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Press Release

BMW Announces New Model for Z3 Roadster Line

10/09/96

BMW Adds Second Model To Z3 Roadster Line New Six-Cylinder Z3 2.8
Features Increased Performance And Standard Equipment

WOODCLIFF LAKE, N.J., Oct. 7 -- BMW of North America,
Inc.  announced today that it will add a second model to its
successful Z3 line of two-seat roadsters -- the six-cylinder Z3
2.8. The announcement was made in conjunction with the car's North
American debut at the California Designer of the Year and Rising Star
Awards program. Using the refined 190-horsepower DOHC 2.8 liter engine
which also powers BMW's 3 and 5 Series automobiles, the new Z3 2.8
takes the performance of this open-air sports car to new heights. BMW
further announced that the base price for the Z3 2.8 would be $35,900.

As is the case with BMW's V-12 and V-8 engines, the 2.8-liter six-
cylinder engine in the Z3 features lightweight aluminum engine block
construction, the first such application in a BMW six-cylinder engine
for the U.S. market.

In addition to the more powerful six-cylinder engine of the Z3 2.8,
the running gear has been upgraded to match the performance of the
engine. The rear axle has been modified with the track increased from
56.2 to 58.8 inches. A limited slip differential with 25 percent
locking action is standard along with BMW's All Season Traction, a
sophisticated system for helping the driver maintain control in
slippery conditions. The front disc brakes are vented for increased
resistance to fade under extreme braking conditions and the suspension
is tuned to handle the increased power of the six-cylinder engine.

The Z3 2.8 can be distinguished from its four-cylinder stablemate by a
number of exterior differences. Light alloy road wheels in a
round-spoke 7 x 16-inch design are fitted with 225/50-16 high
performance tires. The rear fenders of the 2.8 are flared out more
muscularly than those of the four- cylinder car, giving this roadster
a very broad rear profile. The front spoiler is newly created for the
six-cylinder car with larger inlets to increase the flow of cooling
air.

The level of standard equipment is also appropriately elevated in the
six- cylinder roadster. The individual seats are upholstered in
genuine leather as are the door panel inserts and an extended leather
interior, which also includes the side panels of the center console,
the door handles, the door capping, the steering wheel rim, the
handbrake boot and the instrument and passenger dash pods is
optional. The 2.8 is also set apart by its standard wood trim on the
center console and a wood and leather gear shift knob.

BMW of North America's head of sales and marketing operations, Victor
H. Doolan noted that "BMW has the most complete range of open-air cars
in this price segment, including our 318i and 328i four-seat
convertibles, and now two choices in roadsters. With the addition of
the Z3 2.8, we believe BMW offers the best performing open-air car in
this category."

BMW entered the North American market in 1975. Since then the company
has grown to include marketing, sales and financial services
organizations in the United States and Canada; a South Carolina
manufacturing operation; a design firm in California; and various
other operations throughout the U.S. and Canada. BMW is represented in
North America through a network of more than 375 automobile and 190
motorcycle retailers in the United States and Canada. BMW (US) Holding
Corp., the brand's North American headquarters, is located in
Woodcliff Lake, New Jersey.

Information about BMW products is available to consumers via the World
Wide Web on the BMW homepage.  The address is: http://www.bmwusa.com.