Ad-hoc | 31 October 2000 08:46

Ad hoc-Service: Mayr-Melnhof Karton AG Q1-3 2

Ad hoc-Mitteilung übermittelt durch die DGAP. Für den Inhalt der Mitteilung ist allein der Emittent verantwortlich. —————————————————————————— RESULTS FOR THE FIRST THREE QUARTERS OF 2000 STRONG EARNINGS INCREASE – RECORD YEAR 2000 AT HAND .Operating profit +45%, Pre-tax profit +55% Net income +65%, Sales +20% .Very good development of both Divisions .Considerable rise in production – high utilization of capacities GROUP KEY INDICATORS – US GAAP Consolidated, in EUR millions 1-9/2000 1-9/1999 +/- Sales 802.4 666.2 +20.4% Operating profit 84.2 57.9 +45.4% Operating margin 10.5% 8.7% Pre-tax profit 81.8 52.9 +54.6% Net income 52.0 31.6 +64.6% in % of sales 6.5% 4.7% Due to strong demand from Western Europe and the continued improvement of the Eastern European markets, the Mayr-Melnhof Group again registered a very positive development of business also throughout the third quarter of 2000. The Cartonboard and Packaging Divisions both managed to compensate the high raw materials prices by a significant improvement in efficiency and increased sales prices. Due to a substantial rise in volume and prices, the Mayr- Melnhof Group registered consolidated sales of EUR 802.4 million for the first three quarters of 2000. This is an increase of 20.4% compared to the previous year. The operating profit rose by 45.4%, reaching EUR 84.2 million, resulting in an operating margin of 10.5% (Q1-3 1999: 8.7%). Income before income taxes and minority interests totaled EUR 81.8 million, exceeding the first three quarters of 1999 by 54.6% (EUR 52.9 million). The Group’s tax rate was approximately 35% (Q1-3 1999: approximately 40%). Altogether, it was possible to arrive at a net income of EUR 52 million between January 1st and September 30th 2000. These results yield a new record for the Company and represent an increase of 64.6% compared to the previous year. DIVISIONS CARTONBOARD in EUR millions, US GAAP 1-9/2000 1-9/1999 +/- Sales 523.1 433.5 +20.7% Operating profit 60.9 44.0 +38.4% Operating margin 11.6% 10.1% Tonnage produced (in 000’s of tons) 967 897 +7.8% PACKAGING in EUR millions, US GAAP 1-9/2000 1-9/1999 +/- Sales 352.3 283.0 +24.5% Operating profit 23.3 13.9 +67.6% Operating margin 6.6% 4.9% Tonnage converted (in 000’s of tons) 240 210 +14.3% RECORD YEAR 2000 AT HAND Following the very positive development during the first three quarters and a seasonally softer fourth quarter, we expect new record results in line with forecasts for the full year 2000. Both divisions should benefit from good capacity utilization until year end. Due to customer reduction of inventories, a decreasing inflow of new orders for cartonboard has been registered since October. However, at approximately 85,000 tons, the order backlog of the Cartonboard Division has remained at a high level. The procurement market has been characterized by signs of a decline in prices for individual waste paper grades (e.g. mixed waste paper) and pulp since the beginning of September. However, this has been overcompensated by a substantial rise in the key costs of energy (natural gas), transport and packaging and coating chemicals during the past few weeks, all resulting primarily from the increased oil price. Nonetheless, price stability should be possible until the first quarter of 2001. Due to the healthy economic outlook in Western Europe and the sustained recovery in Eastern Europe, we expect from a current perspective, a continuation of this positive development of results into the beginning of the coming year. For further information please contact: Stephan Werba, Investor Relations, Mayr-Melnhof Karton AG, Brahmsplatz 6, A-1041 Vienna Tel.: (+43/1) 50136, Fax: (+43/1) 50136 1195 E-Mail: investor.relations@mm-karton.com Website: http://www.mayr-melnhof.com Ende der Mitteilung