BMW Group Chairman in the Middle East for launch of BMW 7 Series, BMW M5 and M6

Speaking at a press conference, Dr. Panke explained how the Middle East holds huge potential for the future and is playing a critical role in BMW Group's growth and expansion strategy.

Dr. Panke said, "There is a clear and comprehensive premium orientation in the Middle East - this is a region driven by a strong demand for premium products and premium services - there is an intense desire for distinction and individualism. Therefore, this region is a real home for BMW Group products."

On the launch occasion of the update model of the BMW 7 Series, Dr. Panke explained that in terms of market dynamics, the region enjoys the 'inverted pyramid' sales model where the best selling car is the BMW 7 Series, followed by the X5 and then the 5 Series.

"Since we launched the 7 Series in the Middle East, almost three and half years ago in November 2001, we have delivered a total of almost 10,000 units," said Dr. Panke. "The current 7 Series has almost doubled its sales volume, compared to its predecessor, within the same time period. For three consecutive years, since 2002, the flagship of the BMW brand has been the best-selling model for the company in the region."

Receiving a range of new engines, interior fine-tuning, dynamic developments and exterior styling enhancements, the new 7 Series promises to build on the global success of the car that broke the mould and set a new agenda in the luxury sector.

The new 7 Series offers customers the widest model range of any luxury car manufacturer, all of which - excluding the 760Li - have new engines, updated to deliver more power and flexibility without compromising fuel economy.

The updated BMW 7 Series was one of three new cars launched simultaneously by BMW Group in Abu Dhabi. The M5 is the fourth generation of this high-performance sedan and sports car perfectly suited for everyday motoring. Meanwhile, the M6 is the strongest and most finely crafted 6 Series that there has ever been.

The most powerful heart of any of the BMW Group cars beats in the new BMW M5 and BMW M6: Sharing BMW's V10 power unit, the M5 and M6 come with one of the rate high-speed engines in regular saloon and coupe production. Within the entire BMW family, the V10 is indeed the most demanding engine in technical terms, and without doubt, the top performer in every respect.

"With the new 2005 products, we are setting out again this year on the path toward increasing retail of the BMW Group and breaking another record," said Dr. Panke. "But that is not all. The product initiative will continue in full swing after 2005 with the launch of two completely new and independent BMW model series from 2008 onwards.

"Within the framework of our product initiative, both vehicles are part of our expansion into segments, which do not yet exist. With both models we shall win new customers for the BMW brand. The two new model series will contribute
actively to the future growth of the BMW Group and enhance the Company's value."

"As we have already stated on several occasions, we are not making a minivan, but are interpreting 'space and functionality' in typical BMW fashion," Dr. Panke said. "Driver and passengers will experience a special, individual feeling of space, combined with the dynamic performance and elegant, sporty look, which are associated with the BMW brand. This vehicle is being developed with the working title 'space-functional concept'".

With the second new model series, BMW will define a new segment as well. Here too, there is nothing comparable on the market yet.

This vehicle will be a combination of sports car, coupe and Sports Activity Vehicle. It will combine different characteristics in a form that has never existed before: raised seat position, high ground clearance, all-wheel drive and the outer appearance of a coupe. It will be a four-seater with luggage compartment, with no compromises as far as space is concerned. BMW Group expect the United States to be the most important market for this vehicle. That is why it will be produced at its US plant in Spartanburg.

"With both new model series, the product initiative of the BMW Group will enter its next phase. Both of them prove that our product initiative is an ongoing story," said Dr. Panke.