Lagardère Services To facilitate access to everyone, everywhere, to a wide diversity of ideas and services!

Corporate presentation July 2010

1 Warning

Certain of the statements contained in this document are not historical facts but rather are statements of future expectations and other forward-looking statements that are based on management's beliefs. These statements reflect such views and assumptions as of the date of the statements and involve known and unknown risks and uncertainties that could cause future results, performance or future events to differ materially from those expressed or implied in such statements.

When used in this document, words such as "anticipate", "believe", "estimate", "expect", "may", "intend" and "plan" are intended to identify forward-looking statements which address our vision of expected future business and financial performance. Such forward-looking statements include, without limitation, projections for improvements in process and operations, revenues and operating margin growth, cash flow, performance, new products and services, current and future markets for products and services and other trend projections as well as new business opportunities.

These forward-looking statements are based upon a number of assumptions which are subject to uncertainty and trends that may differ materially from future results, depending on a variety of factors including without limitation: y General economic and labor conditions, including in particular economic conditions in Europe and North America y Legal, financial and governmental risks (including, without limitation, certain market risks) related to the businesses y Certain risks related to the media industry (including, without limitation, technological risks) y The cyclical nature of some of the businesses

Please refer to the most recent Reference Document (Document de Référence) filed by Lagardère SCA with the French Autorité des Marchés Financiers for additional information in relation to such factors, risks and uncertainties.

Lagardère SCA disclaims any intention or obligation to update or review the forward-looking statements referred to above. Consequently Lagardère SCA is not responsible for any consequences that could result from the use of any of the above statements.

2 Agenda

Lagardère Services at a glance

Lagardère Services business profile

Lagardère Services strategy results

Lagardère Services ambition for 2013

3 Opening remarks

Lagardère Services managed sales reach nearly €5bn. The Group operates in more than 20 countries, in three businesses in which it has leading and historical positions y Lagardère Services has been operating in Travel Retail since 1852. The Group is the second largest Travel Retailer worldwide and is a truly international player operating in nearly hundred airports and hundreds of stations across four continents y Lagardère Services is also active in Proximity Retail and leverages its retail expertise by developing a diversified portfolio through partnerships with leading brands y In Press Distribution, in which Lagardère Services has been operating for decades, the Group has established a world leading position: it is one of the two widely international players and it holds strong positions in each country where it is active

In the past years, Lagardère Services pursued a strategy along three directions, which has contributed to build a truly balanced group, relying on three profitable and highly cash-generating businesses y Pursue Travel Retail development y Emphasize development towards emerging countries y Diversify from primary markets (i.e. readables), both in Retail and Distribution

For the coming years, Lagardère Services expresses an ambitious strategy, consistent with the directions followed so far y Leverage Lagardère Services’ position in Travel Retail: develop worldwide and across all product categories y Adapt News & Convenience Retail and Press Distribution businesses to customers’ and partners’ needs y Accelerate diversification towards non press / non tobacco products by developing new retail chains

4 Agenda Lagardère Services at a glance

Lagardère Services business profile

Lagardère Services Travel Retail Proximity Retail Distribution Lagardère Services strategy results

Lagardère Services ambition for 2013

5 Agenda Lagardère Services at a glance

Lagardère Services business profile

Lagardère Services Travel Retail Proximity Retail Distribution Lagardère Services strategy results

Lagardère Services ambition for 2013

6 Lagardère Services is part of Lagardère

Consolidated sales (€bn, 2009)

CAC40 company € 7.9 billion sales c. 30 thousand employees

3rd largest book publisher in 1st magazine publisher Leader in management of Travel and malls retail, the World with leading worldwide and a major sports marketing and press distribution, positions in France, player in radio, audiovisual rights operations in more than UK and Spain TV and new media € 0.5 billion sales 20 countries € 2.3 billion sales € 1.7 billion sales € 3.4 billion sales

7 Lagardère Services managed sales reached nearly €5bn in 2009 Retail sales for all product categories Gap analysis between Lagardère Services consolidated and managed sales JVs integrated at 100% (€bn, 2009) Sales from Distribution to our Retail activities

