General Information MAGIX Software GmbH is a wholly owned subsidiary of BELLEVUE GmbH & CO. KGaA. The company is entered in the register of companies under HRB Berlin 92660. Its registered office and its place of business is Quedlinburger Str. 1, 10589 Berlin. MAGIX Software GmbH is the largest enterprise of the BELLEVUE and an international vendor of software, on-line services and digital content in the field of multimedia and personal communication. MAGIX offers consumers and small businesses a sophisticated yet user-friendly assortment of software, mobile applications, on-line services and digital content for the design, editing, presentation, sharing, communication and archiving of videos and music. The range of products from MAGIX is targeted primarily at home users, as well as small and medium-sized enterprises. MAGIX has a leading market position, especially in Europe. As a true hidden champion MAGIX has a clearly market leading position in its core markets, addressing the music and video hobbyist with a large portfolio of innovative products, covering the beginner to professional level of users. The fast changing market environment, driven by a new and better device technology, rapid developments in the Internet and new mechanisms of communication, ask for technologies that can deliver sound solutions to customers. This is where MAGIX has the opportunity to use its technology in much bigger and very fast growing markets.   Due to the fact that MAGIX's modular technology platform is scalable, these applications can be quickly adapted to individual customer needs. MAGIX has its own scalable technology platform that can be adapted to different users and market needs. It is based on its music and video technologies that have been continually developed and which is designed on a modular basis, i.e. divided into task-specific, structured units. As a result, MAGIX is in a position to adjust its products flexibly to meet the relevant customer needs and to immediately react to any new developments in the market. MAGIX supports common formats, interfaces and communication protocols and can therefore be widely used without any significant limitations. The MAGIX products are distinguished by good quality, ease of use and a good price/performance ratio. These features are verified by renowned trade magazines and institutes, which regularly give awards to MAGIX's products. Business Model MAGIX distributes its products directly through its own on-line portal and through the operators of frequently visited online portals (affiliates, download portals, Microsoft Store, Google Store, Apple Store), the manufacturers of digital devices (“OEM partners”) and the retail trade. This way we reach the greatest possible number of home and commercial users. MAGIX also offers special versions, known as satellite programs, free of charge, which the user can upgrade to enhance with other functions or content (known as “in-app or upgrade sales”). MAGIX‘s business model aims to continue increasing the number of registered customers. The proportion of customers who repeatedly generate sales is constantly increasing and currently stands at 56% of annual on-line sales. Over and above normal market growth, turnover is to be increased mainly through the expansion of the on-line portal business with new subscription services. These will target the existing customer base and new customers, especially in the B2B area. Beyond growing the core business and expanding its reach, MAGIX has developed applications based on its technology core that target customers outside its historic niche markets. These are customers that share digital content using their mobile devices. MAGIX has more than 16 million registered customers and approx. 1.8 million direct customers, who are highly loyal using MAGIX products.  MAGIX has been able to achieve a high level of consumer recognition and a good market position on the personal multimedia communication market. Through targeted marketing and advertising campaigns, MAGIX is in a position to continue increasing its registered customer base and to generate recurring revenues with its customers.

MAGIX SOFTWARE GmbH

MAGIX Software employed a total of 240 employees, of which 132 worked in research and development, and 74 in on-line marketing and sales. The following wholly owned subsidiaries belong to MAGIX: Within Germany, MAGIX Software GmbH has offices in Dresden and Lübbecke, in addition to its headquarters in Berlin. The CEO of MAGIX Software GmbH is Klaus Schmidt. MAGIX ONLINE ASSETS
Magix Software GmbH Berlin, Germany Magix Computer Products Int. Corp. Reno, Nevada, USA  Magix Entertainment B.V. Huizen, Netherlands  Magix Entertainment S.A.R.L. Paris, France  Magix Entertainment S.R.L. Bozen, Italy Magix Limited Hemel Hempstead, Hertfordshire, UK Magix Limited Taipeh, Taiwan