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1 November 2018 BUILDING NORTH QUEENSLAND'S DEFENCE SUPPLY CHAINS FORUM Thank you for your attendance at the Forum, as well as your continued interest in Downer and Spotless (Downer Group). Our long-established and continuing support of North Queensland local industry is represented by the permanent workforces and facilities of our Asset Services, RPQ and Spotless businesses. The accompanying documents provide an overview of Downer Group’s collective Defence Industry capabilities and services. In addition to reviewing these, we encourage you to discover more by reaching out to the below representatives: Downer Defence Development Trent Higgs 07 3249 0153 Manager Strategy & Growth Trent.Higgs@downergroup.com Spotless Defence David Gardiner 0421 342 662 Procurement Manager David.A.Gardiner@spotless.com.au

Downer EDI LimitedABN 97 003 872 848

Triniti Business Campus39 Delhi Road

North Ryde NSW 2113

1800 DOWNERwww.downergroup.com

DEFENCE SERVICES

Our business is founded on the deeply held value of Zero Harm. We firmly believe that any injury or disease is unacceptable and preventable. The health and safety of our people and communities is always our top priority.

DOWNER SERVICE LINES SUPPORT THE ENTIRE MILITARY CAPABILITY LIFECYCLE

• Consulting and advisory services

• Business case development

• Strategic procurement support

• Cyber security and ICT strategy and architecture

• Systems engineering• Operational concepts

development• Capability lifecycle

definition and documentation

• Project management

• Early contractor involvement

• Managing contractor

• Head building contractor

• Vertical construction• Design

management• Systems integration• Sustaining capital

projects• Upgrades and

modifications• Platform

manufacture and assembly

• Asset management• Engineering support• Maintenance support• Supply support• Training support• Operations support• Fleet management

• Integrated facilities management

• Estate upkeep• Maintenance• Asset management• Data management• Land management• Cleaning and

housekeeping• Laundry services• Base operational services• Utilities management

Construction and maintenance of:• HV electrical • Road and runways• HVAC and

mechanical• Water and waste

water• Power generation• Gas and fuel

infrastructure• Information and

communications technology (ICT)

• Physical and electronic security

STRATEGY AND CONCEPTS

RISK MITIGATION AND REQUIREMENT SETTING ACQUISITION IN-SERVICE

AND DISPOSAL

DOWNER SPOTLESS AGIS ENVISTA

DOWNER GROUP

PROFESSIONAL SERVICES

THROUGH-LIFE SUSTAINMENT

ESTATE UPKEEP

PROJECT DELIVERY

$12B REVENUE

$42B ORDER BOOK

53K STAFF

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A TRULY AUSTRALIANCOMPANY

Downer Group provides a broad range of strategic, technical and facilities services to the Australian Defence Force and the New Zealand Defence Force, as well as civilian agencies.

Downer Group (incorporating Spotless, Downer, AGIS and Envista) is a seamless team with unmatched capabilities in maintenance, operations, strategic advice, technical services, construction and program management, professional advisory services, estate maintenance, through-life support, specialist trades and building construction.

Resulting from our partnerships with Defence is a wealth of experience to respond to the changing operational needs of the Army, Navy and Airforce.

Downer Group brings together the experience and technical expertise in the delivery of a full range of facilities and asset management services — ensuring quality and rigorous compliance.

As an ADM Top 10 Defence Contractor, we are proven as a trusted and long-term partner.

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DOWNER / SPOTLESS HISTORY WITH DEFENCE

1941 1953 19981965 - 1968 1969

1943 1960 1971 1995 2000

19881977

Construct 11 Bathurst Class anti submarine Frigates for Royal Australian Navy

Construct four ‘River Class’ Frigates (HMAS Burdekin, HMAS Diamantina, HMAS Shoalhaven and HMAS Murchison) for Royal Australian Navy

Construct Explorer-class vessels: HMAS Bass and HMAS Banks

Awarded first generation outsourcing contract for defence estate upkeep and maintenance works (buildings and facilities, plant and equipment)

Construct F-111 Maintenance Hangar for RAAF Amberly

Construct 8 Balikpapan class landing craft (400 soldier capacity)

