Cross Industries AG and KTM AG Taken Over

The Executive Board of KTM AG, which shares are listed on the Regulated Market (Geregelter Freiverkehr) of the Vienna Stock Exchange, was informed by Cross KraftFahrZeug Holding GmbH that Knünz GmbH and Pierer GmbH entered into a syndicate agreement regarding the exercise of voting rights in Pierer Invest Beteiligungs GmbH on 13 June 2012. The signing of the syndicate agreement leads from joint control of Pierer GmbH and Knünz GmbH over Pierer Invest Beteiligungs GmbH to sole control of Pierer GmbH over Pierer Invest Beteiligungs GmbH, and, as a consequence, to sole control of Pierer GmbH over Cross Industries AG, Cross KraftFahrZeug Holding GmbH and KTM AG. This leads to a change of control in KTM AG.

Cross KraftFahrZeug Holding GmbH informed the Executive Board of KTM AG pursuant to §5(3) of the Austrian Take Over Act that by signing of the syndicate agreement circumstances have arisen which trigger Cross KraftFahrZeug Holding GmbH's obligation to make a mandatory bid for the shares in KTM AG pursuant to the Austrian Take Over Act. According to the information given by Cross KraftFahrZeug Holding GmbH, the price of the mandatory bid is expected to be € 44.00 per share.

The takeover bid causes a high risk of a termination of the trading of the KTM shares in the Regulated Market (Geregleter Freiverkehr) of the Vienna Stock Exchange due to the minimum free-float requirements. In case the minimum free-float requirements cannot be maintained in a sustainable way the executive board of KTM AG will notify the exit of the KTM shares from the Regulated Market (Geregelter Freiverkehr) of the Vienna Stock Exchange pursuant to § 83/4 of the Austrian Stock Exchange Act. In case of an exit of the KTM shares from the Regulated Market (Geregelter Freiverkehr) of the Vienna Stock Exchange the executive board of KTM AG will cause a trading of the KTM shares in the Third Market (Dritter Markt) of the Vienna Stock Exchange. KTM AG expressly points out that after the exit of the KTM shares from the Regulated Market (Geregelter Freiverkehr) of the Vienna Stock Exchange the provisions of the Austrian Takeover Act will cease to apply.