2000 2001 2002 2003 2004 Expenses for product  developement and design (million €) 10 20 30 40 +19.6% +9.3% +22.0% +23.4% +23.3% Foreword | Mission |  Management Report  | Share | Marketing | Consolidated Financial Statements - IFRS - | Report of Supervisory Board | Board of Management 30 The team was expanded. At the end of 2004, the product development and design area had 344 employees, a 20.7% increase over the previous year’s level of 258 employees.  Investments for product development and design increased faster than sales at 23.3%, rising from € 29.9 million to € 36.9 million. Product development and design are of growing importance for ensuring PUMA’s sustained success and profitability and for  satisfying consumer requirements on a permanent basis. Higher Investments in Product Development and Design PUMA’s Product Philosophy  Product Development and Design Yasuhiro Mihara, Philippe Starck, Neil Barrett, Jil Sander and Christy Turlington, who are primarily engaged in developing  product concepts in the higher-priced segment. The main  challenge for our designers and product developers is to  successfully track trends and continuously create unique product concepts.  PUMA’s independent and unique product philosophy enables it to adapt and respond to new challenges. Through the successful interplay of creative influences from the world of sports, lifestyle and fashion, PUMA inspires a broad range of consumers in the sports arena, at the club, or on the street. Innovation, design and product development go hand in hand.  Product development centers are located in Herzogenaurach /Germany, Boston/USA, Taiwan and, since mid-2004, London/UK. The PUMA team is supplemented by external know-how through cooperative relationships with well-known designers such as