Download - BMW Group

June 2013 

INVESTOR PRESENTATION 

BMW Group Investor Presentation, June 2013 Page 1

FIRST QUARTER 2013 RESULTS. 

in euro million 

Q1-2013 Q1-2012 * Change 

in % 

Revenues 17,546 18,293 -4.1 

Profit / loss before financial result (EBIT) 2,039 2,134 -4.5 

Automotive 1,582 1,880 -15.9 

Motorcycles 51 37 37.8 

Financial Services 1) 450 426 5.6 

Other entities 17 13 30.8 

Eliminations -61 -222 72.5 

Profit before tax 2,003 2,080 -3.7 

Net profit 1,312 1,352 -3.0 

EPS in euro (common / preferred) 1.99/1.99 2.05/2.05 -2.9 

Operating cash flow (Automotive) 1,968 2,184 -9.9 

Free cash flow (Automotive) 628 1,526 -58.8 

Net interest-bearing assets (Automotive) 14,073 13,962 0.8 

Equity (Group) 31,811 28,779 10.5 

*) Prior year figures have been adjusted in accordance with the revised version of IAS 19, see note 3 on page 31 of the quarterly report to March 31, 2013. 

1) Q1-2012 EBIT includes a positive effect of EUR 43 million from a better than expected off-lease business. 


GUIDANCE 2013. 

BMW Group 

Group profit before tax in 2013 should be on a similar scale to that reported for 2012. 

Automotive Segment 

• Single digit sales volume growth with a new sales record in FY-2013. 

• EBIT margin of 8-10%. 

• Return on Capital Employed of >26%. 

Motorcycles Segment 

Increased sales volumes in 2013 should result in higher revenues and earnings. 

Financial Services Segment 

Return on Equity of > 18%. 


CONTENT. 

1 Corporate Strategy 

2 Growth Markets 

3 Automotive 

4 Motorcycles 

5 Financial Services 

6 Production Network 

7 Sustainability 

8 EfficientDynamics 

9 Financials 

10 Funding 


BMW GROUP. 

STRATEGY NUMBER ONE. 


STRATEGIC OBJECTIVE. 

We want to be the leading provider of premium products and 

premium services for individual mobility. 


THE WAY AHEAD – NUMBER ONE. 

Number ONE defines 

our vision for the year 2020. 

our mid-term targets for the year 2016. 

our internal milestones. 

Our vision is targeted towards creating value 

and securing future success. We are driven 

by our goal to increase profitability. 


STRATEGY NUMBER ONE – MANAGING THE 

TECHNOLOGICAL CHANGE TO REMAIN FUTURE PROOF. 

Evolution 

Efficient combustion engines 

Innovative technologies 

Revolution 

Alternative drive trains 

Mobility services 


TECHNOLOGICAL CHANGE – TURNING A CHALLENGE 

INTO AN OPPORTUNITY. 

Growth, 

technological 

progress 

Technological change 

EVOLUTION 

Efficient combustion engines 

Innovative technologies 

In times of technological change we have to improve our 

existing technologies and invest heavily in new 

technologies to remain future proof. 

Internal Combustion 

Engine 

Hybrids 

REVOLUTION 

Alternative drive trains 

Mobility services 

E-Mobility 

BMW Group Investor Presentation, June 2013 Page 9 

time

CAPEX FOR ESTABLISHED PROJECTS BUT ALSO 

SIGNIFICANT UPFRONT INVESTMENTS NEEDED TO 

SECURE BMW GROUP’S FUTURE. 

CFRP 

i3 / i8 

2013: 

Increasing 

capex + 

additional 

upfront 

investments 

Modular system powertrains 

New products 

Future Retail 


TARGETS 2016. 

BMW Group 2012 2016 

R&D ratio (cash R&D, %) 5.1 5.0 – 5.5 

Capex ratio (%) 6.8 2,000 

Return on Capital Employed (%) 75.0 > 26.0 

Return on Sales (EBIT, %) 10.9 8.0 – 10.0 

Free cash flow (euro million) 3,809 > 3,000 

Segment Financial Services 

Return on Equity (%) 21.2 > 18.0 


DEVELOPMENT OF R&D RATIO. 

7.0% 

6.5% 

6.0% 

5.5% 

5.0% 

4.5% 

4.0% 

5.8% 

6.2% 

6.4% 

6.7% 

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 

R&D Ratio: R&D Expenditure (HGB) / Group Revenues 

6.5% 


5.6% 

5.4% 

4.8% 

4.6% 

4.9% 

5.1% 

2012

DEVELOPMENT OF CAPEX RATIO. 

10.0% 

9.0% 

8.0% 

7.0% 

6.0% 

5.0% 

9.5% 

2002 

10.2% 

9.8% 

Capex Ratio: Total Capex / Group Revenues 

8.6% 

8.8% 

Target:

MANAGING VOLUME GROWTH, INNOVATION AND 

PROFITABILITY THROUGH COST-CONSCIOUS, 

EFFICIENT R&D. 

Profitability 

Standardisation 

• E-mobility 

• New materials 

• New technologies 

• Strong growth of 

product portfolio 

• Seizing new 

opportunities 

Broader R&D 

spectrum 

Innovation 


OUR GOAL: TO MANAGE A THREE-TIMES LARGER 

PORTFOLIO WITH RESOURCES THAT HAVE NOT 

INCREASED PROPORTIONATELY. 

2005 

2015 2020 

Without a Modular Strategy, a three-fold increase in model numbers would send costs and resources 

spiralling along the process chain. The Modular Strategy enables shorter development cycles and 

enhanced flexibility in our plants. 


THE MODULAR STRATEGY IS THE ENABLER FOR THE 

EXPANSION OF THE BMW GROUP MODEL RANGE. 

Architectures 

Underbody 

e.g.: 

Front seat 

attachments 

Shorter development time 

Shorter time to market 

Modular product 

Modular front seat 

Common elements 

e.g.: 

Structure 

Head restraint 

Lower investment costs 

Lower manufacturing costs 

Modular system 

Front seat attachment 

e.g.: 

Standardised 

seat installation 

process 

Lower development costs 

Lower fixed costs 


COMMON ARCHITECTURE, NOT PLATFORMS. 

IN PREMIUM VEHICLES DIFFERENTIATION IS KEY. 

BMW architecture = 3 core areas – 

drivetrain, front wall and 

fuel/energy space. 

Engine compartment Drivetrain Rear 

BMW architectures allow maximum differentiation between models in 

terms of design and dimensions and account for about 70% of all 

production cost. 


THE NEW BMW EFFICIENTDYNAMICS ENGINE FAMILY– 

HIGH LEVELS OF COMMONALITY BETWEEN AND 

WITHIN DIESEL AND GASOLINE ENGINES. 

Cylinders (inline) -3 -4 -6 

Gasoline >60 % 

Diesel >60 % 

30-40 % 

Common parts shared within 

gasoline or diesel engines 

is approx. 60%. 

Between the gasoline and 

diesel engines there is a 

40% sharing. 


CONTENT. 



3 Automotive 

4 Motorcycles 





9 Financials 

10 Funding 


PRIORITY ON GROWTH MARKETS. 

Turkey 

USA 

Eastern Europe 

Russia 

China 

India 

Brazil South Korea 


NUMBER OF MILLIONAIRES IN THE ESTABLISHED 

AND BRIKT MARKETS. 

50,000 

45,000 

40,000 

35,000 

30,000 

25,000 

20,000 

15,000 

10,000 

5,000 

0 

3,000 

thsd. 

45,701 

thsd. 

27,764 

2011 

CAGR +5.7% 

2020 

Established Markets 

(USA, Japan, Germany, United Kingdom, France, Italy) 

2,500 

2,000 

1,500 

1,000 

500 

0 

+14.2% 

1,001 


303 

+13.9% 

375 

1,205 

2011 2020 

+10.4% 

694 

286 273 

+9.2% 

601 

+14.3% 

1,730 

520 

+7.4% 

2,500 

1,312 

Brazil Russia India Turkey South Korea Mainland 

Source: Deloitte (June 2011): „The next decade in global wealth among millionaire households” 

China

BMW GROUP’S CHINA STRATEGY FOCUSES ON 

DYNAMIC AND PROFITABLE GROWTH. 

+ 

+ 

China‟s premium segment has highest CAGR 

worldwide of 9.9% (2012-2020; Global Insight Data) 

Attractive growth prospects: 

rising per capita income and growing upper middle class 


BMW AND MINI RETAIL DEVELOPMENT 

IN MAINLAND CHINA, MAY 2013-YTD. 

