Carrefour S.A. Annual Report 2009

Plain-text annual report

22.07.2010 08:20 PDF_QUADRI_300dpi_txvecto 22.07.2010 08:20 PDF_QUADRI_300dpi_txvecto 1 t r o p e R l a u n n A 9 0 0 2 In 2009, Carrefour took a new look at its business and formulated a new ambition: to become the preferred retailer. The retailer that knows its customers, anticipates their desires and delights them within its stores. The retailer that inspires trust through product quality, prices and socially-responsible commitments. The retailer that helps customers achieve a better quality of life every day. Carrefour has what it takes to reach its goals: its brand, stores, products, services and teams, all gathered around the same values. In 2009, 475,000 committed employees, caring about customer needs and positive at all times, joined forces to ensure that clients enjoy shopping at Carrefour again and again. 3 billion checkouts per year 7th employer worldwide in the private sector in 2009 2 Our ambition: to become the preferred retailer Satisfying the needs of our customers and consumers is no longer enough. Carrefour must wow and delight them every day. 3 t r o p e R l a u n n A 9 0 0 2 To be recognized Actions speak louder than words. We work hard every day to offer the best products and services at the best prices, creating more value for our customers and consumers. And as we develop this value, we keep building up their recognition. and loved Love begins with very little things. Just like people, a brand is stronger when loved. We do everything in our power to build a relationship with our customers, consumers and partners based on loyalty and trust. And earn their loyalty a little more every day. for helping Everyone needs help. Improving daily life, giving it more balance... This is what consumers all over the world need and want. And by meeting this need with products, services and a shopping experience, all at great value for money, we help them modestly, sincerely and constantly to make their daily life more pleasant. our customers and consumers Retail is all about people. People who visit our stores, here and everywhere else. And their families, friends and others who use the products and services we offer. They are all different. They have speciﬁ c needs and desires – to which we remain attentive every day. enjoy There is no good life without discoveries and pleasures. As for us, we enjoy watching our customers explore our stores, interact with each other and discover and select our products. Our goal is to surprise, wow and delight them on a daily basis. better quality lives every day Imagine a better life. Making quality products available to families at discount prices, offering a true choice that meets everyone’s expectations, making organic items affordable for all, facilitating the shopping experience and making it pleasant: these are some of our positive initiatives aimed at improving the quality of life of our customers and consumers every day. today and tomorrow We believe in sustainable development for all. Holding the trust of millions of customers and consumers worldwide is a big responsibility. But it’s also a unique opportunity to make a change for the better. At every level of our operations, we are committed to integrating a responsible and societal approach to beneﬁ t our customers, consumers, partners and the environment. 4 Basile, 7 years old 5 t r o p e R l a u n n A 9 0 0 2 I looove chocolate! To bring a smile to Basile’s face, To bring a smile to Basile’s face, the Carrefour brand has innovated to introduce 2,000 new products over the year. Including chocolate, naturally! Our Carrefour brand products have been Our Carrefour brand products have been developed all around the world. The recipe for developed all around the world. The recipe for this success? We combined all of our expertise this success? We combined all of our expertise with a pinch of innovation and mixed it together with a pinch of innovation and mixed it together with irreproachable quality and unparalleled with irreproachable quality and unparalleled taste. It’s no surprise that Basile found the chocolate he prefers at Carrefour. 6 Victoria, 22 years old 7 t r o p e R l a u n n A 9 0 0 2 Affording anything besides noodles on my budget? I’ve found the solution... For Victoria, we created the Carrefour Discount range. 400 everyday products, including 80% food products, at discount prices without compromising the Carrefour quality. Launched in May 2009 at 1,200 salespoints in France, Carrefour Discount has experienced record levels of success and ranked 10th among all consumer brands* after the ﬁ rst ﬁ ve months. For Victoria and her friends at university, Carrefour Discount has become their preferred brand. *Sales at supermarkets and hypermarkets in France (excluding hard discount), compared to FMCG self-service produce. 8 Ms. Zao, 58 years old 9 t r o p e R l a u n n A 9 0 0 2 All my favourite products in one place: that’s progress! For Ms. Zao, we opened a new Carrefour hypermarket in the heart of her district in Yangxi. The Yangxi store in the Chengdu region covers 6,758 sq.m and has 34 cash registers. It is the 150th Carrefour hypermarket in China and offers quality products at very competitive prices. This is why Ms. Zao shops there several times per week. She knows she’ll always ﬁ nd the products she prefers. 10 Stéphane, 29 years old 11 t r o p e R l a u n n A 9 0 0 2 How convenient to shop next door! For Stéphane, we invented a tailor-made concept: Carrefour City. This city-centre store – open from 7 am until 11 pm, and even on Sundays in certain districts – makes life easier for customers who are busy and always on the go. Carrefour City offers them a ready-to-eat section, items for their daily shopping needs and even a selection of special products for a mid-week treat. This new banner has won Stéphane’s loyalty, day after day. Carrefour City is now his preferred convenience store. 12 Laura, 34 years old Laura, 34 ans 13 t r o p e R l a u n n A 9 0 0 2 Carrefour helps me take care of myself – and the planet! For Laura, we have expanded our Carrefour line with 152 organic and health products. We have been committed to offering a range of quality food and non-food organic products at affordable prices for the past 18 years. Today, we are France’s leading vendor of organic products. Every day we do a little more for the environment and to respond to our customers’ environmental concerns. Thanks to Carrefour, Laura has ﬁ nally found the organic cosmetics brand she prefers. 14 In 2009, Carrefour achieved a new momentum. The Carrefour teams joined forces every day to win the hearts of their customers and consumers and help Carrefour become the preferred retailer. 15 t r o p e R l a u n n A 9 0 0 2 A new momentum for Carrefour Message from the management 16 MESSAGE FROM THE MANAGEMENT Message d’Amaury de Seze 17 t r o p e R l a u n n A 9 0 0 2 Message from Amaury de Seze Dear Madam, Sir, In 2009, Carrefour’s Board of Directors adopted the three-year plan proposed by the Group’s General Management. It was implemented the same year and the first results are now appearing. This plan is designed around two priorities: • relaunch the commercial dynamic to better serve customers, win market share and generate growth; • transform the Group’s organization to make it more efficient, reduce costs where possible and increase profitability. Despite a difficult economic climate, the plan made significant progress in these two areas in 2009: • nearly €600 million in cost reductions; • initial success in recapturing market shares in France; • the success of the new formats – Carrefour Market and Carrefour City – and new concepts such as Carrefour Discount; • a high level of expansion in growth markets such as China and Brazil. All of these examples demonstrate that Carrefour has got back onto the right track. The goal for 2010 is to build upon and consolidate these new foundations. The Board supports and provides assistance to the initiatives led by General Management, which is aware of the efforts and changes still needed for the Group to regain its best levels of performance, and to strengthen its leadership so that Carrefour can again become a growth value. Amaury de Seze Chairman of the Board of Directors 18 MESSAGE FROM THE MANAGEMENT Message from Lars Olofsson Dear Madam, Sir, Dear Shareholders, In 2009, we gave the Carrefour Group a new momentum. This momentum arose from our new ambition, an ambition which is both simple and strong: to become the preferred retailer. To achieve this ambition, Carrefour needs to transform itself in depth, bring the brand closer to its customers and reach the levels of performance and profi tability of the best in the retail business. To do so, we launched a transformation plan, called “Getting ahead!” It is supported by a solid team composed of both new people, to bring a fresh perspective on Carrefour, and proven talents from the company. Together, we have demonstrated our determination to reveal a new face for Carrefour: a company that combines conquest and performance, warmth and optimism, a company with a brand that has considerable potential. In 2009, we put the positive back into both our brand and our customers’ hearts with the introduction of the Carrefour Discount range. We began relaunching the commercial dynamic with new store concepts, such as Carrefour Market, Carrefour City, Carrefour Contact and Dia, and new Carrefour brand products: nearly 2,000 new items launched in France to bring our customers back into our stores again and again. In China, we have continued to increase our volumes thanks to a very successful commercial approach. In Brazil, our Carrefour hypermarkets and hypercash format under the Atacadão banner have shown higher dynamism than the market and saw a high level of growth. Within the company, we have promoted new values so that our employees can become more committed, caring and positive in dealing with our customers. Finally, we have begun to transform our way of working throughout the value chain to become more effective and effi cient, with a view to improving our profi tability. I am proud of the energy our staff has put into the transformation plan, and of the work achieved in 2009. Our collective commitment has begun to yield results. We kept our promises. Despite a diffi cult economic context, our Activity Contribution reached € 2,777 million and we gained 0.2 in market share in France for the fi rst time in three years, thanks to the success of Carrefour Market and Carrefour Discount. We also reduced our costs by € 590 million, an unprecedented fi gure for the Group, which makes us confi dent that our plan to save € 3.1 billion by 2012 will be achieved. Other promises kept: we reduced inventory by 2.3 days and generated free cash ﬂ ow of around €1.5 billion. The foundations for the future of Carrefour are in place. In 2010, in an economic context that is likely to remain challenging, the Group will consolidate its position by focusing all its energy on two strategic priorities: ﬂ awlessly executing its transformation plan and strengthening commercial dynamic on its key markets. 19 t r o p e R l a u n n A 9 0 0 2 20 20 MESSAGE FROM THE MANAGEMENT Our strategy is clear and our geographic priorities remain the same : France and Europe, in particular Spain, Italy and Belgium, and the major growth markets. with the new management team, we defi ned a strategic plan to ensure Carrefour’s continued presence in this country and allow it to regain ground from a healthy position. To become the preferred retailer in France, our historical market, and keep on winning market share, we will be working with the new team to continue unfailingly to implement our strategy. The expansion of the Carrefour multiformat is a key asset: we must be where our customers are. We will therefore accelerate our deployment of the new concepts (Carrefour City, Carrefour Contact and Dia), which showed successful results after testing in 2009. More attractive and welcoming, these stores have supported and added value to initiatives such as the launch of our Carrefour Discount range. In 2010, we will continue on this path and strengthen our commercial dynamic with an ever more attractive and competitive offering. I want us to capitalize everywhere on the progress we made in 2009: in Europe and in our main growth markets, such as Brazil and China. We will also continue our efforts in countries with higher potential where we can win a leading position. In Europe, a tense economic climate created challenges, but we are ready to move to the front of the race at the fi rst signs of an upturn. In Spain, despite a particularly diffi cult context, we maintained virtually all of our profi tability in 2009. In 2010, we will continue our cost- reduction plan and our efforts to support the commercial dynamic. As for Italy, last year I clearly stated my intention for us to break out of the status quo and accelerate our performance. We recentred our operations in the north of the country and reduced our administrative expenses. We have plans for our different store formats which are now united under a single brand. In Belgium, we took objective stock of the situation. Together In China and Brazil, we have both a customized economic model and a position of strength. We will continue our rapid expansion in these two markets, which will clearly make signifi cant contributions to our future growth. The Carrefour Group enters 2010 on these clear lines, focused on ﬂ awlessly executing its transformation plan. 2010 is a year in which we must achieve new progress for our customers and widen the gap between us and our competition: our brand must become even closer to customers, offering them new solutions to improve their quality of life. Our commercial dynamic must be enhanced so that we may offer products with the best value for money. Our store experience must be reinvented, particularly in the hypermarket format, so that shopping can once again become In 2009, we kept our promises. a pleasant experience fi lled with discovery. And, fi nally, our customers must be delighted by the welcome and the service they receive from our staff, committed, caring and positive every day. Of course we cannot make this kind of progress alone, but only with the support of our key partners, suppliers, producers and associations. We fi rmly believe that it is by working together that we can build mutual and sustainable success. We work with suppliers who are leaders in their categories in a partnership focused on growth, 21 t r o p e R l a u n n A 9 0 0 2 The Carrefour Group enters 2010 on these clear lines, focused on flawlessly executing its transformation plan. called the Business Development Program. Its goal is to develop customers’ favourite product categories and create competitive and innovative offerings. More generally, we are implementing new ways of working with all of our suppliers and partners, based on the respect of people and environment. This year, Carrefour strengthened its commitment to reducing greenhouse gas emissions by raising its energy efficiency goal from 20% to 30% by 2020 (compared with 2004). Our role is also to encourage and help our customers to adopt responsible habits in terms of consumption. We are developing an affordable range of organic products and are participating with our partners in awareness campaigns. Our employees everywhere are involved in these efforts and help us promote this approach. Our suppliers are also involved. This year, we decided to acknowledge their efforts by presenting them, in France, with the first Sustainability Awards. This first Annual Activity and Sustainability Report is the tangible evidence of our integration of sustainability into our economic model and of the company’s involvement – at all levels – in practicing more responsible retail every day and helping Carrefour to become the preferred retailer. In the pages of this Annual Report, you will discover the steps Carrefour took in 2009 to move closer to its ambition. I know we have what we need to reach it: a clear and shared strategy, the brand, the teams and the determination. Most importantly, we have the trust you place in us on a day-to-day basis. I would like to take this opportunity to thank you for your support, which is invaluable to building the future of Carrefour. We undertake all of our projects with passion and commitment, with a view to rewarding your trust. Lars Olofsson Chief Executive Officer & Board Member 2222 2009 was the year in which Carrefour prepared for its future. We achieved the goals we had set and established a solid foundation for getting ahead in 2010. 