Renault — Earnings Release 2009

Jul 17, 2009

PRESS RELEASE

July 17, 2009

SALES RESULTS, FIRST-HALF 2009

Worldwide:

• The Renault group (PC+LCV) had stable market share of 3.7%. Sales were down 16.5% in a global PC+LCV market that fell 16.5%.
• The Group increased market share by 0.1 points to 4.3% in a global PC market that fell 15.6%, although sales were down 13.7%.

In Europe:

• The Renault group reported steady PC market share of 8.4%. This result can be attributed to rising market share in the second quarter: 8.8% compared with 7.9% in the first quarter.
• The renewal of the Mégane family range is a success.
• Renault remains No. 1 on the LCV market in first-half 2009, a position it has held for more than 11 years. The Group increased market share by 0.6 points to 14.8%.

Results by region

! Europe region

In a falling European market (-10.6% for PC), the Renault group (-10.7%) maintained market share of 8.4%.

In the main European markets:

• The Group increased its share of the PC market in Germany (+ 0.8 points on the back of a 47.6% surge in sales), Spain (+0.5 points) and Belgium (+0.8 points).

• In France, however, the Group reported a 0.5 point loss in PC market share, following a fall in shortterm leasing sales in the first half of the year (-14,000 cars). The Group also lost car market share in Italy (- 0.5 points) and in the UK (-2.2 points), following the decision to scale down sales through nonprofitable channels after the strong depreciation of the pound sterling.

In the first half of the year, Dacia sales (PC+LCV) surged by more than 95% in Europe to over 100,000 units, of which almost 60,000 Sandero vehicles.

The scrappage schemes introduced in December in France, closely followed by Germany and other European countries, effectively supported the markets.

! Euromed region

In Romania, in a market that fell by half, the Group grew market share by 2.3 points to 37%. Renault remains the leader in this market.

In Algeria, in a market that grew 1%, the Group, which is No. 1 here, boosted sales by 30.1% for a 5.1 points increase in market share.

In Morocco, in a market that dropped 7.7%, the Group posted growth of over 9% to take market share of 34%, an increase of 5.2 points, thus consolidating its No. 1 market position.

! Eurasia region

In Russia, the Renault group increased market share by 1 point to 4.7% in a market that plunged 48.6%. Despite the strong downward trend driven by the current crisis, Russia remains a strategic market for the Group with real potential for growth over the coming years.

! Americas region

In Brazil, in a market that expanded 4.4%, supported by falling tax rates, the Group reported a 12.9% fall in sales. It sold more than 20,000 Sandero and more than 13,000 Logan.

In Argentina, in difficult conditions, the new sales policy brought a return to growth at the end of the first half-year. The Group had market share of 12.2%.

! Asia-Africa region

In a market that dipped 1%, Renault Samsung Motors grew sales by 2% in Korea, increasing its share of the PC market by 0.3 points to nearly 10%. The growth of RSM can be attributed to the excellent performance of SM5 in Korea with almost 30,000 vehicles sold in first half year. In Iran, more than 19 000 Tondar 90 (Logan) were sold. The ramp-up in production of Logan is slower than expected, owing mainly to the financing and supply constraints of Iranian suppliers

Results by model

In first-half 2009, Renault launched five new models: Mégane Coupé, Mégane Estate, Grand Scénic, Scénic and Clio III phase 2. This gives the Group a completely renewed range in Europe with an average age of 2.5 years (compared with 3.8 in 2005).

• Mégane: the Mégane vehicle family ranks third in its segment in Europe (173,000 vehicles sold) following the arrival of new Mégane Hatch at end-2008, followed by Mégane Coupé, Grand Scénic, Scénic, and Mégane Estate in first-half 2009.

Mégane Hatch and Mégane Coupé rank No. 1 in the lower mid-range vehicle segment in France and in Spain in first-half 2009.

• Twingo: Twingo is No. 1 in its segment in France with more than 54,000 units sold. It ranks among the top three in its category in Europe with an increase in sales of more than 15%.
• Clio III phase 2 was launched in April. With Carminat Tom-Tom, Clio ph.2 is the only car in the compact vehicle segment to feature an integrated factory-fit navigation system for under €500. In June it was No.1 in its segment in France.
• Laguna: following the success of the "Black Édition" special series, Laguna was once again No. 1 in France in June on the retail market.
• Light commercial vehicles: Renault was No. 1 in the LCV market in the first half of the year, a position it has occupied for more than 11 years in Europe. The Group increased market share to 14.8%, with a 0.1 point rise for the Renault brand, while the newly launched Dacia LCV range picked up 0.6 points in market share.
• Entry-level range: the entry-level range consolidated its success with 252,000 units sold for the Renault and Dacia brands, of which almost 100,000 Sandero vehicles.

