Afarak Group Plc - Company Announcement

AFARAK SELLS PART OF SAW MILL EQUIPMENT - Q4 PROFIT FOR THE PERIOD IMPROVES BY EUR 1.77 MILLION

07:05 London, 09:05 Helsinki, 2 January 2015 - Afarak Group Plc, Stock Exchange
Release

AFARAK SELLS PART OF SAW MILL EQUIPMENT - Q4 PROFIT FOR THE PERIOD IMPROVES BY
EUR 1.77 MILLION

Afarak Group Plc ("Afarak" or the "Company") (LSE: AFRK, NASDAQ: AFAGR)
announces that the Company has signed a sale agreement in relation to part of
the saw mill equipment the Company acquired in 2008 for the cancelled investment
project in Kostroma, Russia. The transaction from the discontinued operation
positively affects the Q4/2014 profit for the period by EUR 1.77 million but
does not have an effect on EBITDA or EBIT and consequently the outlook of the
Company remains unchanged. Cash inflows from this transaction will be of EUR
1.20 million and the release from the provision in relation to the discontinued
wood business will be of EUR 0.57 million. The Company aims to sell the rest of
the saw mill equipment during 2015.


AFARAK GROUP PLC
Danko Koncar
CEO


For additional information, please contact:

Afarak Group Plc
Danko Koncar, CEO, +44 (0)20 7376 1175, danko.konchar@afarak.com

Afarak Group is a chrome mining and minerals producer focused on delivering
sustainable growth with a speciality alloys business in southern Europe and a
ferro alloys business in southern Africa. The Company is listed on NASDAQ
Helsinki (AFAGR) and the Main Market of the London Stock Exchange (AFRK).
www.afarakgroup.com

Distribution:
NASDAQ Helsinki
London Stock Exchange
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www.afarakgroup.com

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