SOURCE: BREMBO

March 15, 2010 11:01 ET

Brembo's Board of Directors approved the draft Annual Financial Statements for 2009.

STEZZANO, ITALY--(Marketwire - March 15, 2010) -

Brembo's Board of Directors approved the draft Annual Financial Statements for 2009.

- Revenues amounted to EUR 825.9 million (down by 22.1%);

- EBITDA amounted to EUR 101.2 million (12.3% of sales); net of extraordinary items EUR 108.4 million (13.1% of sales);

- EBIT amounted to EUR 22.6 million (2.7% of sales); net of extraordinary items EUR 39.4 million or 4.8% of sales;

- Net income was EUR 10.5 million.

- Financial debt decreased by EUR 82.4 million (-24.4%).

- Proposal for the distribution of dividends EUR 0.225 per share.

- For 2010 market shares are expected to increase, thanks to the ongoing internationalisation policy implemented by the Group.

Results for the Year Ended 31 December 2009:

+--------------------+------------+----------+------------+----------+
|     (EUR million)  |  31/12/2009|     %    |  31/12/2008|       %  |
+--------------------+------------+----------+------------+----------+
|                    |            |  on sales|            |  on sales|
+--------------------+------------+----------+------------+----------+
|  Revenues          |       825.9|          |     1,060.8|          |
+--------------------+------------+----------+------------+----------+
|  EBITDA            |       101.2|     12.3%|       140.9|     13.3%|
+--------------------+------------+----------+------------+----------+
|  Adjusted EBITDA   |       108.4|     13.1%|            |          |
+--------------------+------------+----------+------------+----------+
|  EBIT              |        22.6|      2.7%|        74.8|      7.0%|
+--------------------+------------+----------+------------+----------+
|  Adjusted EBIT     |        39.4|      4.8%|            |          |
+--------------------+------------+----------+------------+----------+
|  Pretax profit     |        10.7|      1.3%|        53.6|      5.1%|
+--------------------+------------+----------+------------+----------+
|  Net income        |        10.5|      1.3%|        37.5|      3.5%|
+--------------------+------------+----------+------------+----------+
|  Net financial debt|       255.0|          |       337.4|          |
+--------------------+------------+----------+------------+----------+
+--------------------+------------+----------+------------+----------+

+--------------------+-------------+
|     (EUR million)  |  Var % 09/08|
+--------------------+-------------+
|                    |             |
+--------------------+-------------+
|  Revenues          |       -22.1%|
+--------------------+-------------+
|  EBITDA            |       -28.2%|
+--------------------+-------------+
|  Adjusted EBITDA   |             |
+--------------------+-------------+
|  EBIT              |       -69.7%|
+--------------------+-------------+
|  Adjusted EBIT     |             |
+--------------------+-------------+
|  Pretax profit     |       -80.1%|
+--------------------+-------------+
|  Net income        |       -71.9%|
+--------------------+-------------+
|  Net financial debt|       -24.4%|
+--------------------+-------------+
+--------------------+-------------+
Results for the fourth quarter of 2009, summarised:
+---------------+---------+---------+-------------+
| (EUR million) |  Q4 2009|  Q4 2008|  Var % 09/08|
+---------------+---------+---------+-------------+
|  Revenues     |    211.6|    230.8|        -8.3%|
+---------------+---------+---------+-------------+
|  EBITDA       |     25.7|     26.3|        -2.0%|
+---------------+---------+---------+-------------+
|  EBIT         |      5.6|      5.1|        +9.4%|
+---------------+---------+---------+-------------+
|  Pretax result|      5.0|    (3.1)|      -258.8%|
+---------------+---------+---------+-------------+
|  Net income   |      7.2|    (5.3)|      -237.1%|
+---------------+---------+---------+-------------+
+---------------+---------+---------+-------------+
* *** *

Group's Consolidated 2009 Results

Brembo Group closed the difficult 2009 financial year with consolidated net revenues of EUR 825.9 million, down by 22,1% compared to 2008.

On a like-for-like basis in terms of consolidation area (therefore excluding the effect of the acquisitions of Sabelt, the Chinese Brembo Nanjing, the Indian Brembo Brake India and the Brazilian business line Sawem) net sales decreased by 25%.

A breakdown of sales by application shows that all the segments in which the Group operates have been affected by the severe crisis that hit the world economy and especially the automotive industry. Applications for commercial vehicles decreased by 37.2%, the racing segment by 22.9%, the motorbike segment by 19.5% and car segment by 18.5%. The passive safety segment grew by 5.3% in 2009, thanks to the change in consolidation area.

Breaking down performance by geographical area, growth in Asia (with India growing by EUR 18.5 million), which benefited both from the change in consolidation area and a positive market trend, marked a sharp contrast to the trend in the rest of the world; China grew by 87.5% to EUR 22,5 million.

Brazil also continued to grow, closing the year at EUR 53.3 million, up 22.9% compared to 2008.

