Prese esent ntatio ation n Materi terials als for Inv Investo - - PowerPoint PPT Presentation

Prese esent ntatio ation n Materi terials als for Inv Investo estors

July y 2016

2

TMCC Disclaimer

• The information in this presentation is an overview of certain information relating to Toyota Motor Corporation (“TMC”) and its subsidiaries (including Toyota Motor Credit Corporation

(“TMCC CC”) and Toyota Finance Australia Limited (ABN 48 002 435 181) (“TFA”)) (together, the “Toyota ta Comp mpanies ies”). It has been prepared, and is authorised, by TMCC and TFA. TMCC is expressly not responsible for information in this presentation relating to TFA.

• This presentation includes certain “forward-looking statements” within the meaning of The U.S. Private Securities Litigation Reform Act of 1995. These statements are based on current

expectations and currently available information and are not to be relied upon. Actual results may differ materially from these expectations due to certain risks, uncertainties and other important factors, including the risk factors set forth in the most recent annual and periodic reports of TMC and TMCC. TMCC does not undertake to update the forward-looking statements to reflect actual results or changes in the factors affecting the forward-looking statements.

• The distribution and use of this presentation may be restricted by law in certain jurisdictions and is not provided to any person in any jurisdiction where it is unlawful to do so. Recipients of this

presentation should inform themselves about them and observe any such restrictions. TMCC does not represent that this presentation may be lawfully distributed in compliance with any applicable registration or other requirements in any such jurisdiction where action for that purpose is required, or under an exemption available in that jurisdiction, nor does it assume any responsibility for facilitating any such distribution. In particular, no action has been taken by TMCC or any other person which would permit distribution of this presentation in any jurisdiction where action for that purpose is required. Accordingly, a person may not (directly or indirectly) distribute or publish this presentation other than in compliance with all applicable laws.

• This presentation does not constitute or form part of and should not be construed as, an offer to sell or issue or the invitation or solicitation of an offer to purchase or subscribe for securities or
• ther financial products of any Toyota Company (including TMCC) in any jurisdiction or an inducement to enter into investment activity in any jurisdiction. Neither this presentation nor any

part thereof, nor the fact of its distribution, shall form the basis of, or be relied on in connection with, any contract or commitment or investment decision whatsoever. No representation or warranty, expressed or implied, is made and no reliance should be placed on the accuracy, actuality, fairness, or completeness of the information presented in this presentation and, to the maximum extent permitted by law, TMCC disclaims all liability and responsibility for any direct or indirect loss or damage which may be suffered by any recipient through use of or reliance

• n anything contained in or omitted from this presentation.
• Investors and prospective investors in securities or other financial products of any Toyota Company (including TMCC) are required to make their own independent investigation and

appraisal of the business and financial condition of the Toyota Company and the nature of its securities and other financial products. This presentation does not constitute a recommendation regarding securities or other financial products of any Toyota Company. Any prospective purchaser of securities or other financial products of any Toyota Company is recommended to seek its own independent advice.

• This presentation is intended for distribution only to financial institutions and professional investors only in circumstances where disclosure is not required under Part 6D.2 or 7.9 of the

Corporations Act 2001 (Cth) (“Corpora

• rati

tions Act”), and otherwise only as may be permitted by applicable law. The information must not, and is not intended to be, given to any “retail client” within the meaning of section 761G of the Corporations Act. The information in this presentation is a summary only and is not complete. It does not amount to an express or implied recommendation or a statement of opinion (or a report or either of those things) with respect to any investment in any Toyota Company nor does it constitute financial product

• advice. TMCC does not hold an Australian financial services license under the Corporations Act and is not licensed to provide any advice.
• This presentation includes references to credit ratings and accordingly this presentation should not be distributed to any persons who are not able to receive such information in accordance

with applicable law. Credit ratings provided by third-party credit rating agencies may not reflect all risks of an investment in securities or other financial products and may be subject to revision or withdrawal at any time.

