- 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.
In various areas Siemens is committed to helping refugees. In spring 2015 the eight week internship program started and has now been extended to 14 locations. Siemens is also offering six-month special training courses. These courses encompass intensive language instruction as well as pre-vocational training in the areas of mechanics and electronics. The goal is to enable the participants to get an apprenticeship training position. Siemens Real Estate is making space available on a temporary basis at 15 different locations throughout Germany, among these locations are Munich and Erlangen. Countless employees all across Germany have also offered their help and participated in a wide range of donation and aid campaigns.
- 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.
In May 2014 Siemens, together with the public utilities of Mainz, Linde and the RheinMain University of Applied Sciences, has laid the foundation stone for a new type of energy storage system. Now, time has come: By pressing a symbolic button, the Chairman of the Board of Linde Group, Dr. Wolfgang Büchele, Siemens board member Professor Siegfried Russwurm, two board members of Stadtwerke Mainz AG, Detlev Höhne and Dr. Tobias Brosze, and Professor Dr. Detlev Reymann, President of RheinMain University, officially launched a hydrogen production plant at the Energiepark Mainz on July 2, 2015. With the support of the German Federal Ministry of Economics and Technology as part of the Energy Storage Funding Initiative the 17-million-project could be realized. The system, equipped with an electrolyzer from Siemens, will convert surplus electricity from wind farms to hydrogen from now on. In this way, it will be possible to store electricity from renewable sources over longer periods of time. With a peak rating of up to 6 megawatts the plant is the largest of its kind in the world.
The principle of electrolysis has been tried and tested for decades. What is special about the Mainz system is that it involves highly dynamic PEM high-pressure electrolysis which is particularly suitable for high current density and can react within milliseconds to sharp increases in power generation from wind and solar sources. In this electrolyzer a proton exchange membrane (PEM) separates the two electrodes at which oxygen and hydrogen are formed. On the front and back of the membrane are precious-metal electrodes that are connected to the positive and negative poles of the voltage source. This is where the water is split. The system in Mainz will thus have a capacity relevant for bottlenecks in the grid and small wind farms.
- 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."
On August 4, we released our third quarter results for fiscal year 2016. The Conference Call for journalists and the Analyst Call were broadcast live.
- 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.