DGAP-News

Linde AG: January to September 2014: Linde generates a slight increase in revenue despite unfavourable exchange rate effects - Growth targets adjusted to reflect the weakening in the economic outlook - Seite 4

process, revenue in the Healthcare business in the EMEA segment in the
first nine months of 2014 was slightly below the figure for the prior-year
period. In accordance with the terms of its purchase agreement with Air
Products, Linde was entitled to appropriate compensation which it duly
received in the third quarter of 2014.

Business trends in the Asia/Pacific segment were hampered mainly by
unfavourable exchange rate effects. In the South Pacific region, the
economic environment in manufacturing industry remained weak and investment
in the mining industry declined. Both these factors had an adverse impact
on growth.

In the third quarter of 2014, Linde had to recognise an impairment loss of
EUR 100 m in China relating to parts of a plant complex in the Chongqing
Chemical Park. It was necessary to recognise this impairment loss due to a
change in the structural organisation at this site, which had an impact on
both the raw gas available as feedstock and the purchase volumes of the
plant complex. As a result of changed conditions in a sub-region of the
South & East Asia region and in Australia, Linde also recognised an
impairment loss during the reporting period of EUR 29 m.

The Group generated revenue in the nine months to 30 September 2014 in the
Asia/Pacific segment of EUR 2.822 bn, almost the same as the figure for the
prior-year period of EUR 2.843 bn. On a comparable basis, Linde achieved an
increase in revenue here of 5.4 percent. Operating profit fell slightly by
1.3 percent to EUR 737 m (2013: EUR 747 m). The operating margin remained
virtually static at 26.1 percent (2013: 26.3 percent).

Within the segment, the most positive trends were to be seen in business
operations in the Greater China region. Boosted by volume increases in all
product areas, Linde was able to achieve double-digit revenue growth here.

In the Americas segment, Linde generated revenue of EUR 3.172 bn in the
first nine months of 2014, around the same level as that achieved in the
first nine months of 2013 (EUR 3.190 bn). On a comparable basis, revenue
increased by 4.3 percent. Whereas growth in North America was stable, the
economic climate in some countries in South America, especially Brazil,
continued to worsen as the year progressed. Given this trend, Linde
recognised a further impairment loss of EUR 100 m in Brazil during the
reporting period.

Operating profit dropped by 11.3 percent in the Americas segment to EUR 756
m, compared with a figure of EUR 852 m for the first nine months of 2013.
The operating margin fell as a result to 23.8 percent (2013: 26.7 percent).