Montreal, November 2014.NovemberMontreal, President.Vice TransportationBombardier - Inc.Canada MacDonaldAnn SPAININ INVEST SEMINAR Bombardier in Spainin Bombardier
PRIVATE AND CONFIDENTIAL © Bombardier Inc. or its subsidiaries. All rights reserved. BOMBARDIER BOMBARDIER INSPAIN 2 5 4 3 2 1 Transportation Aerospace Key Success Factors in in Spain Factors KeySuccess Historical background aktenvironmentMarket
PRIVATE AND CONFIDENTIAL © Bombardier Inc. or its subsidiaries. All rights reserved. Historical background of the company in Spain in companythe of background Historical 3 1960s 2001 1996 1992 1990 1989 1934 1932 on etr n custo ftetasotdvso fteCCGr CCC the of division transport the of acquisition and venture Joint on etr ewe h alasdvsoso ame-hylra (Adtranz). Daimler-Chrysler Systems of Rail divisions Daimler-Chrysler railways the between venture Joint Cademesa). and Spain in Westinghouse Electric, (General systems. signaling railway of manufacturing of Start nerto fAtazit obrirTransportation. Bombardier into Adtranz of Integration AEG) & (ERICSSON stocks Division Signaling the of 100% over takes ABB Group. ABB form to ASEA and BBC between venture Joint components. railway of manufacturing of Start Spain. in established is ERICSSON dAB etn ptecmayABB company the up setting ABB, nd oup .
PRIVATE AND CONFIDENTIAL © Bombardier Inc. or its subsidiaries. All rights reserved. BOMBARDIER BOMBARDIER INSPAIN 4 5 4 3 2 1 Transportation Key Success Factors in in Spain Factors KeySuccess environmentMarket Aerospace Historical background
PRIVATE AND CONFIDENTIAL © Bombardier Inc. or its subsidiaries. All rights reserved. obrirArsae–Spain– Aerospace Bombardier 5 Amphibious Commercial Business aircraft aircraft aircraft atdlvr -1,Dcme 2013. December B-415, 1971. delivery since Last supplied B-415, / CL-215 Environment. 34 Total of Ministry and Force Air Spanish 5Goa xrs hlegr Learjets. 5 + Challengers 6 + Express Global 15 share. market aircrafts26 1998. regional Iberia / Airnostrum 2000-2013 during CRJ-1000) regional900, Iberia / Airnostrum led upidfr“rvt”saihmre >25% -> market spanish “private” for supplied already nt ree Ds 0)in 200) Q 8 (Dash ordered units 4 : 0uisodrd(R-0,CRJ- (CRJ-200, ordered units 60 : .
PRIVATE AND CONFIDENTIAL © Bombardier Inc. or its subsidiaries. All rights reserved. BOMBARDIER BOMBARDIER INSPAIN 6 5 4 3 2 1 Transportation Key Success Factors in in Spain Factors KeySuccess environmentMarket Aerospace Historical background
PRIVATE AND CONFIDENTIAL © Bombardier Inc. or its subsidiaries. All rights reserved. o asnesadelectrical Vehicles. Rail Light and and Tramways passengers trains. freight for Locomotives powerheadsfor speed High Locomotives: opnn ear&Overhaul, & Solutions, Repair & Reengineering. Material Operations Component Management, Maintenance, Fleet Sites, Employees and Business activities Business and Employees Sites, Services Execution / WMA / Execution Services 7 BTren Mantenimiento Mantenimiento BTren oln Stock / WMARolling Ferroviario, Ferroviario, S.A.* * Full Full Maintenance on etr 4%Rne+5%Bmade uoenHold European Venture (49% Renfe + 51% Bombardier Joint BT ren obrirEuropeanBombardier Holdings, Holdings, S.L.U. rcinCnetr,Auxiliary Control Drives, Communication. Converters, and Traction Converters, Traction Propulsion & Control Systems &Control Propulsion 3 Sites and >750 employeesand>750 3 Sites Madrid (Vizcaya) Trápaga / GSC / (Madrid) Barajas ings. S.L.U.) (Madrid) Alcobendas SS Reyes/ nor,Itrokn ytm,Wayside and systems, wayside ServicesEquipment, Interlocking Operation: onboard, and Train Automatic Protection Systems, Control Integrated Signaling & Rail Control Solutions Control &Rail Signaling obrirEuropeanBombardier Investments, S.L.U. Automated People Mover. Operation & Maintenance Systems
