ACTIVITY REPORT and responsible growth 2013 PASSION FOR SUCCESS cofelyineo-gdfsuez.com A major electrical engineering, information and communication systems and related services company, Cofely Ineo provides its private and public customers with global solutions ranging from design through implementation to maintenance. With 15,800 employees and 300 offices in France, Cofely Ineo operates in industrial and tertiary electricity, energy networks, public lighting, transport and telecommunications infrastructure, global security, energy production, information and outsourcing. Cofely Ineo is a GDF SUEZ Energy Services company which employs 90,000 people and generates sales of €14.7 billion. The European leader in multi-technical services, GDF SUEZ Energy Services is one of the six business lines of GDF SUEZ, one of the world’s leading energy suppliers. cofelyineo-gdfsuez.com AT THE HEART OF PEOPLE’S LIVES … For our customers, we always aim to be more innovative, more creative, and more reliable! We share with our own people the conviction that working together and cross-fertilising our business lines and commercial activities gives us a unique range of assets! This is our major commitment – making Cofely Ineo a seamless, dynamic company that is both attractive and powerful! A wonderful company created by men and women who are determined to forge their path through life with ... ... Courage and Confidence CONTENTS OUR STRATEGIC VISION ENGAGING WITH COFELY INEO MAKING A DIFFERENCE AT THE HEART OF YOUR AMBITIONS PAGE 03 PAGE 08 PAGE 16 PAGE 20 Published in May 2014 by Cofely Ineo Communications Cover Illustration : CLXO2014 - Credits : Flickr / A. Da Silva-Graphix-images / A. Brunet / Photothèque Cofely Ineo / Ministère de l’Intérieur / CL / JL Maby / GDF SUEZ Abacapress R. Guillaume/ L. GuichardonGraphix-Images / Herzog & Demeuron Architectes / AIA Associés - IntensCité Architectes / C. Legendre / Rey Lucquet & Associés, Dietrich Untertrifaller Architekten/ DRPVCP / PJGN / Airbus - S.Ramadier / CEA-Ph. Labeguerie / SIAAP / Urbaser / Thinkstock / A. Février. Design/Production: XO Consultants - Printed on environmentally friendly paper by a certified printer Printed Green 01 Executive Committee From left to right standing Richard DUMAS, Head of Administrative and Financial Affairs Guy PARAYRE, Special Advisor to the CEO Philippe RASSAT, Executive Vice-President, Systems & Communications Business Unit Guy LACROIX, Chairman and Chief Executive Officer Denis MOUGEOT, Development Director, Member of the Executive Committee since 1st January, 2014 Jean-Michel SANCHEZ, Deputy Chief Executive Officer Stéphane RANDRETSA, Executive Vice-President, Human Resources Eva MOMPIED, Head of Communication Marcel BOUHANA, Executive Vice-President, Grand-Ouest Business Unit From left to right sitting Patrick ZMIROU, Executive Vice-President, Grand-Est Business Unit Thomas PEAUCELLE, Deputy Chief Executive Officer Sylvie DAO, Sales Manager, Member of the Executive Committee since 1st January, 2014 Jean-Luc FIGUEREO, Executive Vice-President, Power Business Unit Bruno NEBOUT, Executive Vice-President, Nord & Île-de-France Business Unit Henri BALSAN, Head of Sales cofelyineo-gdfsuez.com OUR STRATEGIC VISION Interview with Guy Lacroix Chairman and CEO of Cofely Ineo The economic environment in 2013 was very difficult. How has Cofely Ineo made its mark in the last twelve months? Once again, Cofely Ineo has proved how robust and adaptive it is. By virtue of its strength and seriousness, all our divisions have managed to stay focused on results in a period of turmoil and demonstrated a potential and willingness to adapt. Yet in spite of this very tense and demanding environment, our people have managed to adapt their job focus with a shared awareness of the inevitable transformations of our environment. Can you explain how Cofely Ineo’s business lines are changing today? We have had a long and remarkable history of creatively developing our business lines and skills. Our DNA goes back to companies that were initially created in the early 20th century to produce electricity. They were led by entrepreneurs who wanted to extend their business to as many sectors as possible. We have inherited this vision from them, and today we are equally determined to operate not only in the tertiary sector, industry, telecoms, and defence, but also in security, transport, energy and more. And we share with other divisions a very open perspective on what the world needs both today and tomorrow. How has this been reflected in 2013? All our divisions (either local or speciality-driven) were determined to maintain the fundamentals of our business lines and demonstrate our commitment to offer the most innovative services to our customers as real partners who could address their changing needs. Can you give us some telling examples? Let me suggest two kinds: The first is related to our innovation strategy that inevitably means adding a "technology layer" to our business lines, because digital is revolutionising our environment. When we think, for example, about smart grids, smart cities and smart buildings, we have developed an entire "digital building block" because we want to keep in contact with the end customer, rather than finding ourselves in the position of a subcontractor. The second type of example is related to the large-scale contracts that we have won and are currently working on. Can we go more deeply into the examples of digital technologies? Let’s take a look at the digital landscape and then I’ll give you some examples of contracts we won in 2013. Our strategy is to provide public and private customers with services that are not only innovative but also paradigm-shifting: they point the way towards a whole new generation of human practices. Let me mention Safety/Security solutions, for example, or Energy Solutions and Mobility Solutions. When we founded Ineo, we tuned our business model to the job of integrator, which meant creating bespoke developments 03 OUR STRATEGIC VISION based on specifications that were funded on a project by project basis. As a result, people often sought our innovations from outside the company. However, a number of our local branches developed their own R&D and in fact all our units have shown real creativity in their respective fields. Remember that creativity is central to Cofely Ineo’s overarching project of “The Passion for Success". So creativity has become one of our corporate values that is driving a wave of innovation right across our organization. By adding a technology layer, we realised that we ought to speed up this process and develop a “platform model". A platform is an open ecosystem that can unite data and hosted services to rapidly spur new development. The idea of giving ourselves a technology platform seemed a natural step forward in creating new services. In technology and especially in innovative technologies, it is up to customers to choose the quality of the services in question - how they can be optimised and adapted to a variety of solutions. Integration is no longer the sole criterion. Owning our own technologies is a net asset, as can be seen in Ineo Défense, Ineo Scle Sfe, Ineo Systrans, Ineo E&S and our other companies. This is why owning the platform developed by Sinovia ensures that we operate more closely with our customers and at the same time removes the risk of simply being a subcontractor. Did this mean that you had to change your organisation? No, we haven’t changed the way Cofely Ineo is organised - it is still perfectly adapted to our model of corporate responsibility. But we have created two new companies - Ineo Smart Solutions and Ineo Digital. Ineo Smart Solutions is an incubator that aims to test and develop new businesses involved in smart, digital services for all local divisions. It is also intended to impel Cofely Ineo to be more creative in designing services. Ineo Digital is a local branch that mixes the business of the former Ineo Com with the information system department of Ineo E&S. It is focused on IT infrastructure (data centre, cloud, and computer networks) and integrating complex software systems. cofelyineo-gdfsuez.com Can we come now to some of your major contracts in 2013? Certainly. We won some splendid contracts last year. In October 2013, we signed the largest ever contract in our history, worth €530 million, as part of the ITER project in Cadarache. This is a truly exceptional contract that exemplifies our entire strategy. First, it brings to fruition our efforts over several years to develop synergies with the various companies in the business unit I am responsible for in the GDF SUEZ Energie Services Branch, namely Cofely Axima, Cofely Endel and Cofely Ineo. By allying our forces with German partners, we succeeded in making a competitive bid against a number of powerful competitors. In choosing us, F4E - the body in charge of Europe’s contribution to the ITER project - has strengthened our strategic position as a first-rank player in the nuclear sector and more generally as a designer & installer on complex projects. What are