EANS-Adhoc: Restructuring of the Beta Systems Group leaves its mark on the provisional results for the fiscal year 2010

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ad-hoc disclosure pursuant to section 15 of the WpHG transmitted by euro
adhoc with the aim of a Europe-wide distribution. The issuer is solely
responsible for the content of this announcement.
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Preliminary Key Financial Data for fiscal 2010

04.03.2011

• Group generates positive result: net income with non-recurrent
effects through the disposal of the ECM business and with special
factors influencing continued operations • Termination of sales
partnerships and adjusted business model result in revenues declining
by EUR 4.6 million to EUR 47.7 million in continued operations •
Expenses for reorganization and restructuring following the ECM sale
burden the results of 2010 in an amount of EUR 4.6 million in
continued operations • Socially responsible adjustments to personnel
structures almost completed • Permanent savings of up to EUR 5.0
million expected per fiscal year • Application for switching the
stock exchange segment to General Standard

Berlin, March 4, 2011 - The sale of the ECM business and the
subsequent start to the process of reorganizing and restructuring the
company were factors influencing the course of business of Beta
Systems Software AG (BSS, ISIN DE0005224406) and its results to
varying degrees, both positive and negative, in 2010. Based on
provisional figures and subject to the audit of the annual accounts
pursuant to IFRS, the sum total of these overlapping effects resulted
in the company delivering a consolidated pre-tax profit, including
the results from continued and discontinued operations, of EUR 0.7
million in 2010. A positive result for the year was also generated in
respect of Beta Systems Aktiengesellschaft (separate financial
statements drawn up under the German Commercial Code (HGB)).

The major factors of influence were the non-recurrent effects from
the ECM sale which came to EUR 5.4 million (before taxes and
including the results of the ECM business through to May 31, 2010),
provisions of EUR 4.6 million formed for reorganization and
restructuring, and the decline in sales of EUR 4.6 million in
continued operations. The downturn in revenues resulted from the
termination of less profitable sales partnerships and the gradual
realigning of the business model, initiated in 2010. In order to
achieve a more even and usage-dependent cost burden, many customers
followed the trend of preferring flexible, modular,
subscription-based usage and price models to high, one-off
investments for software licenses. Beta Systems has taken account of
these market trends by adjusting its business model accordingly.

Other provisional key data for the fiscal year 2010 at a glance
(pursuant to IFRS)

• EBIT prior to reorganization and restructuring: EUR 1.0 million (2009:
EUR 2.4 million)
• EBITDA prior to reorganization and restructuring: EUR 3.9 million (2009:
EUR 5.2 million)
• EBIT including reorganization and restructuring: EUR -3.5 million (2009:
EUR 2.4 Mio.)
• Consolidated pre-tax profit including the result

of discontinued ECM operations: EUR 0.7 million (2009: EUR 1.9
million)

Socially responsible adjustments to personnel structures As a result
of cost optimization following the sale of the ECM business, a
decision was made to scale back up to 20% of jobs in general central
administration and support functions as well as in downstream
functions in sales and development both in Germany and abroad. The
relevant discussions with employee representatives and employees have
already reached an advanced stage. In order to carry out this
redimensioning in as socially a responsible fashion and as
efficiently as possible, measures take account of the whole range of
instruments available for making suitable offers, such as severance
payments, early retirement, reducing working hours or supplementary
benefits. The process is expected to have been concluded by the first
quarter of fiscal 2011. The respective provisions of EUR 4.6 million
have been included in the results of continued operations in 2010.

Permanently high level of savings The Management Board anticipates an
increasing level of savings of up to EUR 2.5 million in operating
expenses over the course of the year as against the fiscal year 2010.
In subsequent years, there will be a permanent savings effect in the
range of up to EUR 5.0 million, again in comparison with 2010.

Financing through funds received from the ECM sale In this context,
the proceeds received by the company from the ECM sale through to the
end of 2011 will be used primarily to fund the restructuring and
reorganization and, in addition, to secure investments in building up
the software and solutions portfolio.

