DGAP-Adhoc: A.S. Création Tapeten AG: Development in Russian rouble exchange rate presumably leading to clear loss at Group level

A.S. Création Tapeten AG  / Key word(s): Profit Warning

16.12.2014 11:05

Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted
by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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The FY 2014 guidance provided by the Managing Board of A.S. Création
originally anticipated a net profit above the prior year level of EUR 1.3
million. This forecast, which was most recently confirmed on November 10,
2014 as part of the publication of the interim report for the period ended
September 30, 2014, was subject to the provisos that there would be no
complete slump in the Russian rouble and/or wallpaper exports to eastern
Europe and that the cartel proceedings would not entail any significant
burdens over and beyond the amount of EUR 2 million already provisioned
for. At that time the exchange rate of the Russian rouble stood at
approximately 57 RUB/EUR. Noting the dramatic slide in the exchange rate of
the Russian currency in recent days, the company now anticipates incurring
a clear loss for the financial year 2014 at Group level.

The depreciation in the Russian rouble has dramatically accelerated since
the end of November 2014, when the exchange rate stood at approximately 57
RUB/EUR. The currency pair has meanwhile reached a level of approximately
80 RUB/EUR. The Russian central bank's attempts to halt the depreciation
through interventions in the markets have so far been unsuccessful. Seeing
that the central bank's most recent measure, its rate rise of December 11,
2014, has failed to show an effect, the Managing Board now assumes that the
exchange rate will not recover by year-end 2014. This would mean that one
of the provisos underlying the above mentioned profit guidance would no
longer hold.

Given that the two Russian member companies of the Group are predominantly
funded by euro-denominated loans, A.S. Création's 2014 Group accounts are
expected to show considerable exchange rate-related currency translation
losses. At this time these currency translation losses will not have a
liquidity effect. Based on the assumption that the exchange rate of the
Russian rouble will largely remain unchanged by year-end, the Managing
Board anticipates reporting a net annual loss in the mid- to high
single-digit million range for the full financial year 2014.

The figures for the financial year 2014 are scheduled to be published on
March 25, 2015.

Gummersbach, December 16, 2014

A.S. Création Tapeten AG

The Managing Board

Inquiries:
Maik Krämer, Director of Finance and Controlling
Südstr. 47
D-51645 Gummersbach
Phone: +49-2261-542 387
Fax: +49-2261-542 304
E-mail: m.kraemer@as-creation.de


16.12.2014 The DGAP Distribution Services include Regulatory Announcements,
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Language:     English
Company:      A.S. Création Tapeten AG
              Südstraße 47
              51645 Gummersbach
              Germany
Phone:        +49 22 61 54 2-0
Fax:          +49 22 61 54 2-3 04
E-mail:       investor@as-creation.de
Internet:     http://www.as-creation.de
ISIN:         DE000A1TNNN5
WKN:          A1TNNN
Listed:       Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
              in Berlin, Düsseldorf, Hamburg, München, Stuttgart
 
End of Announcement                             DGAP News-Service
 
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