Shaping sustainable cities Group Review 2020 Schindler Sustainable urban landscapes

Shaped by dedicated people and leading technology

Schindler moves people and goods, connecting vertical and horizontal transportation systems, enabling the shaping of sustainable urban landscapes – now and in the future.

Our values Dedicated to safety and quality, creating value for the customer, with integrity and trust, committed to our people. Building on foundations laid over five generations, these values are at the core of our organization, now and in the future.

Safety Keeping our passengers, customers, and employees safe is paramount to the way we operate.

Quality For our customers and the 1.5 billion passengers we move every day, we aim to deliver genuine Swiss quality, based on leading technology, precision engineering, and innovative, sustainable solutions. Our mantra is “do it right the first time, every time.”

Creating value Our customers are at the heart of what we do: their success is our success. for the customer We design and deliver our products and services according to their needs in order to move people safely and sustainably.

Integrity and trust We have been a trusted partner for our customers and the communities we serve for more than 145 years. We follow the highest standards of professional and personal conduct in all our relations, be it with colleagues, customers, suppliers, competitors, or the communities in which we operate.

Committed to Our employees are our most valuable asset. Their passion, ambition, and our people collaboration are the cornerstones of our culture and success. Their expertise and commitment create value for our customers, drive innovation and technology leadership. We foster lifelong learning and empower employees to help shape the future of our company. 2020 In CHF million Δ % 2020 2019 Δ % local currencies Order intake 11 018 12 123 –9.1 –3.2

Revenue 10 640 11 271 –5.6 0.4 Operating profit (EBIT) 1 032 1 258 –18.0 –11.0 in % 9.7 11.2 Operating profit (EBIT), adjusted 1 185 1 1 314 2 –9.8 –2.5 in % 11.1 11.7 Financing and investing activities –39 –57 Profit before taxes 993 1 201 –17.3 Income taxes 219 272 Net profit 774 929 –16.7

Earnings per share and participation certificate in CHF 6.72 8.04 –16.4

Cash flow from operating activities 1 581 1 185 3 33.4 Investments in property, plant, and equipment 130 225 –42.2

As of December 31 Order backlog 8 687 9 042 –3.9 2.4 Net liquidity 2 669 2 046 30.4 Net working capital –967 –600 61.2 Number of employees 66 674 66 306 0.6

1 Adjusted for restructuring costs (CHF 135 million) and expenses for BuildingMinds (CHF 18 million) 2 Adjusted for restructuring costs (CHF 38 million) and expenses for BuildingMinds (CHF 18 million) 3 Before settlement of pension obligations (CHF –157 million) CHF 1 342 million

Dividend per registered share/ participation certificate Dividends proposed by the Board of Directors

2020 2019

Registered share 4.00 4.00 Subject to approval by the General Meeting, the dividend Participation certificate 4.00 4.00 will be paid on March 29, 2021 Order intake Revenue In CHF million In CHF million 11 018 10 640

EBIT margin Return on equity Number of employees In % In % As of December 31 9.7 19.6 66 674

Order intake and revenue Net profit In CHF million In CHF million Order intake –9.1% Revenue –5.6%

10 374 10 989 11 669 12 123 11 018 7661 884 9481 929 774 9 683 10 179 10 879 11 271 10 640 2016 2017 2018 2019 2020 2016 2017 2018 2019 2020 1 Before exceptional items

Revenue by region Market capitalization In CHF million as of December 31

Asia-Pacific Americas EMEA 25 706

28% 27% 45% 215

1981 1991 2001 2011 2020

Contents

2 Milestones 6 Schindler in brief 8 Statement of the Board of Directors 12 Shaping sustainable cities

50 Business review 51 Highlights of 2020 54 Markets 58 Examples of major orders

62 Sustainability 64 Innovation and technology 66 40 years in China

68 Information for our shareholders 70 Five-year overview 72 Key figures registered share/participation certificate 73 Additional information

74 Financial calendar 75 Important addresses

The Financial Statements are available separately Milestones

When writing this letter one year ago, To prevail, adaptability has become the Confirming Albert Einstein’s famous quote most of us had no idea how the COVID-19 rule of life and the key success factor for “Necessity is the mother of all inventions,” pandemic would go on to define 2020, companies. In business, adaptability is adaptability is also the catalyst for faster even to the point of challenging some of defined as “quickly responding to chang- digital transformation. Challenged by the very basic elements of our society. ing trends, innovation, destabilization, heavier cost pressures and competitive industry shifts, and so forth.” It means landscapes that are more intense than Going through the same exercise twelve processing new information, while ever, companies are forced to break down months later, one might expect that we simulta­neously adjusting to fast-changing organizational silos and optimize data would have learned how to be humble conditions. Amongst other aspects, ­utilization to reach their full potential. In before anything else. Sadly, the anxio- adaptability is reflected in accelerated 2020, we continued to invest in our path genic cacophony of the exploding post time-to-market for new products and in to become a data-driven organization, COVID-19 predictions paints a different timely adjustments of cost structures to automating workflows in labs, factories, picture. Rather than feeding the discord, preserve ­competitiveness. While we must offices, construction sites, and service routes. I prefer to focus on some of the early continue to improve on this critical front, ­lessons from the travails of the year 2020. Schindler rose to the challenge, for It is precisely thanks to our past investments instance by reducing structural costs and in digital transformation that the company The months in lockdown and uncertainty by bringing our range of Schindler Clean- could adapt to the abrupt shift to remote have been a pressure test for our ways Mobility ­solutions to the market in record working. The way in which more than of living and working, and – at the same time, to support customers in dealing 20 000 office staff managed to seamlessly time – a testament of human resilience. with the shock of the first pandemic wave. transfer their workplace to their homes, supporting the field colleagues in servicing our customers and keeping essential infra- structure moving despite the unprece- dented circumstances, would have been unthinkable only a few years ago. Just like “The months in in our factories, where production never stopped to secure the timely delivery to lockdown and our projects around the world. uncertainty­ have been ­ a pressure test for our ways of living and working, and at the same time - a testament of human- resilience.”

2 | Schindler Group Review 2020 Milestones

If technology plays an undeniable role, The other key lesson from the experience “Nothing can be a none of the above would have been of the last twelve months is that nothing – ­possible without the resolve of Schindler’s not even technology – can be a substitute substitute for standing employees. As we continue to grow and for standing by your customers, especially by your customers, expand to more areas of the world, in moments of need. Whether in hospitals, especially in moments so does our workforce. Integrating this schools, government buildings, or retail of need.” forceful evolution into our culture is, spaces, our customers asked us to be in itself, one of the most fundamental closer to them than ever. In response, aspects of adaptability. In 2020, we we introduced new products, and adapted ­reaffirmed our commitment to inclusion our service programs and installation and diversity by joining the Valuable 500 schedules to support them in keeping initiative, refining our programs on how their organizations alive. Our customers to best include differently abled people know that we are with them for the long in our operations. Because diverse teams term, caring for their buildings from the make better decisions,1 attracting and moment we design their equipment, developing top talent from all regions, onwards to installing it and servicing it all and in all stages of their professional the way through the whole life cycle. maturity, is a cornerstone of our people promise.

1 The Diversity Bonus: How Great Teams Pay Off in the Knowledge Economy, Scott E. Page, 2017

“Adaptability has become the rule of life and the key success factor for companies.”

Schindler Group Review 2020 | 3 Milestones

That same “life cycle” philosophy echoes One of the prevalent questions relates to To cope with the incessant growth over the environmental, societal, and gover­ the “new normal” and more specifically centuries, cities too have had to adapt. nance (ESG) aspects that are emerging to “the future of work.” Because urban One consequence of the ongoing pan- from the ongoing health crisis. The areas are the base for the vast majority of demic is that the sustainability of urban increasingly louder calls for approaching employment, this point raises the issue life will be much more in focus. This is crit- business with a view to include all stake- of the future of cities, which some experts ical, as cities consume over 75% of natu- holders align with the values Schindler leaped to declaring relics of the past since ral resources, produce over 50% of global has embraced since it was established, the beginning of the pandemic. waste, and emit between 60% and 80% 146 years ago. One key difference in of greenhouse gases.2 Buildings and con- today’s world is that companies can no For thousands of years, and after every struction today account for as much as 3 longer afford the privilege of remaining epochal crisis – be it earthquake, fire, 38% of global CO2 emissions. Figures of modest about their contributions to society. famine, or plague – cities have bounced this magnitude beg the question of how The corporate citizenship narrative has back to become even bigger and stronger. densely populated areas can become become a key feature of the expectations In other words, judging by history, even more livable, healthier, and ultimately from markets, customers, investors, after COVID-19, urban areas will continue ­sustainable. The same applies to how to and employees. To remain competitive, to prevail, fueled by people attracted rethink transport infrastructure, building ­companies are required to adapt their by the unique opportunities they feature, usage, and office layouts to make them communication approach accordingly. particularly in terms of employment, more human-centric and inclusive. ­education, healthcare, and social life. So much for lessons. Now, looking ahead, One first answer is well known and refers what are the key priorities to be addressed to the fundamental aspect of efficient as the world is trying to rebuild? allocation of constrained space. Because urban land is a limited resource, buildings must grow vertically in order to optimize surface usage per inhabitant. This means that this principal macroeconomic driver for our industry – together with an aging population – remains strong.

2 Circular Economy in Cities, Ellen MacArthur Foundation 3 2020 Global Status Report for Buildings and Construction, UN environment programme, 2020

4 | Schindler Group Review 2020 Milestones

But this cannot be enough for Schindler. Besides our incessant efforts to reduce The years to come will present new According to the EU Commission,4 emissions in our core business, we have ­obstacles that will require even greater 80% of all buildings in 2050 already exist been pushing the boundaries of our adaptability. Being future-ready means today and not even 1% of them complies ­traditional product portfolio with our starting now with our efforts to gain with the emission limits set by the Paris start-up BuildingMinds, leveraging our more agility and innovative power, while Conference of the Parties (COP) Agreement.5 experience with real estate customers ­securing the financial health of the Therefore, the efforts to adapt urban to drive change in an industry known ­company at all times. areas and buildings – i.e., by including to be reluctant to innovation.6 more effective vertical transportation – To conclude, I would like to take this must start right away if we want to be The Software-as-a-Service platform we opportunity to thank our investors for ready to meet our commitments towards have been co-creating with our customers their continued trust and support. Your future generations. follows a cutting-edge, AI-based approach capital enables us to remain independent, for gathering and analyzing all data entrepreneurial and free to invest in a ­generated in a building and consolidates more sustainable future for the generations “Efforts to adapt it into a single model designed to make to come. I would also like to thank our urban areas their usage more efficient and sustainable. customers for the privilege of their business, our true “raison d’être.” Last, but certainly and buildings All in all, so many battlefronts may seem not least, I want to express my whole- must start right away a lot, but they are only the beginning hearted gratitude for the dedication and to be ready to meet of what will constitute the main challenge hard work of our employees, who have our commitments going forward, for businesses and for been making Schindler what it is for ­ our planet. 146 years, all the more so in a year that towards has confronted us with unprecedented future generations.” challenges.

Silvio Napoli, Chairman of the Board of Directors

4 EU strategy for a climate neutral Europe by 2050, 2018 5 Accelerating Building Decarbonization: eight attainable policy pathways to net zero carbon buildings for all, World Resources Institute, 2019 6 McKinsey Global Institute: Industry Digitization Index, 2015

Schindler Group Review 2020 | 5 Schindler in brief

Schindler elevators, escalators, and moving walks transport more than 1.5 billion of us up and down buildings and across transportation hubs every day. Together with our customers, we help organize cities: by moving people and goods, and connecting vertical and horizontal transportation systems.

Since our foundation in Central Switzer- supporting a better quality of life in cities. land in 1874, Schindler products and At Schindler, we engineer vertical mobility services have been a key part of the urban for our customers, so that cities can environment. Drawing on this legacy, continue to move efficiently, comfortably, Schindler has been pioneering new safely, and sustainably. technologies for future mobility and

Founded Revenue in CHF million 1874 10 640

Number of employees Net profit in CHF million 66 674 774

6 | Schindler Group Review 2020 Schindler in brief

Global presence Products and services Schindler has over 1 000 branch offices Schindler offers smart and sustainable modernization. Our state-of-the-art in more than 100 countries, as well vertical mobility solutions for buildings transit management systems support as production sites in eight countries and of all sizes, types, and forms. We work efficient and comfortable movement six R&D facilities around the world. with our customers across the whole life across buildings and infrastructure cycle of an installation – from planning networks. and installation to maintenance and

Headquarters R&D Ebikon, Switzerland Brazil China Products Residential elevators Commercial elevators Escalators and moving walks Production sites Germany Austria India Brazil Switzerland China USA India Services Modernization Maintenance Slovakia Switzerland USA Vietnam Technologies Transit management Plan and design Digital solutions

Schindler Group Review 2020 | 7 Statement of the Board of Directors

Every market around the globe Functioning elevators has been negatively impacted and escalators are regarded by the COVID-19 pandemic. as essential services.

We remained on course We continued our journey with our long-term to become a data-driven objectives. organization.

We intensified our sustainability efforts.

