Aéroport de Paris - 2018 Registration document

BUSINESS OVERVIEW 06

DESCRIPTION OF ACTIVITIES BY SEGMENT

A first development phase, consisting of developing a small activity park on 3 hectares of land available immediately, was subject to interest from several property developers.

project, Groupe ADP plans to sell 3 hectares of land in the project to an operator in 2019. A 30 hectares business district is to be constructed in Lognes, after modification of aviation easements. For this last project, a partnership agreement was signed with local authorities and partners. International and airport development The “International and airport developments” segment consists of the businesses within Aéroports de Paris’ subsidiaries and holdings that operate airport management and engineering activities. Created in 2012 and renamed in 2014, this segment includes ADP International

(formerly Aéroports de Paris Management), ADP Ingénierie, and the holdings in Schiphol Group and TAV Airports. The stake in TAV Construction was sold in July 2017.

Operating income from ordinary activities (including operating activities of associates)

Revenue

EBITDA

2018

2018

2018

2018/2017

2018/2017

2018/2017

(in millions of euros)

ADP International Of which AIG ADP Ingénierie TAV Airports 1 TAV Construction 2 3 Schiphol Group2

188 175

+€173M +€175M

37 54

+€49M +€54M

3

-€41M +€10M -€13M +€101M +€12M

10

58

+€7M

1

+€11M

0

1,166

+€550M

548

+€268M

320

- - -

N/A N/A N/A

- -

N/A N/A

(0)

18

-8.1% -€8M

Others TOTAL

(54) 585

-€50M

(11)

1,412 + €730 M

+€333 M

339

+€153 M

1 Consolidation of TAV Airports from 1 July 2017 – see Chapter 9, “Highlights of the 2017 financial year”. 2 Associate. 3 Disposal of the interest in TAV Construction on 20 July 2017.

The steering of international activities, with ADP International

of 400 to 450 million passengers by that date (vs. 281 million passengers in 2018). This ambition will bring the share of the Group's international activities to around 35-40% of the operating income from ordinary activities by 2025. Lastly, all the Group's international airports aim to achieve an Airport Service Quality (ASQ) rating greater than or equal to 4.0 in 2025. This medium-term vision on which the Group communicated during an Investors' Day at the beginning of April 2019 does not constitute a target as such, but supplements the Connect 2020 plan, for which the targets are confirmed. This ambition is based on the following five strategic focuses: ◆ offer a unique value proposal based on synergies with the Group in terms of expertise and innovation; ◆ capitalise on ADP Ingénierie and the service companies to reinforce value creation; ◆ focus on the identified geographical zones to accelerate the Group's international expansion; ◆ acquire airport groups to accelerate growth; ◆ manage the asset portfolio in terms of risk/returns. ADP International (formerly Aéroports de Paris Management) Wholly-owned by Aéroports de Paris, ADP International’s activity is airport management and equity investment in airport companies outside Paris. The equity stakes held by ADP International are as follows: ◆ Belgium: a 25.6% stake in the Belgian company Liege Airport since 1999. This company manages the Liège-Bierset airport, which is the 7 th European airport for cargo traffic. ADP International has specific

Groupe ADP has brought together the management of international activities under ADP International with its 100% owned subsidiary, ADP Ingénierie. ADP International, a wholly-owned subsidiary of Aéroports de Paris is responsible for the entire international scope of Groupe ADP, including monitoring the interest in TAV Airports and Schiphol Group. Its ambition is to deploy all the expertise and innovations of Groupe ADP, which served over 281 million 1 passengers in 2018 and 25 airports worldwide (at 31 December 2018). The Group’s three main international businesses are now under the same management: investments, airport operations and engineering-innovation. ADP International benefits from the support of a strong local network, thanks to the three regional offices: in Istanbul for the Africa and Middle East Region, in New York for the Americas Region and in Hong Kong for the Asian Region. A reinforcement of the dedicated international teams supports this change. The objective of this new organisation is to deploy an integrated offer and reinforced sectorial expertise, with greater proximity to customers. It will provide an essential source of growth in order to achieve the value creation objectives set out in Groupe ADP’s strategic plan, Connect 2020, namely through a 14%-18% share in the Group’s operating income from ordinary activities. In 2018, thanks to the full consolidation of TAV Airports and AIG (Aman airport in Jordan), this contribution to the Group's operating income from ordinary activities amounts to around 27%. Strategic discussions carried out at the end of the year and completed at the beginning of 2019 have reaffirmed Groupe ADP's ambition to be a world leader in airport management with 35 to 40 airports managed worldwide by 2025 (vs. 25 airports at 31 December 2018) and a forecast

1 Passenger traffic data for airports managed by TAV Airports are included in full, in accordance with TAV Airports' financial communication practices. However, following the 49% stake taken by TAV Airports in Antalya, the traffic at this airport has been included in full since January 2017 for the purpose of this analysis, whereas TAV Airports has only included it since May 2018.

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AÉROPORTS DE PARIS ® REGISTRATION DOCUMENT 2018