350 

300 

250 

200 

150 

100 

50 

0 

in „000 units 326.4 

BMW MINI 

24.0 

36.4 

51.6 

2005 2006 2007 2008 2009 2010 2011 2012 2012 

May ytd 

Source: BMW Group Retail data, May 2013-YTD. 

65.8 

90.5 

2013 

May ytd 


169.0 

232.6 

135.0 

148.3

BMW AND MINI RETAIL MIX IN CHINA Q1-2013. 

MINI: 6.4% 

7 series: 6.1% 


X6: 3.2% 

X5: 6.5% 

5 GT: 2.1% 

5 series: 33.8% 

Source: BMW Group Retail data, Q1-2013. 


X1: 11.2% 

3 series: 18.6% 

X3: 7.9% 

Z4: 0.5% 


URBANIZATION IN CHINA – ONGOING POTENTIAL. 

China cities – brief introduction 

9 

89 

176 

cities 

population >10 million 

cities 

population 5-10 million 

cities 

population 1-5 million 

Chengdu 

13 million 

• Huge number of cities in China: 350 prefecture level cities and 100 county level cities. 

• City development level is quite different. 

Beijing 

16.5 million Tianjin 

11.5 million 

Guangzhou 

10 million 

Chongqing 

36 million 

Shenzhen 

12 million 

Shanghai 18.5 

million 

China urbanization forecast by 2025 

Highly-developed areas Less-developed areas 

• 350 million people will be added to China‟s urban population by 2025 (more than the population of today‟s United 

States, McKinsey estimates). 

The scale of China’s cities and the trend towards city urbanization ensure that China will remain 

a substantial market. 


CHINA PREMIUM SEGMENT DEVELOPMENT. 

3,000 

2,500 

2,000 

1,500 

1,000 

500 

0 

in „000 units 

Ø annual growth rate 

+41% 

111 

Source: Global Insight 

CAGR 2012-2020: 9.9% 

assumed Ø annual growth rate 

ca. +16% 

1,224 

1,927 

2,609 

2005 2012 2015E 2020E 

With this development, China will become 

the biggest market for the BMW Group worldwide. 

assumed Ø annual growth rate 

ca. +6% 


371 BMW AND 86 MINI DEALER OUTLETS IN 

OPERATION BY END MARCH 2013. 

Outlet BMW MINI 

East 117 29 

North 98 20 

South 84 19 

West 72 18 

Total 371 86 

Kelamayi 

Urumqi 

Lhasa 

Changchun 

Hohhot 

Shenyang 

Beijing 

Anshan 

Tangshan 

Baoding 

Shijiazhuang 

Taiyuan 

Yantai 

Jinan Weifang 

Qingdao 

Linyi 

Xuzhou 

Hefei 

Nantong 

Mianyang 

Nanjing 

Yichang Changzhou Shanghai 

Wuhu 

Hangzhou 

Chengdu 

Ningbo 

Chongqing 

Jinhua 

Taizhou 

Lishui 

Wenzhou 

Guiyang 

4S/5S* 

Kunming 

Showroom 

Service outlet 

UCC 

Wuhan 

Mudanjiang 

Songyuan 

Jinzhou 

Jilin 

Yanji 

Baotou 

Beijing Panjin 

Erdos 

Yingkou 

Datong 

Qinhuangdao 

Langfang 

Dalian 

Yulin 

Tianjin 

Dongying 

Yinchuan 

Lvliang Handan 

Xining 

Changzhi 

Lanzhou Linfen 

Zibo 

Yuncheng 

Luoyang 

Xinxiang Lianyungang 

Zhengzhou 

Yancheng 

Xi`an 

Huai’an 

Bengbu 

Pingdingshan 

Yangzhou 

Wuxi 

Deyang 

Anyang 

Zhenjiang 

Suzhou 

Huzhou Jiaxing 

Shaoxing 

Leshan 

Changsha 

Shangrao 

Zunyi 

Xiangtan 

Panzhihua 

Zhuzhou Nanchang Ningde 

Chenzhou 

Qujing 

Ganzhou Fuzhou 

Putian 

Guilin Zengcheng Quanzhou 

Liuzhou 

Guangzhou Longyan 

Zhaoqing 

Xiamen 

Dali Nanning Foshan Dongguan 

Jjiangmen 

Shantou 

Zhongshan Huizhou 

Zhuhai Shenzhen 

* 4S: sales, service, spare parts, survey, 

Haikou 

BMW Group Investor Presentation, June 2013 * 5S: sales, service, spare parts, survey, sustainability 

Page 27 

Daqing 

Jiamusi 

Harbin

DEVELOPING BMW FINANCIAL SERVICES CHINA. 

Majority of vehicles are still bought without financing or leasing. 

License II approval received from the CBRC. 

BMW Finance Automotive China (JV of BMW AG and BBA) started independent operations in November 2010. 

2012: Successful business development. 

Strong Expansion of BMW Financial Services China. 


BMW BRILLIANCE AUTOMOTIVE – A SUCCESS STORY 

WITH GROWING REVENUE AND EARNINGS 

CONTRIBUTION. 

160 

140 

120 

100 

80 

60 

40 

20 

0 

31 

BBA retail sales in 1,000 units 

35 

44 

54 

94 

141 

2007 2008 2009 2010 2011 2012 Q1-2013 

BMW Group revenues from goods and services 

sold to BBA (in EUR million) 

3,500 

3,000 

2,500 

2,000 

1,500 

1,729 

2,962 

43 

BBA‘s contribution to BMW Group‘s at-equity 

result (in EUR million) 

1,000 

500 

0 

293 

406 532 

1,046 

821 

BMW Group 2007 Investor Presentation, 2008 2009 June 2010 2013 2011 2012 Q1-2013 

Page 29 

300 

250 

200 

150 

100 

50 

0 

11 

25 

42 

102 

175 

280 

2007 2008 2009 2010 2011 2012 Q1-2013 

88

COMBINED BRIKT SALES ARE WITHIN THE TOP 5 

MARKETS FOR BMW GROUP IN 2013-YTD. 

in 1,000 units 

160 

148 

140 

120 

100 

80 

60 

40 

20 

0 

139 

108 

BMW MINI 

China* USA Germany UK BRIKT** Italy France Japan Belgium Nordics*** Canada 

*China: Mainland China only; **BRIKT: Brazil, Russia, India, South Korea and Turkey 

*** Nordics: Denmark, Estonia, Finland, Latvia, Lithuania, Norway, Sweden 

Source: BMW & MINI Retail data, May 2013-YTD 

74 

48 

26 26 


24 

19 

15 14

BRIKT MARKETS BMW AND MINI RETAIL 

DEVELOPMENT IN 2013-YTD. 

120 

100 

80 

60 

40 

20 

0 

12 

10 

8 

6 

4 

2 

0 

25 

Retail development in BRIKT 

2006 2007 2008 2009 2010 2011 2012 2012 

YTD 

0 

35 40 45 

Retail development in Brazil Retail development in Russia 


MINI 

45 

40 

35 

30 

25 

20 

15 

10 

5 

0 

2006 2007 2008 2009 2010 2011 2012 2012 

YTD 

Retail development in India Retail development in South Korea Retail development in Turkey 

1 

3 

4 

70 

2006 2007 2008 2009 2010 2011 2012 2012 

YTD 

Source: BMW & MINI Retail data, May 2013-YTD 

6 

99 

9 

110 

10 

40 48 

4 

2013 

YTD 

3 

2013 

YTD 

16 

14 

12 

10 

8 

6 

4 

2 

0 

40 

35 

30 

25 

20 

15 

10 

5 

0 

2 

3 

3 

2006 2007 2008 2009 2010 2011 2012 2012 

YTD 

2006 2007 2008 2009 2010 2011 2012 2012 

YTD 

In 1,000 units BMW 

6 

7 8 10 11 

10 

19 

15 

27 

10 

34 

3 

6 

2013 

YTD 

8 

14 

15 

6 6 

2013 

YTD 

18 

16 

14 

12 

10 

4 

2 

0 

10 

15 

8 

19 17 

5 

7 

22 

13 

30 

17 

40 

17 

2006 2007 2008 2009 2010 2011 2012 2012 

YTD 

14 17 

5 

2013 

YTD 

7 

2013 

YTD

PREMIUM SEGMENT SHARE OF TOTAL MARKET 2012. 

35 

30 

25 

20 

15 

10 

5 

0 

in % 

29.6 

25.0 

Germany United 

Kingdom 

16.3 

11.9 11.8 

9.1 

7.2 6.8 


5.7 

3.9 

World Average: 9.4% 

1.0 0.9 

Italy USA France China Russia Turkey S. Korea Japan India Brazil

THE WORLDWIDE PREMIUM SEGMENT IS EXPECTED 

TO GROW TO 9.9 MN UNITS PER YEAR IN 2020. 

