MESSAGE FROM Arnaud Lagardère

Our Group's businesses proved their resilience in 2011, despite the particularly tense global economic climate. Net sales were stable, mainly thanks to strong growth momentum in our new areas of development such as Digital, Television Production and Travel Retail.

Recurring operating profit fell by 11.4% to €414 million, due mainly to the anticipated end of the Stephenie Meyer's Twilight effect at Lagardère Publishing and also to some disappointing performances at Lagardère Unlimited.

Our portfolio of businesses continued to evolve with the disposal of the International Magazine Publishing business and the Radio activities in Russia. In addition, there was a management reshuffle in three of our business divisions - Lagardère Active, Lagardère Services and Lagardère Unlimited - and strategic objectives were reviewed.

We also took a €895 million asset impairment loss in 2011, mainly attributable to Lagardère Unlimited for €550 million and our interest in Canal+ France for €310 million.

Our priority in 2012 will be to turn Lagardère Unlimited around and restore it to satisfactory performance levels over time.

Despite these difficulties, we remain confident. Our Group has a robust financial position with a significant reduction in net debt and excellent liquidity, providing us with a springboard for the future and enabling us to propose a stable dividend in keeping with our dynamic shareholder return policy.

I have asked our teams to put all of their energies into expanding our activities in the French and international markets. In that respect, I would like to extend my thanks to everyone in the Group for their continued commitment and professionalism.

I remain convinced that our development will be driven by the talent of the people working on a day-to-day basis to make our Group a success, a goal to which I am personally fully committed.

Dear shareholders, I would like to thank you especially for your loyalty and support.