German Share Gains In Europe: Unprecedented...And Until The Euro Or China Cracks...Unstoppable?

June 21, 212 Global Autos German Share Gains In Europe: Unprecedented...And Until The Euro Or China Cracks...Unstoppable? (A Capital Markets View Of The European Auto Industry) Max Warburton Global Automotive Equity Analyst max.warburton@bernstein.com Prudential Tower 5 Berkeley St No. 3 Cecil Street London Singapore 49712 W1B 8SB, UK +65-623-46 +44-27-17-588 See Disclosure Appendix of this report for important Disclosures and Analyst Certifications

The Decline And Fall Of European Profitability European OEM EBIT margins have been in structural decline for two decades European Volume OEMs Average EBIT Margin EBIT Margin (%) 7.% 6.% 5.% 4.% 3.% 2.% 1.%.% -1.% -2.% 199 1991 1992 1993 1994 1995 1996 1997 1998 1999 2 21 22 23 24 25 26 27 28 29 21 211 Source: IHS Global Insight and Bernstein analysis 2 Global European Autos Autos

Is Anybody Making Money In European Autos? German OEMs have seen a margin step up, while almost everyone else is in decline if we isolate core Western Europe, mass market Europeans set to lose over E2bn in 212 27 vs. 211 Auto EBIT Margins 15% 11.8% 12.1% 1% 6.4% 9.1% 9.% 8.% EBIT Margin (%) 5% % 4.% 2.6% 2.% 1.8% 1.2% -.2% 3.% 2.8% 2.% -.1% 3.5%.9% 4.% 1.4% -5% -2.8% -1% BMW Mercedes Audi VW brand Renault PSA Fiat Ford Europe GM Europe Toyota Europe¹ 27 211-7.3% Nissan Europe¹ Source: Corporate Reports and Bernstein analysis 1. FY 212 for Japanese OEMs 3 Global European Autos Autos

Unstoppable German Market Share Gains since The uro We are all talking German now onwards and upwards, German OEMs have gained market share since 2...the point where the Euro was introduced 2 vs. 211 German OEM Market Share in Western Europe 32.% 31.3% Market Share (%) 3.% 28.% 26.% 24.% 25.9% 26.3% 26.% 25.7% 25.7% 26.9% 28.% 27.9% 29.1% 28.4% 29.2% 22.% 2.% 2 21 22 23 24 25 26 27 28 29 21 211 Source: IHS Global Insight and Bernstein analysis 1. Includes Volkswagen, Audi, SEAT and Skoda 4 Global European Autos Autos

Is This Unprecedented? In Europe Yes; Globally No. Several of the automotive success stories of the past few decades US Market Share of Japanese OEMs 199-25 US Market Share of Korean OEMs 25-211 UK Market Share of French and German OEMs 199-25 35.% 3.% 1.% 9.% 8.% 7.% 25.% 2.% Market Share (%) 25.% 2.% Market Share (%) 6.% 5.% 4.% Market Share (%) 15.% 1.% 3.% 15.% 2.% 5.% 1.% 1.%.% 25 26 27 28 29 21 211.% 199 1991 1992 1993 1994 1995 1996 1997 1998 1999 2 21 22 23 24 25 199 1991 1992 1993 1994 1995 1996 1997 1998 1999 2 21 22 23 24 25 German Mkt Share French Mkt Share Source: IHS Global Insight and Bernstein analysis 5 Global European Autos Autos

Currency Explains A Lot Of It can be partially explained by favourable foreign exchange rates US Market Share of Japanese OEMs 199-25 US Market Share of Korean OEMs 25-211 UK Market Share of French and German OEMs 199-25 35.% 16 1.% 14 25.% 14 Market Share (%) 3.% 25.% 2.% 15.% 14 12 1 8 6 4 2 USD/JPY Market Share (%) 9.% 8.% 7.% 6.% 5.% 4.% 3.% 2.% 1.% 12 1 8 6 4 2 USD/KRW Market Share (%) 2.% 15.% 1.% 5.% 12 1 1.%.% 199 1991 1992 1993 1994 1995 1996 1997 1998 1999 2 21 22 23 24 25 25 26 27 28 29 21 211 8 6 4 2 Exchange Rates Rebased to 1 as of Jan 1, 199.% 199 1991 1992 1993 1994 1995 1996 1997 1998 1999 2 21 22 23 24 25 Market Share USD/JPY Market Share USD/KRW German Mkt Share GBP/DEM French Mkt Share GBP/FRF Source: IHS Global Insight and Bernstein analysis 6 Global European Autos Autos

