Continental AG Plans Capital Increase

HANOVER, GERMANY - July 30, 2009: Continental AG, Hanover, plans a capital increase to strengthen its financial structure. The company’s Supervisory Board accepted the proposal submitted by the Executive Board to prepare a capital increase of up to €1.5 billion within the framework of the corporation’s authorized capital.

With this decision, the Supervisory and Executive Boards intend to equip Continental with a sound financial structure for the medium and long term. Parallel to preparation of the capital increase, Continental is seeking to initiate refinancing talks with its creditor banks to deal with repayment of the credit tranche in the amount of €3.5 billion due in August 2010.

With sales exceeding €24 billion in 2008, the Continental Corporation is one of the top automotive suppliers worldwide. As a supplier of brake systems, systems and components for the powertrain and chassis, instrumentation, infotainment solutions, vehicle electronics, tires and technical elastomers, the corporation contributes towards enhanced driving safety and protection of the global climate. Continental is also a competent partner in networked automobile communication. The corporation currently employs approximately 130,000 at nearly 190 locations in 35 countries.