PSI Attains Balanced Operating Result in Fourth Quarter Operative cash flow improves in 2004 to 6.6 million euros

Berlin, 28 February 2005 – The PSI Group had a balanced operating result in the fourth quarter of 2004 according to IFRS (Q4-2003: –0.24 million euros). Sales were 30.7 million euros, below the level for the previous year (Q4-2003: 38.8 million euros). The net result of –1.5 million euros in the fourth quarter (Q4-2003: –3.4 million euros) contains the interest for pension reserves and value adjustments on financial assets. Following a successful start in 2005 PSI expects a positive operating result despite the weak market in Information Management and Gas Management.


The operating result for all of 2004 was –9.1 million euros (2003: –1.0 million euros) and the consolidated result –12.3 million euros (2003: -4.8 million euros). This contains 3.2 million euros in restructuring costs, 3.8 million euros write downs as well as burdens of 4.2 million euros, resulting from litigation with the State of Berlin. The consolidated sales were 115.2 million euros, 16% below the previous year (2003: 137.6 million euros), while new orders could be increased to 126 million euros (2003: 119 million euros). The cash flow from operations improved from –0.9 million euros to 6.6 million euros.


For 2005, on the basis of new products as well as clear improvements of the cost structure and the risk profile, the management expects a continued positive contribution from the Production Management segment and a recovery in Network Management.