2009 dynamics 23 t r o p e R l a u n n A 9 0 0 2 2009 dynamics Carrefour in figures 24 FIGURES Financial overview Despite a difﬁ cult economic context, the goals for 2009 have been reached: the Group regained market share, especially in France (+20 basis points over the year)(1), reduced its costs by €590 million, achieved an activity contribution at the top end of the objectives announced and generated a free cash ﬂ ow of €1,479 million, the result, in particular, of a determined strategy of investments and inventory reduction. Consolidated net sales (in millions of euros) Activity contribution before depreciation, amortization and provisions (in millions of euros) Activity contribution (in millions of euros) M€ 85,963 M€ 4,656 M€ 2,777 In 2009, the Group’s sales declined 1.2% on a reported basis but rose 1.2% at constant exchange rate excluding petrol and adjusted for the calendar effect, driven by growth markets. In France, sales fell 0.9% excluding petrol. The Group’s market share rose by 20 basis points in 2009, driven by the excellent performance of supermarkets, whose conversion to the Carrefour Market banner was virtually completed by the end of 2009. (1) In Europe, sales fell by 2.8% excluding petrol at constant exchange rate (-5.4% published). Across all countries, sales were affected by the poor economic environment and by deﬂ ation in Spain. Sales growth in Latin America remained strong (+17.1% at constant exchange rates, +11.9% on a reported basis), boosted by solid like-for-like growth in Argentina and Brazil and by sustained expansion throughout the region. Sales in Asia grew by 4.5% at constant exchange rates (+8.4% at current exchange rates), driven by a sustained pace of expansion. Activity contribution before depreciation, amortization and provisions (ACDA) fell 9.9% in 2009, impacted primarily by a 1.2% decline in margin from ongoing operations reﬂ ecting the Group’s decision to invest more in prices in 2009. These additional investments of €639 million were only partially offset by the positive effect of gains from logistics and markdown cost savings (€50 million) and purchasing initiatives (€50 million). SG&A expenses increased under the pressure of expansion and inﬂ ation costs, but nevertheless remained under control, with annual growth limited to 1.9% thanks to operational cost savings of around €540 million. The activity contribution reached €2.8 billion, a 16% decrease compared to 2008. In France, it fell by 26.9% to € 1,100 million, due to the fall in volumes and investments in the commercial offer. In Europe, it reached €962 million, a fall of 17.6% compared with 2008. The impact on profi tability of the €1,743 million downturn in sales was partially offset by the resilience of the commercial margins and by an excellent discipline on SG&A expenses. In Latin America, activity contribution rose 23% (+28.1% at constant exchange rates), reﬂ ecting signifi cant sales growth as well as fi rm control over SG&A expenses and commercial margin. Activity contribution in Asia declined by 5% to €229 million. This is mainly attributable to Thailand and Taiwan. 86,967 86,967 85,963 85,963 82 ,148 82 ,148 5 ,168* 5 ,168* 5 ,014 5 ,014 4 ,582 4 ,582 4 ,740 4 ,740 4 ,656 3 ,152 3 ,152 3,183 3,183 3,307* 3 ,291 3 ,291 2,777 2,777 76,887 76,887 73 ,060 73 ,060 2005 2005 2006 2006 2007 2007 2008 2008 2009 2009 2005 2005 2006 2006 2007 2007 2008 2008 2009 2009 2005 2005 2006 2006 2007 2007 2008 2008 2009 2009 (1) TNS Worldpanel at 27 December 2009. The 2009 financial statements are presented in accordance with IFRS principles. 25 t r o p e R l a u n n A 9 0 0 2 Our fi nancial performance in 2009 reﬂ ects the implementation of the transformation plan: Slight growth in sales driven by growth markets: up 1.2% at constant exchange rates ex petrol and ex calendar effect (down 1.2% on a reported basis). Activity contribution of €2,777 million, down 16%, impacted by commercial investments of €639 million but boosted by signifi cant cost savings, especially in the second half. Net income from recurring operations, Group share of €385 million, impacted by non-recurring and restructuring charges of €1,072 million. Selective management of Capex: €2,137 million in 2009 (vs. €2,908 million in 2008). Breakdown of consolidated net sales by geographic region Breakdown of consolidated net sales by format 7.6% 13.7% 35.7% 43% France France Latin America Asia Europe (excluding France) Europe (excluding France) 5.2% 11.2% 11,2 % 11,2 %11,2 % 21.5% 62.1% Hypermarkets Hypermarkets Hard discount Supermarkets Supermarkets Other activities Breakdown of activity contribution by geographic region 8.3% 17.5% 34.6% 39.6% France France Latin America Asia Europe (excluding France) Europe (excluding France) Net income from recurring operations – Group share (in millions of euros) Net income from recurring operations per share (in euros) Debt and liquidity: (as a percentage of shareholders’ equity) M€ 385 € 0.56 7.6 x Net income from recurring operations, Group share, came to € 385 million, compared with €1,274 million in 2008, a decline of 69.8%, affected by non-recurring expenses of €1,072 million, of which €766 million were impairment expenses (mainly Italy). Adjusted for exceptional items (impairment charges), net income, Group share, was down 10% to €1,151 million. Net income from recurring operations per share was €0.56, down 69.8% from year-end 2008. The Group’s share net income per share, taking into account the proceeds from operations that were sold or are in the process of being sold, came to €0.48 in 2009 versus €1.85 in 2008. Debt: 7.6x = activity contribution before depreciation, amortization and provisions/ fi nancial costs At 31st December 2009, net debt came to €6,640 million, down 2.9% from 31st December 2008. In 2009, the ratio of net fi nancial debt to shareholders’ equity improved slightly, from 61% in 2008 to 58%. Coverage of fi nancial expenses came to 7.6x in 2009 compared to 9.2x in 2008. Cash ﬂ ow to net debt came to 52.9% compared with 60.3% the previous year. Over the course of the period, the Group refi nanced debt worth €1.3 billion through private placements. The Group’s liquidity situation is solid, with €3 billion undrawn committed syndicated loans, and the schedule for the repayment of bonds totalling €8.7 billion to be spread over the next eight years. 1,797 1,797 1,856 1,856 1,868 1,868 2.58** 2.58** 2.64** 2.64** 2.67** 2.67** 72% 72% 1,274* 1,274* 1.86* 1.86* 60% 60% 63% 63% 61% 61% 58% 58% 385 0.56 0.56 2005 2005 2006 2006 2007 2007 2008 2008 2009 2005 2005 2006 2006 2007 2007 2008 2008 2009 2009 2005 2005 2006 2006 2007 2007 2008 2008 2009 2009 *The 2008 financial statements have been restated to reflect the adjustment of the first application of the IFRIC 13 & IAS 38 standards and the deconsolidation of Russia (IFRS 5) **Net income from recurring operations per share on a reported basis 26 FIGURES Stock market overview Carrefour is listed on the Eurolist of the paris Euronext Exchange (Compartment A – ISIN code FR0000120172). It is eligible for the SRD (Deferred Settlement Service). It is included in the following indices: CAC 40, SbF 120, FTSE 100 and DJ Euro Stoxx 50. At 31st December 2009, the share was in 11th position in the CAC 40 index in terms of market capitalization, with a weighting of 2.8%. CApITAL (AT 31ST DECEMbER 2009) 11th pOSITION IN THE CAC 40 INDEx shareholders number of shares in % number of ordinary voting rights Blue Capital 75,326,258 10.69% 139,370,068 704,902,716 SHARES Colony Blue Investor 15,166,770 Groupe Arnault SAS* 5,000,000 Employees 7,404,745 2.15% 0.71% 1.05% 15,166,770 5,000,000 14,723,490 Shares owned 563,488 0.08% Controlled shares 0 0 0 0 in % 17.12% 1.86% 0.61% 1.81% 0 0 number of extraordinary voting rights 139,370,068 15,166,770 5,000,000 14,723,490 0 0 in % 17.12% 1.86% 0.61% 1.81% 0 0 Public Total 601,441,455 85.32% 639,932,712 78.60% 639,932,712 78.60% 704,902,716 100.00% 814,193,040 100.00% 814,193,040 100.00% * Related stock options in accordance with article L. 239-9 4° of the French Commercial Code. Blue Capital SARL, a Société à Responsabilité Limitée [limited-liability company] under Luxemburger law, Colony Blue Investor, a Société à Responsabilité Limitée [limited-liability company] under Luxemburger law, and Groupe Arnault SAS, a Société par Actions Simplifi ée [joint-stock company] have declared that they are acting in concert. SCHEDULE FINANCIAL INFORMATION 4th May 2010 Annual Shareholders’ Meeting 12th May 2010 Payment of dividend* 15th July 2010 Publication of second-quarter 2010 sales 31st August 2010 2010 half-yearly results 14th October 2010 Publication of third-quarter 2010 sales CARREFOuR STOCK in euros Quoted price: highest lowest on 31st December 2005 41.75 35.36 39.58 2006 51.15 38.10 45.94 2007 58.10 42.95 53.29 2008 52.52 24.68 27.52 2009 33.79 22.89 33.56 Number of shares on 31st December 704,902,716 704,902,716 704,902,716 704,902,716 704,902,716 Market capitalization on 31st December (in billions of euros) 27.90 32.40 37.60 19.40 23.70 Average daily volume 2,613,756 3,117,619 4,337,998 4,168,131 2,946,152** Net income from recurring operations per share*** Net dividend Yield 2.58 1.00 2.64 1.03 2.67 1.08 1.83 1.08 2.53% 2.24% 2.03% 3.92% 0.56 1.08* 3.22% * Subject to shareholder approval at their Annual Meeting of 4th May 2010. ** Average daily volume on Euronext in 2009. *** Net income from recurring operations per share: data published from 2005 to 2008. SHAREHOLDER INFORMATION Carrefour Group shareholders have access to transparent, accurate and regularly updated information through: A telephone number for shareholders By dialling +33 (0)1 55 63 39 00, shareholders have access to the following information: ǋ Group news ǋ the share price, its movement and that of the CAC 40 ǋ the calendar of meetings and financial publications ǋ practical information about registered shares and their advantages, ordering corporate documents, and useful telephone numbers The Shareholders Relations Department provides information to the shareholders on the Group’s strategy and outlook. Letter to Shareholders The Letter to Shareholders is sent twice a year to all registered and bearer shareholders who request it. Shareholder’s Guide Contains a company profile as well as share management information and guidelines. Website Carrefour’s corporate site, www.carrefour.com, has a section dedicated to shareholders under "Finance". Shareholders’ e-mail alert By registering at the " Shareholders " section of the Carrefour website, www.carrefour.com, shareholders are informed by e-mail upon publication of the Group’s financial reports. CARREFOuR SHARE pRICE pERFORMANCE IN 2009 IN RELATION TO THE CAC 40, bEFOODR AND DJ STOxx EuROpE RETAIL INDICES** (bASE 100) 140 130 120 110 100 90 80 70 Jan. Feb. Mar. April May June July Aug. Sept. Oct. Nov. Dec. Carrefour Befoodr DJ Stoxx Europe Retail Index CAC 40 27 t r o p e R l a u n n A 9 0 0 2 MEETINGS ANNuAL SHAREHOLDERS’ MEETINg This is a special gathering of managers and shareholders that provides a good opportunity to learn more about Carrefour’s activities, results and outlook. For those unable to attend, the Annual Shareholders’ Meeting is broadcast live, then as a webcast, on the Group’s corporate website at www.carrefour.com. ExHIbITIONS Carrefour has been participating in the Paris Actionaria Exhibition for the past nine years. Staff members are present two days to answer any questions visitors may have. SHAREHOLDERS’ MEETINgS Carrefour’s managers regularly meet with shareholders to present the Group’s strategy and results. A schedule of upcoming meetings can be found on the Group’s website, www.carrefour.com, in the "Finance/Shareholder" section. 133.31 CONTACTS 122.32 121.95 121.38 CARREFOuR gROup Investor Relations 26, quai Michelet - TSA 20016 92695 Levallois-Perret Cedex Tel. +33 (0)1 55 63 39 00 investisseurs@carrefour.com CARREFOuR gROup Shareholder Relations 26, quai Michelet - TSA 20016 92695 Levallois-Perret Cedex Tel. +33 (0)1 55 63 39 00 actionnaires@carrefour.com REgISTERED SHAREHOLDERS CACEIS Corporate Trust – Investor Relations 14, rue Rouget de Lisle 92862 Issy-les-Moulineaux Cedex 09 Tel. +33 (0)1 57 78 34 44 Fax +33 (0)1 49 08 05 80 ct-contact@caceis.com * BEFOODR index: nine values (Ahold, Carrefour, Casino, Colruyt, Delhaize, Metro, Morrison, Sainsbury and Tesco). ** DJ Stoxx Europe Retail Index: 23 values (Ahold, Carrefour, Casino, Celesio, Colruyt, Debenhams, Delhaize, DSG, Galenica, Home Retail, H&M, Inchcape, Inditex, Jeronimo Martins, Kesko, Kingfisher, Marks & Spencer, Metro, Morrison, Next, PPR, Sainsbury and Tesco). 28 FIGURES Carrefour stores Stores under Carrefour banners at 31st December 2009 (incl. franchisees and partners) 1,395 total hyPerMarKets *Partner under license 2,949 total suPerMarKets HypErMarKEts total France Europe (excluding France) Belgium Bulgaria Spain Greece and Cyprus Italy Poland Romania Turkey total Europe (excluding France) Latin america Argentina Brazil Colombia total Latin america asia China Indonesia Malaysia Singapore Taiwan Thailand total asia partners Saudi Arabia Bahrain French overseas territories Egypt United Arab Emirates Japan* Jordan Kuwait Morocco Oman Qatar Dominican Republic Slovakia Syria Tunisia total partners Group totaL supErMarKEts Total Of which franchisees and partners 231 56 1 170 35 65 82 22 26 457 68 172 69 309 156 61 19 2 62 39 339 10 1 11 4 12 6 1 1 1 2 3 1 4 1 1 59 1,395 28 6 4 10 10 1 11 4 12 6 1 1 1 2 3 1 4 1 1 59 97 Total Of which franchisees and partners 987 total France Europe (excluding France) 375 Belgium 101 Spain 242 Greece and Cyprus 501 Italy 200 Poland 25 Romania Turkey 165 total Europe (excluding France) 1,609 Latin america Argentina Brazil total Latin america asia Indonesia Taiwan total asia partners Saudi Arabia Belgium French overseas territories Egypt United Arab Emirates Morocco Tunisia total partners Group totaL 1 69 22 1 11 22 43 169 2,949 117 49 166 15 3 18 405 313 3 23 274 613 1 69 22 1 11 22 43 169 1,187 6,475 total hard discount stores 15,661 stores in 34 countries Hard discount Total Of which franchisees and partners 928 total France Europe (excluding France) 2,815 Spain 381 Greece and Cyprus 524 Portugal Turkey 675 total Europe (excluding France) 4,395 Latin america Argentina Brazil total Latin america asia China total asia Group totaL 360 360 6,475 416 376 792 93 886 126 157 238 1,407 63 94 157 92 92 1,749 29 t r o p e R l a u n n A 9 0 0 2 4,698 total convenience 144 total cash & carry 475,000 employees convEniEncE total France Europe (excluding France) Belgium Spain Greece and Cyprus Italy Poland total Europe (excluding France) Latin america Brazil total Latin america asia Thailand total asia partners French overseas territories total partners Group totaL casH & carry Total 3,165 196 14 261 964 30 1,465 8 8 1 1 59 59 4,698 Total total France Europe (excluding France) Italy total Europe (excluding France) Group totaL 129 15 15 144 Of which franchisees and partners 3,165 196 4 237 789 30 1,256 59 59 4,480 Of which franchisees and partners 124 1 1 125 30 FIGURES Key sustainability indicators These key indicators illustrate the group’s day-to-day actions for a sustainable approach of environment, society and workforce. The group performs rigorous operational coordination and monitoring of its overall performance in terms of sustainability. This approach is evaluated in an audit carried out by our statutory auditor KpMg and received a moderate assurance level for 2009. All the changes presented here were calculated on a like-for-like basis (in number of Business Units) and are representative (at least 75% of the Group’s consolidated sales, excl. VAT). ENVIRONMENTAL INDICATORS Energy consumption in the stores (kWh/sq.m of sales area) 690 690 663 627 627 602 602 2006 2006 2007 2007 2008 2008 2009 2009 - 12.8 % in 2009 compared with 2006 in 2009 compared with 2006 paper consumption for commercial publications (kg of paper purchased/sq.m of sales area) Free disposable plastic bags (number of free disposable plastic bags purchased by stores and distributed at checkouts/sq.m of sales area) 499 499 374 374 292 292 231 231 2006 2006 2007 2007 2008 2008 2009 2009 -53.8 % in 2009 compared with 2006 in 2009 compared with 2006 Greenhouse gas emissions linked to the consolidated stores’ consumption of fuel, gas and electricity in the stores (kg of CO2 /sq.m of sales area) 232 232 227 227 218 211 211 19.9 19.9 20.0 20.0 19.7 19.7 17.5 17.5 2006 2006 2007 2007 2008 2008 2009 2009 - 11.7 % in 2009 compared with 2006 in 2009 compared with 2006 - 8.9 % in 2009 compared with 2006 in 2009 compared with 2006 2006 2006 2007 2007 2008 2008 2009 2009 31 t r o p e R l a u n n A 9 0 0 2 PRODUCT INDICATORS own-brand organic food products (number of units) carrefour Quality Line products (number of units) own-brand and national- brand fair trade products (number of items) 2,076 2,076 1,607 1,276 1,276 1,004 1,004 464 464 398 398 418 418 338 338 819 819 621 621 340 340 235 235 2006 2006 2007 2007 2008 2008 2009 2009 2006 2006 2007 2007 2008 2008 2009 2009 2006 2006 2007 2007 2008 2008 2009 2009 + 106.8 % in 2009 compared with 2006 in 2009 compared with 2006 + 37.3 % in 2009 compared with 2006 in 2009 compared with 2006 +249 % in 2009 compared with 2006 in 2009 compared with 2006 HUMAN RESOURCES AND SOCIETAL INDICATORS Women in management (%) 33.7 34.5 32.5 30.6 30.6 Average number of training hours per employee Employees declared as having disabilities 15.8 15.8 15.9 15.9 14.6 14.6 14.4 14.4 10,189 10,189 9,395 9,395 8,197 8,197 7,329 7,329 2006 2006 2007 2008 2009 2006 2006 2007 2007 2008 2008 2009 2009 2006 2006 2007 2007 2008 2008 2009 2009 + 12.7 % in 2009 compared with 2006 in 2009 compared with 2006 +8.9 % in 2009 compared with 2006 in 2009 compared with 2006 + 39 % in 2009 compared with 2006 in 2009 compared with 2006 For more information on these performance indicators, please refer to the DVD enclosed at the end of this Annual Activity and Sustainability Report, and visit www.carrefour.com 32 Carrefour goes where its customers are. Its multiformat store approach suits all lifestyles and meets all expectations. In 2009, Carrefour innovated and offered concepts keeping with the times —modern, accessible and pleasant. 