your ambitions in the nuclear sector? We would like to be a leader in nuclear power. As well as ITER, we are working actively on nuclear projects in England and South Africa, including those managed by GDF SUEZ. And we are obviously paying close attention to what is on the books in France, with the extension of the lifetime of nuclear power plants. What role do major projects play in Cofely Ineo business activities? They have featured among our strategic priorities for several years. We have opted for a collaborative approach so that we can mesh together our various skills sets more effectively so as to tackle large projects. Today, the LGV Tours-Bordeaux rail project on which we are working has crossed the 20% threshold for construction progress. This is a highly technical operation which perfectly demonstrates the collaborative capabilities of our divisions. I should also mention that Ineo Rail, Ineo UTS, Ineo Scle Ferroviaire, Ineo Scle Sfe, Ineo Poste et Centrale and other local businesses are working together on this site. Today, we have a number of truly strategic collaborative capabilities. For example, the signalling contract for the LGV Tangier-Kenitra in Morocco that we won in partnership with Ansaldo, and the Sidi Bel Abbès tram system in Algeria which involves Ineo Rail, Ineo UTS, Ineo Scle Ferroviaire, Ineo Systrans, and Ineo Energy Export. We are also positioned on large tertiary projects such as the Société Générale Campus, the Eco Campus in Châtillon with Ineo Tertiaire Île-de-France, and the Bordeaux stadium with Ineo Aquitaine among others. In the same way, Lille, Lomme and Hellemmes have contracted Ineo Réseaux Nord Ouest to handle their urban planning agenda. Cofely Ineo is becoming one of the French companies capable of developing a private cloud, as we demonstrated with the successful UnivCloud collaborative R&D project together with the Ile-de-France digital university. This helped step up our positioning for the GDF SUEZ Cloud contract, which we have since won. You appear to operate in what is today a “vast” ecosystem of increasingly diversified players. How are your divisions adapting to this? Paradoxical as it may seem, we are adapting by not changing our strategy. We remain in the B to B marketplace and we are getting better at understanding our customers’ needs. As we move forward, technology becomes a way to optimise responses to business line needs. Our knowledge gives us an edge, and we regularly work in partnership with leading technology companies that develop high-level solutions. We have a very special strategic position, which covers: know-how related to our traditional businesses, high-quality technology capabilities, a major presence in the field as the business unit for which I am responsible, with its three entities: Axima Cofely, Ineo Endel and Cofely Ineo has a total workforce of 30,000 people. All these points give us an outstanding strategic positioning and enable us to draw upon a rich ecosystem of creativity through different types of partnerships. of concrete proposals. I would also like to say that with the support of the management in each of our business units, we have been working hard since 2012 on the theme of improving Cofely Ineo’s overall performance. Several workshops have produced excellent proposals and support new processes that are already embedded in our services. In 2013 it was already clear that all our branches were focused on two major issues: constantly improving our performance and sticking to our targets, the dynamic thrust of our business given the environment we have already described. A final key point Cofely Ineo is grounded in strong human values that we all respect. These values form the principled foundations of our work and actions. Whether in the realms of safety, CSR or managerial dynamics, we are all engaged with the same spirit of attentiveness and solidarity. A company forms a single whole in which we constantly face both successes and difficulties. Cofely Ineo’s strength derives from the sense of belonging and commitment that is manifest across its entire staff. These men and women are responsible, passionate players because together they breathe life on a daily basis into a robust, human company that is responsive to future needs. You have been very explicit about Cofely Ineo’s overall thrust. Are there any further points of clarification regarding the year 2013? Yes, in fact there are several points worth noting. The first is that we decided to hold five meetings from September to October in 2013 that brought together our operational executives, the heads of our local branches, agencies and functional HR/ Finance/ Accounting/Controlling units – over 600 people in all. These gettogethers gave us an opportunity to review our assets, our development path and the projects we want to carry out together in the coming years. In due course, this led to agreement on five improvements in practices that we consider to be very important for all our businesses. We held workshops on these issues that led to a number 05 OUR STRATEGIC VISION OUR "PASSION FOR SUCCESS" IS FOUNDED ON THE VISION AND AMBITION OF A CREATIVE AND AGILE COMPANY DEDICATED TO SERVING ITS CUSTOMERS Despite initial uncertainties, 2013 has been a very satisfactory year, both in terms of our backlog and our operational performance. This is largely due to the agenda of priorities set out at the start of the year. Strengthening our partnership with GDF SUEZ Cofely Ineo has continued to work with the GDF SUEZ Group, not only due to its historical relationship, but by extending its partnerships to companies such as GRTgaz, Storengy and GRDF. This process is also reaching out to new fields such as Cofely Ineo’s contract to design and roll out the GDF SUEZ Private Cloud, and improve security at GRTgaz sites. Scaling up our speciality businesses internationally We need to develop our speciality businesses abroad to offset the possible decline of business in France, and assert our leadership in technology and our capacity to manage complex systems. These include the development of Ineo Systrans in Canada and North America, our participation in the construction of the first Sidi Bel Abbès tram line in Algeria and in Cuenca in Ecuador, and the design and construction of the railway signalling, telecommunications and centralised control unit for the future 183 km high-speed line between the cities of Tangier and Kenitra in Morocco. We have also been actively growing our business in the oil sector. Boosting our proficiency in running complex projects The decision to become an integrator for large infrastructure projects goes back to the first Public-Private Partnerships (PPP). By completing cofelyineo-gdfsuez.com the first phases of construction projects under highly satisfactory financial conditions, we have demonstrated Cofely Ineo’s maturity in this area, which is now opening up new prospects for international development. Pursuing a policy of ambitious technology development Strengthening Cofely Ineo’s position in technology is an overarching strategic decision inseparable from that of successfully managing complex projects of all kinds, including PPPs, design & build, etc. But while pursuing its traditional business activities, Cofely Ineo has also decided to become a major player in energy transition and in the digital revolution by supporting its customers as they adapt to deep-seated changes. To achieve this, Ineo Com has undergone a major reorganization with the arrival of new Ineo Engineering & Systems IT teams, and is now known as Ineo Digital to underscore our determination to become a benchmark IT infrastructure player and integrator in the field of "smart cities". At the same time, Ineo Smart Solutions provides support to all Cofely Ineo branches in this area through its expertise in urban development skills, its support for creativity, its role as an innovation specifier, and finally as an incubator for new business lines. And Sinovia is designing the multi-business line OpenControl© platform, a new version of which is currently on the market, and working with the verticals associated with it. Thomas Peaucelle Deputy Chief Executive Officer Improving our operational performance We cannot pursue this policy unless we achieve a high level of operational maturity by following a Performance plan based not only on financial but also operational excellence targets. This has involved putting a process in place that sets targets for all managers. Finally, Cofely Ineo’s ambition and vision need to be as agile as possible in listening to the needs of its customers so we can help them in their businesses, and in adapting them to such major trends as the digital revolution and energy transition. This agility and understanding of customer needs stand at the heart of our corporate Passion for Success project. Constantly searching for creativity requires a business model built on flexibility, trust and openness, and on creating an eco-system that embraces our customers, partners, and other innovative SMEs. Ultimately what characterizes Cofely Ineo best in its ambition to serve these customers is our Passion for Success and our business model. 