0 1 D E U T S C H E E U R O S H O P / Q U A R T E R L Y S T A T E M E N T O F 3 1 M A R C H 2 0 1 8 L e t t e r f r o m t h e E x e c u t i v e B o a r d Dear Shareholders, dear Readers, The first quarter of 2018 proceeded well in operational terms and according Consolidated key figures to plan. Revenue of €56.0 million exceeded the prior-year quarter by 10.5%, chiefly owing to the positive performance of the Olympia Center in Brno, Czech Republic, which was not included in the results of the results of the prior-year quarter. Like-for-like revenue increased by 0.4%. Net operating income (NOI) rose by 9.3% to €50.1 million, while earnings before interest and taxes (EBIT) were 10.7% higher than the previous year, at €49.0 million. Consolidated profit likewise increased, from €27.5 million to a current figure of €30.4 million, which equated to earnings per share of €0.49 after €0.50 in the prior-year period. EPRA earnings per share, which do not include the measurement gains / losses, were unchanged at €0.60. Funds from opera- tions (FFO) also recorded growth and were up €3.3 million at €37.8 million, which represents FFO per share of €0.61, compared with €0.62 in the pre- vious year. When considering per-share figures, the increase in the number of shares from 55.1 million to 61.8 million (capital increase in March 2017 and conver- sion of the convertible bond in November 2017) needs to be borne in mind. We can reaffirm our full-year guidance. We envisage being able to pay a dividend of €1.50 per share for the current financial year, which would once in € million Revenue Net operating income (NOI) EBIT EBT (excluding meas- urement gains / losses*) Consolidated profit EPRA ** earnings per share in € FFO per share in € Earnings per share in € in € million Equity*** Liabilities Total assets again be 5 cents higher than in the previous year. Furthermore, we also intend Equity ratio in % *** to increase the dividend for financial year 2019 by €0.05 to €1.55 per share. In this way we wish to continue with our sustainable dividend policy and thereby enable our shareholders to continue to benefit from the success of LTV ratio (%) **** Cash and cash equivalents our shopping center portfolio, which is at almost full occupancy. 01.01. – 31.03.2018 01.01. – 31.03.2017 + / - 50.7 10.5% 56.0 50.1 49.0 39.5 30.4 0.60 0.61 0.49 45.8 44.3 35.3 27.5 0.60 0.62 0.50 9.3% 10.7% 12.0% 10.4% 0.0% -1.6% -2.0% + / - 1.3% 31.03.2018 31.12.2017 2,607.8 2,051.1 4,658.9 56.0 31.5 2,574.9 2,052.1 -0.1% 4,627.0 0.7% 55.6 32.4 139.9 106.6 31.3% Hamburg, May 2018 Wilhelm Wellner Olaf Borkers * including the share attributable to equity-accounted joint ventures and associates ** European Public Real Estate Association *** incl. third-party interests in equity **** loan-to-value ratio (LTV ratio): ratio of net financial liabilities (financial liabilities less cash and cash equivalents) to non-current assets (investment properties and investments accounted for using the equity method)

0 3 D E U T S C H E E U R O S H O P / Q U A R T E R L Y S T A T E M E N T O F 3 1 M A R C H 2 0 1 8 Revenue growth thanks to portfolio expansion Increase in income taxes Revenue rose in the reporting period by 10.5% to €56.0 million, thus Taxes on income and earnings amounted to €8.0 million (previous year: meeting our expectations. This growth was attributable in the main to €7.0 million). Of this, €1.7 million (previous year: €1.1 million) was attrib- the Olympia Center in Brno, which has been included in the consolidated utable to taxes paid and €6.3 million (previous year: €5.9 million) to figures since 31 March 2017 and contributed €5.1 million. deferred taxes. Operating and administrative costs for property on target Consolidated profit and earnings up Center operational costs in the reporting period, comprised mainly of At €30.4 million, consolidated profit was up by €2.9 