Overview of NSPA Activities

1. Overview of NSPA Activities • 3rd Armaments Conference • 13 September 2018 • Mr Patrick FESQUET • Director of Procurement

2. NATO – where agencies fit in N a t i o n a l A u t h o r i t i e s Permanent Representatives Ambassadors to NATO Military Representatives to NATO Nuclear Planning Group (NPC) North Atlantic Council (NAC) Military Committee JWC NSO JFTC Subordinate Committees Secretary General International Military Staff Strategic Commands International Staff ACO ACT NCIA NAHEMA NSPA … JFCB … JFCN NATO Agencies Operations Exercises Mr Patrick FESQUET - Director of Procurement

3. Agency Direction • Vision: ... NATO’s premier life cycle management (including acquisition) and services provider, effectively and efficiently delivering integrated capabilities for NATO, its Nations and Partners including support to operations and exercises. • Mission: … provide responsive, effective and cost-efficient acquisition, including armaments procurement; logistics; operational and systems support and services to the Allies, NATO Military Authorities and partner nations, individually and collectively, in time of peace, crisis and war, • … maximize the ability and flexibility of their armed forces, contingents, and other relevant organisations, within the guidance provided by the NAC, to execute their core missions. Mr Patrick FESQUET - Director of Procurement

4. NSPA Capability Portfolio Mr Patrick FESQUET - Director of Procurement

5. NSPA Organizational Design Mr Patrick FESQUET - Director of Procurement

6. Geographical Locations NSPA: HQ, Life Cycle Management, Support to Operations (1,186) Capellen, LUX • NSPA Embedded Staff (41) • NATO HQ • SHAPE, JFCs • Afghanistan • Sigonella • … Central Europe Pipeline System (36,5) Versailles, FRA NATO Airlift Management Programme (51) Pápa, HUN • Country Liaison Officers • 22 SouthernOperational Centre (55) Taranto, ITA Mr Patrick FESQUET - Director of Procurement

7. Central Europe Pipeline System (CEPS) • Management of a NATO pipeline system: • largest pipeline system in NATO (9 in NPS) • integrated, cross-border pipeline and storage system • jet fuel (75%), diesel/gasoline/naphtha (25%) • military/commercial business model • non-military co-use with Military Priority Clause Mr Patrick FESQUET - Director of Procurement

8. NATO Airlift Management (NAM) • Support to Strategic Airlift Capability (SAC) • three C-17s Boeing Globemaster aircraft • multi-national owned capability established in 2008 • NAM directly supports Heavy Airlift Wing (HAW) 12 SAC Nations - use of hours • for national, NATO, EU & UN missions • pre-agreed allocation of annual flight hours • available for 3rd party use via SAC Nation sponsorship Mr Patrick FESQUET - Director of Procurement

9. Support to Operations Deployed team: 50 NSPA staff / 2524 contractors • Base Support Services • Catering Services • Airfield Services • Engineering Services • Fuel • Construction • Equipment Support • Transport and storage • Medical Services Afghanistan Kosovo Iraq Mali Mr Patrick FESQUET - Director of Procurement

10. Deterrence and Defence (D&D) – what we are doing • Nations • Planning & exercise support • Enhanced Forward Presence and Very High Readiness Joint Task Force - Ex. fuel • Permanent Infrastructure • Deployable Infrastructure • …. • NATO • Planning & exercise support • Rapidly Useable Enabling Contracts (RUEC) / contractual work • Capability Packages • …. Construction Mr Patrick FESQUET - Director of Procurement

11. Services • NATO Logistics Stock Exchange • RandomBrokerage Services • General Procurement & Shared Services • Engineering & Constructions Mr Patrick FESQUET - Director of Procurement

12. Trust Funds – NSPA as executing agent • 44 NATO Trust Fund projects* (€100M) since 1998 • Capacity building & training • De-militarization & de-mining • Ammo disposal & hazardous waste • GEO, UKR, EGY, MRT, MDA, IRQ, AFG, … • 66 CSTC-A projects (US$546M) tasked • Mi-17 • Uniforms • Medical supplies • Infrastructure • Training Mr Patrick FESQUET - Director of Procurement

13. Life Cycle Management Capability development & sustainment “Cradle-to-Grave” (Acquisition – In Service Support – Retirement) Multinational cooperation / consolidation platform Portfolio: >90 weapon systems and ~169 projects Mr Patrick FESQUET - Director of Procurement

