Highlights of 2009

Sustainable development

ANF has switched to a sustainable development approach in order to take on board the environmental impact of its business and get ahead of new regulations in this field. In this regard, the first thing that was done was the carrying out of an energy assessment of certain buildings.

SIIC status

In January 2006, ANF opted for the SIIC tax status, enabling it to enjoy a tax exemption subject to certain conditions. ANF’s main shareholder brought itself into line with the requirements of the SIIC regime, enabling ANF to increase its float and improve its stock market profile even further. As of December 31, 2009, Eurazeo held 59.24% of ANF.

Greater liquidity

During 2009, ANF continued its investor relations drive, particularly endeavouring to meet a large number of investors and financial analysts. These efforts resulted in a very substantial increase in liquidity, rising threefold within 12 months. The daily trading volume is now around 7,000 (source: Bloomberg from 01/01/09 to 12/31/09).

Planned developments in Marseilles: Completion of Adagio

The new tourist accommodation on rue de la République (142 units) was completed on schedule in October 2009. Two other developments will be completed in 2010 (Forbin and Fauchier).

Opening of the second Starbucks in Lyons and approval for the Marseilles one

The Starbucks Coffee chain opened its second coffeehouse in Lyons, rue de la République, in the pedestrian zone. A lease for the first Starbucks coffeehouse in Marseilles was agreed with the opening planned for H1 2010.

Further increase in rental income

Rents continued to rise in 2009, despite the challenging economic climate. Annual rental income was thus up 10% at constant scope to €65 million. In Lyons and Marseilles, rents were up 12% reflecting the dynamism of these two cities and the resilience of ANF’s real estate assets.

Rise in appraisal values in H2

The rise in capitalisation rates in H1 2009 resulted in lower values. The appraisers felt that for H2 the rates should remain unchanged given the quality of the real estate and the continued rise in rents. The real estate value rose 2% at constant scope in H2 2009.

Lower borrowing cost

3-month Euribor averaged 0.73% in 2009. ANF benefited from this situation by cutting its borrowing cost by close to 30 basis points.

Asset rotation

Asset disposal is a key part of ANF’s strategy. In 2009, €55 million in assets were disposed of at prices in line with the market, in accordance with the three-year plan.

B&B Partnership

Entered into in 2007, the partnership with B&B sees ANF supporting the hotel chain by paying for upgrading the hotels – switching to the new concept – as well as with the acquisition of new hotels. In 2009, ANF invested €35 million in the partnership, €21 million of which was for the acquisition of 5 new hotels.