FFP_REGISTRATION_DOCUMENT_2017

GROUP PRESENTATION Chairman’s message for 2017

Chairman’s message for 2017

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Dear Shareholders, 2017 was a record year for FFP in terms of divestments, new investments and portfolio activity. The result was a 17.5% increase in Net Asset Value, taking it to a new record high. Taking advantage of attractive market conditions, FFP seized divestment opportunities, and sold three significant shareholdings: Sanef, ONET and Ipsos for a total of €316 million, having supported those companies for 12, 10 and 7 years respectively. The resulting increase in our resources allowed us to acquire a 5.5% stake in SPIE, the independent European leader in multi-technical services, for €201 million. We also strengthened our partnership with JAB Holding, committing to invest an additional $150 million in JAB Consumer Fund Global Brand II (“JAB II”), the second co-investment vehicle in the consumer goods sector which will be partly deployed at the occasion of the recently announced merger of Keurig with Dr Pepper Snapple, one of the leading producers and distributors of non-alcoholic beverages in North America.

In addition, we expanded our co-investments with other funds, carrying out four transactions, including three in the USA, in addition to the JAB II deal. At the end of 2017, FFP’s co- investments were valued at €240 million, and as such are for the first time reported separately in the Gross Asset Value. These transactions illustrate the investment strategy – based on sector and geographical diversification – that FFP has been pursuing for several years. PSA Group has been very active, with outstanding results. The strategic acquisition of Opel/Vauxhall has increased the group’s market share to 17% in Europe. Safran’s acquisition of Zodiac Aerospace also created a French group that is a world leader in aerospace. FFP tendered its shares to Safran’s offer, and is now a shareholder in the combined group. We also subscribed to capital increases by the Tikehau Capital group and Total Eren (after which the Total group acquired an indirect stake of 23% in the company), in order to support and foster those two companies' growth. We committed $14 million to new real-estate projects in Atlanta, Charleston and Savannah, and we expanded our portfolio of private equity funds with nine new commitments – totalling €105 million – to funds based in Europe and the USA.

ROBERT PEUGEOT Chairman and Chief Executive Officer

Our debt remains reasonable, amounting to €464 million including €243 million of bonds issued in 2017 in the form of Euro Private Placements (Euro PP), allowing us to extend the maturity of our debt to 2025-2027. At 31 December 2017, we had €519 million of unused facilities. As a result, FFP continues to dispose of immediately available funding with which to seize new investment opportunities. The complexity of the investment activity and the importance we place on monitoring our investments led us to strengthen our team further. Under the guidance of Bertrand Finet, our Chief Operating Officer who joined us in early 2017, we recruited five new members of the investment team and a senior legal counsel, to enable us to manage FFP’s rapid growth as effectively as possible. On the basis of our overall 2017 performance, the Board of Directors will propose an ordinary dividend of €2.00 per share at our AGM, an 11% increase relative to 2016.

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FFP

2017 REGISTRATION DOCUMENT