Table of contents ANNUAL REPORT 2014

ANNUAL REPORT 20 14

Table of contents ANNUAL REPORT 2014 Greeting by State Secretary Marie-Gabrielle Ineichen-Fleisch 3 Interview with President of the Supervisory Board Ruth Metzler-Arnold and CEO Daniel Küng 4 About Switzerland Global Enterprise 6 Export reporting Export 7 Export infographic 10 Invest reporting Invest 12 Invest infographic 14 Import reporting Import 16 Import infographic 18 Network reporting Network 20 Network infographic 22

Greeting State Secretary Marie-Gabrielle Ineichen-Fleisch Despite, or perhaps because of, the continuing weak growth in Europe and the BRIC countries, Swiss SMEs demand for export promotion services continued to increase in 2014. Faced with this situation, Switzerland Global Enterprise (S-GE) once again proved that it is able to rapidly adapt its range of services to changing customer needs. This would not be possible without the involvement of a variety of private and public partners. This collaboration and the exploitation of synergies are the basic requirements for S-GE providing the export economy with effective services. Thanks to its collaboration with various associations, S-GE has managed to build up industry-specific skills. Particular attention is being paid to food, ICT and life sciences, areas in which numerous Swiss companies boast high-quality products and are very innovative but are still, in part, cautious about venturing abroad. Synergies with the foreign economic policy of the State Secretariat for Economic Affairs (SECO) are having an effect, particularly in the area of free trade agreements. The agreement with China, which came into force in July 2014, was the focal point of the consultancy services provided by S-GE to its clients. The location of Switzerland has come under pressure recently, not least due to uncertainties with respect to individual location factors. This is also reflected in the declining numbers of foreign companies setting up in Switzerland and using the services provided by the public location promotion service. However, this decrease is also the result of a deliberately selected strategy to focus more on quality instead of quantity. To this end, S-GE introduced important measures in 2014 with the approval of the federal government and the cantons: for example, investment projects are increasingly examined for their added value potential. Launched last year, the positioning of Switzerland as a first-class location for selected companies will therefore be continued. In addition, S-GE has begun stepping up its measures to inform potential clients that Switzerland is still an attractive business location. SECO intends to continue its successful collaboration with S-GE in the next few years. I would like to take this opportunity to express my gratitude for this. An application for continued funding for export promotion and location promotion will be made to the federal parliament this year, with the new message regarding location promotion for 2016-2019. MARIE-GABRIELLE INEICHEN-FLEISCH State Secretary and Director of the State Secretariat for Economic Affairs (SECO) ANNUAL REPORT 2014 3

«Swiss entrepreneurs going out further and further into the world.» Interview with President of the Supervisory Board Ruth Metzler-Arnold and CEO Daniel Küng Mrs Metzler, Mr. Küng, could you please recall the 2014 financial year for us Ruth Metzler-Arnold: Each year I remember the winners of the Export Award. In 2014, it was awarded jointly to Sensile Technologies for its successful expansion to Sweden, and to Habegger AG which has made the leap to the Gulf States. It was also pleasing that we were able to hold «Exporter Demain!» in Lausanne for the first time in 2014. This event is the Swiss-French equivalent of our Forum for Swiss Foreign Trade and Investment which has been established in Zurich for many years. And then there were the countless small, practical events which serve as inspiration for Swiss SMEs. Daniel Küng: One figure which has particularly stayed with me comes from our estimate of the potential of the free trade agreement (FTA) with China, which entered into force on 1 July 2014: the Swiss economy can save 5.8 billion Swiss francs once all of the customs reductions have come into force in 2028. And this figure is based on a realistic assumption of an annual export growth of 5 per cent, and a utilization rate of 60 per cent. 5.8 billion that sounds impressive. However, such an agreement can be very demanding as well. What is S-GE doing to enable SMEs with fewer resources to benefit as well? Daniel Küng: A great deal! For example, we now carry out a study for virtually every new agreement to show precisely which industry can save how much and when. Informing SMEs how they can get the most out of a FTA is one of our main tasks. In 2014, we introduced many more measures to do this. Our Trade4Free online tool makes it possible to establish, by means of a step-by-step check, which FTAs are worthwhile and how. Our employees in ExportHelp answer all potential operational questions as part of the Public Service. We will of course continue these efforts in 2015. I must also take this opportunity to blow our own trumpet: we were named one of the three best agencies by the World Trade Promotion Organization thanks to this FTA campaign. Ruth Metzler-Arnold: We are therefore contributing to Switzerland s prosperity. Free trade agreements open the doors

