CHINA FIELD TRIP 2015

CHINESE ENVIRONMENT

May 20, 21st 2015 Biggest GDP growth potential

• GDP Growth Maintained at a Lower Pace for Long Term RANGE OF VEHICLE: BACK TO BEST PRATICE China GDP Volume & Growth

Unit : Trillions RMB Growth % 120 113,0 12% 10,4% 102,8 100 9,3% 93,4 10% 84,6 7,7% 7,7% 80 7,4% 7,1% 7,2% 7,3% 7,1% 6,9% 8% 6,7% 56,9 69,4 76,6 60 51,9 6% 47,3 63,6 40,2 40 4%

20 2%

0 0% 2010 2011 2012 2013 2014 2015F 2016F 2017F 2018F 2019F 2020F

* Data source: State Statistical Bureau, State Information Center 2 Biggest GDP growth potential

• Globally, China is still leading the worldwide growth

10% GDP Growth Rate 2015F

8% 7,1%

6%

4% 3,6% 2,7% 2,0% 2% 1,3% 1,2% 0,9% 0,6% 0,4% 0% China USA UK SP GE EU FR JP IT

* Data source: World Bank, IMF, State Information Center

3 Foundations of Car Market growth

• A low existing car park

Global Ownership Per Thousand Habitants Comparaison China Car Park by Geographic 2013 USA 627 Italy 602 Australia 556 Germany 517 France 481 UK 457 Japan 453 S. Korea 276 Mexico 191 China 2013 64 0M China 2010 1M 35 2M 3M 9M Beijing 2013 199 Shanghai 2013 85

* Data source: State Information Center (except China, all other countries are 2010 data) 4 Foundations of Car Market growth

• A increasing household income & urbanization

Mathematical relation between urbanization and No. of China’s urban households by annual income range (Unit: Million) income level & Way of Consumptions habits : <=50k RMB >50k RMB 2010 2015F 2020F

1,34 Bn 1,37 Bn 1,41 Bn 110 128 140 153 166 180 196 209 224 238 POPULATION

50.0% 55.4% 60.0% URBANIZATION 131 121 116 110 105 97 89 82 76 69 2,88 2,82 2,75 URBAN HOUSEHOLD SIZE 2011 2012 2013 2014 2015F 2016F 2017F 2018F 2019F 2020F

0,23 Bn 0,27 Bn 0,31 Bn Householder URBAN HOUSEHOLD % >50K RMB 46% 51% 55% 58% 61% 65% 69% 72% 75% 78% POPULATION Householder ∆ >50K RMB 13.1 12.2 14.9 15.2 13.8 14.5 14.1

* Data source: State Information Center 5 Foundations of Car Market growth

• Limited congestion of cities and governmental investments in road infrastructure

China’s Vehicle Density is Still Relatively Low The National Road Netword Construction Plan

198,3 168,3 123,5 +84% of national expressways by 2030 60,2 11,5 26,0 +150% of ordinary roads by 2030

China USA France Germany Korea Japan

Nb of Cars per km

*Data source: State Information Center Risks & opportunities

• Energy Dependence is an Issue – Saving Energy & Emission Reduction as a Target

2010 Projected China’s future crude oil Average PV Fuel Consumption Limit consumption and dependence 2009 (L/100KM)2010 2011 2012 2015F 2020F

Local Crude Oil Exploitation (million ton) • 3rd fuel limit target achieved Import Crude Oil (million ton) Reduce 7,7 10.5%

6,9 Reduce 430 27.6% 350

181 5,0 63.6% 68.3% 58,1% 200 200 126

2005 2015F 2020F 2010 2015 Target 2020 Target

Data source: State Information Center 7 Risks & opportunities

• Restrictions should cap the bigger cities market by 2020, but sustaining it in the meanwhile through rumors or announcements of future restrictions Market Share under Restriction 2015 Controled Growth 13%

Free Growth 87%

Market Share Under Restriction 2020 (Estimated)

