Heidelberg Establishes Funding of Pension Obligations to Trust

• Company concludes "Contractual Trust Arrangement" (CTA)
• Transfer of assets worth around 450 million Euro

The Management Board of Heidelberger Druckmaschinen Aktiengesellschaft (Heidelberg) today took the decision to transfer the funding of pension obligations for existing and retired members of staff through a Contractual Trust Arrangement (CTA). This move will initially involve transferring assets worth around 450 million Euro to Heidelberg Pension Trust e.V. These assets will comprise all the shares in special funds held by Heidelberg worth around 370 million Euro, which have already been set aside to meet pension obligations, and a cash payment of around 80 million Euro. The assets transferred to the trust may only be used to fulfill the obligations relating to the company pension.

The pension rights of existing and retired employees vis-à-vis Heidelberg remain unchanged.

"Even after the assets have been transferred, Heidelberg will remain in a strong financial position that will enable it to drive the company's market and technology leadership and maintain its dividend policy," says Dr. Herbert Meyer, CFO at Heidelberger Druckmaschinen AG. "This measure will reduce Heidelberg's consolidated balance sheet total and, in doing so, facilitate comparison of its key financial indicators on the international capital market."

For further information:
Heidelberger Druckmaschinen AG
Investor Relations
Dirk Kaliebe
Tel: +49 (0)6221 92 60 20
Fax: +49 (0)6221 92 60 61
E-mail: dirk.kaliebe@heidelberg.com  

Heidelberger Druckmaschinen AG
With a global market share for sheetfed offset printing machines of more than 40 percent, Heidelberger Druckmaschinen AG (Heidelberg) is the world's leading solution provider for the print media industry. Headquartered in Heidelberg, Germany, the company focuses on the entire process and value chain in sheetfed offset printing, for formats ranging from 14x20 inches to 28x40 inches. Apart from printing presses, the product portfolio includes plate imaging devices and finishing equipment, as well as software components designed to integrate all print manufacturing processes. In addition, Heidelberg offers a wide range of spare parts, consumables, used equipment and services, along with extensive training programs provided by the Print Media Academy. Furthermore, the company assists its customers' investment plans by offering financing concepts.

Heidelberg is most active within the major OECD industrial regions and is expanding its involvement within growing markets such as Asia and Eastern Europe. With development and production sites in five countries and some 250 sales offices worldwide, the company offers services to more than 200,000 customers around the globe. Heidelberg generates 85 percent of global sales through company-owned sales offices and well above 80 percent outside of Germany. In fiscal year 2004/2005, Heidelberg achieved sales of 3.207 billion Euro referring to the divisions Press, Postpress and Financial Services as well as a net profit of 61 million Euro.
 
As of March 31, 2005, the Group employed 18,700 staff worldwide.

Important Note
This press release contains forward-looking statements based on assumptions and estimations by the Management Board of Heidelberger Druckmaschinen Aktiengesellschaft. Even though the Management Board is of the opinion that those assumptions and estimations are realistic, the actual future development and results may deviate substantially from these forward-looking statements due to various factors, such as changes in the macro-economic situation, in the exchange rates, in the interest rates and in the print media industry. Heidelberger Druckmaschinen Aktiengesellschaft gives no warranty and does not assume liability for any damages in case the future development and the projected results do not correspond with the forward-looking statements contained in this press release.