Construct Koala-class vessel: HMAS Kimbla

Construct 20 Attack Class Patrol Boats at facilities in Brisbane and Maryborough

Construct supply carrier vessel HMAS Japarit

Awarded $22m electrical services construction at RAAF Base Learmonth

Design and manufacture Echidna Explosive Ordnance Demolition robot

Awarded airfield lighting and control systems contract at RAAF Bases Pearce and Gin Gin

Partner with Mercedes Benz to deliver the Medium Recovery Vehicle variant of the Unimog truck

Images courtesy of the Royal Australian Navy and Victoria Police Museum

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20072003 2010

2015 2017

2018

2001 2006 2008

2011

20142004-2005

Awarded contracts for defence estate upkeep and maintenance works (buildings and facilities, plant and equipment) for various Defence bases in NT, WA, VIC and SA.

Appointed facilities maintenance contractor for NZ Defence Central Region (Burnham)

Awarded and deliver runway pavement overlay at HMAS Albatross

Appointed as estate upkeep and base operations services provider to 170 defence sites across QLD and NSW in $2 billion multi year contractAppointed first generation of

combined hard and soft services contract for SE QLD Defence bases

Appointed facilities maintenance contractor for NZ Southern Region (Burnham)

Awarded taxiway widening project at RAAF Williamtown

Appointed integrated facilities provider for 25 years to HQJOC high security facility

Awarded $10m of HV electrical upgrade works at

RAAF Williamtown

Delivered airfield pavement surface enrichment to Jervis Bay Airfield, RAAF Pearce, RAAF Darwin, RAAF Gin Gin, RAAF Tindall, HMAS Albatross, RAAF Amberley, RAAF Townsville and RAAF Scherger Provide

extensive runway rehabilitation works at RAAF Richmond, RAAF Williamtown and RAAF Edinburgh

Awarded $19m of HV upgrade works at Holsworthy defence base

Awarded $30m of HV upgrade works at RAAF Williamtown

Appointed as one of four Major Service Providers (MSPs) to the Department of Defence’s Capability Acquisition and Sustainment Group (CASG)

Awarded 20km fibre optic communications

line installation, SA Defence Installation

Awarded HVAC works package,

HMAS Cerberus

Appointed Managing Contractor for $140m Shoalwater Bay Training Area Remediation Project

Awarded HV upgrade, RAAF Richmond

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DEPARTMENT OF DEFENCE ESTATE MAINTENANCE AND OPERATIONS SERVICES, QLD AND SOUTHERN NSWSpotless provides integrated services to Defence across 170 bases in Australia through our Department of Defence Estate Maintenance and Operation Services (EMOS) contract, encompassing the Queensland and Southern NSW Defence Regions including the ACT. The EMOS contract includes all Base Services activities that support and service the land, buildings and infrastructure on the Defence Estate.

Contracted until 2022, Spotless provides:

• Estate upkeep (planned and reactive maintenance)

• HVAC, electrical and power generation services• Training areas and range management• Land management• Laundry, dry cleaning and treatment • Cleaning and housekeeping• Base services support centre• Transport and airfield operations support• Pest and vermin management, control and

treatment• Reprographics and printing• Sports and recreation• Management, integration and coordination

QUEENSLAND MAJOR BASES SERVICED:

• RAAF Base Townsville• HMAS Cairns• Lavarack Barracks Townsville• Army Aviation Centre Oakey• RAAF Base Amberley• Kokoda Barracks Canungra • Gallipoli Barracks Enoggera

NSW MAJOR BASES SERVICED:

• HMAS Creswell• HMAS Harman• Royal Military College Duntroon• Australian Defence Force Academy• Russell Offices Canberra• RAAF Base Wagga• Blamey Barracks Kapooka• HMAS Albatross

DEFENCE EXPERIENCE

Downer Group helps our defence clients maximise operational capability outcomes and reduce costs while maintaining a focus on the conditions and comfort of Defence and base personnel.

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WE MAINTAIN AND SUPPORT 170 DEFENCE BASES

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ROAD AND RUNWAY MAINTENANCEOur pavement rehabilitation expertise has provided vital airfield maintenance works on roads, runways and taxiways at RAAF Base Williamtown, RAAF Base Edinburgh and RAAF Base Richmond, NSW through the National Airfield Maintenance Program.

