1. Presentation Loading… 12%16%18%21%26%42%52% 63%78%96%100% Innovation: The Key to Driving Strategic Growth © 2009 Frost & Sullivan. All rights reserved. This document contains highly confidential information and is the sole property of Frost & Sullivan. No part of it may be circulated, quoted, copied or otherwise reproduced without the written approval of Frost & Sullivan Click on screen once to start presentation…

3. The Technology Perspective of the Complex Business Universe The CEO’s Perspective of the Complex Business Universe Political & Regulatory Emerging Opportunities Cultural Growth Functions Growth Team Growth Process Career Development Non Customer Demo- graphics Behavior Competitor’s Customers In-Direct Competition Competitive Strategy Competitive Benchmarking Emerging Competition Country Risk Economic Trends & Issues Economic Threats Economic Trends Emerging Technology New Applications Disruptive Technologies Industry Expansion Potential Industry Convergence Industry Shifts External Industry Impact Industry Integration CEO TECHNOLOGY BEST PRACTICES INDUSTRY GLOBAL CUSTOMER ECONOMIC COMPETITIVE

4. The MENASA region is projected to overtake the US as the world’s 2nd largest economy by 2050 The world in 2050 GDP (US$ trillions at 2007 prices) MENASA includes countries from Middle East, North Africa, Pakistan and India Middle East : The Rising Economic Super Power Yemen The world in 2008 GDP (US$ trillions) 0 3 6 9 12 15 18 EU 15USJapanChinaLatin America* MENASA*Southeast Asia

5. The Tectonic Shifts in Manufacturing

6. The Tectonic Shifts in Services

7. The Tectonic Shifts in Technology

8.  76% of the aluminium produced in ME is exported in the primary form.  85% is percentage of aluminium expected to be exported by 2030  542 Billion USD is the money value of pure energy exported every year  1266 Billion USD is the money value expected by 2030  20 Billion USD worth of competitive edge is being exported purely from a power perspective  46 Billion USD is the competitive edge expected to be exported, which is almost 2 times the GDP of Bahrain  Middle East is challenged by three interlocking crises:  Pure Energy Being Exported  Minimal Existence of Downstream  No Economic Value-add Is Middle East Exporting Pure Energy? The Middle East Region is Currently Challenged by the Minimal Existence of the Downstream Industries The GDP of Bahrain is a comparison with the 2008 real GDP Energy Exported No Downstream No Economic Value-add

9. Aluminium Downstream: A Value Stream Mapping Bauxite Alumina Pure Al (LME) Ingot (LME+50) Re. Al (80%LME) Can (LME+1000) Cond (LME+450) Foil (LME+1150) 1400 +30 LME cost of Al/Tonne is considered as USD 1900 + 100 +550 +250 +125 The cost of production and the selling price reflected here clearly indicates that the return-on- investment betters as the value of the product gets furthered. Middle East should bring out downstream products to add more value to the economy Selling Price is Indicated inside the shapes Cost of Production is indicated in black in USD/Tonne Billet (LME+150) + 100 +450 +750 Values provided here are tentative and can vary according to process and parameters Sheet Coil (LME+800) Slab (LME+150) Rod (LME+225 Extrusion (LME+700)

10. 10 Latest Technologies using Aluminium Technology DescriptionDeveloped by Developed composite foams provided higher strain rate sensitivity and weight reduction when compared with the conventional foams. These composites displayed superior compressive properties and energy absorption capacity. Central Metallurgical Research and Development Institute, Cairo, EGYPT Developed novel high-strength alloy system to replace the conventional alloys used for enhancing wear resistance applications. In addition, A thorough dislocation analysis had also been undertaken on these alloys to identify the mixed dislocations and active slip systems. Dartmouth College, New Hampshire, USA Developed slurry technique and gas phase aluminizing technology in repairing and regenerating turbine blades used in jet engine and gas turbines. This technique has been successful in overcoming the brittleness of Ti-Al phase while the addition of gas phase aluminizing method has eliminated all the limitations involved with slurry coatings. Silesian University of Technology, POLAND Composite foams for Biomedical and Transportation Spinodal microstructure for Wear Resistance Alloys Aluminide Coatings for Aerospace

11. 11 Petrochemical Industry Value Addition Opportunities

12. 12 Renewable Energy- Opportunities for Global leadership through Innovation Comparison of costs (MENA) by Generation Type

13. 13 Evaluation of Technology in Middle East  Possibility of Licensing Technologies through International Collaboration or Strategic Partnership  Significant value-addition based on process economics  Relative Low cost of the available feedstocks  Excellent infrastructure for energy distribution and other correlated sectors  Inadequate quality of human resources to handle the processes  Weak R&D sponsorship by both Industry and the Government  Lack of Self-developed specialty technologies for value- added products  Globalization and WTO promoting technology adoption  Increasing Research activities by the public and the private Research Centres  Huge investment opportunities available for value- adding specialty technologies  Incentives offered to entities dedicated to technology development in obtaining feedstocks  Energy and Carbon Taxations  Development of alternate feedstocks to oil and gas – China’s Coal based Technologies  Development of alternate and competing petrochemicals  Increasing Governmental Regulations on technological investments WeaknessesStrengths OpportunitiesThreats

14. 14 Action Path Regulatory Support Local Products for Global End- user Apps Investments across the Value chain Human Capital Management R & D to increase efficiency Cultural & Mindset Shifts “Towards Growth through Innovation

15. 15 Innovation Metrics What doesn ’ t get measured doesn ’ t get done!!!!!!!

16. 16 Innovation from the Region- A Global Success Story! Sensors and Automation at Dubai Buildings Control Center Verifies and Reports Alarms in 2 Minutes Government Safety Agencies and First Responders Government Safety Agencies and First Responders Safety and Security Fire Alarm System Smoke Control System Fire Extinguishing System Access Control Elevators, Water Level Safety and Security Fire Alarm System Smoke Control System Fire Extinguishing System Access Control Elevators, Water Level Internet, 3G, 4G, Satellite, M2M Networks for Secure Alarms, Building Information, and Database Systems Dubai Civil Defence, Fire Fighters, First Responders, Paramedics

17. 17 Your Strategic Partner in Success