Hypoport processes record volume of EUR3.767 billion via its EUROPACE platform in third quarter

closure of its loss-making business for ABS investors announced

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Berlin (euro adhoc) - 9 October 2008 - Hypoport AG generated a new
record volume of transactions worth EUR3.767 billion in the third
quarter of this year. This represents an increase of more than 20 per
cent compared with the same quarter of 2007. The Company processed
EUR3.466 billion worth of home loans and EUR0.301 billion worth of
personal loans via its EUROPACE platform.

At the same time it announced the closure of its loss-making
'EUROPACE for ABS investors' business, which had reduced the
Company's earnings before interest and tax (EBIT) by approximately
EUR1 million in the first half of this year. Write-downs on software
development and provisions set aside to cover the termination of
existing agreements will incur one-off charges of roughly EUR3
million for the third quarter.

The Company will continue to honour existing agreements with its ABS
investor clients until at least the summer of 2009. This decision
will not affect its profitable Amsterdam-based services for ABS
issuers. At its meeting today, the supervisory board of Hypoport
Capital Market AG appointed Thomas Kretschmar as executive director
with sole power of attorney.

"The Hypoport Group operates highly lucrative business models. Our
business with private clients and financial product distributors is
profitable and, thanks to our unrivalled EUROPACE platform, we are
bucking the market trend by generating strong growth. Given the
far-reaching changes taking place in the market, it was therefore a
logical move to discontinue our business with institutional ABS
investors and focus our resources on our profitable operations",
commented Thomas Kretschmar, co-CEO of Hypoport AG following the
decision. "All of the business units in the Hypoport Group will
therefore be profitable as from the fourth quarter of this year".

About Hypoport AG The Hypoport Group is an internet-based all-round
financial services provider. Its business model consists of two
reciprocally beneficial pillars - the sale of financial products and
the provision of a platform for transacting financial products via
the internet.

Hypoport operates the EUROPACE B2B financial marketplace, which is
the largest German online platform for transacting financing
products. A fully integrated system links more than 30 banks with
several thousand financial advisors, thus enabling the quick and
direct agreement of contracts. The platform's highly automated
processes generate considerable cost benefits. Nowadays, EUROPACE
processes some 400 financing transactions every day.

end of announcement euro adhoc
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ots Originaltext: Hypoport AG
Im Internet recherchierbar: http://www.presseportal.de

Further inquiry note:

Matthias H. Layher

Head of Group Communications

Telefon: +49(0)30 42086-1930

E-Mail: matthias.layher@hypoport.de

Branche: Financial & Business Services
ISIN: DE0005493365
WKN: 549336
Börsen: Börse Frankfurt / regulated dealing/prime standard