Westag AG — Interim / Quarterly Report 2012

May 15, 2012

FINANCIAL CALENDAR*

March 22, 2012	Press Release
	Report on the results
	of the fiscal year 2011
March 29, 2012	Publication of Financial Report 2011
	(on the Internet)
April 26, 2012	Annual Financial Statements Press Conference
May 14, 2012	Report on the first three months of 2012
August 13, 2012	Interim report on the first six months of 2012
August 28, 2012	Annual General Meeting
	in Rheda-Wiedenbrück
August 29, 2012	Presentation of Westag & Getalit AG
	at the Small Cap Conference
	in Frankfurt/Main
November 14, 2012	Report on the first nine months of 2012

* For updates refer to: www.westag-getalit.de/finanzkalender Quarterly Report

1st Quarter 2012

Westag & Getalit AG

Postfach 26 29 | 33375 Rheda-Wiedenbrück | Germany Tel. +49 5242 17-0 | Fax +49 5242 17-750 00 www.westag-getalit.de | ir@westag-getalit.de

Report on Q1 2012

Sales

Against the background of a continued positive trend in German construction activity, Westag & Getalit AG increased its sales revenues by 3.1% to € 57.4 million in the first three months of 2012 (2011: € 55.7 million).

In the first quarter, the situation in foreign markets remained difficult as most of them continue to feel the impact of the economic crisis. Accordingly, our export sales declined by 4.2% to € 12.4 million (2011: € 12.9 million). As a result, the export share dropped to 21.6% (2011: 23.2%).

Divisions

Sales revenue in € '000	Jan. 1- Mar. 31, 2012	Jan. 1- Mar. 31, 2011	Change in %
Plywood/Formwork	7,610	8,479	-10.2
Doors/Frames	28,848	25,813	11.8
Laminates/Elements	19,403	19,746	-1.7

The Plywood/Formwork Division had a moderate start to the year, not least due to weather-related reasons, and reported a 10.2% decline in sales revenues to € 7.6 million.

The Doors/Frames Division benefited from its good market position and boosted its revenues by 11.8% to € 28.8 million.

Due to the difficult international activities, sales revenues in the Laminates/Elements Division declined by 1.7% to € 19.4 million.

Earnings

Profit data in € '000	Jan. 1- Mar. 31, 2012	Jan. 1- Mar. 31, 2011	Change in %
Earnings before income taxes	2,342	2,283	2.6
Net Profit	1,640	1,598	2.6
Earnings per ordinary share (in €)	0.27	0.27	0.0
Earnings per preference share (in €)	0.33	0.33	0.0

At € 2,342 thousand, earnings before income taxes were up by 2.6% on the previous year's € 2,283 thousand. Besides the increase in sales revenues, this was also attributable to the stabilisation in commodity prices in the first quarter. Net profit per share remained unchanged at € 0.27 (ordinary share) and € 0.33 (preference share), respectively.

Capital expenditure

We expect total capital expenditures in the current fiscal year to be in line with depreciation/amortisation of a good € 10 million. Key investment projects in 2012 include the completion of the installation of the new edge processing line for our doors and the erection of a new gas CHP plant as an integrated component of the existing cogeneration plant.

Employees

Workforce	Mar. 31,	Mar. 31,	Change
	2012	2011	in %
Number of staff	1,289	1,255	2.7

The headcount changed by a moderate 2.7% to 1,289 in the first quarter.

Portfolio of own shares

As of March 31, 2012, Westag & Getalit AG held 309.978 own shares, all of which were preference shares. This means that the number of own shares increased by 647 shares as compared to December 31, 2011 in the context of the stock repurchase programme.

Outlook

We are generally optimistic about economic activity in Germany, and especially in the German construction sector. The domestic economy has given impressive proof of its resilience in 2010 and 2011. The construction sector additionally benefits from a clear trend towards selective investments in housing properties. While this means that the economic preconditions are positive, we are well aware of the fact that the risk situation may change at any time if the financial crisis intensifies.

Based on these positive economic assumptions, we expect domestic sales revenues to increase. Especially our constructionrelated distribution units should benefit from growing housing construction. We also project an increase in export sales for the next two years. Most recently, we demonstrated that we can operate successfully even under very difficult export market conditions - and there are sufficient opportunities and projects which suggest that we will be able to do so in future.

Our bottom line is influenced not only by sales revenues but also by the trend in commodity prices, which are currently sending more positive signals, following the very unpleasant trend in 2010 and 2011. Indicators point to a stabilisation in the prices of the most important commodities. As we have been able to pass on only part of the huge material price increases to our customers, we will be forced to hold further price talks with our customers.

