Volkswagen Financial Services On its way to becoming the best automotive financial services provider

Volkswagen Financial Services On its way to becoming the best automotive financial services provider

Volkswagen Financial Services generated strong growth in all business areas in fiscal year 2012. The division continued its international expansion.

STRUCTU RE OF VOLKSWAGEN FI NANCIAL SERVICES

BUSI N ESS DEVELOPMENT

Volkswagen Financial Services’ portfolio of services covers Volkswagen Financial Services continued its positive trend dealer and customer financing, leasing, banking and in fiscal year 2012. Total assets exceeded €100 billion for insurance activities, fleet management and mobility the first time. The combination of its innovative projects offerings. Volkswagen Financial Services AG coordinates

and the Volkswagen Group brands allowed it to leverage the global financial services activities of the Volkswagen

additional potential along the automotive value chain. The Group, with the exception of the Scania, MAN and Porsche

integration of its financial services with the Volkswagen brands and the financial services business of Porsche

Group brands’ sales activities was accelerated in 2012. Holding Salzburg. The principal companies in this This contributed to the Volkswagen Group’s strong division in Europe are Volkswagen Bank GmbH, Volks-

earnings and unit sales.

wagen Leasing GmbH and Volkswagen Versicherungsdienst In Germany, Volkswagen Financial Services AG took GmbH. Financial Services activities in North America are

first place in the well-known employer competition, performed by VW CREDIT, INC .

“Great Place to Work”, in the 2,001–5,000 employees size Volkswagen Leasing GmbH acquired the dealer-owned

range. Volkswagen Leasing GmbH was honored for its rental company Euromobil on January 1, 2012. The sustainable fleet management program in the Germany- acquisition expanded Volkswagen Financial Services AG’s

wide “365 Orte im Land der Ideen” competition. Together mobility offering to include the classic short-term car

with the German Nature and Biodiversity Conservation rental business.

Union ( NABU ), Volkswagen Leasing encourages fleet managers to make their fleets “greener” and use them in line with this, and presents the “ DIE GRÜNE FLOTTE ” environmental award for ecologically responsible fleet

9.6 million management. In addition, Volkswagen Leasing makes a

CONTRACTS AS OF DECEMBER 31, 2012

contribution to a NABU project every time an environ- mentally friendly car is registered.

9.6 million

CONTRACTS AS OF DECEMBER 31, 2012

DIVISIONS 127 Brands and Business Fields Volkswagen Passenger Cars Audi ŠKODA SEAT Bentley Porsche Volkswagen Commercial Vehicles Scania MAN China Volkswagen Financial Services

Volkswagen Financial Services AG’s conference and financial center

Volkswagen Financial Services AG was highly successful wagen New Mobility Services Investment Co., Ltd. specif- with asset-backed securities (ABS) issues in 2012. ically expanded the Group’s product offering beyond Receivables amounting to a total of €5.7 billion were

classic consumer credit. In Belgium, Volkswagen Financial securitized on the capital market worldwide via a total of

Services AG entered the financial services business by seven ABS transactions. In the first quarter of 2012,

establishing the Volkswagen D´Ieteren Finance S.A. joint Volkswagen Financial Services AG marketed Japanese venture together with its Belgian importer. Volkswagen loan receivables for the first time in the Driver Japan One

Financial Services AG is planning to enter into a new transaction. This was the first public securitization strategic partnership with Allianz SE in 2013 to boost its transaction using receivables from a European auto-

car insurance activities. The aim is to pave the way to mobile manufacturer in Japan. The Driver Brazil One

becoming a direct insurer in the area of car insurance. securitization transaction followed in July 2012; this

The number of new finance, leasing and service/ makes Brazil the fifth country after Germany, the United

insurance contracts signed in fiscal 2012 amounted to 3.8 Kingdom, Spain and Japan in which Volkswagen Financial

million, a 21.0% increase on the prior-year figure. The Services is active on the capital market with its Driver

number of contracts in the Customer Financing/Leasing platform.

area was up 14.5% on the previous year to 6.4 million as of Volkswagen Financial Services continued to expand its

December 31, 2012. The number of contracts in the international footprint in the reporting period. In order to

Service/Insurance area rose to 3.3 million, up 21.9% on strengthen its sales activities in Poland, it acquired the

the previous year. The total number of contracts reached a remaining shares in VOLKSWAGEN BANK POLSKA S.A. and

new record of 9.6 million (+16.9%). Based on unchanged Volkswagen Leasing Polska Sp.z o.o. and consolidated the

credit eligibility criteria, the share of financed or leased companies. In Portugal, a bank branch offering financing

vehicles was 27.5% (36.3%) of total Group delivery started operation. In China, the Volkswagen Finance Co.

volumes. This decline was due to the inclusion of the affiliate was consolidated for the first time due to its

Chinese market since the beginning of 2012. In China, sustained growth. In addition, the establishment of Volks-

the share of leased or financed vehicles is significantly

below the average in other automotive markets. Volkswagen

SALES REVENUE AN D EARN INGS

Bank direkt was managing 1,438 thousand accounts at the Volkswagen Financial Services’ sales revenue increased by end of the reporting period (previous year: 1,442 thousand).

12.8% in fiscal year 2012 to €17.9 billion. Higher volumes, The number of contracts in our fleet management

stable margin trends and lower risk provisions increased business at the end of 2012 was up 1.5% on year-end

the operating profit to €1.4 billion (€1.2 billion). Volks- 2011; our joint venture LeasePlan Corporation N.V. wagen Financial Services once again made a significant managed around 1.4 million vehicles.

contribution to the Volkswagen Group’s earnings .

Volkswagen Financial Services employed 10,133 people as of the reporting date.

F U RTH E R I N F OR M AT I O N www.vwfsag.com

VOLKSWAGEN FI NANCIAL SERVICES

Number of contracts

8,245 +16.9 Customer financing

1,623 +11.4 Service/Insurance

2,691 +21.9 Receivables from

€ million

Customer financing

42,979 +13.5 Dealer financing

11,942 +8.4 Leasing agreements

14,407 +7.4 Direct banking deposits

21,373 +3.0 Total assets

84,290 +13.5 Equity ratio

Liabilities 1 € million

Return on equity before tax 2 %

13.4 14.2 Leverage 3 8.5 8.6

Operating profit

1,203 +17.1 Profit before tax

€ million

1,309 +8.1 Employees at Dec. 31

€ million

8,335 +21.6 1 Excluding provisions and deferred tax liabilities.

2 Profit before tax as a % of average equity (continuing operations). 3 Liabilities as a % of equity.

Corporate Governance

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