Under German law, German company dividends are subject to a 26.375% German withholding tax. Under the terms of the Germany-U.S. Income Tax Treaty (the “Treaty) however, U.S. shareholders may be refunded up to 11.375% of the withholding tax from the German government. Qualified U.S. pension funds, which are eligible under the Treaty, may be refunded the entire 26.375% withholding tax. Under U.S. law, U.S. shareholders may be able to claim a foreign tax credit or itemized deduction on their U.S. Federal income tax return for the non-refundable 15% remainder. In the case of a U.S. resident taxpayer, 100% of the dividends from the company are considered from foreign source. Additional U.S. Federal tax treatment is addressed below. Summary of German Withholding Tax Paid and Refund and Foreign Tax Credit Available for U.S. Shareholders (Not applicable to Daimler stock held in a pension fund).

German Withholding Tax	26.375%
Less: Refundable Portion from German Tax Authorities	11.375%
Amount Eligible for U.S. Foreign Tax Credit	15.0%

German company dividends paid to qualified U.S. pension funds may now be exempt from German withholding tax under the revised Treaty. The applicable plan sponsor or trustee should seek professional tax advice to make the determination, if the U.S. pension fund would qualify for the tax exemption under the Treaty and request the withholding tax refund, if applicable, and as a result, U.S. shareholders with Daimler stock held in a qualified U.S. pension fund should automatically receive a credit in their account for the refund of the 26.375% German withholding tax.