Statement by Lindsay Duffield, President and CEO, BMW Group Canada, On the Occasion of the Vancouver International Auto Show

Guten Tag and welcome to the BMW Group stand.

My remarks today will concentrate on the future; however, let me just briefly
comment on last year. 2005 was BMW Group's 15th consecutive year of sales
growth in Canada. New records were set for BMW, MINI and BMW Motorcycles,
totalling almost 23,000 units. Fourteen new products were successfully
introduced and now there are more than 160,000 BMW and MINI vehicles performing
on Canadian roads.

To put this in perspective, over the past 5 years, the Canadian Automotive
Market has been flat; while BMW Group sales have almost doubled. This clearly
positions us as the premier luxury manufacturer in Canada.

And in Western Canada, BMW Group sales have continued their powerful growth.
February sales alone were up 13.4 per cent over February 2005 sales and
year-to-date, Western Canadian sales have grown 30.8 per cent over last year.
Strong sales and new retail facilities go hand in hand. And in 2006, BMW Group
Canada will open three new facilities in Western Canada. They will be Bavaria
BMW in Edmonton, Calgary BMW and Auto West BMW right here in Vancouver.

In 2006, we will introduce no less than thirteen new products. It is often
said that "successful people like to buy from successful companies". And we
plan to make 2006, our 20th anniversary as a BMW Sales Subsidiary in Canada,
the most successful year ever.

Let me explain how in three key points........

First, we will maintain our laser-like focus - offering only products that
embody our brand promises. In the case of MINI, an exciting combination of
performance, style and safety in a small and premium package. And for BMW, of
course - the Ultimate Driving Experience.

Today we have two Western Canadian Premieres that clearly demonstrate this -
the BMW M Roadster and the BMW M6.

Secondly, we will continue to deliver outstanding value through the best
retailers, customer driven processes and with the most passionate people in the
industry. From coast to coast, we have on-going facilities and process
projects under way that will enable us to continue delivering The Ultimate
Customer Experience to our growing customer base.

And finally, we will accelerate our Motorsports activities, which reinforce our
racing heritage and brand integrity.

Let's start with MINI .....

Believe it or not, MINI has now been a Canadian citizen for four years. When
first introduced, there were skeptics who couldn't reconcile the concept of
"SMALL" and "PREMIUM". Well MINI has conquered all. With more than 10,000
"SMALL" and PREMIUM" MINIs motoring across this great country, the momentum
just keeps building....

And MINI's premium qualities have translated into premium resale values. This
was recently validated with MINI receiving Automotive Lease Guide's award for
the "highest resale value in its class" - for the fourth year in a row! Pay
close attention to this next fact - a 2003 MINI Cooper has retained 90% or more
of its original value.

In 2006, MINI Canada enhances its model line up with several new packages and
optional features, including a factory-installed John Cooper Works package, as
well as the "Checkmate" and "Quicksilver" special editions.

As you know, a great new car makes an even better pre-owned car. And that's
why we're introducing MINI-NEXT - our new MINI Certified Pre-owned Program.
MINI NEXT owners get everything MINI - cool styling, exceptional handling,
miserly fuel consumption, impressive winter capabilities and competitive MINI
Financial Services programs. These vehicles are hand selected, reconditioned,
certified, and backed by a comprehensive factory protection plan.

Okay, let's now turn to BMW.....

Let me start by saying, it is quite flattering that some of our competition
publicly admits that the BMW Roundel is their bulls-eye target. Look around
the show today and you'll see the evidence - some rather familiar exterior
designs, (even from the rear); and several iDrive like controllers. While BMW
will keep a watchful eye in the rear-view mirror, we will remain a fast moving
target, and forge our own distinctive path forward.

Recent BMW technology advances demonstrate this leadership. Here are just a
few examples:

• Sophisticated Valvetronic engine technology, which has now been added to the
new 3 Series, 5 Series and Z4 Roadsters. More power, less fuel consumption.

• Intelligent lightweight construction methods like the first carbon fibre roof
used in a production car - the new M6.

• Aluminium Magnesium Composite six cylinder engines, which debuted in the new
3 Series - AJAC's "Best New Sports Sedan".

• BMW Night Vision Technology providing improved safety through enhanced
optical perception. Faster than humanly possible, a thermal imaging camera
detects people, animals and objects up to 300 metres in front of the vehicle.
Night Vision is now available on the 7 Series.

