finmeccanica 1h 2010 results presentation

7/31/2019 Finmeccanica 1H 2010 Results Presentation

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First Half 2010

Pier Francesco GuarguagliniChairman and CEO

Alessandro Pansa-

1

on on, u y


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Safe Harbor Statement

NOTE: Some of the statements included in this document are not historical facts but rather, ,

considered forward-looking statements. These forward-looking statements are based onCompanys views and assumptions as of the date of the statements and involve known and

unknown risks and uncertainties that could cause actual results, performance or events to differmateriall from those ex ressed or im lied in such statements. Given these uncertainties oushould not rely on forward-looking statements.

The following factors could affect our forward-looking statements: the ability to obtain or the timingof obtaining future government awards; the availability of government funding and customer

due to programme reviews or revisions to strategic objectives (including changes in priorities torespond to terrorist threats or to improve homeland security); difficulties in developing andproducing operationally advanced technology systems; the competitive environment; economicbusiness and olitical conditions domesticall and internationall ro ramme erformance and

the timing of contract payments; the timing and customer acceptance of product deliveries andlaunches; our ability to achieve or realise savings for our customers or ourselves through ourglobal cost-cutting programme and other financial management programmes; and the outcome ofcontingencies (including completion of any acquisitions and divestitures, litigation and

environmental remediation efforts).

These are only some of the numerous factors that may affect the forward-looking statementscontained in this document.

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Contents

1H2010 Highlights

Pier Francesco Guarguaglini

Financial & Business ReviewAlessandro Pansa

Business StratePier Francesco Guarguaglini

Appendix

3


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1H 2010 Highlights



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1H 2010 Results vs 1H2009

Revenues up 1.5% to 8.65bn (vs 8.5bn in 1H2009)

EBITA at 586mln, down 3.1%, with margin on revenues at 6.8% (vs 7.1%)

Net Income at 170mln (vs 218mln), down 22%, with an EPS* of 0.295.

FOCF at (967)mln down 39.1% (vs negative 695mln)

. . ,

Order intake at 8.05bn down 3.3% (vs 8.3bn)

. . , .

On track to achieve our FY2010 Guidance

5*EPS after minority interests calculated on average number of shares


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1H2010 Highlights

Against a tough global backdrop YoY, although our Group first half results for 2010,

performance with Orders up10% YoY, Revenues up 6% YoY and EBITA Adj. up

6%YoThe good performance of our 3 Strategic Pillars leveraged on

significant order intake at Helicopters (+37% YoY) driven by both Military ( i.e. AW101India) and Civil-Gov orders (+60% YoY; 63 helicopters booked in 1H2010 for 600mln);increasing order intake of Aeronautics (approx +24% YoY) mainly driven by military

Revenue growth driven by customer support (Helicopters) and avionics & electro-opticactivities (Defence Electronics & Security)

ro ta ty r ven y revenue growt n e copters an cost re uct on n t at ves nDefence Electronics & Security

Building for the future

6

Aeronautics, 38% in Defence Electronics & Security and 20% in Helicopters)


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A Challenging Environment

Global economy showing signs of recovery; civil aeronautics andhelicopters outlook improving

Eurozone financial crisis brings uncertainties and pressure on Europeandefence budgets

UK acting ruthlessly in cutting defence spending

Italy: small decrease in Defence spending while funding opportunities for Security aregrowing . Infrastructures still growing but at a slower pace

World Defence Budgets increasingly focused on Emerging/RoW countries

World Defence Electronics & Security spending driven mainly by Security

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2010: Focus on Prioritisation and RationalisationDriving Competitiveness

Finmeccanica is implementing a wide range of decisive actions, creating asolid platform for performance improvement:

Action plan on Aeronautics to streamline the organisation and reducecosts new or anisation at Aeronautics aimed at inte ratin businessareas and SG&A HR, procurement)

Industrial lan on Rollin Stock aimed at enhancin contract execution

Restructuring and site rationalisation

Optimisation of Defence Electronics & Security and Space

SG&A Efficiency Improvement Plan

Group Real Estate Consolidation

8

e ec ve nves men s n new ec no og es pro uc s an care u

monitoring of the investment process


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Financial Review

Alessandro Pansa


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Economic and Financial Performance

Euro mln FY 09 1H10 1H091H10/1H09

ange

New Orders 21,099 8,050 8,327 (3.3%) Orders deferred

Backlog 45,143 45,803 42,980 6.6% Equal to 2.5 years of production

Revenues 18,176 8,654 8,523 1.5%Led by: AW139 and customer

support, Avionics, Electro Optics.