Downer also refurbished the Puckapunyal tank target track in Victoria, as well as drainage improvements and maintenance.

HEADQUARTERS JOINT OPERATIONS COMMAND, AUSTRALIAN CAPITAL TERRITORYSpotless delivers facilities management services to the Department of Defence at its high security Headquarters Joint Operations Command (HQJOC) site through a Public Private Partnership arrangement. HQJOC is the command centre where the Australian military control all overseas ‘war like activity’ along with domestic emergencies where Defence have a commanding role.

Spotless provides a total facilities management service including building and equipment maintenance, security and emergency response, cleaning, catering, helpdesk, administration and concierge services, pest control, waste management services, and asset lifecycle replacement requirements.

NZDF: DEFENCE PROPERTY GROUP, MANAWATU AND SOUTHERN REGIONSpotless provides facilities maintenance services under the contracts of Facilities Maintenance and Management Services at New Zealand Defence Force (NZDF)’s Manawatu Hub (Central Region) and National Army Museum, for our client, the NZDF: Defence Property Group.

We have provided facilities maintenance services to NZDF since 2011 and will continue to service the contract through to June 2021. Our remit includes:• Asset management• Data management• Operational maintenance• Cleaning• Grounds maintenance• Swimming pool management

Since our first facilities maintenance contract was awarded in 2005 for Trentham Military Camp, Spotless has provided a broad range of asset management and facilities management services to a number of NZDF locations, including the Manawatu Hub and National Army Museum in addition to Trentham. In June 2015 we were awarded the facilities maintenance contract for the NZDF Southern Regional Burnham Military Camp.

DEFENCE EXPERIENCE

WE HAVE DELIVERED OVER 2 MILLION M2 OF RAAF AIRFIELDPAVEMENT WORKS

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DEFENCE EXPERIENCE

WE HAVE BEEN SUPPORTING DEFENCE FOR OVER 80 YEARS

DEFENCE EXPERIENCE

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DEFENCE PROFESSIONAL SERVICES AGIS and Envista are Downer’s lead businesses in the provision of professional services across the Defence and National Security domain. Now working together, with over 270 security cleared consultants, both companies have proven and extensive track records delivering project management, systems engineering, commercial support, capability management, ICT, cyber security, solutions architecture, platform integration, and integrated logistic support services.

The teams are adept at contributing to outcomes across the Capability Life Cycle (CLC) for most ADF Materiel Systems. These businesses have established themselves as thought leaders and major contributors to the modernisation of land, maritime, air and joint communications and information systems in the ADF throughout the last decade. The companies have supported key elements of the next generation of information environments, defining operating concepts and system architectures to meet new threats, replace obsolete capabilities, and achieve Government approvals.

As technology consulting service providers specialising in ICT and C4ISREW, AGIS and Envista partner with Defence to plan, architect and deliver complex and security sensitive capabilities. Our reputation is built on defining and delivering complex large-scale multi-million-dollar systems across multiple security domains with physical, information and cyber security integrated across all services.

BASE ELECTRICAL SERVICESDowner delivers electrical services to Defence base infrastructure, including earthing and bonding installations for aircraft and support ground equipment, and providing lightning protection at Defence Establishment Orchard Hills. Downer replaced high voltage generators during the Liverpool Area Military High Voltage Upgrade Project and are carrying out the current upgrade of HV infrastructure at RAAF Base Williamtown. Low voltage switchboards, protection panels, control panels and PMCS panels can be manufactured in-house, ensuring equipment meets custom specification and is fit for purpose. Managing outages, shutdowns and understanding the Defence operational requirements during electrical upgrades are major considerations in these critical projects, and all work is done in compliance with Defence safety and security requirements.

PLATFORM AND EQUIPMENT UPGRADESDowner has worked closely with the Australian Army to design and manufacture the Echidna Explosive Ordnance Disposal Robot; constructed significant infrastructure such as the F-111 Fighter/Bomber Maintenance Hangar at RAAF Amberley; and partnered with Mercedes-Benz to deliver the Medium Recovery Vehicle (MRV) which is still in service today.

