Hamburg, February 7, 2005
Gruner + Jahr is investing in the future of its American print subsidiary Brown Printing (BPC): As part of an investment project, it plans to install two state-of-the-art offset rotary presses at its production plant in Waseca, Minnesota. The print finishing capacities, too, will be expanded by two modern adhesive binder lines, a flowline trimmer and an automatically equipped high-rack warehouse with automated guided vehicles. The total investment volume for this project exceeds $55 million.

The major reason behind the decision to invest was BPC´s good operating performance in recent years and the attendant growth in the competitive American market. Among other things, BPC won a major contract from Time Inc., to produce "Time," "People," and "Sports Illustrated" magazines.

Volker Petersen, Director of G+J´s Printing Division, said: "With its newly augmented capacity, Gruner + Jahr lays the cornerstone for continued growth on the American printing market. The investments represent a clear commitment to the US printing business and will have a positive effect on BPC´s revenues and results."

Brown Printing is the fourth-biggest printer of magazines and catalogs in the U.S. Print jobs produced for G+J publishers account for a mere 9 percent of total turnover. The remaining 91 percent of revenues is distributed among over 300 American customers.

For further information:

Alexander Adler
Spokesman
Gruner + Jahr AG & Co KG
Am Baumwall 11
D-20459 Hamburg
Phone: +49-40-3703-2244
Fax: +49-40-3703-5617
E-Mail: adler.alexander@guj.de

The Gruner + Jahr printing and publishing company is Europe´s biggest magazine publisher. Its more than 11,000 employees produce more than 125 magazines and newspapers in 10 countries on three continents, as well as the accompanying online sites. G+J publications include STERN (D), BRIGITTE (D), GEO (D, E, F, RU), CAPITAL (D, E, F), GALA (D, F, PL, RU), ELTERN (CHN, D, E, PL, USA), the P.M. group of magazines (D), FINANCIAL TIMES DEUTSCHLAND (D), ESSEN & TRINKEN (D), NATIONAL GEOGRAPHIC (D, F, PL, NL) and INC, YM and FAMILY CIRCLE (all U.S.). Revenues in 2003 amounted to 2.5bn. With an international revenue share of 63 percent, G+J is the world´s most international publishing company. Bertelsmann AG owns 74.9 percent of the company; the Jahr publishing family in Hamburg owns 25.1 percent.