GBL : Results at 31 March 2017

4 May 2017 - After 5:45 p.m. Regulated information Interim statement

• 9% increase in adjusted net assets to EUR 18.5 billion
• Consolidated net result of EUR 233 million, positively impacted by the EUR 112 million capital gain realised on the disposal of the stake in Golden Goose by Sienna Capital
• Decrease in cash earnings to EUR 83 million

Key financial data1

The Board of Directors, held on 4 May 2017, approved GBL's unaudited IFRS consolidated financial statements at 31 March 2017.

GBL's Co-CEOs, Ian Gallienne and Gérard Lamarche, commented on the operations and results for the first quarter of 2017 as follows:

"The first quarter results are traditionally less representative of the entire financial year, with a significant part of dividends from our shareholdings being recognised as of the second quarter. They were impacted by the capital gain realised on the disposal by Ergon Capital Partners III of the stake in Golden Goose (EUR 112 million).

GBL has continued to implement its strategy of portfolio diversification and deconcentration of risks relating to the energy sector by completing the disposal of the ENGIE shares underlying the exchangeable bonds.

Finally, in 2017, GBL continued to develop its Incubator portfolio, notably through two investments. Burberry thus announced, on 28 February 2017, that GBL had crossed the 3% threshold in the voting rights of the company. Furthermore, on 12 April, GBL announced the acquisition of a 15% position in Parques Reunidos, a leading global operator of leisure parks across Europe, North America and Asia, for a value of EUR 208 million."

1 All alternative performance indicators are defined in the glossary at the following address: www.gbl.be/en/glossary

² Variation between March 2016 and March 2017 for the consolidated net result and cash earnings and between December 2016 and March 2017 for adjusted net assets, market capitalisation and net cash

3 At 31 March 2016, Sienna Capital contributed EUR 18.2 million to cash earnings due to a dividend received from ECP II following the disposal of Joris Ide by this fund

1. Change in portfolio, financial position and adjusted net assets
2. Highlights of the first quarter of 2017

   Strategic Investments

   On 7 February 2017, GBL redeemed in cash the balance of the bonds exchangeable into ENGIE shares,

   i.e. an amount of EUR 306 million. During the first quarter of 2017, GBL also sold the balance of ENGIE shares underlying the bonds exchangeable into ENGIE shares (i.e. 11.9 million shares or 0.5% of the capital for EUR 145 million), generating a consolidated gain of EUR 1 million. GBL's residual stake in ENGIE therefore stands at 0.1% of the capital at 31 March 2017 (or 2 million shares).

   On 21 February 2017, GBL announced that it holds 10.6% of voting rights in Pernod Ricard (for a stake in capital of 7.5%). This passive crossing of the 10% threshold is the result of the allocation of double voting rights.

   Incubator Investments

   On 28 February 2017, Burberry Group Plc (« Burberry ») announced that GBL had crossed the threshold of 3% of voting rights in the company. The investment in Burberry is aligned with GBL's portfolio diversification strategy. At 31 March 2017, GBL held 3.0% of the capital of this company, representing a market value of EUR 266 million. Listed on the London Stock Exchange, Burberry has a market capitalisation of around EUR 9 billion at 31 March 2017. Burberry, a luxury British brand, specialises in the design, manufacture and marketing of high-end clothing and accessories. These products are distributed worldwide through its own stores, its website (www.burberry.com) and its network of third party retailers. Burberry employs almost 11,000 people and its turnover for the 2015-2016 financial year stood at around GBP 2.5 billion.

   In March 2017, GBL participated in the capital increase of Ontex that aims to refinance the company following the acquisition of the "hygienic consumables" activity of Hypermarcas. Following this operation, the holding percentage of GBL remains unchanged at 19.98%. Furthermore, the appointment of a GBL representative to the Board of Directors will be proposed to the General Shareholders' Meeting of Ontex of 24 May.

   Sienna Capital

   In February 2017, ECP III signed an agreement in relation to the disposal of its majority stake in Golden Goose, an Italian designer of contemporary footwear, clothing and accessories. This transaction, completed at the beginning of March 2017, generated a net consolidated capital gain on disposal of EUR 112 million (GBL's share).

   In February 2017, Sagard 3 acquired a stake in Ipackchem, one of the global leaders in the manufacturing of "barrier" packaging, whose products are mainly used in the transport and storage of aromas, fragrances and agrochemical products for which permeability, contamination and evaporation constraints are critical.

