Back on track DB Group after the crisis. Deutsche Bahn AG / DB Mobility Logistics AG CFO Dr. Richard Lutz September 2011

Transcription

1 Back on track DB Group after the crisis Deutsche Bahn AG / DB Mobility Logistics AG CFO Dr. Richard Lutz September 2011

2 Management Summary DB is in a very good position for sustainable and profitable growth Supporting megatrends Globalization Climate change and shortage of resources Deregulation and liberalization Demographic change Skills Strong core competence in operating transport networks + experienced management team Key investment highlights Profitable growth opportunities Robust business portfolio Strong recovery after the crisis Solid financial position Very good ratings Current position Leading market positions + unique geographical position in Europe Proven track record Strategy and structure Commercially driven Vertically integrated Internationally focused Strongly positioned in Europe Politically supported Deutsche Bahn AG 2

3 Strategy and Structure Organizational structure Deutsche Bahn Group Comments DB Group Federal Republic of Germany 100% Integrated Group structure with two holding companies (DB AG and DB ML AG) and 9 business units Deutsche Bahn AG 100% DB Finance B.V. DB AG is 100% owned by the Federal Republic of Germany DB ML Group 100% DB Mobility Logistics AG DB Netze Track DB Netze Stations DB Netze Energy Privatization threshold: constitutionally mandated Federal majority shareholding in DB AG ( ownership clause ) Infrastructure business units are directly managed by DB AG DB ML AG operates as a holding company for DB Group s passenger and logistics activities DB Bahn Long- Distance DB Bahn Regional DB Arriva DB Schenker Rail DB Schenker Logistics DB Services Deutsche Bahn AG 3

4 Strategy and Structure Thinking beyond railway in Germany as key to success DB Group s fundamental concept Passenger Transport Transport and Logistics Railway in Germany Infrastructure Deutsche Bahn AG 4

5 Proven Track Record: Turnaround of Railway in Germany Permanent focus on cost efficiency helped us through the crisis EBIT adjusted and adjusted EBIT margin ( bn or %) : +4.9 bn Per year: +304 mn -14.6% -13.3% % % % -4.6% % % % 5.7% % 7.4% 5.4% % 4.0% -2.2% 1.6% EBIT adjusted Adj. EBIT margin Productivity rail (thousand ptkm/employee) : +261% CAGR: +7.8% , ,247 1,184 1,167 1,106 1, Ptkm (bn) Employees - rail (thd, year average) Productivity Figures until 2004 FY according to German GAAP Deutsche Bahn AG 5

6 Proven Track Record: Capex Campaign and Deleveraging Despite high capex volume significant reduction of net financial debt Capex and financing ( bn) Net financial debt (as of Dec 31, bn) Capex Financing / % Total 125 Infrastructure 89 (71%) Investment grants Interest-free loans DB funds Other (29%) DB funds Other grants * 2010 * Excluding Arriva Deutsche Bahn AG 6

7 Proven Track Record: Reshaping the Entire DB Group Expansion of transport networks partly through focused portfolio measures Major portfolio changes in DB Group: total M&A transactions (EqV) of 11 bn ( 4 bn divestitures and 7 bn acquisitions) Rail freight DSB Gods RAG Bahn EWS Transfesa PCC NordCargo Logistics Stinnes, Joyau Linjegods BAX, StarTrans Spain-Tir Romtrans Passenger transport Chiltern, PanBus Arriva Divestitures Brenntag, Interfer, Mitropa Deutsche Eisenbahnreklame SDS Scandlines, Aurelis, Nuclear Cargo Arcor Revenue split Non Rail 9% % Rail Non Rail 31% 69% Rail Non Rail Rail 48% 52% Non Rail 47% 53% Rail Non Rail Rail 47% 53% Deutsche Bahn AG 7

8 Skills and Current Positions Successfully developed transport networks ensure top market positions Our transport networks DB in Europe Rail infrastructure Long-distance transport Regional transport No. 2 Long-distance rail passenger transport No. 1 Regional rail passenger transport No. 1 Rail infrastructure No. 1 Rail freight transport Contract logistics/scm Rail freight transport No. 3 Urban bus transport No. 1 Land transport DB worldwide No. 2 Air freight No. 5 Contract logistics/scm Air/ocean freight Land transport No. 3 Ocean freight Deutsche Bahn AG 8