to new markets. And access to the world s markets is essential for our SMEs as is, incidentally, being open ourselves. Do you think that these conditions are threatened? Ruth Metzler-Arnold: During the 2014 financial year we did observe some signs of this. Swiss SMEs naturally have less resources and expertise than large companies when it comes to dealing with additional trade barriers, customs tariffs, exchange rate fluctuations or bureaucracy. They therefore require the best possible framework conditions for their internationalization projects. Exporting as such is already complicated enough, especially after the continued appreciation of the Swiss franc. It is also important to bear in mind that many of our SMEs are champions in their niches. In a survey conducted by Credit Suisse in 2014, 10 per cent of industrial SMEs indicated that they are global leaders. This can only be achieved, if they are able to operate, if at all possible, throughout the world without any additional barriers. Daniel Küng: And the same applies, incidentally, with regard to import: Swiss companies are dependent on the import of primary products for their survival. Our Import Promotion experts hear every day how important the right suppliers are to a company, especially export firms which are already suffering enough as a result of Switzerland being an expensive manufacturing location and the high Swiss franc exchange rate. They can improve their competitiveness through cheaper imports. A SME therefore needs access to different markets? Ruth Metzler-Arnold: Exactly. We always advise SMEs to diversify their export markets as far as possible. The abolition of the minimum exchange rate of the Swiss franc against the euro at the start of 2015 demonstrated this: companies with a range of well selected sales markets have greater security. If a market collapses, there should still be others which are still operating. Daniel Küng: This means that many SMEs are not only eyeing Europe. Clearly, first-time exporters still tackle one of the markets nearby, which are also the «easy» markets. Even those with more experience will always maintain a foothold there 92 per cent of the SMEs questioned in our «SME Export Indicator» survey, which is conducted quarterly, indicated that they are planning to export to Europe. Baden-Württemberg is more or less as important as China. Europe will not lose its immense importance to Switzerland as a sales market but, at the same time, more and more other markets are being added: whether it is the fast-growing ASEAN region, the liberal Latin American Pacific Alliance or even Africa, where the middle class is growing and growing. The rising middle class generally offers huge business potential for Swiss companies. This social layer is expected to rise by 1.3 billion by 2025, especially in Asia, where 60 per cent of the purchasing power of the global middle class will be concentrated by 2030. This means that more people will be able to purchase Swiss consumer goods. At the same time, they are placing higher demands on the infrastructure in their cities or the healthcare systems of their countries. This represents an indirect opportunity for growth for our companies. And you are noticing this in export consultancy? Ruth Metzler-Arnold: Absolutely, we are receiving more and more enquiries regarding the emerging nations, because it is clear that it is much more difficult to understand these distant markets, to find good distribution partners, and the culture and language are very different. With their understanding of the relevant markets and their contacts, the services provided by our consultants and experts in the Swiss Business Hubs around the world are absolutely essential. Import Promotion helps us to build up our knowledge and our network today in the markets of tomorrow, for example in Indonesia. Daniel Küng: We are also aware of an increased need for information and advice due to the strong demand for our digital services. That is why we have been developing these for some time and want to further increase them. You can now, for example, take an online test, «WarmUp2Export», to check whether your company is ready for an international project. We offer many such tools and are continually providing new information such as our «Global Opportunities». These are business opportunities which the Swiss Business Hubs discover in their countries and provide a brief description of, before posting them on our website. In location promotion, we are also actively working with the cantons and areas to further increase Switzerland's digital reputation among the right investors abroad. Do potential investors currently require more information? Daniel Küng: It depends a little on the region. We receive questions, time and time again, in the USA and Europe, for instance, about our relationship with Europe. That has been less important to date in the distant markets. Overall, we hear from our external network that Switzerland and its products continue to enjoy a very good reputation, that they represent quality and innovation. This is precisely what we rely on in location marketing. We explain the situation in detail to all investors and emphasize that Switzerland is a place for innovation and high technology, a place with a high quality of life and reasonable general political conditions, and a country which is a leader in cleantech production. Taxes have long played a minor role in location marketing: since 2009, they have not been counted by investors as being among the top 10 of Switzerland s locational advantages. Ruth Metzler-Arnold: Our core messages are very clearly aimed at bringing high value-added companies to Switzerland. They enrich our economy, not only by creating jobs. They strengthen our innovativeness thanks to a lively exchange with the universities and other Swiss companies. In a survey conducted by CS, industrial SMEs state that they do 1/6-1/5 of their business with international companies based in Switzerland. We are very selectively seeking out those companies which best suit Switzerland. Incidentally, this is only responsible for 2-4% of the immigration to Switzerland, according to SECO s calculations. It is not a question of bringing as many foreign companies as possible to Switzerland, but the right ones. We have also agreed with the cantons that we will only forward projects which have reached a certain degree of maturity to them. The decision whether to move to Switzerland or not should be made within 6-18 months. I am particularly concerned that we do not forward as many details as possible of companies potentially wishing to establish offices in Switzerland to the cantons, but that those which we do forward do have a high probability of actually setting up in Switzerland. Only in this way can the limited personnel resources of the cantons be used effectively. In short, we need to actively manage the companies setting up offices here and we need strong, focused location marketing for that. And, above all, we must present a uniform image abroad as Switzerland. We also need powerful location promotion which is focused on the Switzerland brand in 2015 and beyond! ANNUAL REPORT 2014 5

