#1Tesla Motors Investor Presentation January 2014 T TESLA Jeff Evanson VP Investor Relations#2Safe Harbor Statement T TESLA Certain statements in this presentation, including statements relating to Model S demand, market share and gross margin; future manufacturing expansion, future store, service center and Supercharger network opening and expansion plans; and statements regarding future. vehicles such as Model X and Gen III are "forward-looking statements" that are subject to risks and uncertainties. These forward-looking statements are based on management's current expectations, and as a result of certain risks and uncertainties, actual results may differ materially from those projected. The following important factors, without limitation, could cause actual results to differ materially from those in the forward-looking statements: delays in the ramping of production. capacity and delivery of Model S, including the ability of suppliers to supply parts at desired. quality levels and quantities; market acceptance of electric vehicles in general and new Tesla vehicle models, specifically Model S, Model X and Gen III; Tesla's ability to control the costs associated with our business; Tesla's ability to establish, maintain and strengthen the Tesla brand; Tesla's ability to execute on its retail strategy and for new store, service center and Supercharger openings; potential difficulties in finding suitable Tesla store, service center and Supercharger sites as well as the risks and uncertainties identified under the section captioned "Risk Factors" in our quarterly report on Form 10-Q filed with the SEC on November 8, 2013. Except as required by law, Tesla disclaims any obligation to update information contained in these forward-looking statements.#3T Introduction#446 Our goal when we created Tesla a decade ago was the same as it is today: to drive the world's transition to electric mobility by bringing a full range of increasingly affordable electric cars to market. T TESLA "" -Elon Musk | CEO#5Corporate Overview TESLA Headquarters Palo Alto, California T TESLA TESLA Tesla Factory Fremont, California Founded: 2003 Employees: ~6,000 Retail Locations: 100+ Tesla Electric Miles Driven: 190 million TESLA 0000000 EUROPE Tesla Assembly Tilburg, Netherlands Design / Advanced Eng. Hawthorne, California#6Solid Foundation For Future Success T TESLA Brand Partnerships IP Leadership Financial Management#7Comprehensive Capabilities Direct feedback loop accelerates development Design Engineering T TESLA Mfg Stores Value Chain Service Charging Customers#8Tesla Culture Our Greatest Asset T TESLA Move Fast Do the Impossible Constantly Innovate Reason from "First Principles" Think Like Owners We are ALL IN wjo#9T Roadmap#10Culture Drives Success Proven by Model S T TESLA 1. Streamlined Development • Developed in ≈2 years Cost to market $650 million 2. Better vehicles. "The best car we have ever tested" Consumer Reports 3. Superior Economics Profitable on low volume 25%+ gross margin (LT target) Market share gains are the evidence#11Leading F-Segment Vehicles US Units Sold YTD thru Q3'13 T TESLA 16,000 14,000 12,000 10,000 8,000 6,000 4,000 2,000 Tesla Model S MB S-Class BMW 7-Series Lexus LS BMW 6-Series Audi A7 Porsche Panamera#12Invest to Grow Vehicles, Production, Customer Support T TESLA Vehicles Production Customer Support#13Strong Growth Potential Tesla 2013 Market Share T TESLA TTT T 2-3% of the U.S. premium auto market (with minimal penetration) 1% of the global premium auto market ≈ 0.02% share of the global auto market#14Expand Production Supply Chain & Capacity T TESLA Suppliers Production Capacity MIN-048091 VIAT#15Customer Support Stores & Service T TESLA 55 retail outlets in North America 24 in Europe 4 in Asia More stores & service centers coming#16Customer Support Supercharging Vancouver Seattle Portland Washington San Jose Oregon San Francisco California Nevada Los Angeles Las Vegas San Diego T Idaho TESLA OMexicali Utah Montana Arizona oPhoenix Tucson Gulf of California Wyoming Denver Colorado Albuquerque New Mexico Ciudad Juarez North Dakota Chihuahua Municipality South Dakota Nebraska United States Kansas Winnipeg Oklahoma Texas Monterrey Fort Worth ODallas Austin San Antonio vietota Minneapolis O Kansas City lowa O