     as %
                         -------              -------------------      ------------      -------------------        ----------------
                         Research &
                         Development                        1,863                 8                    1,780                       8
                         Manufacturing &
                         Logistics                          3,258                15                    3,507                      16
                         Facility Services                  5,279                24                    4,198                      19
                         Sales                              4,753                21                    4,926                      23
                         Service                            5,059                23                    5,322                      25
                         Accounting and
                         other                              2,041                 9                    2,024                       9

                                              -------------------      ------------      -------------------        ----------------
                         Total                             22,253               100                   21,757                     100
</TABLE>


                         remuneration and labour mobility. A unique part of this
                         is formed by a competencies management approach which
                         concentrates not only on improving competencies of
                         individuals but also of teams. The effectiveness and
                         efficiency of training is further boosted by a more
                         focused training policy so that the large amounts of
                         new learning areas are offered on a need-to-know basis.
                         This means that around 20% of the subjects are taught
                         via direct knowledge transfer, with 80% being made
                         available as pull information. The rapidly climbing
                         average level of education at Oce marks the transition
                         from a product-oriented organisation to a knowledge
                         organisation.

                              Recruitment of ICT-trained employees is of eminent
                         importance in this context. Particularly in this
                         category, obtaining good quality candidates is no easy
                         task. The number of spontaneous job applications
                         decreased further last year due to the very tight
                         labour market. The war for talent is being fought very
                         fiercely. In consequence, our policy for communication
                         with the labour market is being adapted to take the
                         changed labour market conditions into account.

Safety and health        Our objective is to increase further the commitment and
                         sense of responsibility of employees for safety and
                         health. The high pressure of work and the major changes
                         that marked the past year were therefore the subject of
                         careful monitoring and attention.

_____

49
<PAGE>

________________________________________________________________________________
Report of the Board of Executive Directors/Sustainable development

_____

Oce and the environment

Over the years Oce has built up a reputation as a company with a high level of
social responsibility. Ever since the company's foundation, now more than a
century ago, much attention has always been devoted to safety, health and the
environment. As an industrial company Oce is aware of its responsibility to
contribute to sustainable development by acting as a careful steward of raw
materials and energy for the benefit of future generations. That responsibility
is reflected at Oce in the development of new products and production processes.

     Oce is aware that external requirements and targets for sustainable
development are constantly changing. This calls for ongoing attention for this
issue, which leads to continuous improvements in a technological and
organisational respect. During the design of an Oce product much attention is
devoted in particular to energy-efficiency, reliability, convenience of use and
a long lifetime. Care is also taken not to use materials containing dangerous
substances and to avoid using substances that might affect the ozone layer.
Products are designed in such a way that at the end of their useful lifetime the
machines can easily be dismantled and the components are suitable for re-use or
can be recycled as separate materials. At Oce machines taken back from the
market are dismantled on an industrial scale and the components are in turn made
suitable for new applications through re-use or recycling. Waste materials are
kept to an absolute minimum and are disposed of in an environmentally
responsible manner. That brings a full-circle close to the lifecycle of a
machine.

     Oce machines have an outstanding market reputation for their long useful
life time, low ozone emission and the fact that their toner wastage is almost
zero. A large proportion of Oce systems carry the USA ENERGY STAR(R) label in
recognition of their low energy consumption. Thanks to the application of the
unique Oce Copy-Press technology Oce machines are highly accurate and reliable,
which reduces needless paper usage and allows our customers to keep stocks of
printed matter at a low level.

     Oce pursues an active policy in the areas of safety, health and
environmental protection. As part of this, regular risk inventories and
evaluations are conducted. The aim is to identify each risk in the above areas
in good time and to take appropriate action.

     Long before the decision was taken to apply for certification for the
manufacturing facilities, care for the environment had already been an active
element in the conduct of the business. Meanwhile the biggest manufacturing
facilities, those in the Netherlands and Germany, have been awarded
environmental certification according to the ISO 14001 standard. This
certification helps to safeguard the environmental performance standard that has
been achieved and encourages efforts to make further improvements, also in the
interests of the continuity of our company.


