thyssenkrupp AG — Interim / Quarterly Report 2013

Feb 14, 2014

THYSSENKRUPP AG 1ST QUARTER October 01 – December 31, 2013

Developing the future.

ThyssenKruppinbrief

ThyssenKrupp has around 157,000 employees in nearly 80 countries working with passion and expertise to develop solutions for sustainable progress. Their skills and commitment are the basis of our success. In fiscal year 2012/2013 ThyssenKruppgeneratedsalesofaround€39billion.

For us, innovations and technical progress are key factors in managing global growth and using finite resources in a sustainable way. With our engineering expertise in the areas of "Mechanical", "Plant" and "Material", we enable our customerstogainanedgeintheglobalmarketandmanufactureinnovativeproductsinacost-andresource-friendlyway.

ThyssenKruppstockmasterdata

ISINInternationalStockIdentificationNumber	DE0007500001
Stockexchanges	FrankfurtPrimeStandard,Düsseldorf
Symbols
BloombergXetratrading	TKAGY
ReutersXetratrading	TKAG.DE
Frankfurt,Düsseldorfstockexchanges	TKA

Contents

1stquarter2013/2014—October01–December31,2013

C2

ThyssenKruppinbrief

InterimManagement Report

02

ThyssenKruppinfigures

03 Strategicdevelopment oftheGroup

06 Groupreview

10 Expecteddevelopments

12 Businessareareview

20 Resultsofoperationsand financialposition

23 Subsequentevents

24 ThyssenKruppstock

24 Rating

25 Innovations

25 Employees

26 Compliance

26 Macroand sectorenvironment

30

Opportunitiesandrisks

Condensedinterim financialstatements

32 Consolidatedstatement offinancialposition

33 Consolidatedstatement ofincome

34 Consolidatedstatement ofcomprehensiveincome

35 Consolidatedstatement ofchangesinequity

36 Consolidatedstatement ofcashflows

37 Selectednotestothe consolidatedfinancial statements

53 Reviewreport

Further information

54 ReportbytheSupervisory BoardAuditCommittee

55 Contactand 2014/2015dates

Thisinterimreportwaspublishedon February14,2014.

ThyssenKruppinfigures

Group

			FullGroup1(				Continuingoperations2(
		1stquarter 2012/2013	1stquarter 2013/2014	Change	Change in%	1stquarter 2012/2013	1stquarter 2013/2014	Change	Change in%
Orderintake	million€	11,202	10,671	531	5	10,063	10,671	608	6
Netsalestotal	million€	10,412	9,109	1,303	13	9,189	9,109	80	1
EBITDA	million€	444	655	211	48	371	468	97	26
EBIT	million€	169	398	229	136	97	211	114	118
EBITmargin	%	1.6	4.4	2.8	—	1.1	2.3	1.2	—
AdjustedEBIT	million€	38	247	209	550	107	247	140	131
AdjustedEBITmargin	%	0.4	2.7	2.3	—	1.2	2.7	1.5	—
EBT	million€	9	42	33	--	73	229	156	--
Netincome/loss/Income/lossnetoftax	million€	16	69	53	--	75	256	181	--
attributabletoThyssenKruppAG's shareholders	million€	1	64	63	--	61	251	190	--
Basicearningspershare	€	0.00	0.12	0.12	—	0.12	0.47	0.35	--
Operatingcashflow	million€	140	147	287	++	54	147	93	172
Cashflowfromdisposals	million€	934	23	911	98	934	23	911	98
Cashflowforinvestments	million€	433	232	201	46	334	232	102	31
Freecashflow	million€	361	62	423	--	654	62	716	--
EmployeesDec.31		154,850	156,633	1,783	1	154,850	156,633	1,783	1
NetfinancialdebtDec.31	million€	5,205	4,459	746	14
TotalequityDec.31	million€	4,267	3,273	994	23

1Prior-yearfiguresforallincomefiguresexceptEBITDAandtotalequityhavebeenadjusted.

2Prior-yearfigureshavebeenadjusted.

Businessareas

		Orderintake million€	million€	Netsalestotal		million€	EBIT	million€	AdjustedEBIT Employees
	1stquarter 2012/2013	1stquarter 2013/2014	1stquarter 2012/2013	1stquarter 2013/2014	1stquarter 2012/2013	1stquarter 2013/2014	1stquarter 2012/2013	1stquarter 2013/2014	Dec.31, 2012	Dec.31, 2013
ComponentsTechnology	1,324	1,439	1,345	1,428	43	56	42	64	27,789	28,057
ElevatorTechnology	1,616	1,801	1,532	1,544	171	133	169	175	47,897	49,348
IndustrialSolutions	2,002	2,295	1,306	1,288	141	173	140	173	18,176	18,982
MaterialsServices	2,765	2,842	2,815	2,739	36	43	40	34	26,280	25,128
SteelEurope	2,403	2,274	2,253	2,074	29	20	30	19	27,629	26,658
SteelAmericas1	560	609	488	538	122	1	122	17	3,990	5,491
Corporate	55	42	55	42	112	116	97	103	3,089	2,969
Consolidation	662	631	605	544	89	99	95	98	0	0
ContinuingOperations	10,063	10,671	9,189	9,109	97	211	107	247	154,850	156,633

1Prior-yearfiguresforEBITandAdjustedEBIThavebeenadjusted.

The Steel Americas business area, having been classified as a discontinued operation in accordance with IFRS at September 30, 2012, was reclassified as a continuing operation at September 30, 2013; the prior-year figures have been adjusted accordingly. Within Steel Americas, ThyssenKruppSteelUSAis reportedasa disposal group.FollowingthedisposalofthediscontinuedStainlessGlobalattheendofthe1st quarter 2012/2013asaresultofthecombinationwiththeFinnishcompanyOutokumpu,incomewasrecordedinthe1stquarter2013/2014whichisdirectly relatedtothisand representsthediscontinuedoperations.The29.9%financialinterestinOutokumpuobtainedaspartofthetransaction,whichis accountedforbytheequitymethodandwhoseincomeeffectsarenotincludedinEBITduetoitsnon-operatingnature,isreportedasanavailablefor salefinancialassetfollowingtheannouncementonNovember29,2013oftheplantoselltheentireshareholding.Asoftheendofthe1stquarter 2012/2013theGroupconsistsexclusivelyofcontinuingoperations;theycomprisesixbusinessareasandCorporate.

StrategicdevelopmentoftheGroup

Demographic change,the globalization of goodsflows andthe rapid growth of mega citiesmeanthat global demand is risingallthetime.Theworldneeds"more"consumerandcapitalgoods,infrastructure,energyandrawmaterials.However, thisgrowingdemandissetagainstthefinitenatureofnaturalresources.Atthesametime,climatechangeisnowareality, andpoliticalconditionsalsocallfor"better"solutions.Theworlddoesnotjustneed"more",butaboveall"better":Weneed to use resourcesmore efficiently, reducethe environmental impact of producing consumer and capital goods, and build sustainableinfrastructure.

With its engineering expertise, ThyssenKrupp offers solutions to these challenges and with its capital goods, materials, industrialprocessesandservicesalreadymeetsrequirementsfor"more"and"better"inmanyareas–bothinindustrialized countriesandinemergingmarkets.Ourtechnologicalexpertise andthehigh quality of our productsandservices create valueforourcustomersandgiveusaclearcompetitiveedge.

To align ThyssenKrupp more closely with these trends as a diversified industrial group we launched our Strategic Way Forward inMay 2011. The pillars ofthis holistic program are continuous portfolio optimization, changes in our corporate culture,leadershipandstructure,andastrongerperformanceorientation.Thiswillstrengthenourfinancialbaseandgiveus the freedom to expand our activities strategically. We took further important steps in implementing the Strategic Way Forwardinthe1stquarter2013/2014.

SustainablesolutionforSteelAmericas

OnNovember29,2013wesignedanagreementwithaconsortiumofArcelorMittalandNipponSteel&SumitomoMetal Corporation Ethe consortiumF onthe sale ofthe ThyssenKrupp Steel USA rolling and coating plant in Calvert/Alabama. Upon closing of the transaction ThyssenKrupp will receive a purchase price of 1.55billionUS dollars for the plant in Alabamaandalong-termslabsupplycontract.AsustainablesolutionhasthusalsobeenachievedfortheThyssenKrupp CSAsteelmillinBrazil.Ithasbeencontractuallyagreedthattheconsortiumwillpurchase2milliontonsofslabsperyear fromThyssenKruppCSAuntil2019.Basedontheagreedtransactionweareconfidentthatinthecomingyearswecan build onthe operating improvements already achieved at Steel Americas inthe pastfiscal year and better exploitthe market opportunities arising from the changed parameters. At the beginning of February 2014 the approval of the relevant regulatory authorities had been received.Withthe sale andtheslabsupply contract ThyssenKrupp is creating importantconditionsforfurtherimprovementstoitscashflowprofileandkeyfinancialratios.

EndingofallfinanciallinkswithOutokumpu

AspartofthenecessaryfinancialrestructuringmeasuresatOutokumpu,onNovember29,2013wesignedanagreement withOutokumputransferringbacktoThyssenKruppallofthesharesofVDMandASTaswellasothersmalleroperationsin thestainlessservicecentersector.Inreturn,thefinancialreceivablecreatedinconnectionwiththeInoxumtransactionwill be transferred to Outokumpu. With this step we are reducing risk and securing value for our company. To meet the conditions of the EU Commission ThyssenKrupp will also fully divest its 29.9% stake in Outokumpu and end all other financiallinkswiththeOutokumpugroup.WiththeclearancebytheEUCommissiononFebruary12,2014,theapprovalof almostalltheregulatoryauthoritiesforthetransactionhasbeenreceived.Theclosingisstillsubjecttothecooperationand approvalofshareholders,banksandcreditorsfortheoverallplanforasustainablerefinancingofOutokumpu.

Moredetailsonthetransactionscanbefoundinthe2012/2013AnnualReport,section"ProfileandStrategy".

InadditiontotheportfoliooptimizationprogramadoptedinMay2011wearealsoworkingonfurtherdivestmentprojectsas part of ourstrongerfocus on performance.Disposal processes havealready beeninitiated inthe constructionmachinery componentsbusinessoftheComponentsTechnologybusinessareaandtherailway/constructionbusinessoftheMaterials Services business area. The process initiated inthe Steel Europe business areatosellthe grain-oriented electricalsteel businesswithplantsinGelsenkirchen,GermanyandIsbergues,France,andtheelectricalsteeloperationsinNashik,India, isalsoinprogress.

Expansioninimportantgrowthareasandinnovations

In the reporting period wefurther strengthened the strategically important growth areas of engineering and elevators, investinginparticularinorganicgrowth.

• In November 2013the Industrial Solutions business area signed an agreement with Industrie De Nora, a provider of electrochemicaltechnologiesbasedinMilan,Italy,tosetupajointventure.Bycombiningtheirengineering,procurement and construction activities in the field of electrolysis plants both partners will widen their technology platforms and increaseproximitytocustomersaswellasglobalpresence.UnderthenameThyssenKruppUhdeChlorineEngineersthe newcompanywillbe runbyThyssenKruppIndustrialSolutionsasmajorityownerandconsolidated.Itwillbebasedin DortmundandhaveaworldwidepresencewithfurthersitesinJapan,China,ItalyandtheUSA.Theagreementissubject toapprovalbythecompetentcompetitionauthorities.
• To better exploit global market opportunities in engineering, an important growth area for the Group, the previously separate engineering companies ThyssenKrupp Uhde and ThyssenKrupp Resource Technologies Epreviously created from ThyssenKrupp Polysius and ThyssenKrupp FördertechnikF were combined under the roof of ThyssenKrupp IndustrialSolutionsinJanuary2014.Integrationandregionalizationarecentralelementsinachievingourgrowthtargets intheengineering business and increasingefficiency.Byfocusing our competencies in a globalenterprisewe aimto optimallyexploitmarketpotentialinthegrowthregionsandincreasesalesbyonaveragemorethan5%peryearinthe comingyears.
• As well as further strengthening its service business through acquisitions in Germany and France, the Elevator Technology business area invested inexpanding andmodernizing its plants.InGermanytheNeuhausen site is being expanded into a state-of-the-art technology park. In addition, Elevator Technology plans to build a research and developmentcenterinRottweil,Germanytotestelevatorsforthetallestbuildingsintheworld.
• Inthe Components Technology business area we are expanding our presence in Europe and above all inthe growth regionsofBrazil,China,IndiaandtheNAFTAregion.InDecember2013anewfactorywasopenedinChengduEChinaFto buildautomotivespringsandstabilizersfortheChinesemarket.

Wealsofurtherintensifiedourresearchanddevelopmenteffortsinthereportingquarter.Acollaborativeresearchprogram wassetupwithpartnersfromindustryandacademiatodevelopanewtechnologytouseprocessgases,inparticularCO2, asarawmaterial–atechnologywithpositiveimplicationsforclimateprotectionandsignificantmarketpotential.Youcan readmoreaboutitinthesection"Innovations".

Corporateprogram"impact2015"makinggoodprogress

The corporate programimpactcombinestargeted performance-enhancing initiatives andmeasuresthatsupporttheGroup's Strategic Way Forward. The aim ofthe efficiency program "impact 2015" isto achieve a cumulative positive EBIT effect of €2.3billion from performance measures in the three fiscal years 2012/2013 through 2014/2015. The previous target of €2.0billionwasincreasedasaresultofthereintegrationofThyssenKruppCSAasacontinuingoperation.

We already achieved savings of €600million inthe pastfiscal year, significantly exceeding our €500milliontarget. Forthe currentyeartoo,weareconfidentthatwecanmeetoursavingstargetof€850million.Inthe1stquarter2013/14additional EBITeffectsofapprox.€200millionwereachievedandconcretemeasureswereputinplacetodelivertheremainingsavings target. Important contributions are being made by the Groupwide initiative synergize+, a program to optimize purchasing procedures,andprogramsinthebusinessareasthatarebeingcontinuedorlaunchedthisfiscalyear.

ACTcreatesnewGroupleadershipstructurewithcompetitivecosts

With the corporate initiative ACT E"Achieve Change@ThyssenKrupp"F ThyssenKrupp is optimizing its leadership and businessstructuresandassociatedprocesses.ACTsupportsculturechangeandimprovementstoperformance,efficiency andprofitabilitythroughouttheGroup.Extensivecompetitiveanalysesandbenchmarkstudieshaveidentifiedsavingsand optimizationopportunitiesamountingtoaround€250millioninconnectionwiththenewstructuresandprocesses.Mostof theeffectsaretobeachievedbytheendoffiscalyear2014/2015.Thenumberofemployeesinadministrativefunctionsis tobereducedbyroughly3,000fromitspresentlevelof15,000.Inaninitialstepthecorporatefunctionsweresignificantly reduced in number and reorganized. Corporate headquarters and the head offices of the business areas have been operatinginthenewstructuresinceOctober01,2013.Thenew,moreefficientstructuresandprocessesarecurrentlybeing implemented inthe individual business units and regions.In asecondstep,keyfunctions currently performed locally by sharedservicesunitssuchasThyssenKruppBusinessServicesandThyssenKruppITServiceswillbecombinedina"Global SharedServices"unit.Thisconcernssite-independentactivitiessuchascertainaccounting,IT,realestatemanagementand humanresourcesfunctions.Wearecurrentlyinformalnegotiationsonefficiencygoalswiththeemployeeside.Inaddition, theGroup'sstructurewillberoutinelyreviewedinthefutureaspartoftheannualstrategyprocessinordertoensureitis continuouslyenhancedandadaptedinlinewithchangingconditions.

Focusongovernanceandcompliance

ThyssenKrupp has made a clear commitmentto compliance with laws and internal policies: Any violations, in particular antitrustorcorruptionviolations,willbemetwithzerotolerance.Allreportsofmisconductwillbeinvestigated.

TheSupervisoryBoardChairmanProf.Dr.UlrichLehnerhasselectedcorporategovernanceandcomplianceaskeyareasof his work. Effective February01, 2014 the Supervisory Board appointed Dr. Donatus Kaufmann as a member of the Executive Board. He heads the newly created Legal and Compliance directorate. This further reinforces our decision to intensifycomplianceactivitiesintheGroup.

Moreinformationonourcomplianceactivitiescanbefoundinthesection"Compliance".

Groupreview

Operatingmilestonesachieved

ThyssenKruppachieveditsoperatingtargetsforthe1stquarter2013/2014EOctober01–December31,2013F:

AdjustedEBITfromcontinuing operationscameto€247million,morethandoublethe prior-yearfigure,well upfromthe prior quarter andfully in linewith our outlookforthefiscal year. All business areasexceptSteelAmericasmade clearly positive contributions;the losses at Steel Americas were reduced considerably. The capital goods businesses increased theirearningsyear-on-yearto€412millioninthefirstthreemonths.Thiswassignificantlyhigherthanthecontributionof thematerialsbusinesses,whichhoweverwaspositiveoverallat€36millionevenincludingSteelAmericas.AdjustedEBITat Corporatecameto€E103Fmillionandconsolidation€E98Fmillion.

Freecashflowfromcontinuingoperationsbeforedivestmentsalsoimprovedsignificantlyyear-on-yearby€195millionto €E85Fmillion. The capital increase carried out at the beginning of December 2013 with gross proceeds of €882million madeitpossibletoreducethenetfinancialdebtofthefullGroupfrom€5.0billionattheendoffiscalyear2012/2013to €4.5billion, strengthen equity from €2.5billion to €3.3billion and reduce gearing by around 64 percentage points to 136.2%.Bytheend ofthe currentfiscal yearweexpect afurther improvement in gearing, particularly as a result ofthe expectedproceedsfromthesaleofThyssenKruppSteelUSA.

Withcash,cashequivalentsandcommittedundrawncreditlinestotaling€7.6billionatDecember31,2013,ThyssenKrupp issolidlyfinanced.

Capitalgoodsbusinessesdrivegrowthinorderintake

ThyssenKruppheldupwelloverallinacontinuingchallengingeconomicclimateinthe1stquarter2013/2014;keydrivers forthegrowthinorderintakewerethesolidperformancesofthecapitalgoodsbusinesses.

Order intake from continuing operations came to €10.7 billion, up 18% quarter-on-quarter and 6% year-on-year; on a comparable basis, i.e. excluding currency and portfolio effects, order intake increased by 10% year-on-year. There were gains of over 10% inthe elevator business, which set a new recordthanks largelyto strong growth inthe Asia-Pacific region,andinthe projectbusiness:Aided by alarge orderfromAsiaforMarineSystems,IndustrialSolutions recorded a 15% increase on its already high prior-year order intake, which benefited from a major order for petrochemical plants. OrdersinhandatElevatorTechnologyandIndustrialSolutionsincreasedinthe1stquarter2013/2014byaround€1billion in total to more than €19billion at December31, 2013, almost matching the high prior-year figure. Order intake at ComponentsTechnologywasdownslighlyquarter-on-quarterforseasonalreasonsbutincreasedsignificantlyyear-on-year thanks to a slight improvement in the industrial components business and new product launches in the automotive business.Withvolumesgenerallyrobustaidedbynumeroussalesinitiatives,globalmaterialstradingandthesteelbusiness inEuropewereweigheddownbypersistentpricepressureandintensecompetition.Despitethis,orderintakeatMaterials Serviceswashigheryear-on-yearthankstoasignificantincreaseinvolumesinthewarehousingbusiness;newordersat Steel Europe were down year-on-year, partly due to divestments, with volumes largely unchanged. Ordering activity at Materials Services declined slightly quarter-on-quarter,mainlyfor seasonal reasons, whilethe volume and value of new ordersatSteelEuropeincreasedfromthepriorquarter.SteelAmericasimprovedsignificantlyyear-on-yearandquarter-onquarterdueto positiveprice,volumeand productmixeffects;morethan20% of ordervolumescamefromexternalslab customers.

At €9.1billion in the 1st quarter, sales from continuing operations were down quarter-on-quarter mainly for seasonal reasons andslightly loweryear-on-year; on a comparable basissales increased by 4%year-on-year. Sales inthe global materialstradingbusinessandEuropeansteelbusinessdecreasedyear-on-yearduemainlytodivestments,exchangerate factors and lower prices. Sales at Industrial Solutions were down slightly temporarily due to exchange rate and billing factors. Despite negative exchange rate effects, there were sales increases in the components business, the elevator businessandatSteelAmericas.

OrderintakeandsalesofthefullGroupinthereportingquarterwerelowerthanthecorrespondingprior-yearfigures,which stillincludedthediscontinuedoperationStainlessGlobal.