• Investors and others should note that TMCC announces material financial information using the investor relations section of its corporate website (http://www.toyotafinancial.com) and SEC
• filings. TMCC uses these channels, press releases, as well as social media to communicate with its investors, customers and the general public about the company, its services and other
• issues. While not all of the information that TMCC posts on social media is of a material nature, some information could be material. Therefore, TMCC encourages investors, the media, and
• thers interested in the company to review the information posted on the Toyota Motor Credit Corporation Twitter Feed (http://www.twitter.com/toyotafinancial). TMCC may update its

social media channels from time to time on the investor relations section of its corporate website.

3

Toyota’s Global Businesses

Markets vehicl cles es in over 170 count ntries ries/regi egions. ns. 70 Manufac ufacturin uring g facilities es in 27 count ntries/ es/regi egions.

• ns.

OTHER ER BUSINES INESSES SES AUTOMO MOTIV IVE

Design gn, Manufac ufacturin uring, g, Distribut bution

• n

Co Consu sumer er Financi cing ng Dealer Support t & F Financ ncing ng Ba Banking ng Securiti ties s Services es Ancillary Produc ducts ts & Services Housi sing ng Marine Telecommunic nicati ations E-Busi sine ness Intelligent nt Tra ranspor nsport t Services Biotechnol chnology y & Af Afforest estati ation

4

TMC Consolidated Financial Results

Source: TMC FY2014, FY2015 & FY2016 Financial Summary

(J (JPY billions) 2014 2015 2016 Net Revenues 25,691.9 27,234.5 28,403.1 Operating Income 2,292.1 2,750.6 2,854.0 Net Income 1,823.1 2,173.3 2,312.7 Fiscal Year Ended March 31 31,

5

TMC Consolidated Balance Sheet

Source: TMC FY2014, FY2015 & FY2016 Financial Summary

FY2014 FY2015 FY2016 (JPY billions) As of March 31, 2014 As of March 31, 2015 As of March 31, 2016 Current assets 15,717.7 17,936.4 18,209.6 Noncurrent finance receivables, net 8,102.3 9,202.5 8,642.9 Investment & other assets 9,976.2 11,295.2 10,834.7 Property, plant & equipment, net 7,641.3 9,295.7 9,740.4 Total Assets 41,437.5 47,729.8 47,427.6 Liabilities 26,218.5 30,082.5 29,339.4 Shareholders' equity 15,219.0 17,647.3 18,088.2 Total Liabilities & Shareholders' Equity 41,437.5 47,729.8 47,427.6

Toyota Across the United States

6

Oper eration ions s Over ervie view

7

• TMS sold 2.50 million vehicles in 2015; the highest sales volume since 2007 and up 5.3% from 2014

– Camry was the best-selling passenger car in America for the 14th consecutive year

• Industry-leading investment in next-generation technologies in power-train, safety and production

– TMS has one of the most fuel-efficient line-ups of any full-line OEM – Over 2.8 million hybrids sold in the US(1) and over 9.0 million worldwide(2) – 13 hybrid models(3) and 1 plug-in model across the TMS line-up – Mirai is Toyota’s first mass-produced hydrogen fuel cell vehicle – Toyota Research Institute announced with R&D focus on artificial intelligence and robotics

• For 2016, TMS will launch 8 new or refreshed models. Recent and upcoming vehicle launches:

Toyota Motor Sales, USA

Source: TMS Reports

• RAV4
• Prius
• Lexus ES
• Lexus RX
• Avalon
• Tacoma
• Lexus GS
• Lexus LX

(1) As of January 2016 (2) As of April 2016 (3) Includes cars and light trucks

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Toyota Motor Sales, USA (2)

• Quality, dependability, safety and product appeal remain high as reflected

by numerous 3rd party accolades

2016 6 Kelle ley y Blue Book Best Resale le Value for Luxury y Brand nd Lexus (5th year running) 2016 6 NAIAS S Eye yes s On Design ign Awar ward The Lexus LC 500 captured design awards for Interior Design and Production Car 2016 6 U.S.