EBITA Adj 1,587 586 605 (3.1%)Helicopters and DE&S up;

EBITA Margin 8.7% 6,8% 7,1% -0.3 p.p.

Net Income654 170 218 22%

Lower Ebita, higher financial

Post minorities c arges

FOCF 563 (967) (695) (39.1%) Investments focused on pillars

Net Debt 3 070 4 624 4 615 0.2% Ne ative / im act

DPS () 0.41 - - -

Headcount 73,056 76,527 73,517Excl. PZL acquisition, reduction of

10


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Cash Flow Development

Implementation of efficiency measures

mprove wor ng cap a managemen

Prioritisation of investments

Cash flow improvement and Debt reduction

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A Comprehensive Set of Efficiency Measures Launchedin 2010 to Bring Benefits over the Next 2 Years (1/2)

On O eratin Com anies:

Action Plan Focused on Aeronautics and Rolling Stock: reduction of unabsorbed labourand overhead costs in manufacturing plants due to lower level of production; involving approx. 1,500

Headcount. Net benefits worth ca. 40mln p.a. in 2010 2011

Integration of Alenia Aeronautics/Aermacchi: 1st wave launched in July aimed atintegrating staff functions (Finance, HR, Legal) reducing S,G&A; 2nd wave to be launchedto integrate industrial activities (i.e. Procurement, R&D, etc)

Site rationalisation (PZL in Helicopters, Space Services, Elsag Datamat in DE&S). Once fullyoperational, estimated at 20-25mln p.a. from 2011

Reorganisations launched: headcount reduction started at Polish PZL helicopter site

Optimisation of DE&S and Space:will involve a number of specific business lines,

structure and to define clear responsibilities to end customers. Once fully operational,expected annual savings of ca. 60-70mln p.a. 1st stage involving organisational rationalisation of D,E&S effective from 1st July 2010. Space willbe com leted b ear end in a reement with Thales

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A Comprehensive Set of Efficiency Measures Launchedin 2010 to Bring Benefits over the Next 2 Years (2/2)

On the whole Group:

S,G&A Efficiency Improvement: Plan aimed at analysing staff costs across theGroup (Legal, CFO, HR, etc.), defining the cost benchmark for each. First benefits

expected to start from Q3 2010; Expected annual savings of approx. 50mln

Group Real Estate Consolidation: Expected annual savings of approx. 20-25mln p.a.

Tot. 190-210mln p.a. annual savings once fully implemented; to be partiallyshared with our customers, in order to strengthen our overall competitiveness,

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Profitable and Selective Investments Consistent WithPriorities in Product and Technological Development

2010-2012 Cumulated Gross Investments of 4.3bn

> n e ra eg c ars

60% devoted to new development/maintenance of existing products

40% devoted to production

Cumulated Gross Investments

2010-2012

Capex and Gross Capitalised R&D

2010-2012

Capex 43%Capex

27%6%

R&D

Capitalizzata

57%

GrossCapitalisedR&D 56%

24%. n

Helicopters Aeronautics Defence Electronics & Security Space & Defence Systems Transportation & Energy

14

Further prioritisation of investments currently underway


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Solid Capital Structure

Dollar Bond

Sterlin Bond

(mln)

Euro Bond

EIB 1.000 489

600

46

46

46

244

37 46 46 46 46 46 46

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2025 2039 2040

No refinancing needs for the next three years

-

Evaluating opportunity to consolidate existing back-up bank credit lines into a

new 5-year Revolving Credit FacilityCurrently approx. 65-35% fixed vs. floating interest cost

