2011 2013 INTERIM FINANCIAL REPORT

Translation disclaimer: This is a free translation into English of the original French language version of the interim financial report (rapport semestriel) provided solely for the convenience of English speaking. This report should consequently be read in conjunction with, and construed in accordance with French law and French generally accepted accounting principles. While all possible care has been taken to ensure that this translation is an accurate representation of the original French document, this English version has not been audited by the company's statutory auditors and in all matters of interpretation of information, views or opinions expressed therein, only the original language version of the document in French is legally binding. As such, the translation may not be relied upon to sustain any legal claim, nor be used as the basis of any legal opinion and GL events expressly disclaims all liability for any inaccuracy herein.

CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS AT 30 JUNE 2013

1 – BALANCE SHEET	2
2 - INCOME STATEMENT	4
3 - CASH FLOW STATEMENT	5
4 - CHANGES IN SHAREHOLDERS' EQUITY	6
5 – NOTES TO THE INTERIM FINANCIAL STATEMENTS
Note 1 Significant accounting policies	7
Note 2 Consolidated companies	8
Note 3 Information by business	11
Note 4 Balance sheet information	13
Note 5 Income statement information	18
Note 6 Off-balance sheet commitments and other contingencies	19
Note 7 Other risks	20
Note 8 Information on related parties transactions	21
MANAGEMENT DISCUSSION AND ANALYSIS	22
RESPONSIBILITY STATEMENT	24

AUDITORS'REPORT ON THE INTERIM FINANCIAL STATEMENTS 25

ASSETS (€ thousands)	Notes	30/06/2013	31/12/2012

Goodwill	4.1	424,030	417,175
Other intangible assets	4.1	54,054	43,603
Property, plant and equipment	4.2	42,939	31,747
Other tangible fixed assets	4.2	40,948	39,479
Rental assets	4.3	112,659	116,608
Investments and other non-current assets	4.4	74,492	74,161
Equity-accounted investments	4.5	152	533
Deferred tax assets		18,900	20,650
NON-CURRENT ASSETS		768,174	743,956
Inventories and work-in-progress		19,339	17,687
Trade receivables	4.6	171,472	167,077
Other receivables	4.7	114,348	108,352
Marketable securities	4.11	157,416	152,922
CURRENT ASSETS		462,575	446,037
TOTAL		1,230,749	1,189,993

SHAREHOLDERS' (€ thousands) EQUITY & LIABILITIES	Notes	30/06/2013	31/12/2012
Share capital	4.8	90,616	90,616
Reserves and additional paid-in capital	4.8	294,746	278,789
Translation adjustments	4.8	(21,146)	(15,326)
Net income for the period	5	16,435	28,246
Shareholders' equity, Group's share		380,651	382,325
Non-controlling interests		33,369	31,850
TOTAL SHAREHOLDER' EQUITY		414,020	414,175
Commitments and contingencies	4.9	7,756	7,835
Deferred tax liabilities		3,866	4,619
Non-current borrowings	4.11	262,822	269,090
NON-CURRENT LIABILITIES		274,444	281,544
Commitments and contingencies	4.10	18,682	18,352
Current borrowings	4.11	113,750	96,262
Short-term bank loans	4.11	23,821	14,907
Advances and down-payments on outstanding orders		12,861	13,348
Trade payables		160,182	145,003
Tax and employee-related liabilities		82,194	80,557
Other liabilities	4.12	130,795	125,845
CURRENT LIABILITIES		542,285	494,275
TOTAL		1,230,749	1,189,993

