Singulus Technologies AG

Quarterly Report • Apr 29, 2010

Report First Quarter 2010

Consolidated Statements IFRS for Fiscal 2010 as of 03/31/10 (unaudited)

Optical Disc

Solar

Dr.-Ing. Stefan Rinck, CEO Dipl.-Oec. Markus Ehret, CFO Dr.-Ing. Anton Pawlakowitsch, COO

Business trends and situation of the SINGULUS TECHNOLOGIES Group

The order intake in the 1st quarter 2010 of the SINGULUS TECHNOLOGIES Group (SINGULUS) developed favorably compared with the same quarter one year ago (1st quarter 2009: € 17.4 million) and came to € 39.8 million This level was therefore also significantly higher than the order intake in the 4th quarter 2009. Consequently, the order backlog amounts to € 45.6 million, considerably above the level recorded as per December 31, 2009 (€ 34.7 million). As expected the sales trend in the 1st quarter 2010 was still cautious. At € 21.6 million sales in the 1st quarter 2010 mainly reflect the global economic crisis in the year 2009 and the resulting weak business activities within the optical disc and solar sector. Project activities only started to recover towards the end of 2009 and new orders for the two segments Optical Disc and Solar were received in the 1st quarter 2010.

Financing of growth secured

SINGULUS successfully concluded a capital increase in the course of an accelerated book-building procedure with German and international investors. 3,694,640 shares entitled for profit attribution from the business year 2009 were placed at a price of € 4.10 per share. The gross cash flow for the company amounted to € 15,148,024.00. The means from the capital increase are predominantly intended for the financing of the planned growth and the development of new products in the solar sector as well as to a lesser extent for the reduction in debt.

In addition, a consortium of banks provides medium-term financing. A respective agreement was signed with the involved banks. In this connection a syndicated loan facility with new terms until the end of 2012 was agreed. Together with the cash available this credit line provides the SINGULUS Group adequate financial flexibility.

SINGULUS TECHNOLOGIES returns to TecDax

During its regular index review Deutsche Börse decided on March 3, 2010 to add SINGULUS to the TecDAX as per March 22, 2010 once again. Accordingly, SINGULUS was able to return to the growth segment of Deutsche Börse after six months only. The SINGULUS stock is increasingly gaining interest from national and international investors and moves into the focus of funds which are only allowed to invest within the respective indices. The share price rose to € 6.29 by April 28, 2010.

Optical Disc segment with Blu-ray on the upturn

Blu-ray increasingly reaches consumers worldwide. As a favorable trend the demand for the new format of the third generation continues to grow worldwide. In the first quarter the DEG, US, reported a high growth rate in the sales of Blu-ray Discs with a 74 % increase compared with the same quarter one year ago for the US, the largest entertainment market.

Three dimensional (3D) is a revolution - a bigger innovation than from black-and-white television towards color TV. According to the Consumer Electronics Association already 4.3 million HDTVs with 3D functionality could be sold in the US in 2010. Almost all of the consumer electronics companies have announced new, 3D enabled TVs. Accordingly, Sony, Panasonic, Samsing, LG and others have announced the market introduction of 3D enabled Blu-ray players and 3D television sets.

The euphoria for the market success of the new TV sets is big. The recent box office success of the movie Avatar produced by Twentieth Century Fox makes the entire sector hopeful for a further boost in growth. The studios of Disney and Dreamworks are working on several 3D movies and announced to produce all animated movies in 3D format in the future. Also Japanese movie studios follow this trend with their TV animation movie projects.

The Blu-ray Disc is the preferred storage medium of the future for high-definition 3D movies. With 3D movies the lifecycle of the Blu-ray Disc will be considerably extended.

The project and order trends for Blu-ray in the 1st quarter generally met our expectations. For the CD and DVD formats the market for replacement investments continued to be subdued.

Solar segment with first successes

SINGULUS has significantly expanded its activities in the Solar segment and intensified market activities. As a result, new machines for the photovoltaics industry have already been launched. SINGULUS cooperates with leading cell manufacturers both with respect to the development of improved cell concepts with higher efficiency and less expensive production technologies. The company's goal is to become a leader for the introduction of new technologies in silicon and thin-film solar technology.

