City of Trenčín Mierové námestie 2

911 64 Trenčín, Slovak Republic tel.: +421 32 6504 230 fax: +421 32 7431 248 [email protected] www.trencin.sk 

Trenčín – the county seat, industrial, cultural, business and educational center of the Stredné Považie region

• It is the 9th biggest city in based on the number of citizens

• ItStrategic is a site and and geographical a center of Trenčín location region within Slovakia and European transportation network • There are many subsidiaries of regional institutions and companies • Long tradition as a city organizing expositions (more than 20 expositions per year) 

Dear Investors,

for me to kindly greet and welcome you and at theAs for same the time Mayor support of Trenčín your itdecision is a great to privilegeinvest in

Trenčín region. On the following pages, you can read, why it is worth to invest in Slovakia and in particular in our region.

Trenčín is a natural metropolis of the Trenčín region – Stredné Považie. The city of Trenčín is extraordinarythe historical, culturaldeveloped and transportation business center and of the whole region. Good geographical location, prospective investors provide a good basis for thesocial beginning infrastructure of new offered and the for development the current ofand

Slovakia‘ssustainable membership existing business. in the European Union is a warranty of transparent legislative and

export-orientedbureaucratic processes investors affecting is the adoption business ofand the commonlife in the European country. The currency great advantageeuro as well for as the the region’s strategic position within the reach of all

major economies of Central and Eastern Europe.

Trenčín region is one of the most industrialized areas of Slovakia. Given the affordable and sufficient skilled workforce and a long tradition in a diversified range of industries, Stredné Považie offers many opportunities for a wide range of investors. together with us to look for opportunities In addition to industry, you are invited

in services and tourism. A rapidly growing opportunitiesregion as Trenčín, also andhigh-quality especially space people high living level here, needs in addition to apart from work

living environment, offering for leisure and entertainment.

Trenčín region, and specially Stredné Považie, offers many opportunities for joint project as Considerwell as for the your helpful business and constructiveplans. approach

of the city and regional officials as a guarantee Branislav Celler for your successful business.

Mayor of Trenčín We have good ideas. Join us with yours! 4

Why to invest in Slovakia?

According to the World Bank series other European Union member states and a relatively Doing Business 2009, rapid growth in labor productivity make Slovakia an Low and flat income tax, lower labor cost, compared to Slovakia is the 36th best place out of 181 attractive location for foreign investments. Individuals countries for making and companies pay a flat tax of 19 percents income tax. business in the Companies do not have to pay taxes on dividends. All whole World. individuals or companies living, working and registered Medicines and medical supplies and books are among in Slovakia, have to pay income taxes. Value Added Tax (VAT) is, with only few exceptions, set at 19 percent.

the exceptions where a 10 percent VAT applies. Selected macroeconomic indicators of Slovakia

SOURCE: Statistical Office of the Slovak Republic, TREND Analyses 2006 2007 2008 GDP (bln. Euro) 55.08 61.5 67.3 GDP growth (%) 10.5 10.4 8.6 Foreign direct investments (bln. Euro) 4.1 2.34 1.3 (1 –10/08) Unemployment rate (%) 13.3 11 9.6 Core Infl ation (%) 2.7 4.2 3.3 Gross monthly wage (Euro) 623 669 723 5 stockholm 1160 km

berlin 521 km

london 1320 km amsterdam 1000 km warsaw 428 km brussels 1010 km

prague 295 km

paris 1150 km

munich 490 km vienna 150 km budapest 172 km geneva 945 km

rome 890 km

Biggest most valuable benefi ts for Investors: Slovakia is a member of the European Union Slovakia joins the Euro on January 1st, 2009

Stable economic and political environment

Highest economic growth in the EU

Non-taxation Low flat tax on income of individuals and companies (19 %) of dividends

