Agfa Comments on the Insolvency Filing of AgfaPhoto GmbH

Agfa-Gevaert does have an agreement to provide AgfaPhoto group companies with distribution, order fulfillment, after sales and other services until the end of 2005.

In addition, at the time of the management buy out/in, Agfa-Gevaert granted a secured vendor loan for the full purchase price. Based on Agfa Gevaert's audited financial statement, the purchase price was set at 112 million Euros, which is still subject to an audit of the closing financials by the purchaser. The vendor loan is fully secured by a lease portfolio held by AgfaPhoto Holding GmbH, the parent company of the AgfaPhoto group. AgfaPhoto Holding GmbH is not implicated in the insolvency filing of AgfaPhoto GmbH.