SAT SAT To Become an Auto Parts Manufacturing Leader in ASEAN with - PowerPoint PPT Presentation

SAT SAT To Become an Auto Parts Manufacturing Leader in ASEAN with Excellent Quality lent Quality To Become an Auto Parts Manufacturing Leader in ASEAN with Excel August 27, 2010 August 27, 2010

Agenda � I ndustry Overview � Group Business � Performance Review � Future Outlook � Appendices

Rosy Picture as Strong Demand Recovery Thailand auto industry Annual growth CAGR Million units (2010) (2010 - 14) 2.5 2.5 2.2 57% 12% CAGR (1997-2008) Production 2.0 2.0 Production 13% /Domestic 5% /Export 30% 1.7 30 8 1.6 Domestic 1.5 1.4 % % 1.5 1.3 1.3 1.2 1.1 1.2 1.0 1.0 1.0 0.9 0.9 0.9 0.8 1.0 0.8 0.8 0.8 0.7 0.7 0.7 0.7 0.6 0.6 0.6 0.6 0.5 0.5 0.5 0.5 61% 14% Export 0.5 0.4 0.4 0.4 0.4 0.4 0.3 0.5 0.3 0.3 0.3 0.2 0.2 0.2 0.2 0.2 0.1 0.1 0.2 0.1 0.0 0.0 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010F 2011F 2012F 2013F 2014F Production by type of vehicles • According to FTI, Thailand is expected to produce Annual growth CAGR 1.6m vehicles in 2010 from total capacity of 2.1m units (Industry utilization ~ 76% ) (2010) (2010 - 14) Million units 57% 12% Total • Thailand Automotive Institute projects that the 2.5 2.5 production will reach 2.5m units in 2014, driven by Others 47% 6% 2.2 pick up and eco car 20 2.0 % 2.0 Eco car - 67% • Eco cars are expected to increase its stake to ~ 20% 1.7 19 of entire market in 2014 at the major expense of 1.6 PC 49% -1% % 1.5 passenger cars 1.0 • Based on preliminary investigation, there is no 1.0 obvious impact from Eurozone crisis 31 60 PU & PPV 52% 10% % % - Europe is not Thailand’s major export 0.5 67 destination % 0.0 - Export to EU is 4.5% and merely 1.4% for PIGS 2009A 2010F 2011F 2012F 2013F 2014F Source: FTI: The Federation of Thai Industries and SAT estimates (2010 - 14) 3

Monthly Car Production and Sales (as of June10) 180000 Units 160000 140000 120000 100000 80000 60000 40000 20000 8 9 0 y y y r y p v r l p v r u 0 a 0 a 1 a a l o a o a e e J M u M M n M n M n M S N S N J a a a J J J Dom Sales Exp Sales Total Prod Total Sales Source: TAIA (The Thai Automotive Industry Association) 4

6M_YTD Production and Sales Isuzu Nissan Nissan Honda Isuzu Honda 9% 6% AAT 9% 8% 15% 15% Isuzu Honda 10% Nissan AAT 20% 11% 12% Other 7% Other 10% Other MMth AAT 6% MMth 3% 18% 6% 12% MMth Toyota Toyota Toyota 5% 38% Units 40% 40% 1,000,000 900,000 10,518 800,000 700,000 244,881 600,000 (32% ) 500,000 92,804 0 400,000 22,977 (22% ) 513,595 (68% ) 300,000 158,251 (44% ) 200,000 325,374 175,464 (78% ) 100,000 (49% ) 0 Production Dom Sales Exp Sales Pickup & PPV Passenger Car Other Source: TAIA (The Thai Automotive Industry Association) 5

Production Trend by Type and Brand Pick Up & PPV Passenger unit unit 50,000 25,000 22,500 40,000 20,000 17,500 30,000 15,000 12,500 20,000 10,000 7,500 10,000 5,000 2,500 0 0 9 r y v 0 r y b r e y g p c b r e 9 0 a a t a a b r y e y g p v c b r y e 0 p l e c o e 1 p r t r e M n u u e M n 0 a p a l c 1 a p a A M O N D A M e n u u e o e e n n F J A S n F n M A O n M A u u F M u A S N D F M u a a a J a J J J J J J J J Isuzu (Isuzu&GM) Toyota Mitsubishi Toyota Mitsubishi Nissan Nissan AAT Other AAT Other Honda 6

Domestic Trend by Type and Brand Pick Up & PPV Passenger unit unit 20,000 15,000 17,500 12,500 15,000 10,000 12,500 10,000 7,500 7,500 5,000 5,000 2,500 2,500 0 0 9 r y v 0 r y b r e y g p c b r e 9 0 a a t a a b r y e y g p v c b r y e 0 p l e c o e 1 p r t r e M n u u e M n 0 a p a l c 1 a p a A M O N D A M e n u u e o e e n n F J A S n F n M A O n M A u u F M u A S N D F M u a a a J a J J J J J J J J Isuzu (Isuzu&GM) Toyota Mitsubishi Toyota Mitsubishi Nissan Nissan AAT Other AAT Other Honda 7

