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KTG Agrar SE has good start to the 2015 harvesting season

DGAP-News: KTG Agrar SE / Key word(s): Miscellaneous/Bond
KTG Agrar SE has good start to the 2015 harvesting season

20.08.2015 / 07:45

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KTG Agrar SE has good start to the 2015 harvesting season

- Farmland diversification paying off

- Prices at good levels

- Outlook: Growth drivers Energy and Food with strong first half

Hamburg, 20 August 2015. KTG Agrar SE (ISIN: DE000A0DN1J4) has had a good
start to the 2015 harvesting season. Over the past weeks, the agricultural
company harvested crops such as wheat, spelt, rye, barley and rapeseed on
some 15,000 hectares in Germany, benefiting from the farmland
diversification in East Germany.

Half way through the harvest, Siegfried Hofreiter, CEO of KTG Agrar SE, is
satisfied with the results so far: "East Germany was not hit quite as hard
by the drought as southern and central Germany. Moreover, our farms are
spread throughout Germany, from Erfurt in the south to the Baltic Sea
island of Usedom in the north of the country. Taking into consideration the
mix of quantities, qualities and prices, we are satisfied with the first
half of the harvesting season. Some of our farms have harvested more than
10 tons of wheat and 5 tons of rapeseed per hectare." As expected, harvests
will be 10 to 15 percent below the record levels of the previous year,
which should be more than offset by higher prices.

In 2015, KTG Agrar cultivated over 52,000 hectares of farmland in East
Germany, Lithuania (leased and own land) as well as Romania (farm
management). In the coming weeks, the company will not only bring in
organic soy, sugar beet and maize but also speciality crops such as
potatoes, carrots and onions. KTG also clearly benefits from Europe's
largest irrigation system, which the company has installed in Nonnendorf.
The 2015 harvesting season will end in late autumn, when millet will be
harvested as a catch crop for the production of biogas. Far more than half
of the clean energy produced by KTG is generated from catch crops,
agricultural waste and grasses. The result is clean food and clean energy
from one field.

An increasing share of the 2015 harvest will be processed and refined »From
field to plate« at KTG Agrar's own facilities in Anklam, Manschnow,
Ringleben and Linthe. The products will then be marketed under the brands
Frenzel Tiefkühlkost, biozentrale and Die Landwirte. Launched in 2011, the
strategy of offering food from field to plate from a single source has been
very successful. Sales in the food segment have risen to above EUR 100