Speech Hendrik von Kuenheim Director BMW Motorcycle AG

[boxercup]

Babel Fish Translation
In Ger-English:

Speech of Hendrik von Kuenheim leader BMW motorcycle BMW motorcycle medium discussion

Munich, 16 April 2008

The future BMW motorcycle - Hendrik von Kuenheim in the medium discussion - it applies the spoken word - Them may be called Ladies and Gentlemen, dear motorcycle friends, also I cordially welcome. It is today the first time that I speak in my new function as a leader of BMW motorcycle to you. Some of you already out mean earlier activities know me - last I led the subsidiary BMW Spain. Since more than 20 years am active I for BMW and could in all the years many experiences in the international automobile and motorcycle selling gain. Since beginning of the yearly I bring now these experiences into the business field BMW motorcycle. Both with the mark BMW and with Husqvarna Motorcycles we work on a whole set of fascinating projects. We are in the middle thus in a large-scale model offensive. This model offensive applies to convert it in the coming years successfully in the markets. Our goal is to be developed the motorcycle business clearly and grown to profitable. Ladies and Gentlemen, two ranges of topics are located therefore today in the center of my speech. On the one hand I would like you over some background to our ambitionierten growth goals to inform and on the other hand may I you a first status to our supersport project give. Let me with some substantial aspects of our growth strategy begin. Also in this year we want to deliver more motorcycles to our customers than in the year before. We want to attach thereby to the success history in the meantime of many years of BMW motorcycle. Before the background of the non-uniform development of the motorcycle markets and remains that is a very fastidious goal. We set thereby further completely strongly on our nuclear models in the Tourer -, for sport route he and within the Enduro range. These models remain indispensable for the future BMW motorcycle program. Completely particularly applies also to our box he models. The double-piston engine belongs to BMW like the white-blue brand name. For this reason this independent engine concept will have a long future with BMW motorcycle. Here you may expect numerous innovations from us in the next years again. Ladies and Gentlemen, not only with our nuclear models we continue our offensive course consistently. BMW motorcycle has a ambitioniertes paragraph goal. In the context of the strategic reorientation of the BMWS Group have we admits given that the paragraph of BMW motorcycle is to grow until 2012 by approximately 50% on 150.000 units. In order to achieve this goal, we align BMW motorcycle still more sportily and more dynamically and go purposefully into market segments, in which BMW motorcycle was so far not represented. With the HP2 models and the f-series we gave already first impulses. More and more we place ourselves to the competition with completely new, innovative and sporty products. Also in international motorcycle racing we will be still more strongly represented in the future. Why do we make that? Within the Enduro range we see still high potential for a further volume growth. With the models in the route he and sport route inheritance realm we push against it at growth borders. Here we exhausted our market potentials to a large extent in the meantime. Now it applies to address new customers who did not find the suitable product so far with BMW yet. That is the reason, why we expand our Produktportfolio since other market segments, which we did not serve so far. Two examples for this are the entrance in the segment of the Sportenduros as well as the entrance of BMW in supersport the segment. Ladies and Gentlemen, in order to come here still more purposefully in front, we go the way over a two-mark strategy. In the last year we acquired therefore Husqvarna Motorcycles. We want to reach the paragraph goal of 150.000 motorcycles together with Husqvarna Motorcycles. Husqvarna Motorcycles ranks one of the fame-richest motorcycle marks world-wide among the oldest still producing motorcycle manufacturers and is. Over 70 world champion titles in the Offroad and superengine sport decorate impressive firm history. With the sport-oriented Husqvarna models we expand now the product offer still faster since new buyer categories in the entire Offroad and Supermoto range, than alone with the mark BMW. Particularly in the USA in addition, in south Europe and Australia the