AdjustedEBITmorethandoubledyear-on-yearat€247million

In a continuing difficult and highly competitive climate, adjusted EBIT from continuing operations in the 1stquarter 2013/2014at€247millionimprovedquarter-on-quarterbymorethan50%onlowersalesandmorethandoubledyear-onyearoncomparablesales.

Adjusted EBIT was higher year-on-year in all our capital goods businesses. Components Technology and Industrial Solutionsalsoimprovedquarter-on-quarter.AllcapitalgoodsbusinessesincreasedtheiradjustedEBITmarginbothyearon-yearandquarter-on-quarter;atElevatorTechnologythemargininthe1stquarterwas11.3%.

AtMaterialsServicesandSteelEuropeadjustedEBITwaslowerquarter-on-quarter,mainlyforvolumereasonsinaclimate ofcontinuinghighpricepressureandintensecompetition,butwasstillclearlypositiveandlargelyunchangedyear-on-year –aidedbynumerousefficiencymeasuresandsalesinitiatives.SteelAmericaswasstillslightlynegativewithadjustedEBIT of €E17Fmillion in the reporting quarter but reduced its losses year-on-year and quarter-on-quarter by more than €100millionthankstoefficiencyandvolumegainsandpositivecurrencyandmarketpriceeffectsintheUSA.

Including the discontinued operations the Group's adjusted EBIT increased from €38million to €247million in the 1st quarter2013/2014. Themain reasonswereimprovements inthecontinuing operationsandtheabsence ofthelossesat StainlessGlobalfromtheprior-yearquarterwiththecompletionofthedisposal.

EBITandfinancialpositionimpactedbyspecialitems

Inthe1stquarter2013/2014EBITfromcontinuingoperationswasimpactedbynetspecialitemsof€36million.Thespecial items related in particular to restructuring provisions at Elevator Technology and Components Technology as well as expenses at Corporate in connection with portfolio measures. These were partly offset by a disposal gain at Materials Servicesandincomefromtheupdatedvaluationofalong-termfreightagreementatSteelAmericas.

SpecialitemsfromContinuingOperations

million€	1stquarter 2012/2013	1stquarter 2013/2014	Change in%
EBIT1	97	211	118
+/-Disposallosses/gains	5	2	++
+Restructuringexpenses	13	50	285
+Impairment	1	1	0
+Othernon-operatingexpenses	6	3	50
-Othernon-operatingincome	3	18	--
AjustedEBIT1	107	247	131

Afterspecialitems,EBITfromcontinuingoperationstotaled€211million.Theprior-yearfigurewas€97million.

However,after-taxearningsfromcontinuingoperationsdeterioratedyear-on-yearfrom€E75Fmillionto€E256Fmillion.The main reason was the previously announced €276million charge to financial income/expense, net attributable to the Outokumpushareholding.

ThenetlossofthefullGroupcameto€69million.Theabovechargetofinancialincome/expense,mainlyresultingfromthe saleoftheOutokumpusharesagreedaspartofthetransactioninordertoendthefinanciallinksbetweenThyssenKrupp andOutokumpu,waspartlyoffsetbyincomeof€187millionattributabletothediscontinuedoperationsduetotheabsence of previously recognized risks. This income stemsmainlyfromthe reversal of provisionsforthe obligationto offset any negativefinancialconsequencesforOutokumpuundermergercontrolrequirementsinconnectionwiththesaleofInoxum toOutokumpu.ThenetlossattributabletoshareholdersofThyssenKruppAGwas€64million;earningspersharetherefore cameto€E0.12F.

Freecashflowbeforedisposalsimprovedandnetfinancialdebtreduced

Inthe 1st quarter 2013/2014free cashflowfrom continuing operations before disposals improvedsignificantly year-onyearby€195millionto€E85Fmillion.IncludingsmallerdisposalsthefreecashflowofthefullGroupcameto€E62Fmillion; intheprioryear,whichincludedthecashinflowsfromtheInoxumtransaction,itwas€361million.

The full Group's net financial debt at December31, 2013 came to €4,459million, down both from a year earlier E€5,205millionFandfromSeptember30,2013E€5,038millionF.

Netfinancialdebtiscalculatedasthedifferencebetweenthecashandcashequivalentsshowninthestatementoffinancial positionpluscurrentotherfinancialassetsavailableforsale,andnon-currentandcurrentfinancialdebt;thecorresponding assetsintendedforsaleofthedisposalgroupsandthediscontinuedoperationsarealsotakenintoaccount.

ThyssenKrupp AG has agreements with banks which contain certain conditions in the event that the gearing ratio Enet financialdebttoequityFintheconsolidatedfinancialstatementsexceeds150%attheclosingdateESeptember30F.

AtDecember31,2013thegearingratiowas136.2%,around64percentagepointslowerthanthefigureatSeptember30, 2013andbackbelowthegearinglimitof150%.Themainreasonfortheimprovementwasthecapitalincreasecarriedout inearly December 2013. Bythe end ofthefiscal yearweexpect afurther improvement in our gearing, particularly as a resultoftheexpectedproceedsfromthesaleofThyssenKruppSteelUSA.

At December 31, 2013the Group's available liquidity amountedto €7.6billion, consisting of €4.1billion cash and cash equivalents and €3.5billion undrawn committed credit lines. There is thus sufficient scope to cover upcoming debt maturities.Thegrossfinancialliabilitiesrepayableuptotheendofthenextfiscalyear2014/2015amountto€2.7billion. ThyssenKruppisthussolidlyfinanced.

Capitalincreasesuccessfullyplaced

On December02, 2013 the Executive Board decided to increase the capital stock of ThyssenKrupp AG by a nominal €131,709,191.68, i.e. around 10% of the capital stock, by issuing 51,448,903 new shares excluding shareholders' subscriptionrights.OnDecember03,2013thenewlyissuedshareswereplacedwithGermanandinternationalinstitutional investorsatapriceof€17.15pershareinanacceleratedbookbuildingprocess.Theplacementresultedingrossproceeds of €882.3million, which will contribute to strengthening equity and reducing net financial debt. The capital stock of ThyssenKruppAGisnow€1,448,801,144.32andisdividedinto565,937,947noparbearershares.

Theplacementpriceof€17.15wasbasedontheofferssubmittedbyinstitutionalinvestorsintheacceleratedbookbuilding process.Theplacementpricewasthereforeclosetothestockmarketprice.Itrepresentedadiscountofonly2.75%tothe previous day's Xetra closing price, much less than the maximum 5% discount allowed. Thanks to the liquid trading in ThyssenKruppshares,allshareholdershadthechancetomaintaintheir percentageshareholding bybuyingthe requisite shares onthestockmarket on approximatelythesame conditions. Thespeed ofthe placement andthefactthat itwas almostthreetimesoversubscribedbymainlylong-terminvestorsconfirmsthetrustofthecapitalmarketinthelong-term strategyofThyssenKrupp.

Capitalexpendituresdownyear-on-year

In the 1st quarter 2013/2014 ThyssenKrupp invested a total of €232 million, €201 million less than a year earlier. €99millionofthedeclinewasattributabletothediscontinuedoperationsandresultedfromtheabsenceofcapitalspending atStainlessGlobalafterthedisposal.

Inthefirst3monthsofthecurrentfiscalyearwespent€90milliononthecapitalgoodsbusinessesandhereparticularlyon ComponentsTechnology,despiteayear-on-yeardecline.Themajorityofthebudgetforourcomponentsbusinessrelatesto the growth regions BIC andNAFTA;forexamplewe opened a newsprings andstabillizersfactory inChengdu EChinaF in December 2013. We invested a total of €126million in our materials businesses. Of this €91million went on the steel businessinEurope,wherethelevelofinvestmentwasunchangedfromayearearlier,whereasinvestmentinSteelAmericas showedafurtherlargedecline.

Expecteddevelopments

ThefollowingforecastrelatestothecontinuingoperationsoftheGroupafterthereclassificationofSteelAmericasEincl.the disposalgroupThyssenKruppSteelUSAF;notincludedarethesalesandearningseffectsfromtheplannedtransferofthe shares in the VDM and AST groups from Outokumpu to ThyssenKrupp in return for the transfer to Outokumpu of the financialreceivablecreatedinconnectionwiththesaleofInoxum:

Salesandearnings–Fromthepresentperspective,theGroup'sbusinessperformanceinthe2013/2014fiscalyearwillbe characterizedbyamoderaterecoveryoftheglobaleconomy.Theapparenttrends–theendoftheeconomicdownturnin theeurozoneandstabilizationofthepaceofgrowthoutsideEurope–cannotyetberegardedascertain.

Basedontheassumptionsof

• generallyslowgrowthinthecoremarketsforourmorecyclicalmaterialsandcomponentsbusinessesinthedeveloped worldregionsandcontinuinggrowthintheemergingeconomies,
• nomajordislocationsontherawmaterialsmarkets,and
• visibilitynotextendingmuchbeyondaquarterforlargepartsofourmaterialsandcomponentsbusinessesinthecurrent economicenvironment

ourexpectationsforThyssenKruppinfiscal2013/2014areasfollows:

• TheGroup'ssalesbeforeportfolioadjustmentsareexpectedtogrowyear-on-yearEsales2012/2013:€38.6billionFbya midsingle-digitpercentagerate.

• Capitalgoodsbusinesses:ThehighorderbacklogsatElevatorTechnologyandIndustrialSolutionssecuretheexpected salesgrowthwellintothefiscalyear.AtComponentsTechnologythenewplantsinChinaandIndiawilldeliverincreasing salescontributions.
• Materialsbusinesses:SelectivegrowthinitiativesatMaterialsServicesareexpectedtoresultinaslightincreaseinsales, whilesalesatSteelEuropewillbeslightlylowerduetoportfoliomeasures.AtSteelAmericas,weanticipatehighersales asaresultofcontinuingtechnicaloptimizationandincreasingmarketpenetration.
• Adjusted EBIT for the Group before portfolio adjustments is expected to improve year-on-year Eadjusted EBIT 2012/2013: €599 millionF to around €1 billion. Apart from Steel Americas all business areas will make positive contributions.Asaresultofoperatingprogress,SteelAmericas'losswilldeclinefurther.Inaddition,theexpectedgrowth inourhighlyprofitablecapitalgoodsbusinessesandourGroupwideeffortstoenhanceperformanceundertheimpact program will contribute to improving the Group's earnings. Elevator Technology in particular will further improve its earningsandmargin.AnearningsimprovementislikewiseexpectedatIndustrialSolutions.Inourmaterialsbusinesses we expect Steel Europe – despite continuing strong competition – to deliver a higher earnings contribution due to efficiencygainsfromthe"Best-in-ClassReloaded"project.

Our goal in the subsequent years continues to be to strengthen our equity through a return to net profit; for fiscal 2013/2014,excludingearningseffectsfrom VDMandAST,weexpectasignificantimprovementtowards break-even.We will also work hard to improve cash generation from operating activities on a sustainable basis and further reduce net financialdebt.

Ourfinancingandliquiditywillremainonasolidbasisinfiscal2013/2014andabletocushionfluctuationsresultingfrom suddeneconomicchanges.Inadditiontothesuccessfulcapitalincrease,theexpectedcashinflowsfromthesale ofthe ThyssenKruppSteelUSArollingandcoatingplantinCalvert/Alabamawillfurthersignificantlyreduceournetfinancialdebt andgearingbytheendofthecurrentfiscalyear;inaddition,thestringentimplementationofourStrategicWayForwardand theefficiencymeasuresunderimpactwillsubstantiallyimprovetheearningsandcompetitiveprofileoftheGroup.Capital spendingintheGroupasawholeisexpectedtobeattheprior-yearlevel.

Fiscalyear2014/2015

Inthe2014/2015fiscalyearwewillcontinuetoworkonthestructuralimprovementoftheGroupandrigorouslyimplement our integrated strategic development plan. This may include among other things targeted growth stimulus and further portfoliooptimization.Assumingtheglobaleconomycontinuesitsmoderate recovery,theeconomicdownturnintheeuro zone is over and the pace of growth outside Europe stabilizes, we expect our sales to increase further in line with the generalgrowthoftheeconomy.Risingsalesandstructuralimprovementsshouldhaveacorrespondinglypositiveimpacton earnings. In 2014/2015 we additionally expectfurther significant improvements onthe earnings side as a result ofthe corporate programs initiated, in particular "impact 2015", and the continuous stimulus to efficiency provided by benchmarking. We therefore also expect an improvement in the equity and financing situation in 2014/2015. More informationonourcorporateprogramscanbefoundinthesection"StrategicdevelopmentoftheGroup".

Businessareareview

ComponentsTechnology

ComponentsTechnologyinfigures

		1stquarter 2012/2013	1stquarter 2013/2014	Change in%
Orderintake	million€	1,324	1,439	9
Sales	million€	1,345	1,428	6
EBIT	million€	43	56	30
EBITmargin	%	3.2	3.9	—
AdjustedEBIT	million€	42	64	52
AdjustedEBITmargin	%	3.1	4.5	—
EmployeesDec.31		27,789	28,057	1

TheComponentsTechnologybusinessareaproduceshigh-techcomponentsworldwidefortheautomotiveandmachinery sectors. In the auto sector the product range includes assembled camshafts, cylinder head modules with integrated camshafts,andcrankshaftsEPowertrainF,steeringanddampingsystems,springsandstabilizersaswellastheassemblyof axlemodulesEChassisF.InthemachinerysectorComponentsTechnologysuppliescomponentsforconstructionequipment, windturbinesandnumerousgeneralengineeringapplications.Thisbroadspectrumofhigh-techcomponentsisbasedon years of experience in both forging and cold forming. Together with expertise in machining and complex assembly processes,ComponentsTechnologyhasmanufacturingknow-howforhigh-performancecomponentsalongtheentirevalue chain.

Orderintakeandsaleshigher

ComponentsTechnologymadeagoodstarttothenewfiscalyear2013/2014.1stquarterorderintakeclimbed9%year-onyearto€1.4billion–despitemostlynegativeeffectsfromtheUSdollar/Brazilianrealexchangerate;onacomparablebasis orderintakewas12%higher.DemandforcarandtruckcomponentsinwesternEuropeshowedinitialsignsofrecovery.The positive trend on the car markets in China and the NAFTA region continued, while growth in Brazil and India fell below expectations.AtPowertrainandChassissalesinthemidsizeandpremiumcarsegmentsincreasedamongotherthingsasa resultofnewproductlaunches.DemandontheUStruckmarketremainedsubdued.Goodprogressisbeingmadewithour new plants.InDecember 2013 a new automotive components plantwas opened in Chengdu EChinaF,whichwill produce springsandstabilizersfortheChinesemarketinthefuture.Theindustrialcomponentsmarketspickedupslightlyfromthe weak prior year. Orders for wind turbine components increased, particularly in China. However,the continuing uncertain investmentclimateinwesternEuropepreventedanyradicalimprovementinsalesofconstructionmachinerycomponents.

Followingthetrendinorders,salesincreased6%year-on-year;onacomparablebasissalesgained9%.Ordersandsales werearound4%downfromtheseasonallystrongerpriorquarter.

omponents rechnology order middle. Components recimbiogy adjusted EDIT
	in million €, quarter on quarter rate of change				in million $\epsilon$ , quarter on quarter rate of change
Q1			1,324	Q1			42
Q2		$+3%$	1,360	Q2		$+50%$	63
Q3		$+13%$	1,539	Q3		$+29%$	81
Q4		(3)%	1,492	Q4		(28)%	58
	2012/2013			2012/2013
Q1		(4)%	1,439	Q1		$+10%$	64
	2013/2014			2013/2014

Growthinearnings

1stquarteradjustedEBITatComponentsTechnologywasupfromtheprioryearat€64million.Alongsidegrowthinsales, thisreflectsperformanceimprovements resultingfromrestructuringandefficiencymeasuresinitiatedinthepreviousyear underthecorporateprogramimpact.TheearningsfigureincludesstartupcostsofnewplantsEaboveallinAsiaandSouth AmericaFandnewproducts.Earningswerealsohigherquarter-on-quarterdespiteafallinsales.AdjustedEBITmarginrose to4.5%.

Despite negative special items EBIT at €56million also showed an improvement year-on-year;the special items include mainly restructuringexpensesforpersonnelmeasuresinthe constructionmachinery componentsbusiness.Anextensive restructuring program was initiated in this area in the previous fiscal year. In addition to the locations in Italy, the reorganization alsoinvolvesBerco'sGerman operations,whereactivitiesaretobefocusedinthefuture onthe profitable aftermarketandnichebusinesses.Aswellastheserestructurings,wecontinuetoworkonthedisposalofBerco.

EBIT rose quarter-on-quarter by a clear €35 million, reflecting operating improvements as well as reduced one-time expensesforrestructuringmeasures.

ElevatorTechnology

ElevatorTechnologyinfigures

		1stquarter 2012/2013	1stquarter 2013/2014	Change in%
OrdersinhandDec.31	million€	3,611	3,801	5
Orderintake	million€	1,616	1,801	11
Sales	million€	1,532	1,544	1
EBIT	million€	171	133	22
EBITmargin	%	11.2	8.6	—
AdjustedEBIT	million€	169	175	4
AdjustedEBITmargin	%	11.0	11.3	—
EmployeesDec.31		47,897	49,348	3

TheElevatorTechnologybusinessareasuppliespassengerandfreightelevators,escalatorsandmovingwalks,passenger boardingbridges,stairandplatformliftsaswellasservicefortheentireproductrange.Over900locationsformatight-knit salesandservicenetworkthatkeepsusclosetocustomers.

Continuedgrowthinorderintake

The positive trend at Elevator Technology continued in the first three months 2013/14, based on operating business togetherwithsupportingmeasurestooptimizeperformance.Thebusinessareaagainachievedsignificantgrowthinorder intake,whichreachedanewrecordlevel.Orderintakeincreasedyear-on-yearby11%to€1.8billion;onacomparablebasis order intake gained 16%. This growth mainly reflects demand for new installations in China. Major orders were won in Guangxi and Ningbo in China, where we will be supplying a total of 70 elevators and 128 escalators. Despite negative exchange rateeffects,particularlyinBrazilandtheUSA,ElevatorTechnologyalsoincreaseditsorderintakeinNorthand SouthAmerica.InEuropeoveralldemandwasunchanged.

Elevator Technology order intake Elevator Technology adjusted EBIT
	in million $\epsilon$ , quarter on quarter rate of change			in million $\epsilon$ , quarter on quarter rate of change
Q1			1,616	Q1	169
Q2		$+1\%$	1,633	Q2 (14)%	146
Q 3		$+4%$	1,696	Q3 $+18%$	172
Q 4		(7)%	1,575	Q 4 $+9%$	188
	2012/2013			2012/2013
Q1		$+14%$	1,801	Q1 (7)%	175
	2013/2014			2013/2014

Salesinthereportingquarteramountedto€1.5billion,just1%upfromtheprior-yearquarteronaccountofexchangerate effects;onacomparablebasissalesgained5%year-on-year.Comparedwiththehighlevelofsalestypicallyreportedinthe 4thquarter,the1stquartershowedaslightdecline.

AdjustedEBITmarginhigher

Inthe 1st quarter offiscal 2013/14 Elevator Technology's adjusted EBIT increased by 4% year-on-yearto €175million; adjusted EBIT was down quarter-on-quarter by €13 million, mainly as a result of lower sales. Adjusted EBIT margin at 11.3%washigherbothyear-on-yearandquarter-on-quarter,reflectingmainlytheperformanceandrestructuringmeasures inconnectionwiththecorporateprogramimpact.

EBIT cameto €133 million in the 1st quarter. Included inthis are special items of €42 million, resulting primarilyfrom restructuringmeasuresinEurope.

