VETOQUINOL Corporate brochure 2010 (year 2009)

REMARKABLE 02 A WORD FROM MANAGEMENT Joint Interview with Étienne Frechin, President & Managing Director and Matthieu Frechin , Deputy Managing Director - Strategy and Development IN A GENERALLY UNSATISFACTORY ENVIRONMENT, ALL OF YOUR PERFORMANCE INDICATORS ARE FLASHING GREEN. HOW DO YOU EXPLAIN THIS? Étienne Frechin • The financial crisis has eroded household purchasing power, and has forced people to restrict their healthcare spending on companion animals. Moreover, the absence of major diseases amongst livestock, due to mild weather conditions, the milk crisis and the fall in the price of pork have not been favourable. Despite these issues, however, our market has held up quite well compared with other industries. In my view, the most important thing is that, unlike our major competitors in the health sector, who have become truly gigantic as a result of mergers, we have the advantage of being a company that is highly flexible and responsive. To maintain our growth and above all preserve our margins, we have been very careful in our expenditure, have co-ordinated our purchasing and have continued to optimise our production facilities and the effectiveness of our marketing. These efforts have borne fruit and have enabled us to show strong external growth in our international markets. CAN YOU ELABORATE ON YOUR GROWTH STRATEGY? Matthieu Frechin • One positive development in this crisis year was that we confirmed our strategy and continued to expand and invest, as shown by our acquisition of the Wockhardt Animal Health business in India. 7.6% growth of activity; operational profitability of 11.5%; operational cash flow of € 40 millions. These results may seem surprising, given the current economic environment. So how does Vétoquinol remain so resilient? An interview with Étienne and Matthieu Frechin provides the answer.