In the future due to the available technologies, know-how and personal capabilities SINGULUS and STANGL will not only supply individual machines and equipment to the solar market but will also actively market complete systems for the solar market with process know-how for the manufacturing of silicon cells. SINGULUS and STANGL already possess the necessary expertise for wet-chemical and AR-coating processes. The expansion of the strategy – as machine supplier and system provider – will open new and additional opportunities for the company.

In the quarter under review SINGULUS received an order in the amount of about € 19 million from a leading European solar cell manufacturer for production equipment for the production of a new generation of thin-film solar cells. In close cooperation with this customer SINGULUS had developed the new process machine for thin-film solar technology in 2009 and was able to record the production order for the machine. This order is an additional step to firmly establish the company in the growing solar market with new equipment for important process steps.

Semiconductors

In December 2009 SINGULUS had signed a letter of intend to sell all shares of the HamaTech APE GmbH & Co. KG, Sternenfels, to the SÜSS MicroTec AG (SÜSS), Garching. The final purchase agreement was signed by both parties on January 12, 2010. SÜSS continued to employ all employees of APE at the Sternenfels site and the international subsidiaries. In the Semiconductors segment only the Nano Deposition activities are continued in Kahl.

Financial figures

Order intake and order backlog

The order intake of € 39.8 million in the 1st quarter 2010 was significantly higher than in the previous year (Q1 2009: € 17.4 million). The order backlog as per March 31, 2010 amounted to € 45.6 million and was thus slightly below the comparable level as of March 31, 2009 (€ 52.2 million).

Sales and earnings

Due to the weak order intake in the business year 2009 the sales of € 21.6 million in the 1st quarter 2010 did not reach the level of € 35.4 million achieved in the same period one year ago. Sales are split into € 18.6 million in the strategic segments Optical Disc (previous year: € 18.3 million) and Solar with € 2.7 million (previous year: 15.6 million).

The percentage regional breakdown of sales for the 1st quarter 2010 was as follows: Europe 50.5 % (previous year: 32.8 %), Asia 17.2 % (previous year: 23.3 %), North and South America 31.8 % (previous year: 40.6 %) as well as Africa and Australia 0.5 % (previous year: 3.3 %).

The gross margin in the 1st quarter stood at 32.5 %, slightly below the level of the prior-year period (33.2 %). In the 1st quarter 2010 earnings before interest and taxes (EBIT) in the amount of € -5.5 million were realized.

Operating expenses

In the period under review the total operating expenses amounted to € 12.4 million and were thus significant € 4.1 million less than in the prior-year period (€ 16.5 million). Adjusted for restructuring charges in the period one year ago the decline amounted to € 1.2 million.

SEGMENT REPORTING

	Segment "Optical Disc"		Segment "Solar"		Segment "Semiconductor"		Other		SINGULUS Group
	31/03/10	31/03/09	31/03/10	31/03/09	31/03/10	31/03/09	31/03/10	31/03/09	31/03/10	31/03/09
	[k€]	[k€]	[k€]	[k€]	[k€]	[k€]	[k€]	[k€]	[k€]	[k€]
Gross revenue	18,603	18,258	2,711	15,622	283	1,519	0	0	21,597	35,399
Sales deduction and direct selling costsn	- 337	- 369	- 40	- 162	0	- 6	0	0	- 377	- 537
Net revenue	18,266	17,889	2,671	15,460	283	1,513	0	0	21,220	34,862
Restructuring costs/ Impairment	0	- 2.975	0	0	0	0	0	0	0	- 2,975
Operating income (EBIT)	- 1,987	- 5,740	- 2,886	1,576	- 712	- 778	82	0	- 5,503	- 4,942
EBITDA	1,003	- 2,283	- 1,533	2,729	- 625	- 286	162	0	- 993	160

Balance sheet and liquidity

The long-term assets amounted to € 135.3 million and were therefore slightly below the year-end level in 2009 (previous year: € 139.6 million). Property, plant and equipment amounted to € 11.6 million and were therefore around previous year's level (€ 12.3 million). Capital expenditure for plant, property and equipment in the 1st quarter 2010 matched the prior-year level of € 0.2 million. Most of the spending was used for replacement investments. The capitalized development expenses amounted to € 25.3 million (previous year: € 26.5 million). In the first three months of 2010 the investments in developments declined to € 1.0 million (previous year: € 2.3 million). Scheduled write-offs and amortization amounted to € 2.3 million (1st quarter 2009: € 2.5 million). The other intangible assets declined by € 1.3 million in the quarter under review. This change is mainly due to write-offs an acquired customer bases as well as acquired technology from the acquisition of the Blu-ray Disc activities of the Oerlikon Balzer AG and from STANGL in the amount of € 1.2 million.