07 ENGAGING WITH COFELY INEO 2013 WAS A MILESTONE YEAR IN THE HISTORY OF COFELY INEO, MARKING A REAL TRANSITION We built on the victories of 2012, when we successfully completed our first major projects, such as the 1000 Paris cameras and the Dijon Tramway. These successful projects gave a real stamp of approval to our new strategy. Our first challenge in 2013 was to establish our rampup capacity to take on big contracts and renew our order book. Examples include the ITER project, the Sidi Bel Abbès Tramway in Algeria, the LGV in Morocco and the Cuenca Tramway in Ecuador, which have all made a major contribution to the development of our speciality business. They help maintain a healthy balance because in the current economic environment, our local activities in many cases have had to deal with eroding margins. In contrast, risk management has become more important and requires a high level of professionalism in preparing our contracts. This is why 2013 has been a "learning" year. We have been readying our capacity to scale up to large projects in 2014, noting particularly that the quality of our upfront research work is a premium guarantee of our proficiency in future projects. Our second challenge was equally important. We had to cope much more systematically with the penetration of digital technology into our various business lines. This has made a real change in our positioning, coupled with strategic issues that all our divisions must take on board. We have therefore worked on adapting our organisations now that we are aware that digital is adding vital value to many of our activities. cofelyineo-gdfsuez.com Our third challenge in 2013 was related to the fact that export is becoming a growth driver. We have worked in this direction and demonstrated the capabilities of our teams through their successes. We all know, however, that export carries very real new risks that we need to control, over and above those that we face in typical large contracts. We have therefore stepped up our attention when managing projects and introduced more rigorous operational oversight. In many cases, this is a real challenge as it requires us to change our habits and work differently. I would like to emphasize in this respect the remarkable work carried out in 2013 by all our teams in terms of performance factors. We have extensively developed the "performance effort" first launched in 2012 and worked collectively on our operating process to revisit and identify the sources of progress. All this demonstrates real business maturity. It is clear to all of us that taking on increasingly demanding projects and contracts is forcing us to improve our processes and make them more secure. We are all concerned by "optimisation" which symbolises the fact that we have greater control over our contracts and also drives a process that goes far beyond simply “reducing costs and eliminating waste." Jean-Michel Sanchez Deputy Chief Executive Officer I want to emphasize that this is a real challenge that impacts all our divisions. It may appear paradoxical because on the whole we are successful in what we do. Yet that is what we can think of as a real sign of progress, as this approach has been led by operational and functional managers in a collaborative mind-set across the entire company 09 ENGAGING WITH COFELY INEO TOWARDS NEW CSR AMBITIONS Stéphane Randretsa Executive Vice-President, Human Resources For Cofely Ineo, corporate social responsibility (CSR) is a key component of its strategy. The company’s commitment to diversity and equal opportunities as well as to the health and safety of its employees is the central plank of its CSR policy. Today, Cofely Ineo is determined to focus more visibly on other CSR issues related to environmental and economic concerns. This ambition is part of Cofely Ineo’s overall commitment to responsible growth. Cofely Ineo is committed to CSR through a number of practical actions whose outcomes match the scope of its involvement in favour of diversity. In a difficult economic context, Cofely Ineo has nevertheless kept to its external recruitment targets in 2013 with nearly 1,000 new permanent contracts, confirming its engagements on sustainable employment by converting more than 60 % work-study contracts into permanent jobs (a 5.04% rate for work-study jobs in 2013). In the case of diversity, Cofely Ineo continued its efforts to maintain an equitable workplace (75 women joined between 2012 and 2013) and employ disabled staff members. In 2013, the rate of employment for disabled workers rose to 4.5 % from only 2.2% five years ago. These figures demonstrate the commitment of all Cofely Ineo stakeholders who have been awarded the French Diversity seal of approval since 2012. In addition to diversity, Cofely Ineo’s affirmative action in jobs and skills planning, preventing labour risks, and reducing the amount of temporary jobs and absenteeism, are all key CSR commitments. cofelyineo-gdfsuez.com Since 2001, Cofely Ineo has built its business model around the "Passion for Sucess" by promoting strong entrepreneurial and human values. Its strategy is to make technology innovation one of the company’s major value creators. The contribution made by digital solutions to optimising buildings and infrastructure, especially in the field of energy efficiency, is a key lever for differentiating and growing the company's business activities as a whole. To support its business development, Cofely Ineo is convinced that its commitment to CSR is a second lever for differentiating itself in the eyes of its external stakeholders, be it customers, job candidates or political players. The emergence of much longer contracts (PPP, energy performance contracts, etc.) is also changing the way we relate to our customers. It means that we must demonstrate over the long term - sometimes up to 10 or 15 years - the reality and sincerity of our CSR-related commitments. For example, Cofely Ineo’s engagements in the field of jobs (e.g. facilitating work for seniors and young people in difficulty), disability, and gender diversity go far beyond the purely contractual dimension and create a bond of trust between the company and its customers who share a common ambition with regard to human values. Cofely Ineo is therefore promoting a scheme for sustainable commitment, focused on working jointly with our customers and partners to establish a set of realistic, shared ambitions that factor in social and economic concerns. In this way, Cofely Ineo’s CSR policy is ushering in a new model of responsible growth. SAFETY AND SUSTAINABILITY The company is making a major commitment to building synergies into performance, health & safety, and the environment with the single For businesses ambition of putting people at the heart of its responsible development strategy. Brahim Garda Director of Methods for Health, Safety and Sustainable Development Cofely Ineo has set up a steering committee in charge of consolidating each division’s contribution to sustainable development, and identifying best practices by disseminating tangible results. This committee reports directly to the Executive Committee to endorse new actions and pursue ongoing efforts. The purchasing department, for example, has introduced sustainability criteria into its process of selecting and choosing suppliers. Particular attention has been paid to assessing the environmental risks associated with our activities by sorting and monitoring work site waste, and optimising employee travel. ISO 14001 (environment) and OHSAS 18001 (health and safety) certification among Cofely Ineo businesses have continued, strengthening Cofely Ineo’s control over quality, safety and environmental risk. In the area of safety at work, Cofely Ineo is focusing actions on human and organisational factors such as a shared vigilance approach, focus groups to improve feedback, and upgrade the preventive safety inspections carried out by management. Actions aimed at combining performance and security more effectively are also underway, targeting such items as temporary staff, logistics bases, and rolling out new on-site communication tools (touch pads). To gain a better understanding of occupational health, new indicators are being monitored and self-diagnosis has been launched in each local branch. Cofely Ineo's ambition is to promote the Quality of Life at Work by acting on psycho-social risks, and ensuring an effective response to situations of hardship and absenteeism. 