Groupe Casino Annual Report 2017

FY2017 Annual Report · Groupe Casino

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2017 Annual and
Corporate Social
Responsibility
Performance
Report

E stablished in France 120 years ago,

today the Casino Group is a leading
food retailer, with more than 12,200 stores
worldwide across France, Latin America
and the Indian Ocean region.
Driven by its commitment to convenience,
attentiveness to customer needs and a
passion for retail, the Group has developed
strong, dynamic and complementary
banners that are able to innovate and
transform in line with their markets.
Every day, its 227,000 employees work to
understand, anticipate and adapt to new
customer expectations. Enhancing their
businesses with innovative measures for
concrete solutions, they are actively
engaged in promoting sustainable
consumption, which goes hand-in-hand
with the Group's ongoing mission of
“Nourishing a world of diversity”.

CONTENTS

Interview with Jean-Charles Naouri
P.2

2017 at a glance
P.6

Key figures
P.12

Executive Committee
P.14

"I choose the kind of
store that reflects
who I am" P.16

"I only want to shop somewhere when I can be
sure how they source their produce" P.26

"I need to shop
conveniently in-store
and on the web" P.36

"For me, shopping is
also about making a
social statement" P.52

"I like to shop where
there is a neighbourhood
feel" P.46

Distinctive banners that are close
to their customers
P.62

Governance, CSR and finance:
a strong, sustainable model
P.94

CASINO GROUP

2017 ANNUAL REPORT

Interview with

Jean-Charles Naouri
Chairman and Chief Executive Officer
of the Casino Group

Consumer expectations are
changing dramatically. How is the
Casino Group responding?

J-C.N. — Consumers are more
demanding than ever, and their needs
increasingly diverse. Consumption is
becoming more polarised, with some
customers proving to be very
attached to product quality and
provenance, and sensitive to the
novelty of concepts and services,
and others driven by the search
for fair prices.
In this environment, the Group has
demonstrated the effectiveness of its
multi-format and multi-brand model
in supporting change, while at the
same time keeping a step ahead.
The Group’s biggest strength is its
expertise in precision retailing. We
have developed banners with strong
personalities that are providing
increasingly creative responses,
tailored to customer expectations.
Two prime examples are Assaí in

Brazil and Monoprix in France, one
currently rolling out its cash & carry
model in regional Brazil and
expanding into Colombia – all at a
cracking pace – and the other
steadily enhancing its premium and
affinity-based concept with
innovative solutions for its urban
customers.

Does the polarisation between the
discount and premium models
represent the new equilibrium in
bricks-and-mortar food retail?

J-C.N. — Yes, if we add in the notion
of convenience, which is our legacy
format and the source of our robust
regional roots and close ties with our
customers. We are stepping up the
transformation of our banners to
boost their positioning in these more
promising formats. For example, we
are increasing the pace of conversion
of Extra hypermarkets in Brazil to
Assaí cash & carry stores.

At the same time, we are continuing
to upgrade our food offering, with a
growing proportion of fresh produce
in the mix, and raising the standard of
our private-label products with
increasingly healthy and more
responsible product lines. We have
also opened two new banners
dedicated to more responsible
consumption – Franprix Noé in
France and Carulla FreshMarket in
Colombia – and are particularly
proud of them. Taking a cross-cutting
approach across all of our host
countries, we’re meeting a demand
shared by all consumers.

How do international synergies
represent a growth driver?

J-C.N. — We embarked on a major
plan back in 2016 to create synergies
between our brands in Latin America,
and it has started to pay off.
We rolled out the compelling
FreshMarket store concept, which
originated in Uruguay, in our four host
countries in Latin America this year.
Another example is cash & carry,
where expertise developed in Brazil
has allowed us to replicate the model
quickly in our Surtimayorista stores in
Colombia. Also this year, we are
opening Cameroon's first cash &
carry store under the Bao banner.
But synergies are not confined to
cooperation between our various
geographies; they are also about
gradually breaking down the barriers
between bricks-and-mortar and

digital retail, and building a single
omni-channel approach.

Does the arrival of e-tailer Cdiscount
in Géant Casino hypermarkets mark
a turning point in the Group's
omni-channel strategy?

J-C.N. — We have implemented an
aggressive strategy in e-commerce
for many years. Cdiscount, which we
acquired in 2000, today ranks as the
number two in the French market. It
logged close to one billion visits this
year and is still gaining market share.
This is an exemplary success, based
on strong synergies with the network
of bricks-and-mortar stores,
particularly in purchasing and
logistics. The opening of Cdiscount
showrooms in Géant Casino
hypermarkets is allowing us to go
even further by putting the
hypermarket’s non-food offering
under the e-tailer’s banner. The result
is an original, genuinely omni-channel
concept combining the best of both
worlds.

“We have developed banners
with strong personalities
that are providing increasingly
creative responses, tailored to
customer expectations.”

CASINO GROUP

2017 ANNUAL REPORT

What are some examples of the
Group’s innovation capacity in
stores?

J-C.N. — Our brands excel at
anticipating and encouraging new
practices through innovative
solutions, with the clear aim of
simplifying everyday shopping and
making life easier for customers. In
Brazil and France alike, the Group's
banners have developed mobile
applications that combine paperless
loyalty programmes, geolocation,
personalised promotions and, more
recently, the possibility for shoppers
to scan items off the shelves
themselves and pay for them directly
online using their smartphone.
I should add that innovating also
means developing sustainable
solutions that reduce our
environmental footprint. This is why
we are rolling out on-foot delivery
services and other clean modes of
transport, while also developing our
sites’ energy efficiency and solar
power generation capacity.

“In our historical retail business,
we have built a unique value
creation model, developing
‘satellite’ expertise.”

What is the Group's development
strategy in food e-commerce?

J-C.N. — We have all the assets we
need to play a leading role in the new
food retail landscape. Logistics are
the key to profitability here, which is
why we have decided to build up our
expertise by forming partnerships
with the benchmark players in this
field.

How will the partnerships with
Ocado and Amazon work?

J-C.N. — With British player Ocado,
we are implementing a highly
efficient food e-commerce solution,
both technologically and
economically, developed by an
undisputed leader in the field. The
systems developed by Ocado will be
used by our own logistics teams,
which will allow us to adapt to the
specific needs of our banners and
give us the ability to keep up with our
customers’ emerging expectations.
Monoprix will be the first of the
Group’s banners to benefit, starting in
early 2020, and will confirm its
position as the omni-channel leader
in urban retailing, further
strengthened by the acquisition of
Sarenza, France's leading shoe
e-tailer.
In turn, the commercial partnership
signed with Amazon Prime Now will
enable Monoprix to leverage the
services of an expert in last-mile
logistics. The idea is to provide

Amazon Prime Now subscribers with
a specific offer, rounding out the very
comprehensive delivery system
already in place at Monoprix.

Are new jobs emerging as the pace
of change accelerates?

“We have all the assets we
need to play a leading role
in the new food retail
landscape.”

innovation, open to diversity and
nurtured by caring management
practices. Our aim is to help our
teams embrace change, to continue
to evolve in line with our customers.
—

J-C.N. — We have built a unique
value creation model based on our
historical retail business, developing
"satellite" expertise allowing us to
control our operations across the
board, in commercial real estate,
energy efficiency and solar power
production, as well as data analysis
and logistics.
We are also using innovative training
tools to enhance the skills of teams
whose professions are changing,
particularly in traditional food
services.

How does the Group keep its values
alive in today’s environment?

J-C.N. — In addition to developing
the skills of each and every member
of personnel, we are working to
expand the reach of our values.
Foremost of these are ethical values,
which are central to the Casino
Group’s strategy. In their daily work,
employees are expected to fully
comply with the rules of conduct and
obligations set out in the Ethics
Charter and the Code of Ethics and
Conduct.
We are also working to foster an agile
mindset constantly informed by

CASINO GROUP

2017 ANNUAL REPORT

2017 AT A GLANCE

France: driving a faster
transformation

Positioned to focus on their most promising formats, today
more than ever the Casino Group banners are drawing on their
distinctive personalities to deliver innovative solutions that
meet customer expectations. They are strengthening their
omni-channel offering in preparation for tomorrow's trends.

Celebrity
chef Norbert
Tarayre
becomes
the new
ambassador
for Leader
Price
products.

Opening of the first
vegan-exclusive
organic stores in
France with
Naturalia Vegan.

Inauguration in
Paris of Franprix
Noé, a new "lab"
banner for testing
responsible
consumption
solutions.

R
A
M

E
N
U
J

Y
L
U
J

T
P
E
S

Roll-out of
Franprix’s mobile
app that allows
customers to have
their groceries
delivered to their
doorstep in 30 to
40 minutes. The app
was downloaded
400,000 times in
six months.

2017

Installation of
the first
Cdiscount
showrooms in
Géant Casino
hypermarkets.

The stage is set for
Cdiscount’s 600
best-selling home
appliances, consumer
electronics and
furniture, all at
web prices.
The ultimate “phygital”
consumer experience.

Casino
Supermarkets
brings premium
food products and
high-quality
produce together
in a new market
space with its own
"factory setting".

T
C
O

V
O
N

C
E
D

Launch of the new Casino Max mobile app, downloaded
by 400,000 customers as of late 2017.

The app, which can be used in all Géant Casino hypermarkets and Casino
Supermarkets, combines a virtual loyalty card with personalised promotional
offers and payments via smartphone.

A new
strategic
partnership in
food e-commerce
is signed with
UK pure player,
Ocado.

Monoprix
announces its
plan to acquire
online shoe
retailer,
Sarenza.

Through its business
partnership with
Amazon, Monoprix
becomes the first
French retailer to offer
its range of food
products to Amazon
Prime subscribers.

R
A
M

N
A
J

2018

CASINO GROUP

2017 ANNUAL REPORT

2017 AT A GLANCE

Latin America:
a year of innovation

The powerful synergies between the Casino Group banners means
they are ideally placed to meet the needs of Latin American consumers
by accelerating the development of innovative store concepts
and tailored digital solutions.

Boost in the digital
transformation of the GPA
banners with the new
personalised promotional offers
platform, “Meu Desconto”.

The new function, accessible via
the Pão de Açúcar Mais and
Clube Extra loyalty apps, is
programmed to generate
personalised promotional offers
based on the purchasing history
of each customer.

Launch of Puntos
Colombia following
the partnership
between Éxito and
Bancolombia loyalty
programmes which
boast 15 million users.

Introduction of the
new “Caixa Express”
service on the Pão de
Açúcar Mais app
which lets customers
reserve a time to go
through check-out.

First Pitch Day for
Pão de Açúcar:
the call-for-
project's three
winning start-ups
benefit from a
mentoring
programme on how
to deploy their
digital solutions.

Acceleration in the
conversion of Extra
hypermarkets to the
cash & carry format:
15 of the 20 Assaí stores
opened during the year
are the result of such
conversions.

Inauguration of the first Carulla FreshMarket store
specialising in fresh, responsibly-sourced produce in Bogotá.

Tried and tested by Éxito in Uruguay, the store concept is tailored to new customer
expectations for a more local offering, handcraft production and in-store
preparation areas.

Éxito joins up with the
Rappi mobile app to
offer free deliveries to
customers that live
less than 35 minutes
away from the centre
of six major
Colombian cities.

Launch
of the Passaí
credit card:
110,000 cards
are sold in
70 Assaí stores
in just
4 months.

Opening in Cartagena of the 8th store under
Colombia's Surtimayorista cash & carry
banner inspired by the success of Assaí.

N
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J

B
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F

R
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M

L
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A

Y
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Y
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J

G
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T
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V
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2017

CASINO GROUP

2017 ANNUAL REPORT

2017 AT A GLANCE

Responsibility:
concrete action

The Casino Group is committed to serving the common good
in each of its host countries, introducing concrete initiatives
to encourage responsible consumption, combat discrimination,
reduce its environmental footprint and help the most
vulnerable members of society.

Start to a new
and ambitious
collaboration
with three expert
animal rights
groups

The Group commits
alongside the
Fondation Droit
Animal, Ethique et
Sciences (LFDA),
Compassion in World
Farming France (CIWF)
and Association Œuvre
d’Assistance aux Bêtes
d’Abattoirs (OABA) to
develop labelling that
will better inform
consumers of animal
welfare standards for
products available in
stores.

Franprix is named "Orange Day Champion" by UN Women for its
commitment to the elimination of violence against women.

All of the Group's banners actively took part in Orange Day 2017 to collect funds
through shared product campaigns and social media.

The Éxito
Foundation
distributes
more than
600,000
Christmas
meals to
Colombian
families, part of
which were
funded through
customer
checkout
donations.

First edition of the
GPA Diversity Week
dedicated to
combating all forms
of discrimination.

T
P
E
S

V
O
N

C
E
D

Casino
implements a
strict framework
for sourcing wild
sea bass in order
to protect the
species.

Monoprix wins the 2018
Grand Prix Essec award for
sustainable retailing for its
innovative "Shop&Give" and
"Tous Cultiv’acteurs"
programmes.

B
E
F

2018

Organisation
of the first
Caring
Management
Practices
Awards:
130 initiatives
submitted and
16 winners
selected by the
Group Executive
Committee.

The Carulla stores
become the
exclusive
distributors of
meats from
Colombia's first
sustainable
livestock farm to be
awarded the
Rainforest Alliance
Certification seal.

Y
L
U
J

G
U
A

With the Casino
Corporate
Foundation's "Tous
en Scène" outreach
campaign, the
banner teams
collect over
€140,000
in donations for
partner associations.

E
N
U
J

Installation of
the largest
urban solar farm
in Brazil on the
roof of the Assaí
store in Goiânia.

L
R
P
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Y
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M

2017

CASINO GROUP

2017 ANNUAL REPORT

2017 key figures

Results

37.8

billion euros
in consolidated net sales

Stores

Employees

12,271

around the world

226,606

around the world1

+3.2%

organic growth2
in consolidated sales

9,221

in France

3,050

In Latin America

38%

93%

women in
management

employees with fixed-term
employment contracts

-2%

reduction in electricity
consumption
in stores (MWh)

+26%

organic produce
in stores

39%

employees
under 30

+4.6%

employees with
recognised disabilities

1.242

billion euros
in trading profit

372

million euros in
underlying net profit,
Group share

Retailing

no. 1

in Brazil3

in Colombia

E-commerce

Cdiscount

Exito.com

no. 2

in France

in Colombia

1 Number of employees on payroll at 31 December 2017, including those on permanent/fixed-term contracts
and full-time/part-time contracts – consolidated businesses only.
2 Excluding fuel and the calendar effect.
3 Traditional retail excluding cash & carry.

CASINO GROUP

2017 ANNUAL REPORT

Executive Committee

Jean-Charles Naouri

Hervé Daudin

—
Chairman and Chief Executive
Officer

—
Merchandise Director,
Chairman of Achats
Marchandises Casino

Franck-Philippe
Georgin
—
Interim Human Resources
Director and Executive
Committee Secretary

Carlos Mario Giraldo
Moreno
—
Chairman of Éxito Colombia

Antoine
Giscard d'Estaing
—
Chief Financial Officer

Paul Peter
ESTERMANN
—
Chief Executive Officer
of GPA Brazil*

* Replacing Ronaldo Iabrudi
as from 27 April 2018

Julien Lagubeau

Jean-Paul Mochet

Tina Schuler

—
Chief Operating Officer

—
Chief Executive Officer
of Franprix and the
Convenience Banners

—
Chief Executive Officer
of Leader Price,
Casino Supermarkets
and Géant Casino

Régis Schultz

Arnaud Strasser

Gérard Walter

—
Chairman of Monoprix

—
Corporate Development
and Holdings Director
Vice-Chairman of GPA

—
Chief Executive Officer,
Logistics of Distribution,
Casino France and
Franprix-Leader Price

CASINO GROUP

2017 ANNUAL REPORT

“I choose
the kind of
store that
reflects who
I am”

Matthieu and Hugo, Lyon

To showcase their quality food offering, Casino Supermarkets have a new look that
combines a warehouse feel with décor reminiscent of a traditional covered market.

CASINO GROUP

2017 ANNUAL REPORT

Remaining attentive
to customers’ needs

Nurturing a commitment to convenience inspired by its
origins, the Group has created a network of distinctive
banners that know how to remain attentive to their
customers’ needs in order to evolve alongside them.

S i n c e 1 8 98 , w h e n G e o ff r oy

G u i c h a r d a n d A n t o n i a
Perrachon set up Société des
Magasins du Casino in Saint-Étienne,
the Group has maintained its customer
focus throughout its development and
expansion. This commitment to conven-
ience and entrepreneurial spirit have
continued to flourish over the years.

Casino first began expanding its con-
venience stores in France, which has
nearly 5,400 Casino Proximités stores
located across the country, of which
80% are currently operated under fran-
chise agreements, as well as a unique
urban convenience store network crea-
ted by Monoprix and Franprix. The con-
venience store format was also rolled
out in Latin America, where the subsidi-
aries of Éxito and GPA leverage their
most promising concepts by opening
small stores designed especially for
those living in major cities.

The commitment to convenience under-
pins all of the Group’s banners and
attentiveness to customers’ specific
needs ensures each store’s individuality.

This experience-based knowledge of
consumers is combined with the power
of digital tools. 2017 was shaped, for
example, by the faster migration of
loyalty programmes to dedicated apps,
which enable the Group to maintain
personalised relationships with its
customers.

