TRATON SE — Investor Presentation 2020

Nov 10, 2020

Munich, 10 November 2020

IR CONFERENCE CALL – INTERIM STATEMENT 9M 2020

MATTHIAS GRÜNDLER, CEO CHRISTIAN SCHULZ, CFO

ISIN: DE000TRAT0N7 WKN: TRAT0N Bloomberg Ticker: 8TRA GY/8TRA SS http://ir.traton.com

DISCLAIMER

This presentation has been prepared for information purposes only.

It does not constitute or form part of any offer or invitation to sell or issue, or any solicitation of any offer to purchase or subscribe for, any securities of Volkswagen AG, TRATON SE or any company of TRATON GROUP in any jurisdiction. Neither this presentation, nor any part of it, nor the fact of its distribution, shall form the basis of, or be relied on in connection with, any contractual commitment or investment decision in relation to the securities of Volkswagen AG, TRATON SE or any company of TRATON GROUP in any jurisdiction, nor does it constitute a recommendation regarding any such securities.

It contains forward-looking statements and information on the business development of TRATON GROUP. These statements and information are based on assumptions relating in particular to TRATON GROUP's business and operations and the development of the economies in the countries in which TRATON GROUP is active. As far as information or statements on Navistar are concerned, the same applies to Navistar. Please note that TRATON SE has signed definitive agreements on the acquisition of Navistar but the acquisition requires a number of approvals and is therefore not yet closed.

TRATON GROUP has made such forward-looking statements on the basis of the information available to it and assumptions it believes to be reasonable. The forward-looking statements and information may involve risks and uncertainties, and actual results may differ materially from those forecasts. If any of these or other risks or uncertainties materialize, or if the assumptions underlying any of these statements prove incorrect, the actual results may significantly differ from those expressed or implied by such forward looking statements and information. TRATON GROUP will not update this presentation, particularly not the forward-looking statements. The presentation is valid on the date of publication only.

Certain financial information and financial data included in this presentation are preliminary, unaudited and may be subject to revision. Due to their preliminary nature, statements contained in this presentation should not be unduly relied upon and past events or performance should not be taken as a guarantee or indication of future events or performance. Financial figures might be translated from different currencies, using the exchange rate prevailing at the relevant date or for the relevant period that the relevant financial figures relate to.

All statements with regard to markets or market position(s) of TRATON SE or any affiliated company or any of its competitors are estimates based on data available to TRATON GROUP. As far as information or statements on Navistar are concerned, the same applies to Navistar.

The percentage figures shown may be subject to rounding differences. Due to different proportions and scaling in graphs, data shown in different graphs are not comparable.

CONTENTS

TRANSACTION OVERVIEW

NAVISTAR AT A GLANCE	• No 4 in US market for trucks; long history since 1831 • in fiscal year 20191 Revenue of USD11.25 bn and adjusted EBIT of USD689 mn • More than 1,200 dealers
ACQUISITION RATIONALE	• Access more than 75% of global truck market profit pools • Deliver on Global Champion Strategy • Leverage powertrain components across brands to generate significant cost savings over years to come • Achieve a well-balanced and global footprint with complimentary geographies
STRUCTURE	• Cash acquisition of 83.3% of outstanding Navistar common shares • Transaction structured as one step merger • The two major Navistar shareholders2 supportive of transaction
VALUE	• Equity purchase price of USD3.7 bn based on USD44.50 per share
FINANCING	• Fully committed transaction financing by Volkswagen AG • Transaction envisaged to be refinanced via capital markets • TRATON committed to maintaining an investment grade rating
TIMING	• Closing expected mid 2021 subject to regulatory approvals and customary closing conditions

1 Adjusted EBIT: Calculated as adjusted EBITDA - depreciation and amortization; FY 2019 as of Oct. 31, 2019. 2 Other major Navistar shareholders include Carl C. Icahn (and several companies he controls), with a 16.9% stake, and Mark H. Rachesky (and several companies he controls), with a 16.4% stake.

STRATEGIC ALLIANCE FOCUSED ON TECHNOLOGY COOPERATION AND PROCUREMENT JOINT VENTURE, INCREMENTAL SYNERGY POTENTIAL

Almost four years of partnership Objectives

Strategic Partnership and purchase of 16.6%¹ stake in Navistar announced in September 2016

Access to North American Market – cooperation and equity stake allow TRATON GROUP to capture a share of North American profit pool

Procurement Joint Venture – fully operational procurement joint venture to pursue joint global sourcing opportunities

Technology Cooperation: Future Technologies – cooperation in many aspects of future commercial vehicle development

Technology Cooperation: Joint Powertrain – common powertrain systems give Navistar access to excellent powertrain technologies and allow TRATON GROUP to benefit from higher volumes

