DGAP-Adhoc: Klöckner-Werke AG: Klöckner-Werke AG subsidiary sued by American beverage filling company

Klöckner-Werke AG / Legal Matter

20.05.2009 

Release of a Adhoc News, transmitted by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
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Frankfurt am Main, 20 May 2009 - KHS Inc. in Waukesha (USA), a subsidiary
of KHS AG, Dortmund (D) (itself a 100% subsidiary of Klöckner-Werke AG), is
involved in a legal dispute with its American customer - Gehl's Guernsey
Farms, Inc. ('Gehl'). The dispute relates to the supply of a filling system
for specific application purposes. The filling system was a pilot project
for achieving specific American licensing requirements for filling
specifically qualified types of liquid. Gehl and KHS, Inc. are in dispute
as to whether KHS properly fulfilled its supply obligations in line with
the contract.

According to the status of the negotiations and after advice from its
American lawyers, at the current point in time the Klöckner-Werke AG
Management Board can no longer exclude that Gehl will submit a claim for
damages against KHS Inc. at an arbitral tribunal in the United States.
However a charge has been raised against KHS AG - which has not yet been
serviced - for an unquantified amount for declaratory judgment at the US
District Court in Wisconsin.

The Management Board of Klöckner-Werke AG and KHS AG considers the
threatened request for arbitration and the suit already filed as
inadmissible and unsubstantiated and without substance overall. However, it
is to be expected that Gehl will assert considerable damages, presumably up
to USD 150 million. Klöckner Werke AG and KHS AG sees no reason for any
claim for damages on the part of Gehl in any level even approximating this
amount, as the alleged claims due to presumed infringement of the contract
with Gehl have no foundation. Klöckner and KHS will defend themselves
against the unfounded actions on the part of Gehl will all means at its
disposal.

The Management Board


Contact for further enquiries:
Klöckner-Werke AG
Andrea Spiekermann
Media/Investor Relations
Tel.: 069 90026-510
Fax: 069 90026-44-510
kommunikation@kloecknerwerke.com


DGAP 20.05.2009 
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Language:     English
Issuer:       Klöckner-Werke AG
              Postfach 17 04 55
              60078 Frankfurt am Main
              Deutschland
Phone:        +49 (0)69 900 26 0
Fax:          +49 (0)69 900 26 110
E-mail:       kommunikation@kloecknerwerke.de
Internet:     www.kloecknerwerke.de
ISIN:         DE0006780000, DE000A0WMQY3
WKN:          678000, WKN A0WMQY
Listed:       Regulierter Markt in Berlin, Frankfurt (Prime Standard),
              Hannover, Düsseldorf, Hamburg, München, Stuttgart
 
End of News                                     DGAP News-Service
 
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