CONVENIENCE IN A CLICK

Brazil led the transition with the Pão de
Açúcar Mais and Clube Extra loyalty
apps. It then followed up in 2017 with the
Meu Desconto platform, which uses
algorithms to tailor promotional offers to
each customer’s profile. Four million
downloads were recorded in just six
months.

The launch of the Franprix and Casino
Max apps in France aims to meet the
same objective: enabling the banners to
extend their relationships with custom-
ers and gather data that can be used to
better understand their behaviour and
anticipate their choices.
—

5,392

Casino Proximités
stores in France

80%

operated under
franchise

million Extra and
Pão de Açúcar
loyalty programme
members

— Whether in integrated or franchised stores, Petit
Casino managers are in contact with customers on
a daily basis.

— The Shop&Go service at
Franprix, a new convenience
for city dwellers.

ONLINE

Using an algorithm that
cross-references a
customer’s shopping history,
browsing data, geolocation
and contextual information,
Franprix can now post
hyper-personalised ads to
customers’ mobile devices at
just the right moment.

3 QUESTIONS FOR
Cyril Bourgois

Director of Operations
in charge of digital transformation,
Strategic Planning
and Operations Department

—

How do the new loyalty
apps contribute to a better
understanding of customers?
Both in Brazil and in France, our
banners have developed apps that
use algorithms to aggregate data
about the consumer habits of loyalty
programme members. This allows
us to anticipate their purchasing
behaviour and personalise
relationships with our customers to
the highest possible level.

What exactly is the purpose
of the Meu Desconto platform?
It’s a targeted promotional tool that
enhances the loyalty apps of GPA
banners. A similar function has been
integrated into the new Franprix and
Casino Max apps. The brands put
promotional offers on the platform,
which then sends those offers to the
customers most likely to be
interested. Promotional offers are
significantly more effective as a
result and can also be measured
very accurately.

And how does the customer benefit?
As customers use the app,
their purchasing preferences are
recorded by the algorithm.
So the offers they receive on their
smartphone are continuously
adapted to their changing needs
and desires.
—

CASINO GROUP

2017 ANNUAL REPORT
2017 ANNUAL REPORT

Improving
our stores

Whether switching to the best banner, optimising the size of its
stores or offering new services, one of the Group’s strengths is
its ability to adapt. Géant Casino, for example, is reducing its
non-food surface area and breathing new life into the Monthieu
shopping centre.

— Géant Casino
is refocusing on food, with
a huge market space and
new preparation areas for
its traditional product
ranges.

— Freeing up Géant Casino’s
non-food surface area led to the
renovation of the Monthieu (Loire
region) shopping centre, which now
hosts 21 additional stores and two
large retail outlets, including a Fnac.

20
20

— Now located in the
Monthieu car park,
family restaurant
À La Bonne Heure
offers good quality
meals in a friendly
environment.

— A Cdiscount showroom
presents a stylish selection
of furniture and electrical
appliances at e-commerce
prices. Customers can get
a better feel for the
products and access
50,000 references online
using touchscreens.

21
21

CASINO GROUP

2017 ANNUAL REPORT

Incorporating new
habits

Close to their customers, the Group’s banners are able to adapt
rapidly to new consumer behaviours. They share best practices
in order to drive faster progress.

F ac tors s u ch a s t he g row i ng

importance of the customer
experience, more demanding
food-quality expectations and increas-
ingly nomadic lifestyles are drastically
changing the way shoppers consume.
The shift to take new consumer behav-
iours into account picked up pace at the
Group’s banners in 2017. During the year,
Cdiscount completely renovated its
mobile app, which now accounts for
60% of its total traffic, a portion that is
continuously increasing.

On the store side, the cash & carry
concept is being boosted by changing
consumer trends in Brazil, and the
successful Assaí model is being repli-
cated effectively in Colombia with
Surtimayorista. The concept has even
reached Cameroon, where the Group
has inaugurated its first store under the
Bao banner.

To cater to their customers’ taste for
high-quality snacks, qualitative banners
are offering a new in-store eating expe-
rience inspired by the healthy fast food
trend. This is one of the distinguishing

features of the new Fresh Market stores,
which evolved out of synergies between
qualitative banners in Uruguay, Colombia,
Argentina and Brazil. The concept is
based on a casual eating area where
customers can access various counters
offering quality food prepared on-site.

FROM “PLACE TO SHOP” TO
“HANG-OUT SPOT”

In France, Franprix – the first to intro-
duce rotisseries and fresh-squeezed
orange juice machines – continued
to innovate in 2017 by rolling out
ultra-high-quality salad bars from its
Swedish partner Picadeli, whose con-
nected back office ensures optimum
freshness. In addition to the tables and
chairs in all of its stores and the outdoor
seating offered in summer, the four
Franprix Noé stores opened in Greater
Paris include a co-working space
designed to look like a living room.
—

60%

Cdiscount traffic from
mobile devices

+10%

growth
in the snacking range
at Franprix stores
in 2017

— Every month, 55,000 customers use
the snacking area at the new Monoprix
store in the Forum des Halles shopping
centre in Paris.

— Salads, quiches, pizza,
cooked meals and fresh
fruit snacks are prepared
each day on-site by the
store’s teams.

Brazil: GPA speeds up
its transformation

Significant changes in consumer
habits in Brazil have compelled
GPA to update its banners
through three key measures:

1. EXPANSION OF CASH & CARRY

— G PA is continuing with its
drive to convert stores to its dynamic
Assaí banner. Of the 20 openings in
2017, 15 were conversions of Extra
hypermarkets to the cash & carry
concept, which led to spectacular
growth in sales. These modern, air
conditioned and well-lit stores appeal to
individuals, who now make up half of the
customer base.

2. MAKEOVER OF THE PREMIUM

F O R M AT — R o l l e d o u t i n
50 stores, the new Pão de Açúcar
concept focuses on providing a pleasant
shopping experience and offers an
extremely high-quality market area that
includes a bakery, café, salad bar, sushi
shop and rotisserie.

3. N E W P R I C E P O S I T I O N I N G

STRATEGY — Price has become
the top decision-making criterion for
Brazilian consumers. Extra supermarkets
a n d h y p e r m a r ke t s a r e t h e r e f o r e
taking action, with a new pricing and
promotional strategy.
—

IN OUR STORES

Casino’s newest private label,
Méchamment Bon, appeared
on the stores’ snacking
shelves in autumn 2017.
It’s an original range of more
than 40 gourmet products
prepared using quality
ingredients, either the
day before or on
the day of delivery.

CASINO GROUP

2017 ANNUAL REPORT

Innovating to
anticipate change

Un Tour au Jardin, a locavore store
concept being tested in Lyon.

Thanks to its pioneering spirit and agility, the Casino Group
has been innovating for 120 years.
Today, it’s taking innovation to the next level by seeking out
new partnerships, with the aim of anticipating change and
even creating new needs.

With start-up Rappi, Éxito is
enhancing its online food
offering.

T o design sales offers in resp-

onse to customers’ changing
expectations, the Group’s ban-
ners leverage numerous assets, includ-
ing short decision-making processes,
the ability to take risks and well-estab-
lished testing procedures. With the con-
tinuous transformation of its Mandarine
concept, Franprix perfectly exemplifies
this agility.

Encouraging innovation at all levels, the
Group is stepping up interaction with
the start-up ecosystem, with two objec-
tives: to identify the most promising
solutions in order to facilitate their
development and to stimulate change by
anticipating new practices. For example,
two hackathons were organised by the
Group in Paris, to foster innovative
technology projects in retail.

In 2017, GPA set up a team dedicated
exclusively to innovation. During the
year, the new team organised the first
Pão de Açúcar Pitch Day, which aims to
strengthen ties with start-ups whose
projects create value for customers. The

creation of the GPA Lab at the head
office in São Paulo also aims to foster
a culture of innovation across the
organisation.

SEEKING NEW PARTNERSHIPS

At the same time, the banners are elim-
inating the procedural red tape that
hampers ties between small structures
and major retailers and are promoting a
test-and-learn approach. This is the
case at Franprix, for example, which is
using several stores to test a faster pro-
cess for referencing products in just a
few weeks, and at Cdiscount, which has
adopted a streamlined method for coop-
erating with start-ups by simplifying
contracts and creating special access
channels to its site and back office.

This year, Monoprix is partnering with
start-up Epicery, which enables people
living in Paris and Lyon to order products
from their local merchants online.
—

LABORATORY

Cdiscount incubates start-ups
to build the supply chain of the future

IN OUR STORES

—

A winner at the first
Franprix Pitch Day in
2016, Funky Veggie
offers a selection of
offbeat vegan products.
Franprix now sells these
100%-natural snacks in
all of its stores and is
helping the start-up to
develop a range of in-
store-prepared veggie
burgers.

To facilitate the emergence of innovative logistics solutions, Cdiscount
plays the role of incubator with “The Warehouse”, a 500-square-metre
site in Bordeaux that provides start-ups with a full-size test warehouse
complete with packaging lines, racks and workstations, and a co-working
space. Four start-ups have been selected for the first residency period.
They work on machine learning algorithms, autonomous electric wheels,
the automation of store returns and delivery run optimisation.
Each start-up benefits from a personalised programme of support
provided by the Cdiscount teams.
The aim is to develop breakthrough innovations that together will
contribute to creating the supply chain of the future.

—

Franprix: a holistic
culture of innovation

From Mandarine to Noé, Franprix
is revolutionising the urban
convenience store concept.

The Mandarine concept changed the
retail landscape in 2015 by introducing
initiatives that have since become
standard practice in convenience stores.
They included a welcoming, wide-front
store design, areas that encouraged
customers to linger, such as indoor and
outdoor seating, rotisseries and coffee
and fresh-squeezed juice machines,
as well as an improved selection of
products. To stay one step ahead,
Franprix has developed a holistic culture
of continuous innovation that covers all

of the company’s professions and
processes. It is based in part on an
entrepreneurial drive that showcases
initiatives in-house and facilitates
relations with French food-tech start-
ups. The deployment in 2017 of the
Mandarine Vitaminée concept, which
takes the product and services offering
a step further, and the launch of the
Franprix Noé “lab” stores for testing
organic and other solutions, attest to
the success of this approach.
—

The four Franprix Noé stores opened in
Greater Paris are designed to serve as a
real-life testing ground for more
responsible consumption options.

CASINO GROUP

2017 ANNUAL REPORT

“I only want to
shop somewhere
when I can be sure
how they source
their produce”

Valentina, Recife

Fruit and vegetables available on the stalls of Pão de Açúcar stores are produced
in accordance with good agricultural practices that reduce the use of pesticides.

CASINO GROUP

2017 ANNUAL REPORT

Working closely with
producers

Food is Casino’s core business and is more than ever central
to consumer concerns. To ensure the provenance and quality
of the food it sells, the Group supports local production
chains and plays its part in the virtuous circle of responsible
consumption.

C ommitted to offering its cus-

tomers quality fresh produce,
t h e G ro u p e n d e a vo u rs to
shorten supply chains by working with
local producers. In France, the Group is
forging partnerships with farmers,
winemakers, breeders and fishing ports,
and has signed multi-year contracts
with livestock stakeholders to work with
them over the long term. Its new range of
milk “Ensemble avec les éleveurs”, for
example, supports dairy farmers in Mont
du Forez, Pyrénées Atlantiques and
Val-de-Loire.

The Casino group has also taken over
struggling agrifood sites to secure their
future. Examples include Luché Tradition
Volailles, which produces Casino brand
French poultry raised without antibio-
tics, and cheese producer ELS, which
makes Fourme de Montbrison AOP.
In Brazil, GPA’s Caras do Brasil pro-
gramme is designed to enable craft
cooperatives to sell their goods in Pão
de Açúcar stores.

SUSTAINABLE PARTNERSHIPS

In Colombia, Éxito is replicating a model
originally set in place for its apparel
offering: clothing collections have always
been made by a network of 84 work-
shops employing 8,000 people. Éxito is
working with more than 20 organisations
committed to fair trade, which help
farmers and fishermen incorporate the
quality and logistics constraints of the
mass retail sector and ensure that they
are paid a fair price.

This approach is becoming increasingly
widespread, thanks in large part to the
partnership established with social
enterprise Comproagro, which brings
together more than 10,000 Colombian
farmers and whose produce is accessible
via a web platform. Éxito purchased
235,000 tonnes of fruit and vegetables
through Compagro in 2017.
—

1,750

local producers have
partnered with Éxito

75%

of the fruit and
vegetables sold by
Éxito comes from local
producers

1000PRO

Casino Proximités creates a marketplace
for local producers

—

To offer their customers quality local produce, the Casino Proximités
banners have developed the 1000PRO website, a “marketplace” intended
for small local producers allowing them to offer their produce to all
outlets located in their geographical area. Simple and intuitive to use, the
platform adapts to producers, who can manage their offering and
specify their logistical constraints on their own terms. Launched in
autumn 2017, the site now lists several hundred producers, approved by
the Casino Proximités quality service, giving them access to a
considerable volume of potential new customers. The ultimate goal is to
bring together 1,000 producers and roll the platform out to Casino’s
5,500 convenience stores.

—

IN OUR STORES

Casino Group stocks C’est qui
le patron ?! (Who’s the boss?!)
products, named after an
initiative that gives
consumers a say in product
specifications, and
guarantees a fair price for
producers. All Monoprix
branded milk is now produced
in accordance with the criteria
of the label, which is displayed
on the packaging.

CASINO GROUP

2017 ANNUAL REPORT
2017 ANNUAL REPORT

— To earn the “free of pesticide residues” label,
carrots are subject to phytosanitary controls by
Phytocontrol, an independent laboratory where
state-of-the-art analyses are used to test for the
presence of nearly 500 molecules.

Choosing the best
produce

In response to consumer concerns, the Casino private label has
been supporting new production methods since 2015, selling
fruit and vegetables that are free of pesticide residues under
the Agriplus label. Spotlight on fresh and frozen carrots grown
in France.

— A blind tasting session at the sensory analysis laboratory
located in Vitry-sur-Seine. Several times a week, volunteer
employees taste and rate products sold under the Casino,
Leader Price, Franprix and Monoprix private labels.

— Fresh carrots without
pesticide residues on Casino
Supermarket stalls bear the
Agriplus label, which
guarantees innovative farming
practices that are good for
the environment, producers
and consumers.

— Grown in the Landes and
Brittany, carrots are produced
using alternative farming
methods: selection of disease-
resistant seeds, choice of
farming land, use of essential
oils, mechanical weeding, etc.

— The Casino brand
promotes its products in a
light-hearted comedy
advertising campaign
highlighting its
commitment to nutrition,
the environment and
animal welfare.

CASINO GROUP

2017 ANNUAL REPORT

Developing organic
food and responsible
labels

Reassuring and environmentally friendly, organic products
occupy an increasingly large space on the shelves in the
Group’s stores. Casino is now going one step further by creating
new brands dedicated to responsible consumption.

B ecause they provide a clear

and reassuring response to cus-
tomer demand for food safety,
specially labelled and responsible
products are increasingly becoming
a staple consumer requirement. The
Group’s brands are supporting this
change: the number of organic and eco-
logical products sold in stores increased
by 26% in 2017, with a particular focus
on local sourcing. They are also part of a
proactive policy that regularly encou-
rages promotional offers, such as Pão de
Açúcar’s “Organic Thursdays”.

To make organic products available to
all, the Group is developing its own range
of private-label products sourced from
organic farming in all of its store for-
mats. Long committed to organic pro-
duce and farming, the Casino, Monoprix
and Franprix brands have led the way.
Now it is the turn of Leader Price to
press ahead with the rollout of its
organic range. Lastly, all-organic scoop-
and-weigh counters are being installed
i n a g row i ng n u m ber of M on o pr i x
and Franprix stores, and are also being
introduced in all Casino banners and in

Leader Price stores that have adopted
the new Next concept.

DEDICATED BANNERS

As its all-organic Naturalia banner conti-
nues to go from strength to strength,
the Group is going a step further with the
creation of new banners dedicated to
responsible consumption. In Paris, four
Franprix Noé stores have opened, pro-
posing either an organic offering or with
an added touch: specially labelled, fair
trade products that are healthy and
tasty, fruit and vegetables and herbs and
plants sourced locally, and an unprece-
dented bulk offering including yoghurt,
flour, wine, spirits, household products,
soap and shampoo.

After testing the concept in Uruguay and
Argentina, Éxito launched in Colombia
its first Carulla FreshMarket store, dedi-
cated to responsible consumption, with
an offering backed by local and organic
produce.
—

26,700

eco-labelled products
are marketed by the
Group’s banners

2,400

private-label food
products are sourced
through organic
farming

Carulla creates
its FreshMarket

FreshMarket is a responsible store
concept that showcases quality
products and gives reassurance
about their provenance.

Éxito has opened the first Carulla
FreshMarket store in Bogotá. In a well-
ordered and understated setting, the
banner offers 3,000 items ranging from
fresh produce, most of which is sourced
locally, to organic, vegan and gluten-
free products, including more than
120 items in bulk, and plants for home

vegetable gardens. On the traditional
counters, food is given centre stage,
with a traditional bakery, a cheese
counter and a meat counter, which is
the exclusive provider of meat from
sustainable livestock breeding in
Colombia, certified by international
NGO Rainforest Alliance. The teams also
prepare the first pizzas to be cooked in
a wood-fired oven in a supermarket.
—

IN OUR STORES

The large amount of shelf space
devoted to organic products is a
key feature of “Next”, the new
Leader Price store concept with
more than 800 different items.
Leader Price has doubled the size
of its organic product range in
just a year to 170 items.