ACQUISITION RATIONALE: CREATION OF A GLOBAL CHAMPION

Access more than 75% of global truck market profit pools

Deliver on Global Champion Strategy

Leverage powertrain components across brands to generate significant cost savings over years to come

Achieve a well-balanced and global footprint with complimentary geographies

ACCESS MORE THAN 75% OF GLOBAL TRUCK MARKET PROFIT POOLS¹

Access to attractive North American market

• Strong market position of Scania, MAN and VWCO
• Strong market position of Navistar
• Share of global profit pool 2030e² …

Source: McKinsey & Company. 1 Global profit pool 2030: ~€17 bn. 2 Profit pool of truck industry > 6t (2030e).

DELIVER ON GLOBAL CHAMPION STRATEGY

Industrial Business sales revenue (fiscal year, €bn)

26 10 45 36 29 26 21 9 (standalone) (combined) 4 5 Daimler Volvo³ PACCAR IVECO 2 1

Combined ranking per region (sales in units)

Source: Company information, own calculations. Note: FX €/USD of 1.17; €/SEK of 10.51.

1 Trucks and Buses. 2 Includes Truck and Parts as per Navistar Form 10K, October 31, 2019. 3 Trucks and Buses. 4 Trucks, Parts and Other. 5 Commercial and Specialty vehicles segment of CNH Industrial.

LEVERAGE POWERTRAIN COMPONENTS ACROSS BRANDS TO GENERATE SIGNIFICANT COST SAVINGS OVER YEARS TO COME

ACHIEVE A WELL-BALANCED AND GLOBAL FOOTPRINT WITH COMPLIMENTARY GEOGRAPHIES

Source: Navistar Form 10K, October 31, 2019; TRATON Annual Report, December 31, 2019. Note: Figures are financially rounded. 1 Last fiscal year. 2 FX €/USD of 1.17. 3 Own calculations and estimates.

TRATON CONTINUES TO TARGET A 9% RETURN ON SALES OVER THE CYCLE

TRATON GROUP adjusted RoS¹

Key levers to achieve 9% over the cycle margin

Note: Based on reported financial year figures. TRATON including Financial Services.

1 Calculated as the ratio of adj. operating profit to sales revenue. Adj. operating profit includes PPA (from Scania and VWCO) and consolidation effects (MAN T&B – VWCO). VGSG operations (sold as of January 2019) included from 2016 to 2018. 2 Including €403 mn adjustment for provision in relation to Scania antitrust fine and €58 mn adjustment for restructuring expense at VWCO. 3 Including (€50 mn) adjustment for release of restructuring provision at MAN T&B. 4 Including €137 mn adjustment for expense in relation to Indian market exit at MAN T&B. 5 Including adjustment of (€13 mn) from the reversal of a restructuring provision at VWCO.

TRATON CONTINUES TO DELIVER ON ITS GLOBAL CHAMPION STRATEGY WITH THE ACQUISITION OF NAVISTAR

STATUS AND NEXT STEPS

• Signing and announcement of merger agreement on November 7, 2020
• Navistar shareholder approval expected in Q1 2021 (50% + required)
• Regulatory approvals expected in H1 2021
• Closing expected mid 2021
• De-listing of Navistar shortly after closing

CURRENT SITUATION – BUSINESS CLIMATE

An unprecedented situation because of the COVID-19 pandemic impact

• Significant decline in demand and supply chain disruptions especially at the end of the first and beginning of the second quarter 2020
• Substantial part of production capacities closed or idled mainly end of March and April
• Gradual restart of production and positive trend of business development since May
• Companies focusing on cost reduction and on liquidity

Global growth for 2020¹ is projected to collapse, even if less than last expected; clear recovery of economic activities expected in 2021

GDP forecasts for 2020 Jan 20 Apr 20 Jun 20 Oct 20

Commercial vehicle market forecasts² 2020 lowered sharply, although expectations were already quite low: • For EU27+3 region most institutes foresee a decline of the truck market (MDT/HDT) between -30% to -35% • For Brazil institutes foresee a decline of the truck market (MDT/HDT) between -10% to -20%

1 IMF World Economic Outlook, 2021 based on October 2020. 2 Includes estimates from different institutes and data and information services.