million compared center management fees, non-allocable ancillary costs, maintenance with the previous year (€27.5 million). Because of the higher number of and write-downs of rent receivables, rose by €1.1 million to €5.9 million no-par-value shares issued, earnings per share, at €0.49 (previous year: and were in line with the projection. €0.50), and EPRA earnings per share, at €0.60 (previous year: €0.60), remained at the prior-year level. Other operating expenses of €1.4 million Other operating expenses totalled €1.4 million, €0.5 million lower than the previous year’s level. In the prior-year period, higher consultancy EPRA EARNINGS costs in particular were recorded in connection with the acquisition of the Olympia Center in Brno. 01.01. – 31.03.2018 01.01. – 31.03.2017 in € thou- sand per share in € in € thou- sand Consolidated profit 30,363 0.49 27,507 per share in € 0.50 EPRA EARNINGS 36,852 0.60 33,117 EBT (excl. measurement gains / losses) rose from €35.3 million to €39.5 million (+12.0%) owing in particular to the addition of the Olym- pia Center in Brno to the portfolio. Weighted number of no-par-value shares issued 61,783,594 55,085,176 Measurement gains / losses influenced by investments * including the share attributable to equity-accounted joint ventures and associates The measurement loss of €-1.2 million (previous year: €-0.7 million) ** affects deferred taxes on investment properties and derivative includes investment costs incurred by our portfolio properties (including financial instruments the at-equity portion). EBIT grows at same rate as revenue At €49.0 million, earnings before interest and taxes (EBIT) were greater than the figure for the previous year (€44.3 million) due to the acquisition of the Olympia Center, which generated EBIT of €5.1 million. Financial gains or losses excluding measurement effects down slightly Net finance costs (excluding measurement gains / losses) changed by €0.5 million from €-9.0 million to €-9.5 million. The at-equity profit recognised in financial gains or losses, at €7.6 million, remained at the prior-year level. The interest expense of Group companies rose by €0.5 million. Lower interest costs due to loan repayments and the ces- sation of interest payments on the convertible bond stood in contrast to the additional interest expense for the financing of the Olympia Center. EBT (excluding measurement gains / losses) up significantly by 12.0% Measurement gains / losses investment properties * Measurement gains / losses derivative financial instruments * Acquisition costs Deferred taxes in respect of EPRA adjustments ** 1,188 0.02 747 0.01 -840 0 -0.01 0.00 -910 319 6,141 0.10 5,454 -0.02 0.01 0.10 0.60

0 5 D E U T S C H E E U R O S H O P / Q U A R T E R L Y S T A T E M E N T O F 3 1 M A R C H 2 0 1 8 REPORT ON EVENTS AFTER THE REPORTING DATE DIVIDEND 2018 We intend to distribute a dividend of €1.50 per share to our sharehold- ers for 2018. No significant events occurred between the balance sheet date of 31 March 2018 and the date of preparation of the financial statements. RISK REPORT OUTLOOK EXPECTED RESULTS OF OPERATIONS AND FINANCIAL POSITION There have been no significant changes since the beginning of the financial year with regard to the risks associated with future business development. We do not believe that the Company currently faces any risks capable of jeopardising its continued existence. The information provided in the risk report of the consolidated financial statements as Following a performance in the first quarter in line with projections, we at 31 December 2017 is therefore still applicable (2017 Annual Report, can reaffirm our forecast for financial year 2018: pg. 134 ff.). • • revenue of between €220 million and €224 million earnings before interest and taxes (EBIT) of between €193 million and €197 million • earnings before taxes (EBT) excluding