Chairman's Letter

Dear Stakeholders,

Last year we set ourselves ambitious targets and achieved them more quickly than forecast in our industrial plan. And we did it despite the intervening difficulties of the world economy, Europe’s in particular, thanks to our ability to confront a world that is ever more global and in continuous change. A change which can also be a great opportunity, if one is able to broaden horizons following the evolution of the macro-economic scenario.

In 2011 we strengthened our presence in Romania and China, continued with the completion of our technology hub at Settimo Torinese, lay the foundations for our productive presence in a promising market like Russia and began the construction of a new factory in Mexico, an ideal bridge to the entire Nafta area. In 2012, there will be further geographic diversification as we take important steps in Indonesia.

We did many things in 2011, as can be seen from the positive economic data and the 2012-2014 industrial plan with vision to 2015. There are still many things to improve and goals to reach, confronting ever more interconnected economies and meeting new challenges every day. Like that of Formula 1 which meant not only a great return at the image level, but also additional know-how to transfer to our road products. It is an experience which will continue this year and also in 2013 and which will see us, as always, as protagonists in the development of new technologies and innovative ideas.

In this way we also won the challenge of sustainability, giving life to production processes that are always more attentive to the environment and to the safety of our products and people, from employees to consumers. The commitment to improving our attention to sustainable growth is constant, as with corporate governance which sees the Board of Directors in a central role in the definition of strategic guidelines, the monitoring of management and the government of risk.

The value of our brand, which in 2011 reached almost 2.3 billion euro, reflects the passion and skill of our people, the strength of our technology, the capacity to communicate our values. And our determination to grow even more, also thanks to the trust of our stakeholders.



—Marco Tronchetti Provera,

Chairman and CEO