Form 6-K
Table of Contents



FORM 6-K

SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549

Report of Foreign Private Issuer

Pursuant to Rule 13a-16 or 15d-16
of the Securities Exchange Act of 1934

For July 29, 2004

Commission File Number: 1-15174

Siemens Aktiengesellschaft

(Translation of registrant’s name into English)

Wittelsbacherplatz 2
D-80333 Munich
Federal Republic of Germany
(Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.

Form 20-F þ     Form 40-F o

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):

Yes o     No þ

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):

Yes o     No þ

Indicate by check mark whether by furnishing the information contained in this Form, the registrant is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.

Yes o     No þ

If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82-




TABLE OF CONTENTS

Key figures
Press Release
SIEMENS AG SEGMENT INFORMATION (unaudited)
CONSOLIDATED STATEMENTS OF INCOME (unaudited)
CONSOLIDATED STATEMENTS OF CASH FLOW (unaudited)
CONSOLIDATED BALANCE SHEETS (unaudited)
SIGNATURES


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(SIEMENS LOGO)

Key figures

                                 
    3rd quarter(1)
  first nine months(2)
    2004
  2003
  2004
2003
Net income
                               
(in millions of euros)
    815       632       2,751       1,721  
 
   
 
     
 
     
 
     
 
 
Earnings per share (3)
                               
(in euros)
    0.91       0.71       3.09       1.93  
 
   
 
     
 
     
 
     
 
 
Net cash from operating and investing activities
    279       266       2,653       527  
(in millions of euros)
                               
therein: Net cash provided by operating activities
    1,107       2,038       2,685       3,310  
Net cash used in investing activities
    (828 )     (1,772 )     (32 )     (2,783 )
Supplemental contributions to pension trusts
                (1,255 )     (442 )
(included in net cash provided by operating activities)
                               
Net proceeds from the sale of Infineon shares
                               
(included in net cash used in investing activities)
                1,794        
 
   
 
     
 
     
 
     
 
 
Group profit from Operations
                               
(in millions of euros)
    1,239       1,023       3,676       3,193  
 
   
 
     
 
     
 
     
 
 
New orders
                               
(in millions of euros)
    19,077       17,215       59,283       56,444  
 
   
 
     
 
     
 
     
 
 
Sales
                               
(in millions of euros)
    18,216       17,380       54,339       54,455  
 
   
 
     
 
     
 
     
 
 
                 
    June 30, 2004
  September 30, 2003
Employees (in thousands)
    418       417  
Germany
    165       170  
International
    253       247  
 
   
 
     
 
 

(1)   April 1 — June 30, 2004 and 2003, respectively
(2)   October 1, 2003 and 2002 — June 30, 2004 and 2003, respectively
(3)   Earnings per share — basic

Note: “Group profit from Operations” is reconciled to “Income before income taxes” of Operations under “Reconciliation to financial statements” on the table “Segment information” included in this release.

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(SIEMENS LOGO)

Press Presse Prensa
For the business and financial press
Munich, July 29, 2004



Siemens in the third quarter (April 1 to June 30) of fiscal 2004

  Net income was 815 million, up 29% from 632 million in the third fiscal quarter a year ago.
 
  Group Profit from Operations was 1.239 billion, up 21% from 1.023 billion in the same period a year earlier.
 
  Orders rose 11% to 19.077 billion and sales were up 5% to 18.216 billion from the third-quarter levels of fiscal 2003.
 
  Net cash from operating and investing activities for the third quarter was 279 million, up from 266 million in the third quarter a year earlier.

“I am pleased about the developments in the third quarter. Order intake is developing well, supported particularly by a very strong June. Also, net income is progressing ahead of our expectations and should allow us to exceed our own earnings objectives for the full year,” said Siemens CEO Heinrich v. Pierer. “These trends show that improvement in the broader macroeconomic environment is now arriving in our industry, and that we are succeeding with our enterprise-wide initiative, ‘Go for profit and growth’. To ensure our earnings momentum into the next fiscal year we are targeting further operational improvements by the Groups.”

For the third quarter ended June 30, 2004, Siemens reported net income of 815 million compared to 632 million in the same period a year earlier. Basic and diluted earnings per share rose to 0.91 and 0.88, respectively, compared to 0.71 per share in the prior-year period. Net income rose on the strength of Group Profit from Operations, which climbed to 1.239 billion from 1.023 billion in the same period a year ago.

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In Operations, a majority of Siemens’ Groups achieved double-digit earnings growth and higher profit margins compared to the same quarter of fiscal 2003. Top earnings performers included Automation and Drives (A&D), Power Generation (PG), Medical Solutions (Med), Siemens VDO Automotive (SV), and Osram. Challenges remain at Transportation Systems (TS) and Siemens Business Services (SBS), which reported losses.

Third-quarter orders climbed 11% to 19.077 billion from 17.215 billion a year earlier, and third-quarter sales rose 5% to 18.216 billion from 17.380 billion in the prior year. Business volume was particularly strong in the closing month of the quarter. International business drove order growth, rising 16% year-over-year. Significantly reduced capital expenditures for rail transportation projects contributed to an 8% decline in orders in Germany year-over-year.

Operations generated 379 million in net cash in the third quarter, despite a build-up in net working capital associated with volume growth. In the prior-year period, Operations used net cash of 569 million due to major investments. The two other components of Siemens worldwide, which include Financing and Real Estate and Corporate Treasury activities, used net cash of 100 million in the current period, particularly reflecting renewed asset growth in the financing business. In contrast, these activities provided net cash of 835 million in the prior-year period. In aggregate, net cash from operating and investing activities for Siemens worldwide was 279 million in the third quarter, up year-over-year from 266 million.

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Operations in the third quarter of fiscal 2004

Information and Communications

Information and Communication Networks (ICN)

                                 
    Third quarter ended June 30,
                    % Change
( in millions)   2004
  2003
  Actual
  Comparable*
Group profit
    51       (125 )                
Group profit margin
    3.0 %     (7.4 )%                
 
   
 
     
 
     
 
     
 
 
Sales
    1,678       1,687       (1 )%     0 %
New orders
    1,608       1,756       (8 )%     (7 )%
 
   
 
     
 
     
 
     
 
 
*Excluding currency translation effects.    

ICN posted Group profit of 51 million compared to a loss a year earlier, when the Group took 72 million in charges primarily related to Efficient Networks, Inc. Third-quarter earnings at the Carrier Networks and Services business were 15 million compared to a loss of 128 million in the prior-year period, which included the charges mentioned above. Sales were 816 million, up from 801 million a year earlier. The Enterprise Networks division contributed 49 million in third-quarter earnings on sales of 859 million, compared to 62 million and 893 million in the prior-year quarter. For ICN overall, third-quarter sales were nearly level with the prior-year total, while orders were down 8%.