33 t r o p e R l a u n n A 9 0 0 2 Stores for all customer profiles The Carrefour multiformat approach 34 MULTIFORMAT En avant pour transformer Carrefour The Carrefour brand More dynamic than ever In 2009, the Carrefour brand increased its initiatives for its customers and consumers, innovating in terms of concepts, product offerings and services. Carrefour is set to become the preferred retailer. A bRAND THAT STAYS IN TOuCH WITH CuSTOMER AND CONSuMER NEEDS Over the past 50 years, Carrefour has become a beacon for consumers looking for excellent value for money. This key asset generates over three billion checkouts per year – a fi gure equivalent to half the world’s population! In 2009, Carrefour decided to bring its brand even closer to customers by adopting a new, decidedly positive positioning and by bringing them concrete proof of its commitment. It expanded its offering, in particular by creating the Carrefour Discount range to offer quality products at discount prices. It adapted its promotions to the diffi cult economic context, especially in Spain. It also increased its environmentally-responsible initiatives to help customers and consumers do their part: launching green energy in France, eliminating plastic bags in Spain, introducing waste sorting and recycling operations in Brazil, etc. These caring improvements help improve quality of life. PRODUCTS FOR ALL TASTES AND BUDGETS OVER 27,000 CARREFOuR bRAND FAST MOVINg CONSuMER gOODS WORLDWIDE 35 t r o p e R l a u n n A 9 0 0 2 A bRAND THAT gENERATES LOYALTY uNDER ALL ITS bANNERS Today, customers and consumers are becoming increasingly loyal to all Carrefour banners. No matter what they need, how or when they shop, Carrefour stores are there. And in each Carrefour store, customers reap the many benefi ts of the Carrefour loyalty card. In Europe, over 25 million households have a loyalty card – a valuable asset for Carrefour as it strives to know its customers better and offer them products and promotions as closely matched to their needs as possible. A bRAND THAT DEVELOpS WITH A MuLTIFORMAT AppROACH To adapt to all customer lifestyles, Carrefour offers a variety of store formats ranging from hypermarkets and supermarkets to convenience and hard discount stores. For professionals, Carrefour is also developing the cash & carry format. At year-end 2009, Carrefour had over 15,600 stores in 34 countries. All told, over the year more than 1,000 stores were opened or acquired, all formats combined, with an especially strong momentum in the convenience and hard discount formats. 2009 was also a year of renewal, particularly in France, where nearly 1,000 supermarkets became Carrefour Market stores and over 60 convenience stores adopted the new Carrefour City and Carrefour Contact concepts. In hard discount, the Ed stores began to adopt a new concept under the Dia banner, modern stores where “discount” equals shopping pleasure. This innovative approach is being adopted elsewhere in Europe and around the world, in order for Carrefour to become a standard-setting and preferred brand. STORES FOR EVERY LIFESTYLE 25 million LOYALTY CARDHOLDERS IN EuROpE 36 MULTIFORMAT Carrefour A hypermarket for everyone REINVENTINg A CONCEpT The hypermarket is the format for major shopping trips as well as purchases for individual customers, their families and their homes. In France, hypermarkets attract 1 million customers every day. To become and remain the favourite retailer of these customers and millions of others in Europe, in 2009 Carrefour decided to give new appeal and new impetus to its hypermarkets. Enjoyable, multi-channel shopping, a true market atmosphere with fresh products displayed in a more attractive way than in a single department, a large space dedicated to seasonal products and events to create an ongoing spirit of celebration, and a non-food offering grouped into specialized sections: this is the hypermarket reinvention plan being tested in France, Belgium and Spain in 2010. A WINNINg MODEL On growth markets, the hypermarket format is synonymous with modern retail. Carrefour entered the Bulgarian market with the opening of a hypermarket in the city of Burgas. A WIDE AND ATTRACTIVE RANGE OF PRODUCTS AT HYpERMARKETS, 9 OuT OF 10 CuSTOMERS buY A CARREFOuR pRODuCT. It offers 13,000 sq.m of sales area and 50,000 products adapted to local preferences and traditions. Carrefour also opened a hypermarket in Yangxi, its 150th in China, with a sales area of over 6,000 sq.m. In Brazil and Argentina, the new “mini-hyper” format has won over a clientele in search of a quick shopping experience, while the largest hypermarkets display their non-food products with style to enhance their attractiveness. W h a t ’ s n e w ? CARREFOUR MULTI-CHANNEL In France, the user-friendliness In France, the user-friendliness of www.carrefour.fr, the prices offered and the special promotions have made it no. 9 among e-commerce sites, with 5.3 unique visitors per month! with 5.3 unique visitors per month! Another innovation and source of satisfaction for customers: the interaction between stores and the online channel via shared and innovative services. The web offensive is also being deployed in Brazil, where Carrefour aims to win over 62 million Internet users. W h a t ’ s n e w ? gREENER HYpERMARKETS Everywhere it operates, Carrefour designs its new buildings with environmental protection in mind. The renovation/expansion of the shopping centre and hypermarket in Chambourcy (France) is particularly successful in terms of landscape integration, with “living” walls and roofi ng incorporating special acoustic treatments as well as a wooden façade and frame. Following the example of other stores, the Sertorio hypermarket in Porto Alegre (Brazil) has been equipped with a rainwater recovery system that has allowed it to reduce its water costs by 60%. 37 t r o p e R l a u n n A 9 0 0 2 Carrefour Market Supermarkets the way we like them a neXt Generation sUPermarKet Carrefour Market is a new supermarket concept that’s modern, welcoming and generous. Produce is presented in the style of a traditional market, creating a friendly environment. The wide and diverse range of food items and non-food items, from textiles to entertainment and table settings, invites the customer to discover what the store has to offer. The store’s layout and communications simplify the customer’s shopping trip, while the prominent display of Carrefour brand products enhances the banner’s value for money. The Carrefour loyalty card and the commitment to reducing checkout waiting time are key to making Carrefour Market a preferred store. an attractive Format Carrefour Market is an excellent example of the Carrefour brand’s multiformat approach. At year-end 2009, nearly 1,000 consolidated and franchised supermarkets bore the Carrefour Market banner and achieved successful results overall. In 2009, like-for-like sales increased 3.8% ex petrol. Store trafﬁ c and the average basket increased 2.2% and 1.4% respectively in the fourth quarter. In France, the performance of our supermarkets led Carrefour’s growth and the growth of its market share up 0.2% for the ﬁ rst time in three years. the “maDe-in carreFoUr” sUPermarKet Over 3,000 Carrefour supermarkets worldwide make day-to-day shopping easier by offering a wide and customized range of food products at very competitive prices. A trailblazer in convergence, Spain opened its 100th supermarket (in Malaga) in 2009. In Romania, Carrefour entered a partnership with Winmarkt, which has consolidated its positioning in the format with three new stores. In Brazil, the 49 Carrefour supermarkets are very popular with customers, and their sales grew. In Malaysia and Italy, Carrefour Market is increasing its visibility with locations in both city centres and rural areas. WelcoMinG anD GeneroUs SALES UP 3.8% in 2009 For carreFoUr marKet sUPermarKets in France W h a t ’ s n e w ? marKet QUaLity The Carrefour Quality Line will gradually expand to all the departments in the market space at the Carrefour Market store: from fruit and vegetables to seafood, meats and cheeses. Launched in 1992 in partnership with suppliers, this product line meets customers’ and consumers’ expectations in terms of food safety, freshness, taste and, of course, authenticity. 38 MUlTiforMaT The Carrefour convenience Getting closer to customers the soLUtion store Located in city centres or residential areas, Carrefour convenience stores have adapted to the needs of a busy clientele that is on the move. As illustrated by the Carrefour City format in France. Open from 7 am to 11 pm, including Sundays in certain districts, Carrefour City offers a targeted range of products in a sales area of between 350 and 600 sq.m. This includes ready-to-eat items for right away, and basic daily grocery items for later, with a focus on organic, health and fair trade products. The product offering includes 6,000 items, 30% of which are Carrefour brand items. a sUccessFUL concePt A series of tests carried out at six pilot stores in Paris, Nîmes, Avignon and Toulouse conﬁ rmed the attractiveness of the concept, with results surpassing expectations: a 30% average increase in sales. At year-end 2009, 29 Carrefour City stores blossomed throughout France, thanks to franchisees who were won over by the concept. W h a t ’ s n e w ? carreFoUr city recoGniZeD For eXceLLence Soon after its launch, Carrefour’s new urban concept received positive recognition from the profession. Its commercial relevance earned it the Golden Banner Efﬁ ciency Award. The innovation it represents was recognized with the 2009 LSA Innovation Oscar for food concepts. carreFoUr in the coUntrysiDe Carrefour is innovating and adapting to customer needs in small towns and villages. Over a sales area of between 400 and 900 sq.m, the Carrefour Contact format offers a generous range of products including self-service fresh products, as well as meats and cheeses and areas dedicated to health & beauty and wines, alongside a non-food offering focused on the essentials. Overall, a palette of 8,000 items, including 30% Carrefour brand products. Tested in France at eight pilot stores, the Carrefour Contact concept also exceeded expectations, with a 30% increase in sales after conversion. At year-end 2009, 36 stores bore the Carrefour Contact banner, which has also been deployed in a franchise scheme. froM THe ciTY To THe coUnTrYsiDe SALES UP 30% at stores converteD to the neW concePts in France 39 t r o p e R l a u n n A 9 0 0 2 W h a t ’ s n e w ? carreFoUr on toP oF the WorLD! Carrefour is gaining in altitude with the opening of its ﬁ rst Carrefour Montagne (Carrefour Mountain) store in the Menuires ski resort in December 2009. The opening was followed by two other test stores in Megève and Avoriaz in the French Alps. the carreFoUr convenience Format conQUers the WorLD After 12 Carrefour City stores in Madrid, Spain has opened two new franchises in Toledo. In Italy, DiperDi stores started to adopt the Carrefour Express banner, accelerating the brand’s convergence initiative. In Asia, Carrefour Taiwan opened its ﬁ rst Carrefour Convenience Buy store, open 24 hours a day to match the hectic lifestyle of Taiwanese consumers. With its convenience format, Carrefour is winning over new customers as it adapts its concepts to local lifestyles. W h a t ’ s n e w ? CONVENIENCE GOES GREEN In France, Carrefour City is developing a range of In France, Carrefour City is developing a range of solutions with optimal conditions for people and environmental protection in mind: Max Havelaar certiﬁ ed organic cotton uniforms, energy-efﬁ cient refrigeration units and lighting, and used battery collection containers for customers. This is one more proof of Carrefour’s actions at all levels of the company to promote sustainability. convenience in all areas 65 carreFoUr city anD contact stores in France at year-enD 2009 40 MUlTiforMaT Discount by Carrefour A new dynamic Cliente DIA Proyecto Identidad Visual Fecha 29/10/07 Nombre del Archivo Logotipo de DIA Referencias cromáticas: Pantone 485 RAL 3020 Archivo Digital DIA 2.2.logo_vert_pos cmyk.ai Formato Papel Observaciones: reDePLoyinG harD DiscoUnt With a view to lending new impetus to its hard discount operations in France, the Carrefour Group is using what it learned from the successful experience with the Dia brand in Spain and is transforming its Ed stores. The new concept is based on the best of the hard discount banner: the freshness of over 100 fruits and vegetables, the quality and guaranteed origins of the 1,700 Dia products and a selection of major brands, all at hard discount prices in a store with a modern design and a focus on shopping comfort. Meeting the expectations of the entire family while optimizing purchasing power, the format has been very successful, achieving a two-ﬁ gure sales growth at the four pilot stores. 50 Dia stores opened their doors in early 2010. In Spain, Dia is continuing efforts to modernize its stores, which are becoming more attractive and successful. They offer a wide range of self-service fresh products, meat and ﬁ sh as well as prepared dishes. By year-end 2009, 608 Dia Market and 475 Dia Maxi stores had opened throughout Spain. Dia stores also offered products at low prices to customers in Turkey, Argentina, Brazil and China. sUccess For the hyPercash moDeL Essential products at low prices in a hypermarket: the Atacadão model is a hit in Brazil. With nine new Atacadão stores opened in 2009, Carrefour Brazil now has 58 hypercash stores which continue to see two-ﬁ gure sales growth and drive up Carrefour’s market share. The ﬁ rst version of the Atacadão model was opened on 4th March 2010 in Bogotá to strengthen Carrefour’s positioning and further enhance its performance in Colombia. In Europe, the Group views to adapt the Carrefour hypercash model in France and Spain by the end of 2010. everYDaY proDUcTs aT loW prices W h a t ’ s n e w ? AN ENDURING PARTNERSHIP BETWEEN DIA AND LOCAL SUPPLIERS The relationship between Dia and its suppliers in all the countries where the brand operates is based on loyalty. In Spain, 75% of Dia’s suppliers have been working with the banner for over 10 years. 2,815 Dia stores in sPain at year-enD 2009 41 t r o p e R l a u n n A 9 0 0 2 Cash & Carry A revolution for professionals Promocash innovates In 2009, the self-service wholesale banner dedicated to food service professionals succeeded in its conversion to the franchise model and achieved a leading position in this market. At year-end, 124 of its 129 stores were franchised, including 88 in a rental/ management scheme, the proof of the success of this development model. Another revolution at Promocash is a suite of services, including the installation and rental of equipment, training and services related to hygiene and quality, and home deliveries. The third revolution of the Carrefour Group’s Cash & Carry banner is underway: a new concept tested in Wasquehal and Mâcon which meets the needs of all customers, from traditional independent buyers and those who prefer direct delivery to customers who preorder their merchandise to take advantage of the rapid pickup option. More services for professionals 129 cash & carry stores in France in 2009 Des idées neuves aux quatre coins du monde 42 Reflecting the profound changes taking place in consumer society, Carrefour is taking a new approach to retail, developing fresh ideas to bring it closer to all of its customers and consumers, each and every day, wherever the brand is present. 