euro adhoc: Neschen AG / Restructuring & Recapitalisations / Neschen AG - amendment of EbIT / EbITDA and capital increase

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Disclosure announcement transmitted by euro adhoc. The issuer is responsible
for the content of this announcement.
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08.05.2007

Due to the incorrect allocation of activated deferred taxes as well
as a reclassification of a tax refund received in the Netherlands,
the data reported for EbIT and EbITDA within the ad hoc announcement
of March 14th 2007 is not correct.

For the financial year of 2006 the EbIT is -0.6 EURMio. (2005: -4.0
EURMio.) and the EbITDA is 0.5 EURMio. (2005: 2.4 EURMio.). The
adjusted EbIT, excluding the restructuring costs, is 4.6 EURMio.

The reported result after tax of -3.3 EURMio (2005: -9.4 EURMio.)
remains unchanged.

The turnover of 33.8 EURMio. in the first quarter of 2007 lies within
the expected range. EbIT is 2.1 EURMio. (6.3%); the result after tax
is slightly above budget.

Furthermore the Members of the Board have decided today to increase
the current subscribed capital of 8.75 EURMio. by the authorized
capital of 4.375 EURMio., up to 13.125 EURMio. by issuing common
shares without nominal value.

The newly issued shares, which strengthen the equity, with an
entitlement to dividends from January 1st 2007, can be drawn by the
shareholders at a ratio of 2:1 and a price of Euro 1.10 per share
between May 15th and May 31st.

As agreed in the recapitalisation agreement signed with Neschen AG
the US-investment bank Bear Stearns will purchase up to a maximum of
three million of the unsubscribed shares. Due to the structure of the
shareholders the Members of the Board expect to place the total
allocated capital increase.

end of announcement euro adhoc 08.05.2007 16:04:05
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ots Originaltext: Neschen AG
Im Internet recherchierbar: http://www.presseportal.de

Further inquiry note:
Jan Marzinowski
Tel.: +49 (0)5722 207 153
E-Mail: j.marzinowski@neschen.de

Branche: Process Industries
ISIN: DE0005021307
WKN: 502130
Index: CDAX
Börsen: Börse Berlin-Bremen / free trade
Hamburger Wertpapierbörse / free trade
Baden-Württembergische Wertpapierbörse / free trade
Börse Düsseldorf / free trade
Frankfurter Wertpapierbörse / official dealing/general
standard
Niedersächsische Börse zu Hannover / official dealing