BMW 2011 Annual Report Download

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ANNUAL REPORT 2011
CORPORATE
GOVERNANCE
CORPORATE
GOVERNANCE
EARNINGS PERFORMANCE
EARNINGS PERFORMANCE
BALANCE SHEETS
NOTES TO THE GROUP
FINANCIAL STATEMENTS
KEY PERFORMANCE
FIGURES
KEY PERFORMANCE
FIGURES
SEGMENT INFORMATION
REFINANCING
NOTES TO
FINANCIAL POSITION
STATEMENT OF
COMPREHENSIVE INCOME
REFINANCING
CASH FLOW STATEMENTS
NET ASSETS POSITION
COMPARISON
TEN-YEAR COMPARISON
INCOME
STATEMENTS

Table of contents

  • Page 1
    ANNUAL REPORT 2011 CORPORATE GOVERNANCE REFINANCING EARNINGS PERFORMANCE CASH FLOW STATEMENTS KEY PERFORMANCE FIGURES COMPARISON INCOME STATEMENTS REFINANCING SEGMENT INFORMATION BALANCE SHEETS FINANCIAL POSITION NOTES TO THE GROUP FINANCIAL STATEMENTS NET ASSETS POSITION STATEMENT OF...

  • Page 2
    ... 43 46 49 BMW GROUP IN FIGURES REPORT OF THE SUPERVISORY BOARD STATEMENT OF THE CHAIRMAN OF THE BOARD OF MANAGEMENT COMBINED GROUP AND COMPANY MANAGEMENT REPORT A Review of the Financial Year General Economic Environment Review of Operations BMW Stock and Capital Market in 2011 Disclosures relevant...

  • Page 3
    ... world. With BMW, MINI and Rolls-Royce, the BMW Group owns three of the strongest premium brands in the automobile industry. The vehicles it manufactures set the highest standards in terms of aesthetics, dynamics, technology and quality, borne out by the company's leading position in engineering and...

  • Page 4
    4 BMW Group in figures Sales volume of automobiles in thousand units 1,700 1,600 1,500 1,400 1,300 1,200 1,100 Revenues in â,¬ billion 70 65 60 55 50 45 40 07 08 09 10 11 07 08 09 10 11 68.8 1,500.7 1,435.9 1,286.3 1,461.2 1,669.0 56.0 53.2 50.7 60.5 Profit before financial ...

  • Page 5
    5 BMW Group in figures 2007 Sales volume - Automobiles BMW MINI Rolls-Royce Total Sales volume - Motorcycles BMW Husqvarna Total Production - Automobiles BMW MINI Rolls-Royce Total Production - Motorcycles BMW Husqvarna Total Workforce at end of year 1 BMW Group 2008 2009 2010 2011 Change in %...

  • Page 6
    6 Joachim Milberg Chairman of the Supervisory Board

  • Page 7
    7 REPORT OF THE SUPERVISORY BOARD Ladies and Gentlemen, The BMW Group finished the financial year 2011 with sales volume, results and profitability at record levels and consolidated its position as market leader in the premium car segment. Despite volatile business conditions, the BMW Group ...

  • Page 8
    ... key technologies and generate competitive advantages. We consider that the Board of Management remains on track with a viable strategy for the future. Prior to granting our approval, we carefully examined the long-term business plan presented by the Board of Management for the years from 2012...

  • Page 9
    ... its prudent planning of fixed costs. In a second part of our meeting in autumn we held intensive discussions with the Board of Management regarding specific technical innovations, questions of product strategy and new concepts for both vehicles and services. In this context, the members of the...

  • Page 10
    ...-audit-related services rendered for the BMW Group by KPMG entities. There were no indications of lack of independence or grounds for exclusion. The fee proposals for the audit of the year-end Company and Group Financial Statements 2011 and the review of the six-month Interim Financial Report were...

  • Page 11
    ... stock, each with a par value of â,¬ 1, at favourable conditions to employees. The Personnel Committee convened three times during the financial year 2011, with the emphasis of activities on the preparation of decisions relating to Board of Management compensation. In a small number of cases...

  • Page 12
    ... audit opinion. Documents relating to the Company and Group Financial Statements, the Combined Company and Group Management Report, the long-form audit reports of the external auditors and the Board of Management's profit distribution proposal were made available to all members of the Supervisory...

  • Page 13
    ... financial year 2011 prepared by the Board of Management. The Company Financial Statements are therefore adopted. Both in the Audit Committee and in the full Supervisory Board we examined the proposal of the Board of Management to use the unappropriated profit to pay a dividend of â,¬ 2.30 per share...

  • Page 14
    14 Norbert Reithofer Chairman of the Board of Management

  • Page 15
    15 STATEMENT OF THE CHAIRMAN OF THE BOARD OF MANAGEMENT Dear Shareholders, The 2011 financial year was the best ever in the history of your Company, the BMW Group. We achieved new sales volume, revenues and earnings highs, and exceeded our targets. The BMW Group remains the world's top-selling ...

  • Page 16
    ... against current trends and developments. Our aim for the 2012 financial year is to build on past year's success. We are targeting new highs in sales volume and pre-tax Group earnings. We intend to continue operating at a high level of profitability over the long term, which means maintaining...

  • Page 17
    ... STATEMENT OF THE CHAIRMAN OF THE BOARD OF MANAGEMENT In 2011 we opened a new production plant for carbon fibres in Moses Lake in the United States together with the SGL Group. It forms part of our international manufacturing network of ultra-light carbon-fibre reinforced plastic (CFRP) for the BMW...

  • Page 18
    ... Events Report 59 Value Added Statement 61 Key Performance Figures 62 Comments on BMW AG Internal Control System and explanatory comments Risk Management Outlook The BMW Group experienced the best year of its corporate history in 2011, selling 1,668,982 BMW, MINI and Rolls-Royce brand cars (+ 14...

  • Page 19
    ... Group revenues, despite substantial levels of investment in innovative products and technologies. BMW Group strengthens market position in European fleet business Cash inflow from operating activities of the Automotive segment Adjusted for effect of change in accounting policy for leased products...

  • Page 20
    ... Assets Position 59 Subsequent Events Report 59 Value Added Statement 61 Key Performance Figures 62 Comments on BMW AG Internal Control System and explanatory comments Risk Management Outlook After a phase of global economic upswing that began in the second half of 2009, the last six months of 2011...

  • Page 21
    ... assessment of the global economy resulted in a capital outflow from emerging markets in 2011, causing currencies in Russia, India and Brazil to lose ground against the euro. 07 08 09 10 11 Source: Working Group for the Iron and Metal Processing Industry Oil price trend Price per barrel of...

  • Page 22
    ... 53 Financial Position 56 Net Assets Position 59 Subsequent Events Report 59 Value Added Statement 61 Key Performance Figures 62 Comments on BMW AG Internal Control System and explanatory comments Risk Management Outlook 07 Source: Reuters 08 09 10 11 East, served to keep the price of...

  • Page 23
    ... rates. The situation on the world's used car markets continued to stabilise in 2011. Used car prices fell, however, in a number of markets, such as Spain, Italy and Greece. Overall, credit risk levels for retail, dealer and importer financing business eased slightly during the year under report...

  • Page 24
    ... BMW Stock and Capital Market Disclosures relevant for takeovers and explanatory comments Financial Analysis Internal Control System and explanatory comments Risk Management Outlook We sold a total of 1,668,982 BMW, MINI and RollsRoyce Motor Cars brand vehicles during the year 2011, the best sales...

  • Page 25
    ...COMBINED GROUP AND COMPANY MANAGEMENT REPORT + 25.7 %). The 3 Series is also currently undergoing a model change. The new BMW 3 Series Sedan was first revealed to the public in October 2011 and will be launched on markets worldwide in mid-February 2012. Despite approaching the end of its life cycle...

  • Page 26
    ... BMW Stock and Capital Market Disclosures relevant for takeovers and explanatory comments Financial Analysis Internal Control System and explanatory comments Risk Management Outlook (2010: 46,004 units). With a sales volume of 104,827 units, the BMW X5 once again outdid its previous year...

  • Page 27
    ... 30.5 Sales volume record for Rolls-Royce Motor Cars Rolls-Royce Motor Cars also registered the best sales volume figure in the 107 years of the marque's history. A total of 3,538 units was sold in 2011 (+ 30.5 %) and all of the Rolls-Royce models contributed to the brand's success. Luxury cars of...

  • Page 28
    ... of the Financial Year General Economic Environment Review of Operations 24 Automotive segment 29 Motorcycles segment 31 Financial Services segment 33 Research and development 36 Purchasing 37 Sales 38 Workforce 40 Sustainability BMW Stock and Capital Market Disclosures relevant for takeovers and...

  • Page 29
    ... this site in 2011, setting a new record for the South African plant. The figure includes more than 2,500 car bodies bound for the assembly plant in India. Furthermore, preparations for the production start of the sixthgeneration BMW 3 Series in 2012 were also initiated during the year under report...

  • Page 30
    ... 33 Research and development 36 Purchasing 37 Sales 38 Workforce 40 Sustainability BMW Stock and Capital Market Disclosures relevant for takeovers and explanatory comments Financial Analysis Internal Control System and explanatory comments Risk Management Outlook Motorcycle production increased...

  • Page 31
    ... in balance sheet terms also grew in 2011, rising by 13.6 % to â,¬ 75,245 million (2010: â,¬ 66,233 million). The acquisition of the ICL Group - undertaken as part of a new strategy in the field of fleet business - was an important aspect of this expansion (â,¬ 3,647 million). The Financial Services...

  • Page 32
    ... in terms of liquidity management and equity allocation. BMW Leasing GmbH was successfully merged with BMW Bank GmbH in August 2011. Business expanded in new markets Americas Europe / Middle East / Africa EU-Bank The Financial Services operations set up in China in the previous year made...

