Strabag : Special earnings effects – on the whole, confirmation of forecasted 2017 EBIT margin of at least 3 percent

Another positive aspect to be noted is that - counter to the original assessment - the required reorganisation of STRABAG PFS will apparently have no noteworthy impact on the 2017 net income after minorities.

This development, however, is contrasted by considerable

uncertainties regarding an estimate of the financial impact that could result from the Alto Maipo project in Chile. Due to the difficult technical circumstances, extensive financial provisions had already been made on 31 December 2016 for the remainder of the project development. In Q3 2017, additional provisions made on account of a cautious project assessment had a negative impact on earnings. Negotiations with the client over necessary changes to the framework conditions regarding project continuation finally led to the signing on 24 November 2017 of a term sheet that remains subject to approval by the Supervisory Board of STRABAG SE. This alone will not guarantee project continuation, however. The project continuation will depend on whether and to which degree the client fully meets the conditions defined within the term sheet and if the additional bank financing can be secured. This cannot be assessed at present.

Against the background of the above-mentioned positive influences on the earnings, no scenario appears possible from today's point of view that could threaten the forecasted EBIT margin for 2017. The Management Board of STRABAG SE therefore confirms the targeted EBIT margin of at least 3 % for the 2017 financial year as being secured.

STRABAG SEis a European-based technology group for construction services, a leader in innovation and financial strength. Our services span all areas of the construction industry and cover the entire construction value chain. We create added value for our clients by our specialised entities integrating the most diverse services and assuming responsibility for them. We bring together people, materials and machinery at the right place and at the right time in order to realise even complex construction projects - on schedule, of the highest quality and at the best price. The hard work and dedication of our close to 72,000 employees allow us to generate an annual output volume of about € 14 billion. At the same time, a dense network of numerous subsidiaries in many European countries and on other continents is helping to expand our area of operation far beyond the borders of Austria and Germany. More information is available atwww.strabag.com.

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