44
2008 ACTIVITY REPORT FONCIÈRE PARTENAIRE
2008 ACTIVITY REPORTFONCIÈRE PARTENAIRE
LONG-TERM 02_09
A STRATEGY BUILT ON SOLID FOUNDATIONS
Message from Charles Ruggieri, Chairman of the Supervisory Board 04_05
Discussion with Christophe Kullmann, Chief Executive Officer 06_07
Key figures & events of 2008 08_09
COLLABORATIVE 10_17
LONG-TERM PROPERTY PARTNERSHIPS WITH LEADING COMPANIES
Assisting the property strategies of major companies 12_13
Developing innovative solutions to the benefit of our partners 14_15
Planning today for the property of tomorrow 16_17
COMPLEMENTARY 18_25
A DIVERSE RANGE OF PROPERTIES
A targeted European strategy 20_21
Foncière des Murs: a leader in the service-sector property market 22
Foncière Europe Logistique: a key player in logistics property 23
Foncière Développement Logements: a European residential property company 24
Parcs GFR and Urbis Park: dynamic challengers 25
RESPONSIBLE 26_31
A PROGRESSIVE AND LONG-TERM APPROACH
Human resources: investing in human capital 29
Environmental performance: continual assessment and improvement 30
Patronage: being involved in community life 31
LEGAL AND FINANCIAL INFORMATION 32_39
Corporate governance 34_35
Shareholder information 36_37
Financial results 38_39
CONTENTS
PROFILE
_01
Property partner
A property company specialising in officesFoncière des Régions is a key player in the office real-estate sector and has major companies as tenants: France Télécom, EDF, Accor, SuezEnvironnement, Dassault Systèmes, Thales, Telecom Italia, IBM, etc.
European property companyFoncière des Régions is a real-estate player at a European level.Foncière des Régions is present in France and Italy and also operates in Germany and Belgium.
Diverse property companyFoncière des Régions also owns investments in specialised real-estate sectors: logistics, service-sector and residential property and car parks.
Expert property companyThe growth of Foncière des Régions is built on values which underpin its strength and its reputation: diverse investments, its teams’ knowledge,long-term rental and financial partnerships, creating portfolio value, advice and assistance to tenants.
Independent property companyListed on the stock exchange, Foncière des Régions is one of the leading property companies on a European level. With a solid and structured shareholder base including Batipart, Delfin and institutional shareholders.Foncière des Régions is listed on Euronext Paris compartment A and is eligible for SRD.Foncière des Régions shares are included in the SBF 120, Euronext IEIF SIIC France, Eurolist Euronext Mid 100 and EPRA indices.
LONG-TERMA STRATEGY BUILT ON SOLID FOUNDATIONS
A culture of rental and financial partnerships, a solid shareholder base, employees expertise and creating portfolio
value. The values and fundamentals on which Foncière des Régions has built its growth guarantee its reputation
and long-term survival.
LES ACURIALES OFFICE BUILDING_LILLE (Nord-Pas-de-Calais). A property company specialising in offices,
Foncière des Régions’ tenants include the major French and international companies. Its portfolio comprises buildings
whose location and quality make them valuable rental assets.
02 _03
LONG-TERM
MESSAGE FROM CHARLES RUGGIERI CHAIRMAN OF THE SUPERVISORY BOARD
The financial crisis had led to a widespreadeconomic crisis whose effects will be feltover the coming years.
The Lehman Brothers collapse was a majorinfluence on the development of the creditcrunch. It caused both a loss of confidenceamong market players and widespreadadoption of recovery packages around the world, whose positive effects should be fully felt on the real economy over thecoming two to three years.
Stock markets responded with a furtherfall in stock prices which did not spare the listed real-estate sector. This drop wasmore or less standard across the board,whatever the values, and was closely linkedto developments in the financial sector.This was a symptom of an overstretched,disorientated market.
Alarmist messages emphasized the risksproperty companies could face: a rise in vacancy and non-payment rates, diffi-culties retaining tenants exceeded, bankcovenants, inability to refinance transac-tions or raise debt and falling values. These risks must be viewed in the perspec-tive of the very nature of property invest-ment and of our company in particular.
They did not occur in August 2007 or inSeptember 2008. They are a normal part
Charles Ruggieri,Chairman of the Foncière des Régions Supervisory Board
04 _05
of property investment and are governedby cycles. That is precisely why propertyinvestment companies implement policiesof management through diversification,rotation of assets, securing of flows andadaptation of the pace of developmentpolicies.
It is obviously appropriate to adapt thepace of growth to the current environ-ment, but also to stay on course, since Foncière des Régions’ activities are producing positive results which demonstrate the resilience of its model.
Real estate is a highly asset-focused industry with long cycles, presenting significant inertia, especially in France and Italy, due to the current lease systems.
When I look at the foundations of Foncière des Régions’ operations, I can seethat they are very sound and that expectedcash flows offer a high level of security.This is because Foncière des Régions chose to favour sale and leaseback for its main tenants, whose operating flows are themselves largely secure, for instancethe supply of electricity and power, telecoms and mid-range hotels. Its financial policy also favoured securityand visibility, establishing long-term linkswith top-level banking partners in the context of medium-term investments,largely covered against currency exchange risk.
Foncière des Régions also has a solid anddiverse shareholder base which is fully
committed to the Company’s long-termvalue-creation strategy.
All these advantages should enable Foncière des Régions to come out of this crisis ready to play its part in the next market phase which will accompanythe recovery of financial flows and thenthe broader economy.
Foncière des Régions is a European property company specialising in offices.This strategic position meets a long-termneed in the European economy. Foncière des Régions is maintaining its strategic course with vigilance in the current economic climate.
Foncière des Régions is a European propertycompany specialising in offices. This strategic positionmeets a long-term need in the European economy.Foncière des Régions is maintaining its strategic coursewith vigilance in the current economic climate.
2008 was marked by a serious financial crisis. How has this affected your results?Our 2008 results are good and confirm the long-term, solid nature of our strategy. In 2008, Foncière desRégions achieved an increase of 2.3% in recurrent cash flow per share, and a 17% increase in rental revenues.These good results, combined with thehigh occupancy rate of our buildings,are a sign of the quality of our portfolioand our management.
How have your asset values been affected?The fall in the value of our assets represents, on average, less than 5% of their total value. The strong resilienceof these valuations is the result of significant asset management work as well as the intrinsic nature of ourportfolio: long leases, low vacancy, quality tenants, highreturns, geographicdiversity around France, etc.
What impact has the crisis had on Foncière des Régions?At a financial level, we are seeing a revivalin rates of return and a reduction in availability of bank loans. Nevertheless,the refinancing obtained for the CB 21Tower is a good example: this successfulloan demonstrates that the use of bank
Increase in per-share cash flow, rental revenues up and a high occupancy rate: Foncièredes Régions achieved good results for 2008. In 2009, the Company will reinforce its propertypartnerships with tenants.