• S. News

Best Cars s for the Money Camry, Prius, RAV4 Hybrid & Lexus NX 2016 6 Dive versit sityI yInc Toyota ranked No. 34 on its Top 50 Companies for Diversity 2016 6 IIHS Top Safety y Pick+ k+ Awa wards ds Nine Toyota, Lexus & Scion models took the highest award, the most of any manufacturer 2016 6 J.D. . Pow

• wer and Ass

ssoci ciates Vehic icle le Dependa dabili bility y Survey Lexus ranked No. 1 overall 2015 5 Kelle ley y Blue Book 10 Best Green n Cars Toyota Prius and Camry Hybrid 2016 6 NY Interna nation

• nal

l Au Auto Show Mirai received the World Green Car Award 2015 5 Fortune ne Magazine ine Change nge the World ld List Mirai ranked 3rd for its contribution in addressing major social problems 2015 5 NHTSA 5-Star ar Crash sh Test Rating ng RAV4, Scion FR-S and tC 2015 5 Fast Compa mpany ny Toyota ranked among World’s 50 Most Innovative Companies 2015 5 Forbe bes Toyota ranked No. 1 most valuable automotive brand

9

Toyota Motor Sales, USA (3)

Lexus LC 500 Rav 4 Hybrid Prius Tacoma Lexus RX

10

Toyota ta Fi Finan anci cial al Ser Servi vice ces

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TFS Group Global Presence

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Toyota ta Mo Motor Cr r Cred edit it Corp Corporat atio ion

13

• All issuing entities rated by S&P/Moody’s AA-(1)/Aa3(1)
• All issuing entities have a credit support agreement structure with TFSC/TMC(2)

Toyota ta Financial ncial Servi vice ces s Cor Corporat ation ion (TFSC)

Toyota Motor Credit Corporation (TMCC)

Toyota ta Motor

• r Cor

Corpo porat ation ion (TMC)

(1) Outlook stable (2) The Credit Support Agreements do not apply to securitization transactions

Toyota ta Motor

• r Cr

Credi edit t Corpor

• rati

ation n (TMCC) Toyota ta Finance nce Austr tralia alia Limite ted (TFA) A)

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TMCC Credit Support Agreements

• Securities* issued by TMCC (and various other TFSC subsidiaries) have the benefit of

a credit support agreement with TFSC

– TFSC will own 100% of TMCC – TFSC will cause TMCC to maintain a tangible net worth of at least $100,000 as long as covered securities are outstanding – If TMCC determines it will be unable to meet its payment obligations on any securities, TFSC will make sufficient funds available to TMCC to ensure that all such payment obligations are paid as due – Agreement cannot be terminated until (1) repayment of all outstanding securities or (2) each rating agency requested by Toyota to provide a rating has confirmed no change in rating of all such securities

• TFSC in turn has the benefit of a credit support agreement with TMC

– Same key features as TFSC/TMCC credit support agreement – TMC will cause TFSC to maintain a tangible net worth of at least JPY10mm as long as covered securities are outstanding

• TFSC’s and/or TMC's credit support obligations will rank pari passu with all other

senior unsecured debt obligations

* “Securities” defined as outstanding bonds, debentures, notes and other investment securities and commercial paper, but does not include asset-backed securities issued by TMCC’s securitization trusts.

15

TMCC Products and Services

Consumer Finance

• Retail
• Lease

Dealer Finance

• Wholesale
• Real Estate
• Working Capital
• Revolving Credit Lines

Insurance

• Service Agreements
• Prepaid Maintenance
• Guaranteed Auto Protection
• Excess Wear & Use
• Tire & Wheel

16

TMCC Field Organization

• Decentralized dealer and field support
• Centralized servicing and collections (circled)

17

• Consistent and conservative underwriting standards have produced low levels of

delinquencies and credit losses – Focus on prime origination – Ongoing focus on Toyota and Lexus business

• Optimization of collections strategy and staff supports loss mitigation while enabling

portfolio growth – Emphasis on early intervention – Reinforcement of strong compliance management system

TMCC Credit Decisioning & Collections

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0.0% 1.0% 2.0% 3.0% FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 Delinquency (1) Credit loss (2)

(1) Delinquency is 30+ day delinquencies as a percentage of retail receivables outstanding (2) Credit loss is annual net credit loss as a percentage of retail receivables outstanding

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TMCC Earning Asset Composition

Managed Assets (USD billions)

