May News in Brief

The new BMW Z4 2.0i launched:
BMW has added an important new four-cylinder derivative to the successful Z4
line-up and first deliveries will arrive this month in the UK. The new
16-valve engine is the same 1,995cc unit featured in the BMW 1 Series and the
latest BMW 320i Saloon and produces an impressive 150bhp at 6,200rpm and 200Nm
of torque at 3,600rpm.

The new Z4 introduces a new entry-level point for BMW roadster ownership at
£22,755 on-the-road. An SE version adds additional specification to an
equivalent level as the six-cylinder Z4 2.2i SE, including the Z4's super-fast
automatic folding soft-top, front fog lights, heated door mirrors and an
on-board computer. The Z4 2.0i SE is priced at £23,465 on-the-road.

The new four-cylinder engine is made exclusively at BMW's Hams Hall engine
facility in Warwickshire and is EU4 compliant. It offers significant power and
torque increases over BMW's previous four-cylinder petrol unit. These have
been achieved by improving the intake and exhaust systems while a new
electronic control unit provides a more instant throttle response to a level
only previously achieved on engines with individual throttle butterflies such
as M3 and M5. Meanwhile VANOS (variable valve timing) and VALVETRONIC valve
lift ensure a strong engine response through the gears. Zero to 62mph now
takes just 8.2 seconds, virtually a second faster than the acclaimed new BMW
320i.

Hydrogen-powered BMW 7 Series comes to the capital:
BMW's hydrogen-powered 7 Series will be displayed at the forthcoming Clean
Energy Technology and Investment Show at London's Business Design Centre. The
event will showcase environmental transport and energy solutions and runs from
5 - 7 May.

BMW has been investigating the potential of hydrogen as a renewable source of
alternative fuel for future production vehicles and was the first major car
manufacturer to introduce a working fleet of hydrogen-powered cars. Hydrogen
was used to power a fleet of the previous generation 7 Series models in the
late 1990's and BMW plans to launch its first commercially available hydrogen
powered 7 Series models within the lifetime of the current BMW 7 Series.

Increased specification for BMW 5 Series:
Business is booming for the UK's favourite large executive saloon car. The
eagerly anticipated launch of the new 507bhp BMW M5 is just a fortnight away,
and the recent introduction of the BMW 523i SE, 525i SE, and 530i SE powered by
the world's first magnesium/aluminium alloy engine (the lightest six-cylinder
volume production petrol engine in the world) has added a strong argument for
petrol power over the recent diesel dominance in the market. Not content with
revolutionary new engine technology and Formula One inspired production cars,
BMW has also added additional standard specification to the entry level 5
Series models.

The BMW 5 Series now starts with a standard specification including Park
Distance Control (PDC), auto-dimming mirror and 17-inch alloy wheels. The 5
Series range now begins at an on-the-road price of £26,670 for the six-cylinder
523i.

Complementing the practicality of PDC and auto-dimming mirrors, BMW is also
introducing a more emotive option that aids driver safety. The 5 Series (and 6
Series) is now able to be retro-fitted with Extended Voice Control (£49.95,
excluding fitment), meaning that installed navigation and Bluetooth telephone
systems can be operated by voice command via a button on the Multi-function
steering wheel.

BMW research backs Run-flat tyre fitment:
Research by the BMW Emergency Service has recently revealed the safety value of
Run-flat tyres.

Comparing tyre-related roadside calls throughout 2003 and 2004 from BMW owners
with models available with Run-flat tyres to those calls from owners whose BMWs
were not available with Run-flat technology, revealed that 12,327 drivers would
have been able to continue their journeys rather than brave the risky roadside
wait for an emergency vehicle if their car tyres had featured Run-flat
technology.

That's well over 100 drivers every week freed from the frustration of delayed
appointments and cancelled arrangements as well as the dangers of wheel-changes
on motorway hard shoulders.

Over one million tyre-related incidents are covered by the UK's major breakdown
services each year on UK roads. Add to that the unrecorded numbers of
frustrated drivers who have had a puncture and changed the wheel themselves
(believed to be considerably higher than the one million figure) and it becomes
clear that Run-flat tyre technology is a serious aid to roadside safety and
driver convenience.

Conservative advice indicates that a driver can continue for 150 miles at 50mph
with a punctured Run-flat tyre. During tyre testing, expert drivers regularly
continue driving on a deflated Run-flat tyre for over 600 miles before the tyre
eventually fails. Taking this into account it is little wonder that a host of
car manufacturers are taking BMW's lead and introducing Run-flat tyre
technology in the coming years.

Strong residual values support new and outgoing BMW 3 Series:
The Lex Vehicle Leasing used car residual value survey for 2004 was recently
announced and showed that, for the first time, the top ten places were all
taken by German cars. And BMW Group dominated that list with six of the ten
models (in fact, five of the top six and six of the top eight!). The fourth
year of the survey by the fleet funding experts looked at anticipated residual
values after three years or 60,000 miles and placed Z4, X3, MINI, X5 and new 3
Series second to sixth respectively. The new BMW 1 Series appeared at eighth.

Meanwhile, Glass's Forecast for residual values of the recently launched new 3
Series showed how, despite clear market dominance for sales, the iconic car
retains far and away the best RVs in the segment against its major
competitors. Glass's anticipate that after two years or 40,000 miles the 3
Series, in 320d SE Saloon form, will be the only compact executive car to
retain over 60 per cent of its list price. One year later, and a further
20,000 miles, the car still nudges 50 per cent of its value, whilst its
competitors from Audi and Jaguar hover around the 40 per cent mark. The
Mercedes C-Class lingers back at just 36 per cent.

Key data from surveys carried out from on-line used car resources,
www.parkers.co.uk and www.cardata.co.uk reinforce the popularity of the BMW 3
Series. Parkers recently announced that in the record-breaking month of
January for on-line searches, the BMW 3 Series was the second most popular car
searched for behind the Ford Focus. Cardata.co.uk recently revealed that the
BMW 3 Series was the UK's most frequently advertised car in the first quarter
of 2005.

Julie Parmenter, BMW (UK)?s Used Car Manager said: "At a time of
record-breaking sales for BMW's Approved Used Car programme, it is clear that
BMWs are arguably the hottest property on the used car market. That's a really
positive sign for the company as new car sales also break records. With strong
demand throughout a BMW's lifecycle, as well as cost-effective servicing
packages throughout the range, our customers know that buying a new or used BMW
is a sound business decision."

Olympic champion to road test BMW bicycles:
BMW has recently launched two new bicycles, designed to compete not against
other car manufacturer-branded bicycles, but set to challenge specialist
bicycle manufacturers such as Cannondale, Kona and Koga.

The Enduro mountain bike and the Cruise bike are lightweight, dynamically
impressive bicycles that will retail at £1,795 and £575 respectively. The
Cruise bike is ideal for town or city riding and commuting, whilst the Enduro
bike is able to take on the UK's most serious off-road routes. The Enduro will
be put through its paces at a launch event in June by Olympic, World, and
Commonwealth Champion sprint cyclist, Chris Hoy.

Ends