Sortis - Data Sentry Sofia 1 Broad Group Conference London 20101208

Data Sentry Sofia 1

Bulgaria

Martin Paev, CFA

London

8 December 2010

4th Annual Finance & Investment Forum for Data Centers

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Bulgaria – South-East Europe

On the main telecom route Western Europe – Turkey – Middle East

On the cross-road of the Balkan Peninsula

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DSS Concept

Scalable data center

7,000 sq.m. white space

6 floors of white space

Tier 3 (TIA-942) or Level 3+ (IBM)

14 MW fully redundant power supply

General IT load – 4 kW/rack

High-density areas (20+ kW/rack)

Cold-aisle containment or Hot-aisle containment

Targeted PUE < 1.3

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Why Bulgaria?

Security? EU Member state

NATO Member state

Stability? Stable political environment

Currency pegged to the EURO since 1997

Low budget deficit

Low level of government debt

Costs? Electricity – 41% cheaper than EU average

Leading exporter of electricity for SEE region

Cheap and fast international connectivity

Lowest construction costs in the EU

Skilled low-cost IT labor

Taxation? 10% corporate profit tax – lowest in EU

10% flat personal income tax

Incentives? Government incentive schemes

EU grant funding available

Clients? Offices of blue-chip IT companies

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Then Bulgaria is your place !!!

Do Power Savings Matter?

Source: Europe’s Energy Portal

Data Sentry Sofia 1 - Potential Annual Power SavingsPower Consumption (MW)

Number of hours in Year

City Sofia Frankfurt/Main Paris London Amsterdam Madrid

Country Bulgaria Germany France UK Netherlands Spain

Electricity Price (EUR/MW, excl. VAT) 45 132 67 113 99 84

Electricity bill (EUR, excl. VAT) 5 518 800 16 188 480 8 216 880 13 858 320 12 141 360 10 301 760

Annual Savings (EUR) 10 669 680 2 698 080 8 339 520 6 622 560 4 782 960

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8 760

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Connectivity

Bulgaria ranks 5th in the world by quality of broadband Internet (research by Cisco Systems, conducted by Oxford University in October 2010).

Sofia – residential users internet quality:

Download – 14,7 Mbps

Upload - 7 Mbps

Latency – 52 ms

Average Price – EUR 8 / month

Multiple international carriers have fiber-optic lines connecting Bulgaria

with Western Europe, Eastern Europe, Turkey and Asia

n x 40 Gbps and n x 10 Gbps

Planned upgrades to n x 100 Gbps in 2011.

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Cheap Quality Labor

Source: National Social Security Institute

Bulgaria is one of the leading outsourcing destinations globally

Blue-chip IT companies with development & service offices in Bulgaria:

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Data Sentry Sofia 1 Location

A growing business district in the area of Sofia Airport

Next to Air Traffic Service Authority, hosting its own Data Centre

Site complies with TIA-942 standards

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Potential Clients

IT companies with offices in Bulgaria

IT companies with clients in Bulgaria

Industrial companies with offices in Bulgaria

International Banks with presence in Bulgaria

Media companies

Government

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Project Status

All permits obtained

Government support for the project

Construction could start in 1H 2011

Implementation period – 24 months

Investment budget ca. EUR 52 mln (EUR 7,500 / sq.m. WS)

Looking for partner with: Possible deal structure:

Data center know how Forward purchase

Strong brand Long-term lease

Sales force Joint venture

Outright sale

Management contract

Mr. Martin Paev, CFAChairman

E-mail: [email protected]

Cell: +359 88 50 50 200

www.sortis.bg11

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