BMW INNOVATION DAY 2006: EFFICIENTDYNAMICS

1. Introduction: BMW Innovation Day 2006. EfficientDynamics. 2 2. BMW Drivetrain Development: Consistent Progress for EfficientDynamics. 7 2.1 Maximum Efficiency for Maximum Performance: BMW Presents the Future of the Turbocharged Power Unit. 11 2.2 Torque and Output Diagram of the BMW 3.0-Litre Straight-Six Gasoline Engine with Twin-Turbo and High Precision Fuel Injection. 16 2.3 Dynamics and Efficiency in Perfect Harmony: The World's First Direct Gasoline Injection Power Unit with a Significant Edge in Fuel Economy. 17 2.4 Torque and Output Diagram of the BMW 3.0-Litre Straight-Six Gasoline Engine with Second-Generation Lean-Burn Direct Fuel Injection (High Precision Fuel Injection). 22 2.5 Specifications of the BMW 3.0-Litre Straight-Six Gasoline Engines. 23 2.6 Responsive and Precise: Automatic Transmission Perfect also for the Sporting and Active Driver. 24 2.7 More Efficient Use of the Flow of Energy: Intelligent Alternator Control and Recycling of Brake Energy. 29 3. BMW Materials Technology: Integrated Know-How from Research to Production. 33 3.1 Supreme Function the Light Way: Intelligent Development of Materials in Body and Engine Construction. 33

BMW Innovation Day 2006. EfficientDynamics.

The dedicated motorist choosing a BMW should always be certain that he or she
is purchasing a car able to offer maximum driving pleasure on the highest
possible level of all-round economy. And under the term "EfficientDynamics",
BMW sums up all development activities serving to achieve this supreme standard.

At the Innovation Day 2006, BMW is presenting the latest developments in
drivetrain technology, energy management, and materials technology which help
to convincingly fulfil current and future-oriented customer wishes for even
more efficient energy concepts and to master the challenges of tomorrow.
Customer demand for vehicles offering higher output and performance together
with increasingly diverse comfort and safety functions, and all this on less
fuel, requires the utmost of the specialist in automotive develop¬ment.

Innovation overcoming conflicts of interest.
Striving for EfficientDynamics, BMW is pursuing a strategy fit for the future
and setting the trend in every respect. This strategy leads to vehicles
re¬flect¬ing
the core value of the BMW brand - Sheer Driving Pleasure - in the same way as
they meet the demands of the modern, future-oriented customer. The
EfficientDynamics concept therefore consistently relates all factors of
performance, fuel consumption, and weight to one another, providing
target-oriented innovations on the drivetrain, in lightweight technology and
aerodynamics, and providing the further option to overcome conflicts
of interest.

Some of the latest achievements of this kind are presented at the BMW
Innovation Day 2006. The combustion engines featured in BMW's current models,
for example, are not only exceptionally powerful, but also, through their high
degree of all-round efficiency, make a significant contribution in reaching the
objectives described. Intelligent use of materials and modern production
technology, in turn, serve to limit the weight of vehicles despite their
growing range of features and equipment.

Moving consistently from research to production.
The philosophy of EfficientDynamics covers all areas of automobile development
within the BMW Group. And since this includes the development of fundamentally
new solutions, researchers in materials technology search consistently for new
materials helping to optimise the weight of the car and enhance driving
pleasure accordingly.

BMW Group specialists working in this area have a level of competence and
know-how truly outstanding not only within the automotive industry. Indeed,
in the demands they make of new materials, BMW's development specialists set
significant standards in the area of materials research. And at the same time
they are in a position to upgrade the latest findings in scientific research
quickly and efficiently to the standard of perfection required for pracitical
use. As a result, the customer receives a vehicle which, in the sum total of
its qualities, always represents the latest state of the art - which means also
making specific parts and components out of materials which did not even exist
before in this form and thus give a BMW truly unique qualities.

The front side panel on the BMW 3 Series Coupé, for example, is made of a
synthetic material never used before and therefore exclusive to BMW. Also in
terms of design freedom and temperature resistance, this extremely light
component offers qualities no synthetic material was ever able to provide
before.

The leadership in technology of the BMW Group thus provides customer benefits
only BMW is able to offer: the front side panel in the BMW 3 Series Coupé is
not only lighter than a conventional side panel made of steel, but also
sustains less damage in a minor impact.

The BMW Group is likewise fully consistent in engine development, proceeding
from the theoretical concept to the actual driving experience. But the approach
taken in this case need not necessarily be the fastest one, since it is also
part of BMW's philosophy to weigh the assets of the brand against the benefits
actually offered to the customer in introducing a new technical solution.

