What`s essential is in your hands

2008 ANNUAL REPORT
What’s essential
is in your hands
What’s essential
Offer quality and best value products
From simplest to most sophisticated
Provide easy answers for everyday needs
Ensure quality and safety daily
for 40 million products
Take a common sense approach
to sustainable development
Reach every customer
1
CONTENTS
4
Message from the Chairman of the Board
and the Chief Executive Officer
7
Two major acquisitions
8
2008 key figures
10
Corporate governance
12
What’s essential:
vision, quality, value, safety
20
What’s essential
in Sustainable Development
23
What’s essential by geography:
Europe
North America and Oceania
Latin America
Middle East, Africa and Asia
27
BIC Graphic, BIC Sport
28
Shareholders’ review
30
Key indicators
2
MESSAGE
*
Go straight
to what’s essential
In creating its first product, the BIC® Cristal®
ballpoint pen, BIC chose to satisfy the consumer
by going straight to what’s essential: create
something simple yet reliable, which eases
something we all do, that everyone can use,
that everyone can afford. That vision is
at the heart of every brand move BIC makes.
MESSAGE
Message from Bruno Bich, Chairman
of the Board, and Mario Guevara, CEO
How did BIC Group perform in 2008?
1,420.9 M
2008 SALES
+2.4%
AT CONSTANT CURRENCIES
€209.6M
INCOME FROM OPERATIONS
15.1%
NORMALIZED IFO MARGIN
Mario Guevara: In a more challenging environment than expected,
particularly in North America, we maintained or grew our market
share in all of our major categories. As expected, Group net sales
grew slightly by 2.4% at constant currencies. In Stationery, sales
were nearly flat (-0.4%); Lighter sales increased +0.8%; and Shaver
sales grew +3.9%. The income from operations margin decreased
compared with 2007, reaching 15.1%, excluding exceptional items.
The margin was impacted by the volatility of foreign exchange
rates, higher manufacturing costs, and the decline in profitability
of our promotional products business, BIC Graphic, which was
significantly impacted by the economic crisis.
Elsewhere we continued to take a pragmatic approach to sustainable development, notably through the launch of a product line
featuring recycled and renewable raw materials.
Bruno Bich: Our management team exercised strong financial
discipline in the face of the sudden and severe economic crisis in
the 2nd half of 2008. Intense focus was placed on controlling working capital requirements and capital expenditures. As a result we
were able to increase free cash flow by 23% in 2008, and maintain
a solid balance sheet. Confident in the strength of the BIC Group,
the Board of Directors is recommending a dividend of 1.35 euros
per share for the year, the same as for 2007.
The world is experiencing a period of
unprecedented economic turmoil. What are
BIC’s strengths in today’s environment?
Mario Guevara: Our foremost strength is the BIC® brand, and the
great consumer value that it offers. This is relevant in any economic climate, but even more so in the unprecedented turmoil we
face today. Consumers are exercising enormous caution in their
spending patterns, and retailers are extremely cautious as well.
4
MESSAGE
Left to right:
Bruno Bich,
Mario Guevara
No company is immune to these conditions, but our brand equity
puts us in a strong position to meet consumers’ needs at a time
when “value for money” has heightened importance.
Bruno Bich: I would like to elaborate on Mario’s comments about
the BIC® brand. We have always sought to position our brand as
the “consumer ally”, offering great value but never compromising
on quality. This “quality and value” combination has been fundamental to our success, particularly in developing markets where
our brand is most needed by people who have little money to
spend. In a global environment where consumer spending has
stalled, I believe that BIC® has the right value proposition to help
people through today’s tough economic challenges.
...
5
€3.00
2008 EARNINGS
PAR SHARE
€222.5M
NET CASH POSITION
END OF 2008
MESSAGE
2008 WORKFORCE
8,312
EMPLOYEES
BIC trademark
portfolio
BIC has just announced two major acquisitions:
Antalis Promotional Products and Cello Pens. How
do these fit with the Company’s long-term strategy?