8 | Schindler Group Review 2020 Statement of the Board of Directors

In 2020, the COVID-19 pandemic Our financial results reflected the resolve confronted the world with unprecedented Schindler employees to perform in the face of this unprece- challenges. Our way of life had to around the world dented combination of hostile condi- change dramatically, and society at large have shown resilience tions. Order intake decreased by 9.1% to has been responding by displaying a and solidarity. CHF 11 018 million, corresponding to readiness to adapt that surprised most. ­ –3.2% in local currencies. Revenue Only a few services are regarded dropped by 5.6% to CHF 10 640 million, essential to preserve critical infrastructure. In response to the health emergency, equivalent to an increase of 0.4% in local Functioning elevators and escalators are Schindler launched CleanMobility currencies. Operating profit (EBIT) among them. Whether in hospitals, in solutions in record time-to-market. reached CHF 1 032 million, correspond- public buildings, or in other system-critical This new range of touchless, sanitization, ing to an EBIT margin of 9.7%. Net profit institutions, vertical transportation and physical-distancing innovations amounted to CHF 774 million, and cash continues to play a vital role in keeping boosts hygiene and safety in vertical flow from operating activities improved life going. transportation. These solutions have to CHF 1 581 million. been embraced by our customers, including hospitals and providers of The appreciation of the Swiss franc Whether in hospitals, in essential infrastructure. against all major currencies led to public buildings or in other additional pressure on consolidated system critical institutions, Notwithstanding such rare opportunities, revenue and profitability, reaccelerating vertical- transportation every market around the globe has been the trend of the last ten years, during continues to play a vital negatively impacted by the COVID-19 which foreign currency headwinds ­role in keeping life going. pandemic. The construction sector – negatively impacted Schindler’s revenue and with it the E&E new installation and by CHF 2.6 billion, and dampened the modernization markets – contracted company’s operating profit (EBIT) by Schindler employees around the world abruptly, with no recovery in sight to CHF 375 million. have been rising to the challenge with 2019 levels until 2022, at the very resilience and solidarity, continuing to earliest. Only a few markets, such as Faced with this new reality of contracting deliver for our customers and for our China, managed quick recoveries, while markets and even stronger foreign communities, regardless of the unprece- remaining volatile. currency headwinds, the company had dented circumstances. They keep to take the necessary measures to maintaining equipment and installing remain competitive and to be able to new units, running our factories, and Schindler continues fulfill our growth agenda. The cost delivering essential services while to be a reliable partner optimization program, announced in July working from home. The Schindler for customers and for 2020, realigned capacities and resources workforce has also come together to the community. with diminished global demand, resulting donate personal protection equipment, in the reduction of about 2 000 jobs to support the construction of emergency worldwide within two years. This hospitals, and to collect donations for reduction is to be viewed in the context local emergency initiatives. We are of the significant expansion of our global deeply grateful for their commitment footprint over the last decade, with which is a testament to our corporate about 24 000 employees added to our values. workforce of 66 674 people in 2020.

Schindler Group Review 2020 | 9 Statement of the Board of Directors

Despite the adverse environment and Through Schindler Ahead, the pioneering all these fast-evolving challenges, we IoT platform of the elevator and escalator The year 2020 marked the remained on course with our long-term industry, we continued to increase the launch of our new modular objectives, kept accelerating innovation, number of connected units, paving our elevator generation in and continued to invest in technology. way for the transition to cloud connectivity key markets. and functionality across our maintenance First and foremost, we continued our portfolio. From 2021 onwards, all newly journey to become a data-driven installed elevators will be automatically In the past year, we intensified our organization. In 2020, we made strides connected to the cloud, irrespective sustainability efforts. The newly formed in implementing our digital road map, of their location. “Sustainability Committee,” led by the aiming to reduce complexity and CEO, drives the implementation of the transform our products and services Our Technical Operation Centers (TOCs) goals and priorities defined in our to be even more customer-centric. are now fully operational. This global sustainability road map. Furthermore, we Our Digital Twin program reached a key network of technical specialists and data started a materiality and risk assessment milestone on the volume escalator analysts cares for our customers’ and a climate scenario analysis, in order product line, with the digitization of our connected units, treating the data to lay foundations for our sustainability design process and the interfacing with collected through the cloud and closing program beyond 2022. Finally, Building- manufacturing operations. Next will be the loop between equipment data and Minds, Schindler’s Berlin-based start-up our elevator business, where the Digital field action – all in real time. The for integrated building management Twin development is well under way. overwhelmingly positive response from solutions, released its first product. The our customers confirms the strategic platform, based on an industry-specific imperative of technological investment. Common Data Model, unifies data and We made strides in information silos on location, spaces, implementing our digital The year 2020 marked the launch of our usage, energy consumption, and ­roadmap, aiming to reduce new modular elevator generation in key equipment – including elevators and complexity­ and transform markets across Europe and Asia-Pacific. escalators – in one single digital ecosystem ­our products and services This innovative, highly energy-efficient enabling holistic real estate portfolio to be even more customer product range offers a seamless and management. The cloud-based solution centric. interactive user experience, user-friendly is the result of close co-creation with design options structured around a innovation-minded partners. streamlined component variance, giving architects increased design freedom. Schindler Holding Ltd. closed the fiscal Customer feedback is very positive, year 2020 with a net profit of CHF 615 and we will complete the rollout in the million (previous year: CHF 600 million). Americas and in China in 2021. The Board of Directors will submit a proposal to the forthcoming General Meeting of March 23, 2021, for a dividend of CHF 4.00 per registered share and per participation certificate.

10 | Schindler Group Review 2020 Statement of the Board of Directors

Looking ahead, demographic changes For 2021, barring unexpected events, To conclude, we would like to thank our and sustainable urbanization – among the company’s revenue growth is expected customers for the privilege of their other global megatrends – will continue to reach levels between 0% and 5% business and for entrusting Schindler to be conducive to our business and in local currencies. As in previous years, with their vertical transportation demands. drive demand for more vertical space to the guidance for net profit for 2021 Finally, we would like to express our live and work in. At the same time, the will be provided with the publication of sincere gratitude to our shareholders, global recession induced by the COVID-19 the half-year results. for their trust and their essential support pandemic, political tensions, increasing to the company, and to our employees national debt, and slowing global trade, for their extraordinary contribution in underpinned by historically low interest these challenging times. rates, will continue to affect markets, creating a volatile economic environment.

Silvio Napoli Prof. Dr. Pius Baschera Chairman of the Board of Directors Vice Chairman of the Board of Directors

Schindler Group Review 2020 | 11 Shaping sustainable cities

Shaping sustainable cities

12 | Schindler Group Review 2020 Shaping sustainable cities

chindler combines innovation, tech­ Around the globe, Schindler is helping to Snology, and smart mobility with high build the future – as you can see when riding ethical standards and respect for the envi­ on the metro system in Atlanta, roaming ronment. In the world’s growing metrop­ through a sparkling jewel in Singapore, olises, Schindler products and services moving around a digitally connected tower enable quality of urban living for current in Frankfurt, or boarding your plane at the and future generations. futuristic new airport in Beijing.

Schindler Group Review 2020 | 13 Shaping sustainable cities Atlanta Metropolitan Atlanta Rapid Transit Authority

14 | Schindler Group Review 2020 Shaping sustainable cities

Schindler is modernizing the escalators and eleva- tors of the Metropolitan Atlanta Rapid Transit Authority (MARTA), to provide eco-friendly trans- port for 310 000 passen- gers every day.

MARTA

115 million passengers per year

111 116

ith around 115 million passengers Weach year, MARTA is the eighth-­ largest public transport system in the USA. Four lines – blue, green, red, and gold – extend into all directions of the city, cover­ Fast ing around 76 kilometers and serving 38 stations. Schindler’s work covers each of these stations. “The escalators and eleva­ tors have been in operation for 40 years,” says Matthew Johnson, Senior Project moderniza­ Manager at Schindler in charge of mod­ ernization. “Some of them are even original tion for city Schindler installations,” he said. commuters

Schindler Group Review 2020 | 15 Shaping sustainable cities Atlanta Metropolitan Atlanta Rapid Transit Authority

Five Points – the busiest and most central prietary innovative solution for escalator metro station – is a hive of activity. At upgrades, enhancing performance, and street level under the treetops, people increasing energy efficiency. stand chatting, coffees in hand. Under­ ground, inside the station, Matthew The systematic approach used with Johnson­ opens a nondescript-looking Schindler InTruss means the work can door, behind which workers are busy be completed quickly and efficiently on putting the final touches to an escala­ site: existing escalators are dismantled tor. Nathan Quarles, Safety Manager at without having to be moved, leaving the Schindler: “This project runs like a well- truss in place, before they are cleaned oiled machine. Our employees are well and painted. Next, they are rebuilt with trained, so they make my job easy.” Jeter components that consume less electricity, 1 Barnhill, Project Manager Capital Pro­ while receiving more efficient drive sys­ grams at MARTA, expresses it this way: tems and smarter energy management “We are making the “MARTA succeeds if Schindler succeeds software. “We are making the infrastruc­ infrastructure safer and Schindler succeeds if customers are ture safer and more sustainable with and more sustainable­ happy – which means high ride comfort state-of-the-art technology, to ensure with state of the art and minimum disruptions.” passengers can continue to use this crit­ technology.”- - - ical infrastructure,” says Johnson. “Swift The escalators are the main focus of this installation times are key to keeping Matthew Johnson Senior Project Manager at Schindler project. Schindler is modernizing about Atlantans who rely on their city’s metro 60% of the metro system’s existing system moving.” units by using Schindler InTruss, a pro­

2

16 | Schindler Group Review 2020 Atlanta Shaping sustainable cities Metropolitan Atlanta Rapid Transit Authority

1 Jeter Barnhill, Project Manager Capital Programs at MARTA (left), in discussion with Matthew Johnson, Senior Project Manager at Schindler 2 Five Points is Atlanta’s most central and busy metro station 3 Dedicated work – modernizing the metro 4 Entrance to Peachtree Station – which, at 37 meters below ground, is the deepest metro station in the network

3 4

Quick facts Red Line A 10-year project for the eighth-largest public transportation Gold Line 76 38 km of railway lines stations in total system in the US Buckhead Lenox

Civic 4 Center Peachtree 227 Green Line Center 24 units

Blue Line Five Points 3 30% 33 completed All stations are American Disabilities Act (ADA) and code compliant, to ensure that people with disabilities have Stations under construction featured in this story easy access and can navigate Other stations under construction buildings and communal spaces. All other stations to be completed by 2026 Status of work as of November 2020

Schindler Group Review 2020 | 17 Shaping sustainable cities Atlanta Metropolitan Atlanta Rapid Transit Authority

The lockdown saw entire stations close Paul Atcheson, Project Manager Mainte­ temporarily. Shortest of sitting idle nance, who has worked for Schindler since Schindler rose to the challenge by accel­ 1994, agrees: “It is all about the people erating work on the project. “As soon Schindler InTruss is an in the field and about trust. This project as we knew that our people could work innovative solution for has been a success because we put our safely, we went full steam ahead. This has escalator upgrade core values into practice each day. Schindler made our partnership with MARTA even is a huge company, but working for it is stronger,” says Johnson. The customer Minimizes building disruption like being part of a family.” His son now took notice. “Schindler has a very pro­ Retention of existing truss allows also works for the company. In Atlanta, active team – especially when it comes the building to continue normal ­Schindler traditions continue. to logistics and communication. And operations during installation. communication is crucial – we trust one Reduces user inconvenience another,” says Israel Shahdaiah, Resident Shortened lead and completion Engineer at MARTA. times enable faster return to service for the escalator. 1 The lockdown saw Enhances escalator performance entire stations close New components and technology temporarily. Shortest improve passenger comfort and safety,­ of sitting idle Schindler as well as equipment reliability. rose to the challenge by Improves aesthetics accelerating work on Contemporary design and stylish the project. materials create a bold, fresh look.

Increases energy efficiency Technology upgrades significantly lower energy consumption.

Paul Atcheson’s son “Communication now also works for the is crucial.” company. In Atlanta, Schindler traditions Israel Shahdaiah continue. Resident Engineer at MARTA

1 Paul Atcheson, Project Manager Maintenance at Schindler 2 One of the 12 modernized units in the Five Points Station 3 Daily teamwork

18 | Schindler Group Review 2020 Atlanta Shaping sustainable cities Metropolitan Atlanta Rapid Transit Authority

Safety is paramount: No incident nor injury since project start.

2

3

“It is all about the people in the field and about trust.” Paul Atcheson Project Manager Maintenance at Schindler

Schindler Group Review 2020 | 19 Shaping sustainable cities Atlanta Metropolitan Atlanta Rapid Transit Authority

Leading from the front at MARTA

“The focus here is on “I am a strong having genuine people advocate of two who really want to work principles: together and are capable always be one of doing so.” step ahead, and get it right first time.” Brandon Peoples, Mechanical Engineer at MARTA

Dominic Guthrie, Mechanic at Schindler with responsibility for 40 escalators on MARTA’s east- west route

Angela Denson is Construction Office Engineer at MARTA and responsible for the verification of inputs between Schindler and the operator of the metro system

“I am grateful to have a job where I can learn something new every day.”

Joshua Elliott, Quality Manager at Schindler, visits every construction site once a day to check the equipment – but also because he cares about the employees working there. He knows from his own experience what happens in the field and what colleagues experience. “At Schindler, people recognize my work. My managers see my potential and they support my development.”

20 | Schindler Group Review 2020 Atlanta Shaping sustainable cities Metropolitan Atlanta Rapid Transit Authority

Kevin Honeycutt, Project Foreman at ­Schindler. He is passionate about his work and supports employees – even at weekends, when necessary.

“My colleagues are “I apply my people who have been in the industry for up to personal 30 years. The inner values to my workings of elevators and escalators are second daily work.” nature to them and I can see how I am gradually– getting to grips with how everything functions.”

Allison Myatt, Assistant Project Leader at Schindler. The latest addition to the team, she has been working for Schindler since August 2020. Prior to that, she worked in the tech sector.

“It is important to me to take my time when I go on my daily safety rounds in order to speak to every employee.”

Nathan Quarles, Safety Manager at Schindler. He began his career 25 years ago on a Schindler construction site. His son has since followed in his footsteps and is also working for the Schindler Group. Schindler Group Review 2020 | 21 Shaping sustainable cities Singapore Jewel Changi Airport

Jewel Changi Airport

Seamlessly connecting all terminals

51 67 60 Sparkling jewel

Jewel, the nature-themed entertainment and retail complex within Singapore’s Changi Airport, is a real showpiece: an evergreen landscape with a direct connection to the rest of the world. Schindler’s panoramic elevators add to the ­visitor experience, while the pioneering Schindler Ahead technology secures a safe and efficient passenger journey.

22 | Schindler Group Review 2020 Shaping sustainable cities

Schindler Group Review 2020 | 23 Shaping sustainable cities Singapore Jewel Changi Airport

1 ewel is like a large, polished gemstone. Schindler’s reputation in Singapore, built J Home to the world’s tallest indoor over decades of collaboration with local waterfall, its interiors resemble a plant- developers, played a key role in securing filled greenhouse, flooded with light. the project. Schindler’s Hugo Martinho, Shops, restaurants, and a hotel are spread who laid the groundwork for the project across ten storeys and 135 700 square as local Managing Director at the time, meters – all within the building’s vast commented: “The two teams understood glass dome, positioned at the heart of the each other. We are proud to have helped three airport terminals. create this prestigious building.”

Schindler was awarded the contract to install a total of 178 elevators, escalators, and moving walks in Jewel, to help trans­ port the 82 million airport visitors that Nothing is impossible pass through annually. In the lobby of YOTELAir, the hotel Schindler was awarded within Jewel Changi Airport, robots the contract to help stand ready and waiting for passen­ transport the 82 million gers. The hotel uses the robots that airport visitors that pass operate Schindler elevators auton­ through annually. omously through a digital interface. They are also used for room service and bear a certain resemblance to the Star Wars droid R2-D2.

