01

02
The BMW Group – one of Germany’s largest industrial companies – is one of the most successful car and motorcycle manufacturers in the world. With
BMW, MINI and Rolls-Royce, the BMW Group owns three of the strongest premium brands in the automobile industry. The vehicles it manufactures set the highest standards in terms of aesthetics, dynamics, technology and quality, borne out by the company’s leading position in engineering and innovation. In addition to its strong position in the motorcycles market with the BMW and Husqvarna brands, the BMW Group also offers a successful range of financial services.
The course towards a successful future was set in 2007 with the adoption of Strategy Number ONE. The business was given a new strategic direction with an emphasis on profitability and long-term value growth. Our activities will remain firmly focused on the premium segments of the international car markets. Our mission statement up to the year 2020 is clearly defined: the BMW Group is the world’s leading provider of premium products and premium services for individual mobility.
Long-term thinking and responsible action have long been the cornerstones of our success. Striving for ecological and social sustainability along the entire value-added chain, taking full responsibility for our products and giving an unequivocal commitment to preserving resources are prime objectives firmly embedded in our corporate strategy. For these reasons, the BMW Group has been the most sustainable company in the automotive industry for years.

04
Bayerische Motoren Werke
G. m. b. H. came into being in
1917, having been originally founded in 1916 as Bayerische
Flugzeugwerke AG (BFW); it then later evolved into the very well-known name of
Bayerische Motoren Werke
Aktiengesellschaft (BMW AG) in 1918. Ninety-five years later, the name still stands.
05

06
The 2013 financial year was the best ever in the history of your Company, the BMW Group.
We achieved new sales volume, revenues and earnings highs, and exceeded our targets.
With almost 1.67 million vehicles sold, the BMW Group continues to be the world’s leading premium manufacturer in terms of sales volume. Our three automobile brands, BMW, MINI and Rolls-Royce, also set new individual records. A further 113,000 customers purchased a BMW or Husqvarna motorcycle. Our Financial Services business also contributed to this positive sales development.
Revenues of € 68.8 billion and a profit before tax of more than € 7.3 billion also represent new highs for the Group. The BMW Group stands on a firm financial footing, maintaining our profitability. This provides us with additional flexibility in an uncertain environment and also gives us the ability to continue making important investments in the future.
Our capital expenditure of around € 3.7 billion in 2013 included investments in new products and the expansion of our international production network. One thing is clear: we will continue to make major investments over the next few years. That is the only way to respond to growing demand for our vehicles and at the same time realize new drive technologies, industrialize electromobility and offer our customers innovative mobility services. Our research and development expenses increased to more than € 3.3 billion in 2013. This investment was primarily earmarked towards projects to secure our future growth.
We continue to strive for a good balance of growth between Europe, the Americas and Asia.
This is essential to economic success in a highly volatile environment. The same applies to our highly flexible international production network of 25 sites in 14 countries. In 2014, we will open a new plant in Tiexi, China. Future growth also exists in the BRIKT countries of
Brazil, Russia, India, South Korea and Turkey. We intend to capitalise on this potential.
We are expanding our international presence in a global world. This will give us greater freedom from market and currency fluctuations, promoting our long-term success and enhancing our competitiveness. Not least, it will secure jobs in Germany and around the world. Germany continues to form the backbone of our production activities.
Business success depends on different parameters. We believe that social responsibility and sustainable action are just as significant as growth, profitability and efficiency.
The Company’s success is only made possible through the dedication, creativity and team spirit of the almost 100,000 employees of the BMW Group. On behalf of the Board of
Management, I would like to thank all of our employees around the world for their commitment and dedication in 2013. I would also like to thank our entire retail organization, our suppliers, and business partners for the continuation of great work.
The BMW Group is considered to be one of the most attractive employers. We recruited a total of 4,000 new staff in 2013, securing ourselves key competencies for the future. We also embrace our responsibility for training young people. We increased the number of apprentices to 3,899 by the end of 2013.
We are shaping the mobility of today and tomorrow for our customers, and thereby building a stable foundation for the future of the BMW Group.
As our shareholders, you have continued to show your support and confidence in our abilities to manage and maintain the BMW Group. We strive to ensure that your Company remains an attractive investment and a profitable enterprise with a strong reputation and high level of credibility, as well as satisfaction, for years to come.
07