11 ENGAGING WITH COFELY INEO Cofely Ineo is shaping its R&D and innovation around the concepts of systems and "systems of systems" that mesh together the company’s expertise in energy, communication networks, and information systems. Our most important projects include: Operational communications systems In addition to projects dedicated to the National Defence sector (antennas, interception, and encryption systems), Cofely Ineo is involved in efforts related to the protection of information via the SESAM Grid project funded under the French government’s Future Investments for securing smart grids, and a study on the security of SCADA systems for gas networks on behalf of ANSSI (National Agency for Securing Information Systems). In addition, 2013 saw the completion of UnivCloud, the precursor of the future "private cloud" project for the Universities of the Ile de France area. This interuniversity cloud project carried out in collaboration with the Paris Île-de-France Digital University, manufacturers, researchers and start-ups as part of the Future Investments agenda has been instrumental in finalising the contract for the GDF SUEZ private cloud. Lastly, Cofely Ineo has continued its work on making major events safer and monitoring personnel in hostile environments (e.g. oil platforms). Transportation Systems Cofely Ineo is involved both in passenger information cofelyineo-gdfsuez.com and operations support systems, public transport fleets (the Navineo programme) and in providing signalling systems and automating railway infrastructure (computerised signal boxes). Similarly, Cofely Ineo has developed a system for brake energy recovery in trams. Electrical systems Cofely Ineo is playing a major role in monitoring and controlling power grids by developing a new generation of digital command and control for substations that transform and interconnect electricity distribution grids. In addition, the Smart'eo project for energy management in buildings and on industrial sites is being developed and several pilot sites are now equipped with forwardlooking intelligent buildings. In the field of renewable energy, Cofely Ineo is working on a project to reduce radar return on wind turbines so that these latter can be installed in a broader range of areas. Similarly, work on the integrating renewable energy into grids is underway, especially with studies on energy storage. In 2013, Cofely Ineo created a joint laboratory with the CNRS Laplace laboratory and CIRTEM, a small company R&D TO DRIVE COFELY INEO’S INNOVATION AND RESPONSIVENESS Interview with Thomas Peaucelle Deputy Chief Executive Officer specialising in the design of power electronic systems, to develop applications in energy conversion (brake energy recovery, for example). Smart grids Two major programmes are underway in this area. The first - Smart AEZ - is a smart grid demonstrator scaled to the footprint of a business park. It combines the production of photovoltaic and wind energy with optimal management of energy consumption plus energy storage based on flywheels and batteries. As a designer and manufacturer of smart grids, Cofely Ineo is managing this project in partnership with CIRTEM, LEVISYS and the LAPLACE laboratory. Smart AEZ is one of the first experiments chosen by ADEME through a Call for Expressions of Interest. Meanwhile, Smart Campus is a research and development project in energy management, intelligent infrastructure management and electrical mobility via campus-based micro- grids. Cities of the Future Cofely Ineo plays a major role in GDF SUEZ’s "smart cities" solutions. These are based on GDF SUEZ expertise in urban facilities such as energy, mobility and transportation (e.g. car sharing, multi-modal transport, and intelligent parking), public lighting, video surveillance, risk analysis, and the environment. These are developed via the OpenControl© multi-service and multi-business software platform developed by Cofely Ineo, of which a new version has just been finalised. a common project. We have developed skills in this respect that enabled us to win the outsourcing contract for the uniforms and clothing of the National Police. Cofely Ineo has won the contract to create an urban dashboard for the city of Courbevoie. It also plays a part in all of the city’s major scientific events as an example of its service design approach. Yet these Research and Development projects must not conceal the fact that for us, innovation is primarily an attitude - a mind-set built around trust, openness and agility - that enables each one of our employees work creatively for our customers. This is why Cofely Ineo is a participant in competitiveness clusters, a member of the Pacte PME that brings together innovative French SMEs and large companies, and participates in joint research programmes involving university laboratories and small and large companies funded by Europe, ADEME and the French National Research Agency (ANR). Cofely Ineo’s innovation stance can also be seen in its capacity to unite disparate stakeholders around 13 ENGAGING WITH COFELY INEO KEY FIGURES 2.3 billion euros 108,5 million euros 15,800 employees 300 sites in turnover in current operating income INDUSTRY 19% INFRASTRUCTURE 37% PUBLIC TERTIARY 30% PRIVATE TERTIARY 14% Turnover per major business sector cofelyineo-gdfsuez.com FINANCIAL DYNAMICS & RESULTS Richard Dumas Head of Administrative and Financial Affairs In 2013, Cofely Ineo managed to step up its sales drive, deliver a better performance and invest for the future. The company has never been more financially sound or capable of creating value, demonstrating once again the resilience of its business model in a difficult economic environment. This financial strength and value creation is founded on a multi-faceted strategy: A dynamic sales effort Our order book exemplifies our strategy of operating in large, complex technology projects, our growing international ambitions in speciality business lines, and our sustained local presence. Significant growth in profitability Our operational and functional units are engaged in a performance plan that has generated €40 million in savings since 2012. This collective effort aims to improve our operational excellence and control our overheads. Free cash flow generation of some €70 million and available cash of more than €150 million that can support our growth investments while maintaining an ambitious yet regular dividend policy. A net increase in R&D investment over the past three years (€17 million) reflecting our strong strategic commitment to develop and roll out the technology and digital layers of our core solutions. This policy will create value for our customers and drive our future growth. 15 MAKING A DIFFERENCE Interview by Denis Mougeot Development Director COLLECTIVELY CREATING NEW SYNERGY TO DELIVERADDED VALUE TO OUR CUSTOMERS Jean-Pascal de Peretti Thierry Le Mouroux Jean-Michel Sanchez Chief Executive Officer Cofely Axima Chairman Cofely Endel Deputy Chief Executive Officer Cofely Ineo cofelyineo-gdfsuez.com We live in exciting times in which the rapid explosion of complexity requires a more comprehensive approach. Our challenge – but also our opportunity - is to manage this transition for our customers through greater creativity and innovation in our solutions and our day-to-day activities. Carrying out large, complex projects such as ITER leverages our many years of experience. Denis Mougeot: By winning the ITER contract, you are making new claims for our positioning in the nuclear sector as a designer & builder. What are the keys to this success? Jean-Pascal de Peretti: This success underscores our position as one of the leading players in the French nuclear industry, involved as we are in all the major current initiatives including Laser MegaJoule, the Flamanville EPR, and the Georges Besse II plant. First and foremost, the ITER success reveals the significant degree of trust we have built up with our customers due to the quality of our work in each of these strategic projects. For example, by combining the skills of Cofely Ineo, Cofely Axima, Cofely Endel and the German company M+W, we were able to field a comprehensive installer bid against competitors who were all very large international engineering players. Our combined assets derive from a detailed, analytical vision of the installations in question and our global engineering proficiency in our building lines. This vision is specific to our group and was instrumental in winning the Fusion for Energy project, as it led to a better understanding and processing of risk (electromagnetic fields, radioactivity, sealed post anchors, etc.), among other things. This consortium then invested in a multi-disciplinary project team dedicated to ITER with Ineo Axima as the sole point of customer contact. This meant that the project team was crucially able to provide a fully integrated solution for all the technical packages. ITER is an amazing if very complex project, with extreme technical demands that require us to be agile and managerially innovative. It is driven by very powerful political, industrial and scientific ambitions to which we are responding with all possible synergies from the GDF SUEZ Group. DM: Lastly, what added value can we bring to major customers as a result of our synergies? Thierry Le Mouroux: We won this tender because our three companies – each a centre of excellence in its field - are all complementary: Cofely Axima’s recognized expertise as a leading player in designing and implementing air climate systems, Cofely Ineo’s proven added value in managing large projects, electrical engineering