Alphabet Australia Fleet Funding Solutions

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1 Alphabet Australia Fleet Funding Solutions Alphabet. Driving you forward

2 Alphabet Funding Model Alphabet Australia delivers mobility solutions to drive business growth. We are focused on providing an end to end fleet management solution to our customers through the provision of a full suite of funding products and fleet management options. The table below outlines the products and services that are available when you partner with Alphabet. Alphabet will be able to provide a fleet solution to suit your business unique needs. Funding Model Features Operating Lease Novated Lease Finance Lease Chattel Mortgage Purchase/ Own On or Off Balance Sheet Legal Ownership of Asset Fixed Monthly Payment Fleet Managed Services Residual Value Liability End of Lease Treatment Off* Off On On On Alphabet Alphabet with option to offer to purchase at lease end Alphabet with option to offer to purchase at lease end Customer Yes Yes Yes Yes Yes Budgeted or Budgeted Budgeted or Budgeted or Alphabet Employee Customer N/A N/A Return or Extend Make offer to buy Return Refinance Pay RV Return Refinance N/A Customer N/A *Note IFRS 16 standard for companies which are publishing under IFRS to be implemented for fiscal years containing January 1, Alphabet supports with industry experience on the implication of the lease accounting change Fleet Managed Services You have the flexibility of including any or all of the below fleet managed services into your contract, regardless of which funding option you choose; Vehicle Maintenance and Repairs Tyre Management Fuel Card Management Accident Management Roadside Assist Fine Management (not applicable for Novated Lease) Insurance Toll Management (not applicable for Novated Lease) Registration Management

3 Operating Lease An Operating Lease is a rental agreement which enables you to avoid the risks associated with vehicle fleet ownership. The contracts are structured in accordance with the vehicle term and annual kilometre usage that suit your business unique needs. The vehicle is returned to Alphabet at lease end, and the risks associated with residual value liability are removed. Utilising Alphabet vehicle acquisition processes for all make and models Australia wide No capital outlay required Amount financed is GST exclusive Flexible contract terms from 12 to 60 months Fixed monthly lease rental Maintenance, tyres, registration, insurance and other running costs can be built into the rental to provide you with a fixed known expense for stated terms and kilometres Finance Lease A Finance Lease is a tax effective tool that preserves cash flow and frees up capital. A finance lease transfers the risk of ownership to you however the legal ownership remains with Alphabet until the residual value amount is paid. A Finance Lease is available to customers who use their vehicle predominantly for business or income-producing purposes (in excess of 50% business usage). At the end of lease, you may choose to; refinance the residual value amount and extend the contract term or pay the residual value amount and enter into a new lease agreement for another vehicle. No capital outlay required Amount financed is GST exclusive Flexible contract terms from 12 to 60 months Fixed term interest rate Fixed monthly lease rental Tax deductions may be available when the vehicle is used predominantly for business purposes Maintenance, tyres, registration, insurance and other running costs can be built into the rental to provide you with a fixed known expense for stated terms and kilometres

4 Chattel Mortgage A Chattel Mortgage is a finance product that is purchased as an asset. The customer becomes the owner of the vehicle at the time that the finance contract commences and a mortgage is taken out over the vehicle as security. Once the finance contract is completed the customer obtains a clear title of the vehicle. A Chattel Mortgage is suitable for customers who use vehicles predominantly for business purposes. 100% financing for the GST inclusive price of the vehicle GST can be claimed on the vehicles purchase price if you are registered for GST Choose the term of your contract from 12 to 60 months Nominate the balloon payment to suit you or choose no balloon to take full ownership at the end of the contract Fixed interest rate for the life of the contract Maintenance, tyres, registration, insurance and other running costs can be built into the rental to provide you with a fixed known expense for stated terms and kilometres Novated Lease A Novated Lease is a three-way arrangement between an employee, the employer and Alphabet. As well as the features and benefits of a standard Novated Lease, a Fully Maintained Novated Lease can also include ongoing maintenance costs such as vehicle servicing and fuel card management, all included in one regular monthly payment. GST Savings Reduced Income Tax Discounts on vehicle purchase price and running costs Convenience of cash free motoring

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6 For more information on the funding products and fleet management options that Alphabet provide please contact us Disclaimer All the information contained in this booklet is intended for informational purposes only and Alphabet makes no representation as to its accuracy, completeness, suitability or validity. It should not be considered as financial, taxation or legal advice. We recommend you seek independent professional financial advice regarding the effectiveness of financing or leasing a vehicle. Alphabet Australia, a division of BMW Australia Finance Limited ABN / Australian credit license Address Level 2, 211 Wellington Road Mulgrave VIC 3170 Phone Fax (03) salesau@alphabet.com