About Switzerland Global Enterprise (S-GE) S-GE works all over the world to support entrepreneurs and promote Switzerland as a business location. As a centre of excellence for internationalization, S-GE promotes exports, imports and investments, to help clients develop new potential for their international businesses and to strengthen Switzerland as an economic hub. It is a strong and trusted partner for our clients, the cantons and the Swiss government, with a global network of experienced advisers and experts. FACTS Private organization Established in 1927 as the «Schweizerische Zentrale für Handelsförderung» Non-profit organization with 2,213 members Annual budget of CHF 43 million, including CHF 31 million in subsidies from the national government Head office in Zurich, offices in Lausanne and Lugano Global presence with 21 Swiss Business Hubs 121 employees in Switzerland 85 employees abroad S-GE is represented abroad by «Swiss Business Hubs». The majority of these local teams are based at a Swiss Embassy or Swiss Consulate-General. Following an initial consulting session in Switzerland, the Swiss Business Hubs are often S-GE s next point of contact in the export country concerned. All Swiss Business Hubs have an excellent network of contacts in the relevant target markets on account of their official status. In addition, these hubs are responsible for promoting Switzerland as a business location abroad. The 2014 financial report provides information about S-GE s performance in the 2014 financial year and the annual accounts. It can be downloaded at s-ge.com/annualreport. EXPORT PROMOTION As experts in internationalization, S-GE provides support, on behalf of the State Secretariat for Economic Affairs (SECO), to Swiss companies, in particular SMEs, with the global identification and development of new business potential through ongoing guidance regarding relevant developments in the global markets, and professional consultancy and assistance services for establishing contacts and partners and making use of new business opportunities. IMPORT PROMOTION On behalf of the State Secretariat for Economic Affairs (SECO), S-GE promotes market access and the development of new business opportunities for SMEs from selected partner countries in Switzerland and the EU zone. In this way, S-GE helps to strengthen the competitiveness of these companies, and consolidates cooperation and trade relations between Switzerland, the EU area and these partner countries. Importers in Switzerland and Europe benefit from contacts with reliable suppliers in the partner countries. INVESTMENT PROMOTION On behalf of the State Secretariat for Economic Affairs (SECO) and the cantons, S-GE informs potential foreign investors about the particular strengths and general conditions of Switzerland as a business location. S-GE assists foreign companies and examines their potential and projects before forwarding these to the cantons. S-GE assists the cantons encouragement of foreign companies to settle in Switzerland by means of market and trend analyses and by coordinating the activities of all of the agencies involved in Swiss location promotion.

Export More consulting mandates and enquiries for free export information, increasing numbers of members and growing interest in information and network events: the trend of Swiss SMEs towards operating internationally and, in doing so, placing their trust in S-GE s consultancy and assistance services continued in 2014. S-GE expanded its range of services, intensified cooperation with chambers of commerce and partners, organized numerous trade fair appearances and included useful online tools on its optimized website. POPULAR PUBLIC SERVICE The ExportHelp team further strengthened its position as a centre of excellence for internationalization matters. During the year under review information was provided free of charge in response to 1800 individual questions about free trade agreements, customs duties or value-added taxes 30 per cent more than the previous year. Also in demand was the extended service providing practical information on free trade agreements. Numerous companies were particularly interested in potential customs savings. The digital online tools such as «Trade4Free» or the export/import customs information system «Customs Tariffs Worldwide» are also very popular: With more than 62,000 free enquiries regarding customs duties or import formalities, these services provide valuable assistance to export-oriented Swiss SMEs. ExportHelp has further strengthened its cooperation with the cantonal chambers of commerce and the Swiss Customs Administration. MEMBERSHIP NUMBERS INCREASING The number of S-GE members has been rising steadily for nine years: there were 2,213 members at the end of 2014, three per cent more than the previous year. After being held in Zurich for many years, the 89th General Assembly took place in Basel. It will be organized in various regions of Switzerland in the coming years. SUCCESSFUL COWNSULTANCY AND PROVISION OF CONTACTS OFFICIAL PROGRAM S-GE handled 3,871 personal consultations and 720 consulting projects in 66 countries in 2014, significantly exceeding the previous year's figures in part. The traditional exporting countries were increasingly supplemented by exotic destinations, ranging from Argentina, Ethiopia and Azerbaijan to the Ivory Coast, Ghana and Madagascar to Pakistan, Myanmar or Turkmenistan. Last year S-GE organized country consulting days via video conference for the first time, featuring live appearances by the relevant experts from the Swiss Business Hubs. Due to the positive feedback the digital offer will be further expanded in future. The business trips, which were partially organized with partners, were also successful. 15 participants from the Swiss ICT start-up scene ran a joint stand at the Mobile World Congress in Barcelona. A further trip took more than 30 Swiss entrepreneurs from the ICT industry to Silicon Valley, so that they could see its unique ecosystem for themselves and establish contacts with companies such as Google, Tesla or Airbnb. London, the international centre for the development of new technologies for the financial sector, was the destination of a trade mission for over 20 Swiss FinTech companies and association representatives. S-GE organized a business trip to Ethiopia for the first time, culminating in one of the SMEs taking part in the trip actually being awarded a contract during the weeklong visit. S-GE also organized a trip to Russia, in order to show Swiss suppliers in the automotive industry future export opportunities. ANNUAL REPORT 2014 7