Information and Communication Mobile (ICM)

                                 
    Third quarter ended June 30,
                    % Change
( in millions)   2004
  2003
  Actual
  Comparable*
Group profit
    64       17       276 %        
Group profit margin
    2.6 %     0.8 %                
 
   
 
     
 
     
 
     
 
 
Sales
    2,446       2,160       13 %     15 %
New orders
    2,851       2,313       23 %     25 %
 
   
 
     
 
     
 
     
 
 
*Excluding currency translation effects.    

ICM improved third-quarter Group profit year-over-year to 64 million in a market that remained intensely competitive. Earnings at the Mobile Networks division were 133 million on sales of 1.180 billion, compared to earnings of 36 million on sales of 968 million in the third quarter a year earlier. The Mobile Phones division generated 996 million in sales on a volume of 10.4 million handsets, up from 922 million and 8.1 million units in the same period a year earlier. Average selling price declined year-over-

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year, contributing to a loss of 88 million in the third quarter. For comparison, the division posted a loss of 42 million in the prior-year quarter, which included a positive effect related to warranty performance. For ICM as a whole, sales rose 13%, to 2.446 billion. Order growth of 23% included a major infrastructure order in Italy and market interest in the Mobile Phones’ new 65 series.

Siemens Business Services (SBS)

                                 
    Third quarter ended June 30,
                    % Change
( in millions)   2004
  2003
  Actual
  Comparable*
Group profit
    (2 )     17                  
Group profit margin
    (0.2 )%     1.3 %                
 
   
 
     
 
     
 
     
 
 
Sales
    1,140       1,283       (11 )%     (11 )%
New orders
    1,218       1,297       (6 )%     (6 )%
 
   
 
     
 
     
 
     
 
 
*Excluding currency translation effects.    

SBS posted a loss for the quarter, reflecting pricing pressure in a weak market for IT solutions as well as delays in implementing capacity adjustments. Third-quarter sales declined to 1.140 billion and orders were also down year-over-year, at 1.218 billion.

Automation & Control

Automation and Drives (A&D)

                                 
    Third quarter ended June 30,
                    % Change
( in millions)   2004
  2003
  Actual
  Comparable*
Group profit
    308       203       52 %        
Group profit margin
    13.9 %     9.8 %                
 
   
 
     
 
     
 
     
 
 
Sales
    2,208       2,074       6 %     7 %
New orders
    2,290       2,078       10 %     11 %
 
   
 
     
 
     
 
     
 
 
*Excluding currency translation effects of (2)% and portfolio effects of 1% on sales and orders.    

A&D was Siemens’ top earnings performer in the third quarter. Group profit rose 52% to a record high of 308 million, driven by continuing productivity increases across all divisions in an improved macroeconomic environment. The Industrial Automation Systems division contributed particularly strong profitability, helping to push A&D’s earnings margin close to 14%. Third-quarter sales rose 6% year-over-year, to 2.208 billion. Orders climbed 10% to 2.290 billion, reflecting rapid growth in Asia-Pacific, particularly in China, and improving demand in Europe.

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Industrial Solutions and Services (I&S)

                                 
    Third quarter ended June 30,
                    % Change
( in millions)   2004
  2003
  Actual
  Comparable*
Group profit
    19       5       280 %        
Group profit margin
    1.9 %     0.5 %                
 
   
 
     
 
     
 
     
 
 
Sales
    1,001       959       4 %     5 %
New orders
    952       911       5 %     6 %
 
   
 
     
 
     
 
     
 
 

* Excluding currency translation effects.

Third-quarter Group profit at I&S was 19 million, benefiting from a positive effect related to capacity reduction programs. Sales of 1.001 billion and orders of 952 million for the quarter increased from the prior-year quarter 4% and 5%, respectively.

Logistics and Assembly Systems (L&A)

                                 
    Third quarter ended June 30,
                    % Change
( in millions)   2004
  2003
  Actual
  Comparable*
Group profit
    14       (64 )                
Group profit margin
    2.5 %     (10.0 )%                
 
   
 
     
 
     
 
     
 
 
Sales
    568       640       (11 )%     (9 )%
New orders
    513       571       (10 )%     (6 )%
 
   
 
     
 
     
 
     
 
 

* Excluding currency translation effects of (2)% and (5)% on sales and orders, respectively, and portfolio effects of 1% on orders.

L&A (formerly called Siemens Dematic) returned to profitability compared to the third quarter a year earlier, when the Group took charges for capacity reduction and project risks. The Electronics Assembly division was the primary contributor to L&A’s improvement in Group profit, while losses at the Airport Logistics and Distribution & Industry Logistics divisions continued to slow earnings progress for the Group as a whole. Lower sales of 568 million reflect completion of projects between the periods under review, while lower orders of 513 million reflect more selective order intake.

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Siemens Building Technologies (SBT)

                                 
    Third quarter ended June 30,
                    % Change
( in millions)   2004
  2003
  Actual
  Comparable*
Group profit
    14       18       (22 )%        
Group profit margin
    1.4 %     1.6 %                
 
   
 
     
 
     
 
     
 
 
Sales
    997       1,156       (14 )%     (5 )%
New orders
    1,070       1,137       (6 )%     3 %
 
   
 
     
 
     
 
     
 
 

* Excluding currency translation effects of (2)% and portfolio effects of (7)% on sales and orders.

Lower sales in its existing businesses, particular in its building automation business, led to lower earnings at SBT compared to the third quarter a year earlier, when the Group took significant charges for capacity reduction. Divestment of SBT’s facility management business between the periods under review further reduced sales for the Group overall, to 997 million. Orders of 1.070 billion, however, were up 3% year-over-year on a comparable basis.

Power

Power Generation (PG)

                                 
    Third quarter ended June 30,
                    % Change
( in millions)   2004
  2003
  Actual
  Comparable*
Group profit
    236       279       (15 )%        
Group profit margin
    12.2 %     18.2 %                
 
   
 
     
 
     
 
     
 
 
Sales
    1,933       1,530       26 %     14 %
New orders
    2,029       1,596       27 %     10 %
 
   
 
     
 
     
 
     
 
 

* Excluding currency translation effects of (2)% and (1)% on sales and orders, respectively, and portfolio effects of 14% and 18% on sales and orders, respectively.

PG achieved double-digit growth in both sales and orders, to 1.933 billion and 2.029 billion, respectively. Sales rose on expansion of the Group’s service business and consolidation of the Alstom industrial turbine business between the periods under review. Order growth included large new contracts in Australia and the Middle East. Third-quarter Group profit was 236 million compared to 279 million a year earlier, which included 65 million in cancellation gains.

