ANNUAL REPORT OF THE BOARD OF DIRECTORS OF THE COMPANY FOURLIS HOLDINGS SA FOR THE PERIOD 1/1 – 31/12/2019

TO THE SHAREHOLDERS ANNUAL GENERAL ASSEMBLY OF YEAR 2020

Dear Shareholders,

This Financial Report of the Board of Directors is for the period 1/1 - 31/12/2019 and was conducted in compliance with the relevant provisions of L. 4548/2018 as applied until 31/12/2019, article 4 of L. 3556/2007 and resolution 7/448/22.10.2007 of Hellenic Capital Market Committee. Consolidated and Separate Financial Statements comply to IFRS as adopted by EU.

Please find below for your approval, the Financial Statements of the period 1/1 – 31/12/2019 of the Company FOURLIS HOLDINGS S.A. and the Group which consists of its direct and indirect subsidiaries.

1. THE GROUP – Business Segments

The FOURLIS Group (“Group”), which consists of the parent Company FOURLIS HOLDINGS S.A. (“Company”) along with its subsidiaries and their subsidiaries, is mainly operating in the Retail Trading of Home Furniture and Household Goods (IKEA Stores) and the Retail Trading of Sporting Goods (INTERSPORT & TAF Stores).

The subsidiary companies and their subsidiaries that are included in the consolidated financial statements for the year 2019, grouped per segment and country of operation are the following: a) Full method

Retail Trading of Home Furniture and Household Goods (IKEA Stores)

The retail trading of home furniture and household goods segment includes the following Companies:

 HOUSEMARKET SA which operates in and the parent company has a direct shareholding of 100%.

 H.M. HOUSEMARKET () LTD which operates in Cyprus and the parent company has an indirect shareholding of 100%.

 TRADE LOGISTICS S.A. which operates in Greece and the parent company has an indirect shareholding of 100% (except one share). The retail trading of home furniture and household goods segment includes warehousing services provided by the company TRADE LOGISTICS SA.

 RENTIS REAL ESTATE INVESTMENTS SA which operates in Greece and the parent company has an indirect shareholding of 100% (except one share).

 HOUSE MARKET AD which operates in Bulgaria and the parent company has an indirect shareholding of 100% (except one share).

Annual Report of the BoD of FOURLIS HOLDINGS S.A. for the period 1/1 – 31/12/2019 1

 WYLDES LTD which operates in Cyprus and the parent company has an indirect shareholding of 100%. Through associated companies WYLDES LTD, VYNER LTD and SW SOFIA MALL ENTERPRISES LTD, the group has a shareholding in the company SOFIA SOUTH RING MALL EAD, which operates one of the biggest malls in Sofia Bulgaria as well as its relevant operating activities.

 TRADE ESTATES BULGARIA EAD which operates in Bulgaria and the parent company has an indirect shareholding of 100%.

 TRADE ESTATES CYPRUS LTD which operates in Cyprus and the parent company has an indirect shareholding of 100%.

 H.M. ESTATES CYPRUS LTD which operates in Cyprus and the parent company has an indirect shareholding of 100%.

Retail Trading of Sporting Goods (INTERSPORT and TAF Stores)

The retail trading of sporting goods segment includes the following Companies:

 INTERSPORT ATHLETICS SA which operates in Greece and the parent company has a direct shareholding of 100%.

 INTERSPORT ATHLETICS (CYPRUS) LTD which operates in Cyprus and the parent company has an indirect shareholding of 100%.

 GENCO BULGARIA EOOD which operates in Bulgaria and the parent company has an indirect shareholding of 100%.

 INTERSPORT ATLETİK MAĞAZACILIK VE DIŞ TİCARET A.Ş. which operates in and the parent company has an indirect shareholding of 100%.

 TRADE LOGISTICS S.A. which operates in Greece and the parent company has a