2

1 Changi Airport with the imposing glass dome 2 Hugo Martinho, Managing Director Schindler Singapore from 2011 to 2014 3 Schindler employees know every component of every installation in Jewel Changi Airport 4 Schindler escalators transport visitors to the world’s highest indoor waterfall 3

24 | Schindler Group Review 2020 Singapore Shaping sustainable cities Jewel Changi Airport

4

Schindler Group Review 2020 | 25 Shaping sustainable cities Singapore Jewel Changi Airport

For example, the glass dome was already “I am so proud to in place when the Schindler units had have been involved to be installed. It was impossible to use with a Singapore a conventional crane due to the glass national icon.” structure – and the 58 prefabricated roller Ernie Saini conveyer units, each weighing 6 tonnes, Leader of the Building Information would normally have been lifted into the Modeling Team building with the help of a crane. Instead, they had to be maneuvered through the building over a distance of 450 meters, transported to the designated location, raised and then installed. 1 Schindler’s Project Manager Parthiban Canadian-Israeli architect Moshe Safdie, Sambath recounts how the team discussed who designed Jewel Changi Airport, had every possible option before taking any a very precise idea of how the Schindler steps. He and his team had to use the units could complete the design: Safdie short time slot available between one and wanted people to be able to admire and four o’clock in the morning in order to experience the architectural wonders of transport the roller conveyers through the Jewel from every angle. Panoramic eleva­ building, as this is the time with less pas­ tors in the green spaces were the answer, sengers traffic due to limited flights. The and a great example of Schindler’s team aim was to ensure that the work caused on the ground tailoring a solution in order minimal disruption to flight operations to realize the architect’s vision, according and traffic around the airport. to Schindler Project Director Ivan Ho. The elevators offer passengers a breathtaking “For almost four years, the construction “For almost four years, panoramic view of the waterfall and fit site was a source of fascinating challenges. the construction seamlessly into the building’s surroundings. It became my second home,” laughs Sam­ site was a source of bath. After the opening, he brought his fascinating challenges. Schindler had to draw on the full breadth wife and children to visit Jewel, to show It became my of experience to achieve these results. the sparkling jewel that had kept him busy second home.” With a creative and pragmatic approach, for the last few years. teams on the ground were able to find Parthiban Sambath Schindler Project Manager a safe and viable solution to all of the technical and architectural challenges that presented themselves.

1 Ivan Ho, Schindler Project Director 2 Parthiban Sambath, Project Manager (third from the right) with his team 3 The elevators offer a fantastic panoramic view of the green spaces and waterfall 4 Schindler experts ensure smooth operation of the escalators at all times 2

26 | Schindler Group Review 2020 Singapore Shaping sustainable cities Jewel Changi Airport

3

4

The aim was to ensure that the work caused minimum disruption.

Schindler Group Review 2020 | 27 Shaping sustainable cities Singapore Jewel Changi Airport

“Schindler’s recipe for success? People!”

Amy Ramli, The Schindler units installed within Jewel Senior Project Engineer, feature the very latest generation of Schindler Singapore Schindler Ahead. “The future is all about “As an Indonesian woman, I tend to be a connectivity,” Amy Ramli says enthusiasti­ “The future little reserved. I had to start by learning to cally. “Thanks to Schindler Ahead, all ele­ speak up, express my thoughts, and put vators and escalators are now connected. is all about forward my ideas,” says Amy Ramli. She is The benefit of that is transparency on Senior Project Engineer at Schindler and is the installations performance, increased connectivity.” responsible at Jewel for the installation and uptime, and an enhanced user experience connectivity of Schindler Ahead, Schindler’s for passengers.” pioneering IoT platform and digital prod­ ucts for connected mobility. She says that Amy Ramli works with people from her line manager always believed in her numerous countries. Some of them speak Full transparency, and encouraged her to tackle new chal­ a different language, while others have insights and state of lenges, reach decisions and implement a different cultural background. When the art uptime provided- - them. She explains: “I enjoy working with asked about Schindler’s recipe for success, by Schindler- Ahead. people and that really helped me in this she says: “People. Dialogue. That is what technical environment, where I first had helps us to advance. The line managers to prove what I am capable of.” at Schindler always show real leadership. They expect a lot from their employees, but also support their development.”

Schindler Ahead This technology monitors elevators, analyzes inputs, and uses the data to identify specific, customized measures resulting eventually in improved uptime of the installa­ tion. Schindler Ahead gives cus­ tomers complete transparency about all equipment in their portfo­ lio and delivers an enhanced user experience for passengers.

28 | Schindler Group Review 2020 Singapore Shaping sustainable cities Jewel Changi Airport

“We all pulled together”

Jade Liu, Commercial Manager, Schindler Singapore

What she values Jade Liu has worked for Schindler for most about 13 years. The Commercial Manager was Schindler is the involved in the Jewel project from the begin­ corporate culture. ning: “There was a lot of mutual support in the team, and we all pulled together.” ­Contracts and agreements landed on her desk, she made her colleagues aware of potential risks, and put agreements into writing. “If I had printed and archived everything, it would have filled entire cab­ inets,” she explains, commenting on the project’s complexity. “I felt proud when the project was completed success­fully.” What she values most about Schindler is the corporate­ culture, the emphasis on people development to help employees advance, and in particular, the fact that open communication is valued here.

Kelvin Tan, Qui Hai, Head of User Experience, Managing Director, Jewel Changi Airport Schindler Singapore

“Jewel Changi Airport is an architectural “Without great professionals, you can’t wonder. It is a combination of innovation, have high-quality service. Our goal is to Always one step ahead: thanks to Schindler retail offerings, food paradise, ­leisure deliver Swiss quality in Singapore. We Ahead, the escalators operate without unplanned shutdowns attractions, and lush green spaces. We therefore aim to attract top talents and value all partners who helped to see offer them continuous training. We can Jewel to its fruition and Schindler was only rest when our customers are happy.” one of them.”

Schindler Group Review 2020 | 29 Shaping sustainable cities

The pride of the city

Omniturm is the first sky- scraper in Germany to ­connect people via a digital network: the pioneering Schindler PORT technology provides seamless mobility for the 2 200 people who visit, live in, and work in Frankfurt’s Omniturm.

Omniturm

2 200 people use Schindler PORT every day

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30 | Schindler Group Review 2020 Shaping sustainable cities Frankfurt Omniturm

Schindler Group Review 2020 | 31 Shaping sustainable cities Frankfurt Omniturm

rankfurt’s city center is bursting at the Bodo Jüngling, Head of Design & Con­ A test for F seams. How to best meet the needs of struction Germany at Tishman Speyer, Schindler CLIMB commuters and the city council alike? is delighted each time someone takes a picture of the building. “We wanted to set Schindler’s construction elevators, Accepting the challenge, property devel­ new standards – bringing office, residen­ which climb with the building, oper Tishman Speyer embarked on a tial, and public spaces together under one played a decisive role in enabling project that added a truly eye-catching roof and deploying state-of-the-art tech­ Tishman Speyer to complete structure to Frankfurt’s skyline. Rising to nology for the operation and control of ­Omniturm in record time, despite a height of 190 meters, with residential the building. That is why we gave a com­ the very cramped conditions on the storeys in the middle of the building that petence contest priority over an elevator building site. Ulrich Köhler, Instal­ extend horizontally to form a spectacular tender,” he says. lation Manager, and his 20-strong “hip swing,” Omniturm ranks as one of team used the system. “CLIMB the most photographed high-rise build­ Schindler won the competition. “We Lifts are installed in the perma­ ings in the city. scored with our CLIMB Lifts in the area nent elevator hoist ways, and they of building logistics, and with Schindler rise with them, allowing for the myPORT to digitalize the building,” movement of materials within the explains Jürgen Blank, Head of Pro­ building. This enables more of the ject Business and New Technologies at facade of the building to be closed Schindler Germany. “The successful com­ and allows work on the interior to pletion of the project was made possible begin at a much earlier stage.” by the great team effort in the company across all departments. At Schindler, we How does a CLIMB Lift work? call this form of collaboration Collaborac­ tion.” Crash deck “We scored with Protects against weather our CLIMB Lifts in Lifting platform the area of building Self-climbing logistics, and with False car Schindler myPORT Used during installation to digitalize Machine platform the building.” Contains the elevator machine Jürgen Blank Head of Project Business and New Technologies Elevator at Schindler Germany Grows with building, used to transport employees­ and materials

Total CLIMB Lifts used: 3 32 | Schindler Group Review 2020 Frankfurt Shaping sustainable cities Omniturm

“Deploying state of the art technology for the operation- - - and control of the building.”

Bodo Jüngling Head of Design & Construction Germany at Tishman Speyer

With its “hip swing,” the Omniturm is an enhancement to the Frankfurt skyline.

Schindler Group Review 2020 | 33 Shaping sustainable cities Frankfurt Omniturm

Visitors of the Omniturm immediately A total of 2 200 people per day visit, live experience the functionality of Schindler in, and work in the Omniturm. There are myPORT, already starting with the build­ different ways for individual user groups ing’s underground parking garage. Thanks to identify themselves so that they can to automatic number plate recognition, easily reach their destination using their the system allows only registered cars to smartphone, a chipcard, or a temporary proceed. Once visitors make their way access code. As soon as they log in at from the garage to one of the apart­ the entrance of the building, Schindler ments, they understand why Tishman myPORT knows the route they want to Speyer was won over by this technology: take, determines which of the eight eleva­ the elevator welcomes the passenger with tors is most conveniently located, sending an open door, automatically starts moving it to the main lobby. Schindler myPORT once the passenger has stepped inside, then directs users to the designated ele­ and then swiftly moves to the destination. vator and swiftly transports them to their “This solution connects residents, employ­ destination at a speed of seven meters per ees, and visitors alike. Schindler myPORT second. “The user experience is almost guarantees seamless mobility,” explains the same as with a tablet,” says Bodo Daniel Funke, who has technical responsi­ Jüngling. “You swipe something and then 1 bility for the Schindler installations. everything works automatically.”

As soon as visitors log in at the entrance of the “This solution connects building, Schindler residents, employees, myPORT knows the route and visitors alike. they want to take. 1 It’s a long way down: an elevator shaft Schindler myPORT in the Omniturm, which rises to a height guarantees seamless of 190 meters 2 Schindler myPORT enables routes, user mobility.” groups, and elevators to be managed precisely Daniel Funke 3 Teamwork is king: the Schindler crew Schindler technician working high in the sky

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34 | Schindler Group Review 2020 Frankfurt Shaping sustainable cities Omniturm

3

Sebastian Lurg, Head of the Schindler Schindler has since gone one step ­further Schindler PORT technology. Henning Koch Transit Management Competence Center, with digital solutions, by developing explains: “The system has everything that explains why the system is so easy to use: software interfaces for visitors and other we would want from a property in our role “We installed a support landscape that building management systems. Jürgen as the first digital asset manager.” encompasses every angle of the building, Blank is convinced: “Like smartphone and we integrated network technology apps, building operators aim to provide The fact that Frankfurt’s new jewel, and the IP structure into the Omniturm, customers with a broader choice of designed by the architecture firm BIG and then connected all 147 apartments. digital building services in the future. ­Bjarke Ingels Group, has so rapidly found This makes Schindler myPORT an integral With more and more unique solutions, a new owner came as no surprise to proj­ect part of the digital building.” Schindler is already part of this digital ­developer Bodo Jüngling: “Omniturm is ecosystem. We will further expand our really ­something special. You can see this During the COVID-19 pandemic, Bettina leading position in the digitalization of not only from the design and the atten­ Jäger, responsible for Customer Service buildings,” says Jürgen Blank. tion to detail. You also feel it when you for Major Projects at Schindler Germany, live and work in the building.” ­experienced firsthand the significant Henning Koch, member of the Manage­ advantages that digitalized buildings offer ment Board of Commerz Real AG, the Ger­ “We installed a support their operators. “With Schindler myPORT, man real estate investor, would certainly landscape that encom we could precisely steer routes, user welcome that. The company’s open-ended passes every angle of ­ groups, and elevators. As a result, it was real estate fund hausInvest acquired Omni­ the building.” no problem to implement the legal require­ turm from Tishman Speyer even before Sebastian Lurg ments governing social distancing and to the building was completed. The decision Head of the Schindler Transit Management limit the number of people within each was motivated not solely by Omniturm’s Competence Center elevator car to the maximum permitted.” elegant “hip swing” – but especially by the

Schindler Group Review 2020 | 35 Shaping sustainable cities Frankfurt Omniturm

“Our industry is becoming increasingly attractive for women”

Bettina Jäger, At the start of your career, women Why should women join Schindler?­ Senior Customer Service Representative working in the elevator industry Schindler supports male and female were a real exception. What has employees in all areas and offers them Ms Jäger, what is the difference changed since then? opportunities to develop professionally between the service concept for For customers, it is increasingly impor­ and personally. The number of women Schindler PORT and its predecessors? tant that their needs and wishes are met. working in Sales, Service, and in manage­ Maintenance contracts usually only cover And they expect to have people they can ment positions has been growing for the elevator itself – but the situation is contact at any time. In other words, it several years. ­different here at the Omniturm. In response is becoming more and more crucial to to a request from our customer, we devel­ provide good service and to build and oped a digital solution, Schindler myPORT, maintain customer relationships – and the that enables routes and user groups to be professional opportunities that are open­ precisely managed. Therefore, we have ing up as a result are making the industry more extensive interaction with the people increasingly attractive for women. You who live and work at the Omniturm, as well can also see this when looking at people’s as a closer client relationship. career paths on Xing or LinkedIn.

What has altered most significantly over the years – the elevators or the expectations of customers? Most definitely the expectations of cus­ tomers. Their demands in terms of prod­ ucts, and services are much higher now than in the past. Today, it is no longer enough to deliver rapid elevators and reli­ able maintenance work. Empathy, a sales perspective, and the way you engage with customers are just as important. That is why, during my time as Service Man­ ager in the high-rise segment, the main focus was on combining both disciplines.

“Schindler supports male and female employees in all areas and offers them opportunities to develop professionally and Bettina Jäger has worked in the elevator industry for 35 years. She spent the last five personally.” years serving first as Service Manager before she moved to her current position.

