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Thales and the NATO Consultation, Command & Control Agency (NC3A) have signed a
series of major amendments to the SATCOM & CIS services to support ISAF extension
contract. Signed at NATO HQ in Brussels, these extensions to the initial contract call
for Thales to significantly increase the capacity of the network to accommodate 50%
more users. In addition, Thales will assume new responsibilities as end-to-end
logistics operator. This project further demonstrates the company's ability to deliver
innovative service solutions in response to the unique operational requirements of
each customer.

Initiated in December 2006, the FOC+ contract1 calls for secure voice and data
communication services to support the International Security Assistance Force (ISAF) as it
expands operations in Afghanistan. Thales is responsible for the provision, operation and
maintenance of a complete network that will be progressively deployed to more than 64
points of presence (POPs) throughout the theatre of operations (ISAF HQ, regional centres,
provincial reconstruction teams, etc.).

The recent amendments reflect the ability of stakeholders to take account of permanent
changes in the operational environment in the theatre since the initial contract was signed. In
response to these changes, Thales has demonstrated the highest levels of flexibility to
provide the level of service required by users in the field. As the local situation continues to
evolve, the number of users has now increased to more than 50% above the initial
requirement.

In addition, Thales is responsible for additional cabling, installation of D-LOS2 links, new
equipment rooms and coordination of civil engineering work on a local basis.

"More than ever before, the ability to provide logistics support and services for defence and
security forces in the theatre is one of Thales's most important challenges," says Laurent
Maury, Vice President Customer Service & Support at Thales's Land & Joint Systems
Division. "This contract illustrates one of the major trends among Western armed forces
today: faced with stricter public spending policy, they must find new ways to pursue their

1 Full Operational Capability+
2 Digital line of sight

missions within a more limited budgetary framework. By developing innovative services - as
illustrated by the NATO project in Afghanistan - Thales can help its customers to adapt to
this new environment and be more effective than ever, despite limited financial resources."

End-to-end logistics management

In addition to network installation, management and maintenance, Thales is also responsible
for the entire logistics chain, including transfer of all equipment for the in-theatre information
and communication network, as specified in the ISAF FOC+ contract. The equipment is
prepared at Thales's Cholet facility in France and transferred to more than 64 sites across
Afghanistan.

In all, more than 350 shelters (20-foot ISO containers) containing approximately 2,000
tonnes of equipment have been shipped to date, 80% within the first five months. To meet
these challenges, Thales conducts transport operations via land, air and sea, as well as a
logistics platform in Dubai, United Arab Emirates.

State-of-the-art technologies are used to track the containers throughout the shipping phase
to final destination in order to ensure the highest levels of security and trust.

About Thales

Thales is a leading international electronics and systems group, addressing defence,
aerospace and security markets worldwide. Thales's leading-edge technology is supported
by 22,000 R&D engineers who offer a capability unmatched in Europe to develop and deploy
field-proven mission-critical information systems. To this end, the group's civil and military
businesses develop in parallel and share a common base of technologies to serve a single
objective: the security of people, property and nations. The group builds its growth on its
unique multi-domestic strategy based on trusted partnerships with national customers and
market players, while leveraging its global expertise to support local technology and
industrial development. Thales employs 68,000 people in 50 countries with 2007 revenues of
€12.3 billion.