and communication systems, Cofely Endel’s exemplary skills in the design and construction of piping systems in a nuclear environment, and in integrating the codes, seismic constraints and traceability requirements specific to nuclear safety. Our three companies have worked together on a number of successful joint projects, so we know how to effectively and seamlessly combine our respective strengths. So they not only contributed the very best of themselves to our ITER customer but also transformed their combined strengths into a value proposition whose sum is greater than its parts. DM: What sort of obstacles are there when implementing a project of this magnitude? Jean-Michel Sanchez: In this first phase, there are not strictly speaking any particular obstacles to overcome, but we do have to deal with a number of brakes on progress and some genuine technical challenges. So we have to convert our supply-side dynamics into an implementation phase. The decision to build a joint team helps to pool risk and automatically enjoin each of our three companies to put their trust in each other. This need to merge into a collective team means overcoming the specific entrepreneurial cultures of our three companies. Due to the scope of the project, the degree of engagement in the design, and the complexity of our customers’ decision-taking process, there is inevitably plenty of pressure on our teams. To complete the picture, we have joined forces with a German partner (culturally very different from us) and English is the official language for the project. So this is the nature of the challenge ahead, and we need to be very determined to overcome these obstacles and deliver a result that creates real value. We have to be very focused and united today to succeed in carrying out a project that we managed to win at the tender stage. Remember that our customer believed in our vision of a totally integrated project in which our partner companies could make a combined proposal. This is what we all need to be aware of so we can support our customer in this project and successfully ensure its overall design. It requires the managements at Cofely Ineo, Cofely Axima and Cofely Endel to all share the same powerful vision. ITER is an exemplary success. It demonstrates the ability of the people in our companies to work together and generate the kind of impetus that we can deliver to all our customers in all sectors. An inspiring example of how we can put our synergies to work! 17 MAKING A DIFFERENCE 2013 IN STORIES JANUARY-FEBRUARY MARCH-APRIL MAY-JUNE The towns of Dreux and Hazebrouck have been working with Cofely Ineo to design their lighting plans. Optimised and tailor made these plans reflect the eco-responsibility ambitions of each of the two municipalities, which are targeting savings of 40% on their energy bill. These two projects demonstrate Cofely Ineo’s skills in inventing technical solutions and providing consultancy in energy optimization, and operating as a partner. A partner who can adapt to the specifics of the locale. Hazebrouck wants to preserve its heritage by using a more energy-efficient and less polluting lighting scheme. In late January, the new facility was inaugurated in the presence of Jean -Pierre Allossery, deputy mayor of Hazebrouck, Guy Lacroix, Chairman and CEO of Cofely Ineo, and local elected officials. In the long run, on the basis of the PPP signed in 2012, 85% of the town lights will be optimised and all stadiums brought into conformity. Cofely Ineo was a partner to 5Plus City Forum - "my life and my town in five years" - an international conference held at the Palais de Congrès in Issy-les-Moulineaux in March. The purpose of this 2013 edition was to bring together elected officials, experts, business leaders and internationally known industry players to examine the issues of tomorrow’s smart cities. What will our town be like in five years? What kinds of new practices can we expect? The speakers and round table discussions mainly addressed these issues from the perspective of managing new forms of energy, the impact of digital technology, innovative neighbourhoods and mobility. Carlos Moreno, scientific advisor to Guy Lacroix, Chairman and CEO of Cofely Ineo, and President of the 5PlusCityForum Scientific Committee, drew attention to the challenges of vibrant towns and cities in terms of their complexity and fragility. He also stressed the need to invent a more harmonious development process for towns and cities. For Carlos Moreno, 5PlusCityForum exemplifies the richness and energy of stakeholders that “have the ability to promote towns that are more agreeable to live in and more sustainable." In keeping with the Rio+21 agenda, the Fondation Prospective et Innovation (FPI) launched a Brazil-based program on the topic of "sustainable cities, smart cities" in February 2012. Following the 2012 mission by Mr Jean-Pierre Raffarin, President of the FPI, and Gérard Mestrallet, Chairman and CEO of GDF SUEZ, to Rio and Brasilia, a series of meetings was held to define a Franco-Brazilian cooperation project. I n this context, Guy Lacroix, Chairman and CEO of Cofely Ineo, and his scientific advisor Carlos Moreno spoke in early June on the theme of "innovation for smart, user-friendly cities," offering an opportunity to underline the importance of tomorrow’s urban challenges for Cofely Ineo. In Dreux, the mayor Gérard Hamel signed a comprehensive contract to optimise its public lighting in early February, with Philippe Rive, CEO of GEDIA and Daniel Houard, Managing Director of Ineo Réseaux Centre. Ineo Réseaux Centre has joined forces with GEDIA to design a lighting plan covering the renovation of 75% of the public lighting, or 4,360 light points, with an additional future option for even greener technologies such as LEDs. cofelyineo-gdfsuez.com After the consortium agreement on "Smart Grid Vendée" signed in February, the project was officially launched in Les Sables d' Olonne on June 28, 2013. Cofely Ineo, represented by Jean -Luc Figuereo, Deputy CEO, was present as a partner in this project alongside the ADEME, ERDF, RTE, Actility, Alstom, Legrand and the CNAM under the coordination of SyDEV. "Smart Grid Vendée" is a five-year project that will test at French département level the new technology and organizational solutions that enable the "intelligent" management of local energy needs and make it possible to optimise investments in renewable energy infrastructure. " Smart Grid Vendée" is an ambitious project that will cover six wind farms, 36 solar installations and hundreds of public buildings, accounting in all for more than 100,000 light points, an industrial site, and six power transformer stations (60% of the Vendée’s electricity production). As a creative designer and builder of Smart Grid solutions, Cofely Ineo plays a key role in energy production and consumption systems by designing and implementing an energy management system for public buildings, public lighting and renewable energy sites, and researching into storage solutions tailored to the requirements of the local power grid. SEPTEMBER OCTOBER NOVEMBER DECEMBER In September, Cofely Ineo demonstrated its commitment to the Association of Mayors of the Large Cities of France by participating in the 13th Conference on Cities. Speaking on the theme of urban mobility, Guy Lacroix, Chairman and CEO of Cofely Ineo, first drew attention to GDF SUEZ’s long-term loyalty: for more than 150 years the company has supported the development of local and regional authorities. For Guy Lacroix, the mobility agenda requires an innovative and creative understanding of the habitat, workplace, and recreation site requirements of a town’s inhabitants. For example, Cofely Ineo provides new information systems that can optimise current systems and help them evolve towards tomorrow’s solutions. The challenge from an energy standpoint is to transition effectively in a way that is both economically viable and sustainable for citizens. For Cofely Ineo, the key is to succeed in "doing things differently" while staying close to core civic concerns. At the Trade Fair for Mayors and Local Authorities, GDF SUEZ and SUEZ ENVIRONNEMENT presented Cit'Ease™, the first global interactive dashboard and for local authorities. Cit'Ease™ is a service that will provide citizens with timely information on energy, waste, water, mobility, safety and the living environment. Everyone can contribute by feeding back information in real time. This innovative solution is based on the OpenControl© multi-service and multi-business software platform developed by Cofely Ineo. A fully-fledged decision support system, OpenControl© enables elected officials to develop an effective tool for adding value to their constituencies by providing relevant data in real time to site decision-makers and town-centre operators. On September 26, Cofely Ineo was awarded a prize at the "Diversity Awards" for its partnership with a company operating in the sheltered sector. Through this partnership, Ineo Cablelec, an Ineo MidiPyrénées, Languedoc-Roussillon subsidiary, outsources the production of its wiring workshop to Altariva, a Toulouse company working in the sheltered sector. This three-year renewable partnership will ensure three full-time jobs and create permanent employment for people with disabilities. This partnership forms part of Cofely Ineo’s agenda since 2004 for training and employing people with disabilities. At Milipol, the technology showcase for public and industrial security products and services, Cofely Ineo launched its Practical Guide for Major Risks to Local Authority Responsibility. This guide was produced in partnership with the National Union of General Managers of Local Authorities and supports local authority leaders and elected officials by providing a consistent local approach to managing natural and technological risks that ensures safety for people and property and sustainable development for communities. This concise, practical guide is based on feedback from the senior service directors, and the expertise of Cofely Ineo and its partner companies. 