1. Buildings Business Chris Curtis President & CEO Buildings Business
Schneider Electric
June 2009

2. We help the best buildings in the world get that way.

3. Agenda Schneider Electric’s Buildings Business
Our customers’ top challenges
Our solutions to these challenges
How we deliver these solutions
EcoStruXure and the future of the Buildings Business

4. Schneider Electric is well established in Buildings with these well-known brands
This slide has no build, the multiple brands morph to the Schneider Electric brand platform.

5. Buildings is integral to the Schneider Electric offer
Reliable
Safe
Efficient
Productive
Green IT
critical power & cooling
Power
low
& medium voltage
power
Industry
industrial automation & control
Buildings
building automation & security
How to read this graph
Left column, from top to bottom = end markets: Energy & infrastructure, industry, data centres, buildings and residential
Top, from left to right = values for customers.
Size of the bubbles = what market they cover
Ex: Installation systems & control makes energy safe, efficient and productive in the residential market
Solutions and energy efficiency are a combination from our different activities potentially covering all the values and all the markets depending on the market segment
We started in the field of Power & Control, making energy safe and productive.
Based on this sound know-how, we developped:
Automation everywhere, spreading automation in homes and buildings, even proposing security systems to cover the whole building management. (TAC by Schneider Electric, Mertern, Clipsal, …)
Reliable energy with critical power & cooling, especially for critical applications like data centres and hospitals where the slightest power outage can be dramatic
We recently entered the renewable energy market with solutions to connect renewable energy sources like photovoltaic or wind turbines to the power grid in an easy, reliable and cost-effective way
Solutions & Energy Efficiency
Historical presence
New businesses

6. Buildings solutions delivered globally
Our systems are found in over 150,000 installations, on every continent.
120-year history in building automation, access control and security.
Over 8,000 employees worldwide.
Offices, branches and partners in:
Americas – Dallas, TX, USA
Europe – Malmö, Sweden
Asia-Pacific – Hong Kong
Global Manufacturing
Revenue Distribution by Region

7. The results
Most profitable, fastest growing
building automation company
Significantly stronger organic growth than industry average
Well integrated, strategic acquisitions
Andover Controls
Invensys Europe (Satchwell)
Invensys Americas (Siebe)
Pelco

8. Our customers’ top challenges
Cost of energy in the building
as a key operational challenge
Connectivity
too many disparate systems in the building
Total building life-cycle costs
due to the increasing complexity of building operations
Security
as a growing concern

9. The energy dilemma is here to stay
The facts
The need vs
Energy demand
By 2050
CO2 emissions to avoid dramatic climate changes
Source: IEA 2007
Source: IPCC 2007, figure (vs level)
Energy management is the key
to address the dilemma

10. Life-cycle cost of a building
An integrated system can reduce ongoing operational costs by up to 36%

11. Multiple silo systems in the building
Multiple networks from multiple vendors
Too many systems to learn
Complex troubleshooting
Silo systems add:
√ CapEx
√ OpEx
√ Obstacles to achieving energy efficiency
The Integration Difference
One click animation starts, the three parts to multiple systems fade away one after another. The integrated system fades in after the other 3 dissapear.

12. The integration difference
Integrated building infrastructure systems enable:
Shared Operating Data between Systems via a common Interface
More Productive and Responsive Staff
Centralized Services that Reduce Costs
Lower Cost of Network Ownership
What gets Measured gets Managed
The Integration Difference
One click animation starts, the three parts to multiple systems fade away one after another. The integrated system fades in after the other 3 dissapear.

13. You can’t manage what you don’t measure
Intelligent buildings demand a new approach to:
Design and Construction
Operation and Maintenance
Empowerment of Human Action
This Calls for a New Social Order
in Buildings

14. Intelligent buildings are the only way to solve the energy efficiency challenge
Intelligent buildings successfully converge data, voice and video with security, HVAC, lighting on a single network platform
This is great opportunity to think and act in new ways
- That deliver improved results
Economically – Save Dollars
Technically – Save Time
Socially – Save Planet

15. Customer sound bites Research Hospital Financial Services Company
“We have a lot of projects going on at once... getting it done at the same time effects the Operating Rooms and the ongoing generation of this critical revenue stream. Minimal downtime is extremely important.”
Financial Services Company
“We have a 7 days a week, 365 days a year, 700,000 square foot facility. Maintaining all of our diverse systems is a challenge. One of the guards discovered that the temperature was rising in one of our server rooms. Our server rooms generate more dollars an hour than I can mention. Our TAC system sent an alarm and without any technical knowledge he responded appropriately. This action saved our company millions of dollars.”
For the Research Hospital the speed of delivery is very important. Keeping the systems running not only protects their revenue from the operating rooms but also ensures patient comfort and the hospital’s identity as world class healthcare provider.
For a Financial Services Company money is everything and protecting their money is key to their success. Our systems enabled a person with no skill or knowledge of what we protect to save the day. 15