> INCOME STATEMENT

(€ thousands)	Notes	30/06/2013 6 months	30/06/2012 (*) 6 months
Sales	3	432,246	435,008
Other operating income	5.1	1,297	2,775
Operating income		433,543	437,783
Raw materials and consumables	5.2	(33,367)	(30,608)
External charges	5.2	(230,461)	(238,477)
Taxes and similar payments		(10,538)	(9,231)
Personnel expenses & employee profit sharing		(102,684)	(102,627)
Allowances for depreciation and reserves		(22,208)	(24,215)
Other operating expenses	5.3	(1,456)	(2,004)
Operating expenses		(400,714)	(407,162)
OPERATING PROFIT	3	32,829	30,621
Net interest expense	5.4	(2,945)	(2,124)
Other financial income and expense	5.4	(233)	(2,249)
NET FINANCIAL EXPENSE	5.4	(3,178)	(4,373)
PRE-TAX INCOME		29,651	26,248
Income tax		(9,785)	(8,148)
INCOME OF FULLY-CONSOLIDATED COMPANIES		19,866	18,100
Net income from equity-accounted investments		(23)	298
NET INCOME BEFORE NON-CONTROLLING INTERESTS		19,843	18,398
Non-controlling interests		3,408	969
NET INCOME		16,435	17,429
Average number of shares		22,653,920	17,923,740
Net earnings per share (in euros)		0.73	0.97
NET INCOME BEFORE NON-CONTROLLING INTERESTS		19 843	18 398
Currency translation adjustments		(6 079)	1 978
Impact of fair value measurement of financial documents		1 443	(2 025)
Total items transferable to profit and loss		(4 636)	(47)
Actuarial gains and losses		0	(312)
Total items not transferable to profit and loss		0	(312)
TOTAL COMPREHENSIVE INCOME		15 207	18 039
Total comprehensive income attributable to non-controlling interests		3 149	845
Total comprehensive income attributable to equity holders of the parent		12 058	17 194

(*) As indicated in note 1 "Significant Accounting Policies", amounts have been adjusted and in consequence differ from those presented in the 2012 interim financial report.

> CASH FLOW STATEMENT

(€ thousands)	30/06/2013 6 months	30/06/2012 6 months	31/12/2012 12 months
Cash and cash equivalents at the beginning of the year	138,014	182,748	182,748
CASH FLOWS FROM OPERATING ACTIVITIES
Net income	16,435	17,117	28,246
Adjustments to reconcile profit (loss) to net cash
provided by operating activities: Depreciation and provisions	18,920	21,019	33,197
Expense and income in connection with stock options	(669)	951	(2,219)
Gains and losses on disposals of fixed assets	457	577	2,637
Non-controlling interests in consolidated subsidiaries' net income	3,408	969	3,064
Net income of companies consolidated by the equity method	383	(18)	(122)
Operating cash flows	38,934	40,615	64,803
Net interest expense	2,945	2,124	4,829
Income tax and deferred tax	9,785	7,992	14,329
Operating cash flows before net interest expense and income tax	51,664	50,731	83,961
Income tax paid	(7,602)	(4,793)	(10,635)
Change in inventories	(868)	179	2841
Change in accounts receivable, deferred income	(24,171)	(12,895)	7,203
Change in accounts payable, deferred charges	8,064	(1,926)	(8,072)
Other changes	5,969	9,676	(2,334)
Changes in working capital requirements	(11,006)	(4,966)	(362)
Net cash provided by operating activities (A)	33,056	40,972	72,964
CASH FLOWS FROM INVESTING ACTIVITIES
Acquisition of PPE and rental assets	(2,940)	(1,001)	(3,521)
Acquisition of intangible fixed assets	(29,254)	(46,481)	(91,629)
Disposal of tangible and intangible assets	28	367	748
Acq. of investments and other non-current assets	(2,211)	(10,728)	(18,124)
Disposal of investments and other non-current assets			3,414
Net cash flows from the acquisition and disposal of	(6,551)	(1 182)	(506)
subsidiaries
Net cash used in investing activities (B)	(40,928)	(59,025)	(109,618)
NET CASH FROM FINANCING ACTIVITIES
Capital Increase			71,059
Dividends paid to shareholders			(8,264)
Dividends paid to the non-controlling shareholders of the consolidated companies			(3,266)
Other changes in equity	(20)	(3,401)	(2,347)
Proceeds from the issuance of new debt	33,210	5,584	40,271
Repayment of debt	(24,471)	(50,582)	(99,327)
Net interest expense	(2,945)	(2,124)	(4,829)
Net cash provided by financing activities (C)	5,744	(50,423)	(6,703)
Effect of exchange rate fluctuations on cash (D)	(2,322)	(1,873)	(1,377)
Net change in cash and cash equivalents (A+B+C+D)	(4,420)	(70,349)	(44,734)
Closing cash and cash equivalents	133,594	112,399	138,014