9 DB Group 2010 at a Glance Strong Group portfolio with three divisions DB Group (2010) International provider of mobility and logistics services Active in more than 130 countries Vertically integrated Group structure DB AG and DB ML AG act as management holding companies Ratings: Aa1 / AA / AA Key figures (2010) >2.7 bn rail and bus passengers >10 mn rail and bus passengers/day (incl. DB Arriva) >415 mn t rail freight >80.8 mn shipments >1.2 mn t air freight >1.6 mn TEU ocean freight >1 bn train-path km >143 mn station stops 33,723 km length of line operated 5,700 stations Total revenues 34, % 13, % 18, % 8, % EBIT adjusted 1, % % % EBITDA adjusted 4, % 1, % % 2, % Capital expenditures 6, % % % 5, % Employees (as of Dec 31) 276, % 89, % 91,289-46, % Excluding DB Services and Other/consolidation; Key figures vs Deutsche Bahn AG 9

10 Supporting Megatrends Significant global megatrends support our strategy Globalization Deregulation Climate change and shortage of resources Demographic change Deutsche Bahn AG 10

11 Vision and Strategic Direction Vision and strategic direction confirmed Our vision: The world s leading mobility and logistics company Long-term objectives and strategic direction Further improve leading market positions Expand and interlink transport networks worldwide Improve quality and customer satisfaction Permanent focus on cost efficiency Sustainably increase profitability Transport networks CO 2 emissions Deutsche Bahn AG 11

12 Investment Highlights DB Group combines stability with a good position for future growth Key investment highlights Strong track record since 1994 Strong recovery in 2010 after passed stress test in 2009 Unique geographic position in the heart of Europe Leading market position in all relevant markets Core competence in managing transport networks Megatrends support our future growth potential Balanced business mix of growth and value Solid financial position, sustainable profit growth Deutsche Bahn AG 12

13 Financial Development 2010 and H Capital Market Activities Deutsche Bahn AG / DB Mobility Logistics AG Group Treasurer, Head of Mergers & Acquisitions Wolfgang Reuter September 2011

14 2010 Financial Year At a Glance Update on financial results 2010 Highlights Economic upswing supported our development in 2010 Arriva acquisition significantly impacts key figures DB Group back on track: increases in performance, revenues and profits Net financial debt increased due to acquisition of Arriva Value management figures improved (excluding Arriva) Revenues ( bn) EBIT adjusted ( bn) EBITDA adjusted ( bn) Net financial debt (as of Dec 31, bn) ROCE (%) % +10.7% +5.7% +12.8% 6.4 (excl. Arriva) Deutsche Bahn AG 14

15 2010 Financial Year Relevant Markets Overall positive development of the relevant transport markets Passenger transport (vs. previous year in %) European rail freight transport (vs. previous year in %) Rail (pkm) Bus (pkm) tkm based Long-distance Regional European land transport (vs. previous year in %) Ocean freight (vs. previous year in %) Air freight Air freight (vs. (vs. previous prior year year in %) in %) based TEU based t based Deutsche Bahn AG 15 Market DB

16 2010 Financial Year Value Management Value management figures improved on a comparable basis ROCE (%) Redemption coverage (%) ROCE = EBIT adjusted capital employed Target 10% Redemption coverage = operating cash flow adjusted net financial debt Target 30% pre-tax WACC 9.6% * 2010 Gearing (%) * 2010 Net debt/ebitda Gearing = net financial debt equity Net debt/ebitda = net financial debt EBITDA adjusted Target 100% Target 2.5x * * 2010 * Excluding Arriva Deutsche Bahn AG 16

17 H At a Glance Significant improvement of key financials in H Highlights Ongoing economic upswing supported our development in H1 2011: increases in performance, revenues and profits Arriva acquisition significantly impacts key figures Slight increase in net financial debt Value management figure ROCE improved First dividend payment ever Revenues ( bn) EBIT adjusted ( bn) EBITDA adjusted ( bn) Net financial debt ( bn) ROCE 1) (%) H H1 H1 Jun 30, H , % +34% +17% +2% H H H Dec 31, H ) In order to calculate an ROCE on a full-year basis, the figures for EBIT adjusted are extrapolated to the full year on the basis of a linear projection. Deutsche Bahn AG 17