43 t r o p e R l a u n n A 9 0 0 2 New ideas across the world Retail made-in Carrefour 44 reTail France The positive is back! For the ﬁ rst time in three years, carrefour banners have increased their market share in their country of origin. an unmistakable sign of the Group’s gathering momentum. to accelerate the Dia rollout. Fifty Dia stores had already opened at the beginning of 2010, offering a new convenience discount service for customers across France. a Dynamic ProDUct oFFerinG In 2009, Carrefour customers in France were offered 1,940 new Carrefour products and services in keeping with current trends, including a discount range, Sélection products, children’s products in the Kids range, organic products and the “Carrefour Energie by Poweo” green energy offering. Own-brand product sales rose 9% in 2009. Another lever for Carrefour’s new image, it is now the leading FMCG brand in France, with a 24.6% market share. carrefoUr - a frencH favoUriTe sUccessFUL neW concePts France is at the forefront of a customer- centred strategy to deploy the Carrefour brand across its different store formats, achieving good results with an increase in the Group’s market share of 20 basis points in 2009. The transformation of Champion stores into Carrefour Market stores, begun in June 2008, was almost complete at the end of 2009, with 899 Carrefour Market supermarkets achieving an increase in sales of 3.8% at comparable stores, excluding petrol. The conversion of convenience stores into modern Carrefour concept stores has been a major success. The 65 Carrefour City and Carrefour Contact stores offer Carrefour products and services close to home, with highly positive results - an average increase in sales of 30%. At the same time, the conversion of hard discount Ed stores into Dia stores has boosted sales by over 30%, an added incentive 4th France’s FavoUrite GLoBaL comPany. “Global Reputation Impact Index” survey performed by BVA and Les Echos based on a sample of 1,276 people in 2009. LaUnch oF carreFoUr’s DiscoUnt BranD In May, Carrefour customers in France discovered the Carrefour Discount range. Available in all sections and in all store formats, the range features 423 listed products offering Carrefour quality at discount prices. The range was an immediate success in two ways. Eight months after its launch, 11.6 million French households had bought Carrefour Discount products, representing 3.9% of FMCG sales volume and 2% of sales revenue. The launch also improved Carrefour’s image as a competitive brand among customers. carreFoUr’s 50th anniversary anD the 5th anniversary oF its LoyaLty carD For 50 days, Carrefour celebrated its 50th anniversary in all hypermarkets and supermarkets with several promotions a day. These promotions appeared in catalogues, of which several million were distributed, and a multi-channel advertising campaign on posters, radio, the Internet and in TV magazines. 2009 also marked the 5th anniversary of Carrefour’s loyalty card, now used by 17 million households. a cLoser PartnershiP With LocaL sUPPLiers On 26th February 2009, 10 Carrefour hypermarkets in the Rhône region of France formed a long-term partnership with 40 regional suppliers. This commitment provides suppliers with a guarantee that their products will be sold on Carrefour’s shelves, supported by customized signs and, above all, the organization of regional operations to promote these products. This partnership underlines Carrefour’s on-going commitment to its suppliers and to meeting its customers’ demands for local produce. W h a t ’ s n e w ? W h a t ’ s n e w ? 45 t r o p e R l a u n n A 9 0 0 2 Positive is BacK! W h a t ’ s n e w ? In 2009, Carrefour celebrated its 50th anniversary with a new, positive focus for its communication campaigns. “Positive is back” headed up the new anniversary campaign featured in stores, on posters and on TV. Over 2.2 miLLion Units oF carreFoUr DiscoUnt Petits-BeUrre BiscUits soLD in France in 2009. a BasKeT WiTH a frencH flavoUr � The Carrefour Boule Bio, mountain milk, a delicious salad, Carrefour AGIR Bio tomatoes, top quality ham, flavoursome camembert, cola light and Carrefour Discount petit beurre biscuits are just a few of French consumers’ products they prefer buying at Carrefour. 46 reTail Western Europe New foundations for the future in 2009, under difﬁ cult economic circumstances, carrefour in spain, italy and Belgium rallied their teams to enter a new stage in their development. sPain: reaDy For recovery In 2009, Spain experienced a tough economic situation. As the country’s leading retailer, Carrefour had an important role to play and worked hard to improve the quality of its customers lives each and every day. Starting in March, Carrefour Spain implemented the biggest series of price cuts in the history of the Spanish retail industry. Reductions of up to 25 % were made on some 10,000 items suited to the baskets of Spain’s customers and consumers. In the autumn, a large-scale national communications campaign, promoted in 19 million catalogues, invited consumers to celebrate the 50th anniversary of Carrefour in 170 hypermarkets in Spain. In 2010, as part of its convergence strategy, Carrefour is going to develop some ﬁ fty supermarkets under the Carrefour Market banner and some thirty convenience stores under the Carrefour Express banner. This approach has been extended to the web, where all Carrefour websites have been merged into a single www.carrefour.es website. For the hard discount format, the modernization of Dia stores has been gathering momentum, further enhancing the appeal of the Spanish hard discount banner, which included 475 Dia Maxi and 608 Dia Market stores at the end of 2009. Customers also have access to a modernized website - www.dia.es - which offers lots of information on promotions, services and Club Dia loyalty beneﬁ ts. W h a t ’ s n e w ? DisPosaBLe PLastic BaGs PhaseD oUt in sPain Spain is Europe’s third largest consumer of single-use plastic bags. Carrefour is the country’s ﬁ rst retailer to stop using them in all of its stores. Customers can buy grocery bags and bags made from non-food tubers for 5 euro cents. This will save 800 million disposable bags a year and forms part of the Group’s overall strategy to foster the use of eco-friendly bags. spain, iTalY anD BelGiUM: BUilDinG THe fUTUre � “Plastic bags take 400 years to decompose. Help us phase them out”. More than 100 Dia stores oPeneD in sPain in 2009 47 t r o p e R l a u n n A 9 0 0 2 BeLGiUm: a neW BeGinninG In 2009, Carrefour Belgium implemented a single-brand multi-format strategy, launched the Carrefour Discount range in all stores and inaugurated an e-commerce platform designed for busy customers on the go. Based on an in-depth analysis, a strategic plan has been prepared to provide a sound, redeﬁ ned basis for Carrefour’s development in Belgium. The goal is to provide Carrefour with the means to sustain its activity by relaunching the business and adapting its cost structures. 13.2 kg oF carreFoUr Pasta BoUGht on averaGe By cUstomers in itaLy in 2009 a BasKeT of iTalian flavoUrs � Spaghetti ideal for eating al dente, tasty salami, buffalo mozzarella, sundried tomatoes, cold pressed virgin olive oil, fruity parmesan... these are just some of Italian customers’ preferred Carrefour products. itaLy: heaDinG north In 2009, Carrefour Italy laid solid foundations for the future. A transformation plan was implemented and Carrefour refocused its activities in the north of the country. In commercial terms, the convergence process gathered pace with the transfer of 50 GS stores to the Carrefour Market banner and 15 DiperDi convenience stores to the Carrefour Express banner. Carrefour Italy intends to build its leadership on these new foundations. In 2010, customers across Italy are expected to have access to 400 Carrefour Market and 700 Carrefour Express stores. The launch of the Carrefour Discount range and the extension of Carrefour’s own-brand product ranges will increase the Group’s presence in consumer baskets. Hypermarkets will enhance their appeal and the development of franchise supermarkets will boost Carrefour’s expansion. W h a t ’ s n e w ? enerGy WeeK In February 2009, the Carrefour Group took part in the European Sustainable Energy Week. The only retailer to partner the event, organized by the European Commission, Carrefour provided its customers with information and promoted environmentally- responsible products across six European countries - France, Belgium, Spain, Italy, Poland and Greece. The Group has committed itself to reducing its energy consumption by 30 % per sq.m. by 2020 (compared with 2004) and to encourage customers to join this virtuous spiral. 48 RETAIL The rest of Europe Carrefour stays on target In 2009, Carrefour formed closer links with consumers in Eastern and Southern Europe and capitalized on its brand. KEY POSITIONS IN EASTERN EUROPE In Poland, Carrefour opened four hypermarkets, one supermarket and nine convenience stores in 2009 to meet the varied needs of consumers and to build on its low price strategy in response to decreasing purchasing power. Sales including VAT in comparable stores increased by 2% in 2009. In Romania, Carrefour opened its seventh hypermarket in Bucharest and consolidated its position on the supermarket format market by signing a partnership with Winmarkt. The partnership led to the opening of three Carrefour Market stores in shopping centres. Carrefour entered the Bulgarian market with the opening of a hypermarket in Burgas, on the Black Sea coast, offering a product range that provides work for more than 700 suppliers, mostly Bulgarian, thus providing a boost to the local economy. HEADWAY IN THE SOUTH In Greece, the Group pursued a vigorous expansion strategy, despite the difﬁ cult economic circumstances, with more than 36,000 sq.m. of store space opened across all formats. To help disadvantaged families, Carrefour helped to set up two new welfare grocery stores, in Piraeus and Thessalonica. In Turkey, Carrefour opened its 25th hypermarket in the Istanbul region and recorded strong sales boosted by its expansion strategy. In Morocco, the franchise agreement signed with the Label’Vie Group, the country’s second largest supermarket operator, led to the opening of the country’s ﬁ rst Carrefour hypermarket in Rabat-Salé. W h a t ’ s n e w ? CARREFOUR, A MAJOR POLISH BRAND A MAJOR POLISH BRAND Strengthening its relationship with its customers in Poland, Carrefour was named a “Major Brand” by a panel of communications experts for its strong reputation and the material and emotional beneﬁ ts it provides to Polish consumers. CARREFOUR EXPANDS ITS ACTIVITIES IN EASTERN AND SOUTHERN EUROPE MORE THAN 36,000 sq.m. OF SALES FLOOR AREA OPENED IN GREECE IN 2009 49 t r o p e R l a u n n A 9 0 0 2 Latin America Rapid growth In 2009, Latin American countries reported a 17.1% growth in sales at constant exchange rates, excluding petrol. This represents 13.7% of Group sales, making Latin America one of its primary excluding petrol. This represents 13.7% of Group sales, making Latin America one of its primary growth engines. BRAZIL: INCREDIBLE ENERGY The Group recorded strong growth in 2009 based on a sharp rise in sales and an expanded sales ﬂ oor area. Carrefour Brazil opened two new hypermarkets. Ten acquisitions increased the number of Bairro supermarkets in Brazil to 49, to the greater satisfaction of its customers. The Atacadão model continued to expand with nine new openings in 2009, to a total of 58 hypercash stores, a successful combination of basic products at low prices deployed on a large scale. In addition, 61 Dia stores were opened, underlining the banner’s gathering momentum. ARGENTINA: LATIN AMERICA’S OTHER GROWTH ENGINE The expansion of Carrefour’s network to 601 stores, including hypermarkets, supermarkets and hard discount stores, along with multiple sales initiatives, has boosted the growth of Carrefour Argentina. Carrefour’s 80 mini-hypermarkets attract customers looking for a fast, complete service. Product staging in the non-food sections of the biggest hypermarkets increases the average basket. The promotion of Carrefour own-brand products, which guarantee the best value for money, and cut price campaigns are successful in all store formats. COLOMBIA: THE ARRIVAL OF HYPERCASH In 2009, Carrefour opened its 15th Carrefour store in Bogotá and its ﬁ rst shopping centre store in Bogotá and its ﬁ rst shopping centre in Limonar, which features a Carrefour hypermarket and 170 high street brand stores. To build on good performance in Colombia, in March 2010 Carrefour opened its ﬁ rst Atacadão hypercash store in Bogotá. W h a t ’ s n e w ? W h a t ’ s n e w ? “RECYCLE WITH US” This is the theme of the campaign launched by Carrefour Brazil in partnership with two of the country’s major institutions. It coincides with the creation of two recycling stations in São Paulo and Piracicaba. The goal is to collect more than 3.5 tonnes of waste a year from Carrefour stores and responsible Brazilian consumers. OVER 2 MILLION CARREFOUR COFFEE UNITS SOLD IN BRAZIL IN 2009 A VERY BRAZILIAN BASKET (cid:2) 100 % local coffee, delicious cocoa, milk for a balanced diet, top quality palm hearts and ultra fresh salads... are just some of the Carrefour products that Brazilian consumers like to buy in their store to prepare their preferred meals. 50 RETAIL Asia Growth potential for the Group In 2009, Asian countries represented 7.6% of Group sales and recorded a 4.5% increase in sales at constant exchange rates, excluding petrol, buoyed by an on-going expansion programme. CHINA, ASIA’S GROWTH ENGINE The Group is pursuing an aggressive growth strategy in China with the opening of 22 hypermarkets and 63 hard discount stores in 2009. Present in the country for 14 years, Carrefour currently has 156 hypermarkets to conquer a market estimated at 1.3 billion people. Carrefour was subject to deﬂ ationary pressure throughout the year in China, but increased its sales during the last quarter, across comparable stores. As proof of its commitment and momentum in China, Carrefour China participated in “Partnership Days” in September and November 2009, in association with its institutional partners and suppliers. China is clearly a major lever for growth for the Carrefour Group. has been invested since 2008 by Carrefour China to implement its environmental strategy in stores. A POSITIVE APPROACH ACROSS THE CONTINENT To celebrate its 20th anniversary, Carrefour Taiwan is taking a positive approach to a tough economic climate by organizing major promotions throughout the year. With 65 stores throughout the island, Carrefour is now a reference for Taiwanese consumers. In 2009, the opening of the ﬁ rst Carrefour Convenient Buy convenience store brought the brand even closer to its customers, offering a highly-diverse selection of products close to home, 24 hours a day. It’s no wonder Carrefour Taiwan won the “Top Service Award” in 2009. W h a t ’ s n e w ? “GREEN” HYPERMARKETS Carrefour China is committed to a proactive environmental policy based on reducing energy consumption. Major efforts are being made to improve energy efﬁ ciency in new and existing stores. A total of 200 million yuans STEADY GROWTH Over 150 HYPERMARKETS IN CHINA In 2009, Carrefour Thailand opened its 39th hypermarket and celebrated its 13th anniversary in the presence of the country’s most senior ﬁ gures at its Ladprao store. Under the positive theme of “13 years of happiness”, Carrefour revealed its total donations to Thai associations and shared a giant cake in the form of an Eiffel Tower with its guests. In Malaysia, Carrefour now has 19 stores and hit the headlines by opening the ﬁ rst Carrefour Market in central Kuala Lumpur. With over 2,000 sq.m. of sales ﬂ oor area, this decidedly modern store offers a wide range of local, fresh produce and everyday products. In Indonesia, six store openings and 16 transfers increased the total number of Carrefour hypermarkets to 61. Reﬂ ecting an ability to cater for different lifestyles, the car parks have been designed to accommodate more motorcycles than cars. The Gunung Agung hypermarket to the north of Jakarta, for example, has 7,000 sq.m. 51 t r o p e R l a u n n A 9 0 0 2 W h a t ’ s n e w ? of sales ﬂ oor area, 40 check-outs and a car park accommodating 6,000 cars and 10,000 motorcycles! CARREFOUR AND THE COMMUNITY The “Srikandi Nelayan” range is unique. Its prawn-based products are produced by a team of 20 women belonging to a disadvantaged ﬁ shing community in the north of Surabaya (Indonesia). This fair trade range is marketed and promoted by eight Carrefour and Carrefour Express stores in Surabaya. Carrefour Indonesia hopes to use its network to make it a national success, helping improve the living standards of the Indonesian community. Locally and on a larger scale, fair trade is a constant preoccupation at Carrefour. OVER 9 MILLION FRESH FISH SOLD IN 2009 BY CARREFOUR IN CHINA A CHINESE BASKET (cid:2) Pure grain rice, ultra-fresh chicken’s eggs, pork cut according to local requirements, clear-eyed fish, Chinese cabbage, of course, and fragrant herbs... are just some of the products eaten by Chinese consumers everyday after shopping in their preferred Carrefour store. 22.07.2010 16:00 PDF_QUADRI_300dpi_txvecto 22.07.2010 16:00 PDF_QUADRI_300dpi_txvecto 54 sustAinAble DeVeloPment Carrefour, a responsible brand AffordABle products for eVeryone Carrefour ensures that most of its customers are able to access a large range of products. For example, with Carrefour Discount, it is possible to prepare a complete meal for one euro.The AGIR Bio range enables customers to enjoy organic products 25% cheaper than in specialized stores. And there’s more to be concerned than just food. Thanks to Dia Ecolabel products, household cleaning is now more eco-friendly without costing more. Cut price mobile phone and ADSL services are reducing the digital gap in Romania, Taiwan and Argentina. Now everyone can enjoy consumer products with Carrefour. BAlAnced diet Carrefour stores welcome 25 million customers every day across the world. Therefore Carrefour has a great responsibility in terms of nutrition. Carrefour provides customers with a nutritious diet, starting with its own-brand products. Carrefour’s suppliers commit to respect the Group’s standards by reducing the salt, sugar, fat and fatty acid content of their products. Carrefour was also the fi rst retailer to display FoR tHe WHole FAmilY nutritional information on its products, including Discount items. Thanks to its varied product range, Carrefour enables more consumers to have a balanced diet. For people with more specifi c needs, Carrefour offers dedicated soya-based, gluten free, low-calorie and Omega 3-rich ranges. The Carrefour Kids range is a leading line of quality nutritional products for children. Carrefour’s promotions encourage customers to eat seasonal fruit and vegetables. During Nutrition Week, Carrefour raises the awareness of all of its customers worldwide. It also supports child obesity prevention programmes to promote good eating habits in France, Belgium, Greece and Argentina. QuAlity And sAfety 76% of own-brand food products are sourced from local producers, with 464 Carrefour Quality Lines providing the basis for strong partnerships in 15 countries. To ensure products meet safety and quality standards, producers are provided with a set of specifi cations containing strict rules, supported by an inspection programme. � €1 a day per person: that’s the price of meals offered to Spanish families at Carrefour. 