IndustrialSolutions

IndustrialSolutionsinfigures

		1stquarter 2012/2013	1stquarter 2013/2014	Change in%
OrdersinhandDec.31	million€	16,292	15,505	5
Orderintake	million€	2,002	2,295	15
thereofMarineSystems1	million€	182	1,301	615
Sales	million€	1,306	1,288	1
thereofMarineSystems1	million€	303	318	5
EBIT	million€	141	173	23
EBITmargin	%	10.8	13.4	—
AdjustedEBIT	million€	140	173	24
AdjustedEBITmargin	%	10.7	13.4	—
EmployeesDec.31		18,176	18,982	4

1includingothershareholdingsandconsolidation

UndertheGroup'sstrategicdevelopmentprogram,wereachedkeymilestonesintheintegrationandregionalizationofthe plant engineering business. To better exploit global market opportunities in engineering as a major growth area forthe Group,inJanuary2014wecombinedthepreviouslyseparatecompaniesThyssenKruppUhdeandThyssenKruppResource Technologies Ecreated from ThyssenKrupp Polysius and ThyssenKrupp FördertechnikF under the roof of ThyssenKrupp IndustrialSolutions.Integrationandregionalizationarecentralelementsinachievingourgrowthtargetsinengineeringand increasingefficiency.Asaglobal,integratedengineeringandconstructioncompany,ThyssenKruppIndustrialSolutionswill focus market strategy, present a single face to the customer and support the global exchange of knowledge and engineeringandprojectmanagementcapabilitiesacrossallitsbusinesses.

Inadditiontotheplantengineeringoperations,managedbythetwobusinessunitsProcessTechnologiesEpreviouslyUhdeF andResourceTechnologies EpreviouslyPolysiusandFördertechnikF,theIndustrialSolutionsbusinessareaalsocomprises the Marine Systems and System Engineering business units. The product portfolio encompasses chemical plants and refineries EProcess TechnologiesF, equipment for the cement industry and innovative solutions for the mining and processingofrawmaterialsEResourceTechnologiesF,navalshipbuildingEMarineSystemsF,andproductionsystemsforthe autoindustryESystemEngineeringF.

Orderssignificantlyhigher

TheIndustrialSolutionsbusinessescontinuedtoperform positivelyinthe1stquarter2013/2014.Duemainlytoamajor orderatMarineSystemsforthesupplyoftwosubmarinestoSingapore,orderintakeat€2.3billionwasafurther15%up fromthealreadyhighlevelofthe1stquarteroftheprioryear;onacomparablebasisordersgained18%.Comparedwith the4thquarter2012/2013,orderintakegrewbyasmuchas150%.

Resource Technologies reported lively demand for cement plants, while the market for new mining equipment remains weak. However here too new orders were won, e.g. for mining and handling equipment in South America and India. At ProcessTechnologiesthepositiveinvestmentclimatecontinues–drivenpartlybytheshalegasboomintheUSA.However, order intake did not reachthevery high level ofthe 1st quarter 2012/2013which benefitedfrom amajorfertilizer plant order.

Overall,orderintakesignificantlyexceededsaleswithabook-to-billratioof1.8;comparedwithSeptember30,2013orders inhandclimbed€0.9billionto€15.5billion.

At€1.3billion,salesweredownslightlyyear-on-yearduetobillingandexchangeratefactors;onacomparablebasissales gained2%.

	Industrial Solutions order intake			Industrial Solutions adjusted EBIT
	in million $\epsilon$ , quarter on quarter rate of change				in million $\epsilon$ , quarter on quarter rate of change
Q1			2,002	Q1			140
Q2		$(20)\%$	1,595	Q2		$+29%$	180
Q 3		(51)%	779	Q 3		(13)%	156
Q 4		$+16%$	907	Q 4		$+5%$	164
	2012/2013				2012/2013
Q1		$+153%$	2,295	Q1		$+5%$	173
	2013/2014				2013/2014

AdjustedEBITwithcontinuedgoodmargins

Adjusted EBIT increasedfrom €140million inthe 1st quarter 2012/2013to €173million, a rise of 24%. A slight dip in earningsatSystemEngineeringwasmorethanoffsetbyimprovedcontributionsfromtheplantengineeringbusinessesand strongEBITatMarineSystemsduetohighbillings.At13.4%EBITmarginwashigheryear-on-yearandremainedwellwithin thedouble-digittargetcorridor.

MaterialsServices

MaterialsServicesinfigures

		1stquarter 2012/2013	1stquarter 2013/2014	Change in%
Orderintake	million€	2,765	2,842	3
Sales	million€	2,815	2,739	3
EBIT	million€	36	43	19
EBITmargin	%	1.3	1.6	—
AdjustedEBIT	million€	40	34	15
AdjustedEBITmargin	%	1.4	1.2	—
EmployeesDec.31		26,280	25,128	4

With 500 locations in 35 countries, the Materials Services business area specializes in materials distribution including technicalservices.

Warehousesalesstronglyexpandedthankstoextensivesalesinitiatives

Thebusinessarea'sinternationalpositioningcombinedwithitsfocusonabroadmixofcustomersandsectorspaidclear dividendsinthe1stquarter2013/2014.Onthebasisofintensivesalesinitiativesinalmostall regions,abovealleastern Europe,warehousesalesofmetalsincreasedsharplyby9%toanewrecordlevelof1.3milliontons.InNorthAmerica,the region with the strongest growth in 2012/2013, volumes remained at the high prior-year level. The volume of trading business declined year-on-year dueto an absence of major projects coupled with intense competition. Prices remained unsatisfactoryoverall.Insteadoftheexpectedstabilization,pricesforrolledsteel,stainless,nonferrousmetalsandplastics aswellasnumerous rawmaterialscontinuedtofall.Competitivepressure remainedexceptionallyhighinallareas.Order intake climbed 3% year-on-yearto over €2.8 billion dueto higher volumes; on a comparable basis order intakewas 6% higher.Salesslipped3%year-on-yeartoslightlymorethan€2.7billiononaccountoflowersellingprices;onacomparable basis sales held steady. Growth was achieved in eastern Europe, in plastics and in particular in raw materials, mainly reflectingsubstantially increased sales of coke.However duetotheveryweakstainlesssteelmarket, alloyvolumes and revenuesfellsharply.Servicesfortheaerospaceindustry remainedstableatahighlevel.Thesamewasalsotrueofour servicecenterbusinessfortheautomotivesector.Salesofsteelmillservicesweredownslightlyfromtheprioryear.Work continuesonthedisposalprocessfortheRailway/Constructionunit.

The performance programs in connection with impact – primarily aimed at optimizing our logistics network, operating structureandadministration–werecontinuedwithhighintensityworldwide;inallregionsandbusinessunitsthenumberof employees was adjusted in line with the market situation. The only gains year-on-year were in North America and at Aerospace;thebiggestreductionwasreportedatthesteelmillservicesunitduetoaportfoliochange.

EBITalmostunchangedindifficultpriceandcompetitiveenvironment

Adjusted EBITwasslightly lower year-on-year at €34million,while EBIT increased by €7millionto €43million dueto a positivespecialitem. The quarter-on-quarter dropinearningsandmarginwas duetoseasonalfactors. Themainspecial itemrecognizedwasagainfromthedisposalofaninvestmentintherawmaterialstradingbusiness.

SteelEurope

SteelEuropeinfigures

		1stquarter 2012/2013	1stquarter 2013/2014	Change in%
Orderintake	million€	2,403	2,274	5
Sales	million€	2,253	2,074	8
EBIT	million€	29	20	31
EBITmargin	%	1.3	1.0	—
AdjustedEBIT	million€	30	19	37
AdjustedEBITmargin	%	1.3	0.9	—
EmployeesDec.31		27,629	26,658	4

The Steel Europe business area isfocused onthe development, production and marketing of premiumflat carbon steel, mainlyintheEuropeanmarket.Keycustomersaretheautoindustryandothersteel-usingsectors.Therangealsoincludes productsforattractivespecialistmarketssuchasthepackagingindustry.

Ordersandsalesdownduetodisposalsandlowerprices

Inthe1stquarter2013/2014SteelEurope'sbusinessvolumedecreasedagaincomparedwiththeyear-earlierperiod.The declinewasduepartlytothedisposalofTailoredBlanks,whichwasstillincludedintheprior-yearfigures,andpartlytothe downturninprices.WhilethepricepressureandfiercecompetitionontheEuropeanmarketcontinued,volumesweremore robust.With order volumes roughly unchanged,the value of orders receivedwas around 5% lower year-on-year at €2.3 billion;onacomparablebasisorderintakewasupby1%.Thevalueandvolumeofordersincreasedquarter-on-quarterby morethan4%duetoseasonalfactors.

Saleswere 8% lower year-on-year at €2.1 billion. On a comparable basis – excluding currency effects andthe divested TailoredBlanksbusiness–thedeclinewas1%.Shipmentswereupby2%,or5%onacomparablebasis.Theimprovement involumes,mainlyindomesticsalesandsalestotheautoindustry,cold-rollersandmanufacturersofothermetalproducts, onlypartlyoffsetloweraveragesellingprices.Saleswereslightlylowerquarter-on-quarterforvolumereasons.Averagenet sellingpricesremainedlargelystable.

Increasedproductioninpreparationforreliningofblastfurnace2inSchwelgern

At 3.1milliontons, crudesteel production includingsuppliesfromHüttenwerkeKrupp Mannesmann EHKMF increased by 20%againstthecomparableprior-yearperiodand7%againstthepreviousquarter.Inpreparationfortheplannedrelining of blastfurnace 2 inSchwelgern in 2014,the newly relined blastfurnace 9wasfired up again inOctober 2013.Forthe same reason slab procurement from HKM was increased. With a slight improvement in the order situation, rolled steel production for customers increased by 5% and the production of coated products by 6% year-on-year. With individual coating lines already having been closed, the downstream rolling and coating operations had a good workload in the reportingperiod.

EBITpracticallyunchangedindifficultpriceandcompetitiveenvironment

At €19 million, adjusted EBIT in the 1st quarter 2013/2014 was down slightly from the €30 million reported in the correspondingprior-yearperiod.InthepreviousquarteradjustedEBITcameto€42million.EBITinthereportingperiodwas barelyaffectedbyspecialitemsandamountedto€20million.Thegenerallyunsatisfactoryearningswereagainprimarily the result of inadequate average selling prices. Against this background, we are working intensively on detailing and implementingthemeasuresunderthe"Best-in-ClassReloaded"program.Cost-reductionmeasuresarebeingsupportedby intensifiedsaleseffortsanddifferentiationinitiatives.Thedisposalprocessforthegrain-orientedelectricalsteelproduction operationswithplantsinGelsenkirchenandIsbergues,France,aswellastheelectricalsteeloperationsinNashik,India,is alsobeingimplementedunder"Best-in-ClassReloaded".

SteelAmericas

SteelAmericasinfigures

		1stquarter 2012/2013	1stquarter 2013/2014	Change in%
Orderintake	million€	560	609	9
Sales	million€	488	538	10
EBIT1	million€	122	1	++
EBITmargin	%	—	0.2	—
AdjustedEBIT1	million€	122	17	86
AdjustedEBITmargin	%	—	—	—
EmployeesDec.31		3,990	5,491	38

1Prior-yearfigureshavebeenadjusted.

WithitssteelmillinBrazilandrollingandcoatingplantintheUSAtheSteelAmericasbusinessareasuppliestheAmerican marketwithhigh-qualityslabsandflatsteelproducts.AspartoftheStrategicWayForwardThyssenKrupphasdecidedto sellthe ThyssenKrupp Steel USA rolling and coating plant in Calvert/Alabama; a contract onthe salewas signedwith a consortiumofArcelorMittalandNipponSteel&SumitomoMetalCorporationonNovember29,2013.Theagreementalso includesalong-termslabsupplycontractfortheBraziliansteelmillEThyssenKruppCSAF.Consequently,attheendofthe reportingyearthefullSteelAmericasbusinessarea–whichhadbeenclassifiedasadiscontinuedoperationinaccordance withIFRS–wasreclassifiedasacontinuingoperation;withinthebusinessarea,ThyssenKruppSteelUSAisreportedasa disposalgroup.

Steepincreaseinorderintake,salesandproduction

Withpositiveprice,volumeandproductmixeffects,orderintakeinthe1stquarterofthecurrentfiscalyearamountedto €609million,anincrease of9%year-on-year;onacomparable basis orderintake gained13%.Orderswere24%higher quarter-on-quarter.Morethan20%of ordersinthe reporting periodcamefromexternalslabcustomers;oursteelmillin Brazilhasafullorderbookwellintothefiscalyear.Salesat€538milliongained10%year-on-year–15%onacomparable basis. Compared withthe prior quarter sales grew by 33%, likewise reflecting higher shipments and selling prices. The Braziliansteelmillraisedslabproductionto1.0milliontonsinthe reportingperiod,upslightlyfromthepriorquarterand 17% year-on-year. 0.7 milliontons of slabs was suppliedtothe US processing plant and 0.3 milliontonsto customers outsidetheGroupinNorthandSouthAmerica.TheUSplantalsosignificantlyincreaseditsshipmentsandsold0.7million tonsofflatsteeltoNorthAmericancustomers.

StrongimprovementinEBIT

AdjustedEBITimproved bothyear-on-yearandquarter-on quarter bymorethan€100millionto€E17Fmillion.Thissteep increase was mainly the result of higher capacity utilization, cost optimization, structurally improved reducing agent consumption, and positive currency and market price effects in the USA. At €1 million, EBIT likewise showed a strong improvementagainstboththeprioryearandthepriorquarter.Alongsidetheoperatingimprovements,EBITbenefitedfroma positivespecialitemof€18millionfromtheupdatedvaluationofalong-termfreightagreement.Thechangeinthenumber ofemployeesmainlyreflectsthereallocationatthebeginningofthefiscalyearofasteelmillserviceproviderworkingfor ThyssenKruppCSAfromMaterialsServicestoSteelAmericas.

CorporateatThyssenKruppAG

Corporate comprises the Group's head office and the shared services activities. The Group is managed centrally by ThyssenKrupp AG as corporate headquarters. To achieve greater global integration, the Group has adopted a threedimensionalmanagementstructureEnetworkorganizationFmadeupofoperatingbusinesses,functionsandregions.Aspart ofthisnewmanagementmodel,regionalheadquartersarenowoperatinginBrazil,India,ChinaandtheAsia/Pacificregion. TheregionalheadquartersinNorthAmericahasbeenfullyoperationalsincethebeginningofthepriorfiscalyear.

The shared services comprise Business Services Efinance and human resourcesF, IT and Real Estate including nonoperating real estate. Sales of services by Corporate companies to Group companies and external customers in the reportingperiodcameto€42million,€13millionlessthantheyearbefore.

AdjustedEBITatCorporatedeterioratedyear-on-yearby€6millionto€E103Fmillion.Excludingspecialitemsresultingfrom expensesforportfoliomeasures,EBITcameto€E116Fmillion,comparedwith€E112Fmillioninthecomparableprior-year period.

StainlessGlobaldiscontinuedoperation

ThemergeroftheStainlessGlobalbusinessareawiththeFinnishcompanyOutokumpuwascompletedonDecember28, 2012.Inthe 1st quarter 2012/2013 upto itsexitfromtheGroup, StainlessGlobal achieved order intake of €1.3 billion, salesof€1.4billionandEBITof€72million.Aftertheexit,incomewasrecordedinthe1stquarter2013/2014whichwas directlyassociatedwiththesaleofStainlessGlobalandledtoEBITintheamountof€187million;thismainlyreflectsthe reversal of provisions recognized in connection with the sale of Inoxum to Outokumpu for the obligation to offset any negativefinancialconsequencesforOutokumpuundermergercontrolrequirements.

Resultsofoperationsandfinancialposition

Analysisofthestatementofincome

At€9,109million,netsalesfromcontinuingoperationsinthe1stquarter2013/2014were€80millionor1%lowerthana yearearlier.Costofsalesfromcontinuingoperationsdecreasedby€196millionor2%;thereductionwasmainlyduetoa disproportionate decline in material expense compared with sales. Gross profitfrom continuing operations increased by €116millionto€1,438million,whilegrossprofitmarginclimbed2percentagepointsto16%.

Themaincontributorstothe€8millionriseinresearchanddevelopmentcostfromcontinuingoperationsweretheElevator TechnologyandIndustrialSolutionsbusinessareas.

Selling expenses from continuing operations were level withthe corresponding prior-year figure. The €31 million rise in generalandadministrativeexpensesfromcontinuingoperationsresultedmainlyfromrestructuringexpensesincurredinthe reportingperiodintheElevatorTechnologybusinessareaandincreasedconsultingexpenses.

Otherexpensesfromcontinuingoperationsdecreasedby€27million,withnomajorindividualitems.

Otherlossesattributabletocontinuingoperationswere€17millionhigherthanayearearlier.Thiswasmainlyduetothe currencytranslationofrefundentitlementsinconnectionwithnon-incometaxes.

The€42milliondeteriorationinincomeattributabletothecontinuingoperationsfrominvestmentsaccountedforusingthe equitymethodwasmainlyduetotheupdatedvaluationofthesharesinOutokumpuOyj.The€111millionriseinfinancing income from continuing operations was mainly caused by higher exchange rate gains in connection with finance transactions and higher interest incomefromfinancial receivables. The €311million increase infinancing expensefrom continuing operations chiefly reflected expected losses from the equity derivative reported for the obligation to sell the shareholdinginOutokumpuOyj,andtohighercurrencylossesinconnectionwithfinancetransactions.

ThelossfromcontinuingoperationsEbeforetaxesFof€229millionresultedinataxexpensefromcontinuingoperationsof €27 million in the reporting period, which accrued in Germany and abroad and is mainly in connection with valuation allowancesfordeferredtaxassets.Taxeffectsfromplanneddisposalscannotbeaccuratelyestimatedatpresentandare notincludedintaxexpenseforthereportingperiod.Intheprioryeartheeffectivetaxchargewasinfluencedbyvaluation allowancesfordeferredincometaxassetsatSteelAmericas.

Aftertakingintoaccountincometaxes,thelossfromcontinuingoperationscameto€256million.

Thediscontinuedoperationsachievedaprofitof€187millioninthereportingquartercomparedwith€59milliontheyear before. The€128millionincreasewasmainly duetoa€274millionimprovement in currentincometo€187million;this mainly reflectsthe reversal ofthe provisionfor possibleeffectsfrommerger control requirements in connectionwiththe disposalofthestainlesssteelbusinesstoOutokumpu.Thiswaspartlyoffsetbythe€146milliongainonthedisposalofthe stainlesssteelbusinessrecognizedonlyintheprior-yearperiod.

Including the after-tax loss from discontinued operations, a net loss of €69 million was posted in the reporting period, comparedwithanetlossof€16millionayearearlier.

LosspersharebasedonthenetlossattributabletotheshareholdersofThyssenKruppAGcameto€0.12.Losspershare fromcontinuingoperationscameto€0.47,whichis€0.35morethantheyearbefore.

Analysisofthestatementofcashflows

The amountstaken into account inthe statement of cashflows correspondtothe item "Cash and cash equivalents" as reported in the statement of financial position and also include the cash and cash equivalents relating to the disposal groups including the discontinued operations until the time of their actual sale. For the 1st quarter 2013/2014 the discontinuedoperationsincludepaymentsattributabletotheoperationsofStainlessGlobal.

InthereportingperiodtherewasanetcashinflowfromoperatingactivitiesfortheGroupof€147million,comparedwitha cashoutflowof€140millionayearearlier.Ofthe€287millionoverallimprovement,€194millionwasduetotheabsencein thequarterunderreviewofcashoutflowsfromdiscontinuedoperationsreportedintheprior-yearquarter.Atthesametime cash inflowsfrom continuing operations increased by €93millionto €147million,mainly as a result of higher customer paymentsandreducedinterestandincometaxpayments.

InvestingactivitiesresultedfortheGroupinanetcashoutflowof€209million,comparedwithacashinflowof€501million theyearbefore.Themainreasonforthe€710milliondifferencewasa€911milliondecreaseindisposalproceedsinthe continuingoperations;ofthisreduction€916millionrelatedtothedisposalofthestainlesssteelbusinesstoOutokumpuin December 2012. Thiswas partly offset by €94million lower capitalexpenditure on property, plant andequipment inthe continuingoperationsandtheabsenceofcapitalexpendituresinthediscontinuedoperations,whichcameto€99millionin theprior-yearperiod.

Freecashflow,i.e.thesumofoperatingcashflowsandcashflowsfrominvestingactivities,fellbyatotalof€423millionto anegative€62million.Themainreasonwasa€716millionreductioninthecontinuingoperations,mainlyonaccountofthe absence ofthe proceedsfromthe sale ofthe stainless steel business in December 2012. Thiswas partly offset bythe absenceofnegativefreecashflowinthediscontinuedoperations,whichamountedto€293millionintheprior-yearperiod.