When Did Germans Focus On Europe? VW used to rely on the US for its profitability...this was wiped out in 23 by US$ devaluation...almost immediately after, VW turned its attention to growth WITHIN Europe VW Operating Profit in North America 2-211 VW Market Share in Europe 2-211 Operating Profit (EUR mn) 2 15 1 5-5 -1 1,664 1,287-168 -97-843 -67-7 -9-7 -5-3 1.8 1.6 1.4 1.2 1.8.6.4.2 EUR/USD Market Share % 24.% 23.% 22.% 21.% 2.% 19.% 18.% 17.% 16.% 18.9% 18.4% 18.2% 18.1% 18.9% 2.9% 21.% 2.4% 19.8% 19.5% 22.9% -15 21 22 23 24 25 26 27 28 29 21 211 15.% 21 22 23 24 25 26 27 28 29 21 211 Source: ACEA, Bloomberg, IHS Global Insight and Bernstein analysis 7 Global European Autos Autos

Do German Gains In Europe Look Like A Currency War? Adjusted for cost competitiveness, Germany s real effective exchange rate has depreciated almost 2% relative to the Eurozone since 1999 Currency specialists argue Germany s exchange rate without the Euro would be closer to $2 (e.g. Euro/US$ equivalent) Germany and Eurozone Real Effective Exchange Rate 1999-211 12 115 1999 = 1 11 15 1 95 9 85 8 1999 2 21 22 23 24 25 26 27 28 29 21 211 17.3 88.9 Eurozone Germany Source: Eurostat and Bernstein analysis 8 Global European Autos Autos

Should a Creditor Nation Have A Natural Brake? Since 22 creditor countries (China & Japan) have seen their currencies appreciate 46.% while debtor countries (US and UK) have seen their currencies depreciate 26.5%...meanwhile Germany, the biggest creditor country of all, has seen...no CHANGE versus its biggest trading partners (other European peers) Current Account Balance Current Account Balance (USD bn) 3 2 1-1 -2-3 -4-5 -6 21 25 12-46 -473 China Japan Germany UK US Currency Movement 22-212.2.15 +3.% +68.3% 2 2 +39.8% -28.5% -24.5% 2 USD/ RMB USD/ JPY EUR/USD 1 USD/EUR 1 GBP/EUR 1.1 22 212.5 22 212 22 212 22 212 22 212 Source: IMF, Bloomberg and Bernstein analysis 9 Global European Autos Autos

Previous Crises Saw Competitive Devaluations French & Italian OEMs benefitted from weaker domestic currencies in the early to mid-199s French OEMs Market Share in Western Europe Italian OEMs Market Share in Western Europe 24.5% 3.6 1.5%.16 24.% 3.55 1.%.14 Makret Share (%) 23.5% 23.% 22.5% 22.% 3.5 3.45 3.4 3.35 3.3 DEM/FRF Makret Share (%) 9.5% 9.% 8.5% 8.% 7.5% 7.%.12.1.8.6.4 DEM/ITL 21.5% 3.25 6.5%.2 21.% 199 1991 1992 1993 1994 1995 1996 1997 1998 1999 3.2 6.% 199 1991 1992 1993 1994 1995 1996 1997 1998 1999 French OEM Market Share DEM/FRF Italian OEM Market Share DEM/ITL Source: IHS Global Insight, Bloomberg and Bernstein analysis 1 Global European Autos Autos

Devaluation = Automotive Success Q: What European country saw the biggest % increase in auto production in 211? A: The UK...in Q1 212 the UK recorded a trade surplus in cars its first since 1976 UK Trade Balance in Cars 2-212 6 1.8 4 1.75 Trade Balance (GBP mn) 2-2 -4-6 -8 1.7 1.65 1.6 1.55 GBP/EUR -1 Jan- May- Sep- Jan-1 May-1 Sep-1 Jan-2 May-2 Sep-2 Jan-3 May-3 Sep-3 Jan-4 May-4 Sep-4 Jan-5 May-5 Sep-5 Jan-6 May-6 Sep-6 Jan-7 May-7 Sep-7 Jan-8 May-8 Sep-8 Jan-9 May-9 Sep-9 Jan-1 May-1 Sep-1 Jan-11 May-11 Sep-11 Jan-12 1.5 UK Trade Balance in Cars GBP/EUR Source: UK ONS and Bernstein analysis 11 Global European Autos Autos