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Power Transmission and Distribution (PTD)

                                 
    Third quarter ended June 30,
                    % Change
( in millions)   2004
  2003
  Actual
  Comparable*
Group profit
    62       52       19 %        
Group profit margin
    7.5 %     6.0 %                
 
   
 
     
 
     
 
     
 
 
Sales
    822       869       (5 )%     (4 )%
New orders
    848       868       (2 )%     1 %
 
   
 
     
 
     
 
     
 
 
* Excluding currency translation effects.

PTD increased Group profit 19% despite lower sales compared to the prior-year quarter, as nearly all divisions within the Group improved their earnings margins year-over-year. The High Voltage division was again the Group’s leading earnings contributor. While third-quarter sales of 822 million came in below the prior-year level, orders were up on a comparable basis as PTD won new contracts in Latin America, Africa, and the Middle East.

Transportation

Transportation Systems (TS)

                                 
    Third quarter ended June 30,
                    % Change
( in millions)   2004
  2003
  Actual
  Comparable*
Group profit
    (48 )     74                  
Group profit margin
    (4.7 )%     6.7 %                
 
   
 
     
 
     
 
     
 
 
Sales
    1,019       1,100       (7 )%     (7 )%
New orders
    942       732       29 %     30 %
 
   
 
     
 
     
 
     
 
 
* Excluding currency translation effects.

Third-quarter orders of 942 million at TS were up 29% due to comparison with a prior-year quarter marked by unusually low order intake. Slowing demand for rail transportation systems, particularly in Germany, reduced third-quarter sales 7% year-over-year, to 1.019 billion. The loss of 48 million at TS in the third quarter reflects charges in its rolling stock business. The smaller part of the charges related to the Group’s Combino railcar business.

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Siemens VDO Automotive (SV)

                                 
    Third quarter ended June 30,
                    % Change
( in millions)   2004
  2003
  Actual
  Comparable*
Group profit
    174       111       57 %        
Group profit margin
    7.0 %     5.3 %                
 
   
 
     
 
     
 
     
 
 
Sales
    2,502       2,090       20 %     15 %
New orders
    2,517       2,090       20 %     14 %
 
   
 
     
 
     
 
     
 
 

* Excluding currency translation effects of (2)% on sales and orders and portfolio effects of 7% and 8% on sales and orders, respectively.

SV maintained its positive momentum, boosting Group profit 57% compared to the third quarter of fiscal 2003 and earning its cost of capital for the first time since its fiscal 2001 merger. Profits rose year-over-year throughout the Group, driven by a particularly strong increase at the Interior & Infotainment division. The 20% increases in third-quarter sales and orders, to 2.502 billion and 2.517 billion, respectively, include SV’s acquisition of a U.S. automotive electronics business from DaimlerChrysler between the periods under review. On a comparable basis, SV still delivered double-digit sales and order growth.

Medical

Medical Solutions (Med)

                                 
    Third quarter ended June 30,
                    % Change
( in millions)   2004
  2003
  Actual
  Comparable*
Group profit
    219       332       (34 )%        
Group profit margin
    13.1 %     19.3 %                
 
   
 
     
 
     
 
     
 
 
Sales
    1,670       1,721       (3 )%     5 %
New orders
    1,999       1,702       17 %     26 %
 
   
 
     
 
     
 
     
 
 

* Excluding currency translation effects of (3)% and (4)% on sales and orders, respectively, and portfolio effects of (5)% on sales and orders.

Med was again a leading earnings contributor, recording Group profit of 219 million. For comparison, the prior-year period included a 74 million gain related to Med’s contribution of a portion of its electromedical systems business to a joint venture. Orders surged 26% year-over-year on a comparable basis, to nearly 2 billion, reflecting broad strength in Med’s diagnostics imaging and medical information systems businesses. Third-quarter sales of 1.670 billion were up 5% year-over-year on a comparable basis.

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Lighting

Osram

                                 
    Third quarter ended June 30,
                    % Change
( in millions)   2004
  2003
  Actual
  Comparable*
Group profit
    111       98       13 %        
Group profit margin
    10.8 %     10.1 %                
 
   
 
     
 
     
 
     
 
 
Sales
    1,029       968       6 %     10 %
New orders
    1,029       968       6 %     10 %
 
   
 
     
 
     
 
     
 
 

* Excluding currency translation effects.

Osram’s Group profit rose on the strength of higher sales and orders in its large North America and Asia-Pacific markets. Third-quarter sales and orders of 1.029 billion were up 10% year-over-year excluding currency translation effects, with all divisions reporting revenue growth year-over-year.

Other operations

Other operations consist of centrally held equity investments and other operating businesses not related to a Group. These activities contributed 17 million in Group profit in the third quarter, up from 6 million in the same period a year earlier.

Corporate Items, Pensions and Eliminations

Corporate items, pensions and eliminations were a negative 323 million in the third quarter, compared to a negative 377 million in the same period a year earlier. In the prior-year period, Corporate items included a negative 43 million representing Siemens’ equity share of the net loss for the quarter at Infineon Technologies AG. Corporate items no longer include an equity share of Infineon’s net results.

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Financing and Real Estate

Siemens Financial Services (SFS)

                                 
    Third quarter ended June 30,
                    % Change
( in millions)   2004
  2003
  Actual
  Comparable*
Income before income taxes
    67       71       (6 )%        
 
   
 
     
 
     
 
     
 
 
Sales
    130       135       (4 )%     (3 )%
 
   
 
     
 
     
 
     
 
 

* Excluding currency translation effects.

Income before income taxes at SFS was 67 million compared to 71 million in the third quarter a year earlier, due to lower earnings in the Group’s Equipment and Sales Financing division.

Siemens Real Estate (SRE)

                                 
    Third quarter ended June 30,
                    % Change
( in millions)   2004
  2003
  Actual
  Comparable*
Income before income taxes
    10       77       (87 )%        
 
   
 
     
 
     
 
     
 
 
Sales
    390       391       0 %     0 %
 
   
 
     
 
     
 
     
 
 

* Excluding currency translation effects.

Income before income taxes at SRE was 10 million compared to 77 million in the third quarter a year earlier. The decrease in earnings was due largely to termination of a major development project in Frankfurt and continued weakness in the commercial real estate market.

Eliminations, reclassifications and Corporate Treasury

Income before income taxes from Eliminations, reclassifications and Corporate Treasury in the third quarter was 46 million, up from 43 million in the same period a year ago.

Income statement highlights for Operations in the third quarter

In Operations, net sales increased to 18.077 billion, up from 17.249 billion a year earlier. Third-quarter gross profit margin improved to 29.4% of sales, from 28.9% a year ago. Most of Siemens’ Groups increased their gross profit margins, led by significant improvements at A&D and SV. Gross profit margins were lower at TS and Med.