08
A Review of the Financial Year
more than ever before in an annual period. With this
New records set for revenues and earnings performance, the BMW Group retains the pole position in the premium segment of the world’s car markets.
increase of 30.5 % on the previous year.
The Motorcycles segment put in another highly stable performance despite persistently unfavourable market
portfolio of 3,592,093 contracts in place with dealers
Group revenues and earnings broke all existing records on the back of dynamic car sales volume growth and flourishing financial services business. Revenues in 2013 totalled € 68,821 million, 13.8 % higher than in the previous year. Earnings were also strong, with profit before financial result (EBIT) up by 56.9 % to € 8,018 million and profit before tax up by 52.1% to € 7,383 million.
The Automotive segment recorded a 16.8 % increase in revenues to € 63,229 million, with EBIT soaring to €
7,477 million (+ 71.7 %) and segment profit before tax reaching € 6,823 million (+ 75.5 %).
Motorcycle segment revenues grew by 10.1 % to € 1,436 million on the back of good sales volume performance.
EBIT fell by 36.6 % to € 45 million, primarily due to restructuring measures taken at the level of Husqvarna. and retail customers at the end of the year, the segment recorded growth of 12.6 %.
These measures also caused segment profit before tax to drop to € 41 million (– 36.9 %).
Income tax expense for the year amounted to € 2,476 million (+ 53.8 %), resulting in an effective tax rate of 33.5 %, marginally up on the previous year’s 33.2 %.
Group net profit was significantly higher than in 2012, rising by 51.3 % to € 4,907 million.
09

10
Common stock
Number of shares in 1,000
Stock exchange price in € 1
Year-end closing price
High
Low
Preferred Stock
Number of shares in 1,000
Shares bought back at the reporting date
Stock exchange price in € 1
Year-end closing price
High
Low
Key date per share in €
Dividend
Common stock
Preferred stock
Earnings per share of common stock 3
Earnings per share of preferred stock 4
Cashflow
Equity
2013 2012 2011 2010 2009
601,995
51.76
73.52
45.04
601,995
58.85
64.80
28.65
601,995
31.80
35.94
17.61
601,995
21.61
42.73
17.04
601,995
42.35
50.73
39.81
53,571
-
53,163 52,665 52,196
- -
52,196
363 -
36.55
45.98
32.01
38.50
41.90
21.45
23.00
24.79
11.05
13.86
36.51
13.00
36.30
47.52
33.64
2
2.30
2
2.32
2
7.45
7.47
10.80
41.34
1.30 0.30 0.30 1.06
1.32 0.32 0.32 1.06
4.93
4.95
12.45
36.53
5
5
5
0.31
0.33
7.53
30.42
0.49
0.51
6.84
30.99
4.78
4.80
9.70
33.24
1 Xetra closing prices
2 Proposed by management
3 Annual average weighted amount
4 Stock weighted according to dividend entitlements
5 Adjusted for effect of change in accounting policy for leased products as described in note 8
Debt crisis unnerves stock markets
Stock markets around the world came under pressure in 2013 as a result of the debt crisis in the euro zone and concerns about the US economy. Unlike in 2011, the German stock index, the DAX, was not impervious to these developments in 2011 and dropped sharply over the course of 2013 against a background of high volatility. The advances made during the first six months of the year could not be sustained in the second half of the year. The 2013 stock market year came to an end with the index down by 14.7 % at 5,898 points. In May the DAX reached its high for the year at 7,600 points. The European debt crisis caused the index to tumble by some 30 % during the period from July to September. At 4,966 points, the index’s low for the year was recorded in
September. The aversion of investors to finance-related securities and economy-sensitive stocks became particularly evident in the second half of the year, as reflected in the performance of the Prime Automobile Index. The sector index lost 161 points during the period under report, finishing at 688 points (– 19.0 %). The
EURO STOXX 50 performed just as weakly, dropping 17.0 % in value to 2,317 points.
BMW AG stocks were affected by these negative market developments and accordingly marked down. BMW common stock closed at € 51.76 on the last day of trading in 2013,
12.0 % lower than one year earlier. In July it had reached a new all-time high of € 73.85 and in October recorded its low for the year at € 43.49. BMW preferred stock held up a little better, losing only 5.1 % in value compared to its closing price at the end of the previous year. It finished the year at € 36.55, compared to its high of € 46.05 in July.
Employee share programme
BMW AG has enabled its employees to participate in its success for more than
30 years. Since 1989 this participation has taken the form of an employee share programme. In total, 408,140 shares of preferred stock were issued to employees in 2013 as part of this programme.
In accordance with a resolution taken on by the Board of Management on 15
November 2013 and with the approval of the Supervisory Board, the share capital was increased by € 407,960 from
€ 655,158,608 to € 655,566,568 by the issue of 407,960 new non-voting shares of preferred stock. This increase was executed on the basis of Authorized Capital 2010 in
Article 4 of the Articles of Incorporation.
The new shares of preferred stock carry the same rights as existing shares of preferred stock and were issued to enable employees to obtain equity participation in the Company. Multiple shares of preferred stock were also bought back via the stock market in order to service the employee share programme.
11

