The first Carrefour store opened on 3 June 1957, in suburban Annecy near a crossroads (carrefour in French). The group was created by Marcel Fournier, Denis Defforey and Jacques Defforey and grew into a chain from this first sales outlet. In 1999 it merged with Promodès, known as Continent, one of its major competitors in the French market.

Marcel Fournier, Denis Defforey and Jacques Defforey had attended several seminars in the United States led by "The Pope of modern distribution" Bernardo Trujillo, who influenced other famous French executives like Édouard Leclerc (E.Leclerc), Gérard Mulliez (Auchan), Paul Dubrule (Accor), and Gérard Pélisson (Accor). Their slogan was "No parking, no business."

The Carrefour group pioneered the concept of a hypermarket[dubious – discuss], a large supermarket and a department store under the same roof. They opened their first hypermarket 15 June 1963 in Sainte-Geneviève-des-Bois, near Paris in France.[2]

Carrefour's trading logo

In April 1976, Carrefour launched a private label Produits libres (free products -- libre meaning free in the sense of liberty as opposed to gratis ) line of fifty foodstuffs, including oil, biscuits, milk, and pasta, sold in unbranded white packages at substantially lower prices. The popularity of these products led critics on the political right to charge that Carrefour was undermining capitalism by acclimating the population to generic (rather than brand name or specialty) foods.[citation needed] In particular, Jean Mothes, an executive at Perrier, wrote in Investir magazine that Carrefour did more to accelerate the change to a socialist-led government than socialist politicians and syndicalists like Edmond Maire, Georges Marchais, François Mitterrand and Georges Séguy.[citation needed] In September of 2009, Carrefour updated it's logo. [3]

[edit] Slogans

• Hypermarkets: "Choice and quality for everyone" • Hypermarkets: "Pentru o viaţă mai bună" (Romania); it means "For a better life" • Hypermarkets: "Ke Carrefour Aja Ahh...!!!" (Indonesia), literally means "Go to

Carrefour (is better)...!!!" • Supermarkets: "The prices people want, close to home" • Hard Discount: "Grocery products at low, low prices" • Convenience Stores: "Just what you need, right next door" • Cash & Carry: "Proximity and accessibility for catering professionals"

[edit] Carrefour around the world in September 2007

countries where Carrefour Group is present. Directly owned Under franchise

[edit] Asia

• In 1989, Carrefour became the first international retailer to establish a presence in Asia when it entered Taiwan through a joint venture with Uni President Enterprises Corporation. It leveraged the experience it gathered in Taiwan to expand into other Asian markets. Carrefour also operates in the United Arab Emirates and Jordan in a joint venture with Majid al Futtaim[2] . In March 2007 Carrefour opened a store in Kuwait in the Avenues mall . In Oman, Carrefour opened a store in 2003 on the outskirts of the city of Muscat. Carrefour also has 11 franchise operated hypermarkets in Saudi Arabia, with 5 of them being in the capital Riyadh itself. In 2007, expansion accelerated outside France, particularly in Asia, with the building of 36 new hypermarkets, including 22 in China - where the Group broke its record for store openings in a one-year period. Carrefour has also opened a franchise owned branch in the Bahrain City Centre in 2008.

Country First storeHypermarket

sSupermarkets Hard Discounters

China 1995 134 - -

Indonesia 1998 61 14 -

Bahrain 2008 1 - -

Japan 2000 7 - -

Jordan 2007 1 - -

Kuwait 2007 1 - -

Malaysia 1994 12 - -

Oman 2000 2 - -

Pakistan 2009 1 - -

Iran 2009 1 - -

Qatar 2000 3 - -

Saudi Arabia 2004 11 - -

Singapore 1997 2 - -

Syria 2009 1 - -

Taiwan 1989 48 - -

Thailand 1996 25 - -

United Arab Emirates [3]

1995 11 2 -

[edit] Africa

Country First store Hypermarkets Supermarkets Hard Discounters

Morocco 2009 1 -

Algeria 2005 2 1

Egypt 2002 5 -

Seychelles 2009 Under Construction - -

Tunisia 2001 1 2 -

[edit] Europe

CountryFirst store

Hypermarkets

SupermarketsHard

DiscountersConvenience

StoresCash & Carry

Belgium 2000 56 280 - 257 -

Bulgaria 2009 1 - - - -

Cyprus 2006 5 4 - - -

France 1960 218 1,021 897 3,245 134

Greece 1991 28 210 397 216 -

Italy 1993 59 485 - 1,015 20

Monaco - - 1 - - -

Poland 1997 72 277 - 5 -

Portugal 1991 - - 365 - -

Romania 2001 22 23 - - -

Russia 2009 5 - - -

Spain 1973 161 87 2,912 3 -

Slovakia 1998 4 - - - -

Turkey 1993 19 99 519 - -

[edit] Americas

Carrefour has a presence in 4 countries in the Americas: Brazil, Argentina, Colombia, and the Dominican Republic. Carrefour is active in 3 types of retail distribution: hypermarkets, supermarkets and hard discounters, and entered the Cash & Carry market in Brazil, after the purchase of Atacadão.[4]

CountryFirst store

Hypermarkets

SupermarketsHard

DiscountersConvenience

StoresCash & Carry

Argentina 1982 59 103 395 - -

Brazil 1975 150 38 300 5 34

Colombia 1998 57 - - - -

Dominican Republic

2000 5 10 - 20 85

Carrefour:

History:

The first Carrefour store opened on 3 June 1957, in suburban Annecy near a crossroads (carrefour in French). The group was created by Marcel Fournier Denis Defforey and Jacques Defforey and grew into a chain from this first sales outlet

In 1999 it merged with Promodès, known as Continent, one of its major competitors in the French market.

The first hypermarket was opened on 15 June 1963 in Sainte-Geneviève-des-Bois, near Paris in France

In April 1976, Carrefour launched a private label Produits libres (free products -- libre meaning free in the sense of liberty as opposed to gratis) line of fifty foodstuffs, including oil, biscuits, milk, and pasta, sold in unbranded white packages at substantially lower prices

OUR GROUP

The Carrefour group: a world leader in distribution

Over the past 40 years, the Carrefour group has grown to become one of the world’s leading distribution groups. The world’s second-largest retailer and the largest in Europe, the group currently operates four main grocery store formats: hypermarkets, supermarkets, hard discount and convenience stores. The Carrefour group currently has over 15,500 stores, either company-operated or franchises.

An international retailer

A pioneering entrant in countries such as Brazil (1975) and China (1995), the group currently operates in three major markets: Europe, Latin America and Asia. With a presence in 35 countries, over 56% of group turnover derives from outside France. The group sees strong potential for further international growth in

the future, particularly in such large national markets as China, Brazil, Indonesia, Poland and Turkey.

Promoting the growth of local economies

Wherever it has a presence, Carrefour is actively committed to promoting local economic development. Since retail activities are all about contact with people, the group consistently emphasizes local recruitment plus management and staff training on the job wherever they work.Typically, the Carrefour group will be one of the leading private employers in any country where it operates. Naturally, this is the case for France, where the group was originally founded, but it is also true of such countries as Brazil, Argentina, Colombia, Italy and Greece. The group also seeks to support local suppliers, with some 90-95% of the products on its shelves sourced locally, depending on the country.

POINT OF VIEW

Convenience stores: lending vigour to the city centre

In order to respond to its customers’ needs at any time, Carrefour operates a variety of retail formats and concepts, including hypermarkets, supermarkets and convenience stores. Its neighborhood convenience stores, located in the urban core, are increasingly popular among consumers. With over 4,800 stores worldwide, the Carrefour Group plays a major role in convenience retailing. Today, Carrefour ensures that its stores in this format enjoy the benefit of Carrefour’s modern approach and high profile by giving them the Carrefour name, such as the Carrefour Express banner in Brazil, Carrefour Express Marinopoulos in Greece, Carrefour 5 Minut in Poland, Carrefour Convenient Buy in Taiwan and Carrefour City in Spain and France.