CASINO GROUP

2017 ANNUAL REPORT

Respecting
animal welfare

The Group was quick to make respect for animal welfare a
strong focus of its commitment as a responsible retailer.
It took its approach even further in 2017, drawing largely
on a partnership with three expert NGOs.

W hen creating the Terre et

Saveurs brand nearly 20
years ago, Casino decided
from the outset to incorporate animal
welfare into its livestock standards in
order to raise awareness and support
suppliers of its private-label products.
Initially motivated by the search for
quality, this requirement has taken on
increasing importance over the years,
bolstered by societal awareness. Since
2013, Casino has been the only private
label to carry out veterinary audits that
take animal welfare in slaughterhouses
into account.

The same year, the Group was the first
French retailer to stop selling cage-laid
eggs under its Monoprix brand, replacing
them with free range or organic eggs. In
2016, Monoprix ceased stocking eggs
from caged hens across all brands. In
turn, stores trading under the Franprix,
Leader Price and Casino banners have
made the commitment to stop selling all
eggs from caged hens in their stores by
2020. In Brazil, despite a very different

production chain, GPA has decided to
make this commitment for its private
labels by 2025.

NGO EXPERTISE

To take its progress strategy further, the
Group has drawn on the expertise of
animal rights NGOs, which play an
important role in raising awareness. The
signing of a partnership agreement with
Fondation Droit Animal, Ethique et
Sciences, CIWF France and OABA is a
par t of this approach. Aimed at
i d e n t i f y i n g p r i o r i t y c h a l l e n g e s ,
constructing progress plans, and
ultimately developing a system of animal
welfare labels to inform consumers in
France, the agreement will give even
further impetus to aligning the Group
more closely with societal expectations.
—

— Naturalia Vegan’s four stores
offer a vast selection of 2,000
products not derived from animals
or their exploitation,
and which are not tested
on them either.

— The creation of Naturalia Vegan, the first-ever all-vegan organic
banner in France reflects our conviction that vegan products are
an increasingly core expectation among consumers.

IN OUR STORES

The banners’ private
labels have responded
to a growing call for
alternatives to meat
products with the
creation of specific
ranges, such as
Le Végétal at Monoprix
and Veggie! at Casino.

the retail sector to conduct audits of
this type. At the same time, we have
developed an antibiotic-free poultry-
breeding circuit that supplies our
Luché unit in the Sarthe department
with chickens.

What is the impact on
animal welfare?
Raising animals without the use of
antibiotics means improving their
living conditions and being even more
attentive to their health. In the same
way, Casino has developed a new
circuit of heifers raised with their
mother, who spend part of the year
grazing, and whose time spent in
transit is limited as much as possible
by ensuring that they are slaughtered
close to the farm.
—

3 QUESTIONS FOR
Claudine Quentel-Savoyat
Quality manager for fresh processed
products at Casino
—
How do you take into account
consumers’ increasing awareness
of animal welfare?
Our customers are becoming more
aware and responsible in their
food choices. This is especially
true of meat today. In response,
we have introduced new specific
requirements for slaughterhouses
and implemented tighter controls.

What do these controls involve?
Audits conducted by vets ensure that
operations are conducted with a
minimum of suffering and with the
greatest respect for the animal.
Today, we are still the only player in

By 2020, all of the Group’s French
brands will have ceased to stock
cage-laid eggs.

CASINO GROUP

2017 ANNUAL REPORT

“I need to shop
conveniently
in-store and
on the web”

Anabela, Paris

The Group’s urban banners are playing the innovation card to introduce their
customers to a new omni-channel food retailing model.

CASINO GROUP

2017 ANNUAL REPORT

Simplifying life
in stores

To make shopping in stores more convenient, banners are
adopting innovative solutions inspired by the best practices
found on the web. They are inventing new uses and getting
customers involved in their digital transformation.

W ith its multi-brand and

multi-format network of
more than 12,200 stores,
the Casino Group has the assets it
needs to invent the retail experience of
tomorrow. To achieve this, its banners
combine physical proximity and digital
innovation, with one clear objective: to
offer customers a new shopping experi-
ence that is both seamless and free of
constraints. Special focus has been
placed on the checkout process, which
is often the main source of irritation.
Numerous innovative measures have
been undertaken in this area, largely
through the development of the banners’
mobile applications.

In Brazil, the 5.1 million customer mem-
bers of the Pão de Açúcar Mais pro-
gramme can access the Caixa Express
service on the loyalty app, which means
they can book a specific slot to avoid
waiting at the checkout, while they take
advantage of the free wifi available in all
of the stores. In France, customers can
use the Casino Max app to shorten their
time at the checkout by paying for
their purchases via their mobile phone.

And in the Monop’ stores in Paris, the
Monop’easy app even allows customers
to scan products themselves with their
smartphone and pay directly – without
going through the checkout at all.

INNOVATING FOR ALL
CUSTOMERS

New in-store services also allow custom-
ers to leave their shopping cart and pay
on delivery at home, while the click & col-
lect option, where customers place their
order online and then pick up their gro-
ceries at their local store, is offered for
example at Monoprix. The challenge for
retailers is to invent solutions that offer
urbanites a seamless process perfectly
attuned with everyone’s needs.

And that’s not forgetting the night owls,
who are the focus of Franprix’s latest
experiment: small urban stores in Paris
are now open around the clock, and cus-
tomers scan their purchases themselves
at the checkout after 9pm.
—

Simplicity is the key to the innovative
new services now available in
Monoprix stores.

— The Casino Max app combines a
virtual loyalty card, personalised
promotional offers and mobile
payment solutions in a single click.

— Franprix has introduced roving cashiers to
avoid queues during peak hours.

France: new
payment solutions

The banners are working to
simplify or even do away with the
checkout. Four types of solutions
are available, at different stages
of the customer experience.

1. ON-SHELF SCANNING — Using

the Monop’easy app, customers
scan the labels of the products they
select on the shelf, and pay using the
built-in payment function, without
needing to go through the checkout.

2. PAYMENT BY SMARTPHONE —

This is now possible thanks to the
Casino Max app: when paying for
purchases at the checkout, customers

generate a barcode on their phone,
which is scanned by the person at the
checkout. Payment is made directly via
the app.

3. ROVING CASHIERS IN STORES

— A t p e a k t i m e s , F r a n p r i x
mobilises its roving cashiers: employees
equipped with a “ring” scanner and a
payment terminal provide customers
with the option to pay without queuing.

4. HOME PAYMENT — Monoprix

and Franprix urban retail banners
allow customers to leave their shopping
cart in the store, and to pay when their
groceries are delivered.
—

CASINO GROUP

— Cdiscount’s storage capacity increased by 70% in 2017,
2017 ANNUAL REPORT
with warehouse space now totalling 500,000 square metres,
split between three key regions in France, namely Bordeaux,
Paris and Lyon.

Tirelessly innovating
with Cdiscount

A leader in e-commerce in France, Cdiscount is stepping up
its technological and commercial transformation to provide
its customers with optimal quality of service. The result is
exponential growth in the product line-up, a more seamless
shopping experience and faster delivery.

A t Cdiscount, 2017 was shaped

by major changes aimed at
improving customer satis-
faction. The first big change was the
expansion of the offering across all
product categories. The number of
items available has increased fourfold,
extending into the worlds of furniture,
decoration, toys and leisure, and the
number of products available on the
marketplace has increased by 80%.

This rapid growth in itself represents a
new challenge, that of offering custom-
e rs t h e m o s t s e a m l e s s s h o p p i n g
experience and the most appropriate
products among the 37 million offers on
the website. In 2017, the Cdiscount
teams completely overhauled the mobile
experience, which accounts for 60% of
traffic. Emphasis was also placed on
data science and algorithms enabling
the platform to recommend the most
suitable products throughout the cus-
tomer’s browsing experience. The result
is ergonomic navigation, synchronised
between PC and smartphone for seam-
less shopping.

THE OMNI-CHANNEL EXPERIENCE

Creating a new shopping experience
for customers is an aim shared by the
Cdiscount showrooms now open in
several Géant Casino hypermarkets. The
most popular items of furniture and
equipment are staged in home-like
settings, with a digital system providing
access to millions of items on the
website, with specialised salespeople
available to offer advice.

The latest feature of Cdiscount’s trans-
formation is the shortening of customer
delivery times. Extended warehouse
surface areas and partnerships with
start-ups have made it possible to
enhance storage capacity, speed of
execution and the range of services.
This has resulted in a threefold increase
in the number of items eligible for the
unlimited express delivery offered to
Cdiscount subscribers and the launch
of exclusive innovative delivery services
on the same day, on Sundays, or the
delivery of large parcels at arranged
times, geolocated in real time.
—

946

million visits to the
Cdiscount website in
2017, an increase of
12%

the Cdiscount app
is rated 4.5/5
on the App Store

million products
available

— 17% of sales on the
marketplace are managed
internally from A to Z, thanks
to the “fulfilment” service
offered to vendors, which
gives them access to
Cdiscount’s marketing and
logistics expertise.

— Shelf-climbing skypod
robots developed by
start-up Exotec make
it possible to stock
warehouses more compactly,
resulting in a fivefold
increase in productivity and
improving the teams’
working conditions.

— In keeping with its desire
to broaden access to a
maximum of everyday
services, in 2017 the site
launched Cdiscount Énergie,
the cheapest electricity
offer on the market, as well
as Coup de Pouce, an
instant online credit
approval solution.

CASINO GROUP

drive-through Casino
Supermarkets were
opened in 2017

+25%

growth in
food sales
on monoprix.fr
in 2017

minutes will suffice
from 2020 to prepare
an order containing
dozens of articles
thanks to the Ocado
solution

Becoming a leading
food e-tailer

The exclusive partnership with UK food e-commerce specialist
Ocado will help the Group enhance the omni-channel
experience offered by its banners. It will also give it a decisive
lead by combining digitisation and profitability.

S ince 2000 and the acquisition

of Cdiscount, Casino’s aggres-
sive e-commerce strategy has
consistently paid off. By leveraging syn-
ergies between bricks-and-mortar and
digital distribution channels, Cdiscount
has become the French leader in non-
food e-tailing. At the same time, the
Group’s banners have been quick to
seize the potential of online food retail-
ing, and particularly the importance of
last-mile logistics, mobilising their inno-
vation capabilities to develop ideas
tailored to their specific customer base.

Franprix took the lead by launching
home delivery within 40 minutes, via its
dedicated app. In Colombia, Éxito called
on start-up Rappi to provide a delivery
offering in under 35 minutes in six major
cities.

ECONOMIC PERFORMANCE

Monoprix stands out as an omni-chan-
nel leader in urban retailing. The com-
mercial partnership signed with Amazon
makes Monoprix France’s first major

retailer to offer its food products to
Amazon Prime subscribers, with delivery
within two hours. The new service will be
available before the end of 2018. In early
2020, the banner will also be the first in
the Group to benefit from the exclusive
partnership with Ocado, a pure player and
recognised expert in food e-commerce,
which boasts a 17-year track record on
the UK market.

Combining technological and economic
performance, Ocado’s solution is based
on an automated order preparation tool
and real-time analysis of customer data.
Specifically, the Group will operate a
warehouse in Greater Paris, which Ocado
will equip with its storage cells and han-
dling robots: it will only take six minutes
to prepare orders containing dozens of
products placed online. The service will
give a real boost to the transformation
initiated by the banners to introduce
their customers to a new model in food
retailing.
—

2017 ANNUAL REPORT

— In the warehouse, the Ocado
solution uses robots to select
the products kept in the
storage cells, and route them
to the teams preparing the
orders.

— With 292 drive-through outlets in its integrated stores and the
rollout of home delivery services, the Group offers its customers an
efficient online shopping solution on casinodrive.fr.

3 QUESTIONS FOR
Julie Badiche
Executive Director of the food
e-commerce solution
—

What are the major challenges in
food e-commerce today?
Today, while it is unanimously seen
as a very promising new market, food
e-commerce is far from meeting its
full potential. All players are facing
the same difficulties: you have to
have a large enough offering and a
reliable and efficient delivery service.
And above all, you need a profitable
business model.

What makes the Group’s solution
more efficient?
With the expertise of Ocado, which is
the undisputed leader in this field, the
Group will be able to offer its
Plus
customers no fewer than 50,000
items, with optimal quality of service,
and home delivery the next morning.
The range of articles available and
the level of performance are both
unprecedented in France.

How can the Group keep a step
ahead?
Our internal teams will operate the
new food e-commerce solution for
Monoprix at first. We will be able to
adjust the Ocado solution
continuously to align it with the
specific features of our markets, the
new expectations of our customers
and the DNA of our banners.
—

ONLINE

Plus

The Franprix app allows
customers in Greater
Paris and in Lyon to
access a wide selection
of 3,500 food items
ranging from groceries
and fruit and vegetables
to cleaning products and
health and beauty
articles. And you can get
a delivery within
30 to 40 minutes.

CASINO GROUP

2017 ANNUAL REPORT

monoprix.fr

T H A T E V E N I N G OR THE NEXT DAY

One step ahead
for shopping 3.0

exito.com

A pioneer in food e-commerce, the Group has built a powerful logistics system around
its vast network of bricks-and-mortar stores, and is innovating to further reduce
delivery times. In this way, it is playing a leadership role in the new, customer-focused
food retailing landscape.

A M E - DAY DELIVE

HOME DELIVERY

CASINO DRIVE

CLICK & COLLECT

SHOP&GO

paodeacucar.com

extra.com.br

Online grocery shopping
for all

Ever faster express
delivery

Big shopping
for next-day delivery

One of the year’s major
innovations, the new mobile
apps launched by the banners
in 2017 were synonymous with
new opportunities for
customers, who can now order
their shopping online via their
smartphone or PC in a
majority of stores and enjoy
personalised services.

The density of the store
network in big cities allows
customers to pick up their
shopping within one or two
hours – or be delivered in less
than 40 minutes through the
solutions implemented with
partners specialised in
last-mile logistics.

Around major cities, the
banners are putting together a
comprehensive logistics
system dedicated to food
e-commerce to make vast
product line-ups available to
customers, complete with
home delivery the same
evening or the next day.

From drive-through
to shop & go

Cdiscount express
in Greater Paris

Ocado’s state-of-
the-art technology

The banners are using new
services to blur the line
between bricks-and-mortar
and online retailing: select the
items yourself then simply
leave your shopping cart to be
delivered within an hour, order
online and pick up your
shopping in store, on foot or by
car. It’s all up to the customer.

Thanks to the synergies
created with Géant Casino
hypermarkets and Casino
Supermarkets, subscribers to
Cdiscount’s unlimited delivery
option in Greater Paris benefit
from the free Cdiscount
express offer: a choice of more
than 10,000 items and home
delivery within 90 minutes or
at a pre-arranged time.

Currently under construction in
Greater Paris, the future
warehouse to be operated by
the Group with state-of-the-
art technology by e-commerce
specialist Ocado will have the
capacity to prepare orders in
6 minutes in 2020. Monoprix.fr
customers will be the first to
benefit.

CASINO GROUP

2017 ANNUAL REPORT

“I like to shop
where
there is a
neighbourhood
feel”

Christine, Orléans

The friendly welcome, traditional values and know-how of food professionals
are back on centre stage in our stores.

CASINO GROUP

2017 ANNUAL REPORT

Forging ties
with our customers

Retailing is above all about human contact. Day after day,
our banners and their teams work to forge bonds with their
customers, through simple ideas, services rendered and
shared smiles.

home deliveries to pick up used batteries
and light bulbs, and to collect food
products to donate to charities. Franprix
lends trolley bags and umbrellas, and
gives away fresh herbs to customers in
its Noé stores. The banner is even testing
a service known as “Franprix garde vos
clés” (Franprix looks after your keys), in
partnership with Oh my Keys, a website
developed by La Poste, in Lyon.
—

W ith a strong presence in

French rural communities,
Vival stores play a key role
in creating social bonds, going well
beyond their role as local grocers.
They have become a forum of exchange
for customers, who can pick up a
newspaper, some bread and all the
invaluable services they need on a daily
basis. New services were added in
2017, ranging from photo developing,
money transfers with Western Union,
Crédit Agricole’s Points Verts services
and La Poste collection points to the
VivalLivres exchange libraries.

PROVIDING SERVICES

Relationships of this type are also
becoming more important in urban
settings, where consumers are looking
for connections and human contact. The
banners have taken a wide range of
initiatives to help people on a daily basis,
often for free. Examples include Pão de
Açúcar in Brazil, which has opened
spaces where customers can leave their
pets while they shop. Monoprix uses

Le Petit Casino
gets back to basics
A tribute to the banner’s
historic beginnings and a quest
to regain the feel of a shopping
street.

Behind a traditional bottle-green
façade with red and white blinds, the
new stores of Casino’s well-established
convenience banner have gone back to
the basics to recreate the spirit of a
shopping street. Already rolled out
in more than a hundred stores, the
Le Petit Casino concept focuses on
re-establishing a human connection

with customers by giving pride of
place to the talent and personality of
shopkeepers.
The counter is the focal point of the
store, like that of a bistro: customers
can settle in at the bar to drink a coffee,
a glass of freshly squeezed orange juice
or a beer. They can also have a meal. The
return of service counters, with cheese

and meat cut directly for customers,
not to mention roast chickens, also help
to strengthen links, as do practical
everyday services such as dry-cleaning
and free phone charging.
—

IN OUR STORES

Never short of inspiration,
Monoprix uses its
Facebook fans – its page
boasts more than a
million – to choose the
best puns to use on its
product packaging.

and sparkling tone. It’s one of our
trademarks. For Monoprix, humour
has to be cool, light and never
controversial. Its jokes are the sort
you could share with your friends. Its
aim is simply to bring a positive note
to everyday life, to put a smile on our
customers’ faces.

