1. Galileo Program Overview and Status May 2007 Eric Béranger

2. This document is the property of Astrium. It shall not be communicated to third parties without prior written agreement. Its content shall not be disclosed. Astrium Services 19/12/2006p2 History & political context of the Galileo program  Worldwide situation today:  Satellite navigation is dominated by the Global Positioning System (GPS, USA) and to a lesser extent by the GLobal Orbiting NAvigation Satellite System (GLONASS, Russia)  Both available systems are under military control and built predominantly to military specifications, civilian use is not commercialised with an absence of service guarantee and liability regime  China, Japan and India are also seeking to develop their own GNSS  A European vision:  The European Commission (EC) has decided in 1998, to develop its own (civil) system, in close cooperation with the European Space Agency (ESA),  Galileo is one of Europe’s most strategic and ambitious project in political, economical, technical and social dimensions Galileo aims at providing a global satellite navigation service for civilian and ‘governmental’ purposes under EU control

3. This document is the property of Astrium. It shall not be communicated to third parties without prior written agreement. Its content shall not be disclosed. Astrium Services 19/12/2006p3 Geopolitical impacts of Galileo  European countries participation:  EC: 27 Member States in charge of funding  ESA: 17 Member States (and in charge of development)  Non-European partners * :  U.S.: agreement concluded, GPS and Galileo will be interoperable, US will supply roughly 20% of Galileo components  China: GJU-National Remote Sensing Centre of China (NRSCC) agreement signed (19/09/03), potential involvement in the GSA  Israel: GJU-Israeli Industry Centre for R&D (MATIMOP) agreement signed (13/07/04)  Cooperation agreement signed with Ukraine (1/12/05), South Korea (January 2006) and Morocco (December 2006) and initialled with India.  Discussion under way with Argentina, Norway, Switzerland, Canada, Australia, Brazil and Saudi Arabia. Beyond Europe, Galileo will have a strong world wide impact on security & transport Participation of third countries is catalyst for further co-operation. *source: europa.eu, Memo/06/471, 8th December 2006

4. This document is the property of Astrium. It shall not be communicated to third parties without prior written agreement. Its content shall not be disclosed. Astrium Services 19/12/2006p4 Galileo System & Technical Principle  Satellite navigation pinpoints a location by measuring the distances to at least four known locations- the Galileo satellites- using small receivers  Galileo will be composed of three distinct segments and complemented by EGNOS: SPACE SEGMENT  A 30-satellites constellation over three circular orbits at an altitude of ~ 24 000 km  Navigation signal dissemination  A worldwide network of dedicated ground stations  System control & mission operations GROUND SEGMENTUSER SEGMENT  Handheld or integrated receivers, airborne equipment etc.  Positioning, navigation & timing information computation SPACE BASED AUGMENTATION SYSTEMS  European Geostationary Navigation Overlay Service (EGNOS): 3 geostationary satellites, a ground segment of 46 components deployed over 22 countries  Regional correction data sent to the users via the geostationary satellites As the precursor to Galileo, EGNOS will provide beneficial experience and will help market development

5. This document is the property of Astrium. It shall not be communicated to third parties without prior written agreement. Its content shall not be disclosed. Astrium Services 19/12/2006p5 Comparison with existing systems SatNav Systems GalileoGPSGLONASS Satellite Operational capability 20111994 (GPS III planned for 2012) 1995 Constellation 30 satellites27 satellites24 satellites Horizontal Accuracy 4 m (SoL DF)< 13 m57-70 m Vertical Accuracy 8 m (SoL DF)< 22 m<70 m Availability 99.5%94% (Russia) Integrity Risk < 2x10 -7 / 150secNA Time To Alert 6sec Continuity Risk < 8x10 -6 / 15sec  Galileo targets significant benefits to end users, in particular:  Improved positioning accuracy  Enhanced availability of navigation signals (more satellites, more signals)  System integrity features, i.e. the ability of the system to supply information on the dependability of the navigation information distributed

