FNG : Bondholder slides

Bondholder presentation

26 June 2020

Provisional Business Plan subject to further amendmentsand financing

Provisional business plan articulates turnaround in Benelux and accelerated growth inNordics

Plan focuses on free cash flow generation potential, based on:

• 1.Turnaround, margin improvement and "digital first" strategy inBenelux

• 2. An accelerated cross fertilization of theEllosstrategy

The provisional business plan and the implementation thereof are subject toobtaining new funding and a global solution with the different stakeholders.

FNG has currently not secured the financing of its provisional business plan, norreached an agreement with its different stakeholders. The negotiations are still ongoing and different options are being examined.

FNG's provisional business plan focus on existing strengths, digital growth andaccelerated integration

FNG's has created a provisional business plan focused on:

• 1) Rationalisation of activities and downsizing store footprint

  • a. Restructure activities in Belgium as announced

  • b. Focus on stabilisation in the Netherlands

  • c. Reduce overhead and maximize further integration

• 2) Implement strategyusing FNG's (historical) strengths:

  • a. Well-known brand portfolio in Nordics and Benelux markets

  • b. Digital platform investments and online sales experience

  • c. Vertical integration and product leadership d. Digital growth

• 3) Phased approach to open-up platform services to third parties, such as financial and digital services

Phased approach towards future business model, with different starting points fordifferent brands

Following existing strengths and current market trends, the provisionalbusiness planstructure is built around6 profit-building blocks(3 brand groups and 3 platforms), supported by centralised andshared services(e.g. fulfillment, IT, Finance, HR)

Group Holdco

Theseplatforms provide their servicesbothto FNG and 3th parties, leveraging their knowledge and capabilities and adding value to the group

It is important to know that different countries havedifferent startingpoints, resulting in aphased approach:

• ●Nordicsbrands: full focus onexpansionandcontinued growth

• ●Dutchbrands:

  • ●restructuring done

  • ●current and future focus onstabilisationof the operations

  • ●growth of digital salesand-capabilities

• ●Belgianbrands:

  • ●restructuringof store footprint & HQ

  • ●increased focus on digital growth in Benelux

  • ●simplifying and integrating operations

Brands

Platforms

Fulfillment

Shared services

IT

Finance

HR