First Customer for the Joint Venture Set up in 2008 SB LiMotive to Supply Lithium-ion Battery Cells for BMW's "Megacity Vehicle" Project

STUTTGART/SEOUL – August 3, 2009: SB LiMotive – the Samsung SDI and Bosch joint venture – will supply lithiumion battery cells to BMW. The German automaker will install the battery cells in its first electric car, which is currently being developed as part of the "Megacity Vehicle" project. The zeroemission vehicles will go into series production in the first half of the next decade. “The decision is an important milestone on the way to series production of the Megacity Vehicle. The battery is a key component in any electric vehicle, since it determines its range and performance. In SB LiMotive, we have found a supplier that offers us the best available technology, and that combines German automotive competence with Korean battery knowhow,” said Norbert Reithofer, chairman of the BMW AG board, explaining the decision.

Franz Fehrenbach, chairman of the board of management of Robert Bosch GmbH, said: “This success is mainly the result of SB LiMotive’s efforts to enter the market with an innovative and competitive technology even before the company is one year old." And Soon Taek Kim, CEO of Samsung SDI, said "acquiring this project is an important step toward gaining a foothold in the market for electric cars.” Young Woo Park, President of SB LiMotive: “Between now and 2013, we will invest 500 million U.S. dollars in the development and manufacturing of lithium-ion cells and battery systems for hybrid and electric cars.”

Dr. Joachim Fetzer, Executive Vice President of SB LiMotive, said: “We aim to quickly establish ourselves as a leading cell and battery system supplier in all markets worldwide. Out of 100 million newly produced vehicles in 2020, we expect to see some three million electric cars and plug-in hybrids as well as six million hybrid vehicles.” One of the main reasons why BMW opted for SB LiMotive’s lithium-ion battery technology was the combined know-how of its parent companies Samsung SDI and Bosch. Samsung SDI brings extensive large-scale series production experience into the partnership, as well as manufacturing competence in the area of lithium-ion cell production. Moreover, the company is an innovation and development leader in the realm of lithium-ion technology. The company already produces a wide range of lithium-ion batteries for use in laptops, cell phones, and power tools. For its part, Bosch can contribute its comprehensive systems competence when it comes to integrating lithium-ion technology in the overall concept of the automobile. In its business unit for hybrid and electric drives, Bosch has comprehensive know-how in the areas of power electronics, electric motors, transmissions, and DC/DC converters. Some years ago, moreover, Bosch was the first power-tool manufacturer to successfully integrate lithium-ion batteries.