Fact Book Fiscal Year 2012

Transcription

1 Fact Book Fiscal Year 2012

2 Contents I. at a Glance Slide Title Page 1 Disclaimer 7 3 More than 140 Years of Progress and Achievement 8 4 Corporation Sales, EBIT & Net Income 8 5 Conti Ranks No 3 in Worldwide Supplier Ranking 9 6 Executive Board 9 7 Megatrends in the Automotive Industry 10 8 A Leading Global Supplier for Key Automotive Electronics Applications 10 9 A Leading Global Supplier of Tire and Non-Tire Rubber Products Sales by Region EBITDA by Group and Corporation Development of Consolidated Sales Number of Employees 13 II. Strategy Slide Title Page 15 Systematic Entrepreneurial Approach Back to Value Creation Cost Consciousness Production in Best-Cost Countries Balanced Distribution of Sales Best Positioned for the 5 Fastest Growing Automotive Industry Segments Corporation Worldwide Sales OE/Non-OE Technological Balance 17 AG Fact Book

3 Contents III. Megatrends Slide Title Page 24 We Shape the Megatrends in the Automotive Industry Environment: Initiatives in EU, USA and Japan Towards Cleaner Mobility Environment: Initiatives Towards Cleaner Mobility in Various Regions Environment: Engine Development Roadmap Environment: Reduction of CO 2 Emissions: Solutions by Environment: Development of Worldwide Turbo Charger Volumes Information: Interior: Examples of Regional Initiatives and Projects Information: Interior: The Car Will Be Connected to Its Environment Information: Interior: Product Highlights for Intelligent Mobility Safety: Regional Initiatives Towards Safer Mobility Safety: Road Traffic Deaths Safety: ADAC Milestones of Active Safety Safety: Future Automotive Trends (1) Safety: Future Automotive Trends (2) Safety: Future Automotive Trends Require System Competence Safety: Winter Tire Regulation Safety and Environment: Tire Labeling Initiatives in, USA, Japan, South Korea and Brazil 41 Tires: Key Initiatives 2001 Vision Tire Sales and Growth Pillars Supporting Elements of our Vision Additional Tire Production Capacity of 22 Million Units by 2015/ Tires Vision 2025 More Balanced Footprint Environment: ContiTech: Engineering Green Value Environment: ContiTech: Cumulative Market for ContiTech Products AG Fact Book

4 Contents IV. Corporation Slide Title Page 48 Consolidated Key Figures Sales and Adjusted EBIT by Quarter Key Historical Financials and Credit Metrics Development of Net Indebtedness and Gearing Ratio Gross Indebtedness by Sources Maturities Purchasing Production Materials Development of Raw Material Prices 34 V. Market Data Slide Title Page 57 Increasing Installation Rates of Electronic Brake Systems Installation Rates of Fuel Injection Systems Increasing Installation Rates of Double Clutch Transmission Increasing Installation Rates of Turbocharger in Gasoline Engines Increasing Installation Rates of Embedded Telematics Increasing Installation Rates of Keyless Entry Systems Increasing Installation Rates of Multimedia Systems Increasing Installation Rates of Advanced Driver Assistance Systems Increasing Installation Rates of Head-up Displays Production of Light Vehicles Production of Heavy Vehicles Replacement Passenger, Light Truck and 4x4 Tires Replacement Truck Tires VI. Automotive Group Slide Title Page 71 Key Figures Sales and Adjusted EBIT by Division Sales by Region Order Intake (LTS) in the Automotive Group Totaled 25 bn in AG Fact Book

5 Contents VI.1. Automotive Group Chassis & Safety Division Slide Title Page 76 Business Units and Key Products Locations Worldwide Key Figures Sales by Region Market Position for Electronic Brake Systems Market Position for Foundation Brake Systems Market Position for Actuation Market Position for Airbag Electronics Market Position for Advanced Driver Assistance Systems Growing Sales Volume for Electronic Brake Systems 49 VI.2. Automotive Group Powertrain Division Slide Title Page 87 Business Units and Key Products Locations Worldwide Key Figures Sales by Region Market Position for Diesel Injection Systems Market Position for Gasoline Injection Systems Market Position for Transmission Control Units VI.3. Automotive Group Interior Division Slide Title Page 95 Business Units and Key Products Locations Worldwide Key Figures Sales by Region Market Position for Body & Security Market Position for Instrumentation & Driver HMI Market Position for Infotainment & Connectivity Market Position for Commercial Vehicle AG Fact Book

6 Contents VII. Rubber Group Slide Title Page 104 Key Figures Sales and Adjusted EBIT by Division Sales by Region 59 VII.1. Rubber Group Tires Division Slide Title Page 108 Business Units and Tire Brands Key Figures Sales by Region Market Share for Passenger and Light Truck Tires Market Share for Truck Tires Worldwide Passenger and Light Truck Tire Production an Passenger and Light Truck Tire Production Worldwide Truck Tire Production Cost of Labor at Manufacturing Sites Passenger and Light Truck Tires: Product Mix Improvement Passenger and Light Truck Tires: Unit Sales Commercial Vehicle Tires: Unit Sales VII.2. Rubber Group ContiTech Division Slide Title Page 121 Business Units and Key Products Locations Worldwide Key Figures Sales by Region A Leading Global Supplier in its Business Units Sales and Employees AG Fact Book

7 Contents VIII. Sustainability at Slide Title Page 128 Our Policies and Guidelines Corporate Environmental Key Performance Indicators Equal Opportunity Corporate Memberships (1) Corporate Memberships (2) Corporate Bodies 73 IX. Share & Bond Information Slide Title Page 135 Share Data / ADR Data Share Price Development vs. Major Stock Indexes Common Stock Shareholder Structure Bond Details Development of the Bonds Development of s Credit Rating Year Financial Overview 77 X. Glossary Slide Title Page 144 Financial Glossary Product Glossary Contact Data Financial Calender 80 AG Fact Book

8 Disclaimer This fact book has been prepared by Aktiengesellschaft and includes information available to us as of March 19, It has not been independently verified. It does not constitute an offer, invitation or recommendation to purchase or subscribe for any shares or other securities issued by AG or any of its affiliates and neither shall any part of it form the basis of, or be relied upon in connection with, any contract or commitment concerning the purchase or sale of such shares or other securities or any other financial investment or exposure whatsoever. Neither Aktiengesellschaft nor any of its affiliates, advisors or representatives shall have any liability whatsoever (in negligence or otherwise) for any loss that may arise from any use of this presentation or its contents or otherwise arising in connection with this presentation. This presentation includes assumptions, estimates, forecasts and other forward-looking statements, including statements about our beliefs and expectations regarding future developments as well as their effect on the results of. These statements are based on plans, estimates and projections as they are currently available to the management of. Therefore, these statements speak only as of the date they are made, and we undertake no obligation to update publicly any of them in light of new information or future events. Furthermore, although the management is of the opinion that these statements, and their underlying beliefs and expectations, are realistic as of the date they are made, no guarantee can be given that the expected developments and effects will actually occur. Many factors may cause the actual development to be materially different from the expectations expressed here. Such factors include, for example and without limitation, changes in general economic and business conditions, fluctuations in currency exchange rates or interest rates, the introduction of competing products, the lack of acceptance for new products or services and changes in business strategy. All statements with regard to markets or market position(s) of or any of its competitors are estimates of based on data available to. Such data are neither comprehensive nor independently verified. Consequently, the data used are not adequate for and the statements based on such data are not meant to be an accurate or proper definition of regional and/or product markets or market shares of and any of the participants in any market. 1 Topics A. I. at a Glance B. II. Strategy B. III. Megatrends C. IV. Corporation D. V. Market Data VI. VII. VIII. IX. X. Automotive Group Rubber Group Sustainability at Share & Bond Information Glossary 2 AG Fact Book

9 at a Glance More than 140 Years of Progress and Achievement Takeover of the an tire operations of Uniroyal, the tire operations of the Austrian company Semperit, the North American tire manufacturer General Tire. -Caoutchouc- und Gutta-Percha Compagnie is founded in Hanover, Germany. reinforces its activities by acquiring Temic, the international electronics specialist. acquires a majority interest in the Slovak company Matador Rubber s.r.o. and expands its position for the Tire and ContiTech divisions in Central and Eastern. expands its activities in telematics, among other fields, with the acquisition of the automotive electronics business from Motorola. strengthens its position in the tire business in Asia by acquiring the Indian tire manufacturer Modi Tyres Company Limited Merger with major companies of the German rubber industry to form Gummi-Werke AG. strengthens its position in the ASEAN region and Australia by establishing its Sime Tyre joint venture. acquires Siemens VDO Automotive AG and advances to among the top five suppliers in the automotive industry worldwide, at the same time boosting its market position in, North America and Asia. Acquisition of a US company s Through the acquisition of Phoenix, Automotive Brake & Chassis unit, ContiTech becomes one of the world s the core of which is Alfred Teves leading specialist for rubber and GmbH in Frankfurt. plastics technology outside the tire industry. Contintental founds a jointly managed company together with SK Innovation to supply first-class lithium-ion battery technology as partners in the future. It also acquires Parker Hannifin s automotive air conditioning business. 3 at a Glance Corporation Sales, EBIT & Net Income 1 30,000 (in millions) US GAAP IFRS 30,505 32,736 26,047 25,000 24,239 20,000 20,096 16,619 15,000 Sales 10,000 EBIT 5,000 NIAT 10,115 9,132 6, ,233 11,408 11, ,597 1, ,887 13,837 1,507 1,602 1, , ,040 1, ,597 1,242 3,073 1, ,124-1, ) Net income attributable to the shareholders of the parent from 1998 until 2003, US GAAP / from 2004 onwards IFRS. 2) Siemens VDO incorporated starting December 1, AG Fact Book

10 at a Glance Conti Ranks No 3 in Worldwide Supplier Ranking 40,000 35,000 30,000 25,000 20,000 15,000 10,000 5,000 Top 10 Global OEM Suppliers 2012 Sales (in millions) Denso Robert Bosch Source: Company filings. Calendarized to December year-end. Based on average currency exchange rates Bridgestone Aisin Seiki Magna Michelin Hyundai Mobis Faurecia 1) Robert Bosch only includes Automotive Technology division. 2) excluding ContiTech Industrial business. 3) Bridgestone including Diversified Products. 4) Aisin Seiki excluding Life & Energy related products. 5) Johnson Controls only includes Automotive Experience Division. JCI 5 at a Glance Executive Board Dr. Elmar Degenhart Chairman of the Executive Board Helmut Matschi Interior Division José A. Avila Powertrain Division Heinz-Gerhard Wente ContiTech Division Corporate Function: Corporate Purchasing Corporate Functions: Corporate Quality and Environment, Corporate Communications, Business System, Automotive Central Functions Elke Strathmann Corporate Functions: Human Resources, Director of Labor Relations, Corporate Social Responsibility Wolfgang Schäfer Corporate Functions: Finance, Controlling, Compliance, Law, IT Dr. Ralf Cramer Chassis & Safety Division Nikolai Setzer Tire Division 6 AG Fact Book