Cash inflowfromfinancing activities intheGroup cameto €356million, €1,243million lowerthan ayear earlier.Ofthis reduction,€238millionreflectedtheabsenceofcashinflowsinthediscontinuedoperations.Inaddition,€1,005millionwas attributabletothecontinuingoperationsandmainlyreflectedtwopartlyoffsettingeffects:Inthereportingperiodfinancial borrowings of €308 millionwere repaid,while inthe corresponding prior-year period netfinancial borrowings of €1,550 millionwere reported.However,theassociated€1,858million reductionwaspartlyoffsetbycashinflowsof€878million fromthecapitalincreasecarriedoutinDecember2013.

Analysisofthestatementoffinancialposition

ComparedwithSeptember30,2013totalassetsincreasedaltogetherby€158millionto€35,458million.Thisincludesa currencytranslation-relateddecreaseof€374million,mainlyduetomovementsintheUSdollarexchangerate.

Non-current assets decreased altogether by €1,399 million. The main reason was the €970 million reduction in other financial assets as a result of the reclassification of the financial receivable from Outokumpu to other current financial assetsfollowingtheconclusion ofnegotiations onthe refinancing ofOutokumpu onNovember29, 2013.Inaddition,the reduction relates in the amount of €305 million to the reclassification as an asset held for sale of the shareholding in Outokumpu Oyj, which up to November 29, 2013 had been accounted for using the equity method, and exchange rate effectsof€141millionmainlyinconnectionwithproperty,plantandequipmentandintangibleassets.

Currentassetsincreasedbyatotalof€1,557million;thisincludedacurrencytranslationrelateddecreaseof€233million.

At€6,810million,inventorieswere€459millionhigheratDecember31,2013thanatSeptember30,2013.The risewas mainly dueto a build-up of inventory volumes inthe Steel Europe business area;further increaseswere reported inthe MaterialsServicesandSteelAmericasbusinessareas.

Tradeaccounts receivabledecreasedaltogetherby€639millionto€4,317million.Aswellascurrencytranslation related declinesthis reflected reduced receivablesinconnectionwithlong-termconstructioncontracts intheIndustrialSolutions businessareaaswellasmeasurestoreducefundstiedupintheMaterialsServicesbusinessarea.

Thesharpriseincurrentfinancialassetsby€954millionwasmainlytheresultoftheabove-mentionedreclassificationof thefinancialreceivablefromOutokumpu.

The€154millionincreaseinothercurrentnon-financialassetswasmainlyduetoadvancepaymentsmadeinconnection withtheprocurementofinventoriesandotheradvancepaymentsaswellashigherrefundentitlementsinconnectionwith non-incometaxes.

The€245millionincreaseincashandcashequivalentsincludedproceedsof€878millionfromthecapitalincreasecarried outinDecember2013.Thiswaspartlyoffsetbyrepaymentsoffinancialborrowingsandliabilitiestoinvestments.

Assetsheldforsalewere€361millionhigherat€1,908millionmainlyasaresultoftheabove-mentionedreclassificationof theshareholdinginOutokumpuOyjandthecontinuingoperationofThyssenKruppSteelUSA.

TotalequityatDecember31,2013was€3,273million,up€755millionfromDecember31,2013.Themainreasonwasthe capitalincreasecarriedoutatthebeginningofDecember2013which raisedtotalequityby€878million.Thiswaspartly offsetbythe€120millioncurrencytranslationlossesrecognizedinothercomprehensiveincome.Theequityratioincreased from7.1%to9.2%.

Non-currentliabilitiesdecreasedbyatotalof€471million.Themainreasonwasthe€353millionreductioninnon-current financial debt, mainly due to the repayment of liabilities to financial institutions. The €134 million decrease in accrued pensions and similar obligations mainly reflected actuarial gains as a result of the updated interest rates used for the revaluation of pension and healthcare obligations at December 31, 2013 as well as outpayments for pensions and healthcare.

Currentliabilitiesdecreasedaltogetherby€126million,duepartlytocurrencytranslationeffects.

The€117millionreductionincurrentprovisionsforotheremployeebenefitswasmainlytheresultofoutpayments.

The€192milliondecreaseinothercurrentprovisionsresultedmainlyfromthereversalofaprovisionrecognizedintheprior yearforpossibleeffectsfrommergercontrolrequirementsinconnectionwiththedisposalofthestainlesssteelbusinessto Outokumpu.

OveralltradeaccountspayablewerelevelwithSeptember30,2013at€3,784million.Withothercurrentfinancialliabilities virtually unchanged,themainfactorswerethe recognition inthe reporting period of an equity derivative liabilityforthe obligationtoselltheshareholding inOutokumpuOyj,whichwas partly offset bythe reduction ofliabilitiestoassociated companies.The€102millionincreaseinothercurrentnon-financialliabilitiesmainlyreflectedhigheradvancepaymentsin connectionwithconstructioncontracts.

Subsequentevents

Therewerenoreportableevents.

ThyssenKruppstock

Inthe 1st quarter 2013/2014the value potential of our strategic development program andthe progressmadewith its implementationremainedkeyfactorsindecisionstoinvestinourstock.Basedonexpectationsofanimminentsolutionin theplannedsaleofSteelAmericas,ThyssenKrupp'sstockoutperformedtheDAXandDJSTOXXindicesatthebeginningof thequarter.However,thestocklostitsleadtowardstheendofthequarter.OnDecember30,2013ThyssenKrupp'sshare pricestood at€17.69,virtuallyunchangedfromSeptember30,2013.Inthesame periodtheDAXandDJSTOXX gained 11%andaround6%respectively.

SincethebeginningofDecember,inthewakeofthesuccessfulcapitalincreaseandourCapitalMarketDayfocusingonour high-growthandhigh-marginelevatorandprojectbusinesses,thestockhasgainedstronglyandinthisperiod outperformedthebenchmarkindices.

CevianCapitalincreasesshareholdinginThyssenKrupp

OnDecember06,2013CevianCapitalannouncedinadisclosureofvotingintereststhatithadfurtherincreaseditssharein ThyssenKruppAGto10.96%.AsaresultCevianCapitalisnowthesecondbiggestshareholderaftertheAlfriedKruppvon BohlenundHalbachFoundation,whichholdsashareof23.03%inthecapitalstockofThyssenKruppAG.

Rating

We have been rated by Moody's and Standard & Poor's since 2001 and by Fitch since 2003. In December 2013 Fitch loweredThyssenKrupp'sratingfromBBB-toBB+.Ourratingsarethereforebelowinvestmentgrade.Allthreeratingshavea negative outlook.A negative outlookmeansthatthe rating agencymonitorsthe ratingmore closely andthen reviews it, normallywithin a period of 12to 18months. The downgrading of our rating byFitch does not result in anysignificant changestoourcontractuallyfixedfinancingcosts.

	Long-term rating	Short-term rating	Outlook
Standard&Poor's	BB	B	negative
Moody's	Ba1	NotPrime	negative
Fitch	BB+	B	negative

Innovations

InnovationandtechnologyleadershiparecoreelementsofThyssenKrupp'sStrategicWayForward.Ourgoalistodevelop sustainablesolutionsforthetechnicalchallengesofthefuture.EffectivelyprotectingourintellectualpropertyEIPFisalsokey tothelong-termsuccessoftheGroup.

Tothisendwehaveintroducedacomprehensivestrategyandaneworganizationfortheprotectionofintellectualproperty. SinceOctober01,2013,theIPServices unithas been helping ourbusinessareas protecttheir intellectualpropertywith patents. At operating level, Patent Councils have been set up in the business units to develop their respective patent strategies.IPServicescurrentlyhasfiveofficesthroughouttheGroup,includingoneeachatourRegionalHeadquartersin BeijingandChicago.

Achieving sustainability goals through closed energy and material cycles is the focus of a project ThyssenKrupp has initiated with business and academic partners. The aim isto convert process gasesfrom steel production into valuable chemicals. The energy required for this is to come from renewable sources. The carbon currently released into the environmentascarbondioxideECO2Fcanbealmostcompletelyre-used.Iftheprojectissuccessful,CO2willbeavaluable rawmaterial inthefuture and its impact onthe climatewill besignificantly reduced.Moreover, itwill be possibleto use surplusrenewableenergiesdirectlyinthemanufactureofindustrialproductssuchasfertilizersandfuel.OurSteelEurope andIndustrialSolutionsbusinessareashavealreadycarriedoutpreliminaryworkfortheprojectincollaborationwiththe MaxPlanckInstituteforChemicalEnergyConversion inMülheim.InadditiontotheMaxPlanckandFraunhofersocieties, otherpartnersincludeBASF,Bayer,RWEandSiemens.Theprojectisopentofurtherpartners.

Employees

AtDecember31,2013,ThyssenKruppemployed156,633peopleworldwide,1,783or1.2%morethanayearearlier.Asa result of efficiency measures and strategic portfolio optimization, employee numbers decreased at Corporate and Steel Europe.TheincreaseintheheadcountismainlyduetohigherrecruitmentatElevatorTechnologyandIndustrialSolutionsto servenewcustomersandmarketsintheAmericasandAsia.Asaresultofinternalrestructuring,1,412employeesmoved fromtheMaterialsServicesbusinessareatotheSteelAmericasbusinessarea.

ComparedwithSeptember30,2013,thenumberofemployeesdecreasedby223.InGermanytheheadcountfellby193or 0.3% to 57,971, mainly in administrative positions as a consequence of restructuring measures under ACT. Germany therefore accounts for 37.0% of thetotal workforce. At December 31, 2013 18.8% of employees were based in Europe outsideGermany,13.4%intheNAFTAregion,13.8%inSouthAmerica,15.6%inAsia–inparticularinChinaandIndia– and1.4%intherestoftheworld.

Compliance

Thecomplianceprogramwithitsthreepillars"inform","identify"and"reportandact"wasrigorouslycontinuedandrefined inthereportingperiod.ThefocuswasonimplementingthestructuralchangesintroducedunderthecorporateprogramACT. Corporate Function Compliance also provided close support for the voluntary special audit. We are now addressing the findingsoftheauditandtherecommendationsoftheauditors.

InformationonthecartelinvestigationatThyssenKruppSteelEuropeandtheassociatedbusinessriskscanbefoundinthe section"Opportunitiesandrisks".

Furtherdevelopmentofthecomplianceprogram

Our compliance program is continuously optimizedtotake into account current compliance developments, includingthe findingsfromourinternalcompliancework.Inthereportingperiodthecomplianceorganizationwasfurtheradjustedinline withthenewGroupstructureresultingfromtheACTproject.BothcentrallyatThyssenKruppAGandinthebusinessareas and regions, the chief compliance officer will be supported in the future by around 60 full-time compliance officers worldwide. They will advise, inform and educate employees around the world about important legal requirements and internal policies;theywill also perform proactive compliance audits and investigatesuspected cases of non-compliance. The compliance officers in turn are supported in the business areas and Group companies by a network of some 320 compliancemanagers– generallymanaging directorsofGroupcompanies–whoensurethatthecomplianceprogramis implementedatoperatinglevelintheirareasofresponsibility.

The special auditors confirmed intheir reportthat our compliancefunction is professionally organized and appropriately staffed.Cooperationwiththeauditorsandtheirvariousrecommendationsprovidedfurtherideasfortheenhancementofthe compliance program. Ofthe roughly 30 recommendationsfromthe auditors relating directlyto compliance, around half havealreadybeenintroducedorareintheprocessofbeingimplemented;theotherrecommendationsrelatetolong-term projectsandwillmainlybeimplementedinthenext6to18months.

Thebasisforthesuccessfulimplementationofthecomplianceprogramisacorporateculturethatstandsforvaluessuchas openness,transparencyandcredibility.Ourmanagersbearcorporate responsibilityforcomplianceandbasetheiractions on these values. ThyssenKrupp has a clear commitment to ensuring compliance with the law and internal policies: violations,particularlyofantitrustandanticorruptionrules,arenottoleratedunderanycircumstancesEzerotoleranceF.

Macroandsectorenvironment

Globaleconomyshowsmoderategrowth

At2.8%,globaleconomicgrowthin2013wasbelowtheweaklevelof2012butgatheredpaceinthecourseoftheyear. Earlyindicatorsfromthe4thquarter2013signalamoderaterecoveryinworldeconomicgrowthto3.5%thisyear.Inthe industrializednationsinparticular,theimprovementinsentiment–albeitbasedprimarilyoncontinuedhighlyexpansionary monetarypolicy–pointstogrowthofover2%in2014comparedwithonlyaround1%lastyear.

Theeurozoneeconomycameoutofrecessioninthecourseoflastyear.However,therecoveryisveryslowandthepicture withinthe region remains mixed, especially as structural adjustments in some countries continue to put a brake onthe economy. Inthe 3rd quarter 2013, gross domestic product EGDPF grew by only 0.1% quarter-on-quarter, comparedwith 0.3%inthepriorquarter.Followinga0.5%contractionlastyear,onlyslightgrowthof0.8%isexpectedfor2014.Forthis, however,the reform and adjustment process inthe euro zone must be continued rigorously and notfalter. The German economyachievedonlymoderateexpansioninthepastyear.Quarter-on-quarterGDPgrowthinthe3rdquarter2013was only0.3%,followinga0.7%increaseinthepriorperiod.ThisyearthepaceofGermaneconomicgrowthisexpectedtopick up,drivenmainlybydomesticdemand.Inadditiontocapitalinvestmenttomeetreplacementdemandduetorisingcapacity utilization and continuedfavorablefinancing conditions,therewill also be an increase inexpansion capitalexpenditures. Consumerspendingwillalsoincreaseappreciablythankstorisingincomesandarelativelysolidlabormarket.Bycontrast, foreigntradeisexpectedtogenerateonlylittlegrowthimpetus.Overall,GDPwillincreaseby1.5%in2014comparedwith only0.4%lastyear.

TheUSeconomyisalsograduallypickingupagain.GDPgrewby1.7%year-on-yearinthe2ndhalf2013,afterexpanding by only 0.6% in the 1st half 2013. In view of the advanced deleveraging process among private households and improvementsonthelabormarket,consumerspendingisexpectedtoaccelerate.Witheconomicconditionsmorefavorable, business spending will also increase. Moreover, the restraining effects of fiscal policy are likely to be less pronounced. Following1.9%growthin2013,theUSeconomyisexpectedtoexpandby2.7%thisyear.

Theemergingeconomiesarealsoexpectedtoachieveanupturn–albeitmoderate–in2014asa resultoftheimproved global economy. Economic growth will increase again slightly, from 4.8% in 2013 to 5.2%. China's economy, which expanded by 7.7% in 2013, isexpectedtoslowslightlyto 7.6% inthe current year.Onthe one hand,foreigntrade and housingconstructionwilldeliverstrongergrowthimpetus.Ontheotherhand,theChinesegovernmentisexpectedtomake greatereffortstosteerprivateconsumerdemandmainlyintothelessproductiveservicessector,whichisliabletodampen theoutlookforgrowth.Followingweakexpansionofjust4.5%lastyear,GDPgrowthinIndiawillincreaseslightlyin2014 onthebackofstrongerforeigndemandandtheacceleratedimplementationofcurrentinfrastructureprojects.Butat5.5%, thepaceofexpansionwillfallwellshortofthegrowthratesachievedinthepastdecade.

Positivegrowthsignalsfromthesectors

Automotive–Thepictureintheautomotivesectoronceagainvariedsignificantlyfromregiontoregionin2013.Whilethe USandChineseautomarketsachieved double-digit growth,therewerefurtherdeclinesinEurope.IntheUSA bothsales andoutputofcarsandlighttruckswereup8%year-on-yearto15.5millionandjustunder11millionunitsrespectively.In Chinademandandproductionbothgrewbyaround12%in2013to roughly20millioncarsandlighttrucks.Bycontrast, salesofnewcarsinWesternEuropedeclinedfurtherbysome3%,mostnotablyinthesoutherncountries.Salesfiguresin Germanyalsofellby4%to2.95millionnew registrations.However,exportgrowthof2%meantthattotalcarproduction increasedby1%to5.45millionvehicles.

Globaldemandforcarsandlighttrucksisexpectedtogrowbyaround4.5%in2014,pushingoutputtoroughly84.8million units.Withdemandrising,theUSAandChinawillachievegrowthof4%and9%respectively.Withaproductionincreaseof onlyjust over 3%,Brazil is unlikelytofinally overcome its current phase ofweak growth in 2014.Afterseveral years of decline,demandandproductionofcarsandlighttrucksinWesternEuropeareeachexpectedtogrowbyaround3%asa resultofanatleaststabilizedmacroeconomicsituation.Germanyexpectsaslightyear-on-yearincreaseindemandin2014, whileaccordingtocurrentforecastsproductionofcarsandlighttruckswillremainatroughlytheprior-yearlevel.

	2013*	2014*
Vehicleproduction,millioncarsandlighttrucks
World	81.9	84.8
WesternEurope/Turkey	13.5	13.8
Germany	5.5	5.5
USA	10.8	11.3
Japan	9.0	8.2
China	20.5	22.3
Brazil	3.4	3.5
Machineryproduction,real,in%versusprioryear
Germany	1.0	3.0
USA	2.5	3.5
Japan	2.0	10.0
China	5.0	7.0
Constructionoutput,real,in%versusprioryear
Germany	0.5	1.5
USA	4.6	10.2
China	9.0	8.4
India	4.4	7.8
Demandforfinishedsteel,milliontons
World	1,479	1,529
Germany	38	39
USA	97	102
China	704	725

Importantsalesmarkets

*Forecast

Machinery – The machinery industry continues to show a mixed regional picture. Although China is expected to record above-averagegrowthratesof5%for2013and7%for2014,duetotheslowingeconomythesefiguresfallwellshortof the accustomed double-digit rates of recent years. The US machinery sector continues to benefit from higher business spending.Accordingly,machineryoutputwasaround2.5%higherinthepastyearandisexpectedtoexpandbyafurther 3.5% in 2014. Following a 2% decrease in 2013, Japanese machinery output is expected to achieve strong growth of around 10% this year, driven by a significant increase in exports due to exchange rate effects. Having suffered severe productiondeclinesin2013,machineryproductioninmanyEUcountriesisexpectedtogrowby2%to3%thisyear.

Despiteasatisfactoryorderbacklog,accordingtoinitialestimatesmachineryoutputinGermanyfellbyaround1%in2013. Ordersdeclinedagainslightlythroughout2013.Adjustedforprices,bothdomesticandforeignorderswere2%downonthe prioryear.Thesituationforthefullyearwasslightlybetterthanforthe4thquarter2013,inwhichorderswere3%lower year-on-year due in particularto a decrease in new businessfromthe euro zone. By contrast, ordersfor elevators and escalatorsin2013wereupby8%fromtheprioryear.Whiledomesticordersincreasedby4%,newbusinessfromoutside Germanyclimbedby19%.DemandintheGermanplantconstructionsectorgrewby6%year-on-yearuptothe3rdquarter 2013,withchemicalplantconstructioninparticularcontinuingtoprofitfromseveralmajorordersinconnectionwithshale gasproductionintheUSA.Inaddition,mid-sizeprojectswereagreedinIndia,ChinaandRussia.Overall,Germanmachinery outputisexpectedtogrowby3%in2014,especiallyduetotherecentpositivegrowthratesevenintheailingeurozone.

Construction – In Europe in particular, the construction sector remained relatively weak. In most western and eastern European countries, construction output declined again in 2013. Growth of around 4% is expected in eastern Europe in 2014,whilethewesternEuropeanconstructionsectorwilllikelystabilize.Germanconstructionoutputprobablyexpanded slightlylastyearasthefearedearlyonsetofwinterfailedtomaterialize.Thanksinparticulartohousingconstruction,the industrywillachievemoderategrowthof1.5%in2014.

The US housing market continuesto enjoy dynamic growth,with double-digit increases in building permits and housing starts. Housing prices also continue to rise. US construction output is expected to grow by 10% in 2014. Construction expansioninChinawillbeslightlylowerataround8.5%.

Flatcarbonsteel–TheEuropeanmarketforflatcarbonsteelgrewonlyslowlyin2013inalargelyweakeconomicclimate. Althoughdemandwasstillsubduedinthefinalquarter,thereweresignsofaslightupwardtrend.Onaverage,shipmentsby EuropeansteelproducerstotheEUmarketinthefinalquarterweresignificantlyhigherthanthealbeitlowprior-yearlevel. Stronger demandfromthe auto industry andfromservice centers and distributorswasthemain driver; by contrast,the European construction sector again had a damping effect. With flat steel imports to the EU from third countries at a relatively low level, domestic suppliers were able to win back market share compared with the 1st half 2013. Overall, demandinthereportingquarterisexpectedtohavebeenhigherthanayearearlier.Volumesroseinthecourseoftheyear whilepricesdeclined.However,pricesontheEuropeanspotmarketsstabilizedattheendoftheyear,indicatingtheworstis over.TheUSmarketforflatcarbonsteelwasfirmerinthe2ndhalf2013,andrisingvolumeswereaccompaniedbyhigher prices.Thisalsoincreasedimportpressure.

