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DES Q1 e 2013

Interim Report Q1 2013 Letter from the Executive Board Dear Shareholders, Dear Readers, The year 2013 began with a change in accounting methods at Deutsche EuroShop. Since the start of the current financial year, we have been applying IFRS 11 (Joint Arrangements) on a voluntary early basis.This means that the proportionate consolidation method previously applied will be replaced by the equity method for a portion of the Group com- panies. As a result, the assets, liabilities, expenses and income of these companies will no longer be included in the consolidated financial state- ments. From 2013 onward, the financial statements for the reporting period as well as those of the respective periods for year-on-year com- parisons will be presented using the equity method. We will provide a detailed description of how this impacts the consolidated balance sheet and the income statement in the Notes. But now let us move on to operational aspects: We started the year as expected. At € 42.4 million, revenue in the first three months was 10 % higher than in the previous quarter. Net operating income climbed 12 % to € 38.6 million while EBIT rose 10 % to € 37.3 million. Consolidated profit grew 22 % to € 20.1 million. Earnings per share increased from € 0.32 to € 0.37. EPRA (earnings per share), i.e. the result adjusted for valuation effects, rose from € 0.34 to € 0.40 per share which corresponds to an increase of 18 %. FFO (funds from operations) – an important ratio for real estate companies – improved by 11 % from € 0.45 to € 0.50 per share. This growth can essentially be attributed to the contribution made by the Herold-Center in Norderstedt which has been a part of our port­ folio since the beginning of the year. Shortly after the end of the reporting period, we were able to acquire third-party interests in another shopping center. Following our acqui- sition of the remaining 33% of shares from TLG Immobilien, the Altmarkt-Galerie is now also wholly owned by Deutsche EuroShop since the start of May. Including the proportionate liabilities assumed (€62 million), the investment volume amounts to some €132 million. 01.01.– 31.03.2013 01.01.– 31.03.2012 +/- Revenue 42.4 38.6 10 % EBIT 37.3 33.8 10 % Net finance costs -10.1 -9.4 -7 % Measurement gains / losses -1.4 -0.8 -75 % EBT 25.8 23.6 9 % Consolidated profit 20.1 16.5 22 % FFO per share (€) 0.50 0.45 11 % EPRA * Earnings per share (€) 0.40 0.34 18 % 31.03.2013 31.12.2012 +/- Equity ** 1,550.2 1,528.4 1 % Liabilities 1,536.5 1,630.9 -6 % Total assets 3,086.6 3,159.3 -2 % Equity ratio (%) ** 50.2 48.4 LTV-ratio (%) 43 40 Gearing (%) ** 99 107 Cash and cash equivalents 82.0 158.2 -48 % * European Public Real Estate Association   ** incl. non controlling interests in € million Key group data The Altmarkt-Galerie is one of our best centers and, for more than ten years, has proven to be a popular attraction for visitors in Dresden’s city centre – 16 million people in the past year alone. No other center in our portfolio could boast a higher number of visitors and the floor space pro- ductivity achieved by the center’s retailers is far above the average. So every­ body is happy with the Altmarkt-Galerie: customers, tenants and owners. Following the acquisition of these additional shares in Dresden, we adjusted our early forecast for the year as a whole. We envisage being able to pay you a dividend of at least € 1.20 per share for the current finan- cial year and thank you for placing your trust in Deutsche EuroShop. Hamburg, May 2013     Claus-Matthias Böge Olaf Borkers