WE HAVE DELIVERED>$100M OF HV UPGRADES TODEFENCE INSTALLATIONS

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DEFENCE EXPERIENCE

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ULTRA-CLASS VEHICLESSCALEIn addition to our own fleet of over 3500 pieces of plant and equipment, we maintain 700 units of heavy mining haulage and earthmoving equipment, including 450 pieces of ultra-class (carrying capacity >272 tonnes), and 210 staff in three ultra-class maintenance facilities.

SCOPEAs part of our holistic asset management and fleet management capabilities, we perform scheduled and breakdown maintenance and specialist tyre management, condition monitoring, reliability engineering, planning and maintenance.

ACHIEVEMENTIn support of one of our mining clients, we have driven changed maintenance procedures that have reduced maintenance costs by $30m and increased equipment productivity by 35%. The application of our innovative technology and data management capabilities has resulted in the development of our RAMS Health and Usage Monitoring System. The is OEM agnositic solution RAMS is enabling additional efficiency, reliability and productivity improvements.

PARTNERSHIPSWe work with the world’s biggest Original Equipment Manufacturers (OEMs) on equipment such as 360-tonne Caterpillar 797 haul trucks, diagnosing and engineering to keep them running in the most cost-efficient manner. Through our relationship with Hitachi, we are supporting

CASE STUDIES: THROUGH-LIFE SUSTAINMENT OF KEY PLATFORMS

advancements in autonomous vehicular technology and applications.

QUALITYWe have in-house asset management specialists, test and evaluation experts and and reliability engineers to support our maintenance teams. All work is conducted in accordance with Downer’s Integrated Management System, accredited to ISO9001 and ISO 55001.

SYDNEY TRAINSSCALE• Initial $3.6B contract to deliver 78 eight-

carriage Waratah passenger trains for the NSW Sydney rail network, with a 30-year maintenance agreement.

• Second $1.7B Sydney Growth Trains contract to deliver 24 double deck eight-car trains (with options for 45 additional sets), with a 25-year maintenance agreement.

• 217 highly skilled staff including 25 engineers, 135 technicians, and 10 apprentices.

SCOPE• Prime contractor for manufacture and delivery

of Sydney Growth Trains, Waratah Trains and simulator.

• Design, Construct and operation of $220M Auburn Maintenance Centre as part of PPP project.

• Through Life Support Contract for 30 years (Waratah Trains) and 25 years (Sydney Growth

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YARRA TRAMSSCALE

• 450+ trams;

• 2,200 employees;

• 250km of track;

• 35,000 weekly services;

• 180 million passengers a year

Yarra Trams moves more than 200 million people each year, and is the primary mode of public transport for inner-suburban residents, connecting Melbournians with employment, social, cultural and educational opportunities and choices.

As the oldest continually operating electric tramway in the world, our focus is on asset stewardship, technology refresh and regulatory compliance.

Our combination of technical asset management and customer-oriented approach deliver a quality public transport capability and experience.

With the Victorian Government, we have overseen a major investment in the modernisation of the network through the rollout of the E-Class tram, the renewal of the heritage depot at Preston and the upgrade of select infrastructure across the network.

Trains). The performance based contract includes, Engineering, Operations, Maintenance, Supply and Training support services.

• Development and maintenance of training documentation, and maintenance of the training simulator.

ACHIEVEMENT• Waratah Trains achieved 100% availability over 4

months including additional sets throughout the Easter period; up to 76 Sets each.

• Over a year, the Waratahs made up approx. 25% of the city’s rail fleet but were responsible for only 5 per cent of the faults on trains in Sydney.

• Downer Rail manages and maintains the only two fleets operating on the Sydney network meeting Sydney Trains KPI targets.

• Waratah Trains exceeded 3 Month Moving Average reliability KPI target of 50,000km by 76,857km.

• Waratah Trains’ mean distance between incidents (MDBI) target exceeded, with 84,561km against a requirement of 50,000km.

OEM PARTNERSHIPS / INTERFACE• Waratah Trains designed under JV with Hitachi,

and manufactured by subcontractor Changchun Railway Vehicles Co (CRRC).

• Sydney Growth Trains to be manufactured and delivered by CRRC Changchun Railway Vehicles under sub-contract arrangement.

• Waratah Trains project is a PPP with Sydney Rail, Reliance Rail, Downer and Hitachi.

