MS Private Foundation Voting Rights on RHI above 15%

05. March 2007

According to para. 91 section 1 Austrian Stock Exchange Act, the MS Private Foundation disclosed that more than 15% of all voting rights on RHI AG shares are attributed to them in terms of law.

MS Private Foundation (“MSPF”) had informed RHI on 11 January 2007 (see RHI ad hoc release) that it holds 1,108,500 shares, is entitled to acquire additional 4,268,000 shares based on option agreements and also is holder of convertible bonds which entitle it to the acquisition of an additional 6,259,000 shares of RHI AG. On a fully converted basis the highest stake which MSPF can hold in RHI AG is 29.22%. MSPF is intent not to attain a controlling stake in accordance with of the Austrian Takeover Act by way of the exercise of the options or the convertible bonds. MSPF considers the shares, options and convertible bonds which it holds a long-term investment and is not currently planning additional purchases or sales.

The beneficiary of MSPF, Austrian entrepreneur Martin Schlaff, emphasized his interest in a long-term, strategic engagement in RHI, the refractories world market leader. The RHI Board of Management welcomes the engagement of an Austrian core investor.