Mario Guevara: The Antalis Promotional Products (APP) acquisition is a continuation of our commitment to the promotional products business, which we entered in the 1960’s by offering our
writing instruments as a medium for branded advertising. Our BIC
Graphic division has built a leadership position in this business,
and through the years we have expanded our product range to
include items like adhesive paper, computer peripherals, etc. The
acquisition of APP further expands our portfolio into a wider range
of products including wearables, and also better balances the
geographic footprint of our promotional products business beyond
North America, which has historically been the dominant region
for our Graphic division.
Bruno Bich: The other major move we made was to acquire 40%
of Cello Pens, the number one brand of writing instruments in
India. This company gives us a very strong foundation in the
dynamic Indian market, with a market share more than double the
nearest competitor. It adds a vitally important piece to our geographic footprint, adding a number 1 position in writing instruments in India to complement our number 1 positions in Europe,
Latin America and Africa; and our number 2 positions in North
America and Oceania. I am sure that as we learn more about the
Indian market it will provide multiple new business opportunities
both inside India and in the surrounding region as well.
Another important dimension of this partnership with Cello Pens
is that it adds further diversity to our already broad international
management team, consisting of Europeans, North Americans and
Latin Americans. I consider our international management diversity to be a real asset in this global marketplace.
The APP and Cello Pens acquisitions are an integral part of our
goal of long-term profitable growth for the Company. They will
create value for all of our stakeholders – employees, shareholders,
customers and consumers – all the people we want to thank once
again for their enduring loyalty.
6
ACQUISITIONS
Two major acquisitions
In March 2009, BIC completed the acquisition of Antalis Promotional
Products (APP), a European based distributor of a wide range of
promotional products (pens, watches, t-shirts, agendas, gadgets
and original business gifts). Relying on an extensive network of
suppliers, APP sells to more than 15,000 distributors in 40 countries in Europe, Middle East and Africa. In 2008, APP generated
92 million euros in revenues.
In January 2009, the BIC Group and the Cello Group announced
that they had signed a definitive agreement whereby BIC Group
acquired 40% of the Cello Pens writing instrument business. As
part of this agreement, BIC has a call option in 2013 to increase its
stake to 55%.
Founded just 15 years ago by the Rathod family, Cello Pens is
India’s largest manufacturer and distributor of writing instruments, with a 37% market share and a nationwide distribution
network. It is a vertically integrated manufacturer with modern
facilities, strong in-house research, product development and
marketing capabilities. Cello’s sales show superior growth, greater than 10%, and the Company’s level of profitability is very high.
The Cello® brand is one of the most recognized in India with 90%
unaided brand awareness, comparable to BIC® in its own markets.
