History of Pierre & Vacances
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ANNUAL FINANCIAL REPORT 2008/2009 A UNIQUE VIEW OF LOCAL TOURISM WorldReginfo - 0bb1947b-547c-4936-a9d1-72836675ad17 The Pierre & Vacances - Center parcs Group 3 Group management report 4 1 Annual consolidated fi nancial statements 32 Report of the Statutory Auditors on the consolidated fi nancial statements 100 The company Pierre & Vacances SA 101 Information on the company and its capital 102 2 Board of Directors’ Report to the General Meeting 117 Financial statements of Pierre & Vacances SA 132 Report of the Statutory Auditors on the annual fi nancial statements 157 Special report of the Statutory Auditors on related-party agreements 158 Corporate governance 159 Administration – Management 160 Report of the Chairman on the organisation 3 of the Board and internal control procedures 165 Report of the Statutory Auditors 177 Resolutions Presented to the combined General Meeting 179 Report of the Board on proposed resolutions 180 4 Resolutions put to the Combined General Meeting of 18 February 2010 186 Notes 195 Persons responsible for auditing the fi nancial statements and the reference document 196 5 Fees paid to the Statutory Auditors 198 Annual information document 199 Information included by reference 200 Cross-Reference Table 201 WorldReginfo - 0bb1947b-547c-4936-a9d1-72836675ad17 PIERRE & VACANCES CENTER PARCS GROUP Annual Financial Report 2008 / 2009 The following document named « Annual Financial report 2008/2009 » completed with the « Business Report 2008/2009 » make up the whole reference document submitted (in its original french version) to the Autorités des Marchés Financiers* on january 13, 2010 in compliance with the article 212-13 of its general regulation. It may be used in connection with a fi nancial transaction if completed by a prospectus approved by the Autorité des Marché Financiers*. This document was made out by the issuer and commit the responsability of the signatory. * French market regulator. ANNUAL FINANCIAL REPORT 2008/2009 PIERRE & VACANCES - CENTER PARCS GROUP – 1 – WorldReginfo - 0bb1947b-547c-4936-a9d1-72836675ad17 This page has been intentionaly left blank – 2 – ANNUAL FINANCIAL REPORT 2008/2009 PIERRE & VACANCES - CENTER PARCS GROUP WorldReginfo - 0bb1947b-547c-4936-a9d1-72836675ad17 THE PIERRE & VACANCES - CENTER PARCS GROUP Group management report 4 Group businesses and performances in 2008/2009 5 Information on social and environmental issues 23 Risk management 24 1Recent development and future prospects 30 Annual consolidated financial statements 32 Consolidated profi t and loss account 32 Consolidated balance sheet 33 Consolidated cash fl ow statement 34 Statement of changes in attributable consolidated shareholders’ equity 35 Notes to the consolidated fi nancial statements 37 Report of the Statutory Auditors on the consolidated financial statements 100 ANNUAL FINANCIAL REPORT 2008/2009 PIERRE & VACANCES - CENTER PARCS GROUP – 3 – WorldReginfo - 0bb1947b-547c-4936-a9d1-72836675ad17 1 THE PIERRE & VACANCES - CENTER PARCS GROUP Group management report Group management report E uropean leader in holiday residences, the Pierre & Vacances - Center Parcs Group operates some 48,800 apartments and homes, or 227,900 beds primarily located in France (in mountain, seaside and countryside resorts, cities and the French West Indies), the Netherlands, Germany, Belgium, Italy and Spain. The Pierre & Vacances - Center Parcs Group has two complementary businesses, namely the operating and marketing of holidays in holiday residences (79% of 2008/2009 turnover) and property development (21% of 2008/2009 turnover). – 4 – ANNUAL FINANCIAL REPORT 2008/2009 PIERRE & VACANCES - CENTER PARCS GROUP WorldReginfo - 0bb1947b-547c-4936-a9d1-72836675ad17 THE PIERRE & VACANCES - CENTER PARCS GROUP 1 Group management report Group businesses and performances in 2008/2009 1 Main events This partnership between the group and CDG via its subsidiaries Reorganisation of the group CGI and Madaef is structured around two units: In order to bolster momentum in performances and development, • a property and tourism operating company, 85%-owned by the Pierre & Vacances - Center Parcs Group announced the Madaef and 15% by Pierre & Vacances Morocco. The company nomination of Sven Boinet, a board member for the group since is to own tourist accommodation and equipment assets which are 2003, to the position of group CEO as of 16 November 2009. to be managed by Pierre & Vacances Morocco via a management Gerard Brémond remains Chairman of the Board and is to focus contract; more specifi cally on the group’s property businesses in France and outside France. • a property development company, jointly owned by CGI and Pierre & Vacances Morocco at 50% each. The group continued to reorganise its tourism businesses by rolling out a substantial synergies plan between Pierre & Vacances The first project, the Oasis Eco Resort in Marrakech, is an Tourisme Europe and Center Parcs Europe piloted by a single emblematic illustration of the tourism and property partnership general management team. This pooling of the two units