16. Customer sound bites University Premier Commercial Asset Storage Hotel
“We have 60 buildings connected to the TAC system. This integration has provided a very consistent interface and we are now able to troubleshoot through a building extremely fast.”
Premier Commercial Asset Storage
“Our TAC solution is a core part of the way we operate and the way we deliver our promise to our customers. Our business model today would be difficult to operate without that level of integration.”
When a problem in a building occurs fixing it fast is always the desired result. But sometimes find where that problem exists can be difficult, especially as every building is different in some unique way. By integrating all the systems in to one platform, with one common user interface, engineers are instantly familiar with the system and go straight to the problem at hand extremely fast.
For this Commercial Asset Storage company a system that could integrate to their back office systems was key. The ability to have a direct synergy between the Access Control system and the Financial system enables this customer to effective add, change and remove clients from their facility in a very simple way – one process, one click of a button.
The number one driver any hotel is simple: guest satisfaction; therefore having uncomfortable guests is not acceptable. With an intelligent building solution a lot of problems can be predicted ahead of time, ensuring the customer never sees the problem.
Hotel
“A major value delivered by the TAC system is increased guest satisfaction. This is central to delivering on our mission.” 16

17. Customer sound bites Municipality
“By 2020 we have committed to reduce our energy consumption by 50% from our 2001 benchmark.”
“When we integrate everything in one package we received a 10% CapEx cost reduction. Making the right decision at the beginning it’s much cheaper than having to achieve this in a second phase.”
“From 2001 to 2007 TAC has helped us reduce our energy consumption by approximately 35%”
Managing a large portfolio of buildings over a large area is usually a challenge for any local or federal government but add in the need to reduce energy costs and the size of the problem magnifies. This particular client set themselves a very tough goal: reduce our energy consumption by 50% from 2001 to 2020.
By utilizing the full capabilities of the TAC system they were able to reduce their energy consumption by 35% already; half way to their goal. 17

18. Convergence in practice
Mixed Use Shopping Mall
Customer Benefit
BMS
Access Control
CCTV
Lighting Control
Power Distribution
UPS
Facility Management
25% reduction in energy costs
€120 million reduction in investment costs
45% less power consumption
€500k savings in cabling savings
Easier management due to one service contract for the whole facility
Idea Park is a new indoor retail and leisure complex with over 170 stores and a combined 1200 seats in all the various restaurants. With an facility this large the challenge is keeping costs down (especially energy costs) and customer satisfaction high. For this reason Idea Park turned to TAC for help in three areas:
Help us reduce our energy consumption
Make us more attractive to shop tenants
We want one service contract for the entire facility 18

19. Convergence in practice
Air Force Base
Customer Benefit
470 square miles, larger than LA!
19 runways, including the country’s longest
High security
Power Monitoring System
Over 100 Power Meters
$20 million electricity bill per year
Reduced energy consumption in line with federal mandate
18% energy reduction in 2007
Moment-by-moment analysis enables:
Less downtime
Fewer wide-spread outages
Track influencing factors
Imagine looking after the power demand for a 301,000 acre Air Force Baes; then add in complexities of a high-level testing research facilities. As you can understand the need for always on power at this site is critical.
One of the many benefits from the TAC system is the moment by moment analytics that provides the site personnel detailed data of what is happening. Allowing them to make real time decisions on what to shut down and what needs maintaining. 19

20. Convergence in practice
Mixed Use Shopping Center
Customer Benefit
BMS
Access Control
Intruder Detection
IP CCTV
Pedestrian Counting
Tenant Information
IT Infrastructure
LAN
Wireless
Cellular
CapEx reduced from one common IP network
Proactive theft prevention via streaming video to shop units
Tenant billing based on real time energy data
Shopper analytics
Increased revenue opportunity through lease/use fees of common IP systems
The St.David’s shopping centre is a new concept for building systems procurement, delivery and execution. The main contractor wanted three subcontractor. A traditional Electrical, a Mechanical and then a Technology contractor; TAC is that contractor. Supplying all our usual array of intelligent BMS devices plus some of the more IT based systems for the entire facility: the IP structured cabling, the Wireless network and even the cellular network throughout the shopping centre.
The benefits for the customer range from increased revenue opportunity through lease of the common IP systems to CapEx reduction from one IP network.
Plus it provides a very flexible system that can grow and morph over time. 20