Venlo, January 29, 2001

The Board of Executive Directors
R.L. van Iperen, chairman
J.F. Dix
H.J.A.F Meertens (until September 30, 2000)
G.B. Pelizzari

____

50
<PAGE>

______                              _____________________________________
January 2001                        Directors Central Services

                                    _______

                                    Strategic Business Units
Wide Format Printing Systems        M.J.A. Frequin


Document Printing Systems           P.J.J.G. Nabuurs

Production Printing Systems         W. Gemmel and P. Feldweg
                                    _______

                                    Business Groups
Imaging Supplies                    A.P. Langendoen*

Facility Services                   M.C. Kingmans*
                                    _______

                                    Corporate Staff
Secretariat of the Company,         J.M.M. van der Velden
Legal Affairs

Corporate Personnel and             P.H.G.M. Creemers
Organisation

Finance and Administration          C.F. Lindenhovius
                                    _______

                                    Central Operating Company Venlo
Venlo Executive Committee           P.H.G.M. Creemers, chairman
                                    N.J. Koole
                                    W.H.M. Orbons

Manufacturing and Logistics         N.J. Koole

Research and Development            W.H.M. Orbons

Personnel, Organisation and         P.H.G.M. Creemers
Services

See also page 5.                 *  Assistant-Director

                                    ____

                                    87
<PAGE>

<TABLE>
<CAPTION>
__________                  ________________________________________________________________________________________________________
January 2001                Principal companies and their chief executives*
<S>                         <C>                                <C>                         <C>                         <C>
                            ________

                            Europe
Belgium                     Oce-Belgium N.V./S.A.              J. van Boerdonk             Brussels                    (2)7294811
                            Oce-Interservices N.V./S.A.        J. van Boerdonk             Brussels                    (2)7294861
                            Oce Software Laboratories          B. Hucq                     Namur                       (81)559611
                            Namur S.A.
Denmark                     Oce-Danmark a/s                    H. Risor                    Copenhagen                  (43)297000
Germany                     Oce-Holding Deutschland            A.A.J. van Driel and        Mulheim/Ruhr                (208)48450
                            G.m.b.H.                           P. Feldweg
                            Oce-Deutschland G.m.b.H.           A.A.J. van Driel and        Mulheim/Ruhr                (208)48450
                                                               S. Landesberger
                            Oce Printing Systems G.m.b.H.      P. Feldweg and              Poing                       (8121)724031
                                                               W. Gemmel
                            Oce Document                       M. Mertgen                  Konstanz                    (75)31874010
                            Technologies G.m.b.H.
France                      Oce-France S.A.                    A. Gimenez                  Noisy-le-Grand              (1)45925000
                            Oce-Print Logic
                            Technologies S.A.                  J. van Stratum              Creteil                     (1)48988000
Hungary                     Oce-Hungaria Kft.                  G. Nemeth                   Budapest                    (1)2361040
Ireland                     Oce-Ireland Limited                R. Thompson                 Dublin                      (1)4039100
Italy                       Oce-Italia S.p.A.                  G. Seno                     Milan                       (02)927261
Netherlands                 Oce-Technologies B.V.              P.H.G.M. Creemers           Venlo                       (77)3592222
                            Oce-Nederland B.V.                 J.J. Kwaak                  's-Hertogenbosch            (73)6815815
                            Arkwright Europe B.V.              J.R. Marciano               Venlo                       (77)3825315
                            Oce Real Business
                            Solutions B.V. (50%)               J.A.M. Hageman              Venlo                       (77)3592222
Norway                      Oce-Norge A.S.                     O. Fondevik                 Oslo                        (2)2027000
Austria                     Oce-Osterreich Ges.m.b.H.          C. Schennet                 Vienna                      (1)86336
Poland                      Oce-Poland Limited, Sp. Z o.o.     M. Kozlowski                Warsaw                      (2)28683079
Portugal                    Oce-Lima Mayer S.A.                Th. de Lima Mayer           Lisbon                      (21)4125700
Spain                       Oce-Espana S.A.                    A. Aznar de Argumosa        Barcelona                   (93)4844800
Czech Republic              Oce-Czech republic s.r.o.          I. Konecny                  Prague                      (2)44010111
United Kingdom              Oce (UK) Limited                   M.J. Cornish                Loughton                    (20)85085544
Sweden                      Oce Svenska AB                     F.O. Nilsen                 Stockholm                   (8)7034000
Switzerland                 Oce (Schweiz) A.G.                 J.Th.M. van der Mars        Glattbrugg                  (1)8291111
                            ________