Controled Growth Restricted 2015 30% Free Restricted 2020F Growth 70%

Data source: State Information Center 8 Risks & opportunities

• Lower Tiers don’t have traffic limitations to fast development

Transport condition in lower tier Cities is quite Good

Road area per PV in urban district by city level 2 (M /vehicle) 369,6

185,5 National average ：：：142.9 143,4 107,5 97,3 71,1

26,0

Beijing Tier 1 Tier 2 Tier 3 Tier 4 Tier 5 Tier 6

Data source: State Information Center 9 Risks & opportunities

• PV Market will keep sustainable growth

2010~2020 Market Sales Volume (PV domestic, million) 30 50%

24 25 23 22 40% 35% 21 19 20 18 17 30% 15 15 12 13 19% 11 20% 10 12% 7% 7% 7% 7% 10% 5 6% 6% 5% 5%

- 0% 2010 2011 2012 2013 2014 2015F 2016F 2017F 2018F 2019F 2020F

Data source: China Passenger Car Association, PSA internal 10 Risks & opportunities

• Growth goes to Lower Tier cities, Central & West

China PV Market Growth by Tiers 2010~2014~2020 Market Mix by Region 34%

18% 15% 15% 12% 12% 12%

7% Tier 1 & 6% 6% 5% 5% 5% restricted cities 3% 0%

Rumors Tier Other tier 2 Tier 3 Tier 4Tier 5 Tier 6 Mkt 2

2014 Growth % 2020 Growth % -8%

Data source: China Passenger Car Association, Registration database, PSA internal 11 Risks & opportunities

• Clients aspire to modernity, size, and mainstream/premium

• By Bodytype: Go SUV • By Segment: Go Bigger • By Attributes: Go High-end 100% 100% 100%

80% 80% 80%

60% 60% 60%

40% 40% 40%

20% 20% 20%

0% HB NB MPV SUV 0% 0% ABCDE Base Mainstream Premium 2010 2020F 2010 2020F 2010 2020F

Data source: China Passenger Car Association; PSA internal, NCBS(New Car Buyer Survey), IHS,(global insight) 12 Risks & opportunities A competitive landcape that will encourage clients to look for prices

Toyota Fiat 50% 50% Honda 50% 50% Kia (Mazda tech license) GAIC GAIC GAIC Audi FAW-Toyota 50% FAW Mazda Toyota Fiat Honda 10% 50% 50% 50% 50% DFM DFM FAW-VW 50% Honda Renault 30% FAW Xiali Yueda-Kia 50% 25% VW 60% Yulon DFM 44% 51% Nissan 15% 50% 50% SAIC-VW FAW 50% 60% 50% DFM GAIC Zhengzhou Nissan Yulon Volvo 100% Nissan 30% 50% 50% DFM DPCA Geely 45% 50% 50% PSA GM 50% 50% Fujian GAIC SGM 50% CA-PSA SAIC Mitsubishi 50% 50.1% Greatwall 50% 44% 50% Changan 20% 30% SGMW JMC Ford Soueast 50% 50% BAIC CA Ford Chery Auto 50% 50% 25% 50% Daimler CA Mazda 50% Fujian 36% Qoros 51% Chang’an Brillance Mazda 50% BYD 50% Suzuki Foton 51% Israel 51% 50% Local OEM 49% 50% 50% Changhe Corp BAIC BAIC Benz Suzuki Local producer Brillance Hyundai 50% 49% Foreign-Chinese JV BMW 49% Suzuki BYD Daimler R&D 50% Mitsubishi Daimler Hyundai Global OEM BMW 50% Risks & opportunities Production capacity is structurally over the demand.

20 700 Volume of Over Capacity 604

18 Milliers Millions Volume Wholesale 600 588 16 Volume Production (3%)

(4%) 14 521 500 365 252 12 (4%) 400 (3%) 10 (2%) 117 300 8 (1%)

6 200

4 100 2

0 - 2009 2010 2011 2012 2013 2014

14 • PSA’s ready to win the race

Market situation : PSA’s situation :

China = a sum of different local markets Solid partnerships

Heterogeneous growth Sales network more than doubled in 3 years

overcapacities Industrial capacities close to optimum level

Explosion of offer Ambitious product plan

Pressure on prices has started Product costs reduction CHINA FIELD TRIP 2015

PSA’s SITUATION in CHINA

May 20, 21st 2015 2. PSA in CHINA

• CAPSA: From a start-up to a new premium brand

2014

DS Brand positionned as a From a volume-driven business model to a premium business model premium brand

