GEO Netherlands Chapter Event

1. DRAFT GEO Netherlands Chapter Event Siemens Equity Strategy

2. Agenda The Siemens Equity Strategy Plan Design Communication Equity Culture Enhancement Project

3. Siemens – sectors and divisions Siemens AG • Employees: 370,000 • Revenue (in Mio. €): 78,300 • Income (in Mio. €): 5,200 • Global powerhouse in electricalengineeringandelectronics • working to develop products, design and install complex systems and projects, and tailor a wide range of services for individual requirements. Energy Healthcare Industry Infrastructures & Cities Divisions • Fossil Power Generation • Wind Power • Solar & Hydro • Oil & Gas • Energy Service • Power Transmission Divisions • Imaging & Therapy Systems • Clinical Products • Diagnostics • Customer Solutions Divisions • Industry Automation • Drive Technologies • Customer Services Divisions • Rail Systems • Mobility and Logistics • Low and Medium Voltage • Smart Grid • Building Technologies • OSRAM 1 • Financial Information • Employees: 86,000 • Revenue (in Mio. €): 27,500 • Income (in Mio. €): 2,200 • Financial Information • Employees: 51,000 • Revenue (in Mio. €): 13,600 • Income (in Mio. €): 1,800 • Financial Information • Employees: 105,000 • Revenue (in Mio. €): 20,500 • Income (in Mio. €): 2,500 • Financial Information • Employees: 89,000 • Revenue (in Mio. €): 17,600 • Income (in Mio. €): 1,100 1) In fiscal2011, Siemens announced its intention to publicly list OSRAM and, as an anchor shareholder, to hold a minority stake in OSRAM AG over the long term

4. "I've still always found that it's the greatest waste not to give those involved in managing businesses a share of the results." Werner von Siemens, 1868 "I will not sell the future for short-term profit!" Werner von Siemens, 1884

5. The Siemens Equity Culture Peter Löscher has laid the groundworkfor a living Equity Culture embedded in the overall company culture with the objective to: • let employees share in the company‘s development • foster entrepreneurship • strengthen the motivation and engagement by letting the employees participate • assure long-term retention • recruit professionals • Offering various share programs with more than 148,000 participants worldwide, Siemens already holds a leading position in the field of equity-based compensation and is striving to be a Thought Leader.

6. Living the Equity Culture Equity Culture fosters employees to act as one Siemens. Local attractiveness is key success factor for living Equity Culture. Being a role model Act as One Siemens Spreading Equity Culture into the organization Equity as global brand Foster sustain-able behaviour Support entre-preneurial spirit Tone from the Top Living the Equity Culture Support mobile high potentials Retain & engage employees Support long-term thinking Act as One Siemens Equity as attractive HR instrument Market competitive benefit system Strategic HR com-pensation element Element of local employer branding Accordance with local market best practice Perception in the War for talents

7. Tailor-made communication strategy to live a sustainable Equity Culture Tone from the Top Act as One Siemens Commitment Top Senior Management e.g. CEO Trailer, Equity Culture booklet Spread the vision of a global Siemens Equity Culture Toolbox • Template cover letter • Key messages • Poster, Banner • Key visual Media package • Web-based training • Brochures • Equity Trailer GlobalCommunication Equity asglobal brand Tailor-made communication material in order to meet local requirements Equity as attractiveHR instrument Local Communication • Local brochure/flyer • Face-to-face communication • Local Management team meetings • e.g. • Road shows • Local, individual trailer • Town-hall-Meetings • External, local communication

8. Plan Design

9. Siemens’ Share Programs Share Ownership Guidelines Performance Oriented Stock Awards Share Matching Plan CEO Special Allocation

10. Share Matching Plan 2013Key Messages Please note: all figures including OSRAM Population and Country Scope Share Matching Plan 2013 – 107,000 elections 380,000 employees in 60 countries were eligible to participate in the Share Matching Plan 2013. • Over 107.000 employees elected to participate in the Share Matching Plan 2013 • This represents an increase of 5% compared to the previous year´s election 380,000 380,000 347,000 335,000 2009 96,000 180,000 2010 88,000 2011 99,000 2012 102,500 +5% 2013 107,000 2009 (7 countries) 2010 (40 countries) 2011 (54 countries) 2012 (59 countries) 2013 (60 countries) 148,000 Siemens employees are part of the Siemens equity culture Highlights Share Matching Plan 2013 • Share Matching Plan 2013 implemented in 1 additional country (UAE). • Equity Culture Enhancement Project for optimizing local communication measures and establishing a living equity culture in the whole organization.- CZ: Participation rate increase of 17,6 % - SG: Constant participation rate although negative trend in Asia visible • MIP participation rate increase of 11% on a global level • 9% increase of the participation rate in total in Central Eastern Europe • Constant increase of the participation rate in Germany- BAP: + 7%- MIP: + 12% • Constant positive trend in Middle East Since 2009 the participation in the Share Matching Plan is constantly increasing. World- wide about 148,000 Siemens employees are part of the Siemens equity culture by owning shares from one of the Siemens share plans. This is 54% more than 2009. 2009 96,000 2010 115,000 2011 125,000 2012 137,000 +8% 2013 148,000

