DES Q1 2012 e

/ / / 5 DES Interim Report, Q1 2012 Report on Opportunities and Outlook Economic conditions Following the fall in growth in the German economy to close to the zero mark during the fourth quarter of 2011, the outlook for the current financial year looks very patchy. Thanks to stable domestic demand and a robust job market, the German economy is currently in good shape. The order situation deteriorated slightly in the first quarter of 2012, however, and exports, which had been so strong up to then, stagnated at a high level. The German Retail Federation (HDE) is holding on to its prediction of a 1.5 % growth in sales for 2012 and expects consumer spending and confidence to be predominantly positive. Concerns remain regarding the high levels of debt of some individual EU member states. Spain and Greece have slipped into a recession and there are fears that Italy and Portugal are also heading toward a recession. In light of the additional austerity measures announced, these econo- mies are unlikely to turn around and follow a growth trajectory any time soon. As a result, risks surrounding further development of the global economy have risen since the end of 2011. Inflation in 2011 was at 2.3 %, with above-average price increases for energy and food. The inflation rate is also expected to remain above 2 % during the current financial year. The European Central Bank has fur- nished European banks with a high level of liquidity and thus drastically increased the amount of money circulating in the economy, with the result that if interest rates remain at their current low level and good wage agreements are negotiated, continued price increases can be expected. Due to our good operational position, we expect Deutsche EuroShop’s business to perform positively and according to plan this year and in the coming year. Expected Results of Operations and Financial Position Forecast for EBT and FFO raised 4 % In light of favourable financing terms and the additional shares acquired and based on the results of the first three months, we are raising our EBT and FFO forecast for the 2012 year as a whole. We now expect • revenue of between € 207 million and € 211 million • earnings before interest and taxes (EBIT) of between € 177 million and € 181 million • earnings before taxes (EBT) without measurement gains / losses of between € 94 million and € 97 million (previously: € 90-€ 93 million) and • funds from operations (FFO) per share between € 1.70 and € 1.74 (previously: between € 1.64 and € 1.68). Dividend policy We intend to maintain our long-term dividend policy geared towards continuity and to again distribute a dividend of € 1.10 per share to our shareholders in 2012.

DES Q1 2012 e

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