DGAP-News: SKW Stahl-Metallurgie Holding AG / Key word(s): Preliminary Results SKW Stahl-Metallurgie Holding AG: PRELIMINARY H1 FIGURES: SKW METALLURGIE GROUP CONFIRMING FULL YEAR GUIDANCE 08.09.2016 / 15:26 The issuer is solely responsible for the content of this announcement. --------------------------------------------------------------------------- * Full year guidance confirmed despite challenging market environment * Adjusted H1-2016 EBITDA of EUR 6.8 million * Continuously positive operative cash flow * High optimism for conclusion of bank negotiations in September 2016 München/Munich (Germany), September 8, 2016 // The SKW Metallurgie Group (WKN SKWM02 / ISIN DE000SKWM021), globally leading supplier of solutions for primary and secondary metallurgy for the steel industry, could keep H1-2016 revenues - according to preliminary figures - at EUR 125.0 million (H1-2015: EUR 153.0 million) and hence at the expected level, despite additional burdens from the steel crisis. Through further operative successes of the restructuring program ReMaKe 2.0, the Group could over-compensate volume decreases from the steel crisis and is hence expecting adjusted EBITDA of EUR 6.9 million (H1-2015: EUR 12.1 million); in an annualized analysis; the full year guidance of at least EUR 10 million is thereby clearly reached. The operative cash flow is continuously expected positive, which fact is underlining the basic operative strength of the SKW Metallurgie Group also in crisis times. Despite initial positive impetus from North America, no significant change of the steel economy is expected for H2, compared to the prognoses from the beginning of the year. Rather, the developments in Europe and South America remain significantly behind the hitherto expectations. Nevertheless, the SKW Metallurgie Group maintains its full year guidance (revenues at least EUR 250 million; adjusted EBITDA at least EUR 10 million) without any changes. The SKW Metallurgie Group and its financing banks had agreed in the context of talks re the adjustment of the current syndicated loan contract to extend the so-called waiver of banks' rights to extraordinary termination until September29, 2016. The respective termination rights result from the global steel crisis, which - through its repercussions onto the SKW Metallurgie Group - caused the default of financial covenants of the syndicated loan as of Q3-2015. The company remains optimistic to reach during the further course of the year a solution for the continued financing of SKW Stahl-Metallurgie Holding AG and the SKW Metallurgie Group that is of mutual satisfaction for all involved parties. All figures published herein are preliminary and have not yet been subjected to auditors' review. SKW Metallurgie is to publish the final business figures for H1-2016 - with respect to the ongoing refinancing negotiations - on September 30, 2016, as scheduled. Contact SKW Stahl-Metallurgie Holding AG Christian Schunck Head of IR and Corporate Communications Prinzregentenstr. 68 81675 München Germany Phone IR/Press: +49 89 5998923-22 Fax: +49 89 5998923-29 E-Mail: [email protected] About SKW Stahl-Metallurgie Holding AG and the SKW Metallurgie Group The SKW Metallurgie Group is a global market leader for chemical additives for hot metal desulphurization and for cored wire and other products for secondary metallurgy. The Group's products enable steel-makers to efficiently manufacture high-quality steel products. Clients include the world's leading companies in the steel industry. The SKW Metallurgie Group has more than 50 years of metallurgical know how, and currently operates in more than 40 countries. What is more, the Group is a leading supplier of Quab specialty chemicals, which are mainly used in the global production of industrial starch for the paper industry. The SKW Metallurgie Group is headquartered in Germany with production facilities in France, the US, Canada, Mexico, Brazil, South Korea, Russia, the Peoples' Republic of China and India (joint venture). The Group reached total revenues of EUR 285.5 million in 2015 and employs around 650 staff members (as of Dec. 31, 2015). Shares of SKW Stahl-Metallurgie Holding AG have been listed in Frankfurt Stock Exchange's Prime Standard since December 1, 2006; since 2011 (conversion to name shares) with ISIN DE000SKWM021. Disclaimer This press release may include certain forward-looking statements which are based on currently available assumptions and predictions of the SKW Metallurgie Group's management as well as on other currently available information. Various identified as well as unidentified risks and uncertainties as well as other factors may result in a deviation of actual results, financial situation, development or achievement of the company compared to the assessments made herein. SKW Stahl-Metallurgie Holding AG does not intend and assumes no liability to update such forward-looking statements and to adjust them to future events and developments. --------------------------------------------------------------------------- 08.09.2016 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Archive at www.dgap.de --------------------------------------------------------------------------- Language: English Company: SKW Stahl-Metallurgie Holding AG Prinzregentenstr. 68 81675 München Germany Phone: +49 (0)89 5998923-22 Fax: +49 (0)89 5998923-29 E-mail: [email protected] Internet: www.skw-steel.com ISIN: DE000SKWM021 WKN: SKWM02 Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Munich, Stuttgart, Tradegate Exchange End of News DGAP News Service --------------------------------------------------------------------------- 500091 08.09.2016