euro adhoc: AvW INVEST AG / 1st Half 2003 (E)

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

The financial services and investment company AvW Invest AG, listed on the ATX Prime Market at the Vienna stock exchange, has presented its 2003 interim report according to IAS, in adherence to the balance sheet preparation proposals applicable to banks.

in EUR million 1st Half 2003 1st Half 2002 Operating profit 1.303 0.979 Profit on ordinary activities before tax 0.940 0.779 Net income over the period 0.609 0.501 Operating expenses 0.917 0.647 Workforce 114 98

Market situation
The anticipated financial improvement within the AvW Group led to a significant recovery within the financial services, investment business and real estate business. EBIT, result of ordinary activities and net profit for the period have increased significantly in comparison with the same period last year.
In the financial services business, AvW realised earnings of EUR 1.863 million during the first half of 2003 (2002: EUR 1.511 million), which equates to a rise of 23%. At the end of the period under review, 103 financial partners (2002: 88) worked for AvW Invest AG. Since May, AvW has two well-known companies in Vienna under contract as financial partners, with the result that our clients now have access to financial advisers in every Austrian province.
In the investment business, the AvW Group increased its existing investment holdings. Sella Austria Consult AG (25.17%) and BSS Cosmetic GmbH (25%) holdings were disposed of.
Earnings from real estate business improved slightly.

Outlook
Since May, the AvW financial services network has covered the whole of Austria, and we are now looking to expand the network in Germany. Investment purchases are being made when favourable opportunities arise. We also have our sights set on insurance and financial services companies in Austria and Germany and are planning further purchases.
Real estate purchase negotiations are underway in relation to a large real estate project, and the purchase of the property in Carinthia should be completed during the 3rd quarter of 2003.
Following the positive progress of business during the first six months of 2003, we anticipate a satisfactory development in operational business during the second half of the year.

The 1st half 2003 report is published on our homepage at www.avw.at.

Further inquiry note:
AvW INVEST AG
Mag. Alexandra Anthofer
http://www.avw.at
Tel: +43(0)4229 3621
FAX: +43(0)4229 2386
Email: a.anthofer@avw.at

end of announcement euro adhoc

Emittent: AvW INVEST AG
Hauptstrasse 118
AT-9201 Krumpendorf
Tel: +43(0)4229 3621
FAX: +43(0)4229 2386
Email: a.anthofer@avw.at
WWW: www.avw.at
ISIN: AT0000930409
WKN: 093040
Indizes: Prime.market
Börsen: official dealing Wiener Börse AG; free trade Baden-Württembergische Wertpapierbörse, Frankfurter Wertpapierbörse Branche: Financial & Business Services
Sprache: Englisch

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