36 | Schindler Group Review 2020 Frankfurt Shaping sustainable cities Omniturm

Schindler PORT – redefining building operation. Enabling occupants, visitors, and the general public to navigate the urban space efficiently, safely, and securely while touching C only their mobile phone or using their access card. Residential visitor

4 Resident grants visitor access to destination. ? Use myPORT 3 Visitor is granted access E to building and receives PORT at speed gates PORT Elevator PORT 4 Home PORT 4 Visitor myPORT app and card elevator assignment. Combines security Provides sophisticat­ Offers all benefits of Provides seamless Facilitates seamless, ? and transit intelli- ed vertical trans- a video intercom access control, secure, and person­ 2 Resident receives video gence for seamless portation options for solution plus unique visitor management alized access to and intercom call at PORT E access, elevator tenants and visitors elevator call and and more at a within the building. 4 Home terminal or journey, and visitor with many unique visitor guidance building’s main myPORT app. management. features. features at apartment entrance or parking ? or office door. garage. 1 Visitor arrives and selects resident contact information from PORT 4 Six elevators are Two elevators are Visitor directory. for commercial for commercial use only and residential use D

SMS SMS SMS Residential access A A 1 E 3 Resident enjoys seam- Commercial visitor less access to destination via myPORT app or by 4 Visitor receives elevator D 3 presenting card. assignment. E ? ? 2 Resident is granted E 3 Visitor presents invitation access to building and to reader at PORT 4 COMMERCIAL receives elevator assign­ Visitor or speed gates ment. and receives access to ? C 4 building. 1 Resident arrives at

? Use ­building and presents myPORT 2 Visitor receives invitation SMS myPORT app or card. via SMS, messaging app, 10AM RESIDENTAL or e-mail. E ? A 2 Invitation E 1 Occupant customizes and B 1 sends invitation contain- Parking access ing Visitor Access Code A 3 to visitor. B 2 C 3 Upon arrival, visitor SMS A 4 SMS SMS selects tenant contact information from PORT B 4 Visitor directory. Occu­ C 1+2 E pant receives video inter­ D PARKING 1+2 com call at PORT 4 Home Commercial access Use myPORT GARAGE terminal or myPORT app 2 Access control via card or and provides access.

myPORT app (optional) E ? or Tenant arrives at parking XX 12345 and receives access via 1 Occupant arrives Two dedicated Use myPORT app, registered and approaches elevators connect myPORT speed gates. the parking garage license plate, or card.

E SMS SMS SMS Schindler Group Review 2020 | 37

SMS SMS SMS Shaping sustainable cities Frankfurt Omniturm

“Like smartphone apps, building operators aim to provide customers with a broader choice of digital building services in the future.” Jürgen Blank Head of Project Business and New Technologies, Schindler Germany

1 2

3 4

Schindler myPORT welcomes the guest.

1 From underground parking garage into the building with Schindler myPORT 2 Easy access control for cyclists 3 Schindler myPORT encompasses every angle of the building 4 The terminal is as simple to use as a tablet

38 | Schindler Group Review 2020 Frankfurt Shaping sustainable cities Omniturm

1 Omniturm visitors are given access to the building 2 Touch-free travel to all designated storeys of the building with Schindler myPORT Schindler myPORT is an 3 Omniturm residents can assign each visitor access to the building via Schindler myPORT integral part of the 4 Identification via the reader is easy using a smart­ building digitization. phone

1 2

3 4

Schindler myPORT stands for seamless mobility within the whole building.

Schindler Group Review 2020 | 39 Shaping sustainable cities Frankfurt Omniturm

“myPORT addresses our wishes”

A building must be flexible enough to be able to meet all needs.

How important was Schindler PORT for you? Schindler myPORT expresses everything that we would want from a property in our role as the first digital asset manager. This solution addresses the enormous innovation that is needed for building services. That is what users and investors want.

Are you saying that people will no longer talk solely about location, location, location in the future – but also about data, data, data? The word “also” is imperative. Location will continue to play a key role – but a prime location is not much good if the building itself fails to address the topics of digitalization and sustainability. A building must be flexible enough to be able to meet all needs. That includes building sys­ Henning Koch, tems, since this is an area where you can member of the Management Board of Commerz Real AG, building owner place a lot of emphasis.

Mr Koch, why did you acquire Omni- Are digitalization and sustainability “myPORT turm for your open-ended real estate dependent on one another? represents fund hausInvest? I believe that you can’t have one without Innovative architecture is, of course, the other. Digitalization can’t function the enormous something that people like to invest in. without sustainability and vice versa. This innovation And of course, the Omniturm is in a prime is the exact direction taken by Omniturm: location, with a highly efficient floor plan, It proactively addresses the issue with required for as well as extremely innovative and flexi­ Schindler myPORT and implements it building ble building systems. We have acquired a accordingly. services.” truly state-of-the-art property.

40 | Schindler Group Review 2020 Frankfurt Shaping sustainable cities Omniturm

“We were passionate about what we were doing”

Bodo Jüngling, When you decided to use Schindler Which of the experiences you gained Head of Design & Construction Germany, Tishman Speyer myPORT, how did that affect the with Schindler myPORT will you work on site? apply to future projects? Mr Jüngling, you gave a competence We really turned everything upside down: The exchange of information facilitated contest priority over an elevator ten- Everything related to communications, by Schindler myPORT, and the potential der. Why was that? the control system, routing, access man­ behind it, is enormous. What else can this We wanted to set new standards – and agement, and the controls within the system do? How can we make ourselves the digitalization of buildings was one building – right down to the level of the fit for the future? Which requirements will aspect of this. But we first had to under­ apartments and offices. That said, we will the future of work bring along? These are stand which developments and services also be able to extend these functions all questions that we must answer when we are likely to see in the future. A com­ in the future. That is the great thing for working on projects, as we respond to petence contest was the only means of everyone involved and certainly for the developments. doing so. people who use Omniturm.

Why did you decide in favor of Schindler and Schindler myPORT? At Omniturm, residents, employees, and “Setting new standards visitors all come together under one roof – – but these different worlds shouldn’t and the digitalization of influence one another. Consequently, in buildings was one aspect of this.” the area of vertical transport technology, there was a need for solutions that incor­ porated the control options required to operate the building. It was this need that led us to Schindler myPORT.

We knew that we would be able to develop something together with Schindler and pursue new approaches. It was also clear to us that both sides would need to be there for each other and to show mutual understanding. We wouldn’t have used Schindler myPORT in a project that is so crucial for us if we didn’t already have a solid relationship of trust. When working on this scale, that is the only way.

Schindler Group Review 2020 | 41 Shaping sustainable cities

The Grand Gateway to China

42 | Schindler Group Review 2020 Shaping sustainable cities Beijing Daxing International Airport

Beijing Daxing International Airport is a structure of superlatives. It boasts the world’s Daxing International Airport largest single-building terminal and the longest ­moving walk ever built by Schindler 1 million m2 total area in China.

136 52

Schindler Group Review 2020 | 43 Shaping sustainable cities Beijing Daxing International Airport

esigned by the renowned and late “This was my largest D architect Zaha Hadid, Beijing’s Daxing project to date. In fact, International Airport has been described I think that in the area as a phoenix spreading its wings over one of project management, kilometer end-to-end, covering an area it is quite rare to have equivalent to almost 100 football pitches, the opportunity to work including gates that connect directly to on such a massive the building’s one terminal via air bridges. undertaking.” Now ranking the world’s second largest, Xu Han Fulfillment Manager at Schindler’s Beijing branch the airport has been designed to acceler­ ate passenger travel inside the building, allowing passengers to walk from the central courtyard of the terminal to any of the 79 gates within eight minutes. Schindler’s 293 smart mobility solutions for the airport and associated facilities, including 206 elevators, 35 escalators, and 52 moving walks, add to this pas­ senger convenience and have so far The project was duly named helped to transport over 10 million pas­ “­Elevator Project of the Year” by the Organizing Committee sengers. of the Global Elevator Industry Summit in 2020.

Second largest airport in the world. Designed by architect Zaha Hadid. Linked and accelerated by Schindler. Beijing population 21.5 million

The 14 central elevator units 14x Schindler also supplied the and the moving walks leading escalators for the Metro to the gates are the backbone Airport Line linking Daxing for people transportation. with Beijing.

Schindler units in total 293

The airport is designed like a Daily passenger record phoenix spreading its wings. This allows passengers to reach any gate within eight minutes. 100 000+

44 | Schindler Group Review 2020 Beijing Shaping sustainable cities Daxing International Airport

Passengers can reach every gate within eight minutes using Schindler moving walks

Social media magnet

The 14 custom-made Schindler The design of the 5500 elevators installed at the elevators is a visual entrance, now dubbed “grand expression of the sightseeing elevators,” have caused technology behind it. quite a stir on Chinese social media, as bloggers have come to check out the installations, complete with their sophisticated touch-screen displays.

Schindler Group Review 2020 | 45 Shaping sustainable cities Beijing Daxing International Airport

“Schindler has worked with the customer to create a lot of tailor made products to meet the very- high specifications of the designers.”

Xu Han Fulfillment Manager at Schindler’s Beijing branch

1

46 | Schindler Group Review 2020 Beijing Shaping sustainable cities Daxing International Airport

“It was a huge challenge,” says Xu Han, “The strict rules the 14 custom-made Schindler 5500 ele­ recalling the intensive period when he require our vators installed at the entrance: “Schindler and his team worked on completing the maintenance has worked with the customer to create adjustment tests for every single elevator, providers a lot of tailor-made products to meet the escalator, and moving walk installed in to have higher very high specifications of the designers.” the airport, the Metro Airport Line, and qualifications and These elevators, now dubbed “grand the parking facilities. And the team rose sightseeing elevators,” have caused quite greater technical to the challenge. “We coordinated all the a stir on Chinese social media, as bloggers resources to deliver the Daxing Airport expertise.” have come to check out the installations, project,” says Xu Han, who has been at Peng Zhong complete with their sophisticated touch- Deputy Manager of the mechanical Schindler for ten years and served as Proj­ and electrical operation department screen displays. Xu Han comments: “The ect Leader for Daxing Airport. “This was design is a visual expression of the tech­ my largest project to date. In fact, I think nology behind it and it is very convenient that in the area of project management, China has strict rules governing elevator for passengers to use.” it is quite rare to have the opportunity to maintenance, meaning that the instal­ work on such a massive undertaking.” lations need to be serviced at least once And of course, he is proud of the every 14 days. “This requires our mainte­ 93-meter moving walk, the longest ever However, not only the installation has nance providers to have higher qualifica­ such installation in Schindler’s history been a massive undertaking. Also the tions and greater technical expertise, as in China. The project was duly named maintenance of the Schindler elevators, well as rapid response and troubleshooting “­Elevator Project of the Year” by the escalators, and moving walks in operation skills and maintenance capabilities,” says Orga­nizing Committee of the Global requires a special approach. Lee Wei, Peng Zhong, Deputy Manager of the ­Elevator Industry Summit in 2020. Project Manager Existing Installations mechanical and electrical operation depart­ at Schindler’s Beijing branch, explains: ment, Capital Airport Equipment Operation “Passengers usually only stop using our and Maintenance Management Co., Ltd., installations at around 2 a.m., so the Beijing Daxing International Airport. “Passengers usually maintenance work has to begin imme­ only stop using our diately thereafter, and they need to be Meanwhile, passengers have been enjoy­ installations at operational again by 4.30 a.m. for the ing the custom-made solutions at the air­ around 2 a.m., so the next round of arrivals and departures.” port. Xu Han says he is especially proud of maintenance work has to begin immediately thereafter.” 1 Showcasing state-of-the-art technology: Lee Wei 14 “sightseeing elevators” Project Manager Existing Installations 2 Maintenance work is carried out on the at Schindler’s Beijing branch elevators every 14 days

Superlative moving walk 2 Amongst the 52 moving walks installed, one stretches over 93 meters, the longest ever such installation in Schindler’s history in China.

93m Schindler Group Review 2020 | 47 Shaping sustainable cities Beijing Daxing International Airport

“When doing business, you have to be smart but also kind”

After working in the elevator ­industry Not many people get the chance to work What do you enjoy most about your for 20 years, Helen Ling decided on a project like this, so it has been a real to join Schindler in 2016. She is now role at Schindler? ­Senior Vice President of Field Operations privilege for all of us at Schindler China. I have met some very interesting people North at Schindler in China. Of course, this project extends beyond here and I really enjoy working with them. the airport building itself and includes You could say that working on projects When did you first get involved with work on the subway that connects it to is more or less the same anywhere, but the new Beijing Daxing International the center of Beijing. All in all, it is a very when you are surrounded by dynamic Airport project? exciting project – challenging, but exciting. and enthusiastic colleagues, it makes the I have been involved in the project ever experience even better. Our superiors are since I joined Schindler in spring 2016. What were the main challenges you great and show us a lot of respect. When I am responsible for many different tasks, faced? doing business, you have to be smart but including communicating with customers, As a world-class airport, Daxing Airport also kind. At Schindler, everyone is very taking part in the tender process for major required the very highest quality in terms friendly and inclusive. orders, designing product strategies, and of both products and services. It was overseeing pricing. Even with 20 years of very demanding, especially as the ele­ How important is diversity to you? industry experience under my belt, vators that we supplied are basically all I think it is essential for the success of I would say that projects like Daxing Air­ custom-made. Not only did we have to any business. Schindler China already port do not come along very often. gain a deep understanding of the client’s has a relatively high proportion of female needs, but we also had to work to tight managers. The company attaches great deadlines and deliver our usual excellent importance to fostering diversity, which quality while dealing with that time pres­ includes providing women with the same “A diverse team makes sure. And of course, there was no room opportunities as their male colleagues. the working atmosphere for errors. A diverse team makes the working atmos­ more interesting phere more interesting and dynamic. and dynamic.”

“Not many people get the chance to work on a project like this.”

48 | Schindler Group Review 2020 Beijing Shaping sustainable cities Daxing International Airport

“Daxing Airport is a gateway to China”

Peng Zhong, Deputy Manager of the mechanical and electrical operation depart­ ment, Capital Airport Equipment Operation and Maintenance Management Co., Ltd., Beijing Daxing International Airport.

