Correction of Errors in KHD’s Consolidated Financial Statements – Investigation Result

Cologne, Germany, August 11, 2015 – As informed in the ad hoc announcement dated June 19, 2015, errors in the measurement of individual projects in the 2014 financial year relating to Humboldt Wedag, Inc., the US subsidiary of KHD Humboldt Wedag International AG (KHD), Cologne, have been identified.

In accordance with IAS 8, the errors from the 2014 financial year shall be corrected retrospectively in KHD’s upcoming Half Year Report 2015 by restating the comparative amounts for the prior periods (half-year as of June 30, 2014 and financial year as of December 31, 2014). Following the conclusion of the internal investigation, revenue was overstated in an amount of € 11.7 million and cost of sales was understated in an amount of € 2.0 million. This results in an equity reduction of € 14.9 million due to currency exchange effects. The restatements relating to the balance sheet and the income statement for the half-year as of June 30, 2014 and financial year as of December 31, 2014 will be disclosed and explained in the notes of the Half Year Report 2015.