LATÉCOÈRE CONTINUES ITS TRANSFORMATION WITH A NEW PLANT IN BULGARIA

Following the start to construction of its smart factory in Toulouse-Montredon, Latécoère has now also laid the foundation stone of its new production plant in Plovdiv, Bulgaria at a ceremony attended by Latchezar Borissov, Bulgaria's Deputy Minister of Economy, Eric Lebédel, French Ambassador, Stéphane Delahaye, Chairman of the Franco-Bulgarian Chamber of Commerce, Damien Lamy, Regional Director, Offset and Compensations, Airbus and Thierry Mootz, Chief Operating Officer of Latécoère.

An integral part of the Transformation 2020 plan, the new plant is designed to meet a variety of challenges, including:

• Productivity: to more effectively coordinate the Group's industrial facilities by reorganizing them into competence centers that are best equipped to meet customer needs. The new small assembly production plant will also lead to greater flexibility for the Prague site, which opened in 2000;
• Client proximity: accompany its main clients in their international development strategy, including Airbus;
• Competitiveness: to increase production capacity in “best cost” regions to prepare for the future and position the company for new programs.

With a production floor of nearly 5,000 square meters, the new site will be dedicated to small assembly work for the Aerostructures division and benefit from around €15 million in investment over three years.

It will be accompanied by an ambitious employee training plan for a workforce of around 200 people in the first year, based on production forecasts for the Airbus programs.

Yannick Assouad, Chief Executive Officer, Latécoère, said: “In line with our commitments, we are forging ahead with our 2020 strategy. To obtain the best possible positioning with regard to future programs, the Aerostructures division is optimizing its industrial facilities and strengthening its ties with the world's leading manufacturers, including Airbus.”

“Airbus is eager to build on its long-standing ties with Bulgaria, which is why we are delighted to be working alongside Latécoère,” said Serge Durand Vice-President Airbus. “We wish this new Latécoère entity every success and are confident in the company's ability to respond Airbus' needs and priorities.”

“Latécoère's Plovdiv plant is a symbol for Franco-Bulgarian economic relations. Launched in Latécoère's centenary year, this plant marks the first step in the ramp-up of the aerospace industry in Bulgaria, which has set its sights on becoming a world-class aeronautical equipment manufacturing hub. A showcase for French technology around the world, Latécoère's leading expertise and powerful capacity for job creation make it an important partner for Bulgaria. As a tier 1 supplier to the world's major aircraft manufacturers, Latécoère can open the way for Bulgaria to a fast-growing global industry. I am very pleased that the Franco-Bulgarian Chamber of Commerce is supporting Latécoère as it sets up and develops in Bulgaria. The country has the right type of infrastructure, a high-quality workforce and partners capable of meeting the demands of a project of this scale. I wish the new Latécoère plant the best of luck and hope that it grows to become a benchmark industrial platform for the French aeronautical group!” said Vessela Todorova-Mosettig, Director of the Franco-Bulgarian Chamber of Commerce.

About Latécoère

Latécoère is a tier 1 partner to major international aircraft manufacturers (Airbus, Embraer, Dassault, Boeing and Bombardier), in all segments of the aeronautical market (commercial, regional, corporate and military aircraft), specializing in two fields:

• Aerostructures Industrial (65% of total revenue): fuselage sections and doors.
• Interconnection Systems (35% of total revenue): onboard wiring, electrical harnesses and avionics bays.

At 31 December 2016, Latécoère employed 4,338 people in 8 different countries.

Latécoère, a French corporation (société anonyme) with capital of €188,398,504 divided into 94,199,252 shares with a par value of €2 per share, is listed on Euronext Paris - Compartment B. ISIN codes: FR0000032278 - Reuters: LAEP.PA - Bloomberg: LAT.FP