HEIDELBERG, Germany--(BUSINESS WIRE)--Heidelberger
Druckmaschinen AG (FWB:HDD):

The following information relates to the continuing operations of
the Heidelberg Group. These include the Press, Postpress and Financial
Services divisions. The Digital Division was sold and deconsolidated
on May 1, 2004, the Web Systems Division on August 6, 2004. All
figures for the previous year mentioned in this press information have
been adjusted to ensure that the figures stated provide a basis for
comparison.

-- Incoming orders for third quarter 17 percent up on previous
year

-- Sales nine percent up on previous year's figure after nine
months

-- Operating result almost double at 143 million Euro

-- Outlook for full financial year 2005/2006 unchanged

The positive trend for sales and incoming orders continued at
Heidelberger Druckmaschinen AG (Heidelberg) (FWB:HDD) in the third
quarter of financial year 2005/2006. Sales by the Heidelberg Group
amounted to 2.44 billion Euro in the first nine months (April 1, 2005
to December 31, 2005), nine percent up on the previous year's figure
for the same period (previous year: 2.23 billion Euro). At 908 million
Euro, sales in the third quarter alone were roughly six percent up on
the corresponding quarter of the previous year (previous year: 860
million Euro). Incoming orders in the period under review amounted to
2.73 billion Euro, the same high level as the previous year (incoming
orders for previous year including drupa: 2.73 billion Euro). Incoming
orders in the third quarter were significantly up on the previous
year. At 965 million Euro, they exceeded incoming orders for the same
quarter the previous year by approximately 140 million Euro or around
17 percent (previous year: 823 million Euro). The order backlog as at
December 31, 2005 was 1.32 billion Euro.

"The favorable business development in the print media industry
has stabilized," said Heidelberg CEO Bernhard Schreier. "Although the
economic recovery hasn't extended to all regions, Heidelberg's overall
sales and results were significantly up on the previous year's
figures. We are very confident of achieving the target set in our
annual forecast."

In the period under review, the Heidelberg Group nearly doubled
the previous year's operating result to 143 million Euro (continuing
operations previous year: 75 million Euro). The third quarter alone
brought an operating profit of 72 million Euro (continuing operations
previous year: 69 million Euro). This corresponds to an operating
return on sales of 7.9 percent for the third quarter and around 5.9
percent for the whole of the period under review. The net profit after
nine months was 67 million Euro (previous year, including
discontinuing operations: -18 million Euro).

"After several good quarters in a row, Heidelberg's figures
demonstrate that we have once again significantly improved our
profitability," stated Heidelberg CFO Dr. Herbert Meyer. "However, we
still need to keep an eye on the Heidelberg Group's cost structure.
Risks such as exchange rate movements and raw material and energy
prices are still very much a factor."

As at December 31, 2005, the Heidelberg Group had a workforce of
around 18,700 worldwide (previous year: approximately 18,800).

Nine-month sales and results show significant improvement in
divisions

In the Press Division (offset printing), sales rose by roughly 10
percent to 2.13 billion Euro in the first nine months (previous year:
1.94 billion Euro). Incoming orders in the period under review
amounted to 2.4 billion Euro, the same high level as the previous
year. At 120 million Euro, the operating result for the nine months
virtually doubled (previous year: 61 million Euro).
In the Postpress Division (finishing), nine-month sales amounted
to 271 million Euro, 11 percent up on the equivalent figure 12 months
ago (previous year: 244 million Euro). Incoming orders totaled 294
million Euro (previous year: 277 million Euro). The operating result
in the period under review improved to 2 million Euro (previous year:
-10 million Euro), giving the Postpress Division its first overall
positive result.

Sales up in virtually all regions

Compared to the same quarter one year previously, figures for the
third quarter remained stable or improved in all regions except North
America. A comparison of the sales figures for the nine-month period
shows increases for all regions except Eastern Europe, the only region
to have a slightly lower figure.

Share buyback

On November 8, 2005, the Management Board of Heidelberger
Druckmaschinen AG decided on a share buyback program covering up to
five percent of its capital stock. As at December 31, 2005, we had
repurchased 970,000 shares, and an additional 53,217 shares which are
being used for an employee share purchase program. This means that, in
total, 1.2 percent of the shares outstanding have been repurchased.

Outlook for financial year 2005/2006 unchanged

The Company expects to see moderate growth in sales for the
current financial year 2005/2006 on a comparable basis. During the
current financial year, Heidelberg is planning to surpass both the
result of operating activities for financial year 2004/2005 of 167
million Euro and the after-tax result of 61 million Euro.

The tables showing the figures can be downloaded from the Press
Lounge at www.heidelberg.com.

The complete report for the third quarter of 2005/2006 will be
available online at www.heidelberg.com from 7.00 a.m. onwards.

The scheduled publication date for the preliminary annual accounts
for financial year 2005/2006 is May 3, 2006.

Important note:

This Press Information contains statements about future
development that are based on assumptions and estimates by the
management of Heidelberger Druckmaschinen Aktiengesellschaft. Even if
the management is of the opinion that these assumptions and estimates
are accurate, future actual developments and future actual results may
differ significantly from these assumptions and estimates due to a
variety of factors. These factors can include changes to the overall
economic climate, changes to exchange rates and interest rates and
changes in the graphic arts industry. Heidelberger Druckmaschinen
Aktiengesellschaft provides no guarantee that future developments and
the results actually achieved in the future will agree with the
assumptions and estimates set out in this press release and assumes no
liability for such.

Copyright Business Wire 2006

Heidelberger Druckmaschinen AG

Heidelberger Druckmaschinen AG

With a global market share for sheetfed offset printing machines of more than 40 percent, Heidelberger Druckmaschinen AG (Heidelberg) is the world's leading solution provider for commercial and industrial customers in the print media industry. Headquartered in Heidelberg, Germany, the company focuses on the entire process and value chain for popular format classes in the sheetfed offset and flexographic printing sectors. Apart from printing presses, the product portfolio includes plate imaging devices and finishing equipment, as well as software components designed to integrate all print manufacturing processes. In addition, Heidelberg offers a wide range of spare parts, consumables, used equipment and services, along with extensive training programs provided by the Print Media Academy. Furthermore, the Company assists its customers’ investment plans by offering financing concepts.

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