55 t r o p e R l a u n n A 9 0 0 2 particularly in sensitive countries. In 2009, 852 audits were carried out, followed by the implementation of corrective action plans where necessary. To promote respect for Human Rights, Carrefour shares the results of its audits with French retailers and works to harmonize social standards across the world as a founding member of the Global Social Compliance Programme. W h a t ’ s n e w ? � 491 food products in the Carrefour AGIR Bio range in 2009. 76% of own-BrAnd food products Are sourced from locAl producers Downstream, regular store checks complete the Group’s quality approach, while a supervisory network responds to the least suspicion of non-compliance, allowing for a real-time response that includes the recall of products to stores, if necessary. A rigorous procedure has been implemented to ensure the safety of sensitive non-food products —toys, children’s clothes and own-brand cosmetics— including tests that go beyond current legal requirements. Regular factory audits are also carried out. controlling the respect of humAn rights in the supply chAin Carrefour monitors working conditions in plants producing its own-brand products across the world. Suppliers of guaranteed Carrefour own-brand products sign the Carrefour Suppliers Social Charter, based on requirements set out in the Universal Declaration of Human Rights and the principles of the International Labour Organization. Audits are performed to check the charter is enforced, PRomotinG PRoDuct QuAlitY 464 cArrefour QuAlity lines worldwide 56 sustAinAble DeVeloPment Le développement Durable au cœur de la stratégie Sustainable Development at the heart of Carrefour’s strategy two Key AreAs Sustainable Development forms an integral part of the Carrefour Group’s strategy, focusing on two key areas. � Including Sustainable Development in the management of its activities and business Wherever it operates, the Carrefour Group is committed to boosting business by creating jobs and stimulating the local industrial economy. Europe’s leading private employer and the seventh in the world, Carrefour also aims at becoming the preferred employer and is developing a human resources policy to achieve this. As a socially-responsible retailer, Carrefour supports local communities wherever its stores are based. Conscious of the need to limit the impact of its activities on the environment, the Group is also committed to the fi ght against climate change, the protection of biodiversity and waste reduction. � Promoting Sustainable Development among customers Carrefour is committed to offering quality products that enable as many consumers as possible to enjoy a healthy and balanced diet, while encouraging suppliers to implement a Sustainable Development approach and customers to become responsible consumers. An orgAniZAtion dedicAted to sustAinABle deVelopment In order to involve all business lines and countries in its Sustainable Development approach, the Sustainability Direction, which reports to the Group’s General Secretariat, drives policy, manages the implementation of strategies A PioneeRinG HistoRY A Sustainable Development pioneer almost 20 years ago, Carrefour demonstrates its commitment to responsible retail each and every day. Launch of Carrefour Quality Lines Social Charter for Group suppliers drawn up in cooperation with the FIDH 1992 1996 1997 Launch of Carrefour Bio Application of the precautionary principle to GMOs 2000 2001 Membership in the United Nations Global Compact Signing of a protocol agreement with Union Network International (UNI) 2004 Signing of the Corporate Diversity Charter Adoption of the Group Code of Ethics Le développement Durable au cœur de la stratégie 57 t r o p e R l a u n n A 9 0 0 2 and promotes best practices. It is supported by internal and external experts and works in close collaboration with all the Group’s operational and cross-functional departments. To foster Sustainable Development in all Carrefour countries, the Group uses local coordinators to apply the policy in accordance with local conditions and to provide reporting on the actions implemented. An open And trAnspArent diAlogue with our pArtners Every year, Carrefour brings together its main stakeholders and, for more than ten years, has formed partnerships with NGOs which help the Group advance its projects more effectively. The Group works with the International Federation for Human Rights (FIDH) to monitor working conditions in plants producing Carrefour products in sensitive countries. The WWF supports Carrefour buyers on a daily basis to help develop the Group’s supply policy for wood, fish resources and palm oil. Our European social partners are kept regularly informed and consulted on the Group’s Sustainable Development approach, through the CICE (European Consultation and Information Committee). eco-friendly Actions At “home” To involve its employees at its head offices and in stores, Carrefour organizes programmes to raise awareness of eco-friendly actions, provides training adapted to different occupations and takes part in numerous events. In 2009, Carrefour’s head offices in France recycled some 350 tonnes of paper and cardboard, cut water consumption by 50%, and launched a car-sharing website. A sustAinAble commitment Launch of the Responsible Fishing range Member of Social Accountability International (SAI) 2005 2006 2008 2009 Launch of the Carrefour AGIR range Participation in the creation of the GSCP (Global Social Compliance Programme) platform Sustainable Development Self-Assessment Tool made available to own-brand suppliers Energy efficiency commitment increased to 30% in 2020 vs. 2004 Commitment to using 100% certified responsible palm oil in own-brand products by 2015 First Sustainable Development Awards for Suppliers in France 2007 Initial commitment to cut Group energy consumption per sq.m. of sales floor area by 20% in 2020 vs. 2004 58 sustAinAble DeVeloPment Employees Committed, positive, caring W h a t ’ s n e w ? “cArrefour, it’s us” Happy engaged Carrefour people make happy customers –that’s the conviction that underpins Carrefour’s Human Resources policy. Based on three Group values – committed, caring, positive - our policy is designed to ensure the Group becomes not only the preferred retailer but the preferred employer too. committed employees in A motiVAting compAny The world’s seventh largest employer, Carrefour’s human ressources aims at improving the well-being of its employees at work and help them develop their careers. Based on a determinedly open recruitment policy, the Group offers employment opportunities for everyone, with more than 120 professions in the Group, skills-based recruitment methods and training to help employees advance at every level of the company. In France, the Carrefour Group and the French national employment agency, Pôle Emploi, signed a national cooperation agreement in 2009, which includes the automatic transfer of Carrefour job vacancies to the www.pole-emploi.fr website. Still on the web, the Carrefour Group’s banners in France now have a single address dedicated to employment: www.recrute.carrefour.fr. This site enables applicants to discover the Group’s 120 professions and access offers with one click of a mouse. This diversity is Carrefour’s strength, and the company is dedicated to giving each individual a chance. In two years, some 6,000 young people from disadvantaged neighbourhoods have been recruited as part of the Espoir Banlieues plan in France, while the Plan Emploi Jeunes 2009-2010 is sHAReD VAlues 6,000 young people from disAdVAntAged neighBourhoods were hired oVer two yeArs in frAnce 75% of mAnAgers in frAnce Appointed ViA internAl promotion 59 t r o p e R l a u n n A 9 0 0 2 expected to lead to the recruitment of 4,000 others on work/study contracts. In Brazil, Carrefour supports the inclusion of young people through apprenticeships while in Argentina, Carrefour offers qualification-based training for young people from underprivileged homes. To foster work integration and continued employment for employees with disabilities, proactive programmes are currently being organized in Romania, Greece, Turkey, Spain, Brazil, Colombia, Malaysia and France. A job at Carrefour also offers the guarantee of working for a Group that respects major universal Human Rights, labour standards and the environment, and works against corruption. Working for Carrefour is about choosing a socially- responsible company which, through its corporate foundation, enables others to access its expertise, with thousands of employees worldwide volunteering to use their know-how and professional skills to promote mutual assistance. Building A positiVe future with cArrefour In 2009, 7.4 million hours of training were given in nine Group training centres worldwide and at other sites - an average of 15.9 hours per person. A training, leading to diploma, helps young people without qualifi cations to benefi t from a stable, empowering job. In France, 100 employees obtain a Vocational Training Certifi cate every year in supermarkets. In 2010, the Group launched the fi rst individual training plan for all senior managers worldwide to help them ensure the success of the Carrefour transformation plan. The Group is committed to career development. In fact, 75% of Carrefour managers in France have risen through the ranks. This policy is based on an annual appraisal interview. For senior managers, eVeRYWHeRe ARounD tHe WoRlD 60 sustAinAble DeVeloPment the appraisal is managed online through the Cap Careers tool in almost all Group countries. To ensure everyone is aware of the opportunities open to them, Carrefour in France set up “Carrefour des Métiers” in 2009. This system encourages individuals to take the initiative in developing their careers by listing all Carrefour professions and the training courses necessary to pass from one profession to another. cAring ABout eVeryone Consultation is part of Carrefour’s culture. The European Consultation and Information Committee (CICE) brings together Carrefour’s European social partners for wide-ranging and constructive discussions on social issues. In 2009, Lars Olofsson, Carrefour’s CEO, underlined his determination to continue defi ning the company’s strategy in partnership with its French and European social partners. An important indicator of the social climate at Carrefour, the Listening to Staff surveys allow employees to anonymously express their views on life at Carrefour. This tool is deployed in 12 countries, enabling some 20,000 employees around the world to express themselves every year. A summary is provided to the managers of the stores and forms the basis for a report to all teams and their representatives. Action plans are then outlined, store by store and department by department. The health of employees is also a constant concern for Carrefour. The Group ensures employees enjoy appropriate social coverage in all Carrefour countries. If a system fails, Carrefour sets up health, welfare and pension schemes to replace or complement local schemes. Carrefour also organizes vaccination campaigns to protect against diseases such as dengue in Asia or, more recently, against the H1N1 fl u virus. Training, awareness campaigns, procedures and regular 475,000 emPloYees GAtHeReD ARounD ouR VAlues � Internal campaign on Carrefour’s values deployed in all Group countries, for example in Colombia, Thailand, France and Hong Kong. 61 t r o p e R l a u n n A 9 0 0 2 different ways. In 2009, a parenting guide was handed out to all managers in France, while supermarkets gave out a Chèque Domicile (“Home Cheque”) to make it easier to afford childcare. In French hypermarkets, 20,000 people benefi t from work schedules in blocks, which enable them to plan their schedules several weeks in advance. 93% of check-out staff are satisfi ed with the scheme. To give employees the choice between part- and full-time work, Carrefour offers a multi-activity option to every employee who needs it. cArrefour Among frAnce’s 2010 Top Employers for its corporAte strAtegy And culture, its worKing conditions And sKills mAnAgement site inspections are organized to reduce workplace accidents. In Thailand, for example, the Carrefour store in Bangbon took part in a safety competition organized by the Ministry of Work, for which Carrefour Thailand was awarded the Health & Safety prize. The fi rst stress audits in 2007 held at four hypermarkets in France showed a stress level equal to or below other sectors. At the beginning of 2010, a decision was taken to perform a new stress audit at four other hypermarkets. The Health at Work in Supermarkets agreement signed in May 2009 provided for a health at work assessment and the extension of prevention measures to include psychosocial risks. In 2010, stress management training tested by French hypermarkets will be deployed to all Carrefour France employees. Striking the right balance between an employee’s personal and professional life is a key element in enhancing their motivation and loyalty. Carrefour encourages this in W h a t ’ s n e w ? cArrefour conVenience presented with the “mieuX- ViVre en entreprise” AwArd ViVre en entreprise” AwArd To “make its employees happier”, Carrefour Proximité France organizes the Ereukikom programme, fi rst launched in 2007. It has two practical features: the development of management techniques based on a training course staggered over seven months, and regional initiatives to enhance employee satisfaction. The programme was awarded the “Mieux-vivre en entreprise” (Happy at Work) prize, presented for the fi rst time in 2009 by the Ministry of Employment, and the “Coup de coeur du public” (Public’s Favourite) special prize. 62 sustAinAble DeVeloPment A sustainable partnership with Carrefour suppliers ensuring opportunities for thousAnds of producers For its own-brand food products, Carrefour gives priority to local suppliers and supports the business of thousands of SMEs and agricultural producers worldwide. Based on the Guaranteed Partnership scheme, French hypermarkets are contractually committed to purchasing specifi c volumes of fruit and vegetables in advance of production. Another key initiative is the development of Carrefour Quality Lines. Launched in 1992, 95% of suppliers are loyal to Carrefour. This partnership is based on a permanent contract with a commitment to specifi c purchasing volumes and a fair price for producers in line with their efforts to ensure the quality of their products, from the fi eld to the plate. The dynamism of Carrefour Quality Lines is such that some suppliers have created CQL Clubs, such as cheese suppliers, who meet twice a year to suggest improvements to the Carrefour line. Also based on a relationship of loyalty, the Refl ets de France brand is the fruit of a successful partnership with 140 companies, with more than 400,000 products sold every day in France. Carrefour China promotes the direct purchase of fresh products, cutting out intermediaries to offer producers better prices while lowering costs for Chinese consumers. In 2009, direct supplies represented 60% of Carrefour China’s fruit and vegetable orders. These long-term partnerships include training in the quality approach and modern farming production techniques. In 2009, more than 1,000 farmers representing 250 cooperatives from nine provinces took part in these training programmes. helping suppliers AchieVe sustAinABle deVelopment Developed with the support of ADEME (French Environment and Energy Management Agency) and the WWF, Carrefour Sustainable Development Self-Assessment is an online tool that allows suppliers to assess their own practices and to access advice. RecoGniZeD KnoW-HoW 63 t r o p e R l a u n n A 9 0 0 2 Audits are conducted among a panel of suppliers to validate the results and to suggest areas of improvement. Over 2,200 suppliers of own-brand food products already have access to this tool and Carrefour is preparing to roll it out to non-food suppliers and internationally. In 2009, all suppliers of Carrefour AGIR Éco Planète and Tex AGIR bio products were subject to environmental advice audits. inspecting worKing conditions Carrefour was one of the fi rst international companies to perform inspections of working conditions at supplier sites and to work towards the adoption of a common model of control to all major retailers and global manufacturers. Its Social Charter applies to all suppliers of Carrefour own-brand products. At the start of 2010, Carrefour took a step further with the adoption of the Reference Code developed as part of the Global Social Compliance Programme (GSCP). AWARD-WinninG PRActices Carrefour is also committed to training its suppliers and their employees in their rights and duties at work. In Bangladesh, 56 factories benefi ted from this approach between 2006 and 2009, representing all of Carrefour’s suppliers. In 2010, Indian suppliers will be trained. SOCIAL CHARTER FOR OUR SUPPLIERS � Carrefour Social Charter for suppliers of own-brand products. W h a t ’ s n e w ? supplier commitment rewArded In France, the fi rst Carrefour Sustainable Development Awards were presented to four suppliers out a total of 1,500 with access to the Sustainable Development Self-Assessment tool in 2009. The Respect for the Planet Award went to the Laiterie de Saint-Denis de l’Hôtel and Hero France. The Climate Respect Award was presented to Délifruits (France), the Human Respect Award went to Candia Lons, while the Special Mention Prize was awarded to Santens, a company specializing in household linen. 