Schaeffler Capital Market Presentation Mobility for · PDF fileSchaeffler Capital Market Presentation "Mobility for tomorrow" ... UBA, IFEU 3. Page 18 ... Investor Relations

Schaeffler Capital Market Presentation

"Mobility for tomorrow"

January 2015

Page 2 · Schaeffler Group · Capital Market Presentation · January 2015

Disclaimer

This presentation contains forward-looking statements. The words "anticipate", "assume", "believe", "estimate", "expect", "intend","may", "plan", "project", "should" and similar expressions are used to identify forward-looking statements. Forward-lookingstatements are statements that are not historical facts; they include statements about Schaeffler Group's beliefs and expectationsand the assumptions underlying them. These statements are based on plans, estimates and projections as they are currentlyavailable to the management of Schaeffler AG. Forward-looking statements therefore speak only as of the date they are made, andSchaeffler Group undertakes no obligation to update any of them in light of new information or future events.

By their very nature, forward-looking statements involve risks and uncertainties. These statements are based on Schaeffler AGmanagement's current expectations and are subject to a number of factors and uncertainties that could cause actual results to differmaterially from those described in the forward-looking statements. Actual results may differ from those set forth in the forward-looking statements as a result of various factors (including, but not limited to, future global economic conditions, changed marketconditions affecting the automotive industry, intense competition in the markets in which we operate and costs of compliance withapplicable laws, regulations and standards, diverse political, legal, economic and other conditions affecting our markets, and otherfactors beyond our control).

This presentation is intended to provide a general overview of Schaeffler Group’s business and does not purport to deal with allaspects and details regarding Schaeffler Group. Accordingly, neither Schaeffler Group nor any of its directors, officers, employees oradvisers nor any other person makes any representation or warranty, express or implied, as to, and accordingly no reliance shouldbe placed on, the accuracy or completeness of the information contained in the presentation or of the views given or implied. NeitherSchaeffler Group nor any of its directors, officers, employees or advisors nor any other person shall have any liability whatsoever forany errors or omissions or any loss howsoever arising, directly or indirectly, from any use of this information or its contents orotherwise arising in connection therewith.

The material contained in this presentation reflects current legislation and the business and financial affairs of Schaeffler Groupwhich are subject to change and audit.


in EUR mn

Number of patent registrations in Germany1)

1 Schaeffler at a glanceSchaeffler – A leading technology group

1) Incl. Germany, Western, Southern and Eastern Europe, Middle East, Africa, Russia and India

Schaeffler Group at a glance

Sales by segment Sales by region

73% Automotive

27%Industrial

58% Europe¹)11%Greater China

Asia/Pacific10%

21%Americas

Number of patent registrations in Germany1)

2010

CAGR +11%

9.5

2011

7.3

2009

11.110.7

2013

11.2

2012

Strong sales growth from 2009 - 2013in EUR bn

4 Leading manufacturer of high-precision componentsand systems for automotive and industrialapplications

4 Global footprint with approx. 82,000 employees inmore than 50 countries

4 Above industry average profitability andrevenue growth

4 Strategic participation in Continental AG


in EUR bn

EBIT and EBITDA 2004 - 20131)

1 Schaeffler at a glanceA strong history of above average growth

1) 2004-2005 according to German GAAP, 2006-2013 according to IFRS

11.2

2012

11.1

2011

10.7

2010

9.5

2009

7.3

2008

8.9

2007

9.0

2006

8.3

2005

7.9

2004

7.3

CAGR +5%

2013

0.81.0 1.1 1.1 1.0

0.7

1.51.7

1.4 1.4

2.1

1.7

2007 2010

2.2

20132)2012

2.0

2011

2.1

2009

1.1

1.7

20082006

1.7

2005

1.5

2004

1.4

Development of sales 2004 - 20131)