The traditional main markets of operation of the car industry inevitably bore the impact of the global severe economic crisis: Italy -32.4%, Germany -29.2%, France -28.1%, UK -29.1%, Japan -54.6%, Nafta -12.1%, although during the fourth quarter of the year the latter showed the first signs of recovery.

In financial year 2009, the cost of sales and other operating costs amounted to EUR 539.6 million, representing 65.3% of sales, compared to 66.8% for the same period in the previous year.

Personnel expenses for 2009 amounted to EUR 185.1 million, with a ratio of 22.4% to sales, increasing 19.9% compared to the previous year, due to several non-recurring expenses incurred for reorganisation initiatives and the natural increasing trend in labour costs.

The workforce numbered 5,417 at 31 December 2009 (5,847 at 31 December 2008). Like-for-like in terms of consolidation area, Group personnel decreased by 6.7% (- 383 people) compared to 31 December 2008.

EBITDA for the year totalled EUR 101.2 million (12.3% of revenues), compared to EUR 140.9 million of 2008.

Net of certain non-recurring items recognised in the year, adjusted EBITDA was EUR 108.4million (13.1% of revenues).

Depreciation, amortisation and impairment losses amounted to EUR 78.5 million, up 18.7% compared to EUR 66.2 million for 2008. This item includes certain non-recurring impairment losses that lead to an adjusted EBIT of EUR 39.4 million (4.8% of revenues); taking into account such non-recurrent items, EBIT was EUR 22.6 million (2.7% of revenues).

Net interest expenses in 2009 were EUR 10.6 million (EUR 19.4 million in 2008) and consist of exchange rate losses of EUR 1.5 million (EUR 6.3 million in 2008) and net interest expenses of EUR 9.1 million (EUR 13.1 million for the previous year). The decrease in net interest expenses resulted from a reduction in the interest rates applied and a careful management of financial leverage.

The company reported an income before taxes of EUR 10.7 million (EUR 53.6 million for 2008).

Estimated taxation, calculated based on the tax rates applicable for the year under current tax regulations, amounted to EUR 1.2 million (EUR 17.4 million in 2008), with a tax rate of 10.8% compared to 32.4% of 2008.

The tax rate decreased as the Group companies that posted positive results for the year benefited from tax reliefs and other companies that reported losses prudentially recognised deferred tax assets.

The period ended with a net income of EUR 10.5 million.

Net debt as of 31 December 2009 decreased by 24.4% to EUR 255.0 million, down by EUR 82.4 million compared to 2008 (EUR 337.4 million) and by EUR 31.4 million compared to 30 September 2009 (EUR 286.4 million).

The improvement in net financial position is the result of the steps taken to reduce net working capital and the downsizing of the investment policy in order to react to declining demand.

Q4 2009

Net consolidated revenues amounted to EUR 211.6 million in the fourth quarter of 2009, down 8.3% compared to the same period of 2008.

EBITDA amounted to EUR 25.7 million, down 2.0% compared to 2008; EBITDA margin was 12.2%, up compared to 11.4% for the same period of the previous year.

EBIT amounted to EUR 5.6 million, up 9.4% compared to 2008; EBIT margin was 2.6%, compared to 2.2% for Q4 2008.

The period ended with a net income of EUR 7,2 million, compared to a net loss of EUR 5.3 million for Q4 2008.

Results of the Parent Company Brembo S.p.A.

Revenues of the Parent Company Brembo S.p.A. amounted to EUR 459.7 million for 2009, down 28.7% compared to the previous year.

Net income amounted to EUR 21.1 million (EUR 16.7 million for 2008).

The Shareholders' Meeting will propose the following distribution of net income:

- to the shareholders a gross dividend of EUR 0.225 per ordinary share outstanding at ex-coupon date, consequently excluding own shares;

- the remaining amount to reserves.

It will also be proposed that dividends should be paid as of 6 May 2010, ex-coupon No.18 that will be completed on 3 May 2010. Director co-opted

During today's meeting of the Board of Directors, a new Director has been co-opted. Bruno Saita, who has collaborated with the Group for several years, takes up the position of non-executive Director.

Call to Shareholders' Meeting

The General Shareholders' Meeting is convened (first call) on 27 April 2010 at 11.00 a.m. at the Company offices in Stezzano (BG, Italy).

The Agenda includes:

- approval of the Financial Statements of the Parent Company for the year ended 31 December 2009;

- approval of the own shares buy-back plan;

- appointment of a Director;

- approval of the three-year Incentives Plan 2010-2012 for Brembo's executive directors and top managers;

- integration of audit fees for the firm PricewaterhouseCoopers S.p.A. Significant Events After Year-EndOn 15 January 2010, Brembo Nanjing Foundry Co. Ltd. (100% held by Brembo SpA) and Donghua Automotive Industrial Co. Ltd. (part of the Saic Group, China's top manufacturer of cars and commercial vehicles) finalised agreements for the purchase of foundry plants and equipment.

