[SARAFIL]

Short version... BMW lease deals (or deals in general) aren't so hot which is a big change from what we've been used to for years.

Long version... It had already been mentioned here, but BMW lease programs are getting much worse. Or I should say, closer to reality in terms of residuals and BMW is backing off the incentives. Also eliminated MSD program and making other cuts to full maintenance, etc. I think it's a few factors - they are overexposed to leasing, indicators say new car sales have probably peaked in the US, volume of off lease cars is really high and all the incentives + drop in used car values are hurting bottom line. BMW is repositioning in US market and going w/ a profit vs. volume priority. However while BMW sales are dropping in the US as a result, global sales are up and setting new records- so they are hardly struggling, just focusing more on Asia where they can make better returns right now. They aren't interested in chasing the #1 crown in US at all cost anymore.