RNS Number:4199L
Siemens AG
22 May 2003


Siemens AG Launches 7-Year Convertible Bond

Not for release in Canada or Japan


Siemens AG (Berlin and Munich) is launching a convertible bond issue of
approximately Euro2.5 billion today convertible into approximately 45 million
shares of Siemens AG. The convertible bond has a maturity of 7 years and cannot
be called for the first four years of the life of the security, callable
thereafter subject to a 130 per cent provisional call. The convertible bond is
offered with a coupon of 0.875% to 1.375% and a conversion premium of 45% to
50%. The coupon and conversion premium will be set at final pricing, which is
expected to occur today. The convertible bond will be issued by Siemens Finance
B.V., a Dutch Siemens subsidiary, and guaranteed by Siemens AG. Siemens intends
to list the convertible bond on the Luxembourg stock exchange.


The bond will be placed with institutional investors outside the US in reliance
on Regulation S.


Siemens is issuing the convertible bond to benefit from the attractive financing
opportunity available in the current convertible market given the low interest
rate and high volatility environment. The proceeds of the issue will be used for
general corporate purposes and are to support the financial flexibility of
Siemens AG.


This press release is for information purposes only and is not an offer to sell,
or the solicitation of an offer to buy, any securities. In connection with this
transaction there has not been, nor will there be, any public offering of
Siemens AG securities ("Siemens securities"). The distribution of this press
release and the offer and sale of Siemens securities in certain jurisdictions
may be restricted by law. Any persons reading this press release should inform
themselves of and observe any such restrictions. This press release is not an
offer of securities for sale in the United States. The offer and sale of Siemens
securities has not been, nor will it be, registered under the United States
Securities Act of 1933 and Siemens securities may not be offered or sold in the
United States absent such registration or an applicable exemption from
registration. The Underwriters may conduct stabilisation in connection with the
offering. Stabilisation/FSA



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