The Schaeffler Group has concluded the takeover of Continental AG, Hanover/Germany, and paid 75 euros per share to the depositary banks of those shareholders who tendered their shares to Schaeffler. The depositary banks will now credit these payments to the shareholders’ accounts. This means that the Schaeffler Group holds 49.90 percent of the voting stock of Continental AG and is thus the company’s largest shareholder.

The EU Commission has granted its approval of the takeover of Continental AG, Hanover/Germany, by the Schaeffler Group. The Schaeffler Group will now conclude the takeover without delay. Schaeffler will pay 75.00 euros per share to the depositary banks of those shareholders who have tendered their shares to Schaeffler, on or around January 8, 2009. The depositary banks will then credit these payments to the shareholders’ accounts.

Schaeffler Group Industrial and its strong brands, INA and FAG, offers a high-performance product portfolio of unsurpassed quality. Within the “Heavy Industries” sector management, INA and FAG have combined their comprehensive product ranges for metallurgical plants and rolling mills in the “Steel and Non- Ferrous Metals” sector.

In the merger clearance proceedings concerning the takeover of Continental AG, Hanover, the Herzogenaurach-based Schaeffler Group has received the go-ahead from the EU Commission for formally filing the merger notification. Schaeffler Group will submit the documents (Form CO) required for initiating a merger clearance examination today.

To streamline its brand profile in the Automotive and Industrial divisions, the Schaeffler Group will manage all of its friction facing activities exclusively under the LuK brand as of January 1, 2009. This change particularly affects the friction facings previously produced and sold under the Raybestos brand name by Raybestos Industrie-Produkte GmbH in Morbach, Germany, and Raybestos Friction Products (Suzhou) Co., Ltd. in Suzhou, China.

The Schaeffler Group, Herzogenaurach/Germany, has sold its U.S. subsidiary Lacey Manufacturing Inc., Bridgeport/ Connecticut, effective October 31, 2008 to Precision Engineered Products Inc., headquartered in Attleboro/Massachusetts.

For the Schaeffler Group with its INA, LuK and FAG brands, a trusting partnership with high performance suppliers is the basis for success and continuous growth. “We are dependent on a partnership with suppliers that functions well”, said Partner Maria-Elisabeth Schaeffler at the special Supplier Conference that takes place every two years.