11 at a Glance Megatrends in the Automotive Industry Environment For clean power CO 2 targets in EU, USA & China (g/km) Information For intelligent driving GPS / Galileo Multimedia E 2020E Infotainment Infrastructure Other cars USA China EU Japan Source: ICCT Int. Council of Clean Transportation, Global Passenger Vehicle FE/GHG regulations (6/2012). Safety For safe mobility Road traffic deaths Number of road traffic deaths 1 91,815 an Region 191, ,532 Affordable Cars For global mobility A&B segment in BRIC (million units) , , ,405 Western Pacific Region Region of the Americas African Region Eastern Mediterranean Region South-East Asia Region 1) Data based on framework created by the World Health Organization (WHO) for estimating road traffic mortality. Source: Global Status Report on road safety, WHO E Source: IHS January at a Glance A Leading Global Supplier for Key Automotive Electronics Applications Chassis & Safety Powertrain Interior Actuation Advanced driver assistance systems Airbag electronics Electronic brake systems (EBS) Foundation brake systems Diesel injection systems Gasoline injection systems Transmission control units Double clutch transmission control units Body and security products Commercial vehicle interiors Device connectivity and telematics units Instrumentation, displays and human machine interfaces Sales ,053 mn % of total 21% Adj. EBIT mn Adj. EBIT margin 9.7% ESC 2 installation rate by region (%) 19% 73% 39% 89% E China EU Sales ,135 mn % of total 19% Adj. EBIT mn Adj. EBIT margin 4.5% Gasoline direct injection systems installation rate by region (%) 21% 21% 36% 51% E EU NAFTA Sales ,434 mn % of total 20% Adj. EBIT mn Adj. EBIT margin 9.0% OEM navigation 3 (in $ billions) E 1) Before amortization of intangibles from PPA, consolidation and special effects. 2) ESC: Electronic Stability Control is a type of electronic brake system. 3) Source: Frost & Sullivan, AG Fact Book

12 at a Glance A Leading Global Supplier of Tire and Non-Tire Rubber Products Tires Passenger & Light Truck Tires Commercial Vehicle Tires ContiTech Regions EMEA The Americas APAC Products Original equipment Winter tires High performance tires Regions EMEA The Americas APAC Products Original equipment Replacement Automotive hoses and hose lines Automotive interior trim Conveyor belts Marine and oil hoses and hose lines Multiple V-ribbed belts and timing belts Railway air springs Truck and bus air springs Sales ,665 mn % of total 29% Adj. EBIT 1 1,620.0 mn Adj. EBIT margin 17.0% Sales ,712 mn % of total 11% Adj. EBIT mn Adj. EBIT margin 12.1% Sales breakdown (%) Sales breakdown (%) Non- OE 71% OE 29% Non- OE 47% OE 53% 1) Before amortization of intangibles from PPA, consolidation and special effects. 9 at a Glance Sales by Region Automotive Group ,505 mn Rubber Group ,262 mn Corporation ,736 mn Other countries 3% Germany 26% (excluding Germany) 24% Asia 24% NAFTA 23% Other countries 8% Germany 22% Asia 10% (excluding Germany) 40% NAFTA 20% Other countries 5% Germany 25% Asia 18% (excluding Germany) 30% NAFTA 22% 10 AG Fact Book

13 at a Glance EBITDA by Group and Corporation Automotive Group ,405 mn Rubber Group ,522 mn Corporation ,855 mn Interior Interior Chassis & 34% Chassis & 35% Safety 40% 44% Powertrain 25% 22% Tires 78% CVT 12% ContiTech 22% PLT 66% Tires 40% ContiTech CVT 11% 6% PLT 34% Chassis & Safety 20% Powertrain 12% Interior 17% PLT = Passenger & Light Truck Tires. CVT = Commercial Vehicle Tires. 11 at a Glance Development of Consolidated Sales by Region ( billion) % 10% % 19% 14% 18% 36% 34% % 16% 19% 33% % 5% 18% 17% 19% 22% 33% 30% by Division ( billion) % 6% % 21% 5% 23% 21% 22% 16% 17% % 5% 22% 22% 18% % 6% 22% 21% 19% % 29% 21% 19% 31% 29% 27% 26% 25% 24% 21% 21% 20% 20% Germany Rest of NAFTA Asia Other countries 1) Since 2012 reported as Tires Interior Powertrain Chassis & Safety 1 Passenger and Light Truck Tires 1 Commercial Vehicle Tires 1 Tires ContiTech 12 AG Fact Book

14 at a Glance Number of Employees by Region 139, ,434 5% 6% 13% 14% 16% 14% 148,228 7% 16% 14% 163,788 6% 18% 15% 169,639 6% 18% 16% by Division 139, ,434 16% 16% 6% 6% 19% 20% 148,228 17% 5% 19% 163,788 17% 6% 19% 169,639 17% 25% 33% 33% 32% 31% 31% 19% 20% 21% 20% 20% 18% 18% 18% 19% 18% 33% 33% 31% 30% 29% 22% 20% 20% 19% 20% Germany Rest of NAFTA Asia Other countries 1) Since 2012 reported as Tires Interior Powertrain Chassis & Safety 1 Passenger and Light Truck Tires 1 Commercial Vehicle Tires 1 Tires ContiTech 13 Topics A. I. at a Glance B. II. Strategy B. III. Megatrends C. IV. Corporation D. V. Market Data VI. VII. VIII. IX. X. Automotive Group Rubber Group Sustainability at Share & Bond Information Glossary 14 AG Fact Book

15 Strategy Systematic Entrepreneurial Approach Environment For clean power Information For intelligent driving Great people in an inspiring culture Technological balance Value creation Regional sales balance Balanced customer portfolio In the market for the market Top market position Safety For safe mobility Affordable Cars For global mobility 15 Strategy Back to Value Creation 12.4% 13.2% 14.1% 15.7% 16.2% 16.8% 17.6% 17.9% 18.1% 15,508 15, % 8.9% 15,405 15,580 15,659 15,655 15,790 16,019 16,272 16,627 16,934 16, % Trailing OA (in millions) Trailing ROCE (in %) Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q Note: Trailing ROCE and operating assets are calculated as reported EBIT/operating assets for the last twelve months (LTM) divided by average operating assets (OA) for the LTM. 16 AG Fact Book

16 Strategy Cost Consciousness Production in Best-Cost Countries 1 69% 70% 70% 34% 36% 39% 19% 22% 24% 33% 36% 37% 29% 31% 34% Chassis & Safety 2 Powertrain 2 Interior 2 Tires 3 ContiTech 2 Rest of world 92% 96% 96% 66% 69% 71% 60% 61% 63% 46% 51% 54% 62% 64% 60% Chassis & Safety 2 Powertrain 2 Interior 2 Tires 3 ContiTech 2 1) All years restated based on new definition of best-cost countries. 2) Based on sales. 3) Based on units Strategy Balanced Distribution of Sales % of total Corporation sales Rest of world 71% Asia 10% North and South America 19% Rest of world 56% Asia 18% North and South America 26% Rest of world ~ 45% Asia 30% North and South America 25% mid- to long-term Asia North and South America Rest of world 18 AG Fact Book

17 Strategy Best Positioned for the 5 Fastest Growing Automotive Industry Segments CAGR Expected worldwide revenue development in % (CAGR ) A High growth CAGR 30% - 100% B Medium growth CAGR 16% - 30% C Low growth CAGR 5% - 16% Source: Frost & Sullivan, 2013, based on 2011 data. 1) Emitec. 2) No complete system but electronics or components. CAGR Product portfolio of Gasoline particulate filters 100% Powertrain 1 Selective catalytic reduction 69% Powertrain/ContiTech 2 Battery propulsion systems 67% Powertrain Switchable coolant and oil pumps 50% Powertrain TPMS 32% Interior Lane departure warning 31% Chassis & Safety Electric motors 30% Powertrain Start stop systems 28% Powertrain Advanced parking assistance 28% Chassis & Safety Forward collision avoidance 28% Chassis & Safety Turbocharger (% of gasoline) 27% Powertrain Blind spot detection 24% Chassis & Safety Advanced voice recognition 16% Interior Touch screens 16% Interior Adaptive cruise control (ACC) 15% Chassis & Safety Electric power steering 14% Chassis & Safety App interface solutions 13% Interior OEM navigation 9% Interior Electronic stability program 8% Chassis & Safety Smartphone navigation 7% 19 Strategy Corporation Worldwide More than 291 sites for production, R&D and sales in 46 countries. Headquarters in Hanover, Germany. Austria Belgium Denmark Finland France Germany* Greece Ireland Italy Netherlands Norway Portugal Spain Sweden Switzerland United Kingdom Czech Republic Hungary Kazakhstan Poland Romania Russia Serbia Slovakia Turkey North America Canada Mexico USA South America Argentina Brazil Chile Ecuador Africa Republic of South Africa Tunisia Asia China India Indonesia Japan Malaysia Philippines Singapore South Korea Sri Lanka Taiwan Thailand Australia Status: January AG Fact Book

18 Strategy Sales OE/Non-OE OE Non-OE 28% of sales outside OE in 2012 ContiTech (11% of total sales) Chassis & Safety 21% Tires (29% of total sales) Interior (20% of total sales) Non-OE 28% Powertrain 19% Powertrain (19% of total sales) Chassis & Safety (21% of total sales) ContiTech 6% Tires 9% Interior 17% 21 Strategy Technological Balance Introduction Growth Maturity Saturation/ Decline Strategy Establish Standards & Leverage R&D Cost Migrate to All Car Segments Extend Customer Portfolio Reach Market Leading Position Strategy Defend Market Leading Position & Market Share Cost control Economies of scale Standardization and/or scalability System integration CAGR>=5-10% 0%<CAGR<10% CAGR<=0% Time 22 AG Fact Book

19 Topics A. I. at a Glance B. II. Strategy B. III. Megatrends C. IV. Corporation D. V. Market Data VI. VII. VIII. IX. X. Automotive Group Rubber Group Sustainability at Share & Bond Information Glossary 23 Megatrends We Shape the Megatrends in the Automotive Industry Environment For clean power Information For intelligent driving Safety For safe mobility Affordable Cars For global mobility 24 AG Fact Book

