EUR 1000.00 For Business Accounts Only

Iliad - AGM 21 July 2020

ITEM 4: With regard to the agreement relating to FreeMobile, we congratulate the company for the communication efforts made since the company now mentions the value of the Free Mobile shares, but also the names of the experts responsible for its valuation. However, in order to accurately verify the valuation provided, shareholders should have access to additional information in addition to that disclosed. Indeed, the financial communication is incomplete since the company does not disclose operating income by business segment (fixed-line vs. mobile). In addition, it does not communicate the reports of the Accuracy and Ledouble experts either. As it stands, the shareholder cannot verify whether the valuation of Free Mobile is fair.

 

ITEM 5: It is proposed to approve the implementation of a facilitation agreement with HoldCo, the largest shareholder. Although the level of detail provided by the company is very high and therefore very appreciable, the fact remains that this agreement is concluded for an indefinite period, which is not in line with our voting policy. In addition, the agreement mentions possible additional billings for specific services, but no additional information is provided, which does not allow the shareholder to control the issues in question and their future cost.

 

ITEMS 13 to 19: Proxinvest, the French Partner of ECGS, has held discussions with the company in particular on the subject of performance share allocations, part of which is not based on a performance measurement of at least 3 years. The company told us that its desire to set up share plans with tranches based on short and long-term performance measurement periods is in line with investors' desire to align executive compensation with the company's long-term strategy (hence the tranche with a 3.5-year measurement period), but at the same time to set up milestones that make it possible to monitor short and medium-term performance (hence the other tranches). In the specific case of Iliad, which does not assign an annual variable, this explanation is understood and acceptable to an executive. We therefore support resolutions 14 to 18. On the other hand, allocating compensation linked to the Group's operating performance to a non-executive Chairman who has no operational responsibility is not acceptable and we do not support resolution 13. Moreover, the Chairman's remuneration policy for 2020 does not expressly exclude the allocation of performance shares. We therefore do not support it (resolution 19).