CURRENT SITUATION – TRATON GROUP HIGHLIGHTS

2020

• Incoming orders decreased by -14% to 145,933 units
• Unit sales declined by -29% to 127,660 units
• Sales revenue decreased by -21% to €15,740 mn
• Adjusted operating profit down to €-9 mn, adjusted RoS -0.1%
• Net cash flow Industrial Business at €-148 mn¹
• Net financial debt Industrial Business at €-727 mn²
• New MAN Truck Generation introduced
• Scania plans to globally reduce its workforce
• First-time solid investment grade ratings assigned to TRATON SE by Moody´s and Standard & Poor´s
• Debut syndicated revolving credit facility signed by TRATON SE
• MAN Truck & Bus heading towards a fundamental realignment
• TRATON and TuSimple agreed on global partnership for autonomous trucks
• TRATON and Hino start E-Mobility Joint Venture
• TRATON reached definitive agreement to acquire Navistar

New MAN TGX

1 9M 2019 reported net cash flow of €2,323 mn, adjusted of €345 mn before the sale of Power Engineering (€1,978 mn). 2 Net debt as of September 30, 2020 amounted to €-727 mn, mainly due to the net cash outflow of €-1.4 bn resulting primarily from the end of the domination and profit and loss transfer agreement (DPLTA) with Volkswagen AG for the fiscal year 2019. Note: Delta 9M 2020 vs. 9M 2019.

New Scania BEV Truck

CURRENT SITUATION – POSITIVE TREND ESTABLISHED SINCE MAY

INCOMING ORDERS & UNIT SALES (`000 units)

INCOMING ORDERS & UNIT SALES (YoY change, %)

• Vehicle utilization in most regions especially in the long-haulage truck business with positive development.

• Market recovery evident, even faster than expected. Strong incoming orders in Q3 2020.

• Book-to-bill ratios above 1x for Industrial Business throughout Q3 2020.

CURRENT SITUATION – Q3 2020 HIGHLIGHTS

Noticeable market recovery, though business activities still significantly impacted by the COVID-19 pandemic

Incoming orders: +19% YoY

Adjusted return on sales: 3.7%

Capex and primary R&D: clearly reduced YoY (-23%/-25%)

Net cash flow in Industrial Business: €199 mn

Sales revenue & adjusted return on sales

Adjusted return on sales (%)

CURRENT SITUATION – Q3 2020 BRANDS DEVELOPMENT

	Q3 2020	Q3 2019	+/-	Q3 2020	Q3 2019	+/-	Q3 2020	Q3 2019	+/-
Trucks and buses (units)
Incoming orders	25,934	17,792	46%	21,553	20,834	3%	11,112	11,091	0%
Unit sales	17,298	23,196	-25%	21,881	22,482	-3%	10,885	11,167	-3%
of which trucks11	15,788	21,001	-25%	20,635	20,757	-1%	9,021	9,496	-5%
of which buses	1,510	2,195	-31%	1,246	1,725	-28%	1,864	1,671	12%
Financial KPIs (€ million)
Sales revenue	2,825	3,312	-15%	2,487	2,467	1%	319	468	-32%
Operating profit	198	380	-183	-27	32	-58	5	12	-7
Operating profit (adjusted)	247	380	-133	-27	32	-58	5	12	-7
Operating RoS (in %)	7.0	11.5	-4.5 pp	-1.1	1.3	-2.4 pp	1.5	2.5	-1.0 pp
Operating RoS (adjusted) (in %)	8.7	11.5	-2.7 pp	-1.1	1.3	-2.4 pp	1.5	2.5	-1.0 pp
	• • cost savings	Lower unit sales and negative currency effects Favorable product mix and		• •	Negative unit sales and used business development Lower fixed costs		• • positioning	Lower unit sales and negative currency effects Improved product

1 MAN includes MAN TGE vans.

CURRENT SITUATION – FINANCIAL RESILIENCE

SOUND BALANCE SHEET POSITION (Industrial Business; as of September 30, 2020)

• Equity ratio: solidly at 36%
• Gearing¹ : currently at only -6%
• Net debt/adjusted EBITDA² : at -0.5x after the end of the DPLTA with Volkswagen AG, €-1.4 bn were transferred in February 2020

SOUND LIQUIDITY POSITION (Industrial Business; as of September 30, 2020)

• Strict cash and cost management
• Cash and cash equivalents of €2.1 bn
• Undrawn credit lines totaling €7.7 bn
• TRATON put in place its debut syndicated revolving credit facility with a volume of €3.75 bn in Q3 2020
• Reprioritizing of our capital expenditures and our research and development projects

Note: Net debt as of September 30, 2020 amounted to €-727 mn, mainly due to the net cash outflow of €-1.4 bn resulting primarily from the end of the domination and profit and loss transfer agreement (DPLTA) with Volkswagen AG for the fiscal year 2019. 1 For Industrial Business: calculated as net liquidity/net financial debt divided by book value of equity. 2 For Industrial Business: calculated as net liquidity/net financial debt divided by last twelve month adjusted EBITDA (actual quarter + last 3 quarters).

