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Renault Earnings Release 2010

Jul 8, 2010

1625_iss_2010-07-08_8a2915fb-c630-44c6-b55d-3e9383e7ee5f.pdf

Earnings Release

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PRESS RELEASE

July 8, 2010

WORLD SALES RESULTS, FIRST-HALF 2010*

  • The Renault group saw sales increase by 21.6% on the world market, a rise of 16.0%. The Group increased its market share to 3.9%.
  • In first-half 2010 the Renault group maintained the impetus of second-half 2009 to increase both world sales and market share. The Group reported higher market share in 12 of its 15 main markets.
  • All brands contributed to the rise in Group sales: the Renault brand reported an increase of 19.9%, Dacia 18.2% and Renault Samsung Motors 61.0%.

Commenting, Jerome Stoll, Executive Vice-President of Sales and Marketing and Light Commercial Vehicles, said: "We are pleased with the results for first-half 2010. The Renault group is increasing sales volumes and market share across all its regions and for all three brands, Renault, Dacia and Renault Samsung Motors. These results can be explained primarily by the strong market momentum set up by the renewal of product ranges across all three brands and also by the measures put in place to support the automotive market, of which the Group has taken full advantage."

In the PC + LCV market, the Renault group increased sales 21.6% worldwide in first-half 2010, with 1,347,169 vehicles sold and market share up 0.2 points to 3.9%. In the PC market, the Renault group sold 1,186,387 vehicles, a rise of 22.2% (global market: +15.2%). The Group had market share of 4.5%, up 0.3 points.

Highlights in first-half 2010 included the launch of new products across all Group brands: New Mégane Coupé-Cabriolet and Fluence cars and New Master LCV for Renault, Duster for Dacia, and new SM5 for Renault Samsung Motors.

The Renault group's 15 main markets

The 15 main markets account for around 85% of Group sales. At end-June 2010, 12 of these 15 markets showed significant gains in market share while three

reported a drop.

* Provisional figures at end-June 2010

Corporate Communications 1967, rue du Vieux Pont de Sèvres – 92109 Boulogne Billancourt Cedex Tel.: + 33 (0)1 76 84 64 69 – Fax: + 33 (0)1 76 89 08 56 Websites: www.renault.com & www.media.renault.com Renault - Direction de la communication / Corporate Communications

Volumes
YTD 2010
PC+LCV market
share YTD 2010
Evolution of market
share vs. 2009
FRANCE 407 125 28,5% + 3,3
ITALY 87 028 6,9% + 2,3
SOUTH KOREA 85 142 11,4% + 3,0
GERMANY 83 807 5,4% - 0,4
SPAIN 72 920 10,9% + 0,4
BRAZIL 64 599 4,3% + 0,7
UNITED KINGDOM 59 467 4,9% + 2,1
BELGIUM/LUXEMBOURG 49 262 12,8% + 1,7
RUSSIA 42 227 5,4% + 0,6
TURKEY 40 639 14,7% + 0,4
ARGENTINA 37 893 11,7% - 0,5
ALGERIA 37 306 29,3% + 6,5
NETHERLANDS 25 861 8,7% + 2,1
ROMANIA 23 971 41,9% + 4,8
IRAN 20 626 2,8% - 0,2

Europe region (incl. France): Group PC + LCV sales rose by 21.6% in a market that expanded by 1.5% for market share of 10.8%, an increase of 1.8 points.

In a PC market that expanded by 0.9%, the Renault group increased sales by 21.7%, taking its market share to 10.2% (+1.8 points). The Renault brand ranks second in Western Europe, thanks primarily to the success of the Megane family and Clio. The Dacia brand reported a 27% rise in sales (116,096 units) in Western Europe for market share of 1.6% (+0.3 points).

With the scrappage bonus coming to an end in most countries, the mix of models sold is expanding. Total Renault sales in the economy/low-range segments were down 4.9% on 2009, while sales in the lower mid-range segment rose by 15.8%.

