Hermann O. Franz, Chairman of the Supervisory Board of Siemens AG from 1993 to 1998 and longtime member of the company's Managing Board, died on October 7, 2016 at the age of 87.
- Current CIO Norbert Kleinjohann to retire
- Siemens IT supports the company's digital transformation
Effective October 1, 2016, Helmuth Ludwig (54) will serve as Siemens' new Chief Information Officer (CIO), thus assuming responsibility for global IT at the company. He succeeds Norbert Kleinjohann (62), who is retiring. Ludwig was previously Chief Digital Officer of the Product Lifecycle Management (PLM) Business Unit at Siemens' Digital Factory Division.
The Supervisory Board of Siemens AG and Managing Board member Siegfried Russwurm have mutually agreed that the company's contract with Russwurm, which will expire at the end of March 2017, will not be renewed. Russwurm has been a member of the Managing Board since January 2008 and, in addition to his responsibilities as Chief Technology Officer, was the partner on the Managing Board for the separately managed Healthcare business. In addition, he was responsible for the Middle East and CIS regions.
- 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.
- 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.