The agreements will strengthen the Brembo Group's presence in China by creating an integrated production centre in Nanjing, including a foundry and a production facility for brake callipers and discs (for cars and commercial vehicles) that will be able to offer the Chinese market braking systems built to meet Brembo's standards of performance, style and comfort.

On 12 March 2010, Brembo announced they will invest EUR 83 million in the period 2010-2014 on increasing the production capacity of their plant at Dabrowa Gornicza in Poland, which makes brake discs for the cars and commercial vehicles market.

The investment has been prompted by the capture of a growing share in the European brake disc market, which even now is guaranteed to exploit the capacity of the new foundry to the full. {Gli investimenti saranno finanziati attraverso la generazione di cassa dell'azienda e, in parte, con contributi europei a fondo perduto (EUR 13,5 milioni); sono previste inoltre agevolazioni fiscali della Zona Speciale.} The project will be financed with cash generated by the Group, with EIB loan, and in part by a grant from the European Union (EUR 13.5 million); the new development also benefits from tax breaks, as part of the Katowice Economic Special Zone.

Outlook

After a year marked by severe difficulties, 2010 is expected to show a growth in market shares in the various segments in which the Group operates, especially thanks to the ongoing internationalisation policy that Brembo has been implementing for some time.

The strong cost containment measures taken during 2009 and the partial recovery of demand expected for the year underway should allow the Group to achieve a profitability realignment.

During financial year 2010, the Group is also forecast to go back to a normal level of investments, given the start of the previously announced manufacturing expansion in China and Poland and the increase in production capacity to match expected demand levels.

The manager in charge of the Company's financial reports, Matteo Tiraboschi, declares, pursuant to paragraph 2 of Article 154-bis of Italy's Consolidated Law on Finance, that the accounting information contained in this press release corresponds to the documented results, books and accounting records.

Annexed hereto are the Income Statement, Balance Sheet and Cash Flow Statement for which the auditing process by the independent auditors is currently ongoing.

CONSOLIDATED INCOME STATEMENT - IFRS

+-------------------------+----------+--------------+-------+------+-------+
|                         |    A     |      B       | (A-B) |      |   C   |
+-------------------------+----------+--------------+-------+------+-------+
|(euro million)           |31.12.2009|31.12.2008 (*)| CHANGE|     %| Q4 '09|
+-------------------------+----------+--------------+-------+------+-------+
|Sales of good and        |     825.9|       1,060.8|(234.9)|-22.1%|  211.6|
|services                 |          |              |       |      |       |
+-------------------------+----------+--------------+-------+------+-------+
|Other revenues and income|      20.1|          19.2|    1.0|  5.0%|    0.7|
+-------------------------+----------+--------------+-------+------+-------+
|Costs for capitalised    |       9.2|          13.7|  (4.5)|-32.8%|    1.0|
|internal works           |          |              |       |      |       |
+-------------------------+----------+--------------+-------+------+-------+
|Cost of raw materials,   |   (411.0)|       (532.1)|  121.0|-22.7%|(108.5)|
|consumables, goods and   |          |              |       |      |       |
|change in inventories    |          |              |       |      |       |
+-------------------------+----------+--------------+-------+------+-------+
|Other operating costs for|   (157.9)|       (209.9)|   51.9|-24.8%| (35.2)|
|production               |          |              |       |      |       |
+-------------------------+----------+--------------+-------+------+-------+
|Personnel expenses       |   (185.1)|       (210.8)|   25.7|-12.2%| (43.9)|
+-------------------------+----------+--------------+-------+------+-------+
|GROSS OPERATING INCOME   |     101.2|         140.9| (39.8)|-28.2%|   25.7|
+-------------------------+----------+--------------+-------+------+-------+
|% of sales               |     12.3%|         13.3%|       |      |  12.2%|
+-------------------------+----------+--------------+-------+------+-------+
|Depreciation,            |    (78.5)|        (66.2)| (12.4)| 18.7%| (20.1)|
|amortization and other   |          |              |       |      |       |
|write-downs              |          |              |       |      |       |
+-------------------------+----------+--------------+-------+------+-------+
|NET OPERATING INCOME     |      22.6|          74.8| (52.1)|-69.7%|    5.6|
+-------------------------+----------+--------------+-------+------+-------+
|% of sales               |      2.7%|          7.0%|       |      |   2.6%|
+-------------------------+----------+--------------+-------+------+-------+
|Net financial income     |    (10.6)|        (19.4)|    8.9|-45.7%|  (0.3)|
|(charges)                |          |              |       |      |       |
+-------------------------+----------+--------------+-------+------+-------+
|Net financial income     |     (1.4)|         (1.7)|    0.3|-18.8%|  (0.3)|
|(charges) from           |          |              |       |      |       |
|investments              |          |              |       |      |       |
+-------------------------+----------+--------------+-------+------+-------+
|INCOME (LOSS) BEFORE     |      10.7|          53.6| (42.9)|-80.1%|    5.0|
|TAXES                    |          |              |       |      |       |
+-------------------------+----------+--------------+-------+------+-------+
|% of sales               |      1.3%|          5.1%|       |      |   2.4%|
+-------------------------+----------+--------------+-------+------+-------+
|Taxes                    |     (1.2)|        (17.4)|   16.2|-93.4%|    2.0|
+-------------------------+----------+--------------+-------+------+-------+
|INCOME (LOSS) BEFORE     |       9.5|          36.2| (26.7)|-73.7%|    7.0|
|MINORITY INTERESTS       |          |              |       |      |       |
+-------------------------+----------+--------------+-------+------+-------+
|% of sales               |      1.2%|          3.4%|       |      |   3.3%|
+-------------------------+----------+--------------+-------+------+-------+
|Minority interests       |       1.0|           1.3|  (0.3)|-21.2%|    0.2|
+-------------------------+----------+--------------+-------+------+-------+
|NET INCOME (LOSS) FOR THE|      10.5|          37.5| (27.0)|-71.9%|    7.2|
|PERIOD                   |          |              |       |      |       |
+-------------------------+----------+--------------+-------+------+-------+
|% of sales               |      1.3%|          3.5%|       |      |   3.4%|
+-------------------------+----------+--------------+-------+------+-------+
|Basic earning per        |      0.16|          0.56|       |      |   0.11|
|Share/diluted earnings   |          |              |       |      |       |
|per share (in euro)      |          |              |       |      |       |
+-------------------------+----------+--------------+-------+------+-------+

