With xDrive to success: BMW is the number one all-wheel drive supplier in the premium segment.

All-wheel drive is on the advance: in the successful year of 2005, one in four
of the approximately 1.13 million cars of the brand BMW sold worldwide were
fitted with the intelligent all-wheel drive system xDrive. This means that BMW
sells more all-wheel drive vehicles than any other premium supplier. This
leading position is the result of an attractive model range and the unique
functionality of the all-wheel drive system developed by BMW. BMW xDrive always
distributes drive power where it is required. With its outstanding versatility,
it not only enhances traction in difficult road conditions but also improves
driving dynamics on the road. A further market penetration can be anticipated
for BMW xDrive models in the year 2006. This is partially due to the successful
models BMW X5 and X3 in the SAV (Sports Activity Vehicles) segment as well as
the sedan and touring versions of the BMW 5 Series and 3 Series fitted with
xDrive. With 21 models in four model series, the diversity is broader than ever
before in the over 20-year history of all-wheel drive at BMW. And it will soon
increase further: for 2008 BMW has announced the launch of a new, completely
distinctive series with coupé-style design, sporty character, raised seating
position and the intelligent all-wheel drive system xDrive.

Increased driving dynamics and optimum traction in all conditions.
With BMW xDrive, power transmission is controlled by an electronically
regulated multi-plate clutch via a power transfer unit. This allows the drive
power to be distributed variably between the front and rear axle, always
available where it can be most effectively converted into propulsion. The
control unit of the all-wheel drive system is linked to the chassis regulation
system DSC (Dynamic Stability Control) via internal interfaces. Based on the
data provided by DSC, xDrive identifies any tendency to understeer or oversteer
early on and counteracts this with a specific alteration of the power
distribution. This leads a to proactive influencing of driving response which
is unique within the competitive field. Starting from a distribution between
front and rear axle of 40:60 as is prevalent in normal driving situations, the
power distribution can be altered to continuously variable levels. According to
the requirements of driving dynamics, the power transmission proportion may
vary between 50:50 and 0:100 per cent.. Thus xDrive uniquely enhances
directional stability and driving dynamics when taking bends at speed.

Intelligent, quick in response and variable.
On unsurfaced tracks, and over snow and ice too, the BMW xDrive provides
maximum traction as well as safe and fast acceleration. Individual wheel spin
is suppressed with fast and variable alteration of the power distribution
between front and rear axle. Under extreme traction conditions in particular,
xDrive works considerably faster and more effectively than conventional
all-wheel systems. For example, if when setting off on a snow-covered car park
and a cleared road only the front wheels are on a surface with grip, xDrive
responds instantly and effectively. Within just 0.1 of a second almost 100 per
cent of the power provided by the engine is transferred to the front axle. The
otherwise common brake application to the rear axle which causes power loss is
thus unnecessary. A BMW with xDrive moves away spontaneously, swiftly and
safely.

BMW all-wheel expertise since 1985.
The versatile qualities of all-wheel drive from BMW have a long tradition. In
1985, the BMW 325ix was the first all-wheel drive model of the brand to provide
impressive traction as well as fascinating driving dynamics on asphalt. The BMW
525ix followed in 1991, for the first time with variable distribution of drive
torque between front and rear axle. All-wheel expertise collected since then
has significantly enhanced the thrust of the brand BMW in the SAV market. From
the beginning, the BMW X5 (since 1999) and the BMW X3 (since 2003) have been
regarded within their segments as benchmarks for a successful combination of
high off-road potential and dynamic driving response on the road. Since then
the range of all-wheel drive sedans and touring models of the BMW 3 Series has
been further extended. The BMW 330ix, the BMW 325ix and the BMW 330dx have been
offered since 2000 with the all-wheel drive system, which was first offered
with the BMW X5. In 2003, BMW finally presented the intelligent all-wheel drive
system xDrive in both the BMW X5 and BMW X3.

One in four BMW vehicles fitted with xDrive.
BMW now offers 21 models in four model series with the intelligent all-wheel
system xDrive. In addition to its variety, the success of the all-wheel drive
models increases continuously. In 2005 one in four newly registered BMW was
fitted with x Drive. Current sales figures indicate that this share will
further increase in 2006.
Even now, BMW sells more all-wheel drive vehicles than any other premium
supplier worldwide. And this leading position is not just due to the great
demand for the regular xDrive models BMW X5 and BMW X3. Together they achieved
in Germany in 2005 a market share of 18.5 per cent within their segment. This
means that BMW was the most successful brand in the category of off-road
vehicles. But in the category of sedan and touring models too, the all-wheel
drive versions have achieved a clearly dominating position in some markets.
Interestingly enough, the sales success of xDrive is particularly high in the
Alpine countries of Austria, Italy and Switzerland. In these countries, over 65
per cent of the models BMW 530i, BMW 525i and BMW 530d were sold in the
all-wheel drive version in 2005. The absolute top model is the BMW 530d
Touring: in Austria it is sold in 80 per cent of cases with xDrive as the BMW
530xd Touring.

In Switzerland, the BMW 330i has achieved a similar all-wheel drive quota: in
four out of five orders, the choice here falls on the 330xi. All in all, the
BMW 330xi, BMW 325xi and BMW 330xd achieve an internal model market share of
over 60 per cent in Switzerland. Anyone who is familiar with the all-wheel
drive models and with these countries at the heart of Europe will not be
surprised by the figures. Lots of snow, steep mountain passes, winding roads -
these are ideal conditions for BMW's intelligent all-wheel drive system xDrive
to display its qualities 365 days a year.

1.000.000 all-wheel drive vehicles have been sold since the first BMW all-wheel
drive model 325ix was introduced in 1985 - 500.000 of them with xDrive.