LANXESS Aktiengesellschaft / Key word(s): Preliminary Results/Dividend 26.02.2014 10:38 Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted by DGAP - a company of EQS Group AG. The issuer is solely responsible for the content of this announcement. --------------------------------------------------------------------------- Change of competitive environment leads to impairment of EUR 257 million in fourth quarter 2013; FY 2013 net income therefore negative; Planned dividend of EUR 0.50 per share Cologne - Specialty chemicals company LANXESS has undergone impairment tests, according to IAS 36, that result in exceptional charges of EUR 257 million in the fourth quarter of 2013. Due to the expected development of overcapacities, as well as raw material and energy costs, a competitive environment is anticipated in which future cash flow contributions no longer reflect the book values of the business units Keltan Elastomers and High Performance Elastomers (Performance Polymers segment), as well as Rubber Chemicals (Performance Chemicals segment). The impairment charges are being incurred financially in the fourth quarter of 2013 and affect EBIT and net income in 2013. They are, however, not cash relevant. The above-mentioned impairment charges, together with exceptional expenses of around EUR 30 million, brought forward within the "Advance" efficiency program, result in a negative net income and earnings per share (EPS) in the fourth quarter of 2013, as well as full year 2013. The full-year net loss for 2013 is expected to be EUR 159 million. Full-year EPS is expected to be negative at EUR 1.91. EBITDA pre exceptionals is not subject to the impairment charges and is expected to be EUR 735 million, within the guided range of EUR 710-760 million. The final numbers will be provided in the 2013 consolidated financial statements that have not yet been completed. Subject to Supervisory Board approval, the Board of Management plans to propose a dividend of EUR 0.50 per share for the business year 2013 at the Annual General Meeting. For the full year 2014, LANXESS expects a slightly improved EBITDA pre exceptionals due alone to the absence of one-off items, even if selling prices remain at low levels. Cologne, February 26, 2014 Forward-Looking Statements. This news release may contain forward-looking statements based on current assumptions and forecasts made by LANXESS AG management. Various known and unknown risks, uncertainties and other factors could lead to material differences between the actual future results, financial situation, development or performance of the company and the estimates given here. The company assumes no liability whatsoever to update these forward-looking statements or to conform them to future events or developments. 26.02.2014 DGAP's Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de --------------------------------------------------------------------------- Language: English Company: LANXESS Aktiengesellschaft Kennedyplatz 1 50569 Köln Germany Phone: +49 (0)221 8885-0 Fax: +49 (0)221 8885-4944 E-mail: [email protected] Internet: www.lanxess.com ISIN: DE0005470405 WKN: 547040 Indices: DAX Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin, Düsseldorf, Hamburg, Hannover, München, Stuttgart; Terminbörse EUREX End of Announcement DGAP News-Service ---------------------------------------------------------------------------