individual - Loewe AG

Investor Presentation.
MMay 2012 2012.

1. Concise profile p
2. Premium strategy gy
3. Market development p
4. Loewe 4 P`s
5. 5 Financials a cas
6. Outlook

Loewe
Investor Presentation Loewe – Concise profile.
May 2012
Chart 3 Innovation with tradition tradition.
Loewe offers premium home media and home
entertainment systems with award-winning design,
innovative technology and maximum ease of use.
Core markets for Loewe are Germany and other
key European countries. Approximately 65% of
sales revenues are generated in the domestic
market.
Founded in 1923, Loewe is based in Kronach,
Germany, and employs approx. 1,000 persons
mainly in its R&D, production, marketing and
sales department.
Since July 1999, Loewe has been a listed
company. Major shareholders are Sharp (28.83%),
Management & Corporate Bodies of the Company
(14.00%) and the French storage and network
specialist i li t LLaCie Ci SS.A., A PParis i (11 (11.17%). 17%)
From the very beginning Loewe has been
a value-oriented company.

Loewe
Investor Presentation Loewe – Concise profile.
May 2012
Chart 4 Highlights 2011.
Introduction of Smart-TVs
Further expansion of distribution
Complete TV-line up in 3D
New Audiodesign products

Loewe
Investor Presentation Loewe – Concise profile.
May 2012
Chart 5 Today the Loewe brand is unique due to:
Loewe + Specialist
retail trade
IInnovation ti SSystem t IIndividuality di id lit SSpecialist i li t
Competence Competence
Trade Concept

1. Concise profile p
2. Premium strategy gy
3. Market development p
4. Loewe 4 P`s
5. 5 Financials a cas
6. Outlook

Loewe
Investor Presentation
May 2012
Chart 7
The Loewe premium strategy.
Unique mixture of technology and emotion
Highest degree of individualisation
Distinctive design language
Complete home entertainment portfolio

Loewe
Investor Presentation The Loewe premium strategy.
May 2012
Chart 8 Strategic cooperations.
Production site Kronach as manufactory
Fast access to new technologies
Customer-oriented solutions

Loewe
Investor Presentation Basis of the premium strategy:
May 2012
Chart 9 A clear mission mission.
Leading premium brand
for individual home
entertainment systems systems.

Loewe
Investor Presentation Basis of the premium strategy:
May 2012
Chart 10 A special perceived value to differentiate
when competing with volume brands.
Minimalistic
Design
Innovative
Technology
Exclusive
Individuality

Loewe
Investor Presentation Basis of the premium strategy:
May 2012
Chart 11 A premium market segment with future potential.
Market share development (value).
Premium brands and market leaders continue to enjoy preferences.
27,1% 28,7%
40,1%
34,9%
High-quality
Top-class products
Mid-range
32,8% 36,4%
Entry segment
2005 2006 2007 2008 2009 2010 2011

Loewe
Investor Presentation Basis of the premium strategy:
May 2012
Chart 12 A leading market position for Loewe.
Market share development.
Sales revenues LCD-TV as of EUR 2,000 in total market Europe.
Based on sales
revenues total t market in %
FY 2009 FY 2010 FY 2011

1. Concise profile p
2. Premium strategy gy
3. Market development p
4. Loewe 4 P`s
5. 5 Financials a cas
6. Outlook

Loewe
Investor Presentation Market development - Growth potential Flat-TV.
May 2012
Chart 14 Increasing demand for a second or third Flat-TV Flat TV
in the households.
Flat-TV penetration in European households at the beginning of 2012:
IIn Europe E around d 150 mn households h h ld own
more than 300 mn TV-sets
(average >2 sets per household).
At the beginning g g of 2012, , 80% of all households
own a Flat-TV (73% LCD and ~7% Plasma).
20%
More replacements of Flat-TVs take place due
7%
73%
to the considerably improved picture quality and
more features like connectivity or 3D 3D.
Growing demand for a second or a third Flat-TV
in the households. Screen sizes up to 32 inch
become more and more second TVs.
own a LCD‐TV own a Plasma‐TV do not own a Flat‐TV
Source: GfK data, beginning of 2012
Positive impact by the gradual switch off of
Analogue-TV and availability of channels
with HDTV standard.
Additional growth impulse by new technologies
like 3D-TV and Hybrid-TVs.

