Financial information at march 31, 2011

• Historically high sales in first-quarter 2011, with volumes gaining 16.5% on the sustained rebound in demand

• MICHELIN brand positions strengthened, thanks to its excellent product plan

• Price-mix improved by 7.7%, primarily reflecting price increases to pass on the sharp, across-the-board run-up in raw materials costs

In first-quarter 2011, the sharp growth in volumes which compares with a prior-year period when demand was still recovering in mature markets, was amplified by early buying ahead of rolling price increases.

Over the full year, Michelin aims to drive volume growth of at least 6.5%. This objective may be raised if end-customer sales volumes remain at current levels over the coming months.

At a time of rising raw materials costs, Michelin is pursuing its firm pricing policy. Together, the price increases announced or implemented to date are expected to offset nearly 80% of the estimated additional full-year costs of around €1,800 million.

Given the impact of these additional costs on working capital requirement and the faster deployment of capital expenditure programs, free cash flow is expected to be temporarily negative in 2011.

Michelin reaffirms its objective of reporting higher operating income in 2011.