AFP BOARD MEETING

The Board of Directors met on September 15 2011 and proceeded with the election of the Vice Chairman. M Jean-Pierre Caillard of La Montagne was elected unanimously. Jean-Pierre Caillard chose the occasion to express his “full support for the Agency, its staff, its Chairman and Board of Directors at a time when a number of sensitive matters are on the agenda.”

Staff recalled that they had passed a no confidence motion on September 2. The Chairman, Emmanuel Hoog, replied that given the preliminary procedure by the European Commission following the complaint by the German agency DAPD and the questions it raises, management was seeking, with the public authorities, a clear answer so that it can secure sustainable public financing for the Agency.

In relation to the financial relationship between the Agency and the state, and therefore the question raised by the European Union of securing funds, the safest way is via legislation. AFP management is examining to what extent regulatory measures can provide an alternative, stable and durable solution with regard to Community law and French law. If the way of regulation, which without doubt is the more fragile, is however deemed to be possible, legislative reform of the governance of the Agency will naturally be have to be put in different terms.

The Chairman said that such issues will be discussed internally as part of the system of consultation that the management will put in place with the social actors from September 28.

With one abstention, the entire board voted unanimously for the following declaration: “The Board of Directors met on September 15, anxious to ensure the development and independence of AFP, wishes, with regard to the questions posed by the European Commission on its financing, that all efforts are made without delay to secure public funding as part of its general interest missions. These efforts led by the Chairman must be made in the closest consultation with the staff of the Agency.”

The Board also examined the 2010 accounts jointly audited by Ernst & Young and Mazars and approved them unanimously.

Sales for 2010 totalled 283 M€, an increase of nearly 7 M€ (at comparable rates) compared to 2009 (+2.5%). The largest increases affect the video (+24%), multimedia (+16%) and photo (+7%). The strategic choices of the Agency, presented by the Chairman Emmanuel Hoog to the Board meeting of December 2010, are thus consolidated.

In geographic terms, the already discernable contrast in revenues from France and internationally is confirmed. Growth was 0.3% for France and 2.9 % internationally.

Operating expenses (excluding special sporting events in 2010 - the FIFA World Cup and Winter Olympics) remain under control. They grew overall by 2.9 % between 2009 and 2010.

The operating margin amounted to 17.7 M€, some 2.7 M€ higher than the budget, and in line with the objectives of the Agency under the contract of objectives and means signed with the state.

Net income amounted to 0.3 M€.

Regarding operations in 2011, the positive trend noted on the revenue should enable the Agency to achieve its fiscal targets in 2011 and to finance particularly rich news coverage as well as its development projects.