Report of the Supervisory Board

Wulf von Schimmelmann
Chairman

Dear shareholders,

In the 2011 financial year, despite a turbulent economic and political environment, Deutsche Post DHL took positive steps towards its three targets: to be the provider, investment and employer of choice.

Advising and overseeing the Board of Management

In 2011, the Supervisory Board scrutinised Group and divisional strategy and performance at four Supervisory Board meetings and at a closed meeting. At the meetings, the Board of Management provided us with detailed information on the situation and direction of the company and the Group, on strategic initiatives and all key issues related to planning and implementation and on opportunities and risks for business performance. We regularly discussed the global economic situation, the effects of the amended value added tax legislation and regulatory issues as well as the development of acquisitions and products within the divisional growth strategies. Amongst the matters discussed was the acquisition of Tag EquityCo Limited in July 2011. All important decisions were discussed in detail with the Board of Management. It informed us in a timely and comprehensive manner regarding business performance, key business transactions and projects in the divisions, compliance organisation and compliance management, as well as the company’s risk exposure and risk management. The Board of Management also provided the chairman of the Supervisory Board with continuous updates between Supervisory Board meetings. Measures requiring the consent of the Supervisory Board were discussed in even greater depth. Such measures were considered in advance by the relevant committees and the results of their deliberations were presented by the respective committee chairs to the plenary meetings.