Diebold, IncorporatedInvestor PresentationAugust /September 2013

Use of Non-GAAP Financial Information

Diebold has included non-GAAP financial measures in this presentation to supplement Diebolds consolidated, condensed financial statements presented on a GAAP basis. Definitions of these non-GAAP financial measures and reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measures are included elsewhere in this presentation.

Diebolds management uses non-GAAP product, service and total gross margins, non-GAAP operating expense, non-GAAP operating profit, non-GAAP tax rate, non-GAAP net earnings, and non-GAAP diluted earnings per share, and excludes the Brazilian elections systems business, losses or other charges that are considered by Diebolds management to be outside of Diebolds core business segment operating results. Net debt and free cash flow are liquidity measures that provide useful information to management about the amount of cash available for investment in Diebolds businesses, funding strategic acquisitions, repurchasing stock and other purposes.

These non-GAAP financial measures may have limitations as analytical tools, and these measures should not be considered in isolation or as a substitute for analysis of Diebolds results as reported under GAAP. Items such as impairment of goodwill and intangible asset though not directly affecting Diebolds cash position, represent the loss in value of goodwill and intangible assets over time. The impairment expense associated with this loss in value is not included in non-GAAP operating profit, non-GAAP net earnings, non-GAAP diluted earnings per share and therefore does not reflect the full economic effect of the loss in value of those goodwill and intangible assets. In addition, items such as restructuring charges and non-routine expenses that are excluded fromnon-GAAP gross profit, non-GAAP operating expense, non-GAAP operating profit, non-GAAP net earnings, and non-GAAP diluted earnings per share can have a material impact on cash flows and earnings per share. In addition, free cash flow does not represent the total increase or decrease in the cash balance for the period. The non-GAAP financial information that we provide also may differ from the non-GAAP information provided by other companies.

We compensate for the limitations on our use of these non-GAAP financial measures by relying primarily on our GAAP financial statements and using non-GAAP financial measures only supplementally. We also provide robust and detailed reconciliations of each non-GAAP financial measure to the most directly comparable GAAP measure, and we encourage investors to review carefully those reconciliations.

We believe that providing these non-GAAP financial measures in addition to the related GAAP measures provides investors with greater transparency to the information used by Diebolds management in its financial and operational decision-making and allowsinvestors to see Diebolds results through the eyes of management. We further believe that providing this information better enables investors to understand Diebolds operating performance and to evaluate the efficacy of the methodology and information used by management to evaluate and measure such performance.

Forward-looking Statements

In this presentation, statements that are not reported financial results or other historical information are forward-looking statements. Forward-looking statements give current expectations or forecasts of future events and are not guarantees of future performance. These forward-looking statements relate to, among other things, the companys future operating performance, the company's share of new and existing markets, the company's short- and long-term revenue and earnings growth rates, and the companys implementation of cost-reduction initiatives and measures to improve pricing, including the optimization of the companys manufacturing capacity. The use of the words will, believes, anticipates, expects, intends and similar expressions is intended to identify forward-looking statements that have been made and may in the future be made by or on behalf of the company. Although the company believes that these forward-looking statements are based upon reasonable assumptions regarding, among other things, the economy, its knowledge of its business, and on key performance indicators that impact the company, these forward-looking statements involve risks, uncertainties and other factors that may cause actual results to differ materially from those expressed in or implied by the forward-looking statements. The company is not obligated to update forward-looking statements, whether as a result of new information, future events or otherwise. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Some of the risks, uncertainties & other factors that could cause actual results to differ materially from those expressed in or implied by the forward-looking statements include, but are not limited to:* competitive pressures, including pricing pressures and technological developments;* changes in the company's relationships with customers, suppliers, distributors and/or partners in its business ventures;* changes in political, economic or other factors such as currency exchange rates, inflation rates, recessionary or expansive trends, taxes and regulations and laws affecting the worldwide business in each of the company's operations, including Brazil, where a significant portion of the company's revenue is derived;* global economic conditions, including any additional deterioration and disruption in the financial markets, including the bankruptcies, restructurings or consolidations of financial institutions, which could reduce our customer base and/or adversely affect our customers ability to make capital expenditures, as well as adversely impact the availability and cost of credit;* acceptance of the company's product and technology introductions in the marketplace; * the companys ability to maintain effective internal controls;* changes in the companys intention to repatriate cash and cash equivalents and short-term investments residing in international tax jurisdictions could negatively impact foreign and domestic taxes;* unanticipated litigation, claims or assessments, as well as the outcome/impact of any current/pending litigation, claims or assessments, including with respect to the ongoing securities class action and the companys Brazilian tax dispute; * variations in consumer demand for financial self-service technologies, products and services; * potential security violations to the company's information technology systems;* the investment performance of our pension plan assets, which could require us to increase our pension contributions, and significant changes in health care costs, including those that may result from government action;* the amount and timing of repurchases of the company's common shares, if any;* the outcome of the companys global FCPA review and any actions taken by government agencies in connection with the companys self disclosure, including the pending DOJ and SEC investigations; and the companys ability to achieve benefits from its cost-reduction initiatives and other strategic changes, including its restructuring actions.