Low labor costs and high productivity

Available skilled work force

Fast and easy set up of businesses and companies

Central geographical position in Europe

Fast growth of living standards

Attractive touristic country  Trenčín region and its economy

The Stredné Považie region is one of the most industrially Trenčín region (TSK) developed regions of Slovakia. The region offers investors a developed transportation infrastructure and diversified Strongstructure position of industrial is still heldsectors. by traditional industries such The Capital City as electrical engineering, mechanical engineering and extremelythe production well placedof tires. locations Given its for location the supply and developed companies highway and railway infrastructure, the region offers Trenčín Area: 81.99 km² from the automotive sector. In terms of logistics is the Population: 56,577 Trenčín region in an ideal distance from five car OEMs Population density: 692 inhabitants per km² producers – Volkswagen, Audi, PSA, Kia and Hyundai. Economically active inhabitants: 67.2 % The attractiveness of the region is confirmed by the Trenčín region (TSK) residing foreign investors. According to the Slovak Area: 4,501 km² InvestmentThat means andone Tradeout of Developmentevery seven investment Agency (SARIO) projects more Population: 599,831 (31. 12. 2007) than 30 investment projects were realized in the region. Population density: 133.2 inhabitants per km² GDP per capita: 11,967 € (2005 in PPS, 53.7 % of the EU27 average) realized in all coming to Slovakia was done in Trenčín region. Investors created ten thousand jobs in the region. Stredné Považie region Most of them in the regional metropolitan city Trenčín. This name has been used throughout history to describe the area in the Trenčín region along the River Váh, the longest river in Slovakia. According to the National Bank of Slovakia, the value of the realized projects reached approximately 1,2 billion Euros. Only last year the investment projects reached Briefly about the region a value of more than 215 million Euros. Most investments Trenčín region is located in the north-western part of Slovakia. The went into the sectors of automotive, electrical engineering region is dominated by regional metropolis of Trenčín. From the and mechanical engineering. Most investments headed geographical point of view, it falls within the Western Carpathian to cities like Dubnica nad Váhom, Hejnice, Bánovce nad Mountains. The most densely populated areas are concentrated in TheBebravou largest and investment to Trenčín. projects in recent years have been the valley of the River Váh in the neighborhoods of Trnava. Trenčín region borders to the Nitra region, Banská Bystrica region an Žilina region. In the western part it shares the borders with the Czech Matador-DONGWON (2006), Hella (2003 and 2006), Republic. According to the population the region is one of the Johnson Controls, Sky Media and UMC (in 2004), Leoni smaller Slovak regions. Among the major cities in the region are (2003) and Gabor (2002). Just in 2007 SARIO brought Prievidza, Považská Bystrica, Nové Mesto nad Váhom, Bánovce nad to Trenčín and Trenčín region seven major investment Bebravou, Partizánske, Púchov, Myjava and Ilava. projects. Investors came from Japan, South Korea, Taiwan, TheSpain, investments the Netherlands headed and mainly Austria. in the engineering and The region is one of the fastest growing parts of Slovakia. On the territory of more than four thousand square kilometers, around six employing people with basic education and low labor hundred thousand people are living. Roughly one tenth of all citizens automotive sector. Currently a number of companies live in the regional capital Trančín. More than half of the inhabitants from countries with lower labor costs will push out these are economically active. Stredné Považie – which forms a significant productivity skills operate in the region. Strong pressure part of Trenčín region (TSK) – has long maintained the second highest employment (after the Slovak capital Bratislava), compared morecompanies sophisticated further to production the east. While is this this clearly might an behuman viewed with other Slovak regions. Registered unemployment rate is less than as a problem, for newly established companies with five percent. advantage for companies in electrical engineering or the resources advantage. Most of all this might be an huge Trenčín is the capital city and the administrative center of the Trenčín region. The city is due to its strategic position, an important center automotive industry. of education, commerce, industry and culture. Several regional institutions and companies have their headquarters in the city. Stredné Považie is not only attractive for production Trenčín has a long tradition as an exhibition and trade fair city. plants but also for more sophisticated operations. The automotive company Johnson Controls opened one of its three European design centers in Trenčín.  Why to invest in the Trenčín region?

