Stef : L'Essentiel 2018 en anglais

H I G H L I G H T S 2 0 1 8

CONNECTING FOOD MARKET PLAYERS

CONTENTS

The Chairman's message	03
STEF at a glance	04
Overview	06
Trends and challenges	10
OPERATIONS
France	14
International	24
Centres of expertise	29
Maritime	30
CORPORATE
SOCIAL
RESPONSIBILITY
A lever for performance	34
Social policy	36
Environmental policy	42
Societal commitments	48

2018 Consolidated Financial Statements 52

01

OUR

MISSION: CONNECTING FOOD MARKET PLAYERS

As a European leader in temperature-controlled logistics and transport services, STEF carries chilled, frozen and thermosensitive food products from their production sites to their consumption sites.

Every day, the Group's 18,000 employees work to provide tailored solutions to agrifood manufacturers, retailers and out-of-home foodservice businesses to guarantee the best conditions in terms of food safety, lead time and quality for their products.

A multi-specialist, STEF relies on the professionalism of its teams, its management of dynamic flows and the density of its European network (France, Italy, Spain, Portugal, Belgium, the Netherlands and Switzerland), to offer new and innovative services that respond to market changes.

The Group's primary aim is to enable consumers to access a variety of food products which meet the best quality and food safety standards, but its responsibilities extend far beyond this.

Conscious of the environmental impacts of its business, STEF is striving for a continuous reduction in its vehicles' CO2 emissions and the energy consumption of its sites. On a social and societal level, the Group resolutely supports the economic growth of the regions in which it is present.

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02

M E S S A G E F R O M T H E H O N O R A RY C H A I R M A N	03

GROUP'S

GOVERNANCE

NEW

GOVERNANCE

Since Messrs Francis LEMOR and Jean‑Pierre SANCIER are set to stand down from their respective mandates after the Shareholders' Meeting of 30 April 2019, Mr Stanislas LEMOR has been appointed Chairman and Chief Executive Officer of the Group and Marc VETTARD, Deputy Chief Executive Officer in charge of operations.

EXECUTIVE MANAGEMENT UNTIL 30 APRIL 2019 (from left to right)

Jean-Pierre SANCIER	Stanislas LEMOR	Marc VETTARD
Chief Executive Officer	Deputy Chief Executive	Deputy Chief Executive
	Officer	Officer

A gradual slowdown in the growth of our European economies and a mixed trend in food consumption characterised 2018. For STEF, 2018 was a successful year

with a significant increase in turnover and strong organic growth in our operations, in France and abroad.

2018 also saw the budget for the Group's investments double.

Two external growth operations bolstered our positioning. One concerns the acquisition of the Marconi Group's frozen business in Italy. We are now present in this country across all business sectors and all temperature ranges for our customers, with a total warehouse volume of over one million m3.

The second operation was the acquisition of the company Express Marée in France, which specialises in seafood products logistics. Consequently, STEF is intensifying its strategy of specialising on the seafood products market and can now offer its customers full coverage of the region.

Finally, we have continued to invest in our production facilities and new strategic sites have been introduced including

Le Plessis-Pâté and Aulnay-sous-Bois in Île-de-France, Kölliken in Switzerland, L'Isle-d'Abeau in the Rhône-Alpes region and lastly, Bologna in Italy.

In 2019, the Group's governance will undergo a year of transforma- tion; Jean-Pierre Sancier and myself have decided to hand over the reins to a new generation.

This new generation embodies both STEF's culture and its conquering spirit and, I am sure, is ready to support the changes in our markets in the years ahead. I am convinced that Stanislas Lemor and Marc Vettard will continue to fly the flag and promote the Group's values.

This has already begun with the implementation of a new operational structure in France, which showcases our specialisation and will enable us to provide a better response to our customers' expectations. The next challenges lie in integrating and improving the operational performance of the companies acquired in recent years and supporting the digital transformation projects.

In the maritime sector, La Méridionale intends to continue its public

EXECUTIVE COMMITTEE 2019

Bertrand BOMPAS

Deputy Chief Executive Officer France

Marco CANDIANI

Managing Director of STEF Italy

Jean-Yves CHAMEYRAT

Human Resources Director

Vincent FROMAGE

Sales and Marketing Director

BOARD OF DIRECTORS 2019

Stanislas Lemor, Chairman

Bernard JOLIVET, Vice-Chairman

Jean-Charles FROMAGE

Jean-Michel DELALANDE

Christophe GORIN

Group Business Director

Vincent KIRKLAR

Real Estate Director

Managing Director of IMMOSTEF

Ludovic LAPORTE

Financial Director

Angel LECANDA

Managing Director of STEF Iberia

Stanislas LEMOR

Chairman and Chief Executive Officer

Elisabeth DUCOTTET

Alain GEORGES

Emmanuel HAU

Estelle HENSGEN-STROLLER

Jean-François LAURAIN

Murielle LEMOINE

Marc REVERCHON

Chairman and Managing Director of La Méridionale

Léon de SAHB

IT Systems and Purchasing Director/ Managing Director of STEF Information et Technologies

Marc VETTARD

Deputy Chief Executive Officer

Lucie MAUREL--AUBERT Dorothée PINEAU ALLIANZ Vie, represented by Clarisse KOPFF ATLANTIQUE MANAGEMENT, represented by François de COSNAC

In 2018, our Group's workforce increased further and today, over 18,000 employees contribute to STEF's success, a figure that represents 1,300 new recruits in just one year.

