Faurecia Company Profile

Accelerating Value Creation
Investor day
April 19, 2016
Building Strong Foundations
Yann Delabrière
April 19, 2016
A reminder of November 2013 commitments
Clear strategy boosting profitable growth and cash generation
 Accelerate in Asia  Develop value-added technologies
 Leverage global platforms  Combine growth with cash generation
2016 sales Operating margin

4.5% - 5.0% Net cash flow ROCE
above
Asia >8% around above
21 billion euros
Europe 4.5% – 5.0% 300 million euros 20%
(CAGR ~5%) North America >4.0%
Property of Faurecia - Duplication prohibited
Investor Day – April 19, 2016 3

Successful selective growth strategy
Total sales
 Organic CAGR 5.9% consistently outperforming € billion
market global automotive production (2.9%)
and target of 5%
20.7
 Sustainable growth with cash discipline 18.8
18.0
 Capex and capitalized R&D 17.4
stabilized below 4.8% of total sales
 Strongest growth in Asia with 13.4% CAGR

compared to automotive production at 3.5%
 North America 6.8% CAGR 2012 2013 2014 2015

compared to automotive production at 4.3%

Delivering profitability targets for all regions
Operating margin
 6 months ahead of 2016 target of 4.5% – 5.0% 1200 € million and % of sales
 North America achieved breakthrough and reached 1000
5.1% operating margin in H2 already exceeding 800 4.8% 4.5% - 5.0%
2016 target of >4.0% 600
4.4%
3.6%
 Asia continuously improved operating margin 400
3.0% 3.0%
to achieve 9.4% sales in 2015 despite more 200
challenging environment in China. Margins 0
consistently above 2016 target of 8.0% 2012 2013 2014 2015 H2 2015 2016 target
North America operating margin Asia operating margin

% of total sales % of total sales
9.4%
3.9% 8.9%
2.1% 8.3%
2.0% 1.7% 8.0%
2012 2013 2014 2015 2012 2013 2014 2015

Delivering cash targets
Net cash flow

€ million 303 Around 300
 Delivered 2016 cash target of 300 million euros 216
a year ahead of schedule 144
2012
2013 2014 2015 Target 2016
-559
Net debt
 With early conversion of convertible bond
€ million
in January 2016 and on completion of ongoing sale
process of Automotive Exteriors, net debt almost Dec. 31, 2012 Dec. 31, 2013 Dec. 31, 2014 Dec. 31, 2015
eliminated
963
1,388
1,519
1,807

A performing and resilient company
Net debt / EBITDA ROCE*

2
Above 2016 target of 20%
1,6
22%
1,2
18%
0,8
14%
13%
0,4
0
End 2012 End 2013 End 2014 End 2015 End 2016 2012 2013 2014 2015 2016
* Pre-tax including Goodwill

A global company
Well-balanced A truly global engineering network close to customers

geographically
% product sales 660 engineers 1,350 engineers 1,370 engineers 1,000 engineers 100 engineers
RoW
Asia 5% Auburn Hills Bavans Ausburg Shanghai Seoul

14% Columbus Brières Hagenbach Wuhan
Méru Neuburg
2012 56% Europe Stadhagen
North
25% Yokohama
America
665 engineers
RoW
Pune
4%
Asia
17%
2015 49% Europe

(IFRS5)
North  Industrial and engineering footprint close to customers in all automotive regions
30%
America
 Global processes and project management to ensure consistent delivery for global platforms
 Business development will continue rapidly in Asia

A customer centric company
Product sales by customer

Hyundai Kia
CVE Others
In % of total CVE
Others
4.8 Hyundai Kia 6.5
Daimler 1.7 VW Group 1.9 VW Group
5.3 1.6 Fiat Chrysler 1.8
25.3 5.1 19.8
Fiat Chrysler
6.8 BMW 6.3
BMW 8.0 2012 Daimler 6.9

2015
(IFRS5) 16.7 Ford
8.4 14.2 8.3
PSA
GM GM
10.6 13.2 13.3 13.4
Renault-Nissan Ford PSA Renault-Nissan
 Strategic relationships with all major customers  Member of supplier Council for
 VW FAST supplier for all Businesses  FCA
 Ford ABF partner  Ford
 Renault Nissan Alliance Growth Partner (AGP)  PSA
 Customer centric organization: Key Account management and global Customer Business Units
 Benchmark operational excellence

A technology leader aligned with industry trends
Weight reduction
HMI solutions of up to 100 kg
and smart surfaces representing 10 g/CO2
for connected car
Energy recovery
systems can reduce fuel
consumption by a further
Premium interiors 5-10 g CO2/km
& decoration 72 co-innovation projects
with 11 customers
More than 6,000 engineers Air quality solutions
Advanced comfort in 30 R&D Centers for cars and trucks
and connected seats
Around 500 patents filed per year