20 Megatrend: Environment Initiatives in EU, USA and Japan Towards Cleaner Mobility EU 1 EU aims to reduce CO 2 emissions by improvement in vehicle technology: For passenger cars, EU targets average CO 2 emissions at: 130 g/km* from g/km from 2020 For passenger cars, excess emissions surcharges will be implemented in steps from 2012 onwards (100% penalty only starting in 2015 for not meeting targets) For light commercial vehicles, EU targets average CO 2 emissions at: 175 g/km from g/km from 2020 USA 2,3 NHTSA 6 and EPA 7 to establish a National Fuel Efficiency Policy (NFEP): For passenger cars and light trucks combined, CAFE 8 set to increase to: 35.5 mpg* by mpg by Japan 4 ECCJ 10 aims to improve fuel efficiency standards by 23.5% by 2015 vs. 2004: For passenger cars and light duty trucks (<3.5 tonnes), the aim is to increase average level of fuel efficiency to: 16.8 km/l* by Test cycle: NEDC (New an Driving Cycle) * Gram per kilometer Test cycle: CAFE (Corporate Average Fuel Economy) * Miles per gallon Test cycle: JC08 (Japanese Cycle) * Kilometers per liter Emerging markets likely to follow /USA/Japan on fuel efficiency standards 1) Regulations (EC) No. 443/2009 and (EU) No. 510/ ) Refers to the joint proposal of NHTSA and EPA, May 2009, and President Obama s NFPE; The White House, May 19, ) Refers to the joint proposal of NHTSA and EPA, November ) Refers to Act on the Rational Use of Energy of the Ministry of Economics, Trade and Industry (METI) and Ministry of Land, Infrastructure, Transport and Tourism (MLIT). 5) Corresponds to the EU6 Emission Standard. 6) NHTSA: National Highway Traffic Safety Administration. 7) EPA: Environmental Protection Agency. 8) CAFE: Corporate Average Fuel Economy. 9) 35.5 mpg CAFE = 250g/mile CAFE = 171 g/km NEDC ; 54.5 mpg CAFE =162g/mile CAFE = 110 g/km NEDC. 10) ECCJ: Energy Conservation Center Japan. 11) 16.8 km/l JC08 = 140 g/km JC08= 125 g/km NEDC. 25 Megatrend: Environment Initiatives Towards Cleaner Mobility in Various Regions Gram CO 2 per kilometer, normalized to NEDC Solid dots and lines: historical performance and enacted targets. Solid dots and dashed lines: proposed targets and studies US LDV US-Car EU Japan China S. Korea Source: International Council on Clean Transportation. 1) New an Driving Cycle. 2) US and Canada light-duty vehicles include light commercial vehicles. 3) China's target reflects gasoline fleet scenario. If other fuel types are included, the target is lower. 26 AG Fact Book

21 Megatrend: Environment Engine Development Roadmap 120,000 Light vehicle production by drive type (thousand units) 100,000 10% 1 80,000 7% 1 28% 1 42% 1 60,000 40,000 70% 1 51% 1 38% 1 20,000 21% 1 21% 1 20% Diesel Gasoline Port Fuel Gasoline Direct Injection Hybrid EV Electric Vehicle (EV) Source: IHS and estimates as of May ) Percentage of worldwide light vehicle production volume. 27 Megatrend: Environment Reduction of CO 2 Emissions 1 : Solutions by Hybrid electric vehicle ~25% Compressed Natural Gas (CNG) Piezo common rail injection 15-20% 10-20% Telematics, ACC, ADAS 5-12% 2 3 SCR systems/dds Energy management (AES ) Tires (rolling resistance, TPMS) 4 5% 5% 2-5% Double clutch transmission 3% Transmission (POD ) 5 3% Energy management (POD ) 5 1-2% Brake systems 1-2% Min Max 1) Saving potential compared with gasoline direction injection Euro 5. 2) Selective Catalytic Reduction. 3) DEKA injector for diesel dosing into exhaust gas. 4) Advanced Energy Supply. 5) Power-On-Demand. 28 AG Fact Book

22 Megatrend: Environment Development of Worldwide Turbo Charger Volumes 80,000 Diesel turbo charger (thousand units) Gasoline turbo charger (thousand units) Diesel cars Turbo installation rate Gasoline cars Turbo installation rate CAGR Engines = 3.3% CAGR Turbo = 3.6% CAGR Engines = 3.5% CAGR Turbo = 17.9% 60,000 40,000 20, % 98% 99% % 21% 9% ,000 30,000 Gasoline turbo charger by cubic capacity (thousand units) Up to 1.5 liter liter liter More than 3.6 liter CAGR Engines = 5.3% CAGR Turbo = 19.5% CAGR Engines = 2.7% CAGR Turbo = 15.2% CAGR Engines = 0.3% CAGR Turbo = 15.7% CAGR Engines = -3.3% CAGR Turbo = 6.1% 20,000 10,000 9% 21% 24% 10% 21% 33% 9% 24% 39% 5% 6% 13% Gasoline cars Turbo installation rate Source: IHS and estimates as of May Megatrend: Information Interior: Examples of Regional Initiatives and Projects Environment Safety Information Regional initiatives on Tire pressure monitoring system (TPMS) 1,2,3,4,13,14 Electric vehicle market push 5,6 ELVIRE ID4EV Doing more. For clean power. Regional initiatives on E-call 5,7,15,16 Hands-free telephony 8 Stolen vehicle tracking 9 Test field HeERO Rear detection system 10 Doing more. For safe mobility. Regional initiatives on Digital tachograph (DTCO) 11 Electronic onboard recorder (EOBR) 12 Intelligent transport systems (ITS) 5,6 ERTICO Sim-TD Doing more. For intelligent driving. 1) Regulation (EC) No. 661/2009 for Passenger Vehicles. 2) Federal Motor Vehicle Safety Standard No. 138 of NHTSA for passenger vehicles. 3) Source: Ministry of Land, Infrastructure, Transport and Tourism (MLIT) in Japan. 4) Korean Motor Vehicle Safety Standard (KMVSS) - MLTM Notification ) Directive 2010/40/EU of the an Parliament and of the Council of July ) COM(2011) 144 final. 7) Recommendation adopted by the an Commission September ) Several national laws and regulations in Asia/ / NAFTA/ Africa. 9) CONTRAN 245/ no final rule in place. 10) For single-unit trucks. FMVSS no final rule in place. 11) Proposed revision of Regulation (EEC) No. 3821/85. 12) FMCSA Proposed rule 395 January 2011 / President signed legislation MAP21 in July ) House Bill for Commercial Vehicle Safety - H.R TPMS for Motorcoaches. 14) DG CLIMA 2013 study on TPMS Cost / Benefit for Commercial Vehicles. 15) Russia ERA specifications - no final rule in place. 16) an Commission Brussels, C(2012) 8509 final. an Projects: ELVIRE = Electric vehicle communication to infrastructure, road services and energy supply. ID4EV = Intelligent dynamics for fully electric vehicles. HeERO = Harmonized ecall an pilot. ERTICO = an road transport telematics implementation coordination organisation. Sim-TD = Safe and intelligent mobility field test Germany. 30 AG Fact Book

23 Megatrend: Information Interior: The Car Will Be Connected to Its Environment GPS / Galileo Other cars Multimedia devices Infrastructure Infotainment 31 Megatrend: Information Interior: Product Highlights for Intelligent Mobility Existing Solutions Innovations Freely programmable cluster Tire information systems Intelligent fleet management Gesture control ITS Services Multimedia platforms Head-up displays Low-cost telematics Digital key Intelligent antenna module 32 AG Fact Book

24 Megatrend: Safety Regional Initiatives Towards Safer Mobility EU Electronic stability control (ESC) mandatory as of November 2011 for all new types of vehicles mandatory as of November 2014 for all new vehicles 1 Tire pressure monitoring system (TPMS) mandatory as of November 2012 for all new types of passenger cars mandatory as of November 2014 for all new passenger cars 2 Advanced emergency braking system and lane departure warning mandatory as of November 2013 for all new types of heavy commercial vehicles and buses mandatory as of November 2015 for all new heavy commercial vehicles and buses 2 Brake assist system mandatory as of November 2009 for all new types of passenger cars mandatory as of November 2011 for all new passenger cars 3 Motorcycle anti-lock brake system (ABS) mandatory as of January 2016 for all new types of vehicles mandatory as of January 2017 for all new vehicles 4 USA Electronic stability control (ESC) mandatory since 2011 for all new light vehicles 5 Tire pressure monitoring system (TPMS) mandatory as of September 2007 for all new light vehicles 6 Brazil Anti-lock brake system (ABS) mandatory as of January 2014 for all new passenger cars, after phase-in which began in Russia Electronic stability control (ESC) mandatory as of January 2014 for all new types of light vehicles mandatory as of January 2016 for all new light vehicles 8 Tire pressure monitoring system (TPMS) mandatory as of January 2016 for all new types of light vehicles 8 Japan Electronic stability control (ESC) mandatory as of October 2012 for all new types of passenger cars mandatory as of October 2014 for all new passenger cars 9 Advanced emergency braking system and lane departure warning expected to be mandatory for all new heavy commercial vehicles and buses following the EU decision 10 South Korea Electronic stability control (ESC) mandatory as of January 2012 for all new light vehicles 11 Tire pressure monitoring system (TPMS) mandatory as of January 2013 for all new passenger cars 11 Other emerging markets likely to follow EU/USA on ESC regulation 1) Regulation (EC) No. 661/2009; refers to all vehicles of category M and N. 2) Commission Implementation Regulations for (EC) No. 661/2009: 347/2012 (Advanced Emergency Braking Systems ); 351/2012 (Lane Departure Warning). 3) Regulation (EC) No. 78/2009; refers to passenger cars for maximum 8 passengers plus driver. 4) COM(2010) 542 from October ABS mandatory for motorcycles with engine capacity of >125 ccm. ABS or combined brake system (CBS) mandatory for engine capacity of 125 ccm. 5) Federal Motor Vehicle Safety Standard (FMVSS) No. 126 of the National Highway Traffic Safety Administration (NHTSA); refers to vehicles with a gross vehicle weight of t. 6) Federal Motor Vehicle Safety Standard (FMVSS) No. 138 of the National Highway Traffic Safety Administration (NHTSA); refers to vehicles with a gross vehicle weight of t. 7) CONTRAN 312/ ) Russia Decree 720/2009; refers to passenger cars, buses with a weight of 5 t and light trucks with a weight of 3.5 t. 9) Source: Ministry of Land, Infrastructure, Transport and Tourism (MLIT) in Japan. 10) Japan expected to adopt EU regulation. Final decision on timing pending. 11) G/TBT/N/KOR/286 and MLTM Notification (Ministry of Land, Transport and Maritime Affairs). 33 Megatrend: Safety Road Traffic Deaths Number of road traffic deaths 1 91,815 an Region 332, , , , ,405 Western Pacific Region Region of the Americas African Region Eastern Mediterranean Region South-East Asia Region Source: Global Status Report on road safety, World Health Organization (WHO) ) Data based on framework created by the World Health Organization (WHO) for estimating road traffic mortality. 34 AG Fact Book

