AGT Inter-Americas Challenge

Sint-Martens-Latem, Belgium and Braselton, GA, USA – July 5, 2007 – Further to a press release issued last week, Punch International NV, Belgian diversified industrial holding company (‘Punch’) and BBS of America, Inc., full subsidiary of BBS, the German world-leading developer and manufacturer of lightweight wheels for premium segment sports and passenger cars, confirm that Punch has taken over the assets of BBS. The transaction also comprises the takeover of all the shares of BBS of America, Inc. The acquisition ensures business continuity at BBS and safeguards the future of the BBS brand.

BBS is quoted on the Frankfurt and Stuttgart stock exchanges, but was declared bankrupt in February 2007. Subject to the approval of the transaction by the antitrust authority, Punch will assume full ownership of all the assets of the company as of August 1, 2007. More specifically, these are the assets of BBS Kraftfahrzeugtechnik AG and BBS Motorsport & Engineering GmbH, the brand name BBS and the activities of the plants in Schiltach and Herbolzheim, Germany. The transaction also includes the acquisition of all the shares of BBS of America, Inc as well as the redemption of all lease contracts in progress. BBS has an extensive portfolio of technology patents, a part of which is licensed to third parties. The takeover includes the full portfolio of patents and licenses. The activities taken over will be continued under the name BBS International GmbH and integrated in the Punch Motive division of the Punch group.

In addition to the rising cost of aluminum, a number of unfortunate strategic choices eventually led to the company’s bankruptcy. BBS decided in particular to expand its field of action from the profitable premium segment for exclusive vehicles to the segment for medium-sized vehicles characterized by high volumes but low margins. The opening of establishments in Italy and China, and the accompanying start-up problems caused considerable losses. In future, Punch will therefore wish to focus solely on the profitable premium segment again. BBS is expected to make a positive contribution to the group’s net profit from the outset of the takeover.

John Slagle, Director of Motor Sport and Engineering of BBS of America Inc, comments: “We are very pleased that a solution has been found that ensures absolute continuity of service to our customers. Punch has a proven track record of successful turnarounds; we have a top class product, and a much valued loyal customer base. Therefore, we have every confidence that we will succeed. We have been able to continue our business throughout this difficult period thanks to the continued support and commitment of our customers, suppliers and personnel. We can now close this chapter and focus on our core business, moving forward to a better future.”

Guido Dumarey, CEO of Punch, says: “We are very satisfied. For us, this acquisition is of great strategic importance. It is no secret that we have the ambition to develop a hybrid powertrain. In the CVT of Punch Powertrain, formerly ZF, we already have the most suitable transmission while BBS’s patented air-inside-technology wheels are ideally suited for in-wheel electric motors which, because they save weight and space, are in turn ideal for integration in a hybrid vehicle. We admire BBS for being an innovation-driven player, pioneering the use of new materials and environment-friendly production techniques, and we want to see its growth continue. Therefore, this transaction is definitely a win-win for all parties concerned. We hate to imagine what the performance-car world would be without BBS.”
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About BBS of America, Inc
BBS of America Inc is the US-based sales office for high-quality premium lightweight alloy wheels and assembly activities for motor sports and special equipment. Founded in 1983, the company is a wholly owned subsidiary of BBS Kraftfahrzeugtechnik AG (‘BBS’). BBS was founded in 1970 and has in the meantime emerged as one of the world’s leading producers of high-quality lightweight wheels for sports and passenger cars. The company supplies nearly all major OEMs, race teams, the replacement market and tuning companies. Brands such as Audi, BMW, DaimlerChrysler, Ferrari, Jaguar, Land Rover, Maserati, Porsche, Saab, Volvo and Volkswagen have been customers for years. BBS wheels have earned numerous places of honor in the F1 constructor championships. BBS made its name in particular with a series of successful innovations. With its most recent innovation, ‘Air Inside Technology’, which is patented worldwide, BBS has ushered in a revolution in the production of lightweight wheels. During the 2006 edition of the Sema show in Las Vegas, three international professional magazines elected the ‘Air Inside Technology’ as best product. For more information, visit www.bbs.com.
About Punch International
Founded in 1982, Punch has since grown to become a diversified industrial holding company. Punch seeks to achieve long term capital growth by acquiring majority stakes in a varied portfolio of companies with a view to unlocking implicit value. Acting as a catalyst of proven and potentially successful technologies, Punch provides the necessary funds to realize their commercial breakthrough. As a consolidator, Punch focuses on gaining critical mass in order to establish a dominant market position in the segments in which it operates. Punch is actively involved in the management of its investments, seeking to leverage each subsidiary’s operational, commercial and financial performance in order to maximize shareholder value. ‘Punch, unlocking value.’

For 2006 Punch achieved sales of € 197.5 million and a net profit of € 21.1 million. Punch has been listed on Euronext Brussels since 1999 and is part of the NextPrime index (ticker: PUN).

All press releases and other information are available online at www.punchinternational.com and www.euronext.com.
For more information, please contact
Punch International
Mr. Guido Dumarey, CEO – Punch International, Koperstraat 1A, 9830 Sint-Martens-Latem, Belgium - Phone: 011 32 9 243 48 40 – investor.relations@punchinterational.com

BBS of America
Mr. John Slagle, Director of Motorsports and Engineering of BBS of America Inc - BBS of America, Inc., 5320 BBS Drive, Braselton, GA 30517, USA – Phone: (800) 422 7972 (toll-free) – johns@bbs-usa.com