1. September 2003 Welcome to Siemens

2. September 2003 Demag Delaval Industrial Turbomachinery Ltd 2 Industrial Applications (I) Small turbines and power plants Turbocompressors and drives Service + Alstom Industrial Turbines *) Power Generation Product & Service Scope Integrated global network for Power Generation Fossil Power Generation (F) Klaus Voges, Andreas Kley, Norbert König, Randy Zwirn Group Executive Management JV (Siemens stake 35%) Voith Siemens Hydro Regional offices worldwide Gas turbines and Econopacs Gas turbine power plants and combined-cycle plants Steam turbines and power plants Electrical generators Service Instrumentation & Controls for Power Generation (L) Instrumentation and control systems IT solutions for power plant management Service Stationary Fuel Cells (SFC) JV (Siemens stake 34%) Framatome Advanced Nuclear Power *) Closing of the acquisition is subject to approval by the relevant antitrust authorities.

3. September 2003 Demag Delaval Industrial Turbomachinery Ltd 3 New Orders Sales Capital expenditures and investments Research and development EBITA 2) Number of employees 10,586 9,446 234 309 1,582 25,945 12,219 8,563 235 262 634 26,485 Figures in millions of EUR, unless stated otherwise 1) Fiscal year (October 1 - September 30) 2) Earnings Before Interest, Taxes and Amortization 2002 1) 2001 1) Business Figures 2002 vs. 2001 (FY) PG Total

4. September 2003 Demag Delaval Industrial Turbomachinery Ltd 4 Oil and Gas Industrial Power Plants Steam Turbine Combined Heat and Power Gas Turbine Steam Turbine Electric Drive Turbines/ Drives... will enable us to satisfy our customer needs from one source The acquisition of ALSTOM‘s Industrial Turbine Business Cyclone Pump Sets Cyclone Tempest Typhoon Generator Sets Compressor Sets Gas Turbine

5. September 2003 Small Industrial Gas Turbines - Lincoln

6. September 2003 Demag Delaval Industrial Turbomachinery Ltd 6 Key Facts & Figures Main Markets:Industrial Power Generation Oil and Gas Annual Sales€375 million + Employees2,300 Experience:3,335 machines 88 countries 172 million operating hours Market Share:No.2

7. September 2003 Demag Delaval Industrial Turbomachinery Ltd 7 Main Products & Services High efficiency industrial gas turbines up to 13MW Design, Manufacture, Installation and Commissioning Advanced Technology Financing Lifetime Customer Support

8. September 2003 Demag Delaval Industrial Turbomachinery Ltd 8 EDEN Electronic Data Exchange Network Offers operator benefits through improved performance monitoring and resultant plant optimisation Reduced downtime as problems can be resolved ‘on-line’ quickly and efficiently Real time information available to quantify performance and indicate corrective action Extended service intervals as component life can be calculated from actual data Remote software upgrades possible without site visit

9. September 2003 Demag Delaval Industrial Turbomachinery Ltd 9 Industrial Gas Turbine Family High Efficiency Long Life Low Emissions Dual Fuel Steam Injection MW ratings nominal

10. September 2003 Demag Delaval Industrial Turbomachinery Ltd 10 Advanced Technology - Emissions Natural Gas Less than 25 ppm NOx (Typhoon Mechanical Drive 40 ppm) Less than 25 ppm CO Less than 10ppm UHC No visible smoke Distillate Less than 50 ppm NOx (Typhoon Mechanical Drive, Tornado & Cyclone 60 ppm) Less than 50 ppm CO Less than 20ppm UHC No visible smoke Tempest & Cyclone Less than 10 ppm NOx on Natural Gas for US Market Data is full load, ISO conditions

11. September 2003 Demag Delaval Industrial Turbomachinery Ltd 11 Emissions Control Siemens is committed to environmental issues Dry Low Emissions Technology “Simplicity” principle State-of-the-art NOx/ CO control No operational tuning Dual fuel configuration Leading Position in NOx control Tempest Cyclone Gas fuel Market leader <10 ppmV Market leader <10 ppmV Liquid fuel State-of-the-art <25 ppmV Market leader <55 ppmV Unrivaled Emissions Performance

12. September 2003 Demag Delaval Industrial Turbomachinery Ltd 12 Full engine range read across Standardized components Off design point operation VGV schedule for turndown Bleed for additional turndown on two shaft applications DLE Design Objectives Unrivaled Emissions Performance Gas Operation 0 4 8 12 16 020406080100 Load (%) NOx 0 10 20 30 40 CO NOx with bleed 12% max NOx with bleed 9% max CO with bleed 9% max CO with bleed 12% max @ 15% O2 (ppmvd)