CELLO PENS KEY FIGURES
> 1 billion pens produced
per year
> Approximately
5,000 employees
> A national distribution
No.2 in North America
No.1 in Europe
(13% market share)
(15% market share)
network
> No.1 in India for
writing instruments
> 37% domestic
Worldwide
positions
in writing
instruments
No.1 in Latin America
market share
> 90% unaided awareness
No.1 in India
(37% market share)
> INR 4,100 million
2007-2008 net sales
> 30% EBIT margin
No.1 in Africa
No.2 in Oceania
(24% market share)
(16% market share)
7
WHAT’S ESSENTIAL
L’ESSENTIEL
IN FIGURES
2008 key figures
2008 SALES BY CATEGORY
NET SALES
in million euros
1,456.1 1,420.9
+2.4%
AT CONSTANT
CURRENCIES
-2.4%
7%
OTHER
PRODUCTS
19%
SHAVERS
AS REPORTED
2007
2008
27%
2008 SALES BY GEOGRAPHY
Europe
North America and Oceania
Latin America
Middle East, Africa and Asia
3,891
3,766
6%
MIDDLE EAST,
AFRICA AND ASIA
20%
LATIN
AMERICA
1,804
1,770
33%
EUROPE
2,444
437
2007
STATIONERY
LIGHTERS
WORKFORCE BY GEOGRAPHY
8,576 8,312
47%
2,346
430
2008
8
41%
NORTH AMERICA
AND OCEANIA
WHAT’S ESSENTIAL IN FIGURES
NORMALIZED INCOME FROM OPERATIONS
in million euros
253.5
• 2007 • 2008
108.0
214.3
-10.4%
125.3
95.2
110.0
AT CONSTANT
CURRENCIES
22.0
-15.5%
AS REPORTED
STATIONERY
GROUP
LIGHTERS
10.9
SHAVERS
NORMALIZED IFO MARGIN
in percent
17.4
• 2007 • 2008
32.1
15.1
29.2
15.1 14.1
GROUP
STATIONERY
8.2
LIGHTERS
4.1
SHAVERS
GROUP NET INCOME
NET CASH FLOW AFTER ACQUISITIONS
in million euros
in million euros
172.9
144.9
143
116
-16.2%
AS REPORTED
2007
2008
2007
9
2008
CORPORATE GOVERNANCE
Corporate
governance
OFFICERS
Mario Guevara
François Bich
Marie-Aimée Bich-Dufour
Chief Executive Officer
Executive Vice-President
Executive Vice-President
François Bich
Chris Mills
Marie-Aimée Bich-Dufour
Lighters
North America
Legal
Ed Dougherty
Edgar Hernandez
François Eyssette
Stationery and Shavers
Latin America, Oceania
and Asia
Human Resources
OPERATIONS
Nicolas Paillot
Jim DiPietro
Finance
Europe, Middle East,
Africa and BIC Graphic
BOARD OF DIRECTORS
Bruno Bich
Chairman
Mario Guevara
Director and CEO
François Bich
Director and Executive
Vice-President
Marie-Pauline
Chandon-Moët
Director
John Glen
Director (1)
Gilles Pélisson
Director (1)
Marie-Henriette Poinsot
Director
Frédéric Rostand
Director (1)
Société MBD
Director (2)
Antoine Treuille
Director (1)
(1) Independent.
(2) Bich family Holding company represented by Edouard Bich.
10
CORPORATE GOVERNANCE
Left to right:
Mario Guevara,
François Bich,
Ed Dougherty,
Nicolas Paillot,
Chris Mills,
Edgar Hernandez,
Marie-Aimée Bich-Dufour,
François Eyssette,
Jim DiPietro.
AUDIT COMMITTEE
AUDITORS
Antoine Treuille
Édouard Bich (Société MBD)
John Glen
Frédéric Rostand
Deloitte & Associés
Statutory Auditor
Grant Thornton
Statutory Auditor
BEAS
COMPENSATION AND
NOMINATING COMMITTEE
Substitute Auditor
Gilles Pélisson
Marie-Henriette Poinsot
Frédéric Rostand
Substitute Auditor
Institut de gestion
et d’expertise comptable
11
WHAT’S ESSENTIAL
Offer quality and
best value products
How BIC® became BIC®…
The best way to win
consumer loyalty is to give
them the same quality
of use from start to finish.
Every BIC® Cristal®
ballpoint pen draws
a line 2km long,
which looks as good
at the end as at the start.
Every BIC® Maxi lighter
produces 3,000 flames,
identical from first to last.
Every BIC Comfort 3®
shaver is good for 10 days
of shaving, as efficient
for the first shave
as for the last.
…One of the world’s favorite brands?
In the beginning, the Company’s first product, the BIC® Cristal®
ballpoint pen, really simplified writing at a time when it was an
exercise in patience, most often done with a fountain pen.
BIC® Cristal® pens were mass produced, which made them attractively priced, combined with the advantages of consistent quality
and long use.
How BIC® remains BIC®…
…A leading brand in world markets?
