Annual Report 2016
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CORPORATE GOVERNANCE STATEMENT(SECTION 289a OF THE HGB)

The Corporate Governance Statement pursuant to section 289 a of the HGB [German Commercial Code] dated 30 March 2016 is accessible to the public at www.ksb.com > Investor Relations > Corporate Governance / Corporate Governance Statement. The updated Statement will be made accessible to the public in the same way from 30 March 2017.

In addition to the Corporate Governance Report (including the Statement of Compliance in accordance with section 161 of the German Public Companies Act), the Corporate Governance Statement includes relevant information on corporate governance practices applied at KSB AG that go beyond statutory requirements. Also described are the working methods of the Board of Management and Supervisory Board, and the composition and working methods of the committees of the Supervisory Board.

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