# Dear Fellow Shareholders

_Source: `DeepSeekOCR_Ardian_pruned_1k/consumer-cyclical-auto-parts/NYSE_DAN_2021/NYSE_DAN_2021.mmd` · pages 4-10_

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Dear Fellow Shareholders,

Dana's commitment to innovation and sustainability has continued to power a remarkable transformation for our company, strategically positioning us as a leader in an industry that is rapidly shifting toward electrification.

While 2021 was filled with unpredictable, and oftentimes challenging global dynamics – from the ongoing pandemic to supply chain disruptions to cost inflation – I am proud to say that our team continued to drive growth for our company, customers, employees, and shareholders. The enterprise strategy we embarked on in 2016 is working. Dana's financial position since then has dramatically improved, growing sales by more than 53 percent to nearly $9 billion. We continue to capitalize on our first-mover advantage in electrification – setting the stage for Dana to deliver innovative solutions for customers across all mobility markets.

We have strategically invested to secure unparalleled technical competence in designing, engineering, and manufacturing the components of a complete e-Propulsion system in-house. In short, we have completely repositioned the business to capitalize on vehicle electrification.

We also expect to continue profitably growing our top line, with a strong three-year sales backlog of $800 million. Half of this is expected to come online in 2022, which is well above the market's growth. Working toward a zero-emissions future, we see opportunity in an expanding addressable market, while also increasing Dana's content per vehicle up to three-fold. We are also taking full advantage of our multi-market participation while actively strengthening our core business, which is instrumental to funding our growth in electrification.

As a part of our transformation, we have evolved how we do business by taking aggressive actions to strengthen our commitment to sustainability and social responsibility. We continue to grow our portfolio of electrification-related patents and execute upon an array of global sustainability improvement initiatives across our plants, technical centers, and supply chain. These actions have resulted in achieving the highest score possible from ISS for environmental and social responsibility. Dana also placed within the 90th percentile in the automotive sector on the S&P Global Corporate Sustainability Assessment during our first year of participation – firmly demonstrating that our actions are having an impact.

## 2021 Financial Highlights

Sales
$8.9 billion

Adjusted EBITDA \( ^{1} \) 
$795 million

Diluted Adjusted EPS \( ^{2} \) 
$1.66

Future Sales Backlog
$800 million
with 50% from electrification

All figures as of year-end 12/31/2021
 \( ^{1} \)  See pages 24-25 of Dana's 2021 Form 10-K, included herein, for explanation and reconciliation of non-GAAP financial measures.
 \( ^{2} \)  Diluted adjusted EPS is a non-GAAP financial measure, which we have defined as adjusted net income divided by adjusted diluted shares. See the "Quarterly Financial Information and Reconciliations of Non-GAAP Information" on Dana's Investor Relations website at dana.com/investors for explanation and calculation of diluted adjusted EPS.

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# A Letter to Our Shareholders

Our transformation extends to our commitment to safety and quality, and to our culture of inclusion and diversity. In 2021, we were recognized by Newsweek as a "Most Responsible Company" for the third consecutive year and received numerous "Top Employer" accolades around the world.

This past year, we refreshed our vision, mission, and values to better reflect how Dana's culture has evolved over the years and to capture the spirit of our future direction.

## Our updated vision, "Powering Innovation To Move Our World," is a guiding belief that expresses the strength and reliability of our global family and embraces our core capabilities linked to world-class innovation and customer centricity.

Our mission is to drive stakeholder value by powering vehicles and machines around the world; shaping sustainable progress through invention and execution; and making the amazing happen wherever people live, work, and play.

This is all accomplished through our core beliefs, which are summed up as valuing others, inspiring innovation, growing responsibly, and ultimately – winning together.

Together, our vision, mission, and values represent who Dana is and what we stand for – it is how we are People Finding A Better Way.

It is our people, with the trust and support of our customers and investors, who make our transformation possible.
As we look ahead, our class-leading innovation and global presence will help drive significant growth and financial returns for our shareholders. We are on track to surpass our near-term EV sales target – which called for a half billion dollars in sales in 2023 – by 40 percent. Further, we expect that by 2030, our EV sales will reach $3 billion, approximately a quarter of our business. All the while, our talented people worldwide will continue to work together to power our customer-centric organization that is continuously improving the performance and efficiency of vehicles and machines across all our markets.

![](images/5_0.jpg)

On behalf of our Board of Directors and the entire global Dana family, I thank you for your continued support. Together, we will achieve our vision of Powering Innovation To Move Our World.

My personal best,

![](images/5_1.jpg)

James K. Kamsickas
Chairman and Chief Executive Officer