  • Page 33
    ... value and interest rate risks, operational risks and insurance business-related risks), the value at risk (VaR) is calculated by the Financial Services segment on the basis of a confidence level of 99.98 % and a holding period of one year. An integrated limit system is used to control such losses...

  • Page 34
    ... of the Financial Year General Economic Environment Review of Operations 24 Automotive segment 29 Motorcycles segment 31 Financial Services segment 33 Research and development 36 Purchasing 37 Sales 38 Workforce 40 Sustainability BMW Stock and Capital Market Disclosures relevant for takeovers and...

  • Page 35
    35 COMBINED GROUP AND COMPANY MANAGEMENT REPORT Successful tests conducted with automated research vehicle In order to promote automated driving with state-ofthe-art assistance systems, the BMW Group is working on an electronic co-driver. For research purposes, a BMW 5 Series Sedan was fitted with...

  • Page 36
    ...is a key factor in the continued success of the BMW Group. Numerous model start-ups during the reporting year Regional mix of BMW Group purchase volumes 2011 in %, basis: production material Africa Asia / Australia Central and Eastern Europe NAFTA Germany Rest of Western Europe Germany Rest of...

  • Page 37
    ... 90 Rolls-Royce dealerships. New training centres have been set up around the world to ensure that our customers continue to receive the best possible standard of service. Record year for customer services The BMW Group presented its new sub-brand, BMW i, in February. BMW i stands for sustainable...

  • Page 38
    ... Services segment 33 Research and development 36 Purchasing 37 Sales 38 Workforce 40 Sustainability BMW Stock and Capital Market Disclosures relevant for takeovers and explanatory comments Financial Analysis Internal Control System and explanatory comments Risk Management Outlook The BMW Group...

  • Page 39
    ... workforce (voluntary employment contract termination agreements) Developing acquisition skills and expertise management Achieving excellence in leadership remains a vital factor in the implementation of Strategy Number ONE and plays an important part in the long-term success of the BMW Group. As...

  • Page 40
    ...Research and development 36 Purchasing 37 Sales 38 Workforce 40 Sustainability BMW Stock and Capital Market Disclosures relevant for takeovers and explanatory comments Financial Analysis Internal Control System and explanatory comments Risk Management Outlook The BMW Group's sustainability strategy...

  • Page 41
    ... for road transport to 11.9 %. In total, 53.1 % of all new cars left the Group's plants by rail (+ 3.6 percentage points). Sustainability in the value-added chain The amount of non-recyclable waste from production processes was reduced by 20.8 % to 7.99 kg per vehicle produced in 2011. The main...

  • Page 42
    ... of the Financial Year General Economic Environment Review of Operations 24 Automotive segment 29 Motorcycles segment 31 Financial Services segment 33 Research and development 36 Purchasing 37 Sales 38 Workforce 40 Sustainability BMW Stock and Capital Market Disclosures relevant for takeovers and...

  • Page 43
    ...back via the stock market in order to service the employee share programme. Top-level ratings BMW AG's long-term and short-term ratings were raised by one level in July 2011 by the rating agency Moody's from A3/P-2 to A2/P-1 with a stable outlook. In September 2011 the rating agency Standard & Poor...

  • Page 44
    ... COMBINED GROUP AND COMPANY MANAGEMENT REPORT 18 20 24 43 46 49 66 67 73 A Review of the Financial Year General Economic Environment Review of Operations BMW Stock and Capital Market Disclosures relevant for takeovers and explanatory comments Financial Analysis 49 Internal Management System 51...

  • Page 45
    ...held in New York and Leipzig. Capital-market days for sustainability-oriented investors were organised in autumn 2011 for the first time in New York and Munich, at which we presented our extensive sustainability activities as well as the BMW i3 and i8 concept vehicles. The BMW Group has strengthened...

  • Page 46
    ... Net Assets Position 59 Subsequent Events Report 59 Value Added Statement 61 Key Performance Figures 62 Comments on BMW AG Internal Control System and explanatory comments Risk Management Outlook The subscribed capital (share capital) of BMW AG amounted to â,¬ 655,566,568 at 31 December 2011 (2010...

  • Page 47
    ... share capital of BMW AG, the right to receive more than 50 % of the dividend or the right to direct the affairs of the Company or appoint the majority of members of the Supervisory Board. - A cooperation agreement concluded with Peugeot SA relating to the joint development and production of a new...

  • Page 48
    ...18 COMBINED GROUP AND COMPANY MANAGEMENT REPORT 18 20 24 43 46 49 66 67 73 A Review of the Financial Year General Economic Environment Review of Operations BMW Stock and Capital Market Disclosures relevant for takeovers and explanatory comments Financial Analysis 49 Internal Management System 51...

  • Page 49
    ...rate) Value added = Group Ã- capital employed Cost of capital (EC + DC) 2011 3,575 2010 * 3,286 Value added Group 2011 4,062 2010 * 1,934 2010 * 5,220 7,637 Adjusted for effect of change in accounting policy for leased products as described in note 8 A positive value added means that a company...

  • Page 50
    ... Performance 53 Financial Position 56 Net Assets Position 59 Subsequent Events Report 59 Value Added Statement 61 Key Performance Figures 62 Comments on BMW AG Internal Control System and explanatory comments Risk Management Outlook The average level of capital employed for a particular year is...

  • Page 51
    ...high-value model mix, our strong market position and further efficiency improvements. The BMW Group recorded a net profit of â,¬ 4,907 million (2010: â,¬ 3,243 million) for the financial year 2011. The post-tax return on sales was 7.1 % (2010: 5.4 %). Earnings per share of common and preferred stock...

  • Page 52
    ... Performance 53 Financial Position 56 Net Assets Position 59 Subsequent Events Report 59 Value Added Statement 61 Key Performance Figures 62 Comments on BMW AG Internal Control System and explanatory comments Risk Management Outlook Revenues generated by the BMW Group in the Africa, Asia and...

  • Page 53
    ... balance sheet. Cash flows from operating activities are determined indirectly, starting with Group and segment net profit. By contrast, cash flows from investing and financing activities are based on actual payments and receipts. Cash inflows and outflows relating to operating leases, where the BMW...

  • Page 54
    ...of Operations BMW Stock and Capital Market Disclosures relevant for takeovers and explanatory comments Financial Analysis 49 Internal Management System 51 Earnings Performance 53 Financial Position 56 Net Assets Position 59 Subsequent Events Report 59 Value Added Statement 61 Key Performance Figures...

  • Page 55
    ... instruments to refinance our operations via international money and capital markets. Almost all of the funds raised are used to finance the BMW Group's Financial Services business. Apart from issuing commercial paper on the money market, the BMW Group's financing companies also issue bearer bonds...

  • Page 56
    ... Analysis 49 Internal Management System 51 Earnings Performance 53 Financial Position 56 Net Assets Position 59 Subsequent Events Report 59 Value Added Statement 61 Key Performance Figures 62 Comments on BMW AG Internal Control System and explanatory comments Risk Management Outlook good conditions...

  • Page 57
    ...than at 31 December 2010, mainly reflecting increased business volumes. Financial assets went up by 6.3 % to â,¬ 5,453 million, largely due to higher levels of marketable securities and investment fund shares, whilst the overall increase was kept down by fair value losses. Liquid funds increased by...

  • Page 58
    58 Balance sheet structure - Group in â,¬ billion Non-current assets 18 60 % 61 % 22 % 22 % Equity COMBINED GROUP AND COMPANY MANAGEMENT REPORT 18 20 24 43 46 49 66 67 73 A Review of the Financial Year General Economic Environment Review of Operations BMW Stock and Capital Market Disclosures...

  • Page 59
    ... Group and Company Management Report. Subsequent events No events have occurred after the balance sheet date which could have a major impact on the earnings performance, financial position and net assets of the BMW Group. Value added statement The value added statement shows the value of work...

  • Page 60
    ... value added 1 2 18 COMBINED GROUP AND COMPANY MANAGEMENT REPORT 2011 in % 2010 1 in â,¬ million 2010 in % Change in % 18 20 24 43 46 49 66 67 73 A Review of the Financial Year General Economic Environment Review of Operations BMW Stock and Capital Market Disclosures relevant for takeovers...

  • Page 61
    ...on sales Pre-tax return on equity Post-tax return on equity Equity ratio - Group Automotive Financial Services Coverage of intangible assets, property, plant and equipment by equity Return on capital employed Group Automotive Motorcycles Return on equity Financial Services Cash inflow from operating...

  • Page 62
    ...Financial Position 56 Net Assets Position 59 Subsequent Events Report 59 Value Added Statement 61 Key Performance Figures 62 Comments on BMW AG Internal Control System and explanatory comments Risk Management Outlook The dynamic performance of the world's car markets resulted in strong sales volume...

  • Page 63
    ...the financial year. In the opposite direction, liabilities to subsidiaries in conjunction with intra-group financing arrangements decreased. BMW AG Balance Sheet at 31 December in â,¬ million 2011 Assets Intangible assets Property, plant and equipment Investments Tangible, intangible and investment...

  • Page 64
    ... 53 Financial Position 56 Net Assets Position 59 Subsequent Events Report 59 Value Added Statement 61 Key Performance Figures 62 Comments on BMW AG Internal Control System and explanatory comments Risk Management Outlook Revenues Cost of sales Gross profit Sales costs Administrative costs Research...

  • Page 65
    ... GROUP AND COMPANY MANAGEMENT REPORT KPMG AG Wirtschaftsprüfungsgesellschaft, Munich, has issued an unqualified audit opinion on the financial statements of BMW AG, of which the balance sheet and the income statement are presented here. The BMW AG financial statements for the financial year 2011...