Withtheexpectationofaglobaleconomicrecovery,theglobalsteelmarketissetforgrowthin2014.Demandforfinished steelwill probably rise bymorethan 3%to 1.53 billiontons.Inthe EU,the economic outlook has brightenedsomewhat despitecontinuedbut reduced risks.Comingfromalowlevel,steel demandisexpectedto grow byaround3%.German steel demand should expand by a similar rate and once again come closeto 40 milliontons. Inthe USA, steel market growth could accelerateto 5%. Many emerging economies are also expectedto see stronger demand growth. However, growthintheChinesemarketwilllikelyslowto3%after6%lastyear.

Opportunitiesandrisks

Opportunities

Asaglobaldiversifiedindustrialgroupwithleadingengineeringexpertiseandinnovativeandresource-conservingproducts and processes, ThyssenKrupp is systematicallyfocused onthemarkets ofthefuture. This offers strong opportunities in particular for our elevator and project businesses inthe emerging economies. Followingthefull integration of our plant engineering operationsthroughthemerger ofResourceTechnologies, Process Technologiesand ThyssenKruppIndustrial Solutions in January 2014, we now have a platform from which to leverage our global growth opportunities more systematically.Inaddition,thetargetedcontinuation of ourcorporateprogram 'impact'willhelp improveproductivityand increasevalueaddedinallareasoftheGroup.

Theinformationonourstrategicandoperatingopportunitiespresentedonpages76-78ofthe2012/2013AnnualReport remainvalid.

Risks

IfpositivesupportisnotforthcomingfromtheglobaleconomyandthemarketsofrelevanceforThyssenKrupp,theGroup willfaceeconomicrisks.Lowergrowthratesintheemergingeconomiesandunresolveddebtcrisesinparticularintheeuro zonemaydiminishourmarketprospects.Wecontinuouslymonitorandassesstheeconomicsituationandothercountryspecific conditionsto enable ustotake action at an early stage. We counter sales risksfrom dependency on individual marketsandsectorsbyfocusingsystematicallyonthemarketsofthefuture.Asadiversifiedindustrialgroupwithleading engineering expertise, ThyssenKrupp has a global presence, enjoys good, longstanding relationshipswith its customers, andpursuestheactivestrategicdevelopmentofcustomersandmarkets.

ThyssenKrupp manages its liquidity and credit risks proactively. The Group'sfinancing and liquidity remain on a secure foundationinfiscal2013/2014.AtDecember31,2013theGrouphad€7.6billionincash,cashequivalentsandcommitted undrawncreditlines.

We counter credit risks Edefault risksF by entering into financial instruments with specified risk limits only with counterpartieswhohaveverygoodcreditstandingand/oraremembersofadepositguaranteescheme.Furtherfinancial riskssuchascurrency,interestrateandcommoditypricerisksare reducedbytheuseofderivativefinancialinstruments. Restrictiveprinciplesregardingthechoiceofcounterpartiesalsoapplytotheuseofthesefinancialinstruments.

ThyssenKrupphasagreementswithbankswhichcontaincertainconditionsintheeventthattheratioofnetfinancialdebt tototal equity EgearingF inthe consolidatedfinancial statements exceeds 150% atthe closing date ESeptember 30F. At December31,2013,theGroup's gearingwas136.2%. Theimprovementversustheend offiscal2012/2013wasmainly attributabletothecapitalincreasecarriedoutinearlyDecember2013.Weexpectafurtherimprovementingearing,above allthroughtheexpectedproceedsfromthesaleofThyssenKruppSteelUSA.

OnNovember29,2013,ThyssenKruppconcludedacontractforthesaleoftheThyssenKruppSteelUSArollingandcoating millinCalvert/Alabamaandalong-termslabsupplycontractforThyssenKruppCSAwithaconsortiumofArcelorMittaland Nippon Steel & Sumitomo Metal Corporation. This enables the Group to reduce risks from the originally planned crosscurrency-zonetandemmodelandprice risksassociatedwithmarketentryintheUSA.AtthebeginningofFebruary2014, theapprovaloftherelevantregulatoryauthoritieshadbeenreceived.

AlsoonNovember29,2013,ThyssenKruppsignedacontractwithOutokumpuOyjtransferring100%ofthesharesofVDM and AST and of other smaller activities in the stainless steel service center sector to ThyssenKrupp, and in return transferring ThyssenKrupp's financial receivable to Outokumpu. This move reduces risks and secures value for our company. To meet the requirements of the EU Commission ThyssenKrupp AG will fully divest its 29.9% interest in OutokumpuOyjandendallotherfinanciallinkswithOutokumpu.WiththeclearancebytheEUCommissiononFebruary12, 2014,theapprovalofalmostalltheregulatoryauthoritiesforthetransactionhasbeenreceived.Theclosingisstillsubject tothecooperationandapproval ofshareholders, banksandcreditorsforthe overallplanforasustainable refinancing of Outokumpu.Shouldthetransactionnotbecompleted,ThyssenKruppwillcontinuetofacevalueanddefaultrisksfromthe shareholdinginOutokumpuandfromthevendorloansgranted.

Inadditiontoeconomicuncertainties,theEuropeansteelindustryisexposedtoimportpressureandovercapacitiesonthe market.Withtheintegratedoptimizationprogram"Best-in-ClassReloaded"theSteelEuropebusinessareaiscounteringthe risks to sales volumes and prices, positioning itself in less cyclical premium market segments, and making a key contributiontoachievingtheearnings,cashflow,value-addedandcompetitiveprofiledemandedofallGroupbusinessesas partoftheStrategicWayForward.

Newlawsandotherchangesinthelegalframeworkatnationalandinternationallevelcouldentail risksforourbusiness activitiesiftheyleadtohighercostsorotherdisadvantagesforThyssenKruppcomparedwithourpeers.Inparticular,rising energy costs in 2014 duetothe surcharge payable under Germany's Renewable Energy Act EEEGF are already placing a significant burden on ourGermansteel productionsiteswhich is jeopardizing our international competitiveness. The risk situationisexacerbatedbythesubsidyinvestigationsinitiatedagainstGermanybytheEUCommissiononDecember18, 2013.TheEuropeanCommissionsuspectsthatthepartialexemptionofnumerouscompaniesfromtheEEGsurchargeisin contravention of EU competition law. If inthis connection,throughthe new EU environmental guidelines orthrough new legislation bytheGerman governmentthe partialexemptionfromtheEEGsurcharge grantedtoThyssenKruppand other energy-intensivecompaniesengagedininternationalcompetitionshouldbereducedorwithdrawn,therewillbesubstantial riskstotheasset,financialandearningssituationofThyssenKrupp'sGermanproductionsites,inparticularitssteelsites. WesupportthediscussionprocessinconnectionwiththeEEGandfurtherregulationeffortsthroughcloseworkingcontacts withtherelevantinstitutionsandinthiswayworktoreducethecorrespondingrisks.

Actingonananonymoustip,theGermanFederalCartelOfficehasbeeninvestigatingThyssenKruppSteelEuropeandother companies since the end of February 2013 based on an initial suspicion of price fixing in the delivery of certain steel productstotheGermanautoindustryanditssuppliersoveraperioddatingbackto1998.ThyssenKrupphaslaunchedits owninvestigationintotheallegationswiththesupportofexternallawyers.TheamnestyprogramwecarriedoutfromApril 15toJune15,2013producednoleadsregardingtheongoinginvestigations.TheinvestigationsbytheFederalCartelOffice are ongoing. The internal investigations launched in responsetothe investigations oftheFederalCartelOffice are at an advanced stage but not yet complete. Based onthefacts currently knownto us, significant adverse consequenceswith regardtotheGroup'sasset,financialandearningssituationcannotberuledout.

Thevariouselementsofourriskmanagementsystemaresystematicallygearedtothecurrentchallengesandrisksofthe Group. This ensuresthatthere are no risksthat couldthreatenthe ability ofthe Groupto continue as a going concern. Beyondthis,thedetailedinformationcontainedintheriskreportonpages78-88ofthe2012/2013AnnualReportisstill valid.

Wereportonpendinglawsuits,claimsfordamagesandotherrisksinNote06.

ThyssenKruppAG—Consolidatedstatementoffinancialposition

Assetsmillion€	Note	Sept.30,2013*	Dec.31,2013
Intangibleassets		4,206	4,165
Property,plantandequipment		7,484	7,357
Investmentproperty		287	287
Investmentsaccountedforusingtheequitymethod		949	659
Otherfinancialassets		1,019	49
Othernon-financialassets		335	384
Deferredtaxassets		1,661	1,641
Totalnon-currentassets		15,941	14,542
Inventories,net		6,351	6,810
Tradeaccountsreceivable		4,956	4,317
Otherfinancialassets		500	1,454
Othernon-financialassets		2,069	2,223
Currentincometaxassets		123	146
Cashandcashequivalents		3,813	4,058
Assetsheldforsale	02	1,547	1,908
Totalcurrentassets		19,359	20,916
Totalassets		35,300	35,458

EquityandLiabilitiesmillion€ Note	Sept.30,2013*	Dec.31,2013
Capitalstock	1,317	1,449
Additionalpaidincapital	4,684	5,434
Retainedearnings	04,0801	03,7581
Cumulativeothercomprehensiveincome	328	01061
thereofrelatingtodisposalgroups0Sept.30,2013:2;Dec.31,2013:1061
EquityattributabletoThyssenKruppAG'sstockholders	2,249	3,019
Non-controllinginterest	269	254
Totalequity	2,518	3,273
04 Accruedpensionandsimilarobligations	7,345	7,211
Provisionsforotheremployeebenefits	270	281
Otherprovisions	676	674
Deferredtaxliabilities	52	60
Financialdebt	6,955	6,602
Otherfinancialliabilities	3	2
Othernon-financialliabilities	1	1
Totalnon-currentliabilities	15,302	14,831
Provisionsforemployeebenefits	298	181
Otherprovisions	1,363	1,171
Currentincometaxliablilities	234	219
Financialdebt	1,911	1,926
Tradeaccountspayable	3,713	3,784
Otherfinancialliabilities	1,241	1,260
Othernon-financialliabilities	8,455	8,557
02 Liabilitiesassociatedwithassetsheldforsale	265	256
Totalcurrentliabilities	17,480	17,354
Totalliabilities	32,782	32,185
Totalequityandliabilities	35,300	35,458

Seeaccompanyingselectednotes.

*FigureshavebeenadjustedduetotheadoptionofIAS19R0see"Recentlyadoptedaccountingstandards"1.

ThyssenKruppAG—Consolidatedstatementofincome

million€,earningspersharein€	Note	1stquarter ended Dec.31,2012*	1stquarter ended Dec.31,2013
Netsales	09	9,189	9,109
Costofsales	10	07,8671	07,6711
Grossprofit		1,322	1,438
Researchanddevelopmentcost		0561	0641
Sellingexpenses		06781	06841
Generalandadministrativeexpenses		05171	05481
Otherincome		46	51
Otherexpenses		0471	0201
Othergains/0losses1		011	0181
Income/0loss1fromoperations		69	155
Income/0expense1fromcompaniesaccountedforusingtheequitymethod	11	11	0311
Financeincome		101	212
Financeexpenses		02541	05651
Financialincome/0expense1,net		01421	03841
Income/0loss1beforeincometaxes		0731	02291
Incometax0expense1/income		021	0271
Income/0loss1fromcontinuingoperations0netoftax1		0751	02561
Discontinuedoperations0netoftax1	02	59	187
Netincome/0loss1		0161	0691
Attributableto:
ThyssenKruppAG'sstockholders		011	0641
Non-controllinginterest		0151	051
Netincome/0loss1		0161	0691
Basicanddilutedearningspershare	12
Income/0loss1fromcontinuingoperations0attributabletoThyssenKruppAG'sstockholders1		00.121	00.471
Netincome/0loss10attributabletoThyssenKruppAG'sstockholders1		0.00	00.121

Seeaccompanyingselectednotes.

*FigureshavebeenadjustedduetotheadoptionofIAS19R,thereclassificationofSteelAmericasasacontinuingoperationandthecatchupofamortizationanddepreciationof ThyssenKruppCSA0see"Recentlyadoptedaccountingstandards"andNote21.

ThyssenKruppAG—Consolidatedstatementofcomprehensive income

0161 0691 Netincome/*loss+ Itemsofothercomprehensiveincomethatwillnotbereclassifiedtoprofitorlossinfutureperiods: Actuarialgains/0losses1frompensionsandsimilarobligations 01341 76 Changeinactuarialgains/0losses1,net 41 0221 Taxeffect 0931 54 Netactuarialgains/0losses1frompensionsandsimilarobligations Gains/losses resulting from asset ceiling 021 041 Changeingains/0losses1,net 0 1 Taxeffect 021 031 Netgains/0losses1resultingfromassetceiling 061 3 Shareofunrealizedgains/0losses1ofinvestmentsaccountedforusingtheequity-method 01011 54 Subtotalofitemsofothercomprehensiveincomethatwillnotbereclassifiedtoprofitorlossinfutureperiods: Itemsofothercomprehensiveincomethatwillbereclassifiedtoprofitorlossinfutureperiods: Foreigncurrencytranslationadjustment 01201 01201 Changeinunrealizedgains/0losses1,net 15 0 Netrealized0gains1/losses 01051 01201 Netunrealizedgains/0losses1 Unrealizedgains/0losses1fromavailable-for-salefinancialassets 0 0 Changeinunrealizedgains/0losses1,net 0 0 Netrealized0gains1/losses 0 0 Taxeffect 0 0 Netunrealizedgains/0losses1 Unrealized0losses1/gainsonderivativefinancialinstruments 0151 27 Changeinunrealizedgains/0losses1,net 021 021 Netrealized0gains1/losses 5 081 Taxeffect 0121 17 Netunrealizedgains/0losses1 071 031 Shareofunrealizedgains/0losses1ofinvestmentsaccountedforusingtheequity-method 01241 01061 Subtotalofitemsofothercomprehensiveincomethatwillbereclassifiedtoprofitorlossinfutureperiods: 02251 0521 Othercomprehensiveincome 02411 01211 Totalcomprehensiveincome Attributableto: 02171 01111 ThyssenKruppAG'sstockholders 0241 0101 Non-controllinginterest TotalcomprehensiveincomeattributabletoThyssenKruppAG'sstockholdersrefersto: 02661 02981 Continuingoperations 49 187 Discontinuedoperations	million€	1stquarter ended Dec.31,2012*	1stquarter ended Dec.31,2013

Seeaccompanyingselectednotes.

*FigureshavebeenadjustedduetotheadoptionofIAS19R,thereclassificationofSteelAmericasasacontinuingoperationandthecatchupofamortizationanddepreciationfor ThyssenKruppCSA0see"Recentlyadoptedaccountingstandards"andNote21.

ThyssenKrupp—Consolidatedstatementofchangesinequity

					EquityattributabletoThyssenKruppAG'sstockholders
							Cumulativeothercomprehensiveincome
million€ *exceptnumberofshares+		Numberof shares outstanding	Capital stock	Additional paid incapital	Retained earnings	Foreign currency translation adjustment	Available for-sale financial assets	Derivative financial instruments	Shareof investments accounted forusingthe equity method	Total	Non controlling interest	Total equity
BalanceasofSept.30, 2012	514,489,044	1,317	4,684	02,4851	463	7	0321	32	3,986	540	4,526
Adjustmentdueto retrospectiveadoptionof IAS19R*				8
BalanceasofOct.01, 2012*	514,489,044	1,317	4,684	02,4771	463	7	0321	32	3,994	540	4,534
Netincome/0loss1** Othercomprehensive				011					011	0151	0161
income Totalcomprehensive income				01011 01021	0961 0961	0 0	0121 0121	071 071	02161 02171	091 0241	02251 02411
Profitattributableto non-controllinginterest Otherchanges				011					0 011	0131 0121	0131 0131
BalanceasofDec.31, 2012**	514,489,044	1,317	4,684	02,5801	367	7	0441	25	3,776	491	4,267
BalanceasofSept.30, 2013*	514,489,044	1,317	4,684	03,8101	107	3	0651	13	2,249	269	2,518
Netincome/0loss1				0641					0641	051	0691
Othercomprehensive income				54	01151	0	17	031	0471	051	0521
Totalcomprehensiveincome				0101	01151	0	17	031	01111	0101	01211
Profitattributableto non-controllinginterest									0	061	061
Capitalincrease Otherchanges	51,448,903	132	750	031 2					879 2	0 1	879 3
BalanceasofDec.31,2013	565,937,947	1,449	5,434	03,8211	081	3	0481	10	3,019	254	3,273

Seeaccompanyingselectednotes.

*FigureshavebeenadjustedduetotheadoptionofIAS19R0see"Recentlyadoptedaccountingstandards"1.

**FigureshavebeenadjustedduetotheadoptionofIAS19RandthecatchupofamortizationanddepreciationforThyssenKruppCSA0see"Recentlyadoptedaccountingstandards" andNote21.

ThyssenKrupp—Consolidatedstatementofcashflows

	1stquarter	1stquarter
million€	ended Dec.31,2012*	ended Dec.31,2013
Netincome/0loss1	0161	0691
Adjustmentstoreconcilenetincome/0loss1tooperatingcashflows:
Discontinuedoperations0netoftax1	0591	01871
Deferredincometaxes,net	0631	0301
Depreciation,amortizationandimpairmentofnon-currentassets	280	263
Reversalsofimpairmentlossesofnon-currentassets	0	011
0Income1/lossfromcompaniesaccountedforusingtheequitymethod,netofdividendsreceived	0121	31
0Gain1/lossondisposalofnon-currentassets,net	021	0101
Changesinassetsandliabilities,netofeffectsofacquisitionsanddivestituresandothernon-cashchanges:
-inventories	01661	06121
-tradeaccountsreceivable	497	533
-accruedpensionandsimilarobligations	0671	0421
-otherprovisions	120	0971
-tradeaccountspayable	02171	88
-otherassets/liabilitiesnotrelatedtoinvestingorfinancingactivities	02411	280
Operatingcashflows-continuingoperations	54	147
Operatingcashflows-discontinuedoperations	01941	0
Operatingcashflows-total	01401	147
Purchaseofinvestmentsaccountedforusingtheequitymethodandnon-currentfinancialassets	0	0
Expendituresforacquisitionsofconsolidatedcompaniesnetofcashacquired	011	021
Capitalexpendituresforproperty,plantandequipment0inclusiveofadvancepayments1andinvestmentproperty	03051	02111
Capitalexpendituresforintangibleassets0inclusiveofadvancepayments1	0281	0191
Proceedsfromdisposalsofinvestmentsaccountedforusingtheequitymethodandnon-currentfinancialassets	1	14
Proceedsfromdisposalsofpreviouslyconsolidatedcompaniesnetofcashacquired	919	0
Proceedsfromdisposalsofproperty,plantandequipmentandinvestmentproperty	13	9
Proceedsfromdisposalsofintangibleassets	1	0
Cashflowsfrominvestingactivities-continuingoperations	600	02091
Cashflowsfrominvestingactivities-discontinuedoperations	0991	0
Cashflowsfrominvestingactivities-total	501	02091
Proceedsfromliabilitiestofinancialinstitutions	2,146	523
Repaymentsofliabilitiestofinancialinstitutions	08661	08871
Proceedsfrom/0repaymentson1notespayableandotherloans	274	54
Increase/0decrease1inbillsofexchange	041	2
Decreaseincurrentsecurities	1	011
Proceedsfromcapitalincreases	0	878
Profitattributabletonon-controllinginterest	0131	061
Financingofdiscontinuedoperations	02781	0
Otherfinancingactivities	101	02071
Cashflowsfromfinancingactivities-continuingoperations	1,361	356
Cashflowsfromfinancingactivities-discontinuedoperations	238	0
Cashflowsfromfinancingactivities-total	1,599	356
Netincreaseincashandcashequivalents-total	1,960	294
Effectofexchangeratechangesoncashandcashequivalents-total	0371	0521
Cashandcashequivalentsatbeginningofreportingperiod-total	2,347	3,829
Cashandcashequivalentsatendofreportingperiod-total	4,270	4,071
DthereofcashandcashequivalentswithindisposalgroupsE	D10E	D13E
DthereofcashandcashequivalentswithindiscontinuedoperationsE	D46E	D–E
Additionalinformationregardingcashflowsofcontinuingoperationsfrominterest,dividendsandincometaxeswhichareincludedinoperatingcashflows:
Interestreceived	30	38
Interestpaid	0521	0481
Dividendsreceived	2	2
Incometaxespaid	01031	01011

Seenote13tothecondensedconsolidatedfinanicalstatements.

