THE STATE OF ZACATECAS, MEXICO

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2016 THE STATE OF ZACATECAS, MEXICO

ZACATECAS Zacatecas is a state with a lot to offer. Its capital city is one of the most beautiful colonial cities in Mexico. Thanks to its history and architecture, the UNESCO declared it a World Heritage Site. Countless historical cultural buildings can be found along the city s European style urban layout along narrow streets, alleys and squares. Its main economic activities are: mining, manufacturing industry, agriculture, and tourism. The state is known for its large deposits of silver and other minerals, such as: gold, cooper and zinc. The state of Zacatecas is located in central Mexico, bordering seven states: Coahuila, Durango, Nayarit; San Luis Potosí, Nuevo León, Jalisco and Aguascalientes. It has a road infrastructure of 10,319Km; a railway network of 674,89Km and one international airport.

Zacatecas, World Cultural Heritage site

General Information Zacatecas has a surface of 75,284 km 2,equivalenttothe3.8%ofthetotalsurface of the country, occupying the 8th national place in territorial extension. UNITED STATES OF AMERICA GENERAL INFORMATION MUNICIPALITIES 58 Mexico Zacatecas ALTITUDE ABOVE SEA LEVEL TIME 2,496 m UTC-6, in summer UTC-5, Central Time Pacific Ocean WEATHER TEMPERATURE Mainly dry 17 º C average Due to Zacatecas privileged location in Central Mexico, is among the few States which has no existing records for any earthquake. In addition, there is no probability that a tsunami or cyclone would happen. SOURCE: State Tourism Ministry

Economic Data INHABITANTS TOTAL POPULATION OF THE STATE 1,579,209 EAP (ECONOMICALLY ACTIVE POPULATION) 640,085 AVERAGE AGE STATE GROSS DOMESTIC PRODUCT (GDP): FOREIGN DIRECT INVESTMENT (FDI) IN THE STATE: 26 YEARS $11.85 billion USD (1.04% of the National GDP) $6.94 billion USD SOURCE: Ministry of Economy

Economic Data ECONOMIC SECTORS SERVICES: TRADE, REAL ESTATE, TRANSPORT, ETC. INDUSTRIAL: MINING, MANUFACTURING, CONSTRUCTION. AGRIBUSINESS, CATTLE FARMING SOURCE: Ministry of Economy Percentages reported are the contribution to the State s Gross Domestic Product (GDP) by Economic Sector.

Competitive Advantages

Competitive Advantages Privileged location and modern infrastructure Stable labor force Pro business environment Legal Security: Investment and Employment State Law Easy access to national as well as international markets High quality of life in a region with low costs Government commitment to maintain favorable conditions for the competitiveness of companies.

Privileged Location PORTS MAZATLAN, SIN MANZANILLO, COL TAMPICO, TAMPS VERACRUZ, VER 598 KM 650 KM 618 KM 1,033 KM BORDERS REYNOSA, TAMPS 662 KM NVO. LAREDO, TAMPS 657KM CD. JUAREZ, CHIH. TIJUANA, B. C. 1,205 KM 2,249 KM Due to the privileged location of Zacatecas, the distribution cost is lower. DISTANCES TO: CD. MÉXICO 626 KM GUADALAJARA 327 KM AGUASCALIENTES 125 KM CONNECTIVITY LOS ANGELES, CA 2,542 KM CHICAGO, IL 2,588 KM CD. MEXICO (DF) 626 KM MONTERREY 455 KM TIJUANA, B. C. 2,249 KM

Privileged Location

International Airport Zacatecas has an International Airport located 23 km. from the capital city. INTERNATIONAL AND DOMESTIC FLIGHTS Direct domestic flights to Mexico City and Tijuana (AeroMexico/ Volaris). International non stop flights To Dallas, Texas (American Airlines); Los Angeles, California and Chicago, Illinois (Volaris).

Human Capital

Human Capital WORLD CLASS EDUCATION: Zacatecas State Government is highly committed to its local talent and the growth of their skills and abilities. 50,864 ENROLLED STUDENTS IN PROFESSIONAL LEVEL 49 UNIVERSITIES, TECHNICAL AND HIGHER EDUCATION SYSTEMS UNIVERSIDAD AUTÓNOMA DE ZACATECAS (UAZ) INSTITUTO TECNOLOGICO DE ZACATECAS (ITZ) ITESM TEC DE MONTERREY CAMPUS ZACATECAS UNIVERSIDAD DE LA VERA-CRUZ (UNIVER) UNIVERSIDAD INTERAMERICANA PARA EL DESARROLLO (UNID) UNIVERSIDAD POLITECNICA DE ZACATECAS (UPZ) UNIVERSIDAD DEL DESARROLLO PROFESIONAL (UNIDEP) UNIVERSIDAD AUTONOMA DE DURANGO (UAD) INSTITUTO POLITECNICO NACIONAL (IPN) UNIVERSIDAD TECNOLOGICA DEL ESTADO DE ZACATECAS (UTEZ)