Two Faurecia technologies for lightweight solutions win 2016 PACE Award
Adaptive Valve Cover Carving Technology
Allows mufflers to be 30% smaller Allows new design options

and the exhaust system to be up with greater durability

to 20 % lighter and overall quality
11
Refocused business portfolio
Three Business Groups with global leadership positions and strong development potential
Automotive Seating Interior Systems Emissions Control Technology
 Total sales 2015 € 6.2bn  Total sales 2015 € 5.0bn  Total sales 2015 € 7.5bn
 Operating margin H2 2015 5.4%  Operating margin H2 2015 4.4%  Operating Margin H2 2015 5.1%
9.2% VA sales
Market share Market share Market share
14%
12% 17% 14% 27%
Complete seats Frames & mechanisms

 Leader in global platforms with standard frames  Benefiting from consolidation of market  Leader in global platform standardized solutions
 Global leadership and strong profitability  Diverse portfolio of products and technologies  Leader in technologies for fuel economy
of mechanisms business  Most premium interior supplier (lightweight, energy recovery)
 Rapid organic growth (CAGR 6.2%)  Value-creating business  Leader in depollution for cars and trucks

A company with strong foundations embarking on next phase of strategy
 Robust and Resilient business model

 Solid balance sheet
 High Free Cash Flow
 Strong customer portfolio
 Well-balanced geographically
 Strong potential for future value creation

 Experienced and dynamic teams
 Strong technology portfolio sustainable mobility
and life on board
 Global leadership position in each segment
 Financial flexibility

The Profitable Growth Journey
Patrick Koller
April 19, 2016
The Profitable Growth Journey
 2016 - 2018: Strong organic profitable growth commitment
 Expanding Value Spaces
 Robust Balance Sheet management
 Sustainable Mobility and Cockpit of the Future


2016 - 2018
Our key objectives
6% 6% > €500 m €5
of total sales
Total sales 2018 2018 2018

CAGR Operating Net Cash Earnings
2016 - 2018 Margin flow Per Share
400 bps above 7% of value added*

market growth sales
Investor Day – April 19, 2016 16 * Value added sales: Total sales less Monolith sales
Profitable growth drivers
Growth Drivers Profitability Drivers
Customer portfolio Order book profitability
Geographical balance Manufacturing excellence
Product mix/Value Spaces Cost efficiency
Growth 400 bps above 7% Operating Margin

automotive production on VA Sales in 2018

Product mix/Value Spaces Cost efficiency

automotive production in 2018

Global Strategic Partnerships with customers representing 65% of sales in 2015
 VW confirmed as largest customer now at around 20% of sales

 FAST supplier for all three Business Groups will drive strategic dialog and technology
strategy alignment. It will lead to increased innovation and technology content
 Strong growth in Asia
 ABF partner and member of Supplier Council

 Leading supplier of Interior Systems and Emissions Control Technologies
 Growing customer for Automotive Seating
 Alliance Growth Partner

 Global platform strategy of Renault-Nissan drives profitable growth (8% CAGR)
 Innovation accelerating (sculpted cover, emissions control, interiors)
 Member of Supplier think tank

 Key supplier of after treatment solutions and lightweight technologies

 Reference supplier for interiors and seating

Premium customer portfolio expansion
 Successful experience with German premium brands

for all Business Groups
 High perceived quality – Mercedes-Benz S-Class is the reference
 Complex programs
 Technology
 Expanding premium portfolio with other brands

 Jaguar Land Rover
 Volvo
 Infiniti
 Cadillac
 34 co-innovation projects with premium brands Photo CT6

Premium brands represent >20% of sales

Development priorities
 Accelerate growth with Asian customers through stronger engineering support

 Leverage Emissions Control relationship with Hyundai Kia and strengthen organization
in a new tech center to open in Korea in 2016.
Sales with Hyundai Kia will more than double by 2020
 Increase engineering resources for Japanese customers and two new business development offices
 Emissions Control Technologies won first orders from Honda
 Technology and business partnerships

 Growth driven by Jeep global platforms
 Expanding HMI expertise through Alfa Romeo interiors
 Cummins partnership accelerating growth in Commercial Vehicles

 Rapid growth driven by increased regulation and strong technology offer
Sales with these customers will grow at 15% CAGR

Accelerating in China through expansion with fast growing Chinese OEMs
 Target 5 billion euros of Total Sales in China by 2020

 Automotive production to grow by an additional 1 million vehicles per year
Total Sales in China
€ billion
 20% Sales with Chinese customers by 2018 - 2 years ahead of plan
 Target 30% sales with Chinese OEMs by 2020
5.0
4.0
 Partnership model as demonstrated by partnerships with Chang’An
and Dongfeng strengthen our growth prospects 2.5
 These two consolidated joint ventures will represent €2.5 billion of sales
2016 2018 2020
by 2020
 Implementation of regulation providing major opportunities

in Commercial Vehicle (CVE) segment
 CVE sales in China to show over 40% CAGR
Operational model transformation in progress sustaining long term profitability at >8% in Asia