3 locally produced vehicles launched between end 2013 & 2014

A business fully invested and Break-even point in 2016 at the latest, to prepare the next range of delivering cash model

17 2. PSA in CHINA

• DPCA’s 2015 targets will be exceeded

5A plan st rd 2015 Targets: Service Quality 2013 & 2014 * 1 3 * JD Power CSI Product and service quality of first-class level in China (Top 5) >800 DPCA unit sales (000) 704 750K sales (5% ms) 404

2011 2014 2015 F Continuous profits (operating DPCA margins* 7.5% *ROI on sales margin >5%) 6.8%

0 2011 2014

18 CHINA FIELD TRIP 2015

Carlos Tavares

May 20, 21st 2015 China Field Trip 2015

• First Diagnosis: even more potential !

Successful cooperation of Dongfeng & PSA for 23 years Partnership limited to China, Specific models successful in China,

Building a new premium brand with Changan China: first country for DS as a brand, Specific range for China,

R&D resources working for China (local & corporate) dedicated to Adapt PSA’s technology to China requirements, Develop product & technology specifically for China Unleash PSA China’s strengths to tackle the world

2 China Field Trip 2015

• Transform a growth story into a performance driver for the Group

Enhance brand value in China through a global brand positioning

China as a pillar of the core model strategy

R&D synergies through partnerships

Develop & optimize businesses

3 China Field Trip 2015

• Brand differentiations & pricing power

原原原创设计 严严严谨谨谨 谨 科 技科技技 创设计 精精精湛工湛工湛工 湛工 雅雅雅致致致 致 艺艺艺 时尚时尚时尚 人人人性 性 科 科 技 技 激激激情情情 情 舒 适舒适适 China Field Trip 2015

• Globalize our product & technology strategy

A global Core Model Strategy: Chineses Vehicles shared with Chinese profit pools integrated in a worldwide approach Europe* 76% 58% To develop Chinese vehicles in global Programs 35% Converging on the same platforms 2014 2018 2022

Platforms in China A global Core Technology Strategy: 6 2014 2022 Convergent expectations & solutions on CO2 & powertrains 2

China leading the way on connectivity Platforms

*Excluding imported cars in China (n.s.)

5 China Field Trip 2015

• Share & optimize R&D

• 4 principles

A technologies’ Choice Win-win Skills developments portfolio

Across brands & regions Developments financed by More technologies, Attractiveness for high JV or partners more competitiveness potentials

A competitive advantage : 100 M€ R&D Synergies p.a.

6 China Field Trip 2015

• Develop & optimize businesses

Peugeot & Citroën (DPCA): double digit operating DCPA Operating Margin (*) >10% margin in 2018 9% Production cost management 7,5% Brands positioning 6,3% ASEAN development (Thailand & Indonesia under study) 2011 2014 2016 2018 Finance Co. (DPCAFC): ROI 2019 x3 vs 2014 DPCAFC penetration Penetration rate > 20% > 20% 16,2% Innovating products (On-line Financial offers…)

2014 2018 DS (CAPSA): double digit operating margin in 2020 CAPSA Operating Margin (*) >10% Low break-even point 5% Premium brand positionning >0% Strong product momentum 2016 2018 2020 7 * ROI related to revenues China Field Trip 2015

• Key take away

Strategic partnership: proofs of trust & confidence

two-digit operating ROI x 3 by 2019 Building a premium brand: margin in 2018 Performance & two-digit operating margin 1,5 m cars sold in 2020 Innovation in 2020 8 CHINA FIELD TRIP 2015

R&D Ambition & Efficiency

May 20, 21st 2015

Already a powerful organization with major achievements China integrated in the core model strategy Enhance R&D synergies with shared resources & developments with partners

2 A powerful organization 2700 people dedicated to R&D in Shanghai, Wuhan and Shenzhen

Vehicles 700 people in Shanghai R&D center and 2000 in Wuhan and Shenzhen JV’s Development & Local adaptation (3 PSA sites)

Research with China openLabs : Acoustics - Vibrations (BUAA)– Aerodynamics & Optics-Photonics-MOEMS (HUST)

