Demant — Legal Proceedings Report 2011

Aug 1, 2011

Company announcement no 2011-06 1 August
2011

Agreement between HearUSA Inc. and William Demant

Holding A/S on transfer of assets will expire

As a consequence of the now completed auction and subsequent hearing in the
United States Bankruptcy Court, Southern District of Florida concerning the
acquisition of most of the assets and liabilities in the hearing aid chain
HearUSA Inc. (see Company Announcement no 2011-05), please be informed that the
court did not find the final bid from William Demant to be the best and most
attractive bid to the stockholders of HearUSA.

By HearUSA's completion of the transaction with the highest bidder (closing),
the agreement entered into prior to the auction process, when William Demant
was selected as stalking horse bidder, will expire. As a consequence of this,
HearUSA will be obliged to pay William Demant a break-up fee of USD 2 million
and to repay the bridge financing of USD 10 million (DIP loan) made ??available
during the bankruptcy proceedings. The outcome will not affect William Demant's
previously announced expectations of the year.

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Further information: Other contacts:

Niels Jacobsen, President & CEO Stefan Ingildsen, SVP Finance, phone
+45 3913 8509

Phone +45 3917 7100 Søren B. Andersson, VP
Investor Relations, phone +45 3913 8967

www.demant.com Morten Lehmann Nielsen, IR
Manager, phone +45 3913 8280