Lagardère SCA is announcing that with effect from today, Monday July 17, 2006, it is stepping up its share buyback program.
This share buyback program falls within the scope of the Fifth Resolution adopted by the Annual General Meeting of the shareholders held on May 2, 2006, a description of which was posted on the website of the Autorité des Marchés Financiers on May 18 and July 13, 2006, and also on the company’s own website. This resolution authorizes the Managing Partners to trade in the company’s shares during a period of eighteen months from the date of the Annual General Meeting.
This initiative underlines the confidence of the Managing Partners of Lagardère SCA in the health of the Group’s asset portfolio, and in its current and future potential to deliver growth and profitability.
It will also help to optimize the Group’s balance sheet structure.
The use to which the repurchased shares are put will be in compliance with the objectives authorized by the Annual General Meeting. In particular, they may be retained and subsequently offered in exchange or as consideration for possible future mergers or acquisitions. If no suitable merger or acquisition opportunities arise, the shares may be cancelled.
These repurchases are in addition to the periodic acquisitions already made off-market by Lagardère SCA of its own shares to meet its obligations under stock option plans (see the press releases of November 3 and November 10, 2005).
The Annual General Meeting authorized the company to repurchase shares up to a maximum of 10% of the share capital, at a maximum purchase price of €80 per share.
As of June 30, 2006, Lagardère SCA held 3.29 million of its own shares, representing 2.31% of the share capital.
The Lagardère Group is a market leader in the media sector (books, press, audiovisual and distribution/retailing of cultural products). The Group also has interests in the high technology sector via a 14.95% stake in EADS.
In 2005, the Group posted revenues of €13,013m.
The Lagardère Group is listed on the Premier Marché of the Paris Bourse.