Shanghai Powertrain Chengdu Development & Local adaptation (3 PSA sites) Wuhan Shenzhen Research with China openLabs : Energy Storage (Jiao Tong University)

Connectivity Local Infotainment Development (MRN, DS Connect) R&D areas JV or cooperation Research with China OpenLabs : Human-machine interface – areas Accidentology (Tonji university) / Perception - Autonomous Vehicle (Pekin university)

3

Major achievements Chinese R&D teams operational & highly qualified

Vehicles Cars developed in China : Peugeot 408 Sedan, Citroën C3XR, DS5 LS and DS6

Fengshen vehicles fully developed in China Peugeot 408 Sedan Citroën C3 XR

Powertrain

Engine developed in China : gasoline engine 1.8l

DS5 LS DS6 Local adaptation of PSA powertrain line up (EP, EC, EB engines)

Connectivity Multimedia developed in China : MRN (Multimedia Radio Navigation)

DS Connect Engine 1,8l DS Connect

4 A powerful organization

A strong R&D Center in Shanghaï

R&D Center

Integration and enhancement of high-level Testimony of Mr Zhang, Executive of the skills Management Team of R&D Center

The Sedan Excellence Pole

Core model strategy – global products Deploying a more global offer % of Chinese range common with other regions 76% of the Chinese range common with Europe or other regions within 2022

35%

58% 76% 15% Global offer improvement within the Chinese range by c.50 % between 2014 4% and 2022 50% 38% 24%

2014 2018 2022

Veh. Specific China Veh. shared (not Europe) Veh. shared Europe

6 Core model strategy – global products

From local to global models

First global* model Peugeot 2008 Production Plant Sales Regions Mulhouse (since April 2013) Wuhan (since April 2014)

Porto Real (launch in 2015)

Production since launch: 375 000 units

7 * Adapted , Industrialized & commercialized for all regions Core model strategy – program & plateform Enhance R&D optimization including China

• Chinese Vehicles developed • Platforms in China • through worldwide project/program Global B-C Global C Global C CUV Global D Global D SUV

2014 2022 CMP EMP 2

100% 6 2014 2022

35% 2

Vehicles % Platforms

8 Core model strategy – program & platform C-CUV: the first global Program

5 veh. / 4 brands Peugeot / Citroën / DS / Opel

PSA’s platform & technologies + Increased R&D efficiency : 20% 3 partners with PSA DPCA (DongFeng) CAPSA (Changan) + Capex reduction c. 30% GM / Opel

Assembled in 2 regions China / Europe

Worldwide sales & short time to market

9 Core model strategy – program C-CUV: a global program …that fit with Chinese expectations

Platform: Sharing the worldwide Modules Top Hat Powertrain offer :

EMP2 EP, EB, EC

Specific China: Specific China:

• Seat raw 2 and 3 100% Global 100% Global • Trims • Air quality system • Decoration • Infotainment adaptation

10 Enhance R&D synergies through China

Improve R&D skills and autonomy through common R&D center

• Global development with Chinese integrated teams • How ?

Develop a new vehicle on an existing platform Integrate Chinese requirements from the start

Adapt powertrain on a new platform Enhance local skills (in house)

Integrate local Infotainment within an existing Benefit from up-to-date technologies electronical architecture (MRN -> NAC) Improve expertise through our partnerships Validations for all these developments: crash with the Openlabs tests, NVH tests *

* Noise Vibration and Harshness

Enhance R&D synergies through China

Improve our Partnerships

5 Openlabs with PSA since 2012 Testimony of Professor Zhao Benefit from the Expertise of the major responsible of Machine Intelligence at Chinese universities: Peking University  Advanced mechanics (in particular NVH)

 Opto-electronics

 Energy storage  Human machine interfaces Expertise in the field of Intelligent vehicle perception and driving  Autonomous connected vehicles behavior analysis

Integration in the global Research process

Share resources & developments Shared R&D cost with partners

• Share resources and spendings • Example: CMP platform

Potential to integrate partners’ vehicles in Co developed by DFM /PSA common team PSA’s programs Shared investments (€200m): Share resources with the China Tech Center, 60%by PSA opened to Dongfeng 40% by DFM PSA A worldwide program: in 3 regions, Europe, DPCA China, Latin America (end 2018-beg. 2019) CAPSA 4 Brands (Peugeot, Citroën, DS, Fensghen) Share expenditures > 10 vehicles already scheduled CMP – decided > 10 Millions of vehicles EV – under study 20% cheaper