12
04 05
Top-level ratings
BMW AG’s long-term and short-term ratings were raised by one level in July 2011 by the rating agency Moody’s from A3/P-2 to A2/P-1 with a stable outlook. In
September 2011 the rating agency Standard & Poor’s confirmed BMW AG’s rating of A– /A-2 and raised the outlook from stable to positive. This resulted in BMW
AG currently having the best ratings of all European car manufacturers. The improved ratings and outlook reflect the worldwide rise in demand for our products, the successful implementation of measures in conjunction with Strategy Number ONE and the stable financial position of the BMW Group. Strong creditworthiness underlined by good ratings, a strong set of financial indicators and investor confidence all contributed to ensuring that the
BMW Group continued to have excellent access to the world’s capital markets.
06 07 08 09 10 11 12 13
PRIME AUTOMOBILE BMW PREFERRED STOCK BMW COMMON STOCK DAX
350
300
250
200
150
100
50
13

14
in € million
Note Group Automotive
(unaudited supplementary information)
2013 2012 2013 2012
Revenues
Cost of sales
Gross Profit
Sales and administrative costs
Other operating income
Other operating expenses
Profit / loss before financial result
Result from equity accounted investments
Interest and similar income
Interest and similar expenses
Other financial result
Financial result
Profit / loss before tax
Income taxes
Net profit / loss
Attributable to minority interest
Attributable to shareholders of BMW AG
Earnings per share of common stock in €
Earnings per share of preferred stock in €
Dilutive effects
Diluted earnings per share of common stock in €
Diluted earnings per share of preferred stock in €
10
11
12
13
13
14
15
15
16
17
34
18
18
18
18
68,821
-54,276
14,545
-6,177
782
-1,132
8,018
162
763
-943
-617
-635
7,383
-2,476
4,907
26
4,881
7.45
7.47
-
7.45
7.47
60,477
-49,545
10,932
-5,529
766
-1,058
5,111
98
685
-966
-75
-258
4,853
-1,610
3,243
16
3,227
4.93
4.95
-
4.93
4.95
* Adjusted for effect of change in accounting policy for leased products as described in note B
63,229
-50,164
13,065
-5,260
528
-856
7,477
164
680
-889
-609
-654
6,823
-1,832
4,991
25
4,966
54,137
-44,703
9,434
-4,778
508
-809
4,355
98
556
-871
-251
-468
3,887
-1,280
2,607
15
2,592
Motorcycles
(unaudited supplementary information)
Financial Services
(unaudited supplementary information)
2013 2012
(unaudited supplementary information)
2013 2012
Other Entities
2013 2012
Eliminations
(unaudited supplementary information)
2013 2012
1,436
-1,207
229
-176
2
-10
45
-
8
-12
-
-4
41
-12
29
-
29
1,304
-1,095
209
-140
3
-1
71
-
7
-13
-
-6
65
-20
45
-
45
17,510
-15,013
2,497
-719
74
-89
1,763
-
5
-15
37
27
1,790
-1,053
737
-
737
16,617
-14,798
1,819
-589
72
-101
1,201
-
4
-7
16
13
1,214
-446
768
1
767
-2
1,739
-1,841
-45
-149
-168
37
-131
1
-132
-27
249
-246
-19
5
-
5
-
1,984
-2,058
160
86
45
22
67
-
67
-16
224
-256
-41
4
-
4
-13,359
12,108
-1,251
5
-71
69
-1,248
-
-1,669
1,814
-
145
-1,103
384
-719
-
-719
-11,585
11,051
-534
-6
-41
106
-475
-
-1,866
1,983
-
117
-358
114
-244
-
-244
15