4.7

1.3 3.4

Consolidated sales Gap Managed sales

8 Lagardère Services is a truly international group that operates in more than 20 countries across four continents

Lagardère Services managed sales Worldwide presence of Lagardère Services breakdown by area (As of January 2010) (€bn, 2009)

4.7 Asia Pacific 3% 100% Central & Eastern Europe1 13%

North America 16%

France 30%

Western Europe2 38%

2009

1 Hungary, , Romania and Czech Republic 2 Belgium, , Spain and Switzerland

9 Lagardère Services is a truly international group that operates in more than 20 countries across four continents

Lagardère Services managed sales breakdown by business (€bn, %, 2009) 100% = € 4.7 bn

Press Distribution Travel Retail

Import, More than 1,900 distribution 42% 43% outlets in more and wholesale than 20 countries of Press and in all kinds of travel locations: related products airports, railways, 15% subways, etc.

Proximity Retail Full range of product categories y Perfumes, cosmetics, liquor, tobacco c. 2,000 outlets y Specialty Retail: News & Convenience mainly located (Relay), entertainment (Virgin), and numerous other concepts (Hermès, in shopping Hédiard, L’Occitane, Printemps, etc.) malls or high streets

Wide range of product categories y Press & Books y Tobacco y Food and beverages y Specialty concepts

10 These three businesses support each others through five synergies

Ensures the critical Press distribution press supply to retail operations

Provides a first-class positioning due to Delivers high operations in highly Back office volumes valued channels (high synergies when and thus contributes traffic flows inducing high operating the three to establish a robust visibility, affluent traffic in businesses in one positioning single country airports, etc.)

Travel retail Proximity retail

International footprint increases awareness and facilitates business development

11 Agenda Lagardère Services at a glance

Lagardère Services business profile

Lagardère Services Travel Retail Proximity Retail Distribution Lagardère Services strategy results

Lagardère Services ambition for 2013

12 Travel retail is a niche business with specific operational requirements that make it a unique business Worldwide retail sales breakdown by channel A unique retail business with ($bn, 2007) operational specificities A retail business based on land grants, 30,000 38 leading to specificities in development y Essential role of the B2B relationship with Ferries & Cruises 6% the landlord, required to get the grant, to 7% In flight operate and finally to renew the contract 8% Borders y Precarious commercial situation, leases being relatively short (5-year lease on 15% Railway stations average)

Unique operational constraints (extreme security constraints, wide opening hours)

Very specific customer profile 64% Airports y Specific expectations regarding products and services for travellers in a hurry or under stress y Various expectations depending on the travellers’ nationality and the location of the Travel retail store (arrival vs departure gate) 38 y Store where travellers often come to spend time but not necessarily to buy products Retail Travel retail

13 We believe that the Travel Retail market will enjoy long-term positive trends in the future

Travel retail market breakdown by channel ($bn, %, 2007) 100 % = $38bn OTHER (ferries, cruises, borders) Channels highly correlated with AIRPORT the tourism industry i.e. with the This channel will recover worldwide economic growth along with the worldwide 21% economy and will then enjoy strong growth as it used to Airports will need to RAILWAYS diversify their revenues, thus creating new Channel relatively unaffected by 15% economic turmoil, enjoying low but commercial opportunities highly resilient growth trends in 64% terms of passenger traffic Positives long-term forecasts thanks to the new transportation policy encouraging ways of transportation limiting greenhouse effects such as rail (Huge investments scheduled for rail development worldwide)

Source: Capgemini

14 Lagardère Services has 150 years experience in Travel Retail Lagardère Services milestones in Travel Retail (1852-today)

„ Louis Hachette opens the first „ 1,000 Relay outlets in 13 countries „ Partnership with „ First Duty Free outlet in railway bookstore in Paris „ Foundation of Aelia (Saresco Aéroports de Paris to Poland Gare de Lyon acquisition and merger with operate Duty Free outlets „ More than 1,200 Relay 17 Aeroboutique) countries