Conclusion

Against a backdrop of financial and economic crisis, the Renault group is building on strong assets for the second half of the year :

• the full impact of the renewal of the range with flagship products in Europe such as Mégane, Scénic, Grand Scénic, and Clio III phase 2;

• a Renault eco² range in Europe tailored to current environmental concerns and to the new tax incentives. Sixty per cent of vehicles sold by the Group in Europe emit less than 140g/km of CO2 (compared with 48% in 2007), of which more than one-third less than 120g (2008 data);

• an entry-level range tailored to current economic conditions, which remains on a path of strong growth.

In the first half of 2009¹ Renault has achieved a significantly positive Free Cash Flow, product of the action plan announced on February 12, 2009. Group net income will be published in full on July 30th, taking into account a negative operating margin for the first half of the year as well as the negative impact of equity associated earnings. The contribution from Nissan and Volvo to equity associated earnings for the first quarter 2009 were -1 151M€ and -83 M€ respectively. The second quarter contributions, as well as the total impact from AvtoVAZ will be announced on July 30th.

Press contact: Isabelle Meillier, Renault Press: +33 1 76 84 64 69

Websites: www.media.renault.com and www.renault.com

¹ The first-half results are under review by the statutory auditors and will be examined by the Board of Directors on July 29.

Total sales by brand

		June*		At the end of June
	June 2009	June 2008	% variation	2009	2008	% variation
RENAULT
PC	164 275	171 271	-4.1% -23.2%	768 704	949 948	-19.1%
LCV	25 829	33 646		129 962	194 623	-33.2%
PC+LCV	190 104	204 917	-7.2%	898 666	1 144 571	-21.5%
RENAULT - SAMSUNG - MOTORS
VP	10 749	8 082	+33.0%	54 497	53 751	+1.4%
DACIA	0	0
PC LCV	32 316	22 627	+42.8%	146 160	118 956	+22.9%
	1 871	1 658	+12.8%	7 666	8 886	-13.7%
PC+LCV	34 187	24 285	+40.8%	153 826	127 842	+20.3%
RENAULT Group	0	0
PC	207 340	201 980	+2.7%	969 361	1 122 655	-13.7%
LCV	27 700	35 304	-21.5%	137 628	203 509	-32.4%
PC+LCV	235 040	237 284	-0.9%	1 106 989	1 326 164	-16.5%
		June*		At the end of June
LADA	June 2009	June 2008	% variation	2009	2008	% variation
PC	33 932	63 937	-46.9%	217 020	295 463
LCV	8	10	-20.0%	18	54

PC+LCV 33 940 63 947 -46.9% 217 038 295 517

* Sales

** Since March 2008

Total Group sales PC+LCV by region excluding LADA

		June*		At the end of June
	June 2009	June 2008	% variation	2009	2008	% variation
Europe***	161 709		+2.1%	737 217	866 073	-14.9%
O/w France	78 434	73 795	+6.3%	338 276	366 477	-7.7%
Euromed	26 911	29 214	-7.9%	123 912	147 711	-16.1%
Eurasia 7 970		12 630	-36.9%	40 481	66 087	-38.7%
Americas	21 155		+1.4%	111 085	136 617	-18.7%
Asia-Africa	17 295	16 183	+6.9%	94 294	109 676	-14.0%
Total excl. Europe	73 331	78 881	-7.0%	369 772	460 091	-19.6%
Total	235 040	237 284	-0.9%	1 106 989	1 326 164	-16.5%

*** Europe = European Community (24 countries) + Croatia, Islande, Norway & Switzerland

Renault group TOP 10 markets (excluding LADA) YTD June 2009

Countries	Volumes PC+LCV (1)	Market share
FRANCE	332 102	25.1%
GERMANY	123 019	5.7%
ITALY	56 703	4.7%
SOUTH KOREA	53 612	8.3%
SPAIN	51 144	10.5%
BRAZIL	51 036	3.7%
TURKEY	39 023	14.3%
BELGIUM	37 022	11.1%
RUSSIA	36 610	4.7%
ARGENTINA	32 654	12.2%

* South Korea: Renault Samsung Motors

(1) Registrations

Entry range total sales

Brands	Regions	2004	2005	2006	2007	2008	1st Half 2009	Total
Dacia	Europe	2 080	30 309	47 396	80 042	111 631	101 800	373 258
	Euromed	20 751	102 272	127 284	136 433	126 520	47 528	560 788
	Eurasia		1 029	6 423	10 189	15 510	2 233	35 384
	Asia-Africa	2	1 412	2 952	3 109	3 334	1 701	12 510
	Americas		162	417	504	813	533	2 429
	Total Dacia	22 833	135 184	184 472	230 277	257 808	153 795	984 369
Renault	Euromed
	Eurasia		7 057	49 323	67 844	74 300	25 583	224 107
	Asia-Africa				28 432	74 952	23 733	127 117
	Americas		2 858	13 811	40 745	103 331	49 023	209 768
	Total Renault		9 915	63 134	137 021	252 583	98 340	560 993
TOTAL	ENTRY	22 833	145 099	247 606	367 298	510 391	252 135	1 545 362