What Can Be Done Absent A Currency Break? In 2, Germany s unit labour cost was highest among European countries...since then it has become far more competitive Unit Labour Cost Among European Countries Rebased: 2 = 1 14. 13. 12. 11. 1. 137. 134.3 129.5 122.9 122.5 11.6 9. 8. 2 21 22 23 24 25 26 27 28 29 21 211 212E 213E Eurozone Germany Spain France Italy UK Source: Eurostat and Bernstein analysis 1. 212 and 213 are Eurostat estimates 12 Global European Autos Autos

VW How Is It Taking So Much Share In Europe? VW products may be more attractive, the brand better managed, the quality stronger and the technology superior but the most important weapon has been price Source: Volkswagen 13 Global Autos European Autos

VW Chinese Profits Subsidising European Strategy VW reports pro-forma EBIT for its Chinese JVs...this continues to show incredible momentum...but VW also makes money from numerous other Chinese sources VW Group: China Proportionate Operating Profit (Q1:2-Q1:12) 9 8 7 6 5 4 3 2 1-1 Q1 Q2 Q3 Q4 Q1 EURmn Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 22 23 24 25 26 27 28 29 21 211 212 Source: Company reports and Bernstein analysis 14 Global European Autos Autos

VW Just How Much Is It Making In China?...Parts Sales Parts and component revenue makes a very substantial contribution to VW brand profit and cash flow, subsidising European operations VW Group: Parts/Components Revenue From Chinese JVs (21-21) VW Group: Parts/Components EBIT From Chinese JVs (21-21) 8, 7,368 1,6 1,474 7, 1,4 6, 1,2 5, 4,838 1, 968 EURmn 4, 3, 2,896 2,846 3,469 3,213 2,717 8 6 53 724 712 543 643 694 2, 2,121 1,719 1,666 1,578 1,968 4 43 333 316 394 1, 2 21 22 23 24 25 26 27 28 29 21 211 Q1:12 21 22 23 24 25 26 27 EURmn 28 29 21 211 Q1:12 Source: Company reports and Bernstein analysis 15 Global European Autos Autos

VW Just How Much Is It Making In China? II Putting It Together VW Group: China Contribution (211) estimated 6% of all profits VW Group: China Contribution (211) Type Amount ( mn) Tax Post-tax ( mn) EPS Impact ( ) Notes Chinese JVs Equity Income 2,616 % 2,616 5.81 We assume no financing costs - VW Brand 2,215 % 2,215 4.92 - Audi (reported) 27 % 27.6 - Skoda (est) 131 % 131.29 EBIT From Parts Sales To Chinese JVs 1,474 3% 1,31 2.29 - VW Brand 63 3% 422.94 - Audi 871 3% 61 1.35 EBIT From Exports To China 792 3% 555 1.23 - VW Brand 176 3% 123.27 - Audi Brand 579 3% 45.9 - Lamborghini, Bentley 38 3% 26.6 License Fees - Chinese JVs 1,56 3% 1,54 2.34 - VW Brand 1,71 3% 75 1.67 - Audi 3 3% 21.47 - Skoda 135 3% 94.21 Total - VW Group China EBIT 3,772 3% 2,64 5.87 VW Group - 211 EPS (excludes Porsche revaluation gain) 19.5 China contribution 6% Source: Bernstein analysis 16 Global European Autos Autos

The China Dream How Long Will It Last? Appetite for premium vehicles amongst > $1k earners have accelerated dramatically this decade and China has the highest premium consumption per >$1k earners of countries sampled China: Premium Car Sales per Households with Annual Disposable Income Over $1k (2-1) 4 4 Global: Premium Car Sales per Households with Annual Disposable Income Over $1k (21) Sales per Thousand 35 3 25 2 15 1 5 4 72 76 122 97 93 13 161 177 231 34 Sales per Thousand 35 3 25 2 15 1 5 34 176 169 111 86 64 58 53 4 38 34 15 2 21 22 23 24 25 26 27 28 29 21 China UK Germany Italy Spain Canada US Switzerland France Australia Brazil Japan Source: Euromonitor International, U.S. Census Bureau, Forbes, IHS Global Insight and Bernstein analysis 17 Global European Autos Autos