  • Page 66
    ... COMBINED GROUP AND COMPANY MANAGEMENT REPORT 18 20 24 43 46 49 66 67 73 A Review of the Financial Year General Economic Environment Review of Operations BMW Stock and Capital Market Disclosures relevant for takeovers and explanatory comments Financial Analysis 49 Internal Management System 51...

  • Page 67
    .... We employ cash-flow-at-risk models and scenario analyses to measure exchange rate risks. These tools provide information which serves as the basis for decision-making in the area of currency management. We manage currency risks both at a strategic (medium and long term) and at an operating level...

  • Page 68
    ... Net Assets Position 59 Subsequent Events Report 59 Value Added Statement 61 Key Performance Figures 62 Comments on BMW AG Internal Control System and explanatory comments Risk Management Outlook Interest-rate risks are managed by raising refinancing funds with matching maturities and by employing...

  • Page 69
    ...the market in 2013 as the BMW Group's first series production electric car for use in the world's major metropolitan regions. Operating risks mastered in 2011. Material supplies were fully assured at all times by means of appropriate early-intervention measures. Risks relating to Financial Services...

  • Page 70
    ... COMBINED GROUP AND COMPANY MANAGEMENT REPORT 18 20 24 43 46 49 66 67 73 A Review of the Financial Year General Economic Environment Review of Operations BMW Stock and Capital Market Disclosures relevant for takeovers and explanatory comments Financial Analysis 49 Internal Management System 51...

  • Page 71
    ... the underlying strength of the BMW Group. By drawing on the productive benefits of a diverse workforce we will continue to be able to serve existing sales markets in the best interests of customers and to make inroads on new markets. Risks relating to pension obligations Compliance with the law...

  • Page 72
    ...Report 59 Value Added Statement 61 Key Performance Figures 62 Comments on BMW AG Internal Control System and explanatory comments Risk Management Outlook transferred to BMW Trust e. V. and can only be used to meet corresponding pension obligations. In the UK, the USA and a number of other countries...

  • Page 73
    73 COMBINED GROUP AND COMPANY MANAGEMENT REPORT Outlook Economic outlook for 2012 Car markets in 2012 The global economy faces a number of major risks in 2012. Economic growth is generally expected to slow down from approximately 3.0 % in 2011 to around 2.5 % in 2012. The main influencing ...

  • Page 74
    ... around 350,000 vehicles p. a. at the US Spartanburg plant. Furthermore, capacities are also being raised in South Africa, India and Russia. Some â,¬ 2 billion are being invested in production sites in Germany during the years 2011 and 2012. The BMW Group is a profitable business, built on a strong...

  • Page 75
    ... in the coming year. Motorcycles segment Provided that economic conditions remain stable overall, we forecast a further growth for the BMW Group in 2013, with higher business volumes having a positive impact on revenues and earnings. New and attractive models will be added to the product range over...

  • Page 76
    ...Note Group 2011 2010 * (adjusted) Automotive (unaudited supplementary information) 2011 2010 Revenues Cost of sales Gross profit Sales and administrative costs Other operating income Other operating expenses Profit / loss before financial result Result from equity accounted investments Interest...

  • Page 77
    ... from equity accounted investments Interest and similar income Interest and similar expenses Other financial result Financial result Profit / loss before tax Income taxes Net profit / loss Attributable to minority interest Attributable to shareholders of BMW AG Earnings per share of common stock in...

  • Page 78
    ... assets Deferred tax Other assets Non-current assets Inventories Trade receivables Receivables from sales financing GROUP FINANCIAL STATEMENTS Income Statements Statement of Comprehensive Income 78 Balance Sheets 80 Cash Flow Statements 82 Group Statement of Changes in Equity 84 Notes 84 Accounting...

  • Page 79
    ...Intangible assets Property, plant and equipment Leased products Investments accounted for using the equity method Other investments Receivables from sales financing Financial assets Deferred tax Other assets Non-current assets Inventories Trade receivables Receivables from sales financing Financial...

  • Page 80
    ... / loss of tangible and intangible assets and marketable securities Result from equity accounted investments Changes in working capital Change in inventories GROUP FINANCIAL STATEMENTS Income Statements Statement of Comprehensive Income 78 Balance Sheets 80 Cash Flow Statements 82 Group Statement of...

  • Page 81
    ... products Change in receivables from sales financing Change in deferred taxes Other non-cash income and expense items Gain / loss of tangible and intangible assets and marketable securities Result from equity accounted investments Changes in working capital Change in inventories Change in trade...

  • Page 82
    ... BMW Group Group Statement of Changes in Equity in â,¬ million Note Subscribed capital Capital reserves Revenue reserves Pension obligations Other revenue reserves 1 January 2010 (as originally reported) Change in accounting policy and reclassifications* 1 January 2010 (adjusted) Net profit...

  • Page 83
    ... GROUP FINANCIAL STATEMENTS Accumulated other equity Treasury shares Equity attributable to shareholders of BMW AG Minority interest Total Translation differences Securities Derivative financial instruments 209 Pension obligations - 1,747 20 -1,582 - 19,902 13 19,915 1 January 2010...

  • Page 84
    ... sheet on transfer of the related significant risks and rewards. The balance sheet volume of the assets sold at 31 December 2011 totalled â,¬ 9.4 billion (2010: â,¬ 7.5 billion). In addition to credit financing and leasing contracts, the Financial Services segment also brokers insurance business...

  • Page 85
    ...Report can be downloaded from the BMW Group website at www.bmwgroup.com / ir. The Board of Management authorised the Group Financial Statements for issue on 16 February 2012. 2 Consolidated companies The BMW Group Financial Statements include, besides BMW AG, all material subsidiaries, six special...

  • Page 86
    ... share deal. The purchase consideration was paid in cash. All of the acquired entities operate in the car leasing business within the European region. This acquisition expands the BMW Group's international customer base and its portfolio of products and services in the field of fleet management. BMW...

  • Page 87
    ... Group Financial Statements for the year ended 31 December 2011: Fair values at 30 September 2011 in â,¬ million Provisional amounts at 30 September 2011 Definitive amounts at 31 December 2011 Assets Intangible assets Property, plant and equipment Leased products Receivables from sales financing...

  • Page 88
    ... are recorded, at the date of the transaction, at cost. Exchange gains and losses computed at the balance sheet date are recognised as income or expense. The exchange rates of those currencies which have a material impact on the Group Financial Statements were as follows: Closing rate 31.12. 2011 31...

  • Page 89
    ... STATEMENTS Profits arising on the sale of vehicles for which a Group company retains a repurchase commitment (buy-back contracts) are not recognised until such profits have been realised. The vehicles are included in inventories and stated at cost. Cost of sales comprises the cost of products sold...

  • Page 90
    ... used in multiple-shift operations, depreciation rates are increased to account for the additional utilisation. GROUP FINANCIAL STATEMENTS Income Statements Statement of Comprehensive Income 78 Balance Sheets 80 Cash Flow Statements 82 Group Statement of Changes in Equity 84 Notes 84 Accounting...

  • Page 91
    ... at the Group's share of equity taking account of fair value adjustments on acquisition. Investments in non-consolidated Group companies reported in other investments are measured at cost or, if lower, at their fair value. Participations are measured at their quoted market price or fair value. When...

  • Page 92
    ... as financial assets to the extent that they relate to financing transactions. Derivative financial instruments are only used within the BMW Group for hedging purposes in order to reduce currency, interest rate, fair value and market price risks from operating activities and related financing...

  • Page 93
    ... income from the expected return on pension plan assets are reported separately as part of the financial result. All other costs relating to allocations to pension provisions are allocated to costs by function in the income statement. Other provisions are recognised when the BMW Group has a present...

  • Page 94
    ... default risk is not taken into account. The salary level trend refers to the expected rate of salary increase which is estimated annually depending on inflation and the career development of employees within the Group. The expected rate of return on plan assets is based on market expectations...

  • Page 95
    ...-current assets Other revenue reserves Equity Deferred tax liabilities Non-current provisions and liabilities Balance sheet total of the asset. The BMW Group considers that the change in accounting policy results in a measurement of leased products that better reflects their value from a business...

  • Page 96
    ...to the Balance Sheet 129 Other Disclosures 145 Segment Information 76 76 76 Change in presentation of the Statement of Cash Flows The net profit for the financial year ended 31 December 2010 increased by â,¬ 9 million as a result of the change in accounting policy for leased products. In addition...

  • Page 97
    ... Standards and Amendments issued by the IASB during previous accounting periods, were not mandatory for the period under report and were not applied in the financial year 2011: Mandatory from 1. 1. 2012 1. 1. 2012 1. 1. 2013 1. 1. 2015 Endorsed by the EU No Yes No No Expected impact on BMW Group...

  • Page 98
    ... entity's business model and partly on the contractual cash flow characteristics of the financial assets. GROUP FINANCIAL STATEMENTS Income Statements Statement of Comprehensive Income 78 Balance Sheets 80 Cash Flow Statements 82 Group Statement of Changes in Equity 84 Notes 84 Accounting Principles...

  • Page 99
    99 GROUP FINANCIAL STATEMENTS significant impact since the BMW Group accounts for joint ventures using the equity method. The BMW Group does not intend to adopt the amendments early. In May 2011 the IASB published IFRS 13 (Fair Value Measurement). IFRS 13 defines the term fair value, sets out the ...

  • Page 100
    ...in accounting policy for leased products as described in note 8 Cost of sales include â,¬ 14,068 million (2010: â,¬ 14,115 million) relating to financial services business. As in the previous year, manufacturing costs do not contain any impairment losses on intangible assets and property, plant and...

