Annual report 2001 - GL events

34 35
2000
Exceptional year for Générale Location in term of
external growth with the acquisition of companies :
- Team Legend (Hong Kong), specializing in the provision
of audio-visual equipment for shows and exhibitions.
- Fair Line (Brussels), a company whose activity is the
general installation and provision of services for the
Exhibition Center in Brussels.
- SF Protection (Flixecourt), which offers structures of
storage for industrial and commercial companies..
- ISF (Nantes), specialized in the design and distribution
of a range of modular equipment for the exhibition
industry.
- Standard Décoration (Poitiers), service provider for
Futuroscope and also present on the market of fittings
and general installation.
At the same time, an exceptional year with very
important projects : Sydney Olympic Games, Summit for
the European Heads of State during the French
presidency of the European Union, as well as special
events for the passing to the year 2000.
At 31 December 2001, the group Générale Location
realizes sales of 214 m€ and a net group profit of
22.3 m€ (8.0 m€ excluding the capital gain of Paris
expo).
3-3
Générale Location’s markets
3-3-1
Shows and exhibitions (59 % of the activity in 2001, 57 % in 2000)
The market of shows and exhibitions, always in constant
progression, is the one where Générale Location is
historically rooted. This activity provides both recurrence,
volume and permanence and the use of its assets.
Estimated in France at more than 2 billion Euros, this
business sector experiences an annual growth between 3
and 4 %.
The market of shows and exhibitions has normally little to
do with economic growth, since the economic players
maintain worldwide unchanged expense budgets for this
type of communication. Moreover, the fluctuations among
the different sectors of activity (food or textile industries,
to list a few), are greatly compensated by the fact that
Générale Location is present on a large number of shows.
Shows can be divided into two types, the first one for
products dedicated to the general public and the other for
trade. Regarding the first category, there is little chance of
them being moved geographically to another place
whereas trade shows can possibly be moved to a foreign
destination. One should mention also the emerging
competition of retail outlets which organize events in
direct competition with trade shows open to general
public. In addition road shows around a single brand
dedicated to the general public or to professionals (more
specifically in the bank and computer sectors, etc…).
Générale Location being present on these different markets
mentioned above is on the whole little affected by these
transfers.
3-3-2 Events (28 % of the activity in 2001, 33 % in 2000)
The events market is international. It is characterized by
the importance and the multiplication of events,
whether they be sports, economic, political or again
corporate (conventions, shows for clients, hospitality
villages,…).
The exceptional growth of this market is sustained by
strong structural dynamism linked to the growing
importance of the image in day to day life and the need
in the world of event for television channels, multimedia
aids as well as the globalization of the markets to incite
major economic players to communicate more and more
(especially via events). By placing part of its development
in this market, Générale Location finds an additional
contribution to its growth which is particularly
profitable.
3-3-3 Fittings and museum fittings
Générale Location has used its know-how to develop an
activity in a related market with great potential in image
enhancement, that of fittings and museum fittings
which represents 13% of its net sales in 2001. Creations
can involve the complete fittings of museums (Museum
of the Invalides), or head offices or hospitality areas
(American Airline at Roissy Charles de Gaulle Airport).