GLOBAL 2004 no. 2 - gunnebocdnprod01.azureedge.net · International clothing chain Benetton is one of many companies to use Gateway's article surveillance system “Retail is a priority

no. 22004GLOBALGLOBAL

The Magazine for the Gunnebo Group

New marketsGunnebo opens the door to new regions

New acquisitionsGunnebo continuesto grow with fournew acquisitions

Secure golfDiscreet protection for exclusive golf resort

Caja MadridSpanish bank now even more secure

2

During the ten years or so it has taken tobuild up the new Gunnebo, the Group hasestablished its own operations in all conti-nents, primarily through corporate acqui-sitions. The theme of this issue of Gunne-

bo Global is therefore new markets, and it is pleasing to see Gun-nebo growing rapidly on many exciting markets.

2004 was characterised by continued efforts to improve profita-bility – we have acquired six companies with a combined annualturnover of over 620 million Swedish kronor (70 MEUR) and 400new employees. We have also started up a new security companyin Finland and signed co-operation agreements with five companiesaround the world.

Gunnebo's process of internationalisation is continuing. Develop-ment in several of our largest markets, such as France, the UK andSpain, has been very strong. We have achieved a strong marketposition within several companies. The only large market sufferingfrom poor development has been Germany.

Gunnebo as a security company was initially created in WesternEurope. Corporate acquisitions and new start-ups have turned usinto a market leader within the majority of our product areas. Overthe next few years, Gunnebo should begin actively cultivating theEastern European market. The Group can only achieve increasedsales in Eastern Europe by establishing more of its own subsidiaries.

Asia is probably the market that should be able to report thebest organic growth. We have exceptionally good conditions inIndia and Indonesia for organic growth of over 10 per cent a year.China will now be prioritised and Gunnebo will start productionwithin several product areas on the Chinese market.

Building up new markets through corporate acquisition will allowour Group to grow. In terms of finance and organisation, we arewell-equipped for rapid expansion around the world. Gunnebo is aworld leader in certain product areas. We have the potential todouble our business within three to five years.

To conclude, I'd like to thank all colleagues for their exceptio-nally hard work in 2004. I would like to wish you all a successful2005 with improved market positions and increased profitability.Best wishes,

Bjarne HolmqvistPresident and CEO

Six acquisitionsDuring 2004, the Gunnebo Grouphas acquired six new companies with a combined turnover of MSEK 620. .................... 4–5

Discreet top-level securityTerre Blanche is the resort for aff-luent golf enthusiasts, placing highdemands on an integrated securitysolution. ...................... 6–7

The new marketGunnebo has opened the door toseveral new markets. The Group's security products andservices can now be found aroundthe world. .................. 9–19

Bank invests millionsCaja Madrid of Spain has invested amillion EUR in improving securityat its branches. Gunnebo was re-sponsible for the entire installation.

Responsible publisher: Janerik Dimming, Telephone +46 31-83 68 03, [email protected] Editorial committee: Sven Boëthius, [email protected] | Olivier Bianchi, [email protected] | Karin Martinsson, [email protected] | Janerik Dimming, [email protected] | Susanne And, [email protected] |Roxine Kramer, [email protected] | Morgan Barrington, [email protected] Contribution address: Gunnebo AB, Att: Gunnebo Global, Box 5181, SE-402 26 Göteborg Production: MediaSpjuth AB, Telephone +46 36-30 36 30, Fax +46 36-19 02 60, [email protected] Translation: Comactiva Translations AB Printing: VTT Grafiska. On our home page you will find press releases, annual reports, Gunnebo Global and other financial reports. The address is: www.gunnebo.comCover photo: ImmSec – award-winning immigration gate from Gunnebo Entrance Control.

C O N T E N T SD E A R R E A D E R

Gunnebo onthe worldmarket

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G U N N E B O G L O B A L

3

As a result of close co-operationbetween customer and supplier,end-customers are being offerednew total solutions.

Gunnebo Troax and robotmanufacturer Motoman Roboticshave signed an agreement for thesupply of machine guarding systemsfor the robot manufacturer'scustomised system deliveries.

Motoman Robotics is one of the world'sleading manufacturers of industrial robotsand a wholly owned subsidiary of Japan'sYaskawa Electric Corporation, the world's

largest manufacturer of industrial robots.Motoman produces automation equipmentfor most types of industrial production, andthe three-year agreement with Troax meansthat Troax equipment will in the main be astandard part of Motoman's customisedsystem deliveries. Troax will also train Moto-man's personnel in machine protection.

“This alliance with Troax will make theplanning and installation of our robotsystems more efficient,” says Johnny Jar-hall, Motoman's sales manager for North-ern Europe.

“We see an opportunity to focus in asimple way on safety and security, while

Troax's products will enable our fitters tosave time on the workshop floor.”

LOCAL SERVICE AN ADVANTAGE

Stefan Andersson, Managing Director ofTroax, says the agreement will strengthenboth companies and is very importantstrategically.

“By joining forces, we can offer the end-customer a total solution,” he says. “Ourcombined strength is based on Motomanhaving a strong presence in most of themarkets where Troax has subsidiaries anddistributors, which means that we can alsooffer local service and support.”

Motoman and Gunnebo Troax collaboration

Awards for Gunnebo productsTwo of Gunnebo's security productswere awarded distinctions in theautumn.

The ImmSec immigration gatewas voted 'Best Access ControlProduct' in the Detektor Interna-tional Awards 2004, while theSafeCash deposit and cash machinewon the prestigious iF DesignAward.

The iF Design Award, won by deposit andcash machines SafeCash R and SafeCashEco, confirms the high quality and gooddesign of Gunnebo's products. The awardis one of the world's most importantdesign prizes and originates from theCeBIT fair in Hanover, Germany. It isawarded to products that excel in terms ofdesign and quality, and the stamp of qua-lity accompanying the award has become abrand recognised worldwide. In 2004there were 740 entries from 31 countrieswith a total of 1,900 products.

SafeCash R and SafeCash Eco will be ondisplay in the iF design exhibition at theHanover fair in 2005 and will also bepublished in the iF annual.

IMMSEC WINS AGAINST TOUGH COMPETITION

A total of 1,600 products were entered forthe Detektor International Awards. Fourproducts were eventually nominated for theshortlist in the 'Best Access Control Pro-duct' class, including Gunnebo Entrance

Control's ImmSec immigration gate.ImmSec is an innovative automatic

immigration gate with integrated one-per-son control which combines two import-ant requirements: security and speed. Thegate is designed to satisfy ever increasingdemands on optimised, secure border con-trol, and is adapted, for example, for thebiometric security solutions which moreand more countries are currently shiftingtowards.

Of the four nominees in the class, Imm-Sec won the award, and Gunnebo Entran-ce Control was presented as the winner atSectech's major security banquet inCopenhagen in early November. ImmSecreceived the award for “successfully com-

bining the market's need for security andefficiency with a unique, aesthetic design”.

“We're very pleased about the award,”says Lars Proos, Managing Director ofGunnebo Entrance Control. “It showshow strong our product development is.It's also proof that we're on the right trackwith our strategy for the future.”

Detektor International is an internatio-nal trade publication focusing on securitytechnology in the European market. Theaward was set up in 2000 by publishers ARMedia International with the aim ofrecognising products and producers thathave introduced particularly innovative,original or technological solutions.

Award-winning Gunnebo products: the ImmSec immigration gate (left) and the SafeCash Rdeposit and cash machine.


4

Four new acquisitions for Gunnebo • Four new acquisitions for Gunnebo •

The acquisition of Gateway SecurityAB marks Gunnebo's entry into abrand new segment in the field ofretailer security.

Swedish company Gatewaydevelops, produces and marketsarticle surveillance systems for theretail trade.

The retail trade is a relativelynew, yet strategically importantmarket for Gunnebo.

Cash management services are increa-singly being transferred from banks to theretail trade, and two years ago Gunnebolaunched the completely sealed cash hand-ling system SafePay specifically for theretail trade.

