BMW Group to expand business in Indonesia

Jakarta. The BMW Group announced today that the company will make a significant new investment in the expansion of its BMW production activities in Indonesia. Furthermore, the company will invest in the introduction of the iconic British brand MINI into the Indonesian market. In total, the BMW Group and its partners will invest up to 100 billion Rupiah over the next two years in the production of new models, as well as in MINI’s sales and distribution network in Indonesia.

BMW Group Vice President Mr. Graeme Grieve made the announcement during his visit to celebrate a decade of the company’s presence in Indonesia. Mr. Grieve added that additional new BMW models will be locally produced in Indonesia in the next 12 months.

Production activities will be expanded at an existing factory belonging to PT Gaya Motor, a unit of the BMW Group’s long-standing partner in Indonesia, PT Astra International.  Currently, BMW Group Indonesia produces the BMW 3 Series at Gaya Motor’s plant in Sunter, located in the north of Jakarta. BMW has a long history of local production in Indonesia, going back to 1976 with the then 520i (model code E12).

Investments in production will involve the modernization of assembly lines, including installation of new tools and equipment, recruitment of new employees as well as their training.  As a result, the factory will be able to assemble additional new models and the daily production capacity will also be increased.

As part of its long-term commitment to the market, the BMW Group also announced to launch the MINI brand in Indonesia together with a new partner- which will be named at a later date - as authorized MINI dealer.  The MINI brand and its exciting models will be introduced to the public when the first authorized showroom opens by end of 2011.

The MINI brand was acquired by the BMW Group in 1994, and the year 2000 marked the start of a new and exciting era for the brand with the launch of an all-new MINI model. The BMW Group has built upon and contributed to this brand's unique heritage, resulting in unprecedented sales success.  2010 was the MINI’s best year in terms of global sales, reaching 234,175 units.

The BMW Group also presented itsthree premium brands – BMW, MINI and Rolls-Royce – for the first time on the occasion of BMW Indonesia’s 10th anniversary celebration.  Rolls-Royce cars are sold in Indonesia by Rolls-Royce Motor Cars Jakarta/PT Eurokars Artha Utama, supported by Rolls-Royce Motor Cars Asia Pacific (Singapore Branch).

Guests at the gala evening held at Hotel Indonesia Kempinski’s historic Bali Room, were treated to the display of a Rolls-Royce Phantom Drophead Coupé, MINI Cooper S, BMW 7 Series and the all-new BMW 6 Series Convertible as the highlights of the anniversary celebration.

The new BMW 6 Series Convertible, recently awarded the red dot award 2011 for outstanding design, was also officially launched in Indonesia at the event in the form of the BMW 650i Convertible with a Vermilion Red exterior and Ivory White Nappa interior. The BMW 6 Series Convertible satisfy the demand of discerning automobile connoisseurs for fascinating aesthetics, superior driving dynamics and progressive luxury in an open-top premium car.  The new BMW 6 Series Convertible is available in two versions, the BMW 650i Convertible and BMW 640i Convertible.

After 10 years in Indonesia, BMW Group Indonesia continues to strengthen its position in the market. During the first four months of 2011, sales of BMW automobiles grew by 33% over the previous year to reach 461 units. The brand’s share in the premium segment also increased by 7.7% to 27.9% during the same period.

# # #  

The BMW Group

The BMW Group is one of the most successful manufacturers of automobiles and motorcycles in the world with its BMW, MINI and Rolls-Royce brands. As a global company, the BMW Group operates 24 production facilities in 13 countries and has a global sales network in more than 140 countries.

The BMW Group achieved a global sales volume of more than 1.43 million automobiles and over 101,000 motorcycles for the 2008 financial year. Revenues for 2008 totalled EUR 53.2 billion, with earnings before interest and taxes (EBIT) of EUR 921 million. The company employed a global workforce of approximately 98,000 associates on 30 September 2009.

The success of the BMW Group has always been built on long-term thinking and responsible action. The company has therefore established ecological and social sustainability throughout the value chain, comprehensive product responsibility and a clear commitment to conserving resources as an integral part of its strategy. As a result of its efforts, the BMW Group has been ranked industry leader in the Dow Jones Sustainability Indexes for the last five years.

BMW Group in Indonesia

PT. BMW Indonesia is a wholly-owned subsidiary of Bayerische Motoren Werke (BMW) AG, the world manufacturer of BMW vehicles based in Munich, Germany. The establishment of this subsidiary in April 2001 reflects the BMW Group’s confidence in the long-term future of Indonesia.

 PT. BMW Indonesia’s activities cover the wholesale of BMW and MINI cars, spare parts and accessories, as well as the overall planning of sales, marketing, after-sales, and related activities in Indonesia. Its dealership network covers 11 new car dealers and 1 used-car dealer spread out in various cities in Indonesia. Selected models of the 3 Series sedans are also assembled in Indonesia by a local partner. More information about BMW Indonesia may be found online at www.bmw.co.id.

For further information please contact:

Helena Abidin

Corporate Communications Director

Tel: +62 -21- 2992 3003         

Mobile: +62-816-968 450

Email: maria.h.abidin@bmw.co.id

Roberto Sumabrata
Corporate Communications
Tel : +62-21-2992 3009 ext.21724
Mobile : +62-818-306 307
Email : roberto.sumabrata@bmw.co.id