competition-oriented Offroad range is large. Husqvarna Motorcycles is set up there already very good and is thereby the perfect addition for BMW motorcycle. The new mark of the business field motorcycle makes very much joy for us and animates the whole enterprise. Already for the year 2008 we put ourselves ambitionierte growth goals. We plan a volume growth of approximately 30 per cent in relation to the previous year and are at present full on course. Over this stage goal to reach we introduced and converted already numerous measures since the assumption. Production runs after plan and with the reorganisation of the spare part business is now also the earlier problems solved in the spare part supply. At the same time we started programs, in order to improve the product quality further. Much fun makes Husqvarna for us also in the engine haven. The past seasonal trend is very pleasing. We engage ourselves both in the Enduro and Motocross sport and in the Supermoto range. The first season results in the individual disciplines lie already now over expectations. In the connection the statement makes particularly confident for us that the assumption increased the interest of customer in Husqvarna, in particular with the amateur engine haven, by BMW substantial. Ladies and Gentlemen, not only with Husqvarna we give to gas also the model offensive of BMW motorcycle continue on high level. In 2008 we offer clearly revised R 1200 gs and gs Adventure to our customers. On 8 March the sales of the exclusive BMWS HP2 sport began and in the second half-year the Sportenduro BMW G 450 X the model program in a segment completely new for BMW will supplement. On 8 March also the new two-cylinder models BMW F celebrated 800 gs and BMWS F 650 gs their Verkaufsdebut. The first feedbacks from the markets tune us very optimistically. The world-wide demand exceeds our production capacities even at present. In particular in the southEuropean markets such as Spain, Italy or Greece the demand lies over our expectations. Particularly the F 800 gs very strongly by customers one buys, who drove so far a foreign make. So much to the 2008er models, which already admits to you are. Beyond that we will regard still further surprises, about which we would not like ready to talk today yet as the large motorcycle fairs Intermot in Cologne and EICMA in Milan. They see, we are well set up. BMW motorcycle - like all European motorcycle manufacturers - stands nevertheless at present before special challenges. We experience nearly daily, how our basic conditions worsen: the raw material and energy price rise and the foreign exchange risks increase. How strongly the currency topic affects our competitive position, I would like to describe briefly: The dollar and the Japanese Yen lost in the last 7 years to the 80% of their value opposite the euro. That means for us: Our main competitors profit with each point with the dollar and Yen become weaker. They can accordingly more favorably offer their products on the world markets and gain nevertheless high profits. Whereupon we must find answers, because we do not know the cost disadvantages 1:1 to our customers passed on. In order to remain further competitive, we increase therefore the far efficiency in the development, production and in the selling. Beyond that we intensify the international purchase activities and create a very attractive, innovative Produktportfolio. Ladies and Gentlemen, thus I come now to the point of program, for which you wait surely strained. How I mentioned a while ago, we go consciously new ways, in order to achieve our planned volume growth. Therefore we decided among other things to place us to the competition in the segment of the supersportsmen both on the road and on the racing course. Is conscious to us thereby which large challenge we anpacken thereby. Above all the Japanese have an experience projection/lead of approximately 20 years in the class. But the thought to it spurs us. From the beginning we want to be with our supersportsman on eye level with the established competition. The development crew is accordingly motivated. I can say to you today - the status reached so far is very promising. We are sure that we will offer a likewise convincing series motorcycle with a convincing package in the Superbike world championship to start to be able and also. Our supersport motorcycle an absolutely competitive offer will be both technological and concerning the price. Loves motorcycle friends, which are our motivations into this segment to advance exactly?