Value Spaces and innovation accelerating growth
Product sales Value Spaces

 A number of our existing product lines have strong growth and margins € bn
200 – 400 bps above Faurecia average. We call them Value Spaces 3
 Exist in all Business Groups and have high technology content 2
 Will show close to 15% CAGR

2016 2018
Commercial Vehicles Mechanisms & Mecatronics Connected HMI & Smart Surfaces Lightweight materials,
SCR Systems
Energy recovery Comfort and Trim Systems Acoustic performance Composites

Faurecia will outperform market by 400 bps between 2016 and 2018
25 000
Targeted
20 000
 Growth objectives secured 15 000
Awarded 95% of 2018
sales already
 Record order intake in 2015 of €21 billion 10 000
Current
secured
 Current order book €54 billion 5 000
0
2016 2017 2018 2019
 15% growth per year

Order intake
 with new customers Total sales in € bn
 in China
21
 in Value Spaces 18
14
2013 2014 2015
24
Product mix/value spaces Cost efficiency

automotive production on VA Sales in 2018

Secured profitability from order intake to launch of production
 New programs entering into production will represent €5.7 Higher profitability of new programs
bn of "new" sales (€2.1 bn of net additional sales) entering production
€ bn
 These programs secure 7% margin on VA Sales
commitment for 2018
1.7
7.4
 Specific drivers for margin improvement
 Selective commercial strategy since 2013 5.1
 Higher innovation content and value spaces accelerating 1.5

2016 2017 2018
 Strong program management and launch execution
End of Production Sales Start of Production Sales
 Geographical mix

Three stages of operational performance breakthroughs
Step Digitalization
3 Major savings ahead
Step Standardization & Massification

2 Well underway
Step Benchmark LCC manufacturing footprint

1 Major restructuring completed
2010 2015 2020

Step Industrial footprint
1 The European benchmark
Evolution of Direct Labor Headcount
31%
31% 43%
38%
44% 2010 66% 2015 2019
12% 7%
19% 19%
HCC Permanent Contracts HCC Non Permanent Contracts LCC Permanent Contracts LCC Non Permanent Contracts
 LCC represented 44% of Direct Labor head count in 2010, and 57% in 2015 and will be up to 62% by 2019
Resilience of the organization is strong – Non-permanent heacount represented 28% of HCC headcount in 2015

Step Massification
2 The European benchmark
Evolution of sales
by techno plant in Europe (€m) 2010 2015 2019 Increase
Automotive Seating 76.8 110.1 150.7 +96%
Emissions Control Technologies 54.3 83.3 112.0 +106%
Interior Systems 52.9 64.2 69.8 +32%
TOTAL 61.7 79.4 97.1 +57%
Sales by Techno Plant will increase 57 % in 2019 versus 2010


Step Digital productivity
3 A significant opportunity already engaged
 Material Consumption - savings potential €80 m

 Simulation of processes optimizing design, validation and launch costs
 Reduction of process variability through manufacturing intelligence
 Industrial added value – savings potential €80 m

 Improved labor efficiency through automation and digital management control
 Organizational optimization linked to process control, predictive maintenance and digital communication tools
 Capex reduction of up to 20%

 Improved asset management through predictive maintenance and internet of objects

Cost efficiency
 Engineering efficiency through reduction of hourly rates and number of hours

per standard development module
 Objective: 30% hourly rate reduction
 Objective: 15 - 20% reduction of work content linked to more simulation,

standard development modules and digital efficiency
 Functions and SG&A at lean benchmark level
 Objective: targeted cost reduction (versus 2015) up to €100 m
 Objective: increase Shared Services efficiency (actual costs above €200 m)


Expanding Value Spaces
Hervé Guyot
April 19, 2016
Expanding Value Spaces
Megatrends Customer centric Core Balance sheet

alignment company Competencies robustness
Value spaces
High growth potential driven by technology and market demand
Profitability 200 – 400 bps above Faurecia average
Adjacent to core business and supported by them
Ambition
Expand Value Spaces to reach above 30% of Total Sales
Faurecia to become leader in Sustainable Mobility & Cockpit of the Future

Customer partnerships and core competencies will enhance Value Spaces
Competences
Automotive Value Spaces
megatrends
Core competencies
Environmental Systems architecture and integration
Protection Design and Perceived Quality
Comfort & Trim Systems
Safety
Connectedness Acoustics
Value
Thermal management
Emissions control Spaces
HMI technologies
Autonomous Mechatronics
driving Global Platforms
34
Customer centric
Customers

