Press Release

BMW Announces Introduction of On-Board Navigation System

10/16/96

BMW Debuts Advanced On-Board Navigation System

WOODCLIFF LAKE, N.J., Oct. 14 -- BMW of North America,
Inc. is introducing in the U.S. an advanced car navigation system as
the centerpiece of a fully integrated, factory installed
communications package available on the 1997 5 and 7 Series
automobiles. BMW is the first manufacturer to offer a fully integrated
system in which a high resolution active matrix liquid crystal monitor
serves as a multi-information display that includes controls for the
navigation system, cellular phone, audio system, on-board computer,
security system and automatic ventilation system.

The new BMW On-Board Navigation System is the latest in automotive
innovation and the result of years of technical development spanning
the field of automotive electronics. The comprehensive, computerized
navigation system speaks to the driver and pictorially shows an
accurate route to follow.

A comprehensive navigation database allows for a unique lineup of
intelligent features activated by way of a simple operating system
that puts the driver in control.

With a minimal number of commands, BMW owners will be able to access:

-- An emergency function which automatically calculates the vehicle's
exact location and displays it on the monitor. Using special
assistance commands, the system will place emergency calls to BMW
Roadside Assistance or to "911" in models with a BMW Cellular
Telephone (standard in 750iL, dealer installed accessory in the
740i/iL and the 540i). Vehicle occupants can remain in the vehicle,
safe and secure.

-- Alternate route planning, including a "Least or most use of
highways" selection. A driver encountering slow-moving highway traffic
on the way to an airport, hotel, hospital, library or museum can
request alternate routing to the desired location, with guidance
communicated audibly, pictorially, or as a detailed map of alternate
roads.

-- Continuous route monitoring, which automatically recalculates the
vehicle's route whenever the driver changes course from the directions
suggested on the monitor (such as in the event of a detour), and then
displays a new route to the destination. Miss a highway exit and
quickly a new directional advice appears based on the latest position
and a new planned route.

-- A navigation address book, personal phone directory and maps -- all
accessible from the On-Board Monitor display. This combination makes
the system a highly productive tool for today's drivers, who often
juggle business and personal demands.

-- Useful travel and vehicle information, such as the display of
average fuel economy, remaining miles to "empty", accompanied by a
list of the nearest gas stations (identified by brand) and their
distance from the vehicle. After a few touches of the controls, the
BMW On-Board Navigation System will guide the driver to his or her
preferred gas station. Information such as estimated arrival time,
local weather and a driver-adjustable speed limit warning can also be
obtained.

-- An adjustable graphic equalizer for optimum driver preference is
provided when the optional audio system with Digital Sound Processing
(DSP) is specified (standard on 750iL).

Advanced Digital Navigation Technology

The BMW On-Board Navigation System is based on advanced digital
technologies, assuring reliable and enjoyable operation today and into
the future. Signals from up to six of the 24 NavStar Global
Positioning Satellites (GPS) are received by the BMW's navigation
computer. The computer compares the satellite positioning data with
information such as speed, turning radius and distance traveled
generated from the ABS sensors located in the front wheels, thereby
determining the vehicle's precise location at any time.

Meanwhile, digital maps stored on a CD-ROM disc, are retrieved from a
special CD-ROM player housed in the BMW's trunk and compared to the
vehicle position as indicated by the GPS and dead reckoning sensors.
There are currently nine CDs, covering the 48 contiguous United
States. Appropriate disks will be included for the home region of the
BMW owner and additional disks may be purchased separately. By the end
of 1996 it is planned that more than 30 major metropolitan areas will
be mapped in fine detail. Maps will be continually enhanced, with new
disks becoming available through BMW retailers on a regular basis.

The BMW On-Board Navigation system has been the most successful OEM
system in Europe, with more than 25,000 BMWs ordered with the system
since its introduction two years ago.

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.