• BMW's xDrive Intelligent All-Wheel Drive is now offered on eleven different
models, providing all wheel drive traction without compromising BMW
performance. Close to 50% of our sales are now xDrive equipped models. (refer
to xDrive section of the show)

• And finally, a made in Canada success story. BMW was the first automaker to
provide BlackBerry users with full Bluetooth address book integration - a first
in Canada and a first in the World! Thanks to our friends at RIM in Waterloo
for all of their assistance with this innovation.

While the emotional appeal of our products is unquestioned, BMW is also a smart
buy. Like MINI, BMW also won the Automotive Lease Guide award for industry
leading resale values. High resale values translate into lower cost of
ownership, and lower lease payments. Add in no-charge scheduled maintenance
for 4 years and 80,000 kilometres and you have a compelling value equation.

As a result of these industry leading resale values and BMW's inherent product
quality, we are pleased to announce significant upgrades to our Certified
Series Pre-Owned program. The Certification process now includes a more
comprehensive 360 point checklist and reconditioning process.

In addition, coverage will be increased from 6 years / 120,000 kilometres to
160,000 kilometres and cover even more items. More than 4,500 customers
acquired Certified Series BMWs in 2005. And with these enhancements, that
number is sure to increase in 2006.

My third and final message today is on our increasing commitment to
Motorsports.

BMW's support extends beyond Formula 1. The Formula BMW Series focuses on the
professional development of up-and-coming drivers. Young Canadian racers like
Kevin Lacroix, James Hinchcliffe, Robert Wickens and Adrian Herberts from Port
Coquitlam, BC have had great success in Formula BMW. In 2006, we will host a
second Canadian race in September at Mosport, in addition to the existing race
at the Canadian Grand Prix.

And as an added bonus, our factory backed PTG Team M3's will also run in the
American LeMans Series at Mosport in September.

And MINI won't be left out of the racing scene. With its strong rallying
heritage, we will be returning to Targa Newfoundland. The challenge - Defend
our championship title won last year with driver Jim Kenzie and navigator Brian
Bourbonniere.

At BMW Group, a core competency is taking our Motorsports technology and making
it available to more than just professional racers. No where is that more
evident than in our BMW M Brand. Canadians have a passion for these everyday
supercars, traditionally making Canada one of the top 5 M markets in the
world. In 2006, we will have six M cars in our line-up - the most ever -
including the M3 Coupe, M3 Cabriolet, M5, M6, M Roadster and M Coupe. While
other manufacturers imitate, none can duplicate the undisputed ultimate BMWs.

And that brings us to our first premiere.......

Making its Western Canadian premiere here today is the BMW M Roadster. Powered
by BMW M's award winning, 3.2-litre in-line six cylinder engine featuring dual
overhead cams, double-VANOS variable valve timing and six individual throttle
plates, with an output of 330 horsepower at 7,900 rpm and 262 foot pounds of
torque at 4,900 rpm, the new BMW M Roadster is equipped with a six-speed manual
transmission and a speed-sensitive variable M differential lock.

The M Roadster distinguishes itself with aggressive M styling, including front
air dam, large air intake scoops, exclusive double-spoke design 18-inch alloy
wheels and the clearly visible round tailpipes which have become a hallmark of
BMW M design.

Also making its Western Canadian debut today is the highly anticipated BMW
M6. It has been more than 15 years since the last M6 was available in North
America. Like the M635Csi from the 1980's, the all-new M6 features a
race-inspired drivetrain, which it shares with its M5 Sedan stable mate. With
a 500 horsepower V10 engine and seven- speed Sequential Manual Gearbox (SMG),
the new M6 is capable of extraordinary performance - 0-60 mph in 4.5 seconds
and an electronically limited top speed of 155 mph.

It offers an unparalleled capability for a driver-tailored driving experience
and the first use of a carbon fibre roof in a production vehicle, all wrapped
within the stylish lines of the BMW 6 Series. The 2006 BMW M6 will arrive at
Canadian BMW Retailers mid-year.

With the addition of the M Roadster, M6 and recently announced M Coupe to
Canada in 2006, consumers will have more choice from our M division than ever
before.

Ladies and gentlemen, as witnessed in widely recognized industry surveys, BMW
and MINI products continue to be the most appealing vehicles to consumers.
This is a result of BMW and MINI products providing consumers with the most
engaging driving experiences. And I can assure you that BMW Group will
continue to offer Canadian consumers the Ultimate Driving Experience.

Thank you for your continued support as we enter another exciting year with BMW
Group in Canada. And please enjoy the rest of your day at the show.

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