Automotive market megatrends
Environmental Protection Connectedness Autonomous driving
 Tighter regulations  HMI with optimized ergonomics  Progressive equipment

and perceived quality in the car market (safety,
 Measurements in real
infrastructures, cost)
driving conditions  Connectedness between driver
and OEM  Important implication on interiors
 More lightweight
(including seats)
 Connectedness via smartphones
and applications
Production of hybrid vehicles Additional HMI market growth Production of semi or fully
in 2025 until 2025 autonomous vehicles in 2035
27 million + €13 bn 20-35% of market

Comfort and safety remain at the heart of automakers preoccupations

Automotive technology trends
Environmental Protection Connectedness Autonomous driving

CO2 reduction
 Human Machine Interface
 Lightweight Step 1 Driver assistance (today)
revolution
 Powertrain efficiency
ICE  Advanced communication
 Step 2 Urban traffic (2018-2025)
and information for driver
 Hybrid vehicles and passenger
 Electric vehicles Step 3 Long distance regulation
 Infotainment / Navigation and trip (2020-2030)
 Fuel cell
access to external applications Step 4 Full autonomous
 Energy recovery
(post 2020-2030)
Emissions
 NOx and particulates
 Light vehicles and trucks
Cockpit of the future

Faurecia technology for Environmental Protection
Pursue our leadership in fuel economy and emissions reduction technologies
Lightweight solutions for reduced CO2 emissions Emissions reduction (NOx, CO, HC, particulates)
 Lightweight materials (composites, bio-materials)

 SCR solutions leadership with close coupled devices
 Development of low cost carbon fiber  Trucks and off-road equipment
 Systems design and architecture
 Innovative processes Energy recovery for fuel economy

 Heat to heat
 Heat to electricity
Faurecia offer reduces 100 kg or 10 g of CO2/km

Connectedness and Autonomous driving
will radically impact cockpit of the future
Become leader in cockpit of the future through strong focus on HMI, comfort and safety
 Interior electronics embedded

in cockpit
 New materials and smart surfaces:
black panels, active decoration
 Integrated smartphones and tablets
 Infotainment solutions and access
to external applications
 Sensors and data collection for health
and well being
 Modular interiors adaptable to driving conditions
 Advanced comfort solutions

Value Spaces market growth potential represents €50 bn by 2025
Environmental Protection Cockpit of the future +€8B

Value Spaces market growth estimate by 2025*
Mechanisms
Lightweight materials
and mechatronics
+ €2 bn
+ €5 bn
Connected HMI
technologies
Composites + €13 bn
+ €3 bn
Comfort and Trim
systems
Commercial vehicles, + €14 bn
off-road & high horsepower Smart surfaces
emissions controls and decoration
+ €9 bn + €2 bn
Health
monitoring
Energy recovery
+ €1 bn
+ €1 bn
Investor Day – April 19, 2016 39 *Source Oliver Wyman, Faurecia

Technology Value Space Expansion
Enhance our technology and expertise Enlarge

Strategic
Electronics, sensors, big data, actuators, innovation
opportunities
intelligent surfaces, carbon fiber, materials.. ecosystem

Enhanced innovation ecosystem
Scouting network Faurecia Ventures Partnerships
 Dedicated investment  Academic research

vehicle & resources establishments
and laboratories
Toronto Munich
Paris  Driven by acquiring new
Tel Aviv Shanghai expertise and technologies  Industrial Partnerships
Silicon
Valley
 Minority stakes  FORCE to accelerate
development of low cost
 Initially €50 million carbon-fibre
investment
 Faurecia teams with internal or external scouts


Conclusion
 Faurecia strategy in place to accelerate technology and value creation
 Value Spaces selected and aligned with major auto trends
 Strengthen our Value Spaces with new technologies and competencies
 Combination of enhancing internal expertise and strategic opportunities
 Consolidation opportunities with strong customer support, focused on Asia

and emerging markets

Robust Balance Sheet Management
Michel Favre
April 19, 2016
2016 - 2018
Our key objectives
6% 6% > €500 m €5
of total sales
Total sales 2018 2018 2018


market growth sales
Robust cash generation
2018 Target: Generate sustainable net cash flow above €500 m
 EBITDA enhancement to around 12% of VA sales (or 10% on total sales)

 Operating margin increase
 Higher D&A
 Tight WCR control
 Continuous inventory optimization (Faurecia 4.0), reverse factoring
 Capex + Capitalized R&D
 Maintained below 5% of sales
 Lower financial expenses
 Low interest rate secured
€50 m over 2017-2018
 Lower net debt level
 Cash tax rate around 25%
Net cash flow above €500 m in 2018

Drivers for solid EPS growth
2018 Target: To reach €5 or +67% versus 2015
2018 Comment
Operating margin enhancement :