19 AT THE HEART OF YOUR AMBITIONS TERTIARY SECTOR Marcel Bouhana Executive Vice-President, Grand-Ouest Business Unit In a complex energy landscape, buildings are still a major strategic issue at the heart of the energy revolution. As it supports the tertiary sector’s shift towards more widespread positive energy buildings (i.e. which produce as much energy as they consume) by 2020, Cofely Ineo has made energy efficiency a fundamental condition on this transition, as essential as the quality of the building frame itself. For example, Cofely Ineo is focusing its skills on energy performance, usage optimisation and the cost of new or rehabilitated buildings, as well as promoting the values of heritage and site attractiveness. cofelyineo-gdfsuez.com SPORTS / SHOWS The New Stadium in Bordeaux The challenge of making events more attractive As the Euro 2016 football championship will take place in France, the city of Bordeaux has built an international-sized stadium. Designed by Herzog and De Meuron (whose work includes the Allianz Arena in Munich and the "Bird's Nest" in Beijing), this stadium combines architectural elegance with ecological performance. The "Stade Bordeaux Atlantique" consortium responsible for building the venue has entrusted Ineo Aquitaine with the design and implementation of all the electrical installations, including the complete lighting for the pitch, dressing rooms, corridors and car parks. Ineo Aquitaine has managed to adapt to the UEFA’s (Union of European Football Associations) stringent standards and is providing a very high level of technical and financial expertise. The stadium has a modular capacity of 42,000 seats and by 2015 will be a fully-fledged next-generation multifunctional sport and culture space designed to increase the attractiveness of the city. INDUSTRIAL BUILDINGS Ambitions in Reunion Cofely Ineo is continuing to expand in Reunion through a number of infrastructure projects at the leading edge of technology innovation. For example, Crête d’Or Entreprise, a key company in the agri-food sector in Reunion, chose Cofely Ineo to carry out the electrical installation work in its new plant for breeding and slaughtering chickens. Cofely Axima is also participating in the construction of this 24,000 m² facility - one of the island’s largest industrial projects of the last ten years. To ensure its involvement in local authorities and government, Cofely Ineo is committed to working in partnership with local SMEs to support employment on the island. JUSTICE The New National Gendarmerie Criminal Investigation Centre in Pontoise A very high-level centre of expertise, the new Criminal Investigation Centre will act as a showcase for France’s forensic services in Europe. The site groups together the Institute of Criminal Investigation, the Technical Judicial Investigation Department, a conference room and a multifunctional building of nearly 20,000 square meters built to extremely demanding security and confidentiality conditions, while encouraging seamless information sharing. Ineo Tertiare Île-de-France’s solutions chosen for the complete high and low voltage electrical installations are designed to optimise site security against fire and intrusion risk and provide centralised technical management for the various buildings. 21 AT THE HEART OF YOUR AMBITIONS HEALTH Serving excellence By participating in the expansion and restructuring of the Vendée Hospital Centre at La Roche-sur-Yon and building the University Hospital Institute for Infectious and Tropical Diseases in Marseille, Cofely Ineo is further enhancing its reputation as an integrator for upgrading existing buildings and building new smart ones with low carbon footprints. The innovative solutions and services developed by Ineo Atlantique and Ineo PACA address numerous targets, including improvements to the safety, wellbeing and quality of life of patients, visitors and staff health, and also service quality. The proposed solutions also help reduce the energy costs of buildings cofelyineo-gdfsuez.com DEFENCE Coopetition, the new language of performance As part of the overall framework for overhauling French military health supplies, Ineo Centre is helping restructure the Chanteau military camp. Leveraging more than 20 years’ experience in technical collaboration on this site, Ineo Centre is in charge of the entire electrical installations and equipment on the new Logistics Platform for Army Health Equipment, the storage building for mobile hospitals, and medicines produced on the site. What made this contract so successful is the efficiency generated by collaboration and the quest for greater competitiveness. TOURISM Serial renovations Strasbourg, a symbolic city in the heart of Europe, is developing a new business district of international stature known as the Wacken Europe project. The city has worked on upgrading the Palais de la Musique et des Congrès and entrusted Ineo Est with renovating its electrical installations. In addition to centralised technical management, Ineo Est teams are implementing a fire prevention and visitor flow management system, thereby helping boost the company’s reputation for skills in the region. The Pierre & Vacances Center Parcs group has entrusted Ineo Atlantique to lead a consortium of nine local businesses and Cofely Axima to install the electrical systems and centralized technical management for 399 new Center Parcs cottages at the Domaine du Bois aux Daims in Vienne. Cofely Axima is taking part in installing the heating, ventilation and air conditioning, plumbing and mechanical ventilation units. And Ineo Réseaux Centre Ouest will build the necessary facilities for the outer gas and electricity feed to the park. The work is due to be completed in 2015. 23 AT THE HEART OF YOUR AMBITIONS INDUSTRY Bruno Nebout Executive Vice-President, Nord & Île-de-France Business Unit In 2013, industrial activity was still weak, down 0.6 % for the entire sector (according to INSEE, September 2013) and 20% below its pre-2007 levels in general. In this very difficult environment, there was a tendency in France for industrial activities to be put on hold or relocated. As a response to this situation, Cofely Ineo took action to support renewed industrial momentum by offering operational and sustainable solutions to boost the reliability and optimisation of processes and energy performance. This drew on know-how ranging over all industrial sectors and benefitted from operational synergies between Cofely Endel, Cofely Axima and the GDF SUEZ Group. cofelyineo-gdfsuez.com AEROSPACE Supporting the ramp-up of the A350 With first deliveries scheduled for late 2014, the A350 long-haul airliner is in full launch phase. Most of the industrial work is now focused on effectively ramping up the assembly line. Ineo Midi-PyrénéesLanguedoc-Roussillon has been selected by Airbus to design and build the signalling and security systems for the assembly platforms. This confirms NUCLEAR A robust skills base The safety of the French Atomic and Alternative Energy Commission’s employees and the sustainable operation of its highly sensitive facilities are top priorities for this major global player in research, development and innovation. It therefore applies an extremely strict maintenance and prevention policy on its sites. Ineo Aquitaine was contracted again to maintain the electrical installations and devices for three of Commission’s units: the Aquitaine Scientific & Technical Studies Centre, the Laser MegaJoule and the Outdoor Exploration Field, which alone covers an area of 950 hectares. Cofely Ineo’s expertise in this type of joint solution aimed at improving working conditions and operator safety, and making work stations intrusion-proof. The overall goal, of course, is to protect, secure and inform via a new network of information screens. CHEMISTRY Targeting energy performance At the Jarrie (Isère) site classified Seveso 2 and specialised in manufacturing peroxide and chlorine and its derivatives, the chemical supplier Arkema has entrusted Ineo Rhône-Alpes Auvergne with optimizing all of its