Current assets increased by € 14.3 million during the period under review. Specifically, the level of cash and cash equivalents rose by € 16.2 million. The increase is predominantly caused by the capital increase and the conclusion of the company disposal of the HamaTech APE GmbH & Co. KG. Accounts receivable due within one year showed an opposing trend compared with the December 31, 2009. They declined by € 3.3 million.

The short-term liabilities declined by € 16.7 million compared with the year-end level of 2009. This predominantly results from the regrouping of short-term to long-term bank loans in the amount of € 9.5 million as well as a repayment in the amount of € 1.3 million (cf. chapter bank liabilities). Moreover, the other short-term liabilities eclined by € 3.3 million, deferred tax liabilities by € 1.3 million as well as accounts payable by € 0.9 million.

The long-term liabilities increase analogous to the changes in the long-term bank liabilities.

Shareholders' equity

The shareholders' equity in the Group rose due to the capital increase and amounted to € 177.4 million as per March 31, 2010, above the prior-year level (€ 165.7 million). Equity in the amount of € 174.9 million is attributable to the shareholders of the parent company and € 2.5 million to minorities. The equity ratio stood at 67.2 % and thus considerably above the previous year's level (62.9 %).

Cash flow

In the 1st half of 2010 the operating cash flow of the Group of € -4.6 million was below the previous year's level (previous year: € -0.1 million). The cash flow from financing activities improved due to the capital increase and the conclusion of the company disposal of the HamaTech APE GmbH & Co. KG. Overall, the liquid funds increased by € 16.2 million in the quarter under review.

Risk report

During the first three months of the business year 2010 there were no changes regarding the risks depicted in the Annual Report for the year 2009.

Development of costs and prices

From our perspective the selling prices developed as planned in the 1st quarter of the business year. Material and personnel expenses also developed according to our budgets.

Changes in the Executive and Supervisory Boards

As of March 8, 2010, Dipl.-Oec. Markus Ehret was appointed as Chief Financial Officer. As of March 31, 2010 Roland Lacher handed over his position as Chief Executive Officer to Dr. Ing. Stefan Rinck. After the six month appointment to the Executive Board Mr. Lacher again assumed the position as Chairman of the Supervisory Board from April 1, 2010.

No additional changes in the members of the Executive and Supervisory Boards took place in the quarter under review.

Employees

The number of employees in the SINGULUS Group continued to decline from 572 employees as of December 31, 2009 to 483 employees as of March 31, 2010. The decline predominantly results from the disposal of the HamaTech APE GmbH & Co. KG.

Research and development (R & D)

A clear focus of the development efforts in the Solar segment was particularly set on the assembly of a prototype of the first selenization oven for thin-film solar cells. The basic development and the majority of the assembly work had already been done in 2009. The first ordered machine is currently being assembled. The emphasis of the development work was on the integration and process optimization of the front-end line for the production of crystalline solar cells. Here, the AR coating machine SINGULAR is integrated with the upstream connected LINEA machine and automated with the proprietary wafer handling system. These component groups form the core of the newly developed SOLARE production machine for silicon cells.

In the Optical Disc division the mastering system Crystalline was technically certified for dual layer Blu-ray for an additional customer and thus provides this system improved market opportunities in the growing Blu-ray market.

Outlook

The crisis of the global economy had a strong impact on the business activities of the SINGULUS TECHNOLOGIES AG in 2009. The impact will be visible in the first quarter of the current business year as well. So far, there are no reliable forecasts on how quickly the expected recovery will materialize. However, on a favorable note, the project activities in both segments Optical Disc and Solar once again improved sharply at SINGULUS. The order intake in the 1st quarter reflects this.

In the Optical Disc division the sharp increase in Blu-ray sales make us optimistic. In case of such growth rates disc manufacturers will quickly reach their capacity limits and have to invest in new production equipment. First orders in the 1st quarter prove this.