In order to raise greater awareness of the opportunities that we provide around our social model, we have deployed our employer branding using the expression "Build your future at the heart of the food world".

The classic example of our Group's uniqueness is still our dedicated company mutual fund (FCPE) which celebrated its 25th anniversary in 2018 and which now enables over 10,000 of our employees to hold up to 16.60% of STEF's capital. STEF is therefore continuing its voluntary commitments in terms of corporate social responsibility and, for the second consecutive year, has been rated "Ecovadis Gold", the highest recognition level in this area.

service mission to operate crossings to Corsica. The commitment and expertise of its employees, the performance of its fleet and its recognised innovations in terms of the environment will enable it, in the future as in the past, to provide the reliable and competitive service that Corsica needs.

Standing down as Chairman on the eve of the 100th anniversary of the creation of STEF, I would like to say how honoured and proud I am to have helped to build a part of its history. It has been a privilege to share this daily and demanding mission to serve our customers with the Group's men and women.

Once again, I would like to thank our customers for the trust that they put in our Group and to assure them of STEF's loyalty to them, in all their projects.

Francis LEMOR

Honorary Chairman

Mr Francis LEMOR stood down as Chairman of the Board of Directors on 30 April 2019. He has been appointed Honorary Chairman of the Group.

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IN TEMPERATURE-CONTROLLEDLOGISTICS AND THE TRANSPORT OF FOOD PRODUCTS.

04	S T E F AT A G L A N C E

STEF, A "PURE PLAYER" AND MULTI-SPECIALIST

S T E F AT A G L A N C E	05

2018 KEY FIGURES

2018 CONSOLIDATED	2018 CONSOLIDATED	2018 CONSOLIDATED
TURNOVER	INCOME	EQUITY
(in millions of euros)	(Group share in millions of euros)	(Group share in millions of euros)
€3,255.1 M	€94.4 M	€693 M

FRANCE OPERATIONS

STEF offers transport and logistics services to manufacturers, retailers and out-of-home foodservice companies for their food products (frozen, chilled and thermosensitive and dry, seafood products).

INTERNATIONAL ACTIVITIES

STEF operates its transport and logistics activities for chilled and frozen products in Italy, Spain, Portugal, Belgium, the Netherlands and Switzerland. The Seafood activity only operates in France and Italy and out-of-home foodservices in France, Italy and Spain.

	WORKFORCE
18,000
CUSTOMERS	DELIVERIES
OVER 10,000	OVER 100,000PER DAY

Today,

60% OF FOOD

PRODUCTS NEED TO BE KEPT COLD!

Temperature control is therefore essential in the supply chain to preserve the quality of the products and consumer health.

MARITIME	CENTRES OF EXPERTISE
La Méridionale transports passengers	Central to STEF's business, IMMOSTEF
and freight between the continent	and STEF IT are its operational drivers to
and Corsica.	improve its productivity and its development.

7 COUNTRIES	FRANCE, ITALY, SPAIN, PORTUGAL,
BELGIUM, THE NETHERLANDS, SWITZERLAND
236	PLATFORMS AND WAREHOUSES
169 sites in France
67 sites in other countries
REFRIGERATED QUAY AREA		STORAGE VOLUME
510,600 m2	9,103,300 m3
OVER 4,000 VEHICLES OPERATED		RO-RO MIXED PASSENGER
	AND CARGO VESSELS
OF WHICH 2,300
OWNED	3

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06	O V E R V I E W

O V E R V I E W	07

"BUILD YOUR FUTURE AT THE HEART OF THE FOOD WORLD"

This is the strong signature that STEF has used to deploy its employer branding across Europe. With a campaign that depicts all the moments of life and people enjoying food that STEF makes possible. The Group's promise is simple: joining STEF is to be involved in building the future of

500

PERMANENT

FULL-TIME

DRIVERS

In order to support the development of its activities and respond to the increasing strain on transport businesses, STEF launched a major recruitment programme across France which was a great success.

URBAN

DELIVERY

STEF swings into action to address these specific issues.

The Group improved its urban logistics service for food professionals in Brussels city centre. STEF also organised an event dedicated to Green Logistics and urban delivery solutions in partnership with the City and Eurometropole Strasbourg.

OVER VIEW

NEW

BI-TEMPERTURE

SITE IN GERMAN-

SPEAKING

SWITZERLAND

STEF boosts its network with the introduction of the Kölliken site and confirms its commitment to become one of the country's major players.

CONQUERING

PARIS

In order to confirm its urban delivery ambitions, STEF opened a new platform at Rungis international market, the Group now directly operates its retail delivery business in the Paris region, thereby improving the quality of service and distribution for its customers.

IMPORTANT DEVELOPMENT IN E-COMMERCE

Together with the Carrefour Group, STEF has unveiled the 1st platform in Île‑de‑France fully dedicated to drive-in services. This opening marks an important stage in STEF's development on the promising e-commerce segment.

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