Source: TMCC March 31, 2012 10-K, March 31, 2013 10-K , March 31, 2014 10-K , March 31, 2015 10-K & March 31, 2016 10-K

19.0 20.2 24.9 30.2 34.0 34.6 39.9 39.6 38.4 35.7 10.5 8.0 9.7 12.7 16.6 12.7 14.9 15.8 15.6 15.8

$7 $76.8 6.8 $83. 3.0 $90.0 $96. 6.9 $102 02.1 1

Mar Mar-1

• 12

Mar Mar-1

• 13

Mar Mar-1

• 14

Mar Mar-1

• 15

Mar Mar-1

• 16

Lease Retail Sold (ABS) Wholesale & Other

TMCC Origination Characteristics

APR Distribu bution ion 19 19

Source: : Company Reports 30% 44% 51% 51% 46% 36% 28% 20% 19% 20% 34% 28% 29% 30% 34%

CY2 CY2011 20 2012 20 2013 20 2014 20 2015

<2.0% 2.0%-3.99% >= 4.0%

Weighted ted Averag rage FICO Weighted ted Averag rage Original nal Term New vs

• vs. Used

735 731 727 726 720

CY CY2011 2012 2013 2014 2015

63 63 63 64 65

CY CY2011 2012 2013 2014 2015

69% 76% 76% 76% 75% 32% 24% 25% 24% 25%

CY CY2011 2012 2013 2014 2015

New Used

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TMCC Financial Performance - Select Data

Source: TMCC March 31, 2016 10-K

(USD millions) 2012 2013 2014 2015 2016 Total Financing Revenues 7,429 7,244 7,397 8,310 9,403 add: Other Income 717 744 702 832 1,080 less: Interest Expense 4,639 4,508 5,352 5,593 7,051 and Depreciation Net Financing Revenues 3,507 3,480 2,747 3,549 3,432 and Other Revenues Net Income 1,486 1,331 857 1,197 932 Fiscal Year Ended March 31,

21

TMCC Financial Performance - Select Data

(1) Percentage of gross earning assets (2) The quotient of allowance for credit losses divided by the sum of gross finance receivables (net finance receivables less allowance for credit losses) plus gross investments in

• perating leases (net investments in operating leases less allowance for credit losses)

Note: All percentage figures calculated were based on a 120-day charge-off policy Source: TMCC March 31, 2016 10-K

(USD millions) 2012 2013 2014 2015 2016 Over 60 Days Delinquent (1) 0.18% 0.19% 0.18% 0.21% 0.26% Allowance for Credit Losses (1) (2) 0.80% 0.63% 0.50% 0.50% 0.52% Net Credit Losses (1) 0.21% 0.27% 0.28% 0.29% 0.38% Fiscal Year Ended March 31,

22

TM TMCC F C Fun undi ding P g Progr gram ams

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• A-1+/P-1 rated direct commercial paper program
• $20.3 billion committed credit facilities

(1)

• $9.0 billion short-term liquidity investment portfolio

(2)

• Over $60 billion in readily salable consumer retail loan & lease assets
• Access to various domestic and international capital markets
• Billions of additional capacity in global benchmark markets
• Extensive inter-company lending infrastructure
• Credit support agreements: TMCC TFSC  TMC

TMCC - Exceptional Liquidity

(1) As of March 31, 2016 (2) Average balance for fiscal year ended March 31, 2016 Source: : TMCC March 31, 2016 10-K

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• TMCC is committed to:

– Maintaining funding diversity and exceptional liquidity – Issuing into strong demand with attractive deals – Identifying & developing new markets and investor relationships – Responding quickly to opportunities with best-in-class execution – Managing our business and stakeholder relationships with a long-term view

TMCC - Funding Program Objectives

TMCC - Innovative Funding Platforms

25

• Diversity and Inclusion (D&I) bond syndicates led by diversity firms
• Four issuances to date for $2.25 billion in funding
• $1.25 billion offering in April 2016 set record for largest corporate D&I bond
• Delivers Tier 2 & Tier 3 investor diversification
• Auto industry’s first ever Green Bond ABS
• Three offerings to date totaling $4.6 billion
• Proceeds used exclusively to finance loans and leases for new hybrid and alternative-

fuel Toyota and Lexus vehicles

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• $15.4 billion in unsecured debt
• $10.0 billion in secured debt (net of amount retained)

