class=fontstyle>

- Sales slightly exceeded projections
- Result from ordinary activities clearly improved
- Tax-free dividend
- Outlook: further increase of free cash flow

Hamburg, 20 April 2004 – At its annual results press conference held in Hamburg, Deutsche EuroShop AG today has announced the final results for fiscal year 2003; they correspond to the preliminary figures announced March 2.

Sales up 6%
Consolidated sales rose by 6% from Euro 46.5 million to Euro 49.3 million, whereas the Company’s forecasts had envisaged an increase of 4%. The depreciation of tangible assets amounted of Euro 22.4 million (2002: Euro 21.6 million). At Euro 12.8 million, other operating expenses remained at the prior-year level (Euro 12.9 million), although they contain a negative investment effect of Euro 1.7 million for the construction of Forum Wetzlar. The EBITDA still increased by 14 % from Euro 37.0 to Euro 42.0 million.

The result from ordinary activities improved by 32%
The result from ordinary activities improved by 32% from Euro 4.9 million to Euro 6.5 million. After deducting income taxes, other taxes and minority interests, a consolidated net loss of Euro 0.5 million was recorded (previous year: net loss of Euro 2.9 million). This is primarily due to depreciation charges on real property assets.

Proposed dividend: Euro 1.92 per share – tax-free
The Executive Board will propose to the Annual General Meeting to be held in Frankfurt am Main on 17 June 2004 that a dividend of Euro 1.92 per share be paid for financial year 2003. This distribution is completely tax-free and corresponds to a dividend-yield of 5.5% (basis: Xetra-closing price of Euro 34.89 on 19 April 2004).

Outlook
Deutsche EuroShop intends to change the accounting from HGB (German Commercial Code) to IAS/IFRS in the current fiscal year. This will cause different effects on the results which are all in all – from today’s point of view – clearly positive. Due to the fact that the positive influence on the results of FY 2004 cannot be quantified completely the Company renounces to forecast. Nevertheless the management board is confident to increase the free cash flow to Euro 30.0 million (2003: Euro 28.0 million). The expansion should be pushed by acquiring two to three shopping centres each year. Deutsche EuroShop strives to be listed in MDAX index in the medium-term.

Key figures for Deutsche EuroShop AG

Euro million	Group		AG
	2003	2002	2003	2002
Sales	49.3	46.5	-	-
Income from investments	6.5	4.5	26.5	23.1
Net interest expense/income	-14.1	-11.4	3.2	4.5
Result from ordinary activities	6.5	4.9	28.0	24.8
(Consolidated) net profit/loss for the year	-0.5	-2.9	20.6	18.3
EBITDA*	42.0	37.0	-	-
Depreciation and amortisation	22.4	21.6	0	0
Total assets	980.7	1,000.3	622.9	632.0
Equity	535.7	556.8	600.1	609.6
Liabilities	417.1	420.0	0	7.0
Equity ratio	54.6%	55.7%	96.3%	96.5%
Cash and cash equivalents**	88.6	153.9	41.6	100.9

*    including investment income
 ** including securities investments

Deutsche EuroShop – The Shopping Center Company
Deutsche EuroShop AG is Germany´s only public company that invests solely in shopping centers. The SDAX-company currently has equity interests in 14 European shopping centers in Germany, France, Hungary, Italy and Poland.

<