Presentation October 2016 Table of Contents. Introduction to SGL - PowerPoint PPT Presentation

Investor Relations Presentation October 2016

Table of Contents. Introduction to SGL Group’s Businesses Page 3 - Reporting Segment Composites - Fibers & Materials Page 5 - Reporting Segment Graphite Materials & Systems Page 19 - Reporting Segment Performance Products (discontinued operations since June 30, 2016) Page 28 - Technology & Innovation Page 38 Strategic Realignment Page 41 SGL Excellence, SGL2015, Business Process Excellence Page 59 Latest Financials H1 2016 Page 68 Outlook Page 75 Appendix Page 80 Page 2 | Investor Relations Presentation

Introduction to SGL Group’s Businesses Page 3 | Investor Relations Presentation

Lean organization. Streamlined to two business units and a corporate office Main shareholders ~27% ~18% ~10% Composites – Fibers & Graphite Materials & Performance PP carve out Materials (CFM)* Systems (GMS) Products (PP) finalized and classified as Carbon fibers Graphite based products Graphite electrodes discontinued Fiber-based materials and solutions Cathodes operations as of Composite components Process technology Furnace linings June 30, 2016 Carbon electrodes Corporate Office (T&I and Corporate) Corporate Functions & Service Centers Technology & Innovation (T&I) SGL Excellence (SGL X) *Includes stakes of 51% in JV with BMW (proportionally consolidated) and 50% each in JVs Ceramic Brake Discs and Automotive Components (at-equity). Page 4 | Investor Relations Presentation

Reporting Segment Composites – Fibers & Materials (former name: Carbon Fibers & Materials) Page 5 | Investor Relations Presentation

Reporting Segment: Composites - Fibers & Materials (CFM). Activities 2015 Group sales CFM sales – 2015  Carbon Fibers SGL ACF CFM  Composite Materials 19% 25%  51% SGL ACF (JVs with € 1.3bn Carbon BMW) Fibers / Composite  Ceramic Brake Discs Materials  Automotive Composites 81% Key industries served Characteristics Strategic priorities  Automotive  New applications in automotive,  Strengthen capabilities to safeguard wind energy, industrial globally leading position  Wind Energy  High earnings improvement  Develop products and production  Aerospace potential technologies for innovative customer  Industrial solutions  Complete value chain in house  Pressure Vessels  Exploit synergies across the value  The only EU based carbon fiber  Textiles (Acrylic Fibers) chain company Page 6 | Investor Relations Presentation

Composites - Fibers & Materials (CFM). The only integrated European carbon fiber & composites producer Carbon Fibers & Composite Materials Composite Components Refocused on materials and automotive / industrial components Raw Carbon Composite Material Fiber Materials PAN Carbon Prepreg Automotive & Precursor Fiber Preform industrial  Fisipe  Prod. Capacity  SGL epo  Automotive Composites (50% JV with Benteler) ~ 4kt in UK  MSP : JV with  SGL Kümpers  Ceramic Brake Discs (50% JV with Brembo) ~ 2kt in USA Mitsubishi Rayon (51%) (33%)  SGL ACF : JV with  SGL ACF : JV with BMW (51%) BMW (51%) - up to 9kt in USA Page 7 | Investor Relations Presentation

Our solutions serve key markets. Unique integrated value chain Markets Broad portfolio of high-performance products Acrylic Fibers - Acrylic Fibers Fibers - Oxidized Fibers - Carbon Fibers - Stretch Broken Yarn Automotive Production technologies along the fiber value chain - Woven Fabrics - Preforms Aerospace Materials - Noncrimped Fabrics - Prepregs & Defense - Resins, Adhesives - Organo Sheets - Braidings - Wet Friction Materials Wind Lightweight and Application Center (LAC) In-house bridge between SGL products and customer applications in Components the development of fiber reinforced composite components Industrial - Engineering solutions and manufacturing prototypes (e.g. CFRP Parts) Page 8 | Investor Relations Presentation

Our Composites in the Automotive Industry. Lightweight expertise for the BMW Group CFRP supply chain 2 4 5 1 3 Carbon Fiber Textiles and Composite BMW i3/ i8 Precursor Production Recycling Components Production - Japan - - USA - - Germany - - Germany - - Germany - BMW i3/i8 2 | Moses Lake Series 5 | Leipzig 1 | Otake 3 | Wackersdorf Mitsubishi Rayon-SGL Precursor SGL Automotive Carbon Fibers 4 | Landshut BMW Group Source: BMW, SGL Automotive Carbon Fiber Page 9 | Investor Relations Presentation

