Siegfried with strong fourth quarter

ZOFINGEN, Switzerland – January 20, 2004 - The Swiss-based Siegfried Group (SWX: SFZN) delivered strong fourth-quarter results, bringing sales in the full 2003 fiscal year to CHF 366.2 million. This represents a decrease of 4% in local currencies and 8.2% in Swiss francs. The sales performance reflects the dollar rate and the closing of the tea packaging operation in Bremen in 2002.

The Siegfried Division – the company’s pharmaceutical arm – generated 92% of Group sales, at CHF 336 million, a decrease of 2.4% in local currencies and 7.3% in Swiss francs. Thanks to strong revenues at the Siegfried Generics and Siegfried Biologics business units, the division thus came very close to matching the showing of the very good prior year. Another key contributing factor was that production at the U.S. plant in Pennsville, New Jersey rose strongly throughout the year. Siegfried Actives, a business unit with particularly high exposure to the effect of the dollar exchange rate, coped well in the challenging business environment.

In 2003 the Sidroga Division recorded sales of CHF 30.2 million, representing a drop of 17.5%. Excluding the sales of the tea packaging facility in Bremen that was closed down in 2002, Sidroga achieved revenue growth of about 5%.

For the 2003 fiscal year, thanks in part to non-recurring items, Siegfried expects earnings to reach a level similar to that of the very profitable 2002.

* Adjusted for OTU, the unit in Bremen that was discontinued in 2002, Sidroga’s sales grew by 5.4%.

The detailed results for the year as well as the annual report will be presented on March 23, 2004 at the annual press conference in Zofingen.

Zofingen, Switzerland, January 20, 2004

For further information, please contact

Richard Schindler, Chief Financial Officer, Siegfried Group
Tel. ++41 (0) 62 746 11 11, Fax ++41 (0) 62 746 11 04
www.siegfried.ch

New organizational structure for the Siegfried Division (pharmaceuticals)

The Siegfried Group is a global vendor of pharmaceutical and natural products with locations in Switzerland, Germany and the United States. At the end of 2003, Siegfried employed about 1,000 people and had annual sales of CHF 366.2 million. Siegfried Holding AG is listed on the Swiss Exchange (SWX: SFZN).

The Siegfried Division, which comprises the Group’s pharmaceutical activities, was reorganized into three business units with effect from January 1, 2004. The Siegfried Actives business unit develops and manufactures active pharmaceutical ingredients and their intermediates. The Siegfried Generics unit produces generics. Siegfried Biologics develops and manufactures biotechnology-based pharmaceutical active substances.

The Sidroga Division develops and markets high-quality, plant-based natural medicines and wellness products, particularly medicinal and wellness teas carrying the Sidroga label.