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May Sales Performance
1st June 2007

May 07
  May 2007 May 2006 Change %
MOTORCYCLES 167,008 196,120 -15
TOTAL 2 WHEELERS 169,327 199,426 -15
3 WHEELERS 24,110 24,029 0
TOTAL 2 & 3 WHEELERS 193,437 223,455 -13
Exports out of the above 49,203 32,179 53

1. Owing to the 22% fall in the sales of 100cc motorcycles, the motorcycle industry as a whole de-grew by 13.4%.
   
2. On the other hand, the 125cc+ motorcycle segment recorded a relatively healthy growth of 10%.
   
3. These contrasting trends reinforce our strong conviction that the industry will shortly witness an increasingly rapid shift away from underperforming and overpriced 100cc motorcycles to 125cc+ motorcycles offering far greater value in both design and performance.
   
4. Bajaj continued to lead the 125cc+ motorcycle industry with approximately 45% market share in May 2007. It does so largely by virtue of just two products: the Discover DTS-i and the Pulsar DTS-i. This reflects both a strong brand position as well as a favorable cost position.
   
5. With the launch of an all new non-100cc 4-stroke motorcycle in FY08Q2, Bajaj expects to catalyze this impending industry shift, thereby improving both its profitability as well as its market share.

This all new motorcycle platform will be based on the extremely fuel efficient development of Bajaj’s DTS-i technology called DTS-Si, i.e. Digital Twin Spark Swirl Induction, for which an initial capacity of 50,000 motorcycles per month is currently being established at Bajaj Waluj.
 
6. Bajaj 3-wheeler sales continue to be steady while export growth maintained its robust momentum.
   
7. Bajaj has been selected for the EEPC All India Export Awards for its sterling performance in exports in FY07.
   
YTD 2007-08:
   
  April – May 2007 April – May 2006 Change %
MOTORCYCLES 331,312 384,638 -14
TOTAL 2 WHEELERS 335,019 390,390 -14
3 WHEELERS 48,470 45,188 7
TOTAL 2 & 3 WHEELERS 383,489 435,578 -12
Exports out of the above 101,129 63,894 58

Rajiv Bajaj
Managing Director

Date 1/6/2007


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