st company presentation

Company Presentation Nathalie Magniez

Who we are

  A global semiconductor leader

  The largest European semiconductor company

  2011 revenues of $9.73B(1)

  Approx. 50,000 employees worldwide(1)

  12,000 people working in R&D

  12 manufacturing sites

  Listed on New York Stock Exchange, Euronext Paris

and Borsa Italiana, Milano

About ST

(1) Including ST-Ericsson, a 50:50 joint venture with Ericsson

3

Target markets

Automotive Communications Computer & Peripherals

Consumer Industrial & Other

The focus of our wholly-owned business 4

Energy Management &

Saving

Healthcare & Wellness

Smart Consumer Devices

Trust & Data Security

Multimedia Convergence

Platforms

Discrete & Integrated

Power Devices

Analog ICs & MEMS

Microcontrollers (MCUs)

ASICs

Target Growth Applications Product Portfolio

Partners of our Customers Worldwide with 78 sales offices in 36 countries

Access this map: http://g.co/maps/92he

5

An Unwavering Commitment to R&D

Access this map: http://g.co/maps/kg63

6

7 main technology R&D centers 39 design centers – 20,000 patents 12,000 people in technology, design, product and system R&D

Technology R&D centers

Design Centers

Flexible and Independent Manufacturing 7

Front-End

Back-End

Morocco

France (Crolles, Rousset, Tours)

Italy (Agrate, Catania)

Malaysia

Singapore

Philippines

China (Shenzhen, Longgang)

0

2,000

4,000

6,000

8,000

10,000

12,000

FY05

FY06

FY07

FY08

FY09

FY10

FY11

ST ex Flash Flash Memory Wholly-Owned Business Wireless

US$M

A Strong Position

8

8

  FY11 Reported Revenues = $9.73B

  Wholly-owned business up 1%   Automotive +18%   MEMS +90%

  Wireless down 30%

Target growth rate faster than the markets we serve

-

2011 Revenues by Product Segments

17%

29%

13% 10%

14%

16%

1%

* Includes Imaging business

Automotive

Analog, MEMS & Microcontrollers

Power Discrete Products

Computer & Communication Infrastructure

Home Entertainment & Displays*

Wireless

9

FY11 = $9.73B

Global Presence

Americas

14%

29%

EMEA

24%

38%

Greater China & South Asia

44%

16%

Japan & Korea

18%

17%

2011 revenue by geography

% by location of order shipment % by customer origin

10

Global Presence

Americas

14%

29%

EMEA

24%

38%

Asia

62%

33%

2011 revenue by geography

% by location of order shipment % by customer origin

11

Serving Diverse Markets

17%

14%

10%

9%

27%

23%

Automotive

Computer & Peripherals

Industrial & Other

Consumer Communications

2011 Revenues by Market / Channel FY2011: $9.73B

Distribution

OEM’s

12

Leading Positions in our Markets

17%

14%

10%

9%

27%

23%

Automotive

Computer & Peripherals

Industrial & Other

Consumer Communications

  #1 in China   #3 Worldwide

  #1 in Print heads

  #2 in Printer and hard disk drive motor control

  #1 in Set-top Box outside US

  #2 in Set-top Box Worldwide

  #3 Worldwide

  # 3 Worldwide   Building a

leading position in smartphones and tablets

FY2011 Source: IHS iSuppli, 2010 rankings by segment include sales via distribution

Distribution

OEM’s

13

A Complete Product Portfolio 14


Platforms

Discrete & Integrated Power

Devices

Analog ICS & MEMS


ASICs

People are our Foundation…

36+ countries

Location Headcount Asia ~24,000 France ~11,000 Italy ~8,500 Malta & Morocco ~4,500 Rest of Europe ~2,500 United States ~1,500

43%$

18%$

24%$

15%$

Direct Manufacturing Indirect Manufacturing

Research & Development Sales, General & Administrative

…working everyday to increase the quality and experience of life for all

15

Market & Vision

Semiconductors: the Industry of Industries

0

50

100

150

200

250

300

350

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011e 2012e

Source: WSTS, Nov. 2011

Total Available Market ($B) 8%

CAGR

Serviceable Available Market (SAM) of ~ $177B in 2011

Growth sustained by:   Baseline development   New applications   Pervasion

$B

17

Key Markets / Applications 18

Comms. 27%

Data Processing

36%

Consumer 19%

Industrial 10%

Automotive 8%

0% 10% 20%

Consumer

Data Processing

Automotive

Industrial

Communications

CAGR 2011-15

Source: IHS iSuppli, December 2011 (including memories)

Strategic Trends 19

POWER   Mobile Devices   Energy Saving

SENSING   Man-to-machine Interface

MULTIMEDIA CONVERGENCE   Smart Consumer Devices   Connectivity

Our Vision 20

Making a positive Difference to People’s Lives 21

A world of applications


Sense & Power

A in which we strive to enhance our leadership in “sense and power” technologies and “multimedia convergence” applications.