12,000 

10,000 

8,000 

6,000 

4,000 

2,000 

Premium Segment: 

CAGR 2012-2020: 4.7% 

Total Growth 2012-2020: 45% 

Region („000 units) 2012 2020 Chg. 

World 6,836 9,884 45% 

Rest of World 500 720 44% 

BRIKT* 407 687 69% 

China (Mainland) 1,224 2,609 113% 

Japan 194 194 0% 

North America 1,884 2,559 36% 

Western Europe 2,626 3,116 19% 

0 

2012 2013 2014 2015 2016 2017 2018 2019 2020 


Rest of World, CAGR +4.7% 

BRIKT*, CAGR +6.7% 

China, CAGR +9.9% 

Japan, CAGR 0% 

North America, CAGR +3.9% 

Western Europe, CAGR +2.2% 

*BRIKT refers to Brazil, Russia, India, South Korea and Turkey 


PREMIUM SEGMENT GROWTH IN EMERGING MARKETS. 

350 

300 

250 

200 

150 

100 

50 

0 

in ‘000 units 

50.3% 

301 

200 

106 

159 

144 

77 73 

126 

81 

Russia 

GCC 

GCC 

New EU Countries South 3) America South Korea Brazil Turkey India Ukraine 

1) New EU 

Countries2) South 

America3) South Korea Brazil Turkey India Ukraine 

1) GCC: Gulf Cooperation Council: Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, United Arab Emirates 

2) New EU Countries: Bulgaria, Czech Republic, Estonia, Hungary, Latvia, Lithuania, Poland, Rumania, Slovakia, Slovenia 

3) South America: Argentina, Bolivia, Chile, Colombia, Costa Rica, Ecuador, El Salvador, Guatemala, Honduras, Mexico, Nicaragua, Panama, Paraguay, Peru, Puerto Rico, Uruguay, Venezuela 


50.2% 87.6% 72.1% 

2012 Sales Sales Forecast by 2020 

10.4% 


90 

169.1% 

37 

100 

43.8% 

53 

76 

235.5% 

36 

120 

93.3% 

15 

30

CONTENT. 



3 Automotive 

4 Motorcycles 





9 Financials 

10 Funding 


THREE AUTHENTIC PREMIUM BRANDS. 

Sheer driving 

pleasure 

The world‟s most exciting 

premium small car brand 

The pinnacle of 

automobile luxury 


DELIVERIES TO CUSTOMERS MAY 2013-YTD. 

Deliveries of automobiles (in units) May 2013 YTD May 2012 YTD Change in % 

Total BMW 651,168 607,210 7.2 

1 series 89,309 91,083 -1.9 

3 series (incl. GT) 189,830 157,115 20.8 

5 series (incl. GT) 147,572 145,010 1.8 

6 series 10,765 8,221 30.9 

7 series 22,055 26,655 -17.3 

X1 64,235 51,225 25.4 

X3 62,545 60,037 4.2 

X5 43,008 43,157 -0.3 

X6 16,139 17,454 -7.5 

Z4 5,710 7,253 -21.3 

Total MINI 117,694 119,538 -1.5 

Total Rolls-Royce 1,163 1,290 -9.8 

BMW Group 770,025 728,038 5.8 


BMW GROUP AUTOMOTIVE MAJOR MARKETS. 

DELIVERIES TO CUSTOMERS MAY 2013-YTD. 

Deliveries of automobiles (in units) May 2013 YTD May 2012 YTD Change in % 

Mainland China 148,319 135,026 9.8 

USA 139,142 130,843 6.3 

Germany 107,813 111,667 -3.5 

United Kingdom 74,385 62,390 19.2 

BRIKT* 48,215 39,881 20.9 

Italy 26,431 27,649 -4.4 

France 26,446 28,247 -6.4 

Japan 23,517 21,777 8.0 

Belgium 18,905 18,475 2.3 

Nordics** 15,235 14,830 2.7 

Canada 14,151 14,372 -1.5 

Rest of world 127,466 122,881 3.7 

BMW Group 770,025 728,038 5.8 

*BRIKT: Brazil, Russia , India, South Korea and Turkey; ** Nordics: Denmark, Estonia, Finland, Latvia, Lithuania, Norway, Sweden 

Data for individual markets includes BMW and MINI vehicles; Rolls Royce sales are included in “Rest of World” and in the total figures. 


DELIVERIES TO CUSTOMERS FY-2012. 

Deliveries of automobiles (in units) 2012 2011 Change in % 

Total BMW 1,540,085 1,380,384 11.6 

1 series 226,829 176,418 28.6 

3 series 406,752 384,464 5.8 

5 series (incl. GT) 359,016 332,501 8.0 

6 series 23,193 9,396 146.8 

7 series 59,184 68,774 -13.9 

X1 147,776 126,429 16.9 

X3 149,853 117,944 27.1 

X5 108,544 104,827 3.5 

X6 43,689 40,822 7.0 

Z4 15,249 18,809 -18.9 

Total MINI 301,526 285,060 5.8 

Total Rolls-Royce 3,575 3,538 1.0 

BMW Group 1,845,186 1,668,982 10.6 


BMW GROUP AUTOMOTIVE MAJOR MARKETS. 

DELIVERIES TO CUSTOMERS FY-2012. 

Deliveries of automobiles (in units) 2012 2011 Change in % 

USA 347,583 305,418 13.8 

Mainland China 326,444 232,586 40.4 

Germany 287,299 285,202 0.7 

United Kingdom 174,215 167,108 4.3 

BRIKT* 110,363 98,905 11.6 

France 67,318 70,400 -4.4 

Italy 60,505 72,511 -16.6 

Japan 56,607 47,589 18.9 

Belgium 43,828 41,381 5.9 

Canada 37,707 34,928 8.0 

Nordics** 34,510 34,350 0.5 

Rest of world 298,807 278,604 7.3 

BMW Group 1,845,186 1,668,982 10.6 

*BRIKT: Brazil, Russia , India, South Korea and Turkey; ** Nordics: Denmark, Estonia, Finland, Latvia, Lithuania, Norway, Sweden 

Data for individual markets includes BMW and MINI vehicles; Rolls Royce sales are included in “Rest of World” and in the total figures. 


BMW GROUP AUTOMOTIVE. 

REGIONAL SPLIT OF RETAIL SALES – FY 2012. 

Growth 

rate 

Share of 

global sales 

Americas 

+11.9% 

23% 

Europe 

0.8% 

47% 

Mainland 

China 

+40.4 % 

Asia (w/o China) 

and Rest of World 

+15.5 % 


18% 

12%

REGIONAL RETAIL MIX Q1-2013. 

Canada: 1.7% 

USA: 17.6% 

Rest of 

Europe: 12.5% 

Belgium: 2.4% 

France: 3.4% 

Italy: 3.6% 

1) BRIKT: Brazil, Russia, India, South Korea, Turkey 

2) GCC: Gulf Cooperation Council: Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, United Arab Emirates 

Source: BMW and MINI Retail Sales only, Q1-2013 

Mainland China: 19.2% 

Japan: 3.3% 

BRIKT 1) : 5.8% 

GCC 2) : 1.3% 

Rest of 

the World: 4.7% 

Germany: 14.2% 

UK: 10.2% 


BMW RETAIL BY MODEL 2012 (2011). 

Total BMW Group sales: 1,845,186 (1,668,982) units. 

BMW brand share: 1,540,085 (1,380,384) units 

or 83.5% (82.7 %) of total sales. 

226,829 

(176,418) 

406,752 

(384,464) 

337,929 

(310,050) 

23,193 

(9,396) 

59,184 

(68,774) 

147,776 

(126,429) 

1 Series 3 Series 5 Series 6 Series 7 Series X1 X3 X5 X6 5 Series GT Z4 

14.7% 26.4% 21.9% 1.5% 3.8% 9.6% 9.7% 7.0% 2.8% 1.4% 1.0% 

(12.8%) (27.9%) (22.5%) (0.7%) (5.0%) (9.2%) (8.5%) (7.6%) (3.0%) (1.6%) (1.4%) 

1,540,085 

(1,380,384) 


149,853 

(117,944) 

108,544 

(104,827) 

43,689 

(40,822) 

21,087 

(22,451) 

15,249 

(18,809) 

100% 

(100%)

MINI RETAIL BY MODEL 2012 (2011). 

Total BMW Group sales: 1,845,186 (1,668,982) units. 

MINI brand share: 301,526 (285,060) units 

or 16.3% (17.1%) of total sales. 

