First half and second quarter 2011

First half and second quarter 2011 Fierce competition in a very fragile world 7 August 2011 The London Marriott West India Quay Hotel London 17 August 2011 The London Marriott West India Quay Hotel London

Disclaimer and cautionary statement This presentation contains forward-looking statements concerning Vestas' financial condition, results of operations and business. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. Forward-looking statements are statements of future expectations that are based on management s current expectations and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in these statements. Forward-looking statements include, among other things, statements concerning Vestas' potential exposure to market risks and statements expressing management s expectations, beliefs, estimates, forecasts, projections and assumptions. There are a number of factors that could affect Vestas' future operations and could cause Vestas' results to differ materially from those expressed in the forward-looking statements included in this presentation, including (without limitation): (a) changes in demand for Vestas' products; (b) currency and interest rate fluctuations; (c) loss of market share and industry competition; (d) environmental and physical risks; (e) legislative, fiscal and regulatory developments, including changes in tax or accounting policies; (f) economic and financial market conditions in various countries and regions; (g) political risks, including the risks of expropriation and renegotiation of the terms of contracts with governmental entities, and delays or advancements in the approval of projects; (h) ability to enforce patents; (i) product development risks; (j) cost of commodities; (k) customer credit risks; and (l) supply of components. All forward-looking statements contained in this presentation are expressly qualified by the cautionary statements contained or referenced to in this statement. Undue reliance should not be placed on forward-looking statements. Additional factors that may affect future results are contained in Vestas' annual report for the year ended 31 December 2010 (available at www.vestas.com/investor) and these factors also should be considered. Each forward-looking statement speaks only as of the date of this presentation. Vestas does not undertake any obligation to publicly update or revise any forward-looking statement as a result of new information or future events others than required by Danish law. In light of these risks, results could differ materially from those stated, implied or inferred from the forward-looking statements contained in this presentation. 2 First half and second quarter 2011

Key points Activity level increased as planned. Better margins due to activity level and mix. Free cash flow improved. Fierce competition in a very fragile world. Guidance maintained. 3 First half and second quarter 2011

Agenda 1. First half and second quarter 2011. 2. Order intake. 3. Guidance 2011. 4. Questions & Answers. 4 First half and second quarter 2011

First half and second quarter 2011

Activity at Vestas Shipments MW Q2 2011 vs. Q2 2010: Shipments up 141%. 1,456 1,626 1,417 H1 2011 vs. H1 2010: Shipments up 110%. 387 588 634 Q1 Q2 Q3 Q4 Q1 Q2 2010 2011 6 First half and second quarter 2011

Deliveries to customers Deliveries MW 1,688 2,557 Q2 2011 vs. Q2 2010: Deliveries up 34%. H1 2011 vs. H1 2010: Deliveries up 25%. 758 839 864 1,127 Q1 Q2 Q3 Q4 Q1 Q2 2010 2011 7 First half and second quarter 2011

Profit and loss account First half breaks even EURm Q2 2011 Q2 2010 Change H1 2011 H1 2010 Change Revenue 1,401 1,032 36% 2,461 1,881 31% Cost of sales (1,153) (1,020) 13% (2,113) (1,768) 20% Gross profit 248 12 1,967% 348 113 208% Fixed costs *) (171) (192) (11%) (340) (332) 2% Operating profit/(loss) 77 (180) - 8 (219) - Profit/(loss) for the period 55 (143) - (30) (182) Gross margin 17.7% 1.2% 14.1% 6.0% EBITDA margin 10.7% (9.8%) 6.1% (4.7%) EBIT margin 5.5% (17.4%) 0.3% (11.6%) *) Sum of research and development costs, selling and distribution expenses and administrative expenses. 8 First half and second quarter 2011

Fixed costs Fixed costs as per cent of revenue per cent 18.6% 16.5% 15.9% Effect of Q3 2010 initiatives. Downward trend continues. 12.2% Relatively high fixed costs in Q2 2010. 9.3% 6.3% Q1 2010 Q2 2010 Q3 2010 Q4 2010 Q1 2011 Q2 2011 9 First half and second quarter 2011