In addition, several other products such

as alarms, CCTV systems and access con-trol have been sold to major retail chains,primarily on the European continent.

Now the Group is taking anotherimportant step into this market with theacquisition of Gateway Security AB. Gate-way develops, produces and markets anti-shoplifting systems for stores.

The range includes systems for all fourtechnical solutions developed to date.

COMPLETE RETAIL PROGRAMME

The company has a developmentdepartment and production facilities inMotala, Sweden, and subsidiaries in Por-tugal, Brazil and the USA.

Gateway has some 60 employees in totaland an annual turnover of approximately100 million Swedish kronor (11 million

euro). Following the acquisition, GatewaySecurity has become part of the GunneboPhysical Security division.

“With Gunnebo's strong brand andsales organisation, we're creating a power-ful market concept for these products,”says Torbjörn Browall, divisional managerof Gunnebo Physical Security and firstExecutive Vice President of Gunnebo AB.

“Similarly, Gateway's products strengt-hen our competitiveness. With Gateway

Gunnebo has managed six

new acquisitions in 2004,

with a combined annual

turnover of 620 million

Swedish kronor (70 million

euro). The Group has made

four new acquisitions since

the previous issue of

Gunnebo Global. This has

strengthened Gunnebo's

position in retailer security,

entrance security, external

perimeter protection,

electronic security and

physical security.

Gateway makes Gunnebo a strong new player in retail secu

1

International clothing chain Benetton is one of many companies to use Gateway's article surveillance system

“Retail is a priority area for

Gunnebo”


5

Stronger position in Italy and Belgiumwithin physical and electronic security

Swiss Hammer a new addition forGunnebo Entrance Control

Gunnebo has strengthened itsmarket position within physical andelectronic security in Italy throughthe purchase of Chubb Lips S.p.A.in Italy.

Chubb's physical securityoperation in Belgium was acquiredat the same time.

Historically, Gunnebo has hada relatively small presence onthe Italian market when it

comes to electronic and physical security.However, Italian company Italdis occupi-es a strong position in the market forentrance security products.

The acquisition of Chubb Lips S.p.A.also gives Gunnebo a good market posi-tion within physical and electronic securi-ty in the country. The Italian business hasan annual turnover of some 140 millionSwedish kronor (15.6 million euro) andaround 80 employees. Most of the busi-

ness is in Milan. “To date only a small proportion of our

sales have been on the Italian security mar-ket,” says Bjarne Holmqvist, GunneboPresident and CEO.

“The acquisition of Chubb Lips S.p.A.,which already has some 20 per cent of Ita-ly's physical security market, will give us avery strong platform for further growth.”

A THIRD ACQUISITION

The physical security businessof N.V. Chubb SecuritySystems in Belgium has an

annual turnover of around 55 millionSwedish kronor (6.1 million euro) andsome 30 employees, 16 of whom are servi-ce technicians.

“In acquiring Chubb's physical securitybusiness, we are improving the sales poten-tial in Belgium for our products and streng-thening our position, especially on the ser-vice side,” says Bjarne Holmqvist.

Gunnebo has acquired Swisscompany Hammer Sicherheit. Thecompany manufactures and sellssecurity booths and revolving doorsand is a leader on the Swiss market.

Hammer Sicherheit has anannual turnover of some 35million Swedish kronor (4 mil-

lion euro) and a total of 17 employees,with 14 in Switzerland and three in Ger-many.

CO-ORDINATION GAINS

Hammer Sicherheit specialises in areassuch as high-graded security booths andsecure revolving doors, and will representa strategic strengthening of GunneboEntrance Control, which has a similar pro-duct range.

“The acquisition will strengthen our

market position on the Swiss market andbroaden our product range to includehigh-quality security booths, especially forconfined areas,” says Bjarne Holmqvist,Gunnebo's President and CEO.

“We also foresee production synergieswith Gunnebo Entrance Control's otherproduction units.”

23

4

Four new acquisitions for Gunnebo • Four new acquisitions for Gunnebo •

urity

in its stores.

Hennes & Mauritz uses Gateway to protect itsstores against theft.

we can offer the retail trade a completesecurity programme.

“Retail is a prioritised area for Gunneboand offers excellent business opportuniti-es. Gateway fits particularly well into thisconcept,” Torbjörn Browall explains.

CompactSaveprovides effici-ent access con-trol and indivi-dual segrega-tion.


Terre Blanche on France's Mediterranean coast

is one of Europe's most exclusive golf resorts.

Two golf courses, a luxury five-star hotel and

85 plots for private villas – all with the highest

possible level of security.

French company Fichet Sécurité Electronique

has supplied the access control, video

surveillance and other systems for the complex.


7

A few kilometres north of Cannes, not farfrom the picturesque village of Tourrettes,lies Domaine de Terre Blanche. An exclu-sive resort covering 266 hectares (around660 acres), it boasts two golf courses desig-ned by Dave Thomas, surrounded by fiveareas for private villas. At the centre of thecomplex is a Four Seasons hotel with 115suites. The man behind the entire invest-ment is German billionaire and founder ofsoftware giant SAP, Dietmar Hopp.

“The aim was to build a golf resort witheverything the golf enthusiast could everwant,” says Jean-François Schwab, Mana-ger of Terre Blanche. Construction beganin 2000, and the hotel and two golf cours-es opened in spring 2004. By then the firstprivate villas had also been completed.

The target group for Terre Blanche iscapital-strong individuals looking for asecond home where they can indulge theirpassion for golf. With two 18-hole cour-ses, golf is of course the main focus of theresort.

“The people we are targeting have golfas one of their main interests,” says Jean-François Schwab. “We're talking aboutpeople from all over the world who like theSouth of France and are looking for highstandards. They also want an opportunityto get away from it all without beingdisturbed.”

GUESTS WITH HIGH DEMANDS

The private plots, all of which are directlyadjacent to the golf courses, vary in sizefrom 2,500 square metres and upwards. Inother words the people who invest hereneed to have plenty of capital, and consi-dering the type of guests at the resort thereare also high demands on security. TerreBlanche is enclosed by eight kilometres offencing fitted with an electronic alarmsystem, video surveillance and special sen-

sors. Admission to the resort is controlledby an advanced access control system, andall the villa complexes have internal pho-nes and CCTV systems linked to a moni-toring centre manned round the clock.Large parts of the integrated electronicsecurity system have been supplied byFichet Sécurité Electronique.

“Fichet Sécurité Electronique have hadquite a say in the development of the secu-rity system,” says Jean-François Schwab.“They've been one of our biggest suppliersof security equipment.”

“Our hotel guests and villa owners placegreat demands on us when it comes tomaintaining a high level of security. In factthe high security is one of our main sellingpoints in promoting Terre Blanche.”

UNIQUE IP COMMUNICATION NETWORK

Alain Ricci is head of Fichet SécuritéElectronique for the Mediterranean regi-on, and Bernard Clement is the projectmanager for Terre Blanche from FichetSécurité Electronique's side.

“The first inquiry came in about threeyears ago, and since then we've been fol-lowing developments and keepingourselves prepared. In September 2003 we

were asked to tender for the securitysystem at the resort entrance.

“We won the contract for certain partsof the resort: security at the resort entran-ce and access to the hotel complex, golfcourses and villa complexes. We produceda comprehensive solution includingsystems for access control, camera surveil-lance, fire and burglar alarms and internalphones. To increase the information flowwe've used a unique IP communicationnetwork that uses fibre optics for data,image and sound transfer.”

MUST NOT DISTURB GUESTS

While security is a top priority at TerreBlanche, it is important at this type ofresort that it does not disturb the guests orencroach on their lives.

“A lot of different people come intocontact with one another at the resort,”Alain Ricci explains. People who live here,hotel guests, visiting golfers and of courseTerre Blanche personnel.