  • Page 101
    ... Co. KG, Munich, and DriveNow Verwaltungs GmbH, Munich, are also included for the first time in the result from equity accounted investments. 15 Net interest result in â,¬ million Expected return on plan assets relating to pension plans and pre-retirement part-time work arrangements Other interest...

  • Page 102
    ...year 2011 relates mainly to an impairment loss recognised on the investment in a dealership. GROUP FINANCIAL STATEMENTS Income Statements Statement of Comprehensive Income 78 Balance Sheets 80 Cash Flow Statements 82 Group Statement of Changes in Equity 84 Notes 84 Accounting Principles and Policies...

  • Page 103
    ... (+) / benefits (-) for prior years" includes the impact of tax field audits and intrain â,¬ million Intangible assets Property, plant and equipment Leased products Investments Other current assets Tax loss carryforwards Provisions Liabilities Consolidations group transfer pricing arrangements...

  • Page 104
    ... billion (2010: â,¬ 1.9 billion) due to exchange rate factors. As in previous years, deferred tax assets recognised on these tax losses - amounting to â,¬ 492 million at the end of in â,¬ million GROUP FINANCIAL STATEMENTS Income Statements Statement of Comprehensive Income 78 Balance Sheets 80 Cash...

  • Page 105
    ... size. The average number of employees during the year was: 2011 Employees Apprentices and students gaining work experience 91,168 5,942 97,110 2010 88,933 5,513 94,446 The number of employees at the end of the reporting period is disclosed in the Combined Group and Company Management Report.

  • Page 106
    ...the BMW Group and share-based commitments to members of the Board of Management. In the case of the employee share scheme, non-voting shares of preferred stock in BMW AG were granted to qualifying employees during the financial year 2011 at favourable conditions (see note 34 for the number and price...

  • Page 107
    ...-for-sale securities Financial instruments used for hedging purposes Exchange differences on translating foreign operations Actuarial losses relating to defined benefit pension and similar plans Other comprehensive income from equity accounted investments Other comprehensive income * 2011* Deferred...

  • Page 108
    ... in accounting policy for leased products as described in note 8 Analysis of changes in Group tangible, intangible and investment assets 2010 Acquisition and manufacturing cost in â,¬ million 1. 1. 2010 Translation differences Additions Reclassifications Disposals 31. 12. 2010 Development costs...

  • Page 109
    ..., factory and office equipment Advance payments made and construction in progress Property, plant and equipment Leased products3 Investments accounted for using the equity method Investments in non-consolidated subsidiaries Participations Non-current marketable securities Other investments 3,186 18...

  • Page 110
    ... leases contain extension and purchase options. A finance lease contract accounted for at the level of BMW of North America LLC relating to an operational building has a carrying amount of â,¬ 1 million at 31 December 2011 (2010: â,¬ 2 million) and a remaining term of four years. The lease for plant...

  • Page 111
    ... non-consolidated subsidiaries, investments in other companies and non-current marketable securities. Additions to investments in non-consolidated subsidiaries relate primarily to a capital increase at the level of BMW India Financial Services Pvt. Ltd., New Delhi, a capital increase at the level of...

  • Page 112
    ... the different classes of other invest- ments disclosed in the balance sheet and changes during the year are shown in the analysis of changes in Group tangible, intangible and investment assets in note 22. 27 Receivables from sales financing, totalling â,¬ 49,345 million (2010: â,¬ 45,365 million...

  • Page 113
    ...The rise in marketable securities and investment funds reflects primarily an increase in the BMW Group's strategic liquidity reserve. Investment funds are held to secure obligations relating to pre-retirement part-time work arrangements. These funds are managed by BMW Trust e.V., Munich, as part of...

  • Page 114
    ... three months Debt securities 241 2,088 2,329 282 1,283 1,565 31.12. 2011 31. 12. 2010 GROUP FINANCIAL STATEMENTS Income Statements Statement of Comprehensive Income 78 Balance Sheets 80 Cash Flow Statements 82 Group Statement of Changes in Equity 84 Notes 84 Accounting Principles and Policies 100...

  • Page 115
    ... from other companies in which an investment is held include â,¬ 380 million (2010: â,¬ 251 million) due within one year. Prepayments of â,¬ 945 million (2010: â,¬ 847 million) relate mainly to prepaid interest, development costs not eligible for capitalisation as non-current assets, insurance...

  • Page 116
    ... Statements Group Statement of Changes in Equity Notes 84 Accounting Principles and Policies 100 Notes to the Income Statement 107 Notes to the Statement of Comprehensive Income 108 Notes to the Balance Sheet 129 Other Disclosures 145 Segment Information Allocated / reversed Utilised Exchange rate...

  • Page 117
    ... gains and losses relating to defined benefit pension obligations, similar obligations and plan assets (as well as deferred taxes recognised directly in equity on these items) are also reported here, along with positive and negative goodwill arising on the consolidation of Group companies prior to...

  • Page 118
    ...Group Financial Statements. Accumulated other equity going concern in the long-term and to provide an adequate return to shareholders. The BMW Group manages the capital structure and makes adjustments to it in the light of changes in economic conditions and the risk profile of the underlying assets...

  • Page 119
    ... country, various pension plans are used, based generally on the length of service, final salary and remuneration structure of the employees involved. Due to similarity of nature, the obligations of BMW Group companies in the USA and of BMW (South Africa) (Pty) Ltd., Pretoria, for post-employment...

  • Page 120
    ... development of risks impacting on pension obligations and differences between the actual and expected return on plan assets. Actuarial gains or losses are recognised directly in revenue reserves within equity. Past service cost arises where a BMW Group company introduces a defined benefit plan...

  • Page 121
    ... defined benefit plans of the BMW Group gave rise to an expense from pension obligations in the financial in â,¬ million Current service cost Expense from reversing the discounting of pension obligations Past service cost Expected return on plan assets Expense from pension obligations 2011 142 248...

  • Page 122
    ...account of costs and unplanned risks. This approach resulted in the following expected rates of return on plan assets (disclosed on the basis of weighted averages): United Kingdom 2011 5.30 2010 5.40 2011 5.35 Other 2010 5.51 2010 5.30 Germany GROUP FINANCIAL STATEMENTS Income Statements Statement...

  • Page 123
    ...2011 2,650 6,666 617 1,106 11,039 Total 2010 2,647 6,163 456 1,189 10,455 A substantial portion of plan assets is invested in debt securities in order to minimise the effect of capital market fluctuations. Other investment classes, such as stocks and shares, serve to generate higher rates of return...

  • Page 124
    ... in the financial year under report (2010: actuarial gains â,¬ 221 million). 36 GROUP FINANCIAL STATEMENTS Income Statements Statement of Comprehensive Income 78 Balance Sheets 80 Cash Flow Statements 82 Group Statement of Changes in Equity 84 Notes 84 Accounting Principles and Policies 100 Notes...

  • Page 125
    ... Other Financial liabilities 27,568 7,740 10,689 5,242 7,506 2,010 1,598 62,353 The BMW Group uses various short-term and long-term refinancing instruments on money and capital markets to finance its operations. This diversification enables it to obtain attractive market conditions. The main...

  • Page 126
    ... Flow Statements 82 Group Statement of Changes in Equity 84 Notes 84 Accounting Principles and Policies 100 Notes to the Income Statement 107 Notes to the Statement of Comprehensive Income 108 Notes to the Balance Sheet 129 Other Disclosures 145 Segment Information 76 76 76 BMW (UK) Capital plc...

  • Page 127
    ... Social security Advance payments from customers Deposits received Payables to subsidiaries Payables to other companies in which an investment is held Deferred income Other Other liabilities 548 67 1,858 231 178 25 4,068 2,962 9,937 31 December 2010 in â,¬ million Maturity within one year 560...

  • Page 128
    ... from lease financing Deferred income relating to service contracts Grants Other deferred income Deferred income GROUP FINANCIAL STATEMENTS Income Statements Statement of Comprehensive Income 78 Balance Sheets 40 80 Cash Flow Statements 82 Group Statement of Changes in Equity 84 Notes 84 Accounting...

  • Page 129
    ... to non-group entities. The usual commercial guarantees have been given in relation to the sale of Rover Cars and Land Rover activities. Other financial obligations facilities. The leases run for periods of one to 47 years and in some cases contain extension and / or purchase options. In 2011 an...

  • Page 130
    ...Equity Notes 84 Accounting Principles and Policies 100 Notes to the Income Statement 107 Notes to the Statement of Comprehensive Income 108 Notes to the Balance Sheet 129 Other Disclosures 145 Segment Information Credit card receivables Other Cash and cash equivalents Trade receivables Other assets...

  • Page 131
    131 GROUP FINANCIAL STATEMENTS Other liabilities Availablefor-sale Carrying amount Carrying amount 2 Fair value option Carrying amount 2 Held for trading Carrying amount 2 Assets Fair value - - - - 561 - - - - - Other investments Receivables from sales financing Financial assets ...

  • Page 132
    ... to third parties Credit card receivables Other Cash and cash equivalents GROUP FINANCIAL STATEMENTS Income Statements Statement of Comprehensive Income 78 Balance Sheets 80 Cash Flow Statements 82 Group Statement of Changes in Equity 84 Notes 84 Accounting Principles and Policies 100 Notes to the...

  • Page 133
    133 GROUP FINANCIAL STATEMENTS Other liabilities Availablefor-sale Carrying amount Carrying amount * Fair value option Carrying amount * Held for trading Carrying amount * Assets Fair value - - - - 177 - - - - - Other investments Receivables from sales financing Financial assets ...

  • Page 134
    ... 82 Group Statement of Changes in Equity 84 Notes 84 Accounting Principles and Policies 100 Notes to the Income Statement 107 Notes to the Statement of Comprehensive Income 108 Notes to the Balance Sheet 129 Other Disclosures 145 Segment Information 76 Financial instruments measured at fair value...

