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1

SIPH

2012 YEARLY RESULTS

2

PRESENTATION

HIGHLIGHTS AND YEARLY RESULTS

STRATEGY AND OUTLOOK BY COUNTRY

MARKET DATA AND FINANCIAL CALENDAR

3

PRESENTATION

Plantation, harvesting, milling and commercialization of natural rubber for industrial use: 151,000 tons in 2012 Present in 4 countries: Ivory Coast, Ghana, Nigeria and Liberia 54,000 hectares of rubber tree plantations including 38,700 hectares of mature plantations 13,000 employees

Leading producer of natural rubber in Africa

4

PRESENTATION

Strong positioning in Africa

Ivory Coast: constant increase in external purchasing

from independent producers Own production: 35,000 tons – External purchasing: 73,000 tons No. 1 purchaser from independent producers, with a 30 to 40% market share in

Ivory Coast

Country with excellent potential and dynamic independent producers backed by SAPH and the Ivorian government: Ivory Coast is Africa’s top rubber producer

Social investment that began in 2012 and will continue in 2013

Adaptation of processes to produce specific grades despite the inconsistent quality of

rubber purchased Increase in the processing capacities of existing factories

5

PRESENTATION


Ghana: potential output of 40,000 tons by 2020 and potential for further expansion

Own production: 11,000 tons – External purchasing: 8,000 tons

Active policy to renew aging plantations:

Acquisition of 4,000 hectares in 2012/2013. Objective to replant or expand crops by 1,200 hectares per year over the next 5 years

History of actively promoting local rubber production:

ROU project: Phase IV of the project will reach completion in 2013, with more than 22,000 hectares planted by more than 5,500 independent producers and successfully laying the solid foundations needed to proceed to Phase V Self-Financed project: 2,000 hectares planted

Gradual adaptation of milling capacities in 2012 and 2013

6

PRESENTATION


Nigeria: in search of new lands Own production: 18,000 tons The planting of the new plots obtained 4 years ago will be completed this year resulting in a total of 13,000 hectares of planted land at the end of 2013 No external purchasing from independent producers

Liberia: potential for long-term development

5 ,023 hectares planted, including 4,084 hectares of old plantations and 939 hectares of young, immature plantations Training of teams in a persistently difficult environment Border complications in 2012 delayed the commissioning of the factory which has now been up and running since the start of 2013 An ambitious, lengthy and gradual extension program (concession of 35,000 hectares) which is nonetheless justified given its strong potential in the long term

7

PRESENTATION

Rubber trees produce latex: the raw material used in rubber Life span: 40 years Immature phase: 7 years Seasonal trend in production cycle: 40% in the first half 60% in the second half (winter lay up) At the end of their useful lives, rubber trees are cut down and replanted

Specific properties of rubber trees

8

PRESENTATION




Clear, strategic industrial challenges

HIGHLIGHTS

Acquire new land: current challenge Search for new land to extend existing plots (Ghana, Nigeria, Ivory Coast)

Development and enhanced use of existing concessions (Liberia)

Need to continue replanting to cement and strengthen our leading position

Define and implement a successful industrial strategy Increase processing capacities in Ghana and Ivory Coast

Adapt processes to improve characteristics of finished products to resolve inconsistent quality of raw rubber sourced from independent producers

Step up social agenda Infrastructures, renovations and housing

Ongoing policy to renew and expand: +3% increase in land in 3 years

Out of 54,000 hectares of rubber tree plantations, over 60% are less than 15 years’ old

HIGHLIGHTS

2012 2011 2010

UNDER PLANTATION 1,987 1,144 1,550

IMMATURE 13,030 12,516 11,547

MATURE < 15 years’ production 17,404 15,758 15,910

MATURE > 15 years’ production 21,209 23,054 23,112

TOTAL 53,630 52,472 52,119

% crops that have been in

production for less than 15 years 60% 56% 56%

Global natural rubber market

HIGHLIGHTS

Hampered by the current economic climate, growth in the global consumption of rubber slowed in 2012 (+0.2% to 10.6 million tons) after a steady increase of +3.6% per year over the last 10 years

Global supply slightly exceeded demand in 2012 (10.9 million tons)