Beijing Daxing International Airport has just celebrated its first anniversary and it welcomed more than 10 million passengers in its first year of operation. Deputy Man­ ager Peng Zhong believes that the impor­ tance of Daxing Airport as a new gateway to showcase the image of China cannot be overstated. He describes it as a kind of “call­ ing card” – giving new arrivals their very first impression of China and thus contributing to the country’s image. The elegant and human-focused design of the airport imme­ diately impressed him when he assumed his post as General Manager in 2020. “Schindler is synonymous with performance and Peng Zhong’s role includes overseeing reliability. It is not just inspections and maintenance work of elevators, escalators, and moving walks at an airport equipment the airport. He ensures this work is deliv­ supplier.” ered to the very highest of standards – a task that also involves close collaboration with Schindler. Peng Zhong comments: “The field walk-around inspections that are carried out can be compared to the escalators, and moving walks all continue Daxing Airport is constantly thinking work of a physician who carefully per­ to operate safely and efficiently. about product innovations to further forms routine checkups. The other key enhance the experience of passengers as activity, maintenance, can be compared The focus is on identifying potential issues they travel through the airport. Take the to the work of a medical specialist who before problems occur. It is also vital for 14 Schindler 5500 elevators with glass intervenes to ensure the continued health maintenance work to be performed in cars, which offer passengers a panoramic of the installations.” advance: “We are committed to ensuring view – it is planned to equip them with the smooth operation of the installations arrival lights to make them even more With a total of 293 Schindler units, 111 in through effective maintenance programs eye-catching. He explains: “When pas­ the terminals, which will transport millions – and if any technical issues arise, the sengers are heading to departures, this of passengers around the airport each team immediately remedies them to avoid will give them swifter and more accurate year, it is vital that inspection work is car­ any disruption to passenger flows,” explains information about which elevator they ried out regularly to ensure the elevators, Peng Zhong. should take. This will not only save them time but also improve the overall efficiency The strength of the Schindler brand, of Daxing Airport.” which is recognized globally, is one reason Daxing Airport’s why Schindler became one of the partners importance as a gateway of Daxing Airport. “Schindler is synony­ to China cannot be mous with performance and reliability. It is overstated. not just an airport equipment supplier.”

Schindler Group Review 2020 | 49 Business review

51 Highlights of 2020 54 Markets 58 Examples of major orders

50 | Schindler Group Review 2020 Highlights of Business review 2020

Megatrends remain intact Business model proved Strong committment and resilient solidarity Cashflow from operating activities

Urbanization Aging society

Growing middle class Schindler employees across the Fewer people per household globe supported their communities Sustainability +33% despite challenging circumstances Technical/safety training Customer excellence A few examples of many more delivered (hours) from across the Schindler family:

1 529 829 INDONESIA customers recom- Successfully developed and deployed Employees in Indonesia have ­helped mending Schindler 1500 digital micro-learning nuggets as 54% turn the athletes’ village of the 2018 as business partner part of our commitment to employee Asian Games into an emergency training and certification hospital that is able to treat as many as 22 000 COVID-19 patients.

Seamless modular People moved each day products on digitally connected SPAIN Component variety reduced units by half ? Meanwhile, call center staff in Spain opened phone lines to anyone in need, also for topics unrelated to elevator issues. 200 million In additional initiatives throughout the world, employees donated cash collections and personal protection equipment to the public.

Schindler Group Review 2020 | Highlights of 2020 | 51 Business review

Although advancing urbanization remains the main global driver of Schindler’s business, 2020 Main focus 2020: has been a year like no other. Modularity The pandemic has impacted Schindler globally, and the ever-changing circumstances demanded Safety and passenger agility, innovation, and solidarity. well-being

Early on in the pandemic, Schindler could Even during this remarkable time, ­Schindler Adapting to new market realities learn from its experience in China, the continued to build on its deeply rooted With a clear long-term perspective and country first hit by the virus. As China culture of innovation. The growing focus a determination to generate sustained bounced back, Schindler was able to on health led to the launch of the Schindler value for all the company’s stakeholders, apply valuable lessons to its operations CleanMobility solutions in record time, ­Schindler has adapted to new market real- across the rest of the world: investing in including touchless operation and saniti- ities and continues to invest in the future. safety equipment, increasing supplies, zation solutions to promote hygiene and To preserve its competitiveness, Schindler and closely supporting employees, while passenger well-being. introduced structural realignments and ­staying closer than ever to customers. cost optimization measures, resulting in new CleanMobility the factory closure in ­Zaragoza in 2020 In a show of solidarity, Schindler employ- solutions launched and the reduction of about 2 000 jobs ees across the globe have been helping globally over the course of two years. their communities. Many employees have 8 At the same time, ­Schindler continues been working from home in order to to invest in strategic initiatives aimed ­support their colleagues in the field who Schindler’s Robotic Installation System for at enhancing the quality and customer have worked tirelessly to keep critical Elevators (Schindler R.I.S.E) was deployed centricity of its products and services, infrastructure running. commercially for the first time in ­customer as well as fostering inno­vation and con- projects, including the TrIIIple ­project in nectivity. As one of the first results, the Vienna and the Varso Tower in Warsaw, modular elevator range was rolled out the tallest skyscraper in the European in key markets across Europe and Asia-­ Union. Schindler R.I.S.E is the world’s first Pacific in 2020, receiving very positive self-climbing, autonomous robotic system customer response. Building on enhanced able to conduct installation work in an connectivity, new digital services have been elevator shaft. launched to provide our customers with tailored support and faster response times.

52 | Schindler Group Review 2020 | Highlights of 2020 Business review

Order intake and order backlog Revenue Operating profit (EBIT) In 2020, Schindler’s order intake decreased The appreciation of the Swiss franc Operating profit (EBIT) reached CHF 1 032 by 9.1% to CHF 11 018 million (previous against all major currencies led to addi- million (previous year: CHF 1 258 ­million), year: CHF 12 123 million), equivalent to tional pressure on results. Over the last which corresponds to a decrease of 18.0% a drop of 3.2% in local currencies. China ten years, this phenomenon has nega- (–11.0% in local currencies). EBIT margin recorded the highest growth, followed by tively impacted Schindler’s revenue by was 9.7% (previous year: 11.2%). the EMEA region, whereas order intake CHF 2.6 billion and dampened the com- decreased in Americas and the rest of pany’s profit (EBIT) by CHF 375 million. The result includes restructuring costs of Asia-Pacific. CHF 135 million (previous year: CHF 38 Schindler generated revenue of million), for the factory closure in Spain and As of December 31, 2020, order ­backlog CHF 10 640 million in 2020 (previous the global cost ­optimization program. EBIT reached CHF 8 687 million ­(previous year: year: CHF 11 271 million), corresponding adjusted reached CHF 1 185 million with a CHF 9 042 million), ­corresponding to a to a drop of 5.6%. In local currencies, margin of 11.1% (previous year: CHF 1 314 decrease of 3.9%, respectively an increase ­revenues increased slightly by 0.4%. million, 11.7%). of 2.4% in ­local currencies. ­Revenue dropped slightly in the Americas; Europe managed to attain 2019 levels, Net profit and cash flow from Improving momentum while Asia-Pacific generated growth operating activities in the second half driven by a strong performance of the Net profit totaled CHF 774 million of the year Chinese operation. ­compared to the previous year’s result of CHF 929 million. Cash flow from operating activities increased by 33.4%, reaching CHF 1 581 million (previous year: CHF 1 185 million, adjusted for one-off impacts CHF 1 342 million) as a result of the effective net working capital opti- mization measures implemented across the Group.

Order backlog Revenue

In CHF million In CHF million 8 687 10 640 –3.9% –5.6%

2020 2019 2020 2019 l Asia-Pacific 39% 38% l Asia-Pacific 28% 27% l Americas 29% 32% l Americas 27% 29% l EMEA 32% 30% l EMEA 45% 44%

Schindler Group Review 2020 | Highlights of 2020 | 53 Business review Markets

The Americas EMEA Order backlog Order backlog In CHF million In CHF million

29% 32% of the Group of the Group

2020 2019 ∆%1 2020 2019 ∆%1 2 467 2 901 –4.9 2 803 2 711 +6.5

Revenue Revenue In CHF million In CHF million

27% 45% of the Group of the Group

Toronto Randolph 2020 2019 ∆%1 2020 2019 ∆%1 Holland Hanover 2 911 3 274 –1.8 4 781 4 942 +0.4

Clinton Morristown Headcount Headcount As of December 31 Mexico As of December 31

San José Caracas

22% Bogotá 38% of the Group of the Group

Lima 2020 2019 ∆% 2020 2019 ∆% 14 407 14 939 –3.6 25 222 25 525 –1.2

Londrina São Paulo Santiago Buenos Aires

1 In local currencies

Production sites

R&D, IT, Digital Business

Headquarters

Training centers

54 | Schindler Group Review 2020 || Markets Business review

Asia-Pacific

Campus Ebikon (Lucerne), Switzerland Order backlog Headquarters since 1957 In CHF million Modernized in 2019 LEED Gold certificate Carbon neutral 100% green electricity 39% Helsinki of the Group

Vennesla Danderyd Riga Moscow Herlev Vilnius 2020 2019 ∆%1 3 417 3 430 +4.9 Middlesex Benelux Warsaw Berlin Kyiv Dunajská Streda Revenue Hergiswil Ebikon Bratislava In CHF million Vélizy- Villacoublay Budapest Bucharest Hafnarfjörður Vienna Sofia Locarno Conco- Istanbul rezzo Athens 28% Zaragoza of the Group

2020 2019 ∆%1 Beijing Seoul Beirut 2 948 3 055 +2.7 Xuchang Tel Aviv Suzhou Cairo Headcount Jeddah Doha Dubai Mumbai Huzhou Shanghai As of December 31 Hong Kong Yangoon Bangkok Taiwan Ho Chi Minh City Kuala Manila Pune Lumpur Singapore 40% of the Group Nairobi Jakarta

Schindler City Jiading Campus and university (Shanghai), China Pune, India 325 000 m2 area 2020 2019 ∆% Large escalator factory 200-meter test tower 4 200 students per year LEED Gold certificate 27 045 25 842 +4.7 On-site photovoltaics Johannesburg

Sydney

Auckland

Goup companies

Americas EMEA Asia-Pacific

Argentina Andorra Finland Liechtenstein Romania United Arab Australia South Korea Brazil Austria France Lithuania Russia Emirates Brunei Taiwan Canada Bahrain Germany Luxembourg Saudi Arabia UK Cambodia Thailand Chile Belgium Greece Malta Serbia Ukraine China Vietnam Colombia Bosnia-Herzegovina Hungary Monaco Spain India Costa Rica Botswana Iceland Morocco Slovakia Indonesia Mexico Bulgaria Ireland Namibia Slovenia Laos Panama Croatia Israel Netherlands South Africa Malaysia Peru Czech Republic Italy Norway Sweden Myanmar Uruguay Denmark Kenya Poland Switzerland New Zealand USA Egypt Latvia Portugal Tanzania Philippines Venezuela Estonia Lebanon Qatar Turkey Singapore

SchindlerSchindler GroupGroup ReviewReview 20202020 || Markets | 55 Business review

Market development in 2020 was heavily affected Asia-Pacific, other than China by the COVID-19 pandemic. In India the nationwide lockdown has had a strong impact on the new installa- The pandemic led to the temporary shutdown tions market, resulting in substantially of production plants in several countries as well as lower volumes, severe pricing pressure, the closure of construction sites. and liquidity issues at some smaller devel- opers. The commercial segment, was hit the hardest. Nonetheless, Schindler saw a This had an impact on the new installa- China trend of gradual recovery starting in the tions, modernization, and repairs busi- The Chinese market was the first to fourth quarter. In the same way, other nesses. The service business proved resil- recover after the crisis: following a sharp markets in the region experienced sub- ient and achieved growth, even in this decline in the first quarter, Chinese GDP stantial contraction. New installations, adverse environment. recorded a V-shaped recovery and a rapid modernization, and repairs declined resumption of construction activity. As a across all market segments, while mainte- Impacts of the pandemic peaked in the consequence, the world’s most important nance remained solid. second quarter and gradually diminished market for elevators and escalators during the second half of the year. recorded a single-digit growth. The com- Schindler’s new installations business ­However, declining markets resulted in mercial and infrastructure sectors showed contracted less than the overall market, increased competition and pricing pres- project delays and postponements. Resi- modernization and repairs were negative sure particularly in the new installations dential construction recovered quickly too. The maintenance business, however, business. after the sharp decline at the beginning recorded growth. In Australia, Schindler of the year and generated slight overall was awarded the Metro Tunnel Project in Asia-Pacific growth. Melbourne, where, once in operation, Due to the COVID-19 crisis, many econo- Schindler elevators and escalators will mies in the region contracted. This led to Despite the challenging circumstances, help transport over half a million people a steep decline in the overall new installa- Schindler managed to grow in the new every day during peak periods. tions market in Asia-Pacific with the installations and maintenance businesses. exception of China. Although modernization and repairs remained below previous year’s level, overall Schindler further strengthened its market position. From July, the consolidation of Volkslift-Schindler Elevator Co. Ltd. supported growth.

56 | Schindler Group Review 2020 | Markets Business review

The Americas Latin America In the new installations business of The COVID-19 pandemic impacted all In Latin America, new installation markets Northern Europe, the residential segment countries in the Americas, slowing down slowed across the region. Only in Brazil, showed more resilience than the com- new installations markets across the the largest market of the region, funda- mercial segment. The modernization and region. mentals remained robust in the civil con- repairs businesses slowed, and mainte- struction industry, and the residential seg- nance proved robust. In Southern Europe, North America ment, in particular, recorded unexpected the residential segment demand for ele- Even though the tough economic envi- growth. vators and escalators decreased, since ronment started to improve in the course local stimulus programs for the construction of the year, uncertainties remained high EMEA industry were not able to compensate for and hampered further development. In The pandemic has been – like elsewhere market contraction. The commercial and the US, the commercial segment suffered – a large shock for the economies in the infrastructure businesses were less the most. Activities in the infrastructure region, with severe economic and social affected. Due to their discretionary segment experienced severe delays, while consequences. Economic activity suffered nature, modernization and repairs busi- business in the residential segment in the first half of the year and started to nesses declined, while the maintenance proved more stable. rebound from the third quarter as con- business remained stable. tainment measures were gradually lifted. Schindler saw new installations, modern- Overall, Northern Europe was less affected In EMEA, Schindler generated growth ization, and repairs businesses challenged then the southern part of the region. across all product lines, except for mod- throughout the year particularly in the ernization. Growth remained robust in nonresidential segment. The maintenance the new installations business, driven by business remained robust, recording growth. the residential segment and public trans- portation projects.