measurement gains / losses of between €154 million and €157 million • funds from operations (FFO) of between €145 million and €148 million or between €2.35 and €2.39 per share REVENUE in € million EBIT in € million EBT * in € million FFO in € million Result Goal 148.1 148 145 per share in € Goal 151 148 Result 218.5 Goal Goal 220 – 224 222 – 226 Result 192.4 Goal Goal 193 – 197 194 – 198 Result 153.3 Goal Goal 154 – 157 158 – 161 Result 2.54 Goal Goal 2.35 – 2.39 2.40 – 2.44 2017 2018 2019 2017 2018 2019 2017 2018 2019 2017 2018 2019 * excluding measurement gains / losses Number of shares in million 58.25 61.78 61.78

0 7 D E U T S C H E E U R O S H O P / Q U A R T E R L Y S T A T E M E N T O F 3 1 M A R C H 2 0 1 8 CONSOLIDATED INCOME STATEMENT STATEMENT OF COMPREHENSIVE INCOME 01.01. – 31.03.2018 01.01. – 31.03.2017 in € thousand 01.01. – 31.03.2018 01.01. – 31.12.2017 50,727 Consolidated profit 30,363 27,507 Items which under certain conditions in the future will be reclassified to the income statement: Actual share of the profits and losses from instruments used to hedge cash flows Deferred taxes on changes in value offset directly against equity Total earnings recognised directly in equity TOTAL PROFIT Share of Group shareholders 1,715 2,459 -373 -535 1,342 31,705 31,705 1,924 29,431 29,431 in € thousand Revenue Property operating costs Property management costs Net operating income (NOI) Other operating income Other operating expenses Earnings before interest and taxes (EBIT) Share in the profit or loss of associated companies and joint ventures accounted for using the equity method Interest expense Profit / loss attributable to limited partners Other financial income and expenditure Interest income Financial gains or losses Measurement gains / losses Earnings before tax (EBT) Income taxes CONSOLIDATED PROFIT Earnings per share (€), undiluted Earnings per share (€), diluted 56,044 -3,290 -2,648 50,106 256 -1,379 -2,348 -2,533 45,846 301 -1,892 48,983 44,255 7,507 -13,293 7,574 -12,753 -4,533 -4,655 740 5 -9,574 -1,172 38,237 -7,874 30,363 0.49 760 17 -9,057 -736 34,462 -6,955 27,507 0.50 0.48 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY Number of shares in € thousand outstanding Share capital Capital reserves Other retained earnings Statutory reserve Availa- ble-for-sale reserve Cash flow hedge reserve Total 01.01.2017 Total profit 53,945,536 53,945 961,970 932,109 2,000 -22 -33,854 1,916,148 0 0 27,507 Capital increase 4,459,460 4,460 159,583 Dividend payments 0 0 0 0 0 0 0 0 0 0 1,924 0 0 29,431 164,043 0 31.03.2017 58,404,996 58,405 1,121,553 959,616 2,000 -22 -31,930 2,109,622 01.01.2018 Total profit Dividend payments 61,783,594 61,784 1,217,560 984,675 2,000 0 0 0 0 30,363 0 0 0 31.03.2018 61,783,594 61,784 1,217,560 1,015,038 2,000 0 0 0 0 -28,643 2,237,376 1,342 31,705 0 0 -27,301 2,269,081

0 9 D E U T S C H E E U R O S H O P / Q U A R T E R L Y S T A T E M E N T O F 3 1 M A R C H 2 0 1 8 SEGMENT REPORTING Segment reporting by Deutsche EuroShop AG is carried out on the basis of internal reports that are used by the Executive Board to manage the Group. Internal reports distinguish between shopping centers in Ger- many (“domestic”) and other European countries (“abroad”). As the Group’s main decision-making body, the Deutsche EuroShop AG Executive Board first and foremost assesses the performance of the segments based on revenue, EBIT and EBT excluding measure- ment gains / losses. The measurement principles for segment reporting correspond to those of the Group. In order to be able to assess the contribution of the segments to the individual performance indicators as well as to the Group’s success, the income, expenditure, assets and liabilities of the joint ventures are included in internal reporting in proportion to the Group’s share therein. Similarly, for subsidiaries in which the Group is not the sole shareholder, income, expenditure, assets and liabilities are not consolidated in their entirety but only proportionately according to the corresponding Group share. This results in the segments being divided as followed: BREAKDOWN BY SEGMENT in € thousand Revenue (01.01.