38,376 

(40,751) 

50,445 

(49,262) 

15,809 

(17,189) 

26,939 

(29,953) 

24,474 

(29,337) 

22,699 

(25,745) 

One, One D Cooper Cooper D Cooper S Convertible Clubman Coupe Roadster Countryman 

12.7% 16.7% 5.2% 8.9% 8.1% 7.5% 

(14.3%) (17.3%) (6.0%) (10.5%) (10.3%) (9.0%) 

11,311 

(3,787) 

3.8% 

(1.3%) 

102,250 

(89,036) 

3.1% 33.9% 

(31.2%) 

234,175 

(216,538) 

301,526 

(285,060) 

100% 

(100%) 


9,202

BMW GROUP RETAIL DEVELOPMENT 2002 UNTIL 2012. 

2,000 

1,800 

1,600 

1,400 

1,200 

1,000 

800 

600 

400 

200 

0 


90 

1,057 6 

+4.5% 

1,105 

+9.4% 

1,209 

+9.9% 

1,328 

BMW MINI Rolls-Royce 

+3.5% 

1,374 

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 


+9.2% 

1,501 

-4.3% 

1,436 

-10.4% 

1,286 

+13.6% 

1,461 

+14.2% 

1,669 

+10.6% 

1,845

BMW GROUP BRAND AND PRODUCT OVERVIEW. 

Luxury 

Upper 

Medium 

Lower 

Medium 

Compact 

Small 

PlusPlus 

PlusPlus 

Plus 

Base 

Plus 

Base 

Plus 

Base 

Plus 

Base 

Plus 

Base 

Sedan Wagon Hatch Coupe Convert. Roadster New Seg. SAV 

Phantom Coupe 

Ghost 

Convert. 

7 Series 6 Series 6 Series 

5 Series 5 Series GT 


3 Series 

Z4 GT 

X3, X4 


MINI MINI 

MINI 

MINI 


Wraith 

MINI 

6 Series 

X1 

X5, X6

ATTRACTIVE MODEL PORTFOLIO UNTIL 2016 DUE TO 

A HIGH RENEWAL RATE AND ADDITIONAL MODELS. 

3.5 

3.0 

2.5 

2.0 

1.5 

1.0 

0.5 

0 

Ø age of product portfolio (sales & mix adjusted) 

Cumulated Model Renewal Rate: 

~ 75% of total expected annual sales 

volume will be renewed until 2016 

2011 2012 2013 2014 2015 2016 


NEW PRODUCT 2013. 

BMW 3 SERIES GRAN TURISMO. 

Launch 06/2013 



BMW X5. 

Launch Q4/2013 


FUTURE PROSPECTS. 

BMW CONCEPT 4 SERIES COUPE. 



BMW CONCEPT ACTIVE TOURER. 



BMW CONCEPT X4. 



MINI PACEMAN. 

Launch 03/2013 



ROLLS-ROYCE WRAITH. 


NEW PRODUCTS 2012. 

THE ALL NEW BMW ActiveHybrid-FLEET. 

BMW ActiveHybrid 7 

(Facelift, new hybrid system, launch 07/2012) 


(Launch 03/2012) 


(Launch 09/2012) 



BMW ActiveHybrid 3 – HYBRID COMPONENTS. 

BMW TwinPower 

Turbo six-cylinder 

inline engine. 

Eight-speed automatic 

transmission. 

Power electronics. 

Synchronous electric motor 

(integrated in the transmission housing). 

High-performance 

lithium-ion battery. 


MINI E AND BMW ACTIVE E SERVE AS KEY LEARNING 

PROJECTS OF OUR MEGACITY VEHICLE. 

Use of renewable 

energy. 

Market 

potential. 

Transfer 

scenarios. 

User behavior. 

Acceptance. 

Demands of 

e-infrastructure. 

Strengths and 

weaknesses. 

MINI E 2010 BMW ActiveE 

2011 BMW i3 (Megacity Vehicle) 

2013 


STRATEGIC OBJECTIVES OF BMW i DERIVED 

FROM CORPORATE STRATEGY NUMBER ONE. 

Number ONE 

Growth 

Shaping the future 

Profitability 

Access to new 

technologies/ 

customers 

Technologies/ 

Generate growth Shaping the future 

customers 

New target groups. 

New products and 

services. 

Pioneering 

technologies and 

design. 

Visionary services. 

New sales concepts. 

Sharpen BMW image 

as sustainable brand. 

Differentiation from 

competition. 

Future-proof product 

portfolio. 


BMW, BMW M AND BMW i IN PERFECT BALANCE. 

Thrilling performance. 

Striking technology. 

Unrivaled experience. 

Innovate driving pleasure. 

Focus on 

engaging aesthetics. 

Boost joy. 

Visionary mobility. 

Inspiring design. 

Next premium. 


MAIN USPS OF BMW i AND ITS PRODUCTS. 

LifeDrive 

Purpose-built 

e-mobility for more range, 

dynamics and safety. 

Holistic 

sustainability 

Sustainable product lifecycle 

from development to 

recycling. 

360 Electric 

Private charging, public 

charging, assistance 

services, flexible mobility. 

BMW eDrive 

Dynamic and intelligent 

electric drive train 

technology. 

BMW i 

BMW i3 and BMW i8 

Carbon fibre 

Lightweight 

construction for less 

weight and more 

safety. 

Next premium 

design 

Progressive shapes and 

sustainable premium 

materials. 

Mobility 

services 

Car sharing, parking 

solutions, intermodal 

mobility. 

Connectivity 

Fully integrated, 

real-time and 

location based. 


BMW i WILL PROVIDE FLEXIBLE MOBILITY. 

ASSISTANCE SERVICES 

“Provide assurance” 

FLEXIBLE MOBILITY 

“A new mobile lifestyle” 

360° ELECTRIC. 

HOME CHARGING 

“Convenient charging at home” 

PUBLIC CHARGING 

“On the road” 


FIRST BMW i BRAND STORE OPENED IN LONDON. 

Opened 06/2012 


OUR ROADMAP FOR SUSTAINABLE MOBILITY FROM 

2013: BMW i3 CONCEPT AND BMW i8 CONCEPT. 


BMW i3 CONCEPT. 


BMW i8 CONCEPT. 


BMW i – A HOLISTIC APPROACH. 

LifeDrive 360° Electric BMW eDrive Mobility services 

Holistic 

sustainability 

Carbon fibres 

Premium 

design of the future 

Connectivity 


CARBON FIBER MATERIAL IS ESSENTIAL FOR 

LIGHTWEIGHT PRODUCTION OF THE BMW i3 AND i8. 

Main arguments for the utilization of carbon fiber materials: 

• Low weight: 

CFRP parts are approx. 50% lighter than comparable steel parts and 

approx. 30% lighter than comparable aluminum parts 

• High tensile strength/stiffness: 

CFRP has excellent damping characteristics and high energy absorption 

in a crash 

• Corrosion resistance: 

Avoidance of expensive protective coatings as CFRP is resistant to 

corrosion, acid and solvent 


Join 

S 

CF-Textiles 

CARBON FIBER PRODUCTION – 

CORE COMPETENCE CF-Textiles WITHIN BMW GROUP. 

Mitsubishi Rayon Co. Ltd. 

(MRC), Otake/Japan 

• (Steam) Cracking 

• Ammoxidation 

Acrylonitrile 

JV MSP*, 

Otake/Japan 

• Polymerisation / Spinning 

PAN-Precursor 

SGL ACF, 

Moses Lake/USA 

• Oxidation 

• Carbonisation 

Carbon Fibers 

SGL ACF, 

Wackersdorf/Germany 

• Knitting 

Joint Ventu 

SGL ACF 

*) Joint Venture Mitsubishi Rayon – 

SGL Precursor Co. Ltd. (MSP) 

BMW 

SGL Automotive Carbon Fibers – 

a BMW Group and SGL Group JV 

Preforms 

CFRP- 

Components 

CF 

Fabrics 

Recycling 


Preforms 

CFRP- 

Components 

Carbon Fibers 

BMW GROUP 

Preform CFRPcomponents 

Precursor Carbonization 

Stacking 

Carbon Fibers 

Recycling 

(residual fabrics) 

Stacking 

Tailoring Preforming 

BMW i3 & i8 

Moses Lake, USA Wackersdorf, German 

The production of CFRP components Tailoring is our core competence 

Resin Transfer Molding 

– preforming, Resin-Transfer-Moulding (RTM), milling and 

tempering is all done in the BMW Group plant in Landshut. 

Painting and final assembly is done in the BMW Group plant in 

Leipzig. 

Moses Lake, USA Wackersdorf, Germany Landsh 


BMW i3 AND BMW i8 

PRODUCTION NETWORK. 

Moses Lake, 

Washington State 

Carbon fiber 

JV 

The BMW Group and the joint venture 

set up with the SGL Group are investing 

a total of €655 million in the project. 

