GECINA - REFERENCE DOCUMENT 2017

07

FROM CORPORATE RESPONSIBILITY TO SUSTAINABLE PERFORMANCE Priority 2: stimulate the sustainable city by developing, biodiversity and accessibility for all

7.4.1.3 Analysis of Performance

breakdown below). This analysis evaluates the impact of Gecina’s business on its ecosystem. In addition, more than 46,200 persons work in Gecina’s office properties and more

Gecina operates primarily in the Paris Region and introduces financing into the market on the scale of that area, as on the whole of the French economy (see detailed

than 20,000 live in its residential properties.

BREAKDOWN OF GECINA CASH FLOWS (EXCLUDING EUROSIC SCOPE) BY TYPE OF STAKEHOLDER

Accounting lines

2016

Change

2017

Inflows (in € million)

Clients-buyers Clients-tenants Clients-tenants Clients-tenants

Disposals

1,799

234 491 94.5

-87%

Rental income

542 100

-9% -5%

Expenses

Locare

0.7

0.4

-47% 15%

Outflows (in € million)

Commercial partners

Acquisitions

123 17.5

142

Suppliers and providers Utilities (energy and water)

18

3%

Construction and public work industry (construction, maintenance and small works) Suppliers (excl. Construction/public works and utilities)

Suppliers and providers

284

257

-10%

Suppliers and providers

79

72

-9%

Local communities, associations and NGOs The Gecina Foundation (sponsorship)

0.3

0.34

12%

Employees

Employees

33

33

1% 3%

Investors – shareholders Shareholders (dividends)

314

322

Government and local authorities

Social security contributions

15

16

-1%

Taxes (property taxes, office tax, TEOM (tax on the removal of household refuse), tax on dividends, CVA (value added contribution), research tax credit) Banks and lenders (gross financial costs and miscellaneous costs)

Government and local authorities

55

52

-5%

Financial partners

100

92

-8%

Because of its status as an SIIC, Gecina distributes 95% of its profit and 60% of its gains on disposals of assets, thus providing individual investors the opportunity to access a category of assets suitable for establishing retirement savings. The direct fiscal contribution of Gecina totals €51 million in 2017. Gecina also paid out €15 million in different social security contributions. Gecina produces economic benefits in various sectors of the economy through the development of new properties and the restructuring and maintenance of its existing assets. In 2017, the amount of Gecina’s expenses in the construction and trades sector reached €257 million. In 2017, Gecina spent close to €18 million for utilities and just over €72 million on suppliers and service providers from other business sectors such as maintenance, insurance, headquarters overheads, etc. All of Gecina’s financial flows to its different stakeholders have an “indirect” impact on the territorial economic activity in terms of taxes or employment. The study carried out by a third-party expert in 2015 to identify the indirect impacts of Gecina may be viewed on the website http://www.gecina.fr/sites/default/files/gecina_rapport- contribution-economique_anglais_planche_0116_0.pdf . It will be updated in 2018 to include the Eurosic's assets.

7.4.2

URBAN BIODIVERSITY

Approach 7.4.2.1 Gecina’s assets are mainly located in less vegetated urban city centers (Paris and surrounding areas, Lyon) and do not represent any serious or significant risk for biodiversity. Moreover, its strategy leads to favoring restructuring over buildings in this region. Thus, the impact of its activities on the artificialization of land is limited. Gecina nonetheless would like to strengthen the biodiversity on its real estate properties by vegetating the residual spaces on the ground, and walls and roofs wherever possible. Although these green spaces sequester only a small amount of CO 2 , they contribute to the reduction of urban heat islands, to regulation of atmospheric pollutants and better insulation of walls. The reinforcement of the inertia of these latter leads to approximately 10% in annual energy savings. In addition, biodiversity plays a role in the well-being and productivity of the occupants of the building, improving its immaterial value. In fact, the bibliographical study carried out as part of the VIBEO (1) working group showed that the integration of biodiversity is related to a reduction in absenteeism by 0.7%, an increase in mental well-being of 15% and speed of production by 10%.

Immaterial value of buildings and well-being of occupants (Valeur Immatérielle des bâtiments et Bien-Être des Occupants) – a Working Group made up (1) of the companies BNP Paribas Real Estate, Bolloré Logistics, Bouygues Construction, EDF, Engie, Foncière des Régions, Gecina, Goodwill management, Ivanhoé Cambridge, Saint Gobain and Sercib – to scientifically determine a theoretical methodology for evaluating the contribution of an office building to the productivity of its occupants (based on the Thésaurus Ecopolis © model of GoodWill Management) and verify it in a series of in situ tests.

232 GECINA - REFERENCE DOCUMENT 2017

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