6. This document is the property of Astrium. It shall not be communicated to third parties without prior written agreement. Its content shall not be disclosed. Astrium Services 19/12/2006p6 Galileo services Free of charge, no integrity information, no service guarantee 2 additional signals, payment of a fee This service has to be certified by applying organisations (e.g. EuroControl for aviation) Under European governmental control, available in times of crisis, accessible to authorised governmental users only global reception and handling of distress messages Through its 5 services, Galileo is envisaged to serve both civil and governmental applications, bridging the gap between public safety, civil security and military markets

7. This document is the property of Astrium. It shall not be communicated to third parties without prior written agreement. Its content shall not be disclosed. Astrium Services 19/12/2006p7 Galileo Applications Main Market SegmentsRelated Applications Information & navigation services, Emergency Assistance, mobile payments Location Based Services Ocean & inland navigation, vessel traffic mgt, harbour operations, search & rescue operations, Maritime Train signaling, traffic and asset management, track construction & survey, passenger comfort Rail Route guidance, fleet management, real-time traffic information, electronic charging, emergency calls, Road OS OS / CS Precision agriculture, oil & gas exploration, fisheries, telecom network synchronization, bank & insurance Professional OS / CS Assistance to ground operations, take-off, en-route flying and precision approach for increased safety Aviation SoL Law enforcement, boarder control, peace keeping, surveillance, emergency operations Security PRS Service

8. This document is the property of Astrium. It shall not be communicated to third parties without prior written agreement. Its content shall not be disclosed. Astrium Services 19/12/2006p8 Phases of the Galileo Program PhaseObjective Definition Basic specifications  Galileo Mission Requirements Document Development (GSTB) & Validation (IOV) Validation of the system design through the Test-Bed phase (2 satellites) followed by In Orbit Validation (4 satellites + associated ground stations) Deployment (FOC)Full deployment of the remaining 26 satellites and the ground infrastructure Operations Operational service provided by a private “concessionaire” for 20 years DEVELOPMENT & IN-ORBIT VALIDATION (IOV) - €1.5bn DEPLOYMENT €3.4 bn OPERATIONS ~ €220m/year Concessionaire (PPP) DEFINITION €100m EC/ESAGalileo Joint Undertaking / GSA 20322008/92012 … 2003 1999 TIMELINE Timeline and risks need to be carefully managed. Considering the GPS modernisation, a delayed operability would be detrimental to Galileo’s success in the international market for satellite navigation. ESA

9. This document is the property of Astrium. It shall not be communicated to third parties without prior written agreement. Its content shall not be disclosed. Astrium Services 19/12/2006p9 Current Status & Next Steps  Major achievements of the program  GIOVE-A was launched from the Baïkonur cosmodrome on 28 December 2005  05/12/2005: Agreement on the location of companies, centres and facilities  Nov/2006: Signature of the Shareholder agreement by the 8 members of the Merged Consortium  29/11/2006: Agreement on the core elements of the concession contract (Heads of Terms)  01/01/2007: The GNSS Supervisory Authority (GSA) took over from the Galileo Joint Undertaking (GJU)  28/03/2007: Incorporation of EURO GNSS SAS in Toulouse (former Galileo Operating Company)  Failure in the Concession Contract Negotiations  Difficulties to find an agreement on risk sharing between Public and Private sector  Unclear roles and responsibilities distribution in public governance  Technological complexity underestimated  Retained Scenario  Immediate implementation of EGNOS through a specific concession  2008- 2012: Public sector will endorse the continuation of the Galileo project until FOC  2010-2030: PPP for the procurement of remaining satellites, if any, and the exploitation, operations and maintenance of the infrastructure  Changes to avoid any other failure  Public sector: Restructuring of public governance in the EGNOS & Galileo programs  Private sector: Robust and fair competition to improve efficiency