BMW 2012 Annual Report Download - page 76

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18 COMBINED GROUP AND COMPANY
MANAGEMENT REPORT
18 A Review of the Financial Year
21 General Economic Environment
24 Review of Operations
44 BMW Stock and Capital Market
47 Disclosures relevant for takeovers
and explanatory comments
50 Financial Analysis
50 Internal Management System
52 Earnings Performance
54 Financial Position
57 Net Assets Position
59 Subsequent Events Report
59 Value Added Statement
61 Key Performance Figures
62 Comments on BMW AG
65 Internal Control System and
explanatory comments
66 Risk Management
74 Outlook
We will again be introducing numerous new and revised
models to the market in 2013 and these will give a boost
to sales. The new BMW 3 Series Gran Turismo will be
launched in June to become the third body variant of
the current model family and represent an innovative,
fully autonomous concept within the highly successful
BMW 3 Series model range. The M6 Gran Coupé,
due to be launched in the same month, is the third
body
variant of the M6 sports car and combines high
per formance with elegant design. The new BMW 4 Se-
ries Coupé, which again sets standards in terms of
design, dynamic performance and efficiency in the
sporty medium-class coupé segment, is set to follow in
September. At the end of the year, the BMW i3 will be
launched
as the first series-built electric vehicle made
by the
BMW Group for the metropolitan regions of
the world.
The MINI brand continues to enjoy great popularity.
In March, MINI will be adding a seventh vehicle to
its family of models in the form of the Paceman.
Rolls-Royce recently launched its new top model, the
Phantom Series II. The Rolls-Royce Wraith celebrated
its world premiere at the Geneva International
Auto mobile Show.
We will continue giving careful consideration to achiev-
ing a balanced distribution in terms of global sales
volumes. The BMW Group remains committed to the
principle that “production follows the market”. The
opening of the new plant in Tiexi*, China, in 2012 is an-
other important step in our unbroken endeavour to
service this emerging market successfully. Production
capacity in China currently stands at a total of 200,000
vehicles per year. In the medium term, we plan to in-
crease the capacities of our two Chinese plants to pro-
duce up to 300,000 units per annum. We are already
taking steps to ensure our ability to ultimately expand
production volume on a flexible basis to accommodate
up to 400,000 units per annum. Even with its high pro-
duction levels, the new plant in Tiexi* is setting new
standards in the field of emission reduction and efficient
use of resources.
The BMW Group’s global production capability has also
been additionally strengthened by the expansion of
the Spartanburg plant in the USA. Capacity here will be
increased to manufacture up to 350,000 units by 2014.
We also intend to bolster our presence in growth mar-
kets,
such as Brazil. Following the receipt of approval
from the Brazilian government at the beginning of 2013,
we now plan to manufacture up to 30,000 vehicles there
per annum.
Compared to the rest of the sector, our global produc-
tion network is extremely flexible. Revised shift models,
working-time accounts for employees and a whole
range of other measures enable us to compensate for
fluctuations in demand. High levels of capacity utili-
sation
are an important factor in maintaining the
Group’s profitability.
The efficiency of our drive systems has enabled us to
play a pioneering role in reducing fleet consumption
and CO2 emissions, whilst simultaneously enhancing
the sporty and dynamic character of our vehicles.
The combustion engine is going to remain the world’s
foremost drive technology in the foreseeable future. We
are therefore developing a new generation of combus-
tion engines as part of our Efficient Dynamics initiative.
In future we will be able to offer both petrol- and diesel-
powered vehicles with three-, four- and six-cylinder
engines of varying capacities. BMW’s TwinPower Turbo
Technology will be deployed, ensuring a high level of
efficiency and enabling further improvements to be made
across the fleet in terms of consumption and emissions.
In combination with the electric-drive components of
our ActiveHybrid or plug-in hybrid vehicles, this new
generation of combustion engines will make a signifi-
cant contribution towards attaining our consumption
and emissions targets.
The completely newly developed electric vehicle, the
BMW i3, is due to be launched at the end of 2013. This
premium car of the future features an absolutely new
drivetrain concept and the consistent use of CFRP in its
design. The innovative BMW i3 is a striking demonstra-
tion of the BMW Group’s expertise in the field of light-
weight construction.
Connected Drive has been setting standards for many
years now in the development of forward-looking con-
cepts and technologies aimed at connecting driver,
vehicle and surroundings. These innovations increase
road safety levels, offer greater convenience and create
new opportunities for information and entertainment.
* Joint venture BMW Brilliance