Pfleiderer AG Rescinds Exclusivity Agreement with Vossloh for the Acquisition of track systems and Restarts Talk with Other Interested Parties

The German anti-trust authority (Bundeskartellamt) has expressed serious reserva-tions during the authorization procedure for the takeover of the Pfleiderer AG's (ISIN DE0006764749) business segment track systems by Vossloh AG (ISIN DE0007667107). Hence for Pfleiderer AG´s Board of Management there is serious doubt as to whether the transaction with Vossloh AG can be concluded in the near future. As a result, the contractually agreed exclusivity with Vossloh AG will expire at the end of 2005. The contract with Vossloh AG can be rescinded by Pfleiderer AG at any time from January 1, 2006 onwards. In January 2006, Pfleiderer AG will be restarting talks with other potential purchasers who have since expressed their interest. The business segment track systems achieved operating results for the current fiscal year well in excess of expectations.