21 - 2020 INTEGRATED REPORT VISION AND STRATEGY INTELLECTUAL CAPITAL Almost 400 new patent applications in 2020, of which 25% in key digital technologies. 6% of revenue invested in self-funded R&D. Thales once again ranked in the Top 100 most innovative companies in the world by Clarivate Analytics for the 6 th consecutive year. HUMAN CAPITAL 7,427 new recruits, of which 31% were women. 3.30% absenteeism rate worldwide. 50% women on the Board of Directors. The Group has operations in more than 70 countries . Ranked 3 rd preferred company by engineers (Universum France 2020). ENVIRONMENTAL CAPITAL Decrease of 35% in direct CO 2 operational emissions, compared to 2018 (scopes 1 & 2 and business travel). Decrease of 29% in absolute indirect CO 2 emissions, compared to 2018 (use of products and services sold and purchases of goods and services). 27% of electricity from renewable sources and a decrease of 7% in electricity consumption compared to 2018. 44% of new eco-designed products (target of 100% in 2023). 60% of non-hazardous waste is recycled, up by 5 points since 2018 (target of 75% in 2023). SOCIETAL CAPITAL 69% of purchases made from European suppliers, of which 38% from suppliers in France. €264m income tax (average rate of taxation: 23.1%). €292m invested in solidarity funds by more than 20,000 employees through Thales savings schemes (PEG and PERCO schemes). In 2019-2020, 11,270 employees were trained in the fight against corruption and influence peddling. Leading French contributor to MicroDON’s “Rounding up salary” initiative (by amount raised and number of donors). FINANCIAL CAPITAL Strong generation of free operating cash flow despite the crisis. Strong improvement in the EBIT margin of the Transport (+2.4 points) and Digital Identity and Security (+2.2 points) segments. Solid governance that is adapted to current and future challenges Ethics, integrity and responsible conduct are central to our model Solutions to contribute to ecological transition A responsible and ethical company Aeronautics Defence Security Ground transportation Space Markets sharing many technologies variety of clients and markets Our achievements in 2020 4 strategic assets Mobile connectivity and multiplication of cyber threats Increase in the impact of artificial intelligence Global competition for talent Exceptional R&D at the heart of a global innovation ecosystem A unique portfolio of digital competencies An in-depth knowledge of its markets A global footprint