To learn more about shopping patterns in city centers and the role played by France’s neighborhood stores, Carrefour has now, for the first time, created the Barometer of Urban Consumer Expectations, in partnership with its Carrefour Property division and the Centre-Ville en Mouvement association, a group of businesses and organizations active in the city centre. The survey was conducted by TNS Sofres among a representative sampling of 623 French adults aged 18 or over living in cities with a population of at least 5,000.

This initial phase yielded several findings:

1) The French like their city centers

The French feel good in their city centers.

Seventy-four percent had a positive view of the city centre.However, 20% expressed a wholly negative view.

The city centre is a positive environment for a majority of the French people. Two-thirds of those living in urban areas with a population of at least 5,000 feel comfortable there. The most common positive impressions are satisfaction, a feeling of enjoyment (41%) and the sense of being free and independent (40%).

Practical experience in the area plays a positive role: those who frequently travel to the city centre to do their grocery or other shopping feel particularly comfortable there (70-80%).

At the same time, 20% have a less positive view of the city centre: they feel stressed there or even lost. This includes a significant percentage of white-collar workers (29%), but also inhabitants of major metropolitan areas such as Paris, Lyon and Marseille (27%). The size of the urban area is especially decisive in shaping views of city centers (including the image people have of the area and the frequency with which they go there). But the use of a car to travel to the central city does not dissuade people from going: surprisingly, those who use mass transit have the most negative perception.

The city centre: an area full of possibilities, a vibrant place designed for interaction.

The city centre is synonymous with communication, interaction and social ties (62% of the spontaneous responses given by the French public): it is very strongly associated with the shops and businesses grouped there that offer a variety of goods and services: “You find everything there.”

The individuals surveyed were also sensitive to how the city centre is structured: 40% of the spontaneous responses received on the city centre involved the urban environment, with its liveliness, its green spaces... and above all its traffic.

2) Retail stores are the driving force behind the city centre

Retailing is the nerve centre of the urban core

For 57% of the French public, retail stores help to make their city attractive, improve the quality of life for residents or create excitement.Another advantage of city-centre businesses, according to 46% of the French public: “everything is close by”.Note that for 13% of the French, city-centre stores offer advantages because they have longer or more extensive opening hours.

At the core of French expectations regarding their city centre: retail stores

In order to make the city centre more appealing, the French would like to see:

• More retail businesses (39% of the French and 53% of those who live in cities with 5,000 to 20,000 residents)

• Easy access by car or mass transit (30%)• More green space (26%)• More leisure facilities (cinemas, libraries, theatres, etc.) (37%)• Longer opening hours for retail shops (11%)

And in practice, a combination of consumption modes and retail habits

The French frequent a complementary array of retail shops and use these stores for different purposes. To find attractive prices and a wider selection, they go primarily to shopping centres/retail areas on the outskirts of each city (price: 72%; selection: 70%).

Central-city retailers win support for their quality and the advice they offer (53%).

3) Sustainable management of city centres is a necessity

The ideal city centre for the French public: greater accessibility and enhanced quality of life

When the French are asked which criteria they consider most important for building the ideal city centre, 43% cite “ease of access, with car parks and pedestrian spaces”. Next, 37% want a city centre that is “pleasant and appealing, with a cultural life and places for going out”--and an area with parks and green space as well (36%). Liveliness (30%) and shops and businesses (29%) received the next highest number of responses.

4) In practice, two realities emerge about the city centre

On the whole, the French travel to the city centre to do their shopping and errands

The results suggest that travel to the city centre is fairly widespread among the French public The most frequent visitors are managers, young adults (ages 25-34) - still single or in the process of starting a family - and, logically, residents of major French cities (Paris, Lyon and Marseille).

Of those surveyed, 53% go to the city centre on a regular basis to do their grocery shopping. The number of respondents who shopped at national chains vs. those frequenting small, independent neighborhood retailers was found to be equivalent (65% and 61% respectively go at least once a week).In addition, 40% of those surveyed visit the city centre regularly for “fun” purchases at specialty stores, and 38% go to do other shopping and stroll the neighborhoods.The need to visit government offices also prompts a significant amount of travel to city centres, but on a less frequent basis (20% regularly and 39% occasionally).Lastly, opportunities to go out (restaurants, films, museums) round out the list: 16% of the French go regularly, compared with 72% who go rarely or never.

These evenings out are widely popular among managers and those under the age of 35. The size of the urban area is a factor as well: municipalities with over 30,000 residents have a greater impact (Paris, Lyon and Marseille most of all).

Two realities about the city centre in the data

A split on current perceptions of the city centre: 54% feel their city centre is very lively and animated, versus 40% who disagree

There are enjoyable city centres on one hand... Residents of the biggest French cities see a lively city centre, with an expanding retail sceneAmong residents of Paris, Lyon and Marseille, 88% find their city centre to be especially lively and animated.And 74% enjoy going there to run errands and wander the neighborhoods.Fifty-three percent report an increasing number of stores in their city centre that are part of national chains.

... And boring city centres on the other?

In every other city, a more mixed view: a retail dynamic that needs to be strengthened.Fifty-eight percent of those who live in rural areas with an urban influence or in French cities other than Paris, Lyon and Marseille genuinely enjoy doing their shopping in the city centre.But just 50% find their city centre very animated (versus 88% for Paris, Lyon and Marseille).

The Carrefour Group’s neighborhood stores, in the heart of French cities

With its neighborhood convenience stores, the Carrefour Group is meeting the needs of urban customers and injecting energy into small towns and villages. In France’s major cities, Carrefour offers stores that keep pace with urban lifestyles, offering an expanded line of ready-to-eat products. In rural areas, convenience stores provide a real service to local residents, with a selection of products for day-to-day life as well as repairs.

Carrefour convenience stores: the number-one grocery franchisorSix banners: Shopi, 8 à Huit, Marché Plus, Proxi, Carrefour City* and Carrefour

Contact*Sales of €3.5 billion in 2008Nearly 700 employees providing services to franchiseesAn exceptional network of over 3,200 convenience storesFive million customers shop at the Carrefour Group’s convenience store banners*Banners in the test phase

Carrefour City and Carrefour Contact: two new banners for day-to-day needs

Carrefour City Carrefour City is specially designed to meet the needs of a highly mobile urban clientele. It's a fun, vibrant, user-friendly place to shop, with two main areas: "Pour tout de suite", which offers ready-to-eat products, and "Pour plus tard”, for daily shopping needs. Carrefour City is open long hours to keep pace with urban lifestyles. In Paris, its hours are from 7 am to 11 pm. Customers will find every Carrefour-brand product, including the Carrefour Discount line, and can enjoy the benefits of Carrefour’s loyalty program.

Carrefour Contact Located at the entrance to or in the centre of small towns and villages, Carrefour Contact is a store for everyday needs. It sells a selection of products for meal preparation and carries an extended range of fresh foods and meat. The store also offers pleasure shopping and repair services. At Carrefour Contact, too, customers enjoy all the benefits of the Carrefour name: Carrefour-brand products, Carrefour’s loyalty program and more.

OUR STORES

Our stores

Over the past 40 years, the Carrefour group has grown to become one of the world’s leading distribution groups. The world’s second-largest retailer and the largest in Europe, the group currently operates four main grocery store formats: hypermarkets, supermarkets, hard discount and convenience stores. The Carrefour group currently has over 15,000 stores, either company-operated or franchises.

