P.12 P.20 P. 22. main topic: The newest technologies used in creating security products. The Many Facets of Switzerland Introduced to the World

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1 20 / 2016 Manuela Pfrunder, Head of Gestaltung Manuela Pfrunder GmbH, Designer of new Swiss banknotes main topic: The newest technologies used in creating security products The Many Facets of Switzerland Introduced to the World P.12 New possibilities for banknote design and security P.20 Globes and Hands on New Swiss Banknotes P. 22

2 р р The main design feature of the new Swiss 50-franc banknote is the wind The Many Facets of Switzerland Introduced to the World The new banknote series was introduced at BANKNOTE Conference in Washington, DC, in May, These banknotes traveled a long way from a decision to issue a new series to being put into circulation. It took 11 years. In April, 2016, the first banknote of the new series appeared, it was a Swiss 50-franc banknote. Representatives of the National Bank of Switzerland are sure that new banknotes are ones of the best protected in the world. Swiss banknotes have very modern design. Beat Grossenbacher, Head of Cash in the Swiss National Bank, told Watermark magazine about the 50-franc banknote, the design concept of the banknote series, about the substrate and the security features. Fig. 1 Why did the Swiss National Bank make a decision to issue a new series? I ll tell you a bit about the history of Swiss banknotes. The Swiss National Bank started issuing banknotes in 1907; since mid of last century a new series appeared approximate every twenty years. The main strategy of the National Bank is to use the most recent technologies to protect notes from counterfeiting. The previous, or the 8th series, was issued more than 20 years ago, in 1995; and we think that it was quite successful. They were wellprotected and people liked them. There were very few counterfeited banknotes abut 3 5 for every million in circulation, and the quality of counterfeited notes was very low. If an amount of counterfeited notes was so small, was it reasonable to invest into a new series? I agree but the strategy of the National Bank is to renew banknotes before counterfeiters can sharpen their skills. With this procedure, the National Bank tries to avoid a counterfeiting attack. So, this is the reason to invest into a new series.

3 р р Did banknotes of all nominal values remain in the series? Yes, they did. There are the same notes in the series: 10-, 20-, 50- and 100 franc ones. The 200 franc note that replaced the 500 franc note in the sixth series, will remain in circulation. The highest value note of 1000 francs will remain as well. What has changed on the banknotes? The layout of an image remained the same as it was in the previous series, it is vertical. The main colors of each nominal are the same because people get used to them. We have changed size and new notes are less than previous. Old banknotes were 74 mm wide, but new ones are 70 mm wide. The length of the old banknotes varied from 126 to 181 mm, but in the new series it is varied from 123 to 158 mm. For example, a new 50 franc banknote is 70 mm wide and 137 mm long. Smaller banknotes fits wallets better. People find it easier to use them. Besides, smaller banknotes are cheaper to be produced. We also changed banknotes design and improved the security complex. And we use new substrate to print them. Why did the Swiss National Bank choose Durasafe for its banknotes? The substrate consists of three layers paper, polymer and paper. It allows to have the same tactile feeling. But paper-and-polymer substrate allows to integrate additional security features, to create transparent and semi-transparent windows, and to use intaglio printing on both sides. We also believe that Durasafe will allow to prolong the lifespan of banknotes. Will all banknotes of the new series be printed on Durasafe? Or just particular nominal values? All banknotes will be printed on that substrate. In the press releases dedicated to the new banknote series they say about new technologies that were used to protect banknotes. What are these technologies? For the new series we decided to use technologies and security features that proved their efficiency as well as new innovative features. From the very beginning we worked together with experts in design and banknote security, with companies that have been working with the National Bank for a long time and have a lot of experience in making banknotes. Our main partners are Orell Füssli security printing (banknote printer) Landqart (the substrate manufacturer), Kurz (the security foil manufacturer) and Sicpa (they produce ink). And we have a new partner Gestaltung Manuela Pfrunder they created the graphic design for new banknotes. Which security features appeared on banknotes? As I said, these are transparent and semi-transparent windows. Three-layer substrate allows to integrate security threads and other features seen against the light. On the 50 franc note there is an image of the Swiss cross and the nominal value 50. On the front side of the note there is a foil stripe KINE- GRAM VOLUME made by Kurz. If one tilts a note from left to right, one can see red and green 50 on four lines. If one tilts a note backwards, one can see an outline of Switzerland and Swiss Alps. On the stripe there is also a silver image of 50 and at a close look one can see an image of the Swiss cross and silver microtext names of all Swiss peaks which are higher than 4000 m. Another security feature which is easy to recognize is SPARK. The globe on the banknote is made with optically variable inks. If one tilts a note from left to right, a golden arc moves over the globe. If one tilts a note backwards, the colour changes from copper-goldish to green. Many images on the banknote are made with intaglio printing, so one can see and recognize them by touch easily. On the front side of the note there is a hand, 50 and the name of the emitting bank in four languages made with scratch-off printing. We also used MICRO- PERF this is a perforated Swiss cross seen against the light. There are also tactile features for visually impaired people these are groups of horizontal lines along the banknote. Visually impaired people took part in developing because it is important for people to make notes convenient to use. After the banknote was put into circulation, we got positive feedback from visually impaired people. They say that intaglio printing on new banknotes is better that in the previous series. There are about 15 security features of the first level for public. The banknote also has a watermark, coincidental images, microtext, UV and infrared security features and so on. They help to check if a note a genuine. It is enough to touch it, to see against the light, to tilt it and to look at it through magnifying glass. In informational booklets this slogan sounds like tilt, magnify, feel and look. How did specialists from the Swiss National Bank choose the security features? Did they discuss how many and what kind of security features should be on the banknotes? Of course, there were a lot of discussions. We discussed efficient security features and their cost; this is a very important aspect for national banks. Is there any difference in security features for high and low nominal banknotes? No, there isn t. The security complex is the same for all banknotes. This is the concept of the Swiss National Bank. Counterfeiters can make notes of low nominal values and then turn to the others. We choose the strategy to use the same security features for all banknotes, as it was in the previous and in the 8th series. This new design is very innovative. How did you find the concept? We started developing the design concept in In 2007 there was a tender for the best design and a designer Manuela Pfrunder won it. As you see, it took a lot of time to develop it, but there were two stages. On the first stage, up to 2010, the general concept was developed. It was essential not only to create the design, but also to combine it with security features. We tested the features for durability. Some of them did not meet our standards. It was very challenging work; design and security features layout had to be approved. As a result, we had to change design and optimize the security