[boxercup]

First of all: With the fascination of this motorcycle, with genes from racing, we extend the mark picture of BMW motorcycle by a further sporty and emotional component, in order to inspire new customers for the mark. The Superbike WM enjoys of internationally growing popularity with motorradfahrern, since they can observe their motorcycles in the direct comparison to the competition on the racing course in contrast to the MotoGP. And approximately around the globe! The Superbike world championship is delivered in this year on 4 continents (Asia, Australia, Europe and North America) and in 13 countries.

[boxercup]

Secondly: We demonstrate for the first time also in the class of the sportiest on-road-motorcycles the innovation strength of BMW motorcycle, because the BMW supersport motorcycle is a complete BMW self-development and in our work in Berlin will be produced. Thirdly: We develop thereby our product offer purposefully, in order to grow world-wide. At present world-wide about 100,000 vehicles of the 1000er class are sold. The largest part of it goes into the USA and Europe. The four large Japanese manufacturers divide the market to approximately 85% under itself. BMW motorcycle wants to engage itself in this segment on a long-term basis. That includes that we show the marktverhalten typical for the segment. We are sure that we in this scene new impulses to set and that we will capture an appropriate market share. Thus, Ladies and Gentlemen, I come to the actual motorcycle. Our goal is to offer to our customers a high speed motorcycle which brings both on the road, and on the racing course regarding movability, achievement development and ergonomics outstanding characteristics with itself. Since we stand still in the middle in the development, it is too early to call concrete technical data. They know, in which performance class the competition moves. So seen, I would like to leave it at the current time still to your specialized knowledge to speculate upon the data concerned. Our supersportsman is based on a very much worked basic concept. Exact analyses preceded this decision. We will use the close technical clearance thereby for independent solutions. Thus we examined different engine concepts in the early project phase. How you know, we decided for the four-cylinder engine. The row four-cylinder fulfills thereby the requirements posed at achievement, weight and Package best.

[boxercup]

Thirdly: We develop thereby our product offer purposefully, in order to grow world-wide. At present world-wide about 100,000 vehicles of the 1000er class are sold. The largest part of it goes into the USA and Europe. The four large Japanese manufacturers divide the market to approximately 85% under itself. BMW motorcycle wants to engage itself in this segment on a long-term basis. That includes that we show the marktverhalten typical for the segment. We are sure that we in this scene new impulses to set and that we will capture an appropriate market share. Thus, Ladies and Gentlemen, I come to the actual motorcycle. Our goal is to offer to our customers a high speed motorcycle which brings both on the road, and on the racing course regarding movability, achievement development and ergonomics outstanding characteristics with itself. Since we stand still in the middle in the development, it is too early to call concrete technical data. They know, in which performance class the competition moves. So seen, I would like to leave it at the current time still to your specialized knowledge to speculate upon the data concerned. Our supersportsman is based on a very much worked basic concept. Exact analyses preceded this decision. We will use the close technical clearance thereby for independent solutions. Thus we examined different engine concepts in the early project phase. How you know, we decided for the four-cylinder engine. The row four-cylinder fulfills thereby the requirements posed at achievement, weight and Package best.

[boxercup]

Typically for BMW the engine will exhibit naturally some characteristics - particularly in the cylinder head. For Package reasons we decided within the chassis range against the BMW duo Lever. The larger building space requirement of this front wheel guidance would have brought Superbikes of disadvantages for the very compact building method of the BMW with itself. As you expect reliably, nevertheless the innovations do not come too briefly. For example we will begin with special traction control. More we do not want to tell you in addition today yet. - as used from BMW motorcycle - also the Design of the BMW of supersport motorcycle will be very independent. It will reflect the stylistic idiom of the segment the mark BMW clearly to represent however at the same time. Now I would like to give you a status still briefly to our entrance to the Superbike WM. To the today's day I can confirm that we lie with our preparations fully in the plan. According to the regulation of the running series the motorcycle will be purchasable in 2009 and to end of 2009 will become we 1,000 series vehicles to have produced. The conversion of the running activities takes place in close co-operation with in racing very experienced partner alpha Racing. The company, with seat in the proximity of Munich, took in the meantime the particularly established workshop in enterprise. The structure of team is in full course and the key positions is occupied. The team is a combination of BMW and alpha technology expert as well as further specialist from the professional Superbike racing

[boxercup]

With the selection of the development and/or test drivers of the competition motorcycle we use a tumbling system in the present phase, in order to gain as extensive an experiences as possible. The selection of the test drivers extends thereby from experienced pilots up to "young wild ones".

