Kuehne + Nagel International AG – Nine Months Results 2006 -

As in previous years, the globally operating Kuehne + Nagel Group continued to maintain its above average growth rates during the first nine months of 2006. Turnover increased 31.8 per cent to CHF 13,289 million. The operational result
(EBITDA) improved 53.1 per cent to CHF 611 million. After amortization of intangibles of CHF 73 million, net earnings increased 45.1 per cent over last year’s period to CHF 315 million.

In CHF million 2004 2005 2006

Kuehne + Nagel Group

Turnover 8,392 10,079 13,289
Gross profit 1,712 2,012 3,824
Operational result (EBITDA)
343 399 611
Earnings before tax (EBT) 239 305 429
Net earnings 163 217 315

Business performance during the first nine months of 2006 was
characterised by strong growth in sea- and airfreight particularly in the third
quarter, considerable business expansions in contract logistics and overland operations as a result of the rapid and effective integration of recent acquisitions, and company-wide high levels of operational efficiency.

Seafreight activities again performed above-average, recording a 19 per
cent rise in volumes as compared with the market’s 9 to 10 per cent growth.
Across all regions, the company successfully increased the demand for its IT-based services and efficient transport management solutions, and grew
container volumes on all trade lanes. Productivity improvements through
intensified electronic data exchange with customers and shipping lines as
well as stringent cost management led to a 4.2 per cent EBITDA margin, up
from 3.5 per cent. The operational result rose 36.8 per cent year-on-year.
Following a strong third quarter, Kuehne + Nagel’s airfreight business
recorded an 11 per cent increase in tonnage, while the market only grew
approximately 5 per cent during the first nine months of the year. Despite
pressure on prices due to the highly competitive market and lower rates,
Kuehne + Nagel maintained a stable EBITDA margin at 4.5 per cent and
improved its operational result 15.3 per cent.

Kuehne + Nagel is investing in the expansion of its overland operations and
has over the past months gradually come closer to the goal of operating its
own European network. Intensified cooperation between the company’s
national organisations across Europe and the successful integration of
acquired firms contributed to a 21.0 per cent increase in turnover. The
operational result was up 27.2 per cent compared with the previous year; the
EBITDA margin remained stable at 1.7 per cent.

In contract logistics, the integration of the ACR Group, which was acquired
and is consolidated in the financial statements effective January 1, 2006, is
progressing to plan and generating strong impulses for cross-selling
activities. Due to this acquisition and a 12 per cent organic growth, turnover
in this business unit was almost tripled. At the same time, the operational result was more than tripled, and the EBITDA margin rose from 4.5 to 4.9 per
cent.

“The successful implementation of our strategy to create added value for our
customers worldwide through integrated logistics solutions is reflected in the
consistent growth across all business fields and regions, and we are
confident of exceeding previous full-year results again in 2006,” said Klaus Herms, Chief Executive Officer of Kuehne + Nagel International AG.