TOC Container Supply Chain Europe 2013 25 June 2013, Rotterdam
Agenda Nikolai Setzer: Continental Customer in Focus Andreas Esser: Commercial Specialty Tires Strategy & Growth Michael Märtens: ContiTerminal Features & Benefits Questions & Answers 2 Continental AG
Continental Customer in Focus Nikolai Setzer Member of the Executive Board and Head of Tire Division
Continental Corporation Focus on Customers and Solutions Our Vision: Highly developed, intelligent technologies for mobility, transport and processing make up our world. We want to provide the best solutions for each of our customers in each of our markets. All of our stakeholders will thus come to recognize us as the most value-creating, highly reliable and respected partner. 4 Nikolai Setzer, Continental AG
Continental Corporation 291 Locations in 46 Countries Europe 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 *Headquarters in Hanover Africa Republic of South Africa Tunisia Asia China India Indonesia Japan Malaysia Philippines Singapore South Korea Sri Lanka Taiwan Thailand Australia Status: January 2013 5 Nikolai Setzer, Continental AG
Denso Robert Bosch Continental Bridgestone Aisin Seiki Magna Michelin Hyundai Mobis Faurecia JCI Continental Corporation One of the Top 3 Automotive Supplier worldwide Top 10 Global OEM Suppliers 40,000 35,000 2012 Sales (in millions) 30,000 25,000 20,000 15,000 10,000 5,000 0 Source: Company filings. Calendarized to December year-end. Based on average currency exchange rates 2012. 1) Robert Bosch only includes Automotive Technology division. 2) Continental 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. 6 Nikolai Setzer, Continental AG
Continental Corporation The Executive Board 7 Nikolai Setzer, Continental AG
Continental Corporation Five strong Divisions Automotive Group Rubber Group Chassis & Safety Powertrain Interior Tires ContiTech Electronic Brake Systems Engine Systems Instrumentation & Driver HMI PLT, Original Equipment Air Spring Systems Hydraulic Brake Systems Transmission Infotainment & Connectivity PLT, Repl. Business, EMEA Benecke-Kaliko Group Passive Safety & Sensorics Hybrid Electric Vehicle Body & Security PLT, Repl. Business, The Americas Conveyor Belt Group Advanced Driver Assistance Systems (ADAS) Chassis Components Sensors & Actuators Fuel Supply Commercial Vehicles & Aftermarket PLT, Repl. Business, Asia Pacific Commercial Vehicle Tires Two Wheel Tires Elastomer Coatings Fluid Technology Power Transmission Group Vibration Control Other Operations PLT Passenger and Light Truck Tires 8 Nikolai Setzer, Continental AG
Continental Corporation Overview 2012 Sales by division in % Since 1871 with headquarters in Hanover, Germany Sales of 32.7 billion Tires 29% 11% ContiTech 169,639 employees worldwide Interior Chassis & Safety 269 locations in 46 countries 20% 19% 21% One of the top 3 in the automotive supplier industry Powertrain Status: December 31, 2012 9 Nikolai Setzer, Continental AG
Continental Corporation Commercial Specialty Tires Megatrends Environment Low Rolling Resistance Information For Intelligent Transportation Systems CO 2 targets EU, US & China (g/km) 219 185 181 167 142 144 131 130 125 117 95105 Fleet Operations Traffic Mgmt. Data Archiving Maintenance Mgmt. 2010 2015E 2020E USA China EU Japan Source: ICCT Int. Council of Clean Transportation, Global Passenger Vehicle FE/GHG regulations (1/2011) Safety For Zero Accidents Efficiency For Lowest Total Cost of Ownership (TCO) 20% Tire Purchase Price 80% Fuel Consumption Mileage Tire Failure Downtime Maintenance Cost Safety Mounting Cost 10 Nikolai Setzer, Continental AG
Megatrend Efficiency Example: Tire Pressure Monitoring System 11 Nikolai Setzer, Continental AG
Megatrend Safety & Megatrend Environment Example: Automated Driving & Electromobility 12 Nikolai Setzer, Continental AG
Reality in Ports Example: Automated Driving & Electromobility 13 Nikolai Setzer, Continental AG