TRADE FAIRS HELP COMPANIES TO ENTER NEW MARKETS Thanks to the SWISS Pavilion, S-GE made it possible for 255 companies from Switzerland and Liechtenstein to exhibit at the world s leading trade fairs with other companies last year. S-GE was represented in Dubai and Hanover, New Delhi, Shanghai and other trade fair destinations with 17 SWISS Pavilions and four Mini SWISS Pavilions. They were the meeting places for all the relevant industries: for MEM and the medical technology industry, for the food and drinks sector as well as for healthcare and new technologies. Appearing at one of the major international exhibitions provided many small and medium-sized enterprises with an excellent basis for successfully entering a new market, or the possibility of expanding an existing network and successfully intensifying previously initiated activities. Appearing with other companies under the Switzerland umbrella brand lent more weight to the individual presentations. In addition, the SMEs benefited from the S-GE team s professional support both during the preparations for the trade fair and when following up the leads generated during the trade fair, and locally. This saved the companies a great deal of time and energy, allowing them to concentrate their resources on the activities which make up their core business. EVENTS PROVIDING POOLED, PRACTICAL INFORMATION Whether at the offices in Zurich, Lausanne and Lugano or at events organized jointly by S-GE with network partners: information events with pooled messages are an important communication tool for S-GE. Export consultants, employees of the Swiss Business Hubs and external experts provide potential and existing clients and members with useful country-specific and industryspecific information regarding successfully entering a market. In addition to the Forum for Swiss Foreign Trade and Investment, S-GE s flagship event which attracted more than 660 participants, S-GE also organized a number of S-GE Impulse Events in Zurich, Freiburg, Lucerne and Berne last year: four were region-specific events (Asia, Europe, Africa and Latin America), two were industry-oriented (food and ICT) and one was subject-specific (free trade agreements). The events were usually planned around country consulting. This allowed the participants to extend both the information provided and the contacts established with the experts from the Swiss Business Hubs during the subsequent basic consultancy sessions. S-GE EVENTS s-ge.com/events STATE-OF-THE-ART ONLINE PRESENCE Clear structures, updated tools, new apps and functions: S-GE further optimized its website in 2014. The redesigned newsletter is now also displayed properly on mobile devices. Investors will find more useful online applications in the form of TaxTool (s-ge.com/taxtool) and Swisscircle (s-ge.com/realestate). The calendar of events, trade fairs and meetings now has a client-friendly structure (s-ge.com/events). The participants in the Forum for Swiss Foreign Trade and Investment were able to use a networking app for the first time. A shopping cart function makes it possible to compile individual chapters in the case of larger online publications and to create and download customized versions (s-ge.com/handbookforinvestors). Search engine optimization was also carried out for the website. And the import sector was provided with additional country information.

USE OF LINKEDIN AND TWITTER CONTINUALLY INCREASING In 2014, S-GE developed a strategy for the targeted use of social media in Switzerland and the countries of the Swiss Business Hubs, focusing on the relevant social media platforms in the B2B environment, LinkedIn and Twitter. Social Media Governance ensures that, by only using appropriate activities, no users run the risk of damaging their reputations. During the year under review, more than the targeted 4,500 followers registered. FIRST EXPORT IMPACT REPORT An impact report was compiled for the first time in the area of export promotion. This shows in detail where and which services have an impact. The impact assessment is based on a four-step, scientifically based model which was developed jointly with the University of Applied Sciences HTW Chur. The first stage deals with clients and services. It therefore shows, for example, that S-GE has 13,718 export clients, corresponding to a market penetration rate of 55 per cent. The second stage analyses the quality of the services provided. It can be established that the quality of consulting mandates and trade fair appearances was given a score of at least 9 out of 10 by half of the clients. The third stage involves recording indirect impacts on clients resulting from receiving a service. 78 per cent of clients report a measurable impact after six months. Of these, S-GE had a positive effect for 41 per cent, and an accelerating effect for a further 40 per cent. 72 per cent of clients additionally felt that S-GE was keeping its brand promise «Enabling new business» in full or in part. The fourth and final stage of the impact assessment deals with the macroeconomic impacts. The calculations in this step are extremely complex and, to date, have only been successfully carried out by the trade promotion agencies in Canada and Great Britain. An impact multiplier of 22 was calculated for S-GE. This means that every franc invested in S-GE produces an export turnover of 22 Swiss francs. This result is comparable to the results for Canada and Great Britain. Many key performance indicators and analyses were developed in order to compile the impact report. These are ideally suited to management control, making it possible to use financial resources efficiently and effectively. S-GE is therefore striving to operationalize the impact report. URS LEHMANN CEO, Similasan «Thanks to S-GE we now know the South American pharmaceutical markets and are tapping them.» ANNUAL REPORT 2014 9

