BIC - 2020 Universal Registration Document

COMMENTS ON THE YEAR

Operations and consolidated results

Europe Europe includes Western and Eastern Europe. In 2020, Net Sales in Europe reached 517.3 million euros, a year-on-year decrease of 6.9% on a comparative basis. Europe performance was overall impacted by the Covid-19 pandemic notably in Stationery, where sales to Superstores and Office suppliers suffered from reduced business activity and remote-working, and uncertainties around the Back-to-School season. On the other hand, with consumers shifting more towards online purchases during the pandemic, e-commerce sales grew double digit in Europe, notably thanks to pure players such as Amazon. In Stationery: Net sales were down mid-single digit. Despite a ● challenging Back-to School season, BIC’s solid execution led to the Group becoming the N° 1 manufacturer in the UK. BIC performed well in key added-value segments such as Coloring where BIC grew share in both France and UK, driven by increased demand for products associated with creative arts activities. In Lighters : Net sales were down mid-single digit due to weak ● sell-in performance in France, Italy, and Belgium, in part due to closures of traditional channel stores during the lockdowns in the first and second wave. In contrast, performance was solid in Germany and Russia on the back of new listings and promotional activities. In Shavers: Net Sales were down high-single digit due to the ● overall market decline. However, BIC outperformed a declining one-piece market in the UK, driven by the female segment gaining +0.6 pt in market share (1) . In Eastern Europe, Poland and Russia in particular, BIC outperformed the market thanks to the ongoing solid performance of the Flex Hybrid Range. North America The North America region includes the U.S. and Canada. In 2020, Net Sales in North America reached 703.1 million euros, down 6.1% on a comparative basis. North America was overall impacted by the pandemic which led to significant changes in consumption patterns and shopping behavior. Stationery performance was the most impacted due to school and office closures. However, BIC outperformed its markets in both Shaver and Lighter in the U.S, despite weak underlying market trends. Consumers shifting to online purchases during the pandemic also supported e-commerce double-digit Net Sales growth in the region. In Stationery: Net Sales were down double digit. Performance ● was negatively impacted by school closures delaying the Back-to School season and the decline in the Office products channel. Total U.S. Stationery market was down double-digit year-on-year. BIC held share, and outperformed in Coloring and Permanent Markers, notably thanks to the BodyMark and BIC ® Kids Coloring ranges.

In Lighters: Net Sales were unchanged year-on-year. ● Performance was driven by strong execution, the June price adjustment and the positive impact of effective promotional activities, which offset volume declines. BIC gained 0.8 pt in value (year to date December 2020) in the U.S. pocket lighter market, outperforming the market in both Modern Mass and Convenience channels. The Utility Lighter market was boosted by increased athome cooking and grilling during the pandemic and grew double digit in value in 2020, with BIC outperformed the market. In Shavers: Net Sales were down mid-single digit. BIC ● outperformed the declining U.S. one-piece market growing 1.0 pt to reach 29.1% market share in value. This was driven by the success of BIC’s core range products, a good performance in the Men’s segment and the launch of new products, such as the BIC Soleil Sensitive Advance. Latin America In 2020, Latin America Net Sales reached 230.1 million euros, a year-on-year decrease of 24.4% on a comparative basis. Highly dependent on Convenience and Traditional stores, Latin America suffered greatly from extended quarantine periods during the Covid-19 pandemic. Stationery: Net Sales were down double digit. Brazil’s ● performance was impacted by the closure of large retailer stores during the lockdowns. In Mexico, the only country where schools did not reopen in September, total Stationery market was down approximately 18% in value in 2020, highly impacting BIC’s performance, notably during the Back-to-School season. Lighters: Net Sales were down double-digit. Performance was ● driven by Argentina and Brazil, where in the latter, BIC gained share in a declining market. However, in Mexico, performance was affected by a high level of distributors’ inventories at the start of the year. Shavers: Net Sales were down high-single digit. In Brazil, BIC ● increased its market share in value through its continued product trade-up strategy towards the three-blade offering and reached a historical high of market share in value. The performance in Mexico was notably impacted by a high level of customers’ inventory at the start of the year, which weighted on the overall yearly performance. Middle East and Africa In 2020, Net Sales for Middle East and Africa reached 87.2 million euros, a year-on-year decrease of 24.0% on a comparative basis. Stationery: Net Sales were down double digit. Highly ● dependent on Convenience and Traditional stores, the Middle East and Africa suffered greatly from extended quarantine periods. At the end of the year, performance was impacted by Back-to-School delays in both East and South Africa.

YTD November 2020. (1)

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• BIC GROUP - 2020 UNIVERSAL REGISTRATION DOCUMENT •