Expectation of negative impact on sales and profits in 2008 due to cancellation of an order

LSW Maschinenfabrik GmbH, Bremen (“LSW”), a 100% subsidiary of KUKA Aktiengesellschaft, concluded a contract for the delivery of two transmission manufacturing lines with GETRAG Transmission Manufacturing LLC, Indiana, USA (“GETRAG USA”).

19 November 2008

On November 17, 2008, GETRAG USA initiated creditor protection proceedings in accordance with Chapter 11 of the US Bankruptcy Code.

As yet, LSW has not received any payment from GETRAG USA for the project, valued at approximately EUR 23 million. Nevertheless, LSW reserves the right to assert its legal position vis-à-vis all parties involved.

Depending on the progress of the insolvency proceedings and further discussions with the GETRAG group, risks exist for the KUKA Group’s key figures in 2008. Sales and operating profits (EBIT) could both be burdened with a maximum of approximately EUR - 23 million, which would have a negative impact on the targeted operating profit margin for 2008.

Augsburg, November 19, 2008

The Executive Board

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