[boxercup]

With the selection of the development and/or test drivers of the competition motorcycle we use a tumbling system in the present phase, in order to gain as extensive an experiences as possible. The selection of the test drivers extends thereby from experienced pilots up to "young wild ones". Which concerns the running motorcycle, we will take and will test the individual performance levels in the coming weeks and months systematically in enterprise. Ladies and Gentlemen, naturally is conscious to us, who experience is present at the established teams. We want to place ourselves and have however to this challenge to it a highly motivated team that the efficiency of our new motorcycle in professional racing will prove. Without learning curve it will not go thereby. Therefore we put ourselves realistic goals. For the first year in the Superbike WM we take before several Top 10 places to bring themselves in and the distance to the Top teams continuously to reduce. Starting from the second year we want to unlock on the Top teams and achieve first podium places. A medium-term goal is naturally the world championship title. Ladies and Gentlemen, as much to would background to this project, the project status and the preparations to the entrance into the Superbike the WM in the coming year. Upon the model designation you already often speculated in your reporting. We want to terminate these speculations today. The first BMW supersport motorcycle becomes is called: S 1000 RR we follow thereby the BMW motorcycle nomenclature. "S" stands thereby for supersport and at the same time for the new BMWS series. The capacity and the motor vehicle type document the number "1000 and the two letters" RR ". Dear motorcycle friends, in many technical periodicals were photos running prototypes to be seen, with which we drive our first tests at present on different racing courses. These running prototypes want we you today to show, so that you can make yourselves a all first impression of the Package and the technology of the vehicle. If you see equal motorcycle, note please that it concerns thereby a testbed. Neither the Design nor qualitative seeming correspond to the later series motorcycle. Thus I thank you for your attention!

[boxercup]

They can accordingly more favorably offer their products on the world markets and gain nevertheless high profits. Whereupon we must find answers, because we do not know the cost disadvantages 1:1 to our customers passed on. In order to remain further competitive, we increase therefore the far efficiency in the development, production and in the selling. Beyond that we intensify the international purchase activities and create a very attractive, innovative Produktportfolio. Ladies and Gentlemen, thus I come now to the point of program, for which you wait surely strained. How I mentioned a while ago, we go consciously new ways, in order to achieve our planned volume growth. Therefore we decided among other things to place us to the competition in the segment of the supersportsmen both on the road and on the racing course. Is conscious to us thereby which large challenge we anpacken thereby. Above all the Japanese have an experience projection/lead of approximately 20 years in the class. But the thought to it spurs us. From the beginning we want to be with our supersportsman on eye level with the established competition. The development crew is accordingly motivated. I can say to you today - the status reached so far is very promising. We are sure that we will offer a likewise convincing series motorcycle with a convincing package in the Superbike world championship to start to be able and also. Our supersport motorcycle an absolutely competitive offer will be both technological and concerning the price. Loves motorcycle friends, which are our motivations into this segment to advance exactly? First of all: With the fascination of this motorcycle, with genes from racing, we extend the mark picture of BMW motorcycle by a further sporty and emotional component, in order to inspire new customers for the mark.

[boxercup]

The Superbike WM enjoys of internationally growing popularity with motorradfahrern, since they can observe their motorcycles in the direct comparison to the competition on the racing course in contrast to the MotoGP. And approximately around the globe! The Superbike world championship is delivered in this year on 4 continents (Asia, Australia, Europe and North America) and in 13 countries. Secondly: We demonstrate for the first time also in the class of the sportiest on-road-motorcycles the innovation strength of BMW motorcycle, because the BMW supersport motorcycle is a complete BMW self-development and in our work in Berlin will be produced. Thirdly: We develop thereby our product offer purposefully, in order to grow world-wide. At present world-wide about 100,000 vehicles of the 1000er class are sold. The largest part of it goes into the USA and Europe. The four large Japanese manufacturers divide the market to approximately 85% under itself. BMW motorcycle wants to engage itself in this segment on a long-term basis. That includes that we show the marktverhalten typical for the segment. We are sure that we in this scene new impulses to set and that we will capture an appropriate market share. Thus, Ladies and Gentlemen, I come to the actual motorcycle. Our goal is to offer to our customers a high speed motorcycle which brings both on the road, and on the racing course regarding movability, achievement development and ergonomics outstanding characteristics with itself. Since we stand still in the middle in the development, it is too early to call concrete technical data. They know, in which performance class the competition moves. So seen, I would like to leave it at the current time still to your specialized knowledge to speculate upon the data concerned. Our supersportsman is based on a very much worked basic concept. Exact analyses preceded this decision. We will use the close technical clearance thereby for independent solutions. Thus we examined different engine concepts in the early project phase. How you know, we decided for the four-cylinder engine.

