THE PEUGEOT BRAND REPORTS 2,114,000 VEHICLES SOLD IN 2011

INTERNATIONAL DEVELOPMENT AND MOVE UPMARKET: THE PEUGEOT BRAND REPORTS 2,114,000 VEHICLES SOLD IN 2011

International development and move upmarket: The Peugeot Brand reports 2,114,000 vehicles sold* in 2011, of which 48% outside Europe

KEY ASPECTS 2011

– International development of Peugeot

• 2,114,000 vehicles sold* in 2011
• 48% of sales achieved outside of Europe
• 408: launched in Brazil and Argentina; 73,000 global sales (China, Brazil, Argentina)
• China: successful launch of the 508. Sales remained on upward curve (+15%)
• Volumes up in Russia/Ukraine/CIS (+28.3%), Asia (+14.2%) and Latin America (+9.2%)
• Peugeot, 4th auto brand in Europe (PC + LCV)

– Move upmarket: continuing success of the product offensive & mobility services

• Sharp rise in sales of premium vehicles: 320,000 units (+40%)
• Successful world launch of the 508: 123,000 vehicles sold in 2011
• New 308: success of e-HDi technology and style
• RCZ, a sports coupe which is now a benchmark (over 19,000 sales)
• The 3008 exceeded its targets: 135,000 units sold
• Surge in number of Mu points launched in 8 European countries in 2011: +54% versus end 2010.

*Assembled Vehicles (AV)+Completely Knocked Down vehicles (CKD)

SUMMARY

In 2011, Peugeot’s product, image and service offensive enabled the Brand to record global annual sales close to its all-time record of 2010, the year of its bicentenary.

Against the backdrop of a European market in the grip of austerity, which contrasted with strong demand or recovery in major growth markets, Peugeot achieved 2,114,000 sales of private and utility vehicles, just short (- 1.3%) of its all-time record set in 2010 (2,142,000).

Continued internationalisation

The proportion of volumes achieved outside of Europe was 48%, up 3 points on 2010, reaching a record volume of 1,014,000 units.

Peugeot therefore progressed in all of its regions for priority development with growth of 9.2% in Latin America, 14.2% in Asia and 28.3% in Russia (+Ukraine & CIS), so driving the Brand’s internationalisation dynamics.

The sharp downturn in southern Europe to which Peugeot has been highly exposed, particularly in Spain and Portugal, hampered the Brand’s efforts. It sold 1,100,000 vehicles in the zone (- 6.1% on 2010).

Acceleration of the move upmarket

In 2011, Peugeot demonstrated its capacity to evolve and consolidate the Brand’s move upmarket.

Global sales for premium vehicles jumped 40% in 2011, to reach 320,000 units.

Bolstered by its successful launches in Europe in the first half of 2011 then in China in July, the 508 achieved 123,000 sales globally after one year on the market and reaffirmed the Brand’s ambitions on one of its long-standing territories, the large touring car segment.

The 3008 crossover, with 135,000 units sold, set a new sales record even before February’s launch of the 3008 HYbrid4, which will represent a world premiere for the full diesel hybrid power drive.

The RCZ chalked up over 19,000 sales, stretching the installed production capacity: the Peugeot sports coupe moved to the fore, after its first full year on the market, emerging as a benchmark on the segment.

At the heart of the market, the Peugeot segment B offering (107, 207, 206+) totalled 836,000 world sales while the new 308 won over 205,000 customers.

Apart from the 508 in China, 2011 also saw the launch of the 408 in Brazil and in Argentina, the Hoggar in Argentina, the 3008 and RCZ in China.

Environmental expertise

The Brand pushed ahead with efforts to reduce the environmental footprints of vehicles in its ranges; at end 2011, the average emissions for Peugeot models were 129 g/km, compared with 131.6 in 2010, so dropping below the 130 g/km mark fixed by the European Commission for 2015.

The Brand’s environmental policy is primarily founded on the constant optimisation of combustion engines (downsizing), including the introduction of new generation engines such as the family of EB petrol engines (1.0l and 1.2l three cylinders), whose initial developments, with particularly low consumption/emissions, are due out in 2012 on the 208.

Diesel hybridization is another key aspect of this strategy: “micro-hybridization”, with the e-HDi new generation Stop&Start system, now available on the 308, 3008, 5008, 508, Partner Tepee, and shortly the 208; “full-hybridization”, with the introduction in 2012, of the HYbrid4 diesel hybrid power drive on three Peugeot models (3008 HYbrid4, 508 RXH, 508 HYbrid4 saloon car).

The third area is the electric vehicle for urban and semi-urban use: at the end of its first year on the market, the Peugeot iOn, the first new generation vehicle in Europe, has allowed Peugeot to reaffirm its traditional role as a pioneer on the sector while Peugeot Scooters launched the e-Vivacity electric scooter in 2011.

MU By Peugeot

MU By Peugeot is picking up the pace with a rise of 54% in Mu Points across 8 European countries compared with end 2010. The new mobility service launched in 2010 is reinventing the relationship between the customer and the network, with a satisfaction rate of 92%.

PEUGEOT IN EUROPE (EEC + EFTA + CROATIA):

With 1,092,000 registrations of private cars and light utility vehicles, down 7.4% on 2010, Peugeot enjoyed a 7.1% share of the European market, holding on to the 4th place among auto makes achieved in 2010.