+-------------------------+----------+------+-------+
|                         |    D     |(C-D) |       |
+-------------------------+----------+------+-------+
|(euro million)           |Q4 '08 (*)|CHANGE|      %|
+-------------------------+----------+------+-------+
|Sales of good and        |     230.8|(19.2)|  -8.3%|
|services                 |          |      |       |
+-------------------------+----------+------+-------+
|Other revenues and income|       5.1| (4.4)| -85.4%|
+-------------------------+----------+------+-------+
|Costs for capitalised    |       2.9| (1.9)| -65.0%|
|internal works           |          |      |       |
+-------------------------+----------+------+-------+
|Cost of raw materials,   |   (111.7)|   3.2|  -2.9%|
|consumables, goods and   |          |      |       |
|change in inventories    |          |      |       |
+-------------------------+----------+------+-------+
|Other operating costs for|    (50.9)|  15.7| -30.9%|
|production               |          |      |       |
+-------------------------+----------+------+-------+
|Personnel expenses       |    (49.8)|   5.9| -11.8%|
+-------------------------+----------+------+-------+
|GROSS OPERATING INCOME   |      26.3| (0.5)|  -2.0%|
+-------------------------+----------+------+-------+
|% of sales               |     11.4%|      |       |
+-------------------------+----------+------+-------+
|Depreciation,            |    (21.1)|   1.0|  -4.8%|
|amortization and other   |          |      |       |
|write-downs              |          |      |       |
+-------------------------+----------+------+-------+
|NET OPERATING INCOME     |       5.1|   0.5|   9.4%|
+-------------------------+----------+------+-------+
|% of sales               |      2.2%|      |       |
+-------------------------+----------+------+-------+
|Net financial income     |     (8.0)|   7.7| -96.3%|
|(charges)                |          |      |       |
+-------------------------+----------+------+-------+
|Net financial income     |     (0.3)| (0.0)|   6.8%|
|(charges) from           |          |      |       |
|investments              |          |      |       |
+-------------------------+----------+------+-------+
|INCOME (LOSS) BEFORE     |     (3.1)|   8.1|-258.8%|
|TAXES                    |          |      |       |
+-------------------------+----------+------+-------+
|% of sales               |     -1.4%|      |       |
+-------------------------+----------+------+-------+
|Taxes                    |     (2.5)|   4.4|-181.0%|
+-------------------------+----------+------+-------+
|INCOME (LOSS) BEFORE     |     (5.6)|  12.6|-224.7%|
|MINORITY INTERESTS       |          |      |       |
+-------------------------+----------+------+-------+
|% of sales               |     -2.4%|      |       |
+-------------------------+----------+------+-------+
|Minority interests       |       0.3| (0.1)| -32.4%|
+-------------------------+----------+------+-------+
|NET INCOME (LOSS) FOR THE|     (5.3)|  12.5|-237.1%|
|PERIOD                   |          |      |       |
+-------------------------+----------+------+-------+
|% of sales               |     -2.3%|      |       |
+-------------------------+----------+------+-------+
|Basic earning per        |    (0.08)|      |       |
|Share/diluted earnings   |          |      |       |
|per share (in euro)      |          |      |       |
+-------------------------+----------+------+-------+
(*) Revised data following the purchase price allocation process relating to business combinations

