BMW 2001 Annual Report Download - page 17

001 BMW Group in figures
004 Report of the Supervisory Board
008 Supervisory Board
011 Board of Management
012 Group Management Report
029 BMW Stock
033 Group Financial Statements
098 BMW AG Financial Statements
104 BMW Group Annual Comparison
106 BMW Group Locations
108 Glossary
112 Index
16
Financial Services expands its strategic
business areas
Financial Services again successfully supported the
sale of BMW Group products by offering tailor-made
financing and leasing solutions for individuals, busi-
ness customers and the dealer network. The busi-
ness volume of the segment in 2001, at euro 20.6
billion, was comparable to the previous year.
The new business almost completely offset the
discontinuation of Rover financing. In all, 1.21 million
financing contracts were signed in 2001 (previous
year: 1.23 million), approximately 45% for customer
business, and around 55% for dealer financing.
The penetration rate in new car sales i.e. the
proportion of new BMW vehicles financed through
BMW Financial Services, remains above the average
for the industry. One in three BMW brand cars sold
is financed by BMW Financial Services.
With a penetration rate of 48.9%, the US
market shows the largest share of financing BMW
cars, ahead of East Asia (41.2%) and Europe
(28.2%).
The successful expansion of Financial Services
was supported by a greater geographical spread of
business, with fleet management, multibrand financ-
ing and direct banking, new strategic areas of opera-
tions, being expanded according to plan.
In 2001, new companies took up fleet manage-
ment operations in Belgium, Spain, France, Scandi-
navia and the Netherlands.
Deposit business in 2001 increased on a world-
wide basis to an average total deposit volume of eu-
ro 2,210 million. This represents a growth of 44.3%
against the previous year.
Since June 2001, the BMW Bank offers invest-
ment fund products. A total of 4,939 customer se-
curities accounts had been opened by the year-end.
The net cash inflow amounted to approximately euro
47.4 million in spite of the difficult market conditions.
Almost 5,000 new jobs created
As a result of the continuing, positive development
of business, the BMW Group created 4,991 new
jobs in 2001, above all in the production, sales and
development areas. At 31 December 2001, the
BMW Group employed a worldwide workforce of
97,275 employees (previous year: 93,624). After ad-
justment for the transfer of the supply plant Power-
train Ltd., Bracknell, and the sale of British Motor
Heritage in 2001, the equivalent headcount in 2000
was 92,284 employees and the effective increase in
2001 was 5.4%.
With the continuing demand for personnel in
mind, the BMW Group attaches great importance to
training activities. In 2001 more than 1,100 appren-
tices were taken on and approximately 800 appren-
Financial Services: New contracts signed
in 1,000 units
1,800
1,600
1,400
1,200
1,000
800
600
400
200
97 98 99 00 01
802
1,015
1,212 1,225 1,209
BMW Group apprentices at 31 December
4,000
3,500
3,000
2,500
2,000
1,500
1,000
500
97*
*excluding Rover Group apprentices
98*99*00 01
3,136 3,295 3,483 3,698 3,829