electrical and instrumentation installations. Whether dealing with high or low voltage instrumentation equipment or control systems, Ineo Rhône-Alpes Auvergne operates at the heart of energy performance in closest compliance with environmental and safety rules for this site, which is today Arkema’s largest hydrogen peroxide production unit. ENVIRONMENT Recycling waste ENERGY New gas highways To boost capacity for transporting natural gas and securing gas supply in France and Europe, a new energy "highway" has been developed by GRTgaz, a subsidiary of the GDF SUEZ Group to transport gas from the Dunkirk LNG terminal (now being completed) to the new Pitgam (Nord) and Cuvilly (Oise) interconnection stations. In this new system, the extension of the Pitgam compressor station is strategic because it is stands at the hub of the global system designed by GRTgaz. Ineo Normandie is in charge of the research, instrumentation and overall supervision, while the electrical installations have been entrusted to Ineo Nord Picardie and the automation to Ineo Tinea. Delivery is due in 2015. The Bil Ta Garbi authority in charge of solid waste management in the Basque Country has entrusted Urbaser Environnement (a subsidiary of the Groupe Urbaser, a leader in waste collection and treatment in Spain) with creating of a new sorting and waste recovery centre in Bayonne. This HQE (high environmental quality) site, to be named Canopia, will process 80,000 tonnes of waste a year, producing 30,000 tonnes of compost and 25 MW of energy. Cofely Ineo, Cofely Axima and Cofely Endel will be responsible for all of the contract’s technical developments. Ineo Aquitaine is in charge of the high and low voltage electrical installations, the high voltage equipment, the fire and gas detection systems, the automation of the waste sorting process, and their composting and biogas production. SANITATION Supervision for sustainability Ineo Industries Services et Infrastructures is renovating the electricity grid for the sewage plant belonging to the Syndicat Interdépartemental d’Assainissement de l'Agglomération Parisienne (SIAAP - Paris area sewage authority) at the Valenton site. This station is critical to SIAPP’s sanitation system and treats 600,000 m3 of wastewater every day. In addition to working on the high voltage distribution grid, Ineo Industries Services et Infrastructures is introducing a remote control monitoring system for this facility, which will generate significant savings in energy consumption. It will come into service in 2015. 25 AT THE HEART OF YOUR AMBITIONS DEFENCE & SECURITY Philippe Rassat Executive Vice-President, Systems & Communications Business Unit Cofely Ineo is unique in being both industrial prime contractor and service operator in addressing the requirements for France’s defence and security objectives. This very special culture that goes back to the origins of the company enables Cofely Ineo to act as a committed partner with its own dynamic in public and private concerns, able in a still difficult market to provide alternative and innovative solutions that are best able to meet the operational needs of defence and homeland security forces. SECURITY Optimising radars Since February 2013, Ineo Infracom has been managing jointly with Satelec, the contract lead, the maintenance of all automated speed control devices in France and overseas territories. Ineo Infracom is in charge of preventive, corrective and developmental maintenance for different types of radar in the southern half of France, covering nearly cofelyineo-gdfsuez.com 1,600 facilities, using a response team located at the National Processing Centre of the Interior Ministry in Rennes. Cofely Ineo is therefore broadening its reputation as a major player in road management. NATIONAL POLICE Uniforms in large numbers 125,000 members of the French police are now outfitted by Cofely Ineo as part of a consortium involving two French specialist textile companies belonging to the Marck Group - Balsan and VTN. Ineo Support Global was able to persuade the Ministry of the Interior of its expertise in this type of outsourcing services contract by highlighting its experience with ORRMA and underlining Cofely Ineo’s capacity in large-scale industrial engineering and high-quality supplier relationship management. The Ministry therefore benefits from the combined power of a large corporate and the agility of a network of twenty or so SMEs in the textile industry capable of adapting and innovating to meet the demanding service level agreements in terms of product quality, availability and delivery deadlines. Cofely Ineo’s solutions will support this four-year outsourcing contract for a total of 1.2 million articles per year to be delivered to 700 distribution points throughout France. DEFENCE Monitoring missile launches On behalf of MBDA France, the European leader in designing and manufacturing missiles and related systems, Ineo Défense is producing dozens of missile launch monitoring shelters. These mobile units for monitoring and supervising the launching of surface-to-air missiles will be incorporated into the weapons systems produced by MBDA and installed on military vehicles. To meet operability specifications, this equipment will have to withstand extreme temperatures, mechanical transport (air, road, and track) and radar pulses. 27 AT THE HEART OF YOUR AMBITIONS ENERGY INFRASTRUCTURE Jean-Luc Figuereo Executive Vice-President, Power Business Unit Today, energy infrastructure has become the backbone of the global economy. By 2020, Europe aims to strengthen its security of supply, as well as incorporate renewable energy, increase energy efficiency and enable consumers to benefit from new technologies and use energy intelligently. Cofely Ineo is encouraging the interconnection and reliability of now-intelligent energy networks by supporting efficient, competitive business solutions such as smart grids that can help it become a player in the market for energy consumption and production. ELECTRICITY TRANSMISSION More reliable, performing better To strengthen and modernise the electricity grid in Moselle and Meurthe-et-Moselle, Électricité Réseau Distribution France has entrusted Ineo Infracom with rolling out nearly 60 kilometres of high voltage and low voltage lines, both overhead and underground, and some twenty transformers. The overhead work cofelyineo-gdfsuez.com is being carried out by technicians certified as Overhead/Underground Network Fitters who are qualified in Work Safety. RENEWABLE ENERGY Supporting new energy sources As a builder of wind farm infrastructure, Cofely Ineo actively contributes to the development of new production capacity for renewable energy. With more than 1,000 MW of installed capacity and a track record of 50 wind farms, Cofely Ineo relies on the skills of its own people, its subsidiaries and its dedicated workshops to deliver reliable, efficient and innovative solutions. This is why EDF Énergies Nouvelles has entrusted Ineo Midi- Pyrenees Languedoc-Roussillon to construct six new wind farms in the north of France. CRISIS MANAGEMENT Encouraging interconnections Ineo E&S has developed the "Phoen'IX" solution for the Réseau de Transport d' Électricité de France with the aim of providing fast and secure internal communications between eight dispatch centres. For Cofely Ineo, the goal is to promote Open Source software solutions that are tailored to the business needs of users, and above all more competitive than proprietary solutions available under license. The "Phoen'IX" system provides enhanced availability and continuity even in the event of a major network outage. 29 AT THE HEART OF YOUR AMBITIONS TELECOM INFRASTRUCTURES Patrick Zmirou Executive Vice-President, Grand-Est Business Unit "The major challenge facing us in the digital development of rural areas and the services associated with it is to ensure quality networks, especially when it comes to rolling out infrastructure for very high-speed lines. This telecom challenge is crucial to meeting tomorrow’s requirements, and involves a keen awareness of IT risks and the security of sensitive data. Cofely Ineo supports each customer in achieving the global ambition of "digital for everyone" which not only means technology, innovation and security but also the attractiveness of a given region of the country. Due to its high level of technology expertise and knowhow, the company is a major player in telecom infrastructure. cofelyineo-gdfsuez.com COMMUNICATION GSM for railways To remedy the grey area of railway tunnels, TéléDiffusion of France has entrusted Ineo Infracom to provide GSM-R coverage in 42 tunnels across France. GSM-R (R for Railways) is a wireless communication standard based on GSM and developed specifically for railway communication. Ineo Infracom teams have already equipped tunnels with fibre and installed repeaters inside them. More than fifty employees have been at work on this operation, from Perpignan to Rouen, via Limoges and Lyon. HOMELAND SECURITY Upgrading for greater security The French Interior Ministry has chosen the consortium formed by Cassidian (EADS, now Airbus Defense & Space), AVIAT (equipment supplier) and Cofely Ineo to upgrade and secure telecommunications between the Ministry and more than 600 local sites. This involves acquiring, integrating and maintaining radio equipment for the INPT network (Common National Transmission Infrastructure) in mainland France and Corsica. The challenge for Cofely Ineo is to roll out a wireless network that replaces the traditional cabled network and ensure that it functions optimally. The INPT network plays a key role in supporting communications for the National Police, Fire Brigades and Civil Defence forces. INFORMATION SYSTEMS Coordinating international challenges After deploying a telecommunications network linking major airports in thirteen countries in South America for the International Civil Aviation Organization in 2002, Ineo E&S has been contracted again by the same organisation to renovate this international facility based on 16 satellite-linked stations. Ineo E&S is relying on its Brazilian subsidiary Telca2000 for this strategic operation. 