The China Dream II - Premium Car Saturation? Nationally, premium sales penetration remains below that of the US (7% vs. 11%); however, at a coastal level, premium penetration is already above US levels Source: C.A.D. and Bernstein analysis 18 Global European Autos Autos

China ARPU Is Uniquely High China affords BMW the highest ARPU it achieves globally BMW Global ARPU by Region 211 8, 7, 67,987 6, 5, 45,946 ARPU (EUR) 4, 3, 33,878 38,91 37,545 Average = 37,5 26,626 3,927 2, 1, Europe ex Germany & UK North America Germany China Imports (+parts) Other Asia UK Other Markets Source: Company reports and Bernstein analysis 19 Global European Autos Autos

Meaning China Profitability Is Consequently Huge and BMW s largest region in terms of profit contribution BMW Global profit by Region 211 4, 3,5 3, 2,5 EUR mn 2, 1,5 1, 5-5 -1, -1,5 Europe ex Germany & UK North America Germany Asia (non China) China UK Other Markets 21 211 212E? Source: Company reports and Bernstein analysis 2 Global European Autos Autos

The Debtor OEMs Without Chinese Profits: How Bad Is It? European OEM balance sheets shows a picture similar to national balance sheets... European OEMs: Net Cash/(Debt) (27-211) 2 18.6 17. 15 1 12.9 12.3 11.912. 11.3 9. 9. 7.1 7.3 13.5 8. 1.6 bn 5-5 -1 3.1 1.4.4 -.5 -.3-1.2-2. -1.4-2.1-2.9-2.9-4.4-6. -5.5-5.9-7.9 BMW Daimler Fiat Auto* PSA Renault VW FY:27 FY:28 FY:29 FY:21 FY:211 Note: The French OEMs report changes in net debt on a half-year basis. * Fiat Auto includes consolidation of Chrysler s net debt. Source: Corporate reports and Bernstein estimates and analysis. 21 Global European Autos Autos

What Does The Stock Market Think? 28-212 Global OEMs Stock Price Performance 21-212 OEM Groups Stock Price Performance 9 3 8 Rebased to 1 as of Jan 1, 28 7 6 5 4 3 2 1 Rebased to 1 as of Jan 1, 21 25 2 15 1 5 Jan-8 Jan-9 Jan-1 Jan-11 Jan-12 VW BMW Daimler PSA Renault Toyota Nissan Honda Hyundai Kia Ford GM Jan-1 Jul-1 Jan-11 Jul-11 Jan-12 German French Japanese Korean US Source: Bloomberg and Bernstein analysis 22 Global European Autos Autos

What Happens From Here? The value of companies gives an idea of how financial markets see the future...there is little or no correlation between volume and value (see PSA and Fiat)...plus the market is anticipating mean reversion (German margins to roll over and Japanese climb?) Global OEMs: Market Cap vs. 211 Sales Volume Market Cap (EUR bn) 12 1 8 6 4 2 Toyota VW Group Honda Daimler BMW Hyundai-Kia Nissan Ford GM SAIC RNO Suzuki Fiat Group PSA Mazda 9. 8. 7. 6. 5. 4. 3. 2. 1.. 211 Sales Volume (mn Units) Market Cap (LHS) 211 Sales Volume (RHS) Source: Bloomberg, corporate reports and Bernstein analysis 23 Global European Autos Autos

