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Forecasts Confirmed / Growth Strategy Continued

Sales growth of 63% in third quarter 2006, EBITA gains 59%. Forecasts for full year confirmed.

Stuttgart, 14 November 2006 – AC-Service, a full-scale service provider focused on Managed IT Services, SAP Solutions and Human Resource Services, today published its quarterly report in which it details having finished the third quarter of 2006 with sales of EUR 18.0 million (prior year: EUR 11.1 million) and an EBITA of EUR 1.1 million (prior year: EUR 0.7 million). After the first nine months of 2006, AC-Service has increased sales by 54% to EUR 51.3 million (prior year: EUR 33.3 million). The nine-month EBITA improved from EUR 1.4 to 1.8 million for an EBITA margin to sales of 3% (prior year: 4%). All operating business divisions contributed positive earnings to this business performance. The nine-month earnings after taxes were minus EUR 1.3 million (prior year: EUR 0.6 million) and were negative as expected, due primarily to one-time expenses in connection with the acquisition financing for All for One Midmarket Solutions and a high income-tax expense, which for the most part has no impact on liquidity (deferred taxes). The nine-month earnings per share (IFRS) were minus 24 euro cents (prior year: 14 euro cents). The balance of accounts is healthy. As at 30 September 2006 shareholders' equity accounted for 40% (31 Dec 05: 63%) of the balance sheet total, while cash and cash equivalents were EUR 11.4 million (31 Dec 05: EUR 11.9 million). Cash flows from operating activities improved to EUR 3.0 million (prior year: EUR 2.8 million) despite pre-tax earnings that were about EUR 1 million lower than those of the prior year and some EUR 0.6 million in cash used for the acquisition financing. The average nine-month staffing strength expressed in full-time equivalents was 415 (prior year: 301 FTEs) and there were 435 people (prior year: 309 people) employed in the AC Group as at 30 September 2006.

Following a strong third quarter, the board of directors still maintains that the company will achieve the objectives announced in March 2006 with the presentation of the 2005 annual financial statements. Accordingly, sales for the year should be in the neighbourhood of EUR 67 to 70 million with an EBITA within the range of approximately EUR 2.4 to 2.9 million.