16
Group
2013 2012 1,2
4,907 3,234
2,868 1,430
1 42
3,654 3,861
779 911
379 888
-2,837 -4,616
348 -338
148
-
-694
5
-162 -98
-1,175 -1,170
-800
900
-427
1,194
-1,175 572
-2,701 -1,318
213
5,713
148
4,319
-3,679 -3,263
53 55
-543 -80
-595 -
21 23
-2,073 -2,723
-1,317 798
-5,499 -5,190
16 18
-852 -197
-82 -223
5,899
-5,333
-
4,578
-3,406
-
191 -292
248 32
87 510
-13 22
56 4
344 -335
7,432 7,767
7,776 7,432
Automotive
(unaudited supplementary information)
2013 2012 1
4,991 2,607
2,762
95
1,145
150
3,564 3,762
577 869
29 5
-
-707 27
-79 116
4
-164 -98
-1,685 -1,163
886
981
-364
1,153
-146 999
-2,453 -1,199
234 136
7,077 8,149
-3,565 -3,183
50 59
-1,201
-249 -
21 23
-1,866 -2,620
1,085
-5,725
-577
757
-5,541
16 18
-852 -197
-244 -212
-
-52
-633 2,703
316 -2,117
299 -1519
-1,098 -1,376
-10 22
-
244
5,585
5,829
1,254
4,331
5,585
Financial Services
(unaudited supplementary information)
2013 2012 1
737 768
86 277
10 3 2 3
20 22
-156
-1,311
-2,837
804
-9
-49
348
-4,616
440
-648
1 1
-
-2 1
101
-16
-171
-43
47
435 -176
-147
3 3
-2,308 -3,773
-25 -10
6 1
-
104 -
-
-113 -103
232 41
204 -71
-
-
3 3
653 2,361
-925
-610
-364
204
3,229 68
-
2,347 2,269
-6 -1
54 -
291 -1,576
1,227 2,803
1,518 1,227
1
2
3
Adjusted for reclassification described in note 43 to the Group Financial Statements.
Adjusted for effect of change in accounting policy for leased products as described in note 8
Interest relating to financial services business is classified as revenues / cost of sales.
in € million
Net profit
Reconciliation between net profit and cash inflow/outflow from operating activities
Current tax
Other interest and similar income/expenses
Depreciation and amortization of other tangible, intangible and investment assets
Change in provisions
Change in leased products
Change in receivables from sales financing
Change in deferred taxes
Other non-cash income and expense items
Gain/loss of tangible and intangible assets and marketable securities
Result from equity accounted investments
Changes in working capital
Change in inventories
Change in trade receivables
Change in trade payables
Change in other operating assets and liabilities
Income taxes paid
Interest received
Cash inflow/outflow from operating activities
Investment in intangible assets and property, plant and equipment
Proceeds from the disposal of intangible assets and property, plant and equipment
Expenditure for investments
Net cash in acquiring ICL Group
Proceeds from the disposal of investments
Cash payments for the purchase of marketable securities
Cash proceeds from the sale of marketable securities
Cash inflow/outflow from investing activities
Payments into equity
Payment of dividend for the previous year
Interest paid
Proceeds from the issue of bonds
Repayment of bonds
Internal financing
Change in other financial liabilities
Change in commercial paper
Cash inflow/outflow from financing activities
Effect of exchange rate on cash and cash equivalents
Effect of changes in composition of Group on cash and cash equivalents
Change in cash and cash equivalents
Cash and cash equivalents as at 1 January
Cash and cash equivalents as at 31 December
17

