Adaptability and anticipation. For 200 years now D Ieteren has stayed ahead of trends in mobility and adapted to the automobile developments.

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1 Adaptability and anticipation For 200 years now D Ieteren has stayed ahead of trends in mobility and adapted to the automobile developments.

Automobile distribution KEY FIGURES (in EUR million) 2004 2003 % change New vehicles invoiced (in units) 99,587 89,968 + 10.7% Revenue 2,158.3 1,860.1 + 16.0% Operating result 60.7 50.9 + 19.

3 Automobile distribution KEY FIGURES (in EUR million) % change New vehicles invoiced (in units) 99,587 89, % Revenue 2, , % Operating result % Current result after taxes 1, group s share % 1. After allocation to the vehicle glass segment of a net financial charge after taxes of EUR 9.8 million (EUR 8.3 million in 2003) associated with the investment of D Ieteren in this segment. > Share of new car registrations up, at 18.11% in a very strong market; record registrations for Audi, Porsche and Bentley > Strong revenue growth of new and used vehicles > Operating result up 19.3% due to revenue growth and stable overheads MARKET SHARE OF THE DISTRIBUTED MAKES (New car registrations -%) Volkswagen Audi Seat Škoda Bentley/Lamborghini Porsche D Ieteren Auto REVENUE BREAKDOWN BY ACTIVITY 2004 % revenue change New vehicles 73% +17.0% Used vehicles 10% +29.3% Parts & Service 7% -0.8% Garages 2% -1.2% D Ieteren Lease 5% +11.3% D Ieteren Sport 3% +9.0% D Ieteren Auto 100% +16.0% > D Ieteren Auto Back to growth 24 M E S SAG E F RO M T H E C H A I R M A N B I C E N T E N A RY K E Y F I G U R E S ST RU C T U R E K E Y E V E N T S AC T I V IT I E S OV E RV I E W C O R P O R AT E G OV E R N A N C E

4 ACTIVITIES AND RESULTS D Ieteren Auto s revenue increased considerably, by 16.0%, with increases in almost all its activities, and in particular its new and used vehicles revenues. NEW VEHICLES The Belgian market amounted to 484,757 new car registrations, up 6% vs Following a 12% increase in the first half, new car registrations showed a lower than expected decrease of 3% in the second half. The share of the makes distributed by D Ieteren Auto was 18.11% in 2004, compared to 17.76% in It increased to 19.42% in the second half, in comparison with 17.26% in the first half of 2004 and 18.58% in the second half of Volkswagen achieved market share growth thanks to its Polo, Touran, Touareg and Golf models. Audi maintained its market share due to supply shortage following very strong demand for its new A6, A3 Sportback and A4 models introduced in May, September and November respectively. For the second year in a row Audi reached the leading position in its segment. The Seat and Škoda market shares decreased slightly. Porsche and Bentley achieved record new registrations. The light commercial vehicle market amounted to 57,496 new registrations, up 14%. The share of the makes distributed by D Ieteren Auto increased from 8.51% in 2003 to 10.24% in 2004, mainly driven by the VW Transporter and the new VW Caddy introduced in April Total new vehicles, including commercial vehicles, billed by D Ieteren Auto amounted to 99,587 units in 2004, up 10.7%. D Ieteren Auto s new vehicles revenue was around 17.0% up on 2003, the mix being favourably influenced by the VW Touareg, Audi, Porsche and Bentley. OTHER ACTIVITIES Used car revenue increased by 29.3% against a weak 2003 comparative and amounted to EUR million. In the recent vehicles market (from 1 to 5 years), revenue of My Way remained flat. Revenue of spare parts and accessories was unchanged on 2003, at EUR million, with a decrease in spare parts revenue, associated with the general car body market decline, offset by higher revenue from accessories. This was the result of the higher number of vehicles sold as well as of the dynamic policy of diversification of the range of products and of promotions. The 15 corporate-owned D Ieteren Car Centers, mainly located in Brussels, accounted for 8.7% of the number of vehicles sold by D Ieteren Auto (8.1% in 2003). Revenue of after-sales activities are slightly lower at EUR 40.6 million. Revenue of D Ieteren Lease, active in the long-term rental of the vehicles distributed by D Ieteren Auto, was up 11.3% and amounted to EUR million. At 31 December 2004, its fleet comprised 16,407 longterm leased vehicles, 4.5% up on This growth was driven by the market appeal of the vehicles selected for leasing, a competitive pricing associated namely with efficient vehicle resale management, as well as a service offer tailored to the needs of each customer segment. D Ieteren Sport revenue increased by 9.0% to EUR 64.1 million, comprising the revenue from Yamaha motorcycles, quads, scooters as well as from accessories and spare parts. The increase of 12.7% of the Belgian new vehicles registrations (motorcycles, quads and scooters of more than 50cc), is mainly due to the strong demand in quads and results from an increasing interest for all terrain vehicles and from an increasingly diversified offer. Yamaha maintained its second position in its market, obtaining a share of 20.4% vs 21.0% in 2003 and 7 of its models are among the 20 best sellers in Belgium. RESULTS Operating result amounted to EUR 60.7 million, up 19.3%, as a result of revenue increases and stable overhead costs. Net financial charges 1 increased from EUR 4.3 million to EUR 4.7 million. Net extraordinary income before taxes was EUR 8.9 million in 2004 resulting from write-backs on provisions booked in order to bring the provision recognition criteria closer to the IFRS standards. Taxes 1 are up at EUR 11.8 million against EUR 7.8 million in Current result after taxes 1, group s share, amounted to 43.9 million, up 19.0%. 1. After allocation to the vehicle glass segment of a net financial charge after taxes of EUR 9.8 million (EUR 8.3 million in 2003) associated with the investment of D Ieteren in this segment. C O R P O R AT E C I T I Z E N S H I P S H A R E I N F O R M AT I O N A U T O M O B I L E D I S T R I B U T I O N C A R R E N TA L V E H I C L E G L A S S A N N U A L A C C O U N T S 25

