October - December

German Anti-Trust Authority Approves Porsche’s Participation in Volkswagen AGPorsche holds almost 19 per cent of VW Common Stock

Stuttgart. After already purchasing 10.26 per cent of VW’s common stock, Dr. Ing. h.c. F. Porsche AG, Stuttgart, has now secured another 8.27 per cent of the common stock of Volkswagen AG. Once this transaction has been completed, Porsche will hold 18.53 per cent of VW common stock before the end of October. This will make Porsche the largest single shareholder in Volkswagen AG, with the intention to establish appropriate representation of the Company on the Supervisory Board of the Wolfsburg-based car maker.

Porsche has furthermore established an appropriate hedge against an ongoing increase in the price of VW common stock and is in a position to acquire another 3.40 per cent through the market. This participation will not, however, as already stated by Porsche on 25 September, reach the threshold requiring the Company to submit a public bid for the takeover of Volkswagen.

In the meantime the German Anti-Thrust Authority has informed Porsche AG that the “plan for merger duly submitted and registered does not infringe upon the provisions of Section 36, Para 1 of the German Act on Restraint of Trade”, ruling that the planned takeover of common stock complies in full with legal requirements. So in the words of the Anti-Trust Authority: “The deal may be finalised and completed.”