*FigureshavebeenadjustedduetotheadoptionofIAS19R,thereclassificationofSteelAmericasasacontinuingoperationandthecatchupofamortizationanddepreciationfor ThyssenKruppCSA0see"Recentlyadoptedaccountingstandards"andNote21.

ThyssenKruppAG—Selectednotes

Corporateinformation

ThyssenKruppAktiengesellschaft"ThyssenKruppAG"or"Company"isapubliclytradedcorporationdomiciledinDuisburg and Essen in Germany. The condensed interim consolidated financial statements of ThyssenKrupp AG and subsidiaries, collectively the "Group", for the period from October 01, 2013 to December 31, 2013, were authorized for issue in accordancewitharesolutionoftheExecutiveBoardonFebruary12,2014.

Basisofpresentation

The accompanying Group's condensed interim consolidatedfinancial statements have been prepared in accordancewith section 37x para. 3 oftheGermanSecurities Trading Act WpHG andInternationalFinancialReporting Standards IFRS and its interpretations adopted bythe International Accounting Standards Board IASB for interimfinancial information effective within the European Union. Accordingly, these financial statements do not include all of the information and footnotesrequiredbyIFRSforcompletefinancialstatementsforyear-endreportingpurposes.

The accompanying Group's condensed interim consolidated financial statements have been reviewed. In the opinion of Management, the interim financial statements include all adjustments of a normal and recurring nature considered necessaryfor afair presentation of resultsfor interim periods.Results ofthe periodended December 31, 2013, are not necessarilyindicativeforfutureresults.

Thepreparation ofcondensedinterimfinancialstatementsin conformitywithIAS34InterimFinancialReporting requires Managementtomakejudgements,estimatesandassumptionsthataffecttheapplicationofpoliciesandreportedamounts ofassetsandliabilities,incomeandexpenses.Actualresultsmaydifferfromtheseestimates.

Theaccountingprinciplesandpracticesasappliedinthecondensedinterimconsolidatedfinancialstatementscorrespond tothosepertainingtothemostrecentannualconsolidatedfinancialstatementswiththeexceptionoftherecentlyadopted accounting standards. A detailed description of the accounting policies is published in the notes to the consolidated financialstatementsofourannualreport2012/2013.

Recentlyadoptedaccountingstandards

In fiscal year 2013/2014, ThyssenKrupp adopted the following standards, interpretations and amendments to already existingstandards:

InDecember2010theIASBissuedanamendmenttoIAS12"IncomeTaxes".UnderIAS12,themeasurementofdeferred taxes depends onwhetherthe carrying amount of an asset is recoveredthrough use or sale. Such assessment is often difficult, in particular when the asset is measured using the fair value model in IAS 40 for investment property. The amendmentintroducesapresumptionthatingeneralaninvestmentpropertyisrecoveredthroughsale.Theapplicationof the amended standard is compulsory for fiscal years beginning on or after January 01, 2012. In the context of the endorsement,the IASB defersthemandatory effective datefrom January 01, 2012to January 01, 2013. The amended standarddoesnothaveanyimpactontheGroup'sconsolidatedfinancialstatementsbecausecurrentlyinvestmentproperty isaccountedforatcostlessaccumulateddepreciation.

In May 2011the IASB issuedthe new standard IFRS 13 "Fair Value Measurement".IFRS 13 contains a definition offair valueandrulesonhowtodetermineitifotherIFRSstandardsrequirefairvaluemeasurement;thestandarditselfdoesnot prescribeinwhichcasesfairvalueistobeused.WiththeexceptionofthestandardsexplicitlyexcludedinIFRS13,IFRS13 definesstandarddisclosurerequirementsforallassetsandliabilitiesthataremeasuredatfairvalueandforallassetsand liabilitiesforwhichdisclosureoffairvalueinthenotestotheconsolidatedfinancialstatementsisrequired;inparticularit widensthedisclosurerequirementsfornon-financialassets.Thenewstandardiscompulsoryforfiscalyearsbeginningon orafterJanuary01,2013andshallbeappliedprospectively.Inthefirstyearofapplicationcomparativeinformationisnot required. The adoption of the new standard does not have a material impact on the Group's consolidated financial statements,butresultsinadditionaldisclosures.

In June 2011 the IASB issued amendments to IAS 19 "Employee Benefits". The amendments mainly concern the elimination of deferred recognition of actuarial gains and losses corridormethod infavour of immediate recognition in othercomprehensiveincomeinequityandtherecognitionofanetinterestexpenseorincomeresultingfromnetliabilities orassetsofapensionplanwhichisdeterminedbyusingthediscount rate.Furthermoreanimmediate recognitionofthe totalpastservicecostsisrequired,theexposureofotheradministrationcostsaspartofnetperiodicpensioncostaswell asthedistributionofcosts resultingfromtop-uppaymentstoemployeesunderearly retirementovertheperiodinwhich theyareearned.Furthermoreadditionaldisclosureregardingthecharacteristicsofpensionplansandtheassociated risks forthe entity is required. The amendmentsto IAS 19 are compulsoryforfiscal years beginning on or after January 01, 2013.Theadoptionoftheamendedstandardresultsinadditionaldisclosures.

The elimination of deferred recognition of actuarial gains and losses corridor method does not have any impacts on ThyssenKruppasactuarialgainsandlosseshavealreadybeenrecognizedinothercomprehensiveincomeinequitysofar. The adoption of IAS 19R impacted the consolidated statement of financial position and the consolidated statement of incomeaspresentedbelow:

IAS19R-Consolidatedstatementoffinancialposition

	Oct.01,2012			Sept.30,2013			Dec.31,2012
million€	Before IAS19R adjustment	IAS19R adjustment	After IAS19R adjustment	Before IAS19R adjustment*	IAS19R adjustment	After IAS19R adjustment	Before IAS19R adjustment**	IAS19R adjustment	After IAS19R adjustment
Totalassets	38,284	041	38,280	35,300	0	35,300	37,288	0	37,288
Totalequity	4,526	8	4,534	2,519	011	2,518	4,267	0	4,267
Totalnon-currentliabilities	13,797	0121	13,785	15,301	1	15,302	15,793	0	15,793
thereof:Accuredpensionandsimilar obligations	7,708	0121	7,696	7,344	1	7,345	7,742	0	7,742
Totalequityandliabilities	38,284	041	38,280	35,300	0	35,300	37,288	0	37,288

*InclusiveofIAS19RadjustmentasofOct.01,2012.

**FigureshavebeenadjustedduetotheIAS19RadjustmentasofOct.01,2012,thereclassificationofThyssenKruppCSAdisposalgroupandthecatchupofamortizationand depreciationofThyssenKruppCSA.

IAS19R-Consolidatedstatementofincome

	YearendedSept.30,2013			1stquarterendedDec.31,2012
million€	Before IAS19R adjustment	IAS19R adjustment	After IAS19R adjustment	Before IAS19R adjustment*	IAS19R adjustment	After IAS19R adjustment
Income/0loss1fromoperations	06961	011	06971	69	0	69
Financialincome/0expense1,net	09521	0441	09961	01311	0111	01421
Income/0loss1fromoperationsbeforeincometaxes	01,6481	0451	01,6931	0621	0111	0731
Incometax0expense1/income	59	15	74	061	4	021
Income/0loss1fromoperations0netoftax1	01,5891	0301	01,6191	0681	071	0751

*FigureshavebeenadjustedduetothereclassificationofSteelAmericasasacontinuingoperationandthecatchupofamortizationanddepreciationofThyssenKruppCSA.

InOctober2011theIASBissuedtheIFRICinterpretation20"StrippingCostsintheProductionPhaseofaSurfaceMine". Theinterpretationregulatestheaccountingforstrippingcostsintheproductionphaseofasurfacemine.Theinterpretation clarifies under which conditions an asset must be recognized for the relating stripping measures and how initial and subsequentmeasurementofthisassethastobedetermined.Theinterpretationiscompulsoryforfiscalyearsbeginningon orafterJanuary01,2013.ThisinterpretationhasnoimpactontheGroup'sconsolidatedfinancialstatements.

In December 2011 the IASB issued an amendment to IFRS 7 "Financial Instruments: Disclosures" which requires disclosuresinthecontextofcertainoffsettingarrangements.Theobligationfordisclosureshastobeappliedregardlessof whethertheoffsettingarrangementsresultinanyactualoffsettingoftherespectivefinancialassetsandfinancialliabilities. The new disclosure requirements shall simplify comparing financial statements prepared in accordance with IFRS and financialstatementspreparedinaccordancewithUSGAAP.Theamendmentiscompulsoryforfiscalyearsbeginningonor afterJanuary01,2013andshallbeappliedretrospectively.Firsttimeadoptionimpliesextendeddisclosures.

In May 2012the IASB issuedthefourth omnibus standard "Improvementsto IFRSs" as part of its annual improvement processproject.Thisstandardslightlyadjustsfivestandards IFRS1"First-timeAdoptionofIFRS",IAS1"Presentationof Financial Statements", IAS 16 "Property, Plant and Equipment", IAS 32 "Financial Instruments: Presentation", IAS 34 "InterimFinancialReporting".TheamendmentsareeffectiveforfiscalyearsbeginningonorafterJanuary01,2013.The adoptionoftheamendmentdoesnothaveamaterialimpactontheGroup'sconsolidatedfinancialstatements.

Recentlyissuedaccountingstandards

Infiscalyear2013/2014,thefollowingstandards,interpretationsandamendmentstoalreadyexistingstandardshavebeen issuedwhichmuststillbeendorsedbytheEUbeforetheycanbeadopted:

InNovember2013theIASBissuedamendmentstoIFRS9"FinancialInstruments"HedgeAccountingandAmendmentsto IFRS9;IFRS7andIAS39.The amendmentstoIFRS9establish anewmodelthat representsasubstantialoverhaul of hedgeaccountingthatwillenableentitiestobetterreflecttheirriskmanagementactivitiesintheirfinancialstatements.In additionextensivedisclosuresarerequired.Moreoverrecognizingfairvaluechangesofliabilitiesduetocreditratingwithin equity will be possibleto be earlier adoptedwithout applyingthe complete regulations of IFRS 9. Furthermorethe IASB decidedtoabandonthemandatorydateofJanuary01,2015;anewdateshouldbedecideduponwhentheentireIFRS9 project is closer to completion. The EU has not yet endorsed the standard including the amendments. Currently, Management is not able to finally assess the impact of the adoption of the standard including the amendments – if endorsedbytheEUinthecurrentversion.

InNovember2013theIASBissuednarrow-scopeamendmentstoIAS19"EmployeeBenefits"titled"DefinedBenefitPlans: Employee Contributions Amendments to IAS 19". The amendments are applicable to recognizing contributions of employees or third parties to defined benefit plans. Hereby it will be allowed to recognize employees' or third parties' contributionsasareductionofcurrentservicecostsintheperiodinwhichthecorrespondingservicinghasbeenrenderedif thecontributionsareindependentofthenumberofyearsofemployeeservice.TheamendmentstoIAS19aretobeapplied for fiscal years beginning on or after July 01, 2014; earlier application is permitted. The EU has not yet endorsed the amendments.Currently,Managementdoesnotexpecttheamendments–ifendorsedbytheEUinthecurrentversion–to haveamaterialimpactontheGroup'sconsolidatedfinancialstatements.

InDecember2013theIASBissuedtheannualimprovementsforthe2010to2012cycleandforthecurrent2011to2013 cycleaspartofitsannualimprovementprocessproject.Inthecontextofthe2010to2012cycleclarificationsandsmaller amendmentsofsevenstandardswerepublished:IFRS2"Share-basedPayment",IFRS3"BusinessCombinations",IFRS8 "OperatingSegments",IFRS13"FairValueMeasurement",IAS16"Property,PlantandEquipment",IAS24"RelatedParty Disclosures" and IAS 38 "Intangible Assets". In the context of the 2011 to 2013 cycle clarifications and smaller amendments of four standards were published: IFRS 1 "First-time Adoption of IFRS", IFRS 3 "Business Combinations", IFRS13 "Fair Value Measurement" and IAS 40 "Investment Property". The amendments are effective for fiscal years beginning on or after July 01, 2014; earlier application is permitted. The EU has not yet endorsed the amendments. Currently,Managementdoesnotexpecttheamendments–ifendorsedbytheEUinthecurrentversion–tohaveamaterial impactontheGroup'sconsolidatedfinancialstatements.

01 Acquisitionsanddisposals

Inthe1stquarterendedDecember31,2013,theGroupacquiredasmallercompanyatapriceof€1millionwhichmainly resultedfromintangibleassets.

02 Discontinuedoperations,disposalgroupsandsingleassetsheldforsale

AspartoftheportfoliooptimizationprogramoftheconceptforthefurtherstrategicdevelopmentinMay2011,theGroup hasinitiatedthesaleofseveral businesses.Withtheexemption oftheStainlessGlobal businessareathesetransactions havenotmettherequirementsofIFRS5forapresentation.Therefore,revenuesandexpenseswillcontinuetobepresented as income from continuing operations until the date of the disposal. For entities for which the disposal has not been completedasofthebalancesheetdateoftherespectivereportingperiod,theassetsandliabilitiesofthedisposalgroups havebeendisclosedseparatelyintheconsolidatedbalancesheetofthereportingperiodinthelineitems"assetsheldfor sale"and"liabilitiesassociatedwithassetsheldforsale".

Although the disposal of the entire Steel Americas business area initiated in September 2012 met the criteria for presentation as a discontinued operationfromSeptember 30, 2012,the changetothe plan of sale as of September 30, 2013meantthattheSteelAmericasbusinessareanolongermeetsthecriteriaforpresentationasadiscontinuedoperation andinsteadisreclassifiedasacontinuingoperation.Thechangeofplanalsomeantthatinsteadoftheentirebusinessarea classifying as a discontinued operation / disposal group, only the ThyssenKrupp Steel USA portion met the criteria for presentation as a disposal group. It was therefore necessary to catch up the amortization and depreciation for the ThyssenKruppSteelCSAportionthatwasnotchargedinaccordancewithIFRS5;inthe1stquarter2012/2013thisresults in a charge to pre-tax earnings of €38 million. The prior-year presentation of the Steel Americas business area in the consolidatedstatementofincomeandconsolidatedstatementofcashflowshasbeenadjustedaccordingly.

TheStainlessGlobalbusinessareametthecriteriaforpresentationasadiscontinuedoperationfromSeptember30,2011 until completion of the combination with the Finish company Outokumpu on December 28, 2012. Therefore, for the StainlessGlobalbusinessareaallincomeandexpensesuntilDecember28,2012aswellasincomeandexpensesincurred afterthedisposalbutaredirectlyrelatedtothedisposalarepresentedseparatelyintheconsolidatedstatementofincome inthelineitem"Discontinuedoperationsnetoftax".

Disposalgroups

InSeptember2012thedisposaloftheThyssenKruppTailoredBlanksgrouphasbeeninitiatedintheSteelEuropebusiness area. Tailored Blanks is supplier of body systems to the auto industry which produces tailored steel blanks. After the approvalhasbeengivenbytheresponsibleregulatoryauthorities,withtheexemptionoftheChangchuncompaniesthesale totheChinesesteelproducerWuhanIronandSteelCorporationWISCOwascompletedasofJuly31,2013;theseChinese companiesarestillsubjecttoapprovalbythelocalauthorities.Thecompletionisexpectedinfiscalyear2013/2014.

The assets and liabilities of the Changchun companies in China which are still part of the disposal group as of December31,2013arepresentedinthefollowingtable:

DisposalgroupTailoredBlanksChina

million€	Dec.31,2013
Property,plantandequipment	6
Inventories	7
Tradeaccountsreceivable	11
Othercurrentnon-financialassets	2
Cashandcashequivalents	2
Assetsheldforsale	28
Tradeaccountspayable	4
Othercurrentnon-financialliabilities	1
Liabilitiesassociatedwithassetsheldforsale	5

InadditioninSeptember2012thedisposaloftheBercogrouphasbeeninitiatedintheComponentsTechnologybusiness area. Berco is a leading global supplier of undercarriages, based mainly on forged components, for the construction machinerysectorandoffersabroadrangeofpartsandservicesforbothOEMsandtheaftermarket.Itsproductsareused inmachineryfromlargeminingequipmenttominiexcavators.Inthecontextoftheinitiateddisposalanimpairmentlossof €4milliononintangibleassetsandof€131milliononproperty,plantandequipmentwasrecognizedincostofsalesinthe 4thquarter of2011/2012 resultingfromthewrite-down oftheassetstofairvalue less coststosell.Atthesametime a deferredtaxassetof€1millionwasrecognized.Asaresultofunforeseenrestructuringrequirements,whichcouldonlybe implementedwiththe cooperation of employee and government representatives,the one-year period required by IFRS 5 extendedbeyondSeptember30,2013withoutdisadvantagetoexistingsaleopportunities.

TheassetsandliabilitiesofthedisposalgroupasofDecember31,2013arepresentedinthefollowingtable:

million€	Dec.31,2013
Otherintangibleassets	2
Property,plantandequipment	38
Deferredtaxassets	14
Inventories	187
Tradeaccountsreceivable	46
Othercurrentnon-financialassets	20
Currentincometaxassets	1
Cashandcashequivalents	6
Assetsheldforsale	314
Accruedpensionandsimilarobligations	29
Othernon-currentprovisions	3
Othercurrentprovisions	11
Currentfinancialdebt	4
Tradeaccountspayable	68
Othercurrentfinancialliabilities	2
Othercurrentnon-financialliabilities	53
Liabilitiesassociatedwithassetsheldforsale	170

DisposalgroupBercogroup

IntheSteelAmericas business areathechangetotheplan ofsaleas ofSeptember30,2013meantthat instead ofthe entirebusinessareaclassifyingasadiscontinuedoperation/disposalgroup,onlytheThyssenKruppSteelUSAportionmet thecriteriaforpresentationasadisposalgroup.

The ThyssenKrupp Steel USA disposal group comprises the ThyssenKrupp Steel USA rolling and coating plant in Calvert/Alabama.Inconnectionwiththeinitiatedsale,measurementatfairvaluelesscoststosellresultedasofSeptember 30,2013inimpairmentlossesof€2milliononintangibleassetsand€335milliononproperty,plantandequipment,which are reportedintheamount of€328millionincost ofsales,€3million insellingexpenses,and€6millioningeneral and administrativeexpensesinthe4thquarterendedSeptember30,2013.Asaresultofcircumstancesbeyondthecompany's control,theone-yearperiodrequiredbyIFRS5extendedbeyondSeptember30,2013withoutdisadvantagetoexistingsale opportunities.

OnNovember29,2013ThyssenKruppsignedacontractwithaconsortiumofArcelorMittalandNipponSteel&Sumitomo MetalCorporationtheconsortiumonthesaleofthedisposalgroup.AtthebeginningofFebruary2014theapprovalofthe relevantregulatoryauthoritieshadbeenreceived.

Uponclosing,ThyssenKruppwillreceiveapurchasepriceof1.55billionUSdollarsandavaluableslabsupplycontractin whichithasbeenagreedthattheconsortiumwillpurchase2milliontonsofslabsperyearfromThyssenKruppCSAupto 2019.

TheassetsandliabilitiesofthedisposalgroupasofDecember31,2013arepresentedinthefollowingtable:

million€	Dec.31,2013
Otherintangibleassets	8
Property,plantandequipment	799
Inventories	331
Tradeaccountsreceivable	164
Othercurrentnon-financialassets	5
Currentincometaxassets	1
Cashandcashequivalents	5
Assetsheldforsale	1,313
Non-currentfinancialdebt	1
Currentfinancialdebt	2
Tradeaccountspayable	23
Othercurrentfinancialliabilities	15
Othercurrentnon-financialliabilities	40
Liabilitiesassociatedwithassetsheldforsale	81

DisposalgroupThyssenKruppSteelUSA

DiscontinuedoperationStainlessGlobalbusinessareaandasingleassetheldforsale

As of September 2011 as part of its program for the further strategic development, the corporate, organizational and contractual conditions for creating a separate Stainless Global and consequently the conditions for the first-time presentationasadiscontinuedoperationwereestablished.