Our Composites in the Automotive Industry. Integral part of the material mix in series production Rear bench for performance sports cars  Structural Audi MSS (Modular Sportscar System) bodywork system Rear bench Audi  The rear bench of the body MSS work is made of carbon-fiber This platform is used for Platform reinforced plastic  Composite components includes all the connecting parts and elements Lamborghini Huracan Audi R8 (Coupé & Spyder) (Coupé & Spyder) Source: Benteler SGL Page 10 | Investor Relations Presentation

Our Composites in the Automotive Industry. Leaf springs for suspension systems Significant weight-savings through glass fiber based lightweight leaf spring Rear leaf spring Front leaf spring Prototype phase Serial production >100.000 pcs/a VW Steel 18kg Steel 17,5kg Crafter vs. vs. & GFRP 8kg GFRP 5kg Daimler Sprinter >20kg 12,5kg weight-savings / vehicle weight-savings Our tailor- made glass fiber fabrics serve a fully automated production for high performance leaf springs Source: Benteler SGL Page 11 | Investor Relations Presentation

Our Composites in the Automotive Industry. Leaf springs for suspension systems Significant weight-savings through glass fiber based lightweight leaf spring  Structural component for axle module, from simulation-assisted product design up to parts delivery in large series New  Fully automated production lines Leaf spring Volvo XC 90  Peak volume over 550.000 pieces/a  Weight saving combined with dynamic driving advantages Volvo XC 90 Source: Benteler SGL Page 12 | Investor Relations Presentation

The next level of Carbon Fiber in Automotive. New BMW 7 series Significant weight-savings through lightweight chassis New BMW 7 Series Source: BMW Page 13 | Investor Relations Presentation

New hybrid materials manufactured with automated production systems. Example B-Pillar Production system … Continuous Continuous Automated 1. Materials 2. Prepreg Production 3. Laminate Layup Foil Prepregs Adhesive film Automated Automated 4. Laminate layup 5. Forming & Pressing Final product Hybrid B-Pillar Cycle times of < 50 seconds enable large series production (e.g. 150.000 pieces/a) Source: SGL Group Page 14 | Investor Relations Presentation

Carbon in Automotive. Stringent CO 2 emission restrictions globally CO 2 emissions car fleet actual averages and targets [in g CO 2 per km, normalized to NEDC*] Actuals Targets 200  Global approach to reduce CO 2 emissions 150 2020  Progressively more Japan: 122 comfort and safety China: 117 features on board  Driver for 100 US 2025: 97 EU 2021: 95 lightweight EU 2025: ≤75 50 2010 2015 2020 2025 *New European Driving Cycle Source: ICCT Page 15 | Investor Relations Presentation

Example EU. CO 2 reduction targets can only be achieved with lightweight construction Only achievable with lightweight OEM fleet target development (EU) [in g CO 2 /km] -23% ~20-25 ~ -21% ~20-25 ~ 123 123 95 ~ 80 75 ≤ 2014 2020 2025 Spalte1 2014 ICE* Lightweight Reachable actual target expectation actual (moderate) without elec- trification *Internal combustion engine Source: ICCT, McKinsey, SGL estimates Page 16 | Investor Relations Presentation

Carbon in Automotive. Lightweight materials offer significant weight advantages – especially CFRP Relative component weight (with the same functionality) [in %] 100 -5 to -25% -40% 75 -15% -20% 50 -60% 25 0 Steel Lightweight Aluminum Magnesium CFRP quasi- CFRP steel isotropic unidirectional construction Source: N/EK-L; EKP Page 17 | Investor Relations Presentation

Carbon fibers and composite materials. Strong demand growth anticipated Global Carbon Fiber Reinforced Plastics (CFRP) Demand [in thousand mt p.a.] CAGR ~11% p.a. 175 140 101 91 83 72 66 59 51 41 2009 2010 2011 2012 2013 2014 2015e 2016e 2019e 2021e Source: CCeV (September 2015) Page 18 | Investor Relations Presentation

Reporting Segment Graphite Materials & Systems Page 19 | Investor Relations Presentation