INVESTINMAFRA YOUR NEXT LOCATION KEY FIGURES EMPLOYMENT AND LABOUR SUPPLY

Resident Population 10 302 200

NORTH Labour Force 4 661 500

Unemployment Rate 8,8%

Unemployment Rate (aged between 18-24) 22,7%

CENTER Unemployed Population 410 819 Engineering. + Tech Students 108 234 30% of total Graduates and PhDs Engeen. MAFRA 28 402 and Tech 2015

LABOUR FORCE BREAKDOWN, ALENTEJO ACCORDING TO ECONOMIC ACTIVITY Agriculture 7% Services Industry ALGARVE 69% 24%

Source: Statistics of Portugal, Boletim Mensal de Estatística, December 2016

Mafra, City Hall INVESTINMAFRA 2 MAFRA KEY FIGURES EMPLOYMENT AND LABOUR SUPPLY Resident Population, 2000-2016 Resident Population 81 199

Labour Force 54 136

Unemployment Rate 4,0 %

Unemployment Rate 16,9 % (aged between 18-24) Unemployed Population * 2 139

Population Density, 2014 (*Source IEFP.Set2017) (people per sqm) LABOUR FORCE BREAKDOWN, AVERAGE WAGES, € ACCORDING TO ECONOMIC ACTIVITY

Agriculture 3% Services 74% Industry 23%

Lisbon Metropolitan Area Metropolitan Area Lisbon City

Source: National Statistics Institute (INE), 2014 INVESTINMAFRA 3 INTERNATIONAL BENCHMARKING

AVAILABILITY OF LATEST TECHNOLOGIES RANK UK DE PT ES PL Global Competitiveness Report 2015-2016 140 Countries 5º 12º 18º 34º 72º FIRM-LEVEL TECHNOLOGY ABSORPTION DE UK PT ES PL Global Competitiveness Report 2015-2016 140 Countries 13º 14º 21º 50º 101

FDI & TECHNOLOGY TRANSFER PT UK DE ES PL Global Competitiveness Report 2015-2016 140 Countries 15º 17º 24º 38º 63º

QUALITY OF SCIENTIFIC INSTITUTIONS UK DE PT ES PL Global Competitiveness Report 2015-2016 140 Countries 2º 9º 21º 37º 63º UNIVERSITY-INDUSTRY R&D COLLABORATION UK DE PT ES PL Global Competitiveness Report 2015-2016 140 Countries 4º 10º 23º 57º 73º INVESTINMAFRA 4 INTERNATIONAL BENCHMARKING

R&D EXPENDITURE RANK Global Talent Competitiveness Index Report 2015-2016 102 Countries 7º 14º 20º 25º 27º 27º 29º 37º 37º 57º

RESEARCHERS RANK Global Talent Competitiveness Index Report 2015-2016 102 Countries 11º 16º 20º 29º 30º 31º 33º 36º 37 48º

SCIENTIFIC JOURNAL ARTICLES Global Talent Competitiveness Index Report 2015-2016 102 Countries 13º 19º 22º 23º 25º 27º 28º 32º 39º 43º

INNOVATION OUTPUT Global Talent Competitiveness Index Report 2015-2016 102 Countries 8º 17º 25º 26º 28º 32º 34º 42º 45º 48º

INVESTINMAFRA 5 INTERNATIONAL BENCHMARKING

TECHNOLOGY UTILIZATION

1º 3º 13º 20º 24º 29º 30º 43º 45º 46º 47º 52º 57º 62º 68º 84º 88º The Global Talent Competitiveness Index Report 2015-2016 (102 countries) ICT INFRASTRUCTURE

1º 4º 11º 22º 24º 27º 28º 29º 31º 32º 33º 35º 36º 40º 42º 43º 48º The Global Talent Competitiveness Index Report 2015-2016 (102 countries) LABOR-EMPLOYER RELATIONSHIP

1º 18º 34º 44º 53º 59º 63º 71º 77º 82º 86º 89º 96º 98º 100º 105º

INTERNATIONAL STUDENTS The Global Talent Competitiveness Index Report 2015-2016 (102 countries)

1º 13º 18º 22º 24º 27º 30º 31º 33º 36º 41º 47º 48º 51º 58º 65º The Global Talent Competitiveness Index Report 2015-2016 (102 countries) INTERNATIONAL BENCHMARKING

LANGUAGES

WORKFORCE ENGLISH PROFICIENCY

73,8 72 71,7 71,3 69,2 65,4 65,3 64,3 61,8 61 60,2 60 59,4 58,6 57,5 54,8

NTL DNK SWE NOR FIN POR POL EST ROM SVK DEU ESP CZE ITA HUN FRA

Education first – English Proficiency Index for Companies NUMBER OF SPOKEN LANGUAGES

100%

50%

0% POR DEU CZE POL ESP FRA ITA GRC HUN 0 1 2 3 or more Source: Eurostat (2011) INVESTINMAFRA 7 STRATEGIC LOCATION

Same time zone as UK Nearest and 1 hour European Ireland difference 3 hours country to from difference the US Central from Moscow and Canada European Mafra Time

3 hours difference from São Paulo

Mafra – Sines 190 km (always by highway)

Note: In reference to UTC hours INVESTINMAFRA 8 INFRASTRUCTURE 7 INTERNATIONAL AIRPORTS Portugal mainland and islands Portugal has 10 airports with connections to over 160 domestic and international destinations.