13 Conclusion

• Combination of … • … lead to strong synergies Core model strategy progressively implemented: => Global product €100m* => Program & platform annual savings Efficient R&D organization: (included within Total 600 M€ => Partnerships Group Capex and R&D efficiency)

=> Local efficiency

Shared costs

* Cost efficiency p.a

CHINA FIELD TRIP 2015

Banque PSA Finance

May 20, 21st 2015 Banque PSA Finance

• Banque PSA Finance : a worldwide presence

• 23 countries

• 3,000 employees

• Covering 89% of PSA Sales

• 28,7% new retail penetration

• 700K vehicles financed 2014

• Book : 21bn euros  15bn retail  6bn wholesale

2 Founded in 2006

• Sound shareholding structure and governance

DPCA • Approbation of the China Banking Regulatory Commission • DPCA, Bank Of China, BPF founded AFC with 500M RMB registered capital BOC 2006 BPF

DPCA DPCA • 2010 : BOC withdrawal. BPF holds 75% DFG • 2012 : DFG holds 25% and BPF hold 50% 2010 - 2012 BPF BPF

• Registered capital increased to 1B RMB proportionally. 2013 DFG DPCA 25% 50% BPF • New round of equity transfer, DPCA holds 50% and BPF 25% 2015 25%

3 2011-2014

• A solid position built between 2011-2014

In KRMB 2011 2012 2013 2014

3 293 958 4 517 016 6 727 977 9 860 427 Total ANR A steady growth across the board over the period. 1 347 244 2 429 292 3 886 387 6 216 588 of which Retail ANR

1 946 714 2 087 724 2 841 590 3 643 839 of which Wholesale ANR 7,6% 9,0% 12,8% 16,2% New car retail pen 28 780 39 325 66 374 110 285 Nb. funded contracts 92,0% 91.4% 94.8% 141.5% Services pen into fin. 52 718 101 295 180 130 254 239 ROI (IFRS 8)

4 Credit penetration in China : market v. DPCAFC

Catching up with a fast growing market performance

New-Car Retail Finance penetration 25% Credit set to grow as car purchase facilitator. 20%

15% Mainstream OEM's Better integration with estimated overall credit pen. DPCA helps DPCAFC 10% DPCAFC catch up on retail penetration with 5% mainstream manufacturers. 0% 2012 2013 2014

5 A tight cooperation between DPCAFC and DPCA

Finance campaigns have been developing fast in recent times…

6 An ever improving partnership with DPCA

• …and most of DPCAFC’s growth comes from these campaign offers.

DPCA New-Campaign penetration 16%

14% Increasing range of joint campaigns with brands. 12%

10% Campaign penetration

8% has grown threefold in 3 years. 6% Campaigns set to 4% remain as car market 2% growth slows down.

0% 2012 2013 2014

7 DPCAFC’s ambition

• Strong activity and profitability growth…

New car penetration Assets & Profitability Innovation

Reach and stay over Book size : x3 by 2020 Bring new products 20% from 2018 ROI : x3 by 2019 and initiatives to the onwards. Chinese market

8 DPCAFC’s ambition

• …fuelled by increasing dealer network support…

% of cars financed by AFC in WHS DPCAFC stands by dealers DPCAFC has a long term 70% 200 view to sustain the dealer network . 60% 180 160 50% 140 120 40% 2012 100 30% 2014 80 Mid-term 60 20% 40 20 10% 0 Number of new dealers Number of dealer 0% WHS(DC+DP) coaching for Retail WHS penetration 2012 2013 2014 2015(Target)

9 Services

• …and the development of the services activity.

DPCAFC to study the possibility of proposing Motor Insurance in cooperation with DPCA.

DPCAFC was the first AFC to launch GAP Insurance in China in 2014.

10 Future opportunities through innovation for DPCAFC

• Balloon financing and financial leasing are also development opportunities…

New balloon payment offers to be launched by DPCAFC in 2015.