– $2.6 billion comprised of public term secured funding (net of amount retained)

• $6.4 billion funded FYTD17 ($5.4 billion unsecured / $1.0 billion in secured)*

TMCC - FY16 Funding Overview

Source: Company Reports

$25.4 4 billion

• n of long term debt

t funded ed in FY2016

*As of May 31, 2016

MTN 25% Global MTN 16% EMTN 12% Public/Private ABS 40% Other 7%

27

TMCC Lo Long Term De Debt bt Outs tstand tanding ng (USD milli

lions)

• ns)

TMCC - Diversification in Debt Offerings

As of May 31, 2016 Source: Company Reports

By Deal l Type By Currency ncy

Global MTN $26,450 MTN $9,433 Public/Private ABS $13,411 Other $8,295 EMTN/Eurobonds $11,855 USD 55,405 EUR 8,740 AUD 2,149 JPY 1,408 GBP 879 Other 864

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TMCC - Funding Flexibility And Responsiveness

Source: Company Reports

Diversi ersific icat ation ion Across USD Curve e

(1 (1)

(1) Unsecured U.S. MTN issuance, excluding Structured Notes and Retail Notes Percentages may not add to 100% due to rounding *As of May 31, 2016 37% 39% 45% 27% 53% 21% 4% 3% 2% 5% 7% 12% 11% 9% 26% 19% 12% 14% 28% 37% 26% 20% 27% 26% 21% 26% 13% 5% 16% 6% 0% 20% 40% 60% 80% 100% FY1 Y12 FY1 Y13 FY1 Y14 FY1 Y15 FY1 Y16 FYT YTD1 D17* 7* 1yr 18mth 2yr 3yr 5yr 7yr 10yr

29

TMCC - Key Investment Highlights

• Financial strength supported by strong credit ratings
• Transparent business model with exceptional liquidity
• Rational funding programs with long-term perspective

– Diversification in bond offerings – Focus on proactively meeting needs of market – Strong emphasis placed on flexibility and responsiveness

• Industry-leading in:

– Liquidity management framework – Balance sheet strength – Business model resiliency

30

Toyota ta Mo Motor C r Corp rporat atio ion Aus ustral alia ia

31

THIS PRESENTATION IS NOT FOR DISTRIBUTI UTION TO ANY U.S. . PERSON OR ADDRESS IN THE UNITED D STATES. The information in this presentation is an overview of certain information relating to Toyota Motor Corporation (“TMC”) and its subsidiaries (including Toyota Finance Australia Limited (ABN 48 002 435 181) (“TFA”) and Toyota Motor Credit Corporation (“TMCC”)) (together, the “Toyota Comp mpanie ies”). It has been prepared, and is authorised, by TFA and TMCC. TFA is expressly not responsible for information in this presentation relating to TMCC. This presentation includes certain “forward-looking statements” within the meaning of The U.S. Private Securities Litigation Reform Act of 1995. These statements are based on current expectations and currently available information and are not to be relied upon. Actual results may differ materially from these expectations due to certain risks, uncertainties and other important factors, including the risk factors set forth in the most recent annual and periodic reports of TMC and TFA. TFA does not undertake to update the forward-looking statements to reflect actual results or changes in the factors affecting the forward-looking statements. The distribution and use of this presentation may be restricted by law in certain jurisdictions and is not provided to any person in any jurisdiction where it is unlawful to do so. Recipients of this presentation should inform themselves about them and observe any such restrictions. TFA does not represent that this presentation may be lawfully distributed in compliance with any applicable registration or other requirements in any such jurisdiction where action for that purpose is required, or under an exemption available in that jurisdiction, nor does it assume any responsibility for facilitating any such distribution. In particular, no action has been taken by TFA or any other person which would permit distribution of this presentation in any jurisdiction where action for that purpose is required. Accordingly, a person may not (directly or indirectly) distribute or publish this presentation other than in compliance with all applicable laws. This presentation does not constitute or form part of and should not be construed as, an offer to sell or issue or the invitation or solicitation of an offer to purchase or subscribe for securities or other financial products of any Toyota Company (including TFA) in any jurisdiction or an inducement to enter into investment activity in any jurisdiction. Neither this presentation nor any part thereof, nor the fact of its distribution, shall form the basis of, or be relied on in connection with, any contract or commitment or investment decision

