S Immo AG — Capital/Financing Update 2007

May 8, 2007

Stock Exchange Announcement

Vienna, 15 November 2006

Sparkassen Immobilien AG switches to fair value accounting and unveils results of portfolio revaluation in Czech Republic and Slovakia

• Changeover to fair value accounting on 1 January 2007
• Revaluation in Czech Republic and Slovakia results in 26.8% increase (about 50% as compared to current book value)

Vienna listed Sparkassen Immobilien AG will convert to fair value accounting in accordance with IAS 40 starting with 1 January 2007. This puts the group in a better position to compare its performance with the peer group, as fair value measurement has emerged as the most common accounting method for listed property companies. The main difference from the previous method is that changes in the market value of properties will be recognised in profit or loss for the periods in which they arise.

Due to the new accounting policy Sparkassen Immobilien AG has begun revaluing its entire portfolio. As a first step, CB Richard Ellis has completed revaluation of the CEE portfolio in the Czech Republic and Slovakia.

Marked gain in value of Czech and Slovak properties

This exercise has upped the overall value of Sparkassen Immobilien's properties in the Czech Republic and Slovakia by 26.8% from the last valuation, and almost 50% from the current book value. The revaluation is based on an average rental yield of 7%, and continues to reflect a conservative approach as top yields in these markets have already fallen below 6% in some cases. Management believes that the next remeasurement is likely to bring a further increase in the value of the properties if CEE market trends persist.

Revaluation results for rest of portfolio due in coming quarters

Revaluation of the remaining CEE properties — in Croatia, Hungary and Romania — is scheduled for the first quarter of 2007. The timing is due to organisational details, as well as acquisitions and large projects in progress which are material to the results of the revaluation.

The Austrian and German portfolios will be revalued in the second and third quarters. Management also expect significant increases in fair value in these markets.

Contact Elke Koch, Press and Public Relations Dept., Sparkassen Immobilien AG, Mariahilfer Strasse 41–43, A-1060 Vienna, Austria Tel: +43 (0)50100 direct dial 27402; fax: +43 (0)50100927559; e-mail: elkepetra.koch@immorent.at www.sparkassenimmobilienag.at