Financial leasing business opportunities being studied.

11 Future opportunities for DPCAFC

…that will feed the Used Car market and Used Car finance going forward.

Today’s vehicles sold in Europe, USA Today’s vehicles sold in China Chinese vehicle parc set to grow from 120m to 250m over 2012-2020 (source : Deloitte).

In the future the role of AFC as facilitator to renewals will increase as more clients will Used seek to change their cars. New

12 A profitable and healthy growth

Risk control, Opex optimisation and Quality in line with best practices

Total 2014 Cost of Risk as %ANR DPCAFC’s Opex IFRS no provision on sound loans Weight in margin bps, base 100 in 2012

0,70%

0,60% DPCAFC strives to -40% improve its processes 0,50% in line with best in BPF class. 0,40% France Switzerland 0,30% China Cost of risk UK 0,20% performance amongst the BPF best . 0,10%

0,00% 2012 2013 2014 2015 2016 2017 2018 2019 2020

13 A sound growth

Funding diversification – ABS program and loan syndication

Loan syndication: planned in the first half of 2015; estimated amount 1BnCNY.

ABS : planned in Q3 2015 ; estimated amount 1BnCNY. Will allow long term funding (24M+).

Increased support from shareholders, including for banking relations at Group level.

14 e-business development in China

• Which of the following have you already done online and which would you consider ?

Buying a new car Organise finance for a car 100% 100%

80% 80%

60% 60%

40% 40%

20% 20%

0% 0% China Brazil India USA Italy Germany France Japan China India Brazil USA Germany Italy France Japan

Done Would consider Done Would consider Source : Accenture

China is the ideal territory to take auto finance industry to the next level.

15 Online Finance : a great opportunity for BPF in China

• DS in discussion with Alibaba on global partnership and e-financing offers

Funding partner (GCFL) to use Alibaba’s big data to speed up underwriting.

First online finance offers to be available in 2015.

Customer journey to drastically improve (simple & hassle-free)

16 On-line auto financing experience via smart phone

• A much improved customer purchase experience and journey

Ali-Pay

17 ASEAN: booming economies

• Major ASEAN economies show excellent growth track record.

ASEAN (10 countries) to grow 5.1% in 2015 v. 4.6% in 2014.

Private consumption amongst major growth drivers (+4.8% in 2015 v. +4.3% in 2014).

18 ASEAN: business development opportunities

• BPF to explore new markets with a volume-led business model approach.

STEP IV OWN ENTITY OR JV WITH

LOCAL PARTNER ASEAN 2015 - 2018 OPERATION WITH OWN REGULATORY LICENSE / ALL PROCESSES COVERED

STEP III VOLUMES COMMERCIAL AGREEMENT WITH LOCAL PARTNER PRIVATE LTD COMPANY SET UP / FRONT OFFICE TEAM IN PLACE STEP II PARTNER RECO TO NETWORK CLOSE RESULTS MONITORING BPF POTENTIAL BPF POTENTIAL STEP I EXPLORATORY STUDY BPF INVOLVEMENT AND INTEGRATION

19 CHINA FIELD TRIP 2015

Q&A

May 20, 21st 2015 China Field 20/05/2015 Trip

CONFIDENTIAL Content

HISTORY BRAND KEY METRICS CAPSA Retrospect

2010 2011 2012 2013 2014 2015

JV contract 09-Jul DS 5 launch 27-Sep DS 5 ML launch Q3 1st DS Store 20-Jun DS 6 launch 27-Sep

DS Brand launch R&D Center opening in China 28-Jun ceremony 04-Dec Foundation ceremony of CAPSA Plant 20-Nov DS 5LS launch 28-Mar CONFIDENTIAL 3 HISTORY BRAND KEY METRICS

CONFIDENTIAL 4 Product quality

DS has already the quality level requested for the product in the Premium Chinese market

2014 Brand 2014 Product Rank Rank 1 1 2

3 4 2 5 6 3 7

8 9

China IQS syndicate survey (provided by JDPower) CONFIDENTIAL 5 Dealers quality

DS sales customer satisfaction must be improved

Sales Aftersales 2014 2014 Rank Rank 1 1 2 2 3 3 4 4 5 5 6 6 7 7 8 8 9

China IQS syndicate survey (provided by JDPower) CONFIDENTIAL 6 DS Brand awareness

1 out of 2 premium customer in China recognizes DS

100% Increase in only 2 years

Results based on aided awareness

CONFIDENTIAL 7 DS Brand image

DS brand entering premium category / universe

High Mainstream Segment Premium Segment Survey for 2014 + previous DS positionnings.