In the Solar segment an economic recovery has already become visible since the beginning of 2010. In many regions of the world the generation of electricity with photovoltaics will continue to expand. On that account SINGULUS offers modern plant systems, which provide cost reduction potential for the cell manufacturers in the production process. The strategic transition from a pure single machine provider towards a system supplier will open new opportunities for the company. The company's goal is to build a strong market position for production equipment for solar cells in the next couple of years and to benefit from the upcoming growth in the solar market.

SINGULUS TECHNOLOGIES is market leader in the optical disc segment and actively launched new products in the solar segment. For the year 2010 the Executive Board and the entire management targets to break-even on an EBIT basis.

SINGULUS TECHNOLOGIES Aktiengesellschaft

The Executive Board

Consolidated Balance Sheets as of March 31, 2010 and December 31, 2009 (IFRS unauditet)

	Mar. 31, 2010	Dec. 31, 2009
ASSETS	[€ k]	[€ k]
Cash and cash equivalents	31,422	15,185
Trade Receivables	31,092	34,420
Other receivables and other assets	7,402	6,986
Total receivables and other assets	38,494	41,406
Raw materials, consumables and supplies	23,719	25,996
Work in process	34,942	31,735
Total inventories	58,661	57,731
Total current assets	128,577	114,322
Non-current trade receivables	3,564	4,575
Property, plant and equipment	11,580	12,268
Investment property	6,734	6,814
Capitalized development costs	25,307	26,534
Goodwill	42,542	42,542
Other intangible assets	44,178	45,485
Deferred tax assets	1,350	1,358
Total non-current assets	135,255	139,576
Non-current assets held for sale	0	9,699
Total assets	263,832	263,597

	Mar. 31, 2010	Dec. 31, 2009
LIABILITIES	[€ k]	[€ k]
Trade payables	6,743	7,612
Current bank liabilities	16,145	26,749
Prepayments	4,312	4,825
Other current liabilities	24,610	27,875
Tax provisions	654	1,966
Other provisions	3,307	3,432
Total current liabilities	55,771	72,459
Non-current bank liabilities	9,546	87
Other non-current liabilities	1,001	2,482
Pension provisions	7,054	6,973
Deferred tax liabilities	13,046	13,416
Total non-current liabilities	30,647	22,958
Liabilities from assets classified as held for sale	0	2,431
Total liabilities	86,418	97,848
Equity attributable to equity holders of the parent
Subscribed capital	41,050	37,355
Capital reserves	60,191	48,690
Other reserves	– 532	– 2,700
Retained earnings	74,220	79,835
Minority interests	2,485	2,569
Total equity	177,414	165,749
Total equity and liabilities	263,832	263,597

Consolidated Income Statements as of march 31, 2010 and 2009 (IFRS unauditet)

	1st quarter
	2010	2009
	[€ k]	[€ k]
Revenue (gross)	21,597	35,399
Sales deductions and direct selling costs	– 377	– 537
Revenue (net)	21,220	34,862
Cost of sales	– 14,329	– 23,276
Gross profit on sales	6,891	11,586
Research and development	– 3,161	– 3,767
Sales and customer service	– 4,651	– 5,490
General administration	– 3,800	– 4,171
Other operating expenses/income	– 782	– 125
Impairment and restructuring expenses	0	– 2,975
Total operating expenses	– 12,394	– 16,528
EBIT	– 5,503	– 4,942
Finance costs/income	– 1,258	– 902
EBT	– 6,761	– 5,844
Tax income/costs	1,062	– 280
Profit or loss for the period	– 5,699	– 6,124
Thereof attributable to:
Equity holders of the parent	– 5,615	6,077
Minority interests	– 84	– 47
Basic earnings per share (in EUR)	– 0,15	– 0,16
Diluted earnings per share (in EUR)	– 0,15	– 0,16*
Weighted number of shares-basic	38,176,502	37,110,033
Weighted number of shares-diluted	38,176,502	37,110,033