BIC® remains BIC® by extending its vision to other tasks that
everyone does daily, for instance, produce a flame, or shave. BIC®
also remains BIC® by repeated satisfaction from consumers everywhere in the world.
BIC’s vision: offer products that are
simple, inventive and reliable, for
everyone, everywhere in the world.
12
WHAT’S ESSENTIAL
*
Meet all of your
writing needs
Write in many colors, highlight,
draw, color in and correct – with BIC®
at school, at home or at the office,
everyone is sure to find what they
need, at an affordable price offering
both quality and reliability.
WHAT’S ESSENTIAL
*
Always give you
the best quality
and value for money
In every market, across the entire spectrum
of needs, BIC practices the same policy
for quality at best value. From double-edge
blades sold individually in emerging
countries, to BIC® Soleil® System shavers,
BIC® shavers are a good illustration of
offering consumers the choice of quality
and innovation at the best price.
WHAT’S ESSENTIAL
From simplest
to most sophisticated
The best quality/value choice
Out of choice or out of necessity, many consumers choose by price.
BIC meets their demand, but also gives them the benefits of
BIC® quality and long use, longer than for generic or lower quality
products.
Three BIC® products
which perfectly illustrate
our policy of quality
at best value:
The choice for usability, but also for the most fun
BIC® Cristal®
The Company’s history has followed the footsteps of changing
needs. For instance the Cristal® range, initially focused on writing
alone, has expanded in order to better meet many needs.
®
®
Who wants to draw with greater precision? BIC Cristal Fine. Who
wants to write smoother? BIC® Cristal® Gel. Who wants to write
with more comfort? BIC® Cristal® Grip. Who wants to have fun?
BIC® Cristal® Pocket Scents™. Need a bolder line when you write?
BIC® Cristal® Large. All these products are designed, made and
distributed in order to offer the best quality and the right price.
BIC is in 160 countries, on every
continent, in the most mature markets
and in emerging ones.
15
The world’s most popular
ballpoint pen,
BIC® Maxi lighter
The world’s first brand
name pocket lighter,
BIC® Twin Lady shaver
The women’s shaver
with the highest shelf
turnover in Europe.
WHAT’S ESSENTIAL
Provide easy answers
for everyday needs
An efficient response
Every day*, around
the world, consumers
choose to buy:
24 million
BIC® stationery
products,
5 million
BIC® lighters,
10 million
BIC® shavers.
* Based on 220 days.
Each time BIC identifies a specific need, it responds with technical
ingenuity to optimize performance.
Continuous research on inks focuses on improving their indelibility on paper or writing ease in all climates. For correction products,
BIC has developed three methods, which correspond to very precise needs: foam applicator that covers large surfaces, pens that
offer added precision, and tapes for instant corrections. For shavers,
BIC designs and markets easy-grip handles, which are adapted to
the specific needs of men or women during shaving.
Obvious
The simplicity of BIC® products is not just “technical.” It is also
obvious. It is enough to look at a BIC® product to know how it is used.
Without even opening the package for a new BIC® Easy shaver
(includes a handle, a triple-blade shaving head and 6 refills), the
shaver’s use and advantages are already apparent.
The BIC® Easy meets new expectations
for consumers who want a practical,
simple and affordable shaver – a handle,
a triple-blade shaving head and 6 refills
make the BIC® Easy the first shaver
of its kind on the market.
16
WHAT’S ESSENTIAL
*
Also simplifying
new gestures
The BIC corporate vision continues
to express itself through new
gestures, some close to writing
(like correction), and others of a
more modern kind. For example,
in France, BIC and Orange have
launched a mobile phone refillable
with a prepaid card and that
provides just what’s essential:
telephone service plus sending
and receiving text messages.
WHAT’S ESSENTIAL
*
Committed to your safety
Before any BIC® Maxi lighter is sold, it undergoes
more than 50 separate automatic checks. It meets
or exceeds the International Safety Standard
ISO 9994, and it will produce about 3,000 lights.