18 H At a Glance Strong increases in T&L, but rail freight still below pre-crisis level Rail passenger transport (bn pkm) Rail freight transport (bn tkm) % % -0.1% % +18.8% % H1 H1 H Land transport (mn shipments) Air freight (thousand t) Ocean freight (thousand TEU) ,229 1,032 1,225 1,454 1,424 1, % +14.6% +20.7% % +28.6% % % +23.1% +4.6% H1 H1 H1 H1 H Deutsche Bahn AG 18

19 H Revenues Revenue increase mainly at DB Schenker and DB Netze Energy Total revenues ( mn) H H Cons. eff. Adjustments FX effects H comp. +/- (H comp. vs. H1 2010) abs. % DB Bahn Long-Distance 1,828 1, , % DB Bahn Regional 4,288 4, , % DB Arriva 87 1,632-1, % DB Schenker Rail 2,268 2, , % DB Schenker Logistics 6,746 7, , % DB Services % DB Netze Track 2,198 2, , % DB Netze Stations % DB Netze Energy 1,230 1, , % Other/consolidation -3,624-3, , % DB Group 16,102 18,876-1, ,280 +1, % Cons. eff. = Changes in scope of consolidation; FX effects = Currency effects Deutsche Bahn AG 19

20 H Development of Revenues Shift in revenue structure due to Arriva acquisition Revenue split by divisions H (H1 2010) Revenue split by activities H (H1 2010) Revenue split by regions H (H1 2010) 41% (38%) 2% 6% (6%) (1%) 51% (55%) 51% 49% (54%) (46%) 59% (65%) 29% (23%) 5% (5%) 1% 6% (1%) (6%) Passenger Transport DB Schenker DB Netze Other Rail Non-rail Germany Europe (excl. Germany) North America Asia/Pacific Rest of World Deutsche Bahn AG 20

21 H Profit Development Adjusted EBIT improved by 34 percent EBIT and EBIT adjusted ( mn) +23.0% +33.9% , , EBIT Special items EBIT adjusted EBIT adjusted Special items H H EBIT Deutsche Bahn AG 21

22 H Profit Development Overall positive EBIT development on business unit level EBIT adjusted ( mn) H Margin (%) H Margin (%) Change by business unit ( mn) DB Bahn Long-Distance DB Bahn Regional DB Arriva DB Schenker Rail DB Schenker Logistics DB Services DB Netze Track DB Netze Stations DB Netze Energy Other/consolidation DB Group % % % ) ) % % % % % 1, % 1) Based on segment revenues Deutsche Bahn AG 22

23 H Balance Sheet Slight increase in net financial debt Gross capex ( mn) Financial debt ( mn) Balance sheet structure as of Jun 30, , % 2, % 18,553 19,001 1,614 1,711 (Dec 31, 2010) Assets Non-current assets 84.5% (85.6%) Equity and liabilities Equity 27.7% (27.5%) Net: Net: +351 Pension prov. 3.8% (3.7%) Other provisions 11.7% (12.0%) % 1,049 15,943 16,939 17,290 15,011 Current assets 15.5% (14.4%) Financial debt 36.5% (35.7%) Other 20.3% (21.1%) H H Dec 31, 2010 Jun 30, 2011 Total 52.1 bn ( 52.0 bn) Total 52.1 bn ( 52.0 bn) Deutsche Bahn AG 23

24 Debt and Financing Ratings confirmed, four bond issues in 2011 so far Ratings Bank 6% Very good ratings: Moody s: Aa1/stable S&P: AA/stable Fitch: AA/stable All ratings confirmed in 2011 Interest-bearing debt (%) 17.1 bn (as of Jun 30, 2011) Other CP 9% 10% EUROFIMA 7% Bonds MTN 68% Major refinancing activities Total volume in 2010: 2,477 mn / 5 bond issues Total expected volume in 2011: approximately 2 bn / up to now: 1.6 bn EUR 700 mn bond with a 3.750% coupon issued in two tranches in May/July EUR 500 mn bond with a 2.875% coupon issued in June CHF 375 mn ( 323 mn) bond with a 1.500% coupon issued in July NOK 750 mn ( 95 mn) bond with a 3.375% coupon issued in August Maturity profile of financial debt (as of Jun 30, 2011; bn; incl. underlying swaps; incl. actual bond issues in H2 2011) Bonds Bank Federal loans Leasing Eurofima EIB (as of Jun 30, 2011) Currency structure MTN-program HKD 1% JPY 8% USD <1% CHF 7% EUR 84% Deutsche Bahn AG 24