25 Megatrend: Safety ADAC Milestones of Active Safety Milestones of Active Safety Secondary Collision Mitigation Development of Active Safety Emergency Brake Assist System Lane Departure Warning Tire Pressure Monitoring Traction Control ABS ESC Brake Assist System Car2X Communication Emergency Steering Assist System Cross-Way Assist System Tiredness Warning System Night Vision Assist System Lane Change Assist System Source: ADAC May Megatrend Future Automotive Trends (1) Present Near Future ( ) Far Future >2025 Electronic stability control Tire information systems Adaptive cruise control Electronic parking brake Parking sensors Environmental sensors Emergency brake assist Head up display Stereo camera system E-call system Automated parking assist Automated valet parking assist Automated traffic jam assist Automated cruise assist Rear end collision avoidance brake (Zero collision assist) Bottle-neck (Construction site) assist Tight spot assist Drive energy optimizer Fully automated driving 1 Future in Automotive: Networking of Advanced Driver Assistance Systems (ADAS) 1) Definition: Monitoring of the system not required; Driver does not need to be able to take over the driving task; Example: Highway driving up to 130 km/h. 36 AG Fact Book

26 Megatrend Future Automotive Trends (2) 37 Megatrend Future Automotive Trends Require System Competence System Supplier Target Best in Class Fast Follower Majority of competition Component Supplier Non automotive competitor First to market Systems supplier for automated driving, capable of developing and supplying scalable solutions Strong know-how in developing and industrializing ADAS 1 and HMI 2 Therefore supplier of choice to first launch automated driving systems 1) Advanced Driver Assistance Systems. 2) Human Machine Interface. 38 AG Fact Book

27 Megatrend: Safety Winter Tire Regulation 1 November 1 to April 15 when Austria winter weather conditions prevail November 15 to April 15 when winter weather conditions prevail Bosnia and Herzegovina November 1 to March 31 Czech Republic Estonia Finland Germany December 1 to end of February December 1 to end of February : Winter tires mandatory or situationally mandatory Latvia Norway December 1 to end of February November 1 to April 1 Lithuania Mandatory when winter weather conditions prevail Luxembourg November 15 to March 15 when Macedonia winter weather conditions prevail Mandatory when winter weather conditions prevail Mandatory when winter weather conditions prevail November 1 to March 31 Romania Russia Serbia Slovakia Slovenia Sweden Turkey Mandatory when winter weather conditions prevail November 1 to April 1 November 15 to March 31 when roads are snowy/icy November 15 to March 15 when winter weather conditions prevail December 1 to March 31 when winter weather conditions prevail December 1 to April 1 for commercially used vehicles : Winter tires partly mandatory France Italy Drivers may be held liable if they cause an accident with Mandatory on certain roads marked with signs summer tires mounted when winter weather conditions prevail Switzerland Canada: Winter tires partly mandatory Canada Mandatory in Québec December 15 to March 15; mandatory on certain roads in the mountains of Canada when winter weather conditions prevail The snowflake symbol: This symbol can be displayed on a tire if it tests better than a reference standard tire with M+S² marking when ABS-braking on snow. 1) Source: AG and websites of country ministries, automobile associations and ETRMA (an Tyre and Rubber Manufacturers' Association). 2) Mud + snow. The M+S marking is given by the manufacturer and is not linked to a performance definition. 39 Megatrends: Safety and Environment Tire Labeling Initiatives in, USA, Japan, South Korea and Brazil 1 EU 2 USA 3 Japan 4 South Korea 5 Brazil 6 Mandatory as of November 2012 Applies to all tires sold. Information to be shown: rolling resistance (fuel efficiency), wet grip (braking performance on wet roads) and noise performance (external rolling noise). Either directly on the tire by means of a label or in some other way Self-certification policy EU member states are responsible for market surveillance Label proposed by NHTSA 3 Final decision pending The NHTSA Tire Fuel Efficiency Consumer Information Program proposes to inform consumers about the effect of tires on fuel efficiency, safety, and durability The program aims to implement a national tire fuel efficiency rating system for replacement tires, with the information provided to consumers at the point of sale and online 1) Similar initiatives in Australia, China, Gulf countries, Israel, South Africa. 2) Regulation (EC) No.1222/2009 of the an Parliament and of the Council and Commission Regulations (EU) No. 228/2011 and (EU) No. 1235/2011. Also implemented in Norway, Switzerland and Turkey. Voluntary since 2010 Introduced by JATMA 4 Applies to replacement summer tires for passenger cars; includes information on rolling resistance and wet grip performance Tires with a grading of A and above for rolling resistance performance are defined as fuel efficient tires and are marked with an additional symbol (the lower of the symbols above) Mandatory as of November 2012 Introduced by MKE 5 Applies to all tires sold in South Korea (OE and replacement) for passenger cars and light trucks; includes information on rolling resistance and wet grip performance The label has to be attached to the tread of each tire; for OE tires the information has to be provided in the car manual Registration of all products required Mandatory as of April 2015 Introduced by INMETRO 6 Applies to all tires sold (with certain exceptions). Includes information on rolling resistance, wet grip and noise performance Certification to be carried out by a product certification body accredited by INMETRO 3) Source: National Highway Traffic Safety Administration (NHTSA). 4) Source: Japan Automobile Tyre Manufacturers Association (JATMA). 5) Source: South Korean Ministry of Knowledge Economy (MKE). 6) Source: National Institute of Metrology, Quality and Technology (INMETRO). 40 AG Fact Book

28 Tires: Key Initiatives 2001 Vision 2025 Stage 1: Stage 2: Stage 3: Create Value Sustain Value Enhance Value Global footprint and business optimized Strong cost focus Global presence of CVT sustained (SAM/APAC) Turnaround of PLT business in NAFTA succeeded Worldwide technology gap to competition closed Accelerate global growth (focus on BRIC countries) Leverage cost position Improve technology position to establish among Best In Class Balanced global footprint Benefit from excellent cost position Achieve podium position in technology worldwide Continuous value creation is our driving force! 41 Tires Sales and Growth Pillars Supporting Elements of our Vision 2025 Passenger & Light Truck Tires Truck Tires Specialty Tires Ramp up greenfields Continuously invest in R&D and technology Expand retail position Manage brand awareness via communication roadmap Accelerate growth on extended lifecycle solutions Expand retail position Provide a strong manufacturing footprint in BRIC Commercial Segment Selective growth in commercial specialty tires Support end customer focus with strong service providers Consumer Segment (2 Wheel) Capacity increase (i.e. existing plants, greenfields, M&A) Expansion of worldwide presence by eliminating white spots Establish new channel of direct sales to retail level 42 AG Fact Book

29 Additional Tire Production Capacity of 22 Million Units by 2015/16 (million units) Mount Vernon (US) +4 1 Kaluga 2 (RU) +4 Sumter 2 (US) Hefei 2 (CN) +0.3 Modipuram (IN) Camaçari (BR) Passenger tires Truck tires 1) Will be reached by ) Greenfield. 43 Tires Vision 2025 More Balanced Footprint Passenger & Light Truck Tires 1 Truck Tires 1 Specialty Commercial % % 72% 21% 5% 46% 50% Specialty Consumer 2 74% 4% % 3% 81% Note: Inner circle as of Outer circle vision The Americas APAC EMEA 1) Based on unit sales. 2) Based on net sales. 44 AG Fact Book

30 Megatrend: Environment ContiTech: Engineering Green Value Engineering Green Value: Maxim for our strategic orientation Technological expertise for customer-specific solutions made from rubber and plastic Sustainable management with long-sighted economic, ecological and social solutions Creating added value for our customers, human beings and the environment Perfect mount for wind power Modules for efficient solar energy Secure wave power Carbon-neutral printing blankets Eco-friendly drive belts 1 Watermanagement Climate-friendly conveyor belts Lightweight engineering 1 Emissionsreducing hoses 1 Health-friendly interiors Flexible insulation for energy saving Components for engine downsizing 1 1) Technologies supplied to the automotive industry. 45 Megatrend: Environment ContiTech: Cumulative Market for ContiTech Products ~ 30 bn ~ 25 bn Fluid Technology Conveyor Belt Group Air Spring Systems Elastomer Coatings Vibration Control Power Transmission Group Compounding Benecke-Kaliko Group Source: estimates. 46 AG Fact Book

31 Topics A. I. at a Glance B. II. Strategy B. III. Megatrends C. IV. Corporation D. V. Market Data VI. VII. VIII. IX. X. Automotive Group Rubber Group Sustainability at Share & Bond Information Glossary 47 Corporation Consolidated Key Figures (in millions) Sales 26, , ,736.2 EBITDA 3, , ,854.6 EBIT 1, , ,073.4 EBIT adjusted 1 3, ,522.4 in % of sales Net interest expense Income tax expense Non-controlling interests NIAT , ,883.5 Earnings per share (in ) R, D & E expense 1, , ,766.2 in % of sales Capex 3 1, , ,019.4 in % of sales Depreciation & amortization 4 1, , ,781.2 in % of sales thereof impairment Free Cash Flow ,652.5 ROCE (average) in % ) EBIT before amortization of intangible assets from PPA, consolidation and special effects; sales before changes in the scope of consolidation. 2) Net income attributable to the shareholders of the parent. 3) Capex including software. 4) Excluding write-downs of investments. 5) 2012: Including goodwill impairment of 75.6 mn. 48 AG Fact Book

