THYSSENKRUPP – PROFITABLE GROWTH

ThyssenKrupp remained on growth track in the 2nd quarter 2005/2006. We strengthened our position in a generally favorable economic situation. Sales improved by 11% from the prior-year quarter to €11.8 billion. The Group’s pre-tax income from continuing operations increased to €773 million from €448 million in the prior-year period.

The highlights for the 2nd quarter 2005/2006 were as follows:

• Order intake from continuing operations increased to €12.8 billion, up 14% from a year earlier.
• Sales rose by 11% to €11.8 billion.
• EBITDA increased by €315 million to €1,278 million.
• Income from continuing operations before taxes improved to €773 million from €448 million in the prior-year quarter.
• Earnings per share from continuing operations reached €0.84, compared with €0.50 in the 2nd quarter of the prior year.
• Net financial liabilities at March 31, 2006 stood at €191 million, an in-crease of €14 million compared with September 30, 2005. In comparison with March 31, 2005 net financial liabilities were reduced by €1,784 million.

We expect the generally positive business performance to continue in the fur-ther course of the year. For fiscal year 2005/2006 we currently plan sales of over €44 billion. Based on the very good 1st-half performance, for the full year we are already aiming to exceed our new medium-term target for earnings before taxes – excluding major nonrecurring effects – of €2 billion.