                            North America
United States               Oce-USA Holding Inc.               G.B. Pelizzari              Chicago, ILL                (773)4443762
                            Oce-USA Inc.                       G.B. Pelizzari              Chicago, ILL                (773)7148500
                            Oce Printing Systems USA, Inc.     T. Long                     Boca Raton, FL              (561)9973100
                            Arkwright Inc.                     J.R. Marciano               Fiskeville, RI              (401)8211000
                            Archer Management                  M.D. Weiner                 New York, NY                (212)5022100
                            Services, Inc.
                            Oce Groupware                      D. Bower                    Cleveland, OH               (216)6879970
                            Technology, Inc.
Canada                      Oce-Canada Inc.                    S. Goodall                  Toronto                     (416)2245600
</TABLE>

* Where holdings are less than 95% of the equity, capital percentages are
stated. A list of affiliated companies is available for public inspection at the
Commercial Registry, Venlo, in conformity with the provisions of Article 379,
Book 2, of the Dutch Civil Code.

______

88
<PAGE>

<TABLE>
<CAPTION>
__________                 _______________________________________________________________________________________________________
                           Principal companies and their chief executives
<S>                        <C>                                   <C>                             <C>              <C>
                           ___________

                           Asia/Pacific
Australia                  Oce-Australia Limited                 P.W.M. Thomassen                Scoresby         (3)97303333
China                      Oce Office Equipment                  N.W. Kooij                      Beijing          (10)65281200
                           (Beijing) Co., Ltd.
                           Oce Office Equipment                  N.W Kooij                       Shanghai         (21)62729698
                           (Shanghai) Co., Ltd.
Hong Kong                  Oce (Hong Kong China) Ltd.            N.W. Kooij                      Hong Kong        25776064
Japan                      Oce-Japan Corporation (85%)           K. Mukozaka                     Tokyo            (3)54026100
Malaysia                   Oce Malaysia Sdn. Bhd.                M. Sak                          Petaling Jaya    (3)7584088
Singapore                  Oce (Singapore) Pte. Ltd.             C. Wilson                       Singapore        (8)462381
Taiwan                     Oce (Taiwan) Ltd.                     R. Dohmen                       Taipei           (2)26516516
Thailand                   Oce (Thailand) Ltd.                   M.A.M.E. van Mierlo             Bangkok          (2)2607133
                           ___________

                           Other countries
Brazil                     Oce-Brasil Comercio e                 S. Notermans                    Sao Paulo        (11)36222200
                           Industria Ltda.
South Africa               Oce Printing Systems                  T. Venediger                    Johannesburg     (11)2586000
                           (South Africa) (Pty.) Ltd.
                           ___________

                           Direct Export
Netherlands                Oce Direct Export                     J.W. Verschaeren                Venlo            (77)3592222
                           ___________

                           Lease companies
Australia                  Oce-Australia Finance Pty. Ltd.       P.W.M. Thomassen                Scoresby         (3)97303333
Germany                    Oce-Deutschland                       L. Bockholts                    Mulheim/Ruhr     (208)48450
                           Leasing G.m.b.H.
France                     Oce-France Financement S.A.           A. Gimenez                      Saint-Cloud      (1)45925055
Spain                      Oce-Renting S.A.                      E. de Sus                       Barcelona        (93)4844800
United Kingdom             Oce (UK) Finance Limited              N. Anderson                     Loughton         (20)85085544
United States              Oce-Credit Corporation                S. Schulein                     Purchase, NY     (914)6941116
                           ___________