Loewe
Investor Presentation Market development - LCD-TV market Europe.
May 2012
Chart 15 Sales in Ths. units of LCD-TV´s LCD TV s > EUR 1,500.
Larger high resolution displays as well as Hybrid-TVs will spur the market of LCD-TV sets
> EUR 1,500. This trend takes place mainly in Loewe relevant screen sizes.
11.151 151
+26%
1.448
+17%
1.688
+28%
2.166
+13%
2.437
+8%
2.639

Loewe
Investor Presentation Market development - LCD-TV / OLED-TV market.
May 2012
Chart 16 Sales in Ths. units of very large screens >37 37 inch.
Despite difficult economical conditions in all Non-German speaking European countries
very large displays show consecutive sales growth.
9.635
+22 %
11 11.731 731
+8 %
12.718
+4 %
13.260
+3 %
13.643
+5 %
14.260
+8 %
15.355
+12 %
17.152

1. Concise profile p
2. Premium strategy gy
3. Market development p
4. Loewe 4 P`s
5. 5 Financials a cas
6. Outlook

Loewe
Investor Presentation Product & Pricing.
May 2012
Chart 18 Loewe TV product line up.
Reference Individual Connect
Art
– Reference
– Individual Compose
– Individual Comp. 3D
– Connect 3D
– Connect ID
–Art 3D
– Xelos / Xelos Media

Loewe
Investor Presentation Product & Pricing.
May 2012
Chart 19 Strategic expansion of the product line up.
With the strategic expansion of the product line up Loewe precisely meets the requirements of a significantly
broader target group appealing younger customers to be introduced to the brand at an earlier stage.
Loewe Connect ID
Loewe SoundVision
Core segment Loewe TV:
� Introduction of the TV-line Connect ID,
which is unique in terms of individuality options options,
at a price range starting from EUR 1,500.
� Conceptual redesign of the Xelos product line
as well ll as expansion i tto th the llarge
screen
segment.
New segment Loewe Audiodesign:
� SoundBox
� AirSpeaker
� SoundVision

Loewe
Investor Presentation Product & Pricing.
May 2012
Chart 20 Loewe Connect ID.

Loewe
Investor Presentation Product & Pricing.
May 2012
Chart 21 Competivite advantage individuality.
Individualisation in technology / design.
Loewe Connect ID.
Th The S Sovereign
i Th The Elegant El t Th The Modern M d Th The Expressive E i Th The Extravagant
E t t

Loewe
Investor Presentation Product & Pricing.
May 2012
Chart 22 New outstanding stand-alone stand alone Audiodesign
products.

Loewe
Investor Presentation Product & Pricing.
May 2012
Chart 23 Prizes and design awards.

Loewe
Investor Presentation Placement – premium distribution.
May 2012
Chart 24 Distribution / sales channels.
Strong partnership with the qualified retail trade
Country Country-specific specific distribution concepts
Collaboration with trade cooperations
Expansion of online sales

Loewe
Investor Presentation Placement – Premium distriubtion.
May 2012
Chart 25 Development of Loewe Galeries.
Loewe Galerie E-Madrid Loewe Galerie NL-Maastricht Loewe Galerie D-Munich
LLoewe Galerie G l i CH-Horgen
CH H LLoewe Galerie G l i DK-Charlottenlund
DK Ch l tt l d
Loewe Galerie NL-Amsterdam
NL Amsterdam
Loewe Galerie RUS-Moscow Loewe Galerie UK-Manchester Loewe Galerie I-Torino

Loewe
Investor Presentation Placement – Premium distribution.
May 2012
Chart 26 International expansion p with opening p g of 16 new
Loewe Galeries in 2011.
15 Galeries planned for 2012.
London, UK
Ilkley, UK
Tilburg, BLX
Rennes, FR
Beulieu sur Mer, , FR
Hillerod, DK
Neuchatel, , CH
St. Gallen, CH
Basel, CH
Kehrsatz, CH
Paderborn, D
Bietigheim, D
Trier, D
Moskau, RU
Singapur, SG
Balmain, AUS

