Chargeurs : speeds up premiumization of its Protective Films’ offering with the launch of a first techno smart production line

CHARGEURS SPEEDS UP PREMIUMIZATION OF ITS PROTECTIVE FILMS' OFFERING WITH THE LAUNCH OF A FIRST

TECHNO SMART PRODUCTION LINE

PRESS RELEASE

Paris, December 12, 2018

6 months ahead of schedule, Chargeurs Protective Films will launch its new techno smart production unit, the only one of its kind in the world, by the end of the first half of 2019

• • The Group's first production unit 4.0:

  • o Accelerating the strategic growth of high value-added production capacities

  • o Strengthening the industrial performance of the business line and its positioning as a responsible and environmentally sensitive industrial corporation

  • o Optimizing its global footprint by setting up a facility in a smart manufacturing center next to the port of Naples

• • Increasing profitable growth with additional revenue of €35 million targeted for 2021, providing higher profitability than current business turnover

•

"Chargeurs is accelerating the pace of deployment of its premiumization strategy and is 6 months ahead of the initial launch schedule of its first techno smart production line for Chargeurs Protective Films. Thanks to an augmented offer of high value-added solutions, this business line aims to bolster its profitable growth profile with additional revenue of €35 million by 2021, thus providing for a higher profitability than the current one. This organic investment is fully in line with the Group's strategic objective of achieving profitable revenue of €1 billion by 2021," said Michaël Fribourg, Chairman and CEO.

CHARGEURS PROTECTIVE FILMS SPEEDS UP THE TIME TABLE FOR THE PREMIUMIZATION OF ITS OFFER WHILE RAISING ITS PROFITABLE GROWTH PROFILE

By the end of the first half of 2019, Chargeurs Protective Films will launch a new technological coating line, the only one of its kind in the world, to ramp up the production of high-tech and very high value-added films, increase its industrial and commercial coverage, reduce its environmental footprint and speed up organic growth. The Group thus aims to achieve an additional €35 million in 2021, with profitability higher than the current revenue posted by the business line.

One year after its launch in November 2017, as part of the Game Changer operational acceleration program, the strategic project is six months ahead of schedule. The production unit, which, barring any hazards, is slated for completion in a new dedicated building by the end of the first quarter of 2019, will begin the first production trials in the second quarter of 2019 with marketing efforts taken place in the same time frame.

Strategically sited at Sessa Arunca, in the heart of the Italian region of Campania, the new line will be ideally located to sell Chargeurs Protective Films' very high value-added solutions to American, European and Asian customers.

A TECHNO SMART PRODUCTION LINE AT THE CORE OF INDUSTRIAL INNOVATION 4.0

Demonstrating its capacity to innovate at the heart of industry 4.0, the production line will have disruptive industrial control and command functionalities: 3D modeling, process automation, Big Data management. Incorporating a Smart Production Unit will make it possible to continuously optimize smart industrial management.

Ideally located inside a Smart Manufacturing Center, the production line will reinforce the strategic positioning of the business by offering innovative and high-added solutions, thus enabling it to durably enhance its technological leadership, while better protecting the environment and paving the way for it to successfully open up new markets.

ABOUT CHARGEURS

Chargeurs is a global manufacturing and services group with leading positions in four segments: temporary surface protection, garment interlinings, technical substrates and combed wool.

It has some 2,000 employees based in 45 countries on five continents, who serve a diversified customer base spanning more than 90 countries.

In 2017, revenue totaled €533 million, of which more than 90% was generated outside France.

CONTACTS -www.chargeurs.fr

Group Corporate Communications  [phone] [e-mail]

Group Financial Communications  [phone] [e-mail]

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