VA globale 9194 RS09 SUEZ ENV 25-08-09 modif€¦ · -Spain : Torremolinos Malaga (25y, 60 000 inhab.), Olot-Girona (20y, 32 000 inhab.), Villanueva de la Serena-Badajoz (25y, 25

1 2009 HALF YEAR RESULTS

August 26, 2009

2009Half Year Results


"The actual communication includes forward looking information and statements. Those prospective elements are based upon hypothesis, financial projections, estimations and statements regarding projects, objectives and expectations concerning operations, future products or services or future performances. No guarantee can be given on the realization of those prospective elements. Investors and shareholders of SUEZ ENVIRONNEMENT Company shares are informed that those forward looking information and statements are subject to a number of risks and uncertainties, hardly predictable and generally outside SUEZ ENVIRONNEMENT Company control and that could cause actual results to differ materially from those expressed or suggested by any such forward looking information and statements. Those risks include, but are not limited to, those developed or identified in public documents filed with theAutorité des Marchés Financiers (AMF). The attention of investors and shareholders of SUEZ ENVIRONNEMENT Company shares is drawn on the fact that the realization of all or part of those risks is susceptible to have a significant unfavorable effect on SUEZ ENVIRONNEMENT Company. SUEZ ENVIRONNEMENT Company disclaims any obligation or undertaking to release publicly any updates or revisions to any of those forward-looking statements."

DISCLAIMER

HALF YEAR RESULTS

JEAN-LOUIS CHAUSSADE

HIGHLIGHTS


H1 2009 HIGHLIGHTS

� H1 2009 performance

- Delivering on priorities

- Improved Q2 2009 operational performance versus Q1 2009

� Continued commercial development in each division

� Perspective

- Reinforced competitive positioning

- 2009 objective: overall stability of operational performance at constant forex


H1 2009 PERFORMANCEDELIVERING ON PRIORITIES

� Protection of margins

- Revenue growth & EBITDA improvement for Water Europe & International

- Resilient profitability: EBITDA margin 16.2% in H1 2009- Improved for Water Europe (21.8%), stable for International (14.7%), at 14.2% for Waste Europe

- Acceleration of cost optimization: Compass ahead of mid-year objective

- €175m net profit group share (0.36€/share)

� Strict control of cash & reinforced financing profile

- Sharp increase of FCF at €428m

- Higher selectivity of investments: maintenance capex / revenues at 4.8%

- Successful financing on debt capital markets (2.85bn€ at end of July 2009)

- Maintained robust capital structure after 0.65€/share dividend payment

EFFICIENT ADAPTATION OF PRIORITIES IN THE DETERIORATED ECONOMIC CONTEXTEFFICIENT ADAPTATION OF PRIORITIES IN THE DETERIORATED ECONOMIC CONTEXT


H1 2009 PERFORMANCEDELIVERING ON PRIORITIES

MAINTAINED HIGH PROFITABILITYSTRONG INCREASE IN FREE CASH FLOW GENERATION

MAINTAINED HIGH PROFITABILITYSTRONG INCREASE IN FREE CASH FLOW GENERATION

H1 2009H1 2008

€275m

€428m(2)+56%

SHARP GROWTH INFREE CASH FLOW

4.6%

FCF / Revenues

7.3%

H1 2008 H1 2009

€5,872m€6,030m

-1.2%excl.forex

RESILIENCE OF REVENUES

At 06/30/09At 12/31/08

€55m

€104m+89%

ACCELERATION OFCompass PROGRAMME (1)

31%

% of 2010 target (€180m)

58%

€951m

PROTECTING EBITDA MARGIN

16.7%

EBITDA / Revenues

16.2%

€1,006m

H1 2008 H1 2009

- 4.2% excl.forex

H1 2008 H1 2009

(1) Cumulated EBITDA impacts(2) Including reimbursement in 2009 of €76m for tax paid in France in 2008


H1 2009 PERFORMANCEIMPROVED Q2 2009 OPERATIONAL PERFORMANCE VERSUS Q1 2009

� Impact of crisis on Group’s H1 2009 revenues

- Strong reduction of GDP & industrial production in all geographies in H1 09

- Reduction of activity in Waste Europe : sales -7.3% and EBITDA -17.8% at constant FX

- c. 50% of the sales reduction (ie. c. -3.6%) coming from sorting & recycling- Treated(1) volumes decrease by c. -6% in EfW(2) + landfill

- High single digit I&C volume reduction- Slight volume decrease of residential waste

- Resilient activity in water , marginal impact of lower works

� Better operational result in second quarter

- Q2 2009 EBITDA close to Q2 2008 excluding forex

- Q2 2009 EBITDA margin at 16.9% vs 15.4% in Q1 2009

- Efficient costs management: growing impact of Compass

IMPROVING MOMENTUM FOR H2 2009CONFIRMED STRATEGIC LONG TERM VISION ON FULL VALUE CHAIN MANAGEMENT

IMPROVING MOMENTUM FOR H2 2009CONFIRMED STRATEGIC LONG TERM VISION ON FULL VALUE CHAIN MANAGEMENT

(1) Excluding hazardous waste (2) Energy from waste


HIGHLIGHTS / COMMERCIAL DEVELOPMENTWATER EUROPE

� New contracts

- France : Le Havre (€19m, 4y), Port Saint Louis du Rhône (€18m, 20y)- Spain : Martorell-Barcelona (30y), Marchena-Sevilla (17y), wastewater treatment plants

in Madrid (Canal de Isabel II, 4y and 8y), Garrigues Sud (2.5y), Coria-Caceres (25y), Cunit Tarragona (15y, 12 000 inhab.), Socovos Albacete (20y, 2 000 inhab.)

- Safege in Algeria (€25m, 4y)

� Strengthening positions with contract renewals

- France : SIAEP Montbazens (€43m, 12y), SIVOM Bassin Ehn (€18m, 15 y), Syseg de Givors (€15m, 9y), Syndicat du Puy en Velay (€13m, 12y), Syndicat deSalles-Mios (€12m, 12y), SIE Roannaise de l’Eau (€11m, 8y), Tarare (€11m, 12y)

- Spain : Torremolinos Malaga (25y, 60 000 inhab.), Olot-Girona (20y, 32 000 inhab.), Villanueva de la Serena-Badajoz (25y, 25 000 inhab.), Ribera de Gata-Cáceres(10y, 23 600 inhab.), Algorfa-Alicante (20y, 4 000 inhab.)

� On-going process of unfolding the "paritaires" companies in France

- Approved by the European Commission on August 5, 2009,process on track for end of 2009


HIGHLIGHTS / COMMERCIAL DEVELOPMENTWASTE EUROPE

� Continued commercial activity in all geographies

- France : La Rochelle recycling centre, Leroy-Somers (3y, France)

- UK: I&C collection contracts of Kimberly Clark, Gate Gourmet, and Airbus (€12m, 3 to 4y)

- Germany : collection contracts for municipal clients (City of Pforzheim, LK Hildburghausen)and I&C clients (IHKW, WÖRWAG), DSD contracts (€17m)

- Belgium : Limburg.net (€34m, 8y)

- Preferred bidder of the energy from waste facility in Guernsey (DBO, 194m£)

� Renewals: consolidating our positions

- France : Vichy Val d’Allier (€68m, 20y), SMETOM du Haut-Doubs (€38m, 15y),Montpellier (€29m, 15y), SMICTOM Carcassonnais (€17m ,5y), Grand Lyon (€13m, 5y), SMICTOM Ouest Audois (€12m, 8y), Pontarlier (€36m, 5y renewable twice), La Roche-sur-Yon (€12m, 6y), SMICTOM Saverne (€11m, 6y)