• whatsoever. No representation or warranty, expressed or implied, is made and no reliance should be placed on the accuracy, actuality, fairness, or completeness of the

information presented in this presentation and, to the maximum extent permitted by law, TFA disclaims all liability and responsibility for any direct or indirect loss or damage which may be suffered by any recipient through use of or reliance on anything contained in or omitted from this presentation. Investors and prospective investors in securities or other financial products of any Toyota Company (including TFA) are required to make their own independent investigation and appraisal of the business and financial condition of the Toyota Company and the nature of its securities and other financial products. This presentation does not constitute a recommendation regarding securities or other financial products of any Toyota Company. Any prospective purchaser of securities or other financial products of any Toyota Company is recommended to seek its own independent advice. This presentation is intended for distribution only to financial institutions and professional investors only in circumstances where disclosure is not required under Part 6D.2 or 7.9

• f the Corporations Act 2001 (Cth) (“Corpora

ratio ions s Act”), and otherwise only as may be permitted by applicable law. The information must not, and is not intended to be, given to any “retail client” within the meaning of section 761G of the Corporations Act. The information in this presentation is a summary only and is not complete. It does not amount to an express or implied recommendation or a statement of opinion (or a report or either of those things) with respect to any investment in any Toyota Company nor does it constitute financial product advice. This presentation includes references to credit ratings and accordingly this presentation should not be distributed to any persons who are not able to receive such information in accordance with applicable law. Credit ratings provided by third-party credit rating agencies may not reflect all risks of an investment in securities or other financial products and may be subject to revision or withdrawal at any time.

TFA Disclaimer

574K 609K 598K 637K 597K 541K 592K 559K 577K 566K 531K 516K 193K 382K 379K 364K 413K 415K 397K 443K 449K 535K 570K 582K 640K 276K 956K 988K 963K 1,050K 1,012K 937K 1,036K 1,008K 1,112K 1,136K 1,113K 1,155K 470K

• 200,000

400,000 600,000 800,000 1,000,000 1,200,000 1,400,000 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 (YTD) New Vehicle Sales (units) Passenger Commercial

Australian Market Trend

32

Source: Actuals and 2016 calendar year-to-date data based onVFACTS Industry Reports to May 2016 published by Federal Chamber of Automotive Industries

• Australian vehicle market has shown solid long-term growth
• 2015 Market 1,155,408 units – increase 42,184 units on 2014
• 2015 Market an all time record above 1.15 million

GFC Imp mpact Earth thquake / Flood Imp mpact

33

TMCA’s Market Leadership

Continued Strong Market Leadership – 13 consecutive years as market leader 2016 May YTD - #1 Toyota* (84,059), #2 Mazda (48,518), #3 Hyundai (42,050)

* Toyota includes Toyota and Lexus marques Source: VFACTS Industry Reports to May 2016 published by Federal Chamber of Automotive Industries 221 245 246 207 221 188 225 222 211 215 84 64 78 80 78 85 88 104 103 101 114 49 47 50 45 63 80 87 92 97 100 102 42 147 147 130 120 133 126 115 112 106 103 37

• 50

100 150 200 250 300 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 (YTD) Units Sold ('000)

Historical Sales

Toyota* Mazda Hyundai Holden

17.9% 9% 10.3% 9.0% 7.8% 6.8% 6.1% 5.7% 5.1% 4.0% 3.6% 23.7%

Market Share May YTD 2016

Toyota* Mazda Hyundai Holden Ford Mitsubishi Nissan VW Subaru Mercedes Other

Top Selling Models in Australia

34

Toyota

• Market leader in commercial vehicles: 37 years in a row
• 2015 December sales record of 21,217 vehicles
• Average daily deliveries: 565 vehicles
• Best-selling brand in every state and territory
• Best-selling Passenger, Commercial and SUV

