Interests of DB in the current transformation process

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Gabriel Preston
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1 Deutsche Bahn

2 Components DB Profile, The Company Assets Tangible Intangible Conflicts with other Stakeholders Relationship with different actor groups Interests of DB in the current transformation process

3 Deutsche Bahn DB Actor Profile

4 DB Profile, The Company Deutsche Bahn AG was founded in Today, it is one of the world s leading passenger and logistics companies and operates in 130 countries. 290,000 employees 34.4 billion Euros revenues In billion annually Train passengers 784 million annually Bus passengers. 33,723 km Length of line operated

plan indicates potential usage zonings and focal points for

5 DB Profile, The Company The railways, tramlines and the land refers to DB in the area of Nordbahnhof The framework plan indicates potential usage zonings and focal points for the individual areas of Stuttgart 21 depending on the new station

6 Deutsche Bahn Assets Tangible Intangible

7 Tangible assets: 1. Land Owned (Real Property): DB considered as a holder of the estate in land with considerable rights of ownership or, simply put, an owner of land. The total land owned calculated to 3,946 Billion Euro 2. Commercial, operating and other buildings: DB possess different Buildings serve several needs and requirements location in different locations world wild, Its total value calculated to.3,467 Billion Euro. 3. Technical equipments and machinery: 7. Rolling stock for passengers and freight transport: includes both powered and unpowered vehicles, for example locomotives, railroad cars, coaches and wagons

8 Tangible assets: 4. Permanent way structure: Permanent way structures are represented in the fixed structures that the DB constructed for the journey path operation. Ex. Platforms, Railways, crossing Bridges, etc. estimated value, 8, Track infrastructure signaling and control equipment: 6. Other equipment operating and office equipments: 8. Advance payments and assets under construction: sum that is paid in advance for goods or services. And for future investments

9 Intangible assets: 1. Goodwill: the value of the DB entity is over and above the value of its assets as a reason of the high value of its goodwill 2. Purchased intangible assets: Copy rights, Intellectual property, patents, copy rights, etc The result from the company's own internal research and development activities, the right to use a patented design be purchased from another owner 3. Direct Relation with Authorities &Investors: DB is strategically involved with the higher power authorities and investors as a reason of being a leading company in Germany and Europe 4. Legal Power: DB as the owner has the right toan owner of property has the right to consume, sell, rent, mortgage,transfer, exchange or destroy it, or to exclude others from doing these things Franchises, rights, etc. Trademarks Brand name Customer base Purchased software Software produced inhouse

10 Deutsche Bahn Interests of DB in the current transformation process

The Stuttgart-Ulm Rail Project The Stuttgart 21 project represents the most important development project in the metropolitan region of Stuttgart for the next 20 years.

11 The Stuttgart-Ulm Rail Project The Stuttgart 21 project represents the most important development project in the metropolitan region of Stuttgart for the next 20 years. it will eliminate the main bottleneck of the European West-East axis from Paris to Bratislava and Budapest. Bringing Europe`s cities closer together. Stuttgart will strengthen its central position in the long-distance travel network and become the new heart of Europe.

12 Deutsche Bahn AG, The Stuttgart-Ulm Rail Project DB main interest in the transformation of the area is the project of Stuttgart- Ulm rail project (Stuttgart 21) The Federal Land of Baden-Württemberg, Verband Region Stuttgart (the Greater Stuttgart Association), The city of Stuttgart, The Federal government and The European Union

13 Project History Originated in Is part of the 1,500km-long high-speed line Connects Paris, Strasbourg, Stuttgart, Ulm, Munich, Vienna and Bratislava. Approval for Stuttgart 21 was given in July 2007 This was closely followed by objections in respect of the amount of local funds Comprises 60km of new tracks and a six-mile twin-tube tunnel connecting the city The underground station generates 100 hectares of new public spaces will create jobs and living spaces for people

15 Land Boundaries

16 Rosenstein Included Areas Rosenstein Quarter Europe Quarter

21 Benefits Strengthen the future of the city and Innovation and investment to set new trends. Stuttgart will get more powerful underground railway junction by the new railway station. The current railway lines will replace by new parkland. A modern high-speed line will establish to connect Stuttgart with Ulm. Faster regional connections can be shorter journey times and People travel more convenient. This project includes a wide range measures to improve the infrastructure as well as to enhance the quality of life in Stuttgart.

