Ad-hoc | 21 August 2007 11:54
XING AG / Letter of Intent/Strategic Company Decision Release 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. ---------------------------------------------------------------------- Hamburg, August 21, 2007 - The Management Board of XING AG (ISIN: DE000XNG8888) signed a Letter of Intent to dispose of the subsidiary First Tuesday AG, Zurich. In selling First Tuesday AG, XING aims to reduce the ongoing cost of maintaining the legal entity as well as reduce the ongoing operating costs associated with the local personnel and other expenses. Management of the key customer relationships, which comprised the prime activity of the company, has already been relocated to XING AG in Hamburg. Several parties have registered their interest with XING in acquiring the remaining assets of the subsidiary. XING management expects the transaction to be completed within Q3 2007 and to have an overall negligible effect on the net assets of the Company. In addition, the disposal is expected to have an overall positive effect on the EBITDA margin that had previously been negatively impacted by the losses arising from the subsidiary. Important note: This notice contains forward-looking statements concerning company activities, business and member development, financial results of the XING AG and/or the industry in which the company is active. These forward-looking statements can generally be identified by words such as 'estimates', 'assumes', 'expects', 'plans', 'intends', 'predicts', 'targets', 'anticipates', and variations of these words and similarexpressions. The forward-looking statements contained in this notice, as well as estimates, opinions, and views of the company or information provided by third parties, are based on current plans, estimates, anticipations, and predictions, and involve certain uncertainties and risks. Therefore, actual future results, developments and trends may differ materially from what is forecast in the forward-looking statements contained in this notice. The company does not assume any responsibility for such risks, and makes no guarantee as to the accuracy and completeness of the assumptions and estimates upon which the forward-looking statements are based, nor does the company or its bodies ensure the correctness of the statements contained in this press release. Information and statistics from external sources should not be interpreted as having been inspected by the company. Neither the company nor its bodies undertake any obligation to update or publicly release any revision to the forward-looking statements contained within this notice. --------------------------------------------------------------------------- Information and Explaination of the Issuer to this News: About XING: XING makes your professional network an active part of your life. Far more than a directory of business contacts, XING enables its members to discover professional people, opportunities and privileges through its unique discovery capability and advanced contact management tools. With the successful IPO of XING as the first Web 2.0 company to go public, XING AG has had a long-term impact on the social networking trend amongst professionals. By focusing on the target group 'business people worldwide', the company is able to offer tailored features, thereby making networking and contact management simpler. Besides Headquarters in Hamburg, XING AG is also represented with offices in Barcelona (eConozco, Neurona), Beijing and Zurich. XING. Powering Relationships. Contact: Daniela Hinrichs VP Corporate Communications Gaensemarkt 43 20354 Hamburg Germany Phone +49 40 419131-19 Fax +49 40 419131-11 daniela.hinrichs@xing.com 21.08.2007 Financial News transmitted by DGAP ---------------------------------------------------------------------- Language: English Issuer: XING AG Gänsemarkt 43 20354 Hamburg Deutschland Phone: +49 (0)40 419 131-10 Fax: +49 (0)40 419 131-11 E-mail: investor-relations@xing.com Internet: www.xing.com ISIN: DE000XNG8888 WKN: XNG888 Indices: Listed: Amtlicher Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin, Düsseldorf, München, Stuttgart End of News DGAP News-Service ---------------------------------------------------------------------------