Financial Overview

(in million euros)

	FY2011	FY2010	Rate of change (%)	Factors
Overall
Sales	7,106	6,104	16.4	-
EBITDA	383	365	4.9	-
Automotive Division
Sales	5,529	4,793	15.4	1)

Factors
1) Automotive Division
-The Division increased sales by 15.4% to 5,529 million euro in 2011 from the year before. By comparison, global automotive production grew 3.2%.

-In addition to rising series calls from customers and the start up of new plants and projects, passing on higher steel purchase prices to customers also contributed to the higher revenue.

By Product Group
Modules Product Group
-Business in modules represented 44% of the Division's total revenue, a 17% increase from 2010.

Chassis Product Group
-The Group generated 4% more revenue than the previous year.

-Revenue increases in Asia from the new plants in Chongqing, China, and Pune, India, were countered by the expiration of projects in the Mercosur region and at North American sites.

Structures Product Group
-This group increased its revenue 14 % from the year before.

-This product group also includes the Benteler Aluminum Systems unit, which revenue grew 9% from 2010.

Engine and Exhaust Systems Product Group
-This group saw the largest percentage of growth in revenue, with a 29 % increase.

Acquisitions
-The acquisition of Norsk Hydro's Automotive Structures business to the Company has been finalized. Its largest operation is located in Raufoss, Norway, but the business also has activities in China, Czech Republic, Denmark, France, Germany, South Korea, Sweden and the United States. The unit's 1,200 employees are now part of Benteler. (From a press release on January 4, 2010)

R&D Expenditure

(in million euros)

	FY2011	FY2010	FY2009
Overall	106.8	109.5	97.7

Product Development

-The Company has about 1,200 employees in research and development, at 32 locations in 18 countries.

-Research and development activities concentrate particularly on lightweight construction, through the development, design and production of composite structural parts and aluminum components.

Product Development

Waste Heat Recovery
-Using waste heat makes an important contribution toward efficiently reducing a car's fuel consumption and CO2 emissions. In this connection, the German Federal Ministry of Education and Research is supporting two major projects by Benteler Automotive in thermoelectric recovery, for a total of 6.7 million euro. Other cooperating partners include BMW AG, the Fraunhofer Gesellschaft, and the University of Paderborn. In parallel, Benteler Automotive expanded its waste heat recovery portfolio by developing heat exchangers for thermodynamic processes.The division achieved a significant breakthrough in mechatronics with semi-active chassis systems. The first prototypes are under development.

Engine Downsizing Technology
-Significant development advances were achieved in 2010. Several advance development projects have already been put into action with clients. Based on the Company's core competence in producing sheet-steel manifolds, the concept of a sheet-metal, integrated manifold-turbocharger module (a "maniturbo") was developed and implemented in a first series production project. The maniturbo has significant advantages over the cast-metal solutions that still dominate the market. The combination of sheet-steel manifolds with an integrated sheet-steel turbocharger housing offers advantages over cast turbochargers in terms of weight and heat management. The first series application is in the new Ford 2.0 L Ecoboost engine, which began selling in 2010.

Exhaust Gas Recirculation
-The introduction of the Euro 6 standard in 2014 will raise the requirements for the efficiency of exhaust gas recirculation systems. The portfolio was significantly expanded with the development of a new generation of plate coolers, which offer higher cooling efficiency and more robust resistance to dirt.

Capital Expenditure

(in million euros)

	FY2011	FY2010	FY2009
Overall	386	247	171
Automotive division	286	209	128

-Out of the total investments, 286 million euro, or 74%, went for project-specific investments and for production facilities and equipment in the Automotive division. The largest investment projects were at two Chinese plants, Chongqing for 13 million euro, and Changchun for 10 million euro.