CONSOLIDATED BALANCE SHEET - IFRS

+-------------------------+----------+--------------+----------+-------+-------+
|                         |    A     |      B       |    C     |  A-B  |  A-C  |
+-------------------------+----------+--------------+----------+-------+-------+
|(euro million)           |31.12.2009|31.12.2008 (*)|30.09.2009| CHANGE| CHANGE|
+-------------------------+----------+--------------+----------+-------+-------+
|ASSETS                   |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|NON-CURRENT ASSETS       |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|Property, plant,         |     311.8|         354.2|     318.2| (42.4)|  (6.3)|
|equipment and other      |          |              |          |       |       |
|equipment                |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|Development costs        |      39.8|          40.7|      41.7|  (0.9)|  (1.9)|
+-------------------------+----------+--------------+----------+-------+-------+
|Goodwill and other       |      40.9|          44.2|      40.1|  (3.2)|    0.8|
|undefined useful life    |          |              |          |       |       |
|assets                   |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|Other intangible assets  |      22.6|          24.7|      22.7|  (2.1)|  (0.2)|
+-------------------------+----------+--------------+----------+-------+-------+
|Investments accounted for|      24.5|           0.8|      26.4|   23.6|  (1.9)|
|using the equity method  |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|Other financial assets   |       0.2|           0.3|       0.2|  (0.2)|  (0.0)|
|(investments in other    |          |              |          |       |       |
|companies and            |          |              |          |       |       |
|derivatives)             |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|Other non-current assets |       1.0|           0.4|       0.2|    0.6|    0.7|
+-------------------------+----------+--------------+----------+-------+-------+
|Deferred tax assets      |      17.7|          14.6|      14.4|    3.1|    3.3|
+-------------------------+----------+--------------+----------+-------+-------+
|TOTAL NON-CURRENT ASSETS |     458.4|         479.8|     463.9| (21.4)|  (5.4)|
+-------------------------+----------+--------------+----------+-------+-------+
|                         |          |              |          | (4.5%)| (1.2%)|
+-------------------------+----------+--------------+----------+-------+-------+
|CURRENT ASSETS           |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|Inventories              |     142.9|         197.6|     144.0| (54.7)|  (1.1)|
+-------------------------+----------+--------------+----------+-------+-------+
|Trade receivables and    |     161.7|         189.1|     163.3| (27.4)|  (1.6)|
|receivables from other   |          |              |          |       |       |
|Group companies          |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|Other receivables and    |      26.7|          44.3|      22.5| (17.6)|    4.2|
|current assets           |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|Financial current assets |       0.1|           0.1|       0.1|    0.0|    0.0|
|and derivatives          |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|Cash and cash equivalents|      64.7|          45.6|      40.9|   19.0|   23.8|
+-------------------------+----------+--------------+----------+-------+-------+
|TOTAL CURRENT ASSETS     |     396.0|         476.6|     370.8| (80.6)|   25.2|
+-------------------------+----------+--------------+----------+-------+-------+
|                         |          |              |          |(16.9%)|   6.8%|
+-------------------------+----------+--------------+----------+-------+-------+
|NON-CURRENT ASSETS HELD  |       0.0|           0.0|       0.0|    0.0|    0.0|
|FOR SALE AND DISCONTINUED|          |              |          |       |       |
|OPERATIONS               |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|                         |          |              |          |   0.0%|   0.0%|
+-------------------------+----------+--------------+----------+-------+-------+
|TOTAL ASSETS             |     854.4|         956.4|     834.6|(102.0)|   19.8|
+-------------------------+----------+--------------+----------+-------+-------+
|EQUITY AND LIABILITIES   |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|GROUP EQUITY             |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|Share capital            |      34.7|          34.7|      34.7|    0.0|    0.0|
+-------------------------+----------+--------------+----------+-------+-------+
|Other reserves           |     106.8|          97.2|     100.9|    9.6|    6.0|
+-------------------------+----------+--------------+----------+-------+-------+
|Retained earnings        |     131.9|         110.5|     131.1|   21.4|    0.8|
+-------------------------+----------+--------------+----------+-------+-------+
|Profit / (loss) for the  |      10.5|          37.5|       3.3| (27.0)|    7.2|
|period                   |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|TOTAL GROUP EQUITY       |     284.0|         280.0|     270.1|    4.0|   14.0|
+-------------------------+----------+--------------+----------+-------+-------+
|                         |          |              |          |   1.4%|   5.2%|
+-------------------------+----------+--------------+----------+-------+-------+
|MINORITY INTERESTS       |       7.5|          12.1|       7.7|  (4.6)|  (0.2)|