1852 1961 2000 2001 2003 2005 2007 2009

„ Gourmet outlet at Hong „ First Duty Free store „ Acquisition of Newslink Kong airport opened in Paris Le (Australia, in „ Fashion outlet at Bourget partnership) Sydney airport „ First Duty Free outlet in the UK „ Entry in Hong Kong, , Taiwan and Romania 15 Lagardère Services is the second largest Travel Retailer worldwide with an undisputed leadership in News & Convenience World largest Travel Retailers (€bn, 2009) Lagardère Services estimate

Catering News & Convenience Duty Free & Specialty

Source: companies data, Lagardère Services estimate

16 Lagardère services has been able to build a versatile portfolio of travel retail concepts to best answer landlords’ expectations

LS can operate in all …with the widest … where it sells all kinds … from mass-market to kinds of environments… range of outlets … of products’ category… ultra-premium products

From airports… From a 20 sqm From fine foods… sunglasses shop… From a €2 Toblerone bar…

…to readables… … to railway… … to a €13,800 Mouton Rothschild 1945 bottle

… to 1,400 sqm multistores … or subway stations …or fashion

17 Lagardère Services manages a unique portfolio of more than 100 airports across four continents Lagardère Services worldwide airport presence (As of December 2009)

Frankfurt Düsseldorf London Berlin Heathrow Brussels

Paris CDG Paris Orly

Barcelona Lisbon

Palma de Vancouver Madrid Majorca

Toronto Chicago Boston Houston New York - JFK Shanghai Hongqiao Phoenix Detroit Hong Kong New York – La Guardia

Singapore

Airports classified among the world’s top 100 airports in terms of passenger volume Brisbane Other airports Sydney Melbourne * Source : ACI Annual Worldwide Airport Traffic Report. Annual Traffic 2009

18 Lagardère Services know-how combined with these two portfolios – concepts and airports – best satisfy landlords’ expectations

Store concepts are adapted to airport segmentation to best Airport segment satisfy partners’ needs and expectations

Global hub (Paris CDG, New York JFK, Hong Kong, Singapore, Frankfurt, etc.)

Large international (Paris ORY, Brussels, Sydney, Vancouver, Toronto, Shanghai, Madrid, Barcelona, , etc.) Toronto, Canada Paris CDG, France

Regional (Guangzhou, Nantes, Cairns, Perth, etc.)

Low-cost (London LTN, Paris BVA, Chicago MDW, etc.) London LTN, UK Warsaw, Poland

19 Relay is a worldwide retail brand with more than 1,200 stores exclusively located in Travel locations Evolution of Relay network and milestones (# Relay stores, 2003-2009)

+3.4% p.a. 2003 2004

1,299 1,270 1,266 1,197 1,223 1,082 1,035 Entry in Czech Rep Entry in Romania (Prague airport) (Bucharest airport)

2006 2007 2008

Entry in Asia Entry in Taïwan (TGV) Entry in Middle East (Hong Kong airport) and Continental China (Abu Dhabi) (Shanghai airport)

2003 2004 2005 2006 2007 2008 2009

20 As a reference in News & Convenience for travel locations, Relay is a strong asset for Lagardère Services

The only worldwide brand dedicated to A strong brand awareness among News & Convenience retail in travel areas landlords Number of operating countries (#, 2008-2009) # POS1 A strong brand awareness among landlords who consider Relay 17 1,266 Relay as the expert in its market

R-Kiosk (Sanoma Trade) 4 1,070 A strong asset for Lagardère Services development since K-kiosk (Valora) 3 1,430 Relay is sometimes asked to WHSmith 3 495 integrate a commercial retail area Narvesen 2 na y Abu Dhabi

Hudson (Dufry) 1 537* y Etc.