• Hypermarkets: the appeal of the new • Supermarkets under the Carrefour banner • Hard Discount: low prices year-round • Convenience: always attuned to customer needs • Cash & carry: proximity and accessibility for catering professionals • E-commerce

Hypermarkets: the appeal of the new

Customers seek good selection, prices and quality as well as faster shopping in a simple, friendly environment. Carrefour hypermarkets have entered the era of customized services and are poised to conquer new markets.

Human-scale hypermarkets

The world leader in the hypermarket segment with 1,302 stores, the Carrefour Group continually adapts its store formats to the lifestyles of its customers. To create a more pleasurable shopping experience, the hypermarkets are becoming more compact. Internationally, the average size of a new hypermarket in 2008 equalled 5,400 sq.m, just two-thirds the size of a store opened in 2004. In many cases, the growth format may even be 3,000 sq.m to match as closely as possible the needs of each trading area. In these compact formats, Carrefour is expanding its offering to remain faithful to the hypermarket concept. Countries like Colombia, Thailand, Taiwan, Poland, Spain and Romania have been pioneers in this area. In Bogotá, for example, Carrefour opened two hypermarkets with less than 2,600 sq.m of sales area. In Taiwan, Carrefour’s growth is being driven by compact and mini formats, some of which are located in shopping malls and offer a wide array of services and leisure activities.

In sync with local life

Carrefour Group banners are growing and operating with their customers' needs at the top of the list, as evidenced by Brazil's Atacadao, a store concept with a focus on low prices. At year-end 2008, Carrefour Brazil had 48 Atacadao stores, up from 34 in 2007, and recorded two-figure sales growth year-on-year. In Colombia, the Tintalito stores offer affordable and modern consumer products to customers with modest incomes at the best prices and quality.

Pleasure and choice

Entering a Carrefour hypermarket means being greeted by an affordable array of quality products. From indulgences to practical items, the shelves are continually being replenished with new products and services. With more than 3,000 Carrefour-brand products, the Carrefour hypermarkets in Thailand satisfy every family need. The Carrefour Premium range is designed for those who want only the best. The mid-range Carrefour assortment offers products of name-brand quality at very affordable prices. The Big Saver range guarantees "great savings" on staple products. In the apparel and home decoration departments, ranges are expanding in all hypermarkets. In Colombia, the Tex brand is modernizing its

identity and image, offering clothing for all lifestyle needs, including urban, casual, sportswear and maternity lines. And to take it a step further, Carrefour Colombia is testing computer-aided design to improve the in-store display of clothing in three Bogotá hypermarkets. In home decoration, the "Casa & Déco" line is proving increasingly popular with customers. Stores in France added Carrefour Home to their tableware collection and the brand launched the "Young Home" range, which targets people living on their own for the first time.

• 1,302

hypermarkets worlwide at 31 December 2008

• 57%

of group sales under banners (incl. taxes) in 2008

• 126

new hypermarkets Carrefour worlwide in 2008

• 1 million of customers everyday

in hypermarkets in France

Supermarkets under the Carrefour banner

For customers of its 3,000 supermarkets, the Group is working faster to modernize its stores and convert them to the Carrefour name.

A dynamic brand

Throughout the world, the rollout of the Carrefour brand at supermarkets has been an unqualified success. The Champion and Norte stores that became Carrefour Express or Carrefour Bairro in 2007 in Spain, Argentina and Brazil all saw sales climb in 2008. Spanish supermarkets, for example, increased their sales net of tax by 7.4% in 2008 based on comparable sales area. Customers have had the same positive reaction in Romania, Turkey and Poland, where all Ahold supermarkets have been converted to Carrefour Express, and in Indonesia, where 13 Alpha Retailindo stores have also switched to Carrefour Express.

In France, Champion became Carrefour Market after six months of market testing. On 25 June 2008, a phased rollout began, and by the end of December, 160 Carrefour Market stores were already flourishing throughout France, including franchisees. The new Carrefour Market recorded strong growth thanks to higher volumes and the assets of the Carrefour brand. Elsewhere, Greece transformed its Champion stores into Carrefour Marinopoulos and Italy opened the country's first Carrefour Market in Milan. In Colombia, the Group announced in September that it had purchased the Mercadefam supermarket chain, thereby becoming No. 1 in its category in Santander State. It is also examining whether to convert its stores to the Carrefour banner.

In favour of customers

At Carrefour Market in France, supermarket customers find a friendly staff and the modern features of a Carrefour store. The assortment has been expanded by some 20% with Carrefour-brand products and new non-food ranges, particularly apparel, culture and leisure, and tableware. The new layout modernizes the retailer's image and makes it easier for customers to navigate the store and understand the product displays. Lastly, customer loyalty is better rewarded. Customers can now take advantage of their Carrefour Card benefits throughout the network – in supermarkets, hypermarkets and even in Carrefour Contact and Carrefour City convenience stores undergoing testing.

• 2,919

supermarkets worldwide at 31 December 2008

• 17%

of gross sales, incl. tax, under the Group’s banners at 31 December 2008

Hard Discount: low prices year-round

During these tensed economic times, customers are determined to make the most of their purchasing power. The Carrefour Group and its Hard Discount banners continue to expand access to consumer products by offering low prices all year long.

Hard discount: something for everyone

In 2008, Dia, the Carrefour Group's hard discount segment, proved that it is meeting a real economic need in every country of operation: Spain, France (Ed brand), Portugal (Minipreço), Greece, Turkey, Argentina, Brazil and China. The number of stores climbed by 459 and now totals 6,252.As the hard discount region par excellence with nearly 50% of the network, Spain posted a solid performance. In 2008, sales incl. VAT rose by 16.2%. This performance can largely be attributed to the 83 "Supermercados Plus" stores that switched to the Dia banner following their acquisition from the German company, Tengelmann. In France, Carrefour pioneered the hard discount concept in 1978 when it created the Ed banner, which now boasts over 900 stores. The Group is planning to bring new energy to this format in response to consumer demand.

Taking a new look at Dia

The leading discount chain in Spain, Dia, must continually innovate to stay on top. In 2008, Dia updated its image, adopting a more contemporary and customer-focused logo and renaming its stores Dia Maxi and Dia Market. In addition to creating a more forceful identity, Dia renovated store interiors to provide better customer service while maintaining the stores' primary function. Dia Maxi offers a large number of non-food items in 1,200-sq.m stores. Dia Market concentrates the most highly trafficked departments in 500 sq.m: self-service fruits, vegetables, meat and fish as well as a variety of snacks. Overall, the 390 Dia Maxi and 278 Dia Market stores that opened over the past two years have been successful on a daily basis.

Loyalty programme: numerous benefits for customers

Spain launched the Club Dia loyalty programme in 1998 and since then over 14 million households have signed up. At present, more than 9 million households in Spain, 2 million in Portugal, 1.5 million in Greece and 1 million in Argentina are enjoying the advantages offered by the programme, which will be gradually introduced in all of the Group's countries of operation.

• 10% of gross sales, incl. tax, under the Group’s banners in 2008

• 6,252

stores wordlwide at 31 December 2008

• 914

Ed stores in France at 31 December 2008

Convenience: always attuned to customer needs

Convenience stores are a huge success with consumers. The Carrefour

Group brings all its modern skills to bear on this forward-looking format.

Express shopping

Out of a total of 15,000 stores, Carrefour had 4,812 convenience stores in 2008, mainly held by franchisees and operating under such banners as Marché Plus, Shopi, 8 à Huit and Proxi in France and DiperDi in Italy. The franchisees benefit from everything the banner has to offer, including customer-targeted concepts, products providing the best value for the money, and services and operating staff dedicated to sharing their expertise. To contribute its cutting-edge skills and strong name recognition to this format, the Carrefour Group has been introducing its own brand to convenience stores. Under the Carrefour Express banner, Brazil opened five shops in service stations in 2007 and added three more in 2008. Poland has set up 27 Carrefour 5 Minut stores in various cities, with some located in service stations. In Spain, 11 Carrefour City stores began operating in central Madrid after the Group acquired the Superma chain. In Taiwan, Carrefour is opening its first convenience store in 2009: Carrefour Convenient Buy, open 24/7 to meet the needs of urban consumers.