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Research and development expenses remained level with the prior year, but represented a smaller percentage of sales due to revenue growth year-over-year. Marketing, selling, and general administration expenses rose more slowly than revenues, decreasing to 17.7% of sales from 18.1% in the same period a year earlier. Other operating income (expense), net was a negative 1 million, compared to a positive 81 million in the prior-year period, which reflected higher cancellation gains at PG and a gain arising from Med’s contribution of assets to a joint venture. Income from investments in other companies, net improved to 51 million compared to a negative 3 million in the third quarter a year earlier. The prior-year period included a negative 43 million representing Siemens’ equity share of Infineon’s net loss.

Income and earnings per share in the first nine months

Net income for the first nine months of fiscal 2004 increased to 2.751 billion from 1.721 billion in the same period a year earlier. Group Profit from Operations contributed much of the increase, rising 15% year-over-year, to 3.676 billion, despite expected earnings reductions at PG related to the U.S. power generation market and losses at TS due to charges in its rolling stock businesses. The current period also benefited from a pre-tax gain of 590 million related to the sale of Infineon shares and reversal of 246 million in deferred tax liabilities, partially offset by a 433 million goodwill impairment. These effects occurred in the second quarter. Basic and diluted earnings per share for the first nine months were 3.09 and 2.96, respectively, well above basic and diluted earnings per share of 1.93 in the same period a year earlier.

Sales and order trends for the first nine months

Sales in Germany for the first nine months of fiscal 2004 were 12.500 billion, up 2% compared to the same period a year earlier, while orders in Germany decreased 3% year-over-year, to 12.244 billion. International sales decreased 1% year-over-year, to 41.839 billion, and international orders increased 7%, to 47.039 billion. Excluding currency translation effects and the net effect of acquisitions and dispositions, international sales for the first nine months rose 3% and international orders climbed 10%.

Within international results, sales in the U.S. of 9.768 billion for the first nine months were 15% lower compared to the same period a year earlier. Orders of 10.381 billion

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for the first nine months were 4% lower year-over-year. Excluding currency translation effects, sales were 4% lower and orders were up 9% in the U.S. year-over-year. Sales in the Asia-Pacific region for the first nine months increased 8% year-over-year, to 6.615 billion, and orders decreased 3%, to 7.271 billion. Excluding currency translation effects, sales in the Asia-Pacific region rose 13% and orders rose 2%. Sales in China were 2.131 billion, 11% above the prior-year level, while orders reached 2.265 billion, up 12%. Excluding currency translation effects, sales in China rose 19% and orders climbed 21%.

Liquidity for the first nine months

Operations generated net cash of 1.605 billion in the first nine months. This period includes the net effect of 1.794 billion from the sale of Infineon shares as well as substantial supplemental contributions to Siemens’ pension plans. In contrast, Operations used net cash of 950 million in the same period a year earlier, including PG’s 505 million initial payment to acquire Alstom’s industrial turbine business as well as other cash outflows for investments and marketable securities.

The two other components of Siemens worldwide, which include Financing and Real Estate and Corporate Treasury activities, provided net cash of 1.048 billion for the first nine months compared to 1.477 billion in the prior-year period. Both periods include positive net effects from Corporate Treasury activities primarily related to the hedging of intra-company financings. These positive effects were substantially higher in the prior-year period. In aggregate, net cash provided by operating and investing activities for Siemens worldwide was 2.653 billion for the first nine months, up year-over-year from 527 million.

Funding status of pension plans

The funding status of Siemens’ principal pension plans on June 30, 2004, improved significantly compared to the end of the prior fiscal year, with an underfunding of approximately 3.4 billion compared to an underfunding of approximately 5.0 billion at September 30, 2003. The improvement in funding status is due to both supplemental contributions in the first quarter and regular funding of pension plan service costs. The return on plan assets during the first nine months amounted to approximately 1.0 billion. This represents a 8.1% return on an annualized basis, compared to an expected

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annualized return of 6.7%. The projected benefit obligation of Siemens’ pension plans increased by approximately 500 million during the first nine months, due to the net of pension service and interest costs less benefits paid.

Economic Value Added

Economic Value Added (EVA) for Siemens worldwide improved significantly in the first nine months compared to the positive EVA in the same period a year earlier. The improvement in EVA was driven by higher earnings despite a volume-driven increase in net working capital.

Subsequent event

During the third quarter, Siemens agreed to acquire the water systems and services business of US Filter Corporation, with an annual turnover of approximately 1 billion, from Veolia Environnement of France. Completion of the acquisition is expected in early August 2004, after which the US Filter business will become part of I&S.

Note: Siemens CEO Heinrich v. Pierer and CFO Heinz-Joachim Neubürger will hold a German-language telephone conference with journalists on July 29, 2004 at 11.00 a.m. CET. You can follow this conference live on the Internet by going to www.siemens.com/telefonkonferenz. A recording of the telephone conference will be available later at the same location.

Note: Siemens CEO Heinrich v. Pierer and CFO Heinz-Joachim Neubürger will hold an English-language telephone conference with analysts on July 29, 2004 at 13.00 p.m. CET. You can follow this conference live on the Internet by going to www.siemens.com/analystcall. A recording of the telephone conference will be available later at the same location.

This press release report contains forward-looking statements based on beliefs of Siemens’ management. The words “anticipate,” “believe,” “estimate,” “forecast,” “expect,” “intend,” “plan,” “should” and “project” are used to identify forward-looking statements. Such statements reflect the company’s current views with respect to future events and are subject to risks and uncertainties. Many factors could cause the actual results to be materially different, including, among others, changes in general economic and business conditions, changes in currency exchange rates and interest rates, introduction of competing products, lack of acceptance of new products or services and changes in business strategy. Actual results may vary materially from those projected here. Siemens does not intend or assume any obligation to update these forward-looking statements.

Siemens AG
Corporate Communications
Press Department
80333 Munich

Reference number: AXX 200407.64 e
Peter Gottal
80312 Munich
Tel.: +49-89 636-33645; Fax: -32825
E-mail: peter.gottal@siemens.com



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SIEMENS AG

SEGMENT INFORMATION (unaudited)
As of and for the three months ended June 30, 2004 and 2003 and as of September 30, 2003
(in millions of )

                                                                                 
                                    Intersegment        
    New orders
  External sales
  sales
  Total sales
  Group profit(1)
    2004
  2003
  2004
  2003
  2004
  2003
  2004
  2003
  2004
  2003
Operations Groups
                                                                               