The company continues to assess its Brazilian indirect tax compliance. It is possible that financial results for certain periods may need to be further revised or restated as a result of this work, which may potentially delay the company's filing of its quarterly report on Form 10-Q for the period ended June 30, 2013. Therefore, financial results in this release should be treated as preliminary and subject to change.

Diebold Quick Facts

Leading global provider of financial self-service (ATM) and security solutions with ~$3B annual revenue

Presence in nearly 90 countries with ~16,000 associates worldwide One of the financial industrys largest services staff with over 10,000 professionals in

~600 locations worldwide (~3,600 service associates in the U.S. alone) 2013 dividend of $1.15 marks record-setting 60th consecutive dividend increase

2012 Revenue Breakout

77%

21%2%

Financial Self-serviceSecurityBrazilian Election Systems/Lottery

46%

54%

ProductServices

53%

22%

14%

11%

North AmericaLatin America w/BrazilAsia PacificEurope, Middle East and Africa (EMEA)

Sound Strategic Foundation

VisionTo transform from a hardware centric manufacturing company to a world-class product, services and software provider that addresses the security, convenience and efficiency needs of our customers, primarily financial institutions

Key Growth Strategies Update1. Branch Transformation, including Deposit Automation

o Migrating routine transactions from the branch to lower cost, automated channels

2. Integrated Services (i.e. Outsourcing)o Outsourcing of a bundled array of hardware, services, and software to

Diebold 3. Electronic Security

o Alarms, surveillance, access control, etc. and security systems integration

4. Emerging market opportunitieso Emerging markets comprise 65% of the global ATM installed base,

which is growing at 10% CAGR

State of the CompanyQ2 2013

Initial observations of Andy Mattes, President and Chief Executive Officer

Made considerable progress to bring the Brazil tax matter and other compliance and legal issues towards closure

Actively restructuring the balance sheet to strengthen the overall liquidity and financial capacity of the company

Diligently working to establish an appropriate cost structure; identified additional savings and reached high end of prior cost savings target at $150M and continuing to accelerate our efforts

Turnaround opportunity with great potential

Q2 Financial Results (non-GAAP)YOY comparisons

Revenue down 5%, including 1% negative currency Financial self-service down 5%; North America down 12% stemming from higher

ADA/PCI volume in the prior year Security up 4%; solid growth in electronic security

Total gross margin down 1.8% Service margin down 1.6% due to:

Two contracts in Brazil; issue being addressed commercially Product margin down 2.6% due to:

Lower volume and continued strength in the national space which carries lower margins

Operating expenses down about $6M Driven by cost savings initiatives and lower commissions

Non-GAAP EPS of ($0.35), including tax valuation allowance ($0.61); non-GAAP EPS excluding tax valuation allowance $0.26

Free cash use increased by ($24M)

Q2 Regional Highlights

Latin America: Revenue decreased 17%, driven by

lower FSS and election business in Brazil

Total orders up over 20% driven by FSS and security

GAS has experienced tremendous growth

EMEA: Revenue relatively flat Orders increased nearly 30% driven

by wins in key growth markets such as Turkey and Saudi Arabia

Also higher volume in Belgium and Italy

Asia-Pacific: Revenue increased 23% Orders grew in low double-digits,

driven mainly by China as well as Indonesia

Demand remains strong in region

North America: Revenue decreased 8% driven by

lower product volume Total orders down low double digits

due to FSS business Continue to see spending in the

national accounts Electronic security orders up over

50%

Key Areas of FocusAndy Mattes, President and CEO Initial Observations

!"

!

