GM Middle East Continues Record Performance

September is 23^rd consecutive record month of sales for the region
2005 performance to date shows 35% growth over same period 2004

Kuwait City, Kuwait – 12 October 2005 - General Motors (GM) Middle East continued its exceptional sales growth through the third quarter (Q3) of 2005, with sales of 30,702 units for the three month period, an increase of 33% over figures recorded in the same period in 2004. September was GM’s 23^rd consecutive record month of sales in the region and brings total Middle East sales till the end of Q3 to 83,073, a 35% growth over the equivalent nine months in 2004.

GM’s robust performance in the third quarter of 2005 was led by strong growth across almost all markets. Volume markets Saudi Arabia and Kuwait continued their domination of regional sales figures, seeing increases of 79% and 68% respectively over the same period in 2004. Oman and Qatar recorded an outstanding 137% increase in sales over 2004 figures, while the United Arab Emirates tracked an 86% sales increase and the Levant 84%.

Speaking to a group of Kuwaiti journalists at the quarterly state of the business press review today, Terry Johnsson, Managing Director of GM Middle East said: “Our continued success is driven not only by the expansion of our largest markets, but the growing recognition and acceptance of our brands - particularly Chevrolet and Cadillac. The growth witnessed this year is proof that we are tracking well to realising our goal of becoming the region’s market leader.”

Year to Date (YTD) Performance

GM’s 35% YTD sales growth across the region has been buoyed by the ongoing success of the Chevrolet and GMC brands, which recorded 32% and 73% sales growth respectively over figures recorded during the same period of last year.

The Chevrolet Caprice and GMC Suburban continue to hold their titles as 2005 top selling models into the third quarter, increasing in volume by 33% and 59% respectively over sales from January to September 2004. The Caprice and Suburban have long enjoyed a close relationship with the people of the region and the latest sales figures show that this popularity is stronger than ever.

Chevrolet has tapped lucrative new market segments since the introduction of its small models – the Aveo, Optra and Epica. Chevrolet’s extended SUV model, the seven-seater TrailBlazer EXT, has also enjoyed massive uptake since its arrival late last year and is now ranked in GM Middle East’s top ten selling vehicles.

GM’s iconic premium brands have also witnessed positive sales growth in the first three quarters of the year, with Cadillac and HUMMER sales up 29%. The new Cadillac line-up is attracting an entirely new generation of customers and the launch of the latest HUMMER, the H3, is expected to drive volume growth for the brand.

GM in Saudi Arabia
Saudi Arabia, GM’s volume market, recorded a 79% rise in sales in the third quarter of 2005, and an outstanding 74% overall market growth in 2005 YTD. This success has been driven by the outstanding performance of GM’s Saudi Arabian dealers, who have worked tirelessly to extend the reach of their brands across the Kingdom. Chevrolet and GMC sales have been particularly positive, increasing by a massive 105% and 80% respectively over figures recorded in the previous year.

“Our ongoing success in Saudi Arabia highlights the leading position that GM brands have historically occupied in the hearts and minds of the Saudi community,” said Johnsson. “The performance of the iconic Chevrolet Caprice and GMC Suburban, which are GM’s top selling models not only in Saudi but across the region, demonstrate the importance of the Saudi market to us as a business.”

The performance of Chevrolet’s line of small vehicles – the Aveo, Optra and Epica – which each occupied a places in GM’s list of top ten selling vehicles in KSA, demonstrates the growing strength of a new generation of customers who are finding an answer to their automotive needs in a GM vehicle.

CONTACT(S):
Saada Hammad
Communications and Public Relations Manager
General Motors Middle East
Tel (+9714) 3143350
e-mail saada.hammad@gm.com

About GM
General Motors, the world’s largest vehicle manufacturer, was founded in 1908 and has been the global automotive sales leader since 1931. GM today employs about 324,000 people around the world. It has manufacturing operations in 32 countries and its vehicles are sold in 200 countries. In 2004, GM sold nearly 9 million cars and trucks globally, up 4 percent from the previous year, and the second-highest total in the company’s history. GM’s global headquarters are in Detroit.

GM has been operating in the Middle East since the 1920s. GM’s vehicle brands sold in the region are Cadillac, Chevrolet, GMC, HUMMER, Opel and Saab supported by a unique set of customer-focused services. GM parts and accessories are sold under the GM Parts and ACDelco brands. The regional office in Dubai covers the company’s operations in Bahrain, Iraq, Jordan, Kuwait, Lebanon, Oman, Qatar, Saudi Arabia, Syria, UAE and Yemen.

In 2004, GM sold around 89,000 vehicles in the Middle East, representing a 55 percent increase over figures recorded in 2003, and the company continues to introduce pioneering programs in the region. More information on GM and its products can be found on the company’s consumer websites www.gm.com and www.gmarabia.com.