- UK: Doncaster municipal contract (£53m, 7y)

� Start of operation

- EVI energy-from-waste facility (Netherlands/Germany, 335 000 tons/year)- Limay France Plastique Recyclage (bottle-to-bottle, 30kton), Evian Volvic Sources contract


HIGHLIGHTS / COMMERCIAL DEVELOPMENTINTERNATIONAL

� Degrémont - Inauguration of Barcelona desalination plant, the largest in Europe- Start of works for Ciudad Juarez BOT in Mexico (€154m), Baraki (Algeria, €68m),

Malta (€35m), Cleveland sludge incinerator (US, €37m), Petrobras (€31m)

� United Water: on going rate case strategy- Pre-qualified for Croton water treatment plant operation & maintenance (NY City)- New Jersey (+18% in April 09, $+27m of revenue/year), Delaware (+11% in April 09)- Extension of West Basin (California, wastewater contract, 5+5y)

� Asia-Pacific - China : JV for Suzhou Sludge Project (30y, €30m, 49% Sino French), JV acquisition in

Tianjin to operate the Jieyuan Water Plant (14y, €77m), renewal of Island East Transfer station contract (Hong Kong, €25m, 4,5y), Yuelai concession (Chongqing, 40y, €0.8bn)

- Australia : renewal of the waste collection and treatment contract in Brisbane (€120m, 8y), inauguration of SAWT (West of Sydney) and Mindarie (Perth) waste treatment plants

� CEMME(1)

- Abu Dhabi : preferred bidder for the hazardous waste management contract(20,000t, 15y, €200m)

- Morocco : waste contracts of Oujda (10y, €37m) and El Jadida (7y, €13m)- Jordan : water contract of Disi Amman ($200m, 25y)

(1) Central Europe, Mediterranean and Middle East


PERSPECTIVEREINFORCED COMPETITIVE POSITIONING

� Strong, balanced and flexible business model- Confirmed long term strategy on attractive markets driven by growing world water

demand and circular economy- Balanced asset mix to protect profitability and better rebound- Strong capacity to deliver on priorities

� Reinforced competitive positioning- Reinforced growth drivers : more environmental needs and regulatory objectives

- Stimulus plan largely focused on environment- Continued greenfield development to fuel future growth

- Technology and sustainable development : key pillars of strategy- Reverse osmosis desalination leadership - Sustainable development: new commercial opportunities, publication of 2008

performance, 2012 objectives- Strong financial profile

- To selectively support growing needs of financing from municipalities (PPP)(1)

- To seize future opportunities of attractive assets when up for sale at relevant prices

STRENGHTENED LONG TERM GROWTH DRIVERSWELL POSITIONNED TO GRAB FUTURE GROWTH OPPORTUNITIES

STRENGHTENED LONG TERM GROWTH DRIVERSWELL POSITIONNED TO GRAB FUTURE GROWTH OPPORTUNITIES

(1) Public-Private Partnerships


� A growing market with leading reverse osmosis technology

� Leading position of SUEZ ENVIRONNEMENT in reverse osmosis - 250 plants built by Degrémont in 40 years- 6 plants of more than 120 000 m3/ day since 2 y (Fujaïrah, Wadi Ma'in, Perth, Barka, Barcelona, Al Dur)- July 2009: inauguration of Barcelona desalination plant, the largest in Europe- August 2009: Melbourne , largest desalination plant in the southern hemisphere

- PPP project with total investment: €2bn

- Revenues for SUEZ ENVIRONNEMENT: €1.2bn over 30y- Sustainable development plant: integrated into the environment, preserving natural setting,

creating an ecological space, reducing the environmental impact with 100% renewable energy

REINFORCED COMPETITIVE POSITIONINGLEADERSHIP IN REVERSE OSMOSIS DESALINATION

2007 2016

WORLD DESALINATION CAPACITYFORECASTS (2007-2016)

70%

30%

CAPEX FORECASTS

Reverse Osmosis

World reverse osmosis cumulated capex by region (2005-2015)

Source: Global Water Intelligence

Thermal

Americas

Mediterranean

Asia Pacific

Middle East

44%

10% 14%

32%

60%

40%+10.5% CAGR

47 Mm3/day

107 Mm3/day

Source: Global Water Intelligence


PERSPECTIVE BEST EFFORTS TO REACH OPERATIONAL STABILITY VERSUS 2008 AT CONSTANT FOREX

� H2 2009

- Maintained priorities in H2 2009 in a very challenging and still uncertain economic environment- Strong free cash flow generation & margin protection- Solid financial situation

- H2 2009 operational performance > H1 2009- With high Q3 2008 comparative basis

� FY 2009 objective

- Overall stability of revenues and EBITDA at constant forex- FCF 2009 > FCF 2008

- Investments selectivity: €1.3bn of net investments(1) (-25% vs 2008)

- Net financial debt / EBITDA(2): around 3 times

� 2010 Compass objective

- Achievement ahead of schedule: > €180m in less than 3 years

OFFERING ATTRACTIVE SHAREHOLDER VALUEOFFERING ATTRACTIVE SHAREHOLDER VALUE

(1) Excluding strategic investments(2) Based on rolling 12 months EBITDA

JEAN-MARC BOURSIER

FINANCIAL RESULTS

HALF YEAR RESULTS


H1 2009 FINANCIAL HIGHLIGHTSDELIVERING ON DEFINED PRIORITIES

� Difficult economic environment

- Further GDP reduction, negative forex impact, still low commodity prices

� Efficient delivery on new priorities

- Protection of operational profitability - EBITDA margin at 16.2%, Compass in advance vs. mid-year objective

- Increased Free Cash Flow generation: +56% vs H1 2008

- Maintained strong balance sheet: net financial debt / EBITDA(1) at 3.18x

- Improvement of debt profile: high liquidity, increased diversification & maturity

� Improving operating performance

- Q2 better than Q1

- H2 objective of further improvement

OPERATIONAL IMPROVEMENT IN Q2 AND EXPECTED FOR H2OPERATIONAL IMPROVEMENT IN Q2 AND EXPECTED FOR H2

(1) Based on rolling 12 months EBITDA


(1) Excluding public offer on AGBAR (€708m)(2) Based on rolling 12 months EBITDA

5,9712.84x

543(1)

275

201

508

1,006

6,030

H1 2008

- 12.8%175Net Result Group share

+11.0%603Net Investments

-

+55.6%

- 22.5%

- 5.5%- 4.2%

- 2.6% - 1.2%

09/08 ∆

6,5073.18x

428

393

951

5,872

H1 2009

Free Cash Flow

Revenue∆ at constant Forex

Net financial debt at Dec. 31, 2008 and June 30, 2009Net financial debt / EBITDA(2)

EBITDA ∆ at constant Forex

Current Operating Income

In €m

FCF AND NET INCOME TO REVENUE RATIOS AT RESPECTIVELY 7.3% AND 3.0%FCF AND NET INCOME TO REVENUE RATIOS AT RESPECTIVELY 7.3% AND 3.0%

H1 2009 KEY FINANCIALSSTRONG FREE CASH FLOW GENERATION


-87

+55 -288

+150+136,030 5,872

1,927

2,599

1,338

1,882

2,893

1,247

In €m

Water Europe

Waste Europe

International

H1 2008 Forex Tuck-in WaterEurope

WasteEurope

International& other

H1 2009

-1.2% excluding forex

Other (1)