Should these positive effects materialise, we will be able to restore our profitability to past levels

Rheda-Wiedenbrück, May 2012 Westag & Getalit AG The Executive Board

Assets in € '000	Mar. 31, 2012	Dec. 31, 2011
Intangible assets	801	774
Tangible assets	63,789	63,578
Financial assets	1,350	1,275
Deferred tax liabilities	0	0
Non-current assets	65,940	65,627
Inventories	40,721	38,862
Receivables and other assets	38,621	32,562
Cash at banks or in hand	7,177	13,527
Current assets	86,519	84,951
Total assets	152,459	150,578

Equity and liabilities in € '000	Mar. 31, 2012	Dec. 31, 2011
Subscribed Capital	14,644	14,644
Capital reserve	24,399	24,399
Revenue reserves	57,411	57,411
Accumulated profit	11,881	10,252
Equity and reserves	108,335	106,706
Pension provisions	14,438	14,393
Other non-current provisions	1,325	1,557
Deferred tax liabilities	776	793
Non-current liabilities	16,539	16,743
Trade payables	11,857	10,849
Other current liabilities	15,490	15,689
Current provisions	238	591
Current liabilities	27,585	27,129
Total equity and liabilities	152,459	150,578

Balance sheet Income statement on a quarterly basis

in € '000	Jan. 1- Mar. 31, 2012	Jan. 1- Mar. 31, 2011
Sales	57,430	55,683
In/decrease in inventories	1,660	1,903
Own work capitalised	113	1
Total operating performance	59,203	57,587
Other operating income	543	710
Cost of materials	30,314	29,954
Personnel expenses	17,984	17,065
Depreciation and amortisation	2,474	2,463
Other operating expenses	6,879	6,568
Other taxes	45	51
Operating result	2,050	2,196
Financial result	292	87
Extraordinary items	0	0
Earnings before income taxes	2,342	2,283
Income taxes	702	685
Net profit	1,640	1,598
Earnings per ordinary share (undiluted and diluted)	0.27	0.27
Earnings per preference share (undiluted and diluted)	0.33	0.33
Number of shares (undiluted and diluted)	5,410,346	5,431,386

Earnings per share as defined in IAS 33 are calculated for both ordinary and preference shares by dividing the net profit attributable to the respective share type by the average number of shares of the respective type. In the contextof this division, the portion of the net profit that will not be distributed is allocated to the respective number of shares.

Ca sh flo w state m e n t

in € '000	Jan. 1- Mar. 31, 2012	Jan. 1- Mar. 31, 2011
Operating result/EBIT	2,050	2,196
Income tax payments	-1,172	-1,091
Depreciation and amortisation	2,474	2,463
Result from asset retirements	-12	-16
Change in current assets	-7,521	-8,404
Change in liabilities	318	-3,965
Cash flow from operating activities	-3,863	-8,817
Investments in fixed assets	-2,712	-640
Change in financial assets	-75	54
Income from fixed asset retirements	12	17
Cash flow from investment activities	-2,775	-569
Interest income and income from investments	299	12
Interest expenses	0	0
Repayment of non-current financial liabilities	0	0
Acquisition/sale of own shares	-11	-107
Dividend payments	0	0
Cash flow from financing activities	288	-95
Change in liquid funds	-6,350	-9,481
Cash and cash equivalents as of Jan. 1	13,527	20,176
Cash and cash equivalents as of Mar. 31	7,177	10,695

State m e nt o f chang e s in e q u ity

in € '000	Subscribed capital	Capital reserve	Revenue reserve	mulated profit Accu	Total
As of Jan. 1, 2011	14,644	24,376	54,311	10,817	104,148
Transfer to other reserve					0
wn shares Change in o				-107	-107
Addition in accordance with Sect. § 58 II AktG					0
Dividend					0
Net profit				1,598	1,598
Mar. 31, 2011 As of	14,644	24,376	54,311	12,308	105,639
As of Jan. 1, 2012	14,644	24,399	57,411	10,252	106,706
Transfer to other reserve					0
wn shares Change in o				-11	-11
Addition in accordance with Sect. § 58 II AktG					0
Dividend					0
Net profit				1,640	1,640
Mar. 31, 2012 As of	14,644	24,399	57,411	11,881	108,335

Segment report for the first Quarter 2012

in € '000	Jan. 1- Mar. 31, 2012	Jan. 1- Mar. 31, 2011	Change in %
Germany
Sales	45,049	42,764	5.3
Earnings before income taxes	1,892	1,784	6.1
Export
Sales	12,381	12,919	-4.2
Earnings before income taxes	450	499	-9.8
Full Company
Earnings	57,430	55,683	3.1
Earnings before income taxes	2,342	2,283	2.6

Notes on the report for the three-month period ended March 31, 2012

1. Accounting principles

Westag & Getalit AG's quarterly report for the period ended March 31, 2012 was, except for IFRS 8 "Operating Segments", compiled in full compliance with the Financial Reporting Standards (IFRS) as valid on the reporting date. All accounting and valuation principles are consistent with those used for the 2011 financial statements. The waiver of applying IFRS 8 was conducted in order to prevent our company from expected business harm. As regards further reasoning, we refer to our Annual Report 2011.

1. Cash flow statement

The cash flows in the cash flow statement were determined using the indirect method.

3. Liquid funds

Liquid funds shown in the balance sheet doesn't include securities.

1. Composition of subscribed capital

The subscribed capital of € 14,643,200 is composed of 2,860,000 no-par ordinary shares and 2,860,000 non-voting no-par preference shares with a total value of € 7,321,600.

1. Purchase commitments

As of March 31, 2012, purchase commitments amounted to € 5,076 thousand, compared to € 6,280 thousand in the previous year.

6. Review

The interim financial statements and the interim management report have been neither audited in accordance with section 317 HGB nor reviewed by the auditors.

7. Responsibility statement

The legal representatives of Westag & Getalit AG assure, to the best of their knowledge, that, in accordance with the applied principles of proper interim reporting, the present interim financial statements provide a true and fair view of the net worth, financial and earnings position of the company, that the interim management report presents a true and fair view of the business results and the situation of the company and that the main risks and opportunities of the expected development of the company during the rest of the fiscal year have been outlined.