+-------------------------+----------+--------------+----------+-------+-------+
|                         |          |              |          |(38.2%)| (2.6%)|
+-------------------------+----------+--------------+----------+-------+-------+
|TOTAL EQUITY             |     291.5|         292.0|     277.7|  (0.6)|   13.8|
+-------------------------+----------+--------------+----------+-------+-------+
|NON-CURRENT LIABILITIES  |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|Non-current payables to  |      96.0|         107.7|     104.5| (11.7)|  (8.6)|
|banks                    |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|Other non-current        |      26.6|          86.3|      80.5| (59.6)| (53.9)|
|financial payables       |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|Other non-current        |       0.5|           1.1|       0.4|  (0.7)|    0.0|
|payables                 |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|Provisions for           |       6.1|           5.0|       5.0|    1.1|    1.0|
|contingencies and charges|          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|Long term provisions for |      21.9|          22.8|      22.1|  (0.9)|  (0.2)|
|employee benefits        |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|Deferred tax liabilities |      11.0|          16.8|      11.0|  (5.8)|    0.0|
+-------------------------+----------+--------------+----------+-------+-------+
|TOTAL NON-CURRENT        |     162.1|         239.7|     223.6| (77.6)| (61.5)|
|LIABILITIES              |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|                         |          |              |          |(32.4%)|(27.5%)|
+-------------------------+----------+--------------+----------+-------+-------+
|CURRENT LIABILITIES      |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|Current payables to banks|     136.1|         180.5|     132.2| (44.4)|    3.8|
+-------------------------+----------+--------------+----------+-------+-------+
|Other current financial  |      61.0|           8.6|      10.1|   52.4|   50.9|
|payables                 |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|Trade payables and       |     159.4|         178.9|     142.3| (19.6)|   17.1|
|payables to other Group  |          |              |          |       |       |
|companies                |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
|Tax payables             |       1.3|           3.8|       1.8|  (2.5)|  (0.6)|
+-------------------------+----------+--------------+----------+-------+-------+
|Other current payables   |      43.2|          52.8|      46.9|  (9.7)|  (3.7)|
+-------------------------+----------+--------------+----------+-------+-------+
|TOTAL CURRENT LIABILITIES|     400.9|         424.7|     333.4| (23.8)|   67.5|
+-------------------------+----------+--------------+----------+-------+-------+
|                         |          |              |          | (5.6%)|  20.3%|
+-------------------------+----------+--------------+----------+-------+-------+
|TOTAL EQUITY AND         |     854.4|         956.4|     834.6|(102.0)|   19.8|
|LIABILITIES              |          |              |          |       |       |
+-------------------------+----------+--------------+----------+-------+-------+
CASH-FLOW STATEMENT - IFRS
+-------------------------+----------+--------------+
|                         |31.12.2009|31.12.2008 (*)|
+-------------------------+----------+--------------+
|(euro million)           |          |              |
+-------------------------+----------+--------------+
|Cash and cash equivalents|   (101.3)|        (95.3)|
|at beginning of period   |          |              |
+-------------------------+----------+--------------+
|Consolidated net result  |      10.7|          53.6|
|of the period before     |          |              |
|taxes                    |          |              |
+-------------------------+----------+--------------+
|Depreciation,            |      78.5|          66.2|
|amortisation, impairment |          |              |
|losses                   |          |              |
+-------------------------+----------+--------------+
|Capital gains/losses     |     (0.6)|         (3.0)|
+-------------------------+----------+--------------+
|Write-ups/Write-downs of |       1.4|           1.8|
|shareholdings            |          |              |
+-------------------------+----------+--------------+
|Capital gain on the      |     (3.9)|           0.0|
|disposal of 50% of BSCCB |          |              |
|S.p.A.                   |          |              |
+-------------------------+----------+--------------+
|Financial portion of     |       1.2|           0.7|
|provisions for payables  |          |              |
|for personnel            |          |              |
+-------------------------+----------+--------------+
|Long-term provisions for |       0.9|           1.1|
|employee benefits        |          |              |
+-------------------------+----------+--------------+
|Other provisions net of  |       5.4|           6.6|
|utilisations             |          |              |
+-------------------------+----------+--------------+
|Net working capital      |      93.7|           127|
|generated by operations  |          |              |
+-------------------------+----------+--------------+
|Paid current taxes       |    (12.5)|        (12.0)|
+-------------------------+----------+--------------+
|Uses of long-term        |     (3.1)|         (2.9)|
|provisions for employee  |          |              |
|benefits                 |          |              |