“It was therefore important to strike abalance in the level of security, so that oneperson's peace and tranquillity didn'tbecome another person's restriction offreedom. One example is ID badges usingRFID technology in villa owners' cars.This enables fast identification on enteringthe resort, while maintaining a high secu-rity level.”

Terre Blanche has now opened. Severalof the plots have been sold and some of thevillas have already been completed. Evenso, Fichet Sécurité Electronique is stillinvolved in the project.

“Some of the areas are still under con-struction,” says Laurent Mussilier, MD ofFichet Sécurité Electronique, “and ourteams have to help develop and fine-tunethe system. This exciting project has onlyjust begun.”

Exclusive course attracts golf enthusiasts– guests play in secure resort thanks to Fichet Sécurité Electronique

Guests can play golf without being disturbedby security procedures or uninvited guests.


New technology is providing fasterand more secure securityinformation for the major banks.

Fichet Sécurité Electronique hasupgraded its information transfersystem for French savings bankCéPAL, which has over 200branches in Limousin and Auvergne.

Stéphane Leprévost is head of the securitydepartment at CéPAL and his role is toensure the security chain works as quicklyand efficiently as possible. Now the bank'sown security rules have resulted in aswitchover to IP communication for alarmcentres and surveillance systems.

“This enables us to harness the flow ofinformation transfer, storage and imagetransfer,” says Stéphane Leprévost.

“In short, we want to switch from aslightly outdated system to modern tech-nology, and above all to technology that is

better able to react proactively in the secu-rity chain.”

Fichet-Bauche was one of the suppliers

to Caisse d'Epargne in Auvergne, beforethe Auvergne and Limousin regions mer-ged. Fichet-Bauche installed the alarmcentres for the network in Auvergne.

FASTER INFORMATION TODAY

“When we made the decision to go over tothe IP system, we thought the solutionfrom Fichet Sécurité Electronique seemedmost suitable, and also the easiest toimplement as we only had to upgrade theexisting system (Arcana) to achieve thegoal.

“The results in the field are already con-vincing today. Security information istransferred faster, enabling faster deci-sions.

“In addition, our personnel also havegreater peace of mind. They know we canreact very quickly to all security problems,and thereby steer our response in a morerational, efficient way.”

8

As technology is adapted to thecustomer's needs, so financingmethods must also be adapted tothe customer's business.

Eric Ducoulombier, head ofinvestor relations at finance instituteLixxBail, describes an originalpartnership between the financeinstitute and Fichet-Bauche.

LixxBail was formed as a strategic comple-ment to leasing companies loxxia and Sli-bail, which belong to the large Frenchbanks CCF and Crédit Lyonnais.

LixxBail specialises in lease financing forequipment and capital goods for compa-nies and professionals. And this is wheresecurity products come in.

“The benefits of leasing security pro-ducts are the same as for all other kinds ofequipment,” says Eric Ducoulombier. “Itis a solution that brings great clarity thanksto regular costs, good control over thecompany's operating budget and an

opportunity to focus on investments.“It is always possible to make additions,

whether renewing or expanding solutions,

and it's easy to adapt the agreement to thelatest developments.”

20 NEW BUSINESS PROPOSALS

Contact with Fichet-Bauche wasestablished through Crédit Lyonnais,which has long been one of Fichet-Bauche's customers. Fichet-Bauche had aconcrete assignment: to create a leasingproduct for one of its customers.

“In order to pull it off they contacted us,and this has resulted in a highly effectivepartnership that has extended far furtherthan simply preparing and finalising afinancing agreement.”

The partnership is now about morethan a single agreement. A training pro-gramme in equipment leasing has beendesigned for the management and salesforce at Fichet-Bauche.

“This has generated new business oppor-tunities. 20 business proposals have beenpresented so far, and the number of agree-ments reached is very satisfactory.”

Faster security information increasespeace of mind for bank staff

Advances in security product leasing

Stéphane Leprévost at CéPAL has every rea-son to be pleased. Thanks to the new system,the bank can transfer security informationmore quickly.

Eric Ducoulombier sees great potential in themarket for leasing security products.

9

Gunnebo's history as a security companyonly stretches back 10 years or so, eventhough most companies in the Group havea far longer history.

Nowadays, Gunnebo is a fast-growinginternational security company which iscontinuously seeking new business oppor-tunities, both on large known marketsand on smaller, relatively unexplored ones.

With its acquisitions and establish-ments of recent years, Gunnebo has takena step into various new markets. Largeand small acquisitions have led to promi-nent positions on new markets.

The theme of this issue of GunneboGlobal is new markets. We will presentsome of the many markets where Gunnebois now an important player, while alsoshowing a selection of Gunnebo's broadoperations.

We will talk about pioneering installa-tions in Miami and Moscow, about theAsian security market and what it is likeselling security products in the MiddleEast. We will take you to Africa, SouthAmerica and Eastern Europe – all ofwhich are exciting new markets for aninternational security Group.

Gunnebo opens the door to new markets

Ω Ω Ω

G U N N E B O G L O B A L T H E M E – T H E N E W M A R K E T


10

American banks have a moretraditional view of customer servicethan their European counterparts.

But Beach Bank in Miami dares togo against the flow.

American Gunnebo Security hasinstalled the first two robotic safedeposit systems in all of NorthAmerica.

With a few exceptions, the US securitymarket is still relatively unexplored withinthe Gunnebo Group. Gunnebo Security'sinstallation is therefore a breakthrough inmore ways than one. It is not only the firstinstallation of robotic safe deposit boxes inall of North America: It could also repre-sent Gunnebo Physical Security's gatewayinto a new market with major potential.

LARGE BANK SECTOR IN USA

“There's no doubt that the possibilities aretremendous, as the USA has such a largebank sector,” says Tom O'Doherty,Managing Director of Gunnebo SecurityInc. in Miami.

“Even a small market share would meanmassive volumes, which would be a signi-

ficant addition for the whole of Gunnebo.”Even so, the road to an American bank

automation order has not been an easyone.

USED TO TELLER SERVICE

Automated solutions, used extensively inEurope, have not yet found their niche inAmerican banks, which work in a comple-tely different way with more tellers andtraditional opening hours.

“We've been trying to introduce theautomation concept forseveral years, but thebanks have been unwil-ling to change directionand invest in new techno-logy that hasn't beentested in North Americabefore,” says Tom O'Do-herty.

“I think what's neededis a small bank like BeachBank, which is looking atimproved customer servi-ce, to introduce automa-ted solutions. Miami attracts a lot of Euro-peans, and this is a way for Beach Bank to

give them the kind of service they're usedto at home.”

Following this first installation – twosystems of around 120 safe deposit boxeseach – Tom O'Doherty believes that morebanks will change their attitude. Manybanks like to see a first installation up andrunning before they make their own inve-stment in new technology.

WANT TO SEE IT WORKING FIRST

“Several banks are just waiting to see thissystem installed and inoperation before proceed-ing themselves,” saysTom O'Doherty. “Ithink that bank managersare ready for changes thatwill reduce costs and givethem superior customerservice.”

Moreover, Beach Bankis already consideringmore installations.

“If the system works asintended, the bank is

planning to make a further three installa-tions over the next two years.”

Gunnebo in the USAGunnebo is represented in the USA through Gunnebo Security Inc. and Gateway Security Inc.(Gunnebo Physical Security), Gunnebo Omega (Gunnebo Integrated Security) and GunneboJohnson Corp. (Gunnebo Engineering).

“I think what's

needed is a small

bank to introduce

automated

solutions”

Miami leads the way for US banks

An order has been signed in Miami to install the USA's first robotic safe deposit boxes in January2005. This is a good reference order for future installations.

Tom O'Doherty, President of Gunnebo Secu-rity Inc. in Canada and the USA.


11

Gunnebo Asia PacificGunnebo Asia Pacific co-ordinates all of Gunnebo's security activities in the region. The division's annual turnover is approximately 35 million euro.

Domestic demand has replacedexports to the USA as the maingrowth motor in Asia. Productivity isincreasing and a long tradition ofsaving means there is financialscope for increased consumption.