CURRENT SITUATION – MAN COMPREHENSIVE REALIGNMENT

• Management had presented plans for a extensive restructuring and comprehensive realignment to employee representatives.
• Necessary to make MAN Truck & Bus significantly more digital, automated, and profitable in the long run. In the future, the focus will also be on alternative drive systems.
• Aim: achieve an operating return on sales (RoS) of 8% in 2023.
• Planned package of measures intended to improve operating result by around €1.8 billion.
• Negotiations have formally begun and shall be successfully closed by the end of the year 2020.

CURRENT SITUATION – TRATON AND HINO START E-MOBILITY JOINT VENTURE

• TRATON and Hino have signed a joint venture agreement for e-mobility in order to plan and provide e-mobility products based on the strategic partnership started in 2018.
• This follows the procurement joint venture established in 2019.
• Developing of electric vehicles including battery electric vehicles (BEV), fuel cell vehicles (FCV), and relevant components as well as creating common EV platforms.
• Team up to shorten lead times for future emobility products with battery and fuel cell technology.

CURRENT SITUATION – TRATON STATUS UPDATE

Note: VGSG operations (sold as of January 2019) included in 2018.

1 FY 2018: adjusted RoS 6.4%, adjusted operating profit €1.7 bn; FY 2019: adjusted RoS 7.0%, adjusted operating profit €1.9 bn; 2020 Outlook: The forecast does not include any expenses for the realignment of MAN Truck & Bus announced on September 11, 2020. 2 Calculated as the ratio of net cash flow to profit after tax; in FY 2019 and FY 2018, the cash conversion rate was impacted by a number of nonrecurring factors; FY 2019 reflected for example the proceeds from the disposal of the Power Engineering business.

1 EU27+3 region (defined as the EU27 countries with the exception of Malta, plus the United Kingdom, Norway, and Switzerland), (˃ 6t). 2 Includes estimates from different institutes and data and information services.

Back Up

GROUP – SEGMENT HIGHLIGHTS Q3/9M 2020

Industrial Business (IB)					Financial Services (FS)
	Q3 20	YoY	9M 20	YoY
Incoming orders (units)	58,502	+19%	145,933	-14%	Net portfolio2
Unit sales (units)	49,922	-10%	127,660	-29%
Book-to-bill (units)	1.17	+29 bp	1.14	+20 bp
Sales revenue (€mn)	5,565	-10%	15,419	-21%
Operating profit (€mn)	125	€-244 mn	-140	€-1,517 mn
Return on sales (%)	2.2	-3.7pp	-0.9	-8.0pp
Adjusted operating profit (€mn)	174	€-195 mn	-91	€-1,455 mn
Adjusted return on sales (%)	3.1	-2.9 pp	-0.6	-7.6 pp
Profit after tax (€mn)	107	€-343 mn	-212	€-1,354 mn
Net cash flow (€mn)1	199	€-339 mn	-148	€-2,471 mn

Financial Services (FS)
	Q3 20	YoY	9M 20	YoY
Net portfolio2 (€bn)			9.2	-5%
Penetration rate (%)	42	-0.5 pp	42	-0.2 pp
Sales revenue (€mn)	200	-7%	612	-4%
Operating profit (€mn)	37	€2 mn	82	€-23 mn
Profit after tax (€mn)	24	€1 mn	53	€-22 mn

• After key figures especially in the second quarter were heavily negatively influenced by the uncertainties and impacts from COVID-19 pandemic, a noticeable recovery was evident in the third quarter of 2020.
• Nevertheless most key figures down compared year-over-year, but improved significantly compared to previous quarter.
• Positive net cash flow in Q3 2020 of €199 mn in the Industrial Business despite the substantial drop in operating profit.

November 10, 2020 / Investor Relations / Interim Statement 9M 2020 1 9M 2019 reported net cash flow of €2,323 mn, adjusted net cash flow of €345 mn before the sale of Power Engineering (€1,978 mn). 2 Reflecting closing balances, as of September 30, 2020.

GROUP – SALES REVENUE AND RETURN ON SALES

SALES REVENUE (€mn)

1 Q3 2020/9M 2020 impacted by costs primarily incurred in connection with the realignment of production facilities at Scania V&S (€50 mn), adjusted RoS Q3 2020: 3.7%/9M 2020 -0.1%.

GROUP – UNIT SALES DEVELOPMENT UNIT SALES (units)

• Economic downturn already expected for 2020 was amplified by the uncertainty due to the COVID-19 pandemic, especially in Q2 2020. However, a noticeable recovery was evident in Q3 2020.
• All core regions and products with significantly higher unit sales compared to previous quarter.
• Trucks unit sales ex MAN TGE down by -15% in Q3 2020 YoY, but up by +57% QoQ.

