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February 12, 2003

BHW
BHW shares admitted to the Prime Standard segment
Future listing on the S-DAX

The shares of Hamelin-based financial group BHW have been admitted to the Prime Standard segment of Deutsche Börse. Prime Standard companies undertake to fulfil high international transparency standards above and beyond the General Standard criteria. As part of Deutsche Börse's new index concept, BHW shares will be listed on the S-DAX in future.

Due to the currently low free float, BHW shares no longer meet the adjusted market capitalisation criterion required for admission to the M-DAX. In view of the fact that BHW clearly meets all other M-DAX critieria, the Management Board does not, however, anticipate any change regarding the valuation of BHW shares. BHW shares continue to be an attractive investment for institutional investors from Germany and abroad due to their Prime Standard status.

As the Management Board emphasises, BHW is still pursuing its objective of achieving a marked improvement in the free float with the aim of returning to the M-DAX in the near future. However, the current stock market situation does not suggest that major shareholders will be willing to sell their shares in the short term.

Like many other financial stocks, BHW shares are also susceptible to the difficult stock market situation, in particular the adverse conditions regarding financial stocks. This is in spite of the fact that the problems currently affecting bank shares are of only minor importance for BHW. Given the quiet stock market situation, financial stocks will be valued in differentiated terms, and BHW shares are therefore likely to benefit once again from the high level of stability within the Group.

 

 

 

 

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