ADP_REGISTRATION_DOCUMENT_2017

ORGANISATION CHART

BUSINESS OVERVIEW

PERSONS RESPONSIBLE FOR THE REGISTRATION DOCUMENT AND ANNUAL FINANCIAL REPORT

STATUTORY AUDITORS

SELECTED FINANCIAL INFORMATION

RISK FACTORS

INFORMATION ON THE COMPANY

REAL ESTATE ASSETS AND FACILITIES

REVIEW OF THE FINANCIAL POSITION AND INCOME

EQUITY AND CASH FLOWS

Competition Traffic is considered to be the most relevant indicator in the airport management sector. The top ten international airports in terms of passenger traffic are 1 :

Promotion of air cargo transport Groupe ADP campaigns for the development of traffic rights (5 th freedom rights) and measures for administrative simplification which improve the competitiveness of air cargo in France. In this respect, the adoption in 2015 of the automatic reversal of VAT liability on import, a measure defended by Groupe ADP, allows agents and loaders to optimise their cash flow since they are no longer obligated to pay VAT on customs clearance. Groupe ADP made significant investments to ensure that Paris hosted the 28 th edition of the Air Cargo Forum in 2016. Held every two years by the TIACA (The International Air Cargo Association), the main international association of air cargo professionals, this major event is the largest global meeting of players from this industry (airlines, airports, cargo forwarding agents, ground-handling agents, integrators, express delivery providers and loaders, etc.). As joint host of the Parisian edition with Air France Cargo in 2016, Groupe ADP will participate in the 2018 edition of ACF to be held in Toronto. In 2017, Groupe ADP increased its investment and interventions in international air cargo trade fairs like Air Cargo Europe in Munich in May 2017, Vinexpo alongside HAROPA (Ports of Paris, Seine-Normandy) in June 2017, the Symposium on International Transport of healthcare products organised by Pharma Logistic Club in September 2017 and the Executive Summit of TIACA in October 2017 to promote its airports and their cargo related know-how. Initiatives and innovations that unite the Cargo Community Innovation is at the heart of Groupe ADP’s cargo strategy. As a coordinator and promoter of the cargo community, which includes more than 200 companies at Paris-Charles de Gaulle in addition to government services, it supports several initiatives which aim to facilitate processing and goods handling operations. For example, the electronic data exchange platform “Cargo Community System” – developed by CIN France (Cargo Information Network) and Groupe ADP, can trace cargo operations at the airport, while optimising compliance with customs regulations and safety and security obligations. The success of the deployment is evidenced by the fact that 115 airlines and 80 cargo forwarding agents are already using it. This exchange platform pertains to the logic of e-freight, i.e ., the possibility of issuing a paperless airway bill with its security certificate. This project, conducted with the Roissy Interregional Customs Service, will reduce the number of paper documents that accompany each shipment. Groupe ADP is also preparing to launch, in 2018, the 1 st innovation challenge dedicated to cargo in the form of a competition organised for innovative start-ups and SMEs who are invited to invent and design new ground-breaking solutions. The winning ideas will be tested in experiment phases and the most promising projects will then be deployed at the Paris airports. Finally, Groupe ADP is a member of the “Roissy Carex” association, which was created to study the economic and technical feasibility of a high- speed cargo rail connection to the Paris-Charles de Gaulle platform.

2017 traffic (in millions of passengers)

Rank Airport (IATA code)

2017/2016

1

Atlanta (ATL) Beijing (PEK)

103.9 95.8 88.2 84.6 83.2 79.5 78.0 72.8 70.0 69.5

-0.3% +1.5% +3.5% +4.5% +4.3% +1.8% +3.0% +3.5% +6.1% +5.4%

2

3 Dubaï (DXB)

4 Los Angeles (LAX) 5 Tokyo (HND) 6 Chicago (ORD)

7

Londres (LHR)

8 Hong Kong (HKG) 9 Shanghai (PVG)

10 Paris (CDG)

Competition with other airports Many airlines are members of alliances, allowing them in particular to combine their various destinations into networks so as to maximise the services offered to customers. In this context, the airport plays an essential role, since it constitutes the link between connecting flights. Its performance may thus be measured based on the connection possibilities that it offers. With the consolidation of the airline industry around a fewmajor alliances and their main airline members, Paris Aéroport is primarily in competition with London Heathrow (78.0 million passengers in 2017), home to British Airways and the Oneworld Alliance members, and Frankfurt airport (64.5 million passengers in 2017), the hub for Lufthansa and its Star Alliance partners. Therefore, according to ACI Europe’s “Hub Connectivity” report, which evaluates the connections network offered at the airport, Paris-Charles de Gaulle is the 3 rd European hub for global connectivity, behind Frankfurt and Amsterdam 2 . Paris-Charles de Gaulle is ranked as the third European hub in the most profitable segment for intercontinental connections with Asia Pacific, behind London-Heathrow and Frankfurt with a growth rate of 7.6% over the past ten years, while the two other airports saw a decline in this segment. Paris Aéroport is also in competition with hubs further afield, such as Dubai (88.2 million passengers in 2017), home of Emirates, which are striving to become major international hubs between Europe, the Americas and Asia.

06

1 Source: ACI Europe. 2 Please refer to the paragraph “A powerful hub” in Chapter 6.

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AÉROPORTS DE PARIS  REGISTRATION DOCUMENT 2017