Market growth 2020 New installations (units) +

– – – – China Asia-Pacific Americas EMEA Global other than China

Schindler Group Review 2020 | Markets | 57 Business review Examples of major orders

Orders by regions/territories in Asia-Pacific

Changchun Guangzhou – Hongkou District Macau SAR Serilingampally Australia – Changchun Haiyin – Xintang via Baiyun Sichuan North Road, – Healthcare complex, – Belmont Greene, Plaza, office buildings Airport to Guangzhou shopping mall, office, commercial buildings residential buildings Melbourne Changsha North railway station, and commercial – Light Rapid Transit, Surat – Melbourne Metro – Runhe Riverside Plaza, intercity railway, building metro station 12 Barra – AR Mall, shopping mall Tunnel, various stations commercial center various stations Shantou – Studio City, phase 2, Sydney – Wujiang International Guiyang – Jieyang Chaoshan shopping mall – Metro Trains Sydney Plaza, commercial center – Guiyang Longdongbao International Airport Indonesia (MTS), various stations, – Zhuzhou railway, International Airport Shenzhen maintenance contract various stations – Huawei Cloud Data – Shenzhen Great Wall India Bali – One Sydney Harbour, Chengdu Center International Logistics – Living World Denpasar,

residential building – International Hangzhou Center, office and Chandigarh shopping mall (correct name, or is it “Denpasar”?) – Sydney Metro Martin Commerce Center, – Hangzhou Xiaoshan commercial building – Beverly Golf Avenue, – Vasaka, villas Place, integrated office building International Airport – Shenzhen Metro, residential buildings Batam station development, – Zirui Fu, – Hangzhou Olympic line 14 and branch Chennai – Hotel Indigo and office buildings residential building Sports Center line 6, various stations – Chennai International Holiday Inn Resort, – Victoria Cross, over Chongqing Hefei – Qianhai Taiping Airport, integrated hotels station development, – Chongqing Jinyu – Dangshan Wanda Financial Building, commercial complex, – Villa Permata, villas office building Dacheng Nanshan Square, shopping mall, office building multilevel car parking Jakarta County, villas commercial buildings Wuhan Chicalim – Aldiron Cinde Plaza, – Chongqing Metro, – Huaqiaocheng Hefei – Wuhan Metro, line 11, – Adora De Goa, shopping mall, Cambodia line 9, various stations Chaohu Bantang east section, phase 2, residential buildings residential buildings Foshan Hot Spring Town, various stations Delhi – One Tower OCBC, Phnom Penh – Dongping Plaza, commercial center Xiamen – Nau Sena Bhawan II, office building – Chip Mong 271 Mega office building Nanjing – Jianfa Estate South phase 1, government – Rumah Susun Tanjung Mall, shopping center – Foshan Metro, line 3, – Jiangsu Garden China and Haixi buildings Barat, residential and office buildings various stations Expo Park Region, residential Faridabad buildings Fuzhou – Nanjing Metro, line 7, buildings – Pebble Downtown, Surabaya – Fujian Children Hospital various stations Xishuangbanna shopping mall – Trans Icon Surabaya, China – Jianfa Estate Fujian Nanchang – Peacock Building, Gurugram shopping mall North Area – Xinyu Tianlu Haitang hotel and – Satya The Hive, Beijing Gongzhuling, Courtyard, residential residential buildings mixed-use building – Beijing Rail Transit, residential buildings buildings Yuxi Kardanur Changping line, – Lv Ling Lan Wan, – Zhucheng Real Estate, – Yuxi Wanda Plaza, – Dhanashree, south extension, residential buildings residential buildings commercial building residential buildings various stations – Sansheng Real Estate, Shanghai Zhengzhou Kolkata – China National residential buildings – New Jiangwan City, – Zhengzhou Metro, – Bengal Ultimate Convention Center, plot F1–D, office and line 3, various stations Resort LLP, hotels phase 2 commercial buildings Hong Kong SAR Pune – Light Rapid Transit, – Amar Tech Park, metro station Tin Wing office building – Middle 11, hotel and residential buildings – New Kowloon Inland, lot 6574, residential buildings – Tai Po Town, lot 244, residential buildings – Tuen Mun Town, lot 516, residential building – Wing Hong Street, office building Fortune Tower, – 41 King Yip Street, office and office building residential building, – 368–370 Sha Tsui Chengdu, China Road, office building, 22 elevators, including modernization 6 Schindler 7000, – 625 King’s Road, 11 Schindler 5500, office buildings, Amar Tech Park, 20 elevators with 5 Schindler 5400, modernization office building, Schindler PORT, including and 2 escalators Pune, India 18 Schindler 5500 Schindler 9300 and 2 Schindler 5300 Customer: Chengdu Customer: Amar Builders Tianfu New Area Investment Group

58 | Schindler Group Review 2020 | Examples of major orders Business review

Commercial Bay, shopping mall, office buildings Auckland, New Zealand 26 elevators with Schindler PORT and Schindler Ahead, including 6 Schindler 7000 and 19 Schindler 5500, as well as 20 Schindler 9300 escalators Customer: Precinct Properties

– Parc Canberra Mo Chit Complex, Malaysia Philippines Executive Thailand Vietnam commercial building, Condominium, Bangkok, Thailand Kuala Lumpur Cebu residential buildings Bangkok Hanoi 36 elevators, including – Taman Sari, parcel K, – Marriott Hotel Mactan – Provence – AIA East Gateway, – FPT Tower, 24 Schindler 7000, residential buildings Residence Executive office building commercial building 10 Schindler 5500, and – The Exchange TRX, Condominium, – Lake Legend Kingkaew, – Vinhomes Ocean Park, 2 Schindler 5400, hotel and office Singapore residential buildings residential buildings residential buildings as well as 10 escalators buildings – Sentosa North-South – Mo Chit Complex, – Vinfast Tower, Schindler 9300 – Canberra Drive – SkyAwani 5, SkyVogue, Link, shopping mall, commercial building office building Customer: U City Condominium, SkySanctuary, phase 2, modernization – Park Heritage, Ho Chi Minh City residential buildings residential buildings – Singtel Bulk, residential building – River Park Tower, – Fernvale Lane Penampang office buildings, – Silom Square, residential buildings Executive – Penampang Suites, modernization commercial building – River Panorama, Condominium, hotels – View at Kismis – The Aspen Tree at residential buildings residential buildings Seberang Condominium, The Forestias, – The River Thu Thiem, – i12 Katong A&A, – Vivo Aspen residential buildings residential building residential buildings shopping mall, Apartments, – 21 Collyer Quay, – True Digital Park, – Vinhomes Grand Park, modernization residential buildings office building, commercial building residential buildings – Infineon, 168 Kallang modernization – Vanit Place Aree, Way, factory, office building modernization New Zealand Chiang Mai – Ministry of Home South Korea – The One Chiang Mai, Affairs, sector A, Auckland phase 1–3, office building, – Farmers Tauranga, Seoul residential buildings modernization shopping mall and – Youngpoong Building, – Mount Alvernia residential building office and Hospital – 34 Shortland Street, commercial building, – Parc Clematis, commercial building, modernization residential buildings modernization – Parc Central Christchurch Residences Executive – Invercargill Central, Condominium, phase 1, shopping residential buildings malls Wellington – Bowen State Building, Vinfast Tower, shopping mall and office building commercial buildings Hanoi, Vietnam 24 Schindler 7000 elevators with Schindler PORT Customer: Vingroup JSC

Schindler Group Review 2020 | Examples of major orders | 59 Business review

Orders in the Americas Orders in EMEA Irvine, CA – New Libeskind Argentina Colombia – Centerview, Austria Residences, CityLife, office buildings, residential buildings Buenos Aires Bogotá modernization Vienna – Sei Milano, – My Residence, – Altamorada, Los Angeles, CA – Vio Plaza, mixed-use residential buildings residential building residential building – Los Angeles building – Torre Milano, – Alto Palermo, phase II, – Azul Celeste, County Metropolitan residential building shopping mall residential building Transportation Rome – Alto Palermo, – Caracas Avenida, Authority (LACMTA), France – Metro Roma, shopping mall, residential building Purple line III, underground network, modernization – Éxito, shopping malls, various stations Lyon various stations, Neuquén modernization – 550 South Hope – Airbus, office building, modernization – Galeno, hospital – Gonzalo Jiménez Street, office building, modernization – Rome-Fiumicino de Quesada, One Madison, modernization, – Cœur Défense, International Airport residential buildings, commercial building, maintenance contract office building, “Leonardo da Vinci” Brazil modernization New York, USA New York, NY modernization Cruise ships – Maipore Ocaña, 27 elevators, – Galaxy project, – Part-Dieu Tower, – 3 ships for MSC Rio de Janeiro residential building including 25 office building Radisson Blu hotel, Cruises, 2 for Oceania – Condomínio Edifício – Terrasabana, Schindler 7000 – – One Times Square, modernization Cruises, and 1 for Conde Pereira Carneiro, residential building 22 with Schindler PORT office building Paris Norwegian Cruise Line office building, Medellín Customer: SL Green – One Madison, – Grand Paris Express, modernization – Metro de Medellín, Realty Corporation commercial building metro, various stations São Paulo various stations, – 550 Madison Avenue, Toulouse Morocco – Condomínio Edifício maintenance contract office building, new – Métro de Toulouse, Joaquim Floriano, installation, various stations Rabat office building, modernization, Vélizy-Villacoublay – Mohammed VI Tower, modernization Mexico USA maintenance – Vélizy II, shopping mall hotel, office, and – Condomínio Edifício Oakland, CA Nationwide residential building Passarelli, Mexico City Baltimore, MD – 415 20th Street, – SNCF, modernization office building, – Miyana, phase 4, – University of Maryland, office building modernization shopping mall, Baltimore County Tampa, FL Poland – Cruz Azul de office building (UMBC), maintenance – Tampa International Germany São Paulo, hospital, Bentonville, AR Airport, modernization Łódź modernization – Walmart, Washington, D.C. Berlin – SM Śródmieście, – Esther Towers, Peru headquarters, – The Homer Building, – Quartier Heidestrasse, residential buildings, office buildings office building office building, office and modernization – Museu Paulista, Lima Cleveland, OH modernization residential buildings Katowice museum – Fiesta, casino, – University Hospitals, Nationwide Cologne – Global Office Park, modernization modernization – Extended Stay, hotels, – Main station, mixed-use buildings – Universidad Detroit, MI maintenance contract modernization – .KTW II, office building Canada Tecnológica del – Buhl Building, Frankfurt Warsaw Perú UTP, office building, – Airport, terminal 3 – Pałac Kultury i Nauki, Toronto maintenance contract modernization – Messeturm, museum, modernization – SickKids, Patient Nationwide Houston, TX commercial building, Support Center, – Cencosud, retail group, – Houston Methodist modernization hospital maintenance contract Hospital, – Universitätsklinikum, Portugal various locations, hospital, maintenance contract modernization Lisbon Chile – Messe Frankfurt, – Business Park Lumia, Halle 5, office building Santiago exhibition center Various locations – Hospital Salvador e Heidelberg – MERLIN Properties, Instituto Nacional – Quartiersentwicklung shopping malls, office de Geriatría, hospital Europaplatz, hotel, buildings, maintenance office, and contracts residential buildings

Romania Italy Joy, residential building, Bucharest Montevideo, Uruguay Milan – America House, 4 elevators – Milanofiori Nord, office building, Schindler 5500 buildings U1 and U3, modernization with Schindler PORT office buildings – Steaua Stadium Customer: Taranto – Tiriac Tower, Desarrollo Inmobiliario office building

60 | Schindler Group Review 2020 | Examples of major orders Business review

.KTW II, office building Katowice, Poland 14 elevators with Schindler PORT and Schindler Ahead, including 6 Schindler 7000 and 8 Schindler 5500 Customer: TDJ Estate

– U•Center Șerban Madrid Domstolsverket, 20 elevators Vodă, office building – Santiago Bernabéu, Switzerland courthouse, Schindler 5500 with Cluj-Napoca stadium, Malmö, Sweden Schindler PORT – Banca Transilvania, new installation, Basel Customer: Castellum office building modernization – Arena Cinemas, – Record Park, office and – Titán 4, office building, Stücki Park, residential buildings modernization commercial building – Torres de Colón, Cham London office buildings – Papieri-Areal, United Arab Emirates – Consort Place, Saudi Arabia – Velázquez 88, residential buildings residential buildings office building, Spreitenbach Dubai – UCL Stratford, Jeddah modernization – Tivoli Garten, – Uptown Dubai, hotel, university campus – Telal Al Ghoroob, Various locations residential building office, and Manchester residential buildings – various airports, Olten residential building – Brazennose House, Makkah maintenance contracts – SIX, office buildings, Abu Dhabi office building – King Abdul Aziz Road, – Hospitals Grupo modernization – Media Zone, mixed-use hotel, office, and Quirón, maintenance Zurich building residential buildings contracts – Revitalization Riyadh – MERLIN Properties, Bahnhofstrasse, – King Khalid shopping malls, office commercial building United Kingdom International Airport, buildings, maintenance – SIX, office building, terminals 1, 2, and contracts modernization Birmingham the Royal Terminal – Exchange Square, – Sofitel, hotel residential and Sweden Turkey commercial building Cambridge Uptown Dubai, hotel, Spain Malmö Istanbul – 20 and 30 Station office, and residential – Domstolsverket, – Atatürk Kültür Merkezi, Road, office buildings building Dubai, UAE Barcelona courthouse cultural center, Glasgow 27 elevators with – Diagonal Business Skellefteå opera house – Buchanan Wharf Schindler PORT, including Park, office building – Kulturhuset, – Halkalı Atasporları Building 5, residential 14 Schindler 7000 and – Torre Pujades, commercial building Külliyesi, and commercial 13 Schindler 5500, as office building, Stockholm convention center buildings well as 8 Schindler 9300 modernization – Sickla Stationshuset, – Nidapark İstinye, escalators – Torre Werfen, commercial building residential buildings Customer: DMCC office building, – Yamanevler, modernization residential buildings – Ziraat Bankası, headquarters, office buildings

King Abdul Aziz Road, hotel, office, and residential buildings, Makkah, Saudi Arabia 84 elevators Schindler 5500 Four Seasons Hotel, and 76 escalators Madrid, Spain Schindler 9300 19 elevators Customer: UAQ Customer: OHL

Schindler Group Review 2020 | Examples of major orders | 61 Sustainability

Sustainability is central to the Schindler way of doing business: it defines how we work and deliver value. Building on foundations laid over five generations, We joined the Schindler is dedicated to healthy growth that benefits UN Global Compact in 2020. our shareholders as much as our customers, our employees, and the communities in which we are active.