GROUP – UNIT SALES GROWTH IN CORE MARKETS

1 Excluding MAN TGE vans. 2 EU27+3 region (defined as the EU27 countries with the exception of Malta, plus the United Kingdom, Norway, and Switzerland). 3 Information shown might include estimates or preliminary data; for EU27+3 and Germany data collected from ACEA provisional new registrations figures as at October 23, 2020, trucks ˃ 16t; for Brazil data collected from ANFAVEA trucks ˃ 6t as at October 7, 2020; South America own estimates.

INDUSTRIAL BUSINESS – INCOMING ORDERS

INCOMING ORDERS (units)

• Weaker demand already expected for 2020 was exacerbated by the impact of COVID-19 pandemic, particularly in Q2 2020.

• Strong increase in incoming orders in Q3 2020 not only compared to previous quarter (+76%), but also above previous year (+19%).
• Truck business strongly recovered QoQ (+87%) across all regions.

INDUSTRIAL BUSINESS – UNIT SALES UNIT SALES (units)

• Year-to-date the expected decline in truck business in the EU27+3 in 2020 was further exacerbated by the impacts of COVID-19 pandemic, particularly in Q2 2020. Truck unit sales overall down by -15% in Q3 2020 YoY, but noticeable recovery in all countries in the region compared to Q2 2020 (+57%). Brazil also returned to growth (+49% QoQ).
• Bus unit sales decreased by -17% in Q3 2020 YoY, but increased +43% compared to the previous quarter.

INDUSTRIAL BUSINESS – SALES REVENUE AND RETURN ON SALES SALES REVENUE (€mn)

• Decline in sales revenue resulted primarily from the new vehicle business, following the decline in truck and bus unit sales, although Q3 2020 did see a significant recovery. After-sales relatively stable, down by -7% YoY in Q3 2020 (share of 21%).
• Positive return on sales in Q3 2020, clearly above previous quarter due to positive unit sales and sales revenue development, supported by cost savings measures.

1 Q3 2020/9M 2020 impacted by costs primarily incurred in connection with the realignment of production facilities at Scania V&S (€50 mn), adjusted RoS Q3 2020: 3.1%/9M 2020 -0.6%.

INDUSTRIAL BUSINESS – SALES REVENUE BY BRAND AND RETURN ON SALES

Note: Figures shown as at Q3 2020/9M 2020; percentage change calculated YoY, Q3 2020 vs. Q3 2019/9M 2020 vs. 9M 2019.

1 Q3 2020/9M 2020 impacted by costs primarily incurred in connection with the realignment of production facilities at Scania V&S (€50 mn), adjusted RoS Scania V&S Q3 2020: 8.7%/9M 2020 5.8%/Industrial Business Q3 2020: 3.1%/9M 2020 -0.6%.

Book-to-bill¹ Unit sales (k units) (ratio in units)

SCANIA VEHICLES & SERVICES – KEY FIGURES PER QUARTER

25.9 20.7 26.7 22.1 17.8 22.2 13.6 +46%

Incoming orders (k units)

Q1 19 Q4 19 Q4 20 Q2 19 Q3 19 Q2 20 Q3 20 Q1 20

Q1 19 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q3 20 Q4 20

1 Book-to-bill is defined as the ratio of trucks and bus units ordered to trucks and bus units delivered. 2 Q3 2020 impacted by costs primarily incurred in connection with the realignment of production facilities (€50 mn), adjusted operating profit €247 mn/adjusted RoS 8.7%.

MAN TRUCK & BUS – KEY FIGURES PER QUARTER

Incoming orders (k units) 29.9 25.0 20.8 24.9 24.1 14.1 21.6 +3%

Q1 19 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q3 20 Q4 20

Q1 19 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q3 20 Q4 20

Q1 19 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q3 20 Q4 20

1 Book-to-bill is defined as the ratio of trucks and bus units ordered to trucks and bus units delivered.

VOLKSWAGEN CAMINHÕES E ÔNIBUS – KEY FIGURES PER QUARTER

Q1 19 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q3 20 Q4 20

Q1 19 Q3 19 Q4 19 Q4 20 Q2 20 Q3 20 Q2 19 Q1 20

(€mn)

Q1 19 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q3 20 Q4 20

1 Book-to-bill is defined as the ratio of trucks and bus units ordered to trucks and bus units delivered. 2 Q2 2019 includes an adjustment of €-13 mn from the reversal of a restructuring provision.

INDUSTRIAL BUSINESS – NET LIQUIDITY NET LIQUIDITY/NET FINANCIAL DEBT BRIDGE (€mn)

1 Thereof €-1,404 mn for the profit transfer for fiscal year 2019 to Volkswagen AG, €-500 million dividend payment, €54 mn capital contribution by Volkswagen AG.

