STRABAG SE

Legal Proceedings Report • Oct 18, 2017

Publication Date: 18.10.2017 14:45 EANS-Adhoc: Service agreement of STRABAG group company SPFS with Deutsche Telekom ends latest on 30 June 2019

Disclosed inside information pursuant to article 17 Market Abuse Regulation (MAR) transmitted by euro adhoc with the aim of a Europe-wide distribution. The issuer is responsible for the content of this announcement.

Contracts 18.10.2017

Wien - The facility management services agreement between STRABAG Property and Facility Services GmbH Germany (SPFS) and Deutsche Telekom, which had been concluded in parallel with the acquisition of DeTeImmobilien in 2008, will end latest effective 30 June 2019. After long and intense negotiations, Deutsche Telekom has decided to award these services to another provider.

With the loss of a key client that had contributed annual average revenue of about EUR 550 million, STRABAG PFS must undergo a fundamental reorganisation. According to a preliminary estimate, the restructuring will result in a one-off earnings reduction in the mid-range double-digit million euros. A corresponding provision allowance is currently expected already with effect from 31 December 2017.

Against this background, STRABAG SE's targeted EBIT margin of at least 3 % for 2017 appears ambitious, yet within reach. The annual revenue loss won't impact the targets of the STRABAG SE Group until 2019.

Directly affected by the decision are around 3,300 employees who are working exclusively for the Deutsche Telekom account.

Further inquiry note: STRABAG SE Diana Neumüller-Klein Head of Corporate Communications & Investor Relations Tel: +43 1 22422-1116 diana.klein@strabag.com

end of announcement euro adhoc --------------------------------------------------------------------------------

issuer:	STRABAG SE
	Donau-City-Straße 9
	A-1220 Wien
phone:	+43 1 22422 -0
FAX:	+43 1 22422 - 1177
mail:	investor.relations@strabag.com
WWW:	www.strabag.com
ISIN:	AT000000STR1, AT0000A05HY9
indexes:	SATX, WBI, ATX

stockmarkets: Wien language: English

Aussendung übermittelt durch euro adhoc The European Investor Relations Service