“The Asian markets aredeveloping very quickly right now,”says Gunnebo Asia Pacific's divisionmanager, Deepak Khetrapal.

Gunnebo's latest division, Gunnebo AsiaPacific, is not product-based butgeographic, which is perhaps an indicationof how important the expanding marketsin Asia and the Pacific region are. Asia andthe Pacific area are home to around 60 percent of the earth's population, and a largepercentage of them live in poverty. Theregion has developed rapidly over the past25 years, despite economic crises and epi-demics such as SARS. This developmenthas created an economic elite which hasearned great wealth, although individualinvestors and many workers have also sha-red in the increased prosperity.

“Poverty remains and is significant, butit has decreased, as has illiteracy,” says

Deepak Khetrapal. “For the first time awide range of consumer goods and servicesare now within reach of millions of Asians.Economic development is very rapid atpresent.”

STRONGER WILL TO INVEST IN SECURITY

The security market in Asia is in a similarsituation to most other industries in theregion. The banks suffered heavily in themajor economic crisis of 1997, but theyare now recovering and investing tostrengthen their positions, even in terms ofsecurity. Rapid growth in the region willlead to a greater awareness of security risksand an increased desire to invest in securi-ty, both among companies and privateindividuals.

“In order to benefit from the increaseddemand in Asia, we not only need compe-titive prices but also a good insight intocustomer requirements,” says DeepakKhetrapal.

INTEGRATED SOLUTIONS GUNNEBO'S IDEA

One of Gunnebo Asia Pacific's main stra-tegies for winning market shares on theAsian market is to create integrated securi-ty solutions from all the products develo-ped within the Group, solutions thatencompass perimeter protection andelectronic security, fire safety and physicalsecurity.

“We have very high-quality productswith international certificates, a broadproduct range and globally leadingbrands,” says Deepak Khetrapal. “In addi-tion, I think Gunnebo's products withinbank automation could be a competitiveadvantage for us.

“The Indian market, for instance, isgrowing more and more sophisticatedwith more high-security products and gre-ater demand for automation products,among other things. This opens up goodopportunities for us.”

Deepak Khetra-pal, divisionalmanager of Gun-nebo Asia Pacific.

More want to invest in security in Asia

One of Gunnebo's refitted factories was inau-gurated in Halol, India, in 2004.

The stock exchange in Calcutta is a lively place. The economy in Asia is growing strongly anddemand for security products is steadily increasing.


12

Indonesian bank security is facingan intensive phase of development.

In the past five years, PT IndolokBakti Utama has delivered securityalarm systems and CCTV systemsfor Bank Central Asia's branchesworth 1.5 million US dollars.

The deregulation of the banking sector inIndonesia in 1988 led to a rapid expansionof banks in the country. The economic cri-sis of the late 1990s meant that many col-lapsed, but between 1989 and 1993 over100 new banks started up in Indonesia.Bank Central Asia, BCA, is a publicly list-ed company and Indonesia's largest priva-tely owned/listed bank. The bank hasenjoyed rapid growth since it was first lis-ted in 2000.

“Security is still relatively simple in mostIndonesian banks,” says Indra Kuntoro,General Manager at Bank Central Asia.“Many banks still rely on security guardsor police officers to monitor their bran-

ches. Some banks are fitted with securityalarm systems and CCTV, but they areonly local measures and not connected toa central surveillance point.

“This is roughly how things were withus prior to 1998 as well, but since thenwe've worked to develop an advancedintegrated security system combiningsecurity guards and technical equipment.”

ALARMS MORE COMMON

Bank Central Asia now has an overall secu-rity system comprising security guards,advanced technical equipment, a surveil-lance centre, a management centre, patrolunits and assistance from the police andfire authorities.

“The aim of an integrated securitysystem like this is, of course, to minimiseopportunities for crime,” says Indra Kun-toro. “That's why the guards' expertise isalso particularly important.”

The technical solutions are, however,crucial to building up a complete security

Two of Gunnebo'sstrongest markets inthe Asia Pacific regi-on are Indonesia andIndia.

Here the Grouphas modern produc-tion facilities, andbanking is developingrapidly. Gunneboalso has a significantmarket share in phy-sical security.

Gunnebo Globalhas spoken to twoimportant customersin the region.

Gunnebo in IndonesiaGunnebo's Indonesian subsidiary P.T. Indolok Bakti Utama has 1,100 employees, 400 of whomwork in the capital, Jakarta. PT Indolok Bakti Utama is Indonesia's leading company in integrated security systems.

Expanding electronic s

Indra Kuntoro, Managing Director of Bank Central Asia, has made sure that the bank now hasan advanced, integrated security system combining security guards and technical equipment.


13

Banks in IndonesiaThe bank sector in Indonesia comprises 5 state banks, 26 regional development banks, 74private/listed banks and 31 foreign or multinational banks.

solution like BCA's. Electronic security,including alarms and video surveillance, isan area showing general growth in Indo-nesia today. This is due to several factors.Banks want to protect themselves againstrobbery, and companies and banks aretaking more and more precautionary mea-sures bearing in mind the terror attacks inIndonesia of recent years.

CUT PERSONNEL BY HALF

Moreover, advanced technology inelectronic security systems is a secure andeffective complement to the heavy, manu-al monitoring that is predominant in banksecurity in Indonesia today.

“Our complete electronic securitysystems have enabled us to reduce thenumber of security guards from 2,300 to1,200 this year,” says Indra Kuntoro. “Byinvesting in advanced electronic securitysystem we can streamline the operationand protect our personnel better.”

This trend in Indonesia has led to close

collaborations with several new customersfor PT Indolok Bakti Utama, includingBCA, as a leading bank. Since 2000, Indo-lok Bakti Utama has worked to improveand upgrade electronic security at thebank's branches across the whole of Indo-nesia.

“To date we've installed security alarmsystems at 400 branches,” explains Vin-centius Liong, Project Manager for Gun-nebo's Indonesian subsidiary. “And start-ing last year we made progress with digitalCCTV systems at 100 bank branches.This year we've equipped another 100bank branches with CCTV, and during2005 another 130 bank branches will beequipped.”

NEW SURVEILLANCE CENTRE

The security alarm systems and digitalCCTV at the various branches are con-nected to a round the clock security moni-toring centre (SMC) in Jakarta. Thecentral station was also built by Indolok

ecurity at banks

Bakti Utama, and next year the service willbe expanded with another surveillancecentre in Surabaya region. One veryimportant part of the technical solutionfor monitoring the alarms is the highdemands placed on the reliability andredundancy of the system. If the securityalarm system at one of the branches wereto signal problems, there are secure alter-natives in place, using advanced wirelessRadio IntelliNet network, for transferringalarm signals and data electronically to thealarm centre. Therefore, it is not possibleto cut the cables and turn the alarm off byany intruder, and this type of solution isimportant in a country where logisticsconstitute a complicating factor.

“For our part, in the future we'll needeven more technology that can safeguardsecurity, even from long distances,” saysIndra Kuntoro. “Within a few years, BCAplans to be able to monitor bank branchesin six major cities in Indonesia – that'sequivalent to 500 branches, and around80-85 per cent of our business.”

SIGHTS SET ON OIL AND GAS INDUSTRY

More and more banks and other compa-nies in Indonesia are thinking along thesame lines. Vincentius Liong thinks thereis a massive potential market in Indonesia,particularly in electronic security. Thedevelopment here is still in its infancy, andIndolok Bakti Utama is working on anumber of interesting projects that couldbecome major orders.

“We're not only working with banksbut also several other markets,” he says,“such as the oil and gas industry, miningand other large corporations.

“The security market has changed dra-matically in Indonesia after the terriblebombing events in Bali and Jakarta. We'vereceived far more inquiries regardingCCTV equipment, and products such asmetal and explosive detectors, bullet resi-stant glass doors and windows and bombblast security window films.”