FINANCIAL SERVICES – SALES REVENUE AND RETURN ON SALES SALES REVENUE (€mn)

• Operating profit declined by -22% to €82 mn, resulted from lower margins, negative exchange rate effects, and higher bad debt allowances. Positive effects from a larger average portfolio and lower operating expense.

FINANCIAL SERVICES – NET PORTFOLIO AND PENETRATION RATE

• By the end of September 2020 customer finance portfolio amounted to €9.2 bn (-7% compared to year end 2019), resulting from lower financing activities due to the reduced unit sales and negative currency effects.
• Penetration rate on new trucks stood at 42% in 9M 2020 in those markets where Financial Services operates.
• Book value of equity decreased slightly compared to year end to €963 mn (FY 2019: €971 mn).

1 Reflecting closing balances; net portfolio defined as gross portfolio less bad debt provisions; growth excl. currency effects. 2 Trucks only.

Appendix – Navistar Update

NAVISTAR INTERNATIONAL: AT A GLANCE

NAVISTAR INTERNATIONAL: AT A GLANCE (CONT'D)

• Supplier of heavy duty, medium duty and severe service trucks under the International brand.
• Offering the industry's newest and most complete vehicle line-up in North America.
• Market share of 13.8%¹ in Class 8 heavy trucks and 14.8%¹ in severe service trucks.

• TRUCKS FY 2019 net revenue of USD8,585 mn, segment profit of USD269 mn. BUSES

• Provider of proprietary products needed to support the International commercial truck, IC Bus, proprietary engine lines, and export parts business.

• PARTS
• Partnership with Love's Travel Stops, which adds more than 300 locations to Navistar's International service network, bringing the total service network to more than 1,000 locations in North America.

• FY 2019 net revenue of USD2,245 mn, segment profit of USD598 mn.

• Supplier of school and commercial buses under the brand IC.

• Offers training, servicing, handling of parts and other support services to the buses sold.
• Market share of 35.8%¹ in School Bus space.

FINANCIAL SERVICES

• Providing and managing retail, wholesale, and lease financing of products sold by Truck and Parts business as well as their dealers within the US, Canada and Mexico.
• Offering cost-effective funding sources as well as mitigating credit losses and impaired vehicle asset values.
• Wholesale financing for 100% of new truck inventory sold to dealers and distributors.
• FY 2019 net revenue of USD297 mn, segment profit of USD123 mn.

Source: Navistar Form 10K, October 31, 2019 and company information.

Note: Operating results as they relates to the segments, do not include intersegment eliminations. 1 Market share for the reported fiscal year 2019 as per Navistar Form 10K, October 31, 2019.

SELECTION OF KEY PERFORMANCE INDICATOR

	Metric (FY 2019; as of Oct. 31, 2019)
242,219	Units Sales	106,500
€26,901 mn	Sales and revenues, net	USD11,251 mn
€3,110 mn	Adjusted EBITDA	USD882 mn
11.6%	Adjusted EBITDA margin	7.8%
€1,871 mn	Adjusted EBIT1	USD689 mn
7.0%	Adjusted EBIT margin	6.1%

Metric (9M 2020; as of Sep. 30, 2020)		Metric (9M 2020; as of Jul. 31, 2020)
Net industrial financial debt	€-727 mn	Manufacturing operations net debt2	USD1,922 mn
Group provisions for pensions and other post-employment benefits	€1,805 mn	Group postretirement benefit liabilities	USD2,013 mn

Metric (FY 2019; as of Oct. 31, 2019)	NAVISTAR
Units Sales	106,500
Sales and revenues, net	USD11,251 mn
Adjusted EBITDA	USD882 mn
Adjusted EBITDA margin	7.8%
Adjusted EBIT1	USD689 mn
Adjusted EBIT margin	6.1%

€1,805 mn	Group postretirement benefit liabilities	USD2,013 mn

Source: Navistar Form 10K, October 31, 2019; TRATON Annual Report, December 31, 2019; Navistar Form 10Q, July 31, 2020; TRATON Interim Statement 9M 2020, September 30, 2020.

Note: Navistar reports under US GAAP and TRATON reports under IFRS.

1 Calculated as adjusted EBITDA - depreciation and amortisation. 2 Calculated as total manufacturing operations debt - consolidated cash, cash equivalents, and marketable securities of manufacturing operations.