Leading Sense & Power 22

MCUs

MEMS/Sensors Power Management

Analog

Key Enablers ●  Leading position in key products ●  Rich portfolio of technologies ●  Broad system know-how

Automotive Communications Computer & Peripherals

Consumer Industrial & Other

Supporting our target markets

Driving Multimedia Convergence

Key Enablers ●  Low-power CMOS process roadmap ●  Leading position in all converging markets ●  Broad system know-how

23

Imaging

Digital TV & Monitor

Digital Set-Top Box

Automotive Infotainment

Smartphones & Tablets

Strategy Overview 24

Discrete & Integrated

Power Devices

Analog ICs & MEMS

Micro controllers

(MCUs) ASICs


Platforms

TECHNOLOGIES

PEOPLE

Energy Management &

Saving



Trust & Data

Security

Focus on New Applications Areas

+2.3 billion people by 2050:

population explosion

+1.3 billion people aged ≥60 by 2050: active

population aging

Source: United Nations report 2009, OECD report 2010

+1.3 billion people in the middle class by 2030

laub

arne

s on

flic

kr

Helping to Address the Challenges 26

Addressing Challenges, Driving Growth

Energy Management & Saving




27

Energy Management & Saving

Drivers

  Growing energy demand

  Energy efficiency and costs

  Environmental technology and sustainability

Smart Systems and Application Efficiency

  Generation: Renewable Energies

  Distribution: Smart Grids

  Consumption: Power Supply, Lighting, Motor Control,

Hybrid/Electric Vehicles

Target Growth Applications 28


Target Growth Applications 29

Drivers

Pervasive deployment of “Personal Security” devices   Highly secure MCU platforms   Advanced contactless interfaces   Semi-custom and custom product support

Strong growth in “Embedded Security” applications   NFC controllers & related Secure Elements in

Smartphones   Authentication & Brand Protection   Trusted Platform Modules   Machine-to-Machine interfaces   Internet delivery of multimedia content (OTT)

Target Growth Applications


Drivers   Sedentary lifestyle   Dietary change   Active population aging   Need for reduced costs of hospital care and physician/clinical services

Innovative Systems Solutions to address a world of applications:

  Portable, tele-health monitoring   Wellness, fitness, assisted living   Clinical, diagnostic and therapy   Medical imaging

30

Target Growth Applications


Drivers   Explosion of devices   A unique user experience anytime, anywhere   Connectivity

Deliver multiple services on all screens   TVs, set-top boxes, cars, smartphones and tablets   Open software approach   Common User Interfaces across screens

31

Technology R&D and Manufacturing

An Unwavering Commitment to R&D

  7 main technology R&D centers   39 design centers – 20,000 patents   12,000 people in technology, design, product and system R&D

Access this map: http://g.co/maps/kg63

33

Advanced CMOS Discrete Analog Mixed Signal/RF eNVM BCD MEMS

Technology Competitive Advantage

ST is unique in the semiconductor industry in mastering technologies as diverse as…

…to drive the leadership in Multimedia Convergence and Sense & Power

34

Technology Competitive Advantage

Beyond CMOS: Quantum Computing, Molecular Electronics, Spintronics

« More than Moore »: Diversification «

Moo

re’s

Law

»: M

inia

turiz

atio

n

Analog / RF Passives HV Power Sensors, Actuators Biochips

130nm

90nm

65nm

45nm

32nm

22nm

Bas

elin

e C

MO

S: C

PU

, Mem

ory,

Log

ic

SoC

SiP

VLSI PLATFORM

  Information processing   Digital Content   System-on-chip

  Interacting with people & environment

  Non-digital content   System-in-package

35

Leader in “More Moore” Technologies

* Logic with Embedded Memories

CMOS LOGIC 20nm/20FDSOI 14nm 32nm/28/28FDSOI

Prototyping start 2013/14 2015/16 2011/12

CMOS Analog Mixed Signal/RF

CMOS Embedded non-volatile memory*

55/40nm

80/55nm 40nm

28nm 20nm

28nm

36

And “More than Moore” Technologies

BIPOLAR CMOS DMOS 90nm 65nm 160nm/110

Prototyping start 2013/14 2015/16 2011/12

-0.4mm -trench gate -thin wafer -laser annealing -thick metal

-0.35mm -ultra-thin wafer -very deep trench -multi-epi -silicon carbide (SiC)

-0.2mm -TSV -Gallium Nitride (GaN)

40um/AR1:35 25um/AR1:30 22um/AR 1:25 MEMS (epi-poli thickness/aspect ratio)