Inthe contextwiththe initiated disposal, as ofSeptember 30, 2011themeasurement of discontinued operations atfair value less coststo sell based on internal calculations and market observations resulted in an impairment loss of €510 million. Thereof, €45million appliedto goodwill andthe remaining impairment loss was allocatedto property, plant and equipment.Theexpenseisrecognizedinincome/lossofdiscontinuedoperationsofthe4thquarterof2010/2011.

On January 31, 2012, the agreement to combine the Finnish stainless steel producer Outokumpu and ThyssenKrupp's stainless steel operations was signed. The EU Commission approved the combination in November 2012 with certain conditions.BasedonthecontractwithOutokumpuabouttheintendedsale,in2011/2012themeasurementresultedinan additionalimpairmentlossof€400millionthatwasallocatedtoproperty,plantandequipment.Theexpenseof€400million in total is recognized in income/loss of discontinued operations of the year ended September 30, 2012; thereof €265 millionrefertothe1stquarterof2011/2012.

Furthermore, duetothe shut-down ofthe Krefeld melt shop bythe end of 2013, an impairment loss of €42 million on property,plantandequipmentwasrecognizedinincome/lossofdiscontinuedoperationsofthe2ndquarterof2011/2012. InMay2012,Inoxumagreedwiththerelevantworkscouncilonasocialplaninconnectionwiththeconsolidationmeasures regardingtherelocationoftheDüsseldorf-Benrathfacilityandtheconnectedpersonnelreduction.Thesocialplanincludes early retirement models and compensations for employees leaving Inoxum. Further, it includes compensations for employees being relocated. Thesocial planwill apply accordinglytothe planned closure ofthe Krefeldmeltshop inthe eventtheInoxumtransactioniscompleted.AsofSeptember30,2012theoverallcostsinconnectionwiththatsocialplan havebeenrecognizedasarestructuringprovisionof€58millionintheaggregateforDüsseldorf-BenrathandKrefeld.

OnDecember28,2012thecombinationoftheStainlessGlobalbusinessareawiththeFinnishcompanyOutokumpuwas completed. With the closing of this transaction ThyssenKrupp received €1 billion in cash from Outokumpu for the contribution of Inoxum. In addition Outokumpu took on the external net financial debt and pension obligations. ThyssenKrupp holds a share of 29.9% in Outokumpu and afinancial receivable outstanding against Outokumpu with a current value of €969 million and an original maximum term of 9 years. Under the purchase agreement, this financial receivable can be adjusted by a maximum of €200 million in the event of negative financial consequences arising for Outokumpufromconditionsimposedundermergercontrollaw.

In the context of the necessary refinancing of Outokumpu ThyssenKrupp AG signed a contract with Outokumpu Oyj on November29,2013transferring100%ofthesharesofVDMandASTandofothersmalleractivitiesinthestainlesssteel servicecentersectortoThyssenKrupp.InreturnThyssenKrupp'sfinancialreceivableresultingfromtheInoxumtransaction, whichhadabookvalueof€969millionatSeptember30,2013,wastransferredtoOutokumpu.Thecommitmentresulting fromthesaleofInoxumtoOutokumputooffsetanynegativefinancialconsequencesforOutokumpuundermergercontrol requirementsuptoanamountof€200millionthereforeceasestoapply.

TomeettherequirementsoftheEUCommissionThyssenKruppAGwillfullydivestits29.9%interestinOutokumpuand allfinanciallinkswithOutokumpuGroupwillbeended.WiththeclearancebytheEUCommissiononFebruary12,2014, theapprovalofalmostallthe regulatoryauthoritiesforthetransactionhasbeen received.Theclosingisstillsubjectto thecooperationandapprovaloftheshareholders,banksandcreditorsfortheoverallplanforasustainablerefinancingof Outokumpu.

TheresultsoftheStainlessGlobalbusinessareathatclassifiedasadiscontinuedoperationuntilDecember28,2012are presentedinthefollowingtable.Inadditionthetableincludesincomeandexpenseincurredafterthedisposalbutdirectly relatedtothe disposal ofStainlessGlobal inthe 1st quarterendedDecember 31, 2013. Thismainly reflectsthe income fromthe reversal of provisions aftertherewas no longer an obligationto offset any negativefinancial consequencesfor Outokumpuundermergercontrolrequirements.

	1stquarter	1stquarter
million€	ended Dec.31,2012	ended Dec.31,2013
Netsales	1,268	0
Otherincome	9	0
Expenses	01,3591	187
Ordinaryincome/0loss1fromdiscontinuedoperations0beforetaxes1	0821	187
Incometax0expense1/income	051	0
Ordinaryincome/0loss1fromdiscontinuedoperations0netoftax1	0871	187
Gain/0loss1recognizedondisposalofdiscontinuedoperations0beforetaxes1	146	0
Incometax0expense1/income	—	—
Gain/0loss1recognizedondisposalofdiscontinuedoperations0netoftax1	146	0
Discontinuedoperations0netoftax1	59	187
thereof:
ThyssenKruppAG'sstockholders	60	187
Non-controllinginterest	011	0

DiscontinuedoperationStainlessGlobal

The29.9%shareholdinginOutokumpuobtainedafterthedisposaloftheStainlessGlobalbusinessareaisaccountedforin theconsolidatedfinancialstatementsaccordingtotheequitymethod.AsofDecember31,2012thisshareholdingisinitially reportedwith a value of €491 million, based onthe share price atthetime ofthetransaction €0.79multiplied bythe numberofOutokumpusharesreceived.Thefairvalueoftheacquiredsharesatthetimeofthetransactionwasdetermined ina purchasepriceallocationandfinalizedas ofNovember29,2013.Adjustedfortheshare inOutokumpu'slossesand effectsfromthepurchasepriceallocation,thecarryingamountoftheinvestmentasofNovember29,2013is€253million.

InconnectionwiththenegotiationsontherestructuringofOutokumpu,anagreementwasreachedonNovember29,2013 tosellthe29.9%shareinOutokumpuOyjtofulfilltheEUCommissionconditions.Thismeansthatasofthesamedatethe investment in Outokumpumeetsthe criteriafor classification as an asset heldfor sale. The impairmenttest carried out immediatelybeforeclassificationasanassetheldforsaleresultedinanimpairmentlossof€17milliononNovember29, 2013 becausethe recoverable amount of €236 million, based onthe quoted market price for one Outokumpu share of €0.38onNovember29,2013,waslowerthanthecarryingamountoftheinvestment of€253million.Thefairvalueless costtoselloftheOutokumpushareholdingatDecember31,2013cameto€255millionbasedontheOutokumpushare price of €0.41 on the balance sheet date. As this fair value was higher than the carrying amount of €253 million immediatelybeforeclassificationasanassetheldforsale,theimpairmentlossof€17millionrecognizedonNovember29, 2013hadtobereversed.Comparedwiththecarryingamountof€305milionasofSeptember30,2013thecarryingvalue oftheinvestmentistherefore€52millionlower.

Furthermoreinconnectionwiththeagreementasharederivativeliabilityintheamountof€224millionwasrecognizedfor thefirsttimeasofDecember31,2013,resultingfromthefactthatthepurchasepricefortheinvestmentinOutokumpuis contractuallyfixedat€0.05pershare.Takingintoaccounttheearningsimpactof€52millionresultingfromthereductionof thecarryingamountoftheinvestment,thetotalchargetofinancialincome/expense,netis€276million.ThyssenKrupp's financialreceivablefromOutokumpucreatedinconnectionwiththeInoxumtransactionisrecognizedat€969millionasof December31,2013,unchangedfromSeptember30,2013.

03 Share-basedcompensation

Managementincentiveplans

Inthe1stquartermonthsendedDecember31,2013,theGrouprecordedexpensesof€8.9millionfromtheobligationsof thelong-termincentiveplanLTI.Inthe1stquartermonthsendedDecember31,2012,duetothedownwardtrendofthe TKVA,theGrouprecordedanincomeof€3.7millionfromtheincentiveplans;thereofnothingispresentedinincome/loss ofdiscontinuedoperations.

In September 2010thestructure ofthe variable compensationformembers ofthe ExecutiveBoard of ThyssenKrupp AG was modified. 25% of the performance bonus granted for the respective fiscal year and 55% of the additional bonus granted depending ontheeconomicsituationwillbeobligatorily convertedinto ThyssenKruppAGstock rightstobepaid outafter athree-yearlock-up periodbasedontheaverageThyssenKruppshare priceinthe4th quarterofthe3rdfiscal year.Inthe3rdquarter of2010/2011thestructureofthevariablecompensationforadditionalexecutiveemployeeswas modified. 20% of the performance bonus granted for the respective fiscal year will be obligatorily converted into ThyssenKruppAGstock rightstobepaidoutafterathree-yearlock-upperiodbasedontheaverageThyssenKruppshare priceinthe4thquarterofthe3rdfiscalyear.Thiscompensationitemresultedinexpensesof€1.9millioninthe1stquarter endedDecember31,20131stquarterendedDecember31,2012:€0.4million.

04 Accruedpensionandsimilarobligations

Based on updated interest rates andfair value of plan assets, an updated valuation of accrued pension and health care obligationswasperformedasofDecember31,2013,takingintoaccounttheseeffectswhileotherassumptionsremained unchanged.

Accruedpensionsandsimilarobligations

million€	Sept.30,2013*	Dec.31,2013
Accruedpensionliability	6,424	6,349
Accruedpostretirementobligationsotherthanpensions	698	665
Otheraccruedpension-relatedobligations	252	226
Reclassificationduetothepresentationasliabilitiesassociatedwithassetsheldforsale	0291	0291
Total	7,345	7,211

*FigureshavebeenadjustedduetotheadoptionofIAS19R0see"Recentlyadoptedaccountingstandards"1.

TheGroupappliedthefollowingweightedaverageassumptionstodeterminepensionandpostretirementbenefitobligations otherthanpensions:

Weighted-averageassumptions

	Sept.30,2013			Dec.31,2013
in%	Germany	Outside Germany	Total	Germany	Outside Germany	Total
Discountrateforaccruedpensionliability	3.50	3.88	3.60	3.50	4.00	3.63
Discountrateforpostretirementobligationsotherthan pensions	—	4.25	4.25	—	4.50	4.50

Thenetperiodicpostretirementbenefitcostforhealthcareobligationsisasfollows:

Netperiodicpensioncost

	1stquarter ended Dec.31,2012*			1stquarter ended Dec.31,2013
million€	Germany	Outside Germany	Total	Germany	Outside Germany	Total
Servicecost	27	9	36	22	7	29
Netinterestcost	55	3	58	51	3	54
Administrationcost	-	-	-	0	1	1
Curtailmentandsettlementgains	0	0111	0111	0	0	0
Netperiodicpensioncost	82	1	83	73	11	84

*FigureshavebeenadjustedduetotheadoptionofIAS19R0see"Recentlyadoptedaccountingstandards"1.

Theabovepresented net periodicpensioncostfordefined benefit plansinGermanyinclude cost of€5millioninthe1st quarter ended December 31, 2012 and net periodic pension costfor defined benefit plans outside Germany does of €0 millioninthe1stquarterendedDecember31,2012attributabletodiscontinuedoperations.Thesecostsarepresentedin income/lossfromdiscontinuedoperationsintheconsolidatedstatementofincome.

Thenetperiodicpostretirementcostforhealthcareobligationsisasfollows:

Netperiodicpostretirementbenefitcost

million€	1stquarter ended Dec.31,2012	1stquarter ended Dec.31,2013
Servicecost	1	0
Netinterestcost	7	7
Administrationcost	-	0
Netperiodicpostretirementbenefitcost	8	7

05 Capitalstockincrease

On December 02, 2013, the Executive Board of ThyssenKrupp AG with the approval of the Executive Committee of the Supervisory Board resolved in accordance with the authorization under § 5, par. 5 of the Articles of Association of the CompanytoincreasethecapitalstockofThyssenKruppAGby10percentbyissuing51,448,903newnoparbearershares intheCompanyandtoexcludesubscriptionrights.

OnDecember03,2013theannouncedcapitalincreasewassuccessfullycompletedinanacceleratedbookbuildingprocess. Thenewly issued51,448,903no parsharesinThyssenKruppAGwereplacedwithGermanandinternationalinstitutional investorsatapriceof€17.15pershare.Theplacement resultedingrossproceedsof€882million,thetransactioncosts incurredwererecognizeddirectlyinequity.

ThiscapitalmeasurestrengthenstheGroup'sequityandreducesnetfinancialdebt.

06 Contingenciesincludingpendinglawsuitsandclaimsfordamages

Guarantees

ThyssenKruppAGaswellas,inindividualcases,itssubsidiarieshaveissuedorhavehadguaranteesinfavourofbusiness partnersorlenders.Thefollowingtableshowsobligationsunderguaranteeswheretheprincipaldebtorisnotaconsolidated Groupcompany:

Contingencies
million€	Maximum potential amountof future payments asof Dec.31,2013	Provisionasof Dec.31,2013
Advancepaymentbonds	266	1
Performancebonds	115	1
Thirdpartycreditguarantee	58	0
Residualvalueguarantees	61	2
Otherguarantees	52	0
Total	552	4

Thetermsofthoseguaranteesdependonthetypeofguaranteeandmayrangefromthreemonthstotenyearse.g.rental paymentguarantees.Thebasisforpossiblepaymentsundertheguaranteesisalwaysthenon-performanceoftheprincipal debtor under a contractual agreement, e.g. late delivery, delivery of non-conforming goods under a contract or nonperformancewithrespecttothewarrantedqualityordefaultunderaloanagreement.

All guarantees are issued by or issued by instruction of ThyssenKrupp AG or subsidiaries upon request ofthe principal debtorobligatedbytheunderlyingcontractualrelationshipandaresubjecttorecourseprovisionsincaseofdefault.Ifsuch a principal debtor is a company ownedfully or partially by aforeignthird party,thethird party is generally requestedto provideadditionalcollateralinacorrespondingamount.

Commitmentsandothercontingencies

Duetothehighvolatilityofironoreprices,intheSteelEuropeandSteelAmericasbusinessareastheexistinglong-term ironoreandironorepelletssupplycontractsaremeasuredfortheentirecontractperiodattheironorepricesapplyingasof the respective balance sheet date. Compared to September 30, 2013, the purchasing commitments decreased by €0.3billionto€14.4billion.

VariousGerman companies ofthe ThyssenKruppGroup have obtainedexemptionsfromthe renewableenergysurcharge under §§ 40ff.Renewable Energy Act EEG.By decision of December 18, 2013the EUCommission opened astate aid investigation.ThyssenKruppreceivedexemptionsintheamountof€72millionfor2013andexpectsexemptionsofaround €94millionfor2014.

Therehavebeennomaterialchangestotheothercontingenciessincetheendofthelastfiscalyear.

Pendinglawsuitsandclaimsfordamages

FormerstockholdersofThyssenandofKrupphavepetitionedperArt.305UmwGReorganizationActforajudicialreview oftheshareexchangeratiosusedinthemergerofThyssenAGandFried.KruppAGHoesch-KrupptoformThyssenKrupp AG.TheproceedingsarependingwiththeDüsseldorfRegionalCourt.Shouldarulingbemadeinfavourofthepetitioners, theCourtwouldrequiresettlementtobemadeviaanadditionalcashpaymentplusinterest.Theadditionalpaymentalso would be requiredto be madeto all affected stockholders, even iftheywere not petitioners inthe judicial proceedings. However,theGroupexpects nosuch paymentsto become due astheexchange ratioswere duly determined, negotiated between unrelated parties and audited and confirmed by the auditor that has been appointed by court, and differ only insignificantlyfromthevalueratiodeterminedbytheexpertappointedbytheDüsseldorfRegionalCourt.

In connectionwiththe railcartelvarious companies oftheDeutscheBahn group DBfiledclaims againstThyssenKrupp GfTGleistechnik,ThyssenKruppMaterialsInternationalandfurthercartelparticipants.DBsoughtextensiveinformationand inthisconnectionestimatedthetotaldamagescausedbyallparticipantsinthecartelatapprox.€550millionplusinterest ofapprox.€300million.AsaresultoftalksheldwithDBonthisasettlementofthelegaldisputewasagreed.InJanuary 2014theresponsiblebodiesandinthecaseofDBthefundingprovidersgavetheirapproval.Thesettlementhastherefore entered into effect. In the meantime further companies have also asserted or announced out-of-court claims against ThyssenKruppinconnectionwiththe railcartel. ThyssenKrupphas recognized provisionsfor risks inconnectionwiththe claimsfordamages.

Claimsfor damageshave beenfiledagainstThyssenKruppAGandcompaniesoftheThyssenKruppGroupinconnection withthe elevator cartel. ThyssenKrupp is answering claimsfor damages being pursued in court. Provisionsfor litigation risks are recognized where individual claims meet the requirements of IAS 37 for probability of occurrence and can be reliablyestimated.

Actingonananonymoustip,theGermanFederalCartelOfficehasbeeninvestigatingThyssenKruppSteelEuropeAGand othercompanies based on aninitialsuspicion of pricefixing inthedelivery ofcertainsteelproductstotheGermanauto industry and its suppliers over a period dating backto 1998. ThyssenKrupp has launched its own investigation intothe allegations with the support of external lawyers. The amnesty program we carried out from April15 to June15, 2013 producednoleadsregardingtheinvestigationsoftheFederalCartelOffice.TheinvestigationsbytheFederalCartelOffice are ongoing. The internal investigations are continued inthe reporting period and are at an advanced stage but not yet complete. Based onthefacts currently knownto us, significant adverse consequenceswith regardtothe Group's asset, financialandearningssituationcannotberuledout.

Inadditionfurtherlegalandarbitrationactionsandofficialinvestigationsandproceedingsaswellasclaimshavebeenfiled againstThyssenKruppcompaniesormaybeinitiatedorfiledinthefuture.Theyincludeforexamplelegal,arbitrationand out-of-court disputes in connection with the acquisition or disposal of companies or company units which may lead to partial repayment ofthe purchase price ortothe payment of damages.Furthermore, damage claimsmay be payableto contractual partners, customers, consortium partners and subcontractors under performance contracts. Predicting the progressandresultsoflawsuitsinvolvesconsiderabledifficultiesanduncertainties.Thismeansthatlawsuitsnotdisclosed separately could also individually ortogetherwith other legal disputes have a negative and also potentiallymajorfuture impactontheGroup'snetassets,financialpositionandresultsofoperations.However,atpresentThyssenKruppdoesnot expectpendinglawsuitsnotexplainedseparatelyinthissectiontohaveamajornegativeimpactontheGroup'snetassets, financialpositionandresultsofoperations.

07 Financialinstruments

Thefollowingtableshowsfinancialassetsandliabilitiesbymeasurementcategoriesandclasses.Financeleasereceivables andliabilities,andderivativesthatqualifyforhedgeaccountingarealsoincludedalthoughtheyarenotpartofanyIAS39 measurementcategory.

FinancialinstrumentsasofDec.31,2013

			Measurementinaccordance withIAS39		Measurement inaccordance withIAS17
million€	Carrying amounton balancesheet Dec.31,2013	*Amortized+ cost	Fairvalue recognized inprofit orloss	Fairvalue recognized inequity	Amortized cost	Fairvalue Dec.31,2013
Tradeaccountsreceivable,net0excludingfinancelease1	4,267	4,267				4,267
Loansandreceivables		4,267				4,267
Financeleasereceivables	50				50	50
Otherfinancialassets	1,503	1,414	55	34		1,503
Loansandreceivables		1,396				1,396
Available-for-salefinancialassets		18		11		29
Derivativesthatdonotqualifyforhedgeaccounting 0Financialassetsheldfortrading1			55			55
Derivativesthatqualifyforhedgeaccounting			0	23		23
Cashandcashequivalents	4,058	4,058				4,058
Loansandreceivables		4,058				4,058
Totaloffinancialassets	9,878
thereofbymeasurementcategoriesofIAS39:
Loansandreceivables	9,721	9,721				9,721
Available-for-salefinancialassets	29	18		11		29
Derivativesthatdonotqualifyforhedgeaccounting 0Financialassetsheldfortrading1	55		55			55
Financialdebt0excludingfinancelease1	8,476	8,476				8,854
Financialliabilitiesmeasuredatamortizedcost		8,476				8,854
Financeleaseliabilities	52				52	52
Tradeaccountspayable	3,784	3,784				3,784
Financialliabilitiesmeasuredatamortizedcost		3,784				3,784
Otherfinancialliabilities	1,262	850	352	60		1,262
Financialliabilitiesmeasuredatamortizedcost		850				850
Derivativesthatdonotqualifyforhedgeaccounting
0Financialliabilitiesheldfortrading1			352			352
Derivativesthatqualifyforhedgeaccounting			0	60		60
Totaloffinancialliabilities	13,574
thereofbymeasurementcategoriesofIAS39:
Financialliabilitiesmeasuredatamortizedcost	13,110	13,110				13,488
Derivativesthatdonotqualifyforhedgeaccounting 0Financialliabilitiesheldfortrading1	352		352			352

Thecarryingamountsoftradeaccounts receivable,othercurrent receivablesaswellascashandcashequivalentsequal theirfairvalues.Thefairvalueofloansequalsthepresentvalueofexpectedcashflowswhicharediscountedonthebasis ofinterestratesprevailingonthebalancesheetdate.

