DB Cargo BTT – Your specialist for chemical logistics October 2016 0/0/0 100/105/115 135/140/150 200/200/205 215/222/226 255/255/255 255/0/0 221/237/177 253/246/177 187/202/234 252/183/108 0/0/102 Agenda Organization within the Group 3 Products 31 Market trends 8 Shuttle connections 31 DB Cargo BTT – business and mission 12 DBchem-solution 36 statement DBoil-solution 37 Our expertise 19 Best practices 39 Rail solutions 19 Multimodal solutions 20 Terminal solutions 21 Fleet solutions 23 Operational excellence 26 IT solutions 29 2 0/0/0 100/105/115 135/140/150 200/200/205 215/222/226 255/255/255 255/0/0 221/237/177 253/246/177 187/202/234 252/183/108 0/0/102 DB Cargo is part of a strong Group Passenger transport Freight transport and logistics DB Cargo European rail freight transport DB Schenker Global logistics services Integrated rail system Infrastructure 3 0/0/0 100/105/115 135/140/150 200/200/205 215/222/226 255/255/255 255/0/0 221/237/177 253/246/177 187/202/234 252/183/108 0/0/102 The history of rail operations in Germany has been marked by a number of milestones 1835 It all began with the "Adler": the Nuremberg-Fürth line opened with the Adler locomotive 1920 Deutsche Reichsbahn founded 1949 Split into Bundesbahn and Reichsbahn 1994 Deutsche Bundesbahn and Deutsche Reichsbahn merged to form Deutsche Bahn AG 2016 DB is a leading international mobility and logistics company 4 0/0/0 100/105/115 135/140/150 200/200/205 215/222/226 255/255/255 255/0/0 221/237/177 253/246/177 187/202/234 252/183/108 0/0/102 27 years of BTT – a success story with continous growth BTT Bahn Tank Pilot as LLP Rail Chemicals sales Anniversary Transport GmbH Successful all-in restructured BTT at 25 founded logistics services Integrated sales – Five forwarding one face to the customer agents and operators merged, head- Over quartered in Frankfurt 3,000 tank cars managed 1989 1994 1997 2001 2010 2013 2014 2015 DB company Consolidated sales Established as a Exceeded EUR BTT became a wholly Conventional and intermodal multimodal integrator 100 million in owned subsidiary of DB AG sales from a single source in chemical logistics revenues Background on the company's establishment The companies Gruber, Lechner, Kiesering, Richter and Transfracht merged as a consequence of a devastating tank truck accident in Herborn in the German state of Hesse in 1987. The aim was to shift transport of dangerous goods to rail when possible. The new company, BTT Bahn Tank Transport GmbH, began operating intermodal services using tank containers for dangerous goods two years after the accident. 5 0/0/0 100/105/115 135/140/150 200/200/205 215/222/226 255/255/255 255/0/0 221/237/177 253/246/177 187/202/234 252/183/108 0/0/102 DB Cargo BTT is part of the Chemicals Industry Sector of DB Cargo Region West Region Central Region East DB Cargo Scandinavia Metals and Coal DB Cargo UK DB Cargo Polska Tåstrup Doncaster Zabrze DB Cargo Nederland Cobra Utrecht RBH Logistics Chemicals and Mineral Brussels Oil Fertilizers ECR France Gladbeck Paris DB Cargo BTT MEG DB Cargo Czechia Ostrava DB Cargo DE Schkopau Mainz Building Materials, DB Cargo1 Industrial & DB Cargo Schweiz Consumer Goods Frankfurt am Main DB Cargo Romania Glattbrugg Bucharest DB Cargo Hungaria Transfesa Györ Madrid DB Cargo Italia Services Intermodal Milan DB Cargo Bulgaria Etihad Rail DB Pirdop Abu Dhabi 1 European headquarters Automotive 6 0/0/0 100/105/115 135/140/150 200/200/205 215/222/226 255/255/255 255/0/0 221/237/177 253/246/177 187/202/234 252/183/108 0/0/102 Agenda Organization within the Group 3 Products 31 Market trends 8 Shuttle connections 31 DB Cargo BTT – business and mission 12 DBchem-solution 36 statement DBoil-solution 37 Our expertise 19 Best practices 39 Rail solutions 19 Multimodal solutions 20 Terminal solutions 21 Fleet solutions 23 Operational excellence 26 IT solutions 29 7 0/0/0 100/105/115 135/140/150 200/200/205 215/222/226 255/255/255 255/0/0 221/237/177 253/246/177 187/202/234 252/183/108 0/0/102 The top ten in the industry have remained constant despite global market changes – but with new business models Seven of the top ten companies in Regional and the chemical industry* are customers global trends of DB Cargo and generate up to USD 90 billion in revenues * According to ICIS, 2015 Consolidation Industriali- zation Global market factors Demographics Regulation, sustainability Raw materials 8 0/0/0 100/105/115 135/140/150 200/200/205 215/222/226 255/255/255 255/0/0 221/237/177 253/246/177 187/202/234 252/183/108 0/0/102 BTT sector-specific products meet the growing need for additional services related to rail transport Customers demand Need for logistics New business Customers