EXPORT PROMOTION Informing - Consulting - Networking 720 consulting projects 66 countries dealt with Forum for Swiss Foreign Trade and Investment 660 participants 35 country consulting days in French-speaking Switzerland 19 country consulting days in Italian-speaking Switzerland 92 % customer satisfaction with trade fairs Trade fairs 17 SWISS Pavilions 4 Mini SWISS Pavilions 255 exhibitors BUSINESS TRIPS Spain USA Great Britain Ethiopia Russia Events 13 S-GE Impulse Events 24 export dialogues

5,142 companies assisted 2,951 consultancy sessions in Switzerland customer satisfaction consulting > 80% 2,213 members Price advantages Exclusive services ExportHelp 1,800 enquiries answered by ExportHelp ANNUAL REPORT 2014 11

Invest High level of location promotion: S-GE contin uously analysed the partially dynamic development of the markets in 2014 as well. Information was prepared about Switzerland as a business location and provided to investors, consultants and the cantonal and regional economic development agencies in multiple languages. Numerous company location projects and contacts with interested companies came about thanks to the mediation of the Swiss Business Hubs. S-GE forwarded promising and innovative projects to the cantons for processing. GOOD MARKS FOR NATIONAL LOCATION PROMOTION Swiss location promotion is customer-oriented, flexible, non-bureaucratic and much more professional than in other countries. An independent evaluation confirmed that many cantons also shared the views of potential investors. WINNING THE BEST PROJECTS FOR SWITZERLAND In 2013, S-GE forwarded a total of 374 settlement projects to the cantons, 40 per cent more than the previous year. At the request of the federal government and the cantons, the number of projects was reduced to 338 in 2014. Projects are now selected more stringently in terms of added value, innovativeness and readiness for implementation. As a result, the cantons economic development agencies can additionally optimize their resources during the processing of the dossiers. In the medium term, S-GE Investment Promotion will identify 250 projects each year. In order to assist with the focus on quality, appropriate training courses regarding investment and marketing issues were established for the federal government, cantons and areas. NEW COMPANY LOCATIONS GUARANTEE WEALTH S-GE Investment Promotion once again had some remarkable success stories. Through the mediation of S-GE and the Swiss Business Hubs, numerous foreign companies have established offices in Switzerland. For example, VIS Essential Investments, a financial boutique from Brazil, moved its registered office to Lausanne. Switzerland won over the Brazilians thanks to its efficient structures, the availability of skilled labour, the interaction of research and applied sciences and the supportive, public ecosystem. The Japanese machine tool manufacturer DMG MORI SEIKI decided to locate to Switzerland back in 2013. DMG MORI SEIKI Europe AG opened its European headquarters, its own centre of technology, in Sulzerallee in Winterthur Neuhegi, in December. Together with the global headquarters in Tokyo, nearly 200 employees in Switzerland now successfully look after the global market. PLACING SWITZERLAND IN THE BEST POSSIBLE LIGHT OFFICIAL PROGRAM Updated content, new layout: the «Handbook for Investors» was completely revised in 2014 and is now available as an online brochure which can be individually compiled. Individual chapters can be browsed virtually or downloaded as a PDF by means of the «Shopping Cart» function. S-GE Investment Promotion has also updated its website and is using this to strengthen the digital reputation of Switzerland as a business location and its image. This is done by establishing key topics such as key industries, taxes and real estate as well as by means of targeted integration of the marketing content of the cantons and regional economic development agencies (areas). After adding a further world language, Spanish, to its range in 2014, S-GE Investment Promotion s important communication instruments are now available in nine languages German, French, Italian, English, Spanish, Portuguese, Russian, Japanese and Chinese.

