Published on March 30, 2008
Bear Stearns Technology Conference: Bear Stearns Technology Conference Presented by Greg Netland CEO, Vedior North America John Nurthen Director of Corporate Affairs, Vedior NV 8 June 2005 Slide2: This presentation includes forward-looking statements that reflect our intentions, beliefs or current expectations and projections about our future results of operations, financial condition, liquidity, performance, prospects, growth, strategies, opportunities and the industry in which we operate. Forward-looking statements include all matters that are not historical fact. We have tried to identify these forward-looking statements by using words including “may”, “will”, “should”, “expect”, “intend”, “estimate”, “project”, “believe”, “plan”, “seek”, “continue”, “appears” and similar expressions or their negative. These forward-looking statements are subject to a number of risks, uncertainties, assumptions and other factors that could cause our actual results of operations, financial condition, liquidity, performance, prospects or opportunities, as well as those of the markets we serve or intend to serve, to differ materially from those expressed in, or suggested by these forward-looking statements. Important factors that could cause those differences include, but are not limited to our financial position and our ability to implement our business strategy and plans and objectives of management for future operations, our ability to develop, balance and expand our business, our ability to implement our long-term growth strategy (including through organic growth and acquisitions), our ability to make improvements to our capital structure, industry and market trends and volumes, including the speed and strength at which the staffing services industry and the sectors in which we operate, rebound from economic slowdowns and recessions, the effects of regulation (including employment and tax regulations), our ability to improve the efficiency of our operations and to reduce expenses in our operating companies and their network of offices, litigation and our ability to take advantage of new technologies. In light of these risks, uncertainties, assumptions and other factors, the forward-looking events described in this presentation might not occur. Additional risks that we may deem immaterial or that are not presently known to us could also cause the forward-looking events discussed in this presentation not to occur. Except as otherwise required by applicable law, we undertake no obligation to update publicly or revise publicly any forward-looking statements, whether as a result of new information, future events, changed circumstances or any other reason after the date of this presentation. Slide3: Recruitment Industry Snapshot Vedior Overview and Strategy Technology Recruitment Presentation Agenda Slide4: Temporary Workers Worldwide Netherlands 3% France 9% UK 16% US 38% Other Europe 3% Rest of World 9% 7.5million people working through recruitment agencies 100 countries still closed to the recruitment industry due to lack of regulation or prohibition Total market value = $188bn Source: ING, March 2004 Germany 3% Australia 4% Japan 8% Italy 2% Canada 2% Belgium 1% Spain 2% Market Segmentation: Market Segmentation Professional/executive recruitment as a percentage of the total recruitment market US 60% 50% 40% 30% 20% 10% 0 Australia UK Japan NL Belgium Germany France World Source: ING, March 2004 Growth Factors: Growth Factors Economic growth GDP and job creation activity Seasonality - holidays and peaks in demand Structural growth Societal acceptance Changing perceptions of work Work/life balance Requirement for more flexible cost structures Growth of the Service sector Legislative growth Increasing deregulation but with appropriate protections for temporary workers Current Growth Drivers by Market: Current Growth Drivers by Market US UK France Japan Australia Netherlands Germany Economic Structural Legislative Source: Vedior estimates, May 2005 J J L K K K J K J J J J K L L K J J K J J Slide8: 2002 2003 Staffing Market Revenue Growth Source: Deutsche Bank +30% +25% +20% +15% +10% +5% 0 -5 -10 -15% 2004 2001 1998 1999 2000 1997 1996 Slide9: Recruitment Industry Snapshot Vedior Overview and Strategy Technology Recruitment Presentation Agenda Profile: One of the World’s largest recruitment companies 2004 sales of €6,467m and operating income of €240m 2,200 offices operating in 37 countries Europe, North America, Australasia, Asia, South America and Africa Diversified portfolio of brands targeting a broad range of staffing services Temporary and permanent recruitment Complementary employment-related services such as outplacement, HR outsourcing, payrolling and training World’s largest provider of professional/ executive recruitment Listed on Euronext, Amsterdam AEX Index of 25 most actively traded stocks Trading Symbol: VDOR Profile Slide11: Geographic Breakdown – Q1 2005 Netherlands 7% France 43% UK 14% US 9% ROE 20% ROW 7% Sales Operating income Netherlands 6% France 30% UK 30% US 13% ROW 10% ROE 11% Slide12: Sector Breakdown – Q1 2005 Engineering 6% Other Sectors 6% Accounting 4% Healthcare 6% IT 10% Traditional 66% Sales Operating income Engineering 11% Healthcare 12% Traditional 39% Education 2% Education 8% IT 16% Other Sectors 9% Accounting 5% Sector/Country Matrix: KEY Yes No Sector/Country Matrix Andorra Argentina Australia Belgium Brazil Canada Chile China Czech Republic Eire Finland France Germany Greece Hungary India Italy Japan Luxembourg Malaysia Mexico Monaco Netherlands New Zealand Poland Portugal Singapore Slovakia South Africa Spain Sri Lanka Sweden Switzerland Turkey UAE UK US Accounting Audio Visual Catering/Hospitality Education Engineering Executive Finance/Banking Healthcare HR Industrial IT Insurance Interim Management Legal Office Admin Outplacement Sales & Marketing Teleservices Travel Leisure Other HR Sector Primary Objectives: Primary Objectives Establish Vedior as THE premium staffing stock Extend leading position in professional/ executive sectors Improve our business mix Mixture of organic and acquisitive growth 2005 target markets US, Asia, Eastern Europe, UK and Germany Take advantage of cyclical shift in business mix to improve gross margin Strategy: Strategy Recruitment as our core business Low risk complementary services which add value Decentralised operating structure Entrepreneurial culture Local equity incentives Relative operational autonomy Flat management structure Multi-branding philosophy Brands that target specific markets and specific industry sectors Focus on profitability Slide16: Conversion Ratio = EBITA/Gross Profit* 2002 2003 Efficiency Advantage *Including impact of one-off and unusual gains or charges 30 25 20 15 10 5 0 -5 2004 2005 2001 Q1 Q1 Q2 Q3 Q4 Q2 Q3 Q1 Q4 Q1 Q1 Q2 Q3 Q4 Q2 Q3 Q4 Slide17: Recruitment Industry Snapshot Vedior Overview and Strategy Technology Recruitment Presentation Agenda Global IT Staffing Capability: Global IT Staffing Capability Argentina Australia Belgium Brazil Canada Finland France Germany India Malaysia Netherlands New Zealand Portugal Singapore Spain Sri Lanka Switzerland UK United Arab Emirates US Slide19: IT Staffing Expertise Information Systems Telecommunications Support Software Engineering Hardware Engineering Technical Writing Web/eCommerce Project Management Any Questions?: Any Questions?