2010 expected average cost of debt approximately 5-5.5%

15

Solid Capital Structure and Liquidity Support fromExisting Debt and Back-up Bank Credit Lines


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Business Review

Alessandro Pansa


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Helicopters

1H2010(Euro mln) 1H2010 1H2009

ChangeH1

2010/H1FY 09

Strong order intake (+37% YoY) mainlydriven by military

AW101 Indian contract for ca. 560mln (incl. 5ears of roduct su ort) and the u rade of L nx

2009

Revenues 1,743 1,646 5.9% 3,480

EBITA Adj 181 162 11.7% 371

MK9 for ca. 47mln with UK MoD

30 Helos, worth 450mln, for North Africa

Significant increase in Civil-Gov orders

Margin 10.4% 9.8% 0.5 p.p. 10.7%

Orders 2,491 1,821 36.8% 3,205

+ o 63 helos worth 600mln (i.e. AW139 Trinidad &

Tobago)

Backlog 10,935 10,610 11.7%* 9,786

*Change H1 2010 vs FY09

.(+8.7% YoY) and product support (+23%YoY), i.e. Integrated Operational Support

revenue growth and product mix

Backlog equal to 3 years of production

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Defence Electronics and Security

1H2010

(Euro mln) 1H2010 1H2009Change

H1FY 09

Avionics and Electro-optics systems , IntegratedSystems for Defence and Security, naval/land

Command & Control systems

2009

Revenues 3,255 3,075 5.9% 6,718

EBITA Ad 289 274 5.5% 698 ey revenues nc u e

Eurofighter DASS and avionic radars

Large systems for defence and security (i.e ForzaNEC, Civil Protection and border control for Libya),

Margin 8.9% 8.9% n.s. 10.4%

Orders 3,045 3,306 (7.9%) 8,215,

TETRA and postal Automation for Italy Electro-optics for ground vehicles (i.e. DVE, IBAS),

Thermal Weapon Sight, Movement Tracking systems

Backlog 12,649 11,239 3.0%* 12,280


EBITA growth mainly due to volume increase andcost reduction

Eurofighter radar, avionics, comms and logistics

Avionics for NH90

ATC (Italy & export)

18

erma eapon g t, r ver s s on n ancer,M100 trailers, Mast Mounted Sight and JV-5

computer display for US Army


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Aeronautics

1H2010Change

H1

r er grow + . o ma n y r venby military programmes

8 a\c C27J-JCA First tranche of JSF Final Assembly and

2010/H12009

Revenues 1,262 1,208 4.5% 2,641

Check Out (FACO), second trancheexpected by year end. Tot value worth414mln

Logistics for Eurofighter

Margin 4.3% 5.0% -0.7 p.p. 9.1%

Orders 806 651 23.8% 3,725

Revenue growth mainly driven by militaryprogrammes (C27J, G222)

Backlog 8,716 7,829 (1.5%)* 8,850


Eurofighter, C27J, Tornado, AMX and G222 M346 and MB339

Civil revenues include B787 (13 fuselages+10 Horizontal

stabilizers delivered in 1H 2010) ATR consortium, 26 a\c delivered in 1H2010

19

g ecrease n ue o

programme mix


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Space Defence Systems

(Euro mln) 1H2010 1H2009 Change FY 09

Revenues 412 435 (5.3%) 909


Revenues 537 514 4,5% 1,195

EBITA Adj 5 13 (61.5%) 47

Margin 1.2% 3.0% -1.8 p.p. 5.2%

Orders 497 565 (12.0%) 1,145

Backlog 1,713 1,546 6.3%* 1,611

EBITA Adj 37 42 (11.9%) 130

Margin 6.9% 8.2% -1.3 p.p. 10.9%

Orders 414 566 (26.9%) 1,228

Backlog 3,799 3,982 (5.3%)* 4,010

1H2010

Fewer orders for both Manufacturing (mainly

1H2010

Slight decrease in orders mainly due to Missiles &

*Change H1 2010 vs FY09 *Change H1 2010 vs FY09

Earth Observation) and satellite services

Slight decrease in revenues due to bothManufacturin

Land & Naval Systems

Key orders include Missiles (UK Complexweapon contract and customer support),Underwater (light torpedoes) and Land & Naval