POLITICAL TENDENCIES CREATE UNCERTAINTY Is Switzerland a politically and economically stable country? Last year, several initiatives regarding issues of economic policy and social policy as well as international integration put one of the strongest arguments for Switzerland as a business location to the test. The initial results have already shown themselves. The 2014 Market Intelligence Report by BAK Basel confirms that the business location of Switzerland has lost ground to its main competitors in the global competition. According to the OECD, Switzerland does not rank among the top 25 destinations for foreign direct investments for the first time since 2005. Whereas other countries are increasing their efforts to entice successful companies which are based in Switzerland, there is a growing number of people in Switzerland who wish to restrict investment promotion. The widespread opinion that location promotion promotes migration is not correct. The fact is that the proportion of immigrants from high value-added new locations including reuniting families accounts for only two to four per cent of immigration. In addition, companies establishing offices in Switzerland do not employ more foreigners than companies already based here. One of the challenges for Investment Promotion in the competition between locations is, therefore, identifying suitable projects for Switzerland, which have the highest added value. TARGETED INFORMATION AND UNIFORM MARKETING Initiated at the end of 2014, a comprehensive quality offensive plans to strengthen the Switzerland brand by focusing market cultivation on key industries in an even more targeted fashion by the end of 2015. Thus, in identifying projects, greater emphasis will be placed on quality and sustainability, by giving preference to projects from innovative economic sectors which add a great deal of value for the work and research location of Switzerland. The focus is on projects from the life sciences, MEM, ICT and cleantech sectors. In order to better allow the Switzerland brand to take centre stage, the benefits are announced in information sessions, during personal contact and, increasingly, through all digital channels. BENJAMIN J. ERGAS Co-Founder and Managing Partner, VIS Essential Investments, Brazil «Switzerland stands for high quality, precision and reliability. We are aware of these values every day in our business relationships.» ANNUAL REPORT 2014 13

INVESTMENT PROMOTION Strong dual education system INVESTMENT PROMOTION 2014 Leading industry clusters: MEM ICT Life sciences Cleantech INNOVATION + TECHNOLOGY 338 companies potentially interested in locating to Switzerland forwarded to the cantons World s greatest level of innovativeness 3 Swiss companies among the world s 20 most valuable companies Ranked among the world s top 3 happiest nations 10 target markets Brazil, China, Germany, Great Britain, France, India, Italy, Japan, Russia, USA Most Nobel Prize winners per capita 90 events in the target markets

Motivated workers: no general strike for just under 100 years Extremely attractive to highly qualified, foreign employees SECURITY + TRUST Employees with the best international experience DE IT FR EN RM World s best working conditions Multilingual employees thanks to 4 national languages and English Highest purchasing power in the world ENVIRONMENT + LIFE World s highest life expectancy Most popular country for expats 3 in top 15: Swiss towns and cities offer the best quality of life S-GE AUGMENTED REALITY APP Experience Switzerland as a business location with the S-GE AR App in 3D 1. Download app 2. Search for Switzerland 3. Discover innovativeness Apple «S-GE AR» App erhältlich im App Store Android «S-GE AR» App erhältlich im Google Play Store ANNUAL REPORT 2014 15

Import Import Promotion focused its activities on services which complement one another and working with its partners during the year under review. In 2014, it was possible to consolidate the three approaches in the Import Promotion field, namely SIPPO Pavilion (SP), Country Pavilion (CP) and Systemic Market Development (SMD). Unlike the individual cooperation with companies which characterizes the SIPPO Pavilion approach, Import Promotion relies on partnership working with Business Service Organizations (BSOs) in the case of the Country Pavilion and Systemic Market Development (SMD) approaches. This cooperation was further intensified during the year under review. Also, in the case of SIPPO Pavilions, Import Promotion increasingly relied on working with partners, for example, during workshops and other activities in partner countries. At the outset, an examination of the local value chain is carried out in the partner countries specified by the State Secretariat for Economic Affairs (SECO). During the year under review S-GE was able to rely on cooperation with BSOs in the partner countries and Europe. With all three approaches the SMEs from the partner countries are integrated into the global value chain, so that they are capable of successfully exporting to Switzerland and to the EU. With the SMD approach, S-GE is specifically strengthening BSOs or other relevant market participants to enable the latter to assist SMEs in the internationalization of their activities. S-GE therefore has an important role within the markets as a trade promotion organization and can therefore bring about systemic changes in the long run. Four new SMD projects were initiated in 2014. A total of 17 projects are running over into the following year. COOPERATION WITH PARTNER ORGANIZATIONS During the year under review 187 participants took part in the SIPPO programme, including 103 in Country Pavilions (2013: 85). One example of these projects is the selling mission with 13 South African companies, which S-GE successfully organized in the tourism sector in cooperation with three South African partners, in seven German-speaking cities in Germany, Switzerland and Austria. This selling mission was organized as part of the Country Pavilion approach (with companies and BSO). GREAT INTEREST IN BUYER MISSIONS The Buyer Mission format was also successful during the year under review. During a Buyer Mission purchasers have an opportunity to meet local, reliable suppliers selected by S-GE and to attend local trade fairs. During the year under review Import Promotion organized six Buyer Missions: Indonesia (seaweed), Peru (fruit and vegetables), Colombia (natural ingredients), Macedonia (fashion), Serbia (technical wood) and Indonesia (industrial subcontracting). The 44 companies taking part from Switzerland and Europe visited a total of over 60 selected potential suppliers. OFFICIAL PROGRAMME

