- Focus on the fields of energy, transport and intelligent cities
- Goal is to create employment, support development of local small and medium-sized enterprises, and train future engineers and technicians
- Letter of intent signed today in the presence of Minister of Economic Affairs Gabriel and President Macri
The Argentinean Ministry of National Production, the Argentinean Investment and Trade Promotion Agency and Siemens intend to cooperate closely in the future. At the Argentinean Business Investment Forum in Buenos Aires, Joe Kaeser, CEO of Siemens AG; Lisa Davis, member of the Siemens AG Managing Board; Francisco Cabrera, Argentinean Minister for Production; and Juan Procaccini, Executive Chairman of the Argentinean Investment and Trade Promotion Agency, signed a corresponding letter of intent. Argentinean President Mauricio Macri and German Minister of Economic Affairs Sigmar Gabriel were on hand for the signing. The agreement sets out the intent to develop solutions in the fields of energy, transport and intelligent cities.
- U.S.$6.0 billion with maturities of three, five, seven, ten and thirty years
- Total investor demand reached U.S.$12.0 billion
- Broad investor base attracted, mainly investors in the U.S.
- Rating agencies continue to give Siemens high credit rating
Siemens has successfully placed another large U.S.$ bond issuance following last year's U.S.$7.75 billion transaction. It was the company's third bond placement in the U.S. capital market. In a transaction that ended yesterday, Siemens issued bonds with a total value of U.S.$6.0 billion and maturities of three, five, seven, ten and thirty years. Due to the very high demand, the company obtained very favorable interest-rate conditions for all maturities. At the time of price fixing, the interest rate premium over comparable U.S. government bonds averaged 10 basis points below the initial indication at the beginning of the marketing period. The proceeds of the issuance will be used for general corporate purposes including the refinancing of matured and outstanding debt.
- 1,900 apprentices begin professional careers with Siemens
- Training increasingly focused on digitalization
- Fifth year of international Europeans@Siemens initiative
- Refugees begin training after completing preparatory classes
Around 1,900 young people will be starting their professional careers at the beginning of the new training year. Around 20 percent of them will prepare for careers in business administration, and 80 percent will complete apprenticeships or work-study programs in technical fields and IT. Roughly one-third of the training positions are in the work-study education programs. Participants in these programs earn a bachelor’s degree (Bachelor of Engineering, Science or Arts) as well as the graduation of the German Chamber of Industry and Commerce (IHK) degree. In 2016, Siemens will also be celebrating a special anniversary of its vocational training program: The first year of training began 125 years ago. Since the first “trainee corner” was established in 1891, Siemens has developed over 160,000 young men and women in technical and business professions.
- Large orders in Europe and the Americas drive third-quarter orders up 6% year-over-year, to €21.1 billion; revenue 5% higher at €19.8 billion, for a book-to-bill ratio of 1.06
- Excluding currency translation effects, orders rose 10% and revenue was 9% higher
- Industrial Business profit climbs 20% year-over-year, to €2.2 billion; significant margin expansion takes Industrial Business profit margin up to 10.8%
- Net income of €1.4 billion, level with the prior-year quarter which benefited from favorable interest rates within continuing operations and positive tax effects within discontinued operations; basic earnings per share (EPS) of €1.64 compared to €1.65 in Q3 FY 2015
"We are making good progress with execution of Vision 2020 and in the third quarter again achieved convincing results, particularly compared to the market. I am proud of my global team which delivered excellent performance, especially with regard to growth, in an increasingly difficult market environment."
- Randy Zwirn to retire
- Tim Holt to take on new CEO role as of October 1, 2016
Effective October 1, 2016, Tim Oliver Holt (46), who is currently CEO of the Power and Gas Business Unit within the Power Generation Services Division, has been appointed CEO of the Power Generation Services Division. Holt's replacement in his Business Unit assignment will be the subject of a future announcement. The Division's current CEO, Randy Zwirn (62), is retiring on October 1, 2016.
