04.04.2021 Lenzing: Over the past four weeks, Lenzing AG has worked intensively together with Palmers Textil AG to address the allegations concerning Hygiene Austria LP GmbH. Lenzing concluded that measures had to be taken immediately in light of the state of its public image. Along with the performance specifications needed to ensure the sound and continuing existence of the company as a going concern, the two shareholders have agreed that Lenzing's stake in Hygiene Austria will be transferred to Palmers. Lenzing will waive its right to a suitable purchase price for the time being in order to ensure the continued existence of Hygiene Austria in line with its founding principle. In turn, this should enable Palmers to provide further funding to the company. "Following several extremely intense weeks, I am pleased to report that we have pinpointed the primary deficiencies and have made every effort to deal with them in cooperation with Palmers. Accordingly, we have put in place a framework for consistently professional management, outstanding quality assurance, and good working conditions", said Stephan Sielaff, member of the Managing Board of Lenzing AG who was charged by the Supervisory Board to review and deal with the events related to Hygiene Austria.