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Annual Consolidated Results 2008/2009

Net income from continuing operations at 3.8 million euros

Marseille, 15 June 2009 - The Avenir Telecom Group, a leading distributor of
telecommunications products and services, has released its annual consolidated
results for the financial year 2008-2009.

EUR thousands                              Financial year       Financial year
IFRS                                         2008-2009            2007-2008

Sales                                             712,330              734,408
Gross profit                                      151,732              143,708
   % gross margin                                   21.3%                19.6%
Operating profit
before depreciation of non-current assets          14,551               19,902
 % operating margin                                2.0%                 2.7%
Depreciation of non-current                       -12,926                 -123
Operating profit                                    1,625               19,779
   % operating margin                                0.2%                 2.8%
Financial income                                   -4,667               -3,825
Corporate income tax                                6,858                2,529
Net income from                                     3,816               18,483
continuing operations
Net income from discontinued                       -2,067               -6,461
Net attributable income                             1,749               12,021

Consolidated sales for the financial year 2008-2009 reached EUR712.3 million,
down by 3.0% compared to the financial year 2007-2008. On a like-for-like basis
and excluding the effect of the exchange rate (pound sterling and Romanian leu),
the annual consolidated sales for the financial year 2008-2009 were down by 1.2%
at EUR726.0 million, as a result of the strong resistance shown by all the
Group's companies, despite the widespread crisis in Europe.

Retail Distribution
High value sales transactions improved the gross margin rate
The retail business recorded over the year an increase of 3.0% to EUR329.1
million for the European stores with 664 active points of sale as of 31 March
2009. France, Spain and Romania were very active players over the period.
The gross margin rate increased by 2.9 points to 34.9% of sales confirming the
capacity of this network to achieve high value sales transactions on behalf of
the partner operators, and to develop our own additional services and sales.
Operating expenditure increased by 15.1%, taking into account the costs
associated with the development of the number of stores, mostly in France and
Bulgaria, the main contributors in the number of openings (51 net openings over
the financial year).
Operating profit reached EUR5.9 million before taking account of depreciation of
non-current assets for EUR12.9 million, affecting mainly Portugal.

Wholesale Distribution
Operating profit held firm despite the slow-down in business activity
The wholesale business was down by 7.6% over the financial year 2008-2009 at
EUR383.3 million.
The gross margin rate was 9.6% of sales, down slightly by 0.4 of a point
compared to the previous year, linked mostly to measures taken to reduce stocks
of company phones at the start of the year and the selective marketing policy
adopted by the sales force. Portugal made an encouraging start with its
wholesale business over the period.
The operating profit stood at EUR8.6 million, confirming a total control of
operating expenditure (-2%), mainly in France and Romania. In a sluggish
economic context, Avenir Telecom UK maintained a strong level of

Consolidated profit and cash flow

Consolidated operating profit reached EUR14.6 million before taking account of
the depreciation of non-currents assets, compared to EUR19.9 million in the
previous year.

Net attributable income stood at EUR1.7 million, including the losses from the
discontinued operations of EUR2.1 million and the profit from continuing
operations of EUR3.8 million, after taking account of the financial income of
-EUR4,7 million and a tax profit of EUR6.9 million, split between EUR4.1 million
in current taxes and EUR11.0 million in income from deferred taxes given the
prospect of using tax losses over the coming years.

Self-financing capacity of EUR16.2 million for continuing operations
Operations generated EUR16.2 million of self-financing capacity for continuing
operations and EUR3.6 million in negative variation of working capital
requirements, resulting in operating cash flows of EUR12.1 million. Investment
flows represented a requirement of EUR15.2 million and mainly take account of
EUR11.1 million of gross investment associated with the store-opening programme.
The financing flows represent a resource of EUR11.2 million.

The net debt ratio was 52.9% of equity for a net financial debt of EUR39.7
million against EUR29.2 million for the previous financial year, confirming a
financial structure that is still in good health in order to finance the WCR and
the strategic lines of development.

Evolution of the market for mobiles towards the mobile 2.0
In a mature market and in a context of economic recession, all the players are
developing their own business model.
The manufacturers are bringing out various new products with tactile screens and
are developing new economic models based on the services and income associated
with platforms for downloading applications (Appstore (Apple), OVI (Nokia),
Mobile Applications (Samsung), Marketplace (Microsoft), Android Market (Google),
Application Center (RIM), App Catalog (Palm), etc.). The range of products is
coming down to the two segments of basic models and smartphones.

The operators are positioning themselves on a strategic axis based on the
renewal of products with higher added value and associated with all-inclusive
packages and services generating new income streams to make up for the decline
of the voice revenues.
They are actively developing mobile multimedia/home convergent products with the
DSL Quadruple play.

In parallel, they are following a policy of cost reduction in order to limit the
impact of the worsening economic context on their sales and are rationalising
their partner networks.

Avenir Telecom confirms the relevance of its multi-channel strategy, via its "in
store" Distribution through the Internity retail network with 664 stores in
up-market locations and the wholesale network which numbers over 2,000 partners
in Europe, completed by its "on line" Distribution that is seeing rapid growth
with the deployment of marketing sites in all the countries where we have a

Avenir Telecom sets itself apart through its sales performance in providing high
added value products that include both mobile services (downloading, GPS,
payment, etc.) combined with a broad portfolio of mobile products (smartphones,
netbooks, smartbooks), promoted by merchandising that sparks customer

Avenir Telecom is continuing with its strong client relationship programme
through an ongoing digital link (Advertising, CRM, viral marketing, etc.)
allowing it build its customer base and win loyalty and to offer its partners
marketing ideas with high added value.

"The multi-channel strategy deployed for 20 years has proved its relevance in
the face of the maturity of our market and the economic recession" declared
Jean-Daniel Beurnier, CEO of Avenir Telecom. "The settlement by the
manufacturers and operators of platforms of userfriendly and personalised
services finally open the era of the mobile 2.0. Despite the crisis, the
consumer craze for smartphones and mobile multimedia/home convergent solutions
makes the future distribution of products and services that generate high added
value for all our business partners most promising."

You can find the press release and the presentation of the annual consolidated
           results for 2008-2009 at

About Avenir Telecom
Avenir Telecom is one of the leading European distributors of mobile telephone
products and services. The Group distributes mobile telephones, subscriptions
and accessories directly through its network of over 650 own-branded Internity
stores (retail distribution) and to a client base in hypermarkets and
independent resellers (wholesale distribution).
Avenir Telecom employs over 3,000 individuals in six countries: France, UK,
Spain, Romania, Portugal and Bulgaria.
Avenir Telecom is listed on NYSE EURONEXT- Compartment C (Euronext Paris).
The Avenir Telecom share is a constituent of the CAC All Shares, CAC Mid & Small
190, CAC Small 90, IT CAC, Next 150, and SBF 250 indices.
ISIN: FR0000066052 
Reuters: AVOM.LN 
Bloomberg: AVT:FP

?   Contacts

Agnès Tixier                        Carole Alexandre
Finance Director                    Financial Communication Manager
Tel.: +33 4 88 00 61 32             Tel.: +33 4 88 00 61 32
Fax:  +33 4 88 00 61 00             Fax : +33 4 88 00 61 00
e-mail:   e-mail:

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