LONG-TERM
Christophe Kullmann,CEO of the Foncière des Régions
DISCUSSION WITHCHRISTOPHE KULLMANN CHIEF EXECUTIVE OFFICER
06 _07
financing works well provided the underlying properties are good. Finally, I believe the crisis will also have conse-quences for our sector, particularly interms of associations between propertyinvestment companies and the creationof new investment vehicles.
Your share price fell sharply during 2008. What conclusions can be drawn from this?It should be remembered that there hasbeen a significant decline over the pastyear in the stock market generally. Real estate was identified as an “at risk” sectorand investors have shown significant defi-ance in relation to property investmentvalues. Foncière des Régions’ share pricehas performed better overall than the SIIC/IEIF index (- 52%) and the CAC 40 index (- 40%).While the share price is, of course, an important element, it is only part of the long-term, secure strategy we are pursuing.
What were the key events of 2008for Foncière des Régions?From a property perspective, I couldmention the completion of the DassaultSystèmes Campus transaction, 60,000 sqmof HQE® (High Environmental Quality) offices. We also acquired twooffice portfolios from Eiffage and Etde fornearly €110 million. In terms of rentals, a 10-year lease was signed at the startof 2009 with Suez Environnement, for 42,000 sqm in the CB 21 Tower at La Défense. Meanwhile sales achievedan average of 8% above appraisal values
from the end of December 2007, bringingin an overall total of €1.3 billion. Foncière des Régions is undoubtedlyone of the few property investmentcompanies to have successfully completedsuch an ambitious trade-off plan.
How did the business of Beni Stabili,your Italian subsidiary, perform in 2008?For Beni Stabili, in which we have a 68%stake, the financial year 2008 produceda financial result marked by strong rental activity, an occupancy rate of 98%,an asset-rotation policy which createdvalue and an increase in rents on a constant structure basis. This first resultfollowing our takeover of Beni Stabili is very encouraging and demonstrates the quality of our teams.
What is your level of debt like?In terms of financing, we have alwaysfavoured long-term partnerships with financial establishments that we know and have been working with us for many years.
Our debt is secured and long and we have no significant repayment to makeuntil 2012. Our Loan To Value (LTV)ratio was 58.8% at the end of 2008.
What do you foresee for the sectorin 2009?In terms of property, the main trends seen in 2008 are likely to continue: a reduction in the number of transactionsand, a fairly new phenomenon, an increase in rental risk due to the increasedfragility of tenants and downward pressure on rents. Thanks to our positionas a property partner to major companiesand the quality of our tenants, with whomwe are in constant and constructive dialogue, we enjoy undeniable advantagesand a high level of visibility.
Foncière des Régions is a property company specialisingin offices. Our advantage comesfrom being a property partner to major companies.
LONG-TERM
68%Offices:
36% in France
32% in Italy
Car parks 1%
Logistics8%
Service sector10%
Housing13%
PORTFOLIO BREAKDOWN (GROUP SHARE)
PROPERTY INDICATORS
FINANCIAL INDICATORS
2007 2008 20082007 20082008
Rental income: +17% group share+ 3.8% on a constant structure
basis (in € million)
2006 2007 2008
Constantly increasing cash flow(in €/share)
Very high office occupancy rates
(as %)
€1.3bn of consolidated disposals+ 8% on valuations at the end of 2007
(in € million)
Average residual lease-duration of more
than six years fixed (group share data in years)
869 1,090gs
1,308conso lidated
disposals546gs
1,017640gs
99.1France 6.0 6.197.6
Italy
+ 17%
+2.31%
6.9 7.5 7.67
S12006 2006 S12007 2007 S12008 2008
A constant LTV* level(as %)
56.1 56.1 55.2 57.6 58.856.1
2006 2007 2008
NAV impacted by fall in values
(in €/share)
-13.4%
87.8111.9 96.9
Basis*
€10.4bngroup share (gs)
(€16.7bn consolidated)
KEYFIGURESFOR 2008
* Including equity-accounted affiliates.
* Loan To Value: ratio between debt net and property value.
08 _09
January/Foncière des Régions• Acquisition from Eiffage of
a 190,000 sqm portfolio valued at €102 million. Office and business premises let to Eiffage for 9-year fixed-term leases account for 75% of this portfolio.
• Cœur d’Orly project: Aéroports de Paris chose the joint venture between Altarea/Foncière des Régionsto design and construct the first phaseof the Cœur d’Orly project which includes 160,000 sqm of offices, shops and a hotel.
March/Foncière des RégionsFoncière des Régions joins the SBF 120.This move underlines the increase in liquidity of the stock and the amount of securities traded each day.The SBF 120 is an index including the top 120 stocks listed on Euronext in terms of liquidity and stock marketcapitalization.
March/Foncière des MursAcquisition, through the partnershipwith Korian, of a 140-bed residence for the elderly in Sardinia for €8.9 million, including fees and duties, and a 51-bed psy-chiatric clinic near Dax for €4.2 million.
June/Foncière des MursAcquisition of a hotel in Florence operated by the Metha group under the Holiday Inn brand.
July/Foncière des RégionsFoncière des Régions and Morgan Stanley Real Estate Funds deliver theDS Campus, the global head office of Dassault Systèmes, 60,000 sqm ofHQE® offices in Vélizy.
July/Foncière des MursAcquisition of a new SunParks village,located in Belgium, for €41.9 million, as part of the partnership with Pierre & Vacances.
September/Foncière DéveloppementLogements Off-plan delivery of 63 housing units in Villenave-d’Ornon (Gironde).
October/Foncière des RégionsFoncière des Régions completed its first sale (€95.1 million) to an OPCI (property-investment mutual fund)and met its disposal target for 2008.
October/Foncière des MursAcquisition of four Quick restaurantsas part of a partnership agreed in 2007.
October/Foncière Europe LogistiqueFoncière Europe Logistique lets44,100 sqm of logistics space at the Garonor, Chalon-sur-Saône and Saint-Witz sites.
November/Foncière des RégionsRefinancing of €240 million in relation to the CB 21 project (formerly the Gan tower) at La Défense.
December/Foncière Europe LogistiqueDelivery of three new logistics hubs:• Corbas (Rhône): a building designed
to house courier services, with a surface area of 14,943 sqm entirely letto GEODIS for a period of 12 years.
• Bollène (Vaucluse): Paneuroparc multimodal business park: 29,910 sqmlogistics hub.
• Dunkirk (Nord-Pas-de-Calais): TheQuais de l’Atlantique, a 23,000 sqmmultimodal hub.
DecemberThe DS Campus operations in Vélizyand the Quais de l’Atlantique in Dunkirk have been nominated for the Grand Prix SIMI award.
December/Foncière des MursAcquisition of three Jardiland gardencentres for €12 million, including duties.
KEY EVENTSIN 2008
MERCURE HOTEL_PORTE DE SAINT-CLOUD, BOULOGNE-BILLANCOURT (Hauts-de-Seine). Foncière des Régions has developed a
close partnership with the Accor group, covering more than 200 hotels. An exemplary long-term partnership, built on communication
and collaboration between two stakeholders.
