conwert Immobilien Invest SE

euro adhoc: conwert Immobilien Invest SE
conwert implements measures to optimise costs and increase efficiency

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conwert implements measures to optimise costs and increase efficiency

Vienna, 23.02.2009. conwert Immobilien Invest SE (Vienna Stock Exchange: CWI, Reuters: CONW.VI, Bloomberg: CWI AV) is implementing a comprehensive programme to optimise costs and increase efficiency. The company will reduce general administration expenses by approx. 10-15%. At the same time, the capacities in the property sales and property management segments will be reorganised and strengthened in order to take optimal advantage of existing growth opportunities. As a result, total costs are to be reduced to 11-12% of revenues in 2009, following approx. 14% in the financial year 2008. "With these measures we are reacting to the changed framework conditions in the property markets and strengthening the internal financing power of conwert while at the same time benefiting from the growth opportunities in the service business", explains Johann Kowar, Chairman of the Executive Board of conwert. "We will optimise our cost structure to ensure growing cash earnings in the future with purely organic growth."

+          Savings in administration and subsidiaries Core elements of
the measures to optimise costs and increase efficiency are the
reduction of general administration expenses, the merging and
reorganisation of business units and locations, as well as using
growth opportunities and synergy effects in the service business. The
general administration expenses will decline by approx. 10-15% in
2009 by cutting personnel and material costs and a significant
reduction in external costs. In addition, business activities in
Austria will be consolidated from three locations to the headquarters
in Vienna. Further cost savings will be achieved by optimising the
personnel and business structures at the subsidiaries. In Hungary for
instance, no new development projects will be implemented, existing
condominiums will be sold off, and staff in Budapest will be reduced
to a minimum from currently 16 employees. In Germany, individual
apartment privatisation locations will be closed and the mandates of
institutional investors will be concentrated. The number of employees
in property acquisition will be reduced due to the market situation
and the property research segment will be merged into existing
business units. The reduction of staff in general administration and
at subsidiaries will affect some 50 of the 530 employees. The cost
saving measures will already show a positive effect on the earnings
development in the year 2009.

+          Investments in the growth segments sales and property
management In order to take advantage of the opportunities in the
property sales and property management segments even better,
activities will be stepped up. "Our customers in the service segment
are not affected by the saving measures. On the contrary: we will
increase capacity there in order to win new mandates", says Johann
Kowar. Transferring conwert properties which have so far been
externally managed to our own property management also saves external
costs and entails substantially lower personnel and material costs.
Some 11,000 residential units have so far been taken over; another
2,500 units are to follow in 2009. Moreover, sales activities will be
stepped up in both Germany and Austria. Overall about 30 jobs will be
created in the growth segments of conwert.

+          Merging asset management and property management To ensure
more efficient management of the property portfolio, asset management
and property management will be merged. Johann Kowar: "The active
management of our own properties is a key to success - the new
structure will allow increased efficiency by even more closely
coordinated procedures and even better offers to our customers."

+          Stronger orientation to sales implemented in organisation The
strategic focus will in the future be placed on expanding the service
business, selling properties and organic rental income increases.
This stronger focus on sales has also led to a reorganisation of the
Executive Board of conwert. With Thomas Rohr, who joins the Executive
Board of as a new member, and Board member Jürgen F. Kelber, two
managers who have already been responsible for sales will take over
responsibility for the entire business in Austria and Germany. Their
responsibilities comprise all business activities in these two core
markets of conwert. Thomas Rohr (44) was previously a Board member of
conwert´s RESAG Group and managed the brokerage firm RESAG
Immobilienmakler GmbH. In the Executive Board he will be responsible
for the region Austria, Jürgen F. Kelber for the region Germany.
Walter Leitner, Andreas Nittel and Alexander Zartl will leave the
Executive Board and assume management positions. Walter Leitner will
manage asset & property management in Germany, which pertains to the
segment Germany. Andreas Nittel will be the head of asset & property
management in Austria, which belongs to the segment Austria.
Alexander Zartl will manage the segment Temporary Housing. The
Executive Board of conwert thus consists of Johann Kowar (CEO),
Thomas Rohr (segment Austria), Jürgen F. Kelber (segment Germany),
Claudia Badstöber (Accounting) and Wolfgang Tutsch (Legal Matters and

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ots Originaltext: conwert Immobilien Invest SE
Im Internet recherchierbar:

Further inquiry note:
conwert Immobilien Invest SE, Peter Sidlo, Head of Corporate Communications -
Investor Relations, T +43 / 1 / 521 45-250, E

Hochegger|Financials, Roland Mayrl, T +43 / 1 / 504 69 87-31,

Branche: Real Estate
ISIN:      AT0000697750
WKN:        069775
Index:    WBI
Börsen:  Wiener Börse AG / official dealing

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