22 21 reasons for Stuttgart 21 (Interest) 1. The new main station: the future railway station is in the interaction of historical and forms a new ensemble of modern and eco-friendly architecture

23 21 reasons for Stuttgart More trains in the transit station: the old station s capacity reaches its limit. The new station can more efficient through station railway traffic. That means more environmentally friendly mobility in the country.

21 reasons for Stuttgart 21 3. Easy transfers : The new platform Hall allows easy and rapid change.

24 21 reasons for Stuttgart Easy transfers : The new platform Hall allows easy and rapid change. The Platforms are connected by numerous short and accessible ways, about 50 escalators and elevators connect to the platform area, the Pedestrian level with the platforms and the S -Bahn

25 21 reasons for Stuttgart The Bonatz building remains the station: The Stuttgart Main Station is an important landmark in the city. Therefore remains the Bonatz construction received as a reception building. It s contains many facilities

26 21 reasons for Stuttgart More regional traffic: Stuttgart - Ulm project strengthens the regional traffic, transfers, improves connections and expands rail network

27 21 reasons for Stuttgart Faster through the region: numerous compounds experienced improvements to be much faster to shorten the time

28 21 reasons for Stuttgart More capacity through the ring traffic: with the new underground ring Stuttgart gets totally a new junction. That means more trains per day, shorter lines and greater reliability for the regional-and distance

29 21 reasons for Stuttgart The new airport railway station (Flughafen/Messe): this station will effectively connects rails, car and air traffic.

30 21 reasons for Stuttgart Across Europe with high speed: this track is the key to the complete circuit European high-speed line connects Paris, Strasbourg, Stuttgart, Ulm, Munich, Vienna and Bratislava

31 21 reasons for Stuttgart The city is growing together: after completion of the new node, the old railway track systems will remove completely approximately 100 hectares of land newly usable - century s chance for urban development

32 21 reasons for Stuttgart The European Quarter: The city has all the surfaces except for one part of the European Quarter purchased early by DB. This part can be independent of investors ' interests and attractive to families, develop affordable housing and a socially balanced neighborhoods.

21 reasons for Stuttgart 21 12. The Rosenstein Quarter: the park landscape was much in the past century.

33 21 reasons for Stuttgart The Rosenstein Quarter: the park landscape was much in the past century. Today through the construction site inflicted harm, track systems. So now is the chance to compensate this loss for the first time.

34 21 reasons for Stuttgart The city will be more beautiful: In Stuttgart 21, it s not just about new neighborhoods, there are also existing neighborhoods upgraded of tracks included quarterly park location, remote locations will be revived

35 21 reasons for Stuttgart 21 Wagenhallen Area Today Future

36 21 reasons for Stuttgart More income, more opportunities: better infrastructure and a more attractive city center increase the site quality of Baden- Württemberg and Stuttgart. More jobs mean higher income residents and for agricultural and urban

37 21 reasons for Stuttgart Investment in the region: The Stuttgart - Ulm is one of the most important infrastructure projects in Baden Wuerttemberg that means investing in mobility and investment in the business location.

38 21 reasons for Stuttgart Considerate construction site concept: size = large project activity? Not when it is built underground work due to mining and a sophisticated logistics concept the stress can be kept low for Stuttgart

39 21 reasons for Stuttgart Safer construction process: Because of the difficult topography Stuttgart became the city of Tunnels. It was early recognized that efficient transport links only underground can arise. These construction experiences from many Decades are the foundation for safe and efficient construction progress at Stuttgart 21

40 21 reasons for Stuttgart The mineral springs are protected well: The mineral sources are 60 meters deep under the train station; the new Platform area will be built only about 11 meters deep

transportation instead of private transportation is one of the most important

41 21 reasons for Stuttgart The largest conservation project for the environment: using public transportation instead of private transportation is one of the most important aspect of environmental protection. Stuttgart 21 brings more green in the city and improve the urban climate by thousands of new trees

42 21 reasons for Stuttgart The future of the city: The Stuttgart - Ulm will help shape the reputation of Stuttgart as the television tower or the new state gallery. This project is the ability and the courage of the city to demonstrate anew.

43 21 reasons for Stuttgart Stuttgart 21 is democratic developed and agreed: Stuttgart 21 was adopted democratically and legally confirmed, the elected bodies have spoken out with great majority of the project.

