euro adhoc: Precious Woods Holding AG, Zug / quarterly or semiannual financial statement / Precious Woods grows turnover and profit in the first nine months of 2006

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Disclosure announcement transmitted by euro adhoc. The issuer is responsible
for the content of this announcement.
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16.11.2006

Compared to the same period in the prior year, Precious Woods’ net
turnover in the first nine months almost tripled, from USD 11.2
million in 2005 to USD 32.7 million in 2006. This growth in turnover
was driven by the acquisition of the Dutch trading company and the
woodchip-fired power plant in Brazil in 2005. Net income per end of
September amounted to USD 2.3 million, compared to USD 1.2 million in
the prior year period. The results reflect the impact of two special
factors: The certified emission rights from the power plant were
capitalised in the balance sheet at their gross realisable value of
USD 8.4 million. Some of these emission rights were generated in
previous years. On the other hand, the exchange rate-related cost
increases of 2004 and 2005 resulted in operating losses and necessary
restructuring costs at the Brazilian businesses in the first semester
of 2006. In addition, it was necessary to review and adjust Precious
Woods Amazon's balance sheet. Together, these factors adversely
affected the result leading to a loss in Brazil of USD 7.4 million, a
portion of which is due to prior year effects.

Following the completion of the comprehensive restructuring in
Brazil, Precious Woods can again look to the future with confidence.
One cause for optimism is the rise in prices for hardwoods that has
been evident over the past few months. The average price of new
orders for future supply is now some 20% higher than the average
price achieved in the first nine months. Whereas Precious Woods had
previously expected that it would only achieve break-even for the
full year, the company now expects to achieve a full year profit
significantly in excess of the nine-month result.

Precious Woods (SWX: PRWN) is active in the reforestation and
sustainable management of tropical forests, downstream wood
processing and trading of FSC certified timber and non timber forest
products. The shares of Precious Woods have been listed on the SWX
Swiss Exchange since March 2002. More information about the Company
and its activities may be found on the website www.preciouswoods.com.

end of announcement euro adhoc 16.11.2006 05:30:00
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ots Originaltext: Precious Woods Holding AG
Im Internet recherchierbar: http://www.presseportal.de

Further inquiry note:
Kontakt:
Precious Woods Holding AG, Zug
Dr. Theodor Scheidegger, CFO / MD Carbon & Energy
Tel. 41 1 245 80 10
mailto: office@preciouswoods.ch

Branche: Forestry & Timber
ISIN: CH0013283368
WKN: 982280
Index: SPI
Börsen: SWX Swiss Exchange / official dealing


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