* previous year adjusted

Statement of Changes in Consolidated Equity as of March 31, 2010 and 2009

	Sub scribed capital	Capital reserves	Other reserves	Accumu lated profit	Minority interests	Equity
	[€ k]	[€ k]	[€ k]	[€ k]	[€ k]	[€ k]
As of 1 January 2010	37,355	48,690	-2,700	79,835	2,569	165,749
Capital increase	3,695	11,453				15,148
Share-based payment		48				48
Foreign currency translation adjustments			2,168			2,168
Net profit for the period				-5,615	-84	-5,699
As of 31 March 2010	41,050	60,191	-532	74,220	2,485	177,414
For comparison the same period of the previous year:
As of 1 January 2010	36,946	48,782	-2,717	158,441	4,005	245,457
Minority interests					-56	-56
Capital increase	409	405			-1,165	-351
Aktienbasierende Vergütung		215				215
Foreign currency translation adjustments			2,251			2,251
Net profit for the period				-6,077	-47	-6,124
As of 31 March 2009	37,355	49,402	-466	152,364	2,737	241,392

Consolidated Cash flow Statements as of march 31, 2010 and 2009 (IFRS unauditet)

		3 Months
	2010	2009
	[€ k]	[€ k]
Net income	– 5,699	– 6,124
Amortization of non-current assets	4,510	5,102
Change of pension provisions	81	70
Change of deferred taxes	– 362	209
Change of Netto current assets *	– 3,091	660
Cash flows from operating activities	– 4,561	– 83
Change of fixed assets	0	– 385
Change of financial assets and shareholdings	0	– 900
Change of immaterial assets	– 1,208	– 2,329
Other long-term liabilities	– 1,481	471
Liabilities to banks	– 1,145	– 6,564
Changes in assets and liabilities classified as held for sale	7,268	0
Change of minority interests	0	– 56
Capital increase, Capital payback	15,196	1,029
Changes conditioned by currency translation	2,168	1,745
Changes of liquid assets	16,237	– 7,072
Luiquid assets at the beginng of period	15,185	40,143
Luiquid assets at the end of period	31,422	33,071

* including long-term accounts receivables

Annotations to the interim report (unaudited)

The SINGULUS TECHNOLOGIES Aktiengesellschaft (hereinafter also "SINGULUS" or the "Company") is a stock listed stock corporation domiciled in Germany. The consolidated financial accounts presented for the interim reporting of the SINGULUS TECHNOLOGIES AG and its subsidiaries (the "Group") for the first three months of the business year 2010 were approved for publication by decision of the Executive Board as of April 28, 2010.

Accounting and valuation principles

The preparation of the abbreviated consolidated interim results for the period from January 1 to March 31, 2010 was made pursuant to IAS 34 "Interim Financial Reporting". The abbreviated consolidated interim results do not include all of the notes and information required for the reporting for the full business year and should be read in conjunction with the consolidated financial accounts as of December 31, 2009.

The preparation of the annual results pursuant to IAS 34 requires estimates and assumption by the management, affecting the level of the reported assets, liabilities, income, expenses as well as contingent liabilities. These assumptions and estimates mainly affect the Group-consistent determination of useful life expectancy, the write-offs of assets, the valuation of provisions, the recoverability of receivables, the determination of realizable terminal values in the area of inventories as well as the realizability of future tax reliefs. The actual values can differ from the assumptions and estimates made on a case by case basis. Changes are recognized affecting earnings at the time of the knowledge gained.

The accounting and valuation methods applied in the consolidated accounts for the interim reporting correspond to those applied for the most recent consolidated financial report as of the end of the business year 2009. For a detailed description of the accounting principles please refer to the notes of the consolidated financial statements of our Annual Report 2009.

Scope of consolidation

In addition to the SINGULUS TECHNOLOGIES AG the consolidated financial statements include all companies, which are legally or factually controlled by the company. In the interim report as of March 31, 2010, in addition to the SINGULUS TECHNOLOGIES AG in total one domestic and 15 foreign subsidiaries were included.

No company was added to the scope of consolidated after December 31, 2009.

With the disposal of the HamaTech APE GmbH & Co KG, Sternenfels, and the HamaTech APE Beteiligungs-GmbH, Sternenfels, both as of February 15, 2010, the companies were excluded from the scope of consolidation.

Except for the aforementioned companies not other companies have been removed from the scope of consolidation since December 31, 2009.

Accounts receivable

The accounts receivable as of March 31, 2010 are split as follows:

	31/03/2010	31/12/2009
	[k€]	[k€]
Accounts receivable short-term	36,746	40,676
Accounts receivable long-term	4,263	5,585
Less write-offs	- 6,353	- 7,266
	34,656	38,995

Purchase of minority interests 2009

Following the acquisition of the majority stake in 2006 further 24,410 shares of the HamaTech AG were acquired with a purchase price in the amount of € 86,000 in the first quarter of the business year 2009. The resulting goodwill in the amount of € 30,000 in total was recognized as an expense in the profit/ loss statement. As of February 24, 2009 the shareholdings amounted to approximately 93.9 %.