Net reduction in number of employees Employees Numbers at year-end / Q-end 20,829 20,730 23,252 22,216 21,700 15,305 2007 2008 2009 2010 Q1 2011 Q2 2011 10 First half and second quarter 2011

Net working capital meur H1 2011 Q1 2011 Change H1 2010 Inventories 2,545 2,619 (3%) 4,135 Trade receivables 629 568 11% 470 Construction contracts in progress 113 49 131% 136 Other receivables 379 353 7% 238 Prepayment from customers (1,452) (1,457) (0.3%) (3,137) Trade payables (1,090) (936) 16% (873) Other current liabilities (252) (286) (12%) (314) Net working capital 872 910 (4%) 655 As per cent of revenue 12% 13% 1 %-point 9% Net working capital to be further improved by reducing inventories and by higher order intake. 11 First half and second quarter 2011

Balance sheet Assets (meur) H1 2011 Q1 H1 2011 Change 2010 Change Intangible assets 1,145 1,095 5% 900 27% Property, plant and equipment 1,755 1,701 3% 1,705 3% Other non-current assets 290 289 0.3% 414 (30%) Current assets 3,954 3,924 1% 5,313 (26%) Total assets 7,144 7,009 2% 8,332 (14%) Equity and liabilities (meur) H1 2011 Q1 H1 2011 Change 2010 Change Equity 2,707 2,677 1% 2,372 14% Non-current liabilities 1,396 1,332 5% 1,228 14% Current liabilities 3,041 3,000 1% 4,732 (36%) Total equity and liabilities 7,144 7,009 2% 8,332 (14%) 12 First half and second quarter 2011

Cash flow statement Main lines meur Q2 2011 Q2 2010 H1 2011 H1 2010 Profit for the period 55 (143) (30) (182) Adjustment for non-cash transactions 69 (128) 146 (122) Corporation tax paid (25) 33 (32) (56) Interest received and paid (net) (11) (9) (25) (9) Cash flow from operating activities before change in working capital 88 (247) (59) (369) Change in working capital 38 (62) (200) (338) Adjustments for non-cash transactions are constituted by depreciation, exchange rate, interest, warranty provision and tax. Cash flow from operating activities 126 (309) (141) (707) Cash flow from investing activities (189) (202) (353) (351) Free cash flow (63) (511) (494) (1,058) Cash flow from financing activities 63 248 346 768 13 First half and second quarter 2011

Warranty provisions and quality Warranty provision per cent of revenue Lost Production Factor per cent 6.6% 5.8% 7 6 4.5% 5 4 2.8% 2.3% 3 2 < 2.5% 1 2007 2008 2009 2010 H1-2011 0 14 First half and second quarter 2011

Sustainability Safety first Industrial injuries per one million working hours As green as it gets 25.3 20.8 15.6 8.1 5.0 3.2 2006 2007 2008 2009 2010 2011 - H1 15 First half and second quarter 2011

Order intake

The world is very fragile. 17 First half and second quarter 2011

Expected 2011 order intake Order intake MW Order intake 2011 MW split on geography 8,673 7,000-8,000 50% 6,019 25% 25% 3,072 2008 2009 2010 2011E Europe Americas Asia Pacific 18 First half and second quarter 2011

Order intake Q1 and Q2 ~40 per cent of expected full-year order intake Order intake Q1 and Q2 MW Order intake Q1 and Q2 MW split on geography 2,265 46% 37% 630 17% China: Grid and liquidity constraints. Q1 Q2 Europe Americas Asia Pacific 19 First half and second quarter 2011

Order intake in Q3 and Q4 Order intake 2011 MW Mid-range 4,605 Order intake in Q3 and Q4 to be intensely backed by new products (V100 and V112). 3,970 630 2,265 635 Q1 Q2 Q3 + Q4 20 First half and second quarter 2011

Valuable order intake to be created by competitive Cost of Energy offerings through our Products, Services, Global Presence and Quality. 21 First half and second quarter 2011

