SHW AG  / Key word(s): Forecast/Change in Forecast26.07.2016 19:28Disclosure of an inside information according to Article 17 MAR,transmitted by DGAP - a service of EQS Group AG.The issuer is solely responsible for the content of this announcement.---------------------------------------------------------------------------Aalen, Germany, 26 July 2016. Based on the current information regardingthe expected business development in the third and fourth quarter of 2016,the Management Board of SHW AG has come to the conclusion that that theprevious forecast for Group sales in the amount of EUR 440 million to EUR460 million for the fiscal year 2016 can presumably no longer be achieved.SHW is adjusting its sales forecast for 2016 and 2017 by around EUR 30million to reflect the reticence currently shown by individual customers.SHW AG now expects Group sales of between EUR 410 million and EUR 430million for 2016 and 2017 (previously EUR 440 million to EUR 460 millioneach). It is forecasting sales in 2016 of between EUR 320 million and EUR340 million in its Pumps and Engine Components business segment (previouslyEUR 340 million to EUR 360 million) and sales of around EUR 90 million inits Brake Discs business segment (previous year EUR 98 million), takinginto account lower material surcharges.Despite the reduced sales forecast, the Company continues to expect a year-on-year improvement in the operating earnings margin and adjusted EBITDA atthe lower end of the predicted EUR 43 million to EUR 47 million range in2016. In particular, this reflects the positive effects of theimplementation of the efficiency-boosting measures to improve businessprocesses in both business segments.Due to a number of major new orders and the successful development ofproduct applications for battery-powered electric vehicles, the Company isconfident of achieving the 2020 sales target of EUR 630 million to EUR 660million as well as an EBITDA margin of at least 12 per cent.26.07.2016 The DGAP Distribution Services include Regulatory Announcements,Financial/Corporate News and Press Releases.Archive at Language:     EnglishCompany:      SHW AG              Wilhelmstrasse 67              73433 Aalen              GermanyPhone:        +49 7361 502-1Fax:          +49 7361 502-674E-mail:       ir@shw.deInternet:     www.shw.deISIN:         DE000A1JBPV9WKN:          A1JBPV  Listed:       Regulated Market in Frankfurt (Prime Standard); Regulated              Unofficial Market in Berlin, Dusseldorf, Stuttgart, Tradegate              Exchange End of Announcement                             DGAP News-Service ---------------------------------------------------------------------------