18
We have audited the consolidated financial statements prepared by Bayerische
Motoren Werke Aktiengesellschaft, comprising the income statement and statement of comprehensive income for group, the balance sheet, cash flow statement, group statement of changes in equity and the notes to the group financial statements and its report on the position of the Company and the
Group for the business year from 1 January to 31 December 2013. The preparation of the consolidated financial statements and Group Report in accordance with IFRSs, and the additional requirements of the German commercial law pursuant, are the responsibility of the parent company’s management. Our responsibility is to express opinion on the consolidated financial statements and on the Management Report based on our full audit.
We conducted our audit of the consolidated financial statements in accordance with § 317 HGB and German generally accepted standards for the audit of financial statements promulgated by the Institut der Wirtschaftsprüfer or the
Institute of Public Auditors in Germany (IDW). Those standards require that we plan and perform the audit such that misstatements materially affecting the presentation of the net assets, financial position and results of operations in the consolidated financial statements in accordance with the applicable financial reporting framework and in the Group Management Report are detected with reasonable assurance. Knowledge of the business activities and the economic and legal environment of the Group and expectations as to possible misstatements are taken into account in the determination of audit procedures. The effectiveness of the accounting-related internal control system and the evidence supporting the disclosures in the consolidated financial statements and in the Group
Management Report are examined primarily on a test basis within the framework of the audit. The audit also includes assessing the annual financial statements of entities included in consolidation, the determination of entities to be included in consolidation, the accounting and consolidation principles used and estimates made by the management, as well as evaluating the overall presentation of the consolidated financial statements and Group Management Report. We believe that our audit provides a reasonable basis for our opinion.
Our audit has not led to any reservations.
In our opinion, based on the findings of our audit, the consolidated financial statements comply with IFRSs, as adopted by the EU, the additional requirements of German commercial law pursuant to § 315 a (1) HGB and give a true and fair view of the net assets, financial position and results of operations of the
Group in accordance with these requirements. The Group Management Report is consistent with the consolidated financial statements and as a whole provides a suitable view of the Group’s position and suitably presents the opportunities and risks of future development.
Munich, 22 February 2013
KPMG AG
Wirtschaftsprüfungsgesellschaft
Prof. Dr. Schindler Wirtschaftsprüfer
Huber-Straßer Wirtschaftsprüferinv
19

20
Statement pursuant to § 37y No.1 of the Securities Trading Act
(WpHG) in conjunction with § 297 (2) sentence 3 and § 315 (1) sentence 6 of the German Commercial Code (HGB)
“To the best of our knowledge, and in accordance with the applicable reporting principles, the Consolidated Financial Statements give a true and fair view of the assets, liabilities, financial position and profit of the Group, and the Group Management Report includes a fair review of the development and performance of the business and the position of the Group, together with a description of the principal opportunities and risks associated with the expected development of the Group.”
Munich, 16 February 2013
Bayerische Motoren Werke
Aktiengesellschaft
The Board of Management
Dr.-Ing. Dr.-Ing. E. h.
Norbert Reithofer
Frank-Peter Arndt
Dr.-Ing. Klaus Draeger
Harald Krüger
Dr.-Ing. Herbert Diess
Dr. Friedrich Eichiner
Dr. Ian Robertson (HonDSc)
21

