Continental Automotive GmbH | Siemensstraße 12 | 93055 Regensburg | Germany

Suppliers of Continental Automotive GmbH Günter Fella

Head of Purchasing Automotive

Peter Popp
Head of Purchasing Interior

Date
07.11.2017

Dear Ladies and Gentlemen,

Today we are happy to share some very good news with you: Continental and Osram, two major
players in the field of automotive lighting electronics, have decided to join forces and to establish
a strategic partnership for automotive lighting. A Joint Venture would be formed in the very near
future to further boost innovation in this important technical area.

The automotive lighting market is currently going through a phase of major transformation. The
shift towards semiconductor-based technologies in lighting and the increasing importance of
software and electronics are shaping the industry continuously. The automotive SSL (Solid State
Lighting; means LED, Laser and OLED) market will see a significant change in the upcoming
years due to the fast development of this technology. The enhancement of intelligent lighting
functionalities, as well as its potential to contribute to the brand signature of a car by offering new
functions and design possibilities will gain in importance.

Therefore, we decided to combine our strengths in automotive electronics with the expertise of
Osram in the lighting sector. Joining force as Osram Continental GmbH JV would allow us to
provide SSL based lighting modules and solutions for front, tail and interior lighting to the OEM
and Tier1 market. As partner companies in a joined company we would aim to leverage
advantages in technology, cost and time-to-market by combining electronics and lighting under
one roof. This would make innovative light technology even more attractive and affordable for the
end customer.

The JV is supposed to be a stand-alone company with equal shares from both partners operating
with a global set-up. The joint venture is scheduled to start in 2018 subject to agreement on the
binding contracts, prior consent of each party’s Supervisory Board and antitrust approvals.

The JV would continue to have close ties to the respective mother companies in order to benefit
from innovations in the automotive electronics and lighting area, as well as from the market
positions and reputations of Continental and Osram.

You would benefit from a combined organization, which would create synergies and innovations
through an extension of the existing product portfolio. Further information regarding support
needed from your side will be provided in due time. For the moment, if you have any further
questions concerning our JV please do not hesitate to contact your established purchasing
counterpart at Continental.

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Continental Automotive GmbH | Siemensstraße 12, 93055 Regensburg | P.O. Box: 10 09 43, 93009 Regensburg | Germany
www.continental-corporation.com
Registered office: Hanover | Registered Court: Local Court Hanover
HRB 59424 | VAT ID No.: DE 814950663
Executive Board: Georg Sistermanns, Harald Stuhlmann
Chairman of Supervisory Board: Helmut Matschi
Account at: Deutsche Bank AG, Frankfurt | BIC / SWIFT: DEUTDEFFXXX | IBAN: DE07 5007 0010 0096 5103 00
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We assume that this JV would be a benefit and an advantage to the automotive industry.

Yours sincerely,

Günter Fella Peter Popp

Head of Purchasing Automotive Head of Purchasing Interior