5 ACHIEVEMENTS AND STRATEGIC DEVELOPMENTS D Ieteren Auto s fleet - around 950,000 vehicles in circulation - represents a considerable sales potential of new vehicles, spare parts and accessories and provides business opportunities for the mechanical and bodywork repair. It is the result of the business policy focused on volume growth pursued by D Ieteren Auto for many years. To make the most of this potential, D Ieteren Auto strengthens the competences and competitiveness of its networks and agencies on an ongoing basis by improving and extending the services provided to the dealers. This was recognised with the VW manufacturer award of Importer of the year granted to D Ieteren Auto in For the Volkswagen and Audi makes, sales are progressively split into two separate networks. Each make has extended showrooms displaying a wide range of cars, with an architecture reflecting its image and values. The ongoing training and sales team assessment programme is complemented by regular customer satisfaction surveys. D Ieteren Auto also finalises the rationalisation process of the Seat and Škoda networks in order to adapt their sales and after-sales tools to the manufacturer requirements. Finally, the specialisation per make of the D Ieteren Car Centers has been pursued in the Brussels area, with the opening of D Ieteren Woluwe Seat, D Ieteren Stokkel Škoda and D Ieteren Mail Audi. D Ieteren Auto is focussing on the constant improvement of its after-sales service in order to enhance customer loyalty to the networks. Therefore, D Ieteren Auto intensifies again its technical training courses dispensed to the networks. Almost 7,500 courses have been provided in 2004, 9% more than in The goal is to provide 5 training days a year per person compared to 1.6 days in Excellent performance is achieved in delivery times of spare parts to the D Ieteren Auto networks and is cited as an example by the manufacturers. Other services, such as the mobility guarantee, roadside assistance or the WECARE maintenance contracts - covering almost 30,000 vehicles in circulation - also contribute to customer loyalty. FY 2005 OUTLOOK For new cars, registrations are expected to be stable compared to 2004 at around ,000. D Ieteren Auto expects to increase the number of new vehicles sold by more than 5% and achieve a new car registration share of about 19%, supported by strengthened customer loyalty programmes, the rationalised Seat and Škoda networks, strong demand for the models introduced in 2004, as well as the introduction in 2005 of new models. The new VW Golf Plus, VW Passat, Audi A6 Avant, Octavia Combi will be introduced during the first four months of the year. The small city car VW Fox, the new VW Polo and VW Bora, as well as the Seat Leon will be introduced later during the year. 26 M E S SAG E F RO M T H E C H A I R M A N B I C E N T E N A RY K E Y F I G U R E S ST RU C T U R E K E Y E V E N T S AC T I V IT I E S OV E RV I E W C O R P O R AT E G OV E R N A N C E

6 MARKET OF NEW CARS AND MARKET SHARE OF D IETEREN AUTO COMMERCIAL VEHICLE MARKET AND MARKET SHARE OF D IETEREN AUTO 1 MOTORCYCLE MARKET 1 AND MARKET SHARE OF YAMAHA 1. VW, Seat and Škoda light commercial vehicles up to 6 tons. 1. Motorcycles, quads and scooters of more than 50cc. > Take advantage of demand and the availability of new models C O R P O R AT E C I T I Z E N S H I P S H A R E I N F O R M AT I O N A U TO M O B I L E D I S T R I B U T I O N C A R R E N TA L V E H I C L E G L A S S A N N U A L A C C O U N T S 27

7 New models Volkswagen Golf Plus 28

8 Volkswagen Passat 29

9 Škoda Octavia Combi 30

10 Audi A6 Avant 31

11 32 Seat Toledo

12 Porsche 911 Carrera 33

MARKET SHARE OF THE DISTRIBUTED MAKES (new car registrations -

MARKET SHARE OF THE DISTRIBUTED MAKES (new car registrations - good trading performance in the second half due to the introduction of new models and the penetration of new segments revenue quasi flat, the low performance in the first half being nearly offset by revenue