1. CARB Public Meeting May 24+25, 2007 BMW Group Page 1 Statement Karl-Heinz Ziwica VP Engineering BMW of North America CARB Public Meeting, May 24 th 2007 Status Report on Zero Emission Vehicle Program

2. CARB Public Meeting May 24+25, 2007 BMW Group Page 2 BMW 325i model year 2007BMW 325i model year 1990 Output168 HP+ 28 %215 HP Torque164 Nm+ 52 %250 Nm FE City/Hwy18 / 22 MPG+ 17% / + 32%21 / 29 MPG Interior volume93 cu. ft.+ 14%106 cu. ft. 0-60 acceleration9.4 s+ 23%7.2 s Emissions levelMY90 CARB- 96 %PZEV Weight2890 lb+ 16 %3551 lb CARB Public Meeting Status Report on Zero Emission Vehicle Program consumer attributes fuel consumption - 18% emissions

3. CARB Public Meeting May 24+25, 2007 BMW Group Page 3 The BMW Hydrogen 7. BMW CleanEnergy. Responsibility with Performance. Full Size Automobile Active Safety Passive Safety Convenience Mobility / Telematics Performace CARB Public Meeting Status Report on Zero Emission Vehicle Program

4. CARB Public Meeting May 24+25, 2007 BMW Group Page 4 Time Technology Increased power density Reduced fuel consumption Near ZERO emissions 7 Series bi-fuel - NOx < 30% SULEV 7 Series mono-fuel - NOx < 10% SULEV - No carbon based emissions - No criteria pollutants + lifetime emissions Improvements in progress + hydrogen storage Future activities + efficiency + compatible with ZEV mandate CARB Public Meeting Status Report on Zero Emission Vehicle Program

5. CARB Public Meeting May 24+25, 2007 BMW Group Page 5 Total Registrations California 1 1 Data source: CARB (average 2003-2005) A significant gap still exists between large volume and intermediate volume manufacturers. The 60,000 threshold should be adapted to the present market situation. Implications of adjusting the threshold need to be examined. CARB Public Meeting Status Report on Zero Emission Vehicle Program

6. CARB Public Meeting May 24+25, 2007 BMW Group Page 6 BMW generally supports the IERP’s findings and directionally agrees with the proposed revisions to the existing ZEV regulation. BMW has successfully shown the feasibility of a Hydrogen ICE production car. By focusing on improving ICE technology, BMW can make the biggest contribution to clean air and sustainable mobility future. Remaining in the intermediate manufacturer category would allow us to do so. We will continue to work with the ARB staff to achieve regulatory requirements that will address any concern with respect to hydrogen ICE durability. CARB Public Meeting Status Report on Zero Emission Vehicle Program BMW Position and Proposal