The hottest Siemens will build an independent ener

Siemens will build a leading energy enterprise with independent operation and further improve its overall performance

by divesting the oil and gas and power group and transferring its shares in Siemens COMESA renewable energy company, Siemens will build a new heavyweight enterprise in the energy market, with a business scale of 30billion euros and more than 80000 employees

this divestiture will directly benefit shareholders from the success of the company's business, And enable the rapid implementation of relevant measures

future core entity business: digital industry and intelligent infrastructure

further refine the medium-term goals and outline the long-term vision

it is planned to achieve structural efficiency, Save 2.2 billion euros by 2023

business growth in future oriented areas will still increase by more than 10000 jobs.

Siemens plans to clearly focus its business on dynamic growth market areas and efficiency development to achieve medium-term growth and profit goals. To this end, the supervisory board of Siemens AG unanimously approved the follow-up measures of the company's vision 2020+ strategic concept today, including the divestiture of the company's oil and gas and power group (GP)

through the company's vision 2020+, we further focus on the key points, and our business has become more rapid and flexible. These positive changes have laid a good foundation for our sustainable business success in those long-term attractive growth markets. For those businesses that still need to explore successful practices and find new growth points in the current structural transformation, we are also creating a solid development path for them. Joe KAESER, President and CEO of Siemens AG, said that the success of Siemens' next-generation business will depend on new factors. The pursuit of breadth, scale and one size fits all will become a thing of the past, replaced by focus and rapid response. In the era of the fourth industrial revolution marked by digitalization, these new factors will be the key to our success in the competition. He stressed that based on its advantageous position, Siemens has established a future oriented development direction and has an excellent positioning. In the growing market areas of automation, industrial digitalization and intelligent infrastructure, Siemens hopes to achieve significant growth and further strengthen its leading position

the board of supervisors of the company unanimously supports this series of adjustment measures. Jim Hagemann snabe, chairman of the supervisory board of Siemens AG, said: when the company operates well, it is indeed necessary and courageous to start a series of reform measures in preparation. This approach is correct. The board of supervisors supports the management committee to further implement the company's vision 2020+ strategic concept under the leadership of Kaisa

the employee representatives in the board of supervisors also approved the adjustment plan for the oil and gas and power group, and supported the company's vision 2020+ growth strategy. At the same time, they pointed out that the management committee has a special responsibility and needs to properly settle the employees affected by the structural adjustment. Birgit steinborne, chairman of the trade union of Siemens AG, explained that the employee representatives agreed to the adjustment plan for the oil, gas and power group and supported the management's growth strategy. At present, we are facing fundamental changes in the company. If the management committee takes the idea of achieving growth seriously, we hope that the company can not only preserve and inherit the professional knowledge of employees, but also excavate or expand the digital related knowledge. These goals can be achieved through retraining and giving priority in the process of open recruitment of new positions. The fund for the future we have agreed on provides a good opportunity for this. In addition, we believe that the German region will also benefit from the investment and growth plan formulated by the management committee. We are opposed to the stereotyped layoff plan

digital industry group (DI) and Intelligent Infrastructure Group (SI) will build the core of Siemens' future physical business. The company's technology and service departments and the company's strategic majority stake in Siemens Healthcare will complement this core. Siemens transportation, as a growth business, will also be further strengthened

Siemens oil & gas and power group will operate independently

Siemens oil & gas and power group (GP) is composed of oil and gas, conventional power generation, transmission and related services. It will obtain full independence and corporate autonomy through divestiture and subsequent public listing (spin off). In addition, Siemens plans to transfer its majority stake (currently 59%) in Siemens COMESA renewable energy, a market leading renewable energy enterprise, to the oil, gas and power group. According to this plan, the listing work should be completed before September 2020. Siemens will also give up its majority stake in the oil and gas and power group. However, Siemens will still be the main shareholder of the new company, and its initial shareholding ratio may be slightly less than 50%. In the foreseeable future, its shareholding ratio will be higher than the minority equity with veto power. Siemens will continue to support the development of the new company with its professional financial services, strong regional sales network and strong brand licensing. A special general meeting of shareholders may be held in June 2020 to decide on the spin off and subsequent public listing plan. If approved, Siemens will then divest the new oil, gas and power group and Siemens COMESA renewable energy

