EANS-News: Lenzing AG / Lenzing convenes extraordinary shareholders' meeting

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Annual & Special Corporate Meetings

Lenzing (euro adhoc) - Lenzing convenes extraordinary shareholders'
meeting

Resolution proposals on share split, authorized and conditional
capital

Lenzing AG invites its shareholders to an extraordinary shareholders'
meeting to be held on 10 December 2010 in Lenzing. The agenda
includes resolution proposals on a seven-for-one share split,
framework authorizations for the creation of authorized capital
concerning new shares to be issued against cash or contribution in
kind, and on conditional capital measures concerning convertible
bonds to be issued, both with the possibility to exclude
shareholders' subscription rights.

Peter Untersperger, CEO of Lenzing, comments: "The proposed share
split is intended to fulfill a long-standing request of private
investors to facilitate trading in Lenzing shares. The framework
resolutions on authorized and conditional capital would give us a
high degree of flexibility to support the company's future expansion
plans. The option to issue new shares against contribution in kind
would allow us to use Lenzing shares as acquisition currency, should
the situation arise. And in the event of a convertible bond issue,
debt could be converted into equity in the medium term.

Decisions on implementing these measures and the possible exclusion
of shareholders' subscription rights will only be made based on
defined projects. These decisions would always require the approval
of the supervisory board as well as of the management board. Given
the distinct volatility of the financial markets, it is sensible to
convene an extraordinary general meeting now, in order to being able
to exploit potentially arising market opportunities if required.

Lenzing's key shareholder, B & C Industrieholding GmbH, is generally
supportive towards the resolution proposals published today. Michael
Junghans, managing director of B & C Industrieholding GmbH, comments:
"We support the business plan and Lenzing's attractive growth
strategy. We therefore intend to propose that, at the extraordinary
general meeting, our corporate bodies approve Lenzing's request for
framework authorization of capital measures to increase its financial
flexibility."

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

Further inquiry note:

Lenzing AG

Mag. Angelika Guldt

Tel.: +43 (0) 7672-701-2713

Fax: +43 (0) 07672-918-2713

mailto:a.guldt@lenzing.com

Branche: Chemicals
ISIN: AT0000644505
WKN: 852927
Index: WBI
Börsen: Berlin / free trade
Wien / official market