13. September 2003 Demag Delaval Industrial Turbomachinery Ltd 13 Entered Commercial Operation 1995 200+ DLE units worldwide DLE Operation > 2,000,000 Hours Lead Engine > 50,000 Hours No extended commissioning required No reduction in component life NOx Achieved 5-20 ppmV on Gas 25-50 ppmV on Liquid CO - Negligible Dual fuel DLE operational since April’98 DLE Achievements Unrivaled Emissions Performance

14. September 2003 Demag Delaval Industrial Turbomachinery Ltd 14 Dual Fuel DLE System DRAIN INSTRUMENT AIR & GAS PURGE S.O.V. PRIMARY CONTROL IGNITION NOZZLE S S.O.V. MAIN CONTROL MAIN NOZZLES Basic 2 Stream Liquid Fuel System Dual fuel DLE capability & fuel changeover in both directions Simple design Low dynamics Pilot Burner Double Skin Impingement Cooled Combustor Igniter Main Burner Liquid Core Unrivaled Emissions Performance

15. September 2003 Demag Delaval Industrial Turbomachinery Ltd 15 Gas fuel DLE Typhoon in, service on Mittelplate 1997. “Rich” gas composition with Wobbe Index >50MJ/m3 Temperature corrected Wobbe @ 78 0 C - 48MJ/m3 Hours run > 35,000 Mittelplate - Offshore Germany Wide Fuel Capability Mittelplate - Offshore Germany CURRENT DLE CAPABILITY RANGE - TEMPERATURE CORRECTED WOBBE INDEX 48.6MJ/m 3 UK Nat Gas 45.3MJ/m 3 Gas supply heated to 78 O C - 48MJ/m 3 37.3 MJ/m 3 Gas at nominal supply temperature - 50MJ/m 3 Planned Development to 54.0MJ/m 3 Unrivaled Emissions Performance

16. September 2003 Demag Delaval Industrial Turbomachinery Ltd 16 DLE Users in Oil & Gas Unrivaled Emissions Performance 124 Units with 500,000 hours operation

17. September 2003 Demag Delaval Industrial Turbomachinery Ltd 17 DLE Users - Onshore Oil & Gas Unrivaled Emissions Performance 74 Units with 250,000 hours operation

18. September 2003 Demag Delaval Industrial Turbomachinery Ltd 18 DLE Users - Offshore Oil & Gas Unrivaled Emissions Performance 74 Units with 250,000 hours operation

19. September 2003 Demag Delaval Industrial Turbomachinery Ltd 19 Experience Annual sales £260 million Total engine sales to date 3330 - 80% for export 170 Million running hours 512 Turbines have achieved 100,000 hours 177 Turbines have achieved 150,000 hours 52 Turbines have achieved 200,000 hours

20. September 2003 Demag Delaval Industrial Turbomachinery Ltd 20 Gazprom Urengoi to Uzhgorod gas pipeline 67 x 3 MW TB5000 Generators Ordered in 1984 Operating

21. September 2003 Demag Delaval Industrial Turbomachinery Ltd 21 Krasnodar Heat and Power District Heating 2 x 4 MW Typhoon Generators Location - Krasnodar Ordered in 1995 Operating

22. September 2003 Demag Delaval Industrial Turbomachinery Ltd 22 Surgutneftegas Tyanskoe oilfield in Western Siberia Pilot well head gas burning power plant 3 x 6.7 MW Tornado generators Ordered in 1999 Operating

23. September 2003 Demag Delaval Industrial Turbomachinery Ltd 23 Caspian Pipeline Consortium Tengiz to Novorosisk oil pipeline 10 x 5 MW Typhoon Generators 7 x 5 MW Typhoon crude oil pumps Ordered in 1999 Operating

24. September 2003 Demag Delaval Industrial Turbomachinery Ltd 24 Sakhalin Energy Molikpak platform Offshore platform for early oil production 6 x Gas turbines for power generation, gas re-injection and water injection. Ordered in1997 - 2001 Operating

25. September 2003 Demag Delaval Industrial Turbomachinery Ltd 25 TOTAL FINA ELF Kharyaga Oil Field in North Western Siberia 4 x 6.7 MW Tornado generators Russian suppliers used Packaged in Russia Ordered in 2001 Operating

26. September 2003 Demag Delaval Industrial Turbomachinery Ltd 26 Turkmenneft Barsa-Gelmes, Western Turkmenistan 1 x 5 MW Typhoon generator Ordered in 2001 Operating

27. September 2003 Demag Delaval Industrial Turbomachinery Ltd 27 Togliatti AZOT Togliatti AZOT Ammonia Export Terminal on Black Sea coast 1 x 7 MW Tornado ammonia compressor driver Ordered in 2002 Delivery phase

28. September 2003 Demag Delaval Industrial Turbomachinery Ltd 28 Severnaya Neft Severnaya Neft for Khasyreyskoye Oil Field in Komi Rebublic 2 x 4.70MW Typhoon generator packages Ordered in 2003 Under manufacture

29. September 2003