Paris 216 Hamburg 22 NUMBER OF th Infrastructures 16 WEEKLY London 154 Beijing 3 QUALITY1 FLIGHTS FROM Madrid 94 New York 23 LISBON & Internet Bandwidth Speed per TO Frankfurt 75 Luanda 22 Internet User (kbps) – 2016 Report Air Transport 28th QUALITY1 UK 374,6 Portugal 232,1 Lisbon 33 mins. Ireland 155,5 IMD World Competitiveness AVERAGE France 130 Yearbook 2016 (60 countries) TIME Lisbon Airport 26 mins. Czech Rep. 119,8 Connectivity 12th FROM Communications MAFRA Lisbon Maritime Port 32 mins. Germany 117,5 technology meets TO* 105 7th Lisbon Rail Freight 28 mins. business Poland 86,6 requirements * Through highways A8 & A21 Hungary 55,4 1. World Economic Forum’s competitiveness ranking 2016/2017(138 countries). INVESTINMAFRA 9 OFFICE SPACE: AVERAGE RENTS LISBON, PORTO & MAFRA

LISBON AREA EUR/sqm/month INDUSTRIAL WAREHOUSE EUR/sqm/month OFFICE SPACE EUR/sqm/month Central Business District 14,5 Mafra 3,5 Ericeira 7,0

Parque das Nações 15,0 Malveira 3,5 Mafra 5,5 West Corridor 9,5 Malveira 6,5

Source: Cushman & Wakefield, Marketbeat Portugal Autumn 2016 Source: CMM 2017 Source: CMM 2017

OFFICE SPACE MAFRA LISBON BRUSSELS WARSAW MADRID MUNICH PARIS Rents EUR/sqm /year 102€ 244€ 316€ 324€ 353€ 452€ 800€

Source: Cushman & Wakefield, Office Space Across the World, 2014, Central Business District INVESTINMAFRA 10 QUALITY OF LIFE Mafra is a good location for investments but also a GREAT PLACE TO LIVE AND ENJOY. Safe, sunny, with unique nature, rich leisure and cultural amenities, and with high quality healthcare facilities.

“Top 10 Countries With the • Sun Best Weather and Climate” - • Weather Aug 08, 2016 • Sea and Beach 10. Portugal : “the country is • 11Km of beautiful coastline considered the third most • 13 Beaches welcoming country for expats • Europe’s first World Surf Reserve overall and ranks fifth in both, • Nature and Landscapes the Quality of Life and the • Tapada Nacional de Mafra Ease of Settling In Index” • Heritage and Tradition • Culture • Historical Monuments • Schools • Support Infrastructures “Sun, surf and low rents • Cost of living Saturday 29 October 2016 • Young population • 20 minutes from Lisbon INVESTINMAFRA 11 INVESTINMAFRA LABOUR SYSTEM LABOUR REGULATIONS

REMUNERATION

WORKING HOURS Guaranteed Monthly Minimum 557,00 EUR Wage (Portugal | 14 months/ year) Regular working • 8 daily working hours Social Security Contributions 23,75% Employer hours • 40 weekly working hours 11% Employee Bank of Hours • + 2 hours a day Night time work 25% additional charge • 50 hours a week (between 10:00pm and 7:00am) • Increase limited to 150 hours a year Overtime + 25% for the first hour Under collective agreement : Limits: + 37,5% per hour thereafter • + 4 hours a day a) 175 or 150 hours per year on a business day • 60 hours a week (depending on the company’s size). + 50% for each hour • Increase limited to 200 hours The annual limit might be increased to on a mandatory or extra day off, or on a year 200 hours per year by Collective public holidays Bargaining Agreement; Annual Paid 22 business days b) 2 hours per working day. Vacation National 13 Maternity Leave 120 or 150 consecutive days Holidays

Source AICEP, 2016

LX FACTORY, Cowork Lisbon INVESTINMAFRA 13 INVESTINMAFRA TALENT POOL TALENT EDUCATION

IMD World Competitiveness Yearbook ENGLISH PROFICIENCY INDEX 2016 2016 (61 countries) Availability of qualified Portugal is high proficiency 9th engineers #15 Flexibility & adaptability 10th Language skills that meet 12th out of 72 countries the needs of enterprises

Source: Education First, English Proficiency Index 2016/ IMD World Competiveness • 85.4% of the students learn 2 or more foreign languages (Eurostat Yaerbook 2016 2014: 59.9% in EU-28, 55.3% in France or 45.7% in Spain)