Appendix – Interim Statement 9M 2020

PRODUCT HIGHLIGHTS 2020

Despite the challenging environment we continued to set product highlights

October VWCO to deliver first 100 e-trucks to Ambev in 2021

September Scania introduces new V8 range

September Scania introduces first electric truck range

September New VWCO heavy-duty trucks (Meteor)

May Scania to deliver 75 battery electric trucks to ASKO

February MAN introduces new Truck Generation

January ASKO puts Scania FCEV trucks on the road

TRATON AND TUSIMPLE AGREED ON GLOBAL PARTNERSHIP FOR AUTONOMOUS TRUCKS

• TRATON and TuSimple entered into a global partnership to develop autonomous trucks.
• Scania test vehicles will soon be on the road with TuSimple technology in Sweden.
• The first test vehicles underway are aiming for Level 4 (high automation).
• Autonomous trucks offer customers improved safety, efficiency and cost savings.
• As part of the partnership, TRATON has also taken a minority stake in TuSimple.

SCANIA COST TRANSFORMATION

• To emerge from the crisis with better conditions for continued profitability and to make largescale investments in new technologies to drive the shift towards a sustainable transport system, a cost transformation is necessary.
• Extensive measures were initiated in Q2 2020 and will continue throughout 2020.
• Staff reductions announced in Q2 2020 are now being implemented.
• Reviewing of industrial and commercial operations led to the decision to close the bus and coach production in Lahti, Finland and the regional product centre in Bangkok, Thailand.

GROUP – CONDENSED INCOME STATEMENT

		Industrial Business TRATON GROUP		Financial Services		Others/reconciliation
$\epsilon$ million	9M2020	9M 2019	9M2020	9M 2019	9M 2020	9M 2019	9M2020	9M 2019
Sales revenue	15,740	19,827	15,419	19,491	612	635	$-291$	$-299$
Cost of sales	$-13,345$	$-15,825$	$-13,247$	$-15,713$	$-388$	-411	291	299
Gross profit	2,396	4,001	2,173	3,779	224	223	-1	$\mathbf{o}$
Distribution expenses	$-1,636$	$-1,811$	$-1,549$	$-1,718$	$-88$	$-93$
Administrative expenses	$-644$	$-734$	$-644$	$-734$
Other operating result	$-174$	26	$-119$	51	$-54$	$-25$	O	$\mathsf{o}$
Operating profit/loss	$-58$	1,482	-140	1,377	82	105	O
Operating return on sales (in %)	$-0.4$	7.5	$-0.9$	7.1	13.4	16.5
Financial result	$-76$	103	$-76$	112	O	$\Omega$	0	$-8$
Profit/loss before tax	$-134$	1,586	$-216$	1,489	82	105	0	$-8$
Income taxes	$-24$	$-349$	4	$-344$	$-29$	$-29$	$\Omega$	25
Loss from discontinued operations, net of tax		$-2$		$-2$
Profit/loss after tax	$-158$	1,235	$-212$	1,142	53	75		17

GROUP – OPERATING PROFIT AND RETURN ON SALES

OPERATING PROFIT (€mn)

1 Q3 2020/9M 2020 impacted by costs primarily incurred in connection with the realignment of production facilities (€50 mn), adjusted operating profit Q3 2020 €211 mn/9M 2020 €-9 mn; adjusted RoS Q3 2020 3.7%/9M 2020 -0.1%.

GROUP – NET LIQUIDITY

	TRATON GROUP	Industrial Business
$\epsilon$ million	09/30/2020	12/31/2019	09/30/2020	12/31/2019
Cash and cash equivalents	2.210	1.913	2.124	1.853
Marketable securities, investment deposits, and loans to affiliated companies	1.114	3,195	1.114	3,288
Gross liquidity	3.324	5,108	3.238	5.141
Total third-party borrowings	$-12,154$	$-12.497$	$-3.965$	$-3,64$
Net liquidity/net financial debt	$-8,831$	$-7,390$	$-727$	1.500

GROUP – ADJUSTMENTS

Adjustments (€ million)	2016	2017	2018	2019	9M 2020
OPERATING PROFIT	727	1,512	1,513	1,884	-58
Expense for antitrust proceedings (Scania)	403
Release of restructuring provisions at MAN T&B		-50
Expenses in relation to India market exit at MAN T&B			137
Recognition and release of restructuring provisions at VWCO	58			-13
Expenses in connection with the realignment of production facilities Scania V&S					50
OPERATING PROFIT (ADJUSTED)	1,188	1,462	1,650	1,871	-9

INDUSTRIAL BUSINESS – REGIONAL TRUCK UNIT SALES DEVELOPMENT¹

1 Excluding MAN TGE vans. 2 In connection with the exit of United Kingdom on January 31, 2020, the region "EU28+2" has been referred to as region "EU27+3" since 2020 (defined as the EU27 countries with the exception of Malta, plus the United Kingdom, Norway, and Switzerland).