Disclosure Appendix SRO REQUIRED DISCLOSURES References to "Bernstein" relate to Sanford C. Bernstein & Co., LLC, Sanford C. Bernstein Limited, Sanford C. Bernstein (Hong Kong) Limited, and Sanford C. Bernstein (business registration number 53193989L), a unit of AllianceBernstein (Singapore) Ltd. which is a licensed entity under the Securities and Futures Act and registered with Company Registration No. 19973364C, collectively. Bernstein analysts are compensated based on aggregate contributions to the research franchise as measured by account penetration, productivity and proactivity of investment ideas. No analysts are compensated based on performance in, or contributions to, generating investment banking revenues. Bernstein rates stocks based on forecasts of relative performance for the next 6-12 months versus the S&P 5 for stocks listed on the U.S. and Canadian exchanges, versus the MSCI Pan Europe Index for stocks listed on the European exchanges (except for Russian companies), versus the MSCI Emerging Markets Index for Russian companies and stocks listed on emerging markets exchanges outside of the Asia Pacific region, and versus the MSCI Asia Pacific ex-japan Index for stocks listed on the Asian (ex-japan) exchanges - unless otherwise specified. We have three categories of ratings: Outperform: Stock will outpace the market index by more than 15 pp in the year ahead. Market-Perform: Stock will perform in line with the market index to within +/-15 pp in the year ahead. Underperform: Stock will trail the performance of the market index by more than 15 pp in the year ahead. Not Rated: The stock Rating, Target Price and estimates (if any) have been suspended temporarily. As of 6/8/212, Bernstein's ratings were distributed as follows: Outperform - 41.4% (1.5% banking clients) ; Market-Perform - 49.7% (.4% banking clients); Underperform - 8.9% (.% banking clients); Not Rated -.% (.% banking clients). The numbers in parentheses represent the percentage of companies in each category to whom Bernstein provided investment banking services within the last twelve (12) months. OTHER DISCLOSURES A price movement of a security which may be temporary will not necessarily trigger a recommendation change. Bernstein will advise as and when coverage of securities commences and ceases. Bernstein has no policy or standard as to the frequency of any updates or changes to its coverage policies. Although the definition and application of these methods are based on generally accepted industry practices and models, please note that there is a range of reasonable variations within these models. The application of models typically depends on forecasts of a range of economic variables, which may include, but not limited to, interest rates, exchange rates, earnings, cash flows and risk factors that are subject to uncertainty and also may change over time. Any valuation is dependent upon the subjective opinion of the analysts carrying out this valuation. This document may not be passed on to any person in the United Kingdom (i) who is a retail client (ii) unless that person or entity qualifies as an authorised person or exempt person within the meaning of section 19 of the UK Financial Services and Markets Act 2 (the "Act"), or qualifies as a person to whom the financial promotion restriction imposed by the Act does not apply by virtue of the Financial Services and Markets Act 2 (Financial Promotion) Order 25, or is a person classified as an "professional client" for the purposes of the Conduct of Business Rules of the Financial Services Authority. To our readers in the United States: Sanford C. Bernstein & Co., LLC is distributing this publication in the United States and accepts responsibility for its contents. Any U.S. person receiving this publication and wishing to effect securities transactions in any security discussed herein should do so only through Sanford C. Bernstein & Co., LLC. To our readers in the United Kingdom: This publication has been issued or approved for issue in the United Kingdom by Sanford C. Bernstein Limited, authorised and regulated by the Financial Services Authority and located at 5 Berkeley Street, London W1J 8SB, +44 ()2-717-5. To our readers in member states of the EEA: This publication is being distributed in the EEA by Sanford C. Bernstein Limited, which is authorised and regulated in the United Kingdom by 24 Global European Autos Autos