According to the most recent data from 2005 the Trenčín by TREND Analyses the gross value added production has region produced 4.3 billion Euros in terms of gross risen to 63 percent of the EU average. Trenčín is one of value. It is almost one tenth the performance of whole Thethe most economy industrially of the region developed is strongly regions supported of Slovakia. by the Slovakia. In terms of gross value produced per capita attractive geographical location within Slovakia where it Trenčín region is the third most productive region in Slovakia after Bratislava and Trnava regions. According to purchasing power, Trenčín region reaches 53.7 percent of borders to such strong regions as Bratislava, Trnava or the average European Union level. According to estimates Žilina.

Advantages of the region

Geographical location with a direct connection to the highway D1 AdvancedBroad and social varied and industrial civil infrastructure structure and existing energy and transportation infrastructure Qualified and affordable labor

There are about 300 thousand economically active people

investmentIn addition topotential industry, of Trenčínthe region region is high has also a strong in forestry living in Trenčín region, which is approximately the half position in agriculture and food production. The of the total population. From the investors’ point of view, the region offers a proper and favorable structure of and water management. Agricultural land has a 40 unemploymenteducational institutions rate in the of regionall levels. is approximately Many people living four in percent share of the total territory. the region have high school and university education. The and further business development in a wide range of The region offers a suitable environment for investments percent. The regional authorities should focus on activities furtherindustries developing and sectors and linked promoting to the especially automotive sectors industry. Average gross wages at around 650 Euros are below the disposablenational average. income Employees per capita in reaches industry the achieved levels of anthe average wage of approximately 660 Euros. The average like engineering, plastics, electronics, glass and textile factories linked to the automotive industry. national average of 282 Euros.

Structure of Citizens years based on the age 0 – 14 16.3 % 15 – 59 67.2 % Source: Statistical Office of the Slovak Republic 60 and older 16.5 %

Average salary Rate of Unemployment

Source: Statistical Office of the Slovak Republic Source: Statistical Office of the Slovak Republic 2007 2006 2007 2008 District 631 EUR District 3.8 % 2.42 % 2.11 % Region 583 EUR Region 7.1 % 5.70 % 4.32 % Slovakia 669 EUR Slovakia 13.3 % 11 % 9.6 %  Infrastructure and industrial parks

Compared to other Slovak regions, the Trenčín region Very important highway route D1 goes through the – Stredné Považie has a well developed highway and Trenčín region with several exits in the area. From the railway infrastructure. The region is crossed by the infrastructural point of view, Trenčín region is the best ismain in a road reasonable and rail distance routes, thereof the are international also two smaller airport served region in Slovakia. Currently just one bridge airports in Piešťany and Dolné Hričovce. Trenčín region over the river Váh in Trenčín might be considered as a problem. But this problem should be also solved within in Bratislava, but also from the international airport in a few years. A new bridge is planed to be built south from Vienna, Austria. the city center. Industrial Park Bratislavská ulica

is approximately a 1 hour’s drive. There is the possibility longitudinal shape bordered on one side with the road ofAdvantages using the airport in Trenčín. Located in the county of Trenčín. The plot of land is of the south western part is a waste water treatment plant I/61 (northwest) and the channel of the River Váh. In Excellent transport connections. A water treatment plant is situated on the plot of land. There is a road connection (WTP). In the north eastern part is a multi level crossing to the slip road onto motorway D1 and the first class state of the motorway exit slip road and road I/61. The plot is road I/61, directly from the plot. Ranked by the State relatively flat with a maximum altitude of 3 m throughout agency SARIO amongst the industrial parks of ‘strategic theArea: entire plot. importance’ in the Slovak Republic. Height above sea level: Level of115 underground ha water: 2-3 m 205 m Transport There are road connections to the slip road onto the Industrial Park Bratislavská ulica D1 motorway and the state road of the first class I/61 directly on the border of the plot. The main railway line Bratislava–Žilina–Košice pass around the location, there are three railway stations in the area. The international airport at Bratislava is 120 km away and on the motorway

