Lagardère SCA Announces 2011 First-Half Results

Net sales (€m)

• Lagardère Publishing – Net sales of €900m, down by 7.7% on a reported basis and by 6% on a like-for-like basis. When stripping out the Stephenie Meyer phenomenon, net sales were stable in the US and in the UK.

Note the solid performances in France in General Literature and Education segments, and Larousse thanks to an effective policy of diversification.
Sharp growth in e-books in English-speaking countries: in the US and UK e-books accounted for 20%
and 8%, respectively, of net sales in the trade segment (Books meant for the general public) in the first half of 2011, double the figures of one year previously. E-books now account for 5% of total net sales at Lagardère Publishing.

• Lagardère Active – Net sales of €807m, down by 5.6% on a reported basis but up by 1% on a like-for- like basis.

The difference between reported and like-for-like figures is due mainly to the disposal of the International Magazines Publishing business (with activity deconsolidated in 13 countries as of 31 May 2011)
Activity excluding International Magazine Publishing (PMI):

Net sales excluding PMI (i.e., 15 countries, including 13 sold off as of the end of May) came to €482m, down
-4.6% on a reported basis and -3.1% on a like-for-like basis.
This decline is due mainly to:
– the second-quarter slowdown in the ad market (net ad revenue excluding PMI declined slightly during the
first half, by 0.4%);
– magazine circulation, which slipped by 1.6% in France, despite solid performances by Paris Match and
Elle;
– delayed deliveries in the first-half in TV Production activities.
Revenue from Radio in Eastern Europe continued to rise briskly. Theme channel revenues were up slightly.