Fincantieri Group Overview and Experiences Implemented

in Foreign Countries

Canberra, 9th February 2016

Highlights Fincantieri Group

Royal Princess

Princess Cruises

First cruise ship fully compliant

with new regulation

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Employees by location

€4,399 MM revenues

~€11.6 BN backlog(2)

~€8.2 BN soft backlog(2,3)

21 shipyards

4 continents

~ 20,900 employees

~ 80,000 subcontractors

€297 MM EBITDA

#1 Western designer & shipbuilder(1)

with 230 years of history & >7,000 ships built

Revenues by geography

Vietnam

• 1 shipyard

USA

• 3 shipyards

Brazil

• 2 shipyards

Norway

• 5 shipyards

Italy

• 8 shipyards

Romania

• 2 shipyards

UAE

• 1 Joint Venture

Italy 37%

RoW 63%

Italy 18%

RoW 82%

~20,900 €4.4 BN

2

FINCANTIERI AT A GLANCE

Note: all figures reported at 31 December 2014, except for backlog and soft backlog which are referred to 9M 2015 (at 30 September 2015) (1)By revenues, excluding naval contractors in the captive military segment. Based on Fincantieri estimates of shipbuilders’ revenues in 2014 (2)At 30 September 2015 (3)Soft backlog represents the value of existing contract options and letters of intent as well as contracts under negotiation, none of which yet reflected in the order backlog

Operating subsidiary Representative / Sales office

Corporate/BU headquarters Joint Venture Shipyard

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By client’s country By end market(1)

Cruise ()

Ferries ()

Mega-Yachts

Naval

Offshore

After sales

Business diversification

Equipment & Systems

Repair & Conversion

( ) = under divestment

2014 revenues breakdown

3

Source: Company information

(1) Breakdown calculated based on revenues gross of consolidation effects

…WITH A UNIQUE PRESENCE IN ALL VALUE ADDED SEGMENTS

Italy 18%

RoW 82%

€4.4 BN €4.4 BN

Cruise 32%

Naval 24%

Equipment, Systems & Services

4%

Others 5%

Offshore 35%

• World most

diversified player

active in all high

value added

segments

• Balanced

exposure to

Cruise, Naval and

Offshore

• Significant share

of revenues

coming from

countries outside

of Italy

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TRACK RECORD, TOP CLIENTS AND TECHNOLOGICAL LEADERSHIP

(1) At 30 September 2015 (2) Includes other products delivered by Naval business unit. Includes US subsidiaries pre Fincantieri acquisition, excluding 174 RB-M delivered since 2002, of which 28 in 2014 and 3 in 2015) (3) Includes other products delivered by Offshore business unit. Includes VARD and predecessor companies (4) Parent company of several brands: Carnival Cruise Lines, Costa Crociere, Cunard, Holland America Line, P&O Cruises, Princess Cruise Lines and Seabourn Cruise Lines (5) Parent company of Oceania Cruises and Regent Seven Seas Cruise. Acquired by Norwegian Cruise Line Holdings in September 2014 (6) In terms of bollard pull at the date of construction (423 tons) (7) In terms of loading capacity (2011) (8) Award instituted by the major Nordic shipping magazine Skipsrevyen

• Royal Princess: 1st cruise ship fully

compliant with new regulations

• Costa Luminosa & Costa Pacifica:

Guinness World Record for joint-

christening of 2 cruise ships

• LCS Freedom: world’s fastest steel

frigate

• Far Samson: most powerful

offshore vessel(6)

• Normand Prosper: 1st AHTS providing

significantly higher stability (24m beam)

• AMC Connector: world’s largest cable layer(7)

• Skandi Africa: “Ship of the Year”(8)

Technological

leadership

Track record

ships deliveries(1)

SHIPBUILDING OFFSHORE

Cruise Naval

• Carnival Group(4)

• MSC Crociere

• Prestige Cruise Holdings(5)