                           Minority holdings
Cyprus                     Heliozid Oce -Reprographic            25%
                           (Cyprus) Ltd.
Germany                    Interface A.G.                        11%
Hungary                    Szenzor Szamitokozpont Kft.           34%
Singapore                  Datapost Pte. Ltd.                    30%
</TABLE>

89
<PAGE>

                           _____________________________________________________
                           List of terms and abbreviations

                 Analogue  In relation to copiers: producing a copy with the
                           aid of a photo-lens in a stand-alone machine; the
                           opposite of digital (see below).

         Asset management  Organisation and management of assets within a
                           company.

    Book-on-demand system  Digital printing system used for the printing of
                           books.

        Business Graphics  Materials (supplies) for making high quality
                           colour prints, especially on transparent film for
                           presentations (see also Display Graphics).

                      CAD  Computer Aided Design: Designing with the aid of the
                           computer.

           Call screening  Using the computer to receive a call for a
                           service visit and to determine the technical and
                           logistic urgency of that call.

`Captive' lease companies  Lease companies with which fixed contracts have been
                           concluded.

Coating                    Applying a special (usually chemical) layer to paper
                           or polyester.

    Continuous-feed paper  Technology in which fanfold paper (paper folded
                           in a zigzag pattern) is fed continuously through the
                           printer.

               Controller  In relation to printer systems: an electronic device
                           which converts input data into a format which can be
                           understood by the printer.

      CopyPress technique  System in which the toner is `pressed' into the paper
                           to produce copies with the same quality as offset
                           printing.

                Copy shop  Business that specialises in making copies and prints
                           for third parties.

         Cutsheet printer  Printer which is fed with loose sheets of paper (as
                           opposed to fanfold and roll feed).

                    Diazo  Abbreviation of the word diazonium, a compound which
                           is coated onto paper so that images can then be
                           developed on the paper after exposure to light; a
                           process formerly known as dyeline printing.

                  Digital  In relation to copiers and printers: producing a copy
                           or print by means of laser or LED exposure, in a
                           machine which can be linked up to a network; used
                           here as the opposite to analogue (see above).

             Digitisation  The conversion of information into digital codes.

   Direct Imaging Process  System in which the image is transferred direct from

                     drum  the exposure drum to the copying material.

         Display Graphics  Large format colour prints of images, e.g. on
                           posters, banners and billboards.

      Document management  All activities involved in the preparation, copying/
                           printing and finishing of documents.

        Document Printing  (Previously known as Office Systems). Used by Oce to
                  Systems  refer to the market for copying and printing in
                           office environments.

           dpi resolution  Dots per inch resolution: indicates the degree of
                           detail shown on a print.

               E-business  Buying and selling and paying for articles/products
                           via the Internet/Intranet.

              EDP segment  Electronic Data Processing: market segment in which
                           the processing of information by computers is the
                           main activity.

    Electronic Production  Production (printing) and processing of documents in
                 Printing  high volumes.

                      ERP  Enterprise Resource Planning: planning of business
                           activities using specially developed software.

                   Engine  Complete driver and controller unit for a printer.

        Facility Services  Where the supplier of certain products handles the
                           work involved in the use of those products;
                           specifically in those cases where Oce performs
                           copying and printing activities on a customer's
                           premises at that customer's request.

          Fanfold printer  High volume printer for processing fanfold
                           (continuous-feed) forms.

              Full colour  Image reproduced entirely in colour.

             Hard copying  Processing a document in printer to produce a
                           version (hard copy) on paper or another carrier
                           material.

          Human resources  The recruitment and development of personnel to
               management  fulfill posts within a business.

          ICT development  Capacity based on developments in information and
                 capacity  communication technology.

         Imaging Supplies  Materials which are used (mainly as information
                           carriers) in copying, printing and plotting, e.g.
                           paper, films, labels etc.