Foreign Investment in Trenčín region Continental Matador Truck Tires s. r. o. Leoni Slovakia spol. s r.o. Púchov – rubber industry Nová Dubnica – district Ilava Emerson a. s. Leoni Autokabel Slovakia spol. s r.o., Trenčín Nové mesto nad Váhom – electrical and mechanical engineering Leoni Cable Slovakia, spol. s r. o. ContiTech Vibration Control s. r. o. Stará Turá, district Nové mesto nad Váhom – Group Leoni AG, Norimberg ContiTech Vibration Control Slovakia s. r. o. Sauer-Danfoss, a. s. Dolné Vestenice (Prievidza) – rubber and plastics technology Dubnica nad Váhom – Mechanical engineering and a supplier of industrial products for the automotive industry Gabor Slovensko spol. s r. o. Hella Slovakia Front-Lighting s. r. o. Bánovce nad Bebravou – Shoemaking factory Kočovce, okres Nové mesto nad Váhom Coca-Cola HBC Slovenská republika, s.r.o. Hella Slovakia Signal-Lighting s. r. o. Lúka, district Nové mesto nad Váhom Bánovce nad Bebravou – the lighting and electronic specialist Považský cukor, a. s. Vetropack Nemšová s. r. o. Trenčianska Teplá – Member of Nordzucker Group Nemšová, district Trenčín (Vetropack Group) The biggest producer of glass containers in Slovakia Delta Electronics (Slovakia), s. r. o. Nová dubnica Electrical engineering Nestlé Slovensko, s. r. o. Prievidza – food-stuff industry Enics Slovakia s. r. o. Nova DubnicaElectrical engineering Suez Environnement Slovenská republika, s. r. o. Trenčín – TVS, a. s., water management Vaillant Group Trenčín Trenčianske Stankovce Marius Pedersen, a. s. Trenčín – Waste management ProLogis Nové Mesto nad Váhom – Owner and developer of distribution Johnson Controls Trenčín, s. r. o. facilities wordwide Trenčín – Engineering Center 9 Transportation Infrastructure

Czech Republic (CZ)

Kroměříž (CZ) Slovakia Trenčín is typical for highly developed transportation Vsetín (CZ) (SK) infrastructure. There is an international railroad as well as a highway going through the city, close to which are Zlín (CZ) two airports (Trenčín and Piešťany). International airport Uherské Hradiště (CZ) Púchov in Bratislava is located within 120 km distance. Považská Bystrica The main transportation connections Ilava Bratislava Dubnica n. Váhom Nová Dubnica

Myjava Nové Mesto n. Váhom Industrial120 km, D1 highway, park Trnava (PP PSA Peugeut Citroen) 1 h 34 min 1 h Prievidza Bánovce n. Bebravou 75 km, D1 highway, 59 min 35 min Industrial park Žilina Piešťany Partizánske (PP Hyundai Kia) Airports78 km, D1 highway, 55 min 50 min 20 min International airports: Bratislava Vienna : Trenčín – local airport 30 min 124 km, 170 km Railroad: part of the European corridor with more than 60 min

15 train connections between Trenčín and Bratislava per day, Otherit takes 1 hour and 30 minutes transportation connections:

a road E50 – connection with Brno () From (To Trenčín) Distance (km) Time Ilava (good and regular lines) 19 22–25 min Partizánske (good and regular lines) 50 59 min – 1 h 10 min Bánovce nad Bebravou (bus, good and regular lines) 31 24 – 35 min Považská Bystrica (good and regular lines, every 30 min) 46 39 – 60 min Myjava (bus) 55 1 h 10 min – 1 h 22 min Dubnica nad Váhom (bus, train, good and regular lines) 12 10 – 21 min Piešťany (bus, train, highway D1, good and regular lines) 45 45 – 49 min Prievidza (bus, good and regular lines) 68 60 min Nové Mesto n. Váhom (bus, train, highway D1, good and regular lines) 25 30 – 35 min 10