• Silversea Cruises

• Viking Ocean Cruises

• Virgin Cruises

• Italian Navy and Coast Guard

• US Navy

• United Arab Emirates Navy

• Algerian Navy

• Indian Navy

• DOF

• Farstad

• Island Offshore

• Siem Offshore

• Solstad Offshore

• Technip

Top clients

• Since 1990

• Since 2002

• 2014

• 9M 2015

• Since 1990

• Since 2002

• 2014

• 9M 2015

• Since 1990

• Since 2002

• 2014

• 9M 2015

70 99(2) 350(3)

278(3) 47 48(2)

18 2 4(2)

3 3(2) 11

Products overview: naval vessels

FREMM Frigate “Bergamini” Class

Italian Navy

Best in class in terms of endurance

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FINCANTIERI NAVAL VESSELS FROM THE YEAR 2000 ALREADY BUILT WARSHIPS, SUBMARINES AND SMALL COMBATANTS

Vessel Type Quantity Displacement (t) Speed (kts)

Cavour Aircraft Carrier 1 28,000 29

Horizon Class* DDG AAW 2 7,200 29

FREMM Class* Frigate 10 6,600 27

Freedom Class

US Navy* Littoral Combat Ship 10 3,200 40

P.71 Aircraft Carrier

India* Propulsion System Integration 1 4 LM 2,500 GT 2 shafts

Total 24

Vessel Type Quantity Displacement (t) Speed (kts)

Todaro Submarine 4 1,720 (submerged) >16

Vessel Type Quantity Displacement (t) Speed (kts)

Comandanti Class Patrol Corvette 4 1,600 >26

Abu Dhabi

UAE Corvette 1 1,650 >25

Falaj Class

Saettia Mk5 UAE Stealth 2+8 550 22

Total 7

Total 4

* International Programme

* Transfer of Technology

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FINCANTIERI NAVAL VESSELS FROM THE YEAR 2000 ALREADY BUILT PATROL VESSELS AND AUXILIARY VESSELS

Vessel Type Quantity Displacement (t) Speed (kts)

Saettia Mk2 IPV 5 400 34

Sirio Class OPV 2 1,600 >22

Malta Mk3 IPV 1 400 23

Iraq Mk4 IPV 4 400 23

CG SARS Turkey* OPV 4* 1,750 >22

Dattilo Class

Italian CG OPV 2 3,300 >18

Total 18

Vessel Type Quantity Displacement (t) Speed (kts)

Elettra Multirole Research Ship 1 3,000 >17

Deepak Class

India Fleet Tanker 2 28,000 20

“Prometeus”

Etna Class - Greece** LSS 1 13,400 21

BDSL

Algeria LPD 1 8,300 20

Total 5 * RMK Shipyard - **Elefsis Shipyard Transfer of Technology

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Contractual Delivery Date 16th Feb 2016 16th Feb 2017 16th Apr 2018 16th Apr 2019

Delivered

29th May 2013

(Muggiano

Shipyard)

Delivered

19th Dec 2013

(Muggiano

Shipyard)

Delivered

28th Apr 2015

(Muggiano

Shipyard)

Delivered

27th Feb 2014

(Muggiano

Shipyard)

Assembly

workshop

(Riva Trigoso

Shipyard)

Launched

13th Dec 2014

(Riva Trigoso

Shipyard)

F590

C. Bergamini

F591

V. Fasan

F592

C. Margottini

F593

Carabiniere

F594

Alpino

F595

L. Rizzo

8

Launched

19th Dec 2015

(Riva Trigoso

Shipyard)

F596

F. Martinengo

Cutting steel

(Riva Trigoso

Shipyard)

F597

Hull 6248

Order confirmed for F598 - F599

ITALIAN FREMM - “BERGAMINI” CLASS

FREMM Frigates for Italian Navy: Production Status at a glance

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SIGNIFICANT PRESENCE OF FINCANTIERI ENTRY MODES IN FOREIGN COUNTRIES