Bank Central Asia's head office in Jakarta,Indonesia.

The security systems mean customers receiveeven better service in Indonesia.

14

Banking in India is characterised by adramatic upswing for private banks.

This means higher demand forsecurity products from GunneboSteelage, part of the Gunnebo AsiaPacific division.

India has one of the world's fastest-growing economies at the moment. Thisobviously has a knock-on effect on the pri-vate economy in the country, and thebanks are gaining new customers all thetime. The private banks are growing fas-test, and their main competitive tools areservice and accessibility.

“Service at the state-run banks hasn'talways been the best,” says Adhip Syam-roy, Vice President at UTI Bank, one ofIndia's biggest private banks. “The privatebanks have endeavoured to attract custo-mers with a high level of service more likethe multinational banks offer.”

80 NEW BRANCHES IN A YEAR

The private banks in India have also beenstriving to increase their presence by open-ing new branches at more and more loca-tions around the country. UTI Bankhopes to open 80 new branches during2004 alone.

“We're already established on all the Amarkets in India,” says Adhip Syamroy ofUTI Bank, “and we've made good inroadsinto the locations that could be termed Band C markets. We've also started establi-shing ourselves in rural areas, though only

to a small extent as yet.“The new generation of Indian private

banks is the most active with this form ofexpansion, and the strategy has certainlyincreased demand for security products.”

30 PER CENT GROWTH

Gunnebo has been focusing intensively onthe Indian market recently, and has incre-ased production capacity at the factory inHalol fourfold. This seems a wise move, asthe market for the kinds of products pro-duced in Halol – strongroom doors, fireand burglar-resistant safes, safe depositboxes and fire-resistant data media cabi-nets – has increased in India in the pastthree years. Gunnebo Steelage has seen

organic growth in safes of around 30 percent in six months.

“We have a wide range and our productsare CBRI tested and certified in line withBIS, the Bureau of Indian Standards. Thisis one of the reasons behind our stronggrowth,” says P M Sanjay, project mana-ger at the Gunnebo Steelage office inMumbai.

UTI Bank is one of the banks to bemaking extensive investment. In the pre-ceeding financial year, UTI Bank had pla-ced orders having an aggregate value ofmore than 10 million Indian Rupees(about 170,000 euro), for purchase ofstrong room doors, safe deposit lockersand fire/burglar resistant safes. The pro-


Gunnebo in IndiaGunnebo Asia Pacific's market share in India is estimated at almost 40 per cent in physicalsecurity. Physical security products are manufactured locally in the expanded and refitted plantin Halol.

India's banks are growing fast – i

The Taj Mahal, a famous symbol of India, one of the world's fastest growing economies. Theneed for conventional physical security and electronic security is growing strongly.


ducts are to be manufactured at the newplant in Halol.

“We will be fitting out new and existingbranches in northern and eastern India upto 31 March 2005,” explains P M Sanjay.“Progress is moving rapidly in India as faras security is concerned, with banks andcompanies becoming increasingly securityconscious.”

ELECTRONIC SECURITY GROWING

Alongside conventional, physical securityproducts, there is another market growingat least as quickly. P M Sanjay says thatdevelopments in electronic security haveadvanced dramatically in the past 10 years,and estimates current growth at around30–35 per cent. Meanwhile Adhip Syam-roy of UTI Bank notes that electronicsecurity is an area in which most banks arecurrently planning for major new invest-ment.

“I think that demand for conventionalsecurity products is roughly the sametoday as it was 10 years ago, but with farhigher volumes as the new banks expandtheir network of branches.

“However, there is a far greater aware-ness now of the need for other securityproducts such as fire and burglar alarms,access control systems, electronic surveil-lance systems and the like. As a result thereis now a great demand for these products,whereas 10 years ago it was all but negli-gible.”

Another strong tendency in the Indian

security market relates to companies out-side the world of banking. More and morelarge corporations in a variety of sectorsare reviewing their security. Gunnebo Ste-elage has been working with the diamondindustry for many years.

EXCITING FUTURE

“India has a very large diamond-cuttingindustry, and we've installed strongroomsand high-security burglar-resistant safes

for several of the companies in this sector,”says P M Sanjay. Each diamond cutteroften has their own safe, with a strong-room on each floor.

“Having said that, we're working withseveral different industries. Large compa-nies are starting to review their securitymore and more. In India, we're only at thebeginning of an exciting period of deve-lopment.”

ncreasing investment in security“Volumes are increasing dramatically as

the new banks expand their network of branches”

Khondaker Ali Zafar(left), assistant deputyManaging Director atUTI bank, with V.V.Padmanabhan,responsible for easternIndia within GunneboSteelage, in one of themany bank branchesequipped with newsecurity products fromGunnebo Steelage in2004.

15


From Libya in the west to Iran in theeast, from Turkey in the north toYemen in the south – Gunnebo'ssales office in Dubai has a vastterritory, which consists of 14countries with 250 millioninhabitants.

“There is a very clear trend in thispart of the world: people arefocusing more and more onsecurity, particularly on the moreadvanced solutions,” says Jacob

Touma, manager of Gunnebo'ssales office in Dubai.

Gunnebo has been successful in its deal-ings in the Middle East from the verybeginning when it started doing businessin the region early in 2000. After theevents in the United States on 11 Septem-ber 2001, security has moved to the top ofthe agenda and the region has become farmore security minded.

Jacob Touma predicts exciting times to

come in the security sector.“And then it'll be a strength that Gun-

nebo in the Middle East can offer totalsecurity solutions, since I sell products notonly from Physical Security and Integra-ted Security but also on behalf of Perime-ter Protection. The best strategy for suc-cess is for the company to approach acustomer as a single company with oneoffer, to be able to satisfy the customers'demands for a single supplier who adoptsan overall approach to security,” he says.

THE WILL TO SUCCEED IS THE KEY

However, the key to succeeding in busi-ness in Dubai is not simply to be found ina product portfolio. According to JacobTouma it also depends very much on theindividual.

“People from all around the world gat-her in Dubai and they are there for onereason alone: Business. Each and every oneof them does business in his own way andin order to succeed as a businessman inDubai you must have an inner drivingforce and the determination to succeed,”says Jacob Touma.

The products that have doing bestrecently include different systems foraccess and entrance control as well as moretraditional products, such as vaults, vaultdoors and safes.

“There we have several of the mostprestigious buildings in Dubai as referencecustomers,” says Jacob Touma, showing ussome press cuttings of impressive buil-dings.

Jacob Touma ran the office in Dubaisingle-handedly for quite some time but inDecember 2004 he was joined by an assi-stant. Nearly all the sales go via agents ordistributors.

Gunnebo in the Middle EastGunnebo is represented in the Middle East through Gunnebo Security in Dubai, which operateswithin both Gunnebo Physical Security and Gunnebo Perimeter Security. There is also a subsidi-ary in Lebanon, Fichet Middle East Ltd.

Face-to-face business in the MiDinner invitations part of everyday life for Jacob Touma

Jacob Touma, responsible for Gunnebo's sales office in Dubai.

16


17

Gunnebo in AfricaGunnebo has two subsidiaries in South Afri-ca: Gunnebo Security SA within Gunnebo Physical Security and Cargo Control Systemswithin Gunnebo Engineering.

ddle East“The most important assets in this part ofthe world are strong personal relationshipsand deep knowledge of the culture. Thefact that I also speak Arabic is a plus thatmakes it easier to do business in a varietyof situations,” he says.

DINNER WITH SHEIKHS

And Jacob Touma has always been carefulto build up personal relationships. Whatelse can you say when he receives a phonecall from a prominent sheikh inviting himto dinner late in the evening.

“Well, then it's just a matter of gettingin the car and driving off to meet him,because these people are exceptionallybusy and opportunities like this don'tcome up every day.”

And there's not much free time either –in the Middle East Friday is the day of rest,and Thursday corresponds to Saturday inEurope. But Jacob Touma is still expectedto be on the job keeping in touch with hisEuropean principals. And on Saturday andSunday, well, then it's business as usual.

