Legrand

Combined Ordinary and Extraordinary Meeting of Shareholders, May 27, 2020 - Seite 2

As a gesture of solidarity of the Group’s management team and directors, Legrand has also announced reduction in the compensation for the Chief Executive Officer and the whole management team, along with a freeze on the Board’s compensation with respect to 2020.

Benoît Coquart moreover said that the Group’s performance showed good resistance in the first quarter of 2020, while also stating that:

• the current health crisis triggered a sharp deterioration in the world economic outlook;
• the organic decline in sales recorded in the first quarter of 2020 was confirmed in April, when revenue fell 41% in the month alone.

On this basis, Legrand anticipates a marked decline in sales in the second quarter of 2020. Compared to the second quarter of 2020, and subject to a favorable trend in the global health situation, the second half of the year should see a sequential improvement.

III. Solid 2019 integrated performance, fully in line with the targets for the year and supported by a sustainable and profitable value-creation model

Chief Financial Officer Franck Lemery then presented (i) the Group’s integrated (financial and CSR¹) performance in 2019, which was fully in line with the targets for the year, (ii) value creation between 2014 and 2019, (iii) the Group’s demanding, long-term approach to CSR¹ and its achievements in 2019 and (iv) the main aspects of Legrand’s shareholder relations approach.

Benoît Coquart also presented Legrand’s model for creating value in a sustainable and profitable way, driven by (i) long-term megatrends, (ii) an extensive product range that accompanies users in all types of buildings in accordance with the Group’s purpose, (iii) the Group’s two growth drivers (organic growth and acquisitions), which are strengthening its solid leadership positions and (iv) numerous initiatives to improve performance while maintaining a commitment to corporate responsibility that contributes to the UN’s Sustainable Development Goals (SDGs).

Backed by careful management, this model creates value that is shared fairly between all stakeholders over time.

IV. Appointment of Angeles Garcia-Poveda as Chairwoman of the Board of Directors from July 1, 2020, governance and compensation

Gilles Schnepp introduced changes to the Group’s governance and in particular reminded shareholders about the decision taken by the Board of Directors, based on his proposal, to appoint Angeles Garcia-Poveda as Chairwoman of the Board of Directors from July 1, 2020². Gilles Schnepp then commented on the evolution in the composition of the Board of Directors.