Dear Shareholders:

On behalf of the board of directors, I hereby present the annual results of Brilliance China Automotive Holdings Limited for the year ended 31st December, 2009.

The year 2009 had been an extraordinary one for China. Although many developed countries still experienced the economic slowdown caused by the global financial crisis, China’s economy was able to rebound sharply and ending the year with an impressive GDP growth rate of 8.7% as a result of the various policies and stimulus packages introduced by the Chinese government to boost domestic consumption. The Chinese auto industry had also benefited and recovered strongly from the deceleration of 2008, and reaching a recording-breaking sales level of 13.6 million units for the year, an increase of 46.1% from the previous year. China has become the largest auto market globally. In 2009, sales of passenger vehicles had also surpassed the 10 million mark for the first time, representing an increase of 52.9% from the previous year.

During the year, the Group had undergone tremendous transformation. The disappointing performance of the Zhonghua sedan business in the past had adversely influenced and suppressed the true intrinsic value of the Group. Therefore, during the year management decided to exit the Zhonghua business via a disposal to the Huachen Group, the Group’s major shareholder. The disposal will not only provide an immediate earnings enhancement but will also enable the Group to refocus its management and financial resources on the development of its existing profitable businesses and potential new ventures. The transfer had taken effect on 31st December, 2009, and the significant losses recorded for 2009 was primarily a result of the operating losses incurred by the Zhonghua business during the year, as well as writedowns and losses associated with the sale of the Zhonghua operation.

With respect to our minibus business, despite a competitive operating environment, the Group continued to maintain its market leading position in 2009. A total of 78,968 minibuses were sold in 2009, representing an increase of 6.9% from the 73,863 units sold in 2008. The deluxe minibuses had shown a particularly impressive sales volume increase of 21.3% during the year, primarily driven by the new Granse model which has been very well received by the market since its launch in 4Q2009.

The BMW Brilliance joint venture registered sales of 44,888 units in 2009, an increase of 28.0% over that of 2008. The joint venture’s cost cutting effort has continued to show results, as demonstrated by the 39.0% increase in profit contribution to the Group from the joint venture in 2009 compared to that of the previous year.

Looking into 2010, despite the strong industry rebound experienced in 2009 and a good start for the first quarter of this year in terms of sales volume, there remains risks from both a macroeconomic correction and an overall industry slowdown standpoint.

The Group has entered 2010 after a year of profound changes, and is now operating on two profitable businesses and a new corporate vision. There will be no more losses associated with the Zhonghua sedan business starting in 2010. Going forward, the Group will focus on our core businesses of minibus and the BMW joint venture. With its long history, established track record and strong brand recognition, we expect our minibus business to continue to be a stable profit contributor to the Group. We will pursue growth of our existing products, while at the same time expand our horizon via new product introduction as well as potential new ventures by working with our long-time partner Toyota or other major strategic players in the segment.

As for our joint venture with BMW, we were delighted to announce recently details of our Phase II expansion plan to build a brand new facility with designed capacity of up to 300,000 units. This new plant will commence production in year 2012 on a stepwise basis to complement our existing facility, and will allow for the introduction of new BMW products for domestic production in China in addition to the current 3 and 5 series ones. Based on 2009 sales volume, China has already become BMW’s fourth largest market worldwide. We continue to have great confidence in the growth potential of the premium auto segment in China, and with the introduction of our brand new 5-series long version sedan in the second half of this year, we expect to see good volume growth for the year. At the same time the joint venture will continue to implement cost cutting measures in an effort to further improve margins. The BMW joint venture is also expected to enter the auto finance arena in the second half of the year, once regulatory approval is granted to commence operation. With the major expansion of our joint venture’s production capacity, its two shareholders, the Group and BMW AG, are more committed than ever and we are exploring with our partner BMW on other potential means to further tighten our cooperation.

Last but not least, I would like to take this opportunity to express my sincere appreciation to our shareholders, business partners, management team and all other employees for their continued support and dedication to the Group.