If it is sold in a country where lighters have to be
child-resistant, it will have child-resistant features,
making lighting more difficult for children.
WHAT’S ESSENTIAL
Ensure quality and safety
daily for 40 million products
Thanks to exclusive BIC processes
Technical quality and safety are in the DNA of BIC® products. These
two requirements are paramount in product design, and are present all along the manufacturing line. BIC processes define manufacturing every step of the way – from the choice of raw materials
to product packaging. This kind of commitment is rare in a marketplace where the apparent simplicity of a pen, lighter or shaver
gives random players a chance to market products with widelyvarying quality and usefulness.
14% by sub-contractors,
who comply with
BIC standards.
Deployed in BIC factories
15 factories handle
Because of its industrial size, BIC can guarantee the same high
level of quality for 40 million products a day. BIC factories are all
organized to ensure compliance with the Company’s commitment to
quality, safety, corporate social and environmental responsibility.
stationery products,
4 make lighters,
3 make shavers.
86% of BIC® products
are made in the
Company’s factories.
The ball in a ballpoint pen
(diameter: 0.5-1.6mm)
is set to within a
tolerance of 1 micron.
A lighter assembly has
up to 25 different parts.
Each shaver undergoes
20 quality checks.
19
SUSTAINABLE DEVELOPMENT
Take a common sense approach
to sustainable development
How BIC®
products perform
2 km of writing
with a BIC® Cristal®
ballpoint pen,
3,000 lights with
a BIC® Maxi lighter,
10 days of shaving
with a BIC Comfort 3®
shaver.
Sustainable development
report is available on
www.bicworld.com
To discover BIC®
Ecolutions™ range:
www.bicecolutions.com
By making products that are
lightweight and long-lasting
Centered on their primary function, BIC® products have from the
start been designed and manufactured without any excess, with
just the right amount of materials. In BIC’s vision, saving resources goes hand-in-hand with longest use possible. For example, a
BIC® Cristal® pen only weighs 5.8 grams and delivers over 2 kilometers of writing. What’s more, a BIC® 3 shaver only weighs
8 grams, but is good for at least 10 days of shaving.
By measuring our impact
in order to do the right thing
BIC measured environmental impacts for its products and has an
ecodesign tool. The results are used to find solutions and continue
making progress. That means minimizing raw material quantities
used, using recycled or renewable materials, or developing refillable products. One new product line, BIC® Ecolutions™, launched
in 2008, includes stationery products made with recycled material
and a shaver with a bioplastic handle. In addition, the “Eco-value”
label, displayed on packaging is an aid to consumers and retailers.
In its factories and transport activities, BIC also continuously
reduces its consumption and emissions.
By developing our social commitment
BIC’s social policy revolves around a commitment to strengthening
the skills and employability of its personnel. Many of the Company’s
training programs are designed to assist employees in adapting to
change in the economic and social climate.
All of BIC’s factories and subcontractors apply the BIC Group Code
A
of Conduct, inspired by the Company’s compliance with standards
created by the International Labour Organization (ILO).
Light & Lo
ng Lastin
g
Léger &
utilisa
longtem ble
ps
BIC’s community-support activities are anchored in local issues
and pragmatic solutions. These activities are fully the responsibility of each subsidiary. In addition, in 2008, employees throughout
the Group mobilized in support of a worldwide project to restore
mangrove forests in Indonesia.
20
SUSTAINABLE DEVELOPMENT
*
Empowering you
to choose “green” materials
BIC has always made lightweight products,
designed to last. BIC knows that the world
needs to conserve its non-renewable resources.
That awareness has led it to go further and
offer a product range, designed with added
environmental advantages in mind.
ACTIVITIES
*
Stand by you,
in over 160 countries
BIC chooses to be in close proximity
to consumers worldwide, thanks
to 3.2 million points of sale –
from open-air pushcarts to
superstores, in some cases
covering 25,000m2 of floor space.
