DGAP-News

IMMOFINANZ confirms results: First quarter 2014/15 with solid operational performance, but negatively affected by FX-related revaluations - Seite 3

Furthermore, the Executive Board of IMMOFINANZ plans to resume dividend
payments for the 2014/15 financial year. The dividend (including a possible
share buyback) should range from EUR 0.15 to EUR 0.20 per share.

IMMOFINANZ Group expects an ongoing positive development in the region's
core markets, which should benefit from a gradual economic recovery.
However, the geopolitical tensions in Ukraine and the threatening expansion
of the sanctions against Russia represent uncertainty factors. The
Organisation for Economic Cooperation and Development (OECD) reacted to
this situation by issuing a downward revision to its economic forecasts in
mid-September 2014. The exact effects of the Ukraine crisis on the
commercial development of the IMMOFINANZ core markets, above all Russia,
are impossible to estimate at the present time.

The rental income from the Russian portfolio is generally denominated in
Euros or US Dollars, but an ongoing decline in the Ruble would have a
negative effect on tenants' cost structures. As indicated in the 2013/14
annual report, short-term arrangements were concluded with a number of
tenants in the Moscow shopping centers to reduce the currency-related
pressure on rental costs and thereby support their economic viability. This
also proved to be a sustainable procedure during the 2008/09 financial
crisis.

IMMOFINANZ Group expects an increase in the value of the company during the
2014/15 financial year based on the further optimisation of the portfolio,
the planned increase in occupancy, cost reductions after the spin-off of
the residential property subsidiary BUWOG and the steady pursuit of
successful property sales as well as increased development activities with
a focus on Germany, Poland, Russia and Romania.


DEVELOPMENTS IN DETAIL:

Results of asset management

IMMOFINANZ Group recorded rental income of EUR 117.6 million in the first
quarter of 2014/15. This represents a decline of 6.8% compared with the
first quarter of the previous year (EUR 126.1 million) and resulted from
the planned sale of properties.

The results of asset management declined by 13.5% to EUR 95.4 million (Q1
2013/14: EUR 110.3 million), also due to a year-on-year increase in
expenses from investment properties.

Results of property sales

Property sales generated results of EUR 7.3 million (Q1 2013/14: EUR -0.9
million). The portfolio optimisation included the sale of smaller
properties as well as two logistics properties in Poland and the Czech
Republic.

Results of property development

The sale of real estate inventories and the valuation of active development
projects generated results of property development of EUR -2.0 million