Continental AG is active worldwide as an automotive supplier in the areas of chassis systems, tires and technical products. With 91 subsidiaries and around 65,000 employees worldwide, Continental develops and manufactures a large range of products, ranging from tires for passenger cars and commercial vehicles to electronic brake systems, for example ABS, ESP and air spring systems. Continental aims to achieve worldwide technological leadership in all its business fields.

http://www.conti-online.com

Hanover, April 29, 2009. The slump in worldwide vehicle production left scars on the performance of Continental AG, Hanover, during the first quarter of 2009. Consolidated sales dropped sharply; the Automotive Group sales decreased parallel to the development of the market. The decline in Rubber Group sales was much less severe owing to a larger percentage of its business coming from the aftermarket sector. EBIT performance slipped into the red, mainly on account of the highly negative trend in sales, and despite the biggest cost reduction program in the company’s history.

 “We acted resolutely in putting the brakes on spending but were unable to compensate for these enormous tremors in the market. However, we did succeed in keeping to the covenants agreed with our lenders”, said Continental’s Executive Board chairman, Dr. Karl-Thomas Neumann, on Wednesday in Hanover. “The business environment will remain very difficult in the second quarter as well. So, compliance with the agreed key financial figures will still pose a major challenge. In light of the slight improvement in market conditions in March, however, we are confident that we shall be able to meet this challenge successfully.”