Mitsubishi 2012 Annual Report Download - page 21

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Performance in  scal 2011
In Europe, increasingly severe credit uncertainty caused demand to decelerate
during the year. This factor, coupled with ongoing yen appreciation, led to a 10%
decline in sales volume in Western Europe and a 19% drop in Central Europe. In
Russia, however, where market recovery continues, sales of the Outlander contin-
ued to expand, surging 17,000 units, or 31% year on year, to 73,000 units. As a
result, sales volume for Europe as a whole remained essentially unchanged during
the year, at 218,000 units.
We expect net sales in the region to fall ¥15.2 billion, or 3%, in  scal 2012,
to ¥474.8 billion. Boosted by higher sales volume in Russia, we forecast a ¥10.8
billion improvement in the operating loss, to ¥15.6 billion.
Outlook for  scal 2012
In August 2012, we introduced the next-generation Outlander, and within  scal
2012 we also plan to launch sales of the all-new Mirage (name in Japan). Further-
more, we will continue efforts to keep expanding sales of existing models. Al-
though market conditions are problematic, we will concentrate on promoting the
i-MiEV and other models that have low CO2 emissions and are thus well suited to
Europe, where environmental awareness is high.
Owing to the protracted European debt crisis, we forecast a drop in total
demand. Accordingly, we expect sales volume to decline 10,000 units, or 5%
from  scal 2011, to 208,000 units. Furthermore, we forecast that net sales in the
region will drop ¥29.8 billion, or 6%, to ¥445.0 billion. As a result of the lower
sales volume and the impact of yen appreciation, we expect the operating loss to
worsen ¥19.4 billion, to ¥35.0 billion.
Europe
Net Sales
0
200
400
600
800
2012
(Forecast)
201120102009
(FY)
2008
(Billions of yen)
631.7
269.2
490.0 474.8 445.0
Operating Income (Loss)
2012
(Forecast)
201120102007
(FY)
2008
-40
-30
-20
-10
0
10
(Billions of yen)
5.3
0.8
-26.4 -35.0
-15.6
Sales Volume (Retail)
0
100
200
300
2012
(Target)
2011
(FY)
2010
(Thousands of units)
218 218 208
Outlander
Mirage
Although market conditions remain opaque, we intend to bolster sales
volume by introducing the all-new Mirage and the next-generation Outlander.
Hiroshi Harunari Executive Vice President (Representative Director), Head Of cer of the Headquarters,
Overseas Operations Group Headquarters A, In Charge of Overseas Operations Group Headquarters B,
In Charge of Global After Sales Group Headquarters
MITSUBISHI MOTORS CORPORATION
Annual Report 2012 19