We have translated our commitment to 1 sustainability into a road map that defines our priorities for action. Driven by the Board of Directors, this road map enables us to seize opportunities for positive action, while allowing us to better manage our most relevant sustainability risks. 60% In 2020 we have reinforced our gover­nance framework by establishing a global sustain- ability committee chaired by the CEO. We also connected long-term executive com- pensation to our sustainability goals, in addition to the accountability, time-bound targets, and performance indicators on which we report progress. This year’s LEED Gold: headquarters LEED Silver: escalator factory, elevator annual report provides information on our factory, escalator step plant sustainability performance for the first time.

For the 6th consecutive year, we have dis- Elevators and escalators make cities more closed our climate data and actions to the livable by allowing crowded urban areas Schindler is amongst the top 4% Carbon Disclosure Project (CDP), the not- (2019: Silver) to develop vertically. As the future of cities for-profit organization running the global continues to be marked by density, platform for environmental disclosure. ­Schindler’s main contribution to urban mobility will continue to come from pio- We have continued to meet customer neering smart and sustainable ways to demand for transparency on sustainability keep the world moving, particularly as the through our participation in EcoVadis, an UN Sustainable Development Goals have Carbon Disclosure Project Rating 2020 independent assessment tool which we put sustainability and inclusion on top of also use to engage our own supply chain the agenda. partners. Lastly, as an avid supporter of A– the 2030 Agenda for Sustainable Devel- opment, we joined the UN Global Com- Schindler is amongst 26% of companies that reached Leadership level in the Activity Group pact in 2020, the world’s largest corpo- “Electrical and electronic equipment”. rate sustainability initiative, to contribute (2019: B) to collectively achieving a better world. 1 60% of “Schindler City” electricity consumption in Jiading (Shanghai) is covered by on-site solar-energy production

62 | Schindler Group Review 2020 Sustainability

Elevators can last over 30 years and are 1 manufactured with materials that are up CleanMobility solutions to 80% recyclable. Through maintenance were launched to support and modernization, we can limit the need vertical transportation for total replacement and significantly in the post crisis improve the energy efficiency of the original - elevator or escalator. ­Innovation plays a key role in improving­ the environmental 2 performance of our products and services. Modularity and digitization are driving 1 Schindler ElevateMe App: Touchless elevator major developments in our offering and operation with a swipe on the phone enable us at the same time to improve our 2 Schindler UV CleanAir: Air purification system own operations. that keeps elevator cabin air fresh and hygienic

In 2020, Schindler introduced a new ­generation of modular elevators that can Priorities and Goals (2018–2022) Result 2020 ­realize significant eco-savings. Our robotic system Schindler R.I.S.E is now operational, Enhance safety 5.0 4.0 3.8 making installations in tall buildings faster, Reduce the number of employee incidents and injuries by improving our Total Case Rate (TCR) 24% safer, and more accurate. Schindler Clean- by 20% compared to 2017. 0% –20% –24% Mobility solutions were launched to ­support vertical transportation in the post-­ Attract diverse talents crisis city with a new range of touchless, Increase the number of women in the succession planning for leadership roles to 25% 22% sanitization, and physical-distancing inno- and promote an inclusive work culture. 22% 25% vations that boost hygiene and safety in elevators, on escalators, and on moving walks. When escalators are modernized, Create value in communities 4 000 students Develop our vocational education programs our latest solution – Schindler InTruss – to support communities. in over 40 countries not only reduces the consumption of resources, but also increases energy effi- Pioneer smart urban mobility 200 million 500 million ciency, passenger comfort, safety, and Increase the number of passengers using 200 ­reliability. Schindler’s digitally connected elevators and million escalators to over half a billion people per day. 40% 100% As we are progressing on our 2022 road map, learnings from the successes as well Lower vehicle feet emissions as challenges will be key in informing our Reduce CO2 intensity of our global vehicle fleet Data will be provided in the by 25% compared to 2017 (t CO e/CHF million). 2020 Sustainability Report next steps. In addition, we launched an 2 updated materiality assessment at the end of the year to ensure we keep focusing on Increase sustainability in the supply chain what really matters. Perform independent sustainability assessments 31% for 75% of our manufacturing purchases. ! 31% 75% More information on Schindler’s approach to sustainability can be found in the Sustainability Report.

Schindler Group Review 2020 | 63 Innovation and technology

Schindler has been a pioneer in vertical transportation since the company’s founding in 1874.

7 6 8 4 5 T G 3 7 5 8 H V B M Y P O R T Drawing on a strong culture and a legacy of innovation, 8 6 4 7 8 H Z R O U Y H T 4 8 7 7 7 5 6

H Z R T W A S D F A R . 1 0

H Z R T W > P O R T8 6 4 7 8 I D 3 3 6 8 9 4 G 8 7 9 1 0 6 4 8 5 9 0 0 0 8 . 1 0 Schindler continues to drive forward new solutions and H Z R O U Y H T 4 8 7 7 6 8 4 5 T G 3 7 5 8 H V B 7 7 5 6 Z R T

H Z R T W

8 6 4 7 8

1 0 6 4 8 5 9 0

1 8 . 2 0 . 3 5 4 6 . 2 0 technologies that keep the world moving while helping 7 6 8 4 5 8 H V B A E T. E S E C H Z R T W

H Z R O U Y H T 4 8 7 7 7 5 6

8 7 9 1 0 6 4 8 5 9 0 0 0 8 . 1 0

> A P P R O V E DH Z R O U Y H T 4 8 7 7 7 6

7 6 8 4 5 T G 3 7 5 8 H V B H Z R O U Y H T 4 to improve the quality of life in cities. U Y H T 4 8 5 9 0 0 0 8 . 1 0 7 7 5 6 8 7 7 7 5 6 8 6 4 7 8

8 7 9 1 0 6 4 8 5 9 0 0 0 8 . 1 0

Z R O U 7 7 7 5 6

1 8 . 2 0 . 3 5 4 6 . 2 0 1 0 . 6 0 6 6 6 . 1 7

1 8 . 2 0 . 3 5

4 6 . 2 8 6 4 7 8 0 > A C C E S S G R A N T E D 8 7 9 1 0 6 4 8 5 9 0 0 0 8 . 1 0 H Z R O U Y H T 4 8 7 7 7 5 6

H Z R O U 7 6 8 4 5 8 H V B Y H T 4 8 7 7 7 5 6 H Z R T W

8 6 4 7 8

8 7 9 1 0 6 4 8 5 9 0 0 0 8 . 1 0

W P

8 6 4 7 8

8 7 9 1 0 6 4

8 5 9 0 0 0 8 . 1 0

9 1 0 0

Z R T

29.76 300.34 Reduced time to market with better equipment data quality 29.76 0.065 Schindler’s Digital Twin accelerates development for continuous every stage of the value chain improvements in quality and of elevators and escalators – safety for passengers and tech- 0.65 from planning to operation and nicians alike. A next stage will maintenance – through ­digital include using Digital Twin for modelling and simulations. Virtual data insight, realizing the full Cube prototyping and ­analytics are potential of AI. applied in every phase of product

Field Responsive and personalized maintenance support Technicians apps facilitated by real-time data and transparency FieldLink 01 Schindler’s ActionBoard enables nected network of technical Building Call full transparency on every unit specialists and data analysts owner center in a customer’s portfolio. working side by side to turn Technical Operation Center 02 B ­Schindler’s Technical Operation data analytics into tailored, 03 Centers (TOCs) provide real-time ­concrete actions that benefit Dynamic Crowd E N E R G Y S A V I N G 29.76 support via a global, intercon­ the customer. planning Facility knowledge H E AT I N G manager 01

Action- Passengers Board C O O L I N G

51%

IoEE L I G H T I N G powered by Schindler Ahead 92%

79%

64 | Schindler Group Review 2020 Innovation and technology

Transit management system shaping the sustainable development of cities

7 6 8 4 5 T G 3 7 5 8 H V B M Y P O R T 8 6 4 7 8 Schindler PORT has created a Authorized users can navigate

H Z R O U Y H T 4 8 7 7 7 5 6

H Z R T W A S D F A R . 1 0

H Z R T W > P O R T8 6 4 7 8 I D 3 3 6 8 9 4 G suite of mobile apps and services entire building complexes to 8 7 9 1 0 6 4 8 5 9 0 0 0 8 . 1 0

H Z R O U Y H T 4 8 7

7 6 8 4 5 T G 3 7 5 8 H V B 7 7 5 6 Z R T

H Z R T W 8 6 4 7 8 that enable smoother people personalized destinations using 1 0 6 4 8 5 9 0

1 8 . 2 0 . 3 5 4 6 . 2 0

7 6 8 4 5 8 H V B A E T. E S E C

H Z R T W

H Z R O U Y H T 4 8 7 7 7 5 6 flow in buildings by reducing only a smartphone,­ badge, or

8 7 9 1 0 6 4 8 5 9 0 0 0 8 . 1 0

> A P P R O V E DH Z R O U Y H T 4 8 7 7 7 6

7 6 8 4 5 T G 3 7 5 8 H V B H Z R O U Y H T 4 U Y H T 4 8 5 9 0 0 0 8 . 1 0 7 7 5 6 8 7 7 7 5 6 waiting times and congestion. simple IT interface. 8 6 4 7 8

8 7 9 1 0 6 4 8 5 9 0 0 0 8 . 1 0

Z R O U 7 7 7 5 6

1 8 . 2 0 . 3 5 4 6 . 2 0 1 0 . 6 0 6 6 6 . 1 7

1 8 . 2 0 . 3 5

4 6 . 2 8 6 4 7 8 0 > A C C E S S G R A N T E D 8 7 9 1 0 6 4 8 5 9 0 0 0 8 . 1 0 H Z R O U Y H T 4 8 7 7 7 5 6

H Z R O U 7 6 8 4 5 8 H V B Y H T 4 8 7 7 7 5 6 H Z R T W

8 6 4 7 8

8 7 9 1 0 6 4 8 5 9 0 0 0 8 . 1 0

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8 6 4 7 8

8 7 9 1 0 6 4

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9 1 0 0 Z R T CleanMobility and passenger space solutions addressing today’s challenges As health and well-being have smartphone apps for touchless 29.76 300.34 become even more important, elevator operation, advanced

29.76 0.065 clean and touchless operation transit management, air purifi- as well as passenger space cation systems and UV-light ­solutions are part of Schindler’s saniti­zation, as well as options offering. The solutions include to limit passenger numbers. 0.65

Energy efficient products for seamless and interactive passenger experience Schindler’s new modular elevator real time. The new range also generation provides seamless ­enables adaptive maintenance, and interactive passenger expe- reducing downtime of the units, rience, also thanks to enhanced while integrating Schindler PORT. design. It gives architects in­- All these new functionalities are creased design freedom and channeled via leading cyber 01 providing building owners with security standards. instant performance tracking in 02 B 03

E N E R G Y S A V I N G 29.76

H E AT I N G 01 Digitalizing buildings to drive performance and sustainability C O O L I N G BuildingMinds, our Berlin-based ciency, value ­genera­tion, 51 % startup, lays the foundation for and decarbonization strategies L I G H T I N G the adoption of artificial intelli- of real estate portfolios, 92 % gence in smart buildings. Using thereby contributing to the an integrated cloud ­platform, trans­formation of the industry 79% BuildingMinds provides action­ toward more sustainable able insights that address effi- ­building ­management.

Schindler Group Review 2020 | 65 40 years in China years in China 40

China’s dazzling economic and social development since Firstly, China will continue to urbanize at the 1980s has seen its GDP increase more than seventyfold a rapid pace. Urbanizing up to 20 million people every year requires even more to a staggering USD 14 trillion. With more and more people urban development. Today, a typical Chinese shifting form agrarian to industrial cities, this boom has residential building has on average also contributed to a rapid urbanization. 22 floors housing a total of 176 residents. These residents will continue to rely on elevators to go about their lives. Today, over 60% of China’s total population or the Qingdao Center in Qingdao lives in cities. This compares to less than (245 m) are part of the skyline of every The second megatrend is sustainability. 20% four decades earlier, when tall buildings large Chinese city. China’s extraordinary rise as an economic in China were still an exception in the superpower has accelerated the realization then still predominantly low-rise urban As the first foreign industrial company that new, more sustainable solutions are landscape. Since then, over 700 ­skyscrapers­ to sign a joint venture in China 40 years needed for the urban mobility of the future. (defined as buildings over 200 m) have ago, Schindler is proud to have helped Schindler is leading the way with innovation­ been built in China. Now supertall buildings shape the country’s urban landscapes. in this critical field. For ­example, when such as the Ping An Finance Center in But what might the future hold for vertical brakes are activated in a Schindler lift system Shenzhen (599 m), the International urban mobility? A few megatrends are in a skyscraper, electricity is generated ­Commerce Centre in Hong Kong (484 m), likely to dominate. and fed back into the electricity network.

1980 1988 2001 2005 2006 First industrial joint venture Second joint venture: Buyout of Chinese joint Suzhou escalator production Buyout of Chinese joint of the People’s Republic of ­Suz­hou Schindler Elevator venture partners of China moves to Shanghai, and venture partners of Suzhou China (PRC) with a western Co. Ltd. is established. Schindler Elevator Co. Ltd. Shanghai elevator pro- Schindler Elevator Co. Ltd. company after China’s duction moves to Suzhou, opening and reform: China 1995 2002 resulting in the creation of 2009 Schindler Elevator Co. Ltd. the Group’s largest elevator is established in Beijing. Opening of the new escalator Headquarters of China plant in Suzhou and largest Participation in Suzhou step production plant in Schindler Elevator Co. escalator plant in Shanghai. Schindler Elevator Co. Ltd. Suzhou. Schindler, together Ltd. move from Beijing to New heights are reached and Schindler (China) Elevator with Jardine Schindler, ac- Shanghai. in the high-rise business Co. Ltd. increases to 100%. quires the majority interest in with a contract to supply the joint venture established 2004 the 484-meter ICC Tower in 1980 with headquarters in Hong Kong. in Beijing. China Schindler Elevator Co. 20% Ltd. is renamed Schindler of the Chinese (China) Elevator Co. Ltd. population lives in cities.

66 | Schindler Group Review 2020 40 years in China 

Lastly, digitalization will continue to shape 1 Schindler’s contribution to vertical urban 1 China Schindler Elevator Co. is established in Beijing mobility with specific technology eco-­ 2 40-year anniversary celebrations systems specified for Chinese customers at the Jiading campus and in collaboration with local Chinese companies. In 2020, for instance, Schindler China announced a cooperation with SenseTime to introduce the Schindler Escalator Safety Intelligent Response ­System, a breakthrough in escalator safety using AI technology. 2

Regardless of the many changes and rapid developments, Schindler’s next 40 years in China will be marked by the same themes as the preceding four decades:­ bridging cultures, innovating, investing in local talent, and full dedication to local customers.

