Fromageries Bel : Third quarter 2018 financial information - Sales

In today's highly demanding and uncertain market environment, the Bel Group is facing major challenges to safeguard its competitiveness, particularly in France. Given this context, the Group announced a plan in September to adapt and simplify its operating methods and organizations.

A voluntary departure plan and a job reclassification plan aimed at teams at the Bel Group's head offices could result in the elimination of 160 jobs and the creation of 116 new jobs. Completion of the plan would enable the Group to adapt its organizational model to meet its sustainable growth plan, while continuing its efforts to boost industrial productivity.

Raw material prices remain high, particularly butter fat prices. Against this backdrop, and despite improvement in the second half of 2018, versus the second half of 2017, operating margin for the full year is expected to decline against operating margin in FY 2017.

Bel's financial performance indicators:

The Group uses non-IFRS financial performance indicators internally and for its external communication. These non-IFRS indicators are defined below:

Organic growth corresponds to reported sales growth, excluding impacts from foreign exchange fluctuations and changes in the scope of consolidation, i.e. on a constant structure and exchange rate basis. The organic growth rate is calculated by applying the exchange rate for the prior year period to the current year period.

Operating margin corresponds to operating income.

This press release may contain forward-looking statements. Such trend and/or target information should in no way be regarded as earnings forecast data or performance indicators of any kind. This information is by nature subject to risks and uncertainties that may be beyond the Company's control. A detailed description of these risks and uncertainties is provided in the Company's Registration Document, available at (www.groupe-bel.com). More comprehensive information about the Bel Group can be found in the 'Regulatory Information' section of the www.groupe-bel.com website.