Editorial by Martin Bouygues

2009: A solid performance, yet affected by the crisis
Strong assets for 2010

Bouygues posted a solid performance in 2009, despite the crisis, and exceeded its objectives. Sales declined by 3% to €31.4 billion, operating profit by 16% and net profit by 12%. However, a sharp drop in net debt, a halving of net gearing and an increase in free cash flow reflect a very healthy financial structure.
 

Bouygues Construction reported a very slight increase in sales, up 0.5%, and operating margin, up 0.3 points. Net profit, down 19%, was hit by lower interest rates despite a sharp rise in the net cash position. The order intake was equivalent to a year's sales.
 

Bouygues Immobilier adapted to market conditions. Sales rose 2%, driven by buoyant residential property activity. Net profit rose 5% and the company again posted a net cash surplus.
 

Colas stood up well to difficult market conditions, marked by falling demand, the postponement of stimulus plans, lower bitumen prices and fierce competitive pressure. In this context, sales were down 9% and net profit 21%.
 

TF1 confirmed its position as France's most-watched TV channel, with high audience ratings in a difficult economic, regulatory and competitive environment. 2009 was a year of successful adaptation and preparation for the future.
 

Bouygues Telecom, which has passed the 10-million customer mark, reported excellent results. The launch of ideo, the first quadruple play service on the market, was a great success. In the mobile phone segment, the company attracted 758,000 new customers.
 

Alstom contributed €329 million to Bouygues' net profit. Cooperation between the two groups took shape in the form of joint bids for TGV high speed rail projects in France.
 

The Board of Directors will ask the Annual General Meeting on 29 April 2010 to approve the payment of a dividend unchanged at €1.60 per share.
 

The Group focused its sustainable development strategy on reducing carbon emissions and energy consumption, responsible purchasing and measures to encourage diversity and safety. Sustainable construction has become a differentiation factor for Bouygues.
 

After successfully adapting in 2009, Bouygues is entering 2010 in good shape with several strong assets.
 

I should like to thank our shareholders for their confidence and all our employees for their hard work and their commitment.

 

2 March 2010
Martin Bouygues
Chairman and CEO