And apart from the packaging?
It’s a tone that is used throughout the
customer journey: at points of sale,
on bags and on all advertising. But it
also features on social media,
where we extend the relationship by
inviting ourselves into people’s daily
lives – with our monojis for instance!
This light-heartedness is what
nurtures the contact we have with
our customers.
—

3 QUESTIONS FOR
Florence Chaffiotte

Marketing Manager at Monoprix
—

Why does Monoprix use humour
with its customers?
Monoprix is a banner rooted in the
everyday lives of city dwellers. We
wanted to make everyday life less
mundane by adding a touch of light-
relief, a bit of humour. It’s a way of
maintaining a connection and of
relating to our customers.

What kind of humour does Monoprix
play on?
At Monoprix, we’ve always been fans
of word play, with a happy, upbeat

Modelled on a beehive,
the VivalBooks box is an exchange
library for people wishing to share
their reads.

CASINO GROUP

2017 ANNUAL REPORT
2017 ANNUAL REPORT

Transmitting our
know-how

Doing our job well means giving pride of place to the people
who work with our products. A guided tour in pictures of our
internal training schools, where traditional know-how
is passed on.

— The Casino supermarket
training departments
provide continuous training
for teams. The aim is to
sharpen the expertise
of food professionals
and cultivate a taste for
the product, from young
recruits to managers.

— In Colombia,
Carulla stores have a
specialised internal
school to train people
working at its new
traditional bakery
counters.

— Adjoining a shop,
the Vival Business Training School
in Saint-Étienne provides the banner’s
franchisees and employees with
practical and theoretical training.

— Know-how and
expertise are the key
focus of the Franprix
Académie Mandarine
training courses, which
were given to more than
1,600 employees
in 2017.

— In Paris, Monoprix is
setting up a laboratory
to provide quality training
for its future butchers,
in partnership with the
European Centre for
Culinary Professions.

CASINO GROUP

2017 ANNUAL REPORT

Caring about
people

Safeguarding the well-being of our customers means
looking after the well-being of our teams. And vice versa.
That is why the Group seeks to create the conditions
needed to welcome, encourage and listen to employees.

7,400

people are employed
on work-study
programmes in the
Group’s various
entities

39%

of the Group’s
employees are
under 30

4,500

managers have been
trained in caring
management
practices

W herever it operates, the

G ro u p h a s m a d e we l l -
being at work a priority.
Efforts start with the employee’s very
first steps in the company. The company
has an active policy geared towards
facilitating the integration of young
people. It has made a strong commit-
ment to combined work-study pro-
grammes as a path to professional
excellence. Now that GPA in Brazil and
Libertad in Argentina have set up dedi-
cated support programmes, the Group’s
various entities employ more than 7,400
apprentices and work-study trainees.

In France, Casino holds an annual con-
test to promote talent and the spirit of
initiative among its trainees. The prizes
are awarded on Apprenticeship Day. For
the first time this year, a Benevolent
Tutor’s Trophy was awarded, which ties in
with the caring management awareness
initiative conducted since 2014.

FREEDOM OF ACTION AND OPTIMISM

The Group contributes to the well-being
of its employees by encouraging a caring
approach to managerial responsibility.
More than 4,500 managers, including
senior management teams, have already
been trained in this unprecedented
approach designed to foster meaning
and encourage freedom of action and
optimism.

Eight caring management levers are
now on the agenda of management
training and new employee integration
courses. At the same time, a network of
one thousand “work-place well-being
experts” has been established in France:
they form a genuine human chain,
listening to employees who may be in
difficulty and directing them to people
who can help.
—

Caring Management
Awards

An initiative designed to advocate
and spread best management
practices

—

Held for the first time in 2017, the Caring
Management Awards showcase initiatives
designed and implemented by managers to ensure
the well-being and motivation of employees. The
aim is to reinforce appropriation of the caring
management levers and to help share good
practices. The Group’s Executive Committee
selected 16 prize-winners from among the
70 short-listed projects. The winning ideas
included warm-up meetings implemented by a
team at the head office to encourage sharing and
initiative: they consist in regular Monday meet-ups
in an informal atmosphere to take stock of
challenges, and to share out tasks and deadlines.
Another winning project, this time in a Franprix
store, promotes the idea of emulation: each of the
members of the team in turn leads a half-day
promotional event. Employees select the most
successful project, which then receives an award.
—

CASINO GROUP

2017 ANNUAL REPORT

“For me,
shopping
is also about
making a social
statement”

Diego, Carthagena

The new Carulla FreshMarket stores educate customers
about responsible consumer behaviour.

CASINO GROUP

2017 ANNUAL REPORT

Being a responsible
employer

For over 25 years, Casino has been actively committed
to preventing discrimination, promoting diversity and
fostering a sense of community. Today, the Group is
recognised as an assertive advocate of gender equality.

+4.6%

increase in the
number of employees
with disabilities at
the Group between
2016 and 2017

32%

of executive committee
members at Éxito
are women

354

days of paid leave
given by employees
to caregivers, with
the Group
contributing an
additional 200 days

B ecause it believes that diversity

contributes to its business
performance, the Casino Group
has been active since 1993 in combating
all forms of discrimination – against
race, disability, gender, age, sexual
orientation, religion or appearance.
Casino leads a proactive policy designed
to encourage the hiring of applicants
from a wide range of backgrounds,
foster equal opportunity at every level
and promote social cohesion. Its policy
also aims to heighten staff awareness
to fight stereotypes, as they are the
underlying cause of discrimination. To
this end, guides are disseminated to help
people better understand such topics as
sexual orientation, everyday sexism and
disability in the workplace.

The results show that the Group has
delivered on its commitments. The
number of employees with disabilities
has increased by nearly 5%; 39% of
em p l oyees a re u n d er 3 0 ; a n d t h e
percentage of women managers has
risen at all entities from 35% in 2015 to
38% in 2017. Casino was even the first

retailer to obtain France’s Diversity
Label, and in 2013 the Workplace
Equality Label.

ADVANCING GENDER EQUALITY

H a v i n g e n d o r s e d t h e Wo m e n ’s
Empowerment Principles backed by
UN Women, and the Diversity Manifesto
of the Casino women’s network “C’ avec
elles”, the Group furthers gender equality
by implementing concrete measures,
including training on sexism, initiatives
for equal pay and support in career
management.
Additionally, all of its French subsidiaries
took part in the Orange Days campaign
in 2017 to end violence against women.
This action was praised by the French
Minister of State for Gender Equality, who
awarded Franprix the title of “Orange Day
Champion”.
—

— A culture of social innovation is spreading at GPA. As part of Diversity Week, an event
organised for the first time in 2017, GPA signed the Women’s Empowerment Principles, an
initiative of UN Women, and the 10 business commitments for the promotion of LGBT rights.

SOCIAL RESPONSIBILITY

Employees working for
the common good

—

As a natural extension of the skills volunteering programme launched
in 2016 by the Casino Corporate Foundation, the Social Responsibility
Awards were organised for the first time this year in partnership with
the Institut de l’Engagement to recognise socially responsible
initiatives taken by employees. The Group also supports the “Help the
caregivers” programme, a system which lets employees donate paid
leave to other employees who care for ill or dependent loved ones. In
2017, 354 days of paid leave were given by employees, and the Group
contributed an additional 200 days. Determined to encourage all
facets of social responsibility, the Group is also strengthening its
support for its employees who are military reservists, with new
measures to boost volunteering.
—

3 QUESTIONS FOR
Marie Even

Corporate Secretary of Cdiscount
—

Why does Cdiscount promote
gender equality?
We are engaged, as is the entire
Group, in fighting all forms of
discrimination. Cdiscount is a leader
in the digital industry, an ecosystem
that tends to be dominated by
men, and with huge potential for a
bright economic future. We have
a responsibility to make sure that
women play a role and fully benefit
from the the industry’s rapid
development. It’s an issue of equality
but also of company performance.

What major advances have been
made this year?
In 2017, 42% of managers hired on
permanent contracts were women,
and almost 60% of employees
promoted to management positions
were women. These figures reflect the
proactive policy led by the Human
Resources Department and the
commitment of our employees.

And where do you go from here?
Cdiscount is continuing to make
progress on parental rights for both
women and men, and has pledged to
achieve equal representation on its
management committee by 2020.
—

CASINO GROUP
CASINO GROUP

2017 ANNUAL REPORT
2017 ANNUAL REPORT

Reducing our
footprint

In response to the challenge of climate change, the Group has
developed an environmental programme that aims to reduce
its consumption of natural resources, combat pollution and raw
materials waste, and protect biodiversity and natural habitats.

store roofs in Goiânia, the largest urban
solar power farm in Brazil, covers the
energy consumption needs of its lighting
and air conditioning systems.

Reducing its environmental footprint
also involves recovering waste generated
by stores and collecting recyclables
from customers, while supporting local
recycling networks, and combating
food waste. The banners team up with
organisations working to support the
solidarity economy, such as Phénix for
Franprix and Eqosphère for Leader Price,
which collect products with short expiry
dates to donate them to local charity
o r g a n i s a t i o n s . B a n n e r s a r e a l s o
improving their processes to limit
b r e a ka g e a n d r e g u l a r l y e d u c a te
employees and customers about waste.
—

T h e G ro u p’s e nv i ro n m e n ta l

commitments are firmly rooted
in its practices: its banners
have fully integrated a low-carbon
strategy by reducing greenhouse gas
emissions related to their operations. For
example, to limit refrigerant leakage,
they are taking steps to improve the air-
tightness of existing equipment and
install new equipment that uses natural
refrigerants. At the same time, the
Group is continuing to upgrade its
transport fleet, shifting towards vehicles
powered by more eco-friendly fuel, e.g.,
liquefied natural gas (LNG) and biome-
thane. Alternative methods of transport
are also encouraged, such as Franprix’s
use of river transport.

ENERGY EFFICIENCY

One of the Group’s priorities is to reduce
electricity consumption at its stores.
Measures include installing doors on
refrigeration units, using low-energy
lighting and air conditioning systems,
and building solar power systems.
The new photovoltaic generator installed
across 8,000 square metres of Assaí

+8%

renewable electricity
produced

-2%

electricity
consumption in
stores in 2017

58
58

— Since 2007, the Casino Group has drawn on the expertise
of its subsidiary GreenYellow to install 65 solar power
generation units on roofs and solar canopies at car parks,
and to operate 15 self-consumption systems.

Combating
deforestation

The Group’s Latin American
banners implement numerous
initiatives to slow deforestation
and conserve biodiversity.
Substantial progress was made
in 2017.

1. BEEF SOURCING POLICY — To

combat deforestation in the
Amazon due to cattle ranching, GPA
engages in sustainable beef sourcing,
a policy developed in partnership
with the NGO The Forest Trust. A
c o m p r e h e n s i ve a u d i t o f i t s b e e f
suppliers was conducted.

2. C E R T I F I E D S U S TA I N A B L E

FA R M I N G — C a r u l l a s to r e s
became the exclusive distributors of
meat from the first livestock farm in
Colombia to be certified as sustainable.
The Rainforest Alliance Certified seal is
awarded to promote the transformation
of land-use practices that protect
biodiversity and local populations.

3. CERRADO MANIFESTO — The

Casino Group signed a manifesto
to protect Brazil’s Cerrado region, one of
the world’s richest ecosystems with over
160,000 plant and animal species.
—

— In signing the Cerrado Manifesto, the Group
has pledged to protect the native vegetation
of this threatened region of Brazil.

IN OUR STORES

After making the switch with
eggs, baguettes and milk,
Monoprix continues to
substitute conventional
products with sustainable
alternatives without raising
the price. Now its stores sell
only one type of banana, an
organic variety with Max
Havelaar fair trade
certification.

59
59

CASINO GROUP

+29%

increase in food
donations by Group
stores and
warehouses,
representing a total
of 41 million meals

10,000

GPA staff volunteers
took part in the Dia
de Solidariedade in
2017

Helping others
Helping others

In touch with customers and their needs, the banners
contribute to the development of regions and the
well-being of their communities by helping the most
vulnerable populations. The Group’s four foundations
offer a framework for these initiatives, which primarily
focus on supporting children.

F ood is central to Casino Group’s

corporate purpose. A growing
number of its banners organise
daily food drives to collect perishables
for donation to local charities. They par-
ticipate on a broad scale in major
nationwide campaigns with customers
to s u p p or t fo o d b a n ks i n Fra n c e,
Colombia, Argentina, and in Brazil, where
paodeacucar.com customers can also
donate food baskets to the non-profit
organisation Amigos do Bem.

Banners also create solidarity pro-
grammes to support local organisations,
namely the Round Up campaign, a
micro-donation system rolled out in
France and Brazil. In 2017, employees of
participating GPA stores could choose
which organisations would receive the
€50,000 in donations raised. And in
Colombia, 611,000 Christmas dinners
were served to children as part of an
Éxito Foundation initiative.

HELPING YOUNG PEOPLE

As a major employer in Colombia, Brazil
and France, the Group has made a
commitment to help underprivileged
youths to enter the labour market. In
Brazil, Instituto GPA is co-financing the
Núcleo Avançado em Tecnologia de
Alimentos (NATA) centre, which provides
training in baked and dairy goods, and
supports the merit-based scholarship
programme set up by the Getulio Vargas
Foundation.

In France, the Group has forged many
partnerships to help young people to join
the workforce, including with: Sport dans
la Ville; Le Réseau, a network that
offers career guidance for secondary
school students; and Nos Quartiers ont
d u Ta l e n t , w h i c h s p o n s o rs yo u n g
entrepreneurs. Casino also promotes
careers in civic engagement with the
Institut de l’Engagement. Lastly, the
Group partnered with the City of Paris in
the “1000 parrains pour 1000 emplois”
mentorship programme, mobilising 60 of
its employees to volunteer.
—

— The Casino Corporate Foundation works to prevent the cultural
exclusion of children by supporting education through theatre with
2017 ANNUAL REPORT
its “Artistes à l’école” programme, which has provided 2,000
children with backing for a quality two-year artistic education
curriculum.

— Instituto GPA actively
promotes education for
disadvantaged children.
In 15 years, on top of its
support in professional
training, it has made it
possible for 15,500 young
people to participate in the
“Musica & Orquestra” music
training programme and
perform internationally.

— The Monoprix Foundation supports projects that foster a new spirit of
urban solidarity, encouraging access to food and staples and fighting
solitude in cities. The “Intergénéreux” programme of Unis Cité is dedicated
to protecting the elderly from social isolation.

— The Éxito Foundation
fights child malnutrition
through the “Gen Cero”
programme, which
coordinates public and
private initiatives to eliminate
child malnutrition by 2030.
In 2017, more than 50,000
Colombian children received
assistance.

CASINO GROUP

2017 ANNUAL REPORT

Distinctive
banners
that are close
to their
customers

—Listening to our
customers, a culture
that enables banners in
all formats to meet
market expectations.

—Continuously
enhancing the quality
of our food products, a
commitment shared by
the value banners.

—Making the shift
from “place to shop”
to “hang-out spot”, a
key objective for the
Group’s qualitative
banners.

CASINO GROUP

2017 ANNUAL REPORT

France

DISCOUNT
BANNERS

CONVENIENCE
BANNERS

QUALITATIVE
BANNERS

E-COMMERCE

RESTAURANTS

France

An extensive network of renowned, long-standing banners that are innovative and
complementary, designed to support changing consumer habits every day.

9,221 75,449

stores

employees

Sales by type of banner

40%

38%

22%

qualitative

discount

convenience

Indian Ocean

DISCOUNT
BANNERS

CONVENIENCE
BANNERS

E-COMMERCE

CASINO GROUP

FRANCE

“Delight in this day!”

Supermarkets in both rural areas and large urban areas

FRANCE

Convenience banner in large cities

2017 ANNUAL REPORT

10,271 EMPLOYEES

433 OUTLETS

AVERAGE RETAIL SPACE
OF 1,700 SQUARE METRES

3,537 EMPLOYEES

893 OUTLETS

AVERAGE RETAIL SPACE
OF 400 SQUARE METRES

Retail offering

In 2017

Retail offering

In 2017

Casino Supermarchés is a leading food retailer, with an
offering that covers every need, from the basic day-to-day to
the exceptional. The banner emphasises the quality of its fresh
produce, the know-how of its traditional food services
professionals and friendliness towards its customers in stores
that are completely reshaping the shopping experience.

Roll-out of the store concept showcasing the revitalised
offering.
Focus on market areas, continued installation of traditional
food stands and redeployment of bread-making services with
an innovative “home-made bread” concept.
Development of food service expertise by training teams in
department-schools at top stores.
Assortment of fresh produce and private-label products
totally overhauled and organic product range expanded.

Operating in Greater Paris and in large cities in the Rhône
Valley and Mediterranean basin, Franprix is the Group's main
convenience banner for urban areas. A point of sale now
evolving into a lifestyle hub with its new store concept,
Franprix is part of daily life for urban dwellers. The banner
features a full range of food products that meet the everyday
expectations of people living in the city who want quality,
innovation, authenticity and taste (bulk products, fresh-
squeezed fruit juice, hot snacks, etc.), and neighbourhood
services (bag and umbrella lending, notice board, etc.).