Operating income
Reach around 7% of VA sales (or 6% on total sales)
Restructuring expenses Continuous optimization: Around €50 m per year
Net financial expenses €50 m savings over 2017-2018 to around €100 m
Tax rate to fall below 30% thanks to recovery of tax losses

Income tax
carry forward in France & South America
To remain almost stable at around €-65 m

Minority interest & associates
through some buy-out in China
EPS 2018: €5

Robust balance sheet allowing flexibility & resilience
 Financing plan achieved at very competitive cost

 Two recent, 7-year bonds issued at 3.125% and 3.625% interest rate
 2 very expensive bonds redeemed (around €750 m)
 Syndicated facility being renegotiated to get better conditions and 5 years maturity
 Strong ratios restored: Net Debt / EBITDA was 0.6x at end 2015
 Bolt-on/acquisitions value creation objectives

 EPS & EBITDA short term accretive
 Net Debt / EBITDA to stay around 1.0x
Strong financial discipline

ROCE*: To further improve
2018 Target: Above 28%
>28%
22%
Asset turn:
18%
to remain very high above 5.0x
14%
13%
2012 2013 2014 2015 2016 2017 2018
2018 ROCE*: > 28%
Investor Day – April 19, 2016 48 * Pre-tax and including goodwill

Upgrade Faurecia perception
Rating roadmap
2013 Today 2018
Faurecia has the scale

Scale    in its 3 businesses
Competition position   Platform/Value Spaces development
Around 7.0% (on VA sales) target

Robust profitability   (or 6% on total sales)
>€500 m target and
Free cash flow through the cycle   positive free cash flow in down cycle
Formalized/high financing flexibility
Financial policy   Net debt / EBITDA: Around 1.0x
Low level of debts / huge savings

Financial ratios (1)   on financial expenses
Debt rating B1/B+ Ba2/BB
Investor Day – April 19, 2016 49 (1) Debt /Ebitda; Ebita/interest expense; Net debt/net capitalization
Focus on profitable growth, value creation and a robust balance sheet
 Solid growth through strong outperformance (400bp)
 Value creation
 Profitability enhancement mostly driven by internal factors (over 150bp gain between 2015 and 2018)
 Sustainable net cash flow generation (above €500 m in 2018)
 EPS growth of 67% between 2015 and 2018 (from €3 to €5)
 Robust balance sheet

 Strong financial discipline
 Inexpensive financing
 Strong ratios: net debt/EBITDA to stay around 1.0x; ROCE to gain over 600bp

Emissions Control Technologies
Christophe Schmitt - Mathias Miedreich

April 19, 2016
Strong sales growth driven by technology and regulation
>7% CAGR
Value through stringent regulations

2015 (passenger cars) 2025
Total sales Forward to an emissionized world Total sales

(trucks and high horsepower)
€7.4 bn ~€15 bn
Technology leadership
Market leadership reinforced


The world is getting emissionized
Emissions Control Market* Value

€ billion
66 2015-2025 Key Growth Drivers

1
On Road regulations
(light and commercial)
25 +16 bn
2
Powertrain technology
evolutions (ICE, Hybrid)
41 41
3 Expansion of Off-Road
& High Horsepower +9 bn
(HHP) legislation
2015 2025
Increase in market value coming from new regulations, new systems and new markets
Investor Day – April 19, 2016 53 * Includes substrates and PGMs. Excludes urea tanks, HPEGR, sensors
1
Passenger car: regulations (CAFE, RDE) drive the need for more efficient
and cleaner vehicles
200
US
180 180 By 2025 will need to go from
CHN
Average CO2
160 160
EUR
average 6L/100km to 3.3L/100 km
140
CO2 emissions 120
130 125
Fuel efficent vehicles
emissions reduction: 100
115
95 Target
through Lightweight
95 90? Target
(g/km) CAFE 80
75? Target (10 kg represents 1g CO2/km)
60
2015 2020 2025 Time (year) Energy Recovery
-40%
Europe
Homologation cycle Real-driving emissions
Introduction of RDE from 2017
Average Pollutants 4.5x 2.1x 1.5x
will drive a need for a 70%
NOx (NOx) reduction in emissions
emissions emissions compared with 2015
Diesel reduction: 0.08
0.36*
0.08 0.08
(g/km) RDE
0.17 0.12 Cleaner passenger cars through
2015 2017 2020 Advanced after-treatment solutions

-70%
Investor Day – April 19, 2016 * ICCT Study 54

1
On-road commercial vehicles: India and China regulation
converging with mature markets, driving market value up
NOx Emissions Limits (g/kWh) Emissions Control Market Value (€ bn)

On-road commercial vehicles
6 17.0
13.0
11.0
5
Europe 2015 2020 2025

3
China China
2 India On-road commercial vehicles (€ bn)
Brazil
5.8
1
2.8
-
2010 2015 2020 2025 1.0
2015 2020 2025


€ billion

1
On Road regulations
25 +16 bn
2
41 41
(HHP) legislation
2015 2025
2
Powertrain technology evolutions will drive the need
for more sophisticated exhaust systems on ICE engines
World light vehicle production