VISIBLE SUCCESS Thanks to the work done in the three approaches of SP, CP and SMD, the export sales to Europe generated by SMEs increased in the partner countries by more than CHF 71 million. The exporting SMEs were able to create 3,301 new jobs in the partner countries. A total of 12,536 contacts were arranged between exporters in the partner countries and importers in Switzerland and Europe during the year under review. In addition, not only did more companies take part in trade fairs in 2014, the average number of contacts per participant also increased compared to the previous year. PROVIDING SUPPORT, NETWORKING, CREATING TRUST The core messages «We connect,» «We support», «We build trust» were enhanced during the year under review. They describe the services provided to Import Promotion s target groups. For exporters in the partner countries «We connect» means that S-GE accompanies the companies to leading international trade fairs where they meet potential buyers («matchmaking»). And the message «We support», in turn, means that S-GE provides information on individual industries in the target markets and prepares businesses, with practical coaching, for entering the market in Switzerland and the EU. In the same way, S-GE supports partner organizations and enables them to pass on their knowledge in a targeted fashion to SMEs. S-GE provides details of importers in the target markets with the message «We connect»: we provide you with access to new products and markets in 16 countries within Africa, Asia, Europe and South America. Importers benefit from in-depth knowledge of the relevant sector, a broad network of partners and from the matchmaking services they meet potential, selected partners at specialist exhibitions, during Buyer Missions or study trips. The message «We build trust» underlines the fact that S-GE finds carefully selected suppliers whose products stand for quality. All of these companies meet the standards required by Switzerland and the EU for exports. By carefully preselecting the programme participants, S-GE ensures that specific market needs are met. SUCCESSFUL MID-TERM EVALUATION During the year under review, the mid-term evaluation regarding the Swiss Import Promotion Programme (SIPPO) was successfully completed. The programme will be continued until the end of 2016 with a budget for the entire mandate period (2012-2016) of 31.9 million Swiss francs. The final evaluation of the programme will be carried out, in accordance with the performance agreement, one year before the end of the mandate, in 2015. LARS ERLER Sourcing Manager, Pfister «Thanks to S-GE we found reliable furniture suppliers in Bosnia.» ANNUAL REPORT 2014 17

IMPORT PROMOTION We connect - We support - We build trust PRODUCTS AND SUPPLIERS Companies in Europa and Switzerland benefit from: New market opportunities New products Reliable suppliers SECTORS Food Fruit and vegetables Fish and seafood Natural ingredients Non-food Fashion Furniture Home accessories Technical products Industrial subcontracting Software development Technical wood Sustainable tourism 6 Buyer Missions Indonesia, Peru, Columbia, Macedonia, Serbia 44 participating companies 16 partner countries SMEs in these countries can apply to join the SIPPO programme 32 key countries Importers in Switzerland and Europe benefit from contacts with reliable suppliers in the partner countries. 12,536 CONTACTS AND ENQUIRIES from importers from Switzerland and the EU

SERVICES Country Pavilions SIPPO Pavilions SMDA Interventions (Systemic Market Development Approach) 3,301 JOBS created in the partner countries 41 PARTNERS SIPPO REPRESENTATIVES «Albania, Bosnia and Herzegovina, Indonesia, Macedonia, Peru, Serbia, South Africa» CHF 71 million EXPORT GROWTH GENERATED IN THE PARTNER COUNTRIES ANNUAL REPORT 2014 19

Network S-GE s core competence is efficient and sustainable internationalization promotion. A strong national and international network, which is continuously consolidated and extended and which consists of internationalization experts, knowledge carriers and private as well as public organizations, forms the basis of successful activities to assist companies from Switzerland and Liechtenstein. NETWORK ABROAD Good international position and global network At the end of 2014, S-GE s international network included 21 Swiss Business Hubs. The upgrading of the base in Istanbul and the trade office in Mexico City to Swiss Business Hubs represented further steps in supporting the Swiss economy in its expansion into growth and key markets. In addition to the comprehensive network, S-GE also worked closely with 24 bilateral chambers of foreign trade. S-GE elaborated a new cooperation agreement with the Federal Department of Foreign Affairs (DFA) and SECO, which will further strengthen the common procedures and processes from 2015 onwards and which specifies a simplified expansion of the external network. In this context, the contracts with embassies housing a Swiss Business Hub were also updated and renewed. Attractive training programme The Academy further expanded its range of training services for its own employees and those of partner organizations. 220 participants from the Department of Foreign Affairs (DFA), from different cantons and from S-GE were trained during 40 days of seminars. Following the positive experiences with the regionspecific workshop for bilateral Swiss chambers of commerce in Latin America, a workshop was also organized for the Swiss chambers of commerce in Europe for the first time. Launched in 2013, the international trainee programme, which allows master graduates to complete a 6-month internship each at S-GE and in a Swiss Business Hub, met with great interest. Expert Directory updated The Expert Directory is an online directory of private internationalization and export experts. Following the amendment of the product strategy and the revision of the website in 2013, the focus during the year under review was on updating the network of experts. The online directory lists (as at the end of 2014) 479 internationalization experts in 60 countries. 153 of the 479 experts have been awarded the quality seal «Certified Experts.» Companies can use the Expert Directory to find a suitable local export expert easily, quickly and free of charge.