11. Communication

12. Global Equity Culture Communication Toolbox The global Equity Culture Communication Toolbox shows two different communication approaches. The direct, meaning fact to face communication and the indirect, media driven communication. Direct / face to face communication methods Indirect / media driven communication methods • Personalized Emails • Outline attractive benefit • Individualized Email communication to all eligible employees in the respective country • Joint responsibility between GSP and local HR • Brochures • Target-oriented and cost efficient • Provision of individual brochures, posters and banners adjusted to the local requirements (content, key visuals etc) • Joint responsibility: Local HR and GSP • Local Management Communication • Tone from the top • Knowledge Transfer regarding compensation structure and Equity Based Compensation • Face-to-face meetings • External Local Communication • Siemens as Employer of Choice • Articles in different local newspapers (trade press) • Local conferences and congresses • Trailers • Spread the vision of the local Equity Culture • Individual Emotions Trailer • Video Statement of local management • CEO/CFO Interviews • Buy in of major stakeholders • Interviews with country CEOs/CFOs regarding Equity Culture and Equity Based Compensation • Posters • Target-oriented and cost efficient • Provision of individual brochures, posters and banners adjusted to the local requirements (content, key visuals etc) • Joint responsibility: Local HR and GSP • Banners • Target-oriented and cost efficient • Provision of individual brochures, posters and banners adjusted to the local requirements (content, key visuals etc) • Joint responsibility: Local HR and GSP

13. Global Equity Culture Communication ToolboxDirect Communication Direct communication The global Equity Culture Communication Toolbox shows two different communication approaches. The direct, meaning fact-to-face communication and the indirect, media-driven communication. • Local Management Communication • Tone from the top • Knowledge Transfer regarding compensation structure and Equity Based Compensation • Face-to-face meetings CEO/CFO Interviews Buy in of major stakeholders

14. Global Equity Culture Communication ToolboxIndirect Communication Indirect communication The global Equity Culture Communication Toolbox shows two different communication approaches. Personalized Emails Outline attractive benefit Brochures Target-oriented and cost efficient External Local Communication Siemens as Employer of Choice • Trailers • Spread the vision of the local Equity Culture Posters Target-oriented and cost efficient Banners Target-oriented and cost efficient

15. Trailer In addition to the “regular communication material” an individual local emotions trailer can be produced adjusted to your special local needs. • Current global Equity Culture Trailer • Theme and content - “That’s why we hold a part of it” - “Proud to be Siemens”- “Siemens Equity Culture” • Media channel- local country websites- youtube.com • MusicEmotional music that transports the message of being proud to own a part of Siemens by being a shareholder • MotivesSiemens employees achieving daily greatness

16. Equity Culture Enhancement Project

17. Equity Culture Enhancement Project • A communication mix designed for local needs under the global umbrella is supporting our sustainable company´s Equity Culture. Project Target Measures • Implementation of a communication mix that… • establishes a global living and sustainable Equity Culture • is local and target group oriented • supports the global branding • is cost efficient and effective • Localized Communication in Pilotcountries, e.g.: • Country CEO Video Statement • Road Shows • Localized Poster and Roll Ups • Employee Survey Project Setup Singapore Czech Republic • 6 Pilotcountries were selected with three different communication approaches of intensity Module 1 Low intense communication Module 2 Medium intense communication Module 3 High intense communication Mexico Malaysia Brazil Austria • The Communication approach has a significant impact on participants. A perfect communication mix aligned with local communication needs increases the awareness and the understanding. • Nevertheless a continuesly communication is key for success. Result

18. Global Survey Analysis Highlights Influence on general attitude Influence on process design • General attitude towards shares influences awareness and plan participation in a positive way • Employees who invest in shares (not necessarily in Siemens shares) have the highest awareness and participation rates • Negative general attitude towards investment in shares has only little influence on awareness whereas the negative impact on participation is high • Employees are aware and participate in the SMP independant from how they evaluate the risk of investing in Siemens shares (high or low risk) • Influence of process design is heterogenous • Process parts which are easy to understand lead mostly to high awareness and participation rates • Evaluating the process as difficult to understand has a negative influence on awareness, but only little influence on participation compared to evaluating it as easy to understand Comparison first and second survey Influence on communication • Second survey shows strong increase of awareness • Strong increase of awareness is confronted by a little increase of participation • Strong increase of awareness in MX and CZ, whereas in total employees from SG and CZ are most aware of the plan • Little increase of participation however participating employees act as multipliers for the plan communication • Supports findings from the first survey that participation is mainly influenced by a positive general attitude towards shares • Communication has impact on behavior, particularly on awareness • Election statistic over time for SG and CZ in focus show an impact of communication on elections • According to the second survey, communication tools (Intranet, Events and Print media) increased the awareness of employees

19. " I take it as a given that our employees should be offered, beyond their daily work, the possibility to invest in the long-term future development of the our company. Through our share programs, we encourage our employees to take a stake in the company as responsible shareholders. " Peter Löscher, 2010