Toy

• yota
• ta Hilux
• Australia’s best selling four-wheel-drive vehicle for 11th

consecutive year

• 2016 YTD May share is 22.6% vs PYTD 22%
• Currently number 1 pickup in market

Toy

• yota
• ta Camry
• 22nd consecutive year as Australia's best-selling mid-size

car

• Segment share of 53.1 per cent

Toy

• yota
• ta Co

Coroll

• lla
• Number 1 selling vehicle in Australia for the last 3 years

35

Toyota ta Fi Finan ance ce Aus ustral alia ia

Toyota Network in Australia

TMCA:

• 230 Dealers (209 Toyota and 21 Lexus)
• 284 Physical Dealership Sites
• 4 Regional Offices + TWA

TFA:

• 6 Regional Offices support
• 99% of the Toyota network
• 100% of the Lexus network
• 100% of the Hino network

Northern Region 43 Dealers Eastern Region 62 Dealers Southern Region 52 Dealers Central Region 26 Dealers Toyota Western Aust. 26 Dealers

36

As at June 30, 2016 Source: Company Reports

37

TFA Products and Services

Consumer Finance

• Consumer Loans
• Commercial Finance

Fleet Management

• Operating Lease
• Hire Purchase
• Salary Packaging
• Vehicle Maintenance

Dealer Finance

• Wholesale
• Real Estate
• Working Capital
• Revolving Credit

Lines

Insurance

• Comprehensive
• Extended Warranty
• Finance Protection
• Finance Gap
• Roadside Assistance

Recent TFA Business Highlights

• Continued strong performance in pre-tax income(1)
• TFA is a leading provider of automotive finance and insurance in

Australia

• Dominant market share continues to drive solid financing

revenues and vehicle sales support

• Increase in earning assets year on year
• Growing market penetration in Fleet Management and Insurance

portfolio

38

(1) For the five year period from FY12 through FY16; A$116m + A$142m + $215m + $198m + $227m = $897m

TFA Earning Asset Composition

39

8.4 7.9 7.6 6.9 5.8 2.4 2.5 2.6 2.5 2.3 3.3 3.0 3.1 3.3 2.7

$14.0 $13. 3.5 $13. 3.3 $12.7 $10.8

Mar Mar-1

• 16

Mar Mar-1

• 15

Mar Mar-1

• 14

Mar Mar-1

• 13

Mar Mar-1

• 12

Managed Assets (AUD billions)

Retail Fleet Wholesale

Source: TFA Annual Financial Reports 2012, 2013, 2014, 2015 and 2016

40

TFA Financial Performance - Select Data

Income

• me State

teme ment* nt* Fiscal Y ear r Ended March ch 31 AUD D millions 2012 2013 2014 2015 2016 Interest & Similar Revenue 806 842 859 1,106 1,067 Less: Interest Expense and Similar Charges (562) (556) (504) (717) (672) Net Financing Income 244 286 355 389 395 Plus: Other Income 18 23 31 32 34 Net Operating Income 263 309 386 421 428 Net Profit After Tax 85 102 154 141 159

* TFA does s not hedge account.

• t. Changes

s in the fair r value of deri rivative vatives s are recognize ized imme mmedia iatel tely in profit it or loss.

• s. This

is ma may, to the exten tent t that t deriva rivative tives s are net offset t by the tran ansla slation tion of the items ms economic micall lly hedged, introd roduce ce volatili atility ty in profit it or loss and produce ce anomal malous s results lts Source: TFA Annual Financial Reports 2012, 2013, 2014, 2015 and 2016

41

TFA Financial Performance - Select Data

(1) Units outstanding > 91+ days / total number of units (2) Current provisions / current earning assets (3) Net losses / average earning assets Source: TFA Annual Financial Reports 2012, 2013, 2014, 2015 and 2016, and Company Reports

Ass sset Quality ty Fiscal Y ear r Ended March ch 31 31 (%) (%) 2012 2013 2014 2015 2016 Over 91+ Days Delinquent (1) 1.45% 0.57% 0.46% 0.66% 0.57% Retail 0.31% 0.39% 0.47% 0.77% 0.60% Fleet 4.93% 1.16% 0.45% 0.28% 0.48% Allowance for Credit Losses (2) 1.36% 1.34% 1.32% 1.53% 1.40% Net Credit Losses (3) 0.22% 0.27% 0.30% 0.42% 0.49%