Foncière des Régions is the property partner of the largest French and European companies.
This recognized specialism has been built on human values and the expertise of the professionals who create
its reputation and develop a unique and long-lasting commercial relationship with its main tenants.
COLLABORATIVE
10 _11
LONG-TERM PROPERTY PARTNERSHIPS
WITH LEADING COMPANIES
More and more companies are opting to sell and leaseback their property portfolio. This then becomes a new vehicle for value creation. As a result of beneficial taxation measures (theFrench tax status of quoted property-investment company or SIIC) and incorporation of new management issues, major sale and leaseback operations have been completed in recent years. Foncière des Régions
has been involved in most of them,following acquisitions from the main industrial and service groups: Accor,France Télécom, EDF, Eiffage, Quick,Korian, Courtepaille, etc.
France Télécom: a property partner since 2002With nearly 500 buildings, representing1.7 million sqm, Foncière des Régions is France Télécom’s largest landlord.
The property expertise developed by Foncière des Régions and the range of itsknowledge have proven to be a winningcombination, given the variety and typesof properties.
EDF: a first-class regional portfolioThe partnership relationship betweenFoncière des Régions and EDF began in 2001 through the acquisition of 55 regional head offices. This portfoliois mainly composed of head offices and technical services centres based in city centres or on the outskirts of large cities.
Eiffage: a long-term rental partnershipAt the start of 2008, Foncière des Régions acquired a portfolio of officesand business premises from Eiffage witha total surface area of 190,000 sqmspread across France. For this large public construction group, property saleand leaseback of its offices and tertiarybuildings met its aim of associating itselfwith a recognized property group.
COLLABORATIVE
In France, Foncière des Régions owns a portfolio of offices valued at €3.7 billion with a total surface area of 2.2 million sqm. These assets are characterized by their diversity,geographical complementarity, rental security and high level of profitability.
Long-term partnershipsare part of our corporateculture.
Olivier Esteve, Office Real Estate Managing DirectorFoncière des Régions
At Foncière des Régions, partnerships are part of our corporate culture. By having an understanding of the whole value chain, thanks to the skill of our teams, Foncière des Régions offers comprehensive solutions to companieswishing to sell and leaseback their portfolio. For all our clients – France Télécom, Accor, IBM, EDF and Eiffage – our property management makes us the natural choice. Our partnership commitment to each of our tenants is real, long-lasting and constantly evolving.
ASSISTINGTHE PROPERTY STRATEGIES OF MAJOR COMPANIES
12 _13
IBM: a value-creating partner Since 2005, Morgan Stanley Real EstateFunds and Foncière des Régions have acquired a portfolio of seven buildings totalling 125,000 sqm from IBM France.Foncière des Régions carries out the pro-perty management and asset managementfor the buildings, which are occupied by IBM. At the end of 2008, as part of a new development, Foncière des Régionsdelivered a new 3,000 sqm building inMontpellier to IBM, designed to house a cutting-edge IT centre.
EDF BUILDING_SAINT-AVERTIN (Indre-et-Loire).
€273Min annual rent from offices in France
Occupancy rate of office portfolio in France
99.1%
Return from the office portfolio in France
8.1%
FRANCE TÉLÉCOM BUILDING_PARIS (Île-de-France).
OFFICE BULDING_ISSY-LES-MOULINEAUX (Hauts-de-Seine).
OMEGA BUILDING_LEVALLOIS-PERRET (Hauts-de-Seine).
A business model serving a long-term strategyFoncière des Régions has diversified itsareas of operations and its portfolio, whileretaining the same business model, whichit has been able to adapt to the variouscountries and products. Thanks to its dedicated and professional teams located as close as possible to the portfolio and the
tenants, Foncière des Régions, a recognizedservices partner, deploys the same strategyin other business sectors. One example is Accor, a hotel group which is a world leader in its business sector.
Accor: adaptability and flexibilityAccor decided to sell and leaseback partof its portfolio in 2005. This strategy was
part of a new portfolio management policy designed to give up ownership of hotels, while continuing to managethem. Foncière des Régions, through itssubsidiary Foncière des Murs, developeda long-term partnership with Accor covering more than 200 hotels from chainsincluding Sofitel, Mercure, Pullman, All Seasons, Novotel, Ibis, Etap Hotel, etc.
Based on the strength of these successful partnerships and its own sound foundations,Foncière des Régions has been able to develop innovative property and financial solutionswith several other partners who have expertise in their sector.
MERCURE HOTEL_PORTE DE SAINT-CLOUD, BOULOGNE-BILLANCOURT (Hauts-de-Seine).
A dynamic partnershipfocused on performance and value creation.
Alice Lombard, Vice-President Asset Management& Real Estate Partnerships Department,Accor group
Accor has carried out some refinancing as part of its Asset Right strategy, exchanging its hotel real estate for variable-rent leases and entering into partnerships with majorplayers in the real-estate sector.The first was Foncière des Murs, which owns nearly 200 hotels operated by Accor. We have built a dynamic partnership together, focused on performance and value creation. Based on this partnership and as a result of listening and working together, we have been able to establish a relationship of trust allowing us to face the current crisis calmly and be confident of future development potential.
COLLABORATIVE
DEVELOPINGINNOVATIVE SOLUTIONSTOTHEBENEFITOFOURPARTNERS
14 _15
Confidence of financial partnersIn addition to its property partnerships,Foncière des Régions pursues its growthmodel through financial partnershipswith investors who share real-estate visionand the ambition to grow. This year, forinstance, Foncière des Régions has colla-borated with Predica (Crédit Agricolegroup) on the Carré Suffren project
in Paris and the Euromed Center in Marseilles.In 2008, the DS Campus, the new headoffice of Dassault Systèmes, was comple-ted in partnership with Morgan Stanley,FSA Property and Foncière des Régions,which was also chosen by Aéroports deParis as co-investor in the Cœur d’Orlyproject.
CARRÉ SUFFREN_PARIS (Île-de-France).
202hotels owned by Foncière des Murs
Budget for the DS Campus project
€210Min partnership with Morgan Stanley and FSA Property
HEALTHCARE RESIDENCE, OWNED BY FONCIÈRE DES MURS_MEUDON (Hauts-de-Seine).
CŒUR D’ORLY_ORLY (Val-de-Marne).
Dassault Systèmes Campus: a benchmark property and partnership projectDassault Systèmes, a world leader insoftware packages, selected Foncière des Régions to design and build its newglobal head office in Vélizy-Villacoublay.The Campus’s four buildings, 60,000 sqmof HQE®-certified offices which Dassault Systèmes will occupy under a 12-year lease, sit in a landscaped parkcovering two-thirds of the site which isdirectly linked to the forest of Meudon.
