Developing the future.

Business Area Components Technology Capital Market Day 2014 Dr. Karsten Kroos, CEO December 11th, 2014

Capital Market Day 2014 December 11th, 2014 Business Area Components Technology 2 Developing the future.

Components Technology within ThyssenKrupp

Sales share1

1. Share of TK sales FY 2013/14

IS AM

MX

SE ET

Components Technology

14%

We stand for…

o Mission critical components for global

automotive and industry customers

o Steady stream of innovations to

provide solutions for leading OEMs

o Best-in-class processes and global

production footprint

o Profitable growth and continuous

improvement

€6.2 bn sales – 28,941 employees

Capital Market Day 2014 December 11th, 2014 Business Area Components Technology 3 Developing the future.

Leading Market Positions

Light vehicles Heavy duty

vehicles Construction equipment

Wind power

1 out of 5 track-driven civil

vehicles is equipped with our products

9 out of TOP 10 wind turbine

manufacturers rely on Components

Technology

9 out of 10 premium light

vehicles are driven by our components

1 out of 3 heavy duty vehicles is powered by our

crankshafts

Copyright of pictures: BMW AG, Daimler AG, Liebherr-International Deutschland GmbH (from left to right)

Capital Market Day 2014 December 11th, 2014 Business Area Components Technology 4 Developing the future.

Mission Critical Components in Chassis, Powertrain and for Industrial Applications (Examples)

Our products for renewable energy

Seamless rolled rings

Slewing bearings Slewing bearings/

turntables

Undercarriage components

Crankshafts

Camshafts

Our products for construction equipment

Crankshafts

Camshafts Axle

assembly

Springs and stabilizers

Steering

Dampers Crankshafts

Camshafts Con rods

Our products in light vehicles Our products in heavy duty vehicles

Capital Market Day 2014 December 11th, 2014 Business Area Components Technology 5 Developing the future.

Product Portfolio Components Technology Sales share in %

Powertrain

Industry

Chassis

20%

20%

60%

Dampers

Axle assembly

Forged crankshafts and drivetrain components

Undercarriage systems and components

Steering

Springs and Stabilizers

Assembled camshafts

Seamless rolled rings and slewing bearings

Capital Market Day 2014 December 11th, 2014 Business Area Components Technology 6 Developing the future.

Further automotive customers

Further industry customers

Our Customers: Leading Global Players

Sales FY 13/14 €6.2 bn

Capital Market Day 2014 December 11th, 2014 Business Area Components Technology 7 Developing the future.

Production sites

Global share

Europe

Sales

3.4

Rest of Europe

Germany

Employees

15,500

55% 54%

32% 29%

Sales

1.9

Employees

8,400

Americas

Sales

0.8

Employees

4,900

13% 17%

Asia

Note: Employees as of Sep 30, 2014; external sales FY 2013/14 in €bn; local companies

Our Production Network: Prepared for Growth Customer proximity is key

~25 facilities in Americas ~40 facilities in Europe ~20 facilities in Asia

Capital Market Day 2014 December 11th, 2014 Business Area Components Technology 8 Developing the future.

Our Strength: Integrated Value Chain Focus on efficient, robust processes and innovative solutions

Efficiency & quality

o Process competence (low-/high-volumes)

o Automation

o Standardization

o Material competence

o Forging

o Standardization

Material processing Machining & assembly

Innovative solutions

o Prototyping

o Testing

Engineering

o Just-in-time delivery

o Electronic integration

System integration

Capital Market Day 2014 December 11th, 2014 Business Area Components Technology 9 Developing the future.

Key Figures 2013/14

Sales

EBIT adj.

EBIT adj. %

Employees

in million €

BCF1

FY 13/14

6,172

269

4.4%

28,941

16

5,712

240

4.2%

27,737

78

FY 12/13

Sales development

+8%

EBIT adj. development

+12%

Δ Outlook

FY 14/15

Sales increase

EBIT adj. improvement

1. BCF (Business Cash Flow) = FCF before interest, tax and divestments = EBITDA +/- ∆ NWC – Capex +/- Other

Capital Market Day 2014 December 11th, 2014 Business Area Components Technology 10 Developing the future.

