Helping our customers master every decisive moment Thales Group overview www.thalesgroup.com
MORE THAN Overview 65,000 employees 60 Countries. Global presence 797 million Self-funded R&D* 2017 * Does not include R&D funded externally.. Shareholders (at 31 December 2016) Sales in 2017 French State 26% 25% 49% Dassault Aviation 15.8 billion A balanced revenue structure 50% Defence Civil Individual and institutional shareholders, Including 2.9% employee-owned. 2
Our customers big ambitions make the world go round GOVERNMENTS INSTITUTIONS CITIES COMPANIES 3
From the bottom of the oceans Aerospace Security Defence From the bottom of the oceans to the depths of space & cyberspace Space Ground Transportation 4
Thales s mission Aerospace Sensing & data gathering Space Security Data transmission & storage Defence Ground Transportation Data processing & decision making We help customers master decisive moments by providing the right information at the right moment 5
Key digital technologies Connectivity Big Data Over 7bn invested in digital since 2014 Artificial Intelligence Cybersecurity 6
Our markets Space Aerospace Security Ground Transportation Defence 7
Aerospace: Make flying safer, easier and more efficient Air traffic management Training and simulation Nose-to-tail aircraft connectivity In-flight services 1m passengers use Thales in-flight entertainment systems every day. Over 160 Air Traffic Management control centres around the world are equipped by Thales. Between them, they cover more than 40% of global airspace. In China, 60% of air traffic is managed by Thales solutions. 2 out of 3 aircraft in the world take off and land using Thales equipment. Training & simulation for civil and military helicopters and aircraft.. 8
Space: Optimise the use of our planet s and solar system s resources Telecommunications Earth observation Science and space exploration Navigation Orbital infrastructure Space transport and is driving ambitious programmes dedicated to and Central role in civil and military programmes worldwide, through Thales Alenia Space. Thales Alenia Space is Europe s first mission to land on Mars. Thales Alenia Space has supplied volume of the International Space Station. 9
Transportation: Connect journeys to move people and goods safely and efficiently Signalling communications Fare collection Cybersecurity 8 billion passengers a year benefit from Thales technologies. In Switzerland, the world s longest rail tunnel (57 km) uses Thales signalling systems, making it possible to run trains at up to 250km/h. Over 70% of Spain's high-speed network the largest high-speed network in the world is equipped with systems supplied by Thales. The 75 km Dubai metro system one of the longest driverless metro systems in the world is equipped with a complete solution supplied by Thales. In London, Thales is providing new signalling for lines which make up 40% of the global network. 10
Defence: Protect citizens and make the world safer Communications Connected collaborative combat Command and control Mission services and support Protection and mission / combat systems Surveillance, detection and intelligence systems Training & simulation Over 50 countries protect their populations and territories with Thales defence systems. More than 800,000 Thales tactical radios are in service in over 50 countries. Thales is NATO's leading supplier of C4ISTAR systems Thales systems and equipment represent almost 25% of the total value of the Rafale combat aircraft. Thales has sold more than 1,200 air defence radars in 26 countries. 11
Security: Protect states, cities & critical infrastructures State protection Cities protection Critical infrastructures protection Critical information systems and cybersecurity Big data 340m people travel each year via airports secured by Thales. Protection of 400 critical sites all over the world. Mexico City: Thales has implemented the most advanced urban security project in the world. Crime rates have been reduced by 56% since 2009. Cybersecurity solutions for 9 of the top10 internet giants. 12
Thales: A Research and Development powerhouse 20% of sales, ~ 3bn spent in 2017 75% customer-funded and 25% self-funded 40% of group headcount A unique talent pool of 25,000 people 3,000 people in research and early-stage R&D, including 600+ world experts 5 times winner 2012, 2013, 2015, 2016, 2017 Albert Fert Scientific director of the CNRS/Thales joint physics unit and winner of the 2007 Nobel prize in physics Expertise in a uniquely broad range of technical domains, from science to systems, applied across businesses. An extensive intellectual property portfolio of 16,500 patents. 50+ academic partnerships 28 Thales Innovation hubs 13 joint research labs 5 Thales research centres 3 Thales Digital Factories 13
Corporate responsibility: A strategic choice, key to business performance Embedded in every business process Placing ethical considerations at the heart of Thales s business Code of Ethics and dedicated ethics organisation Robust policies and internal control Focus on employee training, awareness and ownership Group-wide environmental, social and governance programmes Promoting responsible dialogue with all stakeholders Driving industry-wide initiatives (corruption prevention, best practices) Carbon Disclosure Project. Thales ranked CDP A - Member of Global Compact since 2003. Thales has achieved Global Compact Advanced level. Thales has been ranked n 1 in the defense/aerospace sector by the Dow Jones Sustainability Indices (DJSI) Europe and World 14
Thales Foundation Education Helping future generations face the challenges, jobs and skills of tomorrow. Focus STEM education. Classroom innovation. Beneficiaries 10,000 young school Children & teachers per year. INNOVATE FOR PEOPLE Over 60 projects worldwide supported since 2015, focusing on two major challenges Humanitarian disasters Reducing the vulnerability of the more fragile and less prepared populations. Focus Natural disaster risk prevention & reduction. Preparation emergency intervention teams. Beneficiaries Thousands of people in high-risk areas. Humanitarian teams. 15
Leadership team Marc DARMON Executive Vice-President Secure Communications and Information Systems Alex CRESSWELL Executive Vice-President Land & Air Systems Philippe DUHAMEL Executive Vice-President Defence Mission Systems Gil MICHIELIN Executive Vice-President Avionics Jean-Loïc GALLE Executive Vice-President Space Millar CRAWFORD Executive Vice-President Transportation Systems Patrice CAINE Chairman and Chief Executive Officer Pierre-Eric POMMELLET Senior Executive Vice-President Chief Operating Officer and Chief Performance Officer Pascale SOURISSE Senior Executive Vice-President International Development David TOURNADRE Senior Executive Vice-President Human Resources Pascal BOUCHIAT Senior Executive Vice-President Chief Finance Officer Isabelle SIMON Group Secretary & General Counsel Philippe KERYER Executive Vice-President Strategy Research and Technology 16