Factbook 2012 1 “Our Strategy 2018 is working. Volkswagen is well on the way to taking pole position in the automotive industry. However, despite all our successes, we still have quite some way to go.” Prof. Dr. Martin Winterkorn Chairman of the Board of Management 2 Content Volkswagen at a Glance 3 Our Brands & Products 8 Our Markets 23 Financials & Outlook 32 Strategy 2018 42 Excellence in Production 48 Focus on R&D 55 Forming an Integrated Group _______________ 63 Shareholder Information 68 Team 74 Volkswagen at a Our Brands & Our MarketsFinancials & Strategy 2018 Excellence in Focus on R&D Forming an Shareholder Glance Products Outlook Production Integrated Group Information 3 Volkswagen at a Glance The Volkswagen Group with its headquarters in Wolfsburg is one of the world‘s leading automobile manufacturers and the largest carmaker in Europe. Around the world, 502,000 employees produce about 34,500 vehicles each working Headquarters Dec. 1945: start of 10 brands from 7 502,000 94 production Wolfsburg series production European countries employees plants worldwide day or are involved in vehicle- related services. The Volkswagen Group sells its vehicles in 153 countries. In 2011, the Group increased the number of vehicles delivered to customers to 8.3 million (2010: 7.2 million), corresponding to a share of 12.3 percent of the 34,500 vehicles a 220 models 8.3 m deliveries to Active in Profit after tax: world passenger car market. day customers 153 countries €16 billion Note: 2011 figures Volkswagen at a Our Brands & Our MarketsFinancials & Strategy 2018 Excellence in Focus on R&D Forming an Shareholder Glance Products Outlook Production Integrated Group Information 4 Group Structure – Two Strong Divisions The Volkswagen Group consists of two Automotive Division Financial Services Division divisions: the Automotive Division and the Passenger Cars and Financial Services Division. Light Commercial Vehicles The Automotive Division, in turn, Dealer and comprises two business areas: “Passenger Customer Financing Cars and Light Commercial Vehicles” and “Trucks and Busses, Power Engineering”. The activities of the Automotive Division are Leasing centered on the development of vehicles and engines, the production and sale of 1 passenger cars, commercial vehicles, trucks Direct Bank and busses, and business comprising genuine parts, large-bore diesel engines, turbomachinery, special gear units, Trucks and Busses, Power Engineering Insurance propulsion components and testing systems. The Financial Services Division’s portfolio Fleet Business of services combines dealer and customer financing, leasing, banking and insurance Remaining Companies activities, and fleet management. Note: Status as of December 31, 2011 1 49.9% stake in Porsche Zwischenholding GmbH since 7 December 2009 Volkswagen at a Our Brands & Our MarketsFinancials & Strategy 2018 Excellence in Focus on R&D Forming an Shareholder Glance Products Outlook Production Integrated Group Information 5 The Volkswagen Aktiengesellschaft Board of Management (from left to right) Dr. Michael Macht Production Rupert Stadler Chairman of the Board of Management of AUDI AG Prof. Dr. Martin Winterkorn Chairman of the Board of Management Christian Klingler Sales and Marketing Hans Dieter Pötsch Finance and Controlling Prof. Dr. Horst Neumann Human Resources and Organization Dr. Francisco Javier Garcia Sanz Procurement Prof. Dr. Jochem Heizmann Commercial Vehicles Volkswagen at a Our Brands & Our MarketsFinancials & Strategy 2018 Excellence in Focus on R&D Forming an Shareholder Glance Products Outlook Production Integrated Group Information 6 Volkswagen Polo BlueGT Volkswagen at a Our Brands & Our MarketsFinancials & Strategy 2018 Excellence in Focus on R&D Forming an Shareholder Glance Products Outlook Production Integrated Group Information 7 Content Volkswagen at a Glance 3 Our Brands & Products 8 Our Markets 23 Financials & Outlook 32 Strategy 2018 42 Excellence in Production 48 Focus on R&D 55 Forming an Integrated Group _______________ 63 Shareholder Information 68 Team 74 Volkswagen at a Our Brands & Our MarketsFinancials & Strategy 2018 Excellence in Focus on R&D Forming an Shareholder Team Glance Products Outlook Production Integrated Group Information 8 Our Brands and Products – A Success Story Volkswagen is the most successful multibrand group in the automotive industry. The Group consists of ten brands from seven European countries: Volkswagen Passenger Cars, Audi, ŠKODA, SEAT, Bentley, Volkswagen Commercial Vehicles, Scania, MAN Bugatti and Lamborghini. Each brand has its own character and operates 1 as an independent entity in the market to better satisfy the specific needs of the different segments and countries. In addition, Volkswagen holds a Diversity is our great 49.9% stake in Porsche strength and an Zwischenholding GmbH. Volkswagen important driving force. is working towards an integrated automotive group with Porsche. 