TREND #1:
(Million vehicles/year) by powertrain technology
Internal combustion engine (ICE)
remains in >90% of cars by 2030
120
Non ICE EV/Fuel Cell
100 More sophisticated exhaust
lines to meet regulations
80 Hybrid
60
CNG/LPG
ICE
TREND #2:
40
Hybrids grow from 3% of market
Diesel to >45% in 2030
20
- Gasoline
Hybrid vehicles need Energy
2015 2020 2025 2030 Recovery systems

2
Strong increase in the value of the exhaust line driven
by more sophisticated after-treatment systems
GASOLINE DIESEL HYBRID
+130% +60% +210%
Value
280 370
(€ per vehicle) 580
120 360 120
Euro 5 Euro 6d Euro 5 Euro 6d Euro 5 Euro 6d
(2020) (2020) (2020)
Catalyst Catalyst NOx trap Catalyst

Catalyst Catalyst
+ + + +
Particulate Particulate SCR Filter Particulate
filter filter + filter
+ +
SCR
Architecture Low Low
+
pressure pressure
EGR Low EGR
pressure +
EGR
Energy
recovery


€ billion

1
On Road regulations
25 +16 bn
2
41 41
(HHP) legislation
2015 2025
Legislation for Off-road and High Horse Power is expanding creating new demand
3
and new business models for advanced exhaust systems
Increasing number of regulated Increase in value of Off-road

Off-road and HHP engines and HHP market*
(% of engines) (€ billion)
5.7
27% 33%
3.3
75%
73% 67% 1.2
25% 0.4
2015 2020 2025 2015 2020 2025 2030

Not Emissionized Emissionized After-market First-fit
2015-2025 Market Growth Drivers

1
On Road regulations
(light and commercial) Implications for exhaust systems providers:
2
+16 bn  More sophistication
evolutions  More innovation
(ICE, Hybrid)
3  New business models

Expansion of Off-Road
& High Horsepower (HHP) +9 bn
legislation
Faurecia’s key enabler to capture growth

=
TECHNOLOGY
Faurecia Value Spaces for fuel economy and air quality
LIGHTWEIGHT TECHNOLOGIES ENERGY MANAGEMENT

-20 KG
Fuel
Economy
Exhaust Heat Exhaust Heat

Acoustic Valve Resonance free pipe Recovery System Power Generation
Brazing process
POLLUTANT MANAGEMENT FOR COMMERCIAL VEHICLES , OFF- HIGHWAY AND HIGH HORSE POWER
Air
Quality

Faurecia Lightweight technologies contribute to CO2 reduction
through significant weight reduction
BRAZING & PARTIAL DOUBLE LAYER ACOUSTIC VALVES & RESONANCE FREE PIPE
Evolutionary Revolutionary
material system
thickness redesign
reduction Adaptive Valve Electric Actuated Valve using active
components
Resonance Free Pipe
CUSTOMER BENEFITS MARKET SHARE TARGET
40% mass reduction: 20 kg 30%
Reduced CO2 emissions: 2g/km

Increased fuel economy

Energy Recovery Technologies
CO2 reduction from wasted heat
EXHAUST HEAT RECOVERY SYSTEM (EHRS)
 Recover energy lost through exhaust heat transfer

30% of
energy is
lost in the  Accelerate powertrain and cabin heating
exhaust gas
Compact EHRS
Exhaust Heat Recovery System  Increase electric range (hybrid)
30%
Increased fuel economy (up to 7% on hybrid vehicles)


EHRS makes Hyundai Ioniq more fuel efficient
Faurecia
EHRS
Faurecia EHRS technology Hyundai flagship

used on all hybrid versions green car
SOP
January 2016

Energy Recovery Technologies
Fuel economy from heat transformation
EXHAUST HEAT POWER GENERATION
 Recover energy lost through exhaust gas heat by

30%
30% ofof transforming it into useable power via Rankine Cycle
energy is
energy is
lost
lost in
in the
the
exhaust
exhaust gas
gas  Power used to charge a battery (Hybrid) or boost
EHPG
Exhaust Heat Power Generation
powertrain (Truck)
30%
Increased fuel economy (5%)


SCR Commercial Vehicle
Cleaner power for on-road applications
COMPACT MIXER
 Compact AdBlue® mixing device enabling

breakthrough architectures
 Improved mixing performance to cope

with future powertrain technologies
25%
40% less mass/volume: - 80kg
DeNOx efficiency compliant with future regulations