Our product platform It takes a variety of turbines to meet customers needs kw Platform 2 MW Platform 3 MW Platform 7 MW Platform High wind. Medium wind. Low wind. V52 V60 V80 V90 V100 V90 V100 V112 V164 Onshore. Offshore. 22 First half and second quarter 2011

Recent product launches More than 25 per cent of H1 2011 order intake constituted by V100 and V112. Port of Sheerness, Kent (UK): Option secured, 70 hectares. Blade test facilities in operation on the Isle of Wight (UK). 23 First half and second quarter 2011

The V112-3.0 MW now in production Generators: Travemünde, Germany Nacelles: Ringkøbing, Denmark Blades: Lauchhammer, Germany Brighton, Colorado, USA 24 First half and second quarter 2011

Service and performance still more important to order intake Average length of service contracts on announced orders: 6.25 years (2008: 4 years) Service revenue meur per year 623 700 396 504 97 per cent of all MW include service contracts. 298 214 2006 2007 2008 2009 2010 2011E 25 First half and second quarter 2011

In the region for the region South American set-up, Brazil Sales office established in 2008. Assembly facility in 2011. Start of operations in Q4. Annual capacity of up to 800 MW. Operations cluster responsible for: Service Centre Training Centre Supply Chain and Spare Parts Centre New facility is part of existing investment program. 26 First half and second quarter 2011

Key account customers Utilities with the power to invest is key to the 2011-order intake 1,500 MW firm + 600 optional 400 MW firm + 1,000 optional Share of Wallet: >50% Europe >30% USA 26.04.2010 09.09.2010 30.06.2011 27 First half and second quarter 2011

Firm and unconditional orders Order backlog MW split on geography ORDER BACKLOG: 55% 8.3 GW EUR 8.0bn 31% Order backlog constituted by firm and unconditional orders only. 14% Europe Americas Asia Pacific 28 First half and second quarter 2011

Guidance 2011

Please remember! Although nearly all orders for H2 are already firm and unconditional, the back-end loaded 2011 means that recognition of revenue and EBIT relies on smooth project execution in H2. 30 First half and second quarter 2011

Guidance 2011: Maintained, despite a very fragile world Order intake, firm and unconditional (MW) 7,000-8,000 Production and shipments (MW) 6,000 Revenue (meur) 7,000 - of which service revenue (meur) 700 EBIT margin (per cent) 7 EBIT margin service (per cent) 15 Financials, net (meur) (60) Tax rate (per cent) 28 Investments (meur) 850 Free cash flow (meur) > 0 Warranty provisions (per cent) < 3 Industrial injuries (per one million working hours) 5 Customer loyalty (index) 72 Share of renewable energy (per cent) 40 Share of renewable electricity (per cent) 95 Quality level (Sigma) 5 Revenue in Q4 2011 on a par with revenue in Q4 2010. 31 First half and second quarter 2011

Cash generation Cash flow from operations of EUR 763m in H2 2010 Cash flow from operations EURm 1,000 800 600 400 200 0 (200) (400) (600) (800) (1,000) Investments EURm 2007 2008 2009 2010 2011 Free cash flow The back-end loaded 2011 means heavy cash generation in Q4 2011. 32 First half and second quarter 2011

Revolving credit facility of EUR 1.3bn as of 1 July 2011 Nine participating banks in the new 5 (+1 +1) year facility: Commerzbank AG, DnB NOR Bank ASA, Nordea, HSBC, Rabobank, Royal Bank of Scotland, SEB, Unicredit and Société Générale. Considerable bilateral facilities on top of new revolving facility. Expected positive free cash flow in H2 2011 gives comfortable headroom entering 2012. 33 First half and second quarter 2011

Full year 2010 presentation, 9 February 2011 Uncertainty for 2011 still prevails. 34 First half and second quarter 2011

Financial Calendar 3 rd Quarter 2011 4 th Quarter 2011 9 November 2011 8 February 2012 Aarhus Denmark London United Kingdom 35 First half and second quarter 2011

Key points Activity level increased as planned. Better margins due to activity level and mix. Free cash flow improved. Fierce competition in a very fragile world. Guidance maintained. 36 First half and second quarter 2011

Q&A

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