Launch of the Franprix app, which combines orders plus
delivery in less than 40 minutes, a GPS locator, virtual loyalty
card and personalised promotions.
The first Franprix Noé stores opened in Paris, a concept lab to
test sustainable consumption.
Additional partnerships with FoodTech and quality
commitment programme for the Franprix brand.
Innovation in services: payment with the Lydia app, “Leave
without paying” service, postal services, and more.
Six awards won, including the award from LSA magazine for
the year’s top cross-channel company, and the gold award
for the best connected retailer at the “La Nuit du Commerce
Connecté” event.

CASINO GROUP

2017 ANNUAL REPORT

“Low prices are huge at Géant!”

“The pleasure is all yours”

FRANCE

Hypermarkets in urban outskirts

FRANCE

Discount supermarkets in city centres and suburban areas

15,823 EMPLOYEES

122 OUTLETS

AVERAGE RETAIL SPACE
OF 7,000 SQUARE METRES

4,000 EMPLOYEES

777 OUTLETS

AVERAGE RETAIL SPACE
OF 800 SQUARE METRES

Retail offering

In 2017

Retail offering

In 2017

Price co-leader in France, Géant Casino continues to enhance
its image with a differentiating concept while maintaining its
competitive advantage. The banner has realigned its food
offering with a generous selection of fresh produce and a
high-quality range of private-label products.
Géant Casino is modernising its non-food offering, which
focuses on “pleasure” apparel and housewares purchases,
drawing on the expertise of Cdiscount.

Strong sales performance, especially with promotional
campaigns.
Increase in the share of space allotted to market areas,
innovation, organic products and private labels within the
food offering.
Launch of cross-department capsule collections within the
apparel and houseware selections.
Development of an omni-channel strategy in Cdiscount
showrooms for electronics, home appliances and furniture.

Discount banner Leader Price stands out for its balanced
selection of more than 4,000 products based on a single
criterion: a constant quest for quality at the right price. For this
reason, the banner chooses its suppliers from among the
leading players in the food industry and requires them to
comply with strict specifications. It is also expanding its
private-label organic range. The banner offers a wide selection
of fresh and seasonal products, delivered daily, with priority
given to products sourced in France.

Partnership with a new ambassador, the celebrity chef
Norbert Tarayre, who lends his expertise and helps develop
the range.
Implementation of the new Leader Price store concept, Next,
which aims to make purchasing a pleasant experience:
showcasing of fresh produce, organic products, rotisserie
grill, deli section, seafood counter, and wine and spirits cellar,
all in a totally redesigned space.
Launch of the cosmetics private label Sooa, represented
by TV host Louise Ekland: the range of 165 products for the
face and body, combining quality and low prices, was an
immediate hit in stores.

CASINO GROUP

2017 ANNUAL REPORT

FRANCE

Upscale city-centre banner

18,500 EMPLOYEES

316 OUTLETS

Retail offering

In 2017

An omni-channel lifestyle leader and a pioneer in sustainable
consumption, Monoprix offers its urban customers a different
experience with its unique assortments and private-label food,
beauty, fashion and houseware products. For the past 85 years,
the banner has built a special relationship with shoppers, and
is now stepping up its digital transformation.

Launch of services designed to make life easier for city
dwellers: the Shop & Go ("lâcher de caddie" on-foot delivery)
service, the Monop’easy app to pay without going through
check-out, connected shopping list with the Google Assistant.
Investment in Epicery, which delivers products from
neighbourhood retailers within the hour.
25% growth in food sales on Monoprix.fr, partnership with
Ocado to integrate its grocery e-commerce solution by 2020,
plan to acquire the online shoe retailer Sarenza announced
in early 2018 and commercial partnership with Amazon
Prime Now.

“Feel free to be natural”

FRANCE

Convenience stores featuring organic
and natural products

Retail offering

In 2017

Naturalia is one of France's first organic food
chains. Its offering, which builds pleasure into the
organic experience, covers more than 10,000
products, including fresh produce, dry goods,
natural cosmetics and dietary supplements, with
specialised brands and a private-label product
range.

24 stores opened.
New brand positioning exemplified in
the tagline “Soyez libre d'être nature”
(“Feel free to be natural”): cheerful,
contemporary and innovative organic
offering.
Launch of the new naturalia.fr website
and customer services: click & collect,
eco-friendly home delivery.
Creation of the Naturalia Vegan concept
with the first four stores opened, offering
2,500 100% plant-based, everyday organic
products.

FRANCE

Urban convenience stores

Retail offering

In 2017

A pioneer of the French-style convenience concept,
Monop’ offers its urban customers – six days a
week, from 9:00 a.m. to midnight – a selection of
fresh produce, dry goods, and hygiene and beauty
products. Monop’ features several types of concept
stores: Monop’daily (fresh and ready-to-eat
products), La Cantine (healthy snacks),
Monop’beauty (beauty products) and Monop’station
in train stations.

Ongoing expansion with nine Monop’
stores opened.
Third La Cantine outlet opened in Paris.
Renewed offering: juice machines,
salad bars, rotisserie grills, bulk organic
products, etc.
Launch of the Monop’easy app, used to
scan and pay for items directly in the aisle
with a smartphone.

1,200 EMPLOYEES

168 OUTLETS

1,440 EMPLOYEES

199 OUTLETS

CASINO GROUP

2017 ANNUAL REPORT

FRANCE

City-centre convenience stores

928 OUTLETS

Convenience supermarkets and stores

860 OUTLETS

FRANCE

Retail offering

In 2017

Retail offering

In 2017

The new Petit Casino concept fits right into the city
centre, the clear intention being to recreate the
vibrancy of the shopping street. With a modernised
neighbourhood shop atmosphere, its stores are
welcoming, open and friendly. With its wide range
of services, Petit Casino caters to lifestyle seekers,
making it the perfect setting for a personalised
relationship between shopkeeper and customer.

Launch of the Petit Casino concept,
a tribute to the banner’s historical
beginnings, and deployment across
128 stores.
Training for managers of stores that have
adopted the new concept.
Installation of service areas, a rotisserie
grill, fresh juice, and a counter with a
coffee machine and beer tap.
Development of the assortment: more
fresh produce, more bulk and local
products.

RETAIL SPACE OF 80 TO 500
SQUARE METRES

An internationally respected convenience banner,
Spar is the leading food retailer in tourist and
fast-growing economic areas in France. Its local
and regional offering meets customers’
expectations of quality and freshness with meat,
seafood and cheese counters, and more.

Major tour of ski resorts (February) and
sea resorts (July) with events held at the
foot of the slopes and along beaches.
Launch of a new loyalty programme, with
a jackpot promotional campaign featuring
Casino products and traditional foods.
International Spar convention in Prague
attended by 600 franchises.

RETAIL SPACE OF 200 TO 1,000
SQUARE METRES

FRANCE

Mountain region convenience stores

112 OUTLETS

FRANCE

Small, town-centre and rural stores

Retail offering

In 2017

Retail offering

In 2017

Exclusively located in mountain regions, the banner
embraces the values and symbols of this lifestyle:
nature, freshness, vitality, authenticity and
performance. Sherpa is geared towards the winter
sports market, and as such tends to be the
reference at ski resorts, with a clear concept,
unique services and an offering designed so that
customers can enjoy stress-free holidays.

Ongoing expansion with four Sherpa
stores opened in the Alps and Pyrenees
regions.
Development of online sales on the
sherpa.net website.
Campaign to promote awareness about
food waste, with significant price
discounts on products with short expiry
dates.

RETAIL SPACE OF 90 TO 400
SQUARE METRES

Vival provides a citizen-driven convenience store
offering geared towards small and medium-sized
rural towns and suburban neighbourhoods. This
multi-service outlet can meet all its customers’
needs and serves as a meeting and gathering point
to strengthen social ties.

Service offering expanded: photo printing
terminal, Crédit Agricole’s Points Verts
ATM services, postal services, Western
Union money transfers.
Launch of the Vival loyalty card.
Roll-out of VivalLivres libraries.
Vival in-store school opened
in Saint-Étienne.
Launch of 1000PRO, an online
marketplace that puts local producers in
contact with retailers.

1,660 OUTLETS

RETAIL SPACE OF 60 TO 150
SQUARE METRES

CASINO GROUP

2017 ANNUAL REPORT

“Don’t skimp on your pleasure”

FRANCE

Multi-specialist e-commerce website

1,800 EMPLOYEES

MORE THAN 30 MILLION
PRODUCTS AVAILABLE

18 MILLION UNIQUE VISITORS
PER MONTH

Retail offering

In 2017

Cdiscount is a major success story in French online retail. This
multi-specialist website provides widespread access to the
best products and services. Since the sale of its first DVD in
1998, Cdiscount has continued to grow and adapt to market
changes, always establishing a position in unexpected sectors:
high tech, appliances, wine, home décor and even electricity.

Now the French leader in e-commerce, Cdiscount has
preserved its agile business model while building closer
relationships with its customers. As such, it has now
consolidated its positioning as an online retail pleasure
destination that constantly reinvents the future of e-commerce.

Complete overhaul of websites to improve the shopping
experience and redesign of the mobile app, now with one of
the highest ratings on the market.
New marketing identity and new tagline, “N’économisez pas
votre plaisir” (“Don’t skimp on your pleasure”).
12% increase in the number of visits, with a growing share
for mobile (60%).
Accelerated growth on social media: Cdiscount is a top-
ranking e-commerce site in terms of social media activity.
Number of products eligible for free express delivery tripled
under the “Cdiscount à volonté” programme.
New delivery services: implementation of same-day
delivery in the Paris, Lyon and Lille regions; Sunday delivery
operational in 15 major French cities; launch of real-time,
geolocalised delivery for large packages (>30 kg).
Multi-channel strategy underpinned by the creation of
Cdiscount showrooms at four Géant Casino hypermarkets.
Launch of two new innovative services: “Coup de Pouce”
instant credit and the most affordable range of electricity
services on the market, Cdiscount Energie, in partnership
with GreenYellow.

CASINO GROUP

2017 ANNUAL REPORT

“Tradition revisited! ”

“Natural cooking”

FRANCE

Restaurant in suburban shopping areas

Retail offering

In 2017

The banner revisits traditional, "home-made" style
cooking, featuring all-you-can-eat starter and
dessert buffets, and a large selection of hot dishes.
This healthy palette presents a variety of options
that change with the seasons and can be enjoyed at
a low cost.

Roll-out of a concept focused on providing
a wide range, letting the products
themselves take centre stage, and making
the experience more fun.
Pricing policy readjusted with a new base
price and broader price range.

100 RESTAURANTS

RETAIL SPACE OF 450 TO 650
SQUARE METRES

FRANCE

Catering services

Retail offering

Renowned for the quality of its catering services,
R2C is active in the business, healthcare, prison and
education industries.
The caterer has made a name for itself by
constantly innovating, providing a balanced, broad
offering of fresh, organic and local products, and
meeting high social and environmental standards.

In 2017

Test of a lunch bag service via
click & collect at about ten outlets.
Stand-out partnerships in the sport
and healthcare, nutrition and service
industries, with planning underway to
develop farmers’ baskets and corporate
gardens.
Major contract signed with Engie at
La Défense, where the R2C team deploys
all of its expertise across 12 exciting
stands, and supports Engie in its strategic
and cultural transformation programme.

1,300 EMPLOYEES

180 OUTLETS

“Delicious cooking since 1967”

“Modern caterer by tradition”

FRANCE

Sandwich and snack shops in city centres
and shopping areas

FRANCE

Event catering

Retail offering

In 2017

Retail offering

In 2017

For a quick break or relaxed meal, on-the-go or
seated, the Cœur de Blé concept is suited to today's
new eating habits. Focusing on product balance
and taste, Cœur de Blé provides original, delicious
recipes made from carefully selected ingredients.

More exciting offering with monthly
campaigns and the roll-out of new
seasonal specialities.
Test of a Cœur de Blé concept geared
towards healthier eating habits, with a
range featuring more natural, fresh and
organic products.

92 OUTLETS

RETAIL SPACE OF 80 TO 120
SQUARE METRES

St. Once meets event catering needs with a quality
offering, selecting fine products that are then
featured in creative recipes designed in its
workshops. Firmly rooted in the sport industry, the
banner holds concessions with major French
stadiums and racetracks. St. Once also designs and
delivers a wide range of meal boxes for companies.

Development of the lunch break offering
with hot meals delivered and meal boxes
created by Michelin-starred chef Florent
Ladeyn.
Concessions include a new business
offering for theme-based stands by type of
food (burgers, fish and chips, etc.).
Set-up of a partnership to deliver lunch
boxes to businesses.

170 EMPLOYEES

12 MAIN KITCHENS

CASINO GROUP

2017 ANNUAL REPORT

FRANCE, LATIN AMERICA, SOUTHEAST ASIA, AFRICA,
INDIAN OCEAN

Expert in energy production, energy efficiency and
energy services

200 EMPLOYEES

123 PHOTOVOLTAIC
POWER PLANTS

1,200 EPCs
(ENERGY PERFORMANCE CONTRACTS)

Retail offering

In 2017

GreenYellow addresses all needs across the energy
management spectrum. As a long-term local partner,
GreenYellow works to turn the energy transition into shared
value creation. Its expertise covers all the factors that go into
the consumer's energy bill: decentralised energy production,
guaranteed energy consumption reductions with the Energy
Performance Contract, cost reduction, and energy services
with purchasing and energy use management features.

Launch of service as an electricity supplier for residential
customers in France.
Solar power plant and energy efficiency facilities at the
Les Almadies shopping centre in Dakar, Senegal.
Completion of the largest urban solar farm in Brazil, on the
roof of the Assaí store in Goiânia.
Construction started on the Ambatolampy solar farm in
Madagascar, which will deliver 20 MW of power and cover
electricity needs for 50,000 households.

“With you every day!”

REUNION ISLAND, MAURITIUS

Convenience hypermarkets and supermarkets

Retail offering

In 2017

Jumbo and Score are the leading banners on
Reunion Island, with a primarily food-based range,
featuring a significant proportion of local products
and nearly 3,000 Casino brand products. The stores
operate a network of 18 drive-throughs.

Events organised to celebrate the 45th
anniversary of the Score banner.
Remodelling of half of the banner’s stores.
Launch of contactless payment service.

7 HYPERMARKETS
17 SUPERMARKETS

AVERAGE RETAIL SPACE OF
500 TO 6,000 SQUARE METRES

REUNION ISLAND

Retail offering

Cash & carry

In 2017

5 STORES

The cash & carry banner for food industry
professionals: small shops and restaurants.

Completion of the store renovation
programme.

AVERAGE RETAIL SPACE OF
1,000 SQUARE METRES

REUNION ISLAND

Small convenience stores

Retail offering

In 2017

20 STORES

Doukabé caters to city dwellers with low prices and
an offering to cover everyday needs.

Continued expansion with six new stores
opened.

AVERAGE RETAIL SPACE OF
150 SQUARE METRES

MADAGASCAR

Retail offering

Popular convenience stores

In 2017

30 STORES

Active in Antananarivo, SuperMaki is a network of
neighbourhood shops associated with Jumbo Score.

12 new outlets came under the banner.

AVERAGE RETAIL SPACE OF
150 SQUARE METRES

CASINO GROUP

2017 ANNUAL REPORT

Colombia

DISCOUNT
BANNERS

CONVENIENCE
BANNERS

QUALITATIVE
BANNER

Brazil

DISCOUNT
BANNERS

CONVENIENCE
BANNERS

QUALITATIVE
BANNER

Uruguay

DISCOUNT
BANNERS

CONVENIENCE
BANNERS

QUALITATIVE
BANNER

E-COMMERCE

Argentina

DISCOUNT
BANNERS

CONVENIENCE
BANNERS

Latin America

Long-standing, multi-format banners, retail leaders in Colombia and Brazil, that
are boosting their synergies to innovate and better serve customers.

no. 1 no. 1

retailer
in Brazil

retailer
in Colombia

3,050

stores

151,157

employees

CASINO GROUP

2017 ANNUAL REPORT

“A pleasure for every day”

“To serve you”

COLOMBIA

Premium supermarkets and convenience stores

COLOMBIA

Multi-format banner

AROUND 5,000 EMPLOYEES

100 OUTLETS

AVERAGE RETAIL SPACE OF
840 SQUARE METRES FOR SUPERMARKETS –
230 SQUARE METRES FOR EXPRESS STORES

23,700 EMPLOYEES

263 OUTLETS

HYPERMARKETS: RETAIL SPACE
OF 7,500 TO 10,000 SQUARE METRES

Retail offering

In 2017

Retail offering

In 2017

Carulla, a premium supermarket and convenience store
banner, is the Colombian specialist in quality fresh produce,
with an enhanced market area, traditional food sections,
imported gourmet products and a vast selection of sustainable
local products. The banner builds strong relationships with its
customers, both in stores and on social media.

Launch of the first Carulla FreshMarket in Bogotá: this
concept store, unique in Colombia, offers consumers a new
responsible purchasing experience. Sales grew by 12% after
introduction of the new concept.
Excellent results from the Quality Service Audit customer
satisfaction survey.
Carulla joined the top ten most powerful brands on social
media in Colombia, according to Dinero magazine.