Major orders to Africa's eastcoast and Nigeria in 2004

Algeria is a large and importantmarket for Gunnebo's Frenchsubsidiary Fichet Sécurité Physique.

Fichet Sécurité Physique has long been amajor supplier of physical security to Alge-rian banks such as Banque d'Algerie, laBanque Nationale d'Algerie, la BanqueAgricole de Développement Rural, la Ban-que de Développement Local, le CréditPopulaire d'Algerie, The Housing Bankfor Trade and Finance, la Trust-Bank,Arco-bank and BNP/Paribas Al Djazair.

In total, over 330 tonnes of security pro-ducts went from the plant in Bazancourt

to Algeria to equip Algerian banks in2004.

This included strongroom doors, safedeposit boxes and security doors, alongwith fire and burglar-resistant safes.

The products have not only been instal-led in large cities such as Oran, Tlemcen,Béjaîa, Constantine and Annaba, but alsoin Illizi, Tindouf, Djanet and Tamanrassetin the middle of the desert.

“We're only at the beginning of deve-lopments,” says Mohamed Benrabah,Managing Director of High TechSystems. “The future looks very promi-sing.”

Gunnebo Physical Security hasmade a powerful entry into theAfrican market.

2004 was a good year with largeorders from Nigeria, Tanzania, theisland of Zanzibar and other places.

Gunnebo Physical Security is representedthroughout the Sub-Sahara by its SouthAfrican subsidiary, Gunnebo Security SA,which deals with sales and marketing acti-vities for countries such as Nigeria, Ango-la and Botswana.

“We see Nigeria as a continued strongmarket with our existing customers, whichinclude the central bank,” says Fred Mer-tens, head of Southern Europe, Africa andthe Middle East for Gunnebo PhysicalSecurity. “Moreover, attempts to introdu-ce new products have proved very promi-

sing, and we see opportunities for severalmajor projects in the future.

“We've also had major success in Tan-zania and on Zanzibar, for instance, wherethe central banks have once again put theirtrust in Chubbsafes for securing andstrengthening their strongrooms.”

EMBASSIES INTERESTED

The growing economies of nations likeAngola and Botswana also represent con-tinued potential for Gunnebo Security.

“Being able to offer more of the Group'sproducts has proved profitable,” says FredMertens. “For example, we can offerElkosta's gates and boombarriers to custo-mers who are extremely security consci-ous, such as embassies and other impor-tant government buildings.”

330 tonnes delivered to Algerian bankPERSONAL

JACOB TOUMABorn: 1972 in Beirut, Lebanon.Grew up: Sweden.Family: Married with one daughter. Career: Has worked for Gunnebosince 1998. Previously with companiessuch as SAAB and as a consultant.Currently responsible for Gunnebo'ssales office in Dubai.Education: Degree in Engineeringfrom Chalmers University of Technolo-gy, Göteborg, and an MBA from theSchool of Economics and CommercialLaw at Göteborg University.


The new market economies inCentral and Eastern Europerepresent a great opportunity forthe security sector.

“Take banking for instance,” saysJay Wright, area manager Northernand Eastern Europe within GunneboPhysical Security. “Bank branchesare opening in Eastern Europe,unlike in Western Europe.”

The market for conventional security pro-ducts for banks has stagnated in WesternEurope in recent years. Eastern Europe, onthe other hand, is an expanding marketand one of the geographical markets whereGunnebo Physical Security aims to growin the future. Rosengrens has already beenactive on the Russian market for 10 years,and in recent years the company has wor-ked via its local agent Europeum to sell

safe deposit boxes to Russian banks ex-works. Safe deposit boxes are Rosengrens'best-selling products in Russia at themoment. This year alone Rosengrens hassold almost 30,000 deposit boxes in Russia.

“The banking sector in Russia isgrowing strongly,” says Bo Haglund,export manager at Rosengrens. “Manyoverseas banks are setting up in Russia,especially in Moscow, and the mainobstacle to even faster growth is in fact alack of premises.”

FIRST ROBOTIC DEPOSIT BOX

New automated solutions are also sellingwell in the Russian banks. Europeum hasworked hard during the year to promotenew technology, which has resulted inseveral new orders, one of them a true pio-neer installation. In November 2004 thefirst robotic safe deposit box was installed

Facts about Eastern EuropeEconomic growth in Eastern Europe and the former Soviet Union was 5.6 per cent in 2003.This was the fourth consecutive year that growth in the region was higher than for the worldeconomy as a whole.

in Russia – in a branch of a Russian savingsbank at Vnukovo airport outside Moscow.

“It's a relatively small system of 211boxes,” says Bo Haglund. “However, theaim is to provide good service to a smallnumber of regular VIP travellers wherebythey can store their valuables in depositboxes at the airport.”

“The banks in these countries need tobuy western products,” says Jay Wright,“as they don't have the same productionlocally. And even though our products arequite expensive after import fees and sup-plements, they want recognised brands.Rosengrens and Chubbsafes are examplesof well-known brands on this market.”

FORMER SOVIET UNION GROWING

Jay Wright thinks it is hard to provide ageneral picture of developments in EasternEurope as there are so many differencesfrom one country to the next. Having saidthat, Russia, Kazakhstan, the Ukraine andRomania are all countries that were undercommunist rule just 15 years ago, but havesince quickly adapted to a market economy.

“And that applies to the security sectoras much as all other sectors,” he says. “Ithink there's tremendous potential.”

Equally convinced is Örjan Hammar,MD of Polish Gunnebo Baltic Sp. Z o.o,which sells mounting brackets for the con-struction market throughout Central andEastern Europe. In recent years the com-pany has made increasing advances in theformer Soviet Union and other parts ofEastern Europe, and has sales staff whospeak Russian and travel around countriessuch as Russia and the Ukraine. AndÖrjan Hammar has noticed a markedupswing in certain countries.

Central and Eastern Europe invest heaviFirst Russian robotic safe deposit box installed at Moscow airport

Peter Schulek (left) and Slava Rogov, founders of Gunnebo' distributor Europeum, have hadgreat success with Gunnebo products on the Russian security market.

18


19

There are good opportunities to take furt-her market shares in South America. Thisis according to Stefan Lundqvist, Mana-ging Director of Gunnebo do Brasil,which markets and sells Gunnebo pro-ducts on the South American market.During 2004, for example, the first fire-resistant safes from Fichet-Bauche weresold in Brazil.

“The security market in Brazil hasgrown dramatically in recent years,” says

Lundqvist.Gunnebo do Brasil markets and sells

Gunnebo Lifting and Gunnebo Johnsonlifting products for handling heavy goods.The product line also includes chain-basedanti-skid and tyre protection. Furthermo-re, the company markets machine protec-tion for Gunnebo Troax and physicalsecurity products such as safes.

Gunnebo in FinlandIn addition to the new start-up Oy GunneboSecurity AB, Gunnebo companies in Finlandalso include Gunnebo Polaraidat Oy andTroax Oy (Gunnebo Perimeter Security) andOFA AB Oy (Gunnebo Engineering).

ly in security Finland in focus for new start-upWith a newly started company,Gunnebo Physical Security is nowpreparing for a fresh approach onthe Finnish market.

“We have received a lot ofpositive signals from customers whothink it's interesting that a strongnew player is entering the market,”says Managing Director ThomasGranberg.

Gunnebo Physical Security has previouslyorganised sales activities in Finland viaagents and distributors, but it has now gat-hered all operations in the newly startedOy Gunnebo Security AB, which has sixemployees. To date the Finnish market forsecurity products has been dominated by afew players and the new company is oneway of making a major, targeted break-through. The company's ManagingDirector Thomas Granberg thinks there isgood potential.

“We're primarily focusing on selling fireand burglar-resistant safes and systems formore efficient cash handling in retail.We're also targeting the market for homeoffices/small-scale offices and the consu-

mer segment, and we'll gradually be intro-ducing products in bank automation.

