Siemens AG — Share Issue/Capital Change 2007

Nov 7, 2007

News Details

Ad-hoc | 7 November 2007 21:36

Siemens AG: decides capital structure target and share buy back program

Siemens Aktiengesellschaft / Strategic Company Decision

Release of an Ad hoc announcement according to § 15 WpHG, transmitted by
DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.

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Siemens AG decided today, that it will set a capital structure target in
line with its Fit 4 2010 program in order to optimise its capital
structure. The capital structure target ratio 'Adjusted industrial net
debt' to 'EBITDA' is set to be in the range of 0.8x – 1.0x, and shall be
achieved by fiscal year end 2010.

In order to achieve the capital structure target Siemens intends to buy
back shares of Siemens AG in the amount of up to EUR 10 billion by fiscal
year end 2010. Through resolution of the Shareholders’ Meeting of January
25, 2007, Siemens AG is authorized pursuant to section 71 para.1 no. 8 of
the German Stock Corporation Act (Aktiengesetz, AktG) to acquire own shares
up to 10% of the its capital stock until July 24, 2008. Within this
authorization the Managing Board has adopted a share buy back program which
has been approved by the Supervisory Board. Accordingly this allows to
acquire by purchase over the stock exchange up to a maximum of 82 million
shares of Siemens AG for the purpose of cancellation and reduction of
capital stock as well as to buy back up to a maximum of 7 million shares of
Siemens AG to fulfill obligations arising out of stock compensation
programs. On the basis of the current share price this amounts to a volume
of approximately EUR 8.5 billion.

Timing and details regarding the start of the share buy back program will
be announced separately. The buy back will be carried out lead-managed by
banks and will be executed pursuant to the Regulation (EC) no. 2273/2003 of
the Commission of December 22, 2003.

Siemens intends that the Managing Board and the Supervisory Board will
propose at the Shareholders’ Meeting to be held on January 24, 2008 to
renew the authorization to buy back shares of up to 10 % of the share
capital.

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Information and Explaination of the Issuer to this News:

Disclaimer
This document contains forward-looking statements and information – that
is, statements related to future, not past, events. These statements may be
identified by words such as 'expects,' 'looks forward to,' 'anticipates,'
'intends,' 'plans,' 'believes,' 'seeks,' 'estimates,' 'will' or words of
similar meaning. Such statements are based on our current expectations and
certain assumptions, and are, therefore, subject to certain risks and
uncertainties. A variety of factors, many of which are beyond Siemens’
control, affect its operations, performance, business strategy and results
and could cause the actual results, performance or achievements of Siemens
worldwide to be materially different from any future results, performance
or achievements that may be expressed or implied by such forward-looking
statements. For us, particular uncertainties arise, among others, from:
changes in general economic and business conditions (including margin
developments in major business areas); the challenges of integrating major
acquisitions and implementing joint ventures and other significant
portfolio measures; changes in currency exchange rates and interest rates;
introduction of competing products or technologies by other companies; lack
of acceptance of new products or services by customers targeted by Siemens
worldwide; changes in business strategy; the outcome of pending
investigations and legal proceedings; our analysis of the potential impact
of such matters on our financial statements; as well as various other
factors. More detailed information about our risk factors is contained in
Siemens’ filings with the SEC, which are available on the Siemens website,
www.siemens.com, and on the SEC’s website, www.sec.gov. Should one or more
of these risks or uncertainties materialize, or should underlying
assumptions prove incorrect, actual results may vary materially from those
described in the relevant forward-looking statement as expected,
anticipated, intended, planned, believed, sought, estimated or projected.
Siemens does not intend or assume any obligation to update or revise these
forward-looking statements in light of developments which differ from those
anticipated.

EBITDA (adjusted), Return on capital employed, Free cash flow, Cash
conversion and Net debt are Non-GAAP financial measures. A reconciliation
of these amounts to the most directly comparable IFRS financial measures is
available on our Investor Relations website under www.siemens.com/ir,
Financial Publications, Quarterly Reports. 'Group profit from operations'
is reconciled to 'Income before income taxes' of Operations under
'Reconciliation to financial statements' in the table 'Segment
Information.'

Irina Pchelova
+49 89 636 33693

07.11.2007 Financial News transmitted by DGAP

Language: English
Issuer: Siemens Aktiengesellschaft
Wittelsbacherplatz 2
80333 München
Deutschland
Phone: +49 (0)89 636-00
Fax: +49 (0)89 636-32908
E-mail: investorrelations@siemens.com
Internet: www.siemens.com
ISIN: DE0007236101
WKN: 723610
Indices: DAX, EURO STOXX 50
Listed: Regulierter Markt in Berlin, Frankfurt (Prime Standard),
Hannover, München, Hamburg, Düsseldorf, Stuttgart;
Terminbörse EUREX; Foreign Exchange(s) London, NYSE, SWX

End of News DGAP News-Service

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