in EUR bn

8.4% -1.2% -17.6% 29.4% 12.6%7.2% 8.7% 4.7%

Sales growth

4.0% 0.9%

EBITDA margin

19.4% 19.4% 15.0% 22.1% 21.0%19.0% 19.5% 19.9%EBIT margin

12.6% 11.7% 6.1% 15.9% 15.8%10.8% 12.2% 12.9%

18.8%

12.7%

EBIT EBITDA

18.4%

12.6%

2) Adjusted EBIT and EBITDA


Transmission Systems

Chassis Systems

Engine Systems

Aftermarket

Production Machinery

Energy and Raw Material

Aerospace

Mobility

Aftermarket

1 Schaeffler at a glanceTwo divisions with top three positions in core market sectors

Automotive Industrial


1 Schaeffler at a glanceAutomotive – Broad mix of components and systems


Yoketype andstud typetrackrollers Axial/radial roller

bearingswith an outsidediameter of up to4250 mm(up to 12000 mmavailable onspecial request)

Smallest ball bearingwith a 1 mm inside diameter

Sphericalplainbearings

Cylindricalrollerbearingswithdisc cage

Radialinsertballbearings

Needlerollerbearings

Linearguidancesystems

MainspindlebearingsSpherical

rollerbearings

Taperedrollerbearings

Cage-guidedcylindricalcylindricalrollerbearings

Directdrives

INA/FAG catalog with 40,000 itemsRotary tablebearings withmeasuringsystem

Enginebearings

Ballrollerbearings

Housings

The Industrial division delivers solutions and services with around 225,000 products for more than 40,000 customersin over 60 sectors worldwide

1 Schaeffler at a glanceIndustrial – Competence in bearings


1 Schaeffler at a glanceOur key success factors – Quality, technology and innovation

826

1,832

20122010

1,854

2,100

2011 2013

1,146

2008 2009

1,641

#5 #5 #4 #4 #4 #2

1) Source: Deutsches Patent- und Markenamt (DPMA)

Rank in Germany

Number of patent registrations in Germany1) Core technologies

… basic materials (steel) … inhouse tool design

… precisionmanufacturing… surface treatment


Urban mobility2Eco-friendly drives 1

Interurban mobility 3 Energy4

"Mobility for

tomorrow"

2 Mobility for tomorrowStrategy refocused – "Mobility for tomorrow"


2 Mobility for tomorrowEco-friendly drives

Reduced losses

Increased variability

Electrification

Efficiency foreco- friendly

drives

1


2 Mobility for tomorrowCombustion engine remains dominant but will be further electrified

● Trends

Powertrain concepts CO2 legislation worldwide

98%

80%

56%

2%

19%

35%

1%9%

Hybrids Electric

2013 2020 2030

Light vehicle production

Source: University of Duisburg-Essen, 2012

Combustion engine 80

100

120

140

160

180

200

220

240

260

2000 2005 2010 2015 2020 2025

China: 117 gin 2020

EU: 95 gin 2020

Japan: 105 gin 2020

USA: 109 gin 2025

Source: icct, 2013

Light vehiclesin g CO2

Proposed targetEnacted target

USA: incl. light duty vehicles

1


Schaeffler EfficientFuture Mobility India

Schaeffler EfficientFuture Mobility NorthAmerica

SchaefflerHybrid Schaeffler CO2ncept-10%

SchaefflerACTIVeDRIVE

Fiesta eWheelDrive

ChinaConcept Car

1. GasolineTechnology Car

2. Diesel Eco Drive3. 48V Democar

Schaeffler EfficientFuture Mobility India

Schaeffler EfficientFuture Mobility NorthAmerica

SchaefflerHybrid Schaeffler CO2ncept-10%

SchaefflerACTIVeDRIVE

Fiesta eWheelDrive

ChinaConcept Car

Diesel EcoDrive

System 48V

Gasoline Technology Car

2 Mobility for tomorrowMarket specific concepts to fulfill regional requirements1


2 Mobility for tomorrowMeeting stringent US emission targets of 2025 already today1

Fuel reduction in %

§ Locally developed technologies to meet specific NorthAmerican fuel economy demands and customerrequirements

§ Economical solutions achieve 44% improvement in fueleconomy and meet 2025 CAFE standards

