Ernst & Young Attractiveness Study

The Euro-Mediterranean area already ranks third in terms of GDP

15 200

3 669

3 713

1 2495 852

21 242

6 856

North America #2

Latin America and Caribbean #6

European Union* #1

South East Asia & Japan #4

China #5

India #8

GDP (US$ billion 2007)

Source: IMF 2008 – Current Price

Euro-Mediterranean

Area* #3

1

…and third in terms of foreign direct investment inflows

Source: UNCTAD 2008 including M&A

244

84

69,5 16,9

44

537

217

Latin America and Caribbean #4

South East Asia & Japan #7

China #5

Inward FDI (US$ billion 2006)

North America #2

India #8

Euro-Mediterranean

Area* #3

European Union* #1

*Northern Rim countries (Spain, Portugal, Italy, France, Malta and Cyprus) are part of both the European Union and the Euro-Mediterranean area

2

International investors have identified projects in the Euro-Mediterranean area… but also alternative, attractive destinations in Asia and Europe

Total Yes: 33%

Location intentions in the Euro-Mediterranean area

Yes probably

Can't say

Yes definitely

Definitely not

Probably not

31%

24%

12%

21%

12% ► Versus 43% of location intentions in Asia and Southeast Europe

Source: Ernst & Young Euromed Attractiveness Survey 2008 - 315 international executives

3

Turkey and other Mediterranean challengers are seen as promising destinations for value-added activities

21%

15%

12%

6% 6%

4%3%

2% 2%1%

Turkey Israel Morocco TunisiaEgypt Jordan Libya Algeria Lebanon Syria

The 3 most promising countries in terms of value-added activities and R&D (first quotation)

Source: Ernst & Young Euromed Attractiveness Survey 2008 - 315 international executives

4

Ernst & Young Business Case

Key Drivers

GLOBALIZATION

DIVERSITY

MARKET LEADERSHIP

STRENGTHENING OUR BRAND

IMPROVING QUALITY AND CONSISTENCY

6

Process

2000 CREATION OF GEOGRAPHICAL AREAS

2008 CREATION OF 4 AREAS

7

4 Areas

AMERICAS

EMEIA

FAR EAST

JAPAN

8

Barriers

LANGUAGE

COUNTRY LEGAL FRAMEWORKS

LABOR RESTRICTIONS

FINANCIAL RESTRICTIONS

9

Benefits

BETTER BALANCE OF CULTURES

CULTURE OF MOBILITY

INCREASED QUALITY

IMPROVEMENT OF SYNERGIES

BETTER MANAGEMENT

10