(1) HQ revenue & R+I Alliance

GROWTH IN WATER EUROPE AND INTERNATIONAL DIVISIONS GROWTH IN WATER EUROPE AND INTERNATIONAL DIVISIONS

H1 2009 REVENUESGROWTH IN WATER, IMPACT OF CRISIS IN WASTE

-3.7%

5,872

H1 2009

-4.7%-2.7%Organic ∆

2,829

Q1 09

3,043Revenues

Q2 09In €m


Total H1 2009 revenues: €5,872m

H1 2009 REVENUESBALANCED POSITIONING

REVENUES BALANCED BY GEOGRAPHIES AND ACTIVITIESREVENUES BALANCED BY GEOGRAPHIES AND ACTIVITIES

Revenue by geographies

(1) Rest of the World (2) Central Europe, Mediterranean and Middle East

12%

2%5%

81%

13%

2%6%

79%

H108 H109

Australia

Europe

USA

RoW(1)

23%

Waste Europe

International

44%

Water Europe33%

International: €1,338m

North AmericaDegrémont

33%21%

19%

27%

Asia-Pacific

CEMME(2)

Water Europe: €1,927m

43% 57%Lyonnaise des EauxAGBAR 53%

21%

26%

UK/Scandinavia

France

Benelux/Germany

Waste Europe: €2,599m


-14

1,006

951

420

368

197

388

459

185

In €m

Water Europe

Waste Europe

International

H1 2008

Forex

H1 2009

-7.8% -1%

-4.2% excluding forex

BETTER PROFITABILITY IN Q2 DUE TO STRONG OPERATIONAL EFFORTS BETTER PROFITABILITY IN Q2 DUE TO STRONG OPERATIONAL EFFORTS

H1 2009 EBITDAMAINTAINED HIGH PROFITABILITY

16.2%16.9%15.4%EBITDA margin

951

H1 2009

436

Q1 09

514EBITDA

Q2 09In €m

Other -26 -34Q1 2009 Q2 2009

-36-5


H1 2009: PERFORMANCE BY DIVISIONWATER EUROPE

� +3.0% organic growth of revenue (€+55m): Lyonnaise des Eaux +2.9% (€+31m), AGBAR +3.1% (€+24m)

- Commercial dynamism- Tariffs increases (France, Spain, Chile and UK)- Continued trend of potable water volume reduction in Europe (-1% on average)- Decrease of works and services with limited impact on margins

� Pursuit of productivity efforts- +7.5% organic growth of EBITDA (€+28m)- High level of profitability : EBITDA margin improvement: 21.8% (+120bp) - €10m of Compass contribution in H1 2009- High free cash flow contribution at 8% of revenue

+3.0%

+7.5%

09/08∆ organic

1,882

388

20.6%

139

H1 2008

+3.2%

+10.4%

09/08∆ const

FX

1,927

420

21.8%

155

Revenue

EBITDA

EBITDA margin

FCF

H12009In €m

-1.0%349AGBAR Spain

-0.6%

09/08∆

321LDEF(1)

H12009Mm3 sold

(1) Retail volumes sold excluding mixed companies


H1 2009: PERFORMANCE BY DIVISIONWASTE EUROPE

� -10.3% organic growth (€-288m): France -10.1% (€-149m), UK/Scandinavia -10.9% (€-67m), Benelux/Germany -10.0% (€-72m)

- Half of sales decrease in Sorting & Recycling activities (price and volume negative effects)- Half from the reduction in collected and treated volumes, mainly C&I,

partly compensated by modest tariff increases (France, UK and Belgium)- Start of operation of EVI incinerator in April 2009 (Germany/Netherland)

� Profitability and cash generation protected- 14.2% EBITDA margin despite -21.1% organic decrease of EBITDA (€-94m)- Cost optimization (staff, fleet, sites mothballing, waste flow management, maximized internalization

of volumes): €29m of Compass contribution in H1 2009- Positive FCF thanks to increased maintenance capex selectivity- Unfavorable fuel hedges (€-19m in EBITDA for H1 2009): Waste Europe EBITDA margin of 14.9%

excluding fuel hedges

-10.3%

-21.1%

09/08∆ organic

2,893

459

15.9%

223

H12008

-7.3%

-17.8%

09/08 ∆ const

FX

2,599

368

14.2%

157

Revenue

EBITDA

EBITDA margin

FCF

H12009In €m

-5.9%8,548Total EfW + Landfill

+1.0%(2)

-9.2%

09/08∆

2,953

5,595

EfW – Ktons (1)

Landfill – Ktons (1)

H1 2009

(1) Non hazardous waste volume treated in Europe (2) Including effect of EVI incinerator


H1 2009 SORTING / RECYCLING

� Confidence in long term growth drivers- Presence on the full value chain is key in waste- Regulation and environmental willingness

to support the circular economy- Organization and growing maturity of the value segment- Development of industrial partnerships

� Activities strongly impacted by the crisisin the short term- Very low demand in all countries- Strong reduction in both volumes and prices:

-20% to -50% depending on commodities- Strong efforts relate to staff and capacity optimization

as well as contracts renegotiation

� Impact on H1 2009 performance- Revenues: €372m (6% of SE total sales vs 8% in H1 08)- Organic decrease: €-165m (-2.7% impact at SE sales level)

MARKET DIRECTLY AFFECTED BY THE CRISIS, LONG TERM STRATEGY MAINTAINED MARKET DIRECTLY AFFECTED BY THE CRISIS, LONG TERM STRATEGY MAINTAINED

-34%

09/08 org. ∆

-25% 372495Revenues (€m)(1)

H1 0809/08∆H1 09

(1) Revenues from sorting, recycling and material recovery

100

150

200

250

300

350

400

450

500

déc-0

6fé

vr-0

7av

r-07

juin-

07ao

ût-07

oct-0

7dé

c-07

févr

-08

avr-0

8jui

n-08

août-

08oc

t-08

déc-0

8fé

vr-0

9av

r-09

juin-

09

€ / T

onne

Spot Last quarter average

173

Average metal price E40 (Source UCFF)

-10

0

10

20

30

40

50

60

70

80

déc-06

févr-0

7avr-

07

juin-07

août-0

7oc

t-07

déc-07

févr-08

avr-08

juin-08

août-08

oct-0

8

déc-08

févr-09

avr-09

juin-09

€ / T

onn

e

Spot Last quarter average

25

Average paper price 1.02 (Source REVIPAP)


H1 2009: PERFORMANCE BY DIVISIONINTERNATIONAL

� +1.0% organic growth (€+13m) - Degrémont -2.5% (€-11m) but 27-month backlog in DB end June 09 (Al Dur, Rasafa, Baraki,

Bordeaux, Ciudad Juarez, Mutxamel…)

- North America -1.1% (€-2m) - Rate cases effects in Regulated activities (New Jersey +18%)- High renewal rate of contracts, at better margins- Poor weather conditions in H1, end of Milwaukee contract

- CEMME(2) +6.0% (€+21m) - Good performance of waste activity in Poland- Lydec: overall positive price effect and positive volume effect in all activities

- Asia Pacific +2.1% (€+5m)- Positive price and volume effect in collection and treatment in waste activities in Australia - Pursuit of growth in China

� +8.6% organic growth of EBITDA (€+15m)- €8m of Compass contribution in H1 2009

+1.0%

+8.6%

09/08∆ organic

1,247

185

14.8%

12

H1 2008

+6.0%

+4.6%

09/08 ∆ const FX

1,338

197

14.7%

20

Revenue

EBITDA

EBITDA margin

FCF

H1 2009In €m

-7.5%

+5 months

+0.2%

09/08∆

145

27 months

62

United Water(1) - Mm3 sold

Degremont – backlog

Lydec – Mm3 sold

H1 2009

(1) Volume indicator based on 5 main utilities (2) Central Europe, Mediterranean and Middle East