Investment Opportunities

Investment Opportunities Why invest in Zacatecas? Strategic geographical location Quality infrastructure Government with a pro business and investment focus Efficient links between academia, industry and government Competitive and productive labor force

STRATEGIC SECTORS: METAL MECHANICAL: AUTOPARTS AND AEROSPACE RENEWABLE ENERGIES INFORMATION TECHNOLOGIES MINING METALLURGICAL INDUSTRY AGRIBUSINESS TOURISM AND RELATED SERVICES Investment Opportunities

Industrial Corridor MUNICIPALITY POPULATION EDUCATION INSTITUTIONS INDUSTRIAL PARKS OF TECHNICAL AND SUPERIOR LEVEL TRANCOSO 19,413 GUADALUPE 187,918 6 OSIRIS INDUSTRIAL PARK GUADALUPE INDUSTRIAL PARK LA ZACATECANA INDUSTRIAL AREA LA ZACATECANA INDUSTRIAL PARK ZACATECAS 146,147 7 SCIENTIFICAL AND TECHNOLOGICAL PARK MORELOS 12,354 CALERA 45,204 AEROPUERTO I y II INDUSTRIAL PARKS CALERA INDUSTRIAL PARK GRAL. ENRIQUE ESTRADA 6,325 FRESNILLO 230,865 4 FRESNILLO INDUSTRIAL PARK AGRIBUSINESS INDUSTRIAL PARK TOTAL 648,226 17 10

Industrial Corridor MUNICIPALITY EDUCATION INSTITUTIONS OF TECHNICAL AND SUPERIOR LEVEL STUDENTS TRANCOSO COBAEZ 300 GUADALUPE CBTIS ITESM 6,556 CONALEP UNID UNIVER UTEZAC ZACATECAS ITSZ UAZ 58,175 IPN UAD CIMAT COBAEZ MORELOS COBAEZ 388 CALERA CECYTEZ 633 GRAL. ENRIQUE ESTRADA COBAEZ 502 FRESNILLO ITSF UPZ 3,181 UNID FRESNILLO UAD FRESNILLO UAF TOTAL 69,735

Industrial Corridor MUNICIPALITY INHABITANTS ECONOMICALLY ACTIVE POPULATION AVAILABLE WORKFORCE WORKERS REGISTERER BEFORE IMSS (MEXICAN SOCIAL SECURITY SYSTEM) TRANCOSO 19.413 5370 297 186 GUADALUPE 187,918 65,601 2,590 28,806 ZACATECAS 146,147 57,621 2,232 48,870 MORELOS 12,354 4,153 208 3,242 CALERA 45,204 15,021 452 7,665 GRAL. ENRIQUE ESTRADA 6,325 2039 134 399 FRESNILLO 230,226 77,688 3,305 34,209 TOTAL 648,226 227,493 9,218 123,377

Industrial Corridor TOTAL POPULATION IN URBAN INDUSTRIAL CORRIDOR: 648,226 INHAB. REPRESENTING 41.04% OF THE TOTAL STATE POPULATION Work Force in Industrial Corridor: 227,493 inhabitants

The State of Zacatecas SCIENTIFIC AND TECHNOLOGICAL PARK 38 hectares in the city of Zacatecas. Research and Technological Development Centers, public and private, such as: Research Center of Minera Frisco Mathematics Center of Investigation (CIMAT) Others to be established

Zacatecas increases your Investment

High Quality of Life Zacatecas increases your Investment

High Quality of Life ANNUAL SURVEY OF LIVING COST 2015 2016 Cost of living expenses: Zacatecas has one of the lowest living expenses average cost nationwide, according to the Annual Survey of Living Cost 2015 2016 published by the firm MERCER; Zacatecas had a ranking of 77% placing between the five cities with the lowest average cost of living, among 47 cities that were considered.

High Quality of Life In general, Zacatecas has a good quality of life. The prices of utilities, rent, restaurants, and services in general, are less than other cities in the country, and at the same time, people have access to a good lifestyle because of the lower cost of goods and services.

Contact & Message Zacatecas increases your Investment

Zacatecas, Your Strategic Partner Dear Investors: Thank you for giving us the opportunity to share Zacatecas's advantages with your company. We are truly committed to support your project and will work shoulder to shoulder to bring it to a successful completion. We invite you to explore your options within Zacatecas, a state in growth. Ministry of Economy State Government of Zacatecas

CARLOS BÁRCENA POUS MINISTRY OF ECONOMY OF THE STATE OF ZACATECAS carlos.barcena@zacatecas.gob.mx