	Number			Group before non-controlling interests				Total
(€ thousands and thousands of shares)	of shares ('000s)	Share capital	Addition al paid in capital	Retained earnings	Net income for the period	Total Group	interests
Balance as of 31/12/2011	17,924			71,695 122,347 100,021		8,051 302,114	36,688	338,803
Appropriation of comprehensive income N-1				8,051	(8,051)
Distribution of dividends				(7,947)		(7,947)	(3,119)	(11,066)
Stock option expenses				910		910		910
Cancellation of treasury shares				(282)		(282)		(282)
Share of assets contributed by non							(69)	(69)
controlling interests Comprehensive income					17,194	17,194	845	18,039
Balance as of 30/06/2012	17,924			71,695 122,347 100,752		17,194 311,989	34,345	346,334
Capital Increase Appropriation of comprehensive income N-1	4,730	18,921	50,291			69,212		69,212
Distribution of dividends				(317)		(317)	(147)	(464)
Stock option expenses				1,383		1,383		1,383
Cancellation of treasury shares				(1,282)		(1,282)		(1,282)
Share of assets contributed by non controlling interests				(3,445)		(3,445)	(4,345)	(7,790)
Comprehensive income					4,786	4,786	1,996	6,782
Balance as of 31/12/2012	22,654		90,616 172,638	97,090		21,980 382,325	31,849	414,174
Appropriation of comprehensive income N-1				21,980	(21,980)
Distribution of dividends				(13,593)		(13,593)	(3,160)	(16,753)
Stock option expenses				1,375		1,375		1,375
Cancellation of treasury shares				(681)		(681)		(681)
Share of assets contributed by non controlling interests				(832)		(832)	1,531	699
Comprehensive income					12,058	12,058	3,149	15,207
Balance as of 30/06/2013	22,654			90,616 172,638 105,339		12,058 380,651	33,369	414,020

NOTES TO THE CONDENSED CONSOLIDATED INTERIM FINANCIAL STATEMENTS

NOTE 1 - SIGNIFICANT ACCOUNTING POLICIES

The consolidated interim financial statements of GL events Group were adopted by the Board of Directors on 25 July 2013.

In compliance with IAS 34 "interim financial reporting" only selected explanatory notes are provided in these condensed financial statements. With the exception of the items mentioned below, the main accounting policies used herein are the same as those applied in the 2012 registration document filed with the French financial market authority (AMF) on 5 April 2013 under number D13-0301.

GL events has applied to its IFRS financial statements all IFRS / IFRIC standards and interpretations in issue published in the Official Journal of the European Union at 31 December 2012 and whose application was mandatory as of 1 January 2013.

Adoption by the European Union's of the following standards and interpretations whose application became mandatory for periods commencing on or after 1 January 2013 has no impact on the Group's consolidated financial statements:

Amendments to IFRS 7: Disclosures Offsetting financial assets and liabilities;
IFRS 13: Fair value measurement;
Amendment to IAS 12: Recovery of underlying assets;
Amendments to IFRS 1: Severe hyperinflation and removal of fixed dates for first-time adopters;
IFRIC 20: Stripping costs in the production phase of a surface mine,
Amendment to IFRS 1: Government loans.

Analysis is currently being performed to assess the potential impact of these standards on the financial statements.

Furthermore, the Group adopted at 30 june 2013 the amendment IAS 19 Revised with respect employee benefit liabilities providing for immediate recognition of actuarial gains and losses in equity whose impact is presented in the following paragraph "change in accounting method". Finally, the Group applied the amendment to IAS 1 on the presentation of other comprehensive income. While this amendment affects the presentation of comprehensive income it has no impact on Group earnings.