Dedicated to travel retail

1 In travel locations for Relay and WHSmith, including proximity locations for K-Kiosk, Hudson et R-Kiosk * Including local brands

Source: companies data

21 Relay is also innovative on the Internet: Relay.com is the leading digital kiosk in France

Relay.com positioning Relay.com is the leading online kiosk in France It offers a wide range of dematerialized press and books to download y Press with c. 500 titles (economic, sports, culture, women, etc) y Books (tourism, comic books, etc) Relay has developed an unlimited offer allowing internet users to have an unlimited access to all magazines Relay.com is also operating the newsstand offer for several websites through partnerships

22 Agenda Lagardère Services at a glance

Lagardère Services business profile

Lagardère Services Travel Retail Proximity Retail Distribution Lagardère Services strategy results

Lagardère Services ambition for 2013

23 Lagardère Services has developed a News & Convenience proximity network, mainly located in high streets, malls and hypermarkets

LS proximity retail network by location (# stores, €m, 2009) Major concepts

Total 1 902 686 Office buildings 64 28 50 Street kiosks 340 Cafeterias 91 Hospitals 208 News & Convenience (Inmedio, local concepts), High Street 435 231 Non press concepts (Payot, other leading brands)

News & Convenience (Inmedio, local concepts), Shopping malls 855 286 Non press concepts (Payot, other leading brands)

# stores Managed Sales

24 Press Shop, Naville and BDP are three local brands holding strong awareness in their home markets

Local News & Convenience network by country Local News & (# stores, 2009) Convenience concepts

404

Spain 75 (BDP)

Switzerland 130 Naville (Naville)

Belgium 199 BDP (Press Shop)

Press Shop

2009

25 Lagardère Services launched the Inmedio concept in 1998 in Poland and has then developed it quickly in Central Europe and China Inmedio Inmedio concept worldwide presence (1998-2009) Inmedio has become the leading concept for News & Convenience Inmedio is now present y In c. 7 countries in Europe and Asia y With c. 800 stores (openings in China, Serbia & Bulgaria in 2008) y Located in commercial centres and high streets

Step 1 (1998) Step 2 Step 3

26 Inmedio is the only modern and international News & Convenience brand dedicated to proximity areas Inmedio

The only international proximity press A brand considered as qualitative by dedicated to News & Convenience landlords Number of operating countries (#, 2008-2009) The fast development of the # POS1 network demonstrates the quality of the Inmedio concept Inmedio 7 798 Inmedio is considered by malls R-kiosk (Rautakirja) 4 1,070 operators as a blue-chip concept and increase Lagardère Services K-kiosk (Valora) 3 1,250 legitimacy

WHSmith 3 557 y «Inmedio is the only concept dedicated to News & Convenience Narvesen 2 na which has demonstrated efficiency internationally» Immochan Commercial Director

Dedicated to proximity retail

1 Excluding travel areas for Relay et WHSmith, including both travel and proximity areas for K-Kiosk, Hudson and R-Kiosk 2 Including local brands Source: companies data, interviews with malls operators

27 Lagardère Services is leveraging its retail expertise by developing a diversified portfolio through partnerships with leading brands Specialized Lagardère Services partnerships strategy Branded Retail (2009)

Costa Coffee - Coffee Empik Café - Coffee Chez Jean - Convenience

Nature & Découvertes - Paul – Bakery and La Cure Gourmande - Nature & Discovery sandwiches Cookies

These modern concepts with common operational characteristics (surface, average basket, etc.) create a portfolio which is answering malls operators’ expectations

28 Agenda Lagardère Services at a glance

Lagardère Services business profile

Lagardère Services Travel Retail Proximity Retail Distribution Lagardère Services strategy results

Lagardère Services ambition for 2013

29 Press distribution is the mandatory connection between publishers and retailers From publishers to readers Press industry value chain

Publisher A Publisher B Publisher C

National distributor: on Sales promotion, relationship with publishers, monitoring of wholesalers

Press wholesalers: Reliable and cost-effective distribution of press, monitoring of retail network

Press distributi Wholesaler X Wholesaler Y

Retailer a Retailer b Retailer c Retailer d Retailer e Retailer f Readers

30 Our group has established leading positions in most countries where present Lagardère Services competition position by country (As of January 2010) Managed sales = €2bn Presence in 10 countries

Strong leader Challenger

31 In press distribution, Lagardère Services has a world leading position as one of the two widely

international players Lagardère Services World Press Distributors sales – Distributors above €1bn sales estimate (€bn, 2009) Number of Countries countries / Areas