Despite a more difficult market backdrop, SIPH nonetheless continued to

sell at satisfactory prices, with demand in Asia compensating for the slowdown in Europe

12

Low volatility in the first half of 2012 (3.49 US$/kg) before

the downturn from Q3 (2.75 US$). The average price in 2012 is down -24% on the average price in 2011

Price of rubber over the last 3 years

SICOM 20 (Singapore Commodities Exchange)

0,0

0,3

0,6

0,9

1,2

1,5

1,8

2,1

2,4

2,7

3,0

3,3

3,6

3,9

4,2

4,5

4,8

5,1

5,4

5,7

6,0

6,3

€/kg US $/kg

2.99 US$/kg

2.26 €/kg

2.92 US$/kg

2.04 €/kg

Average price in 2012:

2.45 €/kg


2.55 €/kg


3.24 €/kg

HIGHLIGHTS

Natural rubber

Synthetic rubber

14.5 Mt

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In millions of tons and as a % Source: LMC Rubber survey Q4 2012

10.6 Mt

42%

Breakdown in global consumption

36%

31%

11% 10%

14%

Significant weight of emerging countries, particularly China and India. Slowdown in Europe despite a buoyant market

Breakdown in global consumption of natural/synthetic rubber

Breakdown in global consumption of natural rubber

China

Other Asia

Europe

Rest of World

North America

Consumption in China has risen from 25 to 36% in less than 10 years

HIGHLIGHTS

Summary of the highlights of the year

Robust growth in activity

Strong level of production with 151,000 tons

Acquisition of an additional 40% of CRC for US$9m

Higher investment levels in 2012 linked to the acquisition of new land, the intensification of planting and the adaptation of factories and social infrastructures (housing): €42m vs. €23m in 2011

Poorer market climate

Lower prices and a more morose market after the historic levels seen in 2011

New 5% tax on revenues in Ivory Coast: impact of €12.8m on production costs in 2012

HIGHLIGHTS

67.6 64.5 65.8 68

64.7 63.573.3 83

0

25

50

75

100

125

150

2009 2010 2011 2012

15

In thousands of tons

132. 3

128.0

External purchasing

Own production

A new record in production (+8.8%) linked to dynamic activity of independent producers

(55% of total production)

139.1

151.0

+13.2%

+3.9%

2012 YEARLY RESULTS

0,0

0,3

0,6

0,9

1,2

1,5

1,8

2,1

2,4

2,7

3,0

3,3

3,6

3,9

4,2

4,5

4,8

5,1

5,4

5,7

6,0

6,3

Prix vente trimestriel SIPh €/kg moyenne mobile 90jours €/kg

16

Time lag of approximately 3 months between trend and the point at which prices are set

SICOM 20 (Singapour Commodities Exchange)

U$/kg

€/kg

Moving average over 90 days (€/kg)

SIPH quarterly sales price (€/kg)

SIPH manages its volatility risk by selling its production in tandem with harvesting and purchases (square position)

2012 YEARLY RESULTS

17

Rubber revenues: €358.5 million

(in € millions)

295.4

403.0358.5

2010 2011 2012

Rubber revenues

Other revenues

318.0

422.3

2012 YEARLY RESULTS

419.4

Drop of 11.2%: volume effect (+8.64%) which partially compensates for the price effect

Average sales price of 2.45€/kg (down 18.1% on 2011)

Strong growth in other activities with lower margins

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Rubber inventories: correction of accounting errors

2012 YEARLY RESULTS

Stricter application of IAS 41 & IAS 2 - Inventories of raw materials from plantations are now valued at their fair

value for the month of production (rather than at their fair value on the closing date as was previously the case). This is because the volatility of the market over the year means the closing price is an increasingly irrelevant yardstick

- Inventories of raw materials that are purchased are now valued at their cost price (rather than at their fair value on the closing date as was previously the case)

- Previously, the fair value of raw materials equated to the floor price paid to local producers in their respective countries: as competition increases, the gap between the floor price and the real cost price (premium) has widened

- Inventories of finished products are valued at their production cost (cost of

raw material + cost of transformation).