BrandPremium

Low

*Results from premium Chinese customers CONFIDENTIAL 8 DS customer profile

A completely different profile compared to Europe Gender Age group Family status

Monthly income (RMB) Occupation Education

CONFIDENTIAL 9 Content

HISTORY BRAND KEY METRICS

CONFIDENTIAL 10 CAPSA growth

Breakeven FCF : 40.000 cars Breakeven (Volume)

A profitability base on cost control

Retail (Volume)

A continuous development of retail

*

* *Chinese New Year

2014 2015 CONFIDENTIAL 11 CAPSA growth

CHINESE MARKET COVERAGE

Network (DS Stores) Coverage of Chinese Cities (May-2015)

CONFIDENTIAL 12 CAPSA growth

Operating Margin double digit in 2020*

A profitability based on cost control (Breakeven FCF : 40.000 sales)

A continuous development of retail and Network

A Brand recognized in the premium Market by the premium Chinese Customers

A Product Plan oriented toward most important profit pools

* Margin = ROI on sales CONFIDENTIAL 16 DS Brand positioning

High-Grade Premium car Luxury brand

Premium brand

Mainstream brand

CONFIDENTIAL 17 行业标杆，国际领先 Excel in Global Auto Industry China Field Trip Wuhan May, 21st 2015 1: DPCA is on track to reach its current midterm plan (2011-2015 “5A Plan”) targets

5A Objectives Product and I. To improve product planning, accelerate service quality to expand market share (12 models, 5 of first-class level in engines)

China (Top 5) II. To improve industrialization capability, guarantee leading technology and quality

750K sales (5% ms) III. To enhance brand image and reputation, increase users’ satisfaction

IV. To increase implementation efficiency and reinforce overall competitiveness Continuous profits (Op Margin* >5%) V. To implement green strategy : saving resource and taking care of environment

--2-- *ROI on sales On track to reach current midterm plan targets

2015 • 4 Sedan, 1 Hatch, 2 SUV, all recent • to better fit to Chinese Market

Peugeot 308S

2013 2014 2014

Peugeot 301 Peugeot 408 Peugeot 2008 2011 2011-15 2013

Peugeot 3008 Peugeot 308 Peugeot 508 --3-- On track to reach current midterm plan targets

• 4 Sedan, 1 brand new SUV

2011 2012

Citroën C5 Citroën C4L 2009 -> New in 2015 2013 2015

Citroën C-Quatre Citroën C-Elysée Citroën C3-XR

--4-- On track to reach current midterm plan targets

• Strong acceleration of sales since 2012, initial target will be overtaken

5,0% 4,6% 4,5%

>800,000 4,0% 4,2%

3,6% 3,5% 3,3% 3,4% 704 3,4% 3,4% 3,0% 2009 2010 2011 2012 2013 2014 2015 (forecast) 550

DPCA established in 2003 440 May, 1992 404 New C-Elysée off line in Wuhan DCAC was established 373 Plant 3 in Jul. 2013 in Wuhan 270

178 201 207 140 25 31 103 1 5 8 4 7 85 89 43 52 53 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 --5-- On track to reach current midterm plan targets

• Sales network more than doubled in 3 years

490 4S dealers 470 4S dealers 83% cities 85% cities

--6-- On track to reach current midterm plan targets

• A successful coaching program of dealerships

Volumes, services and performance of each coached dealership increases faster than market

Performance of dealerships Volume Nb aftersales visits Value of accessorize / veh that were coached

+36.4% +25.6% +111.6%

+65%

2013年 2014年 2013年 2014年 2013年 2014年 20家 CEs

+39.3% +40.6% +33.6%

2013年 2014年 2013年 2014年 2013年 2014年 2014

--7-- On track to reach current midterm plan targets

• Customer and Sales Satisfaction, a priority: • Both brands top-rank JD Power surveys among 50 brands