Change in Accounting Method

In the interim financial statements at 30 june 2012, the Group didn't early adopt the amendment IAS 19 revised. Actuarial gains and losses related to provisions for retirement severance benefits are now presented in the comprehensive income. Previously, actuarial gains and losses resulting from changes in assumptions were recorded under income or expenses in the period incurred.

Furthermore, to facilitate comparisons between periods, the 2012 Half year financial statements have been restated.

The impacts of this change in method on income statement aggregates are as follows:

(€ thousands)	30/06/2012 Reported basis Restatement		30/06/2012 Restated
Operating profit	30,153	468	30,621
Profit before tax	25,780	468	26,248
Income tax expense	(7,992)	(156)	(8,148)
NET INCOME OF CONSOLIDATED OPERATIONS	17,788	312	18,100
NET INCOME ATTRIBUTABLE TO THE GROUP	17,117	312	17,429

The impacts of this change in method on balance sheet aggregates are as follows:

(€ thousands)	30/06/2012 Reported basis Restatement		30/06/2012 Restated
Non-current assets	724,734		724,734
Current assets	424,165		424,165
TOTAL ASSETS	1,148,899		1,148,899
Shareholders' equity	346,334		346,334
Of which reserves and additional paid in capital	234,940	(312)	234,628
Of which net income	17,117	312	17,429
Non-current liabilities	289,513		289,513
Current liabilities	513,052		513,052
TOTAL EQUITY AND LIABILITIES	1,148,899		1,148,899

NOTE 2 – CONSOLIDATED COMPANIES

Changes in consolidated companies in the period were as follows:

Subsidiaries	Date of consolidation or deconsolidation
•	•
GL events Brazil Participacoes	First-time consolidation on 1 January 2013
•	•
Centre congrès de Metz Metropole	First-time consolidation on 1 January 2013
•	•
GL events Vostok	First-time consolidation on 1 January 2013
•	•
LPR	First-time consolidation on 1 March 2013
•	•
SCI Pyramide	Deconsolidated on 30 june 2013

Because changes in Group structure have not had any material effect on the consolidated financial statements, pro forma information is not provided.

			Controlling interest		Ownership interest
Companies		Company	%		%
	Place of registration or	Trade Registry
	incorporation	number	2013	2012	2013	2012
Parent company
GL events	Brignais	351 571 757
French subsidiaries
Altitude Expo	Mitry Mory	379 621 220	100.00	100.00	100.00	100.00	FC
Alpha 1	Brignais	535 301 956	51.00	51.00	51.00	51.00	FC
Alice Evénements	Brignais	518 247 283	100.00	100.00	100.00	100.00	FC
Auvergne Evénements	Cournon d'Auvergne	449 076 900	59.00	59.00	59.00	59.00	FC
Auvergne Evénements Spectacles	Cournon d'Auvergne Paris	449 077 767	100.00	100.00	59.00	59.00	FC
Bleu Royal Brelet	Saint-Sébastien	750 800 625 857 803 084	70.00 100.00	70.00 100.00	70.00 100.00	70.00 100.00	FC FC
Brelet Centre Europe	Strasbourg	437 742 059	100.00	100.00	100.00	100.00	FC
Brelet Pyramide (2)	Saint-Sébastien	348 162 819	100.00	100.00	100.00	100.00	FC
Cee	Paris	393 255 765		100.00		100.00	FC
Chorus	Vannes	414 583 039	100.00	100.00	100.00	100.00	FC
Décorama	Ivry sur Seine	612 036 996	100.00	100.00	100.00	100.00	FC
Esprit Public	Lyon	384 121 125	100.00	100.00	100.00	100.00	FC
Fabric Expo	Mitry Mory	379 666 449	100.00	100.00	100.00	100.00	FC
GL events Audiovisual	Brignais	317 613 180	100.00	100.00	100.00	100.00	FC
GL events Campus	Brignais	509 647 251	100.00	