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Press Release

Siemens AG

Release date: December 21, 2007

Siemens Receives Orders to Expand Metro Systems in Shanghai and Guangzhou

Consortium with ZELC wins orders worth a total of EUR 431 million

Erlangen, 2007-Dec-21

A consortium made up of Siemens and its Chinese partner, CSR Zhuzhou Electric Locomotive (ZELC), has been awarded the contract for two further metro projects in China. The orders are worth a total of EUR 431 million. In Shanghai, Siemens Transportation Systems (TS) and ZELC are to supply EUR 289 million worth of control systems and rolling stock for the expansion of the city's Metro Line 11. In Guangzhou, the consortium will expand Metro Lines 2 and 8 with trains and control systems to the value of EUR 142 million. In both projects, Siemens is responsible for the automatic train control systems and the traction technology.

The items to be supplied to the customer, Shanghai Shentong Metro Group, include 58 six-car metro trains. These new vehicles, which can reach maximum speeds of up to 100 km/h, will be manufactured by ZELC in Zhuzhou. As of 2010, they will be put into service on Line 11's north section, which is just under 60 kilometers long. Guangzhou Metro has ordered 30 vehicles as well as control equipment from the consortium for the expansion of its Lines 2 and 8.

"These latest orders once again demonstrate the trust that the Chinese customers place in Siemens and underscore our competence in the expanding Chinese market. Both of these projects will also help us to strengthen the cooperation with our Chinese partner, ZELC," stressed Hans M. Schabert, Group President of Siemens TS.

Siemens has enjoyed a long relationship of cooperation with the two customers. TS has been involved in the construction and expansion of the metro in Guangzhou since 1994, but the collaboration between the Shanghai Metro Group and Siemens goes back even further. For example, TS took part in the construction of the first metro in the booming Chinese metropolis in 1989. Since then, Siemens has repeatedly received orders from Shanghai for signaling and safety systems, power supply systems, communications equipment and vehicles. Valuable know-how in the area of overall project management has also been made available.

Siemens, however, is successful in the metro sector in China not only in Shanghai and Guangzhou. It was only in July 2007 that a consortium of Siemens TS and the China Railway Signal & Communication Corp. (CRSC) secured an order from the Shenzhen Metro Corp. It encompasses signaling systems for the expansion of Line 1, which is to be extended by 25 kilometers in three phases. Together with ZELC, Siemens is also supplying metro vehicles for the Shenzhen Metro. The Transportation Systems Group (TS) of Siemens AG is one of the leading international suppliers to the railway industry. As single-source supplier and system integrator, the Group combines in its business segments Automation & Power, Rolling Stock, Turnkey Systems and Integrated Services all the expertise necessary to cover the spectrum from signaling and control systems to traction power supplies, as well as rolling stock for mass transit, regional and main line services. Extensive experience in project management and forward-looking service concepts complement our portfolio. In fiscal 2007 (ended September 30), TS generated sales of around 4.5 billion according to IFRS with around 18,700 employees worldwide. Further information on TS can be found at www.siemens.com/transportation

Reference Number: TS MT 200711.010 e

Company Information:
Name: Siemens AG
Address: Wittelsbacherplatz 2
City: Munich
ZIP: D-80333
Country: Germany
Phone: +49 89 696-00
FAX: +49 89 636-52 000
http://siemens.com

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