2011 2014 2016 2017 2020 Launch of joint venture with Participation in XJ-Schindler Schindler acquires a 25% Official opening of Schindler Celebrations to mark Chinese elevator company (Xuchang) Elevator Co. Ltd. ­equity stake in Volkslift City in Jiading – with a 40 years of Schindler Xuchang Xiji Elevator Co. Ltd. increases from 46% to 51%. Elevator (China) Co. Ltd. 200-meter test tower, R&D in China. New escalator plant opens with options to purchase center, Zone China head- 2013 on Jiading campus, Shang- the remaining shares. quarters, training center, hai, and starts production. ­elevator plant, and the Schindler supplies instal- Group’s largest and most lations for China’s tallest advanced escalator plant. building, the 599-meter 2015 Ping An Finance Center in New elevator plant on Shenzhen. ­Jiading campus, Shanghai, 2018 starts production. Participation in Volkslift Elevator (China) Co. Ltd. increases from 25% to 49%. 60% of the Chinese population lives in cities.

Schindler Group Review 2020 | 67 Information for our shareholders

70 Five-year overview 72 Key figures registered share/participation certificate 73 Additional information

68 | Schindler Group Review 2020 Information for our shareholders

Market capitalization 2011 to 2020 In CHF million as of December 31 25 706

13 149

2011 2012 2013 2014 2015 2016 2017 2018 2019 2020

Return on equity before exceptional items In %

29.41 28.9 27.02 24.4 19.6 2016 2017 2018 2019 2020 1 After exceptional items: 31.6% 2 After exceptional items: 28.8%

Allocation of added value In CHF million

5% 0% 6% 2020 2019 l to the employees (salaries, social benefits) 4 069 4 250 9% l to the shareholders (dividends) 477 491 l to the company (reserves) 297 438 Total added value l to the public (taxes) 246 291 by the Group 5 084 l to the creditors (net interest charges) –5 5 Total 5 084 5 475

80%

The Group’s value added is defined as revenue less cost of materials, other operating expenses and charges for depreciation, amortization, and impairments. The allocation of the Group’s added value shows the extent to which the above stakeholders participate in this economically relevant amount.

Schindler Group Review 2020 |  69 Information for our shareholders Five-year overview

In CHF million 2020 Δ % 2019 Δ % 2018 Δ % 2017 Δ % 2016 Δ % Order intake and order backlog Order intake 11 018 –9.1 12 123 3.9 11 669 6.2 10 989 5.9 10 374 4.1 Δ % in local currencies –3.2 5.8 6.6 5.5 4.6 Order backlog 8 687 –3.9 9 042 4.9 8 618 6.3 8 106 4 10 004 6.8 Δ % in local currencies 2.4 7.6 9.7 6.5

Income statement Revenue 10 640 –5.6 11 271 3.6 10 879 6.9 10 179 5.1 9 683 3.1 Δ % in local currencies 0.4 5.6 7.3 4.6 3.6 Operating profit (EBIT) 1 032 –18.0 1 258 –0.9 1 269 6.9 1 187 4.8 1 133 5 13.1 in % 9.7 11.2 11.7 11.7 11.7 Operating profit (EBIT), adjusted 1 185 –9.8 1 314 1.5 1 295 6.0 1 222 5.3 1 160 12.5 in % 11.1 11.7 11.9 12.0 12.0 Net profit 774 929 1 008 884 823 Net profit before exceptional items 774 929 948 3 884 766 5,6

Research and development cost 204 196 178 170 148

Balance sheet Net liquidity 2 669 2 046 1 2 231 2 147 2 455 Net working capital –967 –600 –518 –467 –776 Total equity 4 006 3 883 3 743 3 268 2 847 in % of total assets 36.8 36.6 37.5 37.9 34.3 Return on equity (in %) 19.6 24.4 28.8 28.9 31.6 Return on equity before exceptional items (in %) 19.6 24.4 27.0 28.9 29.4

Cash flow statement Cash flow from operating activities 1 581 1 185 2 1 005 810 929 Investments in property, plant, and equipment 130 225 245 227 189

Number of employees 66 674 66 306 64 486 61 019 58 271 1 Implementation of IFRS 16 – Leases as of January 1, 2019: Net liquidity is reported including lease liabilities 2 Before settlement of pension obligations (CHF –157 million) and IFRS 16 – Leases (CHF 118 million) CHF 1 224 million 3 One-time tax refund CHF 60 million 4 Implementation of IFRS 15 – Revenue from Contracts with Customers as of January 1, 2018: Order backlog is reported net of already recognized revenue for contracts with customers. Order backlog as of December 31, 2017, has been restated accordingly. 5 Gain on sale of operations in Japan: CHF 50 million (CHF 31 million after taxes) 6 Revaluation gain ALSO participation: CHF 26 million

70 | Schindler Group Review 2020 | Five-year overview Information for our shareholders

2020 In % 2019 In % 2018 In % 2017 In % 2016 In % Revenue by region (in CHF million) Asia-Pacific 2 948 28 3 055 27 2 935 27 2 769 27 2 788 29 Americas 2 911 27 3 274 29 3 047 28 2 927 29 2 726 28 EMEA 4 781 45 4 942 44 4 897 45 4 483 44 4 169 43 Total 10 640 100 11 271 100 10 879 100 10 179 100 9 683 100

Number of employees by region Asia-Pacific 27 045 40 25 842 39 24 594 38 22 998 38 21 480 37 Americas 14 407 22 14 939 23 14 600 23 14 186 23 13 801 24 EMEA 25 222 38 25 525 38 25 292 39 23 835 39 22 990 39 thereof Switzerland 4 985 7 4 992 8 4 812 7 4 711 8 4 741 8 Total 66 674 100 66 306 100 64 486 100 61 019 100 58 271 100

Number of employees by business area Production 4 453 7 4 702 7 4 798 7 4 489 7 4 321 7 Installation and maintenance 39 228 59 38 903 59 37 581 59 35 670 59 33 679 58 Engineering, Sales, Administration 22 993 34 22 701 34 22 107 34 20 860 34 20 271 35 Total 66 674 100 66 306 100 64 486 100 61 019 100 58 271 100

Allocation of added value (in CHF million) to the employees (salaries, social benefits) 4 069 80 4 250 78 4 021 77 3 776 77 3 516 77 to the shareholders (dividends) 477 9 491 9 487 9 585 12 344 7 to the company (reserves) 297 6 438 8 521 10 299 6 479 10 to the public (taxes) 246 5 291 5 268 5 246 5 251 6 to the creditors (net interest charges) –5 – 5 – –44 –1 –10 – –11 – Total added value by the Group 5 084 100 5 475 100 5 253 100 4 896 100 4 579 100

Non-GAAP measures The financial information contained in the reporting includes certain non-GAAP measures, which are not defined by International Financial Reporting Standards (IFRS). The Group’s definitions of these non-GAAP measures are available at: www.schindler.com – Investors – Results (www.schindler.com/com/internet/en/ investor-relations/reports/definition-on-non-gaap-items.html).

Schindler Group Review 2020 | Five-year overview | 71 Information for our shareholders Key figures registered share/ participation certificate

Registered share 2020 2019 2018 2017 2016 Number of shares outstanding 67 077 452 67 077 452 67 077 452 67 077 452 67 077 452 thereof treasury shares 266 619 328 508 370 846 489 174 556 115 Nominal value in CHF 0.10 0.10 0.10 0.10 0.10 High in CHF 253.60 244.00 238.80 224.00 193.50 Low in CHF 184.90 184.10 183.00 176.90 147.80 Year-end rate in CHF 238.40 237.20 190.60 220.50 177.90 P/E ratio December 31 35.50 29.50 21.70 28.60 24.90 P/E ratio December 31 before exceptional items 35.50 29.50 23.20 28.60 26.90 Earnings per share in CHF 6.72 8.04 8.79 7.70 7.14 Earnings before exceptional items per share in CHF 6.72 8.04 8.23 7.70 6.61 Cash flow from operating activities per share in CHF 14.71 11.03 9.37 7.56 8.69 Gross dividend per share in CHF 4.00 1 4.00 4.00 4.00 5.00 ordinary in CHF 4.00 1 4.00 4.00 4.00 3.00 extraordinary in CHF 2.00 Payout ratio in % 59.5 49.8 45.5 52.0 70.0 1 Proposal by the Board of Directors

Participation certificate 2020 2019 2018 2017 2016 Number of participation certificates outstanding 40 716 831 40 716 831 40 716 831 40 716 831 40 716 831 thereof treasury shares 20 416 52 034 142 434 211 740 299 649 Nominal value in CHF 0.10 0.10 0.10 0.10 0.10 High in CHF 263.60 253.50 246.40 229.70 197.50 Low in CHF 199.65 188.50 188.90 177.30 147.10 Year-end rate in CHF 238.60 246.20 194.70 224.30 179.60 P/E ratio December 31 35.50 30.60 22.20 29.10 25.20 P/E ratio December 31 before exceptional items 35.50 30.60 23.70 29.10 27.20 Earnings per participation certificate in CHF 6.72 8.04 8.79 7.70 7.14 Earnings before exceptional items per participation certificate in CHF 6.72 8.04 8.23 7.70 6.61 Cash flow from operating activities per participation certificate in CHF 14.71 11.03 9.37 7.56 8.69 Gross dividend per participation certificate in CHF 4.00 1 4.00 4.00 4.00 5.00 ordinary in CHF 4.00 1 4.00 4.00 4.00 3.00 extraordinary in CHF 2.00 Payout ratio in % 59.5 49.8 45.5 52.0 70.0 1 Proposal by the Board of Directors

72 | Schindler Group Review 2020 | Key figures registered share/participation certificate Information for Additional information our shareholders

Dividend policy The dividend policy is earnings-related and provides for a payout ratio of 35% to 65% of net profit attributable to shareholders of Schindler Holding Ltd.

Total dividend

in CHF million 2020 1 2019 2018 2017 2016 Total dividend Shares 268 267 267 266 333 Participation certificates 163 163 162 162 202 Total 431 430 429 428 535 1 Proposal by the Board of Directors

Ticker and security number Both the registered shares and the participation certificates are traded on the SIX Swiss Exchange. Holders of participation certificates have the same rights as holders of registered shares with the exception of attendance at the Annual General Meeting and voting rights.

Registered share Participation certificate Bloomberg SCHN SW SCHP SW Reuters SCHN.S SCHP.S Valor 002463821 002463819 ISIN CH0024638212 CH0024638196

Shareholders At the end of 2020, registered shares of Schindler Holding Ltd. were held by 9 796 shareholders (previous year: 8 782).

On the same date, the Schindler and Bonnard families – within the scope of shareholder­ agreements – and parties related to these families held 47 208 588 registered shares (previous year: 47 631 495) of Schindler Holding Ltd., corresponding to 70.4% ­(previous year: 71.0%) of the voting rights of the share capital entered in the Commercial­ Register.

Schindler Group Review 2020 | Additional information | 73 Financial calendar

2021 2022 Annual results media conference February 17 February Ordinary General Meeting Schindler Holding Ltd. March 23 March 22 First trading date ex-dividend March 25 1 Date of Schindler Holding Ltd. dividend payment March 29 1 Publication of key figures as of March 31 April 23 April Publication of Interim Report as of June 30 July 23 July Publication of key figures as of September 30 October 21 October

1 Subject to approval of a dividend payment by the General Meeting of Schindler Holding Ltd.

74 | Schindler Group Review 2020 Important addresses

For further information about our company, our products, and our services, please contact one of the following addresses:

Schindler Holding Ltd. Europe Seestrasse 55 Schindler Management Ltd. 6052 Hergiswil Zugerstrasse 13 Switzerland 6030 Ebikon Telephone +41 41 632 85 50 Switzerland Telephone +41 41 445 32 32 Schindler Management Ltd. Fax +41 41 445 40 40 Zugerstrasse 13 6030 Ebikon Schindler Group – Zone Americas Switzerland Av. Brig. Faria Lima, 2277 – 11th Floor Telephone +41 41 445 32 32 01452-000, São Paulo Fax +41 41 445 40 40 Brazil [email protected] Telephone +55 11 2020 5221

www.schindler.com USA Schindler Elevator Corporation Corporate Communications 20 Whippany Road Nicole Wesch P.O. Box 1935 Head Global Communications Morristown, NJ 07962-1935 Schindler Management Ltd. USA 6030 Ebikon Telephone +1 973 397 64 04 Switzerland Fax +1 973 397 36 19 Telephone +41 41 445 50 90 www.us.schindler.com [email protected] Asia-Pacific Investor Relations Schindler Management Asia-Pacific Marco Knuchel Unit 1506A, Level 15 Head Investor Relations International Commerce Centre Schindler Management Ltd. 1 Austin Road West, Kowloon 6030 Ebikon Hong Kong SAR, China Switzerland Telephone +852 3652 5200 Telephone +41 41 445 30 61 Fax +852 3160 8495 [email protected] China Schindler Management Asia-Pacific (Shanghai) Co. Ltd. 555, Xingshun Road Jiading District, Shanghai P. R. China Telephone +86 21 6709 6666 Fax +86 21 6709 6677

Middle East and North Africa Schindler Pars International 2nd Floor, Ruby 2 Building, Umm Al Sheif Sheikh Zayed Road P.O. Box 115117 Dubai, United Arab Emirates Telephone + 971 4 376 0000 Fax + 971 4 380 5502

Schindler Group Review 2020 | 75 The Annual Report of the Schindler Group for 2020 consists of the Group Review and the Financial Statements.

The original German version is binding. English and Chinese translations of the Group Review are available. The Financial Statements are published in German and English.

Overall responsibility, concept, and text Schindler Management Ltd. Corporate Communications Ebikon, Switzerland

Concept and graphic design Christoph Stalder, Zurich, Switzerland

Premedia Management Digital Data AG Lenzburg, Switzerland

Printing Multicolor Print AG Baar, Switzerland

Photography Manuel Rickenbacher Zurich, Switzerland

Gregory Miller Photography Decatur, GA, USA

Pengfei XU Shanghai, China

Rebecca Toh Singapore

Remo Inderbitzin Schwyz, Switzerland

76 | Schindler Group Review 2020

Front cover: Jewel Changi Airport, Singapore Back cover: MARTA, Atlanta, USA