25 Debt and Financing Focus on credit quality Very good ratings Obligations of the Federal Republic of Germany Significant responsibility Operating performance Ratings: Moody s (Aa1) / S&P (AA) / Fitch (AA) Increase in performance, revenues and profits Stable financial profile, sound financing structure and conservative funding strategy Federal obligations resulting from Art. 87e German Constitution - Infrastructure obligations : High share in funding of infrastructure capex, amounting to around 2.5 bn p.a. for replacement capex and additional funds for expansion capex - Public interest obligations : Federal states receive funds for ordering local passenger transport services, amounting to around 6.9 bn p.a. (increasing by 1.5% p.a. until 2015) - Privatization threshold: Only up to 49.9% of shares could be privatized due to constitutionally mandated Federal majority shareholding ( ownership clause ) DB guarantees overall mobility in Germany and is Europe s largest company providing integrated mobility, transport and logistics services. Stable cash flow due to long-term service contracts in regional transport (2010 revenue share: 13%) order book of about 40 bn (DB Bahn Regional: 28 bn, DB Arriva: 12 bn) Vertical integration as a major factor for business success Productivity improved by 261% since 1993 (workforce reduction in rail business by about 232,000), significant profit increases since 1994 (EBIT by 4.9 bn/ 304 mn p.a., EBITDA by 6.7 bn/ 417 mn p.a.) and total capex of 125 bn since the 1994 Deutsche Bahn AG 25

26 2011 Financial Year Outlook Further positive development in 2011 financial year expected ( mn) Outlook 2011 financial year (as of July 2011) Revenues 34,410 Continuing economic recovery Further performance growth Full-year inclusion of Arriva EBIT adjusted 1,866 Positive development of revenues Continued cost management ROCE 6.0% Lower increase in capital employed compared to adjusted EBIT Gross capex 6,891 Continued modernization course Realization of capital expenditures initiative Net financial debt as of Dec 31 16,939 Increase in cash flow Noticeable increase in net capital expenditures First-time dividend payment Deutsche Bahn AG 26

27 Appendix

28 2010 Financial Year At a Glance Highlights 2010 General conditions Passenger transport Transport and logistics Infrastructure World-wide economic recovery (world GDP +4.0%) World trade develops very positive again (+13.5%) Germany is at the economic forefront in Europe (GDP +3.7%) Significant cost burdens due to severe winters Performance increase and market share gains in Germany First-time inclusion of Arriva Limited availability of vehicle fleet in long-distance transport and at S-Bahn (metro) Berlin Significant recovery of transport volumes Rail freight transport regains market shares Pre-crisis level almost reached respectively surpassed Gross profit margins under pressure, but EBIT-margins improved Increased train-path demand, especially in rail freight transport Trend of increasing non-group usage continues Deutsche Bahn AG 28

29 2010 Financial Year Arriva First-time inclusion of Arriva Overview Arriva acquisition ( mn) Purchase price Arriva net financial debt 1,183 Acquisition process May 18, 2010: Binding offer for acquiring 100% of shares of Arriva Plc June 17, 2010: Consent of Arriva shareholders August 27, 2010: Offer becomes effective September 1, 2010: First-time fully consolidation of Arriva (excl. Arriva Germany) December 11, 2010: Signing contract for selling Arriva Germany February 25, 2011: Closing sale of Arriva Germany 1,916 Inclusion in consolidated financial statements 2010 ( mn) Partial inclusion (09-12/2010) Passengers bus/rail Revenues EBITDA adjusted EBIT adjusted Gross capital expenditures Full inclusion (as of Dec 31) 1, Capital employed 3,076 Net financial debt 1,057 Volume sold bus/rail -/- -/- Employees 36,454 Deutsche Bahn AG 29

30 2010 Financial Year Performance Development Significant recovery in transport and logistics Passenger Transport Performance increase and market share gains in Germany Limited availability of vehicle fleet in long-distance transport and at S-Bahn (metro) Berlin Harsh winter weather Transport and Logistics Significant recovery of transport volumes in logistics markets Rail freight transport regains market shares Pre-crisis level almost reached respectively surpassed Passenger Transport Regional Rail Freight Logistics Rail volume sold (+2.4%) Long-Distance Rail volume sold (+3.8%) Rail volume sold (+1.1%) Urban Bus volume sold (-0.6%) Rail volume sold (+12.6%) Tons per train (+3.8%) Land transport (shipments: +15.4%) Air freight (t:+18.7%) Ocean freight (TEU: +15.7%) Infrastructure Track Infrastructure Train kilometers (+3.1%) Stations Stops (+0.4%) Deutsche Bahn AG 30