[boxercup]

The row four-cylinder fulfills thereby the requirements posed at achievement, weight and Package best. Typically for BMW the engine will exhibit naturally some characteristics - particularly in the cylinder head. For Package reasons we decided within the chassis range against the BMW duo Lever. The larger building space requirement of this front wheel guidance would have brought Superbikes of disadvantages for the very compact building method of the BMW with itself. As you expect reliably, nevertheless the innovations do not come too briefly. For example we will begin with special traction control. More we do not want to tell you in addition today yet. - as used from BMW motorcycle - also the Design of the BMW of supersport motorcycle will be very independent. It will reflect the stylistic idiom of the segment the mark BMW clearly to represent however at the same time. Now I would like to give you a status still briefly to our entrance to the Superbike WM. To the today's day I can confirm that we lie with our preparations fully in the plan. According to the regulation of the running series the motorcycle will be purchasable in 2009 and to end of 2009 will become we 1,000 series vehicles to have produced. The conversion of the running activities takes place in close co-operation with in racing very experienced partner alpha Racing. The company, with seat in the proximity of Munich, took in the meantime the particularly established workshop in enterprise. The structure of team is in full course and the key positions is occupied. The team is a combination of BMW and alpha technology expert as well as further specialist from the professional Superbike racing. With the selection of the development and/or test drivers of the competition motorcycle we use a tumbling system in the present phase, in order to gain as extensive an experiences as possible.

[boxercup]

The selection of the test drivers extends thereby from experienced pilots up to "young wild ones". Which concerns the running motorcycle, we will take and will test the individual performance levels in the coming weeks and months systematically in enterprise. Ladies and Gentlemen, naturally is conscious to us, who experience is present at the established teams. We want to place ourselves and have however to this challenge to it a highly motivated team that the efficiency of our new motorcycle in professional racing will prove. Without learning curve it will not go thereby. Therefore we put ourselves realistic goals. For the first year in the Superbike WM we take before several Top 10 places to bring themselves in and the distance to the Top teams continuously to reduce. Starting from the second year we want to unlock on the Top teams and achieve first podium places. A medium-term goal is naturally the world championship title. Ladies and Gentlemen, as much to would background to this project, the project status and the preparations to the entrance into the Superbike the WM in the coming year. Upon the model designation you already often speculated in your reporting. We want to terminate these speculations today. The first BMW supersport motorcycle becomes is called: S 1000 RR we follow thereby the BMW motorcycle nomenclature. "S" stands thereby for supersport and at the same time for the new BMWS series. The capacity and the motor vehicle type document the number "1000 and the two letters" RR ". Dear motorcycle friends, in many technical periodicals were photos running prototypes to be seen, with which we drive our first tests at present on different racing courses. These running prototypes want we you today to show, so that you can make yourselves a all first impression of the Package and the technology of the vehicle. If you see equal motorcycle, note please that it concerns thereby a testbed. Neither the Design nor qualitative seeming correspond to the later series motorcycle. Thus I thank you for your attention!

[roger albert]

There is now an official english release, findable, among other places, on Motorcycle Daily.
A bit easier to read for most, I would say.

[Deans BMW]

Here is the official english release.

Speech of Hendrik von Kuenheim
General Director BMW Motorrad

BMW Motorrad Media Talk 2008
Munich, 16 April 2008
The Future of BMW Motorrad – Hendrik von Kuenheim talks to the media

Ladies and Gentlemen,
Dear Motorcycle Friends,
I also bid you a very warm welcome here today. This is indeed the first time I am addressing you in my new function as the President of BMW Motorrad. Some of you already know me however from my former activities – my last position was the President of BMW Spain.
I joined BMW about 20 years ago and over the years I have gained a great deal of experience in international car and motorcycle sales. Now I am happy to invest this experience in BMW Motorrad, helping to shape the future of BMW’s motorcycle business.