  • Page 135
    ... income statement effect in the financial in â,¬ million Held for trading Gains / losses from the use of derivative instruments Available-for-sale year 2011 (income of â,¬ 20 million reported in the line item "Financial Result"). Since most of the fair value of the option price is fixed, changes...

  • Page 136
    ... instruments with terms of up to 60 months (2010: 72 months) to hedge interest rate risks. It is expected that â,¬ 10 million of net losses, recognised in equity at the end of the reporting period, will be recognised in the income statement in 2012. At 31 December 2011 the BMW Group held derivative...

  • Page 137
    ... of the BMW Group's credit risk management. Every borrower's creditworthiness is tested for all credit financing and lease contracts entered into by the BMW Group. In the case of retail customers, creditworthiness is assessed using validated scoring systems integrated into the purchasing process. In...

  • Page 138
    ...duties between trading and processing. Currency and interest rate risks are managed at a corporate level. Further disclosures relating to risk management are provided in the Combined Group and Company Management Report. Currency risk As an enterprise with worldwide operations, business is conducted...

  • Page 139
    ... the balance sheet date to unfavourable changes in exchange rates for the principal currencies. 31.12. 2011 180 121 182 23 31. 12. 2010 265 103 184 30 Currency risk for the BMW Group is concentrated on the currencies referred to above. Interest rate risk The BMW Group's financial management system...

  • Page 140
    ... expected value for the interest rate relevant positions of the BMW Group for the three principal currencies: 31.12. 2011 38 24 3 31. 12. 2010 11 27 4 British Pound Other risks GROUP FINANCIAL STATEMENTS Income Statements Statement of Comprehensive Income 78 Balance Sheets 80 Cash Flow Statements...

  • Page 141
    ..., changes in leased products are now reported on a net basis within operating activities. The presentation of receivables from sales financing within the Cash Flow Statement has also been changed in the Group Financial Statements for the year ended 31 December 2011 to ensure that lease and financing...

  • Page 142
    ... logistics services for the BMW Group during the financial year 2011. In addition, com- GROUP FINANCIAL STATEMENTS Income Statements Statement of Comprehensive Income 78 Balance Sheets 80 Cash Flow Statements 82 Group Statement of Changes in Equity 84 Notes 84 Accounting Principles and Policies 100...

  • Page 143
    ... members of the Board of Management or Supervisory Board of BMW AG. The same applies to close members of the families of those persons. BMW Trust e.V., Munich, administers assets on a trustee basis to secure obligations relating to pensions and pre-retirement part-time work arrangements in Germany...

  • Page 144
    ... compensation of the members of the Supervisory Board for the financial year 2011 amounted to â,¬ 4.5 million (2010: â,¬ 3.1 million). This comprised fixed comGROUP FINANCIAL STATEMENTS Income Statements Statement of Comprehensive Income 78 Balance Sheets 80 Cash Flow Statements 82 Group Statement...

  • Page 145
    ... segment develops, manufactures, assembles and sells cars and off-road vehicles, under the brands BMW, MINI and Rolls-Royce as well as spare parts and accessories. BMW and MINI brand products are sold in Germany through branches of BMW AG and by independent, authorised dealers. Sales outside Germany...

  • Page 146
    ...-current assets * Motorcycles 2011 1,427 9 1,436 45 88 62 2010 1,291 13 1,304 71 70 74 2011 51,684 11,545 63,229 7,477 3,728 3,568 2010 44,221 9,916 54,137 4,355 3,355 3,592 Adjusted for effect of change in accounting policy for leased products as described in note 8 GROUP FINANCIAL STATEMENTS...

  • Page 147
    ...segment revenues Total revenues Segment result Capital expenditure on non-current assets Depreciation and amortisation on non-current assets Financial Services 31.12. 2011 7,169 31. 12. 2010 5,216 Other Entities 31.12. 2011 47,875 31. 12. 2010 44,985 Reconciliation to Group figures 31.12. 2011 57...

  • Page 148
    ... 2011 included investments accounted for using the equity method amounting to â,¬ 21 million (2010: â,¬ 23 million). The information disclosed for capital expenditure and depreciation and amortisation relates to property, plant and equipment, intangible assets and leased products. Segment figures...

  • Page 149
    149 GROUP FINANCIAL STATEMENTS In the case of information by geographical region, external sales are based on the location of the customer's registered office. Revenues with major customers were not material overall. The information disclosed for nonInformation by region current assets relates to ...

  • Page 150
    ... risks associated with the expected development of the Group." Munich, 16 February 2012 Bayerische Motoren Werke Aktiengesellschaft The Board of Management 76 76 76 78 80 82 84 GROUP FINANCIAL STATEMENTS Income Statements Statement of Comprehensive Income Balance Sheets Cash Flow Statements Group...

  • Page 151
    ..., the balance sheet for group, cash flow statement for group, group statement of changes in equity and the notes to the group financial statements and its report on the position of the Company and the Group for the business year from 1 January to 31 December 2011. The preparation of the consolidated...

  • Page 152
    ... of the Board of Management Work Procedures of the Supervisory Board Compensation Report Information on Corporate Governance Practices Compliance in the BMW Group The designation "BMW Group" comprises Bayerische Motoren Werke Aktiengesellschaft (BMW AG) and its group entities. BMW AG is a stock...

  • Page 153
    ... with respect to the recommendations of the "Government Commission on the German Corporate Governance Code" pursuant to § 161 German Stock Corporation Act The Board of Management and Supervisory Board of Bayerische Motoren Werke Aktiengesellschaft ("BMW AG") declare the following with respect to...

  • Page 154
    ... Industrial Relations Director BMW Motoren GmbH (Chairman) TÜV Süd AG BMW (South Africa) (Pty) Ltd. (Chairman) Leipziger Messe GmbH Dr. Ian Robertson (HonDSc) (born 1958 ) Sales and Marketing Mandates Rolls-Royce Motor Cars Limited (Chairman) Dr.-Ing. Herbert Diess (born 1958 ) Purchasing and...

  • Page 155
    ... Chairman since 07. 06. 2011) FESTO AG (Chairman since 26. 03. 2011) SAP AG ZF Friedrichshafen AG (until 31. 12. 2011) Deere & Company Deputy Chairman Chairman of the Executive Management of Merck KGaA Chairman of the Audit Committee and Independent Finance Expert; member of the Presiding Board...

  • Page 156
    ...Board of Management Work Procedures of the Supervisory Board Compensation Report Information on Corporate Governance Practices Compliance in the BMW Group Entrepreneur Mandates ALTANA AG (Deputy Chairman) SGL Carbon SE UnternehmerTUM GmbH (Chairman) 1 Employee 2 Employee representatives (company...

  • Page 157
    ...born 1953 ) Head of Development "Small Model Series" Maria Schmidt1 (born 1954 ) Member of the Works Council, Dingolfing Jürgen Wechsler 2 (born 1955 ) (since 10. 02. 2011) Regional Head of IG Metall Bavaria Mandates Schaeffler AG (Deputy Chairman) Werner Zierer1 (born 1959) Chairman of the...

  • Page 158
    ... management and risk controlling systems are in place throughout the Group. During their period of employment for BMW AG, members of the Board of Management are bound by a comprehensive non-competition clause. They are required to act in the enterprise's best interests and may not pursue personal...

  • Page 159
    ...secretariat for Board of Management matters assists the Chairman and other board members with the preparation and follow-up work connected with board meetings. At meetings of the Operations Committee (generally held twice a month), decisions are reached in connection with automobile product projects...

  • Page 160
    ... the members of the Board of Management and decides upon the level of compensation they are to receive. The Supervisory Board can revoke appointments for important reasons. held per calendar year, as was the case in 2011. One meeting each year is planned to cover a number of days and is used...

  • Page 161
    161 STATEMENT ON CORPORATE GOVERNANCE After its meetings, the Supervisory Board is generally provided information on new vehicle models in the form of a short presentation. Following the election of a new Supervisory Board member, the BMW Corporate Governance Officer informs the new member of the ...

  • Page 162
    ... § 161 AktG Members of the Board of Management Members of the Supervisory Board Work Procedures of the Board of Management Work Procedures of the Supervisory Board Compensation Report Information on Corporate Governance Practices Compliance in the BMW Group In accordance with the relevant terms of...

  • Page 163
    ... Supervisory Board members) - set up in accordance with the recommendation contained in the German Corporate Governance Code, activities based on terms of reference Audit Committee - supervision of the financial reporting process, effectiveness of the internal control system, risk management system...

  • Page 164
    ...should be set at 70 years. In exceptional cases, members may be allowed to remain on the Board up until the Annual General Meeting following their 73rd birthday in order to fulfil legal requirements or to facilitate smooth succession in the case of persons with key roles or specialist qualifications...

  • Page 165
    ... remuneration elements comprise mainly the use of Company cars as well as the payment of insurance premiums, contributions towards security systems and an annual medical check-up. The basic remuneration of members of the Board of Management was raised in 2011. For the financial year 2011, the basic...

  • Page 166
    ... for Board of Management members to invest 20 % of the total bonus of each member (after tax but including any taxes and social insurance amounts borne by the Company) in BMW AG common stock. As a general rule, the shares must be held for a minimum of four years. As part of a matching plan, at...

  • Page 167
    ... event of which the Company no longer has any obligation to pay benefits. In such cases, no transitional payments will be made either. Retired board members are entitled to use Company and lease vehicles in line with the rules applicable for senior heads of departments. Apart from the cancellation...

