Disclosure announcement transmitted by euro adhoc.
  The issuer is responsible for the content of this announcement.

Neschen AG will not achieve its result from the previous year of EUR
-2.5M due mainly to increased raw material prices and the soft market
conditions in the traditionally strong fall months.

The gross sales of the Group in 2004 will be approximately EUR 140M.
Factoring in consolidation changes, the organic growth will be
approximately 4.0%. As of October 31st the equity ratio of the Group
is 19.0%.

In the newly developed Business Unit "Industry", the first successful
steps to improve the production utilisation have been taken. The
measures introduced in the SEAL-companies to improve gross sales and
yield are taking effect and will be more evident in the next
financial year.

The plan for 2005 is based on the positive turnover development of
the current year. With the measures initiated to increase the gross
margin, Neschen expects a positive pre-tax result in 2005.

end of announcement                    euro adhoc 26.11.2004 12:53:55 

Further inquiry note:

Jan Marzinowski
Tel.: +49 (0) 5722 207 153
E-Mail: j.marzinowski@neschen.de

Branche: Process Industries
ISIN: DE0005021307
WKN: 502130
Index: General Standard, CDAX
Börsen: Berliner Wertpapierbörse / free trade
Hamburger Wertpapierbörse / free trade
Baden-Württembergische Wertpapierbörse / free trade
Börse Düsseldorf / free trade
Bayerische Börse / free trade
Frankfurter Wertpapierbörse / official dealing