NEW RANGE ROVER EVOQUE MAKES DYNAMIC U.S. DEBUT IN CHICAGO

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Audi starts 2019 with around 144,650 automobiles sold

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WORLD PREMIER OF ALL-NEW 2020 SUBARU LEGACY SEDAN

February 8, 2019

WORLD PREMIER OF ALL-NEW 2020 SUBARU LEGACY SEDAN

— 2.4-liter Turbo Boxer Engine and Subaru Global Platform bring
enhanced dynamic performance to Subaru’s flagship sedan —


Marking 30th anniversary of its debut, Subaru’s flagship sedan has been significantly upgraded


Superior driving dynamics with Subaru Global Platform and an available 2.4-liter direct injection turbo boxer engine


Refined and innovative interior featuring new tablet-style 11.6-inch screen


Superior safety based on Subaru’s comprehensive safety philosophy


Sleek, yet bold exterior design expressing solid toughness and dynamic in-motion feel

Tokyo, February 8, 2019 – Subaru Corporation unveiled the all-new 2020 Legacy sedan (US Spec) at the 2019 Chicago Auto Show on February 7 (local time in Chicago).

Subaru Legacy, which has been Subaru’s flagship sedan since its debut in 1989, turns into the seventh generation with this all-new model. In its 30 years of history, Legacy has been enriching the lives of its owners as a vehicle that accompanies them in their day-to-day lives, by offering a broader range of lifestyles and enjoyment. Legacy has gained customers’ trust by delivering this value through the generations. This seventh generation also carries the same value and has enhanced it under the product concept of “a sedan offering a go-anywhere, do-anything driving experience with a peace of mind”.

The all-new Legacy is powered by either a 2.4-liter turbocharged BOXER engine delivering strong torque output from low RPM or a 2.5-liter normally-aspirated BOXER engine with improved efficiency thanks to direct injection system. Combined with the new engine is Subaru Global Platform which optimizes the body rigidity, and Legacy’s dynamic performance has been significantly enhanced as a result. In addition, Subaru’s exclusive EyeSight driver assist system comes standard in all trims and now equipped for the first time in the U.S. with the Advanced Adaptive Cruise Control including new Lane Centering function. Driver monitoring system*1 also supports the safe driving and brings peace of mind to passengers.

The exterior design incorporates sleek silhouette that appears to be in motion even when stopped, larger thickness in profile panel surfaces and a thicker appearance. As a result, the Legacy embodies solid toughness and a dynamic active image at the same time. For the interior, an updated infotainment system featuring 11.6-inch tablet style large screen has been applied and adds innovative new functions to the high quality interior which Legacy has carried for generations.
With a lot of additional enhancements, the all-new Legacy will deliver safer and more enjoyable life with “a sedan offering a go-anywhere, do-anything driving experience with a peace of mind” which meets the demands for the coming era
The 2020 Legacy will go on sale at U.S. Subaru retailers this fall.

Main features of the new Legacy (US Spec)

■ Enjoyment and peace of mind in any driving scene supported by superior dynamic quality

Improved control, stability, ride comfort, and quietness of new Legacy enable a worry-free driving in a variety of scenes, from cities to long drives, in any weather conditions

Chassis and body that support superior dynamic quality

・Application of Subaru Global Platform, which makes the vehicle body significantly rigid compared to previous model, ensures accurate steering response, greater ride comfort and quieter cabin space

・Significant enhancement in dynamic quality thanks to stiffer and lighter body structure with Subaru first full inner frame construction in which the outer panels are welded to the structure after the entire body framework is assembled

・Newly designed dampers and reduced unsprung weight due to the application of lightweight parts including aluminum lower L-arm contribute to much improved handling and ride comfort

Subaru unique mechanisms and technologies for distinctive driving experience

・Standard Symmetrical All-Wheel Drive offers stable drive in any road conditions

・Available 2.4-liter turbocharged BOXER engine generates strong torque from low rpm and delivers smooth acceleration

