Ludwig Beck am Rathauseck-Textilhaus Feldmeier AG

Earnings Release • Apr 22, 2008

News Details

Corporate | 22 April 2008 07:00

LUDWIG BECK reports 1st quarter EBIT on last year’s level / Remodeling of the 5th floor to be completed in May adding 1,000 square meters additional space

Ludwig Beck am Rathauseck-Textilhaus Feldmeier AG / Interim Report

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Munich, April 22, 2008 – In the first two months of the fiscal year 2008,
the LUDWIG BECK Group achieved an increase in turnover in comparison to the
previous year and, with a like-for-like gross turnover plus amounting to
4.5 % (unadjusted: 1.6 %) in January and 4.0 % (unadjusted: 1.3 %) in
February, could continue the positive development of the previous year.

In March, the fashion house was not able to disconnect from the general
branch trend which reported a drop in sales by 12 % according to
‘TextilWirtschaft’. So, LUDWIG BECK had to put up with a turnover decline
of 15.3 % (unadjusted: -17.3 %) in March. As per March 31, 2008, the group
generated gross sales in the amount of € 21.6m (previous year: € 23.0m)
equaling a turnover drop on comparable areas of 3.9 % (unadjusted: -6.4 %).
The textile retail trade in general scored a minus of 3.0 % in the first
quarter of 2008 according to ‘TextilWirtschaft’.

In the 1st quarter of the fiscal year 2008 the group’s net profits came to
€ 8.4m (previous year: € 8.9m). The net profit margin amounting to 46.3 %
could be increased by 0.5 percentage points in comparison to the previous
year with 45.8 %.

The expense ratio (expenses against corresponding proceeds) came to 45.4 %
in the 1st quarter of 2008 (previous year: 44.7 %). Nevertheless, the
absolute amount of expenses in comparison to corresponding proceeds could
be reduced from € 8.7m to € 8.2m.

EBIT amounting to rounded € 0.2m remained on last year’s level.

Prospects

The German economy’s mood level surprisingly improved again in March,
despite of the financial crisis and the booming Euro. According to the
assessment of the German Institute for Economic Research (DIW Berlin) the
economic trend in Germany is still positive and the institute predicts a
2.0 % growth rate for 2008. The economic upswing in Germany is expected to
be triggered by a recovery of private consumption which is presently
gaining momentum as a result of favorable developments in the labor market.

According to the German Retail Federation (HDE) most retail stores started
the new year with some optimism and are expecting a nominal sales plus of
2.0 % for the current fiscal year, which only equals a modest real plus of
approximately 0.5 %.

'It is true that the weather conditions and the unfavorable holiday
constellation had a negative influence on our development in comparison to
the last year. However, with the opening of approximately 1,000 m2 of new
sales space in the middle of May 2008 we will be able to offer our
customers an additional attractive shopping area on the 5th floor of our
‘Store of the Senses’. Therefore we are still optimistic about the current
fiscal year and expect a clear continuation of the positive economic
development of our company', Dieter Münch, Financial Director at LUDWIG
BECK AG said.

Traditionally, the 1st quarter of a calendar year is always the
lowest-selling and lowest-yielding period of the year for the retail trade.

'This circumstance was taken into consideration in our plans for this year
as well. We will continue to adhere to our forecasts for the current fiscal
year as before and confirm the already communicated target figures
anticipating an EBIT increase of approximately 10.0 %', Münch continued.

Key group ratios in €m Jan. 1-Mar. 31, 2008 (Jan. 1-Mar. 31, 2007)

Gross sales (including VAT): 21.6 (23.0)
Net profits: 8.4 (8.9)
Earnings before interest, taxes, depreciation
and amortization (EBITDA): 1.1 (1.1)
Earnings before interest and taxes (EBIT): 0.2 (0.2)
Investments: 1.0 (0.5)
Employees (number): 524 (516)

Investor Relations contact:
esVedra consulting GmbH
Metis-Corinna Tarta
+49 89 28808-133
metis.tarta@esvedra-consulting.com

Group accounting contact:
Ludwig Beck am Rathauseck
Jens Schott
+49 89 23691–798
jens.schott@ludwigbeck.de

22.04.2008 Financial News transmitted by DGAP

Language: English
Issuer: Ludwig Beck am Rathauseck-Textilhaus Feldmeier AG
Marienplatz 11
80331 München
Deutschland
Phone: +49 (0)89 2 36 91-0
Fax: +49 (0)89 2 36 91-600
E-mail: info@ludwigbeck.de
Internet: www.ludwigbeck.de
ISIN: DE0005199905
WKN: 519990
Listed: Regulierter Markt in Frankfurt (Prime Standard), München;
Freiverkehr in Berlin, Düsseldorf, Hamburg, Stuttgart

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