PRIVATE AND CONFIDENTIAL © Bombardier Inc. or its subsidiaries. All rights reserved. Main FiguresMain 8 AKO vrls 0years 10 last over BACKLOG 1.000.000.000 € 1.000.000.000 € 1.200.000.000 € 1.400.000.000 € 1.600.000.000 200.000.000 € 200.000.000 € 400.000.000 € 600.000.000 € 800.000.000 0 € 0 0420 0620 0820 0021 022013 2012 2011 2010 2009 2008 2007 2006 2005 2004 :
PRIVATE AND CONFIDENTIAL © Bombardier Inc. or its subsidiaries. All rights reserved. ucs StoriesSuccess 9 * Perfomed Perfomed byBtren, Joint Venture (49% Renfe + 51% Bom lxt OutlookFlexity (Saudi Arabia)(Saudi Locomotives eil Scope Vehicle High SpeedHigh Commuter V S130AVE V S102AVE Haramain S4200 S/446 S253 equipment, TCMS & supply & & & supply TCMS equipment, Bogies, Traction and Control and Traction Bogies, Bogies, Traction and Control and Traction Bogies, qimn, CSspl & supply TCMS equipment, qimn, CSspl & supply TCMS equipment, Full scope of supply & & Full supply of scope Full Controller & HV elements & HV Controller Main Converter, Traction Converter, Main ulMitnne(FM)* Maintenance Full ulMitnne(FM)* Maintenance Full supply & Maintenance* & supply Traction and Control and Traction Full scope of supply of scope Full aneac (FM)* Maintenance Full MaintenanceFull bardier). Patentes Talgo 72 Powerheads 12 years FM 2028 FM 2028 FM years 12 Powerheads 72 Talgo Patentes utmrVeh. Customer Community) Total Light Rail VehiclesRail Light Total (Valencia EF +RENFE COMSA COMSA EF 8EMU 78 RENFE EF 90 RENFE EF 2Powerheads 92 RENFE FGV Total Locomotives Total Total Powerheads Total Total value (M (M value Total 100 + 3 E LOCOMOTIVE E + 3 100 € ) 44 Light Rail Vehicle 2006 - 2013 - RS 119.28 RS - 2013 - 2006 Vehicle Rail Light 44 (60 Electric + 30 Electric(60 Vehicles Powerheads Type of Hybrid) 14 years FM* (75 + 3) +(75 FM* years 14 1989 – 1991 supply 1991 – 1989 2008 – 2011 supply 2011 – 2008 2007 – 2010 supply 2010 – 2007 2005 – 2012 supply 2012 – 2005 7 years Mtce.*years 7 17 years FM*years 17 16 years FM*years 16 Period Ending 2026 FM*2026 2024 FM* RS 229.43 RS FM* 2024 2027 FM*2027 Mtce.* 2018 SER 128.34 SER SER 118.22 SER SER 207.12 SER SER 497.58 SER SER 20.36 SER RS 133.23 RS RS 1,217 RS SER 972 SER Value Value RS 278 RS RS 457 RS (M 103 254 44 € )
PRIVATE AND CONFIDENTIAL © Bombardier Inc. or its subsidiaries. All rights reserved. BOMBARDIER BOMBARDIER INSPAIN 10 5 4 3 2 1 Key Success Factors in in Spain Factors KeySuccess environmentMarket Transportation Aerospace Historical background
PRIVATE AND CONFIDENTIAL © Bombardier Inc. or its subsidiaries. All rights reserved. Government Investment – environmentMarket 11 High High Speed Transportation Investment for 2015for TransportationInvestment 1 iityo rnpr eeomn. http://www.fo Development. & Transportof Ministry 69% Various 3% Conventional Conventional network mento.gob.es 9% Commuters h oa neteti alasi 5,2Billions is railways in investmen investment increasing total allow The Ministry the by undertaken (Fomen reforms The Ministry Development & Transport M of investment total The Rolling Rolling stock 3% € Maintenance 1 . 11% 5% Railways 54% investments Rest of 1% € ersniga1.%increase. 13.7% a representing , aircraftsafety Airports& Housing y6.6%. by t 5% o s9,570 is to) 7% maritime Ports & safety 10% Roads 23%
PRIVATE AND CONFIDENTIAL © Bombardier Inc. or its subsidiaries. All rights reserved. opttr aktSae Aerospace Competitors Market Share – environmentMarket 12 RegionalJets ATR 32% EMBRAER 33% BOMBARDIER 35% Business JetsBusiness EMBRAER 25% 25% GD BOMBARDIER 25% FALCON 25%
