ad-hoc disclosure transmitted by euro adhoc with the aim of a Europe-wide distribution. The issuer is solely responsible for the content of this announcement.

Vienna, August 17, 2011. The Austrian ATX-traded conwert Immobilien Invest SE concluded the first half-year 2011 with positive results. The sales business, in particular, set a new record in the company´s history. Proceeds on the sale of properties amounted to EUR 251.2 million, an increase of 111.8% or more than double the previous year´s level of EUR 118.6 million. Net rental income also grew considerably as a consequence of new successful rentals as well as additional income from the recently acquired ECO portfolio. Rental income totalled EUR 107.3 million as of the reporting date 30th June 2011, a rise of 33.3% from the corresponding figure of EUR 80.5 million in the previous year. Due to the complete internalisation of service revenues for ECO Business-Immobilien AG since the third quarter of 2010, external service revenues have declined since last year by 23.3%, amounting to EUR 14.5 million as of 30th June 2011 (H1 2010: EUR 18.9 million). In all, total revenues amounted to EUR 373.1 million in the first half of 2011, a rise of 71.1%. The increased revenues are also reflected in the very strong earnings before interest and taxes (EBIT) of EUR 63.0 million in the first half-year, up 22% from the previous year (H1 2010: EUR 51.7 million).

In line with the value enhancement strategy communicated at the beginning of the year, conwert pressed ahead with the optimisation of its real estate portfolio in the first half of 2011. In addition to successive sales of commercial properties from the ECO Business-Immobilien AG portfolio and real estate from the Central and Eastern European portfolio, the strategy also includes the targeted underweighting of the Austrian share of the real estate portfolio and the strengthening of activities on the German market. Since the beginning of the year, the number of properties owned by conwert has been reduced from a total of 1,811 to 1,775 objects. The objective is to continue to maintain the geographical diversification in the core markets of Austria and Germany in the future. Thus conwert is in a position to take selective advantage of market opportunities in the acquisition or sale of real estate. The property assets of conwert amounted to EUR 3,140 million on the reporting date, 30th June 2011, compared EUR 3,238.3 million at the beginning of the year. The IFRS profit margin on sales calculated in the first half-year was 9.2%, whereas the cash margin amounted to 26.5% on the basis of the acquisition price.

Thanks to good rental and sales trade, the funds from operations (FFO) almost doubled, increasing by 98.9% to EUR 54.5 million (H1 2010: EUR 27.4 million).

As of 30th June 2011, conwert´s equity was EUR 1,306.9 million, an increase of 0.8% compared to last year´s figures. Thus conwert boasts a strong equity ratio of 37.6% compared to other companies in the industry, a figure which will also enable conwert to systematically exploit market opportunities that arise in the future.

In spite of numerous property sales, the net assets per share figure (NAV) has increased only slightly to EUR 15.58 since the beginning of the year. This is also due to the share buy-back programme of the company, which will be continued in the future and will allow conwert, amongst other things, to use treasury stock as a transaction currency.

Against the backdrop of the positive business results achieved in the first half of 2011, further planned portfolio optimisation and the ongoing positive perspectives for the development of conwert´s core markets of Austria and particularly Germany, the management confirms the positive outlook for the entire year 2011. Earnings before interest and taxes (EBIT) are expected to improve by 15%, with proceeds on the sale of properties to reach a total of EUR 600 million. On the basis of the corresponding improvement in earnings, a dividend payment matching the previous year´s level is still expected.

With a view to achieving potential cost optimisation and enhancing transparency, conwert has begun a comprehensive evaluation of all the company´s external contracts and will subject them to an arm´s length test. Furthermore, subsequent to the reporting date on 30 June 2011, the sale of a portfolio valued at EUR 102.1 million was firmly agreed upon as well as the conclusion of the participation process for the Berlin Coinvest Portfolio. The transaction should be formally completed in the third quarter of 2011.

The Interim Report 1-6/2011 of conwert Immobilien Invest SE is available on the company´s Website at www.conwert.at.

Earnings indicators

                                    1-6/2011  1-6/2010  Change      1-12/2010    
 Rental income           EUR mill. 107.3     80.5      +33%        187. 7       
 Proceeds on the sale of EUR mill. 251.2     118.6     +111.8%     325.1        
 properties                                                                     
 Service revenues        EUR mill. 14.5      18.9      -23.3%      34.4         
 Total revenues          EUR mill. 373.1     218.0     +71.1%      547.2        
 Earnings before         EUR mill. 64.1      50.6      +26.7%      184.9        
 interest, taxes,                                                               
 depreciation and                                                               
 amortisation (EBITDA)                                                          
 Earnings before         EUR mill. 63.0      51.7      +21.9%      103.2        
 interest and                                                                   
 taxes (EBIT)                                                                   
 Funds from Operations   EUR mill. 54.5      27.4      +98.9%      53.6         
 (FFO)1)                                                                        
 Net Rental Income (NRI) EUR mill. 107.3     47.2      +33%        103.9        
 Cash Profit2)           EUR mill. 54.21     26.8      +102%       44.0         
 Basic earnings/share    EUR       0.10      0.15      -33.3%      0.29         
 Diluted earnings/share  EUR       0.10      0.15      -33.3%      0.29         
 Funds from              EUR       0.65      0.34      91.2%       0.65         
 Operations/share                                                               

Vergrößern

Balance sheet indicators

                                    1-6/2011  1-6/2010  Change      1-12/2010    
 Balance sheet total     EUR mill. 3,425.7   3,107.9   10%         3,550.8      
 Non-current loans and                                                          
 borrowings              EUR mill. 1,153.8   1006.2    +15%        1,211.9      
 Current loans and       EUR mill. 435.4     268.8     +62%        456.1        
 borrowings                                                                     
 Equity                  EUR mill. 1,306.9   1,296.7   +1%         1,330.1      
 Equity ratio            %         38.10     41.7      -9%         37.5         
 Gearing                 %         149.01    120.6     +24%        151.8        
 Book value (NAV)/share  EUR       15.58     15.2      +3%         15.56        

Vergrößern

Property indicators

                                    1-6/2011  1-6/2010  Change      1-12/2010    
 Number of objects       No.       1,775     1,787     -0.7%       1,811        
 Rental units            No.       26,038    24,720    +5.3%       25,194       
 Total usable space      sqm       2,421,407 2,048,719 +18.2%      2,453,049    
 Property assets         EUR Mio.  3,139.6   2,621.0   +19.8%      3,238.3      

Vergrößern

1) FFO: Earnings before tax (EBT) minus the net gain from fair value adjustments + difference between cash gains on sale and IFRS gains on sale + depreciation + non-cash parts of financial result and other costs 2) Cash Profit: FFO minus actual income taxes paid

This report contains forward-looking estimates and statements that were made on the basis of the information available at this time. Forward-looking statements reflect the point of view at the time they are made. We would like to point out that the actual circumstances and, consequently, the actual results realised at a later date may differ from the forecasts presented in this report for a variety of reasons.

end of announcement   euro adhoc

 issuer:      conwert Immobilien Invest SE
             Albertgasse 35
             A-1080 Wien
phone:       52145-0
FAX:         52145-111
mail:        cw@conwert.at
WWW:         http://www.conwert.at
sector:      Real Estate
ISIN:        AT0000697750
indexes:     WBI, ATX
stockmarkets: official market: Wien 
language:    English

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