Annual Report 2009 - Toyota Financial Services

Toyota Financial Services Czech s.r.o.WholesaleOur Company, already since 2000, when it started its operations on the Czech market, has been supporting the sale of Toyotaand Lexus brands also by way of the provision of financial assistance to authorized brand dealers for the purpose of acquiringstock inventories of new and used cars, demonstration cars and the provision of special-purpose financial credits.In February 2003, we offered to car dealers in response to their needs, a new support scheme that opened up wider possibilitiesand put in place for our Company also more effective securing and monitoring of the support product portfolio.The scheme was subsequently modified in October 2005 when new securing arrangements were incorporated into it, the limitswere restructured and the scheme for the financing of demonstration cars was radically changed. Produkt was redesigned totake into account new market conditions, with new price list being effective from 1 March 2009.The wholesale products offered have their logical names: Toyota New SF – financing of stocks of new cars, Toyota Used SF –financing of stocks of used cars, Toyota Demo – financing of stocks of demonstration cars, Toyota Financing I/C – financing inthe form of investment credits, Toyota Financing W/C – financing of the working capital. In addition, we offer financing underfinance lease or operating lease contracts, where the parameters of these products are very similar to retail products (ToyotaLeasing and Toyota Rent), only some details are different.The dealer support scheme also includes the plan of participation of our Company in advertising activities of individual dealersand the commission scheme. For all of the above products, product limits are set that differ according to the solvency ofindividual partners, their requirements and other parameters affecting them.The dealers’ interest in the financial support provided by our Company has been growing inyear-on-year terms. Whereas in the fiscal year 2005 our Company provided funds in the amount of CZK 1,095 million, in fiscalyear 2009 the volume provided amounted to CZK 1,951 million (an increase by 78%). Compared to the previous year, thevalues financed increased by 24% (comparison 2009/2008: CZK 1,95 billion / CZK 1,57 billion).Figure 6 – Development of financial support provided to dealersFinanced value (in CZK million)2,0001,8001,6001,4001,2001,00080060040020002005 2006 2007 2008 2009Fiscal yearThe above figures were very markedly influenced in particular by the financing of the Toyota New SF product (financing ofstocks of new cars) thanks to which we have also indirectly speeded up the delivery of vehicles for end-customers between thestocks (warehouses) of the distributor of Toyota cars in the Czech Republic – the company TOYOTA MOTOR CZECH spol. s r.o.and individual authorized dealers.Also the financing of demonstration cars (Toyota Demo) gained in importance. We endeavour to meet 100% of the dealers’demands for demonstration cars.20