+-------------------------+----------+--------------+
|(Increase) reduction in  |          |              |
|current assets:          |          |              |
+-------------------------+----------+--------------+
|inventories              |      39.9|        (20.1)|
+-------------------------+----------+--------------+
|financial assets         |       0.1|        (11.4)|
+-------------------------+----------+--------------+
|trade receivables and    |      25.4|          21.8|
|receivables from         |          |              |
|companies valued using   |          |              |
|the equity method        |          |              |
+-------------------------+----------+--------------+
|receivables from others  |      19.4|         (0.2)|
|and other assets         |          |              |
+-------------------------+----------+--------------+
|Increase (reduction) in  |          |              |
|current liabilities:     |          |              |
+-------------------------+----------+--------------+
|trade payables and       |    (15.8)|        (28.8)|
|payables to companies    |          |              |
|valued using the equity  |          |              |
|method                   |          |              |
+-------------------------+----------+--------------+
|payables to others and   |    (14.9)|         (2.2)|
|other liabilities        |          |              |
+-------------------------+----------+--------------+
|Translation differences  |       5.3|        (14.7)|
|on current assets        |          |              |
+-------------------------+----------+--------------+
|Net cash flow from/ (for)|     137.5|          56.3|
|operating activities     |          |              |
+-------------------------+----------+--------------+
|Investments in:          |          |              |
+-------------------------+----------+--------------+
|intangible assets        |    (13.8)|        (24.4)|
+-------------------------+----------+--------------+
|property, plant and      |    (30.3)|        (69.3)|
|equipment                |          |              |
+-------------------------+----------+--------------+
|acquisiton of Sawem      |     (3.3)|           0.0|
|Industrial Ltda business |          |              |
|line (**)                |          |              |
+-------------------------+----------+--------------+
|deconsolidation of 50% of|    (26.5)|           0.0|
|BSCCB S.p.A.             |          |              |
+-------------------------+----------+--------------+
|acquisition of "BCBS"    |       0.0|        (14.1)|
+-------------------------+----------+--------------+
|acquisition of "NYABS"   |       0.0|         (4.4)|
+-------------------------+----------+--------------+
|acquisition of Sabelt    |       0.0|         (9.5)|
|Group                    |          |              |
+-------------------------+----------+--------------+
|acquisition of "KBX"     |       0.0|        (10.7)|
+-------------------------+----------+--------------+
|50% disposal of BSCCB    |      26.5|           0.0|
|S.p.A.                   |          |              |
+-------------------------+----------+--------------+
|Brembo Rassini operation |     (1.4)|           0.0|
+-------------------------+----------+--------------+
|30% capital gain on the  |       0.0|           3.5|
|disposal of the "HPK"    |          |              |
|business line            |          |              |
+-------------------------+----------+--------------+
|Price for disposal, or   |       4.4|          15.0|
|reimbursement value of   |          |              |
|fixed assets             |          |              |
+-------------------------+----------+--------------+
|Net cash flow from/ (for)|    (44.5)|       (113.8)|
|investing activities     |          |              |
+-------------------------+----------+--------------+
|Dividends paid in the    |    (14.7)|        (19.8)|
|period                   |          |              |
+-------------------------+----------+--------------+
|Acquisition of own shares|       0.0|         (7.9)|
+-------------------------+----------+--------------+
|Loans and financing      |      29.9|         101.9|
|granted by banks and     |          |              |
|other financial          |          |              |
|institutions in the      |          |              |
|period                   |          |              |
+-------------------------+----------+--------------+
|Repayment of long-term   |    (41.1)|        (19.8)|
|loans                    |          |              |
+-------------------------+----------+--------------+
|Net cash flow from/ (for)|    (25.9)|          54.4|
|financing activities     |          |              |
+-------------------------+----------+--------------+
|Total cash flows         |      67.1|         (3.2)|
+-------------------------+----------+--------------+
|Cash and cash equivalents|     (0.2)|           0.0|
|of BSCCB S.p.A. at       |          |              |
|deconsolidation date     |          |              |
+-------------------------+----------+--------------+
|Cash and cash equivalents|       0.0|         (2.8)|
|of acquired companies at |          |              |
|acquisition date         |          |              |
+-------------------------+----------+--------------+
|Cash and cash equivalents|    (34.4)|       (101.3)|
|at the end of period     |          |              |
+-------------------------+----------+--------------+
(*) Revised data following the purchase price allocation process relating to a business combination