A total of over 1,000 jobs will be created 

as a result of the investment. 


Leipzig 

Landshut 

Battery 

E 

Motor 

JV 

Wackersdorf 

CFRP fabrication 

MCV assembly CFRP alignment + recycling 

CFRP fabrication 

Dingolfing 

Drivetrain production

SUSTAINABLE PRODUCTION FOR BMW i3 AND i8. 

-70% 

water usage 

-50% 

energy 

requirements 

100% 

of the energy 

comes from renewable 

sources 


CONTENT. 



3 Automotive 

4 Motorcycles 





9 Financials 

10 Funding 


BMW MOTORCYCLES PRODUCT OVERVIEW. 

Price (€) 

20,000 

R1200 GS MJ 2013 

10,000 

R1200 GS 

Adventure 

F800 GS 2 Cyl. 

G650 GS / GS Sertao 

ENDURO TOUR SPORT ROADSTER 

F 700 GS 2 Cyl. 

K1600 GT/GTL 

R1200 RT 

F800 GT 

K1300 S 

S1000 RR 


HP4 

K 1300 R 

F800 R 

R1200 R 

Maxi Scooter 

Tourer 

Maxi Scooter 

Sport 

URBAN 

MOBILTIY 

Maxi Scooter 

Electric

BMW MOTORCYCLES RETAIL SALES 1990 – 2012. 

120 

100 

80 

60 

40 

20 

0 


31.3 

50.2 

74.6 

84.7 

92.6 93.0 92.3 


97.5 

100.1 

102.5 101.7 

1990 1995 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 

87.3 

98.0 

104.3 

106.4

MOST IMPORTANT MARKETS FOR 

BMW MOTORCYCLES IN 2012. 

Other markets 

United Kingdom 

Brazil 

Germany 19.1% 

United States 

Spain 

12.3% 

France 9.8% 

Italy 9.7% 

Germany 

United States 

France 


Italy 

Brazil 6.4% 

United Kingdom 5.0% 

Spain 4.5% 

Other markets 33.2%

CONTENT. 



3 Automotive 

4 Motorcycles 





9 Financials 

10 Funding 


GLOBAL PRESENCE IN 53 COUNTRIES WITH 6,390 

EMPLOYEES. 

BMW Financial Services 

MINI Financial Services 

Status: March 31, 2013 


PROFIT BEFORE TAX (PBT) FINANCIAL SERVICES. 

2,000 

1,750 

1,500 

1,250 

1,000 

750 

500 

250 

0 

-250 

-500 


345 

387 

422 

452 

515 

ADDITIONAL RISK PROVISIONS IN 2008. 

Automotive Segment: 

EUR 911 million 

residual values 

605 

Total: EUR 1,968 million 

685 


743 

Financial Services 

segment: 

EUR 1,057 million 


credit losses 



-292 

365 

1) 

1,214 

2) 

1,790 

3) 

1,561 

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Q1-2013 

1) FY-10 EBT includes a positive effect of EUR 122 million from better than expected off-lease business. 

2) FY-11 EBT includes a positive effect of EUR 439 million from adjustment of residual value and credit risk provisions and a better than expected off-lease business. 

3) FY-12 EBT includes a positive effect of EUR 124 million from better than expected off-lease business. 

449

RETURN ON EQUITY (ROE) FINANCIAL SERVICES. 

35% 

30% 

25% 

20% 

15% 

10% 

5% 

0% 

-5% 

in % 

18.1% 

ADDITIONAL RISK PROVISIONS IN 2008. 

Automotive Segment: 



Total: EUR 1,968 million 


segment: 

EUR 1,057 million 


credit losses 



9.2% 

1) 

26.1% 

29.4% 2) 

2007 2008 2009 2010 2011 2012 

3) 

21.2% 

-7.3% 

-10% 

1) FY-10 RoE includes a positive PBT effect of EUR 122 million from better than expected off-lease business (adjusted RoE: 23.5%). 

2) FY-11 RoE includes a positive PBT effect of EUR 439 million from adjustment of residual value and credit risk provisions and a better than expected off-lease 

business (adjusted RoE: 22.2%) 

3) FY-12 EBT includes a positive effect of EUR 124 million from better than expected off-lease business (adjusted RoE: 19.6%). 


PENETRATION RATE RETAIL BUSINESS. 

55% 

50% 

45% 

40% 

35% 

30% 

25% 

20% 

15% 

10% 

5% 

0% 

34.5% 

20.9% 

13.6% 

Financing Leasing 

35.0% 

17.2% 

36.1% 

18.3% 

17.8% 17.8% 

38.3% 

19.1% 

19.2% 

42.0% 

22.5% 

19.5% 

41.1% 

24.0% 

42.4% 

25.2% 

17.1% 17.2% 17.4% 


27.2% 

27.6% 

20.9% 

24.3% 

24.1% 

24.7% 24.1% 

21.1% 19.7% 

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 * 2012 Q1-2013 

44.6% 

48.5% 

49.0% 

48.2% 

* The penetration rate dropped significantly due to the consolidation of BMW Group Financial Services China as of January 1 st , 2011. 

41.1% 

20.0% 

40.4% 

20.7% 

44.2% 

21.8% 

22.4%

DEVELOPMENT OF CREDIT LOSS RATES. 

0.90% 

0.80% 

0.70% 

0.60% 

0.50% 

0.40% 

0.30% 

0.54% 

0.46% 

0.41% 

0.37% 

0.41% 

0.46% 


0.59% 

0.84% 

0.67% 

0.49% 

0.48% 

0.35% 

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Q1-2013

RESIDUAL VALUE DEVELOPMENT IN THE USA. 

BMW brand vs. all luxury brands (through May 2013) 

130 

125 

120 

115 

110 

105 

100 

95 

90 

85 

Jan 01 Jul 01 Jan 02 Jul 02 Jan 03 Jul 03 Jan 04 Jul 04 Jan 05 Jul 05 Jan 06 Jul 06 Jan 07 Jul 07 Jan 08 Jul 08 Jan 09 Jul 09 Jan 10 Jul 10 Jan 11 Jul 11 Jan 12 Jul 12 Jan 13 

BMW brand 

All luxury brands 

Source: Manheim Used Vehicle Value Index, mix and mileage adjusted. 


STRATEGIC FUTURE DEVELOPMENT OF FINANCIAL 

SERVICES. 

Expansion of 

BMW Bank 

2012 

2011 

since 2010 

since 2009 

DE 

BaLea* 

FR 

DE 

* BMW Leasing GmbH was merged into the BMW Bank GmbH 

IT 

ES 

PT 

Fleet Business 

E-Mobility 

New Sales & 

Service Channels 


ALPHABET AMONGST TOP FLEET COMPANIES IN 

EUROPE AFTER ACQUISITION OF ING CAR LEASE. 

New Alphabet : 

A truly European company 

ING Car Lease Alphabet both 

600,000 

500,000 

400,000 

300,000 

200,000 

100,000 

Number of 

Serviced Contracts 


0 

(old) Alphabet Former ING Car Lease Alphabet

CONTENT. 



3 Automotive 

4 Motorcycles 





9 Financials 

10 Funding 


BMW GROUP GLOBAL PRODUCTION NETWORK. 

28 LOCATIONS IN 13 COUNTRIES. 

Moses Lake 

Spartanburg 

Manaus 

Hams Hall, Oxford 

Swindon, Goodwood 

Production plants 

Assembly plants 

Joint ventures Contract production 


Steyr 

Graz 

Rosslyn 

Kaliningrad 

Cairo 

Chennai 

Eisenach 

Wackersdorf 

Landshut 

Munich 

Berlin 

Kulim 

Leipzig 

Shenyang 

Regensburg 

Dingolfing 

Rayong 

Jakarta

AUTOMOBILE PRODUCTION BY PLANT IN 2012. 


Graz 2 

Dadong 

Rosslyn 

1 

Tiexi1 Goodwood 

Leipzig 

Dingolfing, Germany 

Production of BMW 5, 6, 7 Series 

Spartanburg, USA 

Production of BMW X3, X5, X6 

Regensburg, Germany 

Production of BMW 1, 3 Series, Z4 

Munich, Germany 

Production of BMW 3 Series 

Oxford, UK 

Production of MINI 

Assembly plants 

Leipzig, Germany 

Production of BMW 1 Series, X1 

332.7 

301.5 

300.3 

214,1 

207.8 

Rosslyn, South Africa 


Goodwood, UK 

Production of Rolls-Royce 

Dadong 1 , China 


Tiexi 1 , China 

Production of BMW 3 Series, X1 

Graz (Magna Steyr 2 ), Austria 

MINI Countryman 

Dingolfing 

Spartanburg 

Regensburg 

Munich 

Oxford 

1 Joint venture 2 Contract production 


45.7 

3.3 

108.9 

41.1 

103.7 

164.3 Assembly plants 38.4

AUTOMOBILE PRODUCTION BY ASSEMBLY PLANT 

IN 2012. 