With every new BMW offering an enhanced level of driving dynamics, the driver
must feel this improvement directly. And the same applies to the improvement of
fuel economy - which is precisely why BMW deliberately decided against
introducing the first generation of direct gasoline injection, since the fuel
savings possible in this case were limited to a narrow engine speed range and
therefore failed to fulfil the great demands made of a BMW in its all-round
qualities.

The BMW Group's engine development specialists were however most
certainly able to distinguish between the fundamental potential of direct
gasoline injection and the initial - but rather limited - implementation of the
concept. They therefore decided to develop VALVETRONIC throttle-free load
management, a technology able to immediately provide much greater benefits in
fuel economy, without losing sight of fundamental developments in the area of
direct gasoline injection. And now the result is here: Introducing High
Precision Fuel Injection, BMW is presenting the first power unit featuring
second-generation direct gasoline injection and thus providing a significant
reduction of fuel economy throughout a broad range of engine speed and load
and, accordingly, under standard, everyday driving con¬ditions.

Superior competence with a far-reaching effect.
With High Precision Fuel Injection being introduced step-by-step in an
increasingly large number of model series and markets, the benefits of this
technology will soon become available to a large number of customers.
This broad-scale effect is important to BMW in order to measure the value
of a genuine innovation in the market.

Taking the example of intelligent energy management, we see clearly that
various steps in the development process can be consistently based on one
another. The actual generation and use of electric energy is already
masterminded with a high degree of efficiency in BMW models already successful
in the market today. Future systems will serve to avoid the loss of energy to
the greatest possible extent. Where that is not possible, losses will be
intelligently transformed into useful forms of energy, such as the use of brake
energy via Brake Energy Regeneration.

Hybrid concepts: proceeding step-by-step to series maturity.
Using Brake Energy Regeneration interacting with Intelligent Alternator Control
(IAC) developed by BMW, the generation of electrical energy can now be shifted
specifically and in a controlled process to the car's overrun and braking
phases, converting brake energy instead of fuel into electric power. When
driving under power (in traction or power phases), the energy potential
provided by the fuel can be used to a greater extent to generate kinetic energy
and motion, giving the car greater, enhanced dynamics. This effect clearly
noticeable at the wheel is referred to as passive boosting.

With the management of electrical energy flow by means of IAC giving the
vehicle a higher standard of driving dynamics "only" in an indirect process,
development engineers refer to this technology as "mild-hybridisation".

The interaction of primary and electric energy becomes even more effective
in the next stage, the classic hybrid concept using electric energy directly
and as a supplementary driving force to power the vehicle while running on
the combustion engine at the same time. This generates an active boost effect,
the electric motor supporting the combustion engine in generating dynamic power
and motion.

When the car is able to run in various driving situations not just on
the com¬bustion engine, but also under electric power alone, we speak of
"full-hybridisation".

BMW's concept of Intelligent Alternator Control (IAC) is on the verge
to ach¬ieving production standard and was already presented at the 2005
Frankfurt Motor Show in the guise of the BMW Concept X3 EfficientDynamics. This
concept car featuring Active Transmission and High-Performance Capacitors
(supercaps) stands out clearly from other hybrid concepts. Its drive system
ensures not only greater economy, but also a higher standard of dynamic
performance by combining the output of the combustion engine and the electric
motor with all their qualities. The result is maximum torque of 600
Newton-metres or 442 lb-ft for accelerating particularly fast and dynamically
from engine speeds below 1,500 rpm, using the power delivered by both drive
motors. In practice, this means acceleration to 100 km/h in 6.7 seconds and a
top speed of 235 km/h or 146 mph. And as the name indicates, this concept car
is based on the BMW X3.
Hydrogen drive: driving from today into the future.

The use of hydrogen for driving a vehicle points even further into the future,
potentially offering even greater benefits. Hence, BMW's CleanEnergy
concept offers all the features and qualities required for a sustained strategy
of mobility. Apart from the BMW H2R Research Vehicle, various BMW demonstration
vehicles running on hydrogen are already in use today. Completing a wide range
of tests under near-practical conditions, these vehicles serve to study and
confirm the qualities of hydrogen drive under everyday driving conditions.

In the CleanEnergy project BMW is concentrating on the use of hydrogen in the
combustion engine. This technology is lighter, more powerful and less expensive
than the - conceivable - use of fuel cells. A further advantage is that
production of the hydrogen combustion engine can be integrated into existing
production processes.

The superior performance and great appeal of hydrogen drive developed
to this standard is obvious. With its twelve-cylinder power unit developing
210 kW/285 hp maximum output, the BMW H2R Research Car has set up several
records for hydrogen drive vehicles. A BMW powered by a hydrogen combustion
engine is already in the process of series development and will be presented to
the public in the course of the next two years.