AAG/WR 100 Day Post-Merger Integration Plan Prepared by: 11/10/01 True Blue Consulting Natasa Azman Werner Arnaud Despierre Judson Duncan Graham Goodrich Daryl Leach WR Due DiligenceConfidential Summary -1- Source: True Blue Consulting Agenda The purpose of today’s meeting is to secure GAI’mitment to the proposed AAG/WR integration initiative. Where Are We Today? Where Do We Want To Go? How & When Will We Get There? WR Due Diligence Summary -2- Source: True Blue Consulting Where are we today? AAG Must Position Itself For Future ess 6 Factors Shaping Future AAG Current State Enhanced ess In The Automobile Industry via WR? n Cross-divisional integration to capture Independent, highly economies of scale & scope anizations 9 o Value-added suppliers / Brands slowly migrating to manufacturing partners larger shared supplier base 9 p Improved quality while decreasing Some quality concerns, manufacturing pared to best-in-class 9 q Customer-centric brand portfolio Balanced portfolio of well management regarded, premium brands 9 r Frequent model introductions Time-to-market generally on pace petition 9 s Increased sales & distribution Limited presence in EM’s, channels, CRM strategies initial CRM efforts positive 9 AAG’petitive position relative to emerging ess factors: Weak Average Strong WR Due Diligence Summary -3- Source: True Blue Consulting Where do we want to go? AAG’s Challenge: Unlock $ (NPV) In Synergies True Blue identified dozens of revenue enhancement and cost savings opportunities, of which $ billion are readily quantifiable. TOTAL VALUE OF AAG/WR SYNERGIES Market-Based Synergies TOTAL $1,235 NA Expansion $90 Positioning $85 Operations- Quality Impact $209 Based Synergies AR Mgmt. $96 G&A Consolidation $120 Inventory $127 100 Day Focus AP Mgmt. $140 Focus will be on achieving “quick-hits”(purchasing, Purchasing $168
