Compagnie des Alpes - 2017 Registration Document

MESSAGE FROM THE CHAIRMAN AND CHIEF EXECUTIVE OFFICER

“ WE ARE READY TO SEIZE OPPORTUNITIES ” Favourable outlook The increase in the Group's profitability enables us to intensify our investments and maintain positive momentum. In ski areas, our main efforts are focused on renewing and extending our public service concession agreements, securing snow conditions on the slopes, and further improving the customer experience. In leisure destinations, we are pushing ahead with the Parc Astérix accommodation programme, and transforming our Walibi Belgium and Rhône-Alpes parks. We also plan to open an aquapark in Bellewaerde. Our objectives for the upcoming two years are to maintain the operating margin of our ski areas and continue to increase that of our leisure destinations after the consolidation of Chaplin’s World and Grévin Montreal. Indeed, the Group has rationalised its portfolio of indoor sites by deciding to sell or close down the Grévin museums in Prague and Seoul, due to their disappointing performance. We had announced that we were ready to seize targeted acquisition opportunities in order to play a pivotal role in the consolidation of the leisure sector. We are thus very happy to have acquired, in 2018, a majority stake in Travelfactory, the leading online distributor of ski holidays in France. Concerning our advisory and support services, the numerous contracts won in China and Russia, as well as in Europe, make us a privileged partner. Furthermore, the plan to bring in new shareholders in order to accelerate

Profitable growth in our leisure parks

Creating new momentum in our resorts Compagnie des Alpes operates some of the world's largest and most attractive ski areas, in internationally-renowned high- altitude resorts. Yet, boosting the growth in volumes remains a major strategic objective in a mature market.

To improve the operational performance of its leisure destinations, Compagnie des Alpes has refocused its business on the sites most compatible with its strategy of ensuring Very High Satisfaction to its customers. Today, the Group has a diversified offering, ranging from theme parks to animal parks, edutainment parks and indoor sites. We want our visitors to experience unique sensations. Their satisfaction – which rests on the attractiveness and novelty of our facilities, as well as on the quality of the services offered – is the best way of gaining their loyalty and generating positive word-of-mouth. We invest in new equipment and the creation of high-profile content, sometimes with big names in the amusement industry. This year, six of our sites broke their admission records and Parc Astérix exceeded the 2 million visitor mark for the very first time. However, to increase the number of visitors, we also invest in accommodation, in order to extend our sites' catchment areas and prolong visits. The first phase of our programme aimed at increasing the hotel capacity of Parc Astérix to 450 rooms has thus fully met our expectations. The revamping of our food services and shops has also boosted our revenues. Moreover, we are working on ways of adapting our commercial offers. “ WE WANT VISITORS TO EXPERIENCE UNIQUE SENSATIONS ”

“ WE STRIVE TO ENHANCE OUR CUSTOMERS' EXPERIENCE ”

To this effect, the Group focuses its efforts on constantly improving its ski offering by optimising its ski facilities (ski lifts, snow parks, signs, etc.), and by investing in artificial snow-making equipment. Enhancing and diversifying the customer experience is also a strong strategic objective for the Group. This means offering products and services suited to the different customer types and guiding customers throughout their stay. Compagnie des Alpes thus acts as a responsible player in its ecosystem, by launching forward-looking initiatives in order to constantly improve the quality and quantity of tourist accommodation, as well as their marketing.

the Group's development remains a strategic priority, in view of the long-term transformations expected in our business sector.

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Compagnie des Alpes 2017 Registration Document