NETWORK IN SWITZERLAND Hub for activities in French-speaking Switzerland 27 events involving more than 600 participants: S-GE s Lausanne office organized a series of successful events in 2014, working with 24 partners: with chambers of commerce and industry platforms and with cantonal economic development agencies, for which consultancy sessions were provided and delegation trips abroad organized. Ticino looking towards China and the Middle East The focal point of several events organized jointly by S-GE in Lugano and the Ticino Chamber of Industry and Commerce was free trade agreements: two events involving 80 participants dealt with the free trade agreement with China and one involving 60 participants concerned the free trade agreement with the Gulf States. Ticino companies are also showing increasing interest in Russia and Turkey. As previously, the joint newsletter with the Chamber of Industry and Commerce is as an optimum source of information. It reaches nearly 2,500 representatives of the Ticino export industry. Valuable cooperation and partnerships In 2014, S-GE further intensified its cooperation with associations and partners. The relevant industry associations were involved in building up the key life sciences industry to provide industry-specific internationalization services. This approach has already proven itself in the establishment of the key food and ICT industries and is appreciated by clients and organizations alike. In order to address the increasing complexity of internationalization issues, S-GE relied even more on cooperation with private providers specializing in certain fields in 2014. Specialized knowledge is being developed with the premium partner Credit Suisse and the strategic partners XL Group, SAP, DHL and PwC for the ranges of services offered by S-GE. Regionalization pushed forward Working with the Swiss Chambers of Industry and Commerce, S-GE organized 24 information events, so-called export dialogues, last year. 1,070 people took part in the export dialogues in German-speaking Switzerland, French-speaking Switzerland and Ticino. In addition to the coordination meetings of the internal network working group, S-GE held meetings directly with various chambers of industry and commerce. NETWORK AT A GLANCE s-ge.com/map Contract with Liechtenstein renewed S-GE signed another three-year contract with the Liechtenstein Office of Economic Affairs to support exporting SMEs. S-GE held country consulting days in Liechtenstein, dealt with part of the agenda at the export market place in Schaan and increased cooperation with the «Liechtenstein Fatherland». The Office of Economic Affairs issued export cheques worth 7,500 francs each to companies in Liechtenstein to allow them to participate in an international trade fair or one of S-GE s consulting mandates. Subsidies for trade fairs and projects abroad (Trade Fair and Project Committee) To help companies to have an international market presence, S-GE provides subsidies for joint promotions abroad. Financial benefits to assist an industry or the economy in Switzerland or Liechtenstein are discussed, upon application, by the Trade Fair and Project Committee which is independent of the S-GE. In 2014, a total of 93 project applications were funded. We therefore provided well over 1,000 companies with effective assistance with their export activities. ANNUAL REPORT 2014 21

NETWORK Switzerland Global Enterprise Offices in Zurich, Lausanne and Lugano Contracting authorities State Secretariat for Economic Affairs (SECO) 26 cantons ASSOCIATIONS ICT Food Life sciences CHAMBERS OF INDUSTRY AND COMMERCE 24 export dialogues 1,070 participants PARTNERSHIPS Premium partner Credit Suisse Strategic partners DHL SAP XL Group PwC

EXPORT CHEQUES for SMEs from Liechtenstein 21 SWISS BUSINESS HUBS AROUND THE WORLD 20 in embassies or consulates 1 in chambers of commerce EXPERT DIRECTORY 479 internationalization experts 153 Certified Experts 24 BILATERAL CHAMBERS OF FOREIGN TRADE ACADEMY 40 course days 220 participants 85 TRADE AND INVESTMENT OFFICERS ABROAD 5.4 Course assessment mark High level of quality ANNUAL REPORT 2014 23

SWITZERLAND GLOBAL ENTERPRISE April 2015, all rights reserved Switzerland Global Enterprise Stampfenbachstrasse 85 CH-8006 Zürich T +41 44 365 51 51 Switzerland Global Enterprise Corso Elvezia 16 CH-6901 Lugano T +41 91 601 86 86 Switzerland Global Enterprise Avenue d Ouchy 47 - CP 315 CH-1001 Lausanne T +41 21 545 94 94 s-ge.com OFFICIAL PROGRAMMES