Information and Communication Networks (ICN)
    1,608       1,756       1,489       1,533       189       154       1,678       1,687       51       (125 )
Information and Communication Mobile (ICM)
    2,851       2,313       2,406       2,124       40       36       2,446       2,160       64       17  
Siemens Business Services (SBS)
    1,218       1,297       872       992       268       291       1,140       1,283       (2 )     17  
Automation and Drives (A&D)
    2,290       2,078       1,891       1,751       317       323       2,208       2,074       308       203  
Industrial Solutions and Services (I&S)
    952       911       723       692       278       267       1,001       959       19       5  
Logistics and Assembly Systems (L&A)
    513       571       542       622       26       18       568       640       14       (64 )
Siemens Building Technologies (SBT)
    1,070       1,137       960       1,082       37       74       997       1,156       14       18  
Power Generation (PG)
    2,029       1,596       1,928       1,529       5       1       1,933       1,530       236       279  
Power Transmission and Distribution (PTD)
    848       868       754       795       68       74       822       869       62       52  
Transportation Systems (TS)
    942       732       1,014       1,086       5       14       1,019       1,100       (48 )     74  
Siemens VDO Automotive (SV)
    2,517       2,090       2,494       2,088       8       2       2,502       2,090       174       111  
Medical Solutions (Med)
    1,999       1,702       1,651       1,698       19       23       1,670       1,721       219       332  
Osram
    1,029       968       1,004       946       25       22       1,029       968       111       98  
Other operations(5)
    415       372       290       248       182       147       472       395       17       6  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Total Operations Groups
    20,281       18,391       18,018       17,186       1,467       1,446       19,485       18,632       1,239       1,023  
Reconciliation to financial statements
                                                                                 
Corporate items, pensions and eliminations
    (1,724 )     (1,703 )     18       21       (1,426 )     (1,404 )     (1,408 )     (1,383 )     (323 )     (377 )
Other interest expense
                                                    (31 )     (11 )
Other assets related reconciling items
                                                           
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Total Operations (for columns Group profit/Net capital employed, i.e. Income before income taxes/Total assets)
    18,557       16,688       18,036       17,207       41       42       18,077       17,249       885       635  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
 
                                                                    Income before
 
                                                                    income taxes
Financing and Real Estate Groups
                                                                               
Siemens Financial Services (SFS)
    130       135       106       108       24       27       130       135       67       71  
Siemens Real Estate (SRE)
    390       391       74       64       316       327       390       391       10       77  
Eliminations
                            (3 )     (3 )     (3 )     (3 )            
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Total Financing and Real Estate
    520       526       180       172       337       351       517       523       77       148  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Eliminations, reclassifications and Corporate Treasury
          1             1       (378 )     (393 )     (378 )     (392 )     46       43  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Siemens worldwide
    19,077       17,215       18,216       17,380                   18,216       17,380       1,008       826  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 

     

[Additional Columns below]

[Continued from above table, first column(s) repeated]

                                                                 
                    Net cash from                   Amortization
    Net capital   operating and   Capital   depreciation and
    employed(2)
  investing activities
  spending(3)
  impairments(4)
    6/30/04
  9/30/03
  2004
  2003
  2004
  2003
  2004
  2003
Operations Groups
                                                               
Information and Communication Networks (ICN)
    1,366       722       (192 )     (110 )     98       43       55       110  
Information and Communication Mobile (ICM)
    1,376       1,367       (95 )     105       70       89       76       83  
Siemens Business Services (SBS)
    536       294       83       (56 )     57       56       48       60  
Automation and Drives (A&D)
    1,987       1,925       230       315       107       49       48       55  
Industrial Solutions and Services (I&S)
    180       167       22       42       8       4       9       13  
Logistics and Assembly Systems (L&A)
    545       877       (24 )     (88 )     5       7       7       13  
Siemens Building Technologies (SBT)
    1,391       1,447       (1 )     38       23       21       27       27  
Power Generation (PG)
    1,921       1,712       159       (289 )     42       542       42       47  
Power Transmission and Distribution (PTD)
    869       798       20       128       19       14       15       16  
Transportation Systems (TS)
    102       (252 )     (250 )     (131 )     11       19       16       14  
Siemens VDO Automotive (SV)
    3,520       3,949       423       67       258       150       109       97  
Medical Solutions (Med)
    3,172       3,128       206       212       77       90       54       59  
Osram
    2,030       2,074       19       93       57       54       69       65  
Other operations(5)
    1,930       1,515       94       (473 )     17       471       18       14  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Total Operations Groups
    20,925       19,723       694       (147 )     849       1,609       593       673  
Reconciliation to financial statements
                                                               
Corporate items, pensions and eliminations
    (3,755 )     (3,781 )     (315)(6)       (422)(6)       10       10       10       31  
Other interest expense
                                               
Other assets related reconciling items
    47,539       48,533                                      
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Total Operations (for columns Group profit/Net capital employed, i.e. Income before income taxes/Total assets)
    64,709       64,475       379       (569 )     859       1,619       603       704  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
 
    Total assets
                     
Financing and Real Estate Groups
                                                               
Siemens Financial Services (SFS)
    8,638       8,445       (194 )     307       52       56       48       55  
Siemens Real Estate (SRE)
    3,573       3,607       109       80       22       71       43       47  
Eliminations
    (631 )     (465 )     (14)(6)       (37)(6)                          
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Total Financing and Real Estate
    11,580       11,587       (99 )     350       74       127       91       102  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Eliminations, reclassifications and Corporate Treasury
    2,108       1,543       (1)(6)       485(6)                          
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Siemens worldwide
    78,397       77,605       279       266       933       1,746       694       806  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 


(1)   Group profit of the Operations Groups is earnings before financing interest, certain pension costs and income taxes.
(2)   Net capital employed of the Operations Groups represents total assets less tax assets, certain accruals and non-interest bearing liabilities other than tax liabilities.
(3)   Intangible assets, property, plant and equipment, acquisitions, and investments.
(4)   Includes amortization and impairments of intangible assets, depreciation of property, plant and equipment, and write-downs of investments.
(5)   Other operations primarily refer to certain centrally-held equity investments and other operating activities not associated with a Group.
(6)   Includes (for Eliminations within Financing and Real Estate consists of) cash paid for income taxes according to the allocation of income taxes to Operations, Financing and Real Estate, and Eliminations, reclassifications and Corporate Treasury in the Consolidated Statements of Income.