  • Page 168
    .... No members of the Board of Management received any payments or benefits from third parties in 2011 on account of their activities as members of the Board of Management of BMW AG. Overview of compensation system and compensation components Component Salary for 2011 (for financial year 2012 and...

  • Page 169
    ...17 to the Group Financial Statements for a description of the accounting treatment of the share-based compensation component. 2 Provisional number or provisional monetary value calculated on the basis of the closing price of BMW common stock in the XETRA trading system on 30 December 2011 (â,¬ 51.76...

  • Page 170
    ...a performance-related compensation of â,¬ 220 for each full â,¬ 0.01 by which the earnings per share (EPS) of common stock reported in the Group Financial Statements for the relevant financial year (remuneration year) exceed a minimum amount of â,¬ 2.30 (payable after the Annual General Meeting held...

  • Page 171
    ...in % Fixed compensation Variable compensation Total compensation 1.6 2.9 4.5 35.6 64.4 100.0 2010 Amount Proportion in % 1.6 1.5 3.1 51.6 48.4 100.0 Supervisory Board members did not receive any further compensation or benefits from the BMW Group for advisory and agency services personally rendered...

  • Page 172
    ... Members of the Supervisory Board Work Procedures of the Board of Management Work Procedures of the Supervisory Board Compensation Report Information on Corporate Governance Practices Compliance in the BMW Group Maria Schmidt1 Jürgen Wechsler 1, 2 Werner Zierer1 Total 3 1 These employee...

  • Page 173
    ... employees of BMW AG have been able to participate in the enterprise's success since 1989 and the share-based commitments to Board of Management members starting in 2011 (for further information see also page 168 within the Compensation Report and note 17 to the Group Financial Statements). In 2011...

  • Page 174
    ... new suppliers. The BMW Group also insists that its suppliers ensure that their sub-contractors comply with set standards. Purchasing terms and conditions and other 152 153 154 155 158 160 165 173 175 STATEMENT ON CORPORATE GOVERNANCE (Part of Management Report) Information on the Company...

  • Page 175
    ... Supervisory Board BMW AG Annual Report Board of Management BMW AG Annual Report BMW Group Compliance Committee BMW Group Compliance Committee Office Compliance Operations Network of all BMW Group Compliance Responsibles Annual Compliance Reporting Run Compliance Risk Analysis Legal...

  • Page 176
    ... and followed up by the BMW Group Compliance Committee Office using an electronic Case Management System. If necessary, Corporate Audit, Corporate Security, the Works Council and Legal Affairs may be called upon to assist in the investigation process. A reporting system has been established for the...

  • Page 177
    ...a special service area where various practical tools and aids are made available to employees, which help them deal with typical compliance-related matters. BMW Group employees also have access on the website to an electronically supported approval process for invitations in connection with business...

  • Page 178
    ... OTHER INFORMATION BMW Group Ten-year Comparison 2011 Deliveries to customers Automobiles Motorcycles3 Production Automobiles Motorcycles4 Financial Services Contract portfolio Business volume (based on balance sheet carrying amounts)5 Income Statement Revenues Gross profit margin Group 6 Profit...

  • Page 179
    ... 39.3 1,947 42,411 22.8 3,505 3,297 7.8 1,277 38.7 2,020 Revenues Gross profit margin Group 6 Profit before financial result Profit before tax Return on sales (earnings before tax / revenues) Income taxes Effective tax rate Net profit for the year Balance Sheet 56,619 32,378 21,744 24.4 33,469 33...

  • Page 180
    ... markets with 25 production and assembly plants, 43 sales subsidiaries and a research and development network. -H -R Headquarters Research and Development BMW Group Research and Innovation Centre (FIZ), Munich, Germany BMW Group Research and Technology, Munich, Germany BMW Car IT, Munich, Germany...

  • Page 181
    ... of Rolls-Royce Motor Cars Limited) Hams Hall plant, GB Landshut plant Leipzig plant Munich plant Oxford plant, GB Regensburg plant Rosslyn plant, South Africa BMW Brilliance Automotive Ltd., Shenyang, China (joint venture with Brilliance China Automotive Holdings) Spartanburg plant, USA Steyr plant...

  • Page 182
    ... efficient engine technologies and lightweight construction to comprehensive energy and heat management inside the vehicle. Equity ratio The proportion of equity (= subscribed capital, reserves, accumulated other equity and minority interest) to the balance sheet total. Free cash flow Accounting...

  • Page 183
    ...is widely accepted on the global capital markets. Ratings are published by independent rating agencies, e. g. Standard & Poor's or Moody's, based on their analysis of a company. Return on sales Supplier relationship management (SRM) uses focused procurement strategies to organise networked supplier...

  • Page 184
    ..., 93, 102 et seq., 125 Intangible assets 52, 54, 57, 89, 110 Inventories 56 et seq., 62, 93, 115 Investments accounted for using the equity method and other investments 91, 111 K Key data per share L 44 Lease business 31 et seq., 68 Leased products 53 et seq., 111 Locations 180 et seq. M Dealer...

  • Page 185
    ... sheet structure - Group 58 BMW Group Value added 60 Production and sales volume Selling, general and administrative expenses 100 et seq. Sales volume 5, 18, 24 et seq., 75 Segment information 145 et seq. Shareholdings of members of the Board of Management and the Supervisory Board 143 Statement...

  • Page 186
    ... emissions data of BMW Group vehicles Values measured on the basis of the New European Driving Cycle (EU Directive no. 692 / 2008 in the relevant applicable version). Valid for vehicles with a European country specification. All engines comply with EU-5 emission standards (exceptions are indicated...

  • Page 187
    187 OTHER INFORMATION Model Urban (l / 100 km) Extra-urban (l / 100 km) Combined (l / 100 km) CO2 emissions (g / km) BMW 3 Series Convertible 318i1 320i 325i 330i 335i 320d 325d 330d M3 5 Series Sedan 520i 528i 528i xDrive2 530i 535i 535i xDrive2 550i2 550i xDrive2 520d ...

  • Page 188
    ... 204 178 178 180 182 184 185 190 191 OTHER INFORMATION BMW Group Ten-year Comparison BMW Group Locations Glossary Index Index of Graphs Financial Calendar Contacts 8.9 (9.1) 8.9 (9.1) 13.5 (12.6) 12.6 5.6 (5.5) 5.6 (5.5) 7.0 (6.9) 6.9 6.8 (6.8) 6.8 (6.8) 9.4 (9.0) 9.0 159 (159) 159 (159) 219...

  • Page 189
    ... be available in the 3rd quarter of 2012 With dual clutch transmission as standard 9 With EU-6 compliance as standard 8 Further information and constantly updated data for the vehicles is available on the Internet at www.bmw.com, www.mini.com and www.rolls-roycemotorcars.com. As of model year 2012

  • Page 190
    ... March 2012 Annual General Meeting Quarterly Report to 30 June 2012 Quarterly Report to 30 September 2012 Annual Report 2012 Annual Accounts Press Conference Analyst and Investor Conference Quarterly Report to 31 March 2013 Annual General Meeting Quarterly Report to 30 June 2013 Quarterly Report to...

  • Page 191
    ...www.bmw.com, www.mini.com and www.rolls-roycemotorcars.com Scan the QR code to go directly to the online Annual Report for tablets. http://annual-report2011.bmwgroup.com A FURTHER CONTRIBUTION TOWARDS PRESERVING RESOURCES BMW Group Annual Report 2011 awarded the Blue Angel eco-label. The paper used...

  • Page 192
    ... GOVERNANCE REFINANCING CASH FLOW STATEMENTS KEY PERFORMANCE FIGURES TEN-YEAR COMPARISON INFORMATION SEGMENT NET ASSETS POSITION TEMENTS REFINANCING CASH FLOW STATEM BALANCE SHEETS STATEMENT OF COMPREHENSIVE INCOME EARNINGS PERFORMANCE NOTES TO THE GROUP FINANCIAL STATEMENTS TEN-YEAR...

  • Page 193
    WHAT DRIVES US 2011 BMW GROUP

  • Page 194

  • Page 195
    ...whether or not to make a purchase. This is why customer focus guides our company. In our "Moments of sheer pleasure" we captured nine of our customers on camera as they collected their new vehicles. What exactly makes their new BMW, MINI, Rolls-Royce or their motorcycle so fascinating? I invite you...

  • Page 196
    Norbert Reithofer Chairman of the Board of Management

  • Page 197
    ... in our products and our company. This is part of our corporate culture. It is what makes us strong and unique. This is BMW. 3. Putting future trends on the roads To define the mobility of tomorrow, we need to be clear about what our future customers want and what society expects from us. For...

  • Page 198
    driving in urban settings, using new drive technologies and multimedia networking. This is the starting point for the new BMW i family scheduled for launch in late 2013: the BMW i3 and the BMW i8 were designed from the start as pure electric vehicles or plug-in hybrids. At the same time, we are also...

  • Page 199
    .... PASSION Passion. Future challenges. Moments of sheer pleasure. Key technical data, fuel consumption and CO2 emission ratings for the vehicles referred to in this report can be found on page 88 et seq. CONTENTS Driving mobility forward by never standing still. Our passion drives emotions.

  • Page 200
    Daniel Blesinger (left) collects his new 1 Series M Coupé at BMW Welt. More moments of sheer pleasure, starting on page 67

  • Page 201
    We move people.

  • Page 202
    More than 3,899 WHAT MAKES US UNIQUE More than 90 nationalities worldwide apprentices 80 140 100,306 nationalities at our Munich location associates 9.6 countries with BMW Group presence 5 per cent associates under 30 continents Over 21.6 per cent associates over 50 16.1 per cent ...

  • Page 203
    ... develop and manufacture the vehicles of the BMW Group and send them on their way to our customers. Their life stories and cultures are as diverse as the experience and ideas they bring with them. They are all driven by one vision: to offer the best premium products in the world. motorcycle brands...