Houston Arkansas Today Wisconsin 1 Milwaukee Q Missoun St. Louis Illinois Lou siana Chicago Mississippi Michigan Indiana Tennessee Detroit Kentucky Alabama Ohio 0 Columbus Atlar ta O Georgia West Virginia Tampa Toronto Jacksonville Florida North Carolin 0 Charlotte South Carolina Virginia Pennsylvania Miami Ottawa Montreal O O New York Maryland Quebec City New Vermont Connecticu Delaware New Hampshire Maine Massachusetts New Jersey New B Vancouver Sea Portland San Franc San Jose Washington Oregon California Nevada Angeles Calgary San Diego Idaho Las Vegas Montana Arizona Phoenix Tucson Gulf of California Wyoming Denver Albuquerqu New Mexico Ciudad Juarez North Dakota Chuahua Municipality South Dakota United States Nebraska Kansas Winnipeg Texas Fort Work oDallas Monterrey oma San Antonio Free long distance driving, forever Austin Minneapolis Kansas City louva Houston Arkansas Louisi 2015 Wisconsin Missouri St. Louis Mikee Q Illinois Ontario Chicago Mississippi diana Tennessee chigan Alabama Kentucky Detroi Columbus Atlant O Ohio Georgia West Virginia Tampa Toronto Jacksonville Florida Neth Carolin Charlotte- South Carolina Pennsylvani Virginia Ottawa Montreal O fork Quebec ryland New Quebec City Delaware mont New Hampare Ma Massachusetts necticu New Jersey New Brun#17T Vehicles#18T TESLA Units F 37 14 14 MOTOROLA Time 1000 (E BLACKBERRY 12121m SOIN#19Tesla Product Strategy Better Driving at a Lower Price T TESLA Units $$$$ 1st Generation $$$ 2nd Generation Time $$ T TESLA 3rd Generation#20Roadster T TESLA 0 - 60mph: 3.7 seconds EPA Driving Range: 244 miles Base Price: $109,000 ●#21Model S - Most Awarded Car of 2013 TIME MEN'S JOURNAL MOTOR TREND CAR OF THE ➤YEAR 2013 T TESLA MAKAME ARE AWE COTA TI IND LASS Popular Mechanics cnet YAHOO! POPSCI Automobile ConsumerReports Ⓡ#22Your Only Car Most Capable & Convenient T TESLA Over 80% of Tesla owners use Model S as their primary vehicle EL 19817#23Model X A New Vehicle Category Functionality, style & performance Dual motor AWD Starts production late 2014 T TESLA#24Gen 3 Next Vehicle Platform Targets T TESLA D-segment sedan Available in 3 years Base price $30-35K Tesla performance & range Category-leading gross margin#25T Corporate Capabilities#26Design Inspired by the endurance athlete Blend of aerodynamics and beautiful design. Incredible interior utility and cargo space Details: Door Handles, Charge Port, Key, Panoramic Roof T TESLA#27Vehicle Engineering Entirely in-house team All aluminum chassis construction (Extrusions, stampings, and castings) Lightweight, low center of gravity & high torsional rigidity 5-star NHTSA rating T TESLA#28Powertrain Engineering Integration Value: A system that is greater than the sum of its parts Small Cells T TESLA TILI haan anna 200317 alon I J andarci Battery Inverter Motor Gear Box#29Software Engineering Advanced software Core focus and Tesla DNA - Battery Management - Motor Control - Diagnostics - Touchscreen - Traction and Stability Control Customizable and upgradable T TESLA VIN 65 9:41 AM T Home Charging 2 hr 21 min remaining 150 Rated Range PAX KANGE 3500 Door Crook Rd Palo Alto, CA 11 Cherge Olmale VIN 65 T Home ED Charging 2 hr 21 min remaining 150ml 3500 Deer Creek Rd Palo Alto, CA Rated Range MAX RANGE Controle Charge ACCOUNT 11:11 AM Climate Location 71th F Media Sunroof CONTROLS Driving Trips/ Range Displays E-Brake & Power Off Nay CHARGE PORT M SUSPENSION VERY HIGH HIGH STANDARD LOW JACK DOORS & LOCKS LOCK ALL COMFORT STANDARD FRONT TRUNK TRACTION CONTRO OFF Controls Energy TRUNK ON T LIGHTS OFF HEADLIGHTS OFF Web SPORT Settings ON PARKING Camera STANDARD AUTO 3G BEGENERATIVE BRAKING ON LOW Phone CHARGING AMBIENT DRL 9:39 AM PASS AIRBAG OFF FOG AUTO#30T TESLA Powertrain Manufacturing Highly scalable Superior cost dynamics Trade secret methodologies Vehicle Manufacturing Efficient Multi-platform Superior ECO throughput FATT Schoen VLS#31Reinventing Sales Distribution & Marketing Combined Superior customer experience Streamlined purchase process Direct relationship Capture retail mark-up More efficient T TESLA TESLA BARCE ALS TESLA 16 Santa Monica Store TESLA 1227#32Reinventing Service Best Service is No Service T TESLA 2004 100000 * No Scheduled Maintenance (ROTAR TESLA Valet Loaner Service Ranger Remote Service#33T Questions?