4 р complex where it was essential. The second stage started in 2012 when we started production. It was necessary to develop a general plan together with the main manufacturers. One of the most important lessons was to work together. It was not worth finger pointing in case of problems. We had to gain a common result. What is the new series design dedicated to? The Swiss National Bank decided to replace portraits of historical people with images of national features of the country. The theme of the series is The many facets of Switzerland. Each banknote has its own motive. For example, the main motive of the 50 franc note is the wind. The common element for the whole series is a hand and the globe. The idea of the wind is expressed with the hand holding a dandelion with flying seeds, wind driven currents on the globe surface and a paraglider on the back side of the note. Did you carry out an information campaign? It was very important for us to show people what security features there are on the banknotes. We had very little time. On April, 6th the bank announced the banknote and in a week we issued it. During that time we had to carry out nationwide information campaign. We published brochures and other information booklets. We broadcasted information on the TV, posted in the Internet, on the web site of the Swiss National Bank. To draw attention of the young generation, we developed a special application to present certain information relating to design and security features of Swiss banknotes. The app offers no guarantee of the authenticity of Swiss banknotes. When are you going to issue the rest of the banknotes? We are still producing other banknotes and next spring we are planning to issue a 20 franc banknote. Then 10-, 200-, and 100 franc banknotes will be issued on a half-yearly or yearly interval. By the year of 2019 we are going to issue all of them. We believe that new banknotes will be used for the next 20 years successfully.

5 р р Creating banknotes is like playing in an Orchestra Dieter Sauter, Head of Security Printing Division and the Chief Technology Officer, Orell Füssli Security Printing the producer of Swiss banknotes answered the questions of Watermark magazine. How would you describe Orell Füssli s work on the Swiss banknotes? In our presentation at the currency conference, we have decided to compare the work on banknotes with playing in an orchestra. One part of the orchestra makes the substrate, the second part creates the designs, the third part deals with security features, and the forth makes researches in laboratory. And there are also the suppliers for the inks and the foils. The production process requires special equipments. All these parts have to work as a team to get a perfect result. What challenges did you face? We had problems at almost every steps. First of all, Durasafe is not an ordinary substrate. It consists of three layers where security features are applied. But the main problems we had were with the new security features embedded into the Swiss banknotes. For example, when we applied the foil with Kinegram Volume on the substrate, the substrate starts waving and cracking. We have made some trials and to avoid it we applied a stripe on the back side of the banknote. To avoid cracks and wrinkles, we developed a new heating system on the machine for foil application. As a result, we managed to get a very smooth banknote surface. The banknote has a lot of features design. Did you have any problems with it? We used different printing technologies. You can see highly intensive and bright colours, we did it with the help of offset printing. We used 8 offset colours and 5 intaglio colours. Intaglio printing can be easily recognized by touch, especially symbols and letters. For example, the arrows on the globe are 3D images and they can be recognized by touching them. We had difficulties with the inks as well. The main problem was to combine all the features in one banknote, that would pass the tests for mechanical strength and durability. We did a lot of work to be sure to always meet the very high quality standards defined by the Swiss National Bank. How did you manage to solve all the problems? It was quite challenging. We renewed our equipment. Not only optimization was required, but also customization of the designs. But moreover, all participants in our orchestra contributed a lot to achieve this high quality result. We managed to get this masterpiece thanks to constant development, with strong partners and suppliers, and by being supported by the Swiss National Bank.