On the PC sector (916,000 registrations, – 9.2%), the anticipated decline of the 206+ and the 207, ahead of the upcoming arrival of the 208, was only partially offset in Europe by the solid results of the 508 and other premium models in the Brand’s stable: Peugeot ended 201 with penetration of 6.7% (7.3% in 2010).

On the LCV market, the Brand gained 4% in volume, rising to 176,000 registrations; with a virtually stable market share of 10.4% (10.7% in 2010), it consolidated the sharp rise noted in recent years.

Western Europe (18 countries)

On a Western Europe PC+LCV market down 0.6%, Peugeot registrations attained 1,038,000 units (-8%), corresponding to a market share of 7.2% (7.8% in 2010).

Peugeot’s significant exposure to Southern European markets (Spain, Greece, Italy, Portugal), which are feeling the strain of austerity measures, impacted the Brand’s performances.

In fact, on these four markets on which segment B is dominant, the end of the 207’s lifetime undermined the Brand’s performances, with an overall slide of 56,000 registrations (-22.5). The imminent arrival of the 208 should significantly reverse the trend.

In France, on a total PC+LCV market which was stable compared to 2010, Peugeot consolidated its place as the number two French automobile brand with a total of 441,790 sales and a 16.8% market share. On the segments of saloon cars and MPVs (C and D), the Brand confirmed the strong momentum of its new models with advances in terms of both volume and penetration. For instance, following its launch in February, the 508 hasbeen leader on its segment since October with a 1.3% market share. The 3008 outstripped targets set by achieving 53,297 sales and a 2.4% market share (leader on the compact MPV segment).

RCZ confirmed its appeal with just under 5,317 sales and a 0.24% market share.

In Germany, on a buoyant market, with over 3.4 million registrations, Peugeot confirmed its 3rd place in the league table of imported makes. The warm welcome reserved for the 508, the success of its core market offering (308, 3008, 5008) and its growth on the LCV segment, enabled the Brand to offset the anticipated slides of the 207 and 206+: Peugeot achieved 94,000 registrations (as in 2010) and a market share of 2.8%.

In the United Kingdom, Peugeot achieved 115,000 PC+LCV registrations and a market share of 5.2%.

In Southern Europe, against a backdrop of depressed 2011 markets (particularly in Spain), the Brand achieved 91,000 registrations (4.8% of the market) in Italy and 80,000 registrations (8.7% of the market) in Spain. Peugeot confirmed its strong LCV positions in both countries: 2nd in the classification by auto make in Italy, 3rd in Spain.

On several Western European markets, the Brand confirmed its top-three place for PC + LCV registrations: 3rd make in Belgium and in the Netherlands, 2nd in Portugal and in Denmark.

Central and Eastern Europe: rising market share

On the more buoyant markets of Central and Eastern Europe, which are enjoying a strong recovery with the exception of Poland, Peugeot saw its market share inch up to 5.7% (from 5.3% in 2010). The Brand’s penetration was particularly marked in Croatia (8.4%), Slovenia (8.9%), Slovakia (7.2%), and Poland (5.2%).

INTERNATIONAL OFFENSIVE

Peugeot’s internationalisation drive continued and in 2011, sales outside of Europe represented 48% of the Brand’s total sales, compared with 45% in 2010. This advance was founded on new features specific to each market in a bid to meet customer expectations around the world. The figures are as follows:

• 190,000 sales (+ 9.2%/2010) in Latin America;
• 188,000 sales (+ 14.2%/2010) in Asia;
• 45,000 sales (+ 23%/2010) in Russia;
• 458,000 sales of completely knocked down vehicles internationally (-3%/2010).

In China,

The full Peugeot range in the Chinese segment C with the 307 twin-body, and tri-body, the 408 and henceforth the 308, should represent a volume of 150,000 vehicles annually, i.e. around 60% of the Brand’s total sales by 2012.

With the 3rd launch of a locally manufactured vehicle on Chinese territory in less than 18 months, supplemented by recent launches of the RCZ and the 3008 in imported vehicles, Peugeot is pushing ahead with extension of its range in order to meet the ambitious targets it has set itself on the Chinese market.

In Russia,

On a highly buoyant market, Peugeot saw sales volumes rise 23% in Russia with 45,000 units. A performance which was largely due to the locally assembled 308 as well as the 3008 and 4007, not to mention the Partner and Boxer utility vehicles.

In Latin America, Peugeot saw sales grow to 190,000 units in 2011, i.e. up 9.2% for the year as a whole, on the back of strong upward momentum on the Argentinean market where the Brand’s sales surged 36%, as market share reached 9.1%.

Prospects for 2012: Continuing move upmarket and internationalisation, winning back segment B market share

Peugeot has set itself 3 clear objectives in 2012, underpinned by a product policy which is more ambitious than ever:

• Take back the leadership of the B segment with the 208
• Continuing move upmarket

As a Peugeot world premiere, 2012 will see the market launch of 3 full hybrid diesel models fitted with Hybrid4  technology: the 3008, 508 RXH and 508 saloon car, so giving the Brand a significant lead over its competitors in the field of cutting-edge environmental technologies.

• Continued internationalisation

Driven by an ambitious product plan, internationalisation of the brand will continue ahead, in particular, with the launch of the Peugeot 4008, spearheading the introduction of a new offering for markets outside of Europe. The Peugeot 308 will push forward with its international development through launches planned in Brazil and Argentina in the first quarter of 2012 while a new locally manufactured Peugeot product will supplement the Brand’s range in China before the end of this year.

PC + UV global sales/PC + UV market share 2010 and 2011