In units 

Cairo, Egypt 

3, 5 & 7 series, X1, X3 

Jakarta, Indonesia 

3 & 5 series, X1, X3 

Jakarta 

Cairo 

Rayong 

Chennai, India 

3, 5 & 7 series, X1, X3 

2,232 

1,992 

6,768 

Kaliningrad, Russia 

3,5 & 7 series, X1, X3, X5, X6 

Kulim, Malaysia 

3 & 5 series, X1, X3 

Rayong, Thailand 

3, 5 & 7 series, X1, X3 

Chennai 

Kaliningrad 

15,480 


Kulim 

5,448 

6,492

INVESTING IN THE GLOBAL PRODUCTION NETWORK. 

Germany USA China India 

Up Next: Brazil 


UK

THE BMW GROUP’S CLEAN PRODUCTION 

PHILOSOPHY. 

Certified environmental management systems (ISO 14001/EMAS) at all sites worldwide 

Reducing Solvent 

Emissions 

Reducing water usage 

and process 

wastewater 

Saving energy and 

reducing CO 2 

emissions 

Targeted management of environmental performance: 

- Monthly recording of consumption/emission figures at all sites 

- Target: 45% reduction in emissions/resource usage from 2006-2020 

- Average improvement in resource efficiency 2006 - 2011: 32% 

Avoiding or recycling 

waste 


CONTENT. 



3 Automotive 

4 Motorcycles 





9 Financials 

10 Funding 


CORPORATE SUSTAINABILITY HAS A LONG HISTORY 

AT BMW GROUP. 

1973: First Environmental Officer in the Automotive Industry. 

2000: Executive Board Resolution „Sustainability is the guiding principle of the BMW 

Group corporate strategy“. 

2009: Establishment of a Sustainability Circle and Board; corporate sustainability is 

established as corporate target. 

1997 2001 2007 2008 

2011 

Dr. Norbert Reithofer, CEO of BMW AG: 

„Sustainability throughout the value added chain is inseparable from our 

corporate self-image. 

That is why we choose to take responsibility. Because of our convictions, but 

also our self-interest, now and in the future.“ 


CORPORATE SUSTAINABILITY ENCOMPASSES THE 

WHOLE VALUE CHAIN. 


Group 

Objective 

Key Issues 

Sustainability 

management 

Basic 

principles 

Vision 

The BMW Group is the most sustainable company in the automotive industry. 

Ecology Economy 

Society 

Sustainable Mobility 

Concepts 

Product Responsibility 

Efficient Dynamics 

Environmental Protection 

Clean Production 

Environment 

Radar 

Sustainability-based 

Decisions 

Shareholder Value 

Risk Management 

Corporate Governance & 

Compliance 

Evaluation of the 

Value Chain 

Responsibility for Employees 

Value Orientation in the 

Supply Chain 

Commitment to Society 

We regard sustainability as a lasting and positive contribution towards the economic success of the company. This is the basis 

of our ecological and social responsibility. 

We consider awareness of social responsibility an inseparable part of our corporate self-conception. 

Communication 


THE ENTIRE BOARD OF MANAGEMENT IS 

COMMITTED TO SUSTAINABILITY. 


MOST IMPORTANT RATINGS / RANKINGS SHOW 

THAT BMW GROUP IS THE INDUSTRY LEADER IN 

SUSTAINABILITY. 

- Dow Jones Sustainability Indexes/Dow Jones STOXX Sustainability Indexes: Industry leader since 2005, the only 

automotive company continuously listed since 1999. 

- FTSE4Good: listed in FTSE4Good Index. 

- Carbon Disclosure Project: Industry leader 2011 and 2012, No. 3 across sectors in 2012. 

- Oekom: Corporate Responsibility Rating oekom 2012, Status Prime. 

- Sustainalytics: 1st place in "DAX 30 Nachhaltigkeitsrating” in 2011. 

- ÖKOTREND: certificate for outstanding corporate responsibility (most points in the automotive industry). 

- Corporate Knights: BMW Group ranked Number 16 among the 4,000 companies surveyed with the highest score in the 

automotive industry. 


CONTENT. 



3 Automotive 

4 Motorcycles 





9 Financials 

10 Funding 


EFFICIENTDYNAMICS – OUR WAY TO REDUCE CO 2. 


FUTURE CO 2 TARGETS CAN ONLY BE ACHIEVED WITH 

THE HELP OF NEW DRIVETRAIN TECHNOLOGIES. 

Today Tomorrow 

Lower CO 2 emissions Zero emissions 

Improved combustion 

engines 

Aerodynamics 

Lightweight construction 

Auto Start-Stop function 

Brake energy regeneration 

Hybrid 

Plug-in hybrid 

Electro-mobility Fuel cell technology 


TAILOR-MADE ENERGY MANAGEMENT PACKAGES. 

Electric 

water pump. 

Decoupled A/C 

compressor. 

Controlled fuel pump. 

Controlled 

oil pump. 

Electric steering. 

High Precision 

Injection. 

Common Rail High 

Pressure Injection. 

Air Curtain. 

Aerowheels. 

Active aerodynamics 

with cooling air flap system. 

Gear shift indicator. 

Auto Start Stop function. 

ECO Mode. 

Tires with reduced 

rolling resistance. 

Break energy regeneration. 


EFFICIENTDYNAMICS IN THE NEW BMW 3 SERIES. 

• High-efficiency petrol and diesel engines 

• Eight-speed automatic transmission 

• Brake Energy Regeneration 

• Disengageable air conditioning compressor 

• Needs-based operation of ancillary components 

• Air Curtain for improved air flow 

around the front wheels 

Flow-optimised underbody structure 

• ECO PRO mode 

• Six-speed manual transmission 

• Optimum Shift Indicator 

• Auto Start-Stop function 

• Intelligent lightweight design 

C d = 0.26 


EFFICIENTDYNAMICS IN THE NEW BMW 3 SERIES. 


BMW TWIN POWER TURBO TECHNOLOGY. 

GASOLINE 

DIESEL 

VARIABILITY DIRECT INJECTION TURBOCHARGING 

+ + 

+ + 

+ 

VALVETRONIC HIGH PRECISION INJECTION SINGLE TURBO 

TWIN-SCROLL TURBO 

TWIN TURBO 

TWIN POWER TURBO 

VARIABILITY DIRECT INJECTION TURBOCHARGING 

+ 

VARIABLE 

3 SINGLE TURBO 

TURBOCHARGER GEOMETRY 

TWIN TURBO 

TRI TURBO 


RD GENERATION 

COMMON RAIL TECHNOLOGY 

+

THE BMW GROUP 120g FLEET. 

In spring 2013 already 36 BMW Group models come with a maximum 120 g CO 2/km. 

BMW 114d 5-Door 

70 kW / 95 PS 

4.1 l / 109 g 

BMW 116d 3-Door* 

85 kW / 116 hp 

3.8 l / 99 g 

BMW 320d * 

120 kW / 163 hp 

4.1 l / 109 g 

MINI One MINIMALIST 

55 kW / 75 hp. 72 kW / 98 hp 

5.1 l / 119 g 

MINI Cooper D Clubman 

82 kW / 112 hp 

3.9 l / 103 g 


85 kW / 116 hp 

4.1 l / 109 g 


105 kW / 143 hp 

4.1 l / 109 g 

BMW 316d Touring 

85 kW / 116 hp 

4.5 l / 119 g 

MINI One D 

66 kW / 90 hp 

3.8 l / 99 g 

MINI Cooper SD Clubman 

105 kW / 143 hp 

4.4 l / 115 g 

BMW 116d 5-Door * 

85 kW / 116 hp 

3.8 l / 99 g 


135 kW / 184 hp 

4.2 l / 110 g 

BMW 318d Touring 

105 kW / 143 hp 

4.5 l / 119 g 

MINI Cooper D 

82 kW / 112 hp 

3.8 l / 99 g 

MINI One D Countryman 

66 kW / 90 hp 

4.4 l / 115 g 


105 kW / 143 hp 

4.1 l / 109 g 

BMW 118d Coupé 

105 kW / 143 hp 

4.5 l / 118 g 

BMW 320d Touring* 

120 kW / 163 hp 

4.3 l / 112 g 

MINI Cooper SD 

105 kW / 143 hp 

4.3 l / 114 g 

MINI Cooper D Countryman 

82 kW / 112 hp 

4.4 l / 115 g 

Fuel consumption figures: litres/100 km in EU test cycle, CO 2 figures: g/km. * EfficientDynamics Edition. 