*accomplished

Construction

in the foreign

country

Award of construction orders from foreign

countries and delivery of “turn-key” vessels or

without and fitted-for combat system to be

installed in the receiver Country

Establish a local presence through the

acquisition of a foreign company in order to

design and construct ships locally

Construction

in Italy

Development of

the project in

Italy

Acquisition of a

shipyard for

local

construction

Establishment

of a partnership

/ agreements

with local player

• Establish a local presence through partnership

in order to design and construct ships locally

• Support foreign players in the design and

construction of ships providing Transfer of

Technology, training and components

Country Description International entry mode

1

2

3

• India

• Turkey*

• Greece*

• Perù*

• USA

• UAE

• Brazil

• Algeria

• Norway

• Russia

• UAE

• Perù*

• Malta*

• India*

• Iraq*

• Kenya*

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• Length overall

• Moulded breadth

• Design displacement

• Max speed at 100% MCR

88.40 m

12.20 m

abt. 1,620 t

over 25 knots

Supplier of a complete platform derived from the well

proven “Cigala Fulgosi” Class able to fit onboard a

complete new Combat System suite supplied by the

customer, in particular composed by new sensors

(3D search radars, ESM, HMS & TAS) and new

weapons (SSM, Secondary Guns & TLS)

ESTABLISHMENT OF A PARTNERSHIP / AGREEMENTS WITH LOCAL PLAYER: UAE

Program /

contract

Corvette “Abu Dhabi” Class

Role of

Fincantieri

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ESTABLISHMENT OF A PARTNERSHIP / AGREEMENTS WITH LOCAL PLAYER: UAE

• Length o.a.

• Moulded breadth

• Full load displacement

• Max speed at 100% MCR

about 55 m

8.60 m

about 520 t

over 21 knots

• Supplier of a two complete whole-warship units

derived from the well proven “ Saettia ” Class,

including a fully integrated new Combat System

suite

• Transfer of technology for the construction of four

additional units in a local shipyard

• Establishment of a JV between Fincantieri and a

local shipyard to pursue and manage newbuildings

contracts

Program /

contract

Role of

Fincantieri

Stealth Attack Craft “Falaj 2” Class

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ESTABLISHMENT OF A PARTNERSHIP / AGREEMENTS WITH LOCAL PLAYER: TURKEY (ACCOMPLISHED)

• Length overall

• Beam

• Full load displacement

• Top speed

88.4 m

12.2 m

1,700 t

22 knots

• Fincantieri provides the Turkish Coast

Guard with:

– Functional Design of the new

project (partly derived from SIRIO

class)

– Supply of Material Packages

– Transfer of Technology

– Technical Assistance to

Construction

Program /

contract

Role of

Fincantieri

Patrol Vessel - CG SARS

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ACQUISITION OF A SHIPYARD FOR LOCAL CONSTRUCTION: USA

Role of

Fincantieri

• Length o.a.:

• Beam

• Full load displacement

• Draft

• Top speed

• Propulsion CODAG

118.1 m

17.6 m

3,400 t

4.3 m

40+ knots

85 MW

• Fincantieri joined the Lockheed Martin LCS Consortium

in 2004 to provide HM&E Components and Design

Support

• In 12/2008 Fincantieri acquired a local shipbuilding

company and established Fincantieri Marine Group LLC

• Over the following 6 years Fincantieri invested over

$100 million in facilities improvements and transferred a

significant amount of process know-how and key

personnel

• As of 11/2015, 3 LCS ships have been delivered, 6

more are under construction and 3 additional are under

contract

Littoral Combat Ship Program /

contract

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FINCANTIERI IN THE USA - 2015

14

Other Locations Wisconsin

Miami,

FL

Fincantieri Marine Systems N.A.

Washington,

DC

San Diego,

CA Houston,

TX

Fincantieri Marine Group

Fincantieri S.p.A. (Rep Office).