Continental s Competence for Ports Continental has the expertise to provide comprehensive solutions to ports We can help to improve safety at terminals and to lower the total cost of ownership (TCO) of port operators The broad range of solutions makes Continental unique in the tire market We invite port customers to challenge us and co-develop with us new solutions for their business success 14 Nikolai Setzer, Continental AG
Commercial Specialty Tires Strategy & Growth Dr. Andreas Esser Head of Business Unit Commercial Vehicle Tires
Continental Commercial Vehicle Tires (CVT) Vision 2025 Global CVT company of choice among the top premium manufacturers with the best mutual value creation and profitability, recognized as most reliable partner through our excellent performance and via providing preferred customer solutions. 16 Dr. Andreas Esser, Continental AG
Market for Commercial Specialty Tires A Growing Segment Ind. Material Handling OTR Material Handl. Underground Mining Aircraft Construction Agriculture Surface Mining Worldwide market 2012 Commercial Specialty Tires 15.2 bn. Source: Company reports & own estimations. 17 Dr. Andreas Esser, Continental AG
Continental Commercial Specialty Tires Key Achievements Leading position in specialty tires industry Present in 68 locations in 38 countries worldwide With the brand Simex active in the port business for more than a decade Today, having a frame agreement with APM Terminals worldwide Most diversified product offer in the specialty tire market, having the three tire technologies available in the market: Cross-ply, Radial and Super-Elastic Market leadership in quality and performance of offered products, proven to offer lowest TCO in the market 18 Dr. Andreas Esser, Continental AG
Continental Commercial Specialty Tires Sales & Growth Pillars Selective growth in Commercial Specialty Tires (CST) We build our success upon: Providing solutions to the end customer Examples: airport, harbor, underground mining Mileage contract offer 19 Dr. Andreas Esser, Continental AG
Historic and Projected Container Handling Volumes 1400 1200 Standard Containers (TEU) moved [Mill.] 1000 800 600 400 200 0 20 Dr. Andreas Esser, Continental AG
Commercial Specialty Tires Solutions for Customers at Ports Accelerated market growth: Until 2024, container shipment will double to 1.200 mn. TEU 1 mn. TEU equals a tire consumption of 1 mn. (twenty-foot equivalent unit) Continental: Launch of our new port portfolio Increase of market share in ports Continental Dealership Partner Port 21 Dr. Andreas Esser, Continental AG
ContiTerminal The Complete Range New Family Name Vehicle Vehicle Picture Tire Size Tire Picture Straddle Master Straddle Carrier 16.00-25 E4 Container Master Crane Master Terminal Master Trailer Master Reach Stacker ECH Heavy Forklift RTG MHC AGV Terminal Tractor Terminal Trailer 12.00-24 E4 14.00-24 E4 16.00-25 E4 18.00-25 E4 18.00-33 E4 14.00-24 E3 18.00-25 E3 21.00-25 E3 21.00-35 E3 300/80 R 22,5 12.00 R20 300/80 R22,5 10.00-20 12.00-20 22 Dr. Andreas Esser, Continental AG
ContiTerminal Features & Benefits Dr. Michael Märtens Managing Director of Business Unit Commercial Specialty Tires
ContiTerminal Understanding Container Terminals Safety Productivity Innovation Cost Competitiveness 24 Dr. Michael Märtens, Continental AG
ContiTerminal Container Terminals Main Expenses by Type 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% Fuel Tires Oil Wired Cables 25 Dr. Michael Märtens, Continental AG
ContiTerminal Main Focus: Safety 26 Dr. Michael Märtens, Continental AG
ContiTerminal Revolution 27 Dr. Michael Märtens, Continental AG
ContiTerminal Revolution V-Ply is a new technology which combines the advantages of both worlds: Radial Low Rolling Resistance Long Lifetime Weak Bead Endurance Weak Sidewall Low Stability High Production Cost Cross-Ply High Rolling Resistance Medium Lifetime Good Bead Endurance Strong Sidewall High Stability Medium Production Cost 28 Dr. Michael Märtens, Continental AG
Thank you!