Corporate | 25 January 2006 10:24

Lloyd Fonds reporting a substantial increase in revenues and net income

Corporate-news transmitted by DGAP. The issuer is solely responsible for the content of this announcement. —————————————————————————— · 70% increase in net income for 2005 to EUR 16 million · Rise in revenues to EUR 70 million (2004: EUR 52 million) · Equity placed climbing to EUR 242 million and USD 52 million · Proposed dividend of EUR 1.10 Hamburg, January 25, 2006. Listed company Lloyd Fonds AG, one of the leading arrangers of closed-end funds, has released its preliminary figures for the fiscal year ending on December 31, 2005. The Company achieved a substantial increase in revenues, profit and equity placed in 2005. According to preliminary figures, revenues rose from EUR 52 million in 2004 to over EUR 70 million in 2005. Preliminary EBIT came in at EUR 20 million, an increase of around 50% over the previous year’s figure of EUR 13.5 million. Projected consolidated net income for the year surged by over 70% to more than EUR 16 million (2004: EUR 9.5 million). In a complex market impacted by many short-term statutory and tax-related modifications, Lloyds Fonds achieved a record volume of capital placed of EUR 242 million plus an additional amount of USD 52 million. 19 euro-based funds and two USD-based funds were distributed. This translates into equity placed of EUR 286 million (2004: EUR 191 million) and thus an increase of around 50 percent in revenues. As a result, Lloyd Fonds was able to defend its position as one of the fastest-growing fund arrangers in Germany. “With its preliminary figures, Lloyd Fonds is demonstrating its position as a profitable fund arranger. The sharp growth in revenues and net income is due to both the quality of our products and the solid financials achieved in all segments,” explains Dr. Torsten Teichert, CEO of Lloyd Funds AG. “We are very satisfied with the results and expect to see a continuation of our very successful performance this year. Thus, the commencement of distribution activities for the Lloyd Fonds ship portfolio with equity of USD 137 million is being commenced in the first quarter and, given the high speed at which it is being placed, will achieve record results.” Since 1995, a cumulative total of over EUR 869 million has been placed and an investment volume of EUR 2.6 billion realized. In 2005, the planned diversification made further progress. Whereas ship funds had accounted for around 94% of all equity placed in 2004, this figure dropped to around 85% in 2005, with the balance of 15% split between the high-growth segment of secondary-market US life insurance policies and regenerative energies (2004: 6%). Thanks to careful preparations, Lloyd Fonds was not affected by the abolition of loss-allocation models as over 80 percent of the equity acquired was already being invested in return-oriented models in 2005. The final figures for 2005 will be released in tandem with the annual report on April 25, 2006. The annual general meeting is scheduled for June 29, 2006. Expected dividend of EUR 1.10 At the annual general meeting, Lloyd Fonds will be asking shareholders to approve a dividend of EUR 1.10 per share for fiscal 2005. On the basis of the current stock price of EUR 16.25., this is equivalent to a high dividend yield of 6.8%. “With the planned dividend for 2005, Lloyd Fonds is offering all investors an attractive return. This makes it one of the top companies in terms of dividend yield in Germany,” stresses Holger Schmitz, CFO of Lloyd Fonds AG. “As a result of the stock market flotation, the payout for 2005 will be lower but should rise to a level of 90% typical of the sector in ensuing years.” Outlook Lloyd Fonds is expecting a substantial increase in equity placed of roughly 30% to EUR 370-390 million in 2006. In the first quarter of 2006, Lloyds Fonds is placing a ship fund worth USD 137 million exclusively through Deutsche Bank. At the same time, the Flottenfonds VIII ship fund and the third fund comprising secondary-market US life insurance policies is in the placement phase. Lloyd Fonds will continue diversifying into further asset classes. About Lloyd Fonds AG: Lloyd Fonds AG is one of the top arrangers of closed-end investment funds in Germany. Since 1995, it has initiated a total of 67 funds, with those placed in 2005 accounting for equity of EUR 286 million alone. Over the past few years, the range of products has been extended step by step to include real estate, regenerative energies and the UK secondary life insurance market, with cumulative investment volumes rising to over EUR 2.6 billion. To date, over 19,000 investors have subscribed to the Company’s funds. Lloyd Fonds owes its success to its ability to arrange transparent fund offerings yielding high returns. In 2005, over 80 percent of the equity acquired was already being invested in return-oriented models and was thus not dependent on loss-allocation models. The positive performance of Lloyd Fonds AG products has been repeatedly confirmed by independent research institutes and fund experts. Lloyd Fonds AG has been listed on the Frankfurt stock exchange since October 28. WKN: 617487 ISIN code: DE0006174873 Reuters: LO1 Press inquiries Lloyd Fonds AG Neuer Wall 72 20354 Hamburg presse@lloydfonds.de For questions on the Company: Dr. Götz Schlegtendal Telephone: +49 40 325678-148 For questions on the products Hendrik Duncker Telephone: +49 40 325678-145 End of announcement (c)DGAP 25.01.2006 —————————————————————————— WKN: 617487; ISIN: DE0006174873; Index: Listed: Amtlicher Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin- Bremen, Düsseldorf, Hamburg, München und Stuttgart