This impairment has solely resulted from the impairment test of the goodwill of GEA's Italian subsidiary Pavan S.p.A. acquired in November 2017. In fiscal years 2018 and 2019, the economic performance of the Pavan Group was well below expectations. It was therefore decided by GEA to separately monitor the company's goodwill and business progress as well as to take restructuring measures with effect from October 2019. The current business plan for the Pavan Group anticipates a business development that will continue to be significantly below the business plan assumed at the time of the acquisition. This has led to the complete impairment of the goodwill of the Pavan Group.
Furthermore, overall, GEA is making rapid progress with its restructuring programs and has therefore accelerated the recognition of restructuring expenses. In comparison to the previously expected amount of up to EUR 55 million, this amount now totals approximately EUR 105 million on an EBITDA level in fiscal year 2019. The difference mainly results from accelerated restructuring expenses in the amount of approximately EUR 47 million that have already been accrued for the planned reduction of a total number of 800 full-time employees by the end of 2020.
The impairments and restructuring expenses will have no earnings effect on the key financials underlying GEA's guidance for 2019. These figures include primarily sales revenue, EBITDA* as well as ROCE*, each adjusted for restructuring expenses.
Nonetheless, there will be an impact on specific key financial indicators like reported EBITDA and ROCE, net income, earnings per share, as well as the company's equity and leverage ratios. In turn, this will result in a negative reported EBIT as well as a negative net income for fiscal year 2019. However, GEA does not anticipate any effect on the dividend proposal for fiscal year 2019.
Furthermore, preliminary key financials indicate that the results for the 2019 fiscal year are in line with GEA's guidance. Both order intake at an estimated EUR 4.93 billion and consolidated revenues, which are expected to total EUR 4.88 billion, are slightly higher than the previous year. As to EBITDA before restructuring, GEA is expected to achieve a level that ranges between EUR 470 million and EUR 480 million. ROCE before restructuring is expected to amount to approximately 10 percent.
The final figures and the Annual Report for fiscal year 2019 will be released on March 17, 2020.
* EBITDA and ROCE, each before restructuring, as defined in the 2018 Annual Report for fiscal year 2019, p. 28 f, forecast p. 127