- Technical milestone: maiden flight of an electric aircraft with a 260-kilowatt power output
- Siemens motor powers Extra 330LE aerobatic airplane in near silence
- Technology to be integrated into development of hybrid-electric aircraft in cooperation with Airbus
Siemens researchers have developed a new type of electric motor that, with a weight of just 50 kilograms, delivers a continuous output of about 260 kilowatts – five times more than comparable drive systems. This record-setting propulsion system successfully completed its first public flight today at Schwarze Heide Airport near Dinslaken, Germany, where it – almost silently – powered an Extra 330LE aerobatic airplane. The new drive system had already made its maiden flight on June 24th 2016. This advance means that hybrid-electric aircraft with four or more seats will now be possible.
- Strategic focus pays off despite downturn in the sector
- Synergies from the integration of Dresser-Rand and Rolls-Royce's former energy business expected to total about €365 million by fiscal 2019
- Leading market positions along the entire energy value chain
- Expanding installed base and customer services to ensure sustainable revenue growth
- Electrification, automation and digitalization in oil and gas to generate substantial productivity gains and new business models
Despite a material downturn in the sector, Siemens expects the acquisition of Dresser-Rand and Rolls-Royce's former energy business to generate considerably greater synergies than originally anticipated. At the Energy and Oil & Gas Capital Market Day in Houston, Texas, Siemens Managing Board member Lisa Davis explained that the integration of the two companies was expected to generate synergies of €365 million by fiscal 2019 – or €165 million above the planned figure. Rolls-Royce's former energy business would contribute synergies of €115 in fiscal 2019, up from the €50 million originally communicated at the Capital Market Day in December 2014. Annual synergies from Dresser-Rand are now expected to hit €250 million by fiscal 2019 – about €100 million more than planned in September 2014.
- €1 billion to be invested over next five years
- Freedom for new ideas and developing new technologies
- Focus on forward-looking fields such as artificial intelligence and decentralized electrification
Effective October 1, 2016, Siemens will set up a separate unit to foster disruptive ideas more vigorously and to accelerate the development of new technologies. The unit's name, "next47," plays on the fact that Siemens was founded in 1847. Pooling its existing startup activities at next47 will enable the company to unite the best of two worlds: next47 will couple agility, speed and independence with a global customer base, many years of experience, credibility and financial strength. The new unit will have funding of €1 billion for the first five years. Siegfried Russwurm, Siemens Chief Technology Officer, will head the new unit on an acting basis.
- Modern working environment for up to 1,200 employees
- Construction schedule, budget and technical implementation as planned
- Grand opening with guests of honor representing government and the business community
- Big family celebration with accompanying entertainment
Siemens' new headquarters in Munich have opened. Employees and the Managing and Supervisory Boards of Siemens AG celebrated completion of the building with a grand-opening ceremony. Deputy Minister-President of Bavaria Ilse Aigner and Munich Mayor Dieter Reiter were also on hand for the occasion. Completed in only about three years, the new building provides space for 1,200 employees on an aboveground area of around 45,000 square meters.
- Bronze sculpture created by Georg Baselitz graces atrium of new head-quarters
- Sculpture group "The Wings," created by Daniel Libeskind, links Siemens locations in Munich, Berlin and Erlangen
Visitors arriving at the new Siemens headquarters in Munich will be greeted by the impressive sight of the bronze sculpture "Schwesterngruppe" (Group of Sisters), created by Georg Baselitz. Freely accessible to the public, the sculpture forms part of the company's new, open building concept. Georg Baselitz himself says of his work: "What you see is memory on a monumental scale: in this case, my sister and her friends walking arm-in-arm across the village square. The tradition of the Three Graces, from Ancient Greece via Botticelli to the present day, is one of the themes of this work. To the best of my knowledge, there has never been a group of figures with interlinked arms in the history of sculpture."