32 Corporation Sales and Adjusted EBIT 1 by Quarter Sales 26,047 mn Sales 30,505 mn Adj. EBIT 1 3,041 mn Sales 32,736 mn Adj. EBIT 1 3,522 mn 5,997 6,658 6,490 6,903 7,346 7,533 7,714 7, ,320 8,187 8,134 8, Q1/10 Q2/10 Q3/10 Q4/10 Q1/11 Q2/11 Q3/11 Q4/11 Q1/12 Q2/12 Q3/12 Q4/12 Sales (in millions) Adj. EBIT 1 (in millions) 1) Before amortization of intangibles from PPA, consolidation and special effects. 49 Corporation Key Historical Financials and Credit Metrics (in millions) Statement of cash flows Adjusted EBITDA 2 3,001 2,354 3,662 4,247 4,822 Reported EBITDA 2,771 1,591 3,588 4,228 4,855 Net cash interest paid Tax paid Change in net working capital Other , Cash flow arising from operating activities 1,885 2,427 1,849 2,289 3,785 Cash flow arising from investing activities -1, ,282-1,798-2,132 - thereof capex for PPE and intangibles -1, ,324-1,813-2,081 Cash flow before financing activities 629 1, ,653 Statement of financial position Cash and cash equivalents 1,569 1,713 1,471 1,541 2,397 Derivative instruments and interest-bearing investments Total indebtedness 12,117 10,713 8,991 8,562 8,253 Net Indebtedness 10,484 8,896 7,317 6,772 5,320 Credit Ratios Net indebtedness / adj. EBITDA 2 3.5x 3.8x 2.0x 1.6x 1.1x Net cash interest paid coverage (ratio) 5 5.8x 3.2x 5.2x 6.4x 8.4x 1) Amounts shown may contain rounding differences. 2) Adjusted EBITDA from 2009 on as defined in syndicated loan. 3) Includes changes in inventories, trade receivables, trade payables and discounted notes. 4) Includes dividends received, at-equity share in earnings of ass. and accrued dividend income from other investments incl. impairment, gains and losses from disposals, other non-cash items as well as changes in pension and post-employment provisions (including effects from transactions regarding contractual trust arrangements [CTA] in 2009) and in other assets and liabilities. 5) Adj. EBITDA to net cash interest paid. 50 AG Fact Book

33 Corporation Development of Net Indebtedness and Gearing Ratio 210% 186% 226% 219% Net indebtedness (in millions) Gearing ratio (in %) 145% 133% 138% 11,042 9,747 9,465 8,896 8,232 8,017 8, % 117% 104% 103% 90% 85% 83% 77% 7,317 7,605 7,114 7,297 6,772 6,841 6,876 6,802 58% 5,320 Q1 H1 9M YE Q1 H1 9M YE Q1 H1 9M YE Q1 H1 9M YE Corporation Gross Indebtedness by Sources Syndicated loan Syndicated loan (Tranche D, Revolver) Aug 2012; 696 Various other bank lines; 900 Other indebtedness; 617 Syndicated loan (Tranche B) Aug 2010; 3,500 Bonds Various other bank lines Other indebtedness Various other bank lines; 548 Other indebtedness; 1,502 1 Term loan Feb 2013; 2,137 Syndicated loan (Tranche C) Aug 2012; 5,000 2 Bond Sept 2019 (4.5%); 720 Bond Oct 2018 (7.125%); 625 Bond Sept 2017 (7.5%); 1,000 Bond Jan 2016 (6.5%); 625 Revolving Credit Facility 1 Feb 2013; 346 Bond Jul 2015 (8.5%); 750 FY 2009 (in mn ) Syndicated loan = 86% of gross indebtedness ( 10,713 mn) FY 2012 (in mn ) Syndicated loan = 30% of gross indebtedness ( 8,253 mn) 1) Term loan and revolving facility repayment in Feb due to new syndicated loan agreement. 2) Nominal amount $950 mn (exchange rate at Dec. 31, 2012: ). Note: Bond values and the values for the syndicated loan are nominal values, all others book values. 52 AG Fact Book

34 Corporation Maturities RCF 2 SoR CP Others Pro forma Maturity scheme Dec. 31, 2012 (in millions) before renegotiation of syndicated loan 1,935 2,227 Term 346 2,137 Loan 778 1, , , Pro forma maturity scheme after renegotiation of syndicated loan (in millions) (in millions) FY 11 FY 12 Gross indebtedness 8,562 8,253 Cash 1,541 2,397 Net indebtedness 6,772 5,320 Available credit lines 2,190 2,801 Total liquidity 3,731 5, ,4 2,170 1,589 1,203 1, ,500 3 SoR 983 CP Others , , ) Amount drawn under term loan at year end 2012: 2,137 mn with original maturity in April According to new syndicated loan agreement it has been reduced to 1,500 mn and matures in ) Amount drawn under the revolving credit facility (RCF) at Dec. 31, Original volume of RCF has been increased from 2,500 mn to a total volume of 3,000 mn according to new syndicated loan agreement and matures in Revolving credit facility (RCF) has to be shown as short term debt according to IFRS; RCF matures in 2018 at drawn amount. 3) Note that maturities later than 2017 are bond maturities only; all bond and syndicated loan amounts shown are nominal values; maturities do not add up to gross indebtedness amounting to 8,253 mn at Dec. 31, ) Nominal amount $950 mn (exchange rate at Dec. 31, 2012: ). Note: CP = Commercial paper. SoR = Sale of receivables (total amount as of Dec. 31, 2012: 936 mn). 53 Corporation Purchasing Production Materials 2012 Purchasing Contracts has a wide range of sources for production materials worldwide. A specific strategy for each production material group is set up and the appropriate supplier panel is selected. This way we ensure the competitiveness and availability of the materials. Others 4 15% Natural rubber 7% Oil-based chemicals 1 16% Electronics 20% For some materials such as certain oilbased chemicals or natural rubber, prices might have a long lead time until they become fully reflected in the cost of our final products. Mechanical components 3 25% Electromechanical components 2 17% Total production material purchased in 2012: 15.8 bn 1) E.g. synthetic rubber, carbon black. 2) E.g. printed circuit boards, connectors, motors. 3) E.g. stamped parts, turned parts, castings. 4) E.g. textiles, plastics. 54 AG Fact Book

35 Corporation Development of Raw Material Prices 350% 180% 300% 160% 250% 140% 120% 200% 100% 150% 80% 100% 60% 50% 40% 0% 12/07 12/08 12/09 12/10 12/11 12/12 20% 12/07 12/08 12/09 12/10 12/11 12/12 TSR 20 RSS3 Carbon steel Stainless steel Brent Oil Source: Bloomberg, January Butadiene Styrene Aluminium Copper 55 Topics A. I. at a Glance B. II. Strategy B. III. Megatrends C. IV. Corporation D. V. Market Data VI. VII. VIII. IX. X. Automotive Group Rubber Group Sustainability at Share & Bond Information Glossary 56 AG Fact Book

36 Market Data Increasing Installation Rates of Electronic Brake Systems 100% 80% 60% 40% North America 20% 0% 100% 80% 60% Japan China 40% 20% 0% ABS/TCS ESC Total EBS Source: estimates. 57 Market Data Installation Rates of Fuel Injection Systems 1 100% 80% North America 60% 40% 20% 0% 100% 80% Japan China 60% 40% 20% 0% Gasoline direct injection Source: estimates. 1) Based on production of diesel and gasoline engines for passenger cars & light vehicles. Gasoline port fuel injection Diesel injection 58 AG Fact Book

37 Market Data Increasing Installation Rates of Double Clutch Transmissions 1 100% 80% North America 60% 40% 20% 0% 100% 80% Japan China 60% 40% 20% 0% Automated manual transmission Automatic transmission Double clutch transmission Continuous variable transmission Manual transmission Source: estimates. 1) Based on production of transmissions for passenger cars and light vehicles. 59 Market Data Increasing Installation Rates of Turbocharger in Gasoline Engines 12% 10% 8% 6% 4% 2% 0% EMEA North and South America Asia China Source: IHS and estimates. 60 AG Fact Book

38 Market Data Increasing Installation Rates of Embedded Telematics 1 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Source: estimates. 1) Different volume scenarios may apply starting 2013 as a result of new legislation. North America Japan China 61 Market Data Increasing Installation Rates of Keyless Entry Systems 100% 80% North America 60% 40% 20% 0% 100% 80% Japan China 60% 40% 20% 0% Active keyless entry systems Passive keyless entry systems Source: Strategy Analytics. 62 AG Fact Book

39 Market Data Increasing Installation Rates of Multimedia Systems 1 100% 80% North America 60% 40% 20% 0% 100% 80% Japan China 60% 40% 20% 0% Radio Multimedia Source: estimates. 1) Navigation stand-alone systems and navigation systems with enriched multimedia functions. 63 Market Data Increasing Installation Rates of Advanced Driver Assistance Systems 1 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% NAFTA Japan Source: estimates. 1) Adaptive cruise control, collision mitigation, lane departure warning, blind spot detection, intelligent lighting, night vision, traffic sign recognition. 64 AG Fact Book

40 Market Data Increasing Installation Rates of Head-Up Displays 1,600 (in k units) 1,400 1,200 1, North America Japan China Source: estimates. 65 Market Data Production of Light Vehicles (in million units) NAFTA South America Asia Other markets Total Source: IHS and estimates. 1) Estimates for passenger cars and light trucks < 6 tons (including vans). 2) West, Central and East incl. Russia and Turkey. 66 AG Fact Book

41 Market Data Production of Heavy Vehicles (in thousand units) NAFTA South America Asia 2,001 1,817 1,967 2,039 Other markets Total 3,374 3,121 3,301 3,472 Source: IHS and estimates. 1) Estimates for trucks > 6 tons. 2) West, Central and East incl. Russia and Turkey. 67 Market Data Replacement Passenger, Light Truck and 4x4 Tires (in million units) NAFTA South America Asia Other markets Total , ,066.0 Source: LMC World Tyre Forecast Service and estimates. 1) Estimates. 2) West, Central and East incl. Turkey and Russia. 68 AG Fact Book

42 Market Data Replacement Truck Tires (in million units) NAFTA South America Asia Other markets Total Source: LMC World Tyre Forecast Service and estimates. 1) Estimates. 2) West, Central and East incl. Turkey and Russia. 69 Topics A. I. at a Glance B. II. Strategy B. III. Megatrends C. IV. Corporation D. V. Market Data VI. VII. VIII. IX. X. Automotive Group Rubber Group Sustainability at Share & Bond Information Glossary 70 AG Fact Book

43 Automotive Group Key Figures (in millions) Sales 15, , ,505.1 EBITDA 1, , ,404.6 in % of sales EBIT , ,068.8 in % of sales EBIT adjusted 1 1, ,544.7 in % of sales Operating Assets (average) 11, , ,438.5 ROCE (average) in % R, D & E expense 1, , ,495.6 in % of sales Capex ,035.9 in % of sales Depreciation & amortization 3 1, , ,335.8 in % of sales thereof impairment ) EBIT before amortization of intangible assets from PPA, consolidation and special effects; sales before changes in the scope of consolidation. 2) Capex including software. 3) Excluding write-downs of investments. 4) 2012: Including goodwill impairment of 75.6 mn. 71 Automotive Group Sales and Adjusted EBIT 1 by Division Automotive Group Sales (in millions) Automotive Group adj. EBIT 1 (in millions) 6, % , % , % 7.9% 6, % % 7, % 9.7% Organic growth (%) Adj. EBIT 1 margin (%) C&S PT I cons. Automotive Group C&S PT I cons. Automotive Group 1) Before amortization of intangibles from PPA, consolidation and special effects. 72 AG Fact Book

