Corporate | 28 October 2009 17:46


ARAGON AG: Reorganisation of MEG AG not possible, no writedown requirement for Aragon

ARAGON AG / Miscellaneous

28.10.2009 

Dissemination of a Corporate News, transmitted by
DGAP - a company of EquityStory AG.
The issuer / publisher is solely responsible for the content of this announcement.

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  - Reorganisation of MEG AG not possible

  - No writedown requirement for Aragon

On 25 September 2009 Aragon AG had signed a contract to acquire 100% of the
shares in MEG AG, Kassel.

Aragon had intended to reorganise the company, which is involved in the
private health insurance sales sector and had got into difficulties
threatening its existence due to a number of poor business decisions taken
by the previous management. Following intensive due diligence over the last
few weeks, Aragon's management has come to the conclusion that a successful
reorganisation cannot be achieved because of the excessive existing
indebtedness. The management of Aragon had until recently collaborated with
the managing board, supervisory board and partners of MEG AG in efforts to
continue the business as a going concern, but was in the end forced to
decide against a continuation given the material circumstances. MEG AG has
consequently filed a request for the opening of insolvency proceedings.
 
In light of the chosen participation and transaction structure, Aragon does
not anticipate any writedowns from this transaction.

About Aragon AG

Aragon AG is a broadly diversified financial services company, with the
divisions:

Broker Pools, Financial Consulting, Institutional Sales and Holding (incl.
Banking & Banking Services). Aragon is active in the marketplace with
multiple independent subsidiaries. The company's aim is to integrate
various distribution models under one roof, without disturbing the
individual identity of each sales company. The result is a wide
diversification across various asset classes and distribution types, which
generates a high stability in corporate earnings. Further information about
the company and its subsidiaries can be viewed on the website:
www.aragon.ag.



Contact:
Aragon Aktiengesellschaft

Ralf Funke
Investor Relations
Tel.: +49(0)611 890 575-0
Fax:  +49(0)611 890 575-99
E-Mail: ir@aragon.ag




28.10.2009  Financial News transmitted by DGAP

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