1 49.9% stake in Porsche Zwischenholding GmbH since December 7, 2009 Volkswagen at a Our Brands & Our MarketsFinancials & Strategy 2018 Excellence in Focus on R&D Forming an Shareholder Team Glance Products Outlook Production Integrated Group Information 9 Our Huge Product Range Satisfies all Major Customer Groups Body- Hatch- Con- Road- City Pick- World 2012 style Saloon Estate MPV SUV Coupé With one of the Segment back vertible ster Van Up broadest product and segment E coverage of any OEM2, Volkswagen is well positioned to D 1 1 1 capture profitable growth. C 1 The product range extends from low- consumption small B 1 1 cars to luxury class vehicles. In the commercial vehicle A sector, the product offering spans pick- A0 ups, busses and heavy trucks. This huge portfolio A00 enables us to reach all major target Note: Without Scania and MAN Product to be launched in 2012 customer groups. 1 49.9% stake in Porsche Zwischenholding GmbH since 7 December 2009 2 Original Equipment Manufacturer Volkswagen at a Our Brands & Our MarketsFinancials & Strategy 2018 Excellence in Focus on R&D Forming an Shareholder Team Glance Products Outlook Production Integrated Group Information 10 Prof. Dr. Volkswagen Martin Winterkorn CEO KEY FIGURES 2011 2010 % 5.1 million Deliveries (´000 units) 5,091 4,503 + 13.1 VEHICLES DELIVERED TO CUSTOMERS Vehicle sales (´000 units) 4,450 3,863 +15.2 ‘Innovative’, ‘providing enduring value’ and ‘responsible’ are the three key messages of the Production (´000 units) 5,272 4,592 +14.8 Volkswagen Passenger Cars brand combined in the slogan “Das Auto.” Sales revenue (€ million) 94,690 80,251 +18.0 The core brand of the Volkswagen Group which Operating profit (€ million) 3,796 2,173 +74.7 became globally popular with the Beetle conveys as % of sales revenue 4.0 2.7 quality, reliability and German engineering skills worldwide. MOST PRODUCED IN 2011 In 2011, the Volkswagen Passenger Cars brand once again presented a range of innovative and Passat/Santana Golf Jetta/Bora enhanced vehicles. The focus of attention was the up!. Other highlights were the new Beetle and the Golf Cabriolet. At the new factory in Chattanooga in the USA, 2011 saw the start of production of a version of the Passat designed Note: Pictures are only examples; regional variations exist specially for the American market. Volkswagen at a Our Brands & Our MarketsFinancials & Strategy 2018 Excellence in Focus on R&D Forming an Shareholder Team Glance Products Outlook Production Integrated Group Information 11 Rupert Audi Stadler CEO KEY FIGURES 2011 2010 % 12.1% Deliveries (´000 units) 1,304 1,094 +19.3 OPERATING RETURN ON SALES IN 2011 Vehicle sales (´000 units) 1,543 1,321 +16.8 Sporty, sophisticated and progressive – the Audi brand is one of the strongest automotive Production (´000 units) 1,345 1,145 +17.4 brands in the premium segment. Sales revenue (€ million) 44,096 35,441 +24.4 Audi manufactures "Vorsprung durch Technik“ at six plants. Cutting-edge logistical processes, the Operating profit (€ million) 5,348 3,340 +60.1 synchronised Audi Production System and a as % of sales revenue 12.1 9.4 highly qualified workforce guarantee consistently high Audi standards worldwide. All Audi activities are managed out of Ingolstadt, the headquarters MOST PRODUCED IN 2011 of the brand. In its mission to become the market A4 A6 A3 leader in the premium segment, in 2011 Audi showcased a series of new models such as the new Audi A6 and Q5. Furthermore, Audi presented the new Audi Q3 to capture the premium small SUV market. Volkswagen at a Our Brands & Our MarketsFinancials & Strategy 2018 Excellence in Focus on R&D Forming an Shareholder Team Glance Products Outlook Production Integrated Group Information 12 Prof. Dr. ŠKODA Winfried Vahland CEO KEY FIGURES 2011 2010 % 66.1% Deliveries (´000 units) 879 763 +15.3 INCREASE IN OPERATING PROFIT IN 2011 Vehicle sales (´000 units) 690 585 +18.1 “Simply clever” – this is the slogan under which ŠKODA has grown into one of the fastest emerging Production (´000 units) 902 780 +15.5 brands, particularly in Europe and China. Sales revenue (€ million) 10,266 8,692 +18.1 The ŠKODA brand embodies a combination of intelligent concepts for the use of space plus Operating profit (€ million) 743 447 +66.1 attractive designs and compelling value for money. as % of sales revenue 7.2 5.1 The ŠKODA brand had several reasons to celebrate in 2011, the first being the twentieth MOST PRODUCED IN 2011 anniversary of its becoming a member of the Volkswagen Group. Secondly, ŠKODA presented Octavia Fabia Superb the Citigo and the Rapid, two vehicles that extend the brand’s model range. Thirdly, the ŠKODA brand recorded peak sales revenues and earnings figures with an operating return on sales of 7.2 percent. Volkswagen at a Our Brands & Our MarketsFinancials & Strategy 2018 Excellence in Focus on R&D Forming an Shareholder Team Glance Products Outlook Production Integrated Group Information 13 SEAT James Muir CEO KEY FIGURES 2011 2010 % €5.4 bn Deliveries (´000 units) 350 340 +3.1 SALES REVENUE IN 2011 Vehicle sales (´000 units) 362 349 +3.6 The SEAT brand has chosen the pithy core values sporty, young and design-oriented that Production (´000 units) 353 345 +2.3 represent the slogan “auto emoción“.