Press Release Financial Reports

GILDEMEISTER successfully completed capital increase 

Bielefeld. GILDEMEISTER Aktiengesellschaft has successfully completed its rights offering based upon a subscription ratio of 2:1. During the subscription period from June 2, 2004 until June 15, 2004 more than 99% of the subscription rights for the new shares were exercised by existing and new GILDEMEISTER shareholders. The 14.423.076 new shares from the capital increase will start trading on June 16, 2004.

Through the capital increase the company receives gross proceeds of Euro 59,9 million. The proceeds of the offering will be used to improve the equity capital, to reduce short-term and medium-term liabilities, to secure strategic options and the expansion in Asia. HVB Corporates & Markets and WestLB managed the capital increase.

GILDEMEISTER is currently considering to issue a corporate bond to further optimise the structure of its liabilities. HVB Corporates & Markets and WestLB are also expected to act as bookrunners of the bond issue.

GILDEMEISTER Aktiengesellschaft
The Executive Board

Disclaimer, Forward-looking statement

Disclaimer, Forward-looking statement

Statements relating to the future:

This press release contains forward-looking statements, which are based on current estimates of the management of future developments. Such statements are based on the management's current expectations and specific assumptions. They are subject to risks, uncertainties and other factors, which could lead to the actual future circumstances, including the assets, liabilities, financial position and profit or loss of GILDEMEISTER, differing materially from or being more negative than those expressly or implicitly assumed or described in these statements. The business activities of GILDEMEISTER are subject to a series of risks and uncertainties, which may result in forward-looking statements, estimates or forecasts becoming inaccurate. Should one of these factors of uncertainty or other unforeseeable event occur, or should the assumptions on which these statements are based prove incorrect, the actual results may differ materially from the results stated, expected, anticipated, intended, planned, aimed at, estimated or projected in these statements. Forward-looking statements must not be understood as a guarantee or assurance of the future developments or events contained therein.