At BMW as well as at Husqvarna Motorcycles, we are working all-out on a whole series of fascinating projects. We are in the middle of a broad-based model initiative.

It is essential that this model initiative is turned into a success story over the next few years. It is our objective to expand the motorcycle business significantly and to achieve profitable growth.

Ladies and Gentlemen,
In my presentation today I will be focusing on two highlights in particular:
First, I would like to give you some background information on our ambitious growth targets. Second, I will offer you the first status report on our Supersport project.

Allow me to start with some essential aspects of our growth strategy.
This year we again plan to deliver more motorcycles to our customers than in the previous year, continuing the many years of success BMW Motorrad is now able to report.

Considering that motorcycle markets show a rather irregular and inconsistent development, this is and remains a very demanding target.
We are of course focusing in particular on our core models in the Tourer, Sports Tourer, and Enduro markets. Indeed, these models remain indispensable within BMW’s future range of motorcycles.

This applies particularly to our Boxers: The Boxer engine is just as much part of BMW as the white-and-blue logo. For this reason alone, this unique engine concept has a long and great future with BMW Motorrad. A future which, just like the past, will again offer numerous innovations.
Ladies and Gentlemen,

We are continuing our powerful initiative not only with our core models. BMW Motorrad has ambitious growth targets: As part of the strategic reorientation of the BMW Group, we have announced that customer deliveries by BMW Motorrad are to increase by approximately 50 per cent by the year 2012 to 150,000 units.

To meet this objective, we are making BMW Motorrad even more sporting and dynamic. This means that we are specifically entering market segments where BMW Motorrad was not represented so far.
We have already taken the initiative in this respect with the HP2 models and the F Series. Now we are taking on the competition to an increasing extent with brand-new, innovative and sporting products, moving ahead strongly also in international motorcycle racing.
But why are we doing all this?

Because we see a great potential in the Enduro segment, for example, for further growth. In the Tourer and Sports Tourer segments, on the other hand, we are reaching the limits to growth, since in this case we have largely exhausted our market potentials in the meantime. Precisely this is why we plan to address additional new customers we have not been able to win over so far.

So this is why we are expanding our product portfolio to other market segments BMW Motorrad has not served in the past. Two examples are our entry into the Sports Enduro segment and our entry into the Supersport segment.
Ladies and Gentlemen,

To make our approach in this area even clearer and more specific, we are pursuing a two-brand strategy, which is precisely why we purchased Husqvarna Motorcycles last year. Together with Husqvarna Motorcycles, we are confident that we will reach our sales target of 150,000 machines a year.

Husqvarna Motorcycles is the second-oldest motorcycle manufacturer still building motorcycles today and is one of the most famous names worldwide in the motorcycle business. Over the years, Husqvarna have won more than 70 World Championships in offroad and Supermoto racing.
With Husqvarna’s very sporting machines, we are able to expand our product range even faster to new groups of purchasers throughout the entire offroad and Supermoto segments than we could with BMW alone.
The highly competitive offroad segment is particularly large in the USA, Southern Europe and Australia. And holding a very good position in all of these markets, Husqvarna is already very strong, offering BMW Motorrad a perfect partner.

We are very happy indeed with our new brand in the motorcycle segment, which is giving the entire Company extra momentum. So we have given ourselves ambitious growth targets right from the start, as of 2008: This year we plan to boost sales by approximately 30 per cent over the previous year, and we are already proceeding all-out to this objective.
To reach this target we initiated and implemented a number of activities right from the start when taking over Husqvarna.

Production output is developing according to plan. And after re-organising our parts business, we have solved our former problems in the supply of spares.

At the same time we have launched special programmes and activities for the further improvement of product quality.

We are also very happy with Husqvarna in motorsport, with the season so far developing very positively. We are active in both Enduro and Motocross events and in Supermoto racing. Indeed, the first results of the season in these various disciplines already exceed our expectations.

And we are particularly happy that customer interest in Husqvarna has increased very significantly following the takeover by BMW, particularly in the amateur motorsport segment.

Ladies and Gentlemen,
We are moving ahead quickly and strongly not only with Husqvarna. Rather, our own model initiative at BMW Motorrad is also continuing at a fast pace and on a high level.