135 kW / 184 hp 

4.2 l / 110 g 

BMW 316d 

85 kW / 116 hp 

4.3 l / 114 g 

BMW 520d * 

135 kW / 184 hp 

4.5 l / 119 g 

MINI Cooper D Conv. 

82 kW / 112 hp 

4.0 l / 105 g 

MINI Cooper SD Roadster 

105 kW / 143 hp 

4.5 l / 118 g 


70 kW / 95 hp 

4.1 l / 109 g 


105 kW / 143 hp 

4.3 l / 114 g 

BMW 318d GT 

105 kW / 143 145 hp 

4.5 l / 119 g 

MINI Cooper SD Conv. 

105 kW / 143 hp 

4.5 l / 118 g 

MINI Cooper SD Coupé 

105 kW / 143 hp 

4.3 l / 114 g 


85 kW / 116 hp 

4.1 l / 109 g 


135 kW / 184 hp 

4.4 l / 117 g 

BMW X1 sDrive20d * 

120 kW / 163 hp 

4.5 l / 119 g 

MINI One D Clubman 

66 kW / 90 hp 

3.9 l / 103 g 

MINI Cooper D Paceman 

82 kW / 112 hp 

4.4 l / 115 g 


50 PER CENT REDUCTION IN CO 2 EMISSIONS 1995-2020. 

50 PER CENT REDUCTION IN CO2 EMISSIONS 

1995-2020 


FLEET 1995 

> 200 CO 2 g/km 


FLEET 2012 

138 CO 2 g/km 

2020 TARGET 

FOR TOTAL 

EU FLEET 

95 CO 2 g/km* 

*Value for the BMW Group fleet 100-110 CO 2 g/km 


THE NEW BMW EFFICIENTDYNAMICS ENGINE FAMILY 

- SCALABILITY OF BASIC DESIGN OF ENGINE FAMILY 

ALLOWS A BROADER APPLICATION ACROSS VEHICLE 

PROJECTS AND TECHNOLOGIES. 

New Engine Family 

Vehicles Technologies 


THE NEW BMW EFFICIENTDYNAMICS ENGINE FAMILY– 

HIGH LEVELS OF COMMONALITY BETWEEN AND 

WITHIN DIESEL AND GASOLINE ENGINES. 

Cylinders (inline) -3 -4 -6 

Gasoline >60 % 

Diesel >60 % 

30-40 % 

Common parts shared within 

gasoline or diesel engines 

is approx. 60%. 

Between the gasoline and 

diesel engines there is a 

40% sharing. 


THE NEW BMW EFFICIENTDYNAMICS ENGINE FAMILY – 

MODULAR STRATEGY. 

Combustion Chamber: 

• Optimal size, roundabout 500 ccm 

• Central injector 

• Minimized friction 

Different aspects for Gasoline/Diesel: 

• Cylinder head elements 

• Combustion process 

Approximate range of torque and 

power per cylinder: 

• Gasoline: 60-100 Nm, 30-50 kW 

• Diesel: 75-100 Nm, 20-40 kW 


NEXT STEPS – PREDICTIVE ENERGY MANAGEMENT. 

ACC 

Navigation 

Camera 

Light/Rain Sensor 

PDC 

DSC 

DME 

Predictive Energy 

Management 

Merging all 

available sensor 

information 

Prediction of 

upcoming 

situations 

Optimized 

vehicle 

conditioning 

Brake Energy 

Regeneration 

Heat- 

management 

Auto Start 

Stop Function 

Green Routing / 

Driver assistence 

Aerodynamics 

Air conditioning 


CONTENT. 



3 Automotive 

4 Motorcycles 





9 Financials 

10 Funding 


VALUE ORIENTATION. 

Automotive: 

Return on Capital 

Employed 

Vehicle projects: 

Model return based on 

DCF 

Motorcycles: 

Return on Capital 

Employed 

Vehicle projects: 

Model return based on 

DCF 

Financial Services: 

Return on Equity 

Finance & lease 

portfolio: 

Cash flows 


EFFECTS ON AUTOMOTIVE SEGMENT’S EARNINGS IN 

2012. 


7,477 

EBIT 2011 

EBIT margin 11.8% 

+1,026 

Net effects 

FX/ 

Raw material 

+106 

Other 

operating 

income & 

expenses 

+437 

Volume/ 

Mix/Market 

+131 -653 

Depreciation 

EBIT 2012 

10.9% 


HR 

-85 

Residual 

values 

-815 

Net effects 

Number 

ONE 

7,624

EBIT MARGIN DEVELOPMENT AUTOMOTIVE SEGMENT. 

TARGET PROFITABILITY OF 8 – 10%. 

13 

12 

11 

10 

9 

8 

7 

6 

5 

4 

3 

2 

1 

0 

-1 

-2 

in % 

9.0 8.8 

8.1 7.9 7.8 

6.7 

6.4 6.4 

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Q1-2013 


1.4 

-0.6 

8.0 

11.8 

10.9 

9.9

DIVIDEND DEVELOPMENT AND PAYOUT RATIO. 

TARGET PAYOUT RATIO OF 30 – 40%. 

2,000 

1,500 

1,000 

500 

0 

18.8% 

350 351 

Total payout (in € million, LHS) 

Payout ratio* (RHS) 

17.4% 

20.1% 

392 

18.7% 18.7% 

419 

419 

458 

15.9% 


694 

22.1% 

59.7% 

93.8% 

197 197 

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 

Dividend per share (in €) 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 

Ordinary share 0.52 0.52 0,58 0.62 0.64 0.70 1.06 0.30 0.30 1.30 2.30 2.50 

Preferred share 0.54 0.54 0.60 0.64 0.66 0.72 1.08 0.32 0.32 1.32 2.32 2.52 

*Payout ratio based on Group net income before minority interest. 

852 

26.3% 

1,508 

30.7% 

1,640 

32.0% 

100.0% 

90.0% 

80.0% 

70.0% 

60.0% 

50.0% 

40.0% 

30.0% 

20.0% 

10.0% 

0.0%

NET INTEREST-BEARING ASSETS AUTOMOTIVE 

SEGMENT. 

31.12.2012 

Euro million 

+ 7,484 

Cash and cash 

equivalents 

31.03.2013 

Euro million 

+ 6,528 

Cash and cash 

equivalents 

+ 2,205 

Marketable 

securities 

+ 2,680 

Marketable 

securities 

+ 4,784 

Internal net financial 

Receivables from 


Segment 

+ 5,088 




Segment 

+1,078 



Other Entities 

Segment 

+1,796 



Other Entities 

Segment 

-2,224 

Financial 

liabilities 

-2,019 

Financial 

liabilities 

13,327 

Net interest- 

bearing assets 

14,073 

Net interest- 

bearing assets 


OPERATING CASH FLOW AND FREE CASH FLOW 

AUTOMOTIVE SEGMENT. 

10,000 

8,000 

6,000 

4,000 

2,000 

0 

-2,000 


6,246 

2,147 

4,471 

197 

4,921 

1,456 

8,150 8,110 

2007 2008 2009 2010 2011* 2012 

-81 

-754 


2,608 

4,471 

3,166 

2,385 

9,167 

3,809 

3,637 

Cash inflow from operating activities Free Cash Flow including net investments in securities Free Cash Flow before net investments in securities 

* 2011 restated: the reclassification from operating activities to financing activities resulted in an increase in the operating cash flow.

CAPITAL EXPENDITURE. 

6,000 

5,000 

4,000 

3,000 

2,000 

1,000 

0 


3,993 

8.6% 

1,396 

5.2% 

8.8% 

1,536 1,333 1,224 

7.6% 

7.9% 6.8% 

5.4% 

4.8% 

5.4% 

2,597 2,777 2,934 2,980 2,384 2,312 2,720 4,151 

2005 2006 2007 2008 2009 2010 2011 2012 


1,087 

4.6% 

951 

5.4% 

3.7% 

Capital expenditure in property, plant, equipment and intangible assets Capitalized development costs 

Capital expenditure ratio* Capex into PPE ratio* 

* based on Group revenues 

4,313 

4,267 

4,204 3,471 

3,263 

3,692 

972 

5.4% 

3.8% 

5,240 

1,089 

6.8% 

5.2% 

12% 

10% 

8% 

6% 

4% 

2% 

0%

RESEARCH & DEVELOPMENT COSTS. 