Net debt as of September 30, 2020 amounted to €-727 mn, mainly due to the net cash outflow of €-1.4 bn resulting primarily from the end of the domination and profit and loss transfer agreement (DPLTA) with Volkswagen AG for the fiscal year 2019.

INDUSTRIAL BUSINESS – LEVERAGE RATIOS GEARING RATIO¹ (in %) NET DEBT/ADJUSTED EBITDA²(x)

FY 18 H1 20 5% Q1 19 H1 19 Q1 20 9M 20 -1% 9M 19 FY 19 1% 5% 9% 11% -3% -6% 0.1 0.2 0.2 0.4 0.5 -0.1 -0.2 -0.5 FY 18 Q1 19 H1 19 9M 19 FY 19 Q1 20 H1 20 9M 20 Net Liquidity (Net Debt) Net Liquidity (Net Debt)

Note: Industrial Business net liquidity/net financial debt per FY 2018: €227 mn, Q1 2019: €604 mn, H1 2019: €689 mn, 9M 2019: €1,207 mn, FY 2019: €1,500 mn, Q1 2020: €-162 mn, H1 2020: €-376 mn, 9M 2020: €-727 mn. 1 For Industrial Business: calculated as net liquidity/net financial debt divided by book value of equity. 2 For Industrial Business: calculated as net liquidity/net financial debt divided by last twelve month adjusted EBITDA (actual quarter + last 3 quarters).

INDUSTRIAL BUSINESS – CONDENSED STATEMENT OF CASH FLOWS

$\epsilon$ million	9M2020	9M 2019	Q3 2020	Q3 2019
Gross cash flow	1,204	2,585	644	805
Change in working capital	$-535$	$-1,447$	$-228$	$-40$
Net cash provided by operating activities	669	1,137	416	765
Net cash provided by/used in investing activities attributable to operating activities	$-816$	1,186	$-217$	$-226$
Change in marketable securities, investment deposits, and loans	2,186	$-1.844$	901	$-1,155$
Net cash provided by/used in investing activities	1,369	$-658$	683	-1,381
Net cash provided by/used in financing activities	$-1,664$	$-1,348$	$-1,431$	95
Effect of exchange rate changes on cash and cash equivalents	$-102$	$-7$	$-32$	$-16$
Change in cash and cash equivalents	271	$-876$	$-363$	$-537$
Cash and cash equivalents as of 09/30	2,124	2,069	2,124	2,069
Gross cash flow	1,204	2,585	644	805
Change in working capital	$-535$	$-1,447$	$-228$	$-40$
Net cash provided by/used in investing activities attributable to operating activities	$-816$	1,186	$-217$	$-226$
Net cash flow	$-148$	2,323	199	539

TRATON SHARE

ISIN (International Securities Identification Number)	DE000TRAT0N7
WKN (German Security Identification number)	TRAT0N
Common code	196390065
Stock exchange	Frankfurt Stock Exchange (Frankfurter Wertpapierbörse) & Nasdaq Stockholm (börsen)
Market segment	Regulated market (Prime Standard) of Frankfurt Stock Exchange & Large Cap segment of Nasdaq Stockholm
Bloomberg ticker	8TRA GY/8TRA SS
Reuters ticker	8TRA.DE/8TRA.ST
Shares outstanding	500.000.000
Type of share	Bearer shares / common shares
Free Float	10.28%

CONTACTS INVESTOR RELATIONS

Rolf Woller Head of Treasury & Investor Relations

+49 89 360 98 335 rolf.woller@traton.com

Margit Hartmann Annual General Meeting, Events

+49 89 360 98 381 margit.hartmann@traton.com

Marvin Kalberlah Analysts and Investors, Consensus

+49 89 360 98 334 marvin.kalberlah@traton.com

+49 89 360 98 328 michael.lankes@traton.com

Philipp Lotz Analysts and Investors, Rating, Debt Capital Markets

+49 89 360 98 283 philipp.lotz@traton.com

Thomas Paschen Analysts and Investors, Private Investors

+49 89 360 98 474 thomas.paschen@traton.com

Helga Würtele Nordic Analysts and Investors, Sustainability

+49 151 163 58 157 helga.wuertele@traton.com

FINANCIAL CALENDAR

	Event/Publication of
November 10, 2020	Interim Statement 9M 2020
March 22, 2021	Annual Press Conference & Annual Report 2020
May 10, 2021	Interim Statement 3M 2021
July 30, 2021	Half-Year Financial Report 2021
October 29, 2021	Interim Statement 9M 2021

TRATON SE Dachauer Str. 641 80995 Munich www.traton.com http://ir.traton.com