44 Automotive Group Sales by Region Germany 29% (excluding Germany) 26% Germany 28% (excluding Germany) 26% (2010: 26%) Germany 26% (excluding Germany) 24% NAFTA 20% NAFTA 20% NAFTA 23% Other countries 4% Asia 21% Other countries 4% Asia 22% Other countries 3% Asia 24% Sales in 2010: 15.9 bn Sales in 2011: 18.4 bn Sales in 2012: 19.5 bn 73 Automotive Group Order Intake (LTS 1 ) in the Automotive Group Totaled 25 bn in 2012 Chassis & Safety Powertrain Interior Order intake totaled > 8.2 bn Book-to-bill improved 1.2x ADAS with best book-to-bill ratio and major business gains from Japanese and Korean OEM Order intake > 9.0 bn in 2012 after 8.1 bn in 2011 Book-to-bill improved 1.5x Transmission & Fuel Supply business with best book-to-bill ratio in 2012; Engine Systems with major business gains Total order intake > 8.2 bn; >25% of order intake is from Asia Book-to-bill 1.3x Instrumentation & Driver HMI and Body & Security with best book-to-bill in 2012 Order intake Chassis & Safety > LTS (bn ) Book-to-bill Order intake Powertrain Order intake Interior >9.0 > LTS (bn ) Book-to-bill LTS (bn ) Book-to-bill 1) Life-time sales. 74 AG Fact Book

45 Topics A. I. at a Glance B. II. Strategy B. III. Megatrends C. IV. Corporation D. V. Market Data VI. VII. VIII. IX. X. Automotive Group 1. Chassis & Safety Division Rubber Group Sustainability at Share & Bond Information Glossary 75 Chassis & Safety Business Units and Key Products Electronic Brake Systems Hydraulic electronic control units (HECU) ABS ESC Software functions Adaptive cruise control Regenerative brake system Active front steering Hill start assist, hill descent control Deflation detection system Hydraulic brake assist Trailer stability assist Hydraulic Brake Systems Calipers and discs Drum brakes Brake hoses Boosters Tandem master cylinders Electric parking brakes Washer systems Brake pressure regulators Electric vacuum pump Passive Safety & Sensorics Wheel speed sensors Engine/transmission speed and position sensors Chassis sensors Sensor clusters Airbag control units Crash sensors Satellite for electric vehicle Pedestrian protection Occupant classification system (OCS) Advanced Driver Assistance Systems Driver assistance systems Adaptive cruise control Emergency brake assist Lane departure warning Lane change support Blind spot detection Traffic sign recognition Intelligent head lamp control Rear cross traffic alert Driver assistance sensors Camera Radar Lidar Chassis Components Chassis electronics Electronic components (1 st tier customer) Suspension systems 76 AG Fact Book

46 Chassis & Safety Locations Worldwide 63 sites for production and R&D in 20 countries. Divisional headquarters in Frankfurt/Main, Germany. USA Auburn Hills Brimley Culpeper Henderson Morganton Belgium Mechelen Czech Republic Adrspach Frenstat Jicin France Boussens Toulouse Hungary Budapest Portugal Palmela Romania Iasi Sibiu Veszprém Timişoara Italy Slovakia Cairo Montenotte Zvolen Sweden Arvidsjaur UK Ebbw Vale Germany Alzenau Bebra Frankfurt Gifhorn Hanover Ingolstadt Karben Korbach Lindau Nuremberg Regensburg Rheinböllen Schwalbach Ulm China Shanghai Jiading TC Jiading CASS Changchun I Changchun II Changshu Heihe Lian Yun Gang Jiading SABS South Korea Cheongwon Icheon Mexico Ayala Morelos (Cuautla) Guadalajara Las Colinas Silao Brazil Salto Varzea Paulista India Bangalore Gurgaon (New Delhi) Manesar Malaysia Penang Japan Asahi Hamakita Hiroshima Monbetsu Yokohama Philippines Calamba Manila Production Joint Ventures < 50% 77 Chassis & Safety Key Figures (in millions) Sales 5, , ,052.5 EBITDA in % of sales EBIT in % of sales EBIT adjusted in % of sales Operating Assets (average) 3, , ,097.4 ROCE (average) in % R, D & E expense in % of sales Capex in % of sales Depreciation & amortization in % of sales thereof impairment ) EBIT before amortization of intangible assets from PPA, consolidation and special effects; sales before changes in the scope of consolidation. 2) Capex including software. 3) Excluding write-downs of investments. 78 AG Fact Book

47 Chassis & Safety Sales by Region Germany 30% (excluding Germany) 24% NAFTA 19% Germany 29% (excluding Germany) 23% NAFTA 19% Germany 27% (excluding Germany) 21% NAFTA 21% Other countries 4% Asia 23% Other countries 4% Asia 25% Other countries 3% Asia 28% Sales in 2010: 5.8 bn Sales in 2011: 6.5 bn Sales in 2012: 7.1 bn 79 Chassis & Safety Market Position of Top 3 in Electronic Brake Systems 2012 Bosch TRW North America Bosch TRW South America Bosch TRW Asia/Pacific Advics Bosch World Bosch TRW Source: estimates. Market share of all suppliers other than top 3 80 AG Fact Book

48 Chassis & Safety Market Position of Top 3 in Foundation Brake Systems 2012 Bosch TRW North America Akebono TRW South America Bosch TRW Asia/Pacific Advics Mando World Akebono TRW Source: estimates. Market share of all suppliers other than top 3 81 Chassis & Safety Market Position of Top 3 in Actuation 2012 Bosch TRW North America Bosch TRW South America Bosch TRW Asia/Pacific Advics Bosch World Bosch TRW Source: estimates. Market share of all suppliers other than top 3 82 AG Fact Book

49 Chassis & Safety Market Position of Top 3 in Airbag Electronics 2012 Autoliv Bosch North America Autoliv TRW South America Autoliv TRW Asia/Pacific Bosch Denso World Autoliv Bosch Source: estimates. Market share of all suppliers other than top 3 83 Chassis & Safety Market Position of Top 3 in Advanced Driver Assistance Systems 2012 Bosch Delphi North America Autoliv Delphi Valeo Asia/Pacific Denso Hella Honda Elesys World Delphi Denso Source: estimates. Market share of all suppliers other than top 3 84 AG Fact Book

50 Chassis & Safety Growing Sales Volume for Electronic Brake Systems 25 (in million units) Source: estimates. ABS/TCS ESC Model Selection Audi A3 BMW 1 Series / 3 Series Ford Focus / Fiesta Mercedes C Class Opel Astra / Zafira Peugeot 208 / C3 Renault Megane / Scenic Skoda Octavia Toyota Yaris Volvo S60/V40/XC60 VW Golf / Passat NAFTA BMW X3 Chevrolet Cruze / Equinox Chrysler Caliber Succ RAM 1500 Ford Explorer/Escape/Focus/Fusion Honda Odyssey Jeep Wrangler RAM 1500 VW Jetta/New Beetle/New Passat Asia Daewoo Orlando / Cruze Ford Ecosport / Focus Succ. GM Buick XT/GT Honda Life (succ) / N One Mazda Axela / CX-5 / Demio PSA 206(207) Skoda Octavia Suzuki Wagon R / Palette Mitsubishi Lancer / Outlander / RVR VW Lavida / Bora / Passat / Sagitar 85 Topics A. I. at a Glance B. II. Strategy B. III. Megatrends C. IV. Corporation D. V. Market Data VI. VII. VIII. IX. X. Automotive Group 2. Powertrain Division Rubber Group Sustainability at Share & Bond Information Glossary 86 AG Fact Book

51 Powertrain Business Units and Key Products Engine Systems Transmission Hybrid Electric Vehicle Sensors & Actuators Fuel Supply Engine management systems and fuel components for Diesel piezo common rail injection systems Gasoline piezo direct injection Gasoline solenoid direct injection Gasoline port injection Liquefied petroleum gas (LPG) and compressed natural gas (CNG) Aftertreatment Engine management systems /aftertreatment products for commercial vehicle applications Turbocharger Control units for Automatic transmission Double clutch transmission Automated manual transmission Continuously variable transmission Control units for all wheel drive applications Transfer cases Differentials Limited slip coupling Clutch systems Systems/components for hybrid and electric vehicle applications Power electronics Electric motors Battery systems Energy management Power net systems Actuators for powertrain applications: electronic throttle control, air control valve, general purpose actuator, variable valve timing, electric pumps, exhaust gas recirculation, digital linear actuators Exhaust and emission sensors: temperature, exhaust gas, fluid, evaporation control Engine and transmission sensors: pressure, combustion, mass air flow, position Door handle sensors Fuel supply units Fuel level sensors Fuel pumps Control electronics for fuel pumps Functional components 87 Powertrain Locations Worldwide 52 sites for production and R&D in 20 countries. Divisional headquarters in Regensburg, Germany. Canada Chatham Czech Republic Adrspach Brandys Frenstat Trutnov France Boussens Foix Toulouse Hungary Budapest Italy Pisa Romania Brasov Iasi Sibiu Timişoara UK Birmingham Germany Bebra Berlin Dortmund Gifhorn Grünstadt Karben Limbach-Oberfrohna/Stollberg Lohmar Nuremberg Regensburg Roding Schwalbach Russia Kaluga China Changchun Shanghai Tianjin Wuhu USA Auburn Hills Dearborn Deer Park Newport News Seguin South Korea Cheongwon Icheon Japan Yokohama Mexico Ayala Morelos (Cuautla) Guadalajara Juarez Brazil Guarulhos Salto India Bangalore Manesar Pune Malaysia Penang Thailand Amata City Philippines Calamba Australia Bundoora Production, R&D Joint Ventures < 50% 88 AG Fact Book

52 Powertrain Key Figures (in millions) Sales 4, , ,134.8 EBITDA in % of sales EBIT in % of sales EBIT adjusted in % of sales Operating Assets (average) 3, , ,028.1 ROCE (average) in % R, D & E expense in % of sales Capex in % of sales Depreciation & amortization in % of sales thereof impairment ) EBIT before amortization of intangible assets from PPA, consolidation and special effects; sales before changes in the scope of consolidation. 2) Capex including software. 3) Excluding write-downs of investments. 4) 2012: Including goodwill impairment of 75.6 mn. 89 Powertrain Sales by Region Germany 26% (excluding Germany) 31% Germany 24% (excluding Germany) 33% (2010: 26%) Germany 23% (excluding Germany) 29% Other countries 1% Asia 22% NAFTA 20% Other countries 1% Asia 21% NAFTA 21% Other countries 1% Asia 23% NAFTA 24% Sales in 2010: 4.7 bn Sales in 2011: 5.8 bn Sales in 2012: 6.1 bn 90 AG Fact Book

