euro adhoc: Austrian Airlines AG / Group prepared for possibility of conflict in Iraq (E)

Disclosure announcement transmitted by euro adhoc. The issuer is responsible for the content of this announcement.

The Austrian Airlines Group has made extensive proactive preparations in the face of possible conflict in the Middle East. The Group’s ability to withstand the economic pressures of war has been substantially bolstered by the real progress achieved to date as part of the turnaround programme. A clear fall in demand has been gaining in strength since the beginning of this year, a trend reflected in relatively low prebookings for the first quarter. As a result of this, the forecast results for 2003 (EBIT of EUR 120 million, net profit of EUR 45 million) will not be achievable. Since it is impossible to make a reliable estimate of the duration and economic consequences of a war in Iraq at present, a hedged new forecast cannot yet be provided. The prospective financial results for 2002 of approximately EUR 40 million (EBIT) will not be affected by this development. The new turnaround programme successfully introduced last year will be secured with a further package of measures.

Further inquiry note:
Johannes Davoras
Johann Jurceka
Tel.: 051755-1231

Investor Relations
Karl Knezourek
Tel.: 051766 - 3328
Tel: +43 (0)5 1766
FAX: +43 (0)1 688 55 05

end of announcement euro adhoc

Emittent: Austrian Airlines AG
Fontanastrasse 1
AT-1107 Wien
Tel: +43 (0)5 1766
FAX: +43 (0)1 688 55 05
ISIN: AT0000620158
WKN: 062015
Indizes: ATX, ATX Prime, WBI
Börsen: official dealing Wiener Börse AG
Branche: Air Transport
Sprache: Englisch