5%

24%

44%

27%

CUMULATED EBITDA IMPACT TO DATE (€104m) BREAKDOWN BY NATURE

Procurement savings

Operational savings

SG&A savings

Impact Health & Safetyand risk management

€49M OF STRUCTURAL GAINS IN H1 2009, ABOVE MID-YEAR OBJECTIVE €49M OF STRUCTURAL GAINS IN H1 2009, ABOVE MID-YEAR OBJECTIVE

H1 2009COMPASS: ADVANCEMENT AHEAD OF SCHEDULE

CUMULATED EBITDA IMPACT TO DATE (€104m) BREAKDOWN BY DIVISIONS

9%20%

48%

23%

Water Europe

Waste Europe

International

Other & HQ

Actual New target

Initial objective

55

01/01/08

180

12/09 12/10

125

In €m

40

80

120

12/08

104

06/09


� Optimization of logistic costs and organizations- Optimization of waste flow management- Decrease in number of trucks: -2.6% (~ -320 trucks)

� Mothballing/closure of 14 industrial sites - 3 sorting plants (France)- 2 landfills (Sweden, UK)- 3 metal reprocessing sites (UK)- 6 transfer stations and depots (UK)

� Optimization of manpower costs - Reorganization of work- Reduction of overtime and interim labor- Short time working

� Renegotiation of purchasing contracts

H1 2009COMPASS: EXAMPLES OF ON-GOING INITIATIVES TO IMPROVE OPERATIONAL EFFICIENCY


- 5.5%9511,006EBITDA

-8.2%(407)(376)Depreciation & amortization

-(150)(122)Other (Concession charge, Provisions, ESOP (1))

+2.7%(133)(129)Cost of debt

-189Other financial result

+14.1%2118Associates

-72%(41)(146)Income tax

-22.8%(53)(69)Minority interest

- 12.8%175201NET RESULT GROUP SHARE

-29.8%363518INCOME FROM OPERATING ACTIVITIES

10(2)

508

H1 2008

-

- 22.6%

09/08 ∆

393CURRENT OPERATING INCOME

(30)(3)Assets disposal and Other

H1 2009In €m

(1) Free shares, ESOP & Stock Options relative to GDF SUEZ global programs(2) Of which sale of SUEZ shares by AGBAR for €42m(3) Restructuring costs mainly

H1 2009 EARNING PER SHARE OF 0.36€H1 2009 EARNING PER SHARE OF 0.36€

Cost of net financial debt: 4.6% versus 5.6% in 2008

€33m of deffered tax asset

H1 2009: FROM EBITDA TO NET RESULT GROUP SHARE


H1 2009H1 2008

275

428+56%(1)

826

428-285 -26 -36

H1 2009: FREE CASH FLOW GENERATIONSTRONG INCREASE IN FCF FREE CASH FLOW

951

-1254.6%

FCF/Revenues

7.3%

EBITDA Concessions, restructuring, etc.

Operatingcash flow

MaintenanceCapex

Changein WCR

Taxexpense(1)

Net financial expense

Free CashFlow

-52

In €m

(1) Including reimbursement in 2009 of €76m for tax paid in France in 2008


H1 2009: NET FINANCIAL DEBTMAINTAINING A STRONG BALANCE SHEET

6,507

5,971

-428

+318

+403

+243

3.18xNet financial debt/EBITDA


(1) Including development capex of €260m, disposal €60m and financial investments of €118m(2) Including a €13m forex effect and €182m perimeter



Net financial debt12/31/08

Free cashflow

Net developmentinvestments(1)

Dividendspaid

Others(2) Net financial debt06/30/09


Net financialinvestments

MaintenanceCapex

317

DevelopmentCapex

146

WaterEurope

WasteEuropeInternational 39%

30%

23%

� Optimization of maintenance capex

- 4.9% of revenues vs 5.3% for H1 2008

� Selective developments to fuel future growth

- Recycling and sorting facilities

- Equipment

- Energy-from-Waste Facilities (Baviro)

- Mapucho interceptor (Chile)- Increase in Regulated Asset Base

in the US- New water treatment plants (Vallauris,

Coudekerque)

� H1 2009 investment in line with FY objective of €1.3bn(3)

H1 2009: NET INVESTMENTS

58(2)

285

260

H108 H109

(1) Excluding AGBAR takeover €708m(2) Including Gas Natural Capital increase for €89m(3) Excluding strategic investments

80(1)

543603

Other8%


(1) Excluding GDF SUEZ(2) On net financial debt

INCREASED MATURITY & DIVERSIFICATION IN LINE WITH FINANCING POLICIESINCREASED MATURITY & DIVERSIFICATION IN LINE WITH FINANCING POLICIES

GROSS DEBT BREAKDOWN BY TYPEAT JUNE 30, 2009

�Liquidity at 06/30/09: €4.5bn

- Cash: €3.2bn

- Undrawn credit lines: €1.2bn

�Diversification of financing sources

- €2.35bn bond raised between April and June 2009 (July 8, 2009: 15y bond issue at €0.5bn)

- GDF SUEZ: financing agreement up to 2010

- Moody’s rating: A3 (LT), Prime 2 (ST), stable outlook

- 69% fixed interest rate / 31% variable(2)

�Extension of average maturity

GDF SUEZLeasing

Others

Banks

Bonds

32%

8%

5%

35%

21%

H1 2009: NET FINANCIAL DEBTSTRONG FINANCIAL PROFILE

EXTENSION OF AVERAGE MATURITY(1)

FY 2007 FY 2008 H1 2009 July 09

2.2y

5.7y4.4y

5.1y


Overall stability at constant FXREVENUE & EBITDA

> €120m (vs. 2007)COMPASS SAVINGS

> 2008 FREE CASH FLOWFREE CASH FLOW

Around 3 timesNET FINANCIAL DEBT/EBITDA (2)

c. €1.3bn (-25% vs 2008)TOTAL NET INVESTMENTS (1)

FY 2009 OBJECTIVES

PRIORITY TO FCF GENERATION & SOLID BALANCE SHEET2009 OBJECTIVES

BEST EFFORTS TO REACH OVERALL OPERATIONAL STABILITY AT CONSTANT FOREXBEST EFFORTS TO REACH OVERALL OPERATIONAL STABILITY AT CONSTANT FOREX

(1) Excluding strategic investments(2) Based on rolling 12 months EBITDA

HALF YEAR RESULTS

JEAN-LOUIS CHAUSSADE

CONCLUSION


CONCLUSION

� Good resilience to crisis withCompass program ahead of schedule

� Delivering on priorities

� Overall operational stability at constant forex for FY 2009

� Unchanged strategic vision and confirmed balanced business model

� Reinforced competitive positioningto seize growth opportunities

APPENDICES


APPENDICESTABLE OF CONTENTS

� Summary financial statements 36

� Shareholding structure 40

� Activity of divisions 42

� Sustainable development 51

� Scope and FX effects 55

� Financial indicators 58

� Tax and Debt 74

� Assets & liabilities overview 79

Pages

Summary financial statements

APPENDICES


SUMMARY BALANCE SHEET

6,2786,492Other Liabilities

06/30/0912/31/08LIABILITIES

21,47419,711TOTAL LIABILITIES

9,6607,721Financial Debt

1,3721,328Provisions

4,1644,170TOTAL EQUITY

697638Minority Interests

3,4683,532Equity, group share

06/30/0912/31/08ASSETS

21,47419,711TOTAL ASSETS

1,9891,669o/w cash & cash equivalents

1,21051o/w financial assets at fair value through income

7,8706,579CURRENT ASSETS

2,9712,898o/w goodwill

13,60413,133NON CURRENT ASSETS


SUMMARY INCOME STATEMENT

175201NET RESULT GROUP SHARE

69

(146)