Key programmes include commercial andmilitary TLC and Earth observation

,

Revenue growth mainly driven by Missiles and

Underwater

Backlog up with Manufacturing accounting for57% and Services 43%

Key revenues include Missiles (Aster, Mistral,MEADS and customer support) Torpedoes(Black Shark, MU90, A244, FREMM) andLand&Naval (VBM, PZH2000,Hitfist, FREMM)

20

Slight decrease in EBITA due to Underwater


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Energy Transport


Revenues 677 820 (17.4%) 1,652


Revenues 926 895 3.5% 1,811

EBITA Adj 67 76 (11.8%) 162

Margin 9.9% 9.3% 0.6 p.p. 9.8%

Orders 374 398 (6.0%) 1,237

*

EBITA Adj 35 55 (36.4%) 65

Margin 3.8% 6.1% -2.4 p.p. 3,6%

Orders 733 1,190 (38.4%) 2,834

*, , . , , , . ,

1H20101H2010

*Change H1 2010 vs FY09 *Change H1 2010 vs FY09

.

Systems Key revenues include Italy, Australia, Turkey,

China, Denmark and Saudi

Key orders include plant and components (i.e.Bangladesh, Finland), new service solutionsand nuclear plants and services (France,

As planned, operating profit down mainly due tooverrunning costs on Vehicles legacy contracts

Slight decrease in orders mainly due to large order

Argentina, Lithuania, China)

Revenue decrease mainly due to order slippage

Key revenues include plants and components

Key orders include Signalling& Systems(Copenhagen driverless metro- O&M- andItaly Naples and Genoa) and Vehicles

, , ,Agreements (Italy) and nuclear activities(China, Slovakia, Argentina, France)

Service now accounts for ca. 59% of order

21

Signalling&Systems currently accounts for 66%and Vehicles for 33% of order backlog

backlog


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On track to achieve Guidance for FY2010

17.8-18.6bnRevenues

2010E

1,520-1,600mlnEBITA

Assumptions: forex /US$ 1.45 /GBP 0.88

Cumulative FOCF* 2008-2010 equal to 1.21.3bn

22

*Free Operating Cash Flow: Operating Cash after investments, net financial charges and taxes


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Business Strategy



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Meeting the Challenges

pressure on defence budgets

Geographical diversification: leading positions in domestic markets andindustrial/commercial footprint in selected growing markets

Resilience through both product portfolio diversification and presence in civil and militarycreating a defensive platform

Profitable and selective investments in technological innovation focussed in the 3 strategicpillars

Exploiting dual-use opportunities and technological expertise to address fast growingSecurity needs

24


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Solid order intake supporting visibility of ourperformance

Main Orders 1H2010

AW101 helicopters for government transport, incl. 5 years of product support, and 30Helicopters, worth 450mln, for North African customer

- ,1H2010

Contract signed with Italian MoD to supply a digitised system (Forza NEC) worth 238mln in

Contracts signed for Thermal Weapon Sights and Avionics for NH90

Order worth $319mln signed for eight more C-27J JCA for the US Air Force; Additional 8 A/Cfunded for 2011

First tranche of JSF-FACO order signed; second tranche expected by year end. Tot value

worth 420mlnEurofighter logistic support

Team Complex Weapon (Missiles) awarded contract with UK MoD

Accounting for more than 40% of total orders awarded in first half 201025


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Geographical Diversification Offsets weaker Defence andInfrastructure Spending in NATO Countries

Orders Revenues

11.5 11.5

. - . n

45%

4.0 4.38bn

8.7bn

21%

1.2

4.9 5.00.9

1.9 1.7

2.4

3.5

26%

1H2010 2010E 2011E

Italy UK US Rest of World

1H2010 Group Backlog: ca. 45.8bn: equivalent to ca 2.5 years of revenues

1H2010 2010E

Eurofighter tr.2 and tr.3A account for ca.49% of Aeronautics backlog; B787 for ca.21%

T129 Atak (Turkey) and NH90 account for ca. 26% of Helicopters backlog; customer-

26

. .

