Daimler pays settlement to former AEG shareholders

• Final verdict by the Frankfurt Higher Regional Court lays down new share exchange ratio

Stuttgart,Germany, December 4, 2009

The compensation for foregone AEG dividends foreseen in the domination and profit and loss transfer agreement will increase accordingly. Instead of compensation of 20 percent of the Daimler dividend per old AEG share, the higher regional court has determined that 34.5 percent of the Daimler dividend is appropriate.

From today’s perspective, the court’s verdict will result in a maximum obligation for Daimler to supply 4.3 million Daimler shares and a maximum amount of 150 million euros in cash for dividends and compensation payments. The actual amount will depend, however, upon how many claims are made by eligible former AEG shareholders. Daimler has recognized provisions in its balance sheet to satisfy the claims, but the provisions are now being reviewed once again for the year-end financial statements.

Daimler intends to use treasury shares to meet these obligations.

From the share buyback program carried out in 2008, Daimler currently holds 37.1 million own shares, which were originally acquired for the purpose of redemption without reducing the share capital and possibly also to serve the stock option plan.