In 2008, we offer our customers the substantially upgraded R 1200 GS and GS Adventure. On 8 March we started sales of the exclusive BMW HP2 Sport, and in the second half of the year the BMW G 450 X Sports Enduro will round off BMW’s model range in a brand-new segment.

On 8 March the new BMW F 800 GS and BMW F 650 GS two-cylinders celebrated the start of sales.

Initial response from the markets makes us very optimistic. In fact, global
demand even exceeds our production capacities, with demand particularly from the Southern European markets in Spain, Italy and Greece exceeding our greatest hopes. Particularly the F 800 GS is the choice of many customers who have so far ridden another make.

So much on the new models in 2008 you already know. But let me add that we will be presenting further surprises at the major motorcycle shows in Cologne and Milan, the Intermot and EICMA, which we cannot talk about yet today.

So you see that we are well-prepared for the future.
Despite all this good news, the fact remains that BMW Motorrad – like all European motorcycle manufacturers – currently faces special challenges. We see almost daily how conditions are becoming tougher, with the prices of raw materials and energy going up all the time and currency risks becoming greater.

Let me explain briefly just how much the currency issue affects our competitive situation:

In the last seven years alone, the dollar and the Japanese yen have lost about 80 per cent of their value versus the euro.
That means that our main competitors are benefiting from even the slightest weakness of the dollar and the yen, from every drop in value even behind the decimal point. They are able to offer their products at lower prices in the world market and make significant profits all the same.

Obviously, we must find answers to these challenges, since we cannot pass on these cost disadvantages directly to our customers in a one-to-one process.

To remain competitive we are therefore continuing to enhance our efficiency in Development, Production and Sales, we are intensifying our international Purchasing activities, and we are creating a very attractive, innovative product portfolio.

This, Ladies and Gentlemen, takes me on to the highlight I am sure you are all looking forward to.

I stated before that we are actively looking for new options, for profitable growth and for the planned increase in volume. Precisely that is why we have decided, among other things, to take on the competition in the
Supersports segment on both the road and the race track.

[Deans BMW]

Continued,

We naturally realise that we are taking on a great challenge. Particularly the Japanese are some 20 years ahead of us in this class and have lots of experience. But even so, the spirit of this competition alone encourages us in our efforts. From the start we wish to be on par with our well-established competitors also in the Supersports segment.

Our development team is highly motivated to achieve our goals. And I can tell you today that the status we have achieved so far is very promising.
We are confident that we will be able to start the Superbike World Championship next year with a convincing all-round package, and that our series motorcycle will be just as convincing. In both terms of both its technology and price, our Supersports will be absolutely competitive.
Dear Motorcycle friends, what motivates us to move into this segment in particular?

First:
The very fascination of this motorcycle with its racing DNA expands and upgrades the brand image of BMW Motorrad by offering an additional, sporting and emotional element winning over new customers for the brand.

The Superbike World Championship is becoming increasingly popular among motorcycle riders, since here, unlike the MotoGP, they are able to watch and admire their motorcycles in a direct comparison with competitors.

And they can enjoy this thrill all around the world! This year the Superbike World Championship is being held on four continents and in 13 countries.

Second:
For the first time we are demonstrating the innovative power of BMW Motorrad also in the segment of the most dynamic, top-performance onroad motorcycles, since our Supersports motorcycle is an all-BMW development from the ground up and will be built at our plant in Berlin.

Third:
We are expanding our product portfolio also with a view to worldwide growth.

Today sales in the 1,000-cc class amount to some 100,000 units worldwide. The vast majority of these motorcycles goes to the USA and Europe. And the four large Japanese manufacturers account for about 85 per cent of the market.

BMW Motorrad is looking at a long-term involvement in this segment. Clearly, that means we must speak the language of the segment and follow the usual market standards. And indeed – we are confident that we will set new benchmarks in this scene, winning over an appropriate market share.