can concentrate services for comprehensive consulting models on their core business logistics chains from a single source We offered customized solutions – adapted to the specific requirements of our core industries Vertical integration Our 4 PL/ Less complexity Safety and quality throughout the value LLP concept thanks to smart value are what make our chain using sector- expands our product chains and convenient efficient integrated specific multimodal range through solutions (including solutions stand out solutions cooperation single freight car 100/ lane commitment, etc.) 9 0/0/0 100/105/115 135/140/150 200/200/205 215/222/226 255/255/255 255/0/0 221/237/177 253/246/177 187/202/234 252/183/108 0/0/102 In the core industry of chemical logistics the market calls for innovative solutions – that are collaborative and sustainable Logistics services Chemical industry External factors Market trends providers Transfer of production Sustainable safety Restricted capacity Longer supply chains Competition for resources Stricter regulation of dangerous Influences on goods/CO chemical logistics Regionally concentrated Growing consolidation 2 transport volume Safety and compliance requirements Approaches to Horizontal and vertical Sustainable logistics Safe operations chemical logistics integration concepts SC transparency and solutions Partnerships and Intermodal concepts safety alliances Intermodal SHE1 standards Logistics outsourcing infrastructure AEO2 status LLP concepts Capacity utilization optimization 1 Security, health, environmental protection; 2 Authorized economic operator Source: Cefic, Deloitte, DB Chemicals 10 0/0/0 100/105/115 135/140/150 200/200/205 215/222/226 255/255/255 255/0/0 221/237/177 253/246/177 187/202/234 252/183/108 0/0/102 Agenda Organization within the Group 3 Products 31 Market trends 8 Shuttle connections 31 DB Cargo BTT – business and mission 12 DBchem-solution 36 statement DBoil-solution 37 Our expertise 19 Best practices 39 Rail solutions 19 Multimodal solutions 20 Terminal solutions 21 Fleet solutions 23 Operational excellence 26 IT solutions 29 11 0/0/0 100/105/115 135/140/150 200/200/205 215/222/226 255/255/255 255/0/0 221/237/177 253/246/177 187/202/234 252/183/108 0/0/102 DB Cargo BTT – core business, expertise and products Value-added services 1 Multimodal Chemicals Mineral oil Bulk logistics Rail solutions solutions We develop rail-focused multimodal logistics solutions Multi- We identify and tap every customer's modal concepts potential for optimization for integrated chemical We develop and implement lead logistics logistics provider (LLP) concepts We offer logistics solutions (e.g. delivery management, plant Integration of shunting, loading and unloading) Fleet solutions land transport Integration of ocean freight 1 Fertilizers, metals and coal, waste 12 0/0/0 100/105/115 135/140/150 200/200/205 215/222/226 255/255/255 255/0/0 221/237/177 253/246/177 187/202/234 252/183/108 0/0/102 DB Cargo BTT is sure to offer the right logistics solution – in Germany and throughout Europe 1 1 Over 120 employees, including specialists for tank containers and tank cars as well as technology and IT professionals 1 1 1 More than 10% are young professionals 1 Own fleet with around 500 tank containers, 1 1 management of some 3,000 tank cars 1 Locations throughout Europe 1 Registered office in Mainz 1 >200 customers in Europe 1 1 1 13 0/0/0 100/105/115 135/140/150 200/200/205 215/222/226 255/255/255 255/0/0 221/237/177 253/246/177 187/202/234 252/183/108 0/0/102 DB Cargo BTT connects chemical clusters throughout Europe Multimodal corridor solutions for the chemical Existing solutions expanded through vertical and horizontal industry cooperation throughout the value chain 14 0/0/0 100/105/115 135/140/150 200/200/205 215/222/226 255/255/255 255/0/0 221/237/177 253/246/177 187/202/234 252/183/108 0/0/102 Our full-service approach replaces complex delivery routes with an efficient business model Management of complex delivery Supplier routes and interfaces Logical flow of information with no Producer/ redundancy Production End chemical BTT facilities customer Supply chain transparency industry Optimized planning process Warehouse Customized full service Vehicle owner Warehouse Intermodal/road Traction/other rail company/freight Production facilities Tender management forwarder 15 0/0/0 100/105/115 135/140/150 200/200/205 215/222/226 255/255/255 255/0/0 221/237/177 253/246/177 187/202/234 252/183/108 0/0/102 For us as a service provider for the chemical industry, safety and quality have top priority Safety first Our certificates at DB Cargo 1 Our company deals with dangerous goods in and BTT a responsible manner.