  • Page 204
    ... with foresight. It means looking at the future as something we can shape today. We embrace this responsibility in many different ways: towards our customers through pioneering products and services; towards society and the environment by developing sustainable forms of individual mobility; towards...

  • Page 205
    ...-BUILT DESIGN PURPOSE-BUILT DESIGN MEGACITIES WASTE-FREE PRODUCTION CAR SHARING PREMIUM E MOBILITY MEGACITIES WASTE-FREE PRODUCTION CAR SHARING RECYCLED COMPONENTS ULTRA-LIGHT CFRP CAR SHARING 50% LESS CO2 LIFECYCLE PLUG-IN HYBRID PREMIUM E MOBILITY LIFEDRIVE LIFEDRIVE MOBILITY SERVICES...

  • Page 206
    ... 2011 COUPÉ MINI COOPER SD COUPÉ ROLLS-ROYCE PHANTOM 2011 BMW X5 BMW X6 BMW X5 M BMW X6 COUPÉ MINI COOPER SD COUPÉ MINI JOHN COOPER WORKS ROA MINI COOPE R COUPÉ MINI COOPER S BMW C 650 GT ROLLS-ROYCE PHANTOM ROLLS-ROYCE COUPÉ ROLLS-ROYCE GHOST BMW X5 BMW X6 BMW X5 M BMW X6 COOPER D MINI...

  • Page 207
    ...BMW X5 BMW X6 BMW X5 M BMW X6 MINI JOHN COOPER WORKS CHALLENG MINI JOHN COOPER WORKS ROADSTER OPER SD ROADSTER WOOD Passion. Precision. Dedication. Design excellence. Innovation. All of these and more go into every product we offer. That explains why our vehicles never cease to inspire. Last year...

  • Page 208
    Always in motion. We never stand still, because there is always something we can improve on. There is always another idea waiting to be realised. More customers for our products to inspire. A future to be shaped. That is what premium mobility means to us.

  • Page 209

  • Page 210

  • Page 211
    Driven to move others. MOMENTS OF SHEER PLEASURE PASSION FUTURE CHALLENGES Three articles about people who reinvented and built the BMW 3 Series. Scan the QR code to go directly to the online Annual Report for tablets. http://annual-report2011.bmwgroup.com/bmwgroup/2011/passion

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    20 Stories about people and the role they played in the success of the new BMW 3 Series. The Driving Experience Control developers. The designers. The men and women who build the new BMW 3 Series. The more dynamic a company, the more attractive it is to people who want to move things forward, who ...

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    2011 BMW GROUP 21 Thailand 0.2 % 1.2 % Italy Other countries 6.5 % South Africa 2.4 % 6.3 % UK India 0.7 % 0.2 % China 14 Germany 5 countries 6.4 % continents USA Workforce by segment 73.1 % Percentage of associates by production location Austria 91.2 % Automotive segment 3.0 %...

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    .... 1 How can you help drivers use their own cars as efficiently as possible? How can you persuade them to embrace a highly complex technology? BMW Group developers have achieved just that with the Driving Experience Control. SHOWING THE EXTRA MILE Fuel-efficient driving really pays off with the...

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    2011 BMW GROUP 23 The first BMW Group vehicles to feature Efficient Dynamics as standard were launched several years ago. Since then, BMW Group developers have used brake energy to lower fuel consumption, devised technologies that activate electric loads only when needed, and, not least, continued...

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    24 System development Driving experience driving pleasure transparent visionary emotional tangible Fuel-consumption display Driving Experience Control With the car's latest fuel consumption data always in view, the driver can adapt his or her driving style to achieve the desired level of ...

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    ... van As, head of function design and integration of driving dynamics functions, the initial response from customers has been so positive that the project team is already working on the next steps for the Driving Experience Control. "Now that we have the drivers on our side, we can use more data from...

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    ... dynamic profile and attractive trim and equipment lines, this car is undeniably a product of the 3 Series family. And yet the newest BMW 3 Series certainly boasts its own unique style - thanks to an international team of BMW Group designers responsible for shaping every facet of the new model...

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    ... van Hooydonk "The design of the new BMW 3 Series reimagines classic BMW design icons and forms a bridge between the model's successful design history and a modern, precise aesthetic." Christian Bauer 3 "We work with state-of-the-art CAD simulation programmes in the design department, of course...

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    ...more dynamic." Oliver Heilmer 6 "No one person is like anyone else, so why should everybody's cars have the same features? For the first time, the BMW 3 Series now offers three different trim lines - Modern, Sport and Luxury - with design elements specially tailored to different customer groups...

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    2011 BMW GROUP 29 7 5 6

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    30 8 9 12 11 10

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    ... design. Its surfaces and flowing lines open up dynamically, guiding the eye towards the road. The dashboard's horizontal elements also create structure and harmony." Manfred Meier 12 "BMW stands for the emotional use of forms and the interplay of different surfaces that can only be developed...

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    ... is all about. Making the right statement and finding the right balance is a tremendous challenge." David Carp 16 "It takes more than 48 months of hard work from initial sketches to the start of production of a new model. During that time, we have to ï¬,esh out the main design elements, define...

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    2011 BMW GROUP 33 13 15 16 14

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    ... BMW 3 Series was generated long before the first series model rolled off the assembly line at the Munich plant: the production launch of this fascinating car was the culmination of years of planning, more than half a billion euros in investment and the passionate commitment of countless BMW Group...

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    ...the one hand, this is the first time we get to see the outcome of all our plans and hard work. On the other, we always discover details that don't quite meet our standards and that need improving before series production can start." Carsten Stöcker, plant project manager for the new BMW 3 Series 4

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    ... to be built in the heart of the grounds. The new building, in which pre-series production would soon begin, provides around 5,000 square metres of production space, spread over two levels directly above one another - a remarkable feat of planning. 5 05.08.11 Press shop Start of pre-production 29...

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    ... for a new model like the BMW 3 Series starts with a highly-realistic aluminium casting. This so-called test cubing serves as a reference for the infinite number of measurements suppliers and associates have to make during months of pre-production, and allows components to be aligned with designer...

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    ...), Rosslyn (South Africa), Regensburg and Munich plants get to know the new model inside and out. As project controller, Nina Althoff knows what high standards are required. 7 15.08.11 6 Employee training Production staff have been learning about the new car and the production steps that go...

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    ....11 Precision work Put to the test 04.10.11 The vehicles are now submitted to one vital test after another. One of the most informative is the leakage test performed at the Munich plant's new analysis centre. If a vehicle has any imperfections in body construction, assembly, paint or parts, it will...

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    40 14.10.11 Day Month Year 9 ALL FOR THIS MOMENT World premiere of the new BMW 3 Series at the Munich plant

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    2011 BMW GROUP 41 10 3:03 p. m. Full of expectation 3:04 p. m. Capturing the moment The moment everyone has been waiting for: after years of planning, months of preparation and the sheer hard work of the final weeks, the first series-produced model of the new BMW 3 Series makes its debut at the...

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    ... premiere Sixteen cameras capture this historic moment from every angle. A helicopter circling overhead relays TV pictures to large projection screens set up all across the plant, with live commentary throughout the event. "This is a piece of automotive history we can be truly proud of."

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    ...onto the road, driven by one of the BMW Group's young apprentices. Norbert Reithofer, Chairman of the Board of the BMW Group, climbs into the passenger seat. The brand-new white BMW 3 Series has been signed by all the associates who 12 helped build it - clear evidence of a tremendous team effort. 11...

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    ... from each of the five previous generations accompanies the new BMW 3 Series cars on their way through the BMW plant - each driven by one of the associates involved in production of the model series. At BMW Welt, journalists and camera teams follow the proceedings on the projection screen until the...

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    2011 BMW GROUP 45 "The BMW 3 Series has played a decisive role in building the BMW brand's global reputation." 13

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    ... time in the company's history, a new model is released not in stages, but simultaneously worldwide. This means new models had to be on display in BMW showrooms from Auckland to Anchorage in time for the sales launch on 11 February. Running on an extremely tight schedule, the Munich plant shipped no...

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    ... standing still. Students at the Luisen secondary school in Munich talk about demands and solutions for future mobility. FUTURE CHALLENGES MOMENTS OF SHEER PLEASURE PASSION Scan the QR code to go directly to the online Annual Report for tablets. http://annual-report2011.bmwgroup.com/bmwgroup/2011...

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    48 "Mobility of the Future" workshop. How will we get from A to B in the future? What will sustainable mobility look like in five, ten, twenty years? What solutions will we discover that we haven't even dreamed of yet? We certainly don't have all the answers. But we are already asking the ...

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    ... concept PROJECT i Launch of the project i think tank to develop the sustainable mobility of the future 2011 2009 2010 BMW ACTIVE E A test fleet of pure-electric BMW ActiveE vehicles based on the BMW 1 Series Coupé takes to the roads. MINI E A test fleet of around 600 electricpowered MINI cars...

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    50 "Mobility of the Future" workshop. WHOEVER WANTS TO SHAPE THE FUTURE MUST INSPIRE THOSE TO WHOM IT BELONGS. BMW i designers talk to students from the Luisen secondary school in Munich.

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    ... the experts when it comes to the future: young women and men from the Luisen Gymnasium in Munich attended the "Mobility of the Future" workshop at BMW Welt. They talked with BMW Group designers, asked questions about existing concepts and created their own personal visions of individual mobility.

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    ... our workshop, it wasn't a question of "if", but "how". They discussed their demands for the mobility of tomorrow with Manuel Sattig and Daniel Hahn from BMW i. They designed cities with "green" road surfaces and totally new vehicle concepts that could form clusters according to destination. It soon...