the Financial Services Authority and holds a passport under the Markets in Financial Instruments Directive. To our readers in Hong Kong: This publication is being distributed in Hong Kong by Sanford C. Bernstein (Hong Kong) Limited which is licensed and regulated by the Hong Kong Securities and Futures Commission (Central Entity No. AXC846). This publication is solely for professional investors only, as defined in the Securities and Futures Ordinance (Cap. 571). To our readers in Singapore: This publication is being distributed in Singapore by Sanford C. Bernstein, a unit of AllianceBernstein (Singapore) Ltd., only to accredited investors or institutional investors, as defined in the Securities and Futures Act (Chapter 289). Recipients in Singapore should contact AllianceBernstein (Singapore) Ltd. in respect of matters arising from, or in connection with, this publication. AllianceBernstein (Singapore) Ltd. is a licensed entity under the Securities and Futures Act and registered with Company Registration No. 19973364C. It is regulated by the Monetary Authority of Singapore and located at 3 Cecil Street, #28-1 Prudential Tower, Singapore 49712, +65-62346. The business name "Sanford C. Bernstein" is registered under business registration number 53193989L. To our readers in Australia: Sanford C. Bernstein & Co., LLC and Sanford C. Bernstein Limited are exempt from the requirement to hold an Australian financial services licence under the Corporations Act 21 in respect of the provision of the following financial services to wholesale clients: providing financial product advice; dealing in a financial product; making a market for a financial product; and providing a custodial or depository service. Sanford C. Bernstein & Co., LLC., Sanford C. Bernstein Limited, Sanford C. Bernstein (Hong Kong) Limited and AllianceBernstein (Singapore) Ltd. are regulated by, respectively, the Securities and Exchange Commission under U.S. laws, by the Financial Services Authority under U.K. laws, by the Hong Kong Securities and Futures Commission under Hong Kong laws, and by the Monetary Authority of Singapore under Singapore laws, all of which differ from Australian laws. One or more of the officers, directors, or employees of Sanford C. Bernstein & Co., LLC, Sanford C. Bernstein Limited, Sanford C. Bernstein (Hong Kong) Limited, Sanford C. Bernstein (business registration number 53193989L), a unit of AllianceBernstein (Singapore) Ltd. which is a licensed entity under the Securities and Futures Act and registered with Company Registration No. 19973364C, and/or their affiliates may at any time hold, increase or decrease positions in securities of any company mentioned herein. Bernstein or its affiliates may provide investment management or other services to the pension or profit sharing plans, or employees of any company mentioned herein, and may give advice to others as to investments in such companies. These entities may effect transactions that are similar to or different from those recommended herein. Bernstein Research Publications are disseminated to our customers through posting on the firm's password protected website, www.bernsteinresearch.com. Additionally, Bernstein Research Publications are available through email, postal mail and commercial research portals. If you wish to alter your current distribution method, please contact your salesperson for details. Bernstein and/or its affiliates do and seek to do business with companies covered in its research publications. As a result, investors should be aware that Bernstein and/or its affiliates may have a conflict of interest that could affect the objectivity of this publication. Investors should consider this publication as only a single factor in making their investment decisions. This publication has been published and distributed in accordance with Bernstein's policy for management of conflicts of interest in investment research, a copy of which is available from Sanford C. Bernstein & Co., LLC, Director of Compliance, 1345 Avenue of the Americas, New York, N.Y. 115, Sanford C. Bernstein Limited, Director of Compliance, 5 Berkeley Street, London W1J 8SB, United Kingdom, or Sanford C. Bernstein (Hong Kong) Limited, Director of Compliance, Suites 326-11, 32/F, One International Finance Centre, 1 Harbour View Street, Central, Hong Kong, or Sanford C. Bernstein (business registration number 53193989L), a unit of AllianceBernstein (Singapore) Ltd. which is a licensed entity under the Securities and Futures Act and registered with Company Registration No. 19973364C, Director of Compliance, 3 Cecil Street, #28-1 Prudential Tower, Singapore 49712. Additional disclosures and information regarding Bernstein's business are available on our website www.bernsteinresearch.com. CERTIFICATIONS I/(we), Max Warburton, Senior Analyst(s)/Analyst(s), certify that all of the views expressed in this publication accurately reflect my/(our) personal views about any and all of the subject 25 Global European Autos Autos

securities or issuers and that no part of my/(our) compensation was, is, or will be, directly or indirectly, related to the specific recommendations or views in this publication. Copyright 212, Sanford C. Bernstein & Co., LLC, Sanford C. Bernstein Limited, Sanford C. Bernstein (Hong Kong) Limited, and AllianceBernstein (Singapore) Ltd., subsidiaries of AllianceBernstein L.P. ~1345 Avenue of the Americas ~ NY, NY 115 ~212/756-44. All rights reserved. This publication is not directed to, or intended for distribution to or use by, any person or entity who is a citizen or resident of, or located in any locality, state, country or other jurisdiction where such distribution, publication, availability or use would be contrary to law or regulation or which would subject Bernstein or any of their subsidiaries or affiliates to any registration or licensing requirement within such jurisdiction. This publication is based upon public sources we believe to be reliable, but no representation is made by us that the publication is accurate or complete. We do not undertake to advise you of any change in the reported information or in the opinions herein. This publication was prepared and issued by Bernstein for distribution to eligible counterparties or professional clients. This publication is not an offer to buy or sell any security, and it does not constitute investment, legal or tax advice. The investments referred to herein may not be suitable for you. Investors must make their own investment decisions in consultation with their professional advisors in light of their specific circumstances. The value of investments may fluctuate, and investments that are denominated in foreign currencies may fluctuate in value as a result of exposure to exchange rate movements. Information about past performance of an investment is not necessarily a guide to, indicator of, or assurance of, future performance. 26 Global European Autos Autos