The application of these standards has no impact on cash flow

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Impact of the new valuation methods for rubber inventories: correction of accounting errors

+€15.5m in equity in 2011 (profit + opening)

2012 YEARLY RESULTS

+ Correction of inventories in 2011 8, 125

+ Correction of inventories (opening 2011) 7,366

Restatement of equity after correction 15, 491

Restatement of equity in 2011

Net consolidated profit (published) 89,324

+ Correction of inventories 11,138

- Tax on correction of inventories 3,013 -

Correction of net profit for 2011 8,125

2011 profit after correction 97,449

2011 PROFIT

RUBBER INVENTORIES at 31/12/2012 after correction

Tons UP €/kg € thousands

2011 (after correction) 39, 802 2,005 79,786

2012 47,889 1,592 76,223

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In € thousands 2012 2011 restated*

TOTAL IAS41 Before IAS41 TOTAL IAS41 Before IAS41

Rubber revenues 358,534 358,534 403,016 403,016

Total revenues 419,353 419,353 422,340 422,340

Cost of goods produced -294,316 -294,316 -252,572 252,572

Inventories -3,563 -3,501 -62 10,573 -10,032 20,606

Cost of goods sold -297,879 -3,501 -294,378 -241,999 -10,032 -231,966

Margin on direct costs 121,474 -3,501 124,975 180,342 -10,032 190,374

Application of IAS 41 to plantations -10,451 -10,451 -9,735 -9,735

Current operating profit 67,684 -13,952 81,637 131,766 -19,767 151,533

Operating profit 63,637 -13,952 77,589 132,047 -19,767 151,814

Cost of net debt -2,664 -2,664 1,157 1,157

Income tax expense -24,990 1,247 -26,237 -35,756 4,839 -40,595

NET PROFIT 35,983 97,449

GROUP NET PROFIT 20,308 64,593

Simplified consolidated profit & loss statement

2012 YEARLY RESULTS

*After correction of the valuation of inventories (IAS 41) – no impact on cash flow

No major discrepancy between the two financial years following the application of IAS 41 to plantations

The difference is linked to the increase in net agricultural investment

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Simplified consolidated profit & loss statement by activity

2012 YEARLY RESULTS

2011 accounts restated to correct an error in the valuation of inventories (IAS 41) – no impact on cash flow

In € thousands

2012 2011

Total Rubber Other sales Total Rubber Other sales Change

(Rubber)

Revenues 419,353 358,534 60,819 422,340 403,016 19,324 -44,482

Cost of goods produced -294,316 -233,022 -61,294 -252,572 -232,998 -19,574

Inventories -3,563 -3,563 10,573 10,573

Cost of goods sold -297,879 -236,585 -61,294 -241,999 -222,425 -19,574 -14,160

Margin on direct costs 121,474 121,949 -475 180,341 180,591 -250 -58,642

Overheads -33,293 -33,293 -30,460 -30,460 -3,121

Depreciation and amortization -8,030 -8,030 -7,742 -7,742

Plantations: investments and JV -12,467 -12,467 -10,374 -10,374 -2,093

Current operating profit 67,684 68,159 -475 131,765 132,016 -250 -61,763

Capital gains/losses, Other income &

expenses -4,048 281 -4,329

Operating profit 63,637 132,047 -66,092

Cost of net debt -2,664 1,157 -3,821

Income tax expense -24,990 -35,756 10,766

NET PROFIT 35,983 97,449 -61,466

GROUP NET PROFIT 20,308 64,593

Liberia: project penalized by the country’s current economic backdrop

€4.2m depreciation in the goodwill of CRC

The acquisition of the additional 40% of CRC was carried out in order to allow for the development program planned by SIPH (extension of 35,000 hectares) The incidents in the east of Ivory Coast resulted in the closure of the border in 2012 (which has since been reopened), penalizing the CRC project and delaying the commissioning of the factory until the start of 2013 The development program was reviewed and updated to factor in these circumstances which in turn led to a €4.2m depreciation in the goodwill of CRC

