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CENIT Group posts 49 % increase in turnover and positive results in 2000

Internationalization as the basis for future success – IT systems provider concentrates on e-Business and mobile commerce

Stuttgart, 29 March 2001 – A 49% increase in turnover, 98% more staff and the positive operating results achieved in 2000 all strengthen the position of CENIT AG, the IT services and systems provider. During the financial year 2000, the CENIT AG Group successfully met its planned turnover, thereby attaining the target figure of EUR 118.5 million and boosting the Group’s fully consolidated turnover by 49% to achieve the company’s best turnover ever. This translates as an increase of EUR 39 million over last year’s turnover at EUR 79.5 million. Gross yield was up by 57% to EUR 63.8 million (1999: EUR 40.5). The volume of incoming orders also rose by approx. 65%. The Group’s operating result (EBIT) fell to EUR 1.3 million due to the high level of expenditure incurred in connection with the ongoing strategy of internationalization. Goodwill amortizations had a negative impact (EUR -1.2 million) on earnings before interest and tax. Earnings before tax amounted to EUR 1.0 million. Earnings per share work out at EUR - 0.15 (undiluted in accordance with IAS). CENIT recruited as many as 98% more employees. The driving force behind the CENIT Group is the Systemhaus in Germany, which contributed EUR 92.3 million to turnover during the past 12 months (1999: EUR 77.5 million) and generated operating earnings of EUR 3.2 million (1999: EUR 5.6 million). 533 of a total staff of 870 throughout the world were employed in Germany as at the end of 2000.

Future prospects

The aim is to increase consolidated turnover by around 33%, taking it up to EUR 160 million, and to achieve earnings of EUR 6 million before goodwill amortizations (EBITA). The target for operating income (EBIT) is EUR 4.3 million. Further recruitment, taking the total number of employees up to 1060, is also planned. Gross profit will increase by 39%. CENIT AG systems provider in Germany will remain the motor behind this growth: in Germany the company expects to achieve a turnover of EUR 114 million in 2001 and an operating result (EBIT) of EUR 3.6 million.

Please contact:

CENIT AG Systemhaus
Prime Standard Listing - ISIN DE0005407100

Fabian Rau
Vice President Investor Relations & Marketing
Industriestraße 52-54, D-70565 Stuttgart
Tel.:  +49 711 7825-3185
Fax:  +49 711 782544-4185
E-Mail: info@cenit.de