Change to General Standard Furthermore, Beta Systems intends to
switch stock exchange segment and aims in future to be listed in the
General Standard of the Frankfurt Stock Exchange. To this end, an
application was made today to the Admission Board to rescind
admission of the shares to the segment of the regulated market with
post-admission obligations (Prime Standard). The reason for the
switch is that companies listed on Prime Standard are first and
foremost those targeting international investors. As, alongside the
major shareholders, almost exclusively national investors and private
investors currently hold shares in the company, the Management Board
and the Supervisory Board have come to the conclusion that the
financial and organizational effort involved in being listed on Prime
Standard is not commensurate in terms of the benefit for the company
and its shareholders and that these expenses could therefore be saved
in future.

end of ad-hoc-announcement

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Information and explanations on this ad-hoc release by the issuer:

Procedure for switching the stock exchange segment

The shares of Beta Systems Software AG are currently admitted for
trading in the regulated market of the Frankfurt Stock Exchange, with
parallel admission to the sub-segment of the Regulated Market
entailing post-admission obligations (Prime Standard). With the
approval of the Supervisory Board, the Management Board has today
decided to switch from listing on Prime Standard of the Regulated
Market to General Standard of the Regulated Market of the Frankfurt
Stock Exchange. The withdrawal of the admission becomes effective
upon expiration of three months after the decision on withdrawal by
the stock exchange management has been published on the Internet
(www.deutsche-boerse.com). The admission of the shares of Beta
Systems Software AG to the Regulated Market (General Standard)
remains unaffected.

Outlook for the fiscal Year 2011 and Annual Results Press Conference
The aforementioned figures are contingent on the audit of the annual
financial statements and the adoption and ratification of the
financial statements at Company and at Group level by the Supervisory
Board. The complete, adopted and audited 2010 annual financial
statements and the outlook for the fiscal year 2011 will be explained
by the Management Board as part of an online Annual Results Press
Conference on March 31, 2011, and published on the website at
http://www.betasystems.com under the Investor Relations/Financial
Reports heading.

Final remark All amounts (e.g. figures in € million) cited in this
information by the Company and information derived there-from (e.g.
percentage figures) are figures fully rounded up to thousands of
euros as presented in the provisional Consolidated Financial
Statements as at December 31, 2010.

End of the press release Beta Systems Software AG Beta Systems
Software AG (Prime Standard: BSS, ISIN DE0005224406) offers large
corporations high-end infrastructure software which spans sectors.
This software enhances the performance of a company’s IT in terms of
its availability, scalability and flexibility. Data centers optimize
their job and output management. Moreover, especially companies with
high numbers of users are supported in the automation of their IT
user administration. Improved security also serves to fulfill the
requirements placed on business operations in respect of governance,
risk management and compliance (GRC).

Beta Systems was founded in 1983, has been a listed company since
1997, and has a workforce of around 350 employees. The company’s
principal place of business is Berlin. Beta Systems operates through
Centers of Competence in Cologne and Calgary, as well as 14
subsidiaries worldwide and cooperations with numerous partner
companies. Throughout the world more than 1,300 customers use the
products and solutions of Beta Systems to improve their processes and
security in more than 3,200 running installations. At present, Beta
Systems generates 50 percent of its sales from international
business. Around 200 of its customers are based in the USA and
Canada. More information on the company and its products can be found
under www.betasystems.com.

You can also visit Beta Systems at www.twitter.com/BetaSystems and
www.facebook.com/BetaSystems as well as
www.xing.com/companies/betasystemssoftwareag

end of announcement euro adhoc
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ots Originaltext: Beta Systems Software AG
Im Internet recherchierbar: http://www.presseportal.de

Further inquiry note:

Press contacts
Company contact:
Beta Systems Software AG
Stefanie Frey
Senior Manager Investor Relations
Tel.: +49 (0)30 726 118-171
Fax: +49 (0)30 726 118-800
e-mail: stefanie.frey@betasystems.com

Agency contact:
HBI PR&MarCom GmbH
Alexandra Janetzko
Tel.: +49 (0)89 99 38 87-32
Fax: +49 (0)89 930 24 45
e-mail: alexandra_janetzko@hbi.de

Branche: Software
ISIN: DE0005224406
WKN: 522440
Index: CDAX, Prime All Share, Technology All Share
Börsen: Frankfurt / regulated dealing/prime standard
Berlin / free trade
Hamburg / free trade
Stuttgart / free trade
Düsseldorf / free trade