Refinancing

REFINANCING STRUCTURE OF THE VOLKSWAGEN GROUP

as of December 31, 2025

The Volkswagen Group successfully refinanced on the international capital markets in a challenging market environment in 2025 by issuing bonds in various currencies and with varying terms.

Volkswagen Group of America Finance, LLC placed bonds with a total volume of USD 5.5 billion on the US capital market in March and September 2025. In November, a note was issued in the Canadian market in three tranches with a total volume of CAD 1 billion.

After Volkswagen International Finance N.V. had already been active locally on the Chinese capital market in previous years, it again issued what are known as Panda bonds worth CNY 2.5 billion in May and November 2025.

In May 2025, Volkswagen International Finance N.V. issued a green hybrid note in two tranches with a total volume of €1.9 billion based on a Green Finance Framework. The net proceeds were used to partially refinance the hybrid note issued in 2020 by Volkswagen International Finance N.V. with a principal amount of €1.5 billion, which was duly called with effect from June 17, 2025. Any net proceeds in excess of this amount will be used to refinance the hybrid note issued in 2014 by Volkswagen International Finance N.V. with a principal amount of €1.75 billion, which was duly called on February 4, 2026 with effect from March 24, 2026. This issuance temporarily increased the outstanding hybrid portfolio to €15.55 billion, which will decrease to €12.3 billion with the call in late March 2026.

In addition, Volkswagen International Finance N.V. issued senior, unsecured green bonds with a total volume of €0.9 billion in May and August 2025 based on the Green Finance Framework.

In January 2025, TRATON Finance Luxembourg S.A., an indirect subsidiary of TRATON SE, issued public bonds with a volume of €1.2 billion, followed by a further public bond of €0.75 billion in August. In addition, the equivalent total of €1.82 billion was raised in 2025 through private placements and bonds denominated in Swiss francs and Swedish krona.

Along with several private placements, public euro benchmark bonds structured as green bonds were also issued for the Financial Services Division. In June, October and December 2025, Volkswagen Bank GmbH placed three unsecured but senior preferred bonds, each in several tranches, totalling €6.0 billion. In fiscal year 2025, Volkswagen Financial Services N.V. issued bonds in Hong Kong dollars, euros, pounds sterling and Swedish krona equivalent to around €700 million.

In addition to this, securities were issued in various currencies and regions via various issuing companies in the respective divisions of the Volkswagen Group.

Another element of our refinancing activities were asset-backed securities (ABS) transactions, along with the issuance of senior, unsecured bonds. In Europe, public ABS transactions were placed with a total volume of €3.5 billion. Public ABS transactions were also issued in the United Kingdom, Australia, Japan and China.

Furthermore, the Volkswagen Group was actively involved in the commercial paper market with several issuing companies.

The proportion of fixed-rate refinancing instruments in the reporting year was twice as high as the proportion of floating-rate instruments.

In our refinancing arrangements, we generally aim to exclude interest rate and currency risks as far as possible with the simultaneous use of derivatives.

The following table shows which financial instruments were utilized on the money and capital markets as of December 31, 2025 and illustrates the financial flexibility of the Volkswagen Group:

Volkswagen AG’s syndicated credit line of €12.5 billion agreed in March 2025 remained unused at the end of 2025. Volkswagen AG arranged a green loan in the amount of €1.0 billion in February 2025.

Of the confirmed syndicated credit lines totalling €15.6 billion at other Group companies, €0.0 billion has been drawn down. In addition, the Volkswagen Group had bilateral confirmed credit lines with national and international banks in various countries for a total of €2.5 billion, of which €0.1 billion was drawn down.