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    ... the future. Their "BMW 41" ("for one") concept mainly targets singles living in cities - with a hydrogen-powered vehicle that fits into a parking space at a 90 ° angle. An alternative version allows several units 2 to be joined together to form "car-trains". 2 1 "The cars of the future shouldn...

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    ... lanes they have in the U. S." 3 "A big car used to be a status symbol. In the future, the most environmentally-friendly car could be." Nga Nguyen 3 "I want to be able to decide for myself how I'm going to be mobile - and that includes driving a car. But it 4 doesn't mean I have to own one." Joan...

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    ... GROUP 54 The best answers are turned into solutions. Many promising visions were discussed in the workshop. 5 and Daniel Hahn 6 from the BMW Group Manuel Sattig are currently working on a very real vision - one that will be on the roads within the next year: the BMW i3, the first car developed...

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    56 The "Mobility of the Future" will answer many questions. "A car used to be just a comfortable method of transport. We will have to think beyond that in the future." Rebecca dos Santos "I don't know exactly what the '...

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    2011 BMW GROUP 57 BMW i3 BMW i8 THE FUTURE IS HERE - AND OURS TO DRIVE BMW i3 and BMW i8 New solutions for individual and above all, sustainable, mobility are needed. The BMW Group has recognised this need and responded by creating a sub-brand to focus on changing customer requirements: BMW i. ...

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    58 Accelerates from 0 to 100 in under 5 seconds "Recovers energy every time the brakes are applied"

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    "Intelligent lightweight construction" LIGHTNESS IN EVERY FIBRE The LifeDrive Architecture in the BMW i8 Concept has been specially configured to suit the vehicle's sports-car-like character and guarantee crisp performance and a high level of driving dynamics. Its components have been weight-...

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    "Unique CFRP construction"

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    50 % lighter than steel HIGHEST STANDARD OF SAFETY Lightweight construction and safety complement each other perfectly in the BMW i3. The LifeDrive Architecture with a passenger compartment - the Life module - built of CFRP, offers passengers maximum protection while maintaining its low weight.

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    62 Up to 50 % lower CO2 emissions throughout the lifecycle of the vehicle

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    2011 BMW GROUP 63 "Minimum aerodynamic drag" DYNAMIC AERODYNAMICS Aerodynamically-optimised airflow is one of the hallmarks of BMW i vehicles. Two horizontal lines symbolising the airstream in a wind tunnel highlight its precise aerodynamic design.

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    25 % recycled plastic

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    SUPERIOR COMFORT Despite its careful use of resources, the BMW i3 offers generous space and convenient functions. For example, the ECO PRO mode allows the driver to extend the vehicle's electric range by up to 20 per cent.

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    "manoeuvrable and agile" SUSTAINABLE FROM THE BEGINNING The BMW i3 is the perfect example of sustainability. Its assembly at the Leipzig plant will use 70 per cent less water and 50 per cent less energy per vehicle. 200 litre luggage compartment

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    ... PASSION FUTURE CHALLENGES Each customer is unique. But for every single one of them, that first encounter with their new car is a truly treasured moment. Scan the QR code to go directly to the online Annual Report for tablets. http://annual-report2011.bmwgroup.com/bmwgroup/2011/moments-of-sheer...

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    ...Feeling the power of the engine and experiencing the unique combination of efficiency and dynamic performance. Driving the first mile. Taking ownership of a new vehicle is always a special occasion. Last year we shared that moment with almost 1.8 million BMW Group customers. We captured nine of them...

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    2011 BMW GROUP 69 BMW 1,380,384 Rolls-Royce 3,538 Husqvarna Motorcycles 9,286 285,060 104,286 MINI BMW Motorcycles GLOBAL DELIVERIES IN 2011 We sold more vehicles last year than ever before in the history of our company. Worldwide sales of our BMW, MINI and Rolls-Royce automobiles rose 14.2 ...

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    ... of an extended trip across Europe to collect their BMW 650i Convertible in person. - 4 BMW Welt behind them, Europe ahead Scan the QR code to go directly to the configuration of the BMW 650i Convertible. Scan the QR code to go directly to the video of Jeronimo Esteve receiving his vehicle. -2

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    ... BMW GROUP 71 -3 Jeronimo Esteve with his wife, Yazmin, BMW Welt, Munich, 9 November 2011 -4 What are you most looking forward to? "Driving across Europe, savouring the trip. Becoming part of the car and the car becoming part of me - that's a real joy!" BMW 650i Convertible Leading-edge design...

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    ...trumps with car cards. Back then, the best car in the pack had 300 horsepower. Now, I drive a car with the same horsepower! For me, it's a childhood dream come true." Silvia Zortea, BMW 640d Coupé BMW 640d Coupé In balance: muscular contouring. In flow: fluid lines. In motion: dynamic performance...

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    ... Isetta just like the one her father used to drive in the 50s. Then she receives the keys to her very own BMW. - 2 Looking forward to the new BMW 640d Coupé and its dynamic diesel engine - 3 As a fashion expert, Silvia Zortea appreciates the highend design features, such as subtle top-stitching in...

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    ... time is a new moment of joy. - 2 Roomy inside: the luggage compartment is surprisingly spacious. - 4 Pride of ownership: Benjamin Wolf and his new MINI - 5 The MINI John Cooper Works Coupé also looks impressive on the inside. Scan the QR code to go directly to the product website for the MINI John...

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    2011 BMW GROUP 75 -4 Benjamin Wolf, MINI Munich, 7 November 2011 -5 What are you most looking forward to? "A great tradition. Contemporary design. I thought this model looked great in the photos - but I like it even better in real life." MINI John Cooper Works Coupé Superlative handling - with...

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    ... look like? Something like this! - 3 Her son drives the previous model - Györgyi Endredi is excited about the new BMW 1 Series. - 4 One of almost 1.8 million happy BMW Group customers in 2011 Györgyi Endredi, BMW 118i Scan the QR code to go directly to the product website for the BMW 118i. -2 -1

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    2011 BMW GROUP 77 -3 Györgyi Endredi, BMW Welt, Munich, 10 November 2011 What are you most looking forward to? "The design of this car - which I loved from the start. And enjoying the same feeling I had throughout the test drive: sheer driving pleasure!" BMW 118i The BMW 1 Series interprets ...

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    ... beautiful car in the world. Taking Sunday-afternoon drives with my wife. Everything." Eugen Fetsch, Rolls-Royce Ghost Extended Wheelbase Rolls-Royce Ghost Extended Wheelbase Probably the most legendary name in the automotive world. Equipped with the very latest in innovative vehicle technologies...

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    2011 BMW GROUP 79 - 1 Its name pays tribute to the legendary Rolls-Royce Silver Ghost from the year 1906. Today's new Ghost is already a legend. - 2 Eugen Fetsch and his wife, Valerija, seated in the back of their new car - 3 Thanks to its extended wheelbase, the Rolls-Royce Ghost provides ample,...

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    Hans Blos, BMW K 1600 GT 80 -1 -2 -3

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    ... its paces at the testing grounds at the Oberschleissheim airfield outside of Munich - 5 Dynamic performance, seating position, handling - for seasoned motorcyclist Hans Blos everything about the BMW K1600 GT is just right. Scan the QR code to go directly to the product website for the BMW K 1600 GT...

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    ... muscle of 340 horsepower. The flawless design of my 1 Series M Coupé. The promise of sporty performance and plenty of fun." BMW 1 Series M Coupé Brings sportiness to the road like no other vehicle. With an M TwinPower Turbo inline six-cylinder engine, it produces an explosive rush of adrenalin...

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    ... of his new car - 2 BMW M: the essence of driving fun and sporty performance - 3 Sizing it up: Daniel Blesinger, Markus Templ and Andrew Dik admire the rear view of the 1 Series M Coupé. - 4 In the starting blocks, ready for the road Scan the QR code to go directly to the product website for the...

  • Page 276
    ... Germany to Munich to pick up his new BMW in person. - 2 Making an elegant statement inside BMW Welt. - 3 The BMW M5's ergonomic, fully-adjustable seats ensure greater comfort for high-mileage drivers. - 4 Businessman Paul Wetzlar expects to clock up more than 70,000 kilometres a year in his BMW...

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    2011 BMW GROUP 85 Paul Wetzlar, BMW Welt, Munich, 24 January 2012 What are you most looking forward to? "To BMW Welt - which is an absolute highlight for a car enthusiast like me. And, of course, my BMW M5. For me, it's the perfect example of powerful understatement." -3 BMW M5 For a stylish ...

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    ...are you most looking forward to? "To the summer! The MINI Cooper S is my MINI for the warmer months." -1 MINI Cooper S The legend in its most contemporary form. Extremely agile. Exceptionally fast. 100 per cent MINI. Viona Jasper, MINI Cooper S Viona Jasper, Autohaus Spaett, Ismaning, 26 January...

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    ... with "chili pack" and attractive design details, the MINI Cooper S turned out exactly how Viona Jasper imagined it. - 3 Viona Jasper is a busy woman who commutes between her job in Munich and her home on Lake Ammersee several times a day - so every detail of her car needs to be perfect. - 4 During...

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    ... at www.bmwgroup.com. Investor Relations information is available directly at www.bmwgroup.com/ir. Information about the various BMW Group brands is available at www.bmw.com, www.mini.com and www.rolls-roycemotorcars.com Scan the QR code to go directly to the online Annual Report for tablets. http...

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    ...TOWARDS PRESERVING RESOURCES BMW Group Annual Report 2011 awarded the Blue Angel eco-label. The paper used (Enviro Top and Nanoo Color) was produced, climate-neutrally and without optical brighteners and chlorine bleach, from recycled waste paper. All other production materials used also comply with...

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