1. Investment support systems – Poland and European Union Paul van Kooperen Managing Partner PNO CEE 14th June 2012

2. About us in Central Europe 2 public funding and investment landing solutions © PNO CEE 2012 Solutions from Baltics to Balkans 10 offices in 7 countries, 80 professionals 30 year experience in EU/10 years in CEE over 1.000 clients independent positioning

3. We are proud to serve …………….. 3 © PNO CEE 2012 our international clients

4. Research & Development Strategic Investments – green fields Access to networks Corporate Social Responsibility Investment financing Government Relations Management Areas of interest © PNO CEE 2012 4

5. The European Union © PNO CEE 2012 5 27 countries (member states) 1 legal framework 1 framework on state aid (grants & incentives) Each member state can set its own FDI-support policy within the legal framework Within the EU free movements of goods and people Currency union (Euro) in the largest part of the economy

6. Poland © PNO CEE 2012 6 +4.3 % GDP growth in 2011: best in EU Strongly improved legal framework Generous+accessible FDI-support policy Well educated and eager work force Good (technical) education infrastructure Cities: good quality of life

7. Energy 1 ThemeGovernmental policyAmbitions company Energy savings Durable economy Decrease of congestion ( CAPEX and OPEX) Efficiency improvement Operational best-in-class More production with less energy Green energy/bio based Smart logistic concepts 3 Environment 2 Decreasing environmental pressure Reduction of emission to air, soil, water, sound ( CAPEX and OPEX) Durable product development (cradle-to-cradle) Corporate Social Responsibility Public funding areas Europe as most competitive economy Stimulating technological innovation and world class production (R&D expend & CAPE X) Claim position as segment leader Accelerate time-to-market Competitive product offering Innovation&Wo rld class prod 4 Labour & education Increasing employability of low qualified people (OPEX) Upgrading Professionalcapabilities of employees © PNO CEE 2012 7

8. 8 Public funding areas Have a look at the hand-outs available to you

9. FDI trajectory 9 Opportunity/ urgency Orientation/ Business planning Decision Investment preparation Investment realization Investigate business opportunities Initial awareness: Location choice Grants/ incentives Prepare for a Safe Landing of your investment GO/NO GO360 finance arrangement Location permits People Financing & Transactions process Realisation process grants / incentives Landing the investment: location, legal, tax; accounting; payrolling; sourcing © PNO CEE 2012

10. Strategic production/R&D location Poland © PNO CEE 2012 10 Profile: Austrian investor; +1000 staff; global producer Global sales Development and production of construction materials Large construction projects Investment project: Green field operation for production and R&D Wage advantage (2/3 of W Europe) Investment in a growth region including Russia, Ukraine Close to big W European markets

11. Strategic production/R&D location Poland Challenge: to apply for the grant before any constructions starts (time spent waiting for an application call) regional business restructuring to maximise granting opportunities to comply with grantor requirements, especially on suppliers and contractors selection Result: 7,2 mln cash granted (40% of the capex) project realised between June 2009 and Sep 2011 effective cash received from the grantor 7,05 mln © PNO CEE 2012 11

12. Strategic expansion production location West Poland © PNO CEE 2012 12 Profile: Dutch investor; multinational, bakery products; In Poland distribution company 1st phase Eur 15 Mln in production lines Biggest market: Germany; Poland expansion market Investment: Greenfield production location Wage advantage (2/3 of W Europe) Investment in a large growth market Close to biggest W European market

13. Strategic expansion production location West Poland Challenge: Find a suitable location in a short time frame close as possible to its biggest market close to motorway infra availability of qualified work force optimal incentive package Result: Location selection within 2 months Matching tax incentive package within 3 months 50% Tax Benefit on a 15 Mln investment+ option for a 50% expansion. © PNO CEE 2012 13

14. Summary: why Poland Excellent entry into Europe Well educated, skilled and hard working Competitive FDI grants & incentives for production, R&D and service centers Part of the worlds largest internal market Strong performing internal market Low Corporate Income tax: 19% Consistently climbing the ranks of Transparency International (now 5.5) © PNO CEE 2012 14

15. PNO Central and Eastern Europe Poland: PNO Consultants Sp.zo.o Ul. Ostrobramska 75 C 04-175 Warsaw Paul van Kooperen, Managing Partner Mobile: +31(6) 31 975 642 Skype:paul.van.kooperen E-Mail:paul.vankooperen@pnocee.compaul.vankooperen@pnocee.com www.pnocee.com www.greenmulberry.com 15 © PNO CEE 2012