44 Summary for Stuttgart 21 The Stuttgart Ulm rail project ensures that the entire Federal Land is integrated in the European rail network of the future and conversely also helps to ensure that Europe is well equipped to face global competition. That, in turn, plays a central strategic role for the sustainable development of Baden-Württemberg as a place to live and work for present and future generations The present rail connection has been in operation since 1850 and can no longer cope with the demands of modern rail transport. Stuttgart will have three new barrierfree stations: Flughafen (airport), Stuttgart Main Station and Mittnachtstrasse S-Bahn station, making access to rail services simpler and more comfortable and journeys right across Europe faster and more comfortable. The Stuttgart Ulm rail project will also substantially reduce journey times in both long-distance and regional services. Stuttgart Flughafen 27 min 8 min Stuttgart Tübingen 61 min 41 min Flughafen/Messe Nürtingen 67 min 8 min Flughafen/Messe Bietigheim56 min 27 min Backnang Nürtingen84 min 46 min Stuttgart Ulm54 min 28min

45 Summary for Stuttgart 21 The new Stuttgart rail node and the new-build line to Ulm will make journeys right across Europe faster and more comfortable. The Federal Land of Baden- Württemberg will consequently become the central hub of the European high-speed network, moving it into the focus of European rail transport. Trains will no longer end at Stuttgart Main Station, enabling more direct connections so that in future, passengers will have to change trains on only a few lines. Stuttgart`s "green lung" will expand and will make an important contribution, with over 4200 new trees in its parks and streets When trains take people to their destinations faster and more comfortably in future, this will shift traffic from road to rail, providing relief for the environment and the roads. The new station will be the central point for the entire Filder region, which has a population of around 150,000 and 100,000 jobs. A whole new district will be created on a site where railway tracks currently split the city in two, Stuttgart will have at its disposal around 100 hectares of the former track area right in the centre of town with attractive apartments and service facilities for over people.

46 DB Interests As one of the leading mobility and logistics companies which is active in 150 countries throughout the world, Deutsche Bahn AG has a keen interest in efficient rail infrastructure, as the core business of the DB Group is the railway in Germany. The results support the claim of railway operator Deutsche Bahn that the project could result in at least 30 percent increased capacity. Scientific surveys show that Stuttgart 21 will enable more than 18 million car journeys annually - some 350 million kilometres by car - to be transferred from the roads to the railway. An increase in mobility also means increased demands on the railway network. Implementation of the Stuttgart Ulm section will mean that by 2019/2020 it will be possible to run trains from Paris to Munich at high speeds along almost the entire line.

47 Guiding Principles (actions) Mirroring the Interests The investments for restructuring the Stuttgart rail node amount to a total of EUR 4,088 billion. Most of that sum will be provided by the Federal government, Deutsche Bahn (EUR million) and the Federal Land of Baden-Württemberg. Roughly half of the 117-kilometre new railway line will run through a total of 20 tunnels. Deutsche Bahn conducts comprehensive safety measures to protect and maintain buildings before work begins. These include systematic analysis of the foundation soil in the form of exploratory drilling, groundwater measuring points and monitoring any shifts in the soil. To handle infrastructure upgrading, Deutsche Bahn AG has specialists with specific rail expertise, professionals for all project phases, specialist engineering works and the logistics activities required to perform construction work while operations continue. The new infrastructure will have far higher capacity and therefore steadily raise efficiency throughout the entire regional transport sector.

48 Deutsche Bahn Relationship and conflicts with different actor groups

49 Relationship with different actor group: 1. Governmental entities: Federal Government Level State level and City level of Baden- Wurttemberg and Stuttgart - Strong relation with the German federal Government as a reason of being of the world leading the transit infrastructure company. - European Level: Controls main access point to the German federation and connect it with whole Europe. - Federal Level: Connecting the German state all together - transfer 1,950 Million passengers last year and Freight carried (million t) more than 6000 railway stations in Germany - high level of employment: German Railways (DB) and the Federal Employment Agency (Federal Employment Agency - BA) Utilization of a campaign together for all potentials on the labor market. DB wants to hire a total of approximately to employees per year - Strong relation 4.1 billion infrastructure projects in the southern state of Baden-Württemberg bringing Europe`s cities closer together - The Federal Government, the state of Baden- Württemberg, the state capital of Stuttgart and the Verband Region Stuttgart have reached an agreement with the Deutsche Bahn AG over the joint funding of the venture

50 Relationship with different actor group: 1. Governmental entities: Economy: - Strong relation wit the economical sector of the region as it facilitate the development of new investments opportunities as a reason of easy accessibility to the states and regions of the federal - Direct relation with tax authority. Net profits on income of the DB before taxes is 900 Million Euro - As a reason it contribute with a very high value to the tax authority. -Large number of employees is 276,310