Vard Marine

Chesapeake,

VA

FINCANTIERI employs 2,300+ people in the US in addition to 1,500+ contractors

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Overview

A Fincantieri Company, with Lockheed Martin as a minority

shareholder

Offers complete and cost-effective marine solutions

Investments in excess of USD100M in facilities

Large and experienced naval architecture and marine

engineering staff

Highly trained and skilled workforce, committed to safe

operation

Distinguished history of building quality ships

Marinette Marine Corp. (“MMC”) in Marinette, WI.

Founded in 1942. Built more than 1,500 vessels for

government and commercial clients

Bay Shipbuilding Co. in Sturgeon Bay, WI. Traces its

roots to 1918. Built 700+ ships

ACE Marine, located in Green Bay, WI. Center of

excellence for aluminum boats

Shipyards recent main programs

Littoral Combat Ship (LCS), one of the

main new programs for the US Navy

Advanced Scientific Exploration

Vessels for leading institutions such as

the ARRV and NOAA

Construction of Articulated Tug Barge

(ATB) units

Construction of Offshore Platform

Supply Vessels

Leader in repair and conversions of

ships on the Great Lakes

Response Boat – Medium for the Coast

Guard (delivered 184 boats program for

USCG)

Aluminum deckhouse for LCS

FINCANTIERI MARINE GROUP: A DIVERSIFIED BUSINESS PORTFOLIO

FINCANTIERI brought to the US a uniquely diversified business model

15

Bay Shipbuilding

.

Marinette Marine

Marinette Marine

.

.

ACE Marine

After Sales

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Operations MRO&C

Maintenance Repair Overhaul & Conversion

Conversions 1.Mid-life docking activities

2.Modernization

3.Platform Upgrade & Restoring

4.CS Upgrade & Restoring

5.Refurbishment & Revamping

Services ISS

In Service Support

1. Maintenance & Repair # Preventive # Predictive # Corrective

2. Change & obsolesc. Mng

3. Documentation Updates

4. Archives

5. Follow-on Training

6. Spare Replenishment

ILS

Integrated Logistic Support 1. Engineering Activities

# Logistic Engineering # BOM & Configuration # Manuals & Tech.Spec.

2. Provisioning Spare Parts # On Board # Ashore provisioning

3. Training # Base & Board Oper. # Computer-based

T[0]

Contract

definition Engineering Construction Delivery Service Support De-Commiss.

T[0]

Product Lifecycle Management

40 Years

First

Sea Going

Tender

Request

Contract

Signed

Start

Production

Hand

Over

De-Commissioning

In Service Support

Warranty

BUSINESS OVERVIEW

What Fincantieri could bring to Australia

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• Unique presence in all value added segments (Naval, Cruise, Ferries, Mega-Yachts, Repair &

Conversion, Offshore, Equipment & Systems, After Sales)

o Unique track record of naval vessels delivered for top client (Italian Navy and Coast

Guard, US Navy, United Arab Emirates Navy, Algerian Navy, Indian Navy, etc.) and

technological leadership

o Spectrum of well-proven and flexible ship designs

• Unique experience and commitment in technology and know-how transfer to build locally

o Whole warship program management to deliver on time and within budget

o Contribution to reduce overall program risk as Fincantieri does for USN (LCS Program) and

USCG (Response Boat Medium)

WHAT FINCANTIERI COULD BRING TO AUSTRALIA

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• Fincantieri, with the full support of the Italian Government and the Italian Navy, believes to

have both the pedigree to effectively manage the upcoming Australian Naval Programs SEA

1180 and SEA 5000 for which is fully committed

• Fincantieri is ready to establish strategic partnerships with the Australian Shipbuilding

Industries to maximising the possible benefits associated with this important economic sector

transferring its experience in conducting past and current shipbuilding programs in the

Customers’ Country

• Fincantieri could grant a business model of Prime Contractorship for the whole warship and for

after sales services for product lifecycle management (ILS and ISS), also having regard to the

model applied for the contract recently formalised with the Italian Navy for the renewal of the

Italian Fleet

WHAT FINCANTIERI COULD BRING TO AUSTRALIA