2012 YEARLY RESULTS

2012 YEARLY RESULTS

Persistently strong cash flow (before tax) of €93m

WCR is positive: €8.7m vs. €-9.2m

Additional resource in the form of a €15.1m intragroup repayment (unbundling of clearing operations during the Ivory Coast crisis in 2011), booked to “Other cash flow linked to financing activities” Operating cash flow: €63.2m, largely sufficient to meet investment needs Free cash flow of €41.1m with a very active dividend payout policy in 2012: €70m paid to shareholders (€40.5m to group shareholders and €29.9m to minority interests) Positive net cash position of €2.3m

Cash

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Cash flow statement In € million 31/12/2012 31/12/2011 31/12/2010

Cash flow 93.1 165.3 115.6

Taxes -38.5 -36.0 -9.0

Change in WCR 8.7 -9.2 -62.6

Total Cash Flow from Operating activities 63.2 120.0 44.0

Investments -41.9 -22.9 -18.6

Financial fixed assets -0.3 -0.5 -0.2

Change in scope, net of cash -6.9 - -4.4

Total Cash Flow from Investing activities -49.2 -23.3 -23.0

SIPH dividends -40.5 -27.8 -15.2

Minority dividends -29.9 -26.1 -8.7

Net LT debt -4.0 22.2 -2.4

Other cash flow linked to financing activities 23.9 -6.9 3.0

Total Cash Flow from Financing activities -51.4 -39.5 -23.8

Exchange rate effect -0.1 0.5 0.4

Net change in cash position -37.5 57.8 -2.4

Opening cash position 78.6 20.9 23.3

Closing cash position 41.1 78.6 20.8

2012 YEARLY RESULTS

Double the amount of investment in 2012 and an extremely active dividend policy Persistently positive and comfortable operating cash flow of €63m Positive change in WCR (€8.7m vs. €-9.2m) and a €15.1m intra-group repayment restated under “Other cash flow linked to financing activities”

25

Increase in investment to adapt tools and resources to the growth in production and external purchasing

2012 YEARLY RESULTS

Investment of €42m in 2012

Ivory Coast (€18m): refurbishment of factories, renewal of plantations (45%) and social investments (37%)

Ghana (€11m): acquisition of new land and planting, increase in factory capacities and infrastructures

Nigeria (€8m): extension of plantations, adaptation of processes, social infrastructures

Liberia (€5m): rehabilitation of plantations, reconstruction of infrastructures

An investment strategy that will continue in 2013 (€60m)

26

Simplified balance sheet

2012 YEARLY RESULTS

Impact of €15.4m on equity in 2011 after correction of accounting error linked to the valuation of inventories according to IAS 41 (no impact on cash flow) Net positive cash flow in 2012

In € million 31/12/2012 31/12/2011 31/12/2012 31/12/2011

Non-current assets 248.3 229.6 Shareholders’ equity 297.4 335.3

o/w Goodwill 17.5 21.3 LT financial debt 25.3 30.4

o/w Bio. assets 150.4 149.8 ST financial debt 18.6 5.1

Current assets 181.1 240.8 Non-current liabilities 36.1 42.4

o/w Inventories 85.8 91.1 Current liabilities 51.5 57.3

o/w Cash and 46.2 79.2 cash equivalents

ASSETS 429.5 470.4 LIABILITIES 429.5 470.4

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Review of financial year 2012

Strong performance despite an unfavorable economic backdrop – Positive bottom line and cash flow of €63.2m

Robust financials that give SIPH the structural backing needed to pursue its investments

Leading position on a structurally buoyant market

Proposed dividend of €20.2m (€4.00/share)

Events after the close of FY 2012 - 2013 Finance Act: VAT on the acquisition of goods and services for companies that generate more than 30% of their sales by export which SIPH will have to pay and then recuperate from the Ivorian government (mobilization of WCR of €10m)

2012 YEARLY RESULTS

28

PRESENTATION



BOURSE ET CALENDRIER

• Chairman of the Board of Directors: Pierre Billon In replacement of Jean Louis Billon who accepted the appointment of Minister of

Commerce, Craft and SME Promotion for Ivory Coast.

