paragon extends its Board of Directors

paragon AG / Change of Personnel Release of a Corporate News, transmitted by DGAP - a company of EquityStory AG. The issuer / publisher is solely responsible for the content of this announcement. ---------------------------------------------------------------------- · Consistent and rapid implementation of company planning · Golo Alexander Wahl to become Director of Marketing & Sales · Restructuring of finance department Delbrück, 31 August 2007 – paragon AG is consistently aligning its structures towards the Automotive division and generating increased sales. In line with its plans, the publicly listed company is adjusting its management structure and further internationalising its sales activities. With effect from 1 October 2007, Golo Alexander Wahl will take over the newly created position of Director of Marketing & Sales. In parallel, the finance department is newly structured. Hans-Jürgen John retired from his position as CFO for personal reasons and on the basis of mutual agreement. Following the company’s rapid growth since its IPO, which has enabled sales to rocket from around Euro 20 million to more than Euro 110 million in only six years, in the 2007 financial year paragon is focusing on profit-driven growth. 'The rapid growth seen in recent years may well have cost the odd percentage point in terms of earnings, but it was nevertheless important to achieve the critical mass required for acceptance in the automobile technology market. Now we are implementing a bundle of measures based precisely on our planning in order to further improve our key figures. Afterwards we will be pursuing our expansion with the accustomed high level of commitment and a considerably lower debt-equity ratio. The personnel changes will also help us to achieve the targets we have set,' stressed Klaus Dieter Frers, Chairman of the Board of Directors. In the interests of boosting and further internationalising sales activities in the Automotive division, Golo Alexander Wahl will assume the new position of Director of Marketing & Sales with effect from 1 October 2007. Wahl, a sales professional who has worked in the automotive sector for almost ten years now, most recently acted as Director of Customer Management at Johnson Controls in Burscheid. Hans-Jürgen John retired from his position as CFO. For the time being, his responsibilities will be additionally assumed by Klaus Dieter Frers, Chairman of the Board of Directors. In parallel, the finance department was strengthened with additional staff. With the appointment of two longstanding, proven employees as deputy members of the Board of Directors, paragon has also safeguarded the continuity of its management. Ralf Mönkemöller (Research & Development) and Hans Marold (Production) will in future also form part of the company’s top management team. 'I am very pleased that we have successfully attracted a proven expert in the automotive industry to paragon in the form of Golo Alexander Wahl. His longstanding experience and profound expertise will make a key contribution where it matters most to enable paragon to reach the next rungs on its ladder of success', commented Klaus Dieter Frers with regard to the future. paragon AG Schwalbenweg 29 33129 Delbrück Phone: +49 (0) 52 50 - 97 62-0 Fax: +49 (0) 52 50 - 97 62-60 Internet: www.paragon-online.de E-mail: info@paragon-online.de Head of Corporate Communications Matthias Hack Phone: +49 (0) 52 50 - 97 62-141 Fax: +49 (0) 52 50 - 97 62-60 E-mail: matthias.hack@paragon-online.de Investor Relations Haubrok Investor Relations GmbH Christine Schulte-Beckhausen Phone: +49 (0) 2 11 - 3 01 26-0 Fax: +49 (0) 2 11 - 3 01 26-172 E-mail: c.schulte-beckhausen@haubrok.de 31.08.2007 Financial News transmitted by DGAP ---------------------------------------------------------------------- Language: English Issuer: paragon AG Schwalbenweg 29 33129 Delbrück Deutschland Phone: +49 (0)5250 97 62 - 0 Fax: +49 (0)5250 97 62 - 60 E-mail: investor@paragon-online.de Internet: www.paragon-online.de ISIN: DE0005558696 WKN: 555869 Indices: Listed: Geregelter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin, München, Hamburg, Düsseldorf, Stuttgart End of News DGAP News-Service ---------------------------------------------------------------------------