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SIEMENS AG

SEGMENT INFORMATION (unaudited)
As of and for the nine months ended June 30, 2004 and 2003 and as of September 30, 2003
(in millions of )

                                                                                 
                                             
    New orders
  External sales
  Intersegment sales
  Total sales
  Group profit(1)
    2004
  2003
  2004
  2003
  2004
  2003
  2004
  2003
  2004
  2003
Operations Groups
                                                                               
Information and Communication Networks (ICN)
    5,230       5,385       4,526       4,834       470       336       4,996       5,170       139       (423 )
Information and Communication Mobile (ICM)
    8,586       7,122       7,942       7,239       122       106       8,064       7,345       296       131  
Siemens Business Services (SBS)
    3,951       3,982       2,676       2,981       795       907       3,471       3,888       68       54  
Automation and Drives (A&D)
    6,670       6,467       5,417       5,169       943       921       6,360       6,090       764       566  
Industrial Solutions and Services (I&S)
    3,166       2,996       2,175       2,106       806       772       2,981       2,878       60       (24 )
Logistics and Assembly Systems (L&A)
    2,135       1,797       1,523       1,853       90       67       1,613       1,920       (53 )     (40 )
Siemens Building Technologies (SBT)
    3,205       3,629       2,964       3,395       69       195       3,033       3,590       69       63  
Power Generation (PG)
    7,119       6,079       5,537       4,993       11       13       5,548       5,006       755       950  
Power Transmission and Distribution (PTD)
    2,775       2,788       2,225       2,342       210       175       2,435       2,517       176       142  
Transportation Systems (TS)
    3,083       3,256       3,067       3,257       18       24       3,085       3,281       (305 )     206  
Siemens VDO Automotive (SV)
    6,716       6,408       6,685       6,401       18       7       6,703       6,408       402       303  
Medical Solutions (Med)
    5,626       5,505       4,951       5,330       75       52       5,026       5,382       774       832  
Osram
    3,190       3,154       3,120       3,120       70       34       3,190       3,154       336       305  
Other operations(5)
    1,383       1,294       875       847       507       460       1,382       1,307       195       128  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Total Operations Groups
    62,835       59,862       53,683       53,867       4,204       4,069       57,887       57,936       3,676       3,193  
Reconciliation to financial statements
                                                                 
Corporate items, pensions and eliminations
    (5,133 )     (5,012 )     113       76       (4,105 )     (3,962 )     (3,992 )     (3,886 )     (788 )     (1,256 )
Other interest expense
                                                    (98 )     (37 )
Other assets related reconciling items
                                                           
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Total Operations (for columns Group profit/Net capital employed, i.e. Income before income taxes/Total assets)
    57,702       54,850       53,796       53,943       99       107       53,895       54,050       2,790       1,900  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
 
                                                                  Income before
income taxes
 
                                                                 
Financing and Real Estate Groups
                                                                 
Siemens Financial Services (SFS)
    407       410       336       322       71       88       407       410       190       213  
Siemens Real Estate (SRE)
    1,174       1,182       207       188       967       994       1,174       1,182       109       187  
Eliminations
                            (8 )     (9 )     (8 )     (9 )            
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Total Financing and Real Estate
    1,581       1,592       543       510       1,030       1,073       1,573       1,583       299       400  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Eliminations, reclassifications and Corporate Treasury
          2             2       (1,129 )     (1,180 )     (1,129 )     (1,178 )     172       144  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Siemens worldwide
    59,283       56,444       54,339       54,455                   54,339       54,455       3,261       2,444  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 

     

[Additional columns below]

[Continued from above table, first column(s) repeated]

                                                                 
                    Net cash from                   Amortization
    Net capital   operating and   Capital   depreciation and
    employed(2)
  investing activities
  spending(3)
  impairments(4)
    6/30/04
  9/30/03
  2004
  2003
  2004
  2003
  2004
  2003
Operations Groups
                                                                 
Information and Communication Networks (ICN)
    1,366       722       (315 )     (58 )     192       131       187       346  
Information and Communication Mobile (ICM)
    1,376       1,367       230       272       155       235       231       221  
Siemens Business Services (SBS)
    536       294       (177 )     (224 )     147       120       154       185  
Automation and Drives (A&D)
    1,987       1,925       637       753       230       153       164       161  
Industrial Solutions and Services (I&S)
    180       167       24       (11 )     48       25       27       37  
Logistics and Assembly Systems (L&A)
    545       877       (172 )     (326 )     21       30       27       41  
Siemens Building Technologies (SBT)
    1,391       1,447       137       214       58       68       90       101  
Power Generation (PG)
    1,921       1,712       486       (218 )     122       627       130       113  
Power Transmission and Distribution (PTD)
    869       798       123       246       56       43       45       48  
Transportation Systems (TS)
    102       (252 )     (437 )     (537 )     35       69       46       43  
Siemens VDO Automotive (SV)
    3,520       3,949       865       64       448       405       295       292  
Medical Solutions (Med)
    3,172       3,128       500       406       359       230       144       157  
Osram
    2,030       2,074       338       407       156       172       196       198  
Other operations(5)
    1,930       1,515       15       (529 )     46       494       51       42  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Total Operations Groups
    20,925       19,723       2,254       459       2,073       2,802       1,787       1,985  
Reconciliation to financial statements
                                                                 
Corporate items, pensions and eliminations
    (3,755 )     (3,781 )     (649 )(6)     (1,409 )(6)     (3 )     3       460       63  
Other interest expense
                                               
Other assets related reconciling items
    47,539       48,533                                      
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Total Operations (for columns Group profit/Net capital employed, i.e. Income before income taxes/Total assets)
    64,709       64,475       1,605       (950 )     2,070       2,805       2,247       2,048  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
 
  Total assets
 
 
Financing and Real Estate Groups
                                                                 
Siemens Financial Services (SFS)
    8,638       8,445       332       300       216       137       146       163  
Siemens Real Estate (SRE)
    3,573       3,607       282       214       85       138       144       145  
Eliminations
    (631 )     (465 )     (53 )(6)     (111 )(6)                        
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Total Financing and Real Estate
    11,580       11,587       561       403       301       275       290       308  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Eliminations, reclassifications and Corporate Treasury
    2,108       1,543       487 (6)     1,074 (6)                        
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Siemens worldwide
    78,397       77,605       2,653       527       2,371       3,080       2,537       2,356  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 


(1)   Group profit of the Operations Groups is earnings before financing interest, certain pension costs and income taxes.
(2)   Net capital employed of the Operations Groups represents total assets less tax assets, certain accruals and non-interest bearing liabilities other than tax liabilities.
(3)   Intangible assets, property, plant and equipment, acquisitions, and investments.
(4)   Includes amortization and impairments of intangible assets, depreciation of property, plant and equipment, and write-downs of investments.
(5)   Other operations primarily refer to certain centrally-held equity investments and other operating activities not associated with a Group.
(6)   Includes (for Eliminations within Financing and Real Estate consists of) cash paid for income taxes according to the allocation of income taxes to Operations, Financing and Real Estate, and Eliminations, reclassifications and Corporate Treasury in the Consolidated Statements of Income.