Intangible assets

Capitalized development expenses, goodwill, customer bases as well as concessions, intellectual property rights and other intangibles are included under intangible assets.

The capitalized development expenses amounted to € 25.3 million (December 31, 2009: € 26.5 million). In the first three months of 2010 the investments in developments totaled € 1.0 million (previous year: € 2.3 million). Scheduled write-offs and amortization amounted to € 2.3 million (1st quarter 2009: € 2.5 million).

Property, plant & equipment

In the first three months of the business year 2010 € 0.2 million were invested in property, plant & equipment (previous year: € 0.2 million). During the same period scheduled depreciation amounted to € 0.8 million (previous year: € 0.7 million).

Property held as investments

Pursuant to IAS 40 SINGULUS values investment properties at book values. The time value as of March 31, 2010 amounted to € 6.7 million. These properties are predominantly commercially used land and buildings, which are being leased.

Shareholders' equity

With consent of the Supervisory Board on March 4, 2010 the Executive Board of the SINGULUS TECHNOLOGIES AG decided on March 4, 2010 to increase the nominal capital of the company from € 37,355,471 divided into 37,355,471 common bearer shares with a nominal value of € 1.00 each by an amount of up to € 3,694,640 up to € 41,050,111 against payment in cash.

The placement of the shares was successfully conducted by an accelerated book-building process with German and international investors on March 5, 2010. 3,694,640 shares entitled for profit attribution from the business year 2009 were placed at a price of € 4.10 per share. The gross cash flow for the company amounted to € 15.1 million.

To implement the merger of the HamaTech AG to the SINGULUS TECHNOLOGIES AG, in the 1st quarter 2009 the SINGULUS TECHNOLOGIES AG increased its nominal capital from authorized capital by € 409,064.00 by means of issue of 409,064 new bearer shares with a nominal value of € 1.00 each with dividend entitlement from January 1, 2008. This capital increase was entered into the commercial register of the SINGULUS TECHNOLOGIES AG at the Local Court Aschaffenburg on February 24, 2009. The inclusion of the new shares within the listing of the SINGULUS TECHNOLOGIES AG on the Regulated Market of the Frankfurt Stock Exchange (Prime Standard) under the ISIN DE0007238909 became effective from March 4, 2009.

Geographical breakdown of sales

	Germany	Rest of	North and	Asia	Africa	Australia
Geographic information as of March 2010		Europe	South America
	[k€]	[k€]	[k€]	[k€]	[k€]	[k€]
Sales by
country of origin	13,104	3,937	3,233	1,323	0	0
Country of destination	2,929	7,994	6,863	3,710	37	64

Geographic information as of March 2009

Sales by
country of origin	30,429	2,295	1,906	769	0	0
Country of destination	4,355	7,259	14,354	8,251	1,180	0

Bank loans

As of March 31, 2010 bank loans totaled € 25.7 million (previous year: € 26.8 million). With effect from December 14, 2007 the SINGULUS TECHNOLOGIES AG signed a syndicated credit facility in the amount of € 60.0 million. The credit facility includes a loan in the amount € 25.0 million as well as a revolving credit facility in the amount of € 35.0 million with an total term to maturity of five years.

With effect from March 4, 2010 this agreement was modified. The syndicated credit line was reduced to currently € 41.5 million. The new credit line is split into an amortization loan in the amount of € 25.0 million and a loan on a revolving basis in the amount of € 16.5 million. Of this an amount of € 6.5 million is available for guarantees. With respect to this loan agreement the guarantors are the companies SINGULUS TECHNOLOGIES Inc. as well as SINGULUS MASTERING B.V.

As of March 31, 2010 after the repayment of € 1.3 million in the quarter under review the loan stood at € 14.9 million, the revolving credit facility was drawn in the amount of € 10.0 million.