“The Finnish market has not been cul-tivated that intensively through GunneboPhysical Security in recent years, so that'swhat we're set to do now,” Thomas Gran-berg explains.

“We see the establishment of a salescompany in Finland as an important stepas it is a strategic market for us,” says Tor-björn Browall, division manager of Gun-nebo Physical Security and First Executi-ve Vice President of Gunnebo AB. “Fin-land is part of the Nordic market and ourgoal is to build up a market-leading posi-tion here too.”

Growth in Brazil

Thomas Granberg, Managing Director of OyGunnebo Security AB.

“We've experienced good developmenteastward,” he says, “and there's greatpotential. Taking Russia as an example,they've long had an industrial develop-ment and now private consumption isrising dramatically.

“A lot of Muscovites are building holi-day homes in the country and we're sud-denly selling more of our ceiling mountingbrackets in Moscow than we are in Swe-den. Even so, we only have a small per-centage of the market in Russia, whichsays a lot about the potential.”

ROMANIA HAS POTENTIAL

Romania is a country Örjan Hammar hasa lot of faith in. Industry is still being builtup there, and he can see clear similaritieswith Poland 12 years ago.

“Romania is much like Poland waswhen I moved here in the early 1990s. ButI think things will move far more quicklyin Romania. The rate of investment will behigh, and it's important to be a part ofthat.”

Moscow – a market with strong growth forGunnebo.


20

The synergies between differentparts of the Gunnebo Group havebecome a powerful competitive tool.

In Spain, two companies havejointly delivered a complete securitysolution worth around a million eurofor Caja Madrid's refitted headqu-arters.

Caja Madrid is Spain's second largestsavings bank, and three floors of the largehead office on Plaza Celenque in Madridare currently being renovated.

In connection with the refit, security isbeing upgraded with extended alarm andvideo surveillance systems, an expanded,rebuilt fire alarm system and a newly con-structed access control system at the build-ing's main entrance. All parts are integra-ted in a joint alarm centre.

AROUND 60 CAMERAS

“Customers are increasingly looking forfully integrated security solutions,” saysJosé Ortuño, Managing Director of FichetSistemas y Servicios. “They want a jointsolution for video surveillance, alarms andaccess control, and building the fire alarmsystem into the solution is a very commonrequest.”

At the Caja Madrid headquarters, thevideo surveillance system has had some 60cameras added to it along with digital

recording equipment. In addition a newfire safety system has been installed on thethree refitted floors, and this has now beenconnected to the existing system. A gas-based fire extinguishing system has beenbuilt into certain areas of strategic impor-tance, and for entrance control the bankhas invested in five Hidden Gates and twoGlasStiles from Gunnebo Entrance Con-trol.

“We have been working with the bankfor many years, especially the last tenyears” says José Ortuño, “and our experti-se in providing total solutions for bankheadquarters is well-known. These aresome of the reasons why we were chosen

for the job.”Alongside Gunnebo Entrance Control

in Spain, Fichet Sistemas y Servicios hasbeen working jointly with customers foralmost three years now. Gunnebo Entran-ce Control supplies entrance control in theshape of security gates and access controlsystems, while Fichet Sistemas y Serviciosprimarily offers electronic security pro-ducts such as alarms and CCTV.

“We enjoy close contact and an intensi-ve collaboration,” says José Ortuño, “andhave done since the company set up theSpanish brand around three years ago.

“This is a major competitive advantagefor both of us, as we can offer our custo-mers a complete solution. After all, custo-mers are clearly looking for integratedsystems.”

10 PER CENT GROWTH A YEAR

José Ortuño is convinced that the mar-ket for the integrated security solutionscan only increase, mainly due to two fac-tors. For one, conventional guard-basedsecurity is becoming increasingly costly;also, the private and public sectors inSpain are currently making extensive inve-stment in security solutions.

“I believe we can achieve a growth inintegrated systems of around 10 per cent ayear, at least over the next three years” he concludes.

Million euro investment makesCaja Madrid a more secure bank

Personnel at the surveillance centre in the newly renovated Caja Madrid can monitor 60 video cameras.

Caja Madrid's head office in the Spanish capital.

Fire-resistant doors are part of the investment.

Juan Manuel Zarco appreciates the integratedsolutions Gunnebo can supply.

21

Gunnebo on display

Expo Protection in Paris is one of Europe's biggestsecurity fairs with 950 exhibitors and 23,000 visitorsfrom France and other countries. Gunnebo was repre-sented at five stands: Fichet-Bauche, Hygiaphone,Ritzenthaler, Gunnebo Entrance Control and Chubb-safes.

Skydd 2004, Sweden

Northern Europe's biggest security fair with 288 exhi-bitors and over 15,600 visitors. All Swedish Gunnebocompanies were represented at a joint stand: EA Rosengrens, Rosengrens Larm, Gunnebo Entran-ce Control, Gunnebo Perimeter Protection, Troaxand Gunnebo AB.

The Security fair in the Ger-man city of Essen is one of theworld's biggest security fairswith 911 exhibitors from 39different countries.

The number of visitors in2004 exceeded 40,000 from 54countries.

Gunnebo took part as an exhi-bitor with five stands: Elkosta,Wego, Gunnebo Hammer,Gunnebo Entrance Control andGunnebo Physical Security.

Security in Essen, Germany

Expo Protection in Paris, France

Autumn 2004 was abusy time for Gunne-bo companies aroundEurope taking part inmajor exhibitions.

Paris, Essen andStockholm havehosted the biggest secu-rity fairs in theirrespective parts of thecontinent.

Here is a selectionof what was on show.

Gunnebo's Danish subsidiary Gunnebo Pro-tection A/S has received an order worthapprox. 1.7 million euro for external perime-ter protection for the new state prison outsi-de Horsens in Jutland, Denmark.

The EU procurement of fencing and gatesencompasses external perimeter protection,which together with a wall forms two zonesof no-man's land, all to ensure maximumsecurity and help prevent escape attempts.

Gunnebo Protection in Denmark haspreviously supplied external perimeter pro-tection to many prisons and detentioncentres in Denmark in the form of high-securi-ty fencing and gates.

Gunnebo equips new prison in Denmark

GrabIQ is the most innovative lifting compo-nent on the market.

At least according to readers of the majorAmerican trade magazine Lift Applications &Equipment, who voted four class winners inthe Pinnacle Award.

The competition was organised by themagazine which presented a series of pro-ducts in four categories and asked its rea-ders to vote for their favourite. GrabIQ wonthe Components category.

GrabIQ best component

Chuck Buck from Gunnebo Johnson Corp.hands the prize to Robert Hermans, divisionmanager of Gunnebo Lifting.

On 25 August 1954, SvenFrom, aged 14, worked hisfirst shift at Gunnebo's factoryin Ramnäs. This summer hecelebrated 50 years at the same workplace.

“I'll be retiring in June, so my job now is totrain up a replacement. That could be dif-ficult, because no one knows the factory aswell as me,” says Sven From.

50 years with Gunnebo

I N B R I E F • G U N N E B O G L O B A L

I N B R I E F · G U N N E B O G L O B A L

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French railway operator SNCFmade a successful choice oftemporary office during the refit ofParisian station Javel.

The mobile security-class officemodule from Ritzenthaler was tootough for a group of vandals tobreak into – despite three thoroughattempts.

Ritzenthaler hires – and sells – two ver-sions of flexible high-security office modu-les with different levels of security. Themodules have primarily been used asmobile bank branches during major reno-vation, but in recent years more industrieshave begun using mobile solutions when ahigh level of security is required.

One such example is the French staterailway company, SNCF. In conjunctionwith the renovation of Javel in Paris's 15thadministrative district, SNCF rented amobile office from Ritzenthaler for fourmonths, an investment that turned out asuccess. In August a number of vandalseventually had to give up trying to breakinto the office after a long struggle.