Avionic systems , electrooptics , large systems, radar C&C and DRS account for ca. 53%of DE&S backlog


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Presence in Both Civil and Military Enhances ourDefensiveness and Resilience

Governmental Non-Governmental

r ers

31%

2009A

26%

1H2010

Govermental includes:

ca.21bn 8bn

MoDs)International Military programmes Institutional Programmes (funded by

69% 74%

ot er n str es, .e. o conom c

Development, Mo Infrastructures etc.)

Revenues

36% 31%

2009A 1H2010 Non-Governmental includes Pure commercial programmes

ca.18bn 8.7bn

27

64%69%


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World Defence Bud et Trends

World Defence Budget Trend (NATO vs RoW)2009 - 2016

500

600

700

800

900( mld)

Stren thenin our resence in

0

100

200

300

400

2009 2010 2011 2012 2013 2014 2015 2016

Emerging/ROW countries

World Defence Electronics Market Trend2009 2016

NATO RoW

80

100

120

( mld)

0

20

40

60

28

Defence Electronics Security

Source: Janes


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Defence Budgets in Three Domestic Markets

US Outlook Remains PositiveAeronautics: Additional B787 orders expected; additional 8 C27J-JCA funded in FY2011. T-38rep acemen programme as oppor un y or ; expec e s or yHelicopters: 3 major DoD RFI: Presidential Helicopter for ca. $7-10bn, Common Vertical Lift for ca. $2bn(AW139) and Armed Aerial Scout for ca. $2.5bn (AW119)

DE&S (DRS) over 2010-2014: Support to US Army on 3gen Rapid Response; Solutions, equipment &- . . , , , . .

Rugged computers & Heavy Equipment Transporter M1000)Transportation: Infrastructure investments; High speed trains & railway corridors (i.e. Desert expressCalifornia-Nevada)

Finmeccanica Well Positioned in UKGood visibility on UK MoD revenue streams over the next 12-18 months with ~ 70% of booked revenuesaccounted for by IOS, AW159Wildcat, Eurofighter, PRR and Counter IEDs. Promoting actively our e-scanradar on EurofightersContinued Urgent Operational Requirements activity in support of Afghanistan operationsIncreased UK export business into the US and other major markets (laser assemblies, radar); developing

new opportunities in Space, Security&Intelligence, Transport&Energy

Increasing Opportunities for Security in ItalySecurity: growing funding opportunities ca. 1.2-1.5bn p.a. (including TLC), both at national and local level,with particular reference to Civil Protection, Justice and Environment Ministries, Info-mobility of which ca.

29

800mln captured by Finmeccanica

Military: relying on multiple sources of funds (i.e. VBM Land Systems for Army)Transportation Infrastructure multiyear investment: ca. 1.4bn expected in 2010 (including High Speed) andca. 3bn expected in 2011-2014 for Finmeccanica


30/41

Working Hard to Further Develop our presencein growing markets

Thanks to Italian Government support, several G to G agreements signed, . .

. . ,Border control and Radar 3D for a tot value of ca. 7bn)

Panama: significant short term opportunities for Security Border Control,Helicopters and Space Services

Colombia: opportunities for Land & Underwater Systems, C&C systems, radars &

Integrated Naval Combat System

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E l i O C i l d I d t i l


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Enlarging Our Commercial and IndustrialFootprint in Selected Growing Markets

North AfricaHelicopters opportunitiesSecurity and Border control

RussiaHelicopters opportunities,final assembly of AW139

Middle EastHelicopters opportunitiesSecurit Radar 3D Tetra

Air Defence SystemsNaval programmes (Fremm)ATR72 MP/ASW

Infrastructural projects

SuperJet100Postal automationATC and SecurityInfrastructural projects

Eurofighter, ATR and M346Earth Observation SpaceServiceHi h S eed

Central & South AmericaNaval programmes , including

Satellites

India

Fremm and corvettes

Border Control for oil off-shore,radar 3D and securityOpportunities for 2014 World

