German Press Recognition for the Winter Tyres

New Homologations from BMW and Mercedes

Continued Growth for the Company in the Winter Tyre Sector

Milan, November 28, 2005 Pirelli achieved excellent results throughout its range of winter tires in tests organized by the most authoritative German motoring magazines. From the high and ultra-high performance products, including the Run Flat winter versions, to those of the SUV and touring segments, Pirelli tires excelled. In particular, the Winter Sottozero radials fitted to the Audi A3, BMW 5 Series and the Volkswagen Golf V GTI provided excellent road holding and traction on snow as well as on wet and dry surfaces. The Scorpion Ice& Snow tires fitted to the Volkswagen Touareg provided optimum driveability on snow and excellent resistance to aquaplaning. The Winter Snowsport Run Flat fitted to the BMW 1 Series came out on top in the tests for road holding and reduced braking distances on snow. With the introduction of new larger sizes in the Run Flat versions, the Pirelli winter range covers all market segments and applications. This includes the high and ultra-high performance Winter Sottozero and Winter Snowsport tires in sizes from 15 to 19 developed with innovative compounds and rated for speeds up to 150 mph; as well as the Winter Snowcontrol range available in sizes from 13 to 15 for touring cars. In addition, the Scorpion Ice& Snow is now available in sizes from 15 to 20 developed to enhance the performance of the latest generation of SUVs; and where studded tires are allowed, the Winter Carving is available to cope with the most extreme climatic conditions. The Pirelli winter tires are homologated by the worlds leading carmakers with which the company works closely on the technological development of its products. Besides the Lamborghini Gallardo, Maserati Quattroporte, Ferrari 612 Scaglietti, Ferrari F430 and Aston Martin Vanquish, the Winter Sottozero was recently homologated for the Mercedes C Class, S Class and CLK. In addition, the Winter Snowsports are now fitted as original equipment to the BMW X3 and the Mercedes B class as well as to Jaguar, Maserati and Porsche models. On the SUV front, the Scorpion Ice& Snow tires have been recently homologated for the Porsche Cayenne and Volkswagen Touareg. Both the latest homologations and the continued development of new sizes and products confirm the companys growth in the winter segment. Pirelli has recorded a positive growth trend and market share gain in the winter tire segment from 2000 through 2004 both in Europe and the US. Growth in the U.S. winter tire segment is forecast to be 10% over the next 3 years.