18

(120)

518

508

(369)

6,030

H1 2008

53

(41)

21

(115)

363

393

(420)

5,872

H1 2009

Minority interest

Income tax

Associates

In €m

Financial Result

INCOME FROM OPERATING ACTIVITIES

CURRENT OPERATING INCOME

Depreciation, Amortization & Provisions

REVENUE


SUMMARY CASH FLOW STATEMENT

1,482

15

1,466

(32)

610

95

0

(120)

1,105(1)

(470)

(1,244)

77

(858)(1)

(464)

681

(92)

(110)883

H1 2008

1,989

321

1,669

40

71

(1,155)

1

(94)

1,722

(403)

(556)

107

(118)

(545)

765

(26)

(36)826

H1 2009

CASH AND CASH EQUIVALENT AT THE END OF THE PERIOD

Total cash flow for the period

CASH AND CASH EQUIVALENT AT THE BEGINNING OF THE PE RIOD

Impact of currency, accounting practices and other

CASH FLOW FROM FINANCIAL ACTIVITIES

Other cash flows

Capital increase

Interests paid on financial activities

Balance of reimbursement of debt / new debt

Dividends paid

CASH FLOW FROM INVESTMENT ACTIVITIES

Disposals and other investment flows

Financial investments

In €m

Net tangible and intangible investments

CASH FLOW FROM OPERATING ACTIVITIES

Change in operating working capital

Income tax paid (excl. income tax paid on disposals)Gross cash flow before financial loss and income tax

(1) Including AGBAR take over €708m

Shareholding structure

APPENDICES


SHAREHOLDING STRUCTURE

100.00%489,699,060489,699,060TOTAL

253,117,737

1,350,000

235,231,324

4,125,000

6,191,630

6,906,750

9,599,359

35,001,610

173,406,974

51.73%

0.23%

48.04%

0.84%

1.26%

1.41%

1.96%

7.15%

35.41%

% atJune 30, 2009

December 31, 2008

253,317,736

1,150,000

235,231,324

4,125,000

6,191,630

6,906,750

9,599,359

35,001,611

173,406,974

June 30,2009

Public & employees

Treasury Stocks

TOTAL SHAREHOLDERS AGREEMENT

Sofina

CNP Assurances

Areva

CDC

Groupe Bruxelles Lambert

GDF SUEZ

Activity of divisions

APPENDICES


EVOLUTION OF ESTIMATED GDP GROWTH FOR 2009

-6,0%

-5,0%

-4,0%

-3,0%

-2,0%

-1,0%

0,0%

1,0%

2,0%

3,0%

4,0%

+ 1,3%

- 3,8%

- 2,0%

- 0,3%

+ 0,5%

+ 3,8%

- 1,3% - 1,4%

+ 0,5%

+ 2,2%+ 3,0%

- 3,8%

Euro Zone US Advanced Economies World

Ap/May 08 Oct 08 April 09Jan 09Nov 08 July 09

EURO ZONE-4.8%

(IMF July 2009)

Source: IMF


WATER EUROPE

NEW CONTRACTS RENEWALS

(1) Syndicat Intercommunal d'Alimentation en Eau Potable (2) Communauté d'Agglomérations

� France - Le Havre (€19m, 4y)- Port-Saint-Louis-du-Rhône (€18m, 20y)- Soviba Le Lion d’Angers Terrena (€7m, 10y)- Collectivité les hautes rivières (€8m, 25y)- Siaap (€7m, 4y)

� Spain- Marchena-Sevilla (17y) - Wastewater treatment plants in Madrid

8 and 4 years (canal Isabel II)- Garrigues Sud (2.5y)- Martorell-Barcelona (30y)- Coria Caceres (25y)

� OIS- Geostock (€3m)- Graulhet (€4m)- Scottish & Newcastle (€4m)- Electrabel (€3m, 2y)

� Safege- Strasbourg (€2m)- Algeria (€25m)

� France - SIAEP de Montbazens-Rignac (€43m, 12y)- SIVOM Bassin Ehn, (€18m, 15y) - Syseg de Givors (€18m, 3y)- Syndicat du Puy-en-Velay (€13m, 12y)- Syndicat de Salles-Mios (€12m, 12y) - SI Roannaise de l’Eau (€11m, 8y)- Tarare (€11m, 12y)- Cernay-la-ville (€9m, 12y)- Fleury Merogis (€8m, 8y)

� Spain- Torremolinos-Malaga (25y)- Olot-Girona (20y)- Ribera de Gata-Caceres (10y)- Villanueva de la Serena-Badajoz (25y)- Algorfa-Alicante (20y)

ACQUISITIONS

� France - ISIOM (April 2009, €5m of revenues in 2008)


WASTE EUROPE

NEW CONTRACTS RENEWALS

ACQUISITIONS

� Sita France - Municipal: Bordeaux (€11m, 4y), Aix (€5m, 3y)

- I&C: Carrefour (€4m, 1y), Coca-Cola, Arkema, Leroy Somers

� Sita UK- Kimberly Clark (€4m, 3y), Airbus (€4m, 4y),

Gate Gourmet (€4m, 3y)

� Sita Sweden- SSAB (€4m, 3y)

- Lidingö, Svedala, Skara & Malmö (€29m, 5y average)

� Sita Netherland- EVI incinerator (365,000 tons), in service

on April 2, 2009

- CRH (€2m, 4y), United Cooperative Hospitals (€1m, 1.5y), Van der Valk Hotels (€1m, 3y),Procter & Gamble (€1m, 2y)

� Sita Germany - IHKW, Bottom ashes (€8m, 15y), WÖRWAG

(€4m, 5y), LK Hildburghausen (€3m, 5y)

� Sita Flanders- Limburg.Net (€34m, 8y)

� Guernsey: Preferred bidder for EfW facility (DBO contract, £194m)

� Sita France - Vichy Val d’Allier (€68m, 20y)

- SMETOM du Haut-Doubs (€38m, 15y)

- Montpellier (€29m, 15y)

- SMICTOM Carcassonnais (€17m, 5y)

- Grand Lyon (€13m, 5y)

- SMICTOM Ouest Audois (€12m, 8y)

- Pontarlier (€36m, 5+5+5y)

� Sita UK - Doncaster (£53m, 7y)

� Sita Belgium - Recupel (€7m, 3y), AIDE (€4m, 3y)

� Sita Sweden- Allren: waste management company,

with 80 employees, 70 vehiclesand total annual revenues of €13m

� Sita UK- Swansea: April 2009, revenues of €13m


-10

0

10

20

30

40

50

60

70

80

avr-07

juin-0

7oct-

07

avr-08

juin-0

8oct-

08

avr-09

juin-0

9

25

Last quarter average

Price

E40 MONTHLY AVERAGE PRICE (ferrous metal, recycled) ALUMINIUM PRICE (raw material)

PET PRICE (plastic, raw material) PAPER 1.02 PRICE (recycled material)

