07 December 2006: Funkwerk receives first milestone contract for US market

Funkwerk AG, the specialist in professional communication systems, has received yet another major contract from the automobile industry. An international premium manufacturer recently commissioned the company with the supply of a multimode Compenser for the US-American market. The multimode Compenser is a mobile radio amplifier specially designed for vehicles. Fitted into the vehicle, it ensures a reliable mobile radio connection and thus contributes considerably to the improvement of mobile voice and data communication.

13 November 2006: Funkwerk expects strong final quarter

Funkwerk AG, one of the leading specialists in professional communication systems in Europe, expects the current financial year to finish with a strong final quarter. “From October to the end of December, we estimate sales to be well above 80 mill. Euro and expect all three segments to write positive figures again“, announced Chairman of the Board Dr. Hans Grundner on presentation of the nine-month report. “In our experience, the sales shifts in business with institutions and public contractors, which were once again evident in the third quarter, will be more than balanced in the fourth quarter.“

16 August 2006: Changes in Funkwerk Board of Management.

The Supervisory Board of Funkwerk AG has appointed Hans-Ekkehard Domröse (61) as a new member of the Board of Management of the Thuringia-based technology group. The graduate economist and telecommunications expert is to assume immediate responsibility for the Enterprise Communication segment at Board of Management level. Chairman of the Board of Management Dr Hans Grundner was previously responsible for this segment.

09. August 2006: Report of 1. Half Year 2006: Stimulation of Business delayed in 2. Half Year

Funkwerk AG did not achieve its Sales- and profit objectives in the first Half Year 2006 but for the 2. half year a considerable stimulation of business is expected. According to the Half year report published today the expert for professional communication systems accomplished in 2. Quarter consolidated revenues of 57,8 Mio € (2005. 61,2 Mio €)and earnings before Interest and taxes (EBIT) of 1,1 Mio € (2005: 2,3 Mio €).

18 July 2006: Preliminary figures and revised annual forecast

Funkwerk AG has achieved according to preliminary figures a turnover of ap-proximately 58 Mio. € and Earning Before Interest and Taxes (EBIT) of around 1 Mio. € in the second quarter. The plan could not be accomplished. Reasons therefore were lower than expected incoming orders in second quarter and higher expenses for projects in the business division Traffic & Control Communication. Additionally, business in the after sales market for hands free systems in the division Automotive Communication was behind planning. In the first half year 2006 the specialist for professional communication systems will therefore only reach a good 110 Mio. € sales in comparison to planned 120 Mio. €. EBIT for this period was 1,4 Mio. € (plan: 6 Mio. €).

11 May 2006: Quarterly report of Funkwerk AG

Despite the positive trend in incoming business in the first quarter of 2006, Funk-werk AG (ISIN: DE0005753149), listed in the Prime Standard, failed as yet to realise the anticipated increase in sales and earnings. At group level, Funkwerk attained quarterly sales totalling 53.3 mill. Euro, a figure that is barely higher than the prior-year level of 52.9 mill. Euro, with an export share of 29 per cent (2005: 25 per cent). Since sales remained below the target range and additional expenses had to be incurred, the operating result (EBIT) of 0.4 mill. Euro fell short of both the prior-year result (2.1 mill. Euro) and the projections. The consolidated annual net profit as at the end of March amounted to 0.2 mill. Euro (2005: 1.4 mill. Euro).

23 March 2006: Presentation of 2005 financial statements and projections for the current financial year:

Funkwerk confirms return to growth Funkwerk AG (ISIN: DE0005753149), listed in the Prime Standard, has confirmed its return to growth. “We expect our sales and earnings to increase again in the current financial year,” announced the Chairman of the Board, Dr. Hans Grundner at the press conference on financial statements in Frankfurt. In concrete terms, the technology group based in the Thuringian town of Kölleda plans to attain sales of 270 mill. Euro and earnings before interest and taxes (EBIT) of 8 per cent in 2006. The key impulses for the future are expected to come from newly developed market segments. According to Dr. Grundner, this predominantly includes mobile radio equipment based on the TETRA standard for transport companies and institutions with security-related tasks, integrated access solutions for telecommunications companies, and telematics equipment for commercial vehicles and vehicle fleets.

17 February 2006: Funkwerk acquires Euro Telematik AG

Funkwerk AG (ISIN: DE 0005753149) is set to extend its Automotive Communication segment by a further range to include telematics and navigation systems. Settled by the decision to take over Euro Telematik AG with immediate effect, the specialist in professional communication systems 16 February signed the purchase contract, after agreement on a purchase price in the low single-figure millions. On signing of the contract, Funkwerk Chairman Dr. Hans Grundner said, “Our objective here is clear: we intend to become one of the key European manufacturers of communication equipment for vehicles in the next few years. Our customers are interested in integrated systems with telematics and navigation applications, thus the know-how and product range of Euro Telematik form an ideal complement to our technology platform. Strategically, this move will secure further growth for our Automotive Communication segment in the medium term.“

January, 18 2006: Funkwerk is planning growth and positive Free Cash Flow in 2006

Funkwerk AG has finally fixed the key-figures for financial year 2006. The specialist for professional communication systems forecasts in the current year a double-digit , organic growth in Sales and EBIT in comparison with 2005 and a positive Free Cash Flow figure. The sales revenues target for the Funkwerk group will be according to the latest plan scenario above 270 Mio. €. Earnings before interest and taxes (EBIT) will reach at least 22 Mio. €.