04 February 2010

Augustin Network GmbH purchases for an undisclosed sum

Logwin AG has sold its the general cargo network in Austria, operated by its subsidiary Logwin Road + Rail Austria GmbH, and its Eastern European land transportation business activities to Augustin Network GmbH. The contract parties agreed to not disclose the purchase price. Subject to cartel clearance by the competent authorities, the transactions shall be completed in the first six months of 2010.

The logistics companies intend to cooperate closely in the future in the form of a preferred partnership, in particular for groupage, LTL (less-than-truckload) and FTL (full-truckload) transportation in Central and Eastern Europe. This partnership will ensure the continued reliability of deliveries for current and future customer projects.

This latest development sees Logwin continue the streamlining of its land transportation business activities. The Company will continue to offer its Solutions and Air + Ocean customers access to the Austrian and Eastern European land transportation networks. Austria and Eastern Europe will continue to remain core markets for Logwin even after the sale of the land transportation activities.

Revenues of the business activities amounted to approximately €210.0 million in 2009. The disposal will result in a book loss of approximately €16.0 million and generate cash proceeds of approximately €7.0 million.