New river bank (prepared development zone)

Development Potential of Trenčín

Real Estate Business in the City

Trenčín has a stable position in the Slovak real estate railroadbe public bridge investments, as well whichas new will undergrad flow into crossings modernization market. Investments which are coming, and will be of a railroad. (199 mil. EUR, including building a new Therecoming were into establishedTrenčín have two reached huge shopping 1,000 mil and eur. business There are preparations for building of 2,000 new apartments. and walkways), building new road bridge (76 mil EUR, continuing in a highway connection and the first stage centers recently. Warehouse retailing is blooming. Theof a south-easttop development bypass zone of the of city). the city is the shoreline

Market with business offices has not reached its peak as in the capital city. More than 7,500 squared meters of area (New river bank), which will be on 50,000 squared office premises with the highest standards have been built meters. It will become available right after modernization recently. The new workhorse of future development will of railroad, after a release of a land there.

Hotel Magnus center **** (already established) Laugaricio Shopping Center (already established) Aupark Shopping Center (prepared) 11

Railroad bridge (prepared)

Investments planned Warehouse Retailing according to the particular sectors (mil. EUR) and Shopping Centers Already established:

MAXPrepared: Trenčín, Laugaricio, Južanka Aupark Offices Transportation 300 Already established: Infrastructure 50 Entrepreneurship 362 Housing 263 HousingDV Centrum Other 25 Prepared: SUMMARY 1,000

Idea Grande, Trenčianska Riviéra, Villa Park

DV Centrum – offices (already established) Villa Park – housing (under construction) Trenčianska riviéra – housing (under construction) 12 Education and labour force

attending all levels of the educational system of the One hundred thousand students and pupils are currently The University of A. Dubček offers students five fully Facultyaccredited of Health faculties service – Faculty and theof Mechatronics, Faculty of Industrial Faculty MoreTrenčín than region. half of whom are pupils of primary schools; of Special equipment, Faculty of soc-economic relations, nearly forty thousand students are registered on Technology. Candidates for higher education may also Fromstudy theat the perspective Academy of theManagement overall improvement in Trenčín. of the secondary schools. Approximately ten thousand students quality of education in secondary vocational schools the are studying at universities. The system of secondary education in the region offers interesting possibilities for investors and businesses in general. Vocational accreditedDubnický Institute degree programs of Technology as well in asDubnica further nad education Vahom schools and apprentice schools offer trainings in various throughplays a crucial a wide role. variety The of school courses provides and educational education in fields from construction through engineering, electrical engineering and information technologies. technical courses” is a program whose graduates should meetactivities. the needs The basic of the study market program in vocational is called education “Teaching and of Educational center of the region is Trenčín. The city practical teaching in secondary vocational schools and offers education from primary schools to university education. Secondary education programs are offered by five secondary vocational schools and three gymnasiums. apprentices. Overview of the schools in Trenčín region (by type)

SOURCE: TSK Type of School Number of schools Number of pupils Gymnasiums 12 7,507 Secondary specialized schools 11 5,786 Secondary specialized training college 10 6,358 Joint secondary schools 14 9,756 Joint schools 3 2,252 Public language schools 2 n/a Trenčín University of A. Dubček 1 7,842 University of Management (City University, Bellevue, USA) 1 400

Indisputable advantage of the region from the perspective of investors is the professional quality of technically- businesses from the region. This cooperation benefits modernizedboth parties. teaching Companies methods benefit and in theimproved form of conditions sufficient betweenoriented secondarysecond grade schools, schools as within theory companies and in andpractical supplies of quality graduates. Schools benefit in terms. This is confirmed by the starting cooperation for providing practical knowledge for their students.