Overall Growth in Major Markets Expected

Produced units1

[Mio #] Sold units3

[k #] Connected capacity4

[GW] Produced units2

[Mio #]

Light vehicles Heavy duty vehicles Construction equipment Wind power

1. Volume 2014 IHS LV global production (09/2014) 2. Volume 2014 IHS HV global forecast (08/2014) 3. Volume 2014 Off-Highway Research until 2017 (08/2014) 4. Volume 2014 MAKE Consulting (Q3/2014) Copyright of pictures: BMW AG, Daimler AG, Liebherr-International Deutschland GmbH (from left to right)

+3%

18 17 16 15 14 13

82 +4%

18 17 16 15 14 13

3

15 14 13

452 +2%

17 16

+3%

18 17 16 15 14 13

34

% Compound annual growth rate

Capital Market Day 2014 December 11th, 2014 Business Area Components Technology 11 Developing the future.

Mission Critical Solutions for Sustainable Mobility

2020 CO2 targets

<95 g/km

115 g/km

105 g/km

107 g/km

Internal combustion engines Hybrids Electric vehicles

Our products (examples) Our products (example)

1. Battery electric vehicle

Otto Diesel Plug-in Hybrid

Range Extender Fuel Cell BEV1

Optimization levers for internal combustion engines Optimization lever

Variability Friction

reduction Downsizing

Weight reduction

Range extension

Presta² cylinder head

module

High performance crankshaft

Eccentric shaft

Rotor shaft

Capital Market Day 2014 December 11th, 2014 Business Area Components Technology 12 Developing the future.

Profitable Growth in Emerging Markets – Example China

1,000

2,000

Sales

(€m)

Capex

(€m)

~25% Share1

200

100

~5%

>30% CAGR

Employees 4,000

8,000

05/06 13/14 Midterm Chassis Powertrain Industry

Camshafts, Dalian

Springs & Stabilizers, Liaoyang

Undercarriages, Shanghai

Steering, Changchun

Bearings, Xuzhou

Bearings, Qingdao

Springs & Stabilizers, Chengdu SOP 2013

Steering & Damper, Shanghai SOP 2014

Forged & Machined Comp., Nanjing SOP 2013

Camshafts, Changzhou SOP 2014

>15% CAGR

1. CAPEX share of total BA CT

Capital Market Day 2014 December 11th, 2014 Business Area Components Technology 13 Developing the future.

InCar®plus – Solutions for Major Automotive Trends

ThyssenKrupp R&D spend (in million €)

+35%

708

2013/14 2010/11

524

R&D and innovation for sustainable technological differentiation

Highlights 30 projects with over 40 individual solutions Lightweight, cost-competitive, green,

high-performing

Body Innovative steel

solutions for lightweight design

Powertrain Optimized internal

combustion engines and electric drives

Chassis and Steering Comfort and safety –

more functionality and lightweight design Column-EPS

Hybrid cylinder head module

LITECOR®

Capital Market Day 2014 December 11th, 2014 Business Area Components Technology 14 Developing the future.

Driving Best-in-Class Processes in all our Plants

Regular performance scans

EBIT contribution already in

FY 2013/14

Expert network

Plant optimization program

Common KPI-system Improvement

programs in all plants completed within next two

years

Capital Market Day 2014 December 11th, 2014 Business Area Components Technology 15 Developing the future.

Target Current

6-8%

Pacing to Margin Increase and Topline Growth

Performance Growth

EBIT adj. margin (%)

pace

Radical improvement of appearance and perception

Step change in quality and cost position

Wave of innovations for growth markets

Streamlining of processes and structures

4.4%

Capital Market Day 2014 December 11th, 2014 Business Area Components Technology 16 Developing the future.

Disclaimer ThyssenKrupp AG

“The information set forth and included in this presentation is not provided in connection with an offer or solicitation for the purchase or sale of a security and is intended for informational purposes only.

This presentation contains forward-looking statements that are subject to risks and uncertainties. Statements contained herein that are not statements of historical fact may be deemed to be forward-looking information. When we use words such as “plan,” “believe,” “expect,” “anticipate,” “intend,” “estimate,” “may” or similar expressions, we are making forward-looking statements. You should not rely on forward-looking statements because they are subject to a number of assumptions concerning future events, and are subject to a number of uncertainties and other factors, many of which are outside of our control, that could cause actual results to differ materially from those indicated. These factors include, but are not limited to, the following: (i) market risks: principally economic price and volume developments, (ii) dependence on performance of major customers and industries, (iii) our level of debt, management of interest rate risk and hedging against commodity price risks; (iv) costs associated with, and regulation relating to, our pension liabilities and healthcare measures, (v) environmental protection and remediation of real estate and associated with rising standards for real estate environmental protection, (vi) volatility of steel prices and dependence on the automotive industry, (vii) availability of raw materials; (viii) inflation, interest rate levels and fluctuations in exchange rates; (ix) general economic, political and business conditions and existing and future governmental regulation; and (x) the effects of competition. Please note that we disclaim any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise.”