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SIEMENS AG

CONSOLIDATED STATEMENTS OF INCOME (unaudited)
For the three months ended June 30, 2004 and 2003
(in millions of , per share amounts in )

                                                                 
                    Eliminations,                    
                    reclassifications and                   Financing and Real
    Siemens worldwide
  Corporate Treasury
  Operations
  Estate
    2004
  2003
  2004
  2003
  2004
  2003
  2004
  2003
Net sales
    18,216       17,380       (378 )     (392 )     18,077       17,249       517       523  
Cost of sales
    (12,816 )     (12,274 )     378       393       (12,762 )     (12,258 )     (432 )     (409 )
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Gross profit on sales
    5,400       5,106             1       5,315       4,991       85       114  
Research and development expenses
    (1,264 )     (1,248 )                 (1,264 )     (1,248 )            
Marketing, selling and general administrative expenses
    (3,287 )     (3,190 )           2       (3,203 )     (3,119 )     (84 )     (73 )
Other operating income (expense), net
    13       124       (25 )     (16 )     (1 )     81       39       59  
Income (loss) from investments in other companies, net
    70       16                   51       (3 )     19       19  
Income (expense) from financial assets and marketable securities, net
    (5 )     (63 )     (8 )     (3 )     7       (62 )     (4 )     2  
Interest income of Operations, net
    11       6                   11       6              
Other interest income (expense), net
    70       75       79       59       (31 )     (11 )     22       27  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Income before income taxes
    1,008       826       46       43       885       635       77       148  
Income taxes
    (157 )     (183 )     (8 )     (9 )     (136 )     (140 )     (13 )     (34 )
Minority interest
    (36 )     (11 )                 (36 )     (11 )            
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Net income
    815       632       38       34       713       484       64       114  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Basic earnings per share
    0.91       0.71                                                  
Diluted earnings per share
    0.88       0.71                                                  

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SIEMENS AG

CONSOLIDATED STATEMENTS OF INCOME (unaudited)
For the nine months ended June 30, 2004 and 2003
(in millions of , per share amounts in )

                                                                 
                    Eliminations,                    
                    reclassifications and                   Financing and Real
    Siemens worldwide
  Corporate Treasury
  Operations
  Estate
    2004
  2003
  2004
  2003
  2004
  2003
  2004
  2003
Net sales
    54,339       54,455       (1,129 )     (1,178 )     53,895       54,050       1,573       1,583  
Cost of sales
    (38,392 )     (38,899 )     1,129       1,180       (38,260 )     (38,872 )     (1,261 )     (1,207 )
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Gross profit on sales
    15,947       15,556             2       15,635       15,178       312       376  
Research and development expenses
    (3,756 )     (3,821 )                 (3,756 )     (3,821 )            
Marketing, selling and general administrative expenses
    (9,850 )     (9,930 )     (1 )     2       (9,639 )     (9,712 )     (210 )     (220 )
Other operating income (expense), net
    (311 )     408       (60 )     (53 )     (338 )     347       87       114  
Income (loss) from investments in other companies, net
    952       44                   905       (18 )     47       62  
Income (expense) from financial assets and marketable securities, net
    70       (26 )     29       39       66       (64 )     (25 )     (1 )
Interest income of Operations, net
    15       27                   15       27              
Other interest income (expense), net
    194       186       204       154       (98 )     (37 )     88       69  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Income before income taxes
    3,261       2,444       172       144       2,790       1,900       299       400  
Income taxes(1)
    (393 )     (701 )     (21 )     (41 )     (336 )     (545 )     (36 )     (115 )
Minority interest
    (117 )     (58 )                 (117 )     (58 )            
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Income before cumulative effect of change in accounting principle
    2,751       1,685       151       103       2,337       1,297       263       285  
Cumulative effect of change in accounting principle, net of income taxes
          36                         39             (3 )
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Net income
    2,751       1,721       151       103       2,337       1,336       263       282  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Basic earnings per share
                                                               
Income before cumulative effect of change in accounting principle
    3.09       1.89                                                  
Cumulative effect of change in accounting principle, net of income taxes
          0.04                                                  
 
   
 
     
 
                                                 
Net income
    3.09       1.93                                                  
 
   
 
     
 
                                                 
Diluted earnings per share
                                                               
Income before cumulative effect of change in accounting principle
    2.96       1.89                                                  
Cumulative effect of change in accounting principle, net of income taxes
          0.04                                                  
 
   
 
     
 
                                                 
Net income
    2.96       1.93                                                  
 
   
 
     
 
                                                 


(1)   The income taxes of Eliminations, reclassifications and Corporate Treasury, Operations, and Financing and Real Estate are based on the consolidated effective corporate tax rate applied to income before income taxes

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SIEMENS AG
 
CONSOLIDATED STATEMENTS OF CASH FLOW (unaudited)
For the nine months ended June 30, 2004 and 2003
(in millions of )

                                                                 
                    Eliminations,                    
                    reclassifications and                   Financing and Real
    Siemens worldwide
  Corporate Treasury
  Operations
  Estate
    2004
  2003
  2004
  2003
  2004
  2003
  2004
  2003
Cash flows from operating activities
                                                               
Net income
    2,751       1,721       151       103       2,337       1,336       263       282  
Adjustments to reconcile net income to cash provided
                                                               
Minority interest
    117       58                   117       58              
Amortization, depreciation and impairments
    2,537       2,356                   2,247       2,048       290       308  
Deferred taxes
    (186 )     10       (10 )           (159 )     12       (17 )     (2 )
Gains on sales and disposals of businesses and property, plant and equipment, net, and gain from issuance of subsidiary and associated company stock
    (141 )     (188 )                 (114 )     (125 )     (27 )     (63 )
Losses (gains) on sales of investments, net
    (599 )     7                   (599 )     7              
Losses (gains) on sales and impairments of marketable securities, net
    (48 )     25       (11 )     9       (36 )     15       (1 )     1  
Loss (income) from equity investees, net of dividends received
    (216 )     59                   (224 )     103       8       (44 )
Change in current assets and liabilities
                                                               
(Increase) decrease in inventories, net
    (1,357 )     (874 )                 (1,389 )     (932 )     32       58  
(Increase) decrease in accounts receivable, net
    (153 )     1,303       (153 )     252       5       1,049       (5 )     2  
Increase (decrease) in outstanding balance of receivables sold
    81       (550 )     64       (259 )     17       (291 )            
(Increase) decrease in other current assets
    595       823       354       593       (26 )     270       267       (40 )
Increase (decrease) in accounts payable
    182       (873 )     (12 )     (9 )     200       (892 )     (6 )     28  
Increase (decrease) in accrued liabilities
    117       124                   79       124       38        
Increase (decrease) in other current liabilities
    (452 )     (870 )     (140 )     521       (352 )     (1,225 )     40       (166 )
Supplemental contributions to pension trusts
    (1,255 )     (442 )                 (1,255 )     (442 )            
Change in other assets and liabilities
    712       621       196       180       471       417       45       24  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Net cash provided by (used in) operating activities
    2,685       3,310       439       1,390       1,319       1,532       927       388  
Cash flows from investing activities
                                                               