Efficient Future Mobility –Schaeffler North America Demonstration Vehicle

Technology Improvement

Valve train friction optimization 0.5

Balance shaft bearings 0.5

Thermal management module 1.0

Engine start-stop 3.5

AWD disconnect 5

TC with optimized damper 1.0

Low rolling resistance tires 3.5

Ride height adjustment 2.6

Transmission Driven Accessories –48V hybrid system 26

Total: ~44


§ Ford Focus, 1.0l 3-cylinder, turbo charger, 92 kW, 114 g/kmCO2, Start/Stop, EU5

§ Mild Hybridization 48V BSA, thermal management module,coated tappets, decoupling belt tensioner, optimized turbocharger, engine control unit, injection system, heatedcatalyst, low-pressure EGR, hydr. clutch actuator, DMF withcentrifugal pendulum absorber

§ Fuel savings potential ~15% (aim ~17%: 95 g/km) andemission reduction EU6c

Gasoline Technology Car Fuel reduction in % (simulation according to NEDC)

Measure ReductionStart/stop 20 km/h 1.1Recuperation 2.6

Torque repartition 0.8

Dedicated braking pedal 0.5Free gear selection 5.4

External exhaust gas recirculation (EGR) 2.0

Electric heatable catalyst 2.0Thermal management module (real simulation) 1.0

Total ~15Total incl. synergies between measures ~17

Emission reduction

In addition to fuel savings, emission reduction(NMHC, NOx, CO, PM) was achieved to comply withthe guideline EU6c.

2 Mobility for tomorrowLatest concept car shows further fuel saving potential1


2 Mobility for tomorrowUrban Mobility

2025:8.0 bn people60% in metropolitan regions

Today:7.1 bn people50% in metropolitan regions

2


Schaeffler employees in Chinausing e-bikes and e-scooters

§ NEVs are defined as fully electric or hybridvehicles on four wheels

§ Subsidies for Battery Electric Vehicles (150 kmrange) and Hybrid Electric Vehicles (50 km range)

§ Minimum speed requirement: 100 km/h

§ Openness towards newtechnologies

§ Increasing income§ Pursuit of individual mobility§ Around 20-30 million

e-bikes and e-scooters aresold each year in China

E-bikes and e-scooters

New Energy Vehicles (NEVs)

Schaeffler innovationElectric motor, power electronics, brake, and coolingsystem are installed inside the wheel rim

Driving systems especially forurban use§ Space-saving vehicle concept§ Increased maneuverability

and safety

Concept vehicle Ford Fiesta eWheelDrive

Strong focus on electric mobility in China E-wheel drive

2 Mobility for tomorrowOffering solutions for urban mobility requirements2


2 Mobility for tomorrowInterurban Mobility

0%

20%

40%

60%

80%

100%

CO2 emissions of road freight transport

1991 2004 2025

per tone-kilometer(1991 = 100 %)

Source: UBA, IFEU

3


2 Mobility for tomorrowKey technology partner for high speed trains

Schaeffler test rig

Schaeffler test rig for railway axlebox bearings, Schweinfurt, DE and Anting, CN

Mechatronic systems for freight traffic

§ FAG axlebox bearing forhigh-speed trains

§ Key influencing factorscan be tested in advance.

§ Different route profilescan be simulated underfield conditions.

Rollingbearing unit

Generator

Electronicsmodule

§ Mechatronic functions in axlebox bearings

§ The integrated wheelset generator allows energy forfreight transport to be supplied and includes a monitoringsystem for freight trains

3


2 Mobility for tomorrowHigh precision components for the aerospace industry

Schaeffler aerospace solutions Technology development

Main shaft andgearbox bearings,

e.g. for Airbus A380

Materials

Surface

Bearing AnalysisMicro Structure

§ Materials and heat treatment technologies

§ Surface Engineering

§ Non-destructive test methods for new materials

§ Development of coatings

§ Design Integration

§ Advanced Cooling Concepts

§ Dynamic analysis & Simulation

§ Bearing rig testing

§ Condition Monitoring (“Intelligent Bearing”)

3


2 Mobility for tomorrowEnergy

Solar- und WindenergieGlobal investments in new power plants andinfrastructure 2011-2020

Power grids 44%(Infrastructure)

Coal12%Gas 6%

Oil 1%

Nuclear 6%

Wind 12%

Water 8%

Solar PV 7%Other Regenerative 4%

Source: International Energy Agency (2011): World Energy Outlook

4


For ocean currentpower plants,Schaeffler developsbearing supports thatcan be directlyinstalled in water. Thewater is the mediumthat provides thelubrication.