Foncière des Régions and Suez Environnement contributeto renewal of La DéfenseSuez Environnement has become a new partner-tenant of Foncière des Régions by leasing 42,000 sqm of officesin the CB 21 Tower in La Défense, Europe’s number one business district.The complete renovation plan drawn up by Foncière des Régions for this75,000 sqm office building won overSuez Environnement which will be moving its new corporate head office
there from mid-2010. In due course,2,000 Suez Environnement group em-ployees will work in this tower, which is a landmark on the Parisian skyline.
Euromed Center in Marseilles: a new seafrontThe Euroméditerranée urban developmentproject will bring a new district to life by2012 through the creation of new offices,shops, public areas and housing. In part-nership with Predica, Foncière des Régionsis contributing to this urban transforma-tion by taking part in the Euromed Centerproject. This complex, whose main archi-tect is Massimiliano Fuksas, includes a 71,500 sqm-area of major structuralfacilities — offices, shops, hotel andmultiplex cinema — which will makeMarseilles the maininterface between Europe and the Mediterranean region.
Foncière des Régions works alongside companies and public bodies to plan urban developmentand restructuring projects, both combined and solely tertiary, with the aim of combiningarchitectural and environmental quality with urban integration.
We have designed a cutting-edge living area with Foncière des Régions.
Laurence Dors, Senior Executive Vice-President, Global Development& Resources, Dassault Systèmes
We have reflected on and designed our global head office – in close collaboration with Foncière des Régions – to reflect the culture of Dassault Systèmes, always pushing the boundaries of innovation further. Foncière des Régions worked with us throughout the project to match this brief as closely as possible, as part of a partnership in which its ability to listen, capacity to adapt and responsiveness allowed us to produce a campus tailored to our needs.
COLLABORATIVE
DASSAULT SYSTÈMES CAMPUS_VÉLIZY-VILLACOUBLAY (Yvelines).
PLANNINGTODAY FOR THEPROPERTY OF TOMORROW
_17
Made up of around 15 professionals, Foncière des RégionsDéveloppement plans, coordinates and manages developmentoperations for which Foncière des Régions acts as investor or joint investor. Foncière des Régions Développement alsotakes part in major renovation work on the group’s portfolioin the Île-de-France and elsewhere in France. Building the cityof tomorrow means working closely with public authorities,investors, architects and the various technical contractors,and Foncière des Régions Développement possesses all the expertise required to tackle these property challenges.
Pascal Crambes, Managing Director of Foncière des RégionsDéveloppement
CB 21 TOWER_LA DÉFENSE (Hauts-de-Seine).
We are planningtoday for the city of tomorrow.
CŒUR D’ORLY_ORLY (Val-de-Marne).
16
42,000SQMin the CB 21 Tower let to SuezEnvironnement for a 10-year term
Cœur d’Orly: a lively business hubAéroports de Paris chose the joint venture of Foncière des Régions and Altarea to complete this developmentproject and participate as joint investorsbased on a project designed by architectJean-Michel Wilmotte and landscapedesigner Philippe Thébaud. In a strategicposition and benefiting from a dynamicenvironment, the first phase of Cœurd’Orly developed by Foncière des Régions and Altarea (160,000 sqm) was designed as a living area, comprisingoffices forming part of a network ofshops and local services. Cœur d’Orlywill also be truly green business district,with its HQE®-certified buildings and the aim of BBC (low consumption) certification for the office buildings.
OFFICE BUILDING_MILAN, ITALY. Foncière des Régions is the main shareholder in Beni Stabili, the leading Italian property investment
company which owns a portfolio of offices in the major Italian cities.
COMPLEMENTARYA DIVERSE RANGE OF PROPERTIES
Successful European diversification within Italy and Germany, a key player in the service-sector and residential
property in France and Germany, a leading property investment company in logistics and growth in the car park
sector: Foncière des Régions and its subsidiaries are demonstrating the wisdom of their diverse but
specialised property strategy.
18 _19
Foncière des Régions began targeted European growth in 2006 in accordancewith its strategy of geographical diversityfirstly in Germany, in the residential sector, and then in 2007 in Italy, with Beni Stabili, the largest propertyinvestment company for offices.
IN ITALYFoncière des Régions is the main share-holder in Beni Stabili with a 68% stake.Beni Stabili is listed on the Milan stockexchange and is the biggest property investment company for offices in Italy,with a €4.4 billion portfolio located inthe largest Italian cities: Rome, Milan,Turin, etc.
A leading property investment company Beni Stabili has its own management centre dedicated to assets and propertymanagement, development of major projects and the management of funds.Like Foncière des Régions, the companyhas built itself up on the sale and lease-back of offices by major industrial andservices companies, such as Telecom Italia, Fiat, Prada, Banca Intesa Sanpaoloand Ferrovie dello Stato, Italy’s nationalrail company.
Segmentation of the property portfolioBeni Stabili implemented a new asset management policy in 2008, based onsegmentation of its property portfoliointo three categories:• Long-term portfolio, including
properties let to leading tenants, mainly Telecom Italia;
• Dynamic portfolio, including properties that have reached maturityand are marked for disposal;
• Development portfolio, relating tomanagement of new construction and urban renovation projects.
With half of its property assets located outside France, Foncière des Régions is a key player in European real-estate, with diversity in terms of products and countries. Its portfolio amounts to €10.4 billion (group share) and is managed by teams ofprofessionals based in each country, representing more than 800 employees.
COMPLEMENTARY
OFFICE BUILDING_MILAN, ITALY.
Offices portfolio value
€4.4bn
€218 Min annual rent from offices
Occupancy rate of office portfolio
97.6%
TELECOM ITALIA BUILDING_VICENZA, ITALY.
A TARGETED EUROPEAN STRATEGY
20 _21
Strong management indicatorsBeni Stabili’s rental indicators are very well positioned: average occupancyrate of 97.6% for a total let amount of€218 million (up 3% on a constantstructure basis), long-term leases andbuildings let to key players with securecash flows. In 2008, new leases signedover the entire financial year amountedto 44,200 sqm, generating more than €7 million in annualized rents.
IN GERMANY
Foncière des Régions has a presencein Germany through its subsidiaries
Foncière Développement Logementsand Foncière Europe Logistique. Immeo Wohnen is in charge for property and asset management of 45,249 houses owned in the Düsseldorf area. This management centre, with 390 employees, also manages logistics properties owned by Foncière Europe Logistique.
€165Mof annual housing rent
45,249housing units
RIPAMONTI ZONE PROJECT_MILAN, ITALY.
Housing portfolio value
€2.4bn
RESIDENTIAL BUILDINGHÖLDERLINSTRASSE_DUISBURG, GERMANY.
COMPLEMENTARY
By developing targeted partnerships with tenants who are key players in their sector,Foncière des Murs has fully justified its economic model. It is now a major company,recognized for its expertise.
COURTEPAILLE_ROSNY-SOUS-BOIS (Seine-Saint-Denis).
