Piaggio Group

Full Year 2008 Financial Results

Conference Call
Milan, February 26th, 2009

Disclaimer

THESE SLIDES HAVE BEEN PREPARED BY THE COMPANY SOLELY FOR THE USE AT THE ANALYST CONFERENCE CALL ON PIAGGIO FULL YEAR 2008 CONSOLIDATED RESULTS.

THE INFORMATION CONTAINED HEREIN HAS NOT BEEN INDEPENDENTLY VERIFIED. NONE OF THE COMPANY OR REPRESENTATIVES SHALL HAVE ANY LIABILITY WHATSOEVER IN NEGLIGENCE OR OTHERWISE FOR ANY LOSS HOWSOEVER ARISING FROM ANY USE OF THESE SLIDES OR THEIR CONTENTS OR OTHERWISE ARISING IN CONNECTION WITH THESE SLIDES OR ANY MATERIAL DISCUSSED DURING THE ANALYST CONFERENCE CALL.

THIS DOCUMENT IS BEING FURNISHED TO YOU SOLELY FOR YOUR INFORMATION AND MAY NOT BE REPRODUCED OR REDISTRIBUTED TO ANY OTHER PERSON.

THE INFORMATION CONTAINED HEREIN AND OTHER MATERIAL DISCUSSED DURING THE ANALYST CONFERENCE CALL MAY INCLUDE FORWARD-LOOKING STATEMENTS THAT ARE NOT HISTORICAL FACTS, INCLUDING STATEMENTS ABOUT THE COMPANY BELIEFS AND EXPECTATIONS. THESE STATEMENTS ARE BASED ON CURRENT PLANS, ESTIMATES, PROJECTIONS AND PROJECTS,AND THEREFORE YOU SHOULD NOT PLACE UNDUE RELIANCE ON THEM.

FORWARD-LOOKING STATEMENTS INVOLVE INHERENT RISKS AND UNCERTAINTIES. WE CAUTION YOU THAT A NUMBER OF IMPORTANT FACTORS COULD CAUSE ACTUAL RESULTS TODIFFER MATERIALLY FROM THOSE CONTAINED IN ANY FORWARD-LOOKING STATEMENT.

SUCH FACTORS INCLUDE, BUT ARE NOT LIMITED TO: TRENDS IN PIAGGIO CORE BUSINESS, ITS ABILITY TO IMPLEMENT COST-CUTTING PLANS, FUTURE CAPITAL EXPENDITURES.

Financial Statement (IFRS-IAS)

Year 08 Vs Year 07 (mln , %)

Piaggio Group Full Year results (IFRS-IAS)

Year 08 Vs Year 07 (mln , %)
Net Sales
(mln ) 1.692,1 1.570,1 (mln ) 226,1
-7,2% % margin 13,4% -16,4% 12,0%

EBITDA

189,1

07

08

07

08

EBIT
(mln ) 136,6 94,5
% margin 8,1% -30,8% 6,0% % margin

Income before Tax

(mln ) 103,5
6,1% -42,4%

59,6
3,8%

07

08

07

08

Net Income
(mln ) 60,0
% margin 3,5% -27,8%

NFP
(mln ) 43,3
2,8%

(269,8) 07

+33,3%

(359,7) 08
4

07

08

Total Sales trend (by Geographic Area)

Year 08 Vs Year 07 (mln , %)
1.692,1
Rest of World Asia Pacific India Americas
15,0 52,0 238,0
+2,5%

-7,2% +23,0% -12,4%

1.570,1
18,5 45,6 244,0 95,0

79,3
+19,8%

Rest of Europe

737,7
-9,6%

666,7

Italy

570,0

-12,2%

500,4

2007

2008

Total Sales trend (by Business, by Brand)

Year 08 Vs Year 07 (mln , %)

1.692,1
Others Spare Parts LCV India LCV Eu Moto
45,0 196,7 223,9 119,8 252,6

-7,2%

1.692,1 1.570,1
Guzzi
21,2 190,3 229,0
71,8 348,3

-7,2%

1.570,1
-24,2%
54,5 283,1 65,5 389,4

n.s. -3,2% +2,3%

Aprilia Derbi Piaggio LCV

-18,7%
71,3 380,3

-8,2% +2,4%

+3,9% -16,8%

124,5 210,1

Scooter

854,1

-6,9%

794,9

PVG

820,4

-5,2%

777,6

2007

2008

2007

2008

Total Volumes trend (by Business, by Brand)

Year 08 Vs Year 07 (000 units, sell in)

708,5
Other LCV Eu LCV India Moto
8,4 19,5 154,4

-8,5% n.s. -1,5% +3,0%

648,6
2,3 19,2 158,9

708,5
Guzzi Aprilia Derbi Piaggio LCV
8,9 121,3 39,0

-8,5% -25,0% -17,1% -9,5%

648,6
6,7 100,5 35,3

73,0

-14,2%

62,6

173,9

+2,4%

178,1

Scooter

453,3

-10,5%

405,7

PVG

365,4

-10,2%

328,0

2007

2008

2007

2008

EBITDA Evolution (IFRS-IAS)

Year 08 Vs Year 07 (mln , %)

(29,5) (12,5) 5,0

226,1
13,4%

189,1
12,0%

2007

Gross Margin

Opex

Amortiz.

2008

Net Income Evolution (IFRS-IAS)

Year 08 Vs Year 07 (mln , %)

(42,1) 27,2 60,0

3,5%

(1,8)

43,3
2,8%

2007

Ebit

Financial Expenses

Tax

2008

Group Balance Sheet (IFRS-IAS)

Year 08 Vs Year 07 (mln , %)

10

PFN Evolution (IFRS-IAS)

Year End 08 Vs Year End 07 (mln )
Receivable: Inventories: Payables: Others : 30,8 (32,4) 12,4 (7,5) Warrant: Buy Back: Dividends: Others: (64,2) (26,1) (23,5) (2,7)

3,3

(102,9) (269,8) 130,0

(3,7)

(116,5)

(359,7)

2007

Operating Working Cash Flow Capital

Capex

Disinvest. and others

Equity

2008

11