53 Powertrain Market Position for Diesel Injection Systems Bosch Delphi Asia/Pacific 2 Bosch Delphi Denso World Bosch Delphi Source: estimates. 1) For passenger cars & light trucks. 2) Japan, South Korea, China, India, Thailand. Market share of all suppliers other than top 3 91 Powertrain Market Position for Gasoline Injection Systems Bosch Hitachi North America Bosch Denso South America Bosch Delphi Magneti Marelli Asia/Pacific 2 Bosch Denso World Bosch Denso Source: estimates. 1) For passenger cars & light trucks. 2) Japan, South Korea, China, India, Thailand. Market share of all suppliers other than top 3 92 AG Fact Book

54 Powertrain Market Position for Transmission Control Units Bosch North America Aisin Bosch Asia/Pacific 2 Aisin Hitachi World Aisin Bosch Source: estimates. 1) For passenger cars & light trucks. 2) Japan, South Korea, China, India. Market share of all suppliers other than top 3 93 Topics A. I. at a Glance B. II. Strategy B. III. Megatrends C. IV. Corporation D. V. Market Data VI. VII. VIII. IX. X. Automotive Group 3. Interior Division Rubber Group Sustainability at Share & Bond Information Glossary 94 AG Fact Book

55 Interior Business Units and Key Products Instrumentation & Driver HMI Instrument clusters Secondary displays Head-up displays Climate controls Control panels Central input devices Cockpit modules Radios Infotainment & Connectivity Multimedia systems Connectivity & telematics Software & special solutions Body & Security Body control modules Access control systems Door systems Seat comfort systems Power closures Tire information systems Gateways Energy management Exterior light control units Intelligent antenna modules Commercial Vehicles & Aftermarket Tachographs, telematics & services Visual & haptical HMI Powertrain control Chassis-, body- & transmission electronics Wear parts, spare parts, services and multi-brand vehicle diagnosis for the independent aftermarket Original equipment services 95 Interior Locations Worldwide 65 sites for production and R&D in 24 countries. Divisional headquarters in Regensburg, Germany. Austria Vienna Czech Rep. Adršpach Brandŷs Frenštát France Boussens Foix Hambach Rambouillet Toulouse Hungary Budapest Romania Iasi Sibiu Timişoara Spain Rubi Switzerland Rüthi Sweden Arvidsjaur UK Birmingham Germany Babenhausen Bebra Dortmund Ingolstadt Karben Markdorf Nuremberg Regensburg Schwalbach am Taunus Villingen-Schwenningen Wetzlar Russia Chistopol Kaluga China Changchun Jinan Najing Shanghai Tianjin Wuhu USA Auburn Hills Deer Park Newport News Seguin Troy Mexico Cuautla Guadalajara Nogales Tlaquepaque Brazil Gravatai Guarulhos Manaus Resende São Bernardo do Compo Tunesia Bizerte India Bangalore Chennai Haryana Pune Malaysia Penang Thailand Bangkok South Korea Cheongwon-gun Gyeonggi-do Icheon-city Japan Yokohama Philippines Manila Singapore Singapore Australia Bundoora Campbellfield 96 AG Fact Book

56 Interior Key Figures (in millions) Sales 5, , ,434.2 EBITDA in % of sales EBIT in % of sales EBIT adjusted in % of sales Operating Assets (average) 4, , ,313.0 ROCE (average) in % R, D & E expense in % of sales Capex in % of sales Depreciation & amortization in % of sales thereof impairment ) EBIT before amortization of intangible assets from PPA, consolidation and special effects; sales before changes in the scope of consolidation. 2) Capex including software. 3) Excluding write-downs of investments. 97 Interior Sales by Region Germany 31% (excluding Germany) 24% Germany 31% (excluding Germany) 24% (2010: 26%) Germany 30% (excluding Germany) 21% NAFTA 19% NAFTA 19% NAFTA 23% Other countries 8% Asia 18% Other countries 7% Asia 19% Other countries 6% Asia 20% Sales in 2010: 5.5 bn Sales in 2011: 6.1 bn Sales in 2012: 6.4 bn 98 AG Fact Book

57 Interior Market Position for Body & Security 2012 Hella Lear North America Denso Lear South America Delphi Hella Asia/Pacific Denso Omron World Denso Lear Source: estimates. Market share of all suppliers other than top 3 99 Interior Market Position for Instrumentation & Driver HMI JCI Magneti Marelli North America Denso Nippon Seiki South America Denso Magneti Marelli Asia/Pacific Denso Nippon Seiki World Denso Nippon Seiki Source: estimates. 1) Excluding cockpit modules. Market share of all suppliers other than top AG Fact Book

58 Interior Market Position for Infotainment & Connectivity 2012 Bosch Harman North America Alpin Denso Panasonic South America Bosch Delphi Panasonic Asia/Pacific Clarion Denso Panasonic World Harman Panasonic Source: estimates. Market share of all suppliers other than top Interior Market Position for Commercial Vehicle Bosch Stoneridge North America Phoenix Stoneridge South America PST Stoneridge Asia/Pacific DETC Yazaki World Stoneridge Yazaki Market share of all suppliers other than top 3 Source: estimates. 1) Market shares for commercial vehicle business as described in BU structure excluding automotive aftermarket. 102 AG Fact Book

59 Topics A. I. at a Glance B. II. Strategy B. III. Megatrends C. IV. Corporation D. V. Market Data VI. VII. VIII. IX. X. Automotive Group Rubber Group Sustainability at Share & Bond Information Glossary 103 Rubber Group Key Figures (in millions) Sales 10, , ,261.7 EBITDA 1, , ,521.7 in % of sales EBIT 1, , ,077.8 in % of sales EBIT adjusted 1 1, ,064.1 in % of sales Operating Assets (average) 4, , ,590.7 ROCE (average) in % R, D & E expense in % of sales Capex in % of sales Depreciation & amortization in % of sales thereof impairment ) EBIT before amortization of intangible assets from PPA, consolidation and special effects; sales before changes in the scope of consolidation. 2) Capex including software. 3) Excluding write-downs of investments. 104 AG Fact Book

60 Rubber Group Sales and Adjusted EBIT 1 by Division Rubber Group Sales (in millions) Rubber Group adj. EBIT 1 (in millions) 9,665 13, % % 1, % 0 2, % 3, % Organic growth (%) % Adj. EBIT 1 margin (%) CT Tires cons. Rubber Group CT Tires cons. Rubber Group 1) Before amortization of intangibles from PPA, consolidation and special effects. 105 Rubber Group Sales by Region Germany 25% (excluding Germany) 43% Germany 24% (excluding Germany) (2010: 43% 26%) Germany 22% (excluding Germany) 40% Other countries 7% Asia 8% NAFTA 17% Other countries 6% Asia 9% NAFTA 18% Other countries 8% Asia 10% NAFTA 20% Sales in 2010: 10.2 bn Sales in 2011: 12.2 bn Sales in 2012: 13.3 bn 106 AG Fact Book

61 Topics A. I. at a Glance B. II. Strategy B. III. Megatrends C. IV. Corporation D. V. Market Data VI. VII. VIII. IX. X. Automotive Group Rubber Group 1. Tires Division Sustainability at Share & Bond Information Glossary 107 Tires Business Units and Tire Brands Passenger and Light Truck Tires Original Equipment Passenger and Light Truck Tires Replacement EMEA Passenger and Light Truck Tires Replacement The Americas Passenger and Light Truck Tires Replacement APAC Truck Tires EMEA Commercial Vehicle Tires Truck Tires The Americas Truck Tires APAC Commercial Specialty Tires Two Wheel Tires Tires for: Compact, medium-size and full-size cars 4x4 and SUVs Vans, light trucks and RVs Tires and services for customer segments: Goods People Construction Tires and services for the applications: Material handling Multi-purpose Earthmover Tires and Tubes for: Bicycles: Race, Mountainbike, City/Trekking Motorcycles: scooters, big bikes >150cc, bikes <150cc 2 2 Extended mobility systems: SSR Minispares Conti KomfortKit Conti MobilityKit ContiSeal NVH engineering services Astrum Blue 1) Except NAFTA, Colombia, Peru. 2) Trademark rights for Malaysia, Singapore and Brunei. 3) Only in Australia. 4) Only in People s Republic of China AG Fact Book

62 Tires Key Figures (in millions) Sales 7, , ,665.0 EBITDA 1, , ,974.0 in % of sales EBIT 1, , ,635.4 in % of sales EBIT adjusted 1 1, ,620.0 in % of sales Operating Assets (average) 3, , ,430.8 ROCE (average) in % R, D & E expense in % of sales Capex in % of sales Depreciation & amortization in % of sales thereof impairment ) EBIT before amortization of intangible assets from PPA, consolidation and special effects; sales before changes in the scope of consolidation. 2) Capex including software. 3) Excluding write-downs of investments. 109 Tires Sales by Region Germany 18% (excluding Germany) 46% (2010: 26%) Germany 18% (excluding Germany) 43% Other countries 7% Asia 7% NAFTA 22% Other countries 7% Asia 8% NAFTA 24% Sales in 2011: 8.7 bn Sales in 2012: 9.7 bn 110 AG Fact Book

63 Passenger and Light Truck Tires Market Share for Passenger and Light Truck Tires Goodyear/Sumitomo Michelin North America 3 Bridgestone/Firestone Goodyear/Sumitomo Michelin Source: estimates. 1) Replacement. 2) West and Central. 3) incl. Central America/Caribbean markets. Market share of all suppliers other than top Commercial Vehicle Tires Market Share for Truck Tires Bridgestone/Firestone Goodyear/Sumitomo Michelin North America Bridgestone/Firestone Goodyear/Sumitomo Michelin Source: estimates. 1) Replacement. 2) West and Central, incl. Turkey. Market share of all suppliers other than top AG Fact Book

64 Passenger and Light Truck Tires Worldwide Passenger and Light Truck Tire Production 2012 (in million units) 10 8 Mount Vernon (US) San Luis Potosí (MX) Hefei (CN) Cuenca (EC) Camaçari (BR) 4 Alor Star / Petaling Jaya 1 (MY) Port Elizabeth (ZA) 1) Until 2004 consolidated in CVT Division. 113 Passenger and Light Truck Tires an Passenger and Light Truck Tire Production 2012 (in million units) Korbach Aachen (DE) Sarreguemines (FR) Otrokovice Puchov 14 (CZ) (SK) Timişoara (RO) Lousado (PT) 114 AG Fact Book