Schaeffler uses aspecial steel that isresistant to corrosionfor the rolling bearingrings.

Large-size bearing test rig in Schweinfurt, Germany

Schaeffler's spherical roller bearing "X-life" is the classicbearing variant for the rotor main shaft in wind turbines.

Wave power Wind power

2 Mobility for tomorrowInnovative solutions for regenerative energies4


9M 14 9M 13 9M 14vs. 9M 13 Q3 14 Q3 13 Q3 14

vs. Q3 13

Sales 9,024 8,425 +7,1% 3,034 2,811 +7.9%

EBITDA 1,688 1,514 +11.5% 589 472 +24.8%

EBITDA margin 18.7 18.0 +0.7%pts. 19.4 16.8 +2.6%pts.

EBIT 1,215 1,038 +17.1% 428 314 +36.3%

EBIT margin 13.5 12.3 +1.2%pts. 14.1 11.2 +2.9%pts

Net income 936 1,020 -84 mn 362 459 -97 mn

Working capital1) 2,906 2,343 +563 mn 2,906 2,343 +563 mn

Capex 500 343 +157 mn 202 114 +88 mn

Free cash flow2) 103 589 -486 mn 282 203 +79 mn

Net debt1) 6,306 5,890 +416 mn 6,306 5,890 +416 mn

Leverage ratio1) 3) 2.6 2.6 - 2.6 2.6 -

3 Results 9M 2014Overview results 9M 2014

1) Prior year figure as per December 31, 2013 2) Excluding one-off effects of EUR 529 mn, FCF is EUR 632 mn 3) Net financial debt excl. shareholder loans to adjusted EBITDA ratio

in EUR mn


3 Results 9M 2014Sales above EUR 9 bn in 9M 2014

9.9%

11.9%

20.4%57.8%

Americas1,839 / +3.4%

Greater China1,076 / +24.5%

Europe5,213 / +5.1%

Asia/Pacific896 / +8.9%

1) Market view (= location of customers)

Q1 Q2

+7.1%1)

vs. 9M 20133,014

Q1

2,976

Q4

2,780

Q3

2,811

Q2

2,756 2,858

11,205

2013 2014

Gross profit margin in %

28.7 28.8 27.2 28.7

28.3

28.1

Salesin EUR mn

9M 2014 sales by region1)

in EUR mn / Y-o-y growth

9M 14 9M 13 D D excl.FX effects

Automotive 6,667 6,129 +8.8% 10.5%

Industrial 2,357 2,296 +2.7% 4.9%

Total 9,024 8,425 +7.1% 9.0%

Sales by divisionin EUR mn

9,024

29.1

28.9

Q3

29.3

3,034

8,425

1) Includes negative FX effects of 1.9%


Europe

+8%

Asia/Pacific

+11%

+2%

Greater China+32%

+10%

Production of light vehicles9M 2014 vs 9M 2013(IHS Automotive)

Operational sales growthSchaeffler Automotive (OEM)9M 2014 vs 9M 2013(by location of customer)

+14%

+1%

Americas2)

+4%

3 Results 9M 2014Sales Automotive – Continued growth above market

World production: +4%Schaeffler Automotive OEM: +12%

(operational sales growth)

1) Schaeffler Automotive sales growth by region is not necessarily an indication of actual end-customer demand by region (e.g. European sales include components and systems sold to customers inEurope who ultimately export the final product to customer locations in North and South America as well as in Asia/Pacific).