JD Power SSI (sales satisfaction) : Citroën ranks 1st

JD Power CSI (Customer service) : Peugeot ranks 1st in 2013 and 2014

--8-- On track to reach current midterm plan targets

• Product Quality: Warranty costs keeps on decreasing

Warranty cost per vehicle

-12% -19% -6%

2011 2012 2013 2014

Recall and modernization cost per vehicle

-13% -4% -17%

2011 2012 2013 2014

--9-- On track to reach current midterm plan targets

• PSA’s up-to-date technology already generalized

1.6CVVT 1.8CVVT T+STT core powertrain

1.6THP 1.8THP 1.2THP STT

--10-- On track to reach current midterm plan targets

• Manufacturing capacities improved according to plan

Vehicle Capacities Existing

Planned WUHAN 1,000,000

XIANGYANG DPCA Car Plant 1 flexibility contract manufact. DPCA engine and DPCA Car Plant 2 500,000 mechanical gearbox DPCA Car Plant 3 Installed Capacity assembly plant DFPV Car Plant 2 0 2011 2015

Engine Capacities CHENGDU 1,000,000 DPCA Car Plant 4 DPCA Engine Plant 500,000

0 2011 2015 --11-- On track to reach current midterm plan targets

• Operational efficiency continously increased

Annual car production per employee up 54% in five years.

2009 2010 2014

29 34 44.6

Assembly Plant Utilization rate

114%

97% 97% 91%

2011 2012 2013 2014

--12-- On track to reach current midterm plan targets

• Profits increase more than revenues and benefit doubled in 2 years

Revenues in MRmB 69,874 + 83%

38,234 Operating margin

7,5%

2011 2014 6,3% ROI in MRmB

2011 2014 x 2.1 5,135

2,415

2011 2014

--13-- On track to reach current midterm plan targets

• New dividend policy (2014): 2,305 MRmB for PSA (+120% vs. 2013)

Net cash position & PSA Dividends in MRMB 8,630

6,280

3,080 2,136 2,305 / PSA

776 / PSA 906 / PSA 1,039 / PSA

2011 2012 2013 2014

--14-- 2: DPCA is the main grantee of PSA-DFM Strategic Partnership

--15-- Grantee of PSA-DFM Strategic Partnership

• Prefered Partner

Common R&D Center (DPCT) in Shanghai & Wuhan to develop car responding to customers requirements with lower R&D expenses

Export Company for Asean (DPCI) to expand Peugeot & Citroën Sales

DPCA becomes the sole & exclusive importer of Peugeot /Citroën cars in China

Accelerated development of DPCA’s own brand (Fengshen) Synergies on: engines, platforms, export, purchase…

--16-- Grantee of PSA-DFM Strategic Partnership

• Integrated management & international development

Creation of DPCS (Sales Co.), on Oct 2014

DPCA exclusive General Importer for PSA’s BU Creation of from Jan 2015 common R&D Center JV contract - April 2015

Creation of DPCI on Dec 2014 to develop Peugeot & Citroën export in ASEAN

--17-- 3: Opportunities exist to achieve higher targets for 2020

Two-digit ROI in 2018

1,500,000 sales in 2020

--18-- New ambitions for 2020

• An ambitious product plan for each brand, each with their own territory

严谨 科技 雅致 时尚 激情 舒适

--19-- New ambitions for 2020

• A cost program with high opportunities of savings

--20-- New ambitions for 2020

• Increase industrial capacity & reach the top level product quality th • 4 plant in Chengdu to close the gap with benchmark competitors

1,500,000 Vehicule Capacity Fully supplier-integrated, flexible & automatized

1,000,000 flexibility contract manufact.

500,000 Installed Capacity

0 2011 2015 2020

Utilization capacity

150%

125%

100%

75% --21-- New ambitions for 2020

• Target excellence in Customer’s satisfaction and Quality cost, Maturity of management

Politique et exigences Qualité

Processus, dispositifs Qualité et modes de fonctionnement

Standards opérationnels

--22-- • In-site

Cost reduction program management

3rd plant operational efficiency

Dongfeng Peugeot dealer shop

--23-- • Q&A

--24--