General Motors UK Ltd Announces New Private Label Leasing Partnership

LUTON, UNITED KINGDOM – August 5, 2009: General Motors UK Ltd has signed an agreement with ALD Automotive to manage the GM UK Leasing Private Label Leasing operation, including Vauxhall Leasing, Saab Contract Hire and Chevrolet Lease. The agreement is effective from 31 August 2009.

After a partnership of eight years, General Motors UK Ltd and Masterlease have mutually agreed to end their private label leasing relationship and pursue differing strategies for future growth. Masterlease will continue to operate existing vehicle contracts written prior to 28 August.

Maurice Howkins, Fleet Sales Director of General Motors UK Ltd said, “I am delighted to announce that General Motors UK Ltd and ALD Automotive will launch a new partnership to manage GM UK Leasing Private Label Leasing operations. I’d also like to thank Masterlease for its support over the last 8 years.”

“We are committed to offering all business customers and our Retailers a highly competitive ‘one-stop-shop’ package with GM UK Leasing. For Vauxhall, the successful Insignia and the growing popularity of the ecoFLEX models will drive business for Vauxhall Leasing; we can also achieve excellent growth for Saab Contract Hire with the forthcoming new 9-5 and the 9-3 range, including the new EcoPower models; plus of course Chevrolet Lease will benefit with its growing portfolio of products including the new Cruze.”

Backed by Société Générale, one of the largest banks in Europe, the ALD Automotive group manage more than 1 million vehicles across 40 countries worldwide and it is now the second largest vehicle leasing operation in Europe.

Keith Allen, Managing Director at ALD Automotive said, “We are very proud to be the new Private Label Leasing partner for General Motors UK Ltd. This represents a significant growth opportunity for us and we expect GM UK Leasing’s business customers and GM’s Retailers to benefit from our comprehensive range of innovative funding and management products, meeting the needs of both the corporate and consumer markets.”

“ALD has considerable experience in this market from operating a successful Dealer Services division for more than 10 years. Vauxhall, Saab and Chevrolet retailers will, therefore, benefit from well established IT systems and a dedicated support infrastructure. We are totally committed to the success of this new partnership and we are confident we will see significant growth through all three sales channels.”

Peter Tatlock, Managing Director, Masterlease, said “We have had a long term and important private label leasing partnership with General Motors UK Ltd and whilst we hand over the reins to its new partner, we look forward to maintaining an ongoing and valuable relationship with General Motors through the Masterlease brand.”

“Recent macro economic developments have driven both parties to re-examine their priorities and make some strategic decisions about future growth. The business will focus its activities around attracting and serving larger corporate customers where there is greater opportunity to provide a broader portfolio of services and where we can add the greatest value to our customers. Whilst we won’t be exiting the SME market, we expect to trade less here, and as such we couldn’t give General Motors UK Ltd the commitment it required for volume in the sector.”