2) Operational sales growth Schaeffler Automotive (OEM) in North America +22% (light vehicles production +6%) and in South America -17% (light vehicle production -17%)

Sales development Automotive1) Regional distribution

Key aspects

§ Schaeffler Automotive again strongly outgrew globalautomotive production in 9M 2014

§ All business divisions and all regions contributed tooverall growth

§ Strong growth in China especially in BD Trans-mission Systems (e.g. double clutch systems)

§ Nearly full utilization of current production capacityin the first nine months 2014

57%21%

10%

12%

Americas

Greater China

Europe

Asia/Pacific


3 Results 9M 2014Sales Industrial – Positive trend continues

Sales trend

Key aspects§ Sales Industrial with improving trend; FX-adjusted

growth rate +4.9% (as reported 2.7%)

§ Order intake shows significantly positive trend,orders on hand exceed prior-year level

§ Strong sales increase in Greater China across allsectors except Aerospace and Heavy Industries

§ Revenues in Asia / Pacific and Europe above prioryear level, revenues in the Americas regionimpacted by currency translation

59%19%

12%

10%

Americas

Greater China

Europe

Asia/Pacific

Regional distribution

in EUR mn 9M 2014 9M 2013 D

Industrial Applications 1,463 1,445 +1.2%

Industrial Aftermarket 894 851 +5.1%

Total 2,357 2,296 +2.7%

Sales 9M 2014 vs. 9M 2013

908870

839

789769 770 757 745

2012 2013 2014

764789 804


1) Positive one-off effect from the release of provision for antitrust fine in Q1 2014 (EUR 9 mn) andnegative one-off effect from compensation payments in Q2 (EUR 11 mn)

1,0381,2171,215 2111

599

One-offeffects1)

EBIT9M 14

-25

Sales R&DCOGS

-37-372

Sales Admin OthersEBIT9M 13

Adj.EBIT9M 14

12.3 13.5

9M 14EBIT

9M 13EBIT D

9M 14margin

Automotive 932 800 +16.5% 14.0%

Industrial 283 238 +18.9% 12.0%

Total 1,215 1,038 +17.1% 13.5%

13.5

314

-56

405 373

355 36948

324

+17.1%vs. 9M 2013

38411

4149362

380

3 Results 9M 2014EBIT margin at 13.5% – Earnings quality above target range

EBITin EUR mn

∆ EBITin EUR mn

Adjusted EBIT margin in %

12.9 12.9 12.9 11.7

12.9

12.713.6

13.5

EBIT per divisionin EUR mn

Margin in %1,215

Q1 Q2Q1Q4Q3Q2

2013 2014

Q3

14.1

428

1,038

982


3 Results 9M 2014Net income EUR 936 mn

Net income 9M 20141)

in EUR mn

Net income1)

in EUR mn

362382

-155

459

328

233192

1) Net income attributable to the shareholders of the parent company

865 936

Q1 Q2Q1Q4Q3Q2

2013 2014

Q3

Sales Costs EBIT Taxes/minorities

Netincome

Financialresult

9,024

-7,809

1,215 +548

-631

-196

936

Investmentresult

1 2


Free cash flowin EUR mn

3 Results 9M 2014Free cash flow 9M 2014 of EUR 103 mn impacted by Q2 one-off effects

Free cash flow 9M 2014in EUR mn

- -13 282

Q3 2014

-202-41 --68 17

282

-160

-19

40

203

334

52

424

500

168 227

103155

371

1,688

Freecashflow

Other

82

Taxes

1581)

Interestpayments

CapexΔ Networkingcapital

EBITDA

386103

One-offeffects

Refinancing

Anti-trustfine

Divi-dendfromConti-nental

589 -

529

1) Q2 2014: Prepayment fee EUR 114 mn + accrued interest EUR 29 mn + transaction cost EUR 15 mn

Q1 Q2Q1Q4Q3Q2

2013 2014

Q3


4 Financing and corporate structureFinancing structure continuously improved

Continuous capitalstructure

optimization

Financingstructure

OpCo/HoldCo

Corporatestructure

Schaeffler Group

June / July2012 Bank consortium further enhanced, issuance of €326 mn retail bond