Export Trend by Type and Brand Pick Up & PPV Passenger unit unit 30,000 7,000 6,000 25,000 5,000 20,000 4,000 15,000 3,000 10,000 2,000 5,000 1,000 0 0 9 0 b r y e y g p v c b r y e 9 e y g v c 0 e r t r b r r y p t b r r y 0 a p a l c 1 a p a 0 a p l c 1 a p e n u u e o e e n e a n u e o e e a n n M A O n M A n M u O n M F M u A S N D F M u F A M u A S N D F A M u a J a J a a J J J J J J J J Isuzu (Isuzu&GM) Toyota Mitsubishi Toyota Mitsubishi Nissan Nissan AAT AAT Other Honda 8

Export Destinations Units 775,652 535,596 58,525 74,063 84,097 57,139 75,075 69,279 100% 4% 4% 6% 7% 7% 7% 8% 7% Africa 8% 10% 7% 7% 9% 9% 9% Europe 13% 7% 6% 11% 12% 11% 12% 13% Central & S.America 75% 12% 21% 17% 27% 18% Middle East 20% 22% 21% 21% 50% 28% 31% 27% 27% 34% 26% Asia 24% 25% 25% 32% 28% 27% Aus, NZ & Oceania 26% 24% 25% 24% 23% 0% 2008 2009 Jan10 Feb10 Mar10 Apr10 May10 June10 20,000 15,000 Pick Up & PPV Passenger 12,500 16,000 10,000 12,000 7,500 8,000 5,000 4,000 2,500 0 0 Jan10 Feb Mar Apr May June Jan10 Feb Mar Apr May June Asia Aus, NZ, Oceania Middle East Asia Aus, NZ, Oceania Middle East Africa Europe C & N. America Africa Europe C & N. America Source: TAIA (The Thai Automotive Industry Association) 9

Agenda � I ndustry Overview � Group Business � Performance Review � Future Outlook � Appendices

Market Share: Axle Shaft & Coil Spring Customer Model Rear Axle Shaft Y09 = 86 % Rear Axle Shaft Y09 = 86 % Toyota Fortuner, Vigo Mitsubishi Triton, 3E45, Pajaro AAT (Mazda & Ford) BT-50, Ranger Market share Isuzu D-Max , MU-7 FY’10 Pickup car Customer Model Mitsubishi Cedia Toyota Camry Honda Jazz, City Nissan New Teana , March Coil Spring Y09 = 33 % Coil Spring Y09 = 33 % Passenger car Market share Customer Model FY’10 Toyota Fortuner, Vigo Mitsubishi Triton, 3E45, Pajaro Pickup car 11 11

Market Share: Leaf Spring & Stabilizer Bar Customer Model Leaf Spring Y09 = 12% Leaf Spring Y09 = 12% Mitsubishi Triton Pickup car Market share Customer Model FY’10 Hino Bus Mitsubishi Fuso Truck Trucks Commercial car Customer Model Mitsubishi Lancer, Cedia Stabilizer Bar Y09 = 38% Stabilizer Bar Y09 = 38% Honda Jazz/City / Accord Toyota New Altis Passenger car Market share Customer Model FY’10 Toyota Fortuner, Vigo Mitsubishi Triton, 3E45 Nissan LCV , Navara Pickup car 12 12

Market Share: Disc Brake & Drum Brake Disc Brake Y09 = 29% Disc Brake Y09 = 29% Customer Model Honda Jazz/City, Civic, Accord, CR-V Mitsubishi Space Wagon Passenger car Market share Customer Model FY’10 Mitsubishi Triton, 3E45 Pickup car Customer Model Honda City Passenger car Drum Brake Y09 = 25 % Drum Brake Y09 = 25 % Customer Model Mitsubishi Triton, 3E45, Pajaro Isuzu D-Max, MU-7 Market share Pickup car FY’10 Customer Model Mitsubishi Fuso Truck Trucks Commercial car 13 13

Market Share: Exhaust Manifold Exhaust Manifold Y09 = 18% Exhaust Manifold Y09 = 18% Customer Model Mitsubishi Lancer, Cedia Passenger car Market share FY’10 Customer Model Mitsubishi Triton, 3E45 AAT BT-50, Ranger Pickup car 14 14

Capacity and Utilization Rate (to be revised) 2009A 2010F 2011F 2012F Production Volume Capacity Utilization Capacity Utilization Capacity Utilization Capacity Utilization (Per Month) (pcs) (% ) (pcs) (% ) (pcs) (% ) (pcs) (% ) F Axle Shaft (incl. Kubota) 240,000 56% 240,000 90% 240,000 95% 320,000 85% orgi ng Disc Brake 109,000 68% 121,000 90% M a Drum Brake 95,000 68% 95,000 90% c N/A N/A (on (on h 90% 90% Exhaust Manifold 46,000 65% 47,000 85% process) process) I n Fly Wheel 63,000 65% 63,000 85% i n Kubota Machining 36,000 98% 86,000 80% g Kubota Blade 396,000 25% 396,000 79% 396,000 86% S p Coil Spring 255,000 40% 255,000 62% 255,000 80% 445,000 65% r Stabilizer Bar 100,000 46% 100,000 73% 100,000 90% 180,000 66% I n Leaf Spring (tons) 1,500 55% 1,500 75% 1,500 83% 1,500 89% g Weighted Utilization rate 60% 82% 87% 75% Note : Full Capacity= 500 hrs./month 15

Agenda � I ndustry Overview � Group Business � Performance Review � Future Outlook � Appendices