this initiative will create an enterprise that focuses on the energy and power fields and has a unique and complete business layout. It can cover the whole business scope of the energy market, which is unparalleled by any other company. Kaisa explained that combining our conventional power generation business portfolio with renewable energy power generation can enable us to fully meet customer needs. It will also enable us to provide optimized products and services in a one-stop manner, and make a series of combinations of products and services when necessary. We are convinced that this strategic decision is positive for all interested parties and can create long-term value for customers, employees and shareholders. Our recent achievements, such as the business progress in Iraq, illustrate this, which is the goal we will continue to pursue together

independent operation will enable us to continue to run the forum well, rely on our strong market position more effectively, and further provide support to customers in the rapidly changing energy market. Lisa Davis, CEO of Siemens oil, gas and power group, said that global electrification is crucial to the development of the world economy and the improvement of the environment. As the only company with a leading business portfolio in the entire energy value chain, including conventional energy and renewable energy, we have unique advantages to help public sector and corporate customers benefit from these developments. Now we will have a higher degree of freedom and flexibility to fully focus on the very specific and rapidly changing needs of the market and customers. In addition, we will be able to control our costs more directly and ensure that our stakeholders directly benefit from our expenditure of each euro

formulated effective growth and efficiency plan

in addition to strengthening the business portfolio, Siemens will also significantly improve the cost-effectiveness of the company in all areas to enhance competitiveness and productivity, so as to achieve the annual revenue growth rate and profit margin of the entity business to increase by two percentage points in the medium term, and the growth rate of basic earnings per share will exceed the revenue growth rate in the medium term. In the long run, the profit margin of core entity business (adjusted EBITDA) will reach the range of 14% to 18%

the Intelligent Infrastructure Group has established a clear growth plan. First, strengthen product business, especially in the Asian market. Secondly, expand the service business widely favored by the market. Third, strengthen business in areas that meet future trends, such as electric transport infrastructure, distributed energy systems, intelligent buildings and energy storage, and achieve this goal with the help of growing digital solutions. These measures are expected to bring an annual revenue growth of percentage points to the overall business portfolio of the group. Therefore, the group hopes to hire up to 6000 new employees by 2023, especially in the areas of services, research and development and sales. Cedrik neike, CEO of Siemens Intelligent Infrastructure Group, said: by accelerating growth and streamlining the structure, we plan to increase the profit margin to a range of 13% to 15% by 2023

digital industry group aims to strengthen its business in industrial digitalization, further expand its market leadership and achieve the business development goal of exceeding the market growth rate by 25%. To this end, the group will employ up to 12000 new employees worldwide, mainly engaged in production, R & D and sales. The group will take measures to optimize its profitability, such as integrating the original two businesses, improving internal processes such as logistics, simplifying control and making more use of the company's own industrial software portfolio. These measures will also have a structural impact on jobs, as there is a new demand for employees' employment qualifications in some cases. It is estimated that 4900 jobs worldwide will be affected by this. The management of the group predicts that these measures will generate a restructuring cost of 300million euros by 2023. Overall, the Group expects that by 2023, the further growth of the business will create about 7000 jobs

Klaus Helmrich, CEO of Siemens digital industry group, said: the clear goal of digital industry group is to surpass the overall market growth rate even under volatile market conditions, and achieve sustainable development within the target profit margin range of 17% to 23%. The needs of our customers in discrete manufacturing and process industries and the markets in which these customers are located are changing at an unprecedented rate. With our digital enterprise portfolio, we are helping our customers meet these challenges. In addition, we must become more flexible. These measures will ensure the profitability we need to continue to invest in future oriented markets and technologies. To achieve growth, the group relies on its digital enterprise business portfolio, forward-looking technologies (such as edge computing and Cloud Computing), artificial intelligence and additive manufacturing, among others. In addition, the group also pays more attention to the unique needs of the automotive and aerospace, food and beverage, electronics, battery production, pharmaceutical and chemical industries

as previously announced, the key responsibilities of Siemens' corporate functions and administration have been delegated. The remaining enterprise functional departments will also be greatly streamlined. The company's enterprise management will focus on key jobs, which means that by 2023, about 2500 of the total of about 12500 jobs in these company functional departments will be abolished. This reduction is expected to generate 400million euros in restructuring costs