ENGINEERING SUPPORT Asset Management, reliability engineering, modifications engineering, process improvement, test and evaluation, data analysis

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MAINTENANCE SUPPORT Maintenance management, preventative, corrective, planned and reactive maintenance

SUPPLY SUPPORT Logistics, spares and parts, Logistic Support Analysis (LSA), warehousing

TRAINING SUPPORT Operator and maintainer training development and delivery

OPERATING SUPPORT Fleet management, operational efficiency and productivity analysis and operation of vehicles, plant and equipment

MOUCHELRELATIONSHIP OVERVIEWA 50/50 joint venture between UK infrastructure provider Kier (Mouchel) and Downer EDI Limited. Formed in 2009 to target the management of major road networks through life sustainment and asset management.

RELATIONSHIP SUCCESSESKier (Mouchel) had no Australian presence or revenues before partnering with Downer.

The DM Roads joint venture has secured over $3 billion of revenue across:

• Intelligent transport systems maintenance contract (West Zone) – five-year contract for NSW Roads & Maritime Services

• Stewardship Maintenance Contracts (Sydney West, Sydney North Zones) – seven-year contracts for NSW Roads & Maritime Services

• Integrated Service Arrangements (3 zones) eight years for Main Roads Western Australia

• Road Asset Maintenance for Main Roads QLD

• Regional maintenance contracts – seven-year contracts for Main Roads, Western Australia

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CASE STUDIES

KEOLISRELATIONSHIP OVERVIEW A 51/49 joint venture between French transport operator Keolis and Australian contractor Downer EDI Limited. Formed in 2009 to target multi-modal public transport opportunities.

RELATIONSHIP SUCCESSESKeolis had no significant Australian presence or revenues before partnering with Downer. The Keolis /Downer Joint Venture has secured $5 billion of revenue across:

• Yarra Trams Melbourne – operating and maintaining the world’s largest light rail network

• G:Link Gold Coast – operating and maintaining the Gold Coast light rail system

• Australian Transit Enterprises – running a fleet of 900 buses

• Newcastle Transport – operating the Newcastle bus and ferry network

CASE STUDIES: PARTNERING WITH GLOBAL PRIMES

Downer Group has a long history of partnering with international primes to assist them in accessing, securing and delivering significant works in the Australian market.

THE KEY TO OUR SUCCESS HAS BEEN OUR ABILITY TO:• Access a complex and deep Australian

industry content supply chain• Provide local delivery presence and local

labour content• Leverage our track record with Federal and

State Government as a long-term partner

CRRCRELATIONSHIP OVERVIEWThis partnership between the worlds largest rail OEM Changchun Railway Vehicles (CRRC) and Downer EDI Limited began in 2011 to target long-term rail and transport sustainment opportunities.

RELATIONSHIP SUCCESSESCRRC had no significant Australian presence or revenues before partnering with Downer.

CRRC / Downer-led consortiums secured $7.5 billion of revenue across:

• Waratah Trains – design, delivery and 30-year maintenance of 78 double-decker eight-carriage passenger trains

• Sydney Growth Trains - design, delivery and 25 year maintenance of 24 double-decker eight-carriage passenger trains

• High Capacity Metro Trains - design, delivery and 30-year maintenance of 65 new metro passenger trains

CASE STUDIES

SOIL AND WATER CONTAMINATION TESTINGMultiple defence sites have been affected by aqueous film forming foam (AFFF) in the soil from legacy fire-fighting foams. AFFF contains contaminants that are difficult to remove. Spotless has purpose-built a facility to enable storage, testing, separation and treatment of water and sludge contaminated by AFFFs.

IOT SENSORSThe Spotless Smart Sensor Solution enables us to remotely and wirelessly monitor asset conditions for effective proactive maintenance. These plug and play sensors measure meter counts, lights, on/off, vibration, humidity, temperature, motion, and LUX, providing real-time data 24/7 for immediate response and insights into the performance of your assets.

ROBOTIC LAWNMOWERSSpotless has been trialling a robotic motor that provides great control and obstacle sensors to shut down/redirect the machines for safety. Spotless has been working closely with Husqvarna to make the tool even more effective in the Defence environment.

