Financial information at march 31, 2013

• Market environment was weak in Europe in Passenger car & Light truck tires, disappointing in North America and expanding in the new markets.

• Volume performance reflected:

  • The two fewer business days.

  • The difference in market trends between the mature and the growth regions.

  • The decline in original equipment demand, notably in the Earthmover segment.

• A negative price-mix, due to:

  • The impact of indexation clauses as raw materials costs decline.

  • The carefully managed price repositioning, targeted on certain tire size.

In a market environment that is weak in mature regions and expanding in the new markets, Michelin confirms its objective of stable volumes in 2013, taking advantage of its global footprint.

The decline in raw materials prices should have around a €550 million favorable impact on full-year operating income. If so, this would amply exceed the around €300 million price-mix impact.

As indicated in February, the capital expenditure program, totaling some €2 billion, will support Michelin’s ambitious growth objectives by adding new production capacity in the new markets. It is also designed to improve competitiveness in mature markets and drive technological innovation.

In this environment, Michelin confirms its objectives for 2013, when it expects to report stable operating income before non-recurring items, a more than 10% return on capital employed and positive free cash flow.