Loewe
Investor Presentation Promotion - Premium communication.
May 2012
Chart 27 Create an integrated value-oriented
value oriented
brand experience.
Loewe will regain its former strength if customers recognize the premium brand
in its entire chain of experience and in a brand-adequate way.
Loewe New Year‘s reception, Mainz. „Loewe plus“ promotion days.
Connect ID market introduction.
On Jan 16th Loewe‘s New Year‘s Reception took
place with more than 300 guests and retailers from
Germany and export markets. Kick-Off for 2012
and the „Loewe plus“ promotion days. Exclusive
outlook to the new Connect ID products.
The „Loewe plus“ promotion days were
accompanied by an eye-catching print and online
campaign. Highlight of the promotion: 150 events
at specialist retailers in Germany on Jan 19th 19th,
2012.
Connect ID will be introduced to the market for
the UEFA European Football Championship.
This new product line will come up to the demand
for maximum individuality. Cabinet colours and
display options can be combined individually.
In advance of the market introduction
Loewe will accomplish systematic and
effective communication measures.
With a communication offensive we will
sustainably profile the premium brand.

Loewe
Investor Presentation Promotion - Premium communication.
May 2012
Chart 28 Create an integrated value-oriented
value oriented
brand experience.

1. Concise profile p
2. Premium strategy gy
3. Market development p
4. Loewe 4 P`s
5. 5 Financials a cas
6. Outlook

Loewe
Investor Presentation Financials Q1/2012.
May 2012
Chart 30 Loewe reports significant growth in sales.
Sales increase by 8% to EUR 66.6 million
32% increase in audio sales
EBIT improves p to a loss of EUR 0.9 million
Market share in Europe p increases to 4.5%
Gross G oss margin a g rises ses ssignificantly g ca t y to 24.8% 8%
Targets for full year 2012 confirmed

Loewe
Investor Presentation Financials FY 2011 – Outlook FY 2012.
May 2012
Chart 31 Loewe returns to profitability in Q4/2011.
Sales revenues: EUR 274.3 mn (2010: 307.3)
EBIT: EUR -10.5 mn (2010: -5.3)
Positive contribution to earnings of EUR 1.2 mn in Q4/2011
Successful start for the new Loewe Audiodesign segment
Outlook for FY 2012:
Loewe expects growth in sales and a significant improvement
in earnings for fiscal year 2012.

1. Concise profile p
2. Premium strategy gy
3. Market development p
4. Loewe 4 P`s
5. 5 Financials a cas
6. Outlook

Loewe
Investor Presentation Outlook 2012.
May 2012
Chart 33 Market forecast.
Further growing large screen segment of the
LCD LCD-TV TV market k t in i Europe. E
Growth impulse by new features like super high
resolution panels and Hybrid-TVs.
Despite economical problems of Non-German
speaking countries the LCD-TV market could
get positive impact during the year by
UEFA European Football Championship.

Loewe
Investor Presentation
May 2012
Chart 34
Outlook.
Mid-term Mid term upside potential.
Loewe has got a sound capital structure.
Loewe has great potential in international markets markets.
Loewe offers the most individual home
entertainment systems with growing audio segment.
Loewe is one of the leading premium brands
of the European consumer electronics industry industry.

Loewe
Investor Presentation
May 2012
Chart 35
Corporate calendar.
Date Event Location
August 2, 2012 Group Interim Report First Half 2012 *) Kronach
November 7, 2012 Group Interim Report 9M 2012 *) Kronach
January 29, 2013 Preliminary Key Figures Fiscal Year 2012 *) Kronach
March 21, 2013 Financial Statements Press Conference - 9:30h a.m. Munich
DVFA Analysts' Conference - 4:00h p.m. Frankfurt
May 7, 2013 Group Interim Report 3M 2013 *) Kronach
June 11, 2013 Annual Shareholders' Meeting - 11:00h a.m. Munich
August 1, 2013 Group Interim Report First Half 2013 *) Kronach
November 5, 2013 GGroup Interim I i Report R 9M 2013 *) KKronachh *) Conference Call at 10:00h a.m. German time.

Loewe Investor Relations.
Ticker symbol: LOE +++ Security code: 649410 +++ ISIN Code: DE 0006494107.
Loewe shares are traded in the Prime Segment of the German Stock Exchange Exchange.
Loewe AG +++ Investor Relations +++ Industriestrasse 11 +++ 96317 Kronach +++ Germany
Please feel free to contact: Axel Gentzsch +++ Anja Fröba
Phone: +49 9261 99-984 +++ Fax: +49 9261 99-994
Mail: ir@loewe.de +++ Web: www.loewe.tv/de
FFollow: ll htt https://twitter.com/#!/Loewe //t itt /#!/L +++ Like: Lik htt http://www.youtube.com/loewe
// t b /l