・Updated Lineartronic*2 with wider gear range and re-worked hydraulic system transfers engine power more efficiently and achieves better fuel economy and superior driving experience

■ High-quality and innovative interior space

Quality interior design, relaxing cabin space with improved packaging, and advanced feature with innovative functions provide comfort and enjoyment for all passengers

Innovative features for convenience and comfort

・Updated Starlink infotainment system with available 11.6-inch tablet-style touch screen equipped with a newly designed Human Machine Interface enables smartphone-like operation of various functions consolidated on one large screen

・In addition to Apple CarPlay*3, AndroidAutoTM*4, the SUBARU STARLINK now supports SmartDeviceLinkTM*5 which enables the use of various apps regardless of smartphone operating system

・Telematics system with additional functions including Wi-Fi hotspot and remote engine starter for more convenience

・Available Driver Monitoring System, which can alert the driver to signs of drowsiness or distraction on the road as well as automatically adjusting driver settings for seat position, door mirror angles and air-conditioning preferences with utilization of face recognition technology

High quality, comfortable interior design

・Subaru first tan-colored Nappa leather seats for a newly added top-of-the-line trim ‘Touring’

・Enlarged windshield and long line motif extended from the center of the instrument panel to the door panels express a relaxed and open atmosphere of the cabin space

・A color of the seat material is applied on a part of instrument panel consisted of 3 different surfaces to create a sense of openness

・Thick center console and arm rests surrounding passengers provide sense of protection

・Carefully selected materials for high quality feel throughout the entire cabin

Well-considered packaging and convenient features for a comfortable feeling

・Windshield has been moved forward and the front door windows moved outward for a class-leading driver visibility

・Extended overall vehicle length allocated for both rear passenger space and trunk space to improve passenger comfort and versatility at the same time

・New PTC heating system for quicker heating in winter (For 2.4L Turbocharged Boxer engine equipped model)

・Front seat ventilation standard for Touring trim

・Adjustable seat cushion length (driver only) for Limited and Touring trim level

■Functionality that supports various lifestyles

New Legacy is equipped with the functions that support wide range of active lifestyles, beyond traditional sedans

High functionality covers wider range of activities

・Standard roof carrier brackets for easy installation of roof carrier

・Large trunk space which can swallow four full-size roller bags

■ Overall safety top in its class

The new model offers safe and enjoyable driving for all passengers at all times and in all settings—not just in emergencies—based on Subaru’s philosophy of overall safety.

Outstanding visibility recognizable at a glance as soon as driver get into the car—Primary Safety

・The excellent high eye-level view and careful optimization of the shape of the pillars have reduced blind spots and provides outstanding visibility

・Well-considered interface layout to reduce unnecessary eye-movement while driving

・Optimization of the seat shape and cushion materials helps to reduce driver fatigue

Driving performance driver can depend on in the unlikely event of an Incident—Active Safety

・Active Torque Vectoring ensures that the driver is in control of the vehicle, exactly as the driver intended

Comprehensive advanced safety systems—Preventive Safety

・Subaru’s exclusive EyeSight driver assist system comes standard in all trims and now equipped for the first time in the U.S. with the new Advanced Adaptive Cruise Control including new Lane Centering function

・EyeSight assist monitor notifies the system activation status with LED lighting projected on the windshield

・Driver Monitoring System supports safe driving by providing a warning when it detects signs of distraction or drowsiness

・Standard LED headlights for better nighttime visibility

・Reverse Automatic Braking helps to avoid collisions when reversing and mitigates the damage in case of collision

・Subaru Rear Vehicle Detection system senses vehicles approaching from the rear and gives audio and visual alert

・Front view monitor captures images within the driver’s blind spots in front of the vehicle and displays a 180-degree view on the 11.6-inch display

Class-leading passenger protection—Collision Safety

・Optimized body structure with the adoption of Subaru Global Platform ensures class-leading passenger protection

・An increase in the amount of high-tensile steel panel materials ensures improved protection in frontal, side and rear end collision

