Sonepar Is the World's Number

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Sonepar Is the World's Number 2013 SONEPAR IS THE WORLD’S NUMBER ONE B-TO-B DISTRIBUTOR OF ELECTRICAL PRODUCTS AND RELATED SOLUTIONS 38 COUNTRIES MARIE-CHRISTINE COISNE-ROQUETTE, EXECUTIVE CHAIRMAN 2 45 YEARS OF EXPERTISE A DYNAMIC GROUP 4 FRANCK BRUEL, CHIEF EXECUTIVE OFFICER 6 SONEPAR EXECUTIVE COMMITTEE 8 190 FINANCIAL COMMENTARY 10 ENTITIES NEWS FROM THE REGIONS 12 2,300 PASSION FOR YOUR BUSINESS 14 BRANCHES CLOSE TO OUR CUSTOMERS 16 SUPPLIERS OF CHOICE 18 WOMEN AND MEN WITH COMMITMENT 20 36,000 NETWORK DYNAMICS 22 ASSOCIATES A DECENTRALIZED GLOBAL ORGANIZATION 24 SOUTHERN EUROPE 26 207,000 NORTHERN EUROPE 30 NORTH AMERICA 34 ORDERS PER DAY ASIA-PACIFIC 38 SOUND CORPORATE GOVERNANCE 42 16.3 INTERNATIONAL PRESENCE OF SONEPAR 44 BILLION EUROS OF SALES MAJOR PROJECTS AROUND THE WORLD 46 inc. inc. inc. inc. MARKETS NORTH AMERICA 680 branches 36% OF SALES 10% OTHERS 9% SERVICES & UTILITIES CUSTOMERS 27% INDUSTRY SOUTHERN EUROPE 815 branches 24% OF SALES 17% PRODUCTS CABLE % & WIRES 33 INFRASTRUCTURE % & INDUSTRIAL 9 AUTOMATION % 15 % % SAFETY LIGHTING 6 13 & TOOLS HVAC & BUILDING RENEWABLE AUTOMATION & ENERGY CONSTRUCTION inc. 1969 CREATION BY HENRI COISNE " WHAT COUNTS IS WHAT LASTS, TO LAST WE NEED TO ADAPT. " NORTHERN EUROPE 480 branches 32% OF SALES MARIE-CHRISTINE COISNE-ROQUETTE EXECUTIVE CHAIRMAN " I WOULD LIKE TO THANK ALL OF OUR ASSOCIATES FOR THEIR HARD WORK AND DAILY DEDICATION. " 54% INSTALLERS FRANCK BRUEL CHIEF EXECUTIVE OFFICER “ WE OPTIMIZE OUR STRUCTURE AND PROCESSES EVERY DAY TO OFFER THE BEST SERVICE TO OUR CUSTOMERS, THE BEST DISTRIBUTION NETWORK TO OUR SUPPLIERS, AND THE BEST OPPORTUNITIES TO ASIA-PACIFIC OUR ASSOCIATES. ” 325 branches 8% OF SALES SONEPAR EXECUTIVE COMMITTEE (SEC) BASED ON THE LONG-TERM VISION OF SONEPAR’S SHAREHOLDERS, THE SEC HAS ESTABLISHED FOUR GUIDING PRINCIPLES FOR SUSTAINABLE AND 7% RESPONSIBLE OPERATIONS. SPECIALITIES 9% & OTHERS SAFETY & TOOLS MARIE-CHRISTINE COISNE-ROQUETTE EXECUTIVE CHAIRMAN I WOULD LIKE TO THANK ALL OF OUR ASSOCIATES FOR THEIR HARD WORK AND DAILY DEDICATION. 4 SONEPAR MISSION STATEMENT What we believe 2013 was a tough year in the electrical products Sonepar is an independent, family-owned group focused distribution business. But, as always, Sonepar on B-to-B distribution. We thrive on our unique balance of local empowerment and global reach. succeeded in adapting in new ways, developing new responses and seizing new opportunities. So I would like to thank all of our associates for their hard work and daily dedication. 2013 was also a transitional year for our Group— What we do in terms of corporate governance. That transition has gone well. Today, Franck Bruel, our Chief Our job is to make our customers’ lives easier, Executive Officer, and the Sonepar Executive so we dedicate ourselves to understanding and satisfying their needs. While our core business is Committee effectively direct operations with the in the electrical market, we serve customers through support of our shareholders through our family multiple channels of distribution, with an expanding holding company Colam Entreprendre. range of products, services and solutions. 2014 will be a year of confirmation: events should confirm that the values guiding us for 45 years are still part of our DNA and present in every one of our operating companies around the world, and Who we are for every single associate. Because our history is a vital asset for developing our business, we are We drive our long-term, profitable and sustainable lucky to have it. What should also be confirmed is growth by: that all our people have taken on board our Group’s • S triving for lasting loyalty from our new organizational approach and philosophy, Customers thanks to our Sonepar Governance Corpus, which encompasses our Governance Charter, our • Securing the engagement of our skilled and passionate Associates Mission Statement and our new Mission Letter, presented in these pages. • Building strong partnerships with our preferred Suppliers But above all, 2014 will be a year of major ambition • Aligning ourselves with the vision and for Sonepar and its associates. We will be setting commitment of our Shareholders out to conquer new markets, so that together we can meet the challenges that lie ahead. What we want To become La Référence for all our stakeholders. 5 Sesco, Toronto, Canada. A DYNAMIC GROUP 6 “BUILDING ON ITS SOUND FAMILY SHAREHOLDING STRUCTURE, SONEPAR MOVES FORWARD WITH ITS INVESTMENTS AND INTERNATIONAL DEVELOPMENT.” 7 FRANCK BRUEL CHIEF EXECUTIVE OFFICER WE OPTIMIZE OUR STRUCTURE AND PROCESSES EVERY DAY TO OFFER THE BEST SERVICE TO OUR CUSTOMERS, THE BEST DISTRIBUTION NETWORK TO OUR SUPPLIERS AND THE BEST OPPORTUNITIES TO OUR ASSOCIATES. 