Introduction to ALD Automotive

Contents

y y y y y y

ALD Automotive Global organization

Societe Generale group Societe Generale India ALD Automotive India

What is Operating Lease Our Product Offering

ALD Automotive at a glance

2nd European leasing company & 3rd worldwide Part of

Managing over 870,000 vehicles globally (+9% per year)

Direct presence in 37 countries

3,700 people

Product mix offering Full Service Leasing & Fleet Management

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25% 75%

ALD bluefleet brand for sustainable development offering

Societe Generale profile

Societe Generale is one of the largest financial services groups in the euro zone 157,000 employees in 85 countries
y 120 different nationalities y 15,100 permanent recruitments in the world in 2010 (+30% on 2009)

Societe Generale is included in the socially-responsible investment indexes: FTSE4Good and ASPI Financial ratings: A+ by Standard & Poors, A+ by Fitch and Aa2 by Moodys (as on July 2011)

y
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Societe Generale key figures

Societe Generale key businesses:

y French Networks y Societe Generale, Credit du Nord & Boursorama y 10.7 million individual customers y International Retail Banking y 12.3 million individual customers y Corporate and Investment Banking y Societe Generale ranks among the leading banks worldwide in euro capital markets, y
derivatives and structured finance Global Investment Management and Services y Assets under custody 3,362 bn (Dec 2010) y Assets under management 455 bn (Dec 2010) Specialised Financial Services and Insurance

Retail Banking in France Int. Retail Banking

SGCIB GIMS

y y
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NBI of 26.4 bn (Dec 10) Net Income of 3.9 bn (Dec 10)

DSFS 13.4% of group NBI

Focus on service quality: Fleet Awards 2010/2011

ALD Automotive Germany has been elected best independent leasing service supplier by Autoflotte and by Firmenauto
y Around 6,000 readers of the Autoflotte magazine chose ALD Automotive in the y
leasing category In Firmenauto ALD has been awarded for the second time after 2007

y y

ALD Automotive France has been awarded 3 consecutive years as Best Customer Services of the Year ALD Automotive UK won two Top Industry Award (Fleet Driver Service Award) as it drives up fleet service standards
y In Fleet World Honours 2010: Fleet Driver Service Award. ALD won the award for y
our 360 OSI Survey being an industry-leading initiative. In Fleet World Honours 2011: Technology Award. ALD won the award for ProFleet2, a vehicle-data service that is, arguably, the most cost effective and practical telematics solution available in the UK vehicle leasing market today.

ALD Automotive Czech Rep. has been awarded best Full-Service Leasing product
y First place in Fleet AWARDS for the category Full-Service Fleet Management. y
The commission awarded 3 consecutive years the Full-Service Leasing product. The Golden Crown for the product Full-Service Leasing All Inclusive consecutively since 2002

SocGen India Business Focus

Presence in India for over 25 years Over 3000 Employees Direct Presence in over 25 locations
Corporate & Investment Banking
Asia Holdings (India) Pvt Ltd

International Retail Banking

Global Investment Management Services

Specialised Financial Services

Resource Group

ALD Automotive India at a glance

Leading industry player with over 25% market share Wholly owned subsidiary of ALD International, Paris Successful Presence in India for over 6 Years

Headquartered in Mumbai. Branch offices in Delhi, Bangalore, Pune, Chennai Hyderabad and Ahmedabad

Managing fleet in Over 250 locations across the

Managing over 7000 cars for 475 customers 24/7 Break-down assistance in over 600 Locations

Product mix offering Full Service Leasing & Fleet Management

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75%

country

ALD Automotive Group purchases in brief - 2010

198,000 vehicles purchased 3,200,000 days in short term leasing 930,000 tyres 550 millions of litres of fuel and 150,000 used cars sold :
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What is Operating Lease

Leasing a car is like renting a house: you pay for the usage

Vehicle purchase price: Rs. 10 Lacs

Monthly deprecation: Repayment for usage Rs. 5.5 lacs / 48 months Vehicle resale price: Rs. 4.5 Lacs

Contract terms (48 months, 80.000km) + Subscribed services for the Vehicle & for the User

Depreciation funding + additional services = monthly rental

Risks come from: - Fixing accurate residual value to new vehicles (4 years ahead resale price assumption) - Self insurance: we pay for accident repairs - Maintenance fund estimation 10