Round one went to the glass section ofthe outer door, which easily coped withthe first attack. The next target was thedoor frame, which also made a firm stand.And the third assault, on the locks, alsoproved futile.

“This is solid proof that the mobilesecurity-class offices are effective, especi-ally in more isolated spots,” says Jean-Marie Hauswald, product manager at Rit-zenthaler.

Ritzenthaler's mobileoffice stops vandals in Paris

Ritzenthaler's mobile offices are highly secure– as thieves in Paris discovered.

A further version of the EntraSec sliding gatehas been launched. EntraLight is a simplerversion of EntraSec primarily designed forsmall businesses and private individuals.

EntraLight is an alternative for customerswho do not need an integrated security solu-tion with access control, and is available in amanual and a motorised version. GunneboPerimeter Protection is reaching a new mar-ket segment with EntraLight and initialdemand has been excellent.

New version sliding gate

EntraLight is a new version of sliding gate.

Skydd 2004 in Stockholm marked the worldpremier of a brand new electronic code lockfrom Gunnebo.

The lock comes in three versions, has 111million permutations and can be used insafes right up to high-security Grade V and invarious types of security door. The newelectronic lock features a range of intelligentsecurity functions. These include a silentalarm function, whereby a silent alarm isautomatically sent to the security company ifthe last letter of the code is enteredincorrectly.

If the safe door is left open too long, themanual version of the lock tries to close itautomatically and the automatic version issu-es a warning signal.

“The lock can have up to seven uniqueusers,” says Hans Schröder, Managing Direc-tor of EA Rosengrens AB.

To increase security even further, thesystem can also be made to require identifi-cation using dual control and/or fingerprintscombined with the code.

Gunnebo launches own code lock

Some 30 representatives of various salescompanies within Gunnebo Physical Securi-ty were present when the plant in Doetin-chem, the Netherlands, recently held acustomer open day.

The aim was to draw attention to poly-urethane products such as Europlanet,Metrowall and Cennox, and also to showthe new layout of the plant following theclosure of the facility in Dordrecht.

It was also an opportunity to presentSafePay, the sealed cash handling systemfor retail.

During the day, customers could also see ademonstration of how products are tested atthe factory in Doetinchem.

Doetinchem on show

New noise protection from Gunnebo

People living near busy roads or railways cannow enjoy a quieter life.

A patented new noise protection solutionfrom Gunnebo Perimeter Protection can bothreflect and absorb noise.

Noise Line is the name of the new noisescreening system which is available in twoversions.

One reflects while the other absorbs noise.Noise Line from inside a garden. Smart andeffective.

9 September 2004was a big day forOFA Oy in Finland,when thecompany'smanagement,customers and suppliers gatheredto celebrate the factory'sbicentenary.

OFA Oy was established in 1804 as afoundry. Today the company has two fac-tories which produce nails and wire pro-ducts. The nail factory in Jokoinen has 65employees and the plant in Loimaa has 70.“However, the factory in Loimaa isn't as

old,” says Heikki Helminen, ManagingDirector of OFA Oy. “It's only 118 yearsold.”

The 200th anniversary began in a func-tion room near the factory with a welcometoast and a speech by Heikki Helminen.This was followed by a coach ride to thefactory for a guided tour with the guests,after which a steam train took the groupback to the party.

“An old railway runs all the way to thefactory,” says Heikki Helminen.

“It was founded in 1898 and was usedfor freight and passenger services. But itwas closed down in 1974 and is now amuseum railway.”

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Gunnebo Security inCanada is 50 yearsold in 2004. Thecompany startedout as a manufac-turing unit for products such assafes, but today service is one of itscore operations.

Gunnebo Security Inc. in Canada wasfounded by Chubb Safes in 1954 and isone of the companies Gunnebo took overwhen it acquired Chubb Safes in 2000.

Business originally focused on manufac-turing and selling safes, strongroom doors,night-safes and other heavy-duty physicalsecurity products.

Those sales gradually also led to extensi-ve service work, and service now accountsfor more of the company's business thanproduction.

Gunnebo Security Inc. has a productionplant in Barrie, Ontario and 14 local ser-vice centres across Canada.

Co-workers, theirfamilies and localdignitaries took partin the centenarycelebrations forFichet Sécurité Physique'splant in Bazancourt on 16 October2004.

100 years' production has made GunneboSourcing and Production's plant an insti-tution in the French town of Bazancourt.The factory is one of two main workplacesin the town, and the focus of the centena-ry celebrations was everyone who has play-ed a part in the factory's development.

“A lot of people have passed through thecompany's gates over these 100 years,”says Graham Ward, factory manager. “Wefelt it was time to celebrate the people inthe company, not just us today but every-one who has been here before us.

“A large number of people have workedhere, and it's thanks to their hard workthat we're where we are today.”

The centenary was celebrated with anopen day at the factory for co-workers and

their families. Also in attendance wereBazancourt's mayor, representatives of thelocal trade and industry association andthe local press.

There were plenty of anniversaries within the Gunnebo Group during the autumn 2004. Here are the companies that were celebrating big milestones.

Fichet Sécurité Physique in Bazancourt reaches a century

Canadian Gunnebo Security Inc. celebrates half century

OFA Managing Director Heikki Helminenmakes a welcome speech at the anniversarycelebrations.

Co-workers at Bazancourt turned up in full force for the centenary celebrations in October.

I N B R I E F · G U N N E B O G L O B A L

Finnish foundry now a nail factory – and 200 years old!

It was crowded at Troax's newtraining centre when the annualcapital market day took place inearly November.

36 investors, analysts andjournalists had travelled to thefactory in Hillerstorp, southernSweden, to find out about the latestdevelopments within the GunneboGroup.

“I'm pleased to see such great interest inGunnebo from investors, analysts andjournalists alike,” began Bjarne Holm-qvist, Gunnebo's President and CEO, inhis speech on capital market day in Hiller-storp, before going on to say:

“There are three occasions that are par-ticularly important for a CEO when itcomes to providing information: TheAGM, Board meetings and capital marketday. Meeting the people who monitor andinspect us, giving them our view of thebusiness and answering questions, is ademanding task all in one day, but also a

rewarding one.”After an introduction by Bjarne Holm-

qvist, Troax's Managing Director StefanAndersson presented the operation, whichwas followed by a guided tour of the fac-tory. The visitors were shown productionof perimeter protection for indoor use inthe form of welded mesh panelling. Theywere also informed about the new logisticsefforts which will improve deliveries toTroax's customers in Europe, helpingensure they receive the right products atthe right time.

SAFEPAY ASSEMBLED

Troax's Managing Director also took theopportunity to talk about new invest-ments in a robotised production linewhich automates large parts of the process.The factory also has a product test centrewhich was launched to coincide with oneof Gunnebo's Board meetings earlier inthe autumn.

All divisions except for Gunnebo AsiaPacific were then presented by their respec-

tive division managers. After that, visitorshad an opportunity to ask questions.

Visitors also appreciated seeing thethree units which make up the integratedcash handling system SafePay allassembled: the note recycler, the coinrecycler and the deposit unit. Participantsthen had a chance to study the system andask questions.

TROAX AND MOTOMAN SIGN AGREEMENT

It was also announced that Troax andMotoman Robotics Europe AB, one of theworld's leading manufacturers of industri-al robots, had signed a business agreementand that Gunnebo's production adapta-tions, which cost 100 million Swedish kro-nor, will provide an annual saving of 60million kronor from 2006 onwards.

If you would like to find out more aboutGunnebo's Capital Market Day, all the pre-sentations shown on the day can be found atwww.gunnebo.com under the heading “Inves-tor Relations”.

Troax hosts 2004 capital market day

The 2004 capital market day was held in Hillerstorp, southern Sweden, where guests were givena presentation and a guided tour of the Troax factory. Gunnebo's President and CEO BjarneHolmqvist (top right) gave an introductory speech before visitors were shown around the plant.

Gunnebo A

B, B

ox 5181, 402 26 Göteborg, Sw

eden.

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