(**) Exchange rate as at 31 December 2009

NET SALES BREAKDOWN BY GEOGRAPHICAL AREA AND APPLICATION

+--------------------+----------+------+----------+------+-------+------+
|                    |    A     |      |    B     |      |       |      |
+--------------------+----------+------+----------+------+-------+------+
|GEOGRAPHICAL AREA   |31.12.2009|     %|31.12.2008|     %|    A-B|     %|
+--------------------+----------+------+----------+------+-------+------+
|(euro million)      |          |      |          |      |       |      |
+--------------------+----------+------+----------+------+-------+------+
|Italy               |     170.6| 20.7%|     252.5| 23.8%| (81.9)|-32.4%|
+--------------------+----------+------+----------+------+-------+------+
|Germany             |     166.5| 20.2%|     235.1| 22.2%| (68.6)|-29.2%|
+--------------------+----------+------+----------+------+-------+------+
|France              |      35.0|  4.2%|      48.8|  4.6%| (13.7)|-28.1%|
+--------------------+----------+------+----------+------+-------+------+
|United Kingdom      |      46.6|  5.6%|      65.7|  6.2%| (19.1)|-29.1%|
+--------------------+----------+------+----------+------+-------+------+
|Other EU countries  |     119.4| 14.5%|     162.2| 15.3%| (42.8)|-26.4%|
+--------------------+----------+------+----------+------+-------+------+
|India               |      18.5|  2.2%|       3.3|  0.3%|   15.2|461.4%|
+--------------------+----------+------+----------+------+-------+------+
|China               |      22.4|  2.7%|      12.0|  1.1%|   10.5| 87.5%|
+--------------------+----------+------+----------+------+-------+------+
|Japan               |      17.6|  2.1%|      38.7|  3.7%| (21.2)|-54.6%|
+--------------------+----------+------+----------+------+-------+------+
|Other Asia Countries|       9.5|  1.2%|       6.0|  0.6%|    3.5| 59.2%|
+--------------------+----------+------+----------+------+-------+------+
|Brazil              |      53.3|  6.5%|      43.4|  4.1%|    9.9| 22.9%|
+--------------------+----------+------+----------+------+-------+------+
|NAFTA Countries     |     163.0| 19.7%|     185.4| 17.5%| (22.4)|-12.1%|
+--------------------+----------+------+----------+------+-------+------+
|Other Countries     |       3.3|  0.4%|       7.7|  0.7%|  (4.4)|-57.0%|
+--------------------+----------+------+----------+------+-------+------+
|Total               |     825.9|100.0%|   1,060.8|100.0%|(234.9)|-22.1%|
+--------------------+----------+------+----------+------+-------+------+
|                    |         A|      |         B|      |       |      |
+--------------------+----------+------+----------+------+-------+------+
|APPLICATION         |31.12.2009|     %|31.12.2008|     %|    A-B|     %|
+--------------------+----------+------+----------+------+-------+------+
|(euro million)      |          |      |          |      |       |      |
+--------------------+----------+------+----------+------+-------+------+
|Auto                |     530.4| 64.2%|     651.0| 61.4%|(120.5)|-18.5%|
+--------------------+----------+------+----------+------+-------+------+
|Motorbike           |     100.7| 12.2%|     125.1| 11.8%| (24.4)|-19.5%|
+--------------------+----------+------+----------+------+-------+------+
|Commercial Vehicles |     113.0| 13.7%|     179.8| 16.9%| (66.8)|-37.2%|
+--------------------+----------+------+----------+------+-------+------+
|Racing              |      57.2|  6.9%|      74.1|  7.0%| (17.0)|-22.9%|
+--------------------+----------+------+----------+------+-------+------+
|Passive Safety      |      21.1|  2.6%|      20.0|  1.9%|    1.1|  5.3%|
+--------------------+----------+------+----------+------+-------+------+
|Miscellaneous       |       3.5|  0.4%|      10.8|  1.0%|  (7.2)|-67.2%|
+--------------------+----------+------+----------+------+-------+------+
|Total               |     825.9|100.0%|   1,060.8|100.0%|(234.9)|-22.1%|
+--------------------+----------+------+----------+------+-------+------+
+--------------------+----------+------+----------+------+-------+------+
2008 data revised for comparison purpose.

GRAPHS

- Net invested capital

- Turnover per employee

- Turnover per employee

+-------------------------+----------+-------+------+------+------+
|MAIN RATIOS              |Q4 '08 (*)|Q1 '09 |Q2 '09|Q3 '09|Q4 '09|
+-------------------------+----------+-------+------+------+------+
|Net operating            |      2,2%|   0,2%|  4,7%|  3,3%|  2,6%|
|income/Sales             |          |       |      |      |      |
+-------------------------+----------+-------+------+------+------+
|Result before taxes/Sales|     -1,4%|  -3,0%|  4,3%|  1,3%|  2,4%|
+-------------------------+----------+-------+------+------+------+
|Capital Expenditure/Sales|     16,3%|   8,6%|  5,6%|  4,0%|  5,0%|
+-------------------------+----------+-------+------+------+------+
|Net Financial indebtednes|    115,5%| 125,9%|110,4%|103,1%| 87,5%|
|s/Shareholders' equity   |          |       |      |      |      |
+-------------------------+----------+-------+------+------+------+
|Financial charges/Sales  |      3,5%|   3,2%|  0,3%|  1,6%|  0,1%|
+-------------------------+----------+-------+------+------+------+
|Financial charges/Net    |    155,6%|1841,8%|  6,2%| 48,8%|  5,3%|
|Operating Income         |          |       |      |      |      |
+-------------------------+----------+-------+------+------+------+
|ROI (**)                 |      3,1%|   0,2%|  6,5%|  4,7%|  3,9%|
+-------------------------+----------+-------+------+------+------+
|ROE (**)                 |     -7,6%| -11,3%|  9,2%|  5,6%|  9,5%|
+-------------------------+----------+-------+------+------+------+
(*) Revised data following the purchase price allocation process relating to business combinations

(**) 2005-2008 data revised for comparison purpose.

This information is provided by HUGIN Investor Relations:

Matteo Tiraboschi

Tel. +39 035 605 2899

Tel. +39 035 605 2223

Email: ir@brembo.it

www.brembo.com

Media Relations:

Francesca Muratori

Tel. +39 035 605 2576

Email: press@brembo.it

Contact Information