BMW Plant Chennai - Official opening.

Local production in growth market.

Munich. The BMW Group is holding the official opening of the BMW Plant Chennai
on 29 March 2007. The subsidiary company in Delhi started up operations at the
beginning of 2007 and opening the plant is the second important step in India's
emerging growth market. To date, around 20 million euros have been invested in
the sales structure and the plant.

Long-term opportunities for growth

At the official opening in Chennai, Dr. Norbert Reithofer, Chairman of the
Executive Board of BMW AG commented: "Particularly in the premium automobile
segment, India offers big opportunities for growth. Opening this plant
underpins our long-term route to profitable growth." In addition to the new
production facilities, consistent build-up of a powerful sales structure has
paved the way for this expanded profile. The BMW Group has been active in the
Indian market through a dealer network over the past 10 years. Establishment of
an independent subsidiary company managed by the BMW Group was the next key
logical step towards creating a significant platform to serve the emerging
growth market in India. Since the beginning of 2007, Delhi has been the focus
of sales operations. The dealer network will be expanded from there to
encompass all the big cities on the Indian subcontinent.

Premium products from and for India

The decision to locate a facility at Chennai was based on the strategy
"Production follows the market". When the plant was inaugurated, Frank Peter
Arndt, Production Director at BMW AG, explained: "The strategy of local
production allows us to exploit the opportunities available for opening up and
exploiting markets with long-term potential for growth. In India, we will have
local production for a significant proportion of sales with BMW vehicles in the
3 Series and 5 Series. We are delighted to be operating as a "local player" in
India."

The BMW Plant Chennai is located in the south west of India in the Tamil Nadu
region, approximately 40 kilometres north-west of Chennai (formerly Madras in
the Mahindra World City industrial park. The complex covers a total area of
89,000 m² and has a production area of 13,000m². In February 2007, the first
BMW 3 Series rolled off the production line of the new plant after a
construction period of just 12 months.

Initially, BMW Plant Chennai is employing a workforce of some 120 to build
around 1,700 cars a year in a single shift. The BMW 3 and 5 Series built in
Chennai are destined exclusively for the Indian market. They leave the plant
with the customary premium quality. Naturally, the global standards of the BMW
Group are also consistently applied here to production in India. Final visual
inspections and operational tests ensure that the quality of each vehicle
produced at the Chennai Plant is manufactured to the specified standard
quality. The tests include a seal tightness test cabin, a rolling road
dynamometer and a test track, to check that all systems are running smoothly in
every BMW. Other model series, such as the BMW 7 Series, X5 or X3 are imported
to provide customers with a large and attractive range of BMW vehicles.

When a production site was being selected, Chennai was the ideal choice because
it provided the best possible conditions for meeting a wide range of different
criteria. One positive aspect was the presence of other automobile
manufacturers including an appropriate supplier industry. Another advantage was
the outstanding pool of qualified labour available at Chennai. Local logistics
offered excellent facilities including an international airport, a
well-developed road network and an ocean port. "Chennai is an ideal site and
I'm very pleased to be in a position to expand the production network of the
BMW Group with a highly motivated team," commented plant manager Stefan
Hülsenberg on the day of the inauguration.

The human success factor

Apart from sophisticated working processes and the most advanced plant
technology, the human factor plays a key role in the production of premium
products. The workforce at the BMW Plant Chennai have all completed 10 years of
school education at various levels and have also undergone several years of
further training. 88 percent of all employees also have experience in the
automobile industry. Appropriate skill levels for operations at the Chennai
Plant have been achieved by exploiting proven knowledge transfer within the BMW
Group - the majority of the 120 Indian employees received training for their
jobs at the BMW Plant in Thailand. The project team responsible for setting up
the plant was also supported by colleagues from Munich, Regensburg and
Dingolfing. Ultimately, all of these factors will contribute to ensuring that
BMW vehicles built at the BMW Plant Chennai offer the premium quality which is
the hallmark of the BMW Group the world over.

Die BMW Group - Facts and Figures

The BMW Group has a track record of success spanning 90 years. Today, the
company ranks among the top ten biggest automobile manufacturers worldwide. The
brands BMW, MINI and Rolls-Royce are three of the strongest premium brands in
the automobile sector.

In 2006, the group reported the most successful year in the company's history,
generating earnings before tax of 4,124 million euros. Deliveries of the three
group brands BMW, MINI and Rolls-Royce achieved a new global record with
1,373,970 automobiles and 100,064 motorcycles. The BMW Group employed a total
of 106,575 people worldwide.