#

Key Elements of Transformation

1. Organizational Changes / Realignment Andy W. Mattes President and Chief Executive Officer George S. Mayes Jr. Executive Vice President and Chief

Operating Officer Create global model for product development, service and

supply-chain Leverage synergies across regional and functional divisions Drive execution, accountability and culture of discipline

Stefan Merz Senior Vice President , Strategic Projects Drive transformation strategy, help execute the company's

multi-year realignment plan, and identify other areas of improvement that will drive future growth

2. Structural Cost Reductions / Efficiency Improvement Greater globalization of systems and processes Systematic approach to create a lean, Six Sigma operating model

across entire operation Particular focus on driving efficiencies across service organization

3. Accelerate Investments in Growth R&D in new, innovative solutions Processes (core IT infrastructure, etc.) Talent/People

Establish Conditions for

Top-tier Performance

Create the Investment

Capacity

Create a Foundation for

Sustainable Growth

Goals

Already identified $150 million of targeted savings Initiatives discussed in Q1 2013:

1. Near-term actions (previously announced headcount reductions and discretionary spend)

2. Globalizing service organization and processes

3. Created unified global organization for solution development and management

4. Transforming G&A cost structure and processes

Additional actions:

1. Voluntary early retirement program (VERP)2. Pension Freeze

Accelerating efforts longer-term to identify additional savings above $150M

Multi-year Realignment PlanQ2 2013 Update

Estimated Costs and Savings

Expect approximately 50% of the savings to positively impact operating profit

Expect to reinvest portion of savings in R&D and IT; remaining savings to improve profitability and offset price erosion, wage inflation in emerging markets and volatile commodity prices

Incurred restructuring charges of $8M in second quarter; estimate additional future costs of $10M-$20M related to the plan in 2013

Savings associated with defined-benefit pension plan freeze for U.S. based employees estimated at $30M

Regarding VERP, will not know savings until take-up rate can be determined

Based on industry average take rate of 25%-45%, anticipate second half charge of $40-$70M, resulting in approx. $15-$25M annual savings on go forward basis

The pension and VERP provide strong underpinning to the $150M in cost savings

Multi-year Realignment Plan

Branch

Teller Automation terminals Concierge Video Services

(video teller) Enhanced Efficiencies at the Drive-Up Keyless Vault Attendant Systems

Growth Strategy #1: Branch TransformationMigrating Routine Banking Transactions from the Branch to Lower Cost Channels

Portal Technology Cloud Management Software as a Service (SaaS)

Agilis Empower OpteView Resolve Predictive Maintenance Cloud-based ATM (PC over IP)

Financial Self-Service (ATM)

Prototype of worlds first ATM using cloud-based services

First concept ATM in the world to use 4G technology

Deposit Automation solutions Predictive data Mobile sign-up at the ATM

Average Transaction Cost: ~$0.05-$0.10

Average Transaction Cost: ~$0.65

Average Transaction Cost: ~$3.00

Advanced Services Platform

transactionsMobile & Online Channels

Mobile transactional and authentication technologies

Transaction security (GAS) Remote deposit capture Cashless person-to-person payments

Growth Strategy #1: Branch Transformation

! "" # ! ""$

%" &" ! "$%"& %""' " " ""

" "" $ "

""' "( "&" ""

""&"" "" # ! "( '"' " ""'

$! " "

! "%" )"""

"" "( '" "&"' "& ! $"

'$

$ "*+, ""' "

"'""$'%" ""&"&")%"

"'""$

%" & """' "-"%"( )"-""$!& " ! """

""' ""

ATM with Teller Assist

Diebold Customizes Bank of America ATM with Teller Assist (ATA)

Total Upgrade Opportunity:~76,000 units

Subset of Branch TransformationGrowth Strategy #1: Deposit Automation (U.S.)

16,300Bank of America14,000

-----

14,600

Wells 12,30011,000

47,000

-----

National Banks (Top 24 Banks):

Point where 60% of installed base has DA

Chase 11, 700

Banks4-25 16,500

-----

-----

14,200

~11,700*

*Represents total upgrade opportunity within space as of 6/30/13

RegionalBanks and

Credit Unions (~1,100)

47,0009,000

-----

Regional/Community Banks and Credit Unions:

CommunityBanks and

Credit Unions (~13,500)

85,0006,000

-----

~19,200*

~45,000*

DA Installed Base Not DA Enabled

Growth Strategy #2: Integrated Services

Enhance competitivenessand stay current with emerging technologies

Product AGNOSTIC

Maintain compliance, enhance security and improve efficiencies

Improve availability

Enhance consumer experience

Single point of contact

Preserve capital

End-to-end program management

Leverage Diebolds scale

SustainableValue Proposition

Outsourcing Various ATM-related Services to Diebold

Growth Strategy #2: Integrated ServicesGrowth Across All Segments of the Market

Note: Total Contract Value represents cumulative revenue over the life of the contract, typically five years

$-

$100

$200

$300

$400

$500

$600

2008 2009 2010 2011 2012

($ Millions) ($ Millions)

