New Contract Agreed; BMW and ORACLE Racing Set Sail Through 2007

Munich, Germany and Auckland, New Zealand, April 27, 2004

Following the contract signing in Munich, Michael Ganal, Member of the Board of Management, BMW AG, explained the future collaboration: "This partnership with ORACLE Racing and thus our presence in top-class sailing sports means an acknowledgement of our successful three-pillar strategy. Alongside golf and Formula 1, yacht racing has become firmly established as a major aspect of our sporting portfolio. BMW is also being publicly recognized in connection with top-level sailing. Throughout the lead-up to the America's Cup 2007 in Valencia, BMW will expand its position as a reliable partner in the ORACLE BMW Racing team and will also increasingly contribute its multifaceted know-how -- in technological as well as marketing terms."

Hence, increased technology input on the part of BMW, for example, in the area of structural optimalisation and strength analysis, as well as an expanded number of personnel are planned. Experts from the automotive concern are actively incorporated throughout the new challenge's entire development process. Know-how in areas of car body and materials in which BMW has been among the forerunners for many years is being transferred to yacht racing. Engineers from the team supporting Raymond Freymann, Managing Director BMW Group Research and Technology, will be permanently integrated into the ORACLE BMW Racing development team. Moreover, BMW will provide its sports marketing expertise to ORACLE BMW Racing.

Chris Dickson, CEO of ORACLE BMW Racing, was delighted with the new contract. "Our team is extremely pleased that the extensive commitment of BMW has already been confirmed at this stage. From a sporting perspective, this enables us to forge ahead with what, to date, has been a very successful performance at the international level," he said. The next opportunity for ORACLE BMW Racing to demonstrate this will be from 19 to 26 June 2004 during the UBS Trophy in Newport, Rhode Island. America's East Coast will be host to a match race with the reigning America's Cup winner Alinghi. In September 2003, following some exciting contests, ORACLE BMW Racing successfully defeated the Swiss 4:3 in the Moet Cup.

 The ORACLE Racing team was founded in 2000 and became ORACLE BMW Racing in summer 2002. With its highly notable sailing debut as a Louis Vuitton Cup Finalist, the qualifying races to the America's Cup 2003 in Auckland, the team was already grabbing the headlines.