What do we Offer?
For new fleet acquisition: Full Service Operating Lease

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What do we Offer?
For an Existing vehicle fleet: Sale & Lease Back

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What do we Offer?
For an Existing vehicle fleet: Fleet Management Services without financing

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Different Acquisition Methods

OUTRIGHT PURCHASE LOAN / FINANCE LEASE OPERATING LEASE

y y y

pay outright and own Claim depreciation Internally manage the fleet:

yBorrow money from Bank/FI yMost common method for company cars used
to buy the car by corporates in Europe and in other mature vehicle markets

yRepay the whole principal &

interest thereon

1. Acquisition 2. Registration 3. Insurance 4. Damage repairs 5. Dealing with

suppliers

yJust outsource the whole vehicle acquisition,

management and resale process

yBook treatment and other

management same as outright purchase.

yJust pay a fixed monthly cost for using a

particular vehicle

yAt the end of tenure/early

termination, company has to prepay the foreclosure amount

yAll risks relating to maintenance overspend

and losses on resale risks to be borne by the leasing company.

6. Authorising and
paying suppliers

7. Reselling the car

etc

yCompany is stuck with the

car

yJust paying for the depreciation (loss in value)

expected on the use of the car over the lease period.

Co. takes all the risks on the car

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yCo. takes all the risks on the

car

Benefits of Operating Lease

PURCHASE/ CAR LOAN/ FINANCIAL LEASING ALD FULL SERVICE OPERATIONAL LEASE BENEFIT ANALYSIS

BETTER CASHFLOWS: LEASE RENTALS ARE DEDUCTABLE IN THE P&L ACCOUNT CAPITAL ASSETS YES NO HEALTHIER BALANCE SHEET: NO DEPRECIATING & NON-PRODUCTIVE ASSETS IMPROVED RETURN OVER EQUITY & RETURN OVER ASSETS USE YOUR VALUABLE FINANCIAL RESOURCES IN PRODUCTIVE ACTIVITY PROTECTION FROM FLUCTUATION IN THE USED CAR MARKETS REDUCES FINANCIAL RISKS FLEET MANAGEMENT COSTS AVOID ANY SURPRISES RELATED TO MAINTENANCE COST BETTER BUDGETING & COST CONTROL

DOWN PAYMENT

YES

NO

RISKS ON RESALE

YES

NO

UNCERTAIN

FIXED

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Benefits of Operating Lease

PURCHASE/ CAR ALD FULL SERVICE LOAN/ FINANCIAL OPERATIONAL LEASE LEASING BENEFIT ANALYSIS

CONTACT PERSON

MANY

ONE

SAVING TIME AND RESOURCES FOR YOUR CORE BUSINESS EMPLOYEE SATISFACTION

MANAGEMENT SERVICES

NOT INCLUDED

FULL SERVICE

IMPROVING EFFICIENCY, PERFORMANCE WHILE REDUCING COSTS

FLEET CONSULTING

NO

YES

EXPERT ADVICE FOR OPTIMUM SELECTION AND UTILISATION OF YOUR FLEET REDUCTION IN TOTAL COST OF OWNERSHIP

CLIENTS INTERNAL ADMINISTRATION COSTS

UNCERTAIN

HIGHLY REDUCED

REDUCES COSTS AND IMPROVES PRODUCTIVITY EMPLOYEE SATISFACTION

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Life cycle management

ALDs services offer possibilities FOR comprehensive & effective management of your companys car policy. Reduction in total cost of ownership Quotation

Contract / Car policy

Dedicated team of professionals to

support all the processes

Quotations & Acceptance Orders & deliveries

Restitution

Services Insurance & Damages

Invoicing

Account management Reporting

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What we do: funding, management & optimization

3. Financing

2. Administration (orders, papers, taxes)

4. Maintenance

5. Insurance 1. Vehicle selection 6. Fuel & services 9. Vehicle remarketing 7. Support (assistance, acc.mgt) 8. Reporting & optimization

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Scope of services available under FSL and Fleet Management

Technical support

Maintenance & repairs Replacement vehicle

Tyre mgt Fuel management Online ALDnet suite Car policy review Loyalty program Car washing Safety program

Roadside assistance Insurance & risk mgt ALDmatrix optimisation Global account mngmt Best rated Client service Car delivery

Management tools

Reporting management TCO Analysis Satisfaction surveys VIP service ALD bluefleet programs

Consultancy

Driver satisfaction

VIP options

Eco-friendly society 19

and many others

ALD can perform a Total Cost of Ownership analysis

First fleet analysis Levers selection Second fleet analysis Performance measurement

Leverage library

Actions + KPI + KPI

Entity comparison Brand Comparison Fuel cons. analysis Mileage deviation Rebill analysis Etc..