A specialist in the ownership of service-sector property in the hotel, restaurant, health and entertainmentsectors, Foncière des Murs has a portfo-lio valued at €3.2 billion in 2008, with buildings located in France and in Europe.The composition of the portfolio at theend of 2008 is as follows: hotels (59%),entertainment (15%), restaurants (13%),healthcare and healthcare clinics (13%).
Partnerships with leading companiesin their sectorsFoncière des Murs’ strategy favourslong-term partnerships with tenantswho are leaders in their business sectors:Accor for hotels, Quick and Courte-paille for restaurants, Korian and Générale de Santé for health, Pierre &Vacances, Club Méditerranée and Jardiland for entertainment.In 2008, Foncière des Murs continuedits property development with morethan €86 million invested in France,Belgium and Portugal.
Further acquisitions in 2008Foncière des Murs continued its growthin 2008 by acquiring:• two establishments operated
by Korian;
• three garden centres under the Jardiland brand;
• a 140-bed residence for the elderlyoperated by Segesta (the Italian subsidiary of Korian);
• a hotel currently being renovatedwhich will be operated by the Methagroup under the Holiday Inn brand in Florence (Italy);
• a SunParks holiday village in Belgium,as part of an agreement signed in 2007with Pierre & Vacances.
As part of the partnership with Accor,Foncière des Murs has completed 89%of the works planned for the period2005-2009 (totalling €117 million).These works are part of the renovationprogramme for Accor-branded hotel.
Portfolio value
€3.2bn
€200Min annual rents
Occupancy rate of portfolio
100%Foncière des Régions’ stake
29%
SUNPARKS VILLAGE_KEMPENSEMEREN, BELGIUM.
FONCIERE DES MURS:A LEADER IN THE SERVICE- SECTOR PROPERTY MARKET
22 _23
Foncière Europe Logistique owns and manages a first-class logistics portfolio in France and Germany. With a portfolio valued at more than €1 billion, Foncière EuropeLogistique has confirmed its position as a key player in its sector.
FONCIERE EUROPE LOGISTIQUE:A KEY PLAYER IN LOGISTICS PROPERTY
Logistique France: a key playerFoncière Europe Logistique is now the second largest investor in logisticsproperty in France and the main owner of business premises in Paris and the Paris region. The company took the decision to ope-rate in the logistics, courier and business premises markets and to invest in the entire logistics chain to act as a consolidator in the sector.In France, Foncière Europe Logistique’sportfolio at 31 December 2008 included41 logistics sites with a total surface areaof 1.7 million sqm, valued at €1.3 billion.This generates annualized rent of €97.6 million. Foncière Europe Logistique’sportfolio, 90% of which is “Class A”, covers a north-south strip of Francestretching from Dunkirk to Marseilles,taking in the Île-de-France and the regionaround Lyons.
Business premises: a leadership position in the Paris regionFoncière Europe Logistique has positio-ned itself as the biggest owner of busi-ness premises in Paris and the innersuburbs. At 31 December 2008, thecompany owned four sites (CAP 18,CAP 19, Le Dorian and Pantin) representing 245,000 sqm, valued at€229 million. The portfolio’s occupancyrate is 97%.
A dynamic year in 2008This year, Foncière Europe Logistique signed new leases for almost 156,000 sqm. In addition, 137,000 sqmof renewals were signed. At the Dunkirk, Bollène and Corbas sites, three development projects were delivered for nearly 79,000 sqm. Finally, the Metz-Trémery property (23,240 sqm) was sold.
European rental partnershipsThe company’s investment policy favours building partnerships with its tenants, institutional investors and property developers. The company enjoys sound advantages to significantlyassist the growth of its clients in Franceand other European countries.
Logistics in Germany: logistics buildings in major citiesIn terms of value, 14% of Foncière Europe Logistique’s portfolio is locatedin Germany. With 99% occupancy rate,these buildings are located in the mainlogistics hubs, close to the country’smajor cities: Stuttgart, Düsseldorf,Hamburg, etc. These hubs are valued at nearly €121 million.
€97.6 Min annual rent
90%“Class A” sites
CORBAS SITE_ (Rhône). SALON-DE-PROVENCE SITE_ (Bouches-du-Rhône).
Portfolio value
€1.3bnFoncière des Régions’ stake
60%
COMPLEMENTARY
With a presence in Germany and France, Foncière Développement Logements is a key playerin the residential property sector. With 45,249 houses in Germany and 3,915 in France, the companyowns a diversified portfolio in terms of both type and geographical location. Its strong performance in 2008 demonstrates its ability to adapt.
Foncière Développement Logements directly manages and develops the value of 49,164 houses spread acrossFrance and Germany. Property management is carried out by two internal centres: GFR Property inFrance and Immeo Wohnen in Germany, providing significant property expertise.Foncière Développement Logements recorded good operating results in2008: sales and agreements up 42%, a 3.4% increase in rents in France and 3% in Germany on a constantstructure basis and a 6% reduction in operating costs.
Performance and profitability of the portfolio• FranceFoncière Développement Logementsposted good results due to a policy ofcalculated trade-offs and cost control.At 31 December 2008, the 3,915 housesowned by Foncière Développement Logements in France were valued at€1.02 billion (excluding duties).• GermanyWith 45,249 houses, the majority of Foncière Développement Logements’German portfolio is located in theNorth Rhine-Westphalia region near Düsseldorf.
This portfolio, comprising small buildingsand individual houses, is valued at €2.43 billion (excluding duties).In 2008, Foncière Développement Logements continued the disposal programme it began in 2007: €70 millionof sales were completed, generatinggross margins of 27% compared withthe purchase price in 2007. In terms of its maintenance policy, Foncière Développement Logements carries out major work on its portfolio, throughImmeo Wohnen, especially in relationto sustainable development and renewable energy.
RESIDENTIAL BUILDING_PARIS (Île-de-France).
Value of the portfolio in France and Germany
€3.45bn
RESIDENTIAL BUILDING_LE CHESNAY (Yvelines).
Foncière des Régions’ stake
38.2%49,164houses spread acrossFrance and Germany
€210.8Min annualized rent in 2008(France and Germany)
FONCIERE DEVELOPPEMENT LOGEMENTS: A EUROPEAN RESIDENTIAL PROPERTY COMPANY
_25
Urbis Park, the commercial arm of Parcs GFR, operates a portfolio of car parks with 17,500 spaces in the centre of Paris, Lyons, Bordeaux and Metz.
Urbis Park, a company which is committed to working alongside localplayers who want to combine urban mo-bility with economic dynamism, designsparking solutions linked to the variousforms of mobility which contribute to the dynamism of urban life. Partner-ships with public and private operatorsare a deliberate effort by the company to contribute to sustainable mobility.At the end of 2008, Urbis Park managed17,500 spaces and was the fourth largestcar park operator in the French market.
Developing and renovating the portfolioIn 2008, the company began operatingnew car parks in Lyon-Vaise (857 spaces),Gare-Amphithéâtre (702 spaces) inMetz and Saint-Nazaire Ruban Bleu(shopping centre, 564 spaces). In Bordeaux, where Urbis Park managesthe majority of public car parks, the Tourny car park (990 spaces) was entirely renovated.