€/ton $/ton

€/ton

Source: CSEMP Source: REVIPAP

COMMODITY PRICES EVOLUTION

100

150

200

250

300

350

400

450

500

avr-0

7jui

n-07

oct-0

7

avr-0

8jui

n-08

oct-0

8

avr-0

9jui

n-09

173

1 200

1 250

1 300

1 350

1 400

1 450

1 500

1 550

1 600

1 650

1 700

mar

s-07

juin-

07

sept

-07

mar

s-08

juin-

08

sept

-08

mar

s-09

juin-

09

1 403

1 200

1 400

1 600

1 800

2 000

2 200

2 400

2 600

2 800

3 000

3 200

3 400

janv

-07

avr-0

7

juil-

07

oct-0

7

janv

-08

avr-0

8

juil-

08

oct-0

8

janv

-09

avr-0

9

juil-

09

1 818

Source: UCFF

€/ton

Source: LME


INTERNATIONAL

NEW CONTRACTS

� Degrémont- Melbourne (€1.2bn, 30y)- Malta (€35m) - Baraki (Algeria, €68m)- Brazzaville (Congo, €16m)

- Cleveland (USA, €37m)- Ciudad Juarez (Mexico, €154m)

� Asia Pacific- Tianjin - Water (€77m)- Yuelaï - Water (€0.8bn, 40 years)- Hong Kong - Waste Transfert station (€25m, 4.5y) - Brisbane - Waste (€120m, 8y)

� Middle East- Preferred bidder for Abu Dhabi

hazardous waste management contract (20,000t, €200m, 15y)

- Oudja - Waste (Morocco, €37m, 10y) - El Jadida - Waste (Morocco, €13m, 7y)- Disi Aman - Water (Jordan, $200m, 25y)

ACQUISITIONS

� China - JV with CSPU for the Suzhou Sludge

Project - Water (30y, €30m, 49% Sino French)- Earth Tech’s activities in Tianjin - Water (€12m)


THE US WATER REGULATED BUSINESS MODEL

50% Equity

50% Debt

Shareholder ReturnAllowed ROE x

Rate base financed by equity

Corporate Income Taxes

Cost of debt

Depreciation & Amortization

OPEX

Revenues Requirement : basis to set the new rates

1. Set Regulated Asset Base

� Rate base is defined based on “Used and useful assets”

� Financing: 50/50 gearing accepted by regulators

2. Set Allowed Net Return

� Regulators usually allow ROE in the range of 10%

� Growth in earnings primarily driven by rate base growth (CAPEX)

3. Set new Rates

� Rates are set to allow recovery of OPEX, assets (through D&A), cost of debt and all taxes whilst leaving the utility a fair return on equity invested

+

All expenses that are deemed prudent and fair to the

customer are pass-through

=

Rate Base Targeted Net Result


313 327 360 385

186 189 218 267

2005 2006 2007 2008

Regulated Non Regulated

UNITED WATER

UW: Dynamic Rate Case strategy20 utilities in 8 states

In $m

UW: Revenue Evolution

1,2 1,31,4

1,6

2005 2006 2007 2008

UW: RAB(1) growth: 10% CAGR

+8.0%+11.4%

+10.6%

Utility Effective date for new ratesROE

granted

Amount granted

(M$)% growth

New Jersey April 2009 10.3% 26.5 18%

Arlington Hills April 2009 (2 years phase in) 0.2 23%West Milford April 2009 (3 years phase in) 0.3 48%

Toms River November 2008 10.0% 10.1 62%

Ow ego / Nichols April 2008 0.3 30%

Connecticut March 2008 1.0 28%

New Jersey October 2007 10.0% 19.3 15%

Arkansas August 2007 0.9 12%

New York December 2006 (3 years phase in) 12.0 27%

Delaw are January 2007 3.8 21%

Pennsylvania September 2006 5.9 25%

Idaho August 2006 3.6 11%New Rochelle 2005 (4 years phase in) 9.7% 5.2 20%

Rate case starting or in progress in 2009 for :New Jersey, Toms River, New York, Delaw are, Pennsylvania, Idaho, New Rochelle

� United Water gets ~10% ROE in most jurisdictions

� Intensified CAPEX programs to fuel rate case strategy

� Significant rate case activity will take place in 2009 and 2010

� United Water gets ~10% ROE in most jurisdictions

� Intensified CAPEX programs to fuel rate case strategy

� Significant rate case activity will take place in 2009 and 2010

(1) Net Utility Plant less contributions received

499 516578

652

In $bn


16.9x17.6x

19.3x20.1x

20.8x21.9x

22.7x

25.8x

30.9x

Penni

chuc

k Cor

pYor

k Wat

er C

oSJW

Cor

p

Amer

ican

State

s Wat

er C

oAqu

a Am

erica

Inc

Conne

cticu

t Wat

er S

ervic

es in

c

Midd

lesex

Wat

er C

o

Califo

rnia

Wat

er S

ervic

e Gro

up

Artesia

n Res

ourc

es C

orp

1.3x1.4x

1.7x1.8x

1.9x1.9x2.1x

2.3x

2.5x

York W

ater C

oAqu

a Amer

ica In

cPen

nichu

ck C

orp

Ameri

can S

tates

Wate

r Co

Califor

nia W

ater

Ser

vice G

roup

Conne

cticu

t Wate

r Ser

vices

inc

SJW C

orp

Midd

lesex

Wate

r Co

Artesia

n Reso

urce

s Cor

p

US WATER REGULATED UTILITIES MARKET MULTIPLES

PRICE EARNING RATIO(1)

(1) Source: Edward Jones report, June 30, 2009

Weighted Average

PRICE TO BOOK RATIO(1)

Sustainable development

APPENDICES


SUSTAINABLE DEVELOPMENT 2012 OBJECTIVES

� Publication of 2008 performance and of 2012 objectives- B+ rating of Global Reporting Initiative (GRI)

� 4 priorities & 12 commitments: 2012 improvement objectives

(1) Lyonnaise des Eaux scope

2 - Innovate to respond to environmental challenges

� 95% of the waste sent to landfills equipped with biogas collection and treatment systems

� Improve energy efficiency by 5%

� Increase the production of renewable energy by 10%

� 100% of sensitive sites to have implementeda biodiversity action plan

4- Build our development with all stakeholders

� Generalize the dialogue with the stakeholdersof our operating subsidiaries

� Implement a dedicated reporting system for this commitment

� Obtain a statement of reasonable assuranceon all verified environmental and social indicators

1- Conserve resources and engagein the "circular economy"

� Raise the global recovery rate of household and non-hazardous industrial waste to 36%

� Save the equivalent of the consumption of a French town of 700,000 inhabitants within four years (1)

3- Empower our employees as actorsof sustainable development

� Maintain the effort to provide an average of 15 hours of annual training per employee

� Reduce the frequency rate of workplace accidentsto below 14

� Increase the proportion of women in the workforceto 20% and women in management to 26%


SUSTAINABLE DEVELOPMENT MELBOURNE, A REFERENCE PROJECT

� Contract specificities- Joint venture : AquaSure (SUEZ ENVIRONNEMENT/ Degrémont, Thiess and Macquarie Group)- Contract : design, construction and operation- Capacity : 450,000 m3 of drinking water per day, (possible extension to 600,000 m3 per day)- Location : 80 km south of Melbourne on the Bass Strait- Investment : €2billion

� Revenues for SUEZ ENVRIONNEMENT:€1.2 billion over 30 years- Design and construction of the plant

(3 years, Thiess Degrémont joint-venture)- Operation (27 years, Dégremont Thiess Services

joint-venture)

� Financing:- Financing provided by 12 banks - Guaranties: COFACE and KEIS (Korean agency for export financing)