51 Relationship with different actor group: 1. Governmental entities: Environment: Climate will be influenced due to the increasing of the trips Old trees that will be removed to free more areas for the developments Underground water, the proposed area is rich of underground water Co2 emission: the DB Group s global specific CO2 emissions dropped by a total of 3.6 percent between 2006 and By 2020, DB aims to cut Group-wide specific CO2 emissions, i.e. emissions based on transport performance, by 20 percent. Air Pollution: - DB continued to cut specific air pollutants in Particulate emissions in rail transport have been cut by 89 % and nitrogen oxide emissions by 70 percent since new buses and trucks are purchased in compliance with the Euro V hazardous materials standards 130 new switching locomotives to be delivered Renewable energy: R.E accounted18.5 percent of the electricity In percent more than in 2008 and the highest percentage among modes of transportation. Db aims to increase this share by 30 percent by 2020

52 Relationship with different actor group: 1. Governmental entities: Environment (cont.) : Noise Reduction: It built 53 kilometers of noise barriers and installed soundproof windows in 3,000 apartments in all. A total of 795 kilometers have been remediated since 1999, increasing the proportion of remediated routes from 21 to 23 percent. Db ECO program launched: The DB Eco Program comprises twelve environmental projects aimed at reducing CO2 emissions. The projects will be rolled out gradually and will supplement DB s existing climate protection activities. Destination Nature: Supporting sustainable tourism through Destination Nature, DB s initiative with the BUND, NABU and VCD environmental associations, features 18 nature destinations in Germany and Switzerland committed to preserving natural heritage and biodiversity through actively promoting sustainable tourism.

) : Underground water Stuttgart 21 : The planning permission

specifications for monitoring water management to protect the

If the project is implemented according to schedule, all the

and Land of Baden-Wuerttemberg rule out the Possibility of any

53 Relationship with different actor group: 1. Governmental entities: Environment (cont.) : Underground water Stuttgart 21 : The planning permission decisions relating to Stuttgart 21 contain detailed specifications for monitoring water management to protect the springs. If the project is implemented according to schedule, all the participating experts from the city, Greater Stuttgart Region and Land of Baden-Wuerttemberg rule out the Possibility of any long-term deterioration of the groundwater, including the medicinal and mineral water springs, as a result of the Stuttgart 21

54 Relationship with different actor group: 2. Investors: - The rail company will invest some 41 billion ($51.5 billion) in its operations, 75 percent of which will be spent on the rail network and modernizing the stations, with the remainder for acquiring new trains, the company's technical director Volker Kefer said. - Deutsche Bahn plans to purchase up to 300 new high-speed "ICx" trains to succeed the current ICE model, he said Germany s state-owned rail operator Deutsche Bahn plans to make a massive investment campaign by 2014, a company official told the Berliner Zeitung. The rail company will invest some EU 41 Billion in its operations, 75 percent of which will be spent on the rail network and modernizing the stations, with the remainder for acquiring new trains, the company s technical director Volker Kefer said. - Deutsche Bahn plans to purchase up to 300 new high-speed ICx trains. For regional transport, the company envisions buying up to 400 electric trains, as well as 600 buses for local travel. With these investments, travel times will be shortened, trains will be more reliable and punctual, and also more comfortable THE LOCAL German news in English journal

55 Relationship with different actor group: 2. Investors: - With an investment volume of some 5.1 billion Euros for the railway infrastructure, it will eliminate the main bottleneck of the European West-East axis from Paris to Bratislava and Budapest, bringing Europe`s cities closer together - Germany s state-owned rail operator Deutsche Bahn plans to make a massive investment campaign by 2014, a company official told the Berliner Zeitung. - The rail company will invest some EU 41 Billion in its operations, 75 percent of which will be spent on the rail network and modernizing the stations, with the remainder for acquiring new trains, the company s technical director Volker Kefer said. - Deutsche Bahn plans to purchase up to 300 new high-speed ICx trains. For regional transport, the company envisions buying up to 400 electric trains, as well as 600 buses for local travel. With these investments, travel times will be shortened, trains will be more reliable and punctual, and also more comfortable.

56 Relationship with different actor group: 3. Local community: 4. Neighboring Residence: People Residents of the area some of them will leave the place they lived in for long time Residents of Stuttgart don t need it to be a global city like Frankfurt and Berlin Taxpayers, want to spend the money into other needs Tenants and artists and need a place to innovate work

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