HYDRO-STATIC PAVERSHard stand areas across Defence Estates can cause drainage issues in addition to mould and mildew build-up on concrete and paved areas. Hydro-static paving absorbs water and reduces run off and subsequent erosion. The durable eco-friendly pavers provide benefits in cost-savings from mould and mildew cleaning, and water conservation.

REMOTE ACCESS MONITORING SYSTEM (RAMS) FOR HIGH VALUE MOBILE ASSETSDowner have developed our Remote Access Monitoring System (RAMS) to remotely monitor and report on the health, usage and performance of high value and complex mobile assets.

Combining the capabilities of our plant and equipment, IoT and advanced analytics teams, RAMS solves the problem posed by OEM proprietary and federated monitoring systems and provides an aggregated and cost-effective tool for the management of diverse fleets.

Through a simple OEM agnostic interface, fleet managers and asset owners are able to readily view the status of their fleet, identify opportunities to improve utilisation and performance, and adjust maintenance programs to minimise total cost of ownership.

ENERGY AS A SERVICE SOLUTIONS AND LABOUR EFFICIENCIESSpotless has several Energy as a Service (EaaS) solutions, including solar pv panels, co-gen and tri-gen generators and solar hot water systems. Innovations with defence bases includes smart bin level sensors (which optimises collection routes and reduce costs) and replacing very costly emergency exit lighting with a much cheaper, end-to-end LED lighting solution, reducing costs, energy usage, emissions and waste.

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CASE STUDIES

CASE STUDIES: INNOVATION

We differentiate ourselves through the use of technology and innovation, to ensure our services to Defence are delivered with optimum efficiency and minimal cost to both client and the environment.

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TRAPEZOIDAL RUNWAY GROOVING Downer have worked with its international supply chain to secure exclusive Australian and New Zealand rights to the innovative trapezoidal runway grooving technology used at some of the world’s biggest international airports and an array of US Defence bases. This specialist grooving technology improves runway pavement safety and reduces pavement maintenance through:

• Increasing groove integrity in comparison to standard grooving

• Reducing rubber build-up in the landing and braking zones

• Promoting rapid water evacuation from the runway surface

Downer has the sole partnership in Australia and New Zealand to provide this leading edge, proven and globally patented grooving technology.

CASE STUDIES

Downer designs, builds and sustains assets, infrastructure and facilities and is the leading provider of integrated services in Australia and New Zealand.

MORE ABOUT DOWNER GROUP

SCHOOL

H O S P I T A L

H O T E L

L A U N D R Y C L E A N OG A S C O

(BUSINESS)(DEFENCE FORCES)

TRANSPORT

• Surfacing

• Network management

• Bitumen and logistics

• Infrastructure projects

RAIL

• Manufacturing

• Maintenance

• Public transport operations

UTILITIES

• Power

• Gas

• Water

• Renewable energy

• Communications

SPOTLESS

• Heath, education and government

• Commercial and leisure

• Defence base and township

• Laundries and linen

EC&M

• Engineering

• Construction

• Operations and maintenance

MINING

• Open cut

• Underground

• Blasting

• Asset and tyre management

Downer Group (incorporating Spotless, Downer, AGIS and Envista) is Australia’s top fifth largest employer, retaining 53,000 staff. We are ASX Listed, boasting a $12 billion revenue at last quarter, an order book value of $42 billion and we have sovereign industry capability.

EMPLOYEES BY STATE

TOWNSVILLE

BRISBANE

CANBERRA

CAIRNS

DARWIN

9,700

630

12,000

13,300

3,900

200

7,500

7,500

WE DELIVER $6B OF WORKS TO GOVERNMENT ANNUALLY

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SECONDED 50 PEOPLE TO WORK IN JARWUN INDIGENOUS

COMMUNITIES SINCE 2004

DOWNER HEAD OFFICE39 Delhi Road, North Ryde NSW 2113 • T +61 2 9468 9700 • downergroup.com

SPOTLESS HEAD OFFICE549 St Kilda Road, Melbourne VIC 3004 • T +61 3 9269 7600 • E enquiries@spotless.com.au • spotless.com

We proudly deliver service to Australia and New Zealand’s Defence Force through these companies

SPOT0904

DOWNER GROUP