8 We have held up well through the economic downturn, We optimize our structure and processes every day to offer maintaining or even improving our market share in 2013. We the best service to our customers, the best distribution owe our performance to the trust our customers have placed network to our suppliers, and the best opportunities to our in us, the enthusiasm of our teams, and the involvement of our associates. suppliers. Our 2013 sales were on par with 2012. We would like to thank our teams who have contributed to Our autonomous growth fell 1%, but the many initiatives and this day-to-day success for their creativity, commitment and innovations launched across all regions created effective enthusiasm. growth drivers that more than offset the negative impact of contracting markets, the price of copper, and exchange With the trust gained from Marie-Christine Coisne-Roquette rates. The recession has taken more of a toll on Northern and the Board of Directors, we have begun working with and Southern Europe and Australia than it has on Asia and the Sonepar Executive Committee (SEC) to put the vision North America, where various factors contributed to stronger expressed by the family shareholders into action by performance, especially in the second half of the year. updating the Mission Statement, originally drawn up in 2000. We have also drafted a version to apply to operations: We concentrated on adapting to the market. This enabled a Mission Letter addressed to our managers that sets out us to take the decline in earnings in stride and guarantees the four pillars of our development, while leaving room for our independence and longevity. Large-scale efforts were a wide variety of initiatives and reaffirming the value of our deployed to trim operating costs, especially in Southern diversity. We expect the environment in 2014 to be similar Europe, and maintain our profitability. to that of 2013. A number of high-impact projects are under way in areas Our priorities remain the same. Our goals to surpass such as IT, logistics, e-business and branch design. Each market growth, serve customers more effectively and set aims to improve performance now and over the long-term. standards as “La Référence” in our sector remain intact. We have developed our cross-business services to respond At the same time, we will continue to carefully monitor more effectively to market expectations. And we have hired costs while upholding our action plans launched in 2013 more management staff in the Asia-Pacific region and to reach our productivity goals. In 2014, we will also be created the positions of Group General Counsel and VP investing the largest budget in our history. This clearly Group Communications. Furthermore, we continue to invest in shows how confident we are in the future, reflecting training, not only to help our associates advance and develop both our entrepreneurial drive and the trust of our family our talent in sales and management, but also to guide our shareholders. customers through changes in standards and techniques. 16.3 98% BILLION EUROS OF THE SALES ARE MADE IN OF SALES THE 27 COUNTRIES WHERE SONEPAR IS NUMBER 1, 2 OR 3 9 HEADED BY CHIEF EXECUTIVE OFFI- CER FRANCK BRUEL, THE SONEPAR SONEPAR EXECUTIVE COMMITTEE EXECUTIVE COMMITTEE (SEC) IS THE GROUP’S SUPREME EXECUTIVE AN INTERNATIONAL PRESENCE The SEC members are : BODY. TOGETHER WITH THE BOARD The SEC’s eight members are from five diffe- • Fr anck Bruel, Chief Executive Officer OF DIRECTORS, THE SEC SETS rent national backgrounds, attesting to the • François Poncet, Chief Financial Officer SONEPAR’S STRATEGY AND GOALS Group’s international scope. In concert with • Patrick Salvadori, Johan Verbeek, AND SHAPES ITS FUTURE DIRECTION. the Executive Chairman, the SEC defines the Dave Gabriel and Keith Moss, IN 2013, THE SEC UPDATED THE strategic focus and objectives for Sonepar. Region Presidents SONEPAR MISSION STATEMENT AND • Herbert Willmy, Executive VP, PRODUCED AN OPERATIONAL VER- The Group’s decentralized structure makes Global Sourcing & Services SION FOR GROUP MANAGERS CALLED it all the more essential for the SEC to • Pier re Soussand, Senior VP, THE MISSION LETTER. ensure the success of work in the field and Group Human Resources its conformity with those broader objectives. As a first communication channel, the SEC is a crucial contributor to Sonepar’s diversity. “LA RÉFÉRENCE” “La RéféRence” The SEC establishes organizational rules Based on the long-term vision of Sonepar’s and procedures for the entire Group and shareholders, the Sonepar Executive ensures that they are upheld. It also faci- Committee has established four guiding litates internal audit assignments, whose principles for sustainable and responsible purpose is to verify the relevance and operations. They are what underpin implementation of those rules and proce- our shared
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