• Bosch Group achieves strong growth of more than five percent worldwide reaching 43.7 billion euros in 2006
• Bosch China sales grew by 30 percent to 1.3 billion euros in 2006
• In 2006, Bosch invested in China 138 million euros in the Automotive, Industrial and Consumer Sectors
• In 2006, 3300 new employees joined Bosch at various locations in China

Shanghai - The Bosch Group has reached its growth target for 2006. Global sales grew by more than five percent to 43.7 billion euros. Bosch's growth drivers during 2006 were the Asia Pacific region, the Consumer Goods, Building Technology and the Industrial Technology business sectors.

Bosch Group: Long-term strategy is paying off

“Our long-term strategy is paying off. We have been able to significantly expand our presence in Asia, and to strongly grow our business outside of automotive technology,” said Franz Fehrenbach, Chairman of the Bosch Board of Management, at a press briefing in February in Stuttgart, Germany disclosing preliminary 2006 financial figures.

All Bosch Group business sectors made a positive contribution to growth in 2006. The Consumer Goods and Building Technology business sector recorded the highest growth, with sales growing roughly 10 percent to 11 billion euros. The Industrial Technology business sector also experienced positive development and strong growth. The Automotive Technology business sector, the main pillar of business at Bosch with a 62 percent share of total sales, grew by 3.5 percent to 27.2 billion euros.

Research and Development expenditures continued to remain high. In 2006, Bosch spent 3.3 billion euros on R&D or the equivalent of 7.6 percent of sales.

Important business areas continue on a growth course

Household Appliances, Power Tools, Thermo Technology and Security Systems business units all made a strong contribution to the 2006 results.

The Industrial Technology business sector also developed positively in the past year. Bosch Rexroth grew more than 7 percent mainly from Europe, especially Germany, and also from the Asia Pacific region. “The emerging Asian market, especially China, continues to contribute to Bosch's strong overall growth. The strategic steps and operational improvements that were taken during the past few years are reflected in the Asia Pacific revenue growth of 13 percent. The Asia Pacific Region accounted for 16 percent of the Bosch Group revenue in 2006,” said Dr. Rudolf Colm, member of Bosch's Board of Management and responsible for the coordination of company activities in Asia-Pacific.

Continued expansion and commitment in China

Bosch continued to expand and grow in China at a rapid pace by generating revenues of 1.3 billion euros in 2006 including all consolidated entities, which is a growth of 30 percent compared to 2005. Bosch now employs 13,800 employees in China. In 2006 alone 3300 new employees joined Bosch at various locations in China.*

Mainly for the expansion of current manufacturing sites Bosch invested in 2006 in China 88 million euros in the Automotive sector, 29 million euros in the Industrial sector and 21 million euros in the Consumer sector. Thus, Bosch in 2006 invested 138 million euros in the Automotive, Industrial and the Consumer sectors in China.

Looking back at Bosch China achievements in 2006, Peter Pang, President of Bosch ( China), said: “In 2006 Bosch has laid a solid foundation to continue our commitment of fulfilling our Corporate Social Responsibility. In 2007 Bosch will continue efforts in Environment Protection, Energy Saving, Road Safety, and in Education”.

About the Bosch Group

The Bosch Group is a leading global manufacturer of automotive and industrial technology, consumer goods, and building technology. In fiscal 2006, some 260,000 associates generated sales of 43.7 billion euros. Set up in Stuttgart in 1886 by Robert Bosch (1861-1942) as “Workshop for Precision Mechanics and Electrical Engineering,” the Bosch Group today comprises a manufacturing, sales, and after-sales service network of some 300 subsidiaries and more than 13,000 Bosch service centers in over 140 countries.

About Bosch in China

Bosch founded its first trading office in China as early as 1909. In 1926, the first car service workshop opened in Shanghai. Today, all of the Bosch business sectors are present in China: Automotive and Industrial Technology, Consumer Goods and Building Technology. The company operates via a holding company in Shanghai, 14 subsidiaries, 7 joint ventures, and 6 trading companies. 200 6 consolidated sales in China reached 1.3 billion euros. Up to 2005, Bosch had invested around 620 million euros in China and between 2006 and 2008 it will invest a further 620 million euros. 13 ,800 Bosch employees are committed to bringing to the Chinese customers the latest technology as well as the most reliable services to help improve their quality of life.

For more information on Bosch, please visit www.bosch.com.cn

For further details please contact:

Howard Luo Bosch(China) Investment Ltd. Tel:021-2898-1036 Email: howard.luo@cn.bosch.com

Nelson Ren Carl Byoir Public Relations Tel:021-5407-5699 Email: nelson.ren@carlbyoir.com

* Based on International Financial Reporting Standards (IFRS)

News sourc: Bosch China
Publish date: March 2007