64 sustAinAble DeVeloPment Local dynamism reinforced by Carrefour reViVing locAl life With more than 4,600 convenience stores worldwide, Carrefour is a major socio- economic development player. In France, its partnership with La Poste aims to reduce the impact of rural post offi ce closures. 62 Relais Postes have been created in Carrefour stores, allowing customers to shop and perform every day postal operations, while maintaining a vital spur for rural life. On the outskirts of built-up areas, hypermarkets and supermarkets are often focal points for local life and provide employment opportunities in sensitive neighbourhoods, with 90% of recruitment performed within the store’s catchment area. promoting the creAtion of locAl Businesses Carrefour helps its employees access franchising through bridging schemes such as the lease-management system. It enables employees to acquire a convenience store after two to three years of rental. Some 450 convenience stores are now ear-marked for lease-management. Store assistants can also access the franchise system through “Assistant Development” training, which has formed the basis of 76 projects since 2004. preserVing the enVironment locAl Carrefour Property, which manages the Group’s commercial property in France, Spain, Italy, Poland and Romania, is committed to using eco-friendly designs. From renovation and extension to the creation of a commercial space, each project is designed to minimize its impact on the environment, including optimized energy consumption, the use of sustainable materials, and its integration into the surrounding area based on the Carrefour Landscape Charter. This includes everything from vegetation adapted to the local climate and the landscaping of site boundaries to multi-mode access via car, public transport and bicycle. � Les Eleis shopping centre in Cherbourg An economic Role oVer 4,600 conVenience stores worldwide 65 t r o p e R l a u n n A 9 0 0 2 W h a t ’ s n e w ? MICROCREDIT PROGRAMME IN INDONESIA In Indonesia, the Carrefour Foundation supports a microcredit programme organized in partnership with the Bina Arta association. The goal is to improve the living conditions of people unable to access conventional bank loans. In 2009, 1,000 stallholders working in traditional markets were able to benefi t from a microcredit loan. They use the money to diversify their product offering and renovate their stands. These initiatives enable them to increase their sales and their incomes. In addition to loans, Carrefour Indonesia and the Foundation organize training to help these stallholders become real entrepreneurs. SUPPORTING LOCAL COMMUNITIES Carrefour endeavours to improve the daily lives of the most disadvantaged members of the community and to support the local development of the countries in which it operates. The Carrefour Foundation is the main standard bearer of the Group’s commitment to socially-responsible action. Its goal is to improve the quality of life for everyone, by taking action in three areas: food programme, professional integration, and solidarity. With an annual budget of 4.57 million euros, it supported 45 projects in 2009. Employees in Carrefour countries are invited to take part in socially-responsible initiatives. Carrefour Solidarités France, for example, helps people experiencing diffi culties via its network of 1,200 Carrefour and Carrefour Market stores, and Carrefour France’s head offi ces. Natural disasters generally require the support of Group countries and the Foundation. This was the case in Italy in April 2009, when the Abruzzes region was hit by a violent earthquake. Carrefour Italy’s teams sent fi ve lorries of food products while the Carrefour Foundation released 30,000 euros of emergency funding. CONSIDERATION FOR THE COMMUNITY M€ 4.57 ANNUAL BUDGET FOR THE CARREFOUR FOUNDATION (cid:31) Left: bakery apprenticeships organized as part of the Young Bakers programme in China. (cid:31) Right: hosting disadvantaged children in Thailand. 66 SUSTAINABLE DEVELOPMENT Protecting the planet with help from Carrefour 2009, YEAR OF BIODIVERSITY Although Carrefour’s commitment to protecting biodiversity goes back more than fi fteen years, this year represented a major step forward. Promoting responsible ﬁ shing 75% of fi sh stocks are overfi shed or depleted. Carrefour has taken a number of steps in response to this situation, including the optimization of its sources of wild fi sh species. The Group has stopped selling certain species, such as bluefi n tuna in Europe, and identifi ed the best sources for its supplies, with the help of the WWF. Carrefour buyers use the Seafood Choice Alliance guide to support responsible purchasing practices. With 26 listed products, Carrefour offers the widest range of MSC (Marine Stewardship Council) certifi ed own-brand products in France. Carrefour raises customer awareness through its stores and catalogues, and in 2009 organized programmes to raise the awareness among its buyers of the need to protect fi sh stocks, in partnership with the WWF. Promoting responsible forestry management Since 1998, Carrefour has worked closely with the WWF to control its wood supplies and promote FSC (Forest Stewardship Council) certifi ed specifi es. The outdoor furniture assortment offered by Carrefour’s European purchasing offi ce consists entirely of FSC- certifi ed products and Acacia, which is not a threatened species and for which Carrefour’s suppliers are currently in the process of applying for FSC certifi cation. For European commercial publications, the Group reduced the paper grammage from 54 g/sq.m. to 49 g/sq.m. between 2006 and 2009 and replaced 80% of coated paper with newspaper. In 2010, the Group expects to achieve its target of 100% of paper made from recycled wood fi bres and/or from forests under certifi ed management by 2010. Protecting water resources Agriculture accounts for three quarters of water consumption around the world. Carrefour is working with the suppliers of its own-brand products to promote integrated water PROTECTING OUR RESOURCES 26 MSC-CERTIFIED CARREFOUR OWN-BRAND PRODUCTS 67 t r o p e R l a u n n A 9 0 0 2 management practices, which is one of the criteria in its Sustainable Development Self-Assessment tool. In 2009, the fi rst “Respect for the Planet” award was presented to the supplier most committed to controlling its water consumption and discharges into water. Carrefour is also taking measures in stores. Water consumption in hypermarkets per sq.m. of sales ﬂ oor area is already down 5% compared with 2008. TACKLING WASTE Reducing waste and optimizing waste recycling is one of Carrefour’s top environmental commitments. In France, the 2008-2011 agreement signed with ADEME provides for the testing of a system to reuse packaging and an analysis of an organic waste management scheme based on a methanization experiment at a store in Lomme (France). The primary source of waste in stores, cardboard is sorted in all Carrefour countries. The sorting of other waste items is organized according to local recovery systems. In France, more than 55% of waste is processed by recovery networks. For the last ten years, Carrefour has optimized the weight of the packaging of its own-brand products, enabling it to save more than 15,300 tonnes of packaging. The Group is committed to withdrawing all free disposable plastic checkout bags by the end of 2012. After Taiwan, Belgium, France, China and Poland, it was the turn of Romania and Spain in 2009. W h a t ’ s n e w ? CARREFOUR SPAIN WITHDRAWS DISPOSABLE CHECKOUT BAGS An eye-catching slogan and “shock” videos accompanied the withdrawal of disposable plastic bags from Carrefour stores in Spain. Employees received 150,000 hours of training to help customers adjust to this change in their shopping habits. The process was made easier by the distribution of free reusable bags. A FOOD RETAILING FIRST! In 2009, Carrefour visited its fi ve largest European printers to review their environmental practices and to suggest areas for improvement. Reporting requirements for key criteria (for example, greenhouse gas emissions) are now included in contracts signed with printers. REDUCING WASTE (cid:31) Grocery bags are offered to customers in many countries such as Romania or Colombia. BY 2012 TOTAL WITHDRAWAL OF FREE DISPOSABLE PLASTIC CHECKOUT BAGS IN ALL GROUP STORES 6868 SUSTAINABLE DEVELOPMENT INCREASE IN ENERGY EFFICIENCY In 2009, the Carrefour Group signed the Copenhagen Communiqué on climate change and raised its energy effi ciency target from 20% to 30% between 2004 and 2020. To achieve this target, the Group has implemented a strategy and a multi-annual investment programme worth around 30 million euros a year, which has already generated effi ciency savings of 16% since 2004. Refrigerant leaks represent the second largest source of Group CO2 emissions after electricity. The Group has implemented a strategy that initially aims at identifying the level of refrigerant leaks and their causes, with a view to reducing them. Experiments are also being performed with alternative ﬂ uids, particularly in relation to CO2 emissions from freezer units. This solution is currently being piloted in fourteen stores across Europe. TOUGHER STANDARDS FOR THE LOGISTICS CHAIN Carrefour gives priority to alternative modes of transport and the optimization of fi lling trucks. In France, the Group saved 14,300 tonnes of CO2 on upstream and downstream transport in 2009, representing 43,800 fewer lorries and 20.5 million fewer kilometres travelled. For upstream transport from ports to warehouses, 45% of imported products destined for hypermarkets were transported by river and rail, compared with 41.7% in 2008. Five new consolidation platforms were opened in 2009, bringing the total to seven. They enable suppliers to deliver to a single destination, from where Carrefour supplies its warehouses using full, multi-supplier lorries. For downstream transport, from warehouses to stores, the Group is developing rail/road multi-mode transport systems. All logistical departments in Carrefour countries are taking measures to optimize lorry loading. Some ten hypermarkets in France are testing twin-deck lorries, which have twice the capacity of normal lorries. This LOWER GREENHOUSE GAS EMISSIONS 30% MORE ENERGY EFFICIENT BY 2020 COMPARED WITH 2004 100% CERTIFIED RESPONSIBLE PALM OIL FOR CARREFOUR OWN-BRAND PRODUCTS BY 2015 69 t r o p e R l a u n n A 9 0 0 2 solution will be deployed in France at the end of 2010. Reducing empty returns is another means of optimizing transport. In France, the “packaging return” system, which consists of organizing the return of pallet supports from stores to warehouses, reduced the number of empty kilometres travelled by 7 million in 2009. Lastly, Carrefour encourages its service providers to use green transport. In France, 65% of its ﬂ eet of vehicles consisted of Euro 4 and 5 standard compliant lorries in 2009. by a certifi cation scheme. In 2009, the Group decided to strengthen its role in the governance of this organization by appointing a manager from Carrefour Indonesia to the Executive Board. The fi rst responsible palm oil certifi ed by the RSPO has already been released onto the market and Carrefour is committed to using this in all of its own-brand products by 2015. More generally, Carrefour replaces palm oil when technically possible and when the replacement provides a nutritional benefi t. 100% CERTIFIED RESPONSIBLE PALM OIL Deforestation accounts for around 18% of annual CO2 emissions worldwide, part of which is caused by palm oil production. Included in many food and hygiene products, palm oil is now the world’s largest oil crop and the expansion of palm plantations increases deforestation. Since 2006, Carrefour has been a member of the Roundtable on Sustainable Palm Oil (RSPO), which is developing a responsible palm oil supply, underpinned COPENHAGEN DRIVING CHANGE In preparation for the Copenhagen Conference on Climate Change, organized in December 2009, Carrefour actively participated in the “Seal the Deal” campaign initiated by the United Nations. W h a t ’ s n e w ? AN INCREASE IN RESPONSIBLY MANAGED FORESTS (cid:31) The planned eco-friendly Chambourcy Shopping Centre (France). 7070 Gouvernance 71 t r o p e R l a u n n A 9 0 0 2 Governance 72 GOVERNANCE Board of Directors The Board of Directors is a collective body which represents all shareholders and acts in the company’s interests in all circumstances. The Board makes sure its membership is balanced and its operating procedures are appropriate in order to act in the company’s interest and fulﬁ ll its missions. The Board of Directors sets Carrefour’s business strategies and objectives and oversees their implementation, deliberates on all matters pertaining to the proper operation of the company, settles all relevant issues. In particular, the Board conducts any controls and audits it deems ﬁ t, including audits of company management and the fairness of the ﬁ nancial statements, reviews and approves the ﬁ nancial statements, and ensures that quality ﬁ nancial information is provided to shareholders and markets. MEMBERSHIP OF THE BOARD OF DIRECTORS The Carrefour Board of Directors is chaired by Amaury de Seze and has 12 members.  Robert Halley, Honorary Chairman  Amaury de Seze*, Chairman Born on 7th May 1946. French. Number of shares held in the Company: 12,500. Date of appointment: 28th July 2008 Amaury de Seze began his career in 1968 at Bull General Electric. In 1978 he joined the Volvo group where he held the positions of General Manager, Chairman and Managing Director of Volvo France, Chairman of Volvo Corporate Europe, Member of the Executive Committee of the Volvo Group and Member of the Renault Volvo Strategic Committee. He joined the Paribas Group in 1993 as a Member of the Management Board of the Compagnie Financière de Paribas and of Paribas Bank, in charge of equity holdings and industrial affairs and then as Manager of the Equity Holdings Division of the BNP-Paribas Bank. He served as Chairman of PAI Partners from 1998 to December 2007. Other appointments: Vice-Chairman, Power Corporation of Canada; Board Member, Groupe Industriel Marcel-Dassault SAS, BW Group, Groupe Bruxelles Lambert, Erbe, Pargesa Holding SA, Suez Environnement, Imerys and Publicis Groupe.  Jean-Martin Folz*, Vice-Chairman Born on 11th January 1947. French. Number of shares held in the Company: 1,000. Date of appointment: 28th July 2008 Date of renewal: 28th April 2009 *Independant member A graduate of the École Polytechnique and the École des Mines, Jean-Martin Folz began his career in 1972 in a regional offi ce of the French Ministry of Industry, after spending a year in Tokyo at the Maison Franco-Japonaise. Between 1975 and 1978 he belonged to various ministerial staffs and was ultimately appointed Chief of Staff to the Secretary of State for Industry. In 1978 he joined the Rhône-Poulenc Group, fi rst as Plant Manager of the Saint Fons unit and then later as Deputy General Manager of the Rhône-Poulenc Specialty Chemicals Division. Between 1984 and 1987 he was Deputy Managing Director and subsequently CEO of Jeumont Schneider. He was appointed CEO of Péchiney in July 1987 and then Chairman of Carbonne Lorraine. In 1991, Mr. Folz was appointed CEO of Eridania Béghin Say and Chairman of Béghin Say. He joined the PSA Peugeot Citroën Group in July 1995 and was appointed Director of the Automotive Division in April 1996. He was named Chairman of the PSA Peugeot Citroën Group as of October 1st 1997. On that same date he was also appointed Chairman of Automobiles Peugeot and Automobiles Citroën. He resigned from these positions in 2007. He was Chairman of AFEP until March 2010. Other appointments: Member of the Boards of Société Générale, Saint Gobain, Alstom and Solvay (Belgium), and Member of the AXA Supervisory Board.  