Car policy optim. Car catalogue review Driver awareness Eco-driving Behaviour alert Etc..

Entity comparison Brand Comparison Fuel cons. analysis Mileage deviation Rebill analysis Etc..

Replace measurement within actual economical context

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Example of TCO analysis: over consumption measurement

Compare actual fuel consumption (orange line : measured via fuel invoices) with car manufacturers fuel consumption (purple line) :

15 l/100km

10 l/100km

? = +16%
5 l/100km

0 l/100km

29,324 fuel refills

Valuable information

drivers over consumption ( ) is the difference between car manufacturers fuel consumption and actual consumption. between +15% and +20% is acceptable beyond +25% should be highlighted.
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Features of ALD Offering

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Flexible offering: select from the basket of services 24/7 Breakdown assistance in 600+ locations Dedicated Relationship management:

y Periodic review of the relationship y Road show and Individual driver counseling to
maximize penetration

y Personalized attention to each driver y Customized reporting based on your requirement

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Features of ALD Offering Contd..

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Centralised customer care for every requirement of yours Widest network of cashless maintenance and repairs facility for reduced reimbursement hassles Optiflex Matrix: for easier and transparent termination Sale and lease back of pre-owned cars Lease transfers to new employers in case of employee separation Web-based Reporting tool: the ALD net

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ALD Automotive Optiflex Matrix

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Fully transparent pricing grid, indicating the monthly lease rentals for various different combinations of mileages and durations, Manages all the financial adjustments resulting from contract modifications Offers fixed monthly rentals applicable to various scenarios for a specific contract. If the actual parameters fall outside of that contracted terms, ALD Automotive amands the contract on the basis of the actual parameters as per the Optiflex Matrix Interest rates, Residuals and Fleet Management costs are the same as in standard quotations. Lets you know right at the beginning, what your options can be at the end of the contract. A strong commitment from ALD Automotive to its customers

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Why chose ALD Automotive Matrix ?

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Service offered without extra charges Contract modification and early terminations costs are already known Easy budgeting tool, One Grid; 300 cells with +/- flexibility; 600 quotes available, No + km or - km (less invoicing documents), Productivity increase Commitment & Control

How does the ALD Automotive Matrix work ?

If a customer wants to terminate the contract originally signed for 48 months and 80000 kms in the 24 months 30000 kms or 36 months 60000 kms, he will need to pay the difference of the EMI multiplied by the eloped duration as a termination fee and return the car back to ALD Automotive After 24 months, the customer has to terminate the contract: - the monthly fee is Rs. 16197 instead of Rs. 15424 (= Rs. 773) - the customer will need to pay Rs.773 x 24 months = Rs. 18552 to ALD.

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How does Offer No.: XYZ Ltd. Automotive Matrix work months Optiflex Matrix related to the ALD Duration : 36 ?
Customer : TEST Date: 1/6/2009