In an LCV market that expanded by 7.7%, the Renault group increased sales by 21.0%, taking its market share to 16.6% (+1.8 points). In Western Europe, the Renault brand remains No. 1, with market share of 15.7%. With its range of LCV models complementing the Renault offering, the Dacia brand increased its market share by 0.3 points, with a 70.0% surge in sales.

PC + LCV

In Europe, the Renault group had market share of 10.8% with a 21.6% rise in sales. Renault increased market share by 1.4 points to 9.2%, with 765,683 units sold. Dacia remained on a growth track, with sales of 131,598 vehicles, an increase of 29.2%.

! In France: the Group boosted market share by 3.3 points to 28.5%, with a 20.0% increase in sales (407,125 units). The Renault brand consolidated its position as leader, with 342,838 units sold, a rise of 9.5%. Dacia sales surged by 148%, with 64,287 units sold for market share of 4.5%, an increase of 2.6 points. Dacia sold as many vehicles in the first half of 2010 as in the whole of 2009. It has thus become France's sixth-ranking brand, and even No. 4 for consumer sales (non-fleet customers, rental/contract-hire firms and demonstration vehicles).

The Group also reported sales increases in its 15 main markets: Italy (+53.6%), Spain (+42.6%), the UK (+107.3%), Belgium/Luxembourg (+33.2%), and the Netherlands (+54.4%). In Germany, the fall in sales reflected that of the market (-31.9%), owing primarily to the end of the scrappage bonus.

Products in Europe:

Twingo II sold 89,385 units (+4%) in six months, making it third in its segment Clio II and III sold 213,505 units, an increase of 30%, placing it third in its segment The Megane family ranks second in its segment in Europe, with 256,146 units sold (+41%) Sandero is ninth in its segment in Europe with 86,176 units sold, an increase of 45% Duster, launched in March, is enjoying great success, with almost 35,500 orders taken at end-June.

Regions outside Europe: increased market share with Group PC + LCV sales on the rise in all regions.

PC + LCV

  • In South Korea, Renault Samsung Motors increased its share of the PC market by 3.6 points to 13.5% (11.4% in PC+LCV). Sales volumes rose by 58.8%, keeping South Korea in the Group's top three markets for the first half of the year. The SM3 and SM5 are second in their respective segments.
  • In Brazil, where the market expanded by 7.5%, the Group reported a 26.6% rise in sales, for market share of 4.3%, a rise of 0.7 points.
  • In Russia, the Group increased market share by 0.6 points to 5.4%. The Renault brand has become market No. 4 with Logan, Russia's most popular foreign vehicle.
  • In Romania, in a plummeting market (-26.4%), the Group consolidated its leadership, increasing its market share by 4.8 points to 41.9%. Dacia is the No. 1 brand with Logan No. 1, Sandero No. 4 and Duster No. 3 in their respective segments. Renault is No. 3 with Thalia and Fluence in the top 5.
  • In Turkey, the Group has reclaimed the No. 1 spot in the PC market, with PC + LCV market share of 14.7%.
  • In North Africa, where the market plunged by 8.9%, the Group increased sales by 14.2%, boosting market share to 31.1%, a rise of 6.1 points. The Renault brand is No. 1 in Algeria and Tunisia, No. 2 in Morocco. Dacia is No. 1 in Morocco.

Market outlook for second-half 2010

The second half of the year should see a divergence in trends between Europe and the rest of the world. In Europe, the market is expected to continue the fall that began in April with the end of the scrappage bonuses and the reinforcement of austerity plans in several countries. Countries outside Europe are expected to continue growing, the main reason being more favourable economic fundamentals.

The Group expects the global market to expand by around 8% in 2010 compared with 2009, despite a fall in the European market that is estimated at between 7% and 9% on last year.

Jerome Stoll, Executive Vice-President of Sales and Marketing and Light Commercial Vehicles, commented: "Our objective for 2010 is to continue building market share for all our brands in all Renault Group regions. In Europe, we will consolidate the market share that we have reclaimed with the Renault brand to confirm our No. 3 position in PC sales, and the leadership of the Renault brand in LCV sales. Outside Europe, we will continue our offensive by stepping up our presence in emerging countries, which will drive growth in the years to come."

