Avenir Telecom — Investor Presentation 2014

May 14, 2014

Full-year 2013-2014 turnover14 May 2014

Overview and highlights

Consolidated Full-year 2013-2014 turnover

Strategy of the Group

Appendices

A key player in the telecom business in Europe

Highlights

• ● Development of the new range of alternative mobile products with exclusivity in Europe, in the Middle East and in Africa with US manufacturer YEZZ
• ●Well-positioned range with excellent technical characteristics that meet market expectations
• ● Reinforcement of the positioning of Beewi in the buoyant and innovative market of connected devices
• ●Launching of a highly-innovative new range of connected devices, winner of the "best innovative product CES 2014" ¹
• ●Advanced commercial contacts with many partners
• ● Take-off of the Energizer range with a premium range (Ultimate 3 Amperes) and a range of protected chargers
• ● Deployment worldwide of the range of electronic cigarettes L@clope and its L@rôme refills made in France
• ●Premium positioning and complete solution (displays, shops in shops, franchises in specialist shops)
• ● Development of new countries: Asia (Singapore, Vietnam, Philippines, Thailand), Turkey, strengthening in Russia and installation in LATAM (Peru, Mexico, Chile, Brazil, Panama, Argentina)
• 1. CES: Consumer Electronics Show, January 2014, Las Vegas

Overview and highlights

Consolidated Full-year 2013-2014 turnover

Strategy of the Group

Appendices

Consolidated Full-year 2013-2014 turnover

l l l i d d i i C € t t o n s o a e r n o e r - m o n s u v	l l F u y e a r 2 0 3- 2 0 1 1 4	l l F u y e a r 2 0 2- 2 0 3 1 1	h % C a n g e	h C % a n g e l. b l i e c m o e x l s a e s	h C % a n g e l. b i l e x c m o e h d t a n s e l d s a e s a n l i E t n s e
d b i i i i D t t t r e c s r u o n	1 7 0. 6	1 9 6. 1	% -1 3. 0	% -1 3. 0	% 8. 8 -
d d b I i i i i t t t n r e c s r u o n	1 1 4. 4	2 1 6. 6	% -4 7. 2	% 2 2. 3 -	% 2 2. 3 -
l T t t o a u r n o v e r	2 8 5. 0	4 1 2. 7	3 0. 9 % -	1 6. 8 % -	1 4. 5 % -

• • Change in the product mix with accessories, connected devices and electronic cigarettes that represent more than one-third of the gross margin in indirect distribution
• • Encouraging start with the new ranges of YEZZ telephones in the buoyant market segment of smartphones
• •54% of turnover outside of France (presence of the Group in 40 countries)

Consolidated Full-year 2013-2014 turnover

l d d l l C i € i i t t o n s o a e u r n o v e r - m o n s	l l 2 0 3- F 1 u y e a r 2 0 1 4	l l 2 0 2- F 1 u y e a r 2 0 1 3	h C % a n g e	h C % a n g e l. e x c b l i m o e h d t a n s e s
1 d P t r o u c s	1 4 1 7.	2 2. 9 5	-4 1. 8 %	-1 9. % 7
2 S i e r e s v c	3 9 1 7.	9. 8 1 5	3. % -1 7	3. % -1 7
l T t t o a u r n o v e r	2 8 5. 0	4 1 2. 7	% 3 0. 9 -	% 1 6. 8 -

Products

• • Sharp drop in the sales of low-profit mobile handsets
• • Good performance with Energizer and electronic cigarettes
• • Renewal of the Beewi range of accessories and connected devices

Services

• • Low activity of the operator in terms of subscription renewal in Spain

• • Refocusing the store base in France and Spain

• 1. Products and equipment: mobile handsets, multimedia and mobile accessories, connected devices, electronic cigarettes and refills
• 1. Services for operators: prepaid and postpaid subscription sales, whether or not subsidised by the operators, insurance and related services

Success in bank renegotiation

• ●New amortisation methods for the current loans
• ● Deferred repayment of middle-term loans until January 2016
• ●Prorogation of short-term loans to January 2016
• ●Lifting of the bank covenants for a period of 24 months

Overview and highlights

Consolidated Full-year 2013-2014 turnover

Strategy of the Group

Appendices

Strategy of the Group

●Strengthening of the portfolio of YEZZ mobile phones:

• ●Launching in June of the first Windows Phone in Europe
• ● Ongoing development of ranges of accessories and connected devices
• ● Launching of the range of comfort connected solutions for the home (connected LED bulbs, weather stations, on/off electrical outlets, etc.)
• ● Management of operator services in a dedicated network
• ●Deployment of outsourced shelf space and shop management offerings

Overview and highlights

Consolidated Full-year 2013-2014 turnover

Strategy of the Group

Appendices

Information for investors

Full-year 2013-2014 turnover 121.Press releases will usually be distributed after the close of the market

Glossary

Indirect distribution: concerns professional distribution to customers in mass distribution (food superstores, specialist superstores), independent specialist resellers, affiliates and telecom operators

Direct distribution: concerns distribution to the general public through the Group's own store networks and through Internet sites

Notice

This document contains forward-looking statements. Although the Avenir Telecom Group believes its expectations are based on reasonable assumptions, these statements are subject to numerous risks anduncertainties. Important factors that could cause actual results to differ materially from the results anticipated in the forward-looking statements include, among other things: the effect of competition; technological developments; the success of the investments of the Avenir Telecom Group in France andabroad; the effects of the economic situation.

^A description of the risks borne by the Avenir Telecom Group appears in the section entitled "Facteurs de risque" of the "Document de Référence" of the Avenir Telecom Group filed with the French financial markets authority (AMF) on ¹⁵ July 2013. The forward-looking statements contained in this document apply only from the date of this document, and the Avenir Telecom Group does not undertake to update any of these statements to take account of events or circumstances arising after the date of the saiddocument or to take account of the occurrence of unexpected events.