Education level in Trenčín region

Elementary 24 % High school without leaving exam 33 % High school with leaving exam 33 % University 8 % Other 2 % History the birth certificate was nailed to castle rock by Romans

Trenčín belongs amongst the three oldest towns usedin Slovakia. to be a The famous number ancient of historical Amber route sites going makes Trenčín very interesting for tourists. There through the city, even before Celts came to this region. It was a famous route of Etrusk, Greek and later Roman businessmen who had traveled into Pobaltie from Mediterranean region.

At the first sight of the townth thereth Centuries is a national, and is culturally dominant site – Trenčín castle, whose history dates from the 10 – 11 one of the largestth in Slovakia. Another significant site is also the Roman Catholic parochial church from the 14 Century with Gothic, Renaissance ofand town Baroque in the works, pedestrian near Gothiczone on karner Mierové and parochial steps from 1568. The historical centre námestie was declared as a town reservation site in 1987. Which town can be proud of its birth certificate which was nailed to the stone by the feared and world-dominant Romans? In Trenčín you will find the site which is everlasting – the commemoratessign nailed to the the Trenčín victory castle of the rock, Second which can be visible from the Hotel Tatra. The inscription site and that the Legion spent the Winter here (whenAuxiliary the Legion town was of the known Roman as ArmyLaugaricio on this by the

Romans). 14 Trenčín has a green heart

In Trenčín there are unique natural conditions. The town is placed in the valley of the River Váh and it is also very close to the mountains. The forest park, Brezina, which is the green heart of the town has an area of around 219 ha. There are other green areas and parks totalling 397 ha in Trenčín. In the town there are mineral streams: Kubrá, Orechové, Záblatie a Zlatovce. The location of the town conditionsnext to the forRiver recreation Váh gives and a purpose tourism of in its the future nearby outlook White as a “town on the river”. It is possible to find the ideal

Carpathia or Strážovské Mountains. The walks in the recreational areas of Opatovská dolina, Kubrica or around the cottages under Ostrý Vrch are very tempting.

Leisure Time

Trenčín offers a wide range of leisure time presentationsactivities. There which are many contribute interesting to the typical expositions, concerts, performances and

atmosphere of the city.

One of many significant annual events is also a music festival called Pohoda, with more than 30,000 visitors per day. The city also contributes to organization of an international movie film festival called ART FILM FEST.

Health available for everyone

Due to health care in the town, there is a Trenčín Hospital, which includes several health thecare hospital units, has and 20 also departments outside the and hospital employs there approximately 1,068 health care staff. Within provide services from general practitioners are a total of almost 215 doctors, offices which

(for children and adults), through the whole system of specialised health care. In the town there are also private doctor’s offices and centres which are available for care of patients. There are two spa towns nearby – Trenčianske Teplice and Piešťany. Sport Activities made Trenčín famous even in America

Not only natural conditions but also the historical development of the town provides the opportunity to develop a wide spectrum of sporting activities. Many of them can be performed professionally, amongst the most published successes lie ice hockey and football.

Trenčín has, at present, the largest number of ice hockey players in the NHL. The Dukla Trenčín Hockey Club reared a number of players who are stars in the world of ice hockey. Many of them, remain suporters of the club and the city. For example Marián Gáborík builded his MG Rink (J&T Arena) near the old winter stadium. Since 2003 the town has its own mobile ice rink in the old town.

On the other hand, there are conditions created for those who are interested in non-professional sport and active regeneration. In the Brezina forest park, which is the greeen heart of the town, you can find conditions for running an oxygen route at a length of 5 km. There are also suitable conditions for cyclists and horse riding in the town surroudnings. On the rivere bank there are two boat hire facilities. Trenčín has a wide range of sport places. The city has established multifunctional sport centers next to elementary schools which are available to public in the afternoons. The city owns a indoor swimming pool, and its intention is to open a new outdoor one in Ostrov, near the river Váh in 2010. It will include various attractions for children as well as for adults.