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1 thalesgroup.com Thales in Mexico Factsheet

2 Thales has been present for over 50 years in Mexico and currently employs 330 persons. Thales has successfully deployed urban security solutions, radio communication systems, toll collection solutions and air traffic control systems. In 1965, Thales supplied the first radar for air traffic control in Mexico, our very first business in the region. One year before, in March 1964, French President Charles de Gaulle was welcomed in Mexico by President Adolfo López Mateos and, in a historic speech made in Spanish, he said "Marchemos la mano en la mano y viva México" (Let's walk hand in hand and long live Mexico). The visit sealed the friendship between both countries. Local cooperation Thales strategy is to boost its industrial presence to become a local player. In Mexico, Thales invested in R&D to build a Software Development Centre for transportation and security solutions. Mexican talent and innovation have been the key success criteria of the initiative.. To prepare the future, establishing partnerships with Universities and Chambers is essential. Thales signed a collaboration agreement with the IPN University (Instituto Politécnico Nacional) for the development of transportation solutions.. It has also extended its partnership with other private and public universities such as the TEC de Monterrey and CONALEP and is continuously looking to forge collaborative relationships within the aerospace and space segments. Socially Responsible Thales, though its Foundation, is funding a project in Mexico with Start Up México that aims at teaching innovation and entrepreneurship to teenagers. The project s objective is to boost school performance and help secondary school students from underprivileged areas of Mexico City develop self-esteem and skills that will last for a lifetime. Thales in Mexico: Present since employees Main office in Mexico City Key highlights: Security Thales is the provider of a unique urban video surveillance project to improve the security of Mexico City: Ciudad Segura In 2015, Thales won the IPMA award for the Ciudad Segura Project Thales in Mexico acts as a HUB for security markets in Latin America Transport In Mexico, Thales is a leader in toll collection system with 30% market share (including Ticketing solutions for the Metrobus and Light Train) Thales in Mexico is a Competence Centre for tolling solutions Aerospace Thales supplied the TopSky-ATC solution in all Operation Control Centres and 80% of Mexico s civil radars 2

3 Industry Focus Security Thales supplies the urban security solution to the City of Mexico: the Ciudad Segura project. The project is a joint endeavour of the City of Mexico, Telmex (a leading Latin American telecommunications company) and Thales. The system processes information from more than 15,000 video cameras and sensors located across the city and allows to generate, manage incidents and dispatch security forces in case of emergency situations. Ciudad Segura is a unique urban video surveillance project to improve security across the metropolis and protect citizens from crime, terrorism, attacks on strategic sites, natural disasters and other threats. In 2009, Thales was awarded the first phase of the project for the deployment of 8,000 cameras. In March 2014, Thales was awarded the second phase of the project to double the capacity with the deployment of further 7,000 cameras, as well as panic buttons, loudspeakers and law enforcement. The Ciudad Segura project allowed a reduction of 56% of high impact crimes and a reduction of car theft by 50%, according to official reports (as of June 2016). Main control room of the C5 (Credit Thales) Through its security HUB, Thales was awarded a TETRA communication project for the metro of Mexico City and a contract to protect the headquarter of the General Attorney (Procuraduría General de la República). 3

4 Transport Thales supplied the Automatic Train Control System (ATS) for 11 of the metro of Mexico City between 1968 and Thales provides signalling solutions for passenger rails: the ETCS Level 1 for the Buenavista to Cuautitlan Line in 2008 and the ETCS Level 2 for the new major project of Mexico-Toluca Line. This project, under construction, will allow Thales to deploy the Level 2 signalling system for the first time in American Continent. Over the last 20 years, Thales has been providing and maintaining toll collection system along federal highways for the benefit of the Ministry of Communication and Transport and its operator CAPUFE. Thales is today the leader in this market with more than 30% market share. Thales in Mexico is a Competence Centre for tolling solutions (with the product PITZ, 100% developed in Mexico) and intends to export to other countries. Thales successfully implemented ticketing solution in the Metrobus lines 3 & 6 and for the Light Train of Mexico City. A major reference of tolling solutions for the Second Floor project in Mexico City (Credit Thales) 4

5 Aerospace In the aerospace market, Thales has established itself as Mexico s first partner of SENEAM (Mexican Air Navigation Service Provider) for Air Traffic Management solutions by supplying the TopSky-ATC solution in all Aerial Control Centres and deploying 80% of civil radars in Mexico. TopSky-ATC solution for the Mexico City s Control Centre (Credit-Thales) In the past few years, SENEAM selected Thales technology to provide an ADSB detection system, a secondary ATC system in Mexico City to ensure a continuous operation in case of disaster, and a new Aeronautical Information Management System (AIM). Furthermore, Aeromexico, Mexico s global airline, has selected the Thales Traffic and Collision Avoidance System for installation on their new Boeing 737NG to provide a complete surveillance solution in Defence Thales has supplied 70mm rockets to the Mexican Armed Forces in the framework of a contract signed with the Ministry of National Defence. This material includes ultimate generation rocket motors, heads of practice and warheads to be loaded on the Mexican Air Force's EC725 Cougar helicopters. The Group expects to extend its defence activities in the short term. 5

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