Caractère Automobile S.A.

Parc Artisanal - Allée de Wésemont, 3

B-4190 Werbemont

Tel.: (32) 086 430 000

Fax: (32) 086 430 001

info@caractere-automobile-be

www.caractere.com

AMAG

Automobil- und Motoren AG

for the attention of M. BLUMENTHAL, Roman

Bahnhofstrasse 30

Postfach 1

CH-8107 Buchs ZH

Werboemont, April 18th 2003

Dear Mr. Blumenthal,

As agreed at during ourthe pleasant pleasant conversation we had when I visitedduring my visit to the Geneva Show, I please find enclosed a file in which you will find an example of our documentation illustrating and describing, in detail, each product in our range in ourof body styling parts range for VW and Audi vehicles, and in addition to some information about our company, its history, and future plans.

I am extremely grateful for yourThank you for taking some of your valuablethe time to examine our file.

I will be pleased to give help you withremain at your disposal for any further information you may require.

Yours faithfully,

Alain Hurard

Managing Director

for S.A. Caractère Automobile

R.C. Huy: 47 406

T.V.A/B.T.W.: BE 454-560-410

CBC/KBC: 732-6531655-17
Introduction to the Company

“Caractère Automobile SA

” is a Belgian company whose main activity is the design and marketing of

body styling equipment for vehicles of marques of belonging to the VAG group.

Alain Hurard, the founder of the company and a designer by training, has been designing,

developing and marketing the products in the “Caractère” range with the aid of his dynamic team since 1992.

This was the launch of our “Research and development for perfecting a product for a model

(and not a “universal”-type product)” department, which entails not only a modified design but also

quality and ease of mounting of the products on the vehicle.

Our stock is considerable, which allows us to deliver to customers at short notice, even in large quantities.

This internal department, consisting of two designers, responds as soon as any new model is announced

(including the rarest of models), and works on the development of body styling for it as soon as it is released,

although our aim is not to be the first on the market, but rather the best, by combining design and quality.Initially, i.ethat is,. during the first part of our activitiesactivity, the products were manufactured from composite materials (polyester) in at our own facilities. However, the huge success of our “Caractère” styling for the Golf IV when launched on the market and, which pushed us to the forefront of the market, gave us the financial resources to set up another production method, known as PU RIM, and progressively move away from manufacturing in polyester.

Product information

Our staffs are very meticulous concerning the quality of our products.

After eleven years spent in the sector, and more importantly, in restyling vehicles of the

Audi and VW marques (3023 models designed so far), our staff members have acquired specialist

knowledge not only of the vehicles we work on, but also of the philosophies of the marques themselves.

“Caractère” products areThe products we call “post-VW-Golf IV” were all manufactured in PU RIM from the outset in Germany to ISO 9000, approved

by the German TÜUVV and launched on the market in PU RIM. This latter method of manufacture has brings a number of advantages,

such for instance,as a very high finish of injection-moulded products, and the speedrapidity of the rate of production.

In addition, the flexibility of the material makes mounting easy, and in our view also means that our

products will be compatible with the new European standards in 2005 on pedestrian safety.

Once in our production workshops, the body parts are inspected by us and then packaged

(with screws and bolts, grilles, adhesive, and mountings) for greater ease of mounting, and

then carefully packed for trouble-free shipping.

All of our parts come guaranteed against faulty manufacture.

Since PU RIM is the fastest manufacturing method, we are able to respond to significant demand levels

(capacity to produce up to 25 items per day per mould).

Our new infrastructure (3000 m²), which has been in place since September 2001, was custom-built and equipped

specifically for our purposes, and provides us with the best possible working environment.

Our trump card over our competitors

As we have a large storage floor space in our factories we can hold a large amount of stock,

covering the entire “Caractère” range (10510,000 items, more or less),

which allows us to respond to orders without delay.

We sell in South Africa, Algerie, Germany, Austria, Saoudi Arabia, Belgium, Brazil, Brunei, Canada,

korea, Denmark, United Arab Emirat, Spain, Finland, France, Greece, United Kingdom, Guatemala,

Hong Kong, Indonesia, Ireland, Italy, Japan, Luxembourg, Malaysia, Malta, Mexico, Norway, Netherland,

Poland, Portugal, Russia, Singapore, Sri Lanka, Sweden, Switzerland, Taiwan, Turkey, U.S.A.

This was the launch of our “Research and development for perfecting a product for a model (and not a “universal”-type product)” department, which entails not only a modified design but also quality and ease of mounting of the products on the vehicle.

Our stock is considerable, which allows us to deliver to customers at short notice, even in large quantities.

Advantages of the company

Since PU RIM is the fastest manufacturing method, we are able to respond to significant demand levels (capacity to produce up to 25 items per day per mould).

As we have a large storage floor space in our factories and our financial resources are far larger than when we started, we can hold a large amount of stock, covering the entire “CaractèreCaractere” range (10,000 items, more or less) which), which allows us to respond to orders within a very short space of timewithout delay.

Our new infrastructure (3000 m²), which has been in place since September 2001 and for which the final budget was 1,000,000 Euro, was custom-built and equipped specifically for our activitiespurposes, and gives provides us within the best possible working environmentconditions for working.

ThisOur internal “Research and Development” department, consisting of two designers, responds as soon as any new model is announced (including the rarest of models), and works on the development of body styling for it as soon as it comes outis released, although our aim is not to be the first on the market, but rather the best, by combining designing and quality.

Our staff arestaffs are very meticulous concerning very concerned about the quality of our products.

After the eleven years spent in the sector, and more importantly, in restyling vehicles of the Audi and VW marques (23 models designed so far), our staff members have acquired specialist knowledge not only of the vehicles we work on, but also of the philosophies of the marques themselves.

The fruit of our work is shown in the constant rise in our turnover of 309% from year to year.

Our targets for 2003

We intend to develop body styling kits for the VW Touareg, Audi A3, VW Golf V, VW Beetle Cabrio and as well asa sets of alloy wheels.

Our sales worldwide

Austria, Australia, Belgium, Brazil, Brunei, Canada, Switzerland, Sri Lanka, Germany, Denmark, Algeria, Spain, France, Finland, Great Britain, Guatemala, Greece, Hong Kong, Italy, Japan, Luxembourg, Malta, Malaysia, Mexico, Norway, Dutch Antilles, Netherlands, Poland, Taiwan, Indonesia, Korea, Sweden, Saudi Arabia, Singapore, USA, South Africa.

VW/AUDI distributors of our products

Luxembourg, Australia, Dubai, Holland, Spain (file currently being studied by the importer).