Urban development and parkingUrbis Park continues to grow in various directions: the acquisition of private car parks, along with new construction, refurbishment or urban planning projects,the acquisition of existing car parks as well as public contracts. A variety of investment projects are underway or weresuccessfully completed over the year:• Marseilles: Euromed Center car park
(870 spaces) and Terrasses du port (2,800 spaces);
• Bourges: Avaricum car park (850 spaces);• Versailles: 400 spaces and the manage-
ment of 2,000 spaces along the roadside.
A new partnershipParcs GFR and Apsys, a global player in commercial property, have formed a partnership to work upstream on all car parks for future shopping centres developed by Apsys, which are operatedunder the Urbis Park brand. Two carparks are already covered by this deve-
lopment agreement: Ruban Bleu inSaint-Nazaire and Beaugrenelle in Paris.
Customer reception and service qualityUrbis Park has opened “Maisons Urbis Park” in Metz and Bordeaux.These shops, designed to present all products and services which are for sale – Urbisshop, Urbisshow, Urbisman, etc. – are open to the public and allow subscribers and other customers to carry out all transactions in-store.
Portfolio value
€253M
15car parks managed, representingnearly 17,500 spaces
Foncière des Régions’ stake
59%URBIS PARK CAR PARK_LYON-VAISE (Rhône).
24
URBIS PARK CAR PARK_BORDEAUX (Gironde).
PARCS GFR AND URBIS PARK:DYNAMIC CHALLENGERS
A PROGRESSIVE AND LONG-TERM APPROACH
RESPONSIBLEFor Foncière des Régions, a local player with a long-term property vision, sustainable development is a crucial
aspect of strategy. Whether through dynamic management of its portfolio, implementation of its patronage policy
or the internal involvement of its staff, Foncière des Régions is a committed company.
_2726
DASSAULT SYSTÈMES CAMPUS_VÉLIZY-VILLACOUBLAY (Yvelines). Dassault Systèmes’ new global head office was delivered
in 2008. With 60,000 sqm of offices, it is one of the largest private operation to be HQE®-certified.
Sustainable development is something positive uniting all of Foncière des Régions’staff, tenants and stakeholders who have made a commitment, like the group, to take practical steps to improve the quality of buildings and local community.
Sustainable development, in its economic, real-estate as well as environmental, social and corporate dimensions, is deeply though-provoking and relates to corporate governance, the design and operation of buildings, as well as relationswith the various stakeholders (tenants, suppliers, local authorities).
Reducing the group’s environmental footprint has become a priority for Foncièredes Régions. This involves reducing energy consumption and managing risk, for users and third parties.
This approach aims to satisfy the expectations of tenants, as well as managing the risk of the portfolio becoming obsolete in terms of environmental performance and the possible impact of this on the buildings’ value.
The success of this strategy, which has been developed within all group companies,also requires a proactive and unifying human resources policy to be pursued, based on openness and experience sharing, as well as a concerted social commitmentto promoting architectural patronage and skills.
RESPONSIBLE
SOLAR PANELS,DASSAULT SYSTÈMES CAMPUS_VÉLIZY-VILLACOUBLAY (Yvelines).
EDF BUILDING_TALENCE (Gironde). FONCIÈRE DES RÉGIONS AGREEMENT.
28 _29
With 892 employees throughout France, Italy and Germany, Foncière des Régions relies on the skill and dedication of its teams to promote its growth and ensure its long-termperformance.
The human resources policy is crucial to the success of Foncière des Régions’growth strategy. It is in turn based on several fundamentals: sharing of bestpractice, training, the transmission of values and information within the group.
Supporting the group’s growthAll existing tools and processes for managing human resources were streng-thened in 2008. This work particularlyincluded the first application of the pro-fit sharing agreement introduced in2007, internationalization of divisionsand continuation of work to harmonize the statuses of group employees.
Training to improve performance Foncière des Régions draws its strengthfrom the development of its employees,the diversity of its teams and constantsharing of experience. The training policyin 2008 therefore involved nearly 4% of all staff. In order to train for the futureand prepare the management of tomor-row, the continuation of two trainingprogrammes aimed at managers occu-pying or likely to occupy positions of responsibility – FDR Université andFDR Découverte – demonstrate the
dynamism and ambition of Foncière desRégions in relation to skills development.
Sharing information and group valuesIn 2007, Foncière des Régions’ values –openness, business sense and professio-nalism – were formalized in a brochuredistributed to all staff in Europe. Thepurpose of this document is to unitemanagers and staff around shared values and rules of conduct. In 2008,this desire to share values was highligh-ted through workshops in France andItaly attended by around 100 employees,who then worked on implementingthese values within each unit.The sharing of information is also a keyfactor for success in any organization.As well as traditional internal communi-cation tools (intranet, magazines, newsletters, staff meetings, etc.), in 2008Foncière des Régions set up a number of tools designed to inform employeesabout various themes, in particular issues surrounding sustainable development.
I was very lucky to take part in the FDRUniversité’s programme. As well asdiscovering the group from the inside viapersonal accounts and case studies, FDRUniversité also meant meeting people andforming a very solid internal networkbetween French, Italians and Germans. The huge benefits and originality of theprogramme’ lie in the participants’experience, the high level of interactivityduring our working sessions and thefantastic atmosphere between us. To sumup, after one and a half years of attending, I would say that FDR Université is open-mindedness, a new professional attributeand meeting new colleagues and friends.
Monica Massi,Financial andAccountancy Manager,Beni Stabili
892employees
41%in France (362 employees)
43%in Germany (390 employees)
16%in Italy (140 employees)
An original,interactive and enrichingprogramme.
HUMAN RESOURCES:INVESTING IN HUMAN CAPITAL
Prevention and securityFoncière des Régions makes preventionand control of risk a priority in order toensure personal and environmental safety.Systematic control and monitoring of therisks identified within the portfolio (natural,technological, construction- or sector-related) have therefore been implemen-ted at a group level, under the supervisionof the Sustainable Development Depart-ment and the Environment Department.
Sustainable portfolio managementThe main objective of Foncière des Ré-gions’ teams is to ensure the sustainabilityand long-term future of the existing port-folio. In 2008, for instance, a lot of workwas carried out to improve the portfolio’senergy performance and reduce CO2
emissions. Environmental quality is also a focus of development projects. In 2008,Foncière des Régions successfully
completed the construction of the new global head office of Dassault Systèmes in Vélizy-Villacoublay – 60,000 sqm ofHQE®-certified offices. This year also saw the continuation of the Carré Suffrenproject, which involves the restructuringof 25,000 sqm of offices in Paris. This is acarefully thought-out programme to ensure the building’s long-term futureand its ease of maintenance, with the leastenvironmental impact. Other projectswere conceived or developed in 2008, inparticular the Cœur d’Orly programmewhich will create a truly green businessdistrict, with its HQE®-certified buildings and the aim of BBC (lowconsumption) certification for the officebuildings. Similarly, the CB 21 Tower in La Défense, which is currently beingentirely renovated, will boast energyconsumption at 30% less than its currentlevel.