Colombia’s long-standing No. 1 retailer, Éxito addresses a
broad customer base with a vast network including
hypermarkets, supermarkets and convenience stores
operating in 73 cities throughout the country. It has also built
up a strong, locally produced apparel line which has become
an industry leader. The exito.com website is designed to
address changing consumer habits in support of the physical
store network.

Launch of a new promotional policy, “Precio Insuperable”:
Éxito guarantees the lowest prices on 200 private-label
products, and reimburses twice the price if customers find a
given item at a lower retail price elsewhere.
Alliance with Rappi, a pure player specialised in last-mile
logistics: in six major cities, Éxito customers are delivered
free of charge in less than 35 minutes by the 3,500 delivery
workers in the network.
Overhaul of the electronics and home appliance offering
based on the “Tecnamórate” concept.

CASINO GROUP

2017 ANNUAL REPORT

COLOMBIA

Discount supermarkets

Retail offering

In 2017

Very popular supermarkets due to their competitive
offering of food products, Surtimax and Super Inter
enjoy complementary geographical locations. The
two supermarket banners have forged an alliance
with small, traditional stores. In all, 1,300 local
shops have since joined the “Aliados” networks.

Price reduction policy on 280 everyday
essential products.
Implementation of the “SuperMax”
programme to share best practices in
fresh produce and purchases.
Launch of the “Operación Rescate”
campaign to win back lapsed customers.

5,300 EMPLOYEES

SURTIMAX:
131 OUTLETS

SUPER INTER:
71 OUTLETS

“Savings for you
and your business”

COLOMBIA

Cash & carry

Retail offering

In 2017

A cash & carry banner created in 2016,
Surtimayorista offers food professionals a
comprehensive selection, mainly including fresh
produce, and an assortment adapted to the local
customer base. Surtimayorista uses efficient
processes to guarantee the lowest prices and
logistics suited to bulk purchases.

Expansion with seven new stores opened,
mainly in the centre and coastal regions of
the country.
Introduction of a wholesale counter for
retailers.
Development of bulk product sales.

300 EMPLOYEES

9 OUTLETS

AVERAGE RETAIL SPACE
OF 1,500 SQUARE METRES

COLOMBIA

Shopping centres

12 SHOPPING CENTRES

16 SHOPPING ARCADES

TOTAL RETAIL SPACE
OF 375,000 SQUARE METRES

Retail offering

In 2017

Viva Malls is the retail property leader in Colombia. Its
neighbourhood shopping centres offer consumers a shopping
experience suited to specific local conditions. The 29 Viva
shopping centres and arcades currently have 1,100 retail
tenants. Two new shopping centres are under construction.
One of these is Viva Envigado, which will be the largest retail
and office complex in Colombia when it opens in 2018.

Launch of the “Calle Bistró” street food concept at Viva
Barranquilla.
Progress on the expansion plan with the development of
Viva Envigado and Viva Tunja, which will open their doors
in the second half of 2018.
Viva Malls named “Developer of the year” by the International
Federation of Property Professionals for its assertive regional
action.
Awards granted to the Viva Wajiira and Éxito Mosquera
shopping centres for their sustainable approach as part of
the national event Construverde 2017.

CASINO GROUP

BRAZIL

Cash & carry

“Always the best deal”

BRAZIL

Hypermarkets and supermarkets

2017 ANNUAL REPORT

26,375 EMPLOYEES

126 OUTLETS

AVERAGE RETAIL SPACE
OF 4,000 SQUARE METRES

32,132 EMPLOYEES

305 OUTLETS

AVERAGE RETAIL SPACE
OF 3,000 SQUARE METRES

Retail offering

In 2017

Retail offering

In 2017

Now operating in 17 Brazilian states, Assaí Atacadista is a
cash & carry operator for small retailers and restaurants, as
well as individuals drawn to low wholesale prices. Stores offer
more than 7,000 products from major brands: dry goods, fresh
produce, beverages, packaging, home and garden, hygiene and
cleaning products. The low operating costs, competitive prices,
product mix and volume of merchandise make for a successful
business model.

Continued progress in the expansion plan, with 20 stores
opened, including 15 conversions of Extra hypermarkets.
Roll-out of processes to improve the purchasing experience
and reduce costs.
Successful launch of the Passaí store card:
110,000 cards sold in four months across 70 stores.
Commissioning of the largest urban solar farm in Brazil at
Assaí Goiânia.

Extra Hiper offers integrated product and service solutions at
competitive prices. The banner develops a vast assortment of
food products, a market area, traditional food sections and an
attractive non-food offering including appliances, apparel and
housewares.

Extra Supermercado meets Brazilians’ everyday needs by
combining a wide selection of quality products, especially
under its private labels, with attractive promotional
campaigns.

Strong growth in non-food sales, especially with the opening
of corners dedicated to large specialised retailers.
Further digitisation of the Clube Extra loyalty programme:
the mobile app features the new “Meu Desconto” platform,
which offers personalised deals and a dynamic shopping list
feature that can be used in stores or online.

CASINO GROUP

2017 ANNUAL REPORT

“It’s easy to be happy”

BRAZIL

Premium supermarkets

16,570 EMPLOYEES

186 OUTLETS

AVERAGE RETAIL SPACE
OF 1,300 SQUARE METRES

Retail offering

In 2017

A sustainable consumption pioneer in Brazil, Pão de Açúcar
has also set itself apart over the years with its innovative
services, such as expert advice at the wine cellar and cheese
counter sections, and its active loyalty programme, Pão de
Açúcar Mais. Enhancing the shopping experience, the stores
offer a broad range of food products that cover every need,
from the basic day-to-day to the exceptional.

Corporate campaign to illustrate the slogan “É simples ser
feliz” (“It’s easy to be happy”).
Development of the Pão de Açúcar Mais loyalty app, which
features the “Meu Desconto” platform with personalised
deals.
Implementation of the “Caixa Express” service at 95% of
stores, which lets customers reserve a time to go through
check-out.
Roll-out at 50 stores of a new concept focused on fresh
produce and the customer experience.

BRAZIL

Premium convenience stores

Retail offering

In 2017

The Pão de Açúcar convenience format launched in
2014 operates quality convenience stores providing
customer advice, sustainable consumption options,
differentiated assortments, and an elegant
atmosphere that meets top international standards.
Its stores operate in São Paulo and Recife.

Six new stores opened under the banner.
Deployment of the Pão de Açúcar Mais
digital loyalty programme.
Operational excellence and cost
management programme.

“You need it, we got it”

BRAZIL

Small urban convenience stores

Retail offering

In 2017

A convenience concept that fosters a
neighbourhood spirit, Mini Extra meets the
day-to-day lifestyle needs of city dwellers, providing
essential food products and quality fresh produce
at competitive prices.

Simplified business model with a
condensed assortment and new pricing
policy.
Large-scale renovation of 145 stores in the
state of São Paulo.
Banner rebranded as Mini Extra, with the
slogan Precisou, resolveu (“You need it, we
got it”).

1,217 EMPLOYEES

82 OUTLETS

AVERAGE RETAIL SPACE
OF 250 SQUARE METRES

1,888 EMPLOYEES

183 OUTLETS

AVERAGE RETAIL SPACE
OF 250 SQUARE METRES

2017 ANNUAL REPORT

ARGENTINA

Multi-format banner

3,227 EMPLOYEES

15 HYPERMARKETS
AND 14 CONVENIENCE
STORES

RETAIL SPACE
OF 170,000 SQUARE METRES

Retail offering

In 2017

The success of the Libertad model in Argentina is based on its
dual “retail and property” strategy, with attractive shopping
centres under the Paseo banner built around Libertad
hypermarkets. The subsidiary currently has an asset portfolio
covering 170,000 square metres.

The banner is also developing its food offering, especially with
the FreshMarket concept imported from neighbouring
Uruguay.

Extension and renovation of the Paseo San Juan and Paseo
Rivera Indarte shopping centres.
First FreshMarket concept store opened.
Accelerated development of market areas, with over 20%
growth in fruit and vegetable sales at both of the banner’s
formats.
Ongoing expansion of the small convenience format with
four Libertad stores opened in Córdoba.

CASINO GROUP

URUGUAY

Urban supermarkets and convenience stores

2,613 EMPLOYEES

Retail offering

In 2017

With its supermarkets and small convenience
stores located in the capital Montevideo and the sea
resort Punta del Este, the banner brings urbanites a
quality food offering and non-food assortment
focused on pleasure purchases.

Ongoing expansion with nine Devoto
Express stores opened.
Enlargement of the market area and fruit
and vegetable line-up.

24 SUPERMARKETS

33 DEVOTO EXPRESS

“With you, every day”

URUGUAY

Urban supermarkets

Retail offering

In 2017

Operating in Montevideo and Punta del Este, Disco
meets the new needs of city dwellers and holiday
makers with a vast food offering, and is deploying
two new concepts: FreshMarket, an innovative
solution featuring fresh produce, snacks and
sustainable consumption, and Home, dedicated to
appliances, electronics and housewares.

Disco Fresh Market opened in the
Punta Carretas district of Montevideo,
a 4,000 square metre flagship store,
featuring a vast restaurant with seating or
take-away service, and a lounge, salad bar,
pasta bar, etc.
Ongoing roll-out of FreshMarket with nine
stores.

2,810 EMPLOYEES

29 OUTLETS

AVERAGE RETAIL SPACE
OF 1,000 SQUARE METRES

CASINO GROUP

2017 ANNUAL REPORT

International expansion

The Casino Group continues to expand its banners’ operations
in various countries through affiliated stores, while also
developing private-label supply partnerships in new markets.

Enhanced presence in the Middle East

The property company Meraas signed a partnership agreement
with the Casino Group to open 33 franchise stores in the United
Arab Emirates. This move is the first step towards multi-format
and multi-banner development, in line with the Group's strategy,
and gives the Group a lasting foothold in the Middle East.

CASINO GROUP LOCATIONS:

Subsidiaries

Affiliated stores

Supply contracts

Bao, the first cash & carry store
in Cameroon

In Douala, the Casino Group opened
Bao, the first cash & carry concept store
adapted to the Cameroon market. This
life-size test project offers a new
alternative between informal retail and
premium large retail stores,
such as the Géant Casino and
Casino Supermarkets franchises
operating in the country.
The 2,000 square metre store
offers retailers a full range of
3,000 quality products
at affordable prices.

Canada

Russia

Saint Pierre

and Miquelon

Saint Martin

Saint Barthelemy

Guadeloupe

Martinique

Colombia

French Guiana

Brazil

Argentina

Uruguay

Belgium

Luxembourg

France

Romania

Andorra

Portugal

Spain

Azerbaijan

Morocco

Tunisia

Lebanon

Mali

Niger

Senegal

Guinea

Burkina Faso

Central African
Republic

Benin

Cameroon

Côte d’Ivoire

Togo

Equatorial Guinea

Qatar

Dubai

Oman

Djibouti

Sao Tome

Gabon

Republic
of the Congo

Democratic Republic
of the Congo

Mayotte

China

Japan

Hong Kong

Taiwan

Thailand

Cambodia

Philippines

Malaysia

Singapore

Madagascar

Mauritius

Reunion Island

New Caledonia

Exclusive partnership with Marjane in Morocco

A leading retailer present in 27 Moroccan cities, Marjane has made
Casino its main private-label brand with 1,500 Casino products on
offer, ranging from groceries to frozen food and also hardware.

CASINO GROUP

2017 ANNUAL REPORT

Governance,
CSR and finance:
a strong,
sustainable model

—Elected by the Annual
General Meeting, the
Group’s Board of Directors
will be gender balanced as
from 2018.

—Qualitative banners are one
of the key drivers of the
Group’s profitability.

—Promoting diversity and
equal opportunity at work
builds team spirit and
performance.

CASINO GROUP

2017 ANNUAL REPORT

42%

of members of the
Board of Directors are
independent3

50%

of directors are women3

GOVERNANCE

The Board of
Directors

Following the Annual General Meeting of 15 May 20181, the Board
of Directors will be comprised of 12 directors elected by the
Annual General Meeting and one director representing employees.

Jean-Charles Naouri
Chairman and Chief Executive Officer.

Nathalie Andrieux
Chief Executive Officer of Geolid.
Independent Director.

Diane Coliche
Representative of Matignon-Diderot.
Chief Financial Officer of Monoprix.

Gilbert Delahaye
Director of Intra-group CSR Projects
at Casino Services.
Director representing employees.

Jacques Dumas
Representative of Euris.
Advisor to the Chairman of Casino.
Deputy Chief Executive Officer of Euris.

Christiane Féral-Schuhl
Lawyer/Partner.
Independent Director.

Laure Hauseux
Independent Company Director.
Independent Director.

Lady Sylvia Jay
Independent Company Director.
Independent Director.

Didier Lévêque
Representative of Finatis.
Corporate Secretary of Euris.
Chairman and Chief Executive Officer
of Finatis.

Catherine Lucet
Chief Executive Officer of the Education
and Reference division of Editis.
Independent Director2.

David de Rothschild
Legal Manager of Rothschild et Cie
Banque and Managing Partner of
Rothschild et Cie.

Frédéric Saint-Geours
Chairman of the Supervisory Board
of SNCF.

Michel Savart
Representative of Foncière Euris;
Advisor to the Chairman of the Rallye/
Casino Group.
Chairman and Chief Executive Officer
of Foncière Euris.

Henri Giscard d’Estaing
Chairman of Club Med.
Non-Voting Director.

Gilles Pinoncély
Company Director.
Non-Voting Director.

Gérald de Roquemaurel
Legal Manager of BGR Partners.
Non-Voting Director.

Kareen Ceintre
Secretary of the Board of Directors.

1 Subject to the election or re-election of the
proposed candidates.
2 Appointed Lead Independent Director
following the Annual General Meeting.
3 Excluding the director representing employees,
in accordance with the Afep-Medef Corporate
Governance Code for French listed companies
or as required by law.

Organisation and procedures of the Board of Directors

The rules governing the organisation and procedures of the Board of Directors are defined by law,
the Company’s Articles of Association and the Board’s Charter. They are presented in detail in the
2017 Registration Document filed with the French securities regulator, the Autorité des Marchés
Financiers (AMF).

Directors are elected for a term of three
years. In accordance with the Company’s
Articles of Association and the Afep-
Medef Code, the Board is re-elected in part
each year on a rotation basis. The terms of
the following directors are therefore
expiring at the Annual General Meeting of
15 May 2018: Nathalie Andrieux, Sylvia Jay,
Catherine Lucet and Finatis.

The Board of Directors seeks to ensure that
its membership is aligned with the prin-
ciples of the Afep-Medef Code. With the
assistance of its specialised committees,
t h e Boa rd per iod ica l ly a ssesses i ts
structure and composition as well as that
of its committees. Decisions to recommend
candidates to the Annual General Meeting
for election or re-election to the Board
take into account the findings of such
assessments and recommendations by
the Appointments and Compensation
Committee. Employees are also repre-
sented on the Board, in accordance with
the law and the Company’s Articles of
Association.
The Board’s constant aim is to maintain a
diverse and complementary range of
skills and experience among its members,
achieve a balanced representation of men
and women and exceed the one-third
threshold of independent directors recom-
mended by the Afep-Medef Code for

French companies with a controlling share-
holder (which is the case of Casino).

Candidates are recommended for election
or re-election with a view to maintaining or
achieving this harmonious balance and
ensuring that directors’ collective skills are
aligned with the Group’s business and
development strategy.

The Board of Directors considers that its
present size is appropriate. In accordance
w i t h t h e r e c o m m e n d a t i o n o f t h e
A p p o i n t m e n t s a n d C o m p e n s a t i o n
Committee, it has therefore submitted a
number of related resolutions to the Annual
General Meeting of 15 May 2018. It recom-
mends that shareholders re-elect Nathalie
Andrieux, Sylvia Jay and Catherine Lucet
as well as Finatis, represented by Didier
Lévêque.

It also recommends that shareholders elect
a new director, Laure Hauseux, to replace
Gérald de Roquemaurel, who is being
recommended for appointment as a non-
voting director. Laure Hauseux would bring
a wealth of experience and expertise to the
Board in areas which are relevant to the
Company’s business.

As part of its delegated responsibilities,
the Appointments and Compensation

Committee conducted its annual review of
the independence of each of the directors
comprising the Board as submitted to the
Annual General Meeting of 15 May 2018
(if all the resolutions are approved by the
shareholders).
On shareholder approval, the Board of
Directors would therefore be comprised of
a total of 13 directors, including 12 elected
by the Annual General Meeting and one
director representing employees. Five
directors would be independent (42%) and
six would be women (50%).

Five members would fulfil all the inde-
pendence criteria of the Afep-Medef Code:
Nathalie Andrieux, Christiane Féral-Schuhl,
Sylvia Jay and Catherine Lucet as well as
new director Laure Hauseux.

The Board would also include two qualified
non-independent individuals from outside
the Company, David de Rothschild and
Frédéric Saint-Geours, who will lose his
status as an independent director following
the Annual General Meeting of 15 May 2018
in accordance with the 12-year service
criterion of the Afep-Medef Code.

The controlling shareholder would be still
be represented by five directors: Jean-
Charles Naouri, Chairman and Chief
Executive Officer, Jacques Dumas, Didier

CASINO GROUP

2017 ANNUAL REPORT

Lévêque, Michel Savart and Diane Coliche.
Gilbert Delahaye, designated in May 2017
as a director representing employees by
the most representative trade union, has
since joined the Board of Directors. In
accordance with the Afep-Medef Code, he
is not taken into account when calculating
the percentage of independent directors
and gender representation on the Board, as
required by law.