POWER & DISCRETE

37

CMOS Technology Alliances 38

Pre T0 Alliance: Advanced R&D   14nn Finfet   FDSOI

ISDA: Bulk/low-power (LP) technology   32/28nm   20nm

*

* Renesas is only part of the Pre T0 Alliance

Manufacturing 39 7 Manufacturing Sites 6 Front-end sites

~130,000 8’’ equivalent wafers per week >100,000 m2 cleanroom area worldwide

6 Back-end Sites ~50 Million parts per day

Front-End

Back-End

Morocco

France (Crolles, Rousset, Tours)

Italy (Agrate, Catania)

Malaysia

Singapore

Philippines

China (Shenzhen, Longgang)

SUPPLIED THROUGH INTERNAL CAPACITY

SUPPLIED THROUGH EXTERNAL FLEXIBILITY

MARKETDEMAND

TIME

AVERAGE MARKET GROWTH

ST INTERNAL CAPACITY

Manufacturing Flexibility 40

Portfolio Summary


Platforms


Devices

Analog ICS & MEMS


ASICs

Leading Product Portfolio 42

Discrete & Integrated Power Devices 43


Platforms


Devices

Analog ICS & MEMS


ASICs

Power transistors

Integrated passive and active devices

Thyristors & triacs

Diodes

Protection

Power modules

Smart Power ASSPs

Analog & MEMS 44


Platforms


Devices

Analog ICS & MEMS


ASICs

ANALOG

Accelerometers

Gyroscopes

Microphones

Compasses

Pressure Sensors

MEMS

Sensors Op Amps

Interfaces

Analog Switches

Multiplexers

Comparators

Reset Supervisors

Analog Front-End

RF ICs

Timers

Microcontrollers 45


Platforms


Devices

Analog ICS & MEMS


ASICs

General Purpose MCUs

Automotive MCUs Secure MCUs

ASICs 46


Platforms


Devices

Analog ICS & MEMS


ASICs

Digital ASICs

Analog ASICs SPEAR configurable

SOC

Multimedia Convergence Platforms 47


Platforms


Devices

Analog ICS & MEMS


ASICs

Automotive Infotainment

Set-Top Box Digital TV & Monitor

Digital Imaging

Sustainability

ST Commitments in Sustainability

Our People

  Labor Rights & Social Issues

  Employee Engagement

  Recruitment, Training & Development

  Employee Health, Safety & Well-being

  Global Diversity & Equal Opportunities

  Business Integrity

Our Products Environment Community

  Responsible Products (Environmentally and Socially)

  Eco-design

  Conflict-free Minerals

  Respect of Intellectual Property)

  Customer Satisfaction

  Transport & Logistics

  Waste Management

  Energy Management

  GHG Emissions from Operations

  Water use at Operations

  Management of Chemicals   Management of Sustainability In Supply Chain

  Public Policy

  Local Sustainability Impacts

  Partnerships in R&D & Education

  Ethics Code of Conduct

  ST Foundation since 2001

49

Sustainability mission "To be recognized as world leader in innovation for sustainable development

through excellence in our people, our products, the environment and the community”

Quality

ST Quality 7 Pillars Pr

oact

ive

qual

ity

Rea

ctiv

e qu

ality

Quality Excellence Objectives   DPPM reduction   Zero excursions

  Flawless Execution

Pro

duct

& te

chno

logy

de

velo

pmen

t

Cha

nge

man

agem

ent

Peo

ple

Bus

ines

s pr

oces

ses,

Too

ls &

in

dica

tors

Cus

tom

ers

Eco

nom

ic V

alue

Man

ufac

turin

g &

sup

ply

chai

n

51

Organization

50/50 JV with Ericsson

Focused Product Segments

53

Digital Convergence

Platform (DCG)

Imaging, Bi-CMOS ASIC & Silicon

Photonics Group (IBP)

Automotive Products

Group (APG)

Analog, MEMS & Sensors (AMS)

Micro, Memory & Security (MMS)

Industrial & Power

Discrete (IPD)

Digital Automotive Analog & Microcontrollers

Power Discrete Wireless

53

Italian Ministry of the Economy and Finance

50% (1)

ST Holding N.V. 100%

ST Holding II B.V. 27.5%

Public (2) (3) 69.3%

STMicroelectronics N.V. (ST)

(1) Based on Corporate Governance rights pursuant to ST Holding Shareholders’ Agreement. (2) New York Stock Exchange, Euronext, Paris and Borsa Italiana, Milano (3) In addition to the 27.5% held by ST Holding II B.V. and the 69.3% held by the Public, 3.2% are held by the Company as Treasury shares

FSI CEA

FT1CI 50% (1)

Shareholding Structure 54