21. Summary of value to our customer
Lower initial capital expenditures of up to 24%
Reduce ongoing operating expenditures of up to 36%
Significantly reduced energy usage
Improved business performance
Additional revenue opportunity
Increased employee productivity
Improved guest experience
Ability to meet environmental goals
Loss reduction
Revenue protection 21

22. How we deliver these solutions
Measurement
People
Strategy and Offer
Technology

23. Measurement is fundamental to energy efficiency
Measuring and Data Collection 1
Feedback to user to change human behavior 5
Slide appears with title and “Measuring and Data Collection” Up only.
On clicking remaining light green area ‘two’ fades in.
One second click entire orange section ‘three and four’ fades in.
One Third Click dark green area ‘five’ fades in.
Real Time
Data Integration
Optimize through automation & integrated control
Monitor, maintain, improve 2 3 4

24. Our people
Broad and deep knowledge and experience in all building disciplines
Design, Project Management, Operational Efficiency, Security and Environmental
Our solutions are driven by the business needs of our customers
We listen and deliver measurable value as defined by the customer
Our approach delivers solutions that help manage buildings simply and effectively throughout the building life cycle:
One design team, one installation team, one service team
Experts in energy efficiency
Largest group of energy experts in North America

25. The Buildings strategy and offer
Extended Services
Convergence area
Building Management Consulting
24/7 Monitoring
Energy Efficiency/ Performance Contracting
Power Monitoring
Control Systems
Building Automation Systems
Lighting Control
Active Access Control
Biometrics
Network
Digital Video Recorder
Video Analytics
Life Safety Systems
White Space Management
IT Applications
Network Management Systems
Systems and Services
Equipment & Infrastructure
Emergency Power Supply Systems
Utilities
Chillers
Boilers
Air Handlers
Lighting
Locks
Doors
Gates
Man-traps
Cameras Housings
Fire & Smoke Detectors, Sprinklers
Servers Computers
Wiring Closet
Routers Switches Phones
Background grid, Green services arrows and bottom categories are visible.
On first click Equipment & Infrastructures row fades in.
On second click Systems and Services row appears.
On third click gray headers appear at top of graph.
On fourth click convergence area appears.
Power
HVAC
Lighting
Access
Video Security
Life Safety IT
IP Technology

26. Technology – Four cornerstones
Pushbutton Engineering Easy to use, quick to engineer and maintain
Pushbutton Engineering IT
Proficiency
Multiple Views
IT Proficiency
Easy to integrate and share data, Fully embraced by IT decision makers
Multiple Views Information customized for every level of the organization on your cell phone or your desk computer
Scalability
Slide has no build.
Scalability
Affordable consistent capability from small to enterprise wide installations

27. Technology – Next milestones
Web Services - enables seamless migration of the complete Schneider Electric offer inclusive of strategic partners (eg. Cisco, IBM) in the EcoStuXure/Buidling solution
End-to-end energy management - extends the concept of energy management up and down the demand chain, from low voltage to web based analysis providing actionable data to achieve Energy Efficiency
Scalable platforms -Neil Rasmussen
Sr. VP of Innovation
APC by Schneider Electric
June 3, 2009
that can be deployed in very small or very large enterprises – all with common code base, communications standards and consistent user interface. This creates additional CapEx and OpEx savings
Integrated video, video analytics and access control – providing improved security while at the same time delivering energy savings through occupancy based control
Wireless - We are pioneering the development of wireless capabilities

28. Delivering value to our customers
A world class team of building experts
We listen first and then we deliver real solutions
throughout the building life cycle
Converge building automation and IT systems
Many parts work together
Measure and control power
Drives energy efficiency
Make buildings comfortable and safe
Increases people productivity and maximizes asset value
This brief description is designed to give people a quick, general overview of what we do.
A building is the best example, as it offers the broadest presentation of our portfolio.
Business Results
Lower CapEx, Lower OpEX and improved business performance

29. for buildings Making the parts work together for energy efficiency
Building management
HVAC control
Lighting control
Access control
Making the parts
work together
for energy efficiency
Security
Electrical distribution
Energy monitoring
Motor control
Critical power
Renewable energies
Simple Integration
Interoperability and openness to third party systems