42

TFA – Credit Decisioning & Collections

• TFA has been a leader in the automotive industry in the use of application scorecards since 2001
• Use of scorecards ensure consistent underwriting produced in the Retail portfolio
• Fleet and Dealer applications assessed by Underwriters with industry expertise
• Automation of Collection Activities (new collections system implemented in Nov 14) improves efficiency as

well as reinforces compliance with guidelines and regulations.

• In addition, continuous optimization of collection strategies carried out through risk based collection

segmentation model and Champion/Challenger testing enabling loss mitigation, whilst supporting continued portfolio growth.

New Custo tomers rs

AML/CTF TF/PEPS EPS/ Sanctions Fraudc dchec eck Application Score re Behav haviour r Score re

Exist sting ng Custom tomers ers

Fraud d Score re Credi dit Dec ecision sion Application Requ quest esting g Finance Compre rehen ensiv sive e Burea eau Tools

Source: Australian Fleet Lessor Association

TFA - Toyota Fleet Management

Key busine ness ss highlights: s:

• Diversified fleet portfolio across industries
• Significant product range offering
• Variety of distribution channels

0% 5% 10% 15% 20% 25% 30% 35% 40%

• 100,000

200,000 300,000 400,000 500,000 600,000 Jun-09 Dec-09 Jun-10 Dec-10 Jun-11 Dec-11 Jun-12 Dec-12 Jun-13 Dec-13 Jun-14 Dec-14 Jun-15 Dec-15

AFLA LA – Marke ket Share

AFLA Mkt TFM Portfolio TFM Mkt Share (%) New business (TFM % of mkt)

43

44

TF TFA Fun undi ding g Progr gram ams

45

TFA – Funding Objectives

• Exceptional liquidity supported by strong credit ratings (AA-/Aa3)
• Diverse funding program with long-term perspective

– Maintaining funding diversity and liquidity via access to domestic and international (including Uridashi) markets – Demonstrated capacity to securitise assets – Issuing into strong demand with attractive deals

• Responding quickly to opportunities with best-in-class execution
• Identifying & developing new markets, while retaining and working with our

investors

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Maste ter r Credit dit Facilit ility

• Access to USD$15 billion syndicated bank credit facility

Com Commer ercial cial Paper er progr

• gram

am

• A-1+/P-1 rated domestic and euro commercial paper programs

Cash and Inv nvestm estment ents

• $1.2 billion in short-term liquidity and investments

(1)

Securi uriti tizati zation

• n progr
• gram

am

• $1.4 billion of available liquidity from private securitization programs

(2)

De Debt t Capit ital al Markets ets & I Inte tercompany company Le Lendi nding ng

• Access to various domestic and international capital markets
• Inter-company lending infrastructure in place with TMCC
• Credit support agreements: TFA TFSC  TMC

TFA - Exceptional Liquidity

(1) Cash and cash equivalents as at March 31, 2016 (2) Unutilised limit as at March 31, 2016 Source: : TFA Annual Financial Report for year ended March 31, 2016

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A$13.8 billion debt portfolio, including A$11.3 billion in long term debt. A$4.1 billion of long term debt funded in FY2016

TFA – Funding Overview

Long g Term Debt bt By Deal al Type Long g Term Debt bt By Currency ncy

Source: TFA Annual Financial Report for year ended Mar 31, 2016

AUD 9,342 67% USD 2,316 17% NZD 945 7% Other 1,225 9% Bank Loan 2,409 21% Uridashi 4,647 41% DMTN 850 8% EMTN 995 9% ABS (Private) 2,395 21%

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TFA – Investment Highlights

• One Toyota strategy - part of a world class company and global leader
• Proven business model with a sustainable approach to managing our business

and stakeholder relationships, resulting in continued financial and balance sheet strength

• Investment in technology, facilities and risk management
• New products – Toyota Access
• ‘Kaizen’ mindset
• Engaged workforce and experienced leadership team