Offering by OIAG of approx. EUR 240 million of bonds exchangeable into voestalpine AG shares
18.09.2003

OIAG today announced the offering of approx. EUR 240 million of bonds due 2006 (the ?Exchangeable Bonds?) exchangeable into approx. 5,940,000 shares of voestalpine AG.

The Exchangeable Bonds are offered with a coupon of 1.5 % to 2.0 % and an exchange premium of 22 % to 27 %. The coupon and exchange premium will be set at pricing which is expected on September 18, 2003. The reference voestalpine AG share price for the Exchangeable Bonds will be the placement price of the equity offering of voestalpine AG shares (the ?Equity Offering?) started by OIAG on September 11, 2003. The placement price of the Equity Offering is being determined by a bookbuilding procedure and is expected to be announced after the close of business on September 18, 2003.

The Exchangeable Bonds will only be offered outside the United States in compliance with Regulation S. In Austria, the Exchangeable Bonds will only be offered to a limited circle of professional investors acting within the scope of their business or profession.

OIAG intends to apply for listing of the Exchangeable Bonds on the Third Market segment of the Vienna Stock Exchange.

Settlement of the issue is expected to take place on October 2, 2003.

JPMorgan is acting as Sole Bookrunner, Sole Lead Manager and Financial Advisor to OIAG in this transaction.

Press contact:
OIAG
Viktoria Kickinger
Tel: +43 1 711 14 240
Mob.: +43 664 101 20 50
Fax: +43 1 711 14 5240
E-mail: viktoria.kickinger@oiag.at

This press release is not being issued in the United States of America, Canada, Australia and Japan and should not be distributed to United States persons or publications with a general circulation in the United States. This press release does not constitute or form part of an offer or solicitation of an offer to purchase or subscribe for securities in the United States. The Exchangeable Bonds and the common shares referred to herein will not be registered under the United States Securities Act of 1933, as amended, and may not be offered or sold in the United States or to or for the benefit of United States persons, except pursuant to an applicable exemption from registration. No offering of such securities is being made in the United States.

This press release is directed only at persons who (i) are outside the United Kingdom or (ii) have professional experience in matters relating to investments who fall within Article 19(5) (“investment professionals”) of The Financial Services and Markets Act 2000 (Financial Promotion) Order 2001 (as amended) (the “Order”) or (iii) are persons falling, within Article 49(2)(a) to (d) ("high net worth companies, unincorporated associations etc") of the Order (all such persons together being referred to as "relevant persons"). This press release must not be acted on or relied on by persons who are not relevant persons. Any investment or investment activity to which this press release relates is available only to relevant persons and will be engaged in only with relevant persons.

In Austria, the Exchangeable Bonds will only be offered to a limited circle of professional investors acting within the scope of their business or profession, as defined in § 3/1/11 of the Austrian Capital Markets Act, as amended, and must not be resold or sold by way of a public offering other than after having published a prospectus or otherwise in compliance with the Austrian Capital Markets Act, as amended.

JPMorgan is acting for OIAG and no one else in connection with the offer of the Exchangeable Bonds and will not be responsible to any other person for providing the protections afforded to its clients, or for providing advice in relation to the proposed offer. JPMorgan can be contacted at +44 20 7325 1797.

STABILISATION/FSA