Today, BIC® products are easy
to find in large department
stores, at mass retailers or
in specialty shops, as well as
in office supply stores.
ACTIVITIES
Reach every customer
Europe
In spite of a challenging economic climate, BIC ended 2008 still in
a position of leadership for stationery in every segment of distribution. The back-to-school season was a success; BIC partnered with
its retailers and produced good visibility on sales floors, supported
by efficient advertising spending. BIC’s expertise contributed to its
successful performance in categories such as ballpoint pens,
fountain pens, mechanical pencils, coloring and correction, as well
as new product launches, including sticky notes and adhesive labels.
Following the European Commission Decision (2006/502/EC) of
11 March 2006, the child resistant standard and the international
lighter safety standard (ISO 9994) are mandatory for all lighters
sold to consumers after 11 March 2008. BIC used television advertising in 14 European countries to promote the quality and safety
of its lighters. These topics were also mentionned in its newsletters BICareful™, distributed to 200,000 retailers in Europe.
€473.4M
2008 SALES
33%
OF GROUP SALES
+4.2%
AT CONSTANT CURRENCIES
In a very competitive environment, the triple-blade shaver segment
drove market growth, particularly the BIC® 3 for men and the BIC®
Pure 3™ for women.
After its UK launch in 2007, the woman’s shaver, BIC® Soleil®
System/Clic with refills, was distributed across all of Continental
Europe in 2008. Sales were particularly good in Nordic countries,
France and Greece.
In France, the launch of the BIC® phone in partnership with Orange
was a significant event.
In France, Cap’taine Prudence is a fire
safety education program for children,
developed by BIC in cooperation
with Civil Protection authorities.
23
ACTIVITIES
North America and Oceania
€585.2M
2008 SALES
41%
OF GROUP SALES
-1.6%
AT CONSTANT CURRENCIES
In stationery markets characterized by fierce competition, BIC
maintained its market share, thanks to the effectiveness of its backto-school programs and its supply chain.
Even as the economic downturn affected businesses, BIC maintained stationery sales by seizing new opportunities for mechanical
pencils, BIC® Mark-it® permanent markers, highlighters and dry
erase markers.
The market for lighters continued to decline in the wake of falling
cigarette sales and a drop in consumer traffic in stores. Nonetheless,
BIC strengthened its leading market position for pocket lighters,
and continued its “risk to retailer” program, which communicates
the risks of selling non-compliant lighters. Innovative counter displays and increased mass distribution through local stores further
contributed to improve BIC market share.
Sales of one-piece triple-blade shavers improved, particularly the
BIC Comfort 3®, and BIC® Soleil® for women, which maintained its
leading position in key women’s segments. In the US last year, BIC’s
successful launch of the BIC® Soleil® Shimmer, an extension to the
refillable shaver range, appealed to young and adolescent women.
Consumer and trade
advertising captures
the unique benefits
of BIC’s stationery
products, lighters
and shavers.
24
ACTIVITIES
Latin America
Similar to 2007, and in the face of increasing competition from
Asian imports, sales increased, thanks to an expanded stationery
portfolio and classic products, such as BIC® Cristal® ballpoint
pens, BIC® Evolution™ pencils, Mini lighters and BIC Comfort 3®
shavers. Argentina, Brazil and Ecuador recorded excellent results,
whereas some countries and notably Mexico were affected in 2008
by the economic situation.
The acquisition of Pimaco® (leading brand in Brazil for the manufacture and distribution of adhesive labels for office, school and
home use) expanded BIC’s stationery range. In 2008, BIC focused
on the quality and reliability of its products as well as on developing its distribution network.
Growth in the 2008 lighter business was the result of price increases and expanded distribution. BIC’s strong commitment with local
authorities to ensure lighter safety also remains a key success
factor.