Agreement with TATA

recently signed to set up anAW119 assembly lineATC and Battles ace

Championship and 2016 OlympicGamesSpace Services

High Speed Turke

digitalisationEurofighter, C27J, ATRUnderwater systems

an systemsHelicopters opportunities (AW149)Tetra, Automation & Infomobility,Integrated Border ManagementS stem

32

Eurofighter, Superjet100

Space ServicesInfrastructural projects


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Summary

FY2010: Tough and challenging

Committed to achieving Guidance for FY2010

Capture significant opportunities in emerging markets which will help

Offset weaker and mature domestic markets

Prioritise and rationalise investments and costs

Beyond 2010 well positioned for when upturn comes

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Appendix


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1H2010 Results Profit & Loss

CONSOLIDATED PROFIT AND LOSS ACCOUNT

mil.

Revenues 8.654 8.523 2%

Costs for purchases and personnel (7.744) (7.616)

Depreciation and amortisation (275) (266)

Other net operating revenues (costs) (49) (36)

586 605 -3%

EBITA Adj (*) margin 6,8% 7,1%

Non-recurring revenues (costs) - -

Restructuring costs (16) (7)

PPA amortisation (43) (39)

-

EBIT margin 6,1% 6,6%

Net finance income (costs) (187) (156)Income taxes (146) (161)

Net profit before discontinued operations 194 242 -20%

Profit of discontinued operations - -

Net profit 194 242 -20%

Group 170 218

Minorities 24 24

EPS (EUR)

Basic 0,295 0,378 ute 0,294 0,377

EPS of continuing operations (EUR)

Basic 0,295 0,378

Diluted 0,294 0,377

(*) Operating result before:

35

-any impairment in goodwill;

-amortisations of intangibles acquired under business combination;

-reorganization costs that are a part of significant, defined plans;-other exceptional costs or income, i.e. connected to particularly significant events that are not related to the ordinary performance of the business.


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Balance Sheet

mil. 30.06.2010 31.12.2009

Non-current assets 14.088 12.956-

BALANCE SHEET

- . .

11.318 10.317

Inventories 4.833 4.662

Trade receivables 9.680 8.481

Trade payables (12.674) (12.400)

Workin ca ital 1.839 743

Provisions for short-term risks and charges (618) (595)

Other current net assets (liabilities) (1.009) (853)Net working capital 212 (705)

Net invested capital 11.530 9.612

Capital and reserves attributable to equity holders of6 689 6 351

the Company. .

Minority interests 217 198

Shareholders equity 6.906 6.549

Net debt (cash) 4.624 3.070

Net liabilities (assets) held for sale - (7)

36


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Cash Flow

mil.

1H 2010 1H 2009

Cash and cash e uivalents at 1 Januar 2.630 2.297

CASH FLOW

Gross cash flow from operating activities 1.008 1.019

Changes in other operating assets and liabilities (493) (241)

Funds From Operations (FFO) 515 778

Changes in working capital (1.059) (1.024)

Cash flow generated from (used in) operating activities (544) (246)

Cash flow from ordinary investing activities (423) (449)

Free operating cash flow (FOCF) (967) (695)

Strategic operations (93) (160)

Change in other financing activities 3 (25)

Cash flow generated (used) by investment activities (513) (634)

v en s pa

Cash flow from financing activities (438) (447)

Cash flow generated (used) by financing activities (695) (701)

Exchange gains/losses 41 2

Cash and cash equivalents at 30 June 919 718

37


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Divisions

1H 2010(Euro million)

HelicoptersDefence

ElectronicsAeronautics Space

Defence

SystemsEnergy Transport

Other

Activities

andEliminations Total

Corporate

Revenues 1.743 3.255 1.262 412 537 677 926 114 (272) 8.654

EBITA Adj (*) 181 289 54 5 37 67 35 (82) 586

EBITA Adj (*) margin 10,4% 8,9% 4,3% 1,2% 6,9% 9,9% 3,8% n.s. 6,8%

Depreciation and amortisation 63 114 71 14 24 12 12 8 318

Investment in non-current assets 66 108 148 22 17 17 21 6 405

Research and development costs 174 341 161 26 125 16 36 1 880

New orders 2.491 3.045 806 497 414 374 733 38 (348) 8.050

Order backlog 10.935 12.649 8.716 1.713 3.799 3.030 5.864 139 (1.042) 45.803

Headcount 14.172 30.204 12.905 3.652 4.075 3.443 7.281 795 76.527

1H 2009(Euro million)