1

1 Japan

10 France1/ Africa

Europe / 10 North America

1 UK

1 UK

1 USA

1 UK

1.06

1 Including French DOM TOMs

32 Lagardère Services holds a unique position in press distribution Lagardère Services competitive positioning 2009 Lagardère Services is the most international player in press distribution y A strong network to share best practices and guarantee operational excellence y A large and specialized network of press importers

A very strong position where present y In press distribution, size matters - Cost efficiency - Relationship with partners y Lagardère Services has a proven ability to establish fruitful collaboration with publishers and retailers

Automation of processes leads to an improvement of profitability

33 Diversification has become significant within Lagardère Services press wholesale companies Weight of non press within Lagardère Services Distribution subsidiaries (% in value, 2007-2009)

63% Books distribution lines Major non-press products (Switzerland) Naville1 66% (Switzerland) 68% Books, phone cards, chocolate, confectionary, tobacco, DVDs, gadgets, Western Union 19% AMP 22% (Belgium) 22% Books, phone cards, home delivery for mail order, photo printouts, DVDs, gadgets 18% Lapker 20% (Hungary) 20% Books, phone cards, confectionary, tobacco, DVDs, scratch cards, gifts 14% SGEL 15% (Spain) 17% Books, phone cards, DVDs, 2007 CDs, gadgets Total Lagardère Services 2009 2008 20% (vs 16% in 2007) 2009

1 Including subsidiary dedicated to books

34 Source : HDS Finance Agenda

Lagardère Services at a glance

Lagardère Services business profile

Lagardère Services strategy results

Lagardère Services ambition for 2013

35 In the past years, Lagardère Services pursued a strategy along three directions Managed sales growth by direction (CAGR, 2004-2009) Weight within Lagardère Services (%, 2009)

Develop emerging countries 10% 16% (Central Europe, Asia-Pacific)

Diversify from primary markets 7% 46% (readables)

Pursue Travel Retail development 6% 43% (both Relay and duty free)

1% Total Lagardère Services1

1 Excluding Virgin

36 This strategy contributed to build a balanced and profitable group

1 Lagardère Services managed sales Lagardère Services2 Lagardère Services2 breakdown by business RESOP RESOP margin3 (€bn, 2004-2009) (€m, 2009) (%, 2009)

CAGR (%, 04-09)

4.5 4.7 +0.8% 0.6 0.7 Proximity Retail +2.3% (14%) (15%) 2.7% 90 1.5 Travel Retail 2.0 +6.3% (33%) (43%)

2.4 Distribution 2.0 (53%) -3.9% (42%)

2004 2009 2009 2009 1 Excluding Virgin, JVs at 100% 2 Excluding Virgin, 2004 retreated for comparison purposes using Net Equity method for companies in proportional method 3 In % of consolidated sales

37 Agenda

Lagardère Services at a glance

Lagardère Services business profile

Lagardère Services strategy results

Lagardère Services ambition for 2013

38 Lagardère Services’ strategy for the coming years will pursue three directions

1. Reinforce leadership in Travel Retail: develop all product segments and in particular duty free

2. Build the future of Lagardère Services by continuously adapting News & Convenience Retail and Press Distribution businesses to customers’ and partners’ needs

3. Accelerate diversification towards non press / non tobacco products by developing new retail chains

39 Innovation will be a strong tool to continuously adapt Lagardère Services activities to customers’ and partners’ needs

In retail, innovation is key to Lagardère Services to adapt its activities to customers’ and partners’ needs y Improve existing network: within Lagardère Services network, innovation is a way to best answer customers’ expectations, thanks to new technologies and innovative tools y Expand its concepts portfolio and its network: Lagardère Services is developing a diversified portfolio through partnerships with leading brands, not only to diversify and expand its network, but overall to best answer customers and landlords’ needs In Press Distribution, innovation is a tool to improve efficiency

La Cure Gourmande store, opened by Relay Press distribution line (AMP) after France in Paris, in the Opera neighborhood automation of processes

40