Press contact: Rie Yamane: +33 1 76 84 64 69 www.media.renault.com & www.renault.com

Total sales by brand
June* At the end of June*
June 2010 June 2009 % variation 2010 2009 % variation
RENAULT
PC 174 436 164 725 +5,9% 929 264 769 960 +20,7%
LCV 29 052 25 588 +13,5% 148 386 129 204 +14,8%
PC+LCV 203 488 190 313 +6,9% 1 077 650 899 164 +19,9%
RENAULT - SAMSUNG -
MOTORS
VP 15 108 10 720 +40,9% 87 693 54 468 +61,0%
DACIA
PC 34 601 32 316 +7,1% 169 430 146 203 +15,9%
LCV 2 533 1 875 +35,1% 12 396 7 671 +61,6%
PC+LCV 37 134 34 191 +8,6% 181 826 153 874 +18,2%
RENAULT Group
PC 224 145 207 761 +7,9% 1 186 387 970 631 +22,2%
LCV 31 585 27 463 +15,0% 160 782 136 875 +17,5%
PC+LCV 255 730 235 224 +8,7% 1 347 169 1 107 506 +21,6%
June 2010 At the end of June
LADA June 2010 June 2009 % variation 2010 2009 % variation
PC 55 012 33 406 +64,7% 241 601 214 051
LCV 9 8 +12,5% 74 18
PC+LCV 55 021 33 414 +64,7% 241 675 214 069 12,9%

Total Group sales PC+LCV by region without LADA

June* At the end of June*
June 2010 June 2009 % variation 2010 2009 % variation
Europe*** 170 506 162 030 +5,2% 897 281 737 981 +21,6%
O/w France 79 471 78 981 +0,6% 407 125 339 132 +20,0%
Euromed 28 621 26 913 +6,3% 128 358 123 913 +3,6%
Eurasia 9 373 7 970 +17,6% 46 144 40 481 +14,0%
Americas 22 115 20 571 +7,5% 132 620 106 832 +24,1%
Asia-Africa 25 115 17 740 +41,6% 142 766 98 299 +45,2%
Total excl. Europe 85 224 73 194 +16,4% 449 888 369 525 +21,7%
Total 255 730 235 224 +8,7% 1 347 169 1 107 506 +21,6%

* Sales

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

The top 10 markets of the Renault Group without LADA year to date June 2010

Countries Volumes PC+LCV (1) Market
share
FRANCE 407 125 28,5%
ITALY 87 028 6,9%
SOUTH KOREA* 85 142 11,4%
GERMANY 83 807 5,4%
SPAIN 72 920 10,9%
BRAZIL 64 599 4,3%
UNITED KINGDOM 59 467 4,9%
BELGIUM+LUXEMBOURG 49 262 12,8%
RUSSIA 42 227 5,4%
TURKEY 40 639 14,7%

* South Korea: Renault Samsung Motors

(1) Sales

Sales of Entry Program

By brand and by year

Brand 2004 2005 2006 2007 2008 2009 end of
June 2010
Total
Dacia 22 833 135 184 184 472 230 277 257 808 310 937 181 510 1 323 021
Renault 0 9 915 63 134 137 021 252 583 223 752 143 377 829 782
Total 22 833 145 099 247 606 367 298 510 391 534 689 324 887 2 152 803

By model

Sales by model end of June 2010 Since 2004
Logan 114 786 1 330 321
Logan MCV 30 054 298 914
Logan van 6 216 28 053
Logan pick-up 3 999 15 645
Sandero 155 019 465 057
Duster 14 813 14 813
Total 324 887 2 152 803

Top 5 markets for Entry Program

Rank Countries Brand End of June 2010
1 France Dacia 64 283
2 Brazil Renault 42 213
3 Russia Renault 35 710
4 Romania Dacia 19 294
5 Iran Renault 17 893