31 2010 Financial Year Development of Revenues Strong recovery of revenues after decrease in 2009 Revenues ( mn) +3,121 / +10.6% -12.3% +17.3% -4.4%-p. -2.3%-p. 33,452 29,335 34,410-1,286 33, , Changes in 2010 FX-effects 2010 scope of (excl. changes in comparable consolidation scope of consol.) Deutsche Bahn AG 31

32 2010 Financial Year Development of Revenues Increase in revenues predominantly at DB Schenker Total revenues ( mn) Adjustments Cons. eff. FX effects 2010 comp. +/- (2010 comp. vs 2009) abs. % DB Bahn Long-Distance 3,652 3,565 3, , % DB Bahn Regional 6,769 7,587 7, , % DB Bahn Urban 1,986 1,252 1, , % DB Arriva - - 1,046-1, DB Schenker Rail 4,951 4,055 4, , % DB Schenker Logistics 14,732 11,292 14, ,587 +2, % DB Services 1,297 1,237 1, , % DB Netze Track 4,375 4,369 4, , % DB Netze Stations 992 1,025 1, , % DB Netze Energy 2,169 2,308 2, , % Other/Consolidation -7,471-7,355-7, , % DB Group 33,452 29,335 34,410-1, ,456 +3, % Cons. eff. = Changes in scope of consolidation; FX-effects = Currency effects Deutsche Bahn AG 32

33 2010 Financial Year Development of Income Significantly less impact from special items in development of EBIT EBIT in Mrd. and EBIT adjusted ( mn) -17.7% 2, % ,685 1, ,817 EBIT Special items EBIT adjusted EBIT adjusted Special items EBIT Deutsche Bahn AG 33

34 2010 Financial Year Development of Income Differentiated EBIT development on business unit level EBIT adjusted ( mn) mn 2010 margin mn 2009 margin Change by business units ( mn) DB Bahn Long-Distance % % % DB Bahn Regional % % % DB Bahn Urban % % % DB Arriva % DB Schenker Rail % % DB Schenker Logistics % % % DB Services 1) % % % DB Netze Track % % % DB Netze Stations % % - - DB Netze Energy % % % Other/Consolidation % DB Group 1, % 1, % % 1) Margins based on segment revenues Deutsche Bahn AG 34

35 2010 Financial Year Profit Development Income increased stronger than expenses Adjusted P&L ( mn) Revenues , ,335 +5,075 Total income 39,253 33,598 +5,655 EBITDA adjusted 4,651 4, Depreciation -2,785-2, Financial result /- abs. % Cost of materials -19,134-15,295-3, Personnel expenses -11,583-10, Other operating expenses -3,885-3, EBIT adjusted 1,866 1, Extraordinary result Driver Revenue increase due to higher volumes in transport and logistics Inclusion of DB Arriva since 09/2011 Increase in purchased services (cost of materials) driven by volumes and prices Additional burdens due to higher maintenance expenses for busses, trains, wagons and rail infrastructure Profit before taxes 900 1, Taxes on income Net profit 1, Deutsche Bahn AG 35

36 2010 Financial Year Balance Sheet Equity ratio significantly improved, net financial debt reduced strongly Equity ( bn) Equity ratio (%) Net financial debt ( bn) +5.1 / +54.8% -5.6 / -28.7% * * * 2010 * Excluding Arriva Deutsche Bahn AG 36

37 2010 Financial Year Development of Net Financial Debt Redemption of net financial debt excluding Arriva acquisition Net financial debt ( mn) +12.8% +1,928 // +12.8% +1,928-1,045 / -7.0% +1,916 16,939 15,011-3,589 +2, ,966 +1, Cash flow Net capital Working 2010 pretax expenditures capital/ (excl. Arriva) Other Net financial debt (Arriva) Purchase price Arriva 2010 (incl. Arriva) Deutsche Bahn AG 37

