Accell Group reports increased profits in Qs 1 and 2

Turnover rose to EUR204.3m, a 24% increase over the same period in 2003 (EUR 165.3m). The autonomous growth amounted to 10%. Net profit increased by 49%, to EUR 7.5m (1st half 2003: EUR 5m).

René Takens, Accell’s chairman, said:

“In times such as these, when people are reticent about spending money and are more inclined towards saving, it is important to convince them that we offer the kind of product that exactly fits their needs. The people have money, but only if your brand has enough to offer. It has to be more than just a name – and that is exactly what our brands communicate in the market. This is not something that runs by itself – it demands the constant attention of all our people. And looking at these half year results, I have to say we have all succeeded.”

http://www.accell-group.com

CONDENSED CONSOLIDATED PROFIT AND LOSS ACCOUNT

(amounts in EUR * 1,000.-)

First Half First Half 2004 2003 Turnover 204,336 165,305 Cost of raw materials and auxiliary materials (126,383) (105,066) Staff costs (30,206) (23,695) Depreciations (2,886) (2,131) Other operating costs (31,618) (24,881) (191,093) (155,773) Operating profit 13,243 9,532 Result participations 168 0 Financial income and expenses (1,883) (1,798) Pre-tax profit 11,528 7,734 Taxes (4,049) (2,707) Net profit 7,479 5,027 Average number of outstanding shares 3,376,867 3,323,761 Earnings per share 2.21 1.51 Number of outstanding shares 3,462,508 3,323,761

CONDENSED CONSOLIDATED BALANCE SHEET

(amounts in EUR * 1,000.-)

30 June 2004 31 December 2003 30 June 2003 ASSETS Fixed assets Intangible fixed assets 2,608 583 692 Tangible fixed assets 29,439 28,905 24,395 Financial fixed assets 5.880 5,659 2,734 Current assets Inventories 57,030 54,139 47,893 Receivables 52,376 45,654 47,493 TOTAL 147,333 134,940 123,207 LIABILITIES Group equity 54,320 48,051 44,521 Subordinated loan 6,000 6,500 7,000 Provisions 7,724 6,984 6,412 Long-term debts 22,064 22,018 22,138 Short-term debts 57.225 51,387 43,136 TOTAL 147,333 134,940 123,207

CONDENSED CASH FLOW OVERVIEW

(amounts in EUR * 1,000.-)

2004 2003 First Half First Half Cash flow from operations Net result 7,479 5,027 Depreciations 2,886 2,131 Changes in provisions 740 473 Changes in working capital 4,790 2,744 Net cash flow from operations 15,895 10,375 Cash flow related to investment Investment in intangible fixed assets 2,223- 85- Investments minus divestments in Tangible fixed assets, incl acquisitions 3,222- 2,546- Result participations – – Acquisition group companies and other financial fixed assets 634- – Net cash flow related to investment 5,666- 2,631- Cash flow from financing activities Dividend payments 1,417- 3,158- Transactions long-term debts 454- 863- Transactions in bank credit 8,042- 4,151- Other transactions 207 360 Net cash flow from financing activities 9,706- 7,812- Liquidity: Total net cash flow 110 68- Opening balance liquid assets as per 1 January 67 80 Closing balance liquid assets as per 30 June 177 12 OVERVIEW CHANGES IN GROUP CAPITAL

(amounts in EUR * 1,000.-)

2004 2003 Balance on 31 December 48,051 42,292 Net result 7,479 5,027 Stock dividend 2003 6 – Dividend paid 2003 1,417- 3,158- Other transactions 201 360 Balance on 30 June 54,320 44,521