aims to between the two groups and is part of the integrated planning and share know-how and fi nances between Pierre & Vacances Tourisme development programme for the Chrifi a Oasis Resort carried out by Europe and Center Parcs Europe in order to increase the effi ciency CGI. The resort is located south-west of Marrakech less than 10 km of the two businesses. The synergies plan helped unlock €10 million from the city centre and is to be designed with a synergy between in savings over 2008/2009. products and management concerning: • 480 homes and apartments: Résidences MGM and Expanding the tourism off ering Pierre & Vacances; • 450 detached or semi-detached secondary and senior homes; Extension of Avoriaz • sports and leisure equipment including an extensive four-hectare large water park with fi ve children’s clubs, shops, restaurants, a The Pierre & Vacances - Center Parcs Group began marketing for medina and seminar rooms, etc. the programme to extend the Avoriaz ski resort, concerning 475 three and four-star tourism apartments and residences under the MGM, Pierre & Vacances and Maeva brands. Tourism operating Property development for the fi rst residences is due to start in 2011. The extension of the Scellier tax incentive law to tourism residences (Bouvard amendment) adopted as part of the 2009 French fi nancial Expansion in Morocco law has stimulated the group’s property businesses by providing On 27 May 2009, CDG (Caisse de Dépôt de Gestion du Maroc) and buyers a reduction to income tax of 25% of the price paid, capped Pierre & Vacances - Center Parcs signed a strategic partnership at €300,000. This three-year measure plans for a decline in the tax agreement to develop tourism and property projects in reduction to 20% in 2011 and 2012. Since its creation, the Scellier Morocco. Four types of tourist offerings are to be developed: law has been modifi ed and the 25% tax reduction is now to be maintained unconditionally in 2010. In the following years, the • Oasis Eco Resorts (Marrakech and Agadir) based around extensive incentive remains at 25% for 2011 for low energy consumption landscaped water parks and offering tourist accommodation (green) buildings (reduced to 15% for others) and is to drop to 20% under three of the group’s banners, Résidences MGM, in 2012 for green buildings (10% for others) and 15% only in 2013 Pierre & Vacances and Maeva; for green buildings. The Bouvard amendment is therefore set to be • holiday tourism residences; modifi ed in consequence. • city residences under the Orion International and Adagio city aparthotel brands; • residences for the elderly. The fi ve-year aim is to build and manage 15,000 beds corresponding to 3,000 homes and apartments, in three phases. ANNUAL FINANCIAL REPORT 2008/2009 PIERRE & VACANCES - CENTER PARCS GROUP – 5 – WorldReginfo - 0bb1947b-547c-4936-a9d1-72836675ad17 1 THE PIERRE & VACANCES - CENTER PARCS GROUP Group management report Acquisitions Disposals The acquisition of the tourism Intrawest business in the In application of its strategy based on management and development French Alps was completed on 1 October 2009. For €6 million, the of tourism residences, on 12 October 2009, the group signed Pierre & Vacances - Center Parcs Group has taken over management a promise to sell off the business franchises for three of 655 apartments in four-star tourism residences at Arcs 1950 and Latitudes hotels (Val d’Isère, Arc 1800, Les Ménuires) to Hotello, 138 apartments at Flaine Montsoleil (total turnover of €18 million a subsidiary of the Algonquin group. in 2007/2008). Group turnover Over the full-year running from 1 October 2008 to 30 September 2009, group turnover totalled €1.451,3 billion. (in millions of euros) 2008/2009 2007/2008 Current structure Like-for-like(*) Tourism 1,148.0 1,168.5 -1.8% -1.3% Accommodation turnover 616.6 624.5 -1.3% -0.6% Pierre & Vacances Tourisme Europe(1) 536.8 540.4 -0.7% +0.4% Center Parcs Europe(2) 611.2 628.1 -2.7% -2.7% Property development 303.3 256.0 +18.5% +18.5% TOTAL FULL-YEAR 1,451.3 1,424.5 +1.9% +2.3% (*) On a like-for-like basis, turnover has been adjusted for the impact of strike action in the French West Indies which led to the closure of the Guadeloupe site. (1) Pierre & Vacances Europe houses the Pierre & Vacances, Adagio city aparthotel, Maeva, Résidences MGM and Hôtels Latitudes banners. (2) Center Parcs Europe houses the Center Parcs and Sunparks banners. Turnover from the tourism businesses fell 1.3% on a like-for- via the Internet continued to grow to around 48% of total sales vs. like basis to €1,148.0 million including accommodation turnover of 45% in the previous year, with average letting rates rising by 1.1% €616.6 million, down 0.6% like-for-like: over the year. Turnover at Pierre & Vacances Tourisme Europe rose by 0.4% 2008/2009 property development turnover rose 18.5% to to €536.8 million excluding the impact of strike action in the French €303.3 million compared with €256 million in the year-earlier period West Indies, with accommodation turnover in the division up 0.4% and stemmed for 77% from new residences (Center Parcs Moselle- like-for-like to €325.5 million.