02/24/2009 Hanover, May 2008. Currently employing approximately 150,000 people in 36 countries, Continental is one of the world’s leading suppliers of the automotive industry. We offer our customers a wide range of products for maximum driving safety. The company is taking appropriate measures to address the issue of environmental protection. This applies to all six divisions of the corporation, which also includes the Industrial Tire division.

Emissions during manufacturing significantly reduced

Continental developed and successively introduced its own environmental management system worldwide in 1992. Since then the company has worked continuously on gradually reducing the environmental impact of our production facilities. We have accomplished much in this area in recent years: From 2002 to 2007, we reduced the energy consumption per ton of finished product by 20%.

Location-specific objectives to reduce energy consumption and environmental effects play a particularly important role in this environmental management system. Compliance with the targets mentioned is reviewed during annual internal and external audits conducted as part of the international standard ISO 14001. In this context, environmental indicators for specific consumption and emissions per ton of finished product are derived. Examples include energy and water consumption, waste production and CO₂ emissions.

Reduced CO₂ emissions

Global climate change can only be prevented by reducing the emission of greenhouse gases. Since 2002, we have been able reduce the specific CO₂ emissions in our plants by approximately 30 percent. This is because various measures have been implemented such as: using more efficient boiler systems, implementing energy management in the factories, and increasing the environmental awareness of our employees.

Emissions occur in all stages of the product lifecycle: from the procurement of raw materials to product manufacturing, use, and recycling. Lifecycle assessments prove that the usage phase produces by far the greatest amount of CO₂ emissions in the product life cycle. CO₂ output during the manufacturing process is low in comparison. For example, if the rolling resistance of a tire is improved by approximately 5%, reduced fuel consumption after one year of use offsets as much emissions as arise during the manufacturing of the tire. Continental’s industrial tires have a very low rolling resistance.

Conservation of resources and reduced waste

We have been able to continuously reduce the specific energy consumption at Continental AG’s plants by a total of approximately 17 percent since 2002. This reduction is proof of our well-functioning energy management and a responsible approach to all types of energy use: electricity and process heat, as well as heating energy and lighting.

The Corporation was able to reduce its specific water consumption by over 10 percent against the previous year. Both the increased use of closed cooling systems and the intensive training of employees led to this significant decrease.

Constant efforts to improve production processes and strict, end-to-end waste management have led to a reduction in waste production of almost 20 percent since 2002.

Scrap tire disposal since 1992

Each year, Europe generates 2.5 million tons of old tires, about 600,000 tonnes of which originate in Germany, where tire sales are highest. The international automotive supplier Continental AG took a proactive line on product responsibility. In October 1992 it became the first tire manufacturer to set up a tire disposal company (Reifen-Entsorgungsgesellschaft mbh, or REG). The REG works together with different waste management companies in the area of tire recycling. Used tires are shredded, for example, and waste rubber containing metal and fabric reduced to as little as 20 millimetres in size. Used rubber free of any metal or fabric content can be rendered even smaller to serve as the basis for making new products like rubber shoes, door mats and oil absorption mats for workshops etc. Rubber granulates are also used for making roof waterproofing systems and sports ground surfaces, as well as building insulation from the waste product. Tires also end up back on the road as retreaded truck tires or as a component ingredient in road surfacing, such as noise-reducing asphalt topping.

The cement industry annually consumes around 288,000 tonnes of shredded tires as fuel and feedstock, with silicate and steel gladly used as raw material substitutes in the manufacture of cement. But old tires are also welcome in agricultural and port areas, where 3,000 tonnes of them are used each year. Used tires may no longer be disposed of at refuse dumps in Germany.

And by the way, the tire industry can now boast a higher recycling rate (96 percent) than for glass (83 percent) or paper (61 percent).

More ambitious targets:

Continental fulfils their commitment to climate protection in many ways. They are focusing on reducing harmful CO₂ emissions by improving products and manufacturing processes.

Their goals for carbon emissions are ambitious: the Hanover company wants to reduce emissions from their manufacturing processes by a total of approximately 20% by the year 2012. Furthermore, Continental is planning to reduce energy consumption, water usage and waste generation by an additional five percent every year. The recycling rate is expected to increase by 2 % annually, which reduces raw material consumption as well.

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Statement on environmental protection by the Corporation’s Executive Board

“We are conscious of our social responsibility and our responsibility towards the environment as a global corporation. Throughout the entire production process, we have developed a responsible approach to the use of natural resources. We make a substantial contribution to environmental protection with our technologies and products.

For us, protecting the environment means much more than just complying with statutory and official regulations. We are facing the variety of ecological challenges and regard environmental protection as a key management responsibility that is also reflected in our operating business. That is why we make sure that production and product benefits are constantly optimized to lessen environmental impact. The obligation to protect the environment applies to every one of our employees.

Climate protection is an essential part of environmental protection and also part of our corporate strategy – and not just since the first consequences of climate change appeared and this topic began to be discussed worldwide. We regard it as a component of our social responsibility and make substantial contributions with our technologies and products.”

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Continental is the only tire manufacturer to supply a comprehensive range of industrial tires, making it the No. 1 in Germany and Europe, and one of the top three worldwide.

With targeted annual sales of more than €26.4 billion in 2008, the Continental Corporation is one of the top automotive suppliers worldwide. As a supplier of brake systems, powertrain and chassis sys­tems and components, instrumentation, infotainment solutions, vehicle electronics, tires and engi­neering elastomers, the corporation contributes to enhanced driving safety and global climate protec­tion. Continental is also a competent partner in networked automobile communication. The corporation currently employs approximately 150,000 people at more than 200 locations in 36 countries.

The Commercial Vehicle Tires division, which designs, produces and supplies lorry, bus and industrial tires worldwide, and employs more than 8,000 people, achieved a turnover of approximately €1.5 billion in 2007. The tire divisions are an Official Sponsor of UEFA EURO 2008^TM, which will be held in Austria and Switzerland in June 2008. For further details, visit the websites www.ContiSoccerWorld.de, www.ContiFanWorld.com and www.conti-online.com.