Helicopters DefenceElectronics

Aeronautics Space DefenceSystems

Energy Transport

Other

Activitiesand

Corporate

Eliminations Total

Revenues 1.646 3.075 1.208 435 514 820 895 198 (268) 8.523

EBITA Adj (*) 162 274 60 13 42 76 55 (77) 605

EBITA Adj (*) margin 9,8% 8,9% 5,0% 3,0% 8,2% 9,3% 6,1% n.a. 7,1%

Depreciation and amortisation 74 99 70 12 20 11 12 7 305

Investment in non-current assets 60 108 227 17 22 26 13 5 478

Research and development costs162 323 212 30 119 16 24 1 887

New orders 1.821 3.306 651 565 566 398 1.190 74 (244) 8.327

Order backlog 9.786 12.280 8.850 1.611 4.010 3.374 5.954 172 (894) 45.143

Headcount 10.343 30.236 13.146 3.662 4.098 3.477 7.295 799 73.056

38

(*) Risultato operativo ante:

- eventuali impairment dell'avv iamento;

- ammortamenti di immobilizzazioni valorizzate nell'ambito di business combination;

- oneri di ristrutturazione, nellambito di piani definiti e rilevanti;

- altri oneri o proventi di natura non ordinaria, riferibile, cio, ad eventi di particolare significativit non riconducibili allandamento ordinario dei business di riferimento.


39/41

Successful Completion of Debt Refinancing

Finmeccanicas credit profile

Fitch BBB+ Stable OutllookDollar Bond

Sterling Bond mlnMoodys A3 Stable Outlook

S&P BBB Stable Outllook

Euro Bond

EIB

1.000 489

4646

46

500 600 500244

40737 46 46 46 46 46 46

2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2025 2039 2040

407

Issuer Issue Date Expiry DateNotional

Amount (m)Coupon

Finm. Finance1 2003 Aug-2010 501 0,375%

BondCash Credit Lines Size Tenor Margin (bps)

Revolver 1200 Dec 2012 22,5

Available Credit Lines

Oustanding June 2010

450

Finm. Finance 2008-2009 Dec-2013 1000 8,125%

Finm. Finance 2003 Dec-2018 500 5,75%

Meccanica Holdings USA 2009 July-2019 407 6,25%

Finm. Finance 2009 Dec-2019 489 8,0%

Finm. Finance 2009 Jan-2022 600 5,25%

Finmeccanica SpA 2005 March-2025 500 4,875%

Revolver 639 June 2011 80

Confirmed Credit Lines 670 18 months* 120*

Unconfirmed Credit Lines 727 18 months* 50-100*

Total 3236 450

0

0

0

- ,

Meccanica Holdings USA 2009 Jan-2040 407 6,25%

Total 4650

1 Bonds exchangeable in 20,000,000 STMicroelectronics N.V. shares

Bank Bonding Lines Size

Total 2375

39*Average. Expected to be renewed at maturityThe amount in GBP and USD are calculated using the exchange rate of 30/06/2010


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2010 Financial Calendar

Date Event

4 March 2010 2009 Full Year Results

28-30 April 2010 AGM of Shareholders

29 April 2010 First Quarter 2010 Results

28 July 2010 First Half 2010 Results

4 November 2010 Third Quarter 2010 Results

INVESTOR DAY 2010Finmeccanica will hold its annual Investor Day in London onWednesday, November 17, 2010.

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The following morning there will be a site visit to a Finmeccanica facility.

Please save the date on your calendar.


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IR Contacts

Investor Relations Finmeccanica [email protected]

Website: http://www.finmeccanica.com/Investor Relations

John D. StewartVP Investor Relations

+39 06 32473.290

Raffaella LugliniInvestor Relations Officer

+39 06 [email protected] [email protected]

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finmeccanica 1h 2010 results presentation

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