-31.03.2017) EBIT (01.01.-31.03.2017) EBT excl. measurement gains / losses (01.01.-31.03.2017) Domestic 48,879 (-48,996) 42,771 (-43,613) 32,113 (-32,130) Abroad 10,584 (-5,285) 10,022 (-4,732) 8,245 (-4,258) Total Reconciliation 59,463 (-54,281) 52,793 (-48,345) 40,358 (-36,388) -3,419 (-3,554) -3,810 (-4,090) -856 (-1,119) Segment assets (31.12.2017) of which investment properties (31.12.2017) 3,441,906 (-3,430,425) 3,388,432 (-3,388,343) 770,991 (-767,148) 735,475 (-735,415) 4,212,897 (-4,197,573) 4,123,907 (-4,123,758) 446,037 (-429,426) -199,597 (-199,601) 01.01. – 31.03.2018 56,044 (-50,727) 48,983 (-44,255) 39,502 (-35,269) 31,03,2018 4,658,934 (-4,626,999) 3,924,310 (-3,924,157) The adjustment of the proportionate consolidation of the joint ventures In view of the geographical segmentation, no further information pur- and subsidiaries in which the Group does not own a 100% stake is suant to IFRS 8.33 is given. carried out in the reconciliation column. Deferred tax liabilities are con- sidered by the Executive Board of Deutsche EuroShop AG in a cross- segment manner and are therefore included in the reconciliation column of the segment liabilities. Accordingly, the goodwill from the acquisition of Olympia Brno was allocated to the reconciliation column of the seg- ment assets. Further, this still includes the elimination of intra-Group activities between the segments.

11 D E U T S C H E E U R O S H O P / Q U A R T E R L Y S T A T E M E N T O F 3 1 M A R C H 2 0 1 8 FINANCIAL CALENDAR 2018 15.05. Quarterly statement 3M 2018 28.09. Société Générale Pan European Real Estate Conference, 17.05. 23.05. 29.05. 30.05. 08.06. 19.06. 28.06. 28.06. 14.08. 29.08. 30.08. Roadshow Copenhagen, equinet London Berenberg European Conference, Tarrytown 28.09. Supervisory Board meeting, Hamburg Kepler Cheuvreux German Property Day, Paris 08. – 10.10. Expo Real, Munich Kempen & Co European Property Seminar, Amsterdam Deutsche Bank dbAccess Conference, Berlin Roadshow London, Société Générale Annual General Meeting, Hamburg Supervisory Board meeting, Hamburg Half-year Financial Report 2018 Berenberg Real Estate Seminar, Helsinki Commerzbank Sector Conference, Frankfurt 23.10. 24.10. 14.11. 20.11. 29.11. 03.12. Roadshow Madrid, M.M. Warburg Roadshow Paris, Natixis Quarterly statement 9M 2018 DZ Bank Equity Conference, Frankfurt Supervisory Board meeting, Hamburg Berenberg European Conference, Pennyhill 04. – 06.09. EPRA Annual Conference, Berlin Our financial calendar is updated continuously. Please check our website 24.09. 25.09. Goldman Sachs & Berenberg German Conference, Munich for the latest events: Baader Investment Conference, Munich www.deutsche-euroshop.com/ir SHOPPING EVOLUTION WOULD YOU LIKE ADDITIONAL INFORMATION? Then visit us online or call us: Patrick Kiss and Nicolas Lissner Phone: +49 (0)40 - 41 35 79 20 / -22 Fax: +49 (0)40 - 41 35 79 29 www.deutsche-euroshop.com/ir E-Mail: ir@deutsche-euroshop.de Forward-looking statements Rounding and rates of change This quarterly statement contains forward-looking statements based Percentages and figures stated in this report may be subject to rounding on estimates of future developments by the Executive Board. The state- differences. The rates of change are based on economic considerations: ments and forecasts represent estimates based on all of the information improvements are indicated by a plus (+); deterioration by a minus (-). available at the current time. If the assumptions on which these state- ments and forecasts are based do not materialise, the actual results may differ from those currently being forecast.