In Argentina, BIC® stationery
products were at the front
during back-to-school!
25
€282.2M
2008 SALES
20%
OF GROUP SALES
+9.6%
AT CONSTANT CURRENCIES
ACTIVITIES
Middle East, Africa and Asia
€80.1M
2008 SALES
6%
OF GROUP SALES
+0.5%
AT CONSTANT CURRENCIES
In the Middle East and Africa, BIC improved its distribution and
visibility in all businesses despite an unfavorable political and
economic environment.
In a region historically focused on the BIC® Cristal® ballpoint pen,
BIC launched new stationery products and expanded distribution
of value-added products.
The BIC commitment to the quality and safety of its lighters supported sales growth. This commitment also means stronger recognition for the BIC® brand, a clear difference between BIC® products
and those offered by competitors.
Shaver sales improved, as a result of sales growth for triple-blade
shavers, such as the BIC® 3, and also thanks to good reception for
the BIC® range of products for women, notably BIC® Soleil®. Consumers decided to choose BIC® shaving products, a range combining
quality and affordable price.
Asia is a vast marketplace, dominated by local players. The year
2008 was devoted to preparing for future growth, strengthening
distribution and fostering brand awareness. Although shaken by
the economic situation during the last quarter of 2008, all of the
Group’s businesses recorded good performance.
In 9 towns in Nigeria, BIC has
implemented 150 retail kiosks inside
primary and secondary schools.
26
ACTIVITIES
BIC Graphic
In 2008, the promotional products business continued with the
success of product ranges, including BIC® Ecolutions™, sticky
notes and Atchison® by BIC™ imprinted bags. Nonetheless, the
business saw the beginnings of economic turmoil and a sharp
slowdown in the writing instruments segment in the US market.
However, the acquisition in 2009 of Antalis Promotional Products
(APP), a European distributor of a broad range of promotional
products, will bring new growth opportunities to BIC Graphic.
BIC Sport
The European market for the entire range of products for water
sports suffered from a rainy climate and unusually cold weather
throughout the peak season for mass retail. The sailing dinghy,
O’pen BIC, received several awards in 2008, including one that
recognized its manufacturing processes for compliance with environmental protection. The ranks of aficionados for stand up paddle
surfing continued to grow in all marketplaces.
The O’pen BIC sailing dinghy
and the multi purpose
stand up paddle from BIC
are two innovative products
which will make waves
with any water sport lover.
27
MILESTONES
Shareholders Review
CAPITAL OWNERSHIP AS OF DECEMBER 31, 2008
28.8%
PUBLIC
44.2%
6.8%
BICH FAMILY’S CONCERT INCLUDING(b):
> SOCIÉTÉ M.B.D.: 25.54%
> BICH FAMILY: 18.65%
ARNHOLD AND S.BLEICHROEDER
ADVISERS, LLC
14.8%
4.6%
SILCHESTER INTERNATIONAL
INVESTORS
0.8%
(c)
MRS ÉDOUARD BUFFARD
TREASURY STOCK
VOTING RIGHTS AS OF DECEMBER 31, 2008(a)
18.4%
PUBLIC
6.3%
54.3%
ARNHOLD AND S.BLEICHROEDER
ADVISERS, LLC
BICH FAMILY’S CONCERT INCLUDING(b):
> SOCIÉTÉ M.B.D.: 32.65%
> BICH FAMILY: 21.62%
14.6%
SILCHESTER INTERNATIONAL
INVESTORS
0.5%
(c)
5.9%
MRS ÉDOUARD BUFFARD
TREASURY STOCK
(a) As of December 31, 2008 number of voting rights amounts to 75,403,044 (taking into account voting rights of treasury shares).
(b) Bich Family’s concert is composed of Bich Family members and of SOCIÉTÉ M.B.D. (a company - société en commandite par actions –
gathering most of Bich Family’s concert members. These members also hold direct participations in SOCIÉTÉ BIC).