Contingent liabilities and other financial obligations

The contingent liabilities and other financial obligations not included in the consolidated accounts amount to € 38.0 million (previous year: € 39.3 million) and mainly include rent and leasing obligations (€ 34.5 million), guarantees (€ 1.6 million), guarantees for prepayments received (€ 1.5 million) as well as obligations to take back machines sold (€ 0.3 million). The obligations to take back machines from the sale of lines to leasing companies are set against the proceeds from the sale of the lines taken back in case this possibility is called upon. Management does not have knowledge about facts that could have a materially adverse impact on the business operations, the financial situation or the business results of the company.

Financial income and financing expenses The interest income/ expenses are composed as follows:

	31/03/2009	31/03/2010
	[k€]	[k€]
Interest income from long-term
customer receivables	577	69
Interest income from time
deposits/overnight deposits	101	7
Other interest income	0	62
(Financing expenses)	-1,580	- 1,396
	- 902	- 1,258

Earnings per share

For the calculation of the undiluted earnings per share the earnings attributable to the bearers of the common shares of the parent company are divided by the weighted average number of shares in circulation during the period under review. For the calculation of the diluted earnings per share the earnings attributable to the bearers of the common shares of the parent company (after subtracting interest on the convertible preference shares) are divided by the weighted average number of common shares in circulation during the period under review in addition to the weighted average number of shares resulting from the conversion of all potential common shares with dilution effect into common shares. The following table includes the amounts applied for the calculation of the undiluted and diluted earnings: In the period from the balance sheet date until the drawing up of the consolidated financial statements there were no additional transactions of common shares or potential common shares.

	2010	2009*
	[k€]	[k€]
Earnings for the calculation of the undiluted earnings attributable to the bearers of common shares of the parent company	– 5,615	– 6,077
Weighted average number of common shares for calculation of undiluted earnings per shares	38,176,502	37,110,033
Dilution effect:
Weighted average number of common shares adjusted for dilution effect	38,176,502	37,110,033

* previous year adjusted

Events after the balance sheet date

In January 2010 the Executive Board of the SINGULUS TECHNOLOGIES AG submitted an application for the granting of a loan at the Kreditanstalt für Wiederaufbau (KfW). The means expected are earmarked for the payment of the remaining purchase price obligation for the acquisition of the remaining 49 % of the shares in STANGL.

There were no additional events with material impact after the completion of the quarter under review.

Shareholdings of Board members

As of the balance sheet date, the members of the Executive and Supervisory Boards of the SINGULUS TECHNOLOGIES AG held the following number of shares, convertible bonds and stock options:

	Shares in units
Executive Board members:
Dr.-Ing. Anton Pawlakowitsch	6,000
Supervisory Board members:
VVG Familie Roland Lacher KG	594,472
Dr.-Ing. Wolfhard Leichnitz	10,000
Günter Bachmann	15,000
	Stock options

Executive Board members
Dr.-Ing. Anton Pawlakowitsch	80,000

number of options)

Kahl am Main, in April 2010 The Executive Board

Company Calendar 2010

April 29, 2010	Q1/2010 Report
June 2, 2010	Annual Shareholders Meeting
August 3, 2010	Q2/2010 Report
November 5, 2010	Q3/2010 Report

At a glance

Consolidated key figures 2008 – 2010 (IFRS)

		2008	2009	2010
Sales	million €	30.3	35.4	21.6
Order intake	million €	84.4	17.4	39.8
Order backlog (March 31)	million €	109.9	52.2	45.6
EBIT	million €	0.3	-4.9	-5.5
EBITDA	million €	9.9	0.2	-1.0
Earnings before taxes	million €	-1.1	-5.8	-6.8
Net profit	million €	0.0	-6.1	-5.7
Operating cash flow	million €	-1.8	-0.1	-4.6
Shareholders' equity	million €	291.7	241.4	177.4
Balance sheet total	million €	450.3	400.9	263.8
R & D expenditures	million €	3.9	3.0	1.3
Employees (March 31)		758	684	483
Weighted average shares outstanding, basic		36,946,407	37,110,033	38,176,502
Earnings per share, basic	€	0.01	-0.16	-0.15

Future-oriented statements and forecasts

This report contains future-oriented statements based on the current expectations, assessments and forecasts of the Executive Board as well as on the currently available information to them. Known as well as unknown risks, uncertainties and impacts could cause the actual results, the financial situation or the development to differ from the statements made in this report. We assume no obligation to update the future-oriented statements made in this report.

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