• Chief Executive Officer: Bertrand Vignes

• Corporate Secretary: Frédérique Varennes

• Olivier de Saint Seine has resigned from his role as Co-Chief Executive Officer

Governance at SIPH: change & continuity

GOVERNANCE

A solid group backed by longstanding and specialist shareholders

SIFCA : 55 % Leading operator in the agro-industry in West Africa Michelin : 20%

Long-term industrial partner Historic backing in the form of a technical assistance

partnership which is evolving

STRATEGY

Technical Assistance Partnership

Upcoming amendment to the Technical Assistance contract with Michelin

From the transfer of know-how and expertise (phase 1: 2007-2011) …

SIPH benefits from the extensive know-how and expertise of the Michelin Group thanks to a technical assistance partnership that extends to:

The supervision of the operational management of SIPH plantations (SIPH subsidiaries)

Agronomic and industrial technical assistance

Research & Innovation

Financing for external development

…to a lighter framework in 2012 as part of a long-term industrial partnership

Ongoing technical assistance (factory and fields)

Research & Innovation

STRATEGY

Group takeover of the key functions previously entrusted to Michelin

Operational management of subsidiaries

Coordination of technical expertise division

Experts on secondment

Follow-up of tools (consolidation, internal reporting)

Creation and development of certain functions backed by SIFCA resources:

Safety of goods and people, sustainable development…

Legal and tax assistance, support for external developments

Gradual increase in the role of SIFCA in the future development of SIPH

STRATEGY

33

A new global production target: 160,000 tons


In thousands of

tons

64.5 65.8 68

63.5 73.3 83

0255075

100125150

2010 2011 2012 2013

128

External purchasing

Own production

139.1 151.0

A policy of replantation and expansion that continues to bear fruit

An external purchasing policy that varies according to market climate

External purchases estimated at 57% in 2013

160.0


With an estimated budget of €60m, SIPH investments are set to accelerate in 2013, particularly the level of investment set aside to adapt the Group’s industrial resources

Solid financials to enable these investments. Leverage provided by the relatively unused credit facilities available to SIPH (in particular for SAPH and GREL)

Investments in 2013

35

Structural growth drivers are still strong

Sustained demand in emerging countries and in particular in Asia despite the slight downturn in global consumption in 2012

Natural rubber is difficult to replace by synthetic rubber

Inertia in global production (new plantations cannot be rushed – immaturity period of 7 years is unavoidable)


36

Ivory Coast: 1st geographic cornerstone

Increase the global volume of activity and keep our position as the leading buyer in Ivory Coast whilst maintaining our margins

Continue to support the development of independent producers

Investment challenges:

Step up industrial production to accommodate the

increase in volumes

Implement processes to manage the inconsistent quality of rubber as external purchases continue to increase

Clear long-term growth potential in all countries in which SIPH has plantations


37

Ghana : potential of 40,000 tons in 2020

Continue to support village farmers in Ghana

Continue to invest: expansion and replanting program

Adjust milling capacity to cope with the increase in volume

Nigeria : own production of 27,000 tons in 2020

Pursue policy of finding new land

Begin development of independent rubber producers

Liberia : strong potential of 35,000 hectare concession

Long and gradual investment in the new concession in tranches of 500 to 1,000 hectares per year

Ongoing training of teams


Clear long-term growth potential in all countries in which SIPH has plantations

38

Global production of 300,000 tons Over 10 years

Own production estimated at 100,000 tons (vs. 68,000 in 2012) Strong dynamism of independent producers in Ivory Coast and Ghana will increase external purchases to 200,000 tons over 10 years (vs. 73,000 in 2012)


0

50 000

100 000

150 000

200 000

250 000

300 000

350 000

2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023

Total production TONS

Purchases

Own production

300,000 Tons

200,000 Tons

100,000 tons

39

PRESENTATION




40

SIPH share price from 02/01/2012 to 31/03/2013


41

Euronext compartment B

ISIN Code: FR0000036857

5,060,790 shares

Market capitalization: €307.29m on April 22, 2013

Breakdown in capital

SIFCA

Float

55.6 %

20.0 % 24.4 %


Financial Calendar

Q1 revenues May 15, 2013

Half-yearly revenues August 14, 2013

Half-yearly results August 30, 2013

Q3 revenues November 15, 2013

Michelin

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