September2012

Reduction of liabilities at Schaeffler Holding by €1.6 bn, shareholderstructure simplified

December2012

Refinancing of €5.6 bn OpCo facilities enhancing covenant, repayment andstructural flexibility

February2013

Repricing transaction of €1.6 bn equivalent OpCo facilities withinstitutional lenders

April2013

Restructuring of OpCo facilities and additional issuance of €1.25 bnhigh-yield bonds

July2013

Comprehensive refinancing of HoldCo indebtedness of €3.75 bn including issuanceof PIK Toggle Notes

September2013

Reduction of liabilities at Schaeffler Group and Schaeffler Holding byapprox. €1.3 bn

May2014

Refinancing of €3.5 bn OpCo debt by placing €2.0 bn of new secured and unsecuredbonds and €1.5 bn of new institutional term loans

January2012

Comprehensive refinancing of OpCo indebtedness of €8.0 bn includingfirst-time issuance of high-yield bonds

October2014

€1.8 bn equivalent OpCo loan refinancing and OpCo/HoldCo bond consent processcompleted to align terms and conditions; €1.0 bn OpCo RCF committed

Refinancing of €1.9 bn of HoldCo debt with €700 mn HoldCo bank loansand €1.2 bn HoldCo bonds

October2014

Key development steps


4 Financing and corporate structureCorporate structure before and after latest refinancing transaction

SchaefflerHolding

Finance B.V.

SchaefflerBeteiligungs-

holding2)

100%

Schaeffler AG1)

SchaefflerVerwaltungs

GmbH

100%

100%

100%

Continental AGINA

BeteiligungsGmbH (“IBH”)3)

OpCo

Loans

100%

SchaefflerFinance B.V.

OpCo

Bonds

54.0%

Freefloat

11.8%

100%

TopCo

HoldCo

OpCo

HoldCo

Bonds

HoldCo

Loans

Guarantee

34.2%

SchaefflerTechnologiesGmbH & Co. KG

4) Schaeffler Beteiligungsholding guarantee and Schaeffler Verwaltungs Zwei GmbH (formerlySchaeffler AG) guarantee will remain in place until fall-away conditions have been met (SVZguarantee for benefit of OpCo debt to fall-away upon consent by or refinancing of 2017 OpCo Notes)

SchaefflerHolding

Finance B.V.

SchaefflerBeteiligungs-

holding4)

100%

SchaefflerVerwaltungs Zwei

GmbH4)

SchaefflerVerwaltungs

GmbH

100%

Continental AGSchaeffler AGOpCo

Loans

100%

SchaefflerFinance B.V.

OpCo

Bonds

54.0%

Freefloat

11.8%

100%

TopCo

HoldCo

OpCo

HoldCo

Bonds

HoldCo

Loans

Guarantee

34.2%

SchaefflerTechnologiesGmbH & Co. KG

INA-Holding SchaefflerGmbH & Co. KG

Schaeffler HoldingGmbH & Co. KG

100%

100%

INA-Holding SchaefflerGmbH & Co. KG

Schaeffler HoldingGmbH & Co. KG

Previous corporate structure Current corporate structure

1) Schaeffler AG was converted into a GmbH and renamed Schaeffler Verwaltungs Zwei GmbH2) Schaeffler Beteiligungsholding has also issued a guarantee in favor of all OpCo loans/bonds3) IBH GmbH was converted into an AG and renamed Schaeffler AG

As perNov. 30, 2014


4 Financing and corporate structureFinancing structure and maturity profile

600

1,135

500

1,766

1,000

202220212020201920182017

1,269

20162015

Bonds Loans

Debt instrument Nominal Interest Maturity Rating

Scha

effle

rH

oldi

ng(H

oldC

o) HoldCo Term Loan 500 E+4.50% Oct-19 Not ratedHoldCo RCF (EUR 200 mn) - E+4.50% Oct-19 Not ratedTotal Loan Facilities 5006.875% SSNs 2018 (EUR)2) 800 6.875% Aug-18 B1 / B6.875% SSNs 2018 (USD)1) 2) 781 6.875% Aug-18 B1 / B5.75% SSNs 2021 (EUR)2) 350 5.75% Nov-21 B1 / B6.25% SSNs 2019 (USD)1) 2) 371 6.25% Nov-19 B1 / B6.75% SSNs 2022 (USD)1) 2) 527 6.75% Nov-22 B1 / BTotal Bond Debt 2,829Schaeffler Holding Debt 3,329