14. 30 Support Partnerships in place • Aviation & Unmanned Aerial Systems • Multinational Multi Role Tanker Transport (MRTT) • Fixed-Wing Aircraft • Helicopters • Alliance Ground Surveillance (AGS) • Unmanned Aerial Systems (UAS) • Missiles (Missile systems) & Ammunition • PATRIOT • STINGER • HAWK • SIDEWINDER • AMRAAM • Air-to-Surface Missiles • Land Combat Missiles (LCM) • Ammunition Support • Land Combat • Land Combat Vehicles (LCV) • Night Vision & Optoelectronics (NVO) • Artillery Rocket & Missile Systems (ARMS) • Specialized • Strategic Airlift Interim Solution (SALIS) • Common Item Materiel Management (COMMIT) • Naval Logistics Support (NLSP) • Demilitarization, Dismantling & Disposal (D3) • Operations Logistics Support (OLSP) • Global Positioning System (GPS) • Multifunctional Information Distribution System (MIDS) • Cryptographic, Communications and Electronic (CCE) Equipment • Surveillance – Command & Control • Alliance Future Surveillance and Control (AFSC) • Air Command and Control System Level of Initial Capability • Ground-Based Defence (GBD) • AN/FPS-117 Radar (national + MB) • RAT 31 Radar (national + MB) • RADAR (national + MB) AWACS Tiger, A400M, Cobra, NH90 Red - common funding Mr Patrick FESQUET - Director of Procurement

15. Ops Directorate Priorities • Current Operations • Resolute Support • KFOR • NATO Adaptation Programme • Enablement of SACEUR’S Area of Responsibility • Deterrence and Defence • Trust Funds • Exercise Support • Deployable Infrastructure Mr Patrick FESQUET - Director of Procurement

16. Current Operations • Afghanistan • Fuel • Airfield Services • APOD Support HKIA • HQ RS Bldg project • Trust Funds - CSTC-A projects • KFOR • Medical R2 • Film City refurbishment • National projects • Irbil • Mali Mr Patrick FESQUET - Director of Procurement

17. Life Cycle Management - Business Portfolio • Life Cycle Management (incl. Acquisition) • Ground Based Air Defense & Air C2 • Fixed Wing, Helicopter & UAS • Land Combat Systems • Missiles & Ammunition • Transport and Logistic Hub • Automated Life Cycle Support • Integrated Services • … Mr Patrick FESQUET - Director of Procurement

18. Life Cycle Management - What • System acquisition • Equipment and spare parts procurement • Supply & Services • Maintenance, repair and overhaul • Engineering services, modifications, upgrades • On-site technical assistance • Disposal • Training and Documentation • Management and expertise • Transport and storage • Multinational Cooperation • 30 Support Partnerships Land Air Maritime Missiles & Ammo GBAD & Air C2 Deployable Camps … Mr Patrick FESQUET - Director of Procurement

19. Common funded support Mr Patrick FESQUET - Director of Procurement

20. Life Cycle Management – “cradle to grave” Current NSPA Major Involvement • Acquisition areas • Radar (acquisition, upgrade, modernization) • Armoured Vehicles • Upgrades / modifications air assets (C 130, AGS, ...) and missiles • Unmanned Aerial Systems • Helicopter • Simulators • Deployable camps (common-funded, multinational and national projects) • ……. Mr Patrick FESQUET - Director of Procurement

21. Finance and Compliance • No Profit - No Loss! – Business Model • NSPO Charter requires application of NATO Financial Regulations • NSPO is annually audited by IBAN • General Manager and Financial Controller sign the Financial Statements and the Statement of Internal Control • Budget: NSPA operates two: Operational and Administrative Budget • Funding: Customers only pays for the services requested • overhead portion of the admin costs are allocated to all customers via a fair allocation key • iaw NSPO Financial Rules and Procedures Mr Patrick FESQUET - Director of Procurement

22. Operational Budgets Business Trend in KEUR Operational Business 2017 = 4.7 BEURl Source: Commitments raised each year NAM – peaks reflect multi-year commitments related to sustainment/training through FMS Log Ops - 2017 Purchase of 5 additional MRTT MEUR Log Ops – 2014 drop related to ISAF drawdown Include Support to OCCAR TIGER & A400M Mr Patrick FESQUET - Director of Procurement

23. Operational Business per Customer in 2017 Mr Patrick FESQUET - Director of Procurement

24. Operational Business with NATO in 2017 Mr Patrick FESQUET - Director of Procurement

25. Nations as % of NSPA Business Mr Patrick FESQUET - Director of Procurement

26. Team Demography July 2018 – 1188 staff Mr Patrick FESQUET - Director of Procurement

27. POCs • NSPAProcurement Mr Patrick FESQUET • Director of Procurement E-mail: patrick.fesquet@nspa.nato.int tel: +352/3063 6565 Mrs Tammy JOURNET • DeputyDirector of Procurement E-mail: tammy.journet@nspa.nato.int tel: +352/3063 7589 Mr Enzo SILVESTRO Chief of Source Identification Section Mr Carlos FERRER- LOPEZ Chief of MarketResearch and CompetitionAdvocacy Section E-mail: enzo.silvestro@nspa.nato.int tel: +352/3063 6383 E-mail: carlos.ferrer-lopez@nspa.nato.int tel: +352/3063 6563 Mr Patrick FESQUET - Director of Procurement