LEAD INDEPENDENT DIRECTOR

In 2012, following a proposal by the
C h a i r m a n a n d i n a c c o r d a n c e w i t h
AMF recommendations, the Board of
Directors appointed a Lead Independent

Director in order to ensure that the prin-
ciples of good governance are upheld in the
exercise of the combined roles of Chairman
and Chief Executive Officer. Frédéric Saint-
Geours, who has been Lead Independent
Director since 7 July 2015, will be replaced
by Catherine Lucet following the Annual
General Meeting of 15 May 2018.

In the annual assessment of the Board of
Directors’ procedures, the directors’ ratings
and comments once again indicated
that they were satisfied with the Board’s
organisation and procedures, both from
an ethical standpoint and in terms of
corporate governance principles.

2017 key figures

10 meetings
95% attendance rate
1 meeting held at a

Group-owned retail location

Board Committees

In late 2017, the Board of Directors decided to expand the
duties of the Governance Committee to include corporate
social responsibility issues and subsequently changed the
name of said Committee to the Governance and
CSR Committee.

The Board of Directors works with three
s p e c i a l i s e d c o m m i t te e s : t h e Au d i t
Co m m i t te e, t h e A p p o i n t m e n t s a n d
C o m p e n s a t i o n C o m m i t te e a n d t h e
Governance and CSR Committee. The
Chairman and Chief Executive Officer does
not sit on any committee.

Subject to shareholder approval of the
candidates proposed for election or
re-election, the composition of the com-
mittees will change following the Annual
General Meeting of 15 May 2018.

AUDIT COMMITTEE

Following the Annual General Meeting, the
Audit Committee would be comprised of
three members: Frédéric Saint-Geours

(Chairman) and independent directors
Laure Hauseux and Catherine Lucet. It
previously included three independent
directors: Catherine Lucet (Chair), Frédéric
Saint-Geours and Gérald de Roquemaurel.

All members of the Audit Committee hold
or have held senior executive positions and
therefore have the financial or accounting
skills required by Article L. 823-19 of the
Fre n c h Co m m e rc i a l Co d e ( Co d e d e
Commerce). The Audit Committee is
responsible for assisting the Board of
Directors in reviewing and approving the
annual and interim financial statements
and in dealing with transactions or events
that could have a material impact on the
position of Casino, Guichard-Perrachon or
its subsidiaries in terms of commitments

that such systems comply with legal and
regulatory provisions. In addition, it analy-
ses the Group’s inclusion in SRI indices and
examines the non-financial information
disclosed in the annual management
report.

The Committee’s organisation and proce-
dures are described in a charter approved
by the Board of Directors.

The Governance Committee met three
times in 2017, with an attendance rate of
100%.
—

and/or risks. Accordingly, pursuant to
Article L.823-19 of the French Commercial
Code, the Committee is in charge of
matters relating to the preparation and
auditing of accounting and financial
information. Specifically, it monitors the
effectiveness of the internal control and
risk management systems, the audit of the
parent company and consolidated financial
statements by the Statutory Auditors and
the Statutory Auditors’ independence.
Since 2015, as part of a good governance
process and in order to better identify and
manage potential conflicts of interest, it
has also been tasked with reviewing signif-
icant agreements with related parties prior
to their conclusion.

A charter sets out the Committee’s powers
and duties, particularly those concerning
risk management, the identification and
prevention of management errors and the
procedure by which agreements with relat-
ed parties are reviewed.

The Audit Committee met six times in 2017,
with a 100% attendance rate.

APPOINTMENTS AND COMPENSATION
COMMITTEE

Following the Annual General Meeting,
the Appointments and Compensation
Committee would be comprised of four
members: Nathalie Andrieux (Chair) and
Sylvia Jay, both independent directors,
Gilbert Delahaye, a director representing
employees, and David de Rothschild. As
before, it would include a majority of inde-
pendent directors within the meaning of
the Afep-Medef Code. The Committee was
previously comprised of four directors:
Gérald de Roquemaurel (Chairman) and
Nathalie Andrieux, both independent direc-
tors, Jacques Dumas, and Gilbert Delahaye,
a director representing employees.

The Appointments and Compensation
Committee’s primary role is to assist
the Board of Directors in a) reviewing
candidates for appointment to Senior

Management positions and for election
to the Board of Directors, b) assessing
directors’ independence, c) setting and
overseeing executive corporate officers’
compensation as well as stock option and
share grant policies, and d) establishing
e m p l o y e e s h a r e o w n e r s h i p p l a n s .
A charter, approved by the Board of
Directors, sets out its powers and duties.

The Appointments and Compensation
Committee met five times in 2017, with a
100% attendance rate.

GOVERNANCE AND CSR COMMITTEE

Following the Annual General Meeting, the
Governance and CSR Committee would
be comprised of four members: Catherine
Lucet (Chair and Lead Independent
Director), Nathalie Andrieux and Christiane
Féral-Schuhl, all independent directors, and
Frédéric Saint-Geours. It previously includ-
ed three directors: Frédéric Saint-Geours
(Chair and Lead Independent Director) and
Sylvia Jay, both independent directors, and
David de Rothschild.

The Committee’s duties have been deter-
mined so as to complement those of the
other two committees. It assists the Board
in implementing and applying governance
rules and best practices and monitors all
ethical issues relating to the directors, the
assessment of the Board of Directors’ pro-
cedures and the management of conflicts
of interest. It also examines the structure,
size and composition of the Board on a
regular basis.

A s f r o m 1 5 D e c e m b e r 2 0 1 7, t h e
Committee’s duties were expanded to
include CSR issues. Therefore, in line with
the Group’s strategy, it examines the
Group’s ethics, human resources, environ-
mental and social commitments and
policies and reviews their implementation
a n d r e s u l t s . A l o n g s i d e t h e A u d i t
Committee, it ensures that systems for
identifying and managing the main risks
relating to ethics and CSR are in place and

CASINO GROUP

2017 ANNUAL REPORT

RESPONSIBILITY

The CSR programme,
driving growth

The Group’s fundamental commitment
to promote diversity, articulated in its
signature phrase “Nourishing a world of
diversity”, has long been recognised. In
2009, Casino was the first retailer to
obtain France’s Diversity Label, and in
2013 the Equality Label.

COMMITMENT AT EVERY LEVEL

Disseminated through a vast training
programme (see box), the CSR pro-
gramme is supported by the Group’s top
management and is deployed at every
level. For 2018, 5% of the variable com-
pensation paid to the Group’s managers
in France, Brazil and Colombia will be
contingent on meeting predefined,
quantifiable CSR performance targets.
This policy also applies to members of
the Group Executive Committee.
—

F or more than 25 years, the

Casino Group has made it a key
priority to serve the common
good. Fully aware that its business must
benefit all of its stakeholders and have a
positive impact on its environment, the
Group also works to meet the increas-
ingly high standards that consumers and
citizens set for companies.

The Group’s corporate social and envi-
ronmental responsibility programme is in
no way a hindrance. Instead, it is a pow-
erful vector for driving growth, to boost
employee motivation and engagement,
increase its competitive edge, attract
talent and enhance the lasting, trust-
based relationships that it has built with
its stakeholders.

CONCRETE, RECOGNISED ACTIONS

In 2011, the CSR programme was struc-
tured into five main areas, each backed
with action plans and annual internal
and external reviews. With support from
the highest levels of the organisation,
these action plans are concretely imple-
mented by the banners and cover every
area of the company, including purchas-
ing, operations, logistics and private
labels.

CSR training: basic courses
plus specific issues

Recognition
in benchmark indices

The Group's inclusion in these SRI indi-
ces, which comprise the top performing
companies in terms of social, environ-
mental and governance criteria, demon-
strates its strong commitment to CSR.
In 2017, the Casino share was included in
the following SRI indices:

The Group relies on its internal training
centres to raise employee awareness
about anti-discrimination measures,
caring management practices and
responsible dialogue with local officials.
These issues are developed in a set of
basic courses supplemented by specific
modules that cover the CSR issues
faced by different professions. For
example, training for seafood chefs now
includes information on sustainable
fishing, while training for Casino restau-
rant managers touches on issues such
as food waste and the nutritional impact
of products.

THE 15 PRIORITIES OF THE “SPIRIT OF CSR” CONTINUOUS
IMPROVEMENT PROGRAMME

COMMITTED EMPLOYER

RESPONSIBLE RETAILER

TRUSTED PARTNER

Promote diversity

Help young people enter the
workforce

Provide growth opportunities for
employees

Take action for health, safety and
well-being at work

Take action to protect consumer
health

Encourage consumption that is
respectful of the environment and
biodiversity

Combat food waste

Strengthen ethical social compliance

Support local production channels

Promote the CSR initiatives of
suppliers

ENVIRONMENTALLY
COMMITTED GROUP

LOCAL CORPORATE CITIZEN

Reduce greenhouse gas emissions

Develop foundation programmes

Increase energy efficiency

Develop solidarity partnerships

Reduce and recover waste

100

101

CASINO GROUP

2017 ANNUAL REPORT

RESPONSIBILITY

CSR performance
indicators

Committed employer

Workforce by full-time/part-time employment(1)

Group

France(2)

Brazil

Colombia

Other(3)

85%
15%

74%
26%

95%
5%

82%
18%

77%
23%

● % of the workforce in full-time
employment
● % of the workforce in part-time
employment

Most Casino Group employees
(85%) work full time.

Consolidated workforce by country(1)

Consolidated workforce by age(1)

Representation of women in the consolidated workforce and in management by country(1)

● 44%
Brazil
● 33%
France(2)
● 18%
Colombia
● 5%
Other(3)

● 47%
Workforce aged
30 to 50
● 39%
Workforce
under the age of 30
● 14%
Workforce aged
over the age of 50

● % of female employees
● % of female managers

Group

France(2)

Brazil

Colombia

Other(3)

53%
38%

57%
40%

51%
32%

50%
30%

52%
24%

77% of the consolidated workforce is based
in France and Brazil.

Reflecting its commitment to bringing young people into the job
market, Casino has more than 86,970 employees under the age of 30.

Workforce by type of employment contract (permanent/fixed-term)(1)

Employees with recognised disabilities by country(1)

Group

France(2)

Brazil

Colombia

Other(3)

93%
7%

92%
8%

97%
3%

87%
13%

102

● % of employees in permanent
employment
● % of employees in fixed-term
employment

A large majority of Casino Group
employees (93%) have permanent
work contracts.

● 56%
France(2)
● 41%
Brazil
● 2%
Colombia
● 1%
Other(3)

(1) Total workforce under permanent or fixed-term contracts at 31 December 2017.
(2) France: Casino, Franprix, Leader Price, Monoprix, Cdiscount and Vindémia.
(3) Libertad (Argentina), Disco and Devoto (Uruguay).

The gender diversity of our teams
is being enhanced by pro-active
policies addressing the full range
of workplace equality issues,
including gender diversity across
job categories, career
management services for women,
fairness in human resources
processes (compensation, training,
hiring and promotions) and
parenthood.
In 2016, the Group adopted the
Women’s Empowerment Principles
backed by UN Women.

The number of disabled employees
increased by 4.6% compared with
2016 as a result of programmes
implemented over the last several
years in France and abroad.
GPA increased the number
of disabled employees in its
workforce by 15% compared
with 2016.

103

CASINO GROUP

2017 ANNUAL REPORT

Environmentally committed group

Change in greenhouse gas emissions in absolute value(1)

Change in energy efficiency by Group operating unit, 2015-2017, in kWh/sq.m

Scope 1+2

Scope 2

Scope 1

tonnes of CO2 equivalent

500,000

1,000,000

1,500,000

2,000,000

● 2017 ● 2016 ● 2015

Greenhouse gas emissions by origin(2)

Scope 1
● 67%
Refrigerants
● 6%
Heating oil
● 2%
Fuel for transport
of goods*(3)
● 1%
Fuel for vehicle
fleet

Scope 2
● 24%
Electricity
● 0.2%
District heating
system

In 2017, the absolute value of
Scope 1 and Scope 2 emissions
decreased by 7% compared with
2015 on a like-for-like basis.
This decrease was achieved
thanks to stores reducing their
Scope 1 emissions by 8% and their
Scope 2 emissions by 6%.

In 2017, Casino’s emissions profile
remained relatively stable.
Emissions from the consumption
of refrigerants and electricity
accounted for 91% of Scope 1 and
Scope 2 greenhouse gas
emissions.

Group

Casino

Monoprix

Franprix
Leader Price

Vindémia

GPA

Éxito

Disco
and Devoto

Libertad

581

491

566

595

807

702

468

825

743

kWh/sq.m

200

400

600

800

1,000

● 2017 ● 2016 ● 2015

Amount of waste recovered and reused(1), on a like-for-like basis

Group

France(2)

Brazil

Colombia

Other(3)

2017
2016

The improvements reported
between 2016 and 2017 in
Latin America were made possible
by the continued roll-out of
energy performance contracts in
all countries and the
implementation of an energy
management system that
complies with ISO 50001.
Average electricity intensity in
Latin America fell by 2% between
2016 and 2017.

On a like-for-like basis, the
amount of waste sorted by the
stores for recovery and reuse
increased slightly in 2017.
Over the past three years, the
measures taken have led to a 5%
increase in the amount of waste
collected for recovery and reuse.

(1) Excluding direct fugitive emissions of Franprix and Éxito.
(2) Excluding Éxito and Franprix.
(3) Includes transport of goods under operational control for the logistics segment between warehouses and stores.

tonnes of waste recovered
and reused

50,000

100,000

150,000

200,000

● Cardboard ● Other

(1) Excluding Multivarejo and Vindémia.
(2) France: Casino, Franprix, Leader Price, Monoprix, Cdiscount.
(3) Libertad (Argentina), Disco and Devoto (Uruguay).

104

105

CASINO GROUP

2017 ANNUAL REPORT

Responsible retailer

Local corporate citizen

Number of national-brand and private-label products certified as sustainable(1)

Donations of foodstuffs in meal equivalents

● 23,148
France(2)
● 2,725
Brazil
● 422
Colombia
● 392
Other(3)

Trusted partner

ICS social audits performed

● 74%
Initial audits
● 26%
Follow-up
audits

Casino Group stores now carry more than 26,680 products
certified as sustainable, an increase of 36% over 2016.
In particular, a wide range of organic food products is available,
with more than 17,420 items on store shelves across the Group,
up 26% compared to 2016.

● France
● Brazil
● Colombia
● Other(4)

In 2017, 20,800 tonnes of products, the equivalent of over
41 million meals (up 29% year on year), were donated by the
Group to food bank networks or other similar charities (donations
from stores and warehouses).

In 2017, a total of 1,245 social audits were validated concerning
supplier plants, in accordance with ICS (Initiative Clause Sociale)
methodology, of which 71% were led directly by the Group.
Of the 885 audits conducted in 2017, 74% were initial audits and
26% were follow-ups. Of the audited manufacturers, 59% were
based in China, 9% in Bangladesh and 3% in India.

106

107

(1) Organically farmed products, organic or eco-friendly hygiene and personal care products, fair trade products, products with certification
attesting to an environmental progress programme, e.g., MSC, NF Environnement, FSC, PEFC, Paper by Nature, OK Compost home, European
Ecolabel, Ecocert labelling.
(2) Products sold by Casino, Monoprix/Naturalia, Franprix, Leader Price, Cdiscount and Vindémia.
(3) Products sold by Libertad (Argentina), Disco and Devoto (Uruguay).
(4) Libertad (Argentina), Disco and Devoto (Uruguay).

CASINO GROUP

2017 ANNUAL REPORT

RESPONSIBILITY

Principles and
reporting scope
of non-financial
information

I n fo r m a t i o n o n t h e Ca s i n o G ro u p’s
corporate social responsibility process and
its environmental, human resources and
social performance has been prepared in
accordance with the principles set out in
the Group’s CSR reporting protocol, and
distributed to everyone involved in the
reporting process in France and in the
international subsidiaries. The human
resources, social and environmental data
presented are aligned with financial
reporting and, unless stated otherwise,
cover all business activities under the
operational control of the Casino Group or
its major subsidiaries in France and abroad.
Data concerning affiliates, franchises and
business leases are not included. Reporting
is on a fully consolidated basis (data
included at 100%).

“The Group” includes the consolidated data
of French and international business units.
These data exclude discontinued opera-
tions in application of IFRS 5, i.e., Viavarejo
and Cnova Brazil.

I n fo r m a t i o n o n t h e Ca s i n o G ro u p’s
corporate social responsibility process is
also available on the corporate website
www.groupe-casino.fr and in the 2017
Registration Document, which provides
additional information about CSR perfor-
mance and initiatives, as well as about the
governance system and methods and prin-
ciples applied. The Registration Document
includes the report issued by the Statutory
Auditors based on their 2017 review of the
Company's CSR information. Cdiscount,
GPA, Éxito, and Libertad each publish CSR
information in their management reports
or on their websites. The Group, as well as
its subsidiaries Libertad, GPA and Éxito,
are signatories of the United Nations
Global Compact, and each publish a
Communication on Progress report every
year.

UN Global Compact cross-reference table

The Casino Group signed the United Nations Global Compact in 2009, thereby embracing
its ten fundamental principles concerning human rights, labour, the environment and the
fight against corruption.

