Press Release

Braunschweig, 12 March 2020. Volkswagen Financial Services have successfully placed their tenth asset-backed securities (ABS) transaction in Chinese renminbi (RMB). The transaction with a receivables volume of around six billion renminbi (approximately 763 million euros) is securitized by financing contracts concluded with Volkswagen Finance (China). During the bookbuilding process, tranche A was placed at a fixed interest rate of 2.9 percent and was oversubscribed 2.85 times. The transaction, Driver China ten, thus has the lowest interest rate of all ABS issues issued by Volkswagen Financial Services in China to date.

Tranche A has a volume of RMB 5.38 billion and has received assessments from the Chinese rating agencies S&P Ratings (China) Co. (AAAspcsf) and China Bond Rating Co., Ltd. (AA+sf). It also has an international rating from Standard and Poor's (AAsf).

With this transaction, the company has marketed a diversified pool of receivables from more than 107,000 financing contracts.

Information for editors:

Volkswagen Financial Services are a business division of the Volkswagen AG group of companies and comprise Volkswagen Financial Services AG along with its associated companies, Volkswagen Bank GmbH, Porsche Financial Services, and the financial services companies in the USA and Canada that belong directly or indirectly to Volkswagen AG – with the exception of the financial services of the Scania brand and Porsche Holding Salzburg. The key business fields embrace dealer and customer financing, leasing, the bank and insurance business, fleet management and mobility offers. Volkswagen Financial Services have a total of 16,267 employees worldwide – including 7,010 alone in Germany. Volkswagen Financial Services report total assets of around EUR 207.6 billion, an operating result of EUR 2.6 billion and a portfolio of around 20.3 million current contracts (as at: 31.12.2018).