Technology gives Faurecia leadership position
with over 50% of China’s heavy/medium duty market for CN6
2021 China HD/MD Truck and Bus engine Faurecia Emissions Control Sales
market share China on-road commercial vehicles
2021:
CN6
MARKET SHARE TARGET introduction
Others
6% Customer Awards 35%
21% for CN6 regulation
13% engines
12%
Dongfeng 14%
17% 17%
Global
Partnership
2015 2020 2025

Breakthrough in de-NOx performance through Ammonia Storage Delivery System (ASDS)
ASDS FOR ON-HIGHWAY

 NOx reductant (NH3) stored in a salt within a cartridge allowing
two times more density than Automotive Ad Blue (30% urea)
 Unique de-NOx performance in Real Driving Conditions
 Easy-to-handle, no deposit
 Alternative to AdBlue®
CUSTOMER BENEFITS
Easy maintenance for end-user
Volume saving (-45%)

50% - 80% less NOx than AdBlue in urban driving

Ammonia Storage Delivery System commercial trials
confirm technology performance in urban buses
Fleets Demonstration OEM Program Development Refill Station In Shanghai

ASDS for HD Application By collaboration with environment With leading CV OEMs to meet To feed fleet operation and to exemplify
protection organizations the regulation of CN5 and CN6 process of refill industrialization
NS5 NS4
ASDS
55% lower Faurecia ASDS
Ad-Blue Industry-best solution to effectively treat NOx emissions
for CVE, superior to AdBlue-based solutions
Engine Out in City Driving Conditions.
0 2 4 6 8 10
ASDS for LD Application NOx g/kw.h
Investor Day – April 19, 2016 70 *1000 hours operation, city bus with 6.7L Euro4 engine
New Value Space
Ammonia Storage Delivery System for marine applications
BREAKTHROUGH IN DE-NOX PERFORMANCE

 NOx reductant (NH3) stored in a bulk salt and patent
process to release in large volume of NH3 gas.
 Utilizes higher exhaust temperatures pre-turbo,
Does not require exhaust to be heated, TCO benefit
 On Engine application, no mixing length required,
simplified after treatment
CUSTOMER BENEFITS
Space saving (-45%), versus AdBlue®
Weight saving (-36% versus liquid urea solution)

Reduces impact of Sulfur on SCR function, (eliminates Scrubbers)

Strong sales growth driven by technology and regulation
>7% CAGR
Value through stringent regulations

2015 (passenger cars) 2025
Total sales Forward to an emissionized world Total sales

(trucks and high horsepower)
€7.4 bn ~€15 bn
Technology leadership
Market leadership reinforced


Cockpit of the Future
Strategic Directions for Faurecia
Jean-Michel Renaudie
April 19, 2016
Automotive world is entering an accelerated disruptive sequence
 Autonomous vehicles become reality

 Assisted-drive in the street
 Full autonomy in motion
 New mobility models pop-up

 Car-sharing
 Ride-sharing t
 New mobility players
 Technology is more & more a differentiator

 Connectivity
 Sensors & Big-data
 Powertrain solutions & electrification
 Light-weight
Investor Day – April 19, 2016

Automotive megatrends lead to a complete renewal of the car’s interior
These evolutions will make car

interiors become increasingly:
1. Smart
 Connected
 Intuitive
2. Versatile
 Adaptive
 Transformable
3. Empathetic
 Welcoming
 Responsive
 Proactive
What is HMI (Human-Machine Interface) for Faurecia?
Progressive fusion of display into Interiors parts
HMI BUILDING BLOCKS KEY COMPONENTS

Faurecia Faurecia
current target
DISPLAYS
 Drivers and Center Displays
+  Passenger Displays
 Doors and Seat Displays
Electronics
SURFACE CONTROLS
know-how
 Center Stack
 Film for touch display
 Haptic feedback
COCKPIT DESIGN AND ARCHITECTURE

 Mechanical components
 Decoration
I
 Surfaces

HMI market growth
A major opportunity
Growth of Interior HMI market
Scope of Interior HMI market (2025, € bn)
2015 2025
Doors HMI Driver zone HMI Central zone HMI Passenger zone HMI
(~€7 bn) (~€7 bn) (~€9 bn) (~€4 bn)
€27 bn
+90%
€14 bn
2015 2025
Interior HMI Faurecia targets

(€27 bn) 10% to 20% market share
HMI transformation is already happening
"Real-life" evolution towards electronics and interiors fusion
Electronics and Interiors Separated Split of Electronics Brain and Display Full black panel effect Displays appear Display fully integrated into decoration part
Electronics Brain and display "Multifunctions" displays appear Electronics become seamless-integrated- "Smart Surfaces
in one infotainment box decoration parts
2010 2014 2016 2018+

HMI transformation is already happening
"Real-life" evolution towards electronics and interiors fusion
Market trend Market trend Market trend Market trend
2015 2025 2015 2025 2015 2025 2015 2025
Electronics and Interiors Separated Split of Electronics Brain and Display Full black panel effect Displays appear Display fully integrated into decoration part
Electronics Brain and display "Multifunctions" displays appear Electronics become seamless-integrated- "Smart Surfaces"
in one infotainment box decoration parts
2010 2014 2016 2018+