        Inkjet technology  Specific printing technology in which fine droplets
                           of ink are used to build up the printed image.

                Interface  As used at Oce: refers to a computer-based com-
                           munication system between user and central repro
                           department.

              Job printer  A business specialising in making copies and
                           prints for third parties.

       Matching principle  Buying in articles as much as possible in the same
                           areas where the relevant sales are achieved.

       Need-to-know-basis  Level of knowledge needed by an employee to perform a
                           job effectively.

         Network Printing  Using printers and servers to provide solutions for
                Solutions  the reproduction of documents in networks (chiefly
                           in office environments).

                      OCR  Optical Character Recognition: technology enabling
                           characters (e.g. letters, numbers etc.) to be
                           optically scanned and input into a storage device.

        One-stop shopping  Buying in as many products and services as
                           possible from one single supplier, such as copiers,
                           printers, system software, service support as well
                           as their financing.

        One-stop supplier  A supplier who can provide as many services
                           as possible, including copiers, printers, system
                           software, service support as well their financing.


                           ________
                           94
<PAGE>

                         ______________________________________________________

                         List of terms and abbreviations

                  OPC    Organic Photoconductor: light-sensitive and durable
                         photoconductor (drum) for transfer of images to
                         copying material.

          Outsourcing    Contracting out the total package of copying, printing
                         and finishing activities to the supplier (in this case
                         Oce).

Pay-out/pay-out ratio    The proportion of the net income that is distributed in
                         the form of dividend.

          Plain paper    Ordinary (untreated) paper.

             Plotting    The analogue or digital printing of designs (mostly
                         technical drawings) produced using CAD systems.

                  ppm    Prints per minute: used to denote the speed of a
                         machine's output.

            Pre-press    Preparatory activities prior to printing,

             Printing    The (repeated) production by a printer of an original
                         document using data stored in a digital memory.

Printing & Publishing    Printing and finishing complete publications in
                         relatively small print-runs for a client.

   Printing-on-Demand    Digital printing system for producing big or small
                         print-runs as and when required.

     Print resolution    Indicates the quality of a print. Resolution is
                         expressed in dots per inch (dpi).

  Production Printing    Used by Oce to refer to the market for printing systems
              Systems    as an application area.

     Pull information    Tuition and training information that becomes avail-
                         able at the moment it is required for the performance
                         of the job.

         Refurbishing    The complete overhaul of a machine.

      Remanufacturing    Replacing certain machine components and making the
                         required adjustments to settings so that the machine
                         will operate as new when placed in the market again.

                  SBU    Strategic Business Unit: the Oce business structure for
                         each application area.

              Scanner    Machine that reads an image digitally and then stores
                         it in digital form in a memory device.

         Scan-to-file    Digital scanning function in a machine. Used to store
                         information in digital form.

               Server    System that organises and controls the 'traffic'
                         between computers and the printer(s) connected to them.

          Spot colour    Localised transfer of colour to the carrier material,
                         in contrast to full transfer of colour (full colour).

          Stand-alone    A copier or printer which is not coupled up to a
                         network.

                 Swap    Interest rate hedging instrument used to change the
                         type of interest rate (fixed or variable) attached to a
                         loan. Also used as a verb: to swap.

            Technical    The copying and printing of wide format drawings in

Documentation Systems    technical environments, such as design engineering
                         offices, factories and architectural design offices.

 Tracking and tracing    Administrative system that enables an order to be con-
               system    stantly followed and monitored as it moves through the
                         logistics chain.

              US GAAP    American accounting principles (United States
                         Generally Accepted Accounting Principles).

       Volume segment    Internationally accepted industrial standard for
                         classifying the copying and printing markets into
                         segments based on the number of copies or prints
                         produced per machine per month.

 Wide Format Printing    (Previously known as Engineering Systems). Used by
              Systems    Oce to refer to the market for machines and supplies
                         for copying, printing and plotting of large format
                         documents.

  Workflow management    The organisation and management of projects.

                         _____

                         95