PRIVATE AND CONFIDENTIAL © Bombardier Inc. or its subsidiaries. All rights reserved. opttr aktSae Transportation Competitors Market Share – environmentMarket 13 Rolling Stock supplyStockRolling Main line Signaling & Rail ControlSignaling & Main line IMENSSIEM THA L ES A N SA LDO 10% 31% 7% VOSSLOH TALGO Solutions 13% 11% 5% BT Others 6% ALSTOM 13% 1 3 ALSTOM Others 1% 15% 14% BT IMENSSIEM CAF 38% 36% Maintenance Services ExecutionServicesMaintenance maintainers Other smallOther OSO / VOSSLOH Mass transit Signaling & & Rail SignalingMass transit 2% ERION 1% Control SolutionsControl Operators BT / BTREN BT Own 42% 8% TALGO / TALGO TARVIA 16% 3 ALSTOM / ALSTOM SIEMENS / SIEMENS NERTUS IRVIA 10% 2 7% ACTREN CAF / CAF 14%
PRIVATE AND CONFIDENTIAL © Bombardier Inc. or its subsidiaries. All rights reserved. Main Main factors – environmentMarket 14 3 2 1 http://www.mineco.gob.es/stfls/mineco/comun/pdf/Est http://reports.weforum.org/the-global-competitivene iityo cnm adCmeiiees “pae of “Update Competitiveness: and Economyof Ministry F EconomicWorld the by publisheddatato According http://www3.weforum.org/docs/WEF_GlobalCompetitiven Geo-positioning and logistical capacityandGeo-positioninglogistical ImprovementMacroeconomicSpanish InfrastructureRailway h ol akmaue h efrac fec onr ntrso terms 18 number o ranked in customs is Spain operation, country infrastructure, one, speed latest as and each the traceability In such the Index”. of parameters or Performance goods performance of shipping of number the ease a measures to Bank according pro vectors World 2 these The combines Spain infrastruct activities. transport logistics of and features commercial the and location Geographical hc ,0 r ihsed nwihteAEtan ece navera an km/h) (216 reaches France and trains km/h) AVE (218 the Japan than which higher in km/h, has 222 speed, currently of high speed Spain network, are rail 3,100 the which of coverage the Regarding 5 the is Spain ogadFrance. and Kong infrastructure rail its of BB“t BB nMy21,adMoysipoe tfo “Baa3 a from it improved Moody’s th and of 2014, rating May the of in 2014). raised improvement February (S&P an “BBB” agencies and to rating 2014) “BBB-“ main September the of t by start of given the reduction important at an points in consumption 130 results low economy continuous the of in years Confidence several demand, after consumption 2014 internal in of 1.4% improvement grow 2014 of in signs 1.3% are grow There to GDP the expects government Spanish ss-report-2013-2014/#section=countryeconomy-profile abilidad_2014_2017.pdf orum. teSaiiy rga 2014-2017” ProgramStabilitythe essReport_2013-14.pdf th onr ntewrdad2 and world the in country 1 aa od h 1 the holds Japan . s-spain nd st nteErpa no ntrso h quality the of terms in Union European the in oiin olwdu ySizrad Hong Switzerland, by up followed position, 3 . r aeadrc maton impact direct a have ure sn h ne “Logistics index the using oenetdb from debt government e ers rmu (around premium risk he 519k ftak,of tracks, of km 15,169 u f10countries. 120 of out hc ti xetdto expected is it which . h pns rating, Spanish the minently. 2 . ecommercial ge o“a2 in “Baa2” to ” eain,theperations, logistics f
PRIVATE AND CONFIDENTIAL © Bombardier Inc. or its subsidiaries. All rights reserved. BOMBARDIER BOMBARDIER INSPAIN 15 5 4 3 2 1 e ucs atr in Spain Factors KeySuccess environmentMarket Transportation Aerospace Historical background
PRIVATE AND CONFIDENTIAL © Bombardier Inc. or its subsidiaries. All rights reserved. Key Success factors of Bombardier in Spainin Bombardier of factors KeySuccess 16 aaahsavr oiieiaei Spain in image positive very a has Canada framework str legal Stable operational and finance legal, consortiums. different and ventures to access Easy incre skills. of level have high with Professionals crisis Many the productivity. enhanced during and Market labor taken of flexibility measurements Government Divi commissioning APM and Excellence. Signaling of Center Control, & Propulsion . cue:joint uctures: in are sions ased
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