RESPONSIBLE
Foncière des Régions has a policy of environmental performance and risk control based on continual assessment and improvement of its portfolio, energy savings and the inclusionof new energies in its new construction and restructuring projects.
Dassault Systèmes Campus is the result of environmental targets.
At a very early stage of the project, ambitious architectural and environmental targets were set by its investors – led by Foncière des Régions –and Dassault Systèmes. The challenge was to design a different type of working environment to encourage meeting and exchange. Every aspect of Dassault Systèmes Campus took into account and incorporated environmental criteria – landscaped gardens linked to the forest of Meudoncovering two-thirds of the site, an HQE®-certified campus, an energy consumption level of 78 kWh/sqm, the installation of solar panels and 2,000 sqm of green roofs… All these characteristics make Dassault Systèmes Campus a benchmark project.
Jérôme Le Gall, associated architect, and Nathalie Leroy, associated landscape architect,Arte Charpentier Architectes
LÉGENDE_PHOTO.
Légende.
ENVIRONMENTAL PERFORMANCE:CONTINUAL ASSESSMENT AND IMPROVEMENT
DASSAULT SYSTÈMES CAMPUS_VÉLIZY-VILLACOUBLAY (Yvelines).
Architectural patronage: protectingand promoting heritageAs a property operator and long-term investor, architecture is at the heart ofFoncière des Régions’ work. In 2008 thegroup developed two cultural patronageinitiatives as a firm demonstration of itscommitment:• one focused on the Cité de l’architec-
ture et du patrimoine through supportfor two exhibitions: the Mies van derRohe prize, the most prestigiouscontemporary architecture award inEurope, presented from October 2007to February 2008, and the NouveauxAlbums des Jeunes Architectes et Paysa-gistes (NAJAP) exhibition, held fromOctober 2008 to January 2009;
• the other aiming to restore the Collègedes Bernardins, a magnificent exampleof 13th-century Cistercian architecturein the heart of Paris.
Restoration of this building, which was a real technical challenge, will take morethan four years and notably involve architect Jean-Michel Wilmotte.
Skills patronage: a social approach In 2008, Foncière des Régions decided to join the “Lycée Expérimental” systemdeveloped by Paris Institute of PoliticalScience, which supports interaction bet-ween companies and their environment.In order to give secondary school stu-dents the desire and means to succeed,Foncière des Régions wanted to becomeinvolved in this effective and recognizedinitiative by working with two French secondary schools: one in Bobigny(Seine-Saint-Denis) and one in Forbach(Moselle). More than 30 employees arenow participating in the programme,which encourages motivation as well as boosting skills internally.
30 _31
Preserving and promoting architectural heritage on the one hand and developing therelationship between the company and its environment on the other – that is the dualchallenge set by Foncière des Régions through its patronage policy.
François de Mazières,President of the Citéde l’architecture et du patrimoine
Foncière des Régions chose to support two land-mark exhibitions in the Cité’s programme in 2008,recognizing key players in European architectural:the Mies van der Rohe prize exhibition, awarded to an experienced architect, and the Nouveaux Albums des Jeunes Achitectes et Paysagistesawards, given to emerging talents. I would like to thank Foncière des Régions for its support forthese two competitions which in a spirit of transfe-rence, and even interconnection between well-known architects and the younger generationreward initiative, creativity and excellence.
Supportingcreativity andexcellence.
CITÉ DE L’ARCHITECTURE, NAJAP EXHIBITION_ PARIS (Île-de-France).
COLLÈGE DES BERNARDINS_PARIS (Île-de-France).
PATRONAGE:BEING INVOLVED IN COMMUNITY LIFE
32 _33
LEGAL AND FINANCIAL
INFORMATION
INFORMATION
CORPORATE GOVERNANCE
SUPERVISORY BOARD
The Supervisory Board, which has 15 members, is the group’s decision-making and inspection body. Its role is to direct and control the ManagementBoard. It is made up of representatives of the main shareholders. The membersof the Supervisory Board, whether indi-viduals or legal entities, are appointed by the Annual General Meeting forterms of six years.
Chairman:• Charles Ruggieri
Vice Chairman:• Leonardo Del Vecchio,
representing Delfin
Members:• ACM Vie, represented
by Catherine Allonas• Banque Populaire de Lorraine-
Champagne (BPLC), represented byJacques Hausler
• Batipart, represented by Hans-Joaquim Kay
• Delfin, represented by Romolo Bardin• Sergio Erede
• Bertrand de Feydeau• Generali Vie, represented by
Anne-Marie de Chalembert• GMF Vie, represented by Bruno Legros• Monroe, represented by Julien Ruggieri• Olivier Piani• Predica, represented by
Françoise Debrus• Pierre Vaquier• Philippe Vidal
SPECIALISED COMMITTEES
The Supervisory Board has establishedthree specialised committees and defi-ned the composition and powers andwhich operates under its responsibility.
Investment CommitteeThis Committee has nine members. Priorto any decision of the Management Boardand/or Supervisory Board according to case, this body is in charge of examiningand issuing recommendations on the following transactions:• any investment performed directly by
the company or through fully-consolida-ted subsidiaries of the company, except for companies limited by shares,when the value of the assets involved
exceeds thirty million euros(€30,000,000) group share;
• any investment performed directly by thecompany or through fully-consolidatedsubsidiaries of the company, except forcompanies limited by shares, when theamount of shareholder equity investedexceeds ten million euros (€10,000,000).
Chairman:• Charles Ruggieri
Members:• Romolo Bardin• Anne-Marie de Chalembert• Françoise Debrus• Bruno Legros• Olivier Piani• Julien Ruggieri• Leonardo Del Vecchio• Philippe Vidal
Audit CommitteeThis Committee, which has seven members, is responsible for:• examining the accounting methods and
means of evaluating the group’s assets;• examining drafts of consolidated
and company accounts, prepared by the Management Board, before they are presented to the Board;
Foncière des Régions’ corporate governance structure is based around a SupervisoryBoard, composed of the main shareholder representatives, and a Management Board The corporate governance structure also includes three specialised committees(Investment Committee, Audit Committee and Remunerations Committee).
34 _35
• preparing the Supervisory Board’s deci-sions for oversight of the internal audit;
• examining the agreements concludedbetween the company and people that have direct or indirect interests in the company;
• examining proposals for the appointmentof the Registered Auditors, and;
• carrying out controls on management andchecking and clarifying the informationto be supplied to shareholders and the market.
The Audit Committee reports to the Supervisory Board on its proceedings,gives all opinions or suggestions it feels appropriate and provides information onthose points requiring a Board decision.