Available-for-salefinancialassetsprimarilyincludeequityanddebtinstruments.Theyareingeneralmeasuredatfairvalue, whichisbasedtotheextentavailableonmarketpricesasofthebalancesheetdate.Whennoquotedmarketpricesinan activemarketareavailableandthefairvaluecannotbereliablymeasured,equityinstrumentsaremeasuredatcost.

The fair value of foreign currency forward transactions is determined on the basis of the middle spot exchange rate applicable as ofthe balancesheet date, andtaking account offorward premiums or discounts arisingforthe respective remainingcontracttermcomparedtothecontractedforwardexchangerate.Commonmethodsforcalculatingoptionprices areusedforforeigncurrencyoptions.Thefairvalueofanoptionisinfluencednotonlybytheremainingtermofanoption, butalsobyotherfactors,suchascurrentamountandvolatilityoftheunderlyingexchangeorbaserate.

Interestrateswapsandcrosscurrencyswapsaremeasuredatfairvaluebydiscountingexpectedcashflowsonthebasisof marketinterestratesapplicablefortheremainingcontractterm.Inthecaseofcrosscurrencyswaps,theexchangeratesfor eachforeigncurrency,inwhichcashflowsoccur,arealsoincluded.

Thefairvalueofcommodityfuturesisbasedonpublishedpricequotations.Itismeasuredasofthebalancesheetdate, bothinternallyandbyexternalfinancialpartners.

Thecarryingamountsoftradeaccountsreceivableandothercurrentliabilitiesequaltheirfairvalues.Thefairvalueoffixed rateliabilitiesequalsthepresentvalueofexpectedcashflows.Discountingisbasedoninterestratesapplicableasofthe balancesheetdate.Thecarryingamountsoffloatingrateliabilitiesequaltheirfairvalues.

Financialassetsandliabilitiesmeasuredatfairvaluecouldbecategorizedinthefollowingthreelevelfairvaluehierarchy:

million€	Balanceasof Dec.31,2013	Level1	Level2	Level3
Financialassetsatfairvalue
Fairvaluerecognizedinprofitorloss
Derivativesthatdonotqualifyforhedgeaccounting0Financialassetsheldfortrading1	55	0	55	0
Derivativesthatqualifyforhedgeaccounting	0	0	0	0
Fairvaluerecognizedinequity
Available-for-salefinancialassets	11	9	2	0
Derivativesthatqualifyforhedgeaccounting	23	0	23	0
Total	89	9	80	0
Financialliabilitiesatfairvalue
Fairvaluerecognizedinprofitorloss
Derivativesthatdonotqualifyforhedgeaccounting0Financialassetsheldfortrading1	352	0	280	72
Derivativesthatqualifyforhedgeaccounting	0	0	0	0
Fairvaluerecognizedinequity
Derivativesthatqualifyforhedgeaccounting	60	0	60	0
Total	412	0	340	72

Thefairvaluehierarchyreflectsthesignificanceoftheinputsusedtodeterminefairvalues.Financialinstrumentswithfair value measurement based on quoted prices in active markets are disclosed in Level 1. In Level 2 determination of fair valuesisbasedonobservableinputs,e.g.foreignexchangerates.Level3comprisesfinancialinstrumentsforwhichthefair valuemeasurementisbasedonunobservableinputs.

Thefollowingtableshowsthereconciliationoflevel3financialinstruments:

Reconciliationlevel3financialinstrumentsinmillion€

FairvaluehierarchyasofDec.31,2013

BalanceasofSept.30,20130asset/0liability11	0921
Changesrecognizedthroughprofitorloss	20
BalanceasofDec.31,20130asset/0liability11	0721

Thefinancialliability,whichis based onindividualvaluationparameters and recognized atfairvalue, comprisesafreight derivative which was valued according to the contractually agreed minimum volume on the basis of recognized hedge modelstakingintoaccountthemarketdataprevailingattheclosingdate.Theresultingincomeeffectisrecognizedinthe consolidatedstatementofincomeunder"Otherexpenses"and"Otherincome",respectively.

ThenotionalamountsandfairvaluesoftheGroup'sderivativefinancialinstrumentsareasfollows:

Derivativefinancialinstruments

million€	Notional amount Sept.30,2013	Carrying amount Sept.30,2013	Notional amount Dec.31,2013	Carrying amount Dec.31,2013
Assets
Foreigncurrencyderivativesthatdonotqualifyforhedgeaccounting	2,477	36	3,239	44
Foreigncurrencyderivativesqualifyingascashflowhedges	106	2	375	9
Embeddedderivatives	67	3	64	2
Interestratederivativesqualifyingascashflowhedges*	224	2	1,122	13
Commodityderivativesthatdonotqualifyforhedgeaccounting	213	9	194	9
Commodityderivativesqualifyingascashflowhedges	31	3	23	1
Total	3,118	55	5,017	78
Liabilities
Foreigncurrencyderivativesthatdonotqualifyforhedgeaccounting	1,854	68	1,174	46
Foreigncurrencyderivativesqualifyingascashflowhedges	179	6	746	13
Embeddedderivatives	65	3	70	3
Interestratederivativesqualifyingascashflowhedges*	1,095	21	186	11
Sharederivative	-	-	31	224
Commodityderivativesthatdonotqualifyforhedgeaccounting**	388	101	369	79
Commodityderivativesqualifyingascashflowhedges	157	35	236	36
Total	3,738	234	2,812	412

*inclusiveofcrosscurrencyswaps **inclusiveofcargoderivatives

08 Relatedparties

As of December 31, 2013 a financial receivable exists from Outokumpu with a current value of €969 million and an original maximumterm ofnineyears.Also atDecember31,2013acurrent receivableexistsfromOutokumpuunder acreditlineinthe amount of €160million. In addition ThyssenKrupp granted Outokumpu a supplierfinance backupfacility inthe amount of €82 million,whichwasnotdrawnatDecember31,2013andasofthebeginningofJanuary2014isnolongeravailabletoOutokumpu.

09 Segmentreporting

At January 01, 2013 the former Plant Technology and Marine Systems business areas were combined into the new Industrial Solutions business area.Industrial Solutions is a leading internationalsupplier inspecial and large-scale plant construction as well as naval shipbuilding. After the Steel Americas business area was classified as a discontinued operation asfrom September 30, 2012, itwas reclassified as a continuing operationeffectiveSeptember 30, 2013. The figuresfortheprior-yearperiodhavebeenadjustedaccordingly.

Segment information for the the 1st quarter ended December31, 2012 as well as for the the 1st quarter ended December31,2013isasfollows:

million€	Components Technology	Elevator Technology	Industrial Solutions	Materials Services	Steel Europe	Steel Americas	Corporate	Stainless Global*	Consolidation	Group
1stquarterendedDec.31,2012
Externalsales	1,343	1,532	1,301	2,731	1,837	373	27	1,268	0	10,412
InternalsaleswithintheGroup	2	0	5	84	416	115	28	134	07841	0
Totalsales	1,345	1,532	1,306	2,815	2,253	488	55	1,402	07841	10,412
EBIT	43	171	141	36	29	01221	01121	72	0891	169
AdjustedEBIT	42	169	140	40	30	01221	0971	0691	0951	38
1stquarterendedDec.31,2013
Externalsales	1,426	1,544	1,286	2,592	1,712	535	14	-	0	9,109
InternalsaleswithintheGroup	2	0	2	147	362	3	28	-	05441	0
Totalsales	1,428	1,544	1,288	2,739	2,074	538	42	-	05441	9,109
EBIT	56	133	173	43	20	1	01161	187	0991	398
AdjustedEBIT	64	175	173	34	19	0171	01031	0	0981	247

Segmentinformation

*Discontinuedoperation

Net sales and adjusted EBIT as well as operating EBIT reconcile to EBTfrom continuing operations as presented inthe consolidatedstatementofincomeasfollowing:

Reconciliationofsales

million€	1stquarter ended Dec.31,2012	1stquarter ended Dec.31,2013
Salesaspresentedinsegmentreporting	10,412	9,109
-SalesofStainlessGlobal	01,4021	-
+SalesofdiscontinuedoperationstoGroupcompanies	134	-
+SalesofGroupcompaniestodiscontinuedoperations	45	-
Salesaspresentedinthestatementofincome	9,189	9,109

ReconciliationofEBITtoEBT

	1stquarter ended	1stquarter ended
million€	Dec.31,2012	Dec.31,2013
AdjustedEBITaspresentedinsegmentreporting	38	247
Specialitems	131	151
EBITaspresentedinsegmentreporting	169	398
-DepreciationofcapitalizedborrowingcostseliminatedinEBIT	061	051
+Non-operatingincome/0expense1fromcompaniesaccountedforusingtheequitymethod	0	0521
+Financeincome	130	212
-Financeexpense	02951	05651
-ItemsoffinanceincomeassignedtoEBITbasedoneconomicclassification	0261	0281
+ItemsoffinanceexpenseassignedtoEBITbasedoneconomicclassification	19	021
EBT-Group	091	0421
-EBTofStainlessGlobal	0641	01871
EBTfromcontinuingoperationsaspresentedinthestatementofincome	0731	02291

10 Costofsales

Costofsalesforthethe1stquarterendedDecember31,2013,includeswrite-downsofinventoriesof€28millionwhich mainlyrelatetotheSteelEuropeandSteelAmericasbusinessareas.AsofSeptember30,2013,write-downsamountedto €94 million. Inthethe 1st quarter ended December 31, 2012, cost of sales includes write-downs of inventories of €13 millionwhichmainlyrelatedtotheSteelEuropeandComponentsTechnologybusinessareas.

Furthermore, cost of sales include €27 million restructuring expense, which relates mostly to the Elevator Technology businessareaandinasmalleramounttotheComponentsTechnologybusinessarea.

11 Income/0expense1fromcompaniesaccountedforusingtheequitymethod

Thelineitemincludesexpensesof€52millioninthe1stquarterendedDecember31,20131stquarterendedDecember 31,2012:0resultingfromtheinvestmentinOutokumpuaccountedforusingtheequitymethod;theseexpensescomprise theproratalossesofOutokumpufromOctober01,2013toNovember29,2013andthemeasurementatfairvalue.

12 Earningspershare

Basicearningspershareiscalculatedasfollows:

Earningspershare

	endedDec.31,2012*	1stquarter		1stquarter endedDec.31,2013
	Totalamount inmillion€	Earningsper sharein€	Totalamount inmillion€	Earningsper sharein€
Income/0loss1fromcontinuingoperations0netoftax1
0attributabletoThyssenKruppAG'sstockholders1	0611	00.121	02511	00.471
Income/0loss1fromdiscontinuedoperations0netoftax1
0attributabletoThyssenKruppAG'sstockholders1	60	0.12	187	0.35
Income/0loss10attributabletoThyssenKruppAG'sstockholders1	011	0.00	0641	00.121
Weightedaverageshares	514,489,044		530,495,370

*FigureshavebeenadjustedduetotheadoptionofIAS19R,thereclassificationofSteelAmericasasacontinuingoperationandthecatchupofamortizationanddepreciationof ThyssenKruppCSA0see"Recentlyadoptedaccountingstandards"andNote21.

Relevantnumberofcommonsharesforthedeterminationofearningspershare

Earnings per share have been calculated by dividing net income/loss attributable to common stockholders of ThyssenKruppAG numeratorbytheweightedaveragenumberofcommonsharesoutstanding denominatorduringthe period.Sharesissued,soldorreacquiredduringtheperiodhavebeenweightedfortheportionoftheperiodthattheywere outstanding.

Inthe1stquarterendedDecember31,2013theweightedaveragenumberofsharesincreasedasa resultofthecapital increasecarriedoutatthebeginningofDecember2013seeNote05.

Therewerenodilutivesecuritiesintheperiodspresented.

13 Additionalinformationtotheconsolidatedstatementofcashflows

Theliquidfundsconsideredintheconsolidatedstatementofcashflowscorrespondtothe"Cashandcashequivalents"line itemintheconsolidatedstatementoffinancialpositiontakingintoaccountthecashandcashequivalentsattributabletothe disposalgroupsinclusiveofdiscontinuedoperations.

Non-cashinvestingactivities

Inthe1stquarterendedDecember31,2013,theacquisitionandfirst-timeconsolidationofcompaniescreatedanincrease innon-currentassetsof€1million1stquarterendedDecember31,2012:€4million.

Thenon-cashadditionofassetsunderfinanceleasesinthe1stquarterendedDecember31,2013amountedto€3million 1stquarterendedDecember31,2012:€3million.

In connectionwiththesecond constructionstage ofthe"ThyssenKruppQuarter"located inEssen,therewas anon-cash additionofproperty,plantandequipmentof€18millioninthe1stquarterendedDecember31,2013 1stquarterended December31,2012:€5million.

Non-cashfinancingactivities

Inthe1stquarterendedDecember31,2013,theacquisitionandfirst-timeconsolidationofcompanieshasnotresultedin anyincreaseingrossfinancialdebt1stquarterendedDecember31,2012:€0million.

In connectionwiththesecond constructionstage ofthe"ThyssenKruppQuarter"located inEssen,therewas anon-cash increase infinancial debt of €18 million inthe 1st quarter ended December 31, 2013 1st quarter ended December 31, 2012:€5million.

Essen,Feburary12,2014 ThyssenKruppAG

TheExecutiveBoard

Hiesinger

BurkhardKaufmannKerkhoff

Reviewreport

ToThyssenKruppAG,DuisburgandEssen

Wehavereviewedthecondensedconsolidatedinterimfinancialstatements-comprisingstatementoffinancialposition,the statementofincomeandstatementofcomprehensiveincome,thestatementofchangesinequity,thestatementofcash flows and selected explanatory notes – and the interim group management report of ThyssenKrupp AG, Duisburg and Essen,fortheperiodfromOctober1,2013,toDecember31,2013,whicharepartofthequarterlyfinancialreportpursuant to§Article37xAbs.paragragh3WpHG"Wertpapierhandelsgesetz"GermanSecuritiesTradingAct.Thepreparationof the condensed consolidated interim financial statements in accordance with the IFRS applicable to interim financial reporting as adopted by the EU and of the interim group management report in accordance with the provisions of the German Securities Trading Act applicable to interim group management reports is the responsibility of the parent Company's Board of Managing Directors. Our responsibility is to issue a review report on the condensed consolidated interimfinancialstatementsandontheinterimgroupmanagementreportbasedonourreview.

Weconductedour reviewofthecondensedconsolidatedinterimfinancialstatementsandtheinterimgroupmanagement reportinaccordancewithGermangenerallyacceptedstandardsforthereviewoffinancialstatementspromulgatedbythe Institut der Wirtschaftsprüfer Institute of Public Auditors in Gemany IDW and additional observed the International Standard onReview Engagements "Review ofInterimFinancialInformation Performed bytheIndependentAuditor ofthe Entity"ISRE2410.Thosestandardsrequirethatweplanandperformthereviewsothatwecanprecludethroughcritical evaluation,withmoderateassurance,thatthecondensedconsolidatedinterimfinancialstatementshavenotbeenprepared, inmaterialrespects,inaccordancewiththeIFRSapplicabletointerimfinancialreportingasadoptedbytheEUandthatthe interim group management report has not been prepared, inmaterial respects, in accordancewiththe provisions ofthe GermanSecuritiesTradingActapplicabletointerimgroupmanagementreports.Areviewislimitedprimarilytoinquiriesof company personnel and analytical procedures and therefore does not provide the assurance attainable in a financial statementaudit.Since,inaccordancewithourengagement,wehavenotperformedafinancialstatementaudit,wecannot issueanauditopinion.

Based on our review, nomatters have cometo our attentionthat cause usto presumethatthe condensed consolidated interimfinancialstatementshavenotbeenprepared,inmaterialrespects,inaccordancewiththeIFRSapplicabletointerim financialreportingasadoptedbytheEUnorthattheinterimgroupmanagementreporthasnotbeenprepared,inmaterial respects,inaccordancewiththeprovisionsoftheGermanSecuritiesTradingActapplicabletointerimgroupmanagement reports.

Essen,February13,2014

PricewaterhouseCoopers Aktiengesellschaft Wirtschaftsprüfungsgesellschaft

Prof.Dr.NorbertWinkeljohann VolkerLinke

GermanPublicAuditor GermanPublicAuditor

ReportbytheSupervisoryBoardAuditCommittee

Theinterimreportforthe1stquarterofthe2013/2014fiscalyearEOctobertoDecember2013Fandthereviewreportbythe Group'sfinancial statement auditors were presentedtothe Audit Committee ofthe Supervisory Board in its meeting on February13,2014andexplainedbytheExecutiveBoard.Theauditorswereavailabletoprovideadditionalinformation.The AuditCommitteeapprovedtheinterimreport.

Essen,February13,2014

ChairmanoftheAuditCommittee

Prof.Dr.BernhardPellens

Contactand2014/2015dates

Contact

CorporateCommunications

Telephone+49201844-536043 Fax+49201844-536041 E-mailpress@thyssenkrupp.com

InvestorRelations E-mailir@thyssenkrupp.com

Institutionalinvestorsandanalysts Telephone+49201844-536464 Fax+492018456-531000

Privateinvestors

Infoline+49201844-536367 Fax+492018456-531000

Address

ThyssenKruppAG ThyssenKruppAllee1,45143Essen,Germany Postfach,45063Essen,Germany Telephone+49201844-0 Fax+49201844-536000 E-mailinfo@thyssenkrupp.com

2014/2015dates

May13,2014

Interimreport 1sthalf2013/2014EOctobertoMarchF Conferencecallwithanalystsandinvestors

August14,2014

Interimreport 9months2013/2014EOctobertoJuneF Conferencecallwithanalystsandinvestors

November20,2014 Annualpressconference

Analysts'andinvestors'conference

January30,2015 AnnualGeneralMeeting

February13,2015 Interimreport 1stquarter2014/2015EOctobertoDecemberF Conferencecallwithanalystsandinvestors

Forward-lookingstatements

This document contains forward-looking statements that reflect management's current views with respect to future events. Such statements are subject to risks and uncertainties that are beyond ThyssenKrupp'sabilitytocontrolorestimateprecisely,suchasfuture market and economic conditions, the behavior of other market participants, the ability to successfully integrate acquired businesses and achieve anticipated synergies and the actions of government regulators.Ifanyoftheseorother risksanduncertaintiesoccur,orif theassumptions underlyingany ofthese statements prove incorrect, thenactualresultsmaybemateriallydifferentfromthoseexpressedor impliedbysuchstatements.ThyssenKruppdoesnotintendorassume any obligation to update any forward-looking statements to reflect eventsorcircumstancesafterthedateofthesematerials.

Roundingdifferencesandratesofchange

Percentages and figures in this report may include rounding differences.Thesignsusedtoindicate ratesofchangearebasedon economic aspects: Improvements are indicated by a plus + sign, deteriorations are shown in brackets . Very high positive and negative rates of change≥1,000% or≤100%are indicated by ++ and−−respectively.

Variancesfortechnicalreasons

Under statutory disclosure requirements, the Company must submit the interim reporttotheelectronicFederalGazetteBundesanzeiger. Fortechnicalreasonstheremaybevariancesbetweentheaccounting documentscontainedinthisreportandthosepublishedintheFederal Gazette.

ThisEnglishversionoftheannualreportisatranslationoftheoriginal German version; inthe event of variances,the German version shall takeprecedenceovertheEnglishtranslation.

Bothlanguageversionsoftheinterimreportcanbedownloadedfrom theinternetathttp://www.thyssenkrupp.com.

ThyssenKrupp AG ThyssenKrupp Allee 1 45143 Essen, Germany www.thyssenkrupp.com