(c) Treasury shares temporarily without voting right.
28
MILESTONES
BIC SHARE PRICE IN 2008
(in the Eurolist Euronext Paris)
110
100
90
80
70
• BIC
• CAC 40
60
50
Base 100
as of January 1, 2008
40
JAN.
08
FEB.
08
MAR.
08
APR.
08
MAY
08
JUNE
08
JULY
08
AUG.
08
SEP.
08
OCT.
08
NOV.
08
DEC.
08
BIC SHARE PRICE SINCE 1998
(in the Eurolist Euronext Paris)
250
200
150
100
• BIC
• CAC 40
50
Base 100
as of January 1, 1998
0
1998
1999
PER SHARE DATA in euros
Earnings Per Share
Net dividend per share
Pay out ratio
Average number of shares
net of treasury shares
2000
2001
2002
2003
2004
2005
2006
2007
2008
2004
2005
2006
2007
2008
2.15
3.11
3.43
3.51
3.00
(1)
1.15
1.30
1.35
1.35(2)
42%
37%
38%
38%
45%(2)
52,882,591
50,330,582
49,661,931
49,244,579
48,357,724
0.90
(1) A spedial dividend of 1.00 euro per share was paid for year 2004.
(2) The Board of Directors will propose a dividend of 1.35 euros at the Annual General Meeting of Shareholders on May 14th, 2009.
29
MILESTONES
Key indicators
Until 2003: French GAAP
From 2004: IFRS
in million euros
Net sales
Income
From Operations
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
1,332.3 1,528.2 1,533.3 1,491.6 1,360.1 1,264.9 1,380.8 1,448.1 1,456.1 1,420.9
243.8
250.5
256.9
252.5
209.0
Normalized IFO
172.6
238.4
253.9
255.8
209.6
205.0
241.1
258.7
253.5
214.3
Capital Expenditures
117
149
106
85
70
70
90(1)
71
77
83
Free cash flow
after acquisitions
-36
111
73
186
160
157
99
147
116
143
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
1.87
2.27
2.14
2.23
2.03
2.15
3.11
3.43
3.51
3.00
0.80
(2)
1.15
1.30
1.35
1.35(3)
Until 2003: French GAAP
From 2004: IFRS
in euros
Earnings per share
or EPS
Dividend per share
0.48
0.58
0.65
0.80
0.90
(1) Shelton real estate acquisition (11 million euros).
(2) A spedial dividend of 1.00 euro per share was paid for year 2004.
(3) The Board of Directors will propose a dividend of 1.35 euros at the Annual General Meeting of Shareholders on May 14th, 2009.
30
MILESTONES
STATIONERY
2004*
2005
2006
2007
2008
Net sales in million euros
674.5
718.3
737.6
714.9
673.3
IFO margin
10.5%
14.4%
14.4%
15.1%
13.4%
Normalized IFO margin
14.2%
14.8%
14.9%
15.1%
14.1%
LIGHTERS
2004*
2005
2006
2007
2008
Net sales in million euros
322.1
372.7
394.6
390.3
376.9
IFO margin
29.7%
32.3%
32.5%
32.1%
29.2%
Normalized IFO margin
29.5%
31.9%
32.5%
32.1%
29.2%
SHAVERS
2004*
2005
2006
2007
2008
Net sales in million euros
213.7
238.7
253.8
266.7
264.3
IFO margin
4.5%
8.5%
9.5%
8.2%
4.1%
Normalized IFO margin
8.6%
9.2%
9.9%
8.2%
4.1%
®
BIC triple-blade one-piece shavers represented 42.5% of BIC’s total one-piece shaver sales in 2008.
OTHER PRODUCTS
Net sales in million euros
2004*
2005
2006
2007
2008
54.6
51.1
62.1
84.2
106.5
* IFRS.
31
Design and production:
W & CIE
Photos credit:
Jean-Luc Droux, BIC Group library, X.
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