Chairman:• Bertrand de Feydeau
Members:• Catherine Allonas• Louis Blanc• Sergio Erede• Jacques Hausler• Julien Ruggieri• Leonardo Del Vecchio
Remunerations CommitteeThis Committee, which has six mem-bers, is responsible for:• making proposals to the Supervisory
Board on the remuneration of officialrepresentatives and members of theManagement Board;
• giving its opinion on the method of remuneration for the members of the executive committees;
• giving its opinion on the appointmentof members of the Management Boardand official representatives;
• making proposals to the SupervisoryBoard concerning the stock option plan,the attribution of free shares and therules and attribution thereof.
Chairman:• Charles Ruggieri
Members:• Sergio Erede• Olivier Piani• Hervé Semin• Pierre Vaquier• Leonardo Del Vecchio
CORPORATE GOVERNANCE
The European Management Board is thebody which decides on and implementsFoncière des Régions’ strategy at a European level.
Management BoardAt 31 December 2008, the Foncière des Régions Management Board had five members. It has had six memberssince 9 March 2009.
Chairman:• Christophe Kullmann
Members:• Olivier Esteve, Managing Director,
Office Property Activity France• Aldo Mazzocco, Managing Director,
Beni Stabili• Denis Moscovici, General Secretary• Yan Perchet, CEO of Foncière des Murs
and head of service sector investments• Stefano Vittori*, Legal Director and
head of dynamic portfolio managementat Beni Stabili
* On 9 March 2009, the Supervisory Board appointed StefanoVittori as Board member, replacing Massimo de Meo.
INFORMATION
SHAREHOLDER INFORMATION
CHANGE IN DIVIDEND (€/SHARE)
Delfin24.49%
Batipart17.31%
Float 58.2%
SHAREHOLDER BASE AT 31 DECEMBER 2008
4.7
2006 2007 2008
5.3 5.3
Shareholders’agreement
41.8%}
Foncière des Régions has a coherent and proactive communications strategy in respect of its shareholders, analysts, investors and the financial press.
In 2008, in addition to traditional communications tools such as the share-holder’s newsletter, the annual report,roadshows (investor meetings) and the annual general meeting, there werenumerous financial communication initiatives:• participation in international
institutional investor conferences;
• enlargement of the company’s financial analyst coverage;
• visits to properties and new propertytransactions: Carré Suffren (Paris), the CB 21 Tower (La Défense), Dassault Systèmes Campus (Vélizy-Villacoublay), etc.;
• improvements to the Finance homepage of the Foncière des Régions website;
• press publications and interviews with the main group directors.
All these initiatives had a single objec-tive: to provide information about thecompany’s strategy for greater proximityand transparency.
36 _37
STOCK MARKET INFORMATION
ISIN codes: FR0000064578Share code: FDRWhere listed: Euronext ParisMarket: Local securities —Compart-ment A(Blue Chips)—SRDArea of activity:Real Estate Investment TrustsPEA/SRD: eligibleIndices: SIIC France, SBF 80,CAC MID100, EPRA Europe, SBF 120
CONTACTS
Financial Communication DepartmentPhilippe Le TrungTel.: 00 (33)1 58 97 52 04Fax: 00 (33)8 20 21 08 75E-mail: [email protected]
Financial Communication and Investor RelationsSébastien BonnetonTel.: 00 (33)1 58 97 52 20Fax: 00 (33)8 20 21 09 75E-mail: [email protected]
Corporate Communication and Media RelationsPhilippe BoyerTel.: 00 (33)1 58 97 52 23Fax: 00 (33)1 58 97 08 75E-mail: [email protected]
CHANGES IN THE SHARE PRICE AND THE EPRA EUROPE INDEX (BASE 100)
January February March April May June July August September Octobrer November December
2008 2008 2008 2008 2008 2008 2008 2008 2008 2008 2008 2008
Foncière des Régions EPRA Europe
INFORMATION
FINANCIAL RESULTS
CONSOLIDATED SUMMARY BALANCE SHEET (IN € MILLIONS)
ASSETS
31 Dec 2008
Fixed assets 15,372
Current assets 537
Cash 199
Non recurring assets held for sale 1,339
TOTAL 17,447
2007 2008 CHANGE CHANGE (%)
NAV net (in € millions) 4,512 3,695 -817 -18.1
NAV net/share (in €) 109 90.5 -18.5 -16.9
NAV net (in € millions) excl. FI (Financial Instruments) 4,631 3,953 -678 -14.7
NAV NET/SHARE (in €) EXCL. FI 111.9 96.9 -15.0 -13.4
NET ASSET VALUE (NAV)
LIABILITIES
31 Dec 2008
Shareholders’ equity 3,441
Minority interests 2,356
Borrowings 10,161
Other liabilitites 1,489
TOTAL 17,447
38 _39
INCOME STATEMENT_GROUP SHARE (in € millions)
31 Dec 2007 31 Dec 2008
RENTS 545 640
Service provision and other operating income 10.9 16.0
RENTS AND SERVICE PROVISION 556 656
Operating expenses -106.6 -111.0
Financial profit -211.6 -278.1
Margin on house sales +9.1 +12.7
Intra-group service provision +8.0 +16.3
Cash-flow from equity-accounted affiliates +15.3 +17.2
CASH FLOW FROM OPERATIONS 270.6 313.1
PER-SHARE CASH FLOW FROM OPERATIONS (IN €) 7.50 7.67
Tax on operations -9.7 -28.3
RECURRING NET PROFIT 260.9 284.7
RECURRING NET PROFIT PER SHARE (IN €) 7.2 7.0
Change in value of real-estate assets +536.1 -532.4
Change in fair value of financial instruments +36.0 -299.6
Margins on sales (excluding houses) +1.6 +15.4
Other non recurring items -41.7 -24.7
NET PROFIT 792.7 -556.5
WEBSITES
www.foncieredesregions.frwww.benistabili.itwww.foncieredesmurs.frwww.fdlogements.frwww.fonciere-europe-logistique.frwww.urbispark.fr
Foncière des Murs
Reference document
Foncière Développement
Logements
Reference document
Foncière des Régions
Reference document
Foncière des Murs
Activity report
Foncière Développement
Logements
Activity report
Foncière Europe Logistique
Reference document
Design-production: 8713. Foncière des Régions Communication Department. April 2009. Photo credits: Cité de l’architecture et du patrimoine – Gaston Bergeret, Ph. Guignard/1313, X. Lambours, G. Korganov/Agence Rapho, H. Thouroude – Signatures, P. Maurer, Steve Murez, O. Ouadah, Room Services 3D – Wilmotte & Associés. This document is printed on paper whose pulp comes from PEFC-certified timber sourced from sustainably managed forests.
30, avenue Kléber75208 Paris Cedex 16Tel.: 00 33 (0)1 58 97 50 00Fax: 00 33 (0)8 21 20 23 75
46, avenue Foch57000 MetzTel.: 00 33 (0)3 87 89 55 00Fax: 00 33 (0)8 21 20 01 57
www.foncieredesregions.fr