   In 2016, Kartesia launched a new investment fund (KCO IV) in which Sienna Capital is committed for EUR 150 million. The first closing took place on 22 February 2017. At 31 March 2017, the total fund commitment was EUR 457 million, with a final target of EUR 750 million between now and July 2017.

3. Financial position

   Net cash increased from EUR 225 million at 31 December 2016 to EUR 489 million at 31 March 2017, this increase takes into account the proceeds of the disposal of the stake in Golden Goose and the dividends collected over the period.

   Net cash (excluding treasury shares) breaks down as follows:

   In EUR million

   31 March 2017

   31 December 2016

   31 December 2015

   Retail bonds Drawdown under bank credit lines ENGIE exchangeable bonds GBL convertible bonds Others

   Gross debt

   Gross cash (exluding treasury shares)

   Net cash/(Net debt)

   350	350	350
   -	-	200
   -	306	1,000
   450	450	450
   43	43	31
   844	1,150	2,031
   1,333	1,375	1,291
   489	225	(740)

   The weighted average maturity of the gross debt was 1.5 year at the end of March 2017 (1.3 year at the end of 2016 and 1.7 year at the end of 2015).

   At 31 March 2017, confirmed credit lines stood at EUR 2,150 million and will mature in 2021 and 2022. They are entirely undrawn at 31 March 2017 (the undrawn amount amounting to EUR 2,150 million at 31 December 2016 and EUR 1,950 million at 31 December 2015).

   The liquidity profile therefore stands at EUR 3,483 million, EUR 3,525 million and EUR 3,241 million at 31 March 2017, 31 December 2016 and 31 December 2015 respectively.

   This position does not include the company's residual commitments towards Sienna Capital, which totalled EUR 577 million at the end of March 2017 (EUR 601 million at 31 December 2016).

   Finally, at 31 March 2017, the 5,805,150 treasury shares1 represent 3.6% of the issued capital (3.7% at the end of 2016).

   1 Including 5 million treasury shares underlying GBL convertible bonds

4. GBL's adjusted net assets

5. At 31 March 2017, GBL's adjusted net assets totalled EUR 18.5 billion (EUR 114.84 per share) compared with EUR 17.0 billion (EUR 105.31 per share) at the end of 2016, i.e. an increase of 9.1% (EUR 9.53 per share). Relative to the share price of EUR 85.10, the discount was 25.9% at the end of March 2017, up compared with the end of 2016.

   % in

   31 March 2017 31 December

   2016

   31 December

   2015

   capital Sha
   Strategic Investments	15,907	14,615	12,949
   Imerys	53.6	79.57	3,410	3,088	2,761
   LafargeHolcim	9.4	55.50	3,177	2,857	2,674
   adidas	7.5	178.30	2,798	2,356	-
   SGS	16.2	2,137	2,531	2,445	2,067
   Pernod Ricard	7.5	110.90	2,206	2,048	2,093
   Umicore	17.0	53.40	1,017	1,032	-
   Total	0.7	47.42	768	789	2,463
   ENGIE	-	-	-	-2	893
   Incubator Investments	828	730	1,793
   Ontex	19.98	30.10	495	423	181
   Burberry	3.0	17.24	266	230	2
   Other	67	77	-
   adidas	-	-	890
   Umicore	-	-	720
   Sienna Capital	817	955	715
   Portfolio	17,552	16,300	15,457
   Treasury shares	489	467	471
   Exchangeable/convertible bonds	(450)	(757)	(1,450)
   Bank debt and retail bonds	(393)	(393)	(581)
   Cash/quasi-cash/trading	1,333	1,375	1,291

   re price1(EUR million) (EUR million) (EUR million)

   Adjusted net assets (total)	18,530
   Adjusted net assets (EUR p.s.)3	114.84
   Share price (EUR p.s.)	85.10
   Discount	25.9%

   16,992

   105.31

   79.72

   24.3%

   15,188

   94.13

   78.83

   16.3%

   At 28 April 2017, the adjusted net assets per share stood at EUR 115.14, an increase of 0.3% compared to its level at the end of March 2017, reflecting a discount of 23.6% on the share price on that date (EUR 88.01).

   1 Closing share prices in EUR, except for SGS in CHF and Burberry in GBP

   2 The value of the investment in ENGIE (EUR 169 million for a stake of 0.6 % at 31 December 2016) was entirely included under the Cash/quasi-cash/trading item in the calculation of GBL's adjusted net assets. This value did not yet take into account the forward sales (4.5 million or 0.2% of the capital) concluded at 31 December 2016 and maturing in the first quarter of 2017

   3 Based on 161,358,287 shares