38 2010 Financial Year Financial Debt Components of financial debt Financial debt ( mn; as of Dec 31) /- +2,043 Bonds 11,835 10,063 +1,772 18,553 + EUROFIMA loans 1, ,510 + Commercial paper Bank borrowings (incl. EIB) 1, ,176 11,932 +2,244 +1,928 + Finance Lease (present value) 1,424 1, Net: 15,011 Net: 16,939 + Other finance liabilities Financial debt excl. federal loans 17 15, , ,383 + Federal loans (present value) 2,936 3, Financial debt 18,553 16,510 +2,043 - Cash and cash equivalents and receivables from financing 1,614 1, Dec 31, 2009 Dec 31, 2010 Net financial debt 16,939 15,011 +1,928 Deutsche Bahn AG 38

39 2010 Financial Year Balance Sheet Stable balance sheet structure, capex and total assets increased Gross capex ( mn) Total assets ( mn) Balance sheet structure (as of Dec 31, 2010) 6, % 6,891 47, % 52,003 (Dec 31, 2009) Assets Non-current assets 85.6% (87.3%) Equity and liabilities Equity 27.5% (27.6%) Pension prov. 3.7% (3.7%) Net: Other provisions 12.0% (13.6%) +14.3% Financial debt 35.7% (34.9%) 1,813 2,072 Current assets 14.4% (12.7%) Other 21.1% (20.2%) Dec 31, 2009 Dec 31, 2010 Total 52.0 bn Total 52.0 bn Deutsche Bahn AG 39

40 2010 Financial Year Capital Expenditures Gross and net capital expenditures significantly higher Gross capital expenditures ( mn) By business unit /- abs. % +6.6% DB Bahn Long-Distance ,462 6,891 DB Bahn Regional DB Bahn Urban DB Arriva DB Schenker Rail Net: DB Schenker Logistics % DB Services ,813 2,072 DB Netze Track DB Netze Stations 4, , DB Netze Energy Other/consolidation DB Group 6,891 6, Deutsche Bahn AG 40

41 H At a Glance Highlights H General conditions Passenger transport Sustained recovery of global economy (world GDP +3.0%) German economy stays strong (GDP +3.9%) Prevailing insecurities as a result of the Euro/debt crisis High cost burdens due to increase in energy, personnel and maintenance expenses Stable development of German rail passenger transport Development influenced by one-time effects in H as well as in current year Transport and logistics Rail freight transport continues its strong growth Differentiated development in logistics: Strong increase in European land transport, slightly weaker development in ocean freight, slight decrease in air freight Infrastructure Greater demand for train-path, especially in freight transport business Trend towards greater demand by non-group customers continues Deutsche Bahn AG 41

42 H At a Glance Very good development in H Selected key figures ( mn) H H /- abs. % Revenues 18,876 16,102 +2, Revenues comparable 17,280 16,102 +1, EBIT adjusted 1, Net profit ROCE 1) 7.2% 5.9% - - Net financial debt as of Jun 30, 2011/Dec 31, ,290 16, Gross capital expenditures 2,689 2, ) In order to calculate an ROCE on a full-year basis, the figures for EBIT adjusted are extrapolated to the full year on the basis of a linear projection. Deutsche Bahn AG 42

43 H Capital Expenditures Noticeable increase of net capital expenditures Gross capital expenditures ( mn) By business unit H1 H / abs. % +7.5% DB Bahn Long-Distance ,689 DB Bahn Regional ,502 DB Arriva DB Schenker Rail DB Schenker Logistics Net: DB Services % DB Netze Track 1,872 1, ,049 DB Netze Stations DB Netze Energy H H Other/consolidation DB Group 2, , Deutsche Bahn AG 43

44 Strategy and Structure DB s clear vision forms the foundation of its strategic direction Vision On track for tomorrow DB`s Mission Statement Who are we? What is our goal? How do we achieve this? We will become the world s leading mobility and logistics company. Values We will strive to achieve this with our five values: Customer-oriented Economically successful Progressive Collaborative Responsible which will convince our customers, employees and owners. Deutsche Bahn AG 44

45 Strategy and Structure With strong core business, developing new products and entering new markets Strategic directions Development of new offers Expand integrated offers Worldwide leading mobility and logistics company Offer mobility and logistics solutions Further development of core business Stabilize core business Improve quality and efficiency Services/Products Core business Expand into new markets Further develop transport networks Expand market presence and share of market markets Deutsche Bahn AG 45