Daily shopping needs

City trends point to quick shopping trips on foot for additional items.In France, the Group is simultaneously testing two new banners geared to daily living: Carrefour Contact and Carrefour City.Located at the entrance or in the centre of small towns and villages, Carrefour Contact offers a selection of products for preparing meals, including a generous assortment of fresh produce and a butcher’s department. Carrefour City is specially designed to meet the needs of a highly mobile urban clientele. It's a fun, vibrant, user-friendly place to shop, with two main areas: ready-to-eat products and daily items. Carrefour City is open long hours to keep pace with urban lifestyles: in Paris, it is open from 7 am to 11 pm.At these two retailers, customers find all the features of the Carrefour brand, especially its wide-ranging assortment and unique loyalty programme valid at all

Carrefour banners in France. All of this fits neatly into compact spaces: 800 sq.m on average at Carrefour Contact and 400 to 600 sq.m at Carrefour City.

Carrefour City in Spain

With 11 Carrefour City stores in Madrid, Carrefour expanded operations in the heart of the Spanish capital in 2008, with a format complementing the hypermarket and supermarket models. Since its inception in late 2007, Carrefour City has established itself as a modern concept that is revolutionizing convenience shopping by offering customers the best value for their money. Its assortment is tailored to the needs of urban customers. Made up 90% of food products, it features over 1,000 Carrefour brand items and useful services, like mobile phone top-up vouchers and home delivery, that distinguish Carrefour City from its competitors.

• 4,813

convenience stores worlwide at 12/31/2008

• 3,245* at 31/12/2008

convenience stores in France* incl. Proxi et Sherpa

• 8 countries:

- Belgium- France- Greece- Italy- Poland- Spain- Brazil- Taïwan

• 95%

of convenience stores are operated under franchising agreements in 2008

Cash & carry: proximity and accessibility for catering professionals

Among professionals

Promocash, the self-serve wholesaler for catering and food industry

professionals, has been doing business in France for 40 years at 129 stores throughout the country. In 2007, the banner began converting to a 100% franchise model. A series of tests confirmed the successful performance of the well-paced lease-management process. At year-end 2008, Promocash had 120 franchisees, including 90 lessee-managers and nine consolidated stores. This trend will enable Carrefour to provide new career opportunities to Promocash employees and to anyone who wishes to join the cash & carry banner of the world's No. 2 retailer.

Promocash is recruiting

2009 will be a pivotal year for Promocash. The banner will open several stores, with the goal of creating some 20 more within three years. This expansion will be supported by a national recruiting campaign designed to attract future franchisees-investors and future lessee-managers who aspire to be entrepreneurs but who lack the financial resources to invest in a business of their own.

E-commerce

Ooshop: the online grocery store in France

Ooshop was set up to enable Carrefour to market its food products online. Created in 1999, Ooshop is currently the leading French online supermarket in terms of sales. It allows customers to shop on the Internet, choosing from among 8,000 listings with the added benefit of home delivery.

Ooshop website

CarrefourOnline.com: everything you need in non-food, online in France

In June 2006, Carrefour France hypermarkets launched a new, non-food retail website. This innovative site combines discounted prices with an extensive product selection and a range of services. CarrefourOnline.com has benefited from Carrefour’s hypermarket expertise, offering the broadest selection available in the marketplace with over one million listings: leisure products (DVDs, games, software, music, books and more), hi-fi, audio and video, and household

electrical goods, as well as music downloads and even flower and bicycle delivery.

Carrefour Online website

Carrefour.es, an e-commerce leader in Spain

In Spain, Carrefour has become an e-commerce leader. Its food website attracted 20% more customers in 2008, largely because it expanded to six new cities, with a range of products specifically adapted to its various customer categories. With regard to non-food items, the site, which provides home delivery throughout Spain, doubled its sales and increased its customer base by 50%.

Carrefour Oline Spanish website

OUR NETWORK OF STORES

Consolidated Network | Network under banners Consolidated Network

End of December 2008

Opened stores

Acquisition stores

Transfered stores

Closed stores

Sold stores

End of July 2009

Worldwide : 8006 172 6 -76 124 0 7984

Hypermarkets 1213 32 3 17 3 0 1262

French 203 0 0 0 0 0 203

Europe (Except France)

437 9 0 1 1 0 446

Spain 162 1 0 0 0 0 163

Italy 66 1 0 0 1 0 66

Belgium 57 0 0 0 0 0 57

Greece 24 0 0 1 0 0 25

Cyprus 7 0 0 0 0 0 7

Bulgaria 0 1 0 0 0 0 1

Poland 78 1 0 0 0 0 79

Turkey 22 2 0 0 0 0 24

Roumania 21 2 0 0 0 0 23

Russia 0 1 0 0 0 0 1

Others 0 0 0 0 0 0 0

Americas 288 8 3 0 1 0 298

Asia 285 15 0 16 1 0 315

Supermarkets 1745 53 3 -26 43 0 1732

Hard discount 4795 84 0 -64 64 0 4751

Conveniences stores

230 3 0 0 14 0 219

Cash and Carry 23 0 0 -3 0 0 20

OUR NETWORK OF STORES

Consolidated Network | Network under banners Network under banners

End of December 2008

Opened stores

Acquisition stores

Transfered stores

Closed stores

Sold stores

End of July 2009

Worldwide : 15430 517 9 0 413 2 15541

Hypermarkets 1302 38 3 18 5 0 1356

French 228 1 0 1 0 0 230

Europe (Except France)

494 14 0 1 2 0 507

Spain 168 1 0 0 0 0 169

Italy 69 2 0 0 1 0 70

Belgium 57 0 0 0 0 0 57

Greece 24 0 0 1 0 0 25

Cyprus 7 0 0 0 0 0 7

Bulgaria 0 1 0 0 0 0 1

Poland 78 1 0 0 0 0 79

Turkey 22 2 0 0 0 0 24

Roumania 21 2 0 0 0 0 23

Russia 0 1 0 0 0 0 1

Others 48 4 0 0 1 0 51

Americas 288 8 3 0 1 0 298

Asia 292 15 0 16 2 0 321

Supermarkets 2919 97 5 -18 68 2 2933

Hard discount 6252 210 0 3 170 0 6295

Conveniences stores

4813 172 1 -3 170 0 4813

Cash and Carry 144 0 0 0 0 0 144

• Network of stores as of 12.31.07

161 Hypermarkets87 Supermarkets3 Convenience Stores2,912 Hard Discount storesCarrefouronline: e-commerce website80 travel agencies132 finance and insurance agencies 78 service stations

• Year of establishment

1973

• 72,282 employees

• Sales incl. tax under banners in 2007

14,749 millions euros

OUR VALUES

Our values

We share a dream: to make Carrefour a business that is recognised and loved for helping its customers and consumers enjoy a better quality of life, each and every day.

To achieve this dream, as we go about our business, we ensure that every day we are:

committed, caring and positive.

These three values bring us closer to our customers and consumers and reflect our personality. We look for and find the best possible solutions for them every day.

Commited

we are committed. Committed professionals and committed members of the community. We constantly strive to exceed everyone’s expectations by providing better value and finding new solutions for a better quality of life.

Caring

we are caring. Caring towards our customers and our consumers. We are receptive to their needs, each and every day. We welcome them to our stores and meet their needs with kindness, warmth and attention to detail.