� Committed to respond to sustainable development issues

SUEZ ENVIRONNEMENT CONFIRMS ITS LEADING POSITION IN THE FIELD OF SEAWATER DESALINATION BY REVERSE OSMOSIS

SUEZ ENVIRONNEMENT CONFIRMS ITS LEADING POSITION IN THE FIELD OF SEAWATER DESALINATION BY REVERSE OSMOSIS


SUSTAINABLE DEVELOPMENT MELBOURNE, A REFERENCE PROJECT

� An innovative architectural project:- Complete integration into the natural environment- Architectural concept including rooftop gardens- Sand dune settlement / creation / development- Total re-planting program for the site and creation

of a coastal park- Minimal visual and acoustic impact

� A solution which minimizes the impact on populationand environment - Choice of a buried electric transmission cable

(on more than 80km)- The transmission cable will be laid along the pipe discharge

� 100% of the plant’s energy consumption compensatedby the supply of carbone certificates. Long term contracts with AGL through renewable energyprojects development in Victoria State- Macarthur 330 MW wind farm (400 jobs) - Oaklands Hill 63MW wind farm (200 jobs)

Scope and FX effects

APPENDICES


MAIN CHANGES IN CONSOLIDATION SCOPE

WATER EUROPE INTERNATIONALWASTE EUROPE

FC = Full Consolidation / PC = Proportional Consolidation

2009 ACQUISITIONS

� Jiangsu Water Group (Agbar): PC at 51%, from January 2009

� Grupo Lince (Agbar): FC from January 09

2008 ACQUISITIONS

� Essal (Agbar): PC at 51% from July 08

DISPOSAL / EXIT

� ASM (Agbar): PC at 51%, until March 2008

� Tribugest (Agbar): PC at 51%, until December 2008

2009 ACQUISITIONS

� Allren (SITA Sweden): FC from Q2 2009

START OF OPERATION

� EVI (SITA NL): FC from April 2009

2008 ACQUISITIONS

� Val Horizon (SITA Fr): FC from July 2008 (6 months)

� Boone Comenor (SITA Fr): FC from September 2008(4 months)

� Doopa (SITA Flandres): FC from June 2008 (6 months)

2008 ACQUISITIONS

� NACO (UW): FC from July 08 (5 months)

� USG (UW): FC from August 08 (5 months)

� WPT (Degrémont): FC from July 2008

DISPOSAL / EXIT

� Spolana (SITA CZ), FC until March 2008

2009 ACQUISITIONS

� Tianjin (Chine JVs): PC at 52% from March 2009


IMPACT OF CURRENCIES EVOLUTION

1.39

1.41

1.53

1.33

USD

0.95

0.85

0.78

0.89

GBP

2.03

1.74

1.65

1.88

AUD

10.87

10.81

9.38

10.86

SEK

4.48H1 2009 average rate

4.15Closing rate at 12/31/2008

PLN

4.45Closing rate at 06/30/2009

3.49H1 2008 average rate

(21)

(9)

(38)

Other

50

(11)

(81)

GBP

(16)

6

32

USD

13

(14)

(87)

Total

Net Financial Debt

in €m

EBITDA

Revenue

The average rate applies to the income statementThe closing rate applies to the balance sheet

Financial indicators

APPENDICES


REVENUE(1) BY DIVISION

6,030

8

370

254

193

431

1,247

722

700

1,471

2,893

807

1,074

1,882

H1 2008

5,872

8

365

261

277

436

1,338

664

547

1,388

2,599

822

1,104

1,927

H1 2009

-3.7%

+0.4%

+6.0%

+2.1%

-1.1%

-2.5%

+1.0%

-10.0%

-11.0%

-10.1%

-10.3%

+3.1%

+2.9%

+3.0%

Organic ∆

-2.6%TOTAL

+0.4%OTHER(4)

-1.4%CEMME(3)

+2.8%Asia-Pacific

+43.6%North America

+1.1%Degrémont

+7.3%INTERNATIONAL

-8.1%SITA Benelux/Germany

-21.8%

-5.6%

-10.2%

+1.8%

+2.8%

+2.4%

09/08 ∆

SITA UK/Scandinavia

In €m

SITA France

WASTE EUROPE

AGBAR

Lyonnaise des Eaux(2)

WATER EUROPE

(1) After intercompany eliminations (2) Including Lyonnaise des Eaux, Eurawasser, Safege, OIS, Italy.(3) Central Europe, Mediterranean and Middle East (4) R&I Alliance, HQ.


REVENUE BY GEOGRAPHIES

6,030

701

5,330

145

274

1,147

617

730

2,416

4,911

H1 2008

5,872

759

5,113

135

369

1,047

452

736

2,374

4,609

H1 2009

-26.7%7.7%United Kingdom

+0.8%12.5%Spain

-2.6%

+8.4%

-4.1%

-7.4%

+34.7%

-8.7%

-1.8%

-6.1%

09/08 ∆

100.0%TOTAL

12.9%Rest of the world

87.1%SUB TOTAL

2.3%

6.3%

17.8%

40.4%

78.5%

2009 %

Australia

In €m

North America

Other Europe

France

EUROPE


REVENUE SCOPE EFFECT BY DIVISION

150

62

83

5

Total Scope

187

79

83

25

First time consolidation

(37)

(17)

0

(20)

Disposal

INTERNATIONAL

WASTE EUROPE

TOTAL

In €m

WATER EUROPE


SPLIT OF REVENUE GROWTH BY DIVISION

2.5%

0.0%

+5.0%

+3.0%

+0.3%

Scope ∆

-3.7%

+0.4%

+1.0%

-10.3%

+3.0%

Organic ∆

6,030

8

1,247

2,893

1,882

H1 2008

5,872

8

1,338

2,599

1,927

H1 2009

0.0%+0.4%Other

1.3%+7.3%INTERNATIONAL

-3.2%-10.2%WASTE EUROPE

-1.5%

-0.8%

Forex ∆

-2.6%TOTAL

+2.4%

09/08 ∆In €m

WATER EUROPE


EBITDA BY DIVISION

1,006

(26)

185

459

388

H1 2008

951

(34)

197

368

420

H1 2009

-33.1%-33.1%Other(1)

+8.6%+6.5%INTERNATIONAL

-21.1%-19.8%WASTE EUROPE

-6.1%

+7.5%

Organic ∆

-5.5%TOTAL

+8.3%

09/08 ∆In €m

WATER EUROPE

(1) R&I Alliance, HQ.


CURRENT OPERATING INCOME (COI) BY DIVISION

508

(47)

123

232

200

H1 2008

393

(59)

111

132

210

H1 2009

-23.4%-22.5%TOTAL

-24.4%

-9.7%

-43.0%

+4.5%

09/08 ∆

-24.4%Other

-8.7%INTERNATIONAL

-45.4%WASTE EUROPE

+4.9%

Organic ∆In €m

WATER EUROPE


508

(24)

(105)

+7

(376)

1,006

H1 2008

- 22.6%

+16.7%

+3.8%

-

-8.2%

- 5.5%

09/08 ∆

(407)Depreciation & amortization


(109)Net disbursements under concession contracts

951EBITDA

(28)Employees compensation plans in shares(1)

(13)Net provisions release / (accrual)

H1 2009In €m

(1) Free shares, ESOP & Stock Options relative to GDF SUEZ

H1 2009: FROM EBITDA TO COI


393

(28)

(109)

(13)

(407)

951

TOTAL

210

-

(82)

(13)

(115)

420

WaterEurope

132

-

(17)

5

(224)

368

WasteEurope

111

-

(10)

(9)

(66)

197

International

(59)

(28)

-

5

(1)

(34)

Other

Depreciation & amortization

CURRENT OPERATING INCOME

Net disbursements under concession contracts

EBITDA

Employees compensation plans in shares(1)