6 р р The new series of Swiss Franc banknotes use a three-layer composite substrate called Durasafe. Antonio Riccio, Vice President of Sales and Marketing for Landqart, manufacturer of the substrate, gives us more details: New possibilities for banknote design and security Can you tell us why the Swiss National Bank (SNB) has chosen Durasafe as the substrate for its new series of banknotes? The Swiss National Bank wanted to issue the most advanced banknote in the world. The Swiss franc has always set a very high bar for the market, and is often held up as a reference to the rest of the world. Because of this, the Bank s specialists have selected the most advanced technology and security features for the new series. They have worked with their suppliers to obtain something new, the best they have: special inks, eye-catching colours, a holographic stripe with volumetric images, etc. How did Landqart come to the development of Durasafe? Our Durasafe substrate was developed for the Swiss National Bank, who wanted to keep, in their new series, the traditional look and feel of the paper surface, and many of the traditional security features. However, they also wanted to incorporate clear, see-through windows into their banknotes. This was the challenge given to Landqart, and our solution was to develop a paper-polymer-paper composite substrate that met these characteristics. Do you think the success of Durasafe in the market is down to good marketing, or market trends? I think that is a combination of both factors. We believe that Central Banks do not simply follow the advice of marketing experts, they see the real benefits of the substrate. Durasafe gives the notes a high level of security, and opens up a whole range of new design possibilities. In addition, the experience of the notes in circulation, as well as extensive laboratory testing, show that the use of this composite substrate increases the durability of the notes. How important for you is the work you do with the Swiss National Bank? No question, it is very important! First, it is a Central Bank with one of the strongest reputations in the world. Secondly, it is the first Bank to put a whole family of notes, printed on Durasafe, into circulation. Prior to this, we have seen only individual denominations circulating. So many Banks around the world have been waiting to see the release of the new Swiss series of banknotes.

7 р р Manuela Pfrunder, Head of Gestaltung Manuela Pfrunder GmbH, told us about features of new Swiss banknotes Globes and Hands on New Swiss Banknotes The design of new Swiss banknotes is very unusual. How did you get this idea? The National Bank of Switzerland made the decision to refuse using portraits on banknotes. They wanted to see Switzerland in a different way and the design had to look modern. My aim was to create a new look for the banknotes. Is the design based on your own idea? There are two graphic designers and a philosopher in my design team. We were working together and created the theme. When we got the result, we showed it to the National bank. They liked something but not everything. Then we came back and started brainstorming. Then we went to the National Bank again to offer them a new idea or to show improved design. So, originally it was our idea, but the National Bank corrected it and decided what to add or remove. We worked together. Tell us more about the idea. Each banknote has a main character or a so called protagonist which is at the center of the story told: the ten-franc note tells the story of time; the twenty-franc note is about light; the fifty-franc note expresses the idea of wind; water is the protagonist of the one-hundred-franc note; matter that of the twohundred-franc note, and human language that of the one-thousand-franc note. All the design elements of the banknote are always directly or indirectly linked with their respective protagonists this way or another. If you then make the connection between these six protagonists and Switzerland, each one will reveal a typical characteristic of the country. Time reveals the organizational side; light refers to the creative side, wind accentuates the adventurous side, water the humanitarian, matter the scientific, and language the communicative side of Switzerland. All these protagonists describe Switzerland from different sides and show its different aspects. What does a 50 franc note tell us about? A 50 franc banknote tells us a story about the wind and the adventurous spirit. Look at the image and you can see movement in every detail, they show the wind. But the most dominant element of the design is the hand. On the banknotes of the previous series there were portraits of particular people, now there is a hand that can belong to anybody. All the protagonists we have chosen the time, the light, the wind, the water, the matter and the language represent not only Switzerland but also the whole world. This global aspect we tried to illustrate on the globe on the verso. If you have a look at the design as a whole you can discover that the hand and the globe unite all six banknotes, but the protagonists make them individual. Besides, we can look at the banknote from two different points of view cultural and technical. The cultural aspect shows the identity of a nation; the technical aspect shows ensures that a banknote is protected against counterfeiting. We attempted to unite these two aspects. Is the design of other banknotes ready? Now we are working on the two remaining banknotes and 100 franc ones. 10- and 20 franc banknotes are finished and ready to be printed. Is it easier to work now that the concept is published? Yes, it is now much easier. We can continue to design the remaining banknotes using the experience and the knowledge we have gained before. Will you have a rest afterwards? Yes, we will. It has been a long process. At last it is coming to the end. But nothing finishes immediately. But now that the 50 franc banknote is put into circulation, it is getting better. There is less pressure. And I can leave my office earlier than before. Did you worry about doing anything wrong? You have endowed the banknotes with an identity of Switzerland. Did you feel any responsibility? Yes, I did. Money is a public thing. Anyone will look at a banknote and judge if they like it or not. It is impossible to make something that everyone likes. If you make something new, there is always somebody who doesn't like it. We tried not to use any provocative elements. We used images that are typical for everybody but shown in a different way. Are you proud of your work and this design? I'm proud of the work I have done for these 11 years. I'm proud not only of the result, but also of going all the way until we had a result at all.

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