Lars Olofsson, Chief Executive Ofﬁ cer Born on 19th December 1951. Swedish. Number of shares held in the Company: 1,000. Date of appointment: 28th April 2009 After graduating from Lund University in Sweden with a degree in business administration, Lars Olofsson joined Nestlé in 1976 as a product manager for Findus frozen products. From 1981 to 1992, he worked at Nestlé France, where he held different commercial and marketing functions. In 1992, he became Managing Director of France Glaces Findus. 73 t r o p e R l a u n n A 9 0 0 2 He was then appointed President of Pripps-Procordia Sweden before taking the head of the Dairy and Dietetic Products Division at Sopad- Nestlé. In 1995, he was appointed General Manager of Nestlé’s Nordic Markets. In 1997, Lars Olofsson became Chief Executive officer of Nestlé France, before being named Executive Vice-President of the Nestlé Group in 2001 responsible for all European operations. In 2005, he was appointed Executive Vice-President of the Nestlé Group in charge of Strategic Business Units, Marketing and Sales worldwide. On January 1st 2009, Lars Olofsson was appointed Chief Executive Officer of Carrefour. He also serves as Chairman of the Carrefour Corporate International Foundation, Member of the Board of Finiper (Italy) and Carrefour Nederland BV’s permanent representative to the Carrefour Marinopolous Board of Directors (Greece).  René Abate* Born on 27th August 1948. French. Number of shares held in the Company: 1,000. Date of appointment: 28th July 2008 Date of renewal: 28th April 2009 René Abate is a graduate of the École Nationale des Ponts et Chaussées and the Harvard Business School. He began his career as an engineer with the New York Port Authority in 1970, then joined BCG in 1974 where he was a consultant in the fields of strategy and organization to large companies in various sectors, notably in high- turnover consumer goods and food and speciality retailing. He served successively as Senior Vice-President, responsible for overseeing the firm in France; Group Chairman for Europe; and World Executive Committee member, positions from which he resigned in 2006. He today acts as Senior Advisor. Other appointments: Managing Partner of Delphen SARL; Member of the Board of Atos Origin, Laboratoire Français du Fractionnement et des Biotechnologies.  Bernard Arnault Born on 5th March 1949. French. Number of shares held in the Company: 1,000. Date of appointment: 28th July 2008 Bernard Arnault began his career as an engineer at Ferret-Savinel. In 1974, he became the company’s Construction Manager, rising to Managing Director in 1977 and CEO in 1978. He held this position until 1984, when he became Chairman and Chief Executive Officer of Financière Agache SA and Christian Dior SA. He reorganized Financière Agache as part of a growth strategy focused on prestigious brands, with Christian Dior serving as the cornerstone of the new structure. In 1989, he became the majority shareholder of LVMH Moët Hennessy-Louis Vuitton, thereby creating the world’s leading luxury group. He became its Chairman in January 1989. Other appointments: Chairman and CEO of LVMH Moët Hennessy-Louis Vuitton SA; Chairman of the Board of Christian Dior SA, the Louis Vuitton Foundation for Creation (a corporate foundation), Chairman of the Groupe Arnault SAS; a Member of the Board of Christian Dior Couture SA, Société Civile du Cheval Blanc, LVMH Moët Hennessy-Louis Vuitton Inc. (USA), LVMH Moët Hennessy-Louis Vuitton Japan KK, and a Member of the Supervisory Board of Lagardère SCA.  Sébastien Bazin Born on 9th November 1961. French. Number of shares held in the Company: 1,000. Date of appointment: 28th July 2008 From 1985 to 1990, Sébastien Bazin worked first for the Clore Group, then for the Painewebber Group in New York, San Francisco and London. From 1990 to 1992, Sébastien Bazin was Deputy Director of Hottinguer Rivaud Finances in Paris. Between 1992 and 1997, he served as Managing Director of Immobilière Hôtelière SA. From 1997 to 1999, he was CEO of Colony Capital SAS. Since 1999, he has been Executive Managing Director of Colony Europe. Other appointments: CEO of SESE (Société d’Exploitation Sports et Evénements) and HSE (Holding Sports et Evénements); Chairman of Supervisory Board of the PSG Football Club; Member of the Board of Accor and Moonscoop IP; Member of the Supervisory Board of ANF (Les Ateliers du Nord de la France), Chairman (SAS) of Colwine, Colfilm and Bazeo Europe SAS and Colony Capital SAS; Managing Director (SAS) of Toulouse Canceropole and COLSPA SAS; Manager (SARL) of CC Europe Invest; Member of the Board (SAS) of Moonscoop SAS; Member of the Supervisory Board (SAS) of Groupe Lucien Barrière.  Nicolas Bazire Born on 13th July 1957. French. Number of shares held in the Company: 1,000. Date of appointment: 28th July 2008 Date of renewal: 28th April 2009 Nicolas Bazire was a junior official and later public auditor at France’s Cour des Comptes. In 1993 he became Chief of Staff to French Prime Minister Edouard Balladur. He served as a Managing Partner at Rothschild & Cie Banque from 1995 to 1999, when he was appointed to the Supervisory Board. He has been Managing Director of Groupe Arnault SAS since 1999. Other appointments: Member of the Board of LVMH Moët Hennessy-Louis Vuitton, LVMH Fashion Group, Atos Origin and Suez Environnement, and Member of the Supervisory Board of Rothschild & Cie Banque SCS. 74 GOVERNANCE  Jean-Laurent Bonnafé Born on 14th July 1961. French. Number of shares held in the Company: 1,000. Date of appointment: 28th July 2008 An engineering graduate of the École Polytechnique and École des Mines, Jean-Laurent Bonnafé joined BNP Group in 1993 in the Major Corporate Customers Division. After serving as Head of Strategy and Development from 1997, he oversaw the merger process between BNP and Paribas. Since 2002, he has been Head of French Retail Banking, Director of Networks for French Retail Banking and a member of the BNP Paribas Executive Committee. Mr Bonnafé has been appointed Chief Operating Offi cer in September 2008 and has been managing the Group’s retail banking business ever since. Other appointments: Member of the Board of BNP Paribas Personal Finance and BNL-Banca Nazionale del Lavoro (Italy). Chairman of the Management Committee, Executive Committee and Chief Executive Offi cer of BNP Paribas Fortis (since May 2009).  Thierry Breton* Born on 15th January 1955. French. Number of shares held in the Company: 1,000. Date of appointment: 28th July 2008 Thierry Breton graduated from the Paris École Supérieure d’Électricité (Supelec), an engineering school, and the Institut des Hautes Études de Défense Nationale (IHEDN, 46th session), a security studies institute. In 1986, Mr. Breton became project manager of the Poitiers Futuroscope theme park, then headed its teleport operations. He later served as an advisor to Education Minister René Monory in the area of new information technologies. Mr. Breton also sat on the Poitou-Charentes Regional Council from 1986 to 1992, serving as Vice-Chairman from 1988. He then joined Bull as Director of Strategy and Development before becoming Deputy Managing Director then Chief Operating Offi cer. After joining the Group’s Management Board in February 1996, he was successively named Vice-Chairman and Chief Executive Offi cer. Appointed CEO of Thomson (1997-2002) then CEO of France Telecom (2002-2005), he was France’s Minister for the Economy, Finance and Industry between 25th February 2005 and 16th May 2007, before becoming a professor at the University of Harvard in the US for “Leadership, corporate accountability” then Chairman of the Management Board of Atos Origin in November 2008. Other appointments: CEO of Atos Origin. *Independent member  René Brillet* Born on August 1st 1941. French. Number of shares held in the Company: 270,250. Date of appointment: 28th July 2008 The former Carrefour Managing Director for Asia, René Brillet began his career as a radio offi cer in the Merchant Marine in 1968. In 1972 he joined Carrefour and successively held the positions of Chief Accountant in Italy and Brazil, then of Store Manager and Director of Organization and Methods while still in Brazil. In 1981, he moved to Argentina as Executive Director and then to Spain, where he was in charge of operations from 1982 to 1985, and fi nally to France, which he managed from 1986 to 1995. In 1996 he was appointed Managing Director for Europe and then Managing Director for Asia in 1998, a position he held until 28th February 2004.  Charles Edelstenne* Born on 9th January 1938. French. Number of shares held in the Company: 1,000. Date of appointment: 28th July 2008 An independent accountant and a laureate of IFEC (accounting association), Charles Edelstenne joined Dassault Aviation in 1960 as Head of the Financial Studies Department. Serving, successively, as Deputy Corporate Secretary, Corporate Secretary and Vice-President, Economic and Financial Affairs, Mr Edelstenne was appointed to the Board of Directors in 1989, then elected Chairman and Chief Executive Offi cer in 2000, a position he still holds. Other appointments: CEO of Dassault Aviation SA, Chairman of the Board of Directors of Dassault Systèmes, Member of the Supervisory Board of the Groupe Industriel Marcel Dassault SAS, Member of the Board of Thales SA (since 19th May 2009), Sogitec Industries, SABCA (Belgium), Chairman of Dassault Falcon Jet Corporation, USA, Chairman of Dassault International Inc., USA, and Manager of ARIE and ARIE 2, NILI and NILI 2.  Anne-Claire Taittinger* Born on 3rd November 1949. French. Number of shares held in the Company: 1,000. Date of appointment: 28th July 2008 Anne-Claire Taittinger graduated from the Institut d’Études Politiques de Paris, and holds a Master’s degree in urban sociology and an advanced degree in urban development from the Centre de Perfectionnement aux Affaires. She began her career in 1976 at the Caisse des Dépôts et Consignations as head of urban development operations at the Société Centrale d’Équipement du Territoire. She joined the Louvre Group in 1979 as Corporate Secretary and then became Chairman and Managing Director of the Compagnie Financière Deville. She was successively Chairman and Managing Director of the Compagnie Financière Leblanc and of ELM-Leblanc, Vice-Chairman and Managing Director of the Industrial Division of Deville, Chairman 75 t r o p e R l a u n n A 9 0 0 2 assessing its operation. It examines the Chairman’s draft report on corporate governance. It prepares, with the Chairman, deliberations relating to the proposed appointment of board members by the General Meeting of Shareholders. Acting as the Appointments Committee, it is responsible for making nominations for Chairman to the Board of Directors. In consultation with the Chairman, it is also charged with recommending candidates for Chief Executive Officer and, if applicable, Deputy Managing Directors to the Board of Directors. The membership of the Committee is as follows: Chairman: Anne-Claire Taittinger (independent board member), Members: René Abate (independent board member), René Brillet (independent board member) appointed December 2nd 2009, Nicolas Bazire. Strategy Committee The Strategy Committee assists the Board of Directors in guiding and setting the Group’s strategy and does not act as a replacement for it in this regard. It prepares the groundwork for the most significant decisions affecting the Group’s future (acquisitions and sales of assets, studies of external acquisition opportunities, store openings in new countries, etc.) and oversees the preparatory work for the Board of Directors’ annual seminar. The membership of the Committee is as follows: Chairman: Amaury de Seze (independent board member), Members: Bernard Arnault, Nicolas Bazire (in the absence of Bernard Arnault), Sébastien Bazin, René Brillet (independent board member). Direction exécutive and Managing Director of Parfums Annick Goutal France USA and then of Baccarat. She became General Manager and subsequently Chairman of the Executive Committee of the Société du Louvre in 1997, and then in 2002 Chairman of the Executive Committee of the Taittinger Group as well as General Manager of its subsidiary, the Louvre Group, in conjunction with the separation of functions of Chairman of the Board and Managing Director. She left these positions in July 2006 upon a change in the shareholder base at the Taittinger Group. Other appointments: Member of the Board, Audit Committee, Compensation, Appointments and Corporate Governance Committee of Club Méditerranée, Member of the Board of Financités, Tocqueville Finance Holding and Tocqueville Finances SA, Member of the Supervisory Board of Planet Finance, Chairman of SAS Le Riffray, Manager of Eurl Le Riffray I, and Managing Director of SAS DFT Immobilier. COMMITTEES OF THE BOARD OF DIRECTORS The Board of Directors has three specialized committees, which were established in 2008. The purpose of these committees is to examine specific issues in greater detail and to make recommendations to the Board of Directors. Audit Committee The Committee’s duties include monitoring the process of preparing financial information, the effectiveness of the internal control and risk management systems, the auditing of the annual and consolidated financial statements by the statutory auditors and the independence of the statutory auditors. The Committee examines all issues relating to financial statements and financial documents: choice of accounting reference data, forecasts, analytical results, prudential standards, the calculation of profitability and all accounting issues with a methodological significance or likely to give rise to potential risks. The Committee analyzes internal audit reports. The membership of the Committee is as follows: Chairman: Jean-Martin Folz (independent member), Members: René Brillet (independent member), Sébastien Bazin. Remuneration, Appointments and Corporate Governance Committee Acting as the Remuneration Committee, it is responsible for reviewing all issues concerning the rules governing the status of corporate officers, including remuneration, pensions, the allocation of subscription or purchase options for Company shares, and the measures applicable to departing members of Company management. It is consulted on the remuneration policy for senior managers. Acting as the Corporate Governance Committee, it assists the Board of Directors in adapting Carrefour’s corporate governance practices and 76 GOVERNANCE Executive Board The Executive Board, together with the CEO, elaborates the Group’s strategy, operational goals and yearly plan, and oversees execution. FROM LEFT TO RIGHT James McCANN Executive Director France* / José Carlos GONZALEZ-HURTADO Executive Director Group Chief Commercial Officer / Lars OLOFSSON Chief Executive Officer / Pierre BOUCHUT Executive Director Chief Financial Officer / Thierry GARNIER Executive Director in charge of International Partnerships and Growth Markets excluding China and Latin America / Vicente TRIUS Executive Director Europe (excluding France)** * James McCann’s appointment took effect on February 1st 2010 ** Vicente Trius’ appointment took effect on May 3 rd 2010 77 t r o p e R l a u n n A 9 0 0 2 78 GovErNaNcE  Lars Olofsson Lars Olofsson, 58. Swedish, joined Nestlé in 1976 as a product manager for Findus frozen products. From 1981 to 1992, he worked at Nestlé France, where he held different commercial and marketing functions. In 1992, he became Managing Director of France Glaces Findus. He was then appointed President of Pripps-Procordia Sweden before taking the head of the Dairy and Dietetic Products Division at Sopad- Nestlé. In 1995, he was appointed General Manager of Nestlé’s Nordic Markets. In 1997, Lars Olofsson became Chief Executive ofﬁ cer of Nestlé France, before being named Executive Vice-President of the Nestlé Group in 2001 responsible for all European operations. In 2005, he was appointed Executive Vice-President of the Nestlé Group in charge of Strategic Business Units, Marketing and Sales worldwide. On January 1st 2009, Lars Olofsson was appointed Chief Executive Ofﬁ cer of Carrefour. In April 2009, he was appointed Member of the Board of Carrefour. He also serves as Chairman of the Carrefour Corporate International Foundation, Member of the Board of Finiper (Italy) and Carrefour Nederland BV’s permanent representative to the Carrefour Marinopolous Board of Directors (Greece).  Pierre Bouchut Pierre Bouchut, 54. French, began his career in 1979 with Citibank Paris. In 1987, he joined Bankers Trust France SA as Vice-President of Finance. In 1988, he served as a consultant at McKinsey & Company. In 1990, he was appointed Chief Financial Officer of the Casino Group and later became Managing Director. In May 2005, Pierre Bouchut joined Schneider Electric as Executive Director, Finance Control and Legal Affairs. In May 2006, he was appointed a member of the Management Board and in July 2006, he was named Chief Financial Officer. Pierre Bouchut joined the Carrefour Group in May 2009 as Chief Financial Officer. On 14th January 2010, Pierre Bouchut was appointed to the Executive Board of the Carrefour Group.  