SHAREHOLDERS' LETTER 46: BIC GROUP'S SHAREHOLDERS' LETTER OF JUNE 2019
On May 22nd 2019, I held our first AGM as BIC’s Chief Executive Officer and presented our 2018 Results, as well as the progress we’ve made on our “BIC 2022 - Invent the Future” plan.
As I mentioned back in February, 2019 is a important year as we begin our journey to transform BIC into a more agile, integrated, and innovative organization.
Through market expansion, exciting developments in e-commerce, initiatives to drive market leadership in Lighter safety, and our commitment to education and Diversity & Inclusion, we are making progress on our journey.
Together with our teams around the world, and with the support of BIC’s Board of Directors and its Chairman, Pierre Vareille, I am confident that we have the foundations to turn today’s challenges into tomorrow’s opportunities.
Gonzalve Bich, Chief Executive Officer
FIRST QUARTER 2019 RESULTS
Maintaining or growing share in soft markets
BIC-2022 Invent the future plan on track
Sales on a comparative basis declined 2.0%
Normalized IFO margin at 13.1%, down 3.6 points
Manufacturing costs negatively impacted by lower sales volumes, unfavorable forex and raw material price increase
Targeted Brand Support investments
BIC 2022-Invent the Future progress
New Commercial Organization with two new Centers of Expertise “e-Retail and Digital” and “Commercial Strategy & Analytics”
Net Sales from e-commerce increased 27% versus prior year
Global Strategic Procurement Organization up and running.
“BIC 2022 – INVENT THE FUTURE”
BIC is taking the next step in its “BIC 2022- Invent the Future” transformation plan aimed at improving efficiency to drive long-term profitable growth.
COMPOSITION OF THE BOARD OF DIRECTORS FOLLOWING THE ANNUAL GENERAL MEETING OF MAY 22, 2019
Pierre Vareille, Chairman of the Board (Independent)
Gonzalve Bich, Chief Executive Officer and Director
John Glen, Director, Chairman of the Audit Committee (Independent)
Elizabeth Bastoni, Director, Chairman of the Compensation Committee, Chairman of the Nominations, Governance and CSR Committee (Independent)
Vincent Bedhome, Director representing the employees, Member of the Compensation Committee
François Bich, Director
Marie-Pauline Chandon-Moët, Director
Maëlys Castella, Director, Member of Audit Committee and of Compensation Committee (Independent)
Candace Matthews, Director, Member of the Audit Committee, Member of the Nominations, Governance and CSR Committee (Independent)
Marie-Aimée Bich-Dufour, Director, Member of the Nominations, Governance and CSR Committee
Société MBD, Director, represented by Édouard Bich, Member of the Audit Committee.
FROM A PENCIL TO A BOARD!
A new board made of recycled material with a machine 100% developed in our factory in Samer (France).
Originally, BIC bought the core material of the board from a supplier.. but starting now, leftovers from the BIC® Evolution™pencil will be used, including graphite from the tip, scrap process and old unused pencils. This will enable to save up a substantial amount of raw materials.
Other advantages of this new board : it is more rigid, for the consumer to feel the robustness, and it is also less expensive to produce and environmental-friendly !
INDIA: CELLO PENS INVOLVED IN THE FIELD OF EDUCATION
Cello's School Contact Program - Cello Write to Win is a Unique Learning Initiative in India aimed at positively impacting the lives of students and teachers in the secondary section (Grade 4 & above) to promote a positive attitude towards learning and education.
In its first year, the BIC Cello “Write to Win” program trained more than 60,000 students across 1,500 schools in India. The program focused on developing students’ handwriting skills, in addition to teaching them cognitive techniques that help enhance their learning and memorizing skills for exam preparations.
NEW INITIATIVE FOR THE BIC FOUNDATION
The BIC Corporate Foundation initiated a partnership with the US-based NGO City Year for the support of the "Whole School, Whole Child" program.
The objective of this program is to strengthen the hard and soft skills of children in under-resourced areas who are at risk of dropping out of school. Young adults volunteered to mentor these children throughout the school work day, organizing workshops to further develop their social-emotional skills, amongst many other activities.
BIC INAUGURATES ITS NEW SITES IN KENYA
BIC officially inaugurated its East Africa office and manufacturing facility in Kenya, following the acquisition of the activities of its historical partner Haco Industries ltd end of 2018.
The day's activities included a ribbon cutting-ceremony, an office and factory tour as well as an official event with employees and media. The news was very well received by the media, showing strong interest in BIC’s geographical expansion plans and its sustainability commitments.
HAPPY BIRTHDAY TIPP-EX®
Launched in Germany in 1959 and acquired by BIC in 1997, the iconic Tipp-Ex® brand just turned 60 in 2019 !
Among the activities developed to celebrate this event, please see a video showing the strength of the leading European correction brand!
BIC® NEW PRODUCTS AT THE SAINT ETIENNE DESIGN BIENNALE
For the 2019 edition, some BIC® products (BIC® Kids feltpens rainbow case, BIC® 3+1mp +BIC® 4 cl designed by Sâdane Afif for Galeries Lafayette) were presented at the Dépliages exhibition which celebrates Design as an intermediary between technology and users.
This exhibition was part of the Saint Etienne Design Biennale, an international famous cultural event with more than 300.000 visitors.
Through a selection of products or services, recently marketed or launched by leading companies, Design proves to be a creator of common ground, making visible the invisible and taking the mystery out of technology. Exhibited companies includes Salomon, Focal, Schneider, Michelin, Decathlon...
Great free exposure for BIC® !
Limited company Capital: 173, 933,156.80 euros
Divided into 45, 532, 240 shares of common stock, par value 3.82 euros
LISTED ON: EURONEXT PARIS
ISIN : FR0000120966
Continuous quotation 552.008.443 registered in Nanterre, France