65 Commercial Vehicle Tires Worldwide Truck Tire Production (in million units) Mount Vernon 2 (US) Otrokovice (CZ) Puchov (SK) Cuenca (EC) 0.5 Camaçari (BR) Modipuram (IN) 0.2 Petaling Jaya (MY) 0.1 Port Elizabeth (ZA) 1) Production of bias and radial tires. 2) Including deliveries to JV partners. 115 Tires Cost of Labor at Manufacturing Sites 1 Germany 100% France 100% USA 95% Portugal 64% Mexico 59% Czech Republic 41% Brazil 35% Slovakia 35% South Africa 33% Ecuador 27% Romania 24% Malaysia 14% China 12% India 4% 0% 20% 40% 60% 80% 100% 120% 1) Based on average FX rates AG Fact Book

66 Passenger and Light Truck Tires Product Mix Improvement (in million units) (in million units) 40.5% % 1.2% % % 0.7% % % 13.2% -10.2% Winter tires worldwide High performance summer tires worldwide 2 1) OE & replacement (excl. all-season tires). 2) All summer tires and all-season tires with rim sizes of at least 17 inches. 117 Passenger and Light Truck Tires Unit Sales (in million units) (incl. Row) The Americas Asia/Pacific 1) 2007 Asia included in. 2) North America; since 2007 including Latin America. 118 AG Fact Book

67 Commercial Vehicle Tires Unit Sales (in million units) (incl. Row) The Americas Asia/Pacific 1) 2007 Asia included in. 2) North America; since 2007 including Latin America. 119 Topics A. I. at a Glance B. II. Strategy B. III. Megatrends C. IV. Corporation D. V. Market Data VI. VII. VIII. IX. X. Automotive Group Rubber Group 2. ContiTech Division Sustainability at Share & Bond Information Glossary 120 AG Fact Book

68 ContiTech Business Units and Key Products Air Spring Systems Benecke-Kaliko Group Compounding Technology Conveyor Belt Group Air suspension systems for buses, trucks and rail vehicle technology Air actuators for pneumatics/ air springs for vibration isolation Compensators Foils and synthetic leather products for automotive interior trim Customized compounds for high-quality elastomer products, functional parts, components and systems Testing services Steel cord / fabric belts Special-purpose belts Conveyor belt components Service material Elastomer Coatings Fluid Technology Power Transmission Group Vibration Control Coated fabrics Printing blankets / plates Diaphragms /- materials Gasholder diaphragms Collapsible tanks Fuel tanks Concertina walls Hoses / hose lines for: Air conditioning Fuel- & exhaust systems Heating / cooling systems Powertrain Steering / chassis Turbocharger Industrial applications V-belts Multiple V-ribbed belts Timing belts Flat belts Belt drive systems Rubber-to-metal bonded products Hydromounts Precision molded parts Blow molded parts Plastic parts 121 ContiTech Locations Worldwide 66 sites for production and R&D in 19 countries. Divisional headquarters in Hanover, Germany. Czech Rep. Chomutov France Andrezieux Gennevilliers Le Chambon Lyon Greece Vólos Hungary Serbia Makó Subotica Nyiregyhaza Veliki Crljeni Szeged Slovakia Dolné Vestenice Partizanske Puchov Vác Romania Carei Nadab Timişoara Turkey Bursa UK Ashington Grimsby Thetford Wigan Germany Aachen Bad Blankenburg Dannenberg Eislingen Hamburg Hanover Hann. Münden Hedemünden Herzogenaurach Hoppegarten Karben Korbach Moers Northeim Oedelsheim Oppenweiler Salzgitter Waltershausen Russia Moscow China Changchun Changshu Changzhi Ninghai Shanghai Tianjin Zhangjiagang USA Auburn Hills Collierville Houston Somersworth South Korea Busan Chonan Jeonju Seonghwan-Eup Mexico Montemorelos Monterrey San Luis Potosí Tlalnepantla Brazil Ponta Grossa India Calcutta New Delhi Japan Kurashiki Chile Santiago de Chile Production, R&D Cooperation, Joint Ventures 50% 122 AG Fact Book

69 ContiTech Key Figures (in millions) Sales 3, , ,711.8 EBITDA in % of sales EBIT in % of sales EBIT adjusted in % of sales Operating Assets (average) 1, , ,159.9 ROCE (average) in % R, D & E expense in % of sales Capex in % of sales Depreciation & amortization in % of sales thereof impairment ) EBIT before amortization of intangible assets from PPA, consolidation and special effects; sales before changes in the scope of consolidation. 2) Capex including software. 3) Excluding write-downs of investments. 123 ContiTech Sales by Region Germany 38% (excluding Germany) 34% Germany 38% (2010: 26%) (excluding Germany) 35% Germany 34% (excluding Germany) 32% Other countries 7% Asia 14% NAFTA 7% Other countries 6% Asia 13% NAFTA 8% Other countries 8% Asia 16% NAFTA 10% Sales in 2010: 3.1 bn Sales in 2011: 3.6 bn Sales in 2012: 3.7 bn 124 AG Fact Book

70 ContiTech A Leading Global Supplier in its Business Units Fluid Technology Conveyor Belt Group Power Transmission Group Benecke-Kaliko Group Vibration Control Compounding Air Spring Systems Elastomer Coatings Product line Automotive hoses and hose lines Oil and marine Conveyor belts Multiple V-ribbed belts and timing belts Foils for automotive interiors Chassis sealing system Engine mounts for trucks Compounds Truck and bus air springs Railway systems Printing blankets Life raft and protective gear materials 125 ContiTech Sales and Employees 2012 Sales (in millions) Employees Fluid Technology 1,358 14,369 Conveyor Belt Group 616 3,846 Power Transmission Group 402 2,562 Benecke-Kaliko Group 357 1,747 Vibration Control 321 2,232 Compounding Air Spring Systems 266 1,462 Elastomer Coatings ContiTech 3, , ) Including other operations. 2) Including service functions. 126 AG Fact Book

71 Topics A. I. at a Glance B. II. Strategy B. III. Megatrends C. IV. Corporation D. V. Market Data VI. VII. VIII. IX. X. Automotive Group Rubber Group Sustainability at Share & Bond Information Glossary 127 Sustainability at Our Policies and Guidelines CSR Guideline Our basic values and principles Environmental Responsibility Social Responsibility Corporate Governance ESH 1 Policy implements worldwide the responsibility for protecting the environment Code of Conduct personal ethics, conflicts of interest OUR BASICS the guidelines, codex and basic principles of our business activities Corporate Governance Policy to further the responsible management of the company focused on value creation Risk Report overview of our Risk Management OUR BASICS Our corporate guidelines 1) Environment, Security, Safety and Health. 128 AG Fact Book

72 Environmental Responsibility Corporate Environmental Key Performance Indicators CO 2 emissions 1 (independently verified by KPMG) Energy consumption direct (mn tonnes) per tonne of product (tonne) indirect (mn tonnes) mn GJ (gigajoule) per tonne of product (GJ) Water consumption Waste production mn m 3 per tonne of product (m ) thousand tonnes per tonne of product (kg) recycling per tonne of product (kg) 1) Changes to previous figures are based on changes in the scope of the survey. 2) targets. 129 Social Responsibility Responsible Employer Equal Opportunity Diversity Project to support women A talent pool which incorporates all corporate divisions The formation of career support networks Female mentoring program Female ambassadors Working time models such as part-time, home office, job sharing Support with combining job and family The specification of target corridors for the proportion of women in management functions in the future Demographics Program A holistic concept designed to address the far-reaching changes as a result of the expected demographic trend focuses on four topics: workplace design maintaining employee health for a longer working life targeted qualification measures motivation for a longer professional life Award of the Apriori-business solution AG for s Demography Management 130 AG Fact Book

73 Social Responsibility Corporate Memberships (1) is a participant of the United Nations Global Compact. We have thus committed ourselves to its ten principles in the areas of human rights, labor, environment and anti-corruption. The Charter of Diversity recognizes diversity as an opportunity. The signatory companies commit to diversity, fairness and mutual respect. The aim is to create a working environment that is free of prejudice and discrimination. The Luxembourg Declaration on Workplace Health Promotion (WHP) promotes health and occupational safety in the companies of the member states of ENWHP 1. The declaration encourages members to attach greater importance to WHP. The World Business Council for Sustainable Development (WBCSD), founded in 1995, is a frontrunner and catalyst on the path to sustainable development. Source: (German Federal Government Commissioner for Migration, Refugees and Integration); luxemburger-deklaration.de. 1) an Network for Workplace Health Promotion. 131 Social Responsibility Corporate Memberships (2) ECPI is a leading Rating and Index company dedicated to ESG Research since is a constituent of the ECPI Ethical EMU Equity 1 as one of the Global Equity Indices. The Carbon Disclosure Project (CDP) is a non-profit organization that aims to create more transparency regarding environmentally damaging emissions. has been answering CDP s extensive questionnaire since In 2012, we advanced our way into the Carbon Disclosure Leadership Index. The an Road Safety Charter is an appeal and impetus for all groups in society to make a concrete contribution to improving traffic safety in. The goal is to reduce the number of fatalities on the roads of the an Union (EU) by ) 150 top capitalized companies in the Economic and Monetary Union market which are eligible investments. 132 AG Fact Book

74 Corporate Governance Corporate Bodies Annual Shareholders Meeting (ASM) Shareholders exercise their voting rights (1 share = 1 vote) Chairman s Committee & Mediation Committee Audit Committee Nomination Committee election / ratification Chairman of the Supervisory Board reporting Supervisory Board Approval of certain management decisions of material importance to the company 20 members (in accordance with the Mitbestimmungsgesetz (German Co-determination Act)): 10 elected by ASM 10 elected by such employees of AG and its subsidiaries who are employed in Germany taking into account resolutions of ASM appoints, supervises, advises Executive Board Chairman of the Executive Board Solely responsible for the management of the company 8 members ratification reporting Corporate Governance is the responsibility of the company s corporate bodies. AG s Corporate Governance Principles are closely modeled on the recommendations and suggestions of the German Corporate Governance Code. Source: Based on information in Annual Report AG 2012 (pp 32-35). 133 Topics A. I. at a Glance B. II. Strategy B. III. Megatrends C. IV. Corporation D. V. Market Data VI. VII. VIII. IX. X. Automotive Group Rubber Group Sustainability at Share & Bond Information Glossary 134 AG Fact Book