EANS-Adhoc: KTM Power Sports AG / KTM plans new bond issue

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ad-hoc disclosure 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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22.03.2012

NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN OR INTO THE UNITED
STATES, UK, CANADA, JAPAN, AUSTRALIA OR TO U.S. PERSONS

22 March 2012

KTM plans new bond issue

- issue size of EUR 75 mio - 5 year term - coupon: fixed interest
rate, payable half-yearly - proceeds will be used exclusively for
partial early repayment of bank loans granted to group companies

KTM Power Sports AG plans to issue a new bond. The actual offering is
subject to the approval of the listing and offering prospectus by the
Financial Market Authority which is expected for 30 March 2012. The
bond will have a volume of EUR 75 mio, a 5 year term and a
denomination of EUR 500.

The bonds will bear a fixed interest rate, payable half-yearly.

The proceeds will be used exclusively for the partial early repayment
of bank loans granted to group companies.

The bond is addressed both to retail investors in Austria as well as
to institutional investors. The bonds will be listed for trading on
the Regulated Market of the Vienna Stock Exchange.

Disclaimer:

The information contained in this announcement does not constitute an
offer to sell nor a solicitation to buy or subscribe for any
securities of KTM Power Sports AG. A public offer of securities of
KTM Power Sports AG may only be made in Austria after publication of
an approved prospectus. Any securities orders received prior to the
commencement of a public offer will be rejected. If a public offer of
securities of KTM Power Sports AG is made in Austria, a prospectus
will be published in accordance with the Austrian Capital Market Act
and will be available on the website of the company
(http://www.ktm.com/at/) and free of charge at KTM Power Sports AG,
Stallhofner Straße 3, 5230 Mattighofen, Austria, during usual
business hours.

In connection with an offer of securities of KTM Power Sports AG only
the information in the prospectus will be binding. Any information in
this announcement is not binding.

This information is not for release, publication or distribution in
or into the United States of America and may not be distributed to
U.S. persons (as defined in Regulation S under the U.S. Securities
Act of 1933, as amended (the "Securities Act")) or publications with
a general circulation in the United States. This information does not
constitute an offer of securities for sale in the United States.
Securities may not be offered or sold in the United States or to U.S.
persons absent registration or an applicable exemption from the
registration under the Securities Act. There will be no public offer
of securities of KTM Power Sports AG in the United States.

Further inquiry note:
KTM Power Sports AG
Mag. Viktor Sigl MBA
Tel: +43 7742 6000 144
Mail to: viktor.sigl@ktm.at

end of announcement euro adhoc
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issuer: KTM Power Sports AG
Stallhofnerstraße 3
A-5230 Mattighofen
phone: +43(0)7742/6000-0
FAX: +43(0)7742/6000-5216
mail: ir@ktmpowersports.com
WWW: www.ktm.com
sector: Technology
ISIN: AT0000645403
indexes: mid market
stockmarkets: official market: Wien
language: English