Thierry Garnier Thierry Garnier, 43. French, joined Promodès in 1997. He served as Director of the Libourne hypermarket from 1998 to 1999. From 1999 to 2003, he served as Carrefour regional Director in several French regions (North of France, greater Lille region, and western Paris region). In 2003, he was appointed Executive Director of Supermarkets France. In January 2008, Thierry Garnier was named a member of the Management Board and Managing Director International (excluding Europe). In July 2008, he was appointed to Carrefour Group’s Executive Committee as Executive Director in charge of South East Asia, European countries, India and International Partnerships. On 14th January 2010, Thierry Garnier was appointed a member of the Executive Board of the Carrefour Group as Executive Director in charge of International Partnerships and Growth Markets excluding China and Latin America.  José Carlos Gonzalez-Hurtado José Carlos Gonzalez–Hurtado, 45. Spanish, joined P&G in 1989. After a 6-year stint as Brand Manager in Spain, he held various positions in Marketing in Greece (1995-1997) and Spain (1997-1999). In 1999, he joined P&G in Switzerland as Fabric Care Marketing Director for Western Europe, before being appointed Hair Care Marketing Director for the CEEMEA region. In 2001, he became General Manager for the newly established subsidiary in Israel. In 2004, he was named General Manager for P&G, Wella, Gala and Gillette Companies in Ukraine. In 2006, he was appointed Vice-President of Global Braun Male Products, and in 2008, he was put in charge of Braun globally. In November 2009, José Carlos Gonzalez-Hurtado joined Carrefour’s Executive Committee as Group Chief Commercial Ofﬁ cer. On 14th January 2010, he was appointed a member of the Executive Board of the Carrefour Group.  James McCann James McCann, 40. British, began his career at Shell Plc before moving in 1994 to Mars Inc. where he worked in both the UK and Russia. In 1999 he moved to J Sainsbury Plc where initially he was the Non-Food Buying Director and subsequently responsible for all Non-Food and Ambient Food Buying. In 2002 he joined Tesco Plc and was appointed Operations Director in Poland in 2003 before being named CEO of the Malaysian business in 2004. In August 2006 he was appointed CEO of Tesco’s business in Hungary. On 14th January 2010, James McCann was appointed member of the Executive Board of the Carrefour Group as Executive Director France.  Vicente Trius Vicente Trius, 52. Spanish, began his career in 1978 at Ejkorvettes in the United States. In 1987, he took up the position of Regional Director at Revco Drug Stores Inc and was later appointed Managing Director for Simago / Dairy Farm International in Spain in 1992. In 1996, he joined Walmart as Vice-President for International Operations division. In 1997, he was named President and CEO for Brazil, then Executive Vice-President and CEO for Asia. Since 2009, he has been Executive Vice-President and CEO for Latin America. On May 3 rd 2010, Vicente Trius was appointed a member of the Executive Board of the Carrefour Group as Executive Director Europe (excluding France). 79 t r o p e R l a u n n A 9 0 0 2 Executive Committee The Executive Committee contributes to the definition and implementation of the strategic and operational plan and ensures the roll out of projects. The Executive Committee guarantees the teams’ alignment and the dissemination of management and leadership principles. The Executive Committee brings together the members of the Executive Board and managers of Business Units and key positions within the company:  Lars Olofsson Chief Executive Officer  Gérard Dorey Executive Director of Convenience Stores and Promocash  Pierre Bouchut Executive Director Chief Financial Officer  Pascal Duhamel Executive Director Carrefour Property d r a o B E v t u c E x E i  Thierry Garnier Executive Director in charge of International Partnerships & Growth Markets excluding China & Latin America  José Carlos Gonzalez-Hurtado Executive Director Group Chief Commercial Officer  James McCann Executive Director France  Vicente Trius Executive Director Europe (excluding France), in charge of Belgium, Spain, Italy, Poland, Greece, Cyprus and Romania  Vincent Abello Group Director Merger and Acquisitions  Florence Baranes-Cohen Group Communications Director  Gauthier Durand Delbecque Executive Director Group Financial Services and Insurance  Alexandre Falck Executive Director Supermarkets France  Ignacio González Hernández France Commercial and Group Merchandise Director  Albin Jacquemont Group Financial Control Director  Gérard Lavinay Executive Director Belgium  Éric Legros Executive Director China-Taiwan  Noël Prioux Executive Director Spain  Rémy Baume Group Strategy Director and Non-Merchant Purchases  Jean-Marc Pueyo Executive Director Brazil – Latin America  Laurent Bendavid Executive Director in charge of the Center of Competences “Formats and Commercial concepts”  Giuseppe Brambilla Executive Director Italy  Cécile Cloarec Group Human Resources Director  Ricardo Curras De Don Pablo Executive Director DIA  Patrick Rouvillois Group Marketing Director  Franck Tassan Group General Counsel  Pierre-Alexandre Teulié General Secretary  Hervé Thoumyre Group Chief Information Officer  Guillaume Vicaire Executive Director Hypermarkets France 80 GovErNaNcE The Executive Committee is composed of the members of the Executive Board and the following Directors: Vincent ABELLO Florence BARANES COHEN Rémy BAUME Cécile CLOAREC Ricardo CURRAS DE DON PABLO Gérard DOREY Ignacio GONZALEZ HERNANDEZ Albin JACQUEMONT Gérard LAVINAY Jean–Marc PUEYO Patrick ROUVILLOIS Franck TASSAN 81 t r o p e R l a u n n A 9 0 0 2 Laurent BENDAVID Giuseppe BRAMBILLA Pascal DUHAMEL Gauthier DURAND DELBECQUE Alexandre FALCK Nom Prénom Fonction : lorem ipsum Gérard LAVINAY Eric LEGROS Noël PRIOUX Pierre-Alexandre TEULIÉ Hervé THOUMYRE Guillaume VICAIRE 82 Financial OutlOOk Consolidated financial statements The financial statements as of 31st December 2008 presented below have been revised to reflect the retroactive application of IFRIC 13 and the amendments to IAS 38 and IFRS 5 (see Note 1.4). The financial statements are presented in millions of euros, rounded to the nearest hundred thousand. As a result, there may be rounding-off discrepancies among the various statements. cOnSOliDatED incOME StatEMEnt (in millions of euros) 31/12/2009 31/12/2008 % Var. Net sales Customer loyalty programmes Net sales, net of loyalty programme Other income Total income Cost of sales Gross margin from current operations Sales, general and administrative expenses Depreciation, amortization and provisions Activity contribution Non-recurring income and expenses EBIT Financial income (expense) Financial income Financial expenses Income before taxes Income tax Net income from companies consolidated by the equity method Net income from recurring operations Net income from discontinued operations Total net income of which net income - Group share of which net income from recurring operations - Group share of which net income from discontinued operations - Group share of which net income - minority share 85,963 (604) 85,359 2,020 87,379 (68,098) 19,281 (14,625) (1,879) 2,777 (1,072) 1,705 (610) 147 (757) 1,095 (638) 38 494 (57) 437 327 385 (57) 110 86,967 (626) 86,341 1,899 88,239 (68,719) 19,520 (14,352) (1,861) 3,307 (518) 2,789 (561) 383 (944) 2,228 (740) 52 1,540 (5) 1,535 1,269 1,274 (5) 266 (1.2%) (3.5%) (1.1%) 6.4% (1.0%) (0.9%) (1.2%) 1.9% 1.0% (16.0%) (38.9%) 8.7% (61.6%) (19.9%) (50.9%) (13.8%) (27.2%) (67.9%) (71.5%) (74.2%) (69.8%) (58.7%) Basic earnings (loss) per share, in euros Net earnings per share from recurring operations Net earnings per share from discontinued operations Net earnings per share - Group share 31/12/2009 0.56 (0.08) 0.48 31/12/2008 1.86 (0.01) 1.85 % Var. (69.8%) ns (74.2%) Diluted earnings per share, in euros 31/12/2009 31/12/2008 % Var. Net earnings per share from recurring operations Net earnings per share from discontinued operations Net earnings per share - Group share 0.56 (0.08) 0.48 1.86 (0.01) 1.85 (69.8%) ns (74.2%) Symbols: – for expenses and + for income. 83 t r o p e R l a u n n A 9 0 0 2 coNSoLidatEd StatEMENt oF coMPrEHENSivE iNcoME (in millions of euros) 31/12/2009 31/12/2008 Total net income Effective portion of cash flow hedge (1) Change in available-for-sale assets (1) Change in foreign currency translation Other items in comprehensive income, after tax Total comprehensive income of which comprehensive income - Group share of which comprehensive income - minority share (1) Net of tax. 437 (9) 7 577 575 1,012 886 126 1,535 (39) (828) (867) 668 463 205 84 FiNaNciaL outLooK coNSoLidatEd StatEMENt oF FiNaNciaL PoSitioN (in millions of euros) aSSEtS Goodwill Other intangible fi xed assets Tangible fi xed assets Other non-current fi nancial assets Investments in companies accounted for by the equity method Deferred tax on assets Investment properties Consumer credit from fi nancial companies - long-term Non-current assets Inventories Commercial receivables Consumer credit from fi nancial companies - short-term Other current fi nancial assets Tax receivables Other assets Cash and cash equivalents Non-current assets held for sale (1) Current assets Total assets (in millions of euros) LiaBiLitiES Equity capital Consolidated reserves (including income) Shareholders’ equity - Group share Minority interests Shareholders’ equity Borrowing – long-term Provisions Deferred tax liabilities Consumer credit refi nancing – long-term Non-current liabilities Borrowing – short-term Suppliers and other creditors Consumer credit refi nancing - short-term Tax payables Other liabilities Non-current liabilities held for sale (1) Current liabilities Total liabilities 31/12/2009 31/12/2008 11,473 1,083 15,044 1,314 201 712 455 2,005 32,286 6,670 2,238 3,215 2,051 563 989 3,301 241 19,267 51,553 11,363 1,055 14,809 1,312 429 681 346 2,097 32,091 6,891 3,156 2,708 245 673 1,058 5,317 150 20,198 52,288 31/12/2009 31/12/2008 1,762 8,552 10,315 800 11,115 9,794 2,520 496 592 13,402 2,018 16,800 4,061 1,324 2,740 93 27,036 51,553 1,762 8,370 10,132 790 10,923 9,506 2,320 424 451 12,700 2,709 17,545 4,044 1,467 2,877 25 28,666 52,288 (1) Non-current assets and liabilities held for sale correspond: A: In 2008, to certain assets and liabilities in Bulgaria, Turkey, Poland plus assets involving Dia Spain. B: In 2009, to certain assets and liabilities in Italy, Russia and Bulgaria. 85 t r o p e R l a u n n A 9 0 0 2 coNSoLidatEd caSH FLoW StatEMENt (in millions of euros) INCOME BEFORE TAX OPERATING ACTIVITIES Tax Provision for amortization Capital gains and losses on sale of assets Changes in provisions and impairment Dividends on companies accounted for by the equity method Impact of discontinued activities Cash flow from operations Change in working capital Impact of discontinued activities Change in cash flow from operating activities (excluding financial companies) Change in consumer credit commitments Net cash from operating activities INVESTMENT ACTIVITIES Acquisition of tangible and intangible fixed assets Acquisition of financial assets Acquisition of subsidiaries Disposal of subsidiaries Disposal of fixed assets Disposal of investments Investments net of disposals subtotal Other uses Impact of discontinued activities Net cash from investment activities FINANCING ACTIVITIES Proceeds on share issues Dividends paid by Carrefour (parent company) Dividends paid by consolidated companies to minority interests Change in treasury stock and other instruments Change in current financial assets Change in borrowing Impact of discontinued activities Net cash from financing activities Net change in cash and cash equivalent before currency impact Impact of currency fluctuations Net change in cash and cash equivalents Cash and cash equivalents at beginning of year Cash and cash equivalents at end of year 31/12/2009 31/12/2008 1,095 2,228 (622) 1,984 8 942 38 (25) 3,419 320 2 3,740 (256) 3,484 (2,137) (38) (116) 47 128 7 (2,109) (225) (50) (2,384) 7 (741) (161) 1 (1,834) (470) 34 (3,164) (2,064) 48 (2,016) 5,317 3,301 (624) 1,946 (225) 642 50 (12) 4,005 971 21 4,997 (111) 4,887 (2,908) (143) (296) 191 742 12 (2,402) (171) (23) (2,596) 3 (740) (202) (404) (233) 561 (13) (1,028) 1,262 (110) 1,153 4,164 5,317 86 Addresses of main subsidiaries GROUP Carrefour Carrefour head ofﬁ ce 26, quai Michelet TSA 20016 92695 Levallois-Perret Cedex – France Tel.: 00 (33) 1 55 63 39 00 Fax: 00 (33) 1 55 63 39 01 FRANCE Carrefour France Z.A.E. Saint-Guénault 1, rue Jean Mermoz Courcouronnes – BP 75 91002 Évry Cedex Tel.: 00 (33) 1 60 91 37 37 Fax: 00 (33) 1 60 79 44 98 EUROPE Belgium Carrefour Belgium 20, avenue des Olympiades 1140 Bruxelles Tel.: 00 (32) 2 729 21 11 Fax: 00 (32) 2 729 14 96 Bulgaria Carrefour Gaztrade building, Floor 4 180 Tzarigradsko Shousse Soﬁ a 1784 Tel.: 00 (359) 2809 30 30 Fax: 00 (359) 2809 30 31 Spain Centros Comerciales Carrefour S.A. Calle Campezo, 16 Poligono de las Mercedes 28022 Madrid Tel.: 00 (34) 91 301 89 00 Fax: 00 (34) 91 333 18 36 Dia Spain Plaza Carlos Trias Bertran, 7 Planta 4a 28020 Madrid Tel.: 00 (34) 91 456 73 00 Fax: 00 (34) 91 555 77 41 Italy Carrefour Italia GS S.p.A. Carrefour Italia GS S.p.A. Via Caldera, 21 20153 Milano Tel.: 00 (39) 02 48 25 11 Fax: 00 (39) 02 48 20 23 25 Greece Carrefour Marinopoulos S.A. 63, Aghiou Dimitriou Str. 17456 Alimos – Athens Tel.: 00 (30) 2 10 98 93 400 Fax: 00 (30) 2 10 98 51 301 Poland Carrefour Polska Dyrekcja Wykonawcza Ul. Targowa 72 03-734 Warsaw Tel.: 00 (48) 22 517 21 10 Fax: 00 (48) 22 517 22 01 Romania Carrefour Romania Blvd. Timisoara nr 26z Cladirea Anchor Plaza Etaj 8 061331, sector 6 Bucharest Tel.: 00 (40) 21 206 74 00 Fax: 00 (40) 21 206 74 52 Turkey Carrefoursa Turkiye Genel Müdürlük Dudullu Asfalti n°1 Kucukbakkalkoy Mahallesi Kadikoy / Istanbul 34750 Tel.: 00 (90) 216 655 00 00 Fax: 00 (90) 216 655 00 50 LATIN AMERICA Argentina Carrefour Argentina S.A. Cuyo 3367 – 1640 Martinez Provincia de Buenos Aires Tel.: 00 (54) 11 40 03 70 00 Fax: 00 (54) 11 40 03 77 22 Brazil Carrefour Commercio E industria Lta Rua George Eastman, n° 213 CEP 056690-000 São Paulo Tel.: 00 (55 11) 37 79 60 00 Fax: 00 (55 11) 37 79 66 94 Colombia Grandes Superfi cies de Colombia Abenida 9 n°125-30 Piso 8 Bogota D.C. Tel.: 00 (571) 657 97 97 Fax: 00 (571) 523 03 44 87 t r o p e R l a u n n A 9 0 0 2 Taiwan Presicarre Corporation 2F-1 Back Building 27 Minchuan Road Tamhsui, Taipei 251 Tel.: 00 (8862) 8809 4965 Fax: 00 (8862) 2808 3545 Singapore Carrefour Singapore Pte. Ltd No 8, Temasek Boulevard #04-01/02/03 Suntec Tower Three Singapore 038988 Tel.: 00(65) 6333 6868 Fax: 00 (65) 603 63 33 6178 ASIA China Carrefour China 25/F, Shanghai Stock Exchange Building 528 Pudong Nam Road, 200120 Pudong, Shanghai Tel.: 00 (8621) 3878 4500 Fax: 00 (8621) 6881 5877 India Carrefour India 16th, Floor, Building 9A, Cyber City Gurgaon – 122002 (Haryana) Tel.: 00 (91) 124 4752 000 Indonesia PT Carrefour Indonesia Carrefour Lebak Bulus 3rd Floor Jl. Lebak Bulus Raya N°8 Jakarta 12310 Tel.: 00 (6221) 2758 5800 Fax: 00 (6221) 2758 5829 Malaysia Magnificient Diagraph Sdn Bhd N°3 Jalan SS 16/1, 47500 Subang Jaya – Selangor Darul Ehsan Tel.: 00 (603) 5631 2000 Fax: 00 (603) 5631 3373 Thailand Carrefour Thailand No. 70/3 Moo 15, Phaholyothin Road (Km. 30-31) Tambon Khukhot, Amphur Lamlukka Pathumthani 12130 Tel.: 00 (662) 625 4444 Fax: 00 (662) 625 4970 88 design, creation, copywriting and production: Carrefour Group Communications Direction and translation: Photo credits: p. 1-34 and 54 Emmanuelle Margarita, Carrefour Photo Archives, Lionel Barbe, Michel Labelle, Pierre-Francois Grosjean, Pierre Troyanovsky, Pascal Dolémieux / La Company, Jean-Erick Pasquier / La Company, Marta Nascimento / Rea, Gilles Leimdorfer / Interlinks, Christophe Gay / Skyzone – p. 14-15 Getty Images / Image Source – p. 38-39 Getty Images / Daniel Beltra, all rights reserved. – p. 4 Tomas Rodriguez / Corbis – p. 6 Digital Vision / Getty Images – p. 8 Stockbyte / Getty Images – p. 9 Dorling Kindersley, Photographer’s Choice / Getty Images and Artville – p. 10 Photographer’s Choice / Getty Images – p. 12 Photographer’s Choice / Getty Images – p. 36 Getty Images – p. 49 Image Source / Getty Images – p. 63 Photodisc / Getty Images – all rights reserved Paper: The Carrefour Group has made a commitment to responsible management of its paper purchases. The paper used for this annual report is certified by the Forest Stewardship Council (FSC), which attests to compliance with a series of globally recognized forest management principles and criteria. The FSC’s mission is to promote environmentally responsible, socially beneficial and economically viable management of the world’s forests. Printing: This document was printed by Réalgraphic, certified by the FSC and ISO 14001 (Environmental Management System). Réalgraphic has received the Imprim’Vert® label certifying that it meets the criteria for the managing hazardous waste, providing secure storage of dangerous materials and eliminating toxic products. 22.07.2010 08:20 PDF_QUADRI_300dpi_txvecto 22.07.2010 08:20 PDF_QUADRI_300dpi_txvecto

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