Amsterdam, 2 May, 2006

In the fiscal year 2005 (April 1^st, 2005 to March 31^st, 2006), the European operations of Mitsubishi Motors Corporation (MMC) reached a total of 267,220 sales in FY 2005, an increase of 10.5% over FY 2004 (241,758 units).

This result marks the third successive year of growth for Mitsubishi Motors Europe (MME), ahead of its set 254,000 unit target and in line with its "natural weight" in the European market of ± 250,000 sales per year.

Fully delivering on its stated FY 2005 aim of achieving profitable growth, MME continued to contribute strongly to MMC´s rapidly improving global position.

Key achievements included:

• The launch of yet more new products suited to European customer expectations (new L200, Grandis DI-D, Lancer Evolution IX, Colt CZC)
• The strengthening of its top three markets (Russia, Germany, UK):

• Sales in Russia reached 57,160 - an increase of 53% vs. FY 2004
• Germany posted an increase in sales of 3%, consolidating its recovery
• Sales in the UK remained stable, despite the changeover from old to new L200

• Strong performance of key Western European markets like Italy (+ 12%)
• Impressive development in high potential markets like The Ukraine (# 8 with + 48%) or Turkey (# 9 with + 37%)
• Rationalisation of line-up and harmonisation of specifications, allowing for easier transference of stock between countries
• Strong performance of key models:

• Colt, MME’s biggest seller, met expectations with sales of 79,108 units
• Lancer continued to perform exceptionally well - 64,616 sales represents an increase of 52.4% vs. FY 2004 – being the main driver for Mitsubishi Motors growth in Russia

• L200 sales dropped just 11%, despite renewed competition being launched well ahead of the new model changeover
• Pajero – now approaching the end of its lifecycle – facing with aplomb the intense competition in the 4x4 market, with only a 6 % decrease
• Outlander increasing slightly its sales volume (16,026 units or + 2%), even with its successor being announced and well publicised

In FY 2006, MME will strive for maintaining this momentum with a set target of 271,000 units (+ 1.4%).

To this effect, the European line-up will be strengthened through the launch of several significant new models in FY 2006, most of them derived from its new global C-segment platform developed with Chrysler Group, starting with the next generation Outlander (first quarter of CY 2007).

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