31 AT THE HEART OF YOUR AMBITIONS TRANSPORT INFRASTRUCTURE Jean-Luc Figuereo Executive Vice-President, Power Business Unit Transport infrastructure enables the free circulation of people and goods. It plays a key role in achieving greater integration and stands at the heart of the grand ambitions of governments and society for a more virtuous future. Cofely Ineo addresses this need for mobility and the quest for wellbeing by helping to make various means of transport more efficient, faster, safer, and more comfortable. For Cofely Ineo, the goal is to innovate with more flexible solutions that enable everyone to experience transport as a seamless, interoperable whole. cofelyineo-gdfsuez.com BUSES AND TRAMS Orléans gets more flexible The 220 buses and two tram lines in the city of Orléans now carry more than 105,000 passengers a day. In light of this clear indication of the popularity of this transport network, the momentum can be further developed by providing a complete information system. Orléans has therefore chosen Ineo Systrans, Ineo Infracom and Ineo Réseaux Centre to design and equip the entire Orléans transport network with a Passenger Information System. This facility will also give users an automatic price reduction in case of pollution peaks to encourage people to take public transport, as well as priority "Kidnapping Alert" on the screens for calls for witnesses. HIGH SPEED RAIL LINES Morocco by train The Moroccan railway authority has contracted the Ansaldo STS France-Cofely Ineo consortium to design and implement the railway signalling, telecommunications and centralized control unit for the future high-speed rail line linking Tangier to Kenitra. Cofely Ineo will install equipment on the line and ensure the electrical power. Local industrial partnerships will be signed to transfer know-how and develop job skills needed in the high speed rail sector in a country where expanding transport is key to its growth strategy. This LGV Maroc project extends Cofely Ineo’s involvement in high-speed rail by leveraging the experience gained on the LGV Tours -Bordeaux project still in progress. Ineo Rail and Ineo Lum have managed to showcase their expertise by offering a model of sustainable, structured international development inspired by its France-based model. TRAMS Algeria’s first tramway Led by Ineo Rail, Ineo UTS, Ineo Scle Ferroviaire, Ineo Systrans and Ineo Energy Export have pooled their expertise to participate alongside the Turkish company Yapi Merkezi in building the first Sidi Bel Abbès tram line. With 18 kilometres of track and 26 stations, this tramway is due to go into service in 2016. Cofely Ineo is involved in all of the tram systems, with Ineo Rail as the contract lead providing supervision and technical management for the project. Ineo Scle Ferroviaire is installing the overhead contact line; Ineo UTS is setting up the electric power and railway signalling systems; Ineo Systrans is developing the Passenger Information and Communication system; and Ineo Energy Export is building the line’s 60/20 KV high voltage substation. This contract further strenghtens Cofely Ineo’s positioning as a global integrator for transport infrastructure solutions. 33 AT THE HEART OF YOUR AMBITIONS CITIES & RURAL AREAS Now that the third – digital - industrial revolution is underway, both urban and rural areas are engaged in rolling out smart, connected life style services that combine sustainability with economic and social dynamics. Cofely Ineo is a key stakeholder in addressing this major challenge of providing innovative service solutions for everyone. Cofely Ineo supports the development of urban and rural areas towards a better quality of communal life by focusing on civic ecomobility through increasingly energy-efficient urban services and providing greater security for people while enhancing and protecting the heritage. Improving the quality and efficiency of public lighting is a major step on the way towards towns and cities that are more agreeable to live in. Cofely Ineo helps lower the energy bill for municipalities and reduce their carbon footprint while promoting their quality of life and public image. It also helps to fortify a sense of security and enhance the visual comfort of its inhabitants and visitors. Lighting up cities is a cultural and touristic challenge that makes them more attractive and improves their economies. In 2013, Cofely Ineo worked with the towns and cities of Avignon, Aix-en-Provence, Cannes, Courchevel, Dreux, Grasse, Hazebrouck, Lille, Lomme, Hellemmes,… Preserving and improving the safety and well-being of inhabitants is a natural policy target for urban authorities. Cofely Ineo develops solutions for video surveillance and information systems that monitor in real-time both everyday safety touch-points (traffic, road accidents, protection of areas and private or public infrastructure) and major risks. This involves being able to inform or alert the population while making it easier for civilian security forces to intervene. In 2013, Cofely Ineo rolled out solutions of this type in the towns of Bourbonneles-Bains, Manosque, Noisy-le-Grand, Pont-à-Mousson, Puteaux, and Saint-Maur among others. Today, more than 600 cities in France use video surveillance installed by Cofely Ineo. cofelyineo-gdfsuez.com ATTRACTIVE CITIES SAFER CITIES Universal access to broadband is a major challenge for local development and should enhance the attractiveness and economic vitality of rural areas. Drawing on its expertise in high and very high speed networks, Cofely Ineo can develop and manage the digital planning for these parts of the country. Cofely Ineo’s technology know-how and experience of road works makes it possible to sustainably manage and optimise residential areas, business parks and public buildings. In 2013, Cofely Ineo provided such services to the départements of the Cote-d'Or and Mayenne, and the broader agglomeration of Grand Dax. CONNECTED CITIES Regions, cities and municipalities are determined to engage in concrete actions to sustainably develop their constituencies. Cofely Ineo promotes the growth of mobility solutions through innovations such as “electromobility”. These solutions will enable users to make the most of practical information for their transport requirements. Take the Poitou –Charentes region: Cofely Ineo already operates the Mobilivolt car-sharing service and has completed the installation and now supports the operation, management, maintenance and supervision of the charging grid for the REGIONLIB electric-vehicle car-sharing service. The goal is to make PoitouCharentes the first region of France to offer a single car-sharing system. A "SMART" CITY Where the living is easy FLUID CITIES 35 AT THE HEART OF YOUR AMBITIONS OUR VALUES RESPECT Respect links all our values together as the basis for mutual responsibility. A value that creates a sense of trust and drives the success of our relations with our employees, customers, partners, suppliers and the community as a whole. COMMITMENT Commitment expresses our dedication to expertise and innovation for our customers, to meeting our obligations, and the attention we must pay to everyone in our company. ENTHUSIASM As the key to our openness, Enthusiasm gives us a passion for excellence and for moving forward together, animated by the same collective vitality. SOLIDARITY Solidarity is a pledge of our internal unity, our capacity for team work, for sharing, supporting and discussing together. It underwrites our commitment to all our social and civic actions. CREATIVITY Individual creativity unleashes the innovative capacity of our entire company. Due to its dynamism and flexibility, creative thinking opens up new futures for all our activities. because we want ineo to operate at the heart of people's lives Guy Lacroix Cofely Ineo's Chairman and CEO cofelyineo-gdfsuez.com Immeuble "Le Voltaire" 1, Place des Degrés 92059 Paris La Défense - France Tel : +33 (0)1 57 60 42 00 Fax : +33 (0)1 57 60 42 01 cofelyineo-gdfsuez.com