Net provisions

In €m

(1) Free shares, ESOP & Stock Options relative to GDF SUEZ

H1 2009: FROM EBITDA TO COI BY DIVISION


+2.7%(133)(129)Cost of debt

-189Other financial result

+14.1%2118Associates

-71.9%(41)(146)Income tax

-22.8%(53)(69)Minority interest

- 12.8%175201NET RESULT GROUP SHARE

-29.8%363518INCOME FROM OPERATING ACTIVITIES

(30)

40(1)

508

H1 2008

+8.4%

-

- 22.6%

09/08 ∆

(32)(2)Other


2Assets disposal

H1 2009In €m

(1) Of which €42m relative to sale of SUEZ shares by AGBAR(2) Mainly restructuring costs

H1 2009: FROM COI TO NET RESULT GROUP SHARE


FROM EBITDA TO GROSS CASH FLOW BEFOREFINANCIAL RESULT AND INCOME TAX

883

2

14

(28)(1)

(7)

(105)

1,006

H1 2008

826

(4)

18

(16)

(14)

(109)

951

H1 2009

Provision for employee benefit

Dividends from associates

Restructuring

Depreciation of current assets

Net disbursements under concession contracts

GROSS CASH FLOW BEFORE FINANCIAL RESULT AND INCOME TAX

In €m

EBITDA

(1) Of which - €19m of spin-off & IPO costs


NET INVESTMENTS BY NATURE AND DIVISION

(378)

(91)

(96)

(126)

(64)

Development investments

(603)60(285)TOTAL H1 2009

(48)44(1)Other

(138)4(45)International

(234)11(119)Waste Europe

(183)

Total Net investmentsDisposal

Maintenanceinvestments H1 2009 (In €m)

(0)(118)Water Europe

(1) Excluding €708m related to AGBAR take over

(296)(1)

(4)

(68)

(163)

(61)

Development investments

(543)(1)70(317)TOTAL H1 2008

(6)(1)(1)Other

(117)(3)(46)International

(312)24(173)Waste Europe

(107)

Total Net investmentsDisposal

Maintenanceinvestments H1 2008 (In €m)

50(97)Water Europe


FREE CASH FLOW

275

26

34

(149)

(110)

(92)

(317)

883

H1 2008

428

31

23

(105)

(36)

(26)

(285)

826

H1 2009

Change in Working Capital

Cash Tax Expenses

Financial Interests Paid

FREE CASH FLOW

Dividends Received on Fixed Financial Assets

Financial Interests Received

Maintenance capex

In €m

GROSS CASH FLOW BEFORE FINANCIAL RESULT AND INCOME TAX


CASH FLOW GENERATION

(80)

(11)

4

(142)

(61)

(29)

(19)

178

International

61

(3)

11

(245)

49

(69)

(25)

343

WasteEurope

536CHANGE IN NET FINANCIAL DEBT

(241)∆ in perimeter and FX / MtM on net financial debt

(318)Dividends to shareholders

23933TOTAL

(85)(1)(70)Dividends to minorities

60

(662)

(25)

(36)

(55)

826

H1 09

44(0)Assets disposals

OthersWater

EuropeIn €m

(92)(183)Total investments

(47)34Change in Working Capital

148(85)Income tax

(12)0Net interest paid on investment & financial activities

(31)337Gross cash flow before financial loss and income tax


CHANGE IN SHAREHOLDER EQUITY

(84)Dividend minorities

4,164

120

6

42

(318)

53

175

4,170

H1 2009

Net result minorities

Dividend group share

Forex impact

Shareholder Equity at 06/30/2009

Other

Fair value adjustments and other

Net result group share

In €m

Shareholder Equity at 12/31/2008


CAPITAL EMPLOYED AT 06/30/2009

(551)Others

(1,310)Provisions

233Investment in associates

708Net financial assets

8,542Tangible and intangible assets, net

2,971Net goodwill

10,591CAPITAL EMPLOYED AT 06/30/09

As of 06/30/09In €m

252Others

2,676International

4,356Waste Europe

3,306Water Europe

10,591CAPITAL EMPLOYED AT 06/30/09

As of 06/30/09In €m

Tax and Debt

APPENDICES


TAX POSITION

36.7%

(146)

(121)

(25)

397

H1 2008

16.5%

(41)

(97)

56

248

H1 2009

EFFECTIVE TAX RATE

Income Tax

o/w Current income tax

o/w Deferred income tax

In €m

Income before tax & share in net income from Associates

� Deferred tax - Non recurring impact: €33- French tax group impact: €39m


2009 BONDS

5.50%160€500m15 yearsJuly 22, 2024FR0010780528July 8, 2009

May 19, 2009

May 7, 2009

March 31, 2009

March 31, 2009

Pricing date

4.875%160€300m5 yearsApril 8, 2014FR0010745984

€250m

€800m

€1,000m

Amount

June 8, 2017

April 8, 2019

April 8, 2014

Maturity date

5.20%1808 yearsFR0010765859

FR0010745976

FR0010745984

Code ISIN

6.25%30010 years

4.875%

Coupon RateSpread Duration

2255 years


July 2009

163485

302

127911

34468525

0 6

3,071(2)

1,413

1,142

1,479

2009 2010 2011 2012 2013 2014 >2014

FINANCIAL DEBT AND CASH POSITIONAT END OF JULY 2009

GROSS DEBT MATURITY PROFILE(1)

(1) Gross debt excluding discounted interests(2) €500m 15-year bonds settled on July 22nd, 2009

GDF SUEZ

External Debt

Undrawncredit lines

CASH POSITION

3,230

1,224

Cash at the end of June

500 (2)


FINANCIAL DEBT AT 06/30/09

NET FINANCIAL DEBT BREAKDOWNBY CURRENCY

GBP

OTHER

EURO

USD

57%

18%7%

19%

GROSS DEBT BREAKDOWN BY TYPE

BONDS

LEASING

OTHER

BANKS

GDF SUEZ

At end December 2008

GDF SUEZ

LEASING

OTHER

BANKS

BONDS

34%

9%

6%

12% 39% 21%

8%

35%

32%

5%

At end June 2009

51% 55% 69%

49% 45% 31%

H1 2008 FY 2008 H1 2009

Fixed

Floating

NET FINANCIAL DEBT BREAKDOWNBY RATE TYPE

Assets & liabilities overview

APPENDICES


ASSETS & LIABILITIES OVERVIEW AT 06/30/09

PROVISIONS(1): €1,728M

LANDFILLS

OTHER PROVISIONSRENEWALS(2)

PENSION LIABILITIES

(1) Including €356m of renewals (accounted for in suppliers' debt)(2) These provisions represent the gap between the expenses and the commitments on a linear basis of our concession contracts

356

408

511

453


ASSETS & LIABILITIES OVERVIEW AT 06/30/09

MINORITIES: €697M

OTHER

MINORITY INTERESTS IN AND WITHIN AGBAR

174

523

FINANCIALRECEIVABLE

Including €298mon concessions

(IFRIC12)

NON-CONSOLIDATED FINANCIAL ASSETS

� Gas Natural(1)

� ACEA(1)

� Eyath(1)

� Aguas de Valencia

� Chongqing Water Group

� …

549

233

723

(1) Marked-to-Market

FINANCIAL ASSET: €1,505M

ASSOCIATES

Documents

VA globale 9194 RS09 SUEZ ENV 25-08-09 modif€¦ · -Spain : Torremolinos Malaga (25y, 60 000 inhab.), Olot-Girona (20y, 32 000 inhab.), Villanueva de la Serena-Badajoz (25y, 25