Carrefour - 2017 Registration Document

MANAGEMENT’S DISCUSSION AND ANALYSIS AS OF DECEMBER 31, 2017 Outlook for 2018 2017 REGISTRATION DOCUMENT | CARREFOUR 4. 180 Outlook for 2018 4.3 The Group is fully mobilised to execute the “Carrefour 2022” plan presented on January 23, 2018. With this plan, the Group has launched a profound transformation, with 2022 targets that will be reached through actions in all geographies. In order to invest in growth and rapidly improve its price competitiveness, short-term measures have been launched, notably to reach the target of 2 billion euros in cost cuts by 2020 on a full-year basis. 2018 constitutes the first year of the plan and is a pivotal year in the Group’s transformation. More specifically, the plan’s implementation will be materialised by advances in 2018 in each of the plan’s pillars, notably by: Deploying a simplified and open organisation: Faster decision-making process; ● Implementation of the previously-announced departure plans at ● headquarters. Achieving productivity and competitiveness gains: Target of shedding 273 ex-Dia stores from our scope; ● A first wave of cost savings within the framework of the plan to ● achieve savings of 2 billion euros by 2020 on a full-year basis and investments in commercial competitiveness; Capex of 2 billion euros. ● Creating an omni-channel universe of reference: Acceleration in the Cash and Carry format, notably with: ● the opening of 20 new Atacadão stores in Brazil, ● the conversion of 16 hypermarkets to the Maxi format in Argentina; Launch of the single e-commerce platform, Carrefour.fr; ● Extended food e-commerce offering in France with 15 new ● cities offering home delivery (D+1) and 10 new cities offering one-hour delivery; Opening of 170 new Drives in France; ● Implementation of partnerships aiming in particular at ● accelerating the Group’s digitalisation, along the lines of the partnership with Showroomprivé. Overhauling the offering to promote food quality: Launch of actions to revamp and develop our offering in fresh ● and organic products and our own brands: launch of an Agri-ecology plan in several fresh product ● categories and of the “Organic development” contract and the doubling of the number of employees trained in fresh products with the WWF ® aiming at supporting the upstream segment of the agri-business chain, broadening of our organic product ranges in stores, ● deployment of “blockchain” technology in all Carrefour ● Quality Lines to improve the traceability of our offer.