Deutsche Steinzeug Cremer & Breuer AG / Interim Report/Capital Reorganisation 18.11.2009 Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted by DGAP - a company of EquityStory AG. The issuer is solely responsible for the content of this announcement. --------------------------------------------------------------------------- Deutsche Steinzeug Cremer & Breuer AG / Results of the 3rd quarter 2009 1. Earnings before interest, taxes and depreciations (EBITDA) before burdens resulting from restructuring measures slightly improved during the 3rd quarter of 2009 compared to the 2nd quarter of 2009 by approx. EUR 0.1 m to EUR1.5 m (at the end of September 2009). Additionally, short-term assets as well as inventories could be further reduced. Thus, a trend reversal regarding the overall development has been achieved, also when compared to the past business year, as in 2008 the result in the 3rd quarter declined significantly compared to the 2nd quarter. Furthermore, sales in the 3rd quarter slightly exceeded the average figures of the first 2 quarters in 2009, confirming the stabilization trend. On an accumulated basis, sales at the end of September 2009 amounted to approx. EUR 149.4 m, thus approx. 17% below the figures of last years' corresponding period - as it was the case at the end of the first half year. However, besides economic burdens mainly related to the export demand the decline in sales results for more than 50% from an intentional reduction of the product range in parts of the low-price segment. Burdens resulting from restructuring measures are mainly related to accruals for severance payments in the course of the planned cut of up to 100 jobs within the Group, in order to adopt the existing structures of the company to the lower level of sales as well as from depreciations resulting from changes in the product range in the course of the restructuring process. Additionally, a further reduction of costs has been planned in all divisions, the implementation of which has already started to a large extent. Regarding the business year 2010, the company expects a constant development of the sales on the current sales level and an approximately balanced financial result after tax on the basis of the intended refinancing of the company until the end of the year, including a significantly reduced interest burden. 2. After intensive negotiations, the company and its lenders have agreed on 18 November 2009 on an improvement of the balance sheet structure as well as commercially on a sustainable prolongation of the existing financing. On 18 November 2009, the lenders waived parts of the loan and outstanding interest payments in a total amount of approx. EUR 32 m. This debt waiver has been combined with a so called debtor warrant, according to which the waived loan receivables will revive to an amount of 75% of the earnings before taxes the company will realize within the business years 2010-2012. Apart from that the then existing waived loan receivables will revive gradually not before a major part of the remaining loans will have been repaid out of the operative business. Furthermore, the waived loan receivables will also partly revive - amongst others - after the realization of a so called debt-equity-swap, which means the conversion of loans into equity in the course of an increase of statutory capital. This debt waiver will result in a significant stabilization of the equity basis of the company as well as in a reduction of the interest burden. Subject to an agreement on a legally binding contract, the company and the lenders also commercially agreed upon the prolongation of the remaining loans until 31 July 2013, a reduction of the interest payments related to the loan as well as the granting of an additional loan to the amount of EUR 5 m. 18.11.2009 Financial News distributed by DGAP. Medienarchiv at |[![CDATA[|[a href="http://www.dgap-medientreff.de"|]www.dgap-medientreff.de|[/a|]]]|] and |[![CDATA[|[a href="http://www.dgap.de"|]www.dgap.de|[/a|]]]|] --------------------------------------------------------------------------- Language: English Company: Deutsche Steinzeug Cremer & Breuer AG ServaisstraÃe 9-31 53347 Alfter-Witterschlick Deutschland Phone: +49 (0)228 391-1208 Fax: +49 (0)228 391-301208 E-mail: info@deutsche-steinzeug.de Internet: www.deutsche-steinzeug.de ISIN: DE000A0JQ429 WKN: A0JQ42 Listed: Regulierter Markt in Berlin, Frankfurt (General Standard); Freiverkehr in Düsseldorf, Stuttgart, Hamburg End of News DGAP News-Service ---------------------------------------------------------------------------
DGAP-Adhoc: Deutsche Steinzeug Cremer & Breuer AG:
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