24 months
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N/A N/A

Km 12 15 18 21 24 19,475 N/A N/A N/A N/A 0 - 10,000 20,017 N/A N/A N/A N/A 10,001 - 15,000 20,558 19,734 18,287 16,931 15,907 15,001 - 20,000 21,016 20,034 18,485 17,098 16,052 20,001 - 25,000 21,473 20,334 18,682 17,266 16,197 25,001 - 30,000 22,042 20,796 19,075 17,599 16,485 30,001 - 35,000 22,612 21,261 19,467 17,932 16,774 35,001 - 40,000 23,238 21,813 19,968 18,357 17,143 40,001 - 45,000 23,865 22,365 20,469 18,783 17,513 45,001 - 50,000 N/A N/A 21,264 19,452 18,088 50,001 - 55,000 N/A N/A 22,058 20,122 18,663 55,001 - 60,000 N/A N/A 22,665 20,639 19,113 60,001 - 65,000 N/A N/A 23,271 21,156 19,563 65,001 - 70,000 N/A N/A 23,916 21,710 20,049 70,001 - 75,000 N/A N/A 24,562 22,264 20,535 75,001 - 80,000 N/A N/A N/A N/A 21,093 80,001 - 85,000 N/A N/A N/A N/A 21,652 85,001 - 90,000 N/A N/A N/A N/A 21,972 90,001 - 95,000 N/A N/A N/A N/A 22,292 95,001 - 100,000 N/A N/A N/A N/A N/A After 24 month 30 K kms you 100,001 - 105,000 N/A N/A N/A 105,001 - 110,000 N/Aneed to pay N/A N/A N/A N/A N/A N/A 110,001 - 115,000 Rs.N/A 773 N/A 24 N/A N/A N/A x month= 115,001 - 120,000 Rs. N/A N/A N/A N/A 18,552/120,001 - 125,000 N/A N/A N/A N/A N/A 125,001 - 130,000 N/A N/A N/A N/A N/A 130,001 - 135,000 N/A N/A N/A N/A N/A N/A 135,001 - 140,000 27 N/A N/A N/A N/A 140,001 - 145,000 N/A

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N/A N/A

33
N/A N/A N/A

36
N/A N/A N/A N/A

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N/A N/A N/A N/A N/A N/A

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N/A N/A N/A N/A N/A N/A

Mileage : 60,000 kms Lease Rentals ( excluding Insurance & 48 months VAT ): Rs. 15,989/45 48 51 54 57 60
N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A

A fee of N/A N/A N/A 16,197/-p.m

N/A N/A

16,360 15,976 15,235 14,616 16,583 16,148 15,392 14,761

16,807 16,320 15,550 14,907 14,877 14,522 14,108 13,745 17,107 16,563 15,774 15,114 15,068 14,697 14,270 13,896

17,406 16,807 15,998 15,322 15,258 14,872 14,433 14,048 14,052 13,826 13,469 13,148 17,878 17,197 16,357 15,655 15,561 15,147 14,690 14,288 14,276 14,035 13,667 13,335 18,350 17,586 16,716 15,989 15,863 15,423 14,947 14,528 14,499 14,244 13,864 13,523 18,764 17,971 17,068 16,315 16,143 15,664 15,171 14,738 14,694 14,424 14,035 13,685 19,179 18,356 17,421 16,641 16,423 15,905 15,395 14,947 14,888 14,605 14,207 13,848 19,627 18,772 17,803 16,995 16,734 16,179 15,650 15,185 15,110 14,812 14,402 14,033 20,075 19,188 18,186 17,348 17,045 16,453 15,904 15,424 15,332fee of 14,599 14,220 A 15,020 21,106 20,148 19,069 18,169 17,815 17,179 16,579 16,054 15,904 15,541 15,091 14,686 21,417 20,448 19,345 18,422 18,050 17,397 16,781 16,242 16,077 15,699 15,241 14,828 21,727 20,748 19,619 18,677 18,285 17,615 16,984 16,430 16,249 15,857 15,390 14,969 N/A N/A N/A N/A N/A N/A N/A N/A N/A 21,120 19,961 18,994 18,582 17,894 17,244 16,673 16,474 16,066 15,587 15,156 21,493 20,304 19,312 18,880 18,174 17,503 16,916 16,699 16,275 15,784 15,342 21,913 20,691 19,672 19,217 18,491 17,798 17,191 16,953 16,511 16,007 15,554 22,333 21,079 20,033 19,554 18,807 18,092 17,466 17,208 16,747 16,231 15,766 22,659 21,380 20,311 19,813 19,048 18,316 17,675 17,400 16,925 16,399 15,926 22,986 21,681 20,591 20,072 19,289 18,540 17,884 17,593 17,104 16,568 16,086 N/A N/A N/A N/A N/A N/A 20,938 20,398 19,596 18,794 18,091 17,813 17,333 16,785 16,292 21,285 20,724 19,904 19,049 18,300 18,032 17,563 17,003 16,499 21,357 20,796 19,975 19,114 18,360 18,085 17,608 17,045 16,539 20,591 19,668 18,627 B = Rs. 773/- 16,242 15,739 15,618 15,280 14,844 14,453 15,424/-p.m A - 17,759 17,430 16,816

Per month

THANK YOU!
Write to us at: lets.drivetogether@aldautomotive.com National toll free number: 1800 209 52 53 Website: www.aldautomotive.in

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