■ Exterior design with strong presence

Following Subaru’s common “Dynamic x Solid” design philosophy, the exterior design of Legacy features sleek silhouette that appears to be in motion and solid toughness as a sedan with strong presence

Bold, yet sporty front face

・Frameless hexagonal grille adds sportiness to the Legacy

・Combination of wide lower grille intake and fog light bezels with C-shape motif emphasizes Legacy’s stability and low-center-of-gravity

Side silhouette that emphasizes a sense of stability and speed

・Not just expressing a sense of speed with a combination of the smooth side silhouette and dynamic window graphic, the side view of Legacy also emphasizes strength with bold door panel surfaces, bulging fenders and wheel-arch accents

・Re-designed side mirror with a motif streamlined through window frame

Wide stance rear design with sense of stability

・Wide motif shared with the front end emphasi..

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Notice Regarding Year-on-Year Changesin Consolidated Financial Results for the Third Quarter of FYE 2019

February 7, 2019

Notice Regarding Year-on-Year Changes
in Consolidated Financial Results for the Third Quarter of FYE 2019

Company name:SUBARU CORPORATION
Representative:Tomomi Nakamura, President and CEO
Code number:7270 (First Section of Tokyo Stock Exchange)
Contact for inquiries: Katsuo Saito, Vice President
and General Manager of Administration Department
Phone: +81-3-6447-8825

Subaru Corporation hereby notifies year-on-year changes between the consolidated financial results for the third quarter of FYE2019 (April 1 – December 31, 2018) announced today and the corresponding third quarter of the previous year. Details are set out below.

1. Year-on-Year Changes in Consolidated Financial Results for the Third Quarter of FYE 2019

Net sales
Operating
income
Ordinary
income
Net income
attributable to owners
of parent
Net income
per share

Third quarter of FYE 2018 (A)
Millions of yen
2,437,749
Millions of yen
306,305
Millions of yen
303,116
Millions of yen
152,843
Yen
199.35

Third quarter of FYE 2019 (B)
2,377,413
153,669
157,042
118,220
154.18

Increase or decrease (B-A)
(60,336)
(152,636)
(146,074)
(34,623)

Percentage change (%)
(2.5)
(49.8)
(48.2)
(22.7)

Note: The Company has changed its accounting policies with effect from the first quarter of FYE 2019. Accordingly, the new policies have been retroactively applied to FYE 2018 results before carrying out year-on-year comparison and analysis of net sales figures.

2. Reasons for the Changes

In the automotive business, Unit sales in Japan decreased by 20,000 units (17.1%) year-on-year to 98,000 units, as sales of Impreza, Subaru XV and Levorg declined, offsetting strong demand for the fully-redesigned Forester launched in July 2018.In overseas markets, Subaru kept strong momentum on retail sales with growth in its largest North American market driven by the newly-introduced Ascent and the Crosstrek (“Subaru XV” outside North America). On the other hand, consolidated overseas unit sales fell by 19,000 units (2.8%) to 664,000 units, as deliveries of the Forester decreased before the launch of its fully-redesigned version and deliveries were adjusted to optimize local inventory levels mainly in the U.S. market.

Aerospace Company sales rose year-on-year, driven by increased production of components for the C-2 cargo transport aircraft for the Japanese Ministry of Defense and an increase in other defense R&D contracts. Sales in the passenger aircraft sector were lower than the same period of the previous year, largely due to a decrease in Boeing 777 production.

As a result, consolidated net sales for the third quarter of FYE 2019 declined by ¥60.3 billion (2.5%) year-on-year to ¥2,377.4 billion.

Operating income declined by ¥152.6 billion (49.8%) year-on-year to ¥153.7 billion for factors such as an increase in quality-related expenses due to recall campaigns notified in November 2018 and a decrease in consolidated unit sales. Ordinary income decreased by ¥146.1 billion (48.2%) year-on-year to ¥157.0 billion. Net income attributable to owners of parent fell by ¥34.6 billion (22.7%) to ¥118.2 billion.

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