DGAP-News

DIC Asset AG plans strong growth in earnings for 2012 - Seite 2

Porta´ office building has been let. This means that the first two
sub-projects - worth an aggregate EUR 190 million - are being realised,
accounting for around one-third of the project´s commercial real estate
portion. The MainTor project was voted ´Best German Project´ at the MIPIM
Awards, the most prestigious prize in the international real estate
industry.

All profit targets set at the beginning of the year were thus reached.
Against this background, and given the positive outlook for 2012, DIC Asset
AG plans to let shareholders participate in the Company´s performance with
an unchanged dividend of EUR 0.35 per share. Approximately 52 per cent of
dividends will be distributed tax-free for 2011. Based on the year-end
share price, this translates into an attractive dividend yield of 6.5 per
cent.

The acquisitions during the financial year under review and the successful
letting activity provide the basis for a strong increase in results in
2012. Accordingly, the Company projects FFO for 2012 to increase by
approximately 10 per cent, to between EUR 43 million and EUR 45 million
(equivalent to around EUR 1.00 per share).

Detailed review of results for 2011:

At EUR 40.6 million, the FFO (funds from operations, defined as earnings
before interest and taxes, and excluding profits from disposals and
development projects) for 2011 was exactly within the target range, albeit
- as expected - down on the previous year (2010: EUR 44.0 million). FFO per
share was EUR 0.92 (2010: EUR 1.15); the earnings per share were EUR 0.24,
compared to EUR 0.43 the year before (both figures include the effects of
the capital increase).

DIC Asset AG´s gross rental income for 2011 amounted to EUR 116.7 million
(2010: EUR 124.9 million). As commented above, the 7 per cent decline was
largely attributable to the reduced portfolio size following disposals, and
placement of the investment fund. At EUR 31.0 million, the consistent
quarter-on-quarter increase in gross rental income continued in the fourth
quarter (Q1 2011: EUR 27.6 million, Q2: EUR 28.9 million, Q3: EUR 29.3
million).

DIC Asset AG´s operating costs continue to be efficient relative to rental
income: in spite of lower rental income, the operating cost ratio of 11.5
per cent was only slightly higher year-on-year (2010: 11.1 per cent), and
has remained within the target range of 11-12 per cent. Reflecting the
expansion of business activity, staff expenses increased slightly, to EUR
10.2 million (2010: EUR 9.4 million), while administrative expenses rose
marginally by EUR 0.5 million to EUR 8.5 million. This was offset by EUR
5.3 million in fees from real estate management, up by more than 50 per