Cockpit of the Future for autonomous modes
Need for a "new desirable car experience"
Driving modes Driving Assisted Autonomous

Occupations Hands-on Hands-off to Eyes-off Mind-off
Active driving
Driving Assisted driving, Audio
(driving fun)
Productive (individual) Assisted driving with

Office work, phoning…
Mobile home/office phoning, SMS, e-mails…
Relaxing (social) Sleeping, dining, reading, playing,

Relaxing, sightseeing,…
Canopy, train ride sightseeing, video watching…

Faurecia as the lead architect of a new customer experience
Smart-decoration
Transformers

Some Use Cases are already in implementation phase at Faurecia
Use Case 2
Use Case 1
Intuitive connectivity
Deco-display
for Cockpit & HMI 2025
Use Case 3
Use Case 4
Cockpit
Active Wellness
Transformer
Cockpit of the Future: Take-Away
Faurecia as the lead architect of a new customer experience
 Massive on-going transformation of Automotive Interiors with progressive fusion of Electronics and Interiors / Deco parts
2025+
 Faurecia’s strategic positioning is at the center of the transformation through:

 Global Interior leadership (>10M Interiors per year) and our unique proprietary technologies
 Multiple co-operations with mobility players, including other Tier 1s partnerships
 Additional Value Creation through specific venture approach

Accelerating Value Creation
Patrick Koller
April 19, 2016
Our Ambition
Become leader in
Expand Value Spaces Net cash flow objective
Sustainable Mobility &
to reach > 30% of sales > 3% of total sales

Ensuring the means to support our ambition
6% 6% > €500 m €5
of total sales
Total sales 2018 2018 2018


market growth sales
A team and culture to achieve our ambition
An experienced, multi-national and motivated team
A strong culture giving us organizational agility, entrepreneurship and leadership competencies

for our future development

Faurecia Company Profile

Uploaded by

Document Information

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

Faurecia Company Profile

Uploaded by

Copyright:

Available Formats

Accelerating Value Creation

 Accelerate in Asia  Develop value-added technologies

 Leverage global platforms  Combine growth with cash generation

2016 sales Operating margin

Investor Day – April 19, 2016 3

 Strongest growth in Asia with 13.4% CAGR

 North America 6.8% CAGR 2012 2013 2014 2015

Investor Day – April 19, 2016 4

North America operating margin Asia operating margin

2012 2013 2014 2015 2012 2013 2014 2015

Investor Day – April 19, 2016 5

Net cash flow

2013 2014 2015 Target 2016

Investor Day – April 19, 2016 6

Net debt / EBITDA ROCE*

* Pre-tax including Goodwill

Investor Day – April 19, 2016 7

Well-balanced A truly global engineering network close to customers

Asia 5% Auburn Hills Bavans Ausburg Shanghai Seoul

2015 49% Europe

Investor Day – April 19, 2016 8

Product sales by customer

BMW 8.0 2012 Daimler 6.9

Renault-Nissan Ford PSA Renault-Nissan

Investor Day – April 19, 2016 9

Around 500 patents filed per year

Investor Day – April 19, 2016 10

Adaptive Valve Cover Carving Technology

Allows mufflers to be 30% smaller Allows new design options

and the exhaust system to be up with greater durability

Automotive Seating Interior Systems Emissions Control Technology

12% 17% 14% 27%

Complete seats Frames & mechanisms

Investor Day – April 19, 2016 12

 Robust and Resilient business model

 Strong potential for future value creation

Investor Day – April 19, 2016 13

 2016 - 2018: Strong organic profitable growth commitment

 Expanding Value Spaces

 Robust Balance Sheet management

 Sustainable Mobility and Cockpit of the Future

Investor Day – April 19, 2016 15

Total sales 2018 2018 2018

400 bps above 7% of value added*

Growth Drivers Profitability Drivers

Customer portfolio Order book profitability

Geographical balance Manufacturing excellence

Product mix/Value Spaces Cost efficiency

Growth 400 bps above 7% Operating Margin

automotive production on VA Sales in 2018

Investor Day – April 19, 2016 17

Growth Drivers Profitability Drivers

Customer portfolio Order book profitability

Geographical balance Manufacturing excellence

Product mix/Value Spaces Cost efficiency

Growth 400 bps above 6% Operating Margin

automotive production in 2018

Investor Day – April 19, 2016 18

 VW confirmed as largest customer now at around 20% of sales

 ABF partner and member of Supplier Council

 Alliance Growth Partner

 Member of Supplier think tank

 Key supplier of after treatment solutions and lightweight technologies

Investor Day – April 19, 2016 19