TD

North America Total Contract Value North America Revenue

$-

$50

$100

$150

$200

$250

2008 2009 2010 2011 2012

Growth Strategy #2: Integrated ServicesTD Update*

Conversion of Services for ATMs in Canada 100% conversion ~2,700 ATMs converted to

Diebold Services as per plan Largest, fastest remote software deployment ever

within the ATM outsourcing industry Phase 3 roll-out to begin Nov 2013 Upgrade

Software and Remote Services to include enhanced marketing and preferences

Conversion of Services and Replacement for ATMs in U.S. 100% conversion ~1,900 ATMs converted to Diebold Services as

per plan All Replacements have been completed Phase 2B on Schedule Upgrade Software and Remote Services

to include enhanced marketing and preferences

*February 10, 2012 (American Banker) Toronto-Dominion Bank is handing over the reins of its ATM fleet to Diebold Inc.

Market is large, fragmented & growing $9B+ North America addressable market with 3-5% forecasted growth 18,000+ small monitoring & local integration companies; M&A opportunity Diversified end markets provides mix in Diebolds portfolio

IT convergence driving changing market demands Increased demand for web-based services & solutions

Less product centric systems & more IT web solutions Introduced new security management tool, SecureStat

Target markets & customers want an alternative Diebolds sales & operations competencies align with market opportunities One of only three national monitoring & systems integration companies Changes at top competitors presenting window of opportunity

Diebold brand & leadership Diebold has strong brand awareness and 153 year legacy in security New leadership has expertise & success in organic & M&A growth

Diebold Well Positioned to Grow

Growth Strategy #3: Electronic SecurityOpportunities

Diebold Electronic Security Product and

Solutions

Alarms Video Surveillance Monitoring (Diebold

Event Monitoring Center)

Access Control Intrusion Detection Data Loss Prevention Fire & Safety Information Security Etc.

North America ES orders increased

~50% Q2 YOY

Build out Commercial National Account team

Focus in multiple vertical markets Leverage Diebold brand into broader

ES market Align business to ES industry

standards

Organized to Serve Market Needs & Leverage Core Competencies

CommercialNational and Regional

Fortune 1000

Financial Institutions

Continued focus on FI market Vertical FI structure to meet customer

needs Segmented between Nationals and

Regionals Leverage Diebold brand and existing

customer relationships

Growth Strategy #3: Electronic SecuritySales Focus

National and Regional

Top 100 U.S. Systems Integrators~$7.2B Revenue

Top 100 U.S. Alarm Companies~$9.2B Revenue w/

~$510M RMR (recurring monthly revenue)

Diebold is 1 of 3 National Players in Both Sectors

15,000 - 25,000 U.S.Alarm Monitoring Companies

Only 4 National Alarm Companies with 50+ offices

Only 5 National Systems Integrators with 50+ offices

3,000 - 5,000 U.S. Systems Integration Companies

Diebolds capabilities & coverage are a competitive advantage

Source: SDM, SS&I, Security Systems News & Management Estimates

Growth Strategy #3: Electronic SecurityDiebolds Relevance in the Electronic Security Marketplace

Growth Strategy #4: Emerging Markets

0

200

400

600

800

1,000

1,200

1,400

1,600

ATMs Per Million Population By Country Emerging markets represent 65% of global ATM

installed base, which is growing at 10% CAGR

Overall demand will remain strong long-term Growing middle class

Desire for self-service

Aggressive deployment of new technologies

Developed Markets Emerging Markets

Source: RBR Global ATM and Market Forecasts to 2017

Financial Strength

Cash, cash equivalents and other investments

Total AssetsStockholders Equity

Net Inv. (debt) non-GAAP

Free Cash Flow

Solid Cash

Resources

Solid Balance

Sheet

DividendsAcquisitions

Share buybackPay down debt

Net (debt) to capital ratio*

Debt Instruments

Jun. 30, 2012

$591.4

$2,569.3$850.7

$(100.9)

$(55)

7%

$(692.3)

Dec. 31, 2012

$630.7

$2,593.0$790.0

$(21.5)

$86

1%

$(652.2)

*Capital includes Diebold shareholder equity, excludes non-controlling interest

Jun. 30, 2013

$526.0

$2,532.5$625.1

$(156.4)

$(82)

12%

$(682.4)

Financial Capacity to Invest in the Future

($ Million)

Initiated U.S. pension plan freeze with expectations to reduce underfunded status from ~$150M down to about $50M

Plan to repatriate $250M of cash back to the U.S. for domestic funding needs

Q2 Actions to Strengthen the Balance Sheet:

2013 Outlook

Significantly reduced our outlook for 2013: Revenue down (5%) to (7%) Non-GAAP EPS $1.30 to $1.40, excluding Brazil tax valuation allowance

Prior forecast too back-end loaded and removed two prior assumptions: Up-tick in demand from the U.S. regional bank space, currently stable but

performing below historical norms

Major auctions in Brazil due to timing and political unrest Back-end seasonality supported by Asia Pacific, Latin America, and

EMEA orders

Free cash use of ~($25M); heavily influenced by one-time items: FCPA agreement in principle = $48M Securities class action lawsuit agreement in principle = $18M Cash tax impact associated with repatriation = $20M Restructuring = $10 to $20M

As reported on August 6, 2013

Conclusion

Turnaround underway

Working aggressively to bring legal/compliance issues to a close

Remain committed to our cost savings plan

Increased our efforts to bring more cash discipline to the operations and strengthen our balance sheet

A lot of work in front of us, but deeply confident about our future

Believe brand is strong and we have deep customer relationships on which to build

Strategy update by Andy Mattes and the leadership team during analyst day in November 2013

Appendix

Visaissues U.S.

EMV mandate

POS and ATM Maestro acquirer processors

must be able to support EMV chip transactions

2014

Liability shift begins for

automated fuel dispensers

Liability shift begins for all ATMs

MasterCard issues U.S.

EMV mandate

Liability shift begins for ATM Maestro

interregional transactions

Liability shift begins for

POS

Apr20132012

Aug2011

Apr Oct2015

Oct2016

Oct2017

2014Apr20132012

Sep2011

Oct2015

Oct2016

Oct2017

Liability shift begins for all ATMs

ATM acquirer processors must be able to support EMV chip transactions

U.S. EMV Migration Timeline

0200,000

400,000

600,000

800,000

2006 2007 2008 2009 2010 2011 2012F 2013F 2014F 2015F

Developed Markets

Represents 35% global

installed base

Represents 35% global

installed base

Payment Transactions and ATM Growth

0

50,000

100,000

150,000

200,000

Cash Card Electronic/ ACH Checks and Other Paper

Payment Transactions: Developed Markets(Millions)

Bank ATM Installed Base: Developed Markets

Cash/Check Usage: Declining slowly on very strong volume Check usage totals approx. 20 billion in the

U.S. alone

Card/Electronic Payments: Solid card payments infrastructure and

access to banking services

Mobile Payments: Generation Y (ages 18-34) driving growth Large % population with smartphones Infrastructure still needs established

ATM Opportunities: Number of cash/checks in circulation

slowly declining but still very high volume to warrant need for ATMs

Large ATM replacement markets Fewer branches replaced by ATMs Branch transformation Integrated Services

Diebold R&D Efforts: Working on developing Next Gen ATM

while incorporating the latest technology

Source: Euromonitor and Retail Banking Research (developed markets include North America, Western Europe, Australia/New Zealand)

0500,000

1,000,000

1,500,000

2,000,000

2006 2007 2008 2009 2010 2011 2012F 2013F 2014F 2015F

0

200,000

400,000

600,000

800,000

1,000,000

Cash Card Electronic/ ACH Checks and Other Paper

Payment Transactions and ATM GrowthEmerging Markets

Represents 65% global

installed base

Represents 65% global

installed base

Payment Transactions: Emerging Markets(Millions)

Bank ATM Installed Base: Emerging Markets

Cash/Check Usage: Many cash-intensive markets Cash growing with expanding middle class Expect many consumers to skip checks and

go directly to mobile payments

Card/Electronic Payments: Growing but small volume in comparison to

cash Infrastructure not as strong as developed

markets

Mobile Payments: Large unbanked population Widespread mobile phone penetration among

all income classes (e.g. China and India) Emerging markets expected to account for

60% of global mobile payments volume in 2012

ATM Opportunities: More cash in circulation due to rising middle

class in many emerging markets Lower ATM penetration ATM usage/installations increasing at fast

pace Branch transformation Integrated Services

Source: Euromonitor and Retail Banking Research (emerging markets include Asia-Pacific, Central/Eastern Europe, Middle East, Africa, Latin America)

John KristoffVice President, Chief Communications OfficerPhone: +1 330-490-5900E-mail: john.kristoff@diebold.com

Jamie FinefrockDirector, Investor RelationsPhone: +1 330-490-6319E-mail: jamie.finefrock@diebold.com

Steve WashburnManager, Investor RelationsPhone: +1 330-490-6870E-mail: stephen.washburn@diebold.com

Investor Relations

Contact Information