46 Strategy and Structure DB is the second biggest provider in the European passenger transport market 2.0 Billion passengers via rail per year 27,000 Passenger trains per day Once around the world the approx. distance traveled monthly by every ICE train in Germany 10.1 percent modal split rail in Germany DB Bahn Long Distance DB Arriva DB Bahn Regional DB Bahn Sales 1) Figures excluding Arriva; 1) Service center within the Passenger Transport division. Deutsche Bahn AG 46

47 Strategy and Structure Future mobility solutions will link together all modes of transport Integrated mobility solutions Vision Station-to-station Door-to-door Door-to-door information Online ticket Mobility BC 100 Parking at the station Connect to local public transport We integrate all intermodal transport services from door-to-door comprehensively and across regions using internal as well as external service providers using intelligent mobility management to deliver customer-oriented mobility solutions! From a train operating company to mobility manager Deutsche Bahn AG 47

48 Strategy and Structure DB is the second biggest worldwide provider of transport and logistics services 415 Million tons of freight shipped via rail per year 1.2 Million tons of air freight per year 1.6 Million TEU 1) ocean freight per year 81 Million shipments sent via European land transport per year More than 4 Million square feet of warehouse space around the world DB Schenker Rail DB Schenker Logistics 1) Twenty-foot Equivalent Unit Deutsche Bahn AG 48

49 Strategy and Structure DB Schenker offers customers integrated logistics chains from a single source Value added services Value added services Door-to-door solutions, tracking Supply Chain Management Key Account Management Deutsche Bahn AG 49

50 Strategy and Structure DB operates the biggest rail network in the heart of Europe 5,700 Train stations 64,000 km total track length 27,000 Railway bridges 800 Railway tunnels 67,000 Switches/train-crossings 5th Largest power provider in Germany DB Netze Track DB Netze Stations DB Netze Energy DB Netze Projects 1) 1) Service center within the Infrastructure division. Deutsche Bahn AG 50

51 Relevant Markets 40 bn of long-term secured revenues in regional transport Long-term secured revenues 40 bn Remarks As of December 31, 2010 the volume of revenues secured by long-term contacts (concession fees) in the DB Bahn Regional business unit was 28 billion. As of December 31, 2010, we expect the DB Arriva business unit to generate revenues of 12 billion. These revenues include concession fees and expected farebox revenues ff Due to the huge number of contracts in bus transport and the insignificance of concession fees no detailed calculations with respect to secured revenues in bus transport in Germany have been performed. Deutsche Bahn AG 51

52 Contacts DB road show team Dr. Richard Lutz Wolfgang Reuter Robert Allen Strehl Martin Masch CFO Group Treasurer, Head of Mergers and Acquisitions Tel.: Head of Investor Relations Tel.: Senior Manager Investor Relations Tel.: Address Deutsche Bahn AG/ DB Mobility Logistics AG Europaplatz Berlin Germany Internet Hartwig Schneidereit Head of Capital Market Financing Tel.: hartwig.schneidereit@deutschebahn.com Marcus Mehlinger Head of Equity and Debt Financing Tel.: marcus.mehlinger@deutschebahn.com Ute Haas Capital Market Financing Tel.: ute.haas@deutschebahn.com Deutsche Bahn AG 52

53 Appendix Disclaimer This information contains forward-looking statements or trend information that are based on current beliefs and estimates of Deutsche Bahn AG s/db Mobility Logistics AG s management and involves known and unknown risks and uncertainties. They are not guarantees of future performance. In addition to statements which are forward-looking by reason of context, including without limitation, statements referring to risk limitations, operational profitability, financial strength, performance targets, profitable growth opportunities, and risk adequate pricing, as well as the words "may, will, should, expects, plans, intends, anticipates, believes, estimates, predicts, or continue", "potential, future, or further", and similar expressions identify forward-looking statements. These forward-looking statements are subject to certain risks and uncertainties that could cause the Company's actual results or performance to be materially different from those expressed or implied by such statements. Many of these risks and uncertainties relate to factors that are beyond Deutsche Bahn AG s/db Mobility Logistics AG s ability to control or estimate precisely, e.g. future market and economic conditions and the behavior of market participants. Deutsche Bahn AG and DB Mobility Logistics AG do not intend or assume any obligation to update these forward-looking statements. This document represents the Company s judgment as on the date of this presentation. Deutsche Bahn AG 53