PRESS AND MEDIA RELEASES

Ottawa, Canada, January 31, 2012 – Over 120 business people representing 100 companies from across Canada attended a major Suppliers Meeting sponsored by Nexter at the Fairmont Chateau Laurier in Ottawa today. The meeting brought together companies Nexter is seeking to partner with in the event of a successful bid on the CCV program.

Through the CCV program, the Canadian Forces will acquire 108 vehicles with an option for 30 more. A decision on the $1.2 billion is expected later this year.

A team of senior officials from Nexter led by Philippe Burtin, President and CEO of Nexter, were on hand to provide information on the company, its growing global presence, its strategy on the CCV Program, the In-Service Support contract and Nexter’s commitment to Canada’s Industrial and Regional Benefits policy. Of particular interest to the potential Canadian partners were the details on Nexter’s two bids which involve variants (25 mm and 30 mm turrets) of the VBCI (Véhicule Blindé de Combat et d’Infanterie) and advice on doing business with the company.

The meeting was a real success. Nexter's team was delighted with the strong turnout and level of interest and enthusiasm expressed by these companies. As company officials expressed during the gathering, Nexter is dedicated to creating jobs in Canada and to the transfer of technology. Should Nexter be successful, the VBCI will be produced in Canada by Canadians working in small, medium and large companies from coast to coast. The project will build on the tremendous skills and talent which already exist here in Canada and add new technologies to an already impressive defence industrial base.

The Suppliers Meeting was the culmination of almost two years of work which involved Nexter officials travelling across the country to meet one-on-one and identify companies that would be appropriate partners. As the Nexter President noted, during that period, Nexter reps made contact with companies that produce everything from tires to batteries, suspension systems, drive lines, engines, metal cutting and machining companies – everything from electronics to braking systems.

It is anticipated that a Nexter win on the CCV program would support 1600 jobs during both manufacturing and support phases of the contract. In addition, Nexter would expand its subsidiary, Nexter Canada Inc, which it created last year for the purposes of managing and administering the CCV contract.

In his concluding comments at the suppliers meeting, Burtin reminded his audience that “we must never forget that this project involves the important task of protecting the lives of Canadian soldiers. We at Nexter are committed to bringing the very best we have to offer to this task. I know from our previous contacts with you and from our discussion today that we share a similar commitment to excellence.”

Thirteen VBCI armored infantry fighting vehicles of the French Army have been deployed in Lebanon since September 2010. A year after their arrival, initial conclusions are very positive.

Under the colors of the United Nations Interim Force in Lebanon (UNIFIL), the VBCI undertakes surveillance of the demarcation line between Israel and Lebanon, the protection of French military outposts, and the establishment of patrols in the French area of responsibility.

Better perceived by the public that the AMX 10P it replaces, the VBCI is also more efficient. Its 8-wheel drive allows the Force Commander Reserve (FCR) to intervene throughout southern Lebanon, on rough terrain as well as on roads, without degrading highways, and with relatively low noise.

With its armor protection, capable of withstanding medium-caliber rounds as well as shrapnel, the VBCI also offers better protection for the crew against mines and improvised explosive devices.

The VBCI has also been deployed since June 2010 in Afghanistan. In Lebanon, it has demonstrated its ability to adapt to very different theaters of operation.