8% 

7% 

6% 

5% 

4% 

3% 

2% 

1% 

44.8% 

6.7% 

47.9% 

6.5% 

42.4% 

5.6% 

5.3% 5.2% 5.2% 5.3% 

42.8% 

5.4% 

5.1% 5.1% 5.2% 

4.8% 

4.6% 

2005 2006 2007 2008 2009 2010 2011 2012 


44.4% 

34.3% 

28.8% 

R&D Costs (IFRS) / Group revenues in % R&D Costs (HGB ) / Group revenues in % Capitalisation Ratio 

in euro million 2005 2006 2007 2008 2009 2010 2011 2012 

Research & Development Costs (IFRS) 2,464 2,544 2,920 2,825 2,587 3,082 3,610 3,993 

Research & Development Costs (HGB) 3,115 3,208 3,144 2,864 2,448 2,773 3,373 3,952 

4.9% 

5.2% 

27.6% 

5.1% 

50% 

40% 

30% 

20% 

10% 

0%

CONTENT. 



3 Automotive 

4 Motorcycles 





9 Financials 

10 Funding 


GLOBAL FUNDING OBJECTIVES TO ASSURE BMW 

GROUP’S SOLVENCY. 

Financial 

Flexibility 

Financial 

Independence 

Value 

Orientation 

Ensure sustainable access to international financial markets. 

Explore and maintain presence and competence in all strategic 

important capital markets worldwide. 

Ensure independence from individual lenders, banks and financial 

Instruments. 

Diversification of funding sources, investors and products. 

Create value by optimizing financing costs on overall Group basis. 

Credit spread management for each financial instrument. 

Ensure long-term, strategic perspective (instrument mix). 

The different objectives are interdependent and of equal importance. 


CORPORATE FINANCE CAPABILITIES. 

Categories of available instruments over the spectrum of maturities: 

CP 

ABCP 

ISSUING PROGRAMS. 

EUR 35bn EMTN-Program 

BMW AG BMW Australia Finance Limited 

BMW Finance N.V. BMW Japan Finance Corp. 

BMW US Capital, LLC 

EUR 5bn ECP-Program EUR 2bn FCP-Program 

BMW AG 

BMW Finance N.V. 

BMW Coordination Center V.O.F. 

BMW Malta Finance Ltd 

BMW Finance N.V. 

BMW US Capital, LLC 

USD 7bn USCP-Program 

EMTN Program as main mid- to long-term refinancing program with commercial paper programs to cover short-term 

liquidity needs. All issuing programs carry an unconditional guarantee from BMW AG. 


BROAD INVESTOR BASE. 

Offshore US 

USD (EMTN) PPs 

USA 

USD Extendible Notes 

USD Commercial Paper 

USD US PP 

USD ABS 

Canada 

CAD ABS 

CAD (EMTN) PPs 

CAD Domestic Bonds 

Mexico 

MXN (EMTN) PP 

Great Britain 

GBP Commercial Paper 

GBP (EMTN) PPs 

GBP Bonds 

GBP ABS 

Switzerland 

CHF (EMTN) PPs 

CHF Bonds 

South Africa 

ZAR ABS 

ZAR Domestic Bonds 

Euro Capital Markets 

EUR Commercial Paper 

French Commercial Paper 

EUR (EMTN) PPs 

EUR Benchmark Bonds 

USD Eurodollar 

AUD Euroaussie 

NOK (EMTN) Bonds 

SEK (EMTN) Bonds 

EUR ABS 

Hong Kong 

RMB (EMTN) PP 

HKD (EMTN) PP 


Japan 

JPY (EMTN) PPs 

JPY Euro-Yen 

JPY ABS 

Australia 

AUD (EMTN) PP 

AUD ABS 

Funding is done worldwide to optimize refinancing costs and to establish a 

broad investor base.

DEVELOPMENT OF BMW GROUP LIQUIDITY. 

14 

12 

10 

8 

6 

4 

2 

0 

in euro billion 

5.4 4.8 4.9 

1.9 

3.5 

2.1 

2.7 

1.2 

3.7 

8.2 

0.7 

7.5 

Cash & cash equivalents Marketable securities & investment funds 

10.1 

0.8 

9.3 

11.9 

1.1 

10.8 

9.9 9.4 9.7 9.7 

1.5 

8.4 

1.6 

1.7 1.7 

7.8 8.0 8.0 

8.7 9.0 9.1 

8.6 

7.1 7.4 7.1 7.5 


1.6 

1.6 

1.5 

1.7 

2.4 

8.5 

2.3 

7.8 

2.7 

9.3 

2.7 

2.6 2.7 

8.1 8.5 8.4 

Q1-08 Q2-08 Q3-08 FY-08 Q1-09 Q2-09 Q3-09 FY-09 Q1-10 Q2-10 Q3-10 FY-10 Q1-11 Q2-11 Q3-11 FY-11 Q1-12 Q2-12 Q3-12 FY-12 Q1-13 

After significantly increasing liquidity during the economic and financial crisis, the BMW Group continues to maintain 

a solid liquidity position. 

10.9 

10.1 

12.0 

10.8 11.0 11.0 

11.0 

3.0 

7.9

DEVELOPMENT OF 5-YEAR CDS. 

500 

400 

300 

200 

100 

bps 

0 

Jan 07 Jul 07 Jan 08 Jul 08 Jan 09 Jul 09 Jan 10 Jul 10 Jan 11 Jul 11 Jan 12 Jul 12 Jan 13 

Source: Reuters Credit Views as of 07/06/2013 


BOND AND PRIVATE PLACEMENT MATURITIES. 

10,000 

9,000 

8,000 

7,000 

6,000 

5,000 

4,000 

3,000 

2,000 

1,000 

0 


Maturities based on nominal values excluding derivatives. 

Issuance Maturities 

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 


FINANCIAL DEBT AS OF MARCH 31, 2013. 

Bonds / 

PPs 

EUR 68.3 bn* 

Structured finance 

4% 

44% 

Bank loans 

5% 5% 

SSD 

Others 

1% 

16% 

13% 

ABS 

5% 

*Adjusted, excluding currency and interest rate derivatives. 

7% 

Customer 

deposits 

Brokered CDs 

Commercial 

Paper 

Debt Maturity 

≤1 year 

43 % 

(44%**) 

BMW Group maintained a well-diversified debt structure. 

The average maturity of financial liabilities is approximately 2.0 years. 

57 % 

(56%**) 

** comparative figures as of 31 December 2012 

> 1 year 


FUNDING ACTIVITY IN 2012 AND 2013. 

ABS 

Bonds 

Private Placements 

Schuldschein 

Australian Loan Conduit, 20 July 2012, AUD 600mn 

USD 750mn Public Floorplan, 12 September 2012 

UK Loan Conduit, 14 September 2012, GBP 500mn 

Japanese Loan Conduit, 28 September 2012, JPY 35bn 

USD 1.0bn Public Lease Deal, 24 January 2013 

Japanese Loan Conduit, 29 March 2013, JPY 30bn 

Canadian Loan Conduit, 28 March 2013, CAD 700mn 

Swiss Public Lease Deal, 15 May 2013, CHF 300mn 

CAD 500mn dual tranche benchmark bond, settlement 26 November 2012: 

CAD250mn, 3.5 year term (2.11% coupon) 

CAD250mn, 5 year term (2.39% coupon) 

EUR 750mn benchmark, 5.5 year term, settlement 5 December 2012 (1.5% coupon) 

EUR 1.75bn dual tranche benchmark bond, settlement 24 January 2013: 

EUR 1bn, 3.75 year term (1% coupon) 

EUR 750mn, 10 year term (2.375% coupon) 

USD 500mn bond, 4 year term, settlement 05 April 2013 (1.375% coupon) 

EUR 1bn benchmark, 4.25 year term, settlement 18 April 2013 (1.0% coupon) 

CAD 450mn dual tranche benchmark bond, settlement 23 May 2013: 

CAD200mn, 1.5 year term (CDOR +23bps coupon) 

CAD250mn, 5 year term (2.33% coupon) 

Issuance 2012: EUR 2.5bn 

Issuance 2013: EUR 1.9bn 

Constant issuance in different currencies (EUR, JPY, AUD, SEK, USD, CHF, HKD, CNY) 

A total amount of EUR 728mn was issued in 2012 

Issuance 2013: EUR 275mn 

Commercial Paper EUR 4.0bn outstanding as of May 31, 2013 


BMW GROUP INVESTOR RELATIONS – CONTACTS. 

Torsten Schüssler 

Head of Investor Relations 

Phone: +49-89-382-25387 

Email: torsten.schuessler@bmw.de 

Helge Jorch 

Equity & SRI IR 

Phone: +49-89-382-24272 

Email: helge.jorch@bmw.de 

Bernd Daser 

Debt & Equity IR 

Phone: +49-89-382-31684 

Email: bernd.daser@bmw.de 

Carina Wollmann 

Equity & SRI IR 

Phone: +49-89-382-21378 

Email: carina.wollmann@bmw.de

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