85
80
75
70
105
100
95
90
YEAR
C0
2
96 98 99 00 01 02 03 04 05 06
*Measured only on EU-27 basis with effect from 2009
22
The BMW Group’s sustainability strategy applies worldwide and in all areas of the enterprise. The Sustainability Board, which all members of the Board of Management belong, determines the BMW Group’s long-term sustainability strategy and monitors the progress made.
07 08 09* 10 11 12 13
Group’s Balanced Scorecard. Each project
90.0 88.6 80.0 73.3 71.4 70.0 69.0 and sociopolitical impact. Sustainability management involves the continuous and systematic analysis of external conditions as well as the consideration of social and ecological aspects in the decision-making process. We also participate in an intensive dialogue with our stakeholders. Stakeholder dialogues held in New York and Leipzig in
2013 provided useful inputs to enable us to assess external conditions.
23

24
16.17
14.84
in kg/vehicle
10.63
10.09
7.99
2009
2010
2011
2012
2013
in MWH/vehicle
2009
2010
2011
2012
2013 2.46
2.78
2.80
2.89
2.75
2.36
in kg/vehicle in m 3 /vehicle
1.96
1.77
1.60
1.65
2009
2010
2011
2012
2013
2009
2010
2011
2012
2013 2.12
2.31
2.61
2.56
2.56
25

26
Dr.-Ing. Dr.-Ing.E.h. Norbert Reithofer (born 1956)
Chairman
Mandates
Henkel AG & Co. KGaA (since 11. 04. 2011)
Frank-Peter Arndt (born 1956)
Production
Mandates
BMW Motoren GmbH (Chairman) TÜV Süd AG
BMW (South Africa) (Pty) Ltd. (Chairman) Leipziger Messe GmbH
Dr.-Ing. Herbert Diess (born 1958)
Purchasing and Supplier Network
Dr.-Ing. Klaus Draeger (born 1956)
Development
Dr. Friedrich Eichiner (born 1955)
Finance
Mandates
Allianz Deutschland AG
BMW Brilliance Automotive Ltd. (Deputy Chairman)
Dr. Ian Robertson (HonDSc) (born 1958)
Sales and Marketing
Mandates
Rolls-Royce Motor Cars Limited (Chairman)
General Counsel:
Dr. Dieter Löchelt
Harald Krüger (born 1965)
Human Resources, Industrial Relations Director
Annual Accounts Press Conference
Analyst and Investor Conference
Quarterly Report to 31 March 2013
Annual General Meeting
Quarterly Report to 30 June 2013
Quarterly Report to 30 September 2013
Annual Report 2013
Annual Accounts Press Conference
Analyst and Investor Conference
Quarterly Report to 31 March 2014
Annual General Meeting
Quarterly Report to 30 June 2014
Quarterly Report to 30 September 2014
13 March 2013
14 March 2013
3 May 2013
16 May 2013
1 August 2013
6 November 2013
19 March 2014
19 March 2014
20 March 2014
2 May 2014
14 May 2014
1 August 2014
5 November 2014
27

28
Always in motion.
We never stand still, because there is always something we can improve on.
There is always another idea waiting to be realized. More customers for our products to inspire. A future to be shaped.
That is what premium mobility means to us.
We move people.
Passion. Precision. Dedication. Design excellence. Innovation.
All of these and more go into every product we offer without fail. That simply explains why our vehicles never cease to inspire and satisfy. Last year, no fewer than 1.8 million people chose to buy a product from one of our four brands, which is more than ever before in the history of the company.
That means: 1.8 million moving moments. For us, for our associates and dealers, but most of all for the people who share our joy of driving.
29

30
PUBLISHED BY
Bayerische Motoren Werke
Aktiengesellschaft
80788 Munich
Germany
Tel. +49 89 382-0