Press Release Interview with Dr. Thomas Böttcher, general manager of the Industrial Tire business unit at Continental AG: "We keep things moving" Hannover, September 2005. The Industrial Tire business unit at Hanover-based Continental AG is doing a good job of weathering the storm in these economically trying times. As one of the top three industrial tiremakers, the business unit is recognized by customers as a leader in terms of quality and innovation. New products fresh out of development will be presented at CeMAT in October (booth E 58, hall 14) under the motto "Keeping your business in motion". In an interview, Dr. Thomas Böttcher explains the position of Continental Industrial Tires. How do you view the situation of the Industrial Tire business unit? Dr. Böttcher: Continental Industrial Tires has a strong position. As one of the top three worldwide and market leader in Europe – and the only one offering a full range – our customers see in us a true partner for innovation and development. They know they can rely on us to deliver superb quality. Because of the nature of our material-intensive products, however, the hike in raw materials prices has, in fact, hit us very hard. Where does Continental produce which industrial tires? Dr. Böttcher: At our plant in Korbach, Hesse, we produce our Super Elastic and press-on solid tires. At the R&D center also located there, innovations are tested through to production-readiness. Press Release Industrial radial tires are produced in Otrokovice, Czechia, at one of the corporation's largest tire factories. In addition, select industrial bias-ply and solid tires are manufactured in Malaysia for the Asian market. Continental Industrial Tires is a full-range supplier. What are the product focal points? Dr. Böttcher: Solid tires – Continental Super Elastic and press-on tires – account for about half of our sales. We are also well placed with our range of bias-ply and, in particular, radial tires. Here we hold a significant market position. How do things look outside of Europe? Dr. Böttcher: In Asia and the Pacific Rim countries we are well established. The production plant in Malaysia ensures that we are close to the markets we serve. The local sales team and R&D keep close tabs on the customers' wishes. This allows us to optimally work the market and provides the basis for further growth. In the past business year, the sales team in the NAFTA region laid the groundwork for profitable growth there. I am confident that the positive trend will continue this year, although the persistently weak US dollar isn't really helping things much. How do things look for Continental Industrial Tires as far as original equipment is concerned? Dr. Böttcher: We supply big-name manufacturers like Jungheinrich, Linde, Still and Toyota, to cite just a few. Press Release As development partner, we support the OEMs in their new vehicle projects. Here we are called upon to develop trend-setting individual solutions and to bring these to market readiness. In the last few years, for example, we introduced two new low-profile tires – a 180/60 - 10 and a 140/55 - 9. This design gives these tires a much higher carrying capacity and a much better steering performance than existing sizes with the same dimensions – the 18 x 7-8 and 15 x 4 ½ -8. As an added service to OEMs, we offer assistance in determining special parameters for vehicle simulations. What's in the offing for Industrial Tires? Dr. Böttcher: At CeMAT in Hanover in October we shall unveil a world innovation. The new CSEasy solid tire system can be mounted without a press. It provides further proof of our innovative prowess. We also have on view five sizes of our successful ConRad HT product in a reengineered version. I should like to take this opportunity to cordially invite our customers, as well as all interested parties, to stop by at our booth in hall 14. Continental is the only tiremaker offering the complete array of industrial tires. With its range, Continental is no. 1 in Germany and Europe and among the top 3 worldwide. The Continental Corporation is a leading supplier of brake systems, chassis components, vehicle electronics, tires and technical elastomers. In 2004 the corporation realized sales of EUR12.6 billion. At present it has a worldwide workforce of more than 81,000. For further information please contact: Lars Döhmann Head of Press Relations, Commercial Vehicle Tires Ph.: +49 511/938-2370 Fax: +49 511/938-2462 lars.doehmann@conti.de www.conti-online.com