Scha

effle

rG

roup

(OpC

o)

Senior Term Loan B (EUR) 750 E3)+3.50% May-20 Ba2 /BB-Senior Term Loan B (USD)1) 1,016 L3)+3.50% May-20 Ba2 /BB-Senior RCF (EUR 1,000 mn) - E+2.875% Oct-19 Not ratedTotal Loan Facilities 1,7667.75% SSNs 2017 (EUR) 800 7.75% Feb-17 Ba2 / BB-7.75% SSNs 2017 (USD)1) 469 7.75% Feb-17 Ba2 / BB-4.25% SSNs 2018 (EUR) 600 4.25% May-18 Ba2 / BB-2.75% SSNs 2019 (EUR) 500 2.75% May-19 Ba2 / BB-3.25% Unsec.Ns 2019 (EUR) 500 3.25% May-19 B1 / B4.75% SSNs 2021 (USD)1) 664 4.75% May-21 Ba2 / BB-4.25% SSNs 2021 (USD)1) 547 4.25% May-21 Ba2 / BB-3.50% SSNs 2022 (EUR) 500 3.50% May-22 Ba2 / BB-

Total Outstanding Bonds 4,580Schaeffler Group Debt 6,346

Total Debt 9,675

in EUR mn1)

1) Assuming EUR/USD = 1.28 2) Senior Secured PIK Toggle Notes 3) Floor of 0.75 %

1,581

350527

2015 202220192017 2018 20212020

871

2016

Bonds Loans

As perOct. 30, 2014


We have leading positions in growing markets1

We are a global leader in terms of quality, technology andinnovation

2

We shape the "mobility for tomorrow" by focusing on four keyareas3

We generate strong profitable growth and sustainable cash flow4

We continuously optimize our balance sheet5

4 Financing and corporate structureKey investment highlights


5 OutlookGuidance 2014 unchanged

ProfitabilityGrowth

Quality Innovation

Sales growth

Capex

Quality policy

Employees

EBIT margin

Free cash flow

R&D expenses

Innovation

>7%1)

6-8% of sales

12-13%

Positive

Further improve

~ 3,000 new jobs

5% of sales

Maintain leadingposition in patentapplications

1) FX adjusted



BackupLeverage ratio at 2.6x (OpCo)

Net financial debtin EUR mn 12/31/13 09/30/14

Gross debt 6,190 6,981

- Cash 300 675

= Net financial debt 5,890 6,306

- Shareholder loans 443 537

= Net financial debt(w/o shareholder loans) 5,447 5,769

÷ LTM EBITDA adjusted 2,062 2,190

= Leverage ratio 2.6 2.6

645 537607443

6,834

301

6,3066,3626,1725,8905,729

284

6,475

343

Shareholder Loans

Leverage ratio (Net financial debt w/o shareholder loans / LTM Adjusted EBITDA)

Development leverage ratioin EUR mn

Gross debt

7,292 7,037 6,089 6,190 6,8336,395

Cash position

458 562 360 300 471223

Q1 Q2Q1Q4Q3Q2

2013 2014

Q3

6,981

675

3.33.1

2.7 2.6 2.6 2.7 2.6


Schaeffler IR contact

Financial calendar 2015

phone: + 49 9132 82 4440fax: + 49 9132 82 [email protected]/ir

Results FY 2014 March 26, 2015Results Q1 2014 May 21, 2015

Investor Relations

Documents

Schaeffler Capital Market Presentation Mobility for · PDF fileSchaeffler Capital Market Presentation "Mobility for tomorrow" ... UBA, IFEU 3. Page 18 ... Investor Relations