Additions to intangible assets and property, plant and equipment
    (1,752 )     (1,888 )                 (1,461 )     (1,619 )     (291 )     (269 )
Acquisitions, net of cash acquired
    (314 )     (547 )                 (309 )     (547 )     (5 )      
Purchases of investments
    (305 )     (645 )                 (300 )     (639 )     (5 )     (6 )
Purchases of marketable securities
    (56 )     (203 )     (20 )     (92 )     (36 )     (109 )           (2 )
(Increase) decrease in receivables from financing activities
    (267 )     (144 )     28       (508 )                 (295 )     364  
Increase (decrease) in outstanding balance of receivables sold by SFS
                (64 )     259                   64       (259 )
Proceeds from sales of long-term investments, intangibles and property, plant and equipment
    2,258       499                   2,124       313       134       186  
Proceeds from sales and dispositions of businesses
    225       96                   206       96       19        
Proceeds from sales of marketable securities
    179       49       104       25       62       23       13       1  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Net cash provided by (used in) investing activities
    (32 )     (2,783 )     48       (316 )     286       (2,482 )     (366 )     15  
Cash flows from financing activities
                                                               
Proceeds from issuance of common stock
    3                         3                    
Proceeds from issuance of treasury shares
          4                         4              
Proceeds from issuance of debt
          2,702             2,702                          
Repayment of debt
    (544 )     (742 )     (430 )     (742 )     (114 )                  
Change in short-term debt
    184       (171 )     175       (544 )     (9 )     433       18       (60 )
Dividends paid
    (978 )     (888 )                 (978 )     (888 )            
Dividends paid to minority shareholders
    (88 )     (82 )                 (88 )     (82 )            
Intracompany financing
                1,005       (978 )     (386 )     1,316       (619 )     (338 )
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Net cash provided by (used in) financing activities
    (1,423 )     823       750       438       (1,572 )     783       (601 )     (398 )
Effect of exchange rates on cash and cash equivalents
    (95 )     (309 )     (74 )     (245 )     (20 )     (62 )     (1 )     (2 )
Net increase (decrease) in cash and cash equivalents
    1,135       1,041       1,163       1,267       13       (229 )     (41 )     3  
Cash and cash equivalents at beginning of period
    12,149       11,196       11,345       10,269       725       873       79       54  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Cash and cash equivalents at end of period
    13,284       12,237       12,508       11,536       738       644       38       57  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 

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SIEMENS AG

CONSOLIDATED BALANCE SHEETS (unaudited)
As of June 30, 2004 and September 30, 2003
(in millions of )

                                                                 
                    Eliminations,                    
                    reclassifications and                   Financing and Real
    Siemens worldwide
  Corporate Treasury
  Operations
  Estate
    6/30/04
  9/30/03
  6/30/04
  9/30/03
  6/30/04
  9/30/03
  6/30/04
  9/30/03
ASSETS
                                                               
Current assets
                                                               
Cash and cash equivalents
    13,284       12,149       12,508       11,345       738       725       38       79  
Marketable securities
    2,096       650       8       101       2,069       529       19       20  
Accounts receivable, net
    14,621       14,511       (7 )     (9 )     10,921       10,894       3,707       3,626  
Intracompany receivables
                (11,164 )     (10,777 )     11,138       10,742       26       35  
Inventories, net
    11,624       10,366       (4 )     (4 )     11,575       10,284       53       86  
Deferred income taxes
    1,176       1,063       93       77       998       909       85       77  
Other current assets
    4,328       4,750       714       736       2,612       3,143       1,002       871  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Total current assets
    47,129       43,489       2,148       1,469       40,051       37,226       4,930       4,794  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Long-term investments
    4,167       5,992       19       19       3,816       5,636       332       337  
Goodwill
    6,107       6,501                   6,023       6,421       84       80  
Other intangible assets, net
    2,187       2,358                   2,172       2,338       15       20  
Property, plant and equipment, net
    10,347       10,756       1       1       6,822       7,114       3,524       3,641  
Deferred income taxes
    4,292       4,359       1,113       1,127       3,115       3,165       64       67  
Other assets
    4,168       4,150       64       131       1,473       1,371       2,631       2,648  
Other intracompany receivables
                (1,237 )     (1,204 )     1,237       1,204              
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Total assets
    78,397       77,605       2,108       1,543       64,709       64,475       11,580       11,587  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
LIABILITIES AND SHAREHOLDERS’ EQUITY
                                                       
Current liabilities
                                                               
Short-term debt and current maturities of long-term debt
    1,667       1,745       981       977       574       646       112       122  
Accounts payable
    8,567       8,404       (8 )     4       8,397       8,216       178       184  
Intracompany liabilities
                (6,778 )     (7,426 )     1,303       1,771       5,475       5,655  
Accrued liabilities
    8,991       8,884       5       6       8,746       8,748       240       130  
Deferred income taxes
    908       870       (265 )     (271 )     891       877       282       264  
Other current liabilities
    11,707       12,125       498       284       10,902       11,578       307       263  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Total current liabilities
    31,840       32,028       (5,567 )     (6,426 )     30,813       31,836       6,594       6,618  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Long-term debt
    11,074       11,433       9,868       10,176       693       748       513       509  
Pension plans and similar commitments
    4,934       5,843                   4,902       5,813       32       30  
Deferred income taxes
    496       534       170       182       225       250       101       102  
Other accruals and provisions
    3,733       3,418       27       21       3,338       3,101       368       296  
Other intracompany liabilities
                (2,390 )     (2,410 )     353       378       2,037       2,032  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
 
    52,077       53,256       2,108       1,543       40,324       42,126       9,645       9,587  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Minority interests
    660       634                   660       634              
Shareholders’ equity
                                                               
Common stock, no par value
                                                               
Authorized: 1,113,265,813 and 1,129,742,969 shares, respectively
                                                               
Issued: 891,055,813 and 890,866,301 shares, respectively
    2,673       2,673                                                  
Additional paid-in capital
    5,090       5,073                                                  
Retained earnings
    24,793       23,020                                                  
Accumulated other comprehensive income (loss)
    (6,896 )     (7,051 )                                                
Treasury stock, at cost 156 and 1,184 shares, respectively
                                                           
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Total shareholders’ equity
    25,660       23,715                   23,725       21,715       1,935       2,000  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 
Total liabilities and shareholders’ equity
    78,397       77,605       2,108       1,543       64,709       64,475       11,580       11,587  
 
   
 
     
 
     
 
     
 
     
 
     
 
     
 
     
 
 

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Table of Contents

SIGNATURES

     Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

         
  SIEMENS AKTIENGESELLSCHAFT
 
 
Date: July 29, 2004  /s/ DR. KLAUS PATZAK    
     
  Name:   Dr. Klaus Patzak  
  Title:   Vice President and Corporate Controller  
 
     
  /s/ DR. GEORG KLEIN    
     
  Name:    Dr. Georg Klein  
  Title:   Head of Financial Disclosure