• English learning is mandatory from elementary school

• 15,181 native French live in Portugal (registered at the French Embassy)

• Half a million foreigners are currently living in Portugal

• 11 international schools 20 minutes from Mafra

INVESTINMAFRA 15 MULTILINGUAL ENVIRONEMNT

FOREIGNERS BY LANGUAGE Native speakers living in Mafra, 2015*

UK

China PORTUGAL 29.896 new immigrants in 2015 (+ 53% than in 2014): Moldavia - 50% Portuguese nationality; - 43% born in Portugal; Romania - 81% aged between 15 and 64 years old; - 55% from Europe. Ukrania Brasil

0 200 400 600 800 1000 1200 1400

* Total = 2 978, Europe = 1 161, Asia = 159, Americas = 1 513, Africa = 145

Source: Mafra City Hall INVESTINMAFRA 16 INVESTINPORTUGAL INCENTIVES INCENTIVES & GRANTS Incentive instruments were revised, simplified and reinforced.

NEW ADDED VALUE PROPOSAL OTHER INCENTIVES

PRODUCTIVE INVESTMENT JOB CREATION INCENTIVES • Financial incentives (Portugal 2020) • Tax incentives (Investment Tax Code) NON-HABITUAL RESIDENTS Flat rate for qualified expatriates R&D INVESTMENT • Financial incentives (Portugal 2020) • Tax incentives (SIFIDE II)

Source: Portuguese Government. INVESTINMAFRA 18 INCENTIVES & GRANTS

PRODUCTIVE INVESTMENT R&D INVESTMENT 80% • Financial incentives (Portugal 2020) • Financial incentives (Portugal 2020) Maximum rate for Interest free loan. Up to 50% of the loan can be Cash grant up to €1,000,000 of incentive. Above Industrial Research 25% Projects converted into cash grant depending on the €1,000,000, 25% as an interest-free loan and project performance. 75% as cash grant. Maximum rate for • Tax incentives (SIFIDE II) 60% • Tax incentives (Investment Tax Code) Non- SMEs1 Corporate income tax credit as a percentage of Corporate income tax credit as a percentage of eligible expenses (32,5%). Maximum rate for eligible expenses (10 to 25%). Experimental Projects

Simulation Request An incentives package will be set up according to your investment project. Request a simulation from our experts today to know how much your company will be eligible for.

1. Financial grants combined with tax incentives may not exceed 25% of the eligible investment. For projects located in Lisbon and Algarve regions, only investments in new activity are eligible up to a limit of 10% of the eligible investment. INVESTINMAFRA 19 JOB CREATION Incentives

INTERNSHIPS (UP TO 9 MONTHS*).

TARGET Unemployed aged between 18 and 30 (inclusive)*, with a qualification level >1. GRANT TO EMPLOYERS EMPLOYERS COST € Monthly support*:

438,16 >20% Primary education (Level 2) 505,23 Monthly Social Security Secondary education (Level 3) 538,77 Salary Contributions Secondary vocational educational (Level 4) 572,31 656,15 Post-secondary non-tertiary (Level 5) ENTITY IN CHARGE Public Employment Service (IEFP). Tertiary education (Levels 6, 7 and 8) * General rule. Source: Portuguese Government. * General rule INVESTINMAFRA 20 JOB CREATION Incentives EXEMPTION OF SOCIAL CONTRIBUTIONS.

TARGET Young people looking for first job, aged under 30 years; Long-term unemployed (registered at the employment center for more than 12 months).

GRANT TO EMPLOYERS ENTITY IN CHARGE Exemption from payment of Social Social Security. Security Contributions [23.75%] for a 23.75% maximum period of 36 months (only applies to permanent contracts).

Source: Portuguese Government. INVESTINMAFRA 21 JOB CREATION INCENTIVES

“Contrato Emprego” Programme.

TARGET ENTITY IN CHARGE Unemployed people (registered at the employment center Public Employment Service (IEFP). for 6 months).

GRANT TO EMPLOYERS CONDITIONS

Support up to 9 months: This measure is not cumulative with the Exemption of € Social Contributions.

Permanent contract 3.791,88 There are three calls during the year: February, May and October. Fixed-term contract (general rule) 1.263,96

Source: Portuguese Government. INVESTINMAFRA 22 Expats Tax Regime + World Class Talent in Portugal.

TARGET Qualified Expatriates in (i) high added-value activities, (ii) scientific, artistic or technical activities, and (iii) upper management positions.

INCENTIVES FOR EMPLOYEES ENTITY IN CHARGE Flat rate for Income tax of 20% Tax Authority. (plus 3.5%) for 10 years. 20%

Source: Portuguese Government, IMD Report 2013, MIPEX III 2011. INVESTINMAFRA 23 NOV 2017 INVESTINMAFRA YOUR NEXT LOCATION

FEB 2018