HOCHTIEF Half-Year Report January - June 2009

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Interim Management Report

Orders and work done

The Group recorded a further increase in the order backlog as of June 30, 2009 along with sustained high levels of work done.

New orders

New orders totaled EUR 10.1 billion in the first half of 2009, down 18.1 percent on the prior-year period. EUR 1.78 billion of the decrease related to international operations and EUR 0.45 billion to Germany. The prior-year period was very strong in terms of new orders, with the emphasis on international large-scale contracts. New orders in the first half of 2009 represent a return to normal levels.

Group work done

Work done came to EUR 10.21 billion as of June 30, 2009, on a par with the prior-year period. Work done adjusted for exchange rate changes (EUR 10.4 billion) was 1.8 percent higher than the figure as of the end of the second quarter 2008. The HOCHTIEF Asia Pacific division made up for a decrease at HOCHTIEF Americas with gains from longrunning contract mining projects.

Order backlog

The order backlog attained an all-time high with an absolute amount of EUR 33.11 billion. The increase compared with the prior-year period was EUR 1.21 billion. The increment mostly stems from the substantially higher new orders – relative to work done – in the past twelve months (up EUR 1.42 billion). As a result, the order backlog continues to correspond to a forward order book of more than 19 months.

Financial review

Earnings

HOCHTIEF raised sales in the first half of 2009 compared with the same period of the prior year by a slight 0.7 percent to EUR 9.13 billion (H1 2008: EUR 9.06 billion).

A major share of this growth was accounted for by the HOCHTIEF Asia Pacific division, which upped sales by an above-average 5.1 percent to EUR 3.76 billion on the back of strong business performance at Leighton. This sales boost was prevented from being even larger by a weak trend in the Australian dollar exchange rate in the first half of 2009 relative to the prior-year period. The size of the

negative exchange rate effect due to currency translation contained in the sales figure is EUR 489.5 million. Sales in the Americas were again strong, although slightly down in track with the drop in work done. The HOCHTIEF Americas division generated sales totaling EUR 3.5 billion in the period under review compared with EUR 3.69 billion in the prior-year period. The total included EUR 461.9 million in positive exchange rate effects from translation of US dollar amounts into the Group currency, the euro. Despite the fraught situation in the European construction sector, the HOCHTIEF Europe division increased sales to EUR 1.1 billion in the first six months of 2009, compared with EUR 1.08 billion in the same period of 2008. The 2.5 percent growth mainly reflected strong capacity utilization on the international side. The HOCHTIEF Real Estate division generated higher sales of EUR 324.2 million in the first half of 2009 as a result of developments under construction. This represents a substantial 22.8 percent increase on the prior-year period (EUR 263.9 million). Sales generated in the HOCHTIEF Services division, at EUR 311.9 million, were slightly down on the prior-year period (EUR 326.1 million).

Earnings performance in the HOCHTIEF Group remained largely stable despite the strained world economic situation. At EUR 348.7 million, operating earnings (EBITA) for the period under review were only 2.1 percent down on the EUR 356.2 million recorded in the first half of 2008. Our businesses were affected to varying degrees by the global economic slowdown. HOCHTIEF Europe for the most part broke free of the general negative trend and attained operating earnings of EUR 12.9 million, a substantial improvement on the prior-year period (minus EUR 34 million). A major factor involved here was the reorganization of the German construction business successfully implemented in the prior year. The high quality of contracts secured by Turner and Flatiron likewise brought about a rise in operating earnings in the HOCHTIEF Americas division, by 15.1 percent to EUR 52.6 million (H1 2008: EUR 45.7 million). HOCHTIEF Asia Pacific division operating earnings, at EUR 261.4 million, were 17.4 percent below the EUR 316.3 million comparative figure for the same period of 2008. Operating earnings dropped at HOCHTIEF Real Estate to EUR 12.9 million (H1 2008: EUR 22.6 million) and at HOCHTIEF Services to EUR 9.2 million (H1 2008: EUR 10.2 million). HOCHTIEF Concessions generated operating earnings of EUR 41.2 million in the period under review (H1 2008: EUR 56.2 million). If positive extraordinary items