UNITED NATIONS GLOBAL COMPACT PRINCIPLES

HUMAN RIGHTS

1. Businesses should support and respect the protection

of internationally proclaimed human rights within their sphere of influence

2. Make sure that they are not complicit

in human rights abuses

LABOUR

pages

28, 29, 56,

57, 60, 61

106

3. Businesses should uphold the freedom of association

and the effective recognition of the right to collective bargaining

110, 111

4. The elimination of all forms of forced and compulsory labour

106

5. The effective abolition of child labour

106, 110, 111

6. The elimination of discrimination in respect

of employment and occupation

ENVIRONMENT

11, 12, 56, 57,

100 to 103, 110, 111

7. Businesses should support a precautionary approach

10, 11, 30 to 35,

to environmental challenges

58, 59, 104, 105

8. Undertake initiatives to promote greater

10, 11, 30 to 35,

environmental responsibility

58, 59, 104, 105

9. Encourage the development and diffusion

of environmentally friendly technologies

ANTI-CORRUPTION

58, 59, 79, 86,

104, 105

10. Businesses should work against corruption in all its forms,

including extortion and bribery

108

109

CASINO GROUP
CASINO GROUP

2017 ANNUAL REPORT
2017 ANNUAL REPORT

CSR Indicators

Committed employer
Number of employees at 31 December 2017(1)
Women
Men
Under 30 years old
30 to 50 years old
Over 50 years old
Under permanent contracts
Full-time
Percentage of female managers
Disabled employees at 31 December 2017
People hired under permanent contracts during the year
People under the age of 26 hired under permanent and fixed-term contracts
Workplace accidents with at least one day of lost time
Annual turnover of employees under permanent contracts
Training hours per person
Employees under permanent contracts promoted during the year
Meetings with employee representatives during the year

Number of Responsible Retailer and Trusted Partner products
Products certified as “responsible”(2)
Organic national-brand and private-label food products
Donations of foodstuffs

Environmentally committed group
Greenhouse gas emissions, Scope 1(3)
Greenhouse gas emissions, Scope 2
Total
Electricity/sq.m of selling area
Water consumption(4)
Volume of operating waste recycled and reused(5)
Waste recovery rate(6)

Unit

Number
%
%
%
%
%
%
%
%
Number
Number
Number
Number
%
Hours
Number
Number

Number
Number
tonnes

t CO2
t CO2
MWh
kWh/sq.m
cu.m
tonnes
%

Group

226,606
53%
47%
39%
47%
14%
93%
85%
38%
7,465
45,016
55,688
8,134
24%
19
15,716
22,694

26,687
17,422
20,800

988,843
402,877
3,230,301
581
4,738,153
188,117
54%

Casino

Cdiscount Monoprix

FPLP

Vindémia

GPA

Éxito

Disco/Devoto Libertad

France

Brazil

Colombia

Uruguay Argentina

36,614
58%
42%
23%
45%
32%
92%
71%
35%
3,024
5,139
10,531
1,907
15%
6
382
12,576

4,900
4,182
7,531

287,188
39,747
847,555
491
967,967
71,608
66%

1,730
44%
56%
30%
63%
7%
92%
98%
41%
45
352
152
75
10%
17
63
113

2,580
-
-

3,328
418
9,018
-
21,292
2,187
75%

22,597
60%
40%
35%
43%
22%
93%
71%
51%
866
6,714
10,721
1,227
28%
4
711
5,481

12,896
9,450
3,086

9,858
51%
49%
27%
56%
17%
93%
79%
35%
106
1,244
2,115
1,145
20%
7
500
2,159

1,423
846
2,488

4,650
48%
52%
27%
59%
14%
91%
89%
36%
134
281
748
228
9%
5
157
637

1,349
1,078
2,189

100,288
51%
49%
44%
47%
9%
97%
95%
32%
3,062
28,177
15,709
1,246
30%
21
7,779
450

2,725
1,493
1,953

39,879
50%
50%
45%
47%
8%
87%
82%
30%
158
1,637
13,816
1,607
22%
43
5,086
888

422
195
1,864

7,767
55%
45%
45%
42%
13%
83%
86%
28%
43
1,324
1,763
529
18%
4
996
30

341
127
1,591

3,223
46%
54%
22%
75%
3%
97%
57%
17%
27
148
133
170
7%
15
42
360

51
51
98

99,821
17,770
342,677
566
250,964
27,249
54%

70,857
12,810
273,870
595
231,187
27,751
53%

19,704
34,418
49,099
807
44,798
2,408
45%

440,419
178,024
1,133,913
702
2,584,747
16,921
31%

4,922
84,460
422,302
468
180,070
31,279
50%

34,375
3,536
69,330
825
217,895
6,201
-

28,229
31,694
82,537
743
239,233
2,513
-

Engaged local corporate citizen
Funds distributed for community outreach (donations and foundations)

€

84,696,413

23,537,452

125,737

13,065,904 8,678,207

6,737,561

12,138,207

14,826,065

5,253,851

333,429

Note: Group data exclude discontinued operations in application of IFRS 5, i.e., Viavarejo and Cnova Brazil.

(1) Employees: Excluding leased and franchised stores.
(2) Organically farmed products, organic or eco-friendly hygiene and personal care products, fair trade products, products with certification attesting to
an environmental progress programme, e.g., MSC, NF Environnement, FSC, PEFC, Paper by Nature, OK Compost home, European Ecolabel and Ecocert
labelling.

(3) Scope 1 CO2 emissions cover 87% of Group sales (excluding direct fugitive emissions of Franprix and Éxito).
(4) Group data cover 96% of Group sales (excluding Franprix).
(5) Group data cover 81% of Group sales (excluding Multivarejo).
(6) The Group waste recovery rate covers 71% of Group sales.

110
110

111
111

CASINO GROUP

2017 ANNUAL REPORT

FINANCE

Financial
highlights

Sales and results

(in € millions)

Net sales

EBITDA(1)

Trading profit

Reported net profit, Group share

Underlying net profit(2), Group share

Consolidated net debt

Net debt of Casino in France(3)

2017

37,822

1,930

1,242

120

372

4,126

3,715

2016

36,030

1,697

1,034

2,679

341

3,367

3,200

Per share data

(in €)

Underlying diluted earnings per share(1)

Net dividend

2017

2.90

3.12(2)

2016

2.56

3.12

(1) EBITDA = trading profit + recurring net depreciation and amortisation expense.
(2) Underlying net profit corresponds to net profit from continuing operations, adjusted for the impact of other operating income and expenses, as defined
in the “Significant accounting policies” section of the notes to the consolidated financial statements, the impact of non-recurring financial items, and
income tax expense/benefits related to these adjustments.
(3) Scope: the Casino, Guichard Perrachon parent company, French businesses and wholly-owned holding companies.

(1) Underlying diluted earnings per share includes the dilutive effect of Monoprix mandatory convertible bonds (ORA) in 2016 and of deeply subordinated
perpetual bonds (TSSDI) in 2016 and 2017.
(2) Dividend subject to shareholder approval at the Annual General Meeting on 15 May 2018.

112

113

CASINO GROUP

2017 ANNUAL REPORT

FINANCE

Net sales

Change in consolidated net sales

Breakdown of consolidated net sales

Breakdown of net sales for France Retail

(in € millions)

France Retail

Hypermarkets

o/w Géant Casino

Casino Supermarkets

Monoprix

Franprix – Leader Price

Convenience & Other

Latam Retail

GPA Food

Éxito (excluding GPA Food)

Cdiscount

GROUP

2017

2016

Change vs. 2016 Organic change vs. 2016(1)

18,903

18,939

4,728

4,448

3,253

4,317

4,132

2,473

16,923

12,379

4,544

1,995

4,722

4,432

3,301

4,230

4,111

2,575

15,247

10,749

4,499

1,843

37,822

36,030

-0.2%

+0.1%

+0.4%

-1.5%

+2.1%

+0.5%

-4.0%

+11.0%

+15.2%

+1.0%

+8.3%

+5.0%

+0.1%

-0.2%

+0.0%

+1.2%

+2.8%

-1.3%

-3.4%

+6.4%

+8.7%

+1.2%

+8.7%

+3.2%

● 50%
France Retail
● 45%
Latam Retail
● 5%
E-commerce

● 40%
Qualitative banners
(Monoprix and Casino
Supermarkets)
● 38%
Discount banners
(hypermarkets including
Géant Casino) and hard
discount (Leader Price)
● 22%
Convenience banners
(Franprix, Casino Proximités
and other)

(1) Excluding fuel and calendar effects.

114

115

CASINO GROUP

2017 ANNUAL REPORT

FINANCE

EBITDA and trading
profit

Consolidated EBITDA(1)

Change in consolidated trading profit

(in € millions)

France Retail

Latam Retail

E-commerce

GROUP

EBITDA margin

France Retail

Latam Retail

E-commerce

GROUP

2016

872

816

1,697

2017

901

1,029

1,930

2017

4.8%

6.1%

0.0%

5.1%

2017 at CER(2)

900

980

1,879

2016

4.6%

5.3%

0.5%

4.7%

2016

508

538

(11)

1,034

(in € millions)

France Retail

Latam Retail

E-commerce

GROUP

Trading profit margin

France Retail

Latam Retail

E-commerce

GROUP

2017

556

713

(27)

1,242

2017

2.9%

4.2%

(1.3)%

3.3%

2017 at CER(1)

554

679

(27)

1,207

2016

2.7%

3.5%

(0.6)%

2.9%

(1) EBITDA (earnings before interest, taxes, depreciation and amortisation) is defined as trading profit plus recurring depreciation
and amortisation expense.
(2) CER: constant exchange rates.

116

117

CASINO GROUP

2017 ANNUAL REPORT

SHARES AND OWNERSHIP

Share performance
in 2017

Price at
31 December 2017
€50.6

Ownership structure at 9 March 2018

at 9 March 2018

Number of shares

Voting rights

Public

Rallye Group

51,041,999

56,775,285

Casino Group employee mutual fund

1,060,399

Treasury shares

1,705,691

46.2%

51.3%

1.0%

1.5%

55,081,136

104,005,970

2,103,546

34.2%

64.5%

1.3%

0.0%

Total

110,583,374

100%

161,190,652

100.0%

Price at
31 December 2016
€45.6

JAN

FEB

MAR

APR

MAY

JUN

JUL

AUG

SEP

OCT

NOV

DEC

Casino
+10.9%*

CAC 40
+9.3%

* Change in Casino's share price
in 2017: +10.9%; +17.6% including
dividends paid over the period.

The Casino share price is

displayed in real time under

"Casino share" in the

Investors section of

the corporate website:

www.groupe-casino.fr/en/

118

Stock exchange
Euronext Paris (Compartment A)

Symbol
– ISIN: FR0000125585
– Bloomberg: CO FP
– Reuters: CASP. PA

Indices
– Benchmark
CAC NEXT 20, CAC Large 60, SBF 120,
SBF 250, Euronext 100
– Sector
DJ Stoxx and DJ Euro Stoxx Retail
– Socially responsible investing

• FTSE4Good
• Euronext Vigeo indices:
Eurozone 120, Europe 120
• Ethibel Sustainability Index (ESI)
Excellence Europe
• MSCI ACWI ESG Leaders Index
and MSCI ACWI SRI Index
• STOXX® Global ESG Leaders
indices

Eligible
for the Deferred Settlement System
(SRD) and for the PEA share savings
plan (PEA)

Shares outstanding
110,996,996 at 31 December 2017

Market capitalisation
€5.6 billion at 31 December 2017

Credit rating
Casino has been rated BB+ (stable
outlook) by Standard & Poor’s since
21 March 2016 and Ba1 (stable outlook)
by Moody’s Investors Service since
30 November 2017.
Sponsored ADR programme
Structure: Level I ADR
Bloomberg ticker: CGUSY US
CUSIP: 14758Q206
ADR depositary bank: Deutsche Bank
Trust Company Americas

Five-year share performance

Average daily trading volume

2017

2016

2015

2014

2013

in number of shares

869,067

1,016,660

949,293

631,839

627,764

in € millions

High/low

High (in €)

Low (in €)

Closing price at 31 December (in €)

Net dividend per share (in €)

44.5

46.3

59.3

54.1

49.1

56.9

46.5

50.6

3.12

54.9

35.2

45.6

3.12

87.9

38.7

42.4

3.12

97.5

70.0

76.5

3.12

86.8

68.5

83.8

3.12

Several major subsidiaries are also publicly listed:

• CBD (Brazil) on the BM&F Bovespa in São Paulo and the NYSE (USA),
• Éxito (Colombia) on the BVC in Colombia,
• Cnova (Netherlands) on Euronext Paris.

119

CASINO GROUP

2017 ANNUAL REPORT

France
store network

Number of stores
at 31 December

Retail space
(in thousands of sq.m)

2015

2016

2017

2015

2016

2017

Number of stores
at 31 December

Retail space
(in thousands of sq.m)

2015

2016

2017

2015

2016

2017

Géant Casino hypermarkets

128

129

122

926

916

856

Franprix

o/w French affiliates

International affiliates

Casino Supermarkets

441

447

o/w French affiliates/franchises

International affiliates/franchises

Monoprix and Monop’

o/w Monoprix franchises/affiliates

Naturalia

Naturalia franchises

698

197

126

745

196

141

433

106

789

211

161

722

733

715

o/w franchises

Leader Price

Convenience

Indian Ocean

867

350

810

263

858

392

796

383

893

399

777

377

6,916

6,065

5,392

146

185

630

209

606

364

356

367

661

664

652

866

114

n/a

783

115

n/a

726

117

n/a

698

711

732

Other businesses (Food services, drive-through, etc.)

621

France TOTAL

10,627

9,855

9,221

4,350

4,280

4,167

120

121

CASINO GROUP

2017 ANNUAL REPORT

International
store network

Number of stores
at 31 December

Retail space
(in thousands of sq.m)

2015

2016

2017

2015

2016

2017

ARGENTINA

Libertad hypermarkets

Mini Libertad mini-supermarkets

URUGUAY

Géant Casino hypermarkets

Disco supermarkets

Devoto supermarkets

Devoto Express convenience stores

112

111

109

107

108

106

BRAZIL

1,167

1,135

1,081

1,804

1,814

1,811

Extra hypermarkets

Pão de Açúcar supermarkets

Extra supermarkets

Assaí (discount)

137

185

199

Minimercado Extra convenience stores

311

Drugstores

+ Service stations

157

134

185

194

107

284

155

117

186

188

126

265

127

803

237

228

373

789

237

222

421

717

240

215

506

Number of stores
at 31 December

Retail space
(in thousands of sq.m)

2015

2016

2017

2015

2016

2017

1,668

1,873

1,852

970

1,011

1,022

COLOMBIA

Éxito hypermarkets

Éxito and Carulla supermarkets

Super Inter supermarkets

163

166

162

Surtimax (discount)

1,248

1,443

1,409

o/w Aliados

Cash & carry*

Éxito Express
and Carulla Express

1,095

1,307

1,278

113

109

111

Other

472

212

206

475

214

236

485

212

225

International TOTAL

2,927

3,114

3,050

2,970

3,019

3,030

122

123

* Previously included in the Surtimax line. The cash & carry line in Colombia includes one B2B store and Surtimayorista stores.

CASINO GROUP

2017 ANNUAL REPORT

You can find the 2017 Registration Document
as well as our CSR progress reports
on www.groupe-casino.fr

CONTACTS

Group External Communications Department
Phone: +33 (0)1 53 65 24 29
E-mail: directiondelacommunication@groupe-casino.fr

Financial Communication
and Investor Relations Department
Phone: +33 (0)1 53 65 64 17
E-mail: IR_casino@groupe-casino.fr

Corporate Social Responsibility (CSR) Department
Phone: +33 (0)1 53 70 51 97

External Relations Department
Phone: +33 (0)1 53 65 64 26

Group website
www.groupe-casino.fr/en/

SHAREHOLDER RELATIONS

Casino, Guichard-Perrachon

1, cours Antoine Guichard
CS 50306 – 42008 Saint-Étienne Cedex 1, France
Website: www.groupe-casino.fr/en/
E-mail: actionnaires@groupe-casino.fr
Toll-free number: 0800 16 18 20
(calls made from France only)

To convert bearer shares to registered shares, contact the financial
intermediary handling the shares concerned, who will in turn
register them with:
BNP Paribas Securities Services – GCT
Shareholder Relations
Grands Moulins de Pantin
9, rue du Débarcadère F-93761 Pantin Cedex, France
Phone: +33 (0)1 40 14 31 00
Authorised agent for management of shareholder registration.

Share capital of Casino, Guichard-Perrachon
at 9 March 2018: €169,192,562.22

Registered office
1, cours Antoine Guichard
CS 50306 – 42008 Saint-Étienne Cedex 1, France
Phone: +33 (0)4 77 45 31 31
Fax: +33 (0)4 77 45 38 38
The Company is registered in Saint-Étienne Cedex 2 under
no. 554 501 171 RCS.

Paris office
148, rue de l’Université
75007 Paris, France
Phone: +33 (0)1 53 65 25 00

PUBLISHED BY

Group External Communications Department

Design and creation:

with L’éclaireur

Layout

Photo credits:

Printed by:

Éric Bury | Shaman

CA Content / Cédric Daya / Yohanne Lamoulère, Compagnie LR / Simon Lourié /
Jean-Philippe Moulet / Alain Potignon / Internal Photo Library

A Print - Paris
Printed on 100% recycled paper at an Imprim’Vert-certified print shop.

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