This, Ladies and Gentlemen, takes me on to the motorcycle as such.
It is our objective to offer the customer a high-performance motorcycle with absolutely outstanding qualities and features on both the road and race track in terms of rideability, performance, and ergonomics.
Since we are still in the middle of the development process, it would be too soon to mention any specific technical data. But you naturally know the usual level of performance our competitors have to offer. So with this in mind, I leave it to you today to speculate on what the specifications might be.

Our Supersports is based on a highly proven fundamental concept. Before choosing this concept, we naturally analysed the market and the appropriate technologies with utmost care and precision. And we will use the technical parameters required to develop our own solutions.
In the early project phase we checked out various engine concepts. And as you know, we then decided in favour of a four-cylinder, with the straight-four offering the best qualities to meet the power, performance, weight, and package requirements to be fulfilled. In typical BMW style, the engine will of course offer a number of special features, especially on the cylinder head.

For package reasons we have decided against the BMW Duo-Lever on the suspension. Taking up more space, this kind of front-wheel geometry would have presented disadvantages with the very compact structure of BMW’s new Superbike.

But you can be sure that the innovations we are introducing are absolutely convincing. One example is the special traction control you will find on the new machine. Again, however, we cannot give you any further information today.

As you may expect of BMW Motorrad, the design of our BMW Supersports
will be absolutely unique and very different. While it will of course reflect the usual design language in the segment, it will at the same time offer a strong and powerful message from the BMW brand.
Now let me briefly give you the status of our entry into the Superbike

World Championship:
Today I can confirm that our preparations are proceeding according to plan in every respect: In compliance with the rules of the Series, the new motorcycle will be available to customers in 2009 and we will build 1,000 production models by the end of next year.

We are implementing our racing activities in close cooperation with our partner Alpha-Racing, a specialist very experienced in motorsport. Located near Munich, Alpha-Racing have already started work in a special production hall specifically for this purpose.

The process of building up the team is proceeding at full swing and we have already filled the key positions.

The team is a combination of specialists from BMW and members of the Alpha-Technik racing crew, as well as further specialists from professional Superbike racing.

Choosing the development and test riders for our racing machine, we are currently operating in a revolving system to gain as much experience as possible. The selection of test riders ranges from experienced riders still active today all the way to young “top guns”.

In the upcoming weeks and months we will systematically start production of the racing machine in its individual power and performance stages, testing the new model as we go along.

Ladies and Gentlemen,
We naturally realise that the established teams have many years of experience. But we wish to take up this challenge in particular and have put together a highly motivated team precisely for this purpose, a team which will prove the performance of our new motorcycle in professional racing.

Naturally, we will have to go through a certain process of learning – which is precisely why we have set ourselves realistic targets for the time being: In our first year in the Superbike World Championship we seek to bring home several places in the Top 10 and to consistently close the gap to the top teams. In year 2 we plan to catch up with the top teams and to win our first places on the podium. And our medium-term objective, obviously, is to win the World Championship!

Ladies and Gentlemen,
So much on this project, the current status of the project and our preparations for entering the World Superbike Championship next year.
You have been speculating a lot on the designation of our new model. So let us put an end to this speculation today.

BMW Motorrad’s first Supersports will be the “S 1000 RR”.
In choosing the name and designation of BMW’s new Supersports, we are consistently following our nomenclature at BMW Motorrad. In this name, the “S“ stands for Supersports, marking a new class of motorcycles from BMW. The “1000” designates the size of the engine, and the “RR” naturally stands for the model itself.

Dear Motorcycle Friends,
Many motorcycle magazines have published photos of a racing prototype which we have tested on several racing tracks. Today we would like to show you this racing prototype, offering you an initial impression of the package and the technology.

But when you see the motorcycle in a minute, please note that neither the design nor the impression of quality are the same as on the production model following at a later point.
Thank you for your attention.

[scargoes]

Is there a Cliff Notes version?

[markjenn]

Let's hope this new S 1000 RR is more innovative than the name.

- Mark

[Tirebiter]

http://www.youtube.com/watch?v=g73dp9JZy_c&eurl=http://www.bmwducati.com/MiscPage_004.asp
YouTube - BMW S 1000 RR

Doesnt look like this has been posted before......

Brock