Positive

we are positive. We rise to every challenge with energy, enthusiasm, and with fresh ideas. We help brighten the lives of our customers and our consumers. For them, for our employees, for the planet, we want the best, both today and tomorrow.

OUR STRATEGY

Strategic orientations March 2009

March 12th, 2009

The initial strategic orientations was presented by Lars Olofsson, CEO on 12 March 2009.

The Carrefour group has one simple ambition:making Carrefour the preferred retailer wherever it operates.

Being the preferred retailer means having stores where customers are naturally drawn to shop, and to which they are loyal. It means having the trust of customers: trust in product quality, price and service. It means being able to satisfy and anticipate customer needs and giving customers the best special offers. It means respecting producers and the environment. It means earning customer preference through social commitment and action. It means making our staff proud to work for us. Being the preferred retailer means making customers want to visit, and keep visiting, our stores. It means making customers happy by making their lives easier.

The strategy of the Carrefour group is aimed at achieving organic, sustained, profitable growth in excess of the broad market growth rate, and has three levers:

• Client-oriented culture • Transformation • Innovation

Client-oriented culture: getting to know our customers better in order to serve them better

With 12 million loyalty card-holders in France, but also 7.5 million in Spain, for example, Carrefour group stores have an excellent base from which to forge closer relationships with customers. As a multi-format retailer, Carrefour can offer solutions addressing a wide variety of shopping habits. In 2009, the Carrefour group is enhancing its knowledge of customers, with the aim of serving them better and improving its brand image. In stores, the Carrefour brand will be conveyed in a way that is closer to the customer and more emotionally involving. By being more competitive, the brand will again become a tool for winning customers, enhancing customer loyalty and distinguishing Carrefour from the pack. In towns and villages, as convergence accelerates, the Carrefour brand will provide its best stores to more customers. In this way, Carrefour will make customers want to come, and keep coming, to its stores, regardless of the format or product offering. By focusing on retailing, Carrefour will become customers' preferred retailer.

Transformation: increasing agility, execution quality and competitiveness

Carrefour's success is based on the talent and motivation of its staff. To increase efficiency and competitiveness, and in order to improve as a retailer, the Carrefour group is about to transform itself. It will redesign its organisation, enhance synergies between sales and purchasing, and create new relationships between head offices, countries and stores. Sharing of knowledge and best practice will form the heart of this transformation process, which will be carried out by, and for the benefit of, our staff. Our employees' skills will be developed, and new careers will be offered to them, because as well as being the preferred retailer, we want to be the preferred employer.

Innovation: regaining initiative and leadership

Carrefour invented the hypermarket in 1963, own-brand products in 1976 and "Filières Qualité Carrefour" quality-guarantee systems in 1992. As a result, innovation is in our genes. To serve customers better and form closer ties with them, the Carrefour group will again tap into its pioneering spirit and step up innovation. Hypermarkets, which are a crucial tool in winning new customers, are entering the era of tailored services and adopting new roles. Objective:to make the store experience exciting again, to win or regain the hearts of all customers. Today, customers visit various types of stores, and so the Carrefour group is making its formats more complementary and introducing innovative new store concepts. In France, Carrefour is opening pilot convenience stores, i.e. Carrefour City in city centres and Carrefour Contact on the outskirts or in the centre of small towns. In Taiwan, Carrefour has created Carrefour Convenient Buy, a store open 24 hours a day. Carrefour is a multi-format group, and intends to be a multi-channel retailer too, strengthening its presence in e-commerce. The in-store offering will be enhanced with the launch of new product ranges that meet customers' current needs. Together with other innovations, Carrefour will become a multi-service retailer.

The Carrefour group's geographical priorities France is Carrefour's established home market and the group's main priority. The Group is taking the initiative to regain its leadership in France. The objective is to generate growth, firstly by developing its multi-format model, increasing convergence and giving fresh impetus to hard discount formats, and secondly by enhancing sales growth, price competitiveness and its price image.The Carrefour group's second priority consists of Spain, Italy and Belgium which, together with France, make up Carrefour's "G4" countries. In these mature European countries, appropriate measures will be taken to maintain growth (Spain) or improve performance (Belgium and Italy). Growth markets represent the Carrefour group's third priority. The Group will focus most of its development resources on countries with stronger growth potential, mainly the BRIC countries (Brazil, Russia, India and China). The Group's development in these regions will be based on various formats aimed at building the customer base (hypermarkets, cash and carry etc.).

OUR APPROACH

Promoting globally responsible retailing

SUSTAINABILITY AT THE HEART OF THE GROUP'S STRATEGY

The Group’s activities are guided by a body of common principles based on respect for the law and a number of reference documents: The Universal Declaration of Human Rights, the ILO Principles, the United Nations Global Compact and the OECD’s guiding principles.In constant contact with the community and attentive to its evolution in more than 30 countries, the Carrefour group was early aware of the risks and opportunities and incorporated Sustainable Development into its comprehensive policy. This long-term approach is based on dialogue with its stakeholders.

The Carrefour Group has built its Sustainable Development policy on three interconnected pillars: economic, social and environmental issues. An in-depth consideration of the economic constraints on the Group’s activities has provided for the implementation of concrete, sustainable actions which create value for the company and its stakeholders. This pragmatic approach, fully integrated into our business activities, makes Sustainable Development a key element of the Group’s strategy.

Raising awareness of the Group's Values and ensuring compliance with ethical principles

In 2002, the Carrefour Group defined the seven core Values of its business activities: Freedom, Responsibility, Sharing, Respect, Integrity, Solidarity and Progress. They serve as guidelines to be used by Carrefour employees in their relations with stakeholders in every country. Each year, Group managers are evaluated on their ability to effectively integrate these Values into the exercise of their duties. In 2004, the Group adopted a Code of Conduct which was distributed to employees in all countries. As an expression of its Values, it sets forth the ethical framework in which employees must perform their day-to-day professional activities, and especially helps them in the fight against corruption. To strengthen its commitment to exemplary behaviour, a Compliance Officer position was established within the Group in 2008. Values and ethics are the subject of regular communications from the Business Units. Some of them have added training campaigns. For example, in 2008 Carrefour China launched a broad programme intended to strengthen its employees’ and suppliers’ support for compliance with ethical principles. More than 45,000 employees and 3,500 suppliers received training by the end of 2008. In addition, from now on the Code of Conduct will be included in business contracts signed with suppliers. Finally, certain countries - Argentina, Brazil, Columbia, China and Turkey - have established ethics hotlines enabling their employees and suppliers to anonymously report behaviour which is inconsistent with the Group’s Values.

A driving force for shared growth

Through its actions to promote Sustainable Development, Carrefour creates value which benefits its employees, suppliers, shareholders, host countries and

communities. By launching products which anticipate emerging trends, by contributing to employee performance through a responsible human resources policy and by reducing costs through programmes which save energy and natural resources, it also contributes to its own profitability, and thus its own continuity.

AN ON-GOING DIALOGUE WITH OUR STAKEHOLDERS

Stakeholder involvement from initial discussion of the Group’s challenges through to the operational implementation of its policies forms the basis of the Carrefour Group’s approach to Sustainable Development. Concrete actions are implemented in all countries where the Group is present thanks to its employees’ involvement and the expertise acquired with its partners over the long-term, but also thanks to the on-going exchange of ideas with all legitimate stakeholders on these issues

Listening, discussing and sharing

Identifying and anticipating the expectations of stakeholders, involve external expertise to develop the Sustainable Development policy, avoiding risk and defusing conflicts.Pragmatic solutions emerge from tackling our commitments and constraints. We maintain an on-going dialogue through the Sustainable Development Department at Group level and through the countries, banners and stores at the local level. Each year, Carrefour organizes a Stakeholders’ Consultation Meeting with representatives from Carrefour’s primary contacts: SRI ratings agencies and fund managers, environmental and social NGO s, consumer organizations, unions, national and international bodies and Sustainable Development discussion groups.

Day-to-day upstream and downstream cooperation

Addressing issues related to Sustainable Development in a relevant way also means calling on the skills of internal and external specialists: for over ten years, Carrefour has established partnerships with organizations which help it more quickly and effectively move its projects forward. For example, the Group works with the FIDH (International Federation of Human Rights) to monitor working conditions at production sites of Carrefour own brand suppliers in sensitive countries. The Group has also formed partnerships with environmental NGOs such as the WWF which, among other contributions, supports its approach to preserving biodiversity and reducing waste. This collaboration goes far behind the realm of ideas. It also has an important operational dimension, with experts from the association sharing their expertise with buyers and the Group’s quality managers throughout the year as part of their work. They are involved in the Group’s overall approach and work on different issues such as its woodsupply policy, fishery resources, GMO, palm oil and soy; products affected by the Reach

regulations and other matters. Carrefour also closely collaborates with its stakeholders through framework agreements, such as the agreement signed with UNI Commerce to respect Human rights at work.

OUR ORGANIZATION AND POLICY

Managing the approach day-to-day

A CULTURE EMBODIED BY OUR EMPLOYEES

A dedicated Group Department and a broad network of operational players: the organisation responsible for deploying the Sustainable Development policy promotes the convergence of expertise and the mobilisation of all countries and banners. In this way, Carrefour’s commitment is extended to all the Group’s activities.

A dedicated organization involving all group activities

Aware of the strategic challenge of implementing its approach and the importance of involving all its activities, in 2001 the Carrefour Group established an organization dedicated to this purpose, which has since expanded and grown in strength. The Group’s Sustainable Development Department is responsible for managing this approach. Its role is to drive policy forward, to initiate and bring issues before the Executive Committee, to ensure the implementation of set strategies while spreading best practices both internally and externally. To manage this initiative, the Sustainable Development Department relies on resources such as scientific committees and external specialists while working in close cooperation with the Group’s operational and cross-functional departments: European Public Affairs, Quality/Merchandise, Human Resources, Assets and Logistics. For greater consistency between the Group’s Sustainable Development policy and its deployment in France, the French Sustainable Development team now forms part of the Group’s management structure.

Duplicate the organization at country and banner level

To promote the Group’s strategy in all countries, the Sustainable Development Department has local Sustainable Development (SD) coordinators. In cooperation with the Business Units’ operational and cross-functional departments (Quality, Assets, Logistics, Human Resources), they are tasked with the operational rollout of the Sustainable Development policy, which is adapted to the local context, and report on the actions implemented. The Sustainable Development Department coordinates this network by organizing regular meetings with representatives in European countries and videoconferences with coordinators in all countries. These meetings allow discussions and exchange on

the policies set by the Group, the major challenges faced and best practices, as well as indicators which are generally reported on a quarterly basis.

Comments on the organizational chart:

The Sustainability Department’s organization involves all business lines and levels of the Group.The Group Sustaianbility Department ensures its steering. Its role is to drive policy forward by bringing issues before the Executive Board, ensuring the implementation of set strategies and spreading the use of best practices. For this, it relies on resources such as scientific networks or committees and external specialists, and cooperates and exchanges with the Group’s operational and crossfunctional departments: Human Resources, Merchandise, Logistics and Assets . This allows operational teams to exchange expertise and achieve a more effective application of Sustainable Development principles in the practices of each activity.The same organization is duplicated at country and banner level. In each country, the Group Sustainability Department has Sustainability relays (SDR) through which it can communicate Group strategic directions. With its support, the SD relays and operational and cross-functional departments of the Business Units work together to apply the Group’s Sustainable Development policy from the highest level down to the stores, making adaptations to local contexts where necessary. The SDR also ensures reporting (KPI) on deployed initiatives.

PRODUCT SAFETY AND QUALITY

Guaranteeing product safety and quality

November 27th, 2006

ENFORCING STRICT SAFETY STANDARDS FOR ALL PRODUCTS

Enabling the largest number of customer to have access to quality products is one of the Group’s priorities. This represents the foundation of the Carrefour brand, which combines a wide selection and affordable prices with quality and product safety.

Incorporating safety and quality into the DNA of our products

At Carrefour, quality is a requirement demonstrated throughout the life of its products. As soon as a new product enters development, Carrefour technical teams treat as “fundamental” the customers’ expectations as reported by the customer service department, its price position, regulatory information and the manufacturing process, identifying the origins of raw materials, etc. Carrefour teams incorporate the search for future satisfaction into the product’s DNA. To ensure that the supplier’s tools, skills and motivation are compatible with the Group's quality requirements, its carries out production site audits during the call for tenders. The Carrefour teams prepare specifications that describe the nature and origin of raw materials, the recipe used and the production method. Based on this, the selected product will then be controlled through an annual monitoring plan. The entire process was also designed to ensure optimal health and safety. Notwithstanding this, we know that there is no such thing as zero risk. Therefore Carrefour has established a group of tools and procedures to help its teams manage any suspicion of non-compliance: an intelligence network to issue

alerts; analyses to identify questionable products and to contact affected suppliers; and a rapid, multi-channel communications system to order the removal of products from stores if necessary. The Group regularly improve the ergonomics and performance of these tools. Finally, the Group ensures the international sharing of best practices, especially in China where the Carrefour China Foundation for food safety is involved in a major initiative to promote progress among suppliers and local authorities

Household and personal care (HPC) products: linking the precautionary principle to environmental performance

The precautionary principle is one of the key principles of the Group’s policy which ensures the safety and quality of its HPC products. Even before specific regulatory requirements come into force, our “ingredient” policy, drawn from best practices, already prohibits the use of certain substances whose total harmlessness has not been confirmed by the scientific community. With regard to cosmetics formulations, Carrefour takes every precaution by assigning recognized toxicology experts to the task. Relayed by the French Commerce and Retailing Federation (FCD) working group on HPC, the Group, supports the development of new European cosmetics rules to strengthen product safety through optimal regulatory standardisation. Finally, Carrefour worked with Ademe on an environmental analysis procedure which, starting in 2009, will enable the development of new Carrefour AGIR Éco Planète products which are more environmentally friendly.

Children's clothing: increased safety

In the area of child safety, Carrefour has exceeded existing regulatory requirements by establishing specifications which strictly control the use of certain chemical substances which may be toxic, carcinogenic or allergenic. Likewise, Carrefour checks the resistance of small removable elements to eliminate the risk of ingestion. Furthermore, independent laboratories and organisations confirm that required safety levels have been achieved: more than 4,000 chemical analyses and more than 20,000 product inspections were conducted in 2008.

Toys under tight surveillance

A rigorous quality control program was established to ensure the quality and safety of imported toys. In particular, the Group examined mechanical, electrical and fire risks as well as chemical risks (heavy metals, phthalates, etc.). Taking this another step further, Carrefour applied its toy standards to any products that are handled by children (such as stationary and animal toys). In addition, in 2008 Carrefour was involved in preparing a report for the European Commission that assessed the effectiveness of safety measures implemented in the toy industry.

Finally, the Group was involved in preparing a charter signed by Eurocommerce member retailers to bring best practices into widespread use.

PROMOTING QUALITY FOR ALL

Enable to reconcile quality and purchasing power

The Carrefour Group develops own-brand products that guarantee its customers the best value for money. These products, including the “first price” products, especially enable the greatest number of people to access a varied range of food products enabling to have a balanced diet.

Quality : a daily concern for everyone

Quality, safety and Sustainable Development are a daily concern for everyone at Carrefour. That’s why each quality engineer is also responsible for Sustainable Development in the product categories under their responsibility. This commitment is put into practice during product selection. Naturally, the Carreofur teams assess them according to safety, quality and performance criteria. But we are also responsible for seeking out and promoting product ranges that constantly aim to be more environmentally-friendly and healthy for our consumers. For example, the team of chemical engineers has developed a range of paint products that received the Ecolabel. The team responsible for electrical products selects high performance energyefficient equipment and makes sure that our suppliers are aware of the new European EuP directive (setting eco-design requirements applicable to products which use energy). From a social point of view, the Carreofur teams also verify that our suppliers’ manufacturing sites offer decent working conditions. Developing a more responsible product offering means building for the future, where everyone plays a role in supporting innovation to benefit the greatest number.

Freedom of choice

Industrial brand, regional brand, own-brand or “first price” products. Based on its wide range, Carrefour’s merchandise mix helps customers adapt their choices to their needs and budgets. It also responds to the growing demand for responsible consumption: under its brands, the Group lists and develops products that are accessible to the largest number of customers and which respect the environment and/or incorporate a socially responsible approach. Especially representative of this approach, the various Carrefour AGIR ranges (Organic, Eco Planete, Nutrition, Fair Trade) were enlarged by numerous products in 2008.

The Quality Lines: an historical commitment

Launched in 1992, the Carrefour Quality Lines aim to anticipate and meet consumer expectations in terms of freshness, taste and authenticity. They are

based on close cooperation with suppliers aimed at constantly improving production conditions, the attention paid to the environment and product quality. In 2008, the Group included 418 Carrefour Quality lines developed in 15 countries.

Main characteristics of Carrefour Quality Lines: On economic and social issues:

• a strong, long-term partnership with suppliers, farmers and producers;• promoting expertise and regional products;• a regional - and even local - approach• contribution to the economic, social and environmental development of

local communities.

On environmental issues :

• an integrated approach to farming (careful use of water, promoting integrated pest control such as the use of ladybirds to eliminate aphids on apples rather than relying on pesticides, etc.);

• farming conditions that respect animal welfare (animal rearing densities, slaughtering conditions, etc.);

• absence of chemical treatments after harvest, no GMO products in animal feed or in plant production;

• prohibiting soil-free plant production, antibiotics and growth hormones, chemical treatment of soil and the spreading of sludge from water treatment plants;

• limit the use of additives and manufacturing aids.

Improving animal welfare

Carrefour not only complies with local and European laws on animal welfare, it also anticipates future developments. That’s why the Quality Lines include specific criteria concerning animal living space, equipment that improves comfort at all stages of rearing, transport and slaughtering conditions. In addition, the Group’s international purchasing office has banned all products made with natural fur as well as all animal testing for its cosmetic products.

Quality : an approach shared with our suppliers

To guarantee the quality of its food products and its own brand and banner brand products, Carrefour systematically conducts audits on its suppliers’ production sites, which are audited health and safety conditions. Suppliers’ production sites are audited by Carrefour, its service providers or certification agencies. Suppliers are audited with respect to health and safety conditions, risk control, the HACCP plan, traceability and compliance with specifications. In addition, Carrefour endeavours to verify progress in product development and compliance with the application of the Group’s non-GMO policy.

In 2004, specific criteria for environmental factors were set up, along with the training of auditors in several European countries. These audits are followed by action plans arranged with suppliers to improve the production process.In 2004, Carrefour an active part in drawing up the International Food Standard (IFS), a common health and safety audit criteria for French, German and Italian retailers. Carrefour is also a member of the Global Food Safety Initiative (GFSI) of the CIES, initiative aimed at harmonize food safety standards.Moreover, thanks to analysis made by its customers services, the Group shares with its suppliers the points of satisfaction or of improvement reported by the claims.

A fast and efficient product withdrawal procedure

Within two hours, a product can be recalled in each banner.In France, like in other countries where the Group operates, an on-call system gives suppliers and stores 24/7 contact with the Quality Department which works in close association with the supply chain. Withdrawal messages are sent to all stores within less than 2 hours. A crisis team is set up immediately for all significant withdrawals/ recalls.

Ensure in store safety and quality

The proper upkeep of stores and the respect for the cold chain and food safety are key elements of the Group’s policy in every country. Thus the group mobilizes all its employees in every country to ensure respect for health and safety rules. This involves training, establishing procedures, and systematic hygiene and quality audits in stores and warehouses.

OUR NUTRITION POLICY

Our nutrition policy: transparency, information and raising awareness

MAKING A BALANCED DIET AVAILABLE TO EVERYONE

As Europe’s leading retailer and the world’s second largest, the Group has a particular responsibility in this area. We are addressing the Nutrition issue head on, in all countries, by ensuring that our message reaches the 25 million customers who visit our stores every day, based on two key levers: our products and services, and consumer information.

With over 10,000 Carrefour-brand products in the world and 25 million customers who visit our stores every day, Carrefour has a major responsibility in relation to nutrition, which is expressed first and foremost in the range of products we sell. It is why, when we are developing our products, we always seek the best value for money. These products, including our ”first price” products, enable the largest number of people as possible to have access to the diverse and varied range of food products needed for a balanced diet. Assuming our responsibilities is above all about enabling our customers to eat a balanced diet at a reasonable price.

A balanced diet or a balanced budget ? Our customers are entitled to both!

• Working on own brand products recepies

All the products in our ranges have been reformulated since 2004. In addition, our suppliers have made contractual commitments to adhere to our nutritional requirements, particularly in terms of reducing salt, sugar, fats and fatty acids.

• Develop and offer ranges dedicated to nutrition and specific needs

The Group also offers ranges dedicated to nutrition in Brazil, Italy and France, such as Carrefour Agir Nutrition, which combines soy-based and low-calorie products with those containing vegetable sterols, omega 3s, etc. The Group is also developing product ranges that respond to specific needs. Spain, for example, launched “Gluten-free Carrefour” in 2008. This range which is certified by an external organization is accessible to every budget and is targeted at people who suffer from a gluten intolerance. To take another example, Carrefour Argentina has worked with a coeliacs’ association to create a dedicated product department, reorganize and improve the in-store visibility of 180 gluten-free products.

• Particular responsiblity in developping range of products for kids

Because Carrefour realizes that it has a very high level of responsibility towards children in terms of nutrition, one of the major new developments of 2008 was the international agreement signed with Disney. It involves the joint development of Carrefour Kids, a range that sets the standard in relation to nutrition. These products are designed to serve as a benchmark in terms of nutritional quality within their product family. This also means that the only products that will be developed in this range will be those that really are compatible with this exemplary level of nutritional quality. The aim of the Group is to reconcile children’s expectations for fun products with their parents’ needs for safety and a guarantee of nutritional quality. Carrefour Kids will aslo be used to raise awareness among children and educate them about nutrition by communicating to them via the product packaging.

Providing a clear information

In addition to working on its product range, Carrefour was a pioneer in supporting its customers in their approach to nutrition by printing simple-to-read nutritional information on its products, starting in 2005. Because the Group is developing all the time and wants to provide the nutritional information that is most useful to its customers, at the end of 2008 it took the decision to change its system and place new symbols on the front of all its own brand products. Carrefour wants to ensure its customers are able to access the nutritional information on its products quickly and that they can compare them easily with other products: the system chosen is very widely used by many other brands.

Raising awareness: more initiatives are being introduced, particularly in relation to children

In all countries, Carrefour also inform and raise awareness amongst its employees and customers by organizing promotional events on fruit and vegetables and in-store events such as Nutrition Weeks, as well as by communicating through our catalogues and websites. Launched by the Group in 2005 the Nutrition Weeks are now held in all Group countries. Carrefour China’s Foundation for Food Safety is also developing technical training for farmers and employees at food production centres. Other initiatives are targeted more directly at children. In France, for example, supermarkets welcome thousands of schoolchildren into their stores each year as part of Tasting Week to introduce them to great tastes and help them to appreciate flavour. In 2008, Ed launched an in-store awareness-raising campaign (“Eating Well Children’s Special”), distributing two million booklets about balanced diets to children. Finally, a joint initiative by hypermarkets in France and suppliers of Carrefour Quality Commitment products resulted in the development of the “Children on the Farm” project. Thanks to this initiative, thousands of schoolchildren visited farms and became aware of the importance of a balanced diet and good quality food.

Programmes to prevent poor eating habits and promote nutritional balance

Carrefour plays a part in helping people to develop good habits in relation to food. Examples include its support of the EPODE childhood obesity prevention programme in France and the VIASANO initiative in Belgium, which both aim to promote a varied diet and regular physical activity. In 2008, Carrefour Argentina decided to support Conin (a cooperative for infant nutrition) in an educational and nutritional project designed to prevent risks of illness related to malnutrition. One of the objectives is to support mothers from underprivileged environments in order to ensure that their very young children are provided with a diet that will enable them to develop properly. In Brazil, the Group hosted the first IPAS seminar in August 2008. A Brazilian project based on the worldwide Foodlab initiative, IPAS brings together key players in the food supply chain working in support of sustainable nutrition.

www.epode.fr

• 1,200 Carrefour AGIR Nutrition products sold in hypermarkets in France.

EVALUATION OF OUR OVERALL PERFORMANCE

Our overall performance

The Carrefour Group is also responsible for providing transparent information to its stakeholders and investors. This is why the group strives to make information tools available to them and to establish an ongoing dialogue regarding its financial and extra-financial performance.

Establishing a fully transparent dialogue with the Socially Responsible Investment world

The Carrefour Group submits its global performance to the evaluation of ratings agencies and SRI investors. The Group thus maintains a regular, transparent dialogue with extra-financial rating agencies, SRI index groups, investors and insurance companies. The Sustaianbility department answers questionnaires as well as one-off requests for information concerning the Group's policies and the actions taken by the Business Units. It also meets with investors and answers their questions during road shows and meeting organized to cover corporate social and environmental responsibility.

Carrefour group's presence in the main SRI indices

As of 12/31/2007, the Carrefour group was included in 9 SRI indices:

Aspi Eurozone (Vigeo Europe) since 2002; DJSI Stoxx Europe (Dow Jones USA) since 2003; DJSI World ( Dow Jones USA) since 2002; ECP Ethical Index Euro and Global (E.Capital Partners- Italy) since 2002; Ethicbel Excellence Europe and Global (Ethibel Belgium) since 2005; FTSE4Good Europe and Global (FTSE-UK) since 2004.

Carrefour group's presnece in the main SRI funds

*Total value of SRI funds as of 31 December 2007. ** Total value of Carrefour shares held in the SRI funds as of 31 December 2007. *** Fund covered by the SRI initiative and commitment of F&C AM to intergrate environmental, social and governance criteria into its assessments.

In 2007, the Carrefour group shares were included held in 5 main SRI funds:

• Banque Sarasin&Cie SA (total value of SRI fund of 4.778 billion€): value of Carrefour shares held : 7 million€

• BNP Paribas AM (total value of SRI fund of 1.937 billion €):value of Carrefour shares held :5 million €

• Dexia AM (total value of SRI fund of 17.6 billions €): value of Carrefour shares held :10 million €

• Natixis AM (total value of SRI fund of 3.3 billions €): value of Carrefour shares held : 21.9 million €

• F&C AM Ethical Fund (total value of SRI fund of 4.6 billions €): no Carrefour share held as of december 2007.

• F&C AM Equity Fund*** (total value of SRI fund of 88.2 billions €): value of Carrefour shares held : 80.9 million €

• See SRI page in Carrefour 2007 Sustainability Report (PDF - 293 Ko)

OUR SOCIAL AND ETHICAL APPROACH

Respect our staff and partners

Employing more than 490,000 people and working with thousands of suppliers give our Group special responsibilities.As a company active worldwide, Carrefour is committed to building sustainable relationships with our suppliers and partners. We deal with an extensive range of players, and our commitment to them is based on a desire for real progress, which in turn guarantees relationships that are both honourable and sustainable.

In 2004, the Group adopted a Code of Ethics submitted for signature to Group management and new recruits. Updated and precised it has been renamed Code of Conduct in 2007. This Code of Conduct expresses the Group’s core values

and commitments and formalizes standards of ethical conduct to be adopted every day both in-house and externally with the Group's stakeholders.

As a responsible player in the world economy, it is up to the Carrefour Group to work for the respect for universal fundamental rights internally, as well as externally.

In order to preserve the rights of its employees worldwide, Carrefour has signed an agreement with the UNI (Union Network International) in 2001.

Regarding the respect for these rights within its supply chain, the Group has been working since more than 10 years with the FIDH (Federation for Human Rights) and pools the results of its social audits within the framework of the French standard ICS (Social Clause Initiative). Extending its approach, the Group has been involving since 2006 in the GSCP programme (Global Social Compliance) in order to better assert the workers rights within the global supply chain.

Our social responsibility every day:

SOLIDARITY ACTIONS

Offering solidarity to the communities

SUPPORT FOR LOCAL COMMUNITIES

Carrefour strives to support the local development of all the countries where it is present. Actions are based on the respect for local cultures and lifestyles, dialogue with authorities and solidarity with the local population.

For a socially-responsible and civic-minded development

Carrefour gets involved in local life thanks to the diversity and flexibility of its formats. The Group contributes to sustaining local communities by creating jobs, dealing with local service providers and suppliers, and paying taxes. However Carrefour also views itself as a civic-minded player and thus engages in constructive dialogue with the international, national and local authorities. This approach, implemented at all levels (country, banner and store level), takes the form of community support projects which help Carrefour to further establish its roots in the local community.

Making use of Group know-how

Active in all countries where the Group is present, the Carrefour International Foundation (fondation-internationale-carrefour.org) is a recognized player in the world of international development aid. It is mostly dedicated to emergency help and the fight against poverty and social exclusion. In both cases, Carrefour gives priority to sustainable actions which relate to its specific know-how.Actions may include logistics support, the supply of basic necessities, micro-financing for business start-up projects (with products likely to be sold in Group stores), support for social grocery stores employing people in precarious situations, or help with access to employment through education and training (theoretical and practical training courses given by employee volunteers), etc.

When initiatives come from field

When it comes to solidarity, countries, banners and stores all define and apply their own policies and invite their employees to get involved. For example, Argentina, Brazil and France have created dedicated structures to encourage and unite initiatives under a single umbrella. Initiatives include campaigns against factors of exclusion (poverty, illness and disabilities), child protection and support for communities affected by natural or technological disasters. The scale of the event may sometimes lead to the combining of efforts with the Carrefour International Foundation. In November 2008, torrential rains in the South of Brazil (the State of Santa Catarina) left almost 35,000 people homeless. In response, Carrefour held a campaign in several stores and collected 319 tonnes of clothing,

water and food. Both collection and distribution were organized by local teams who were closely involved. The Carrefour International Foundation, for its part, financed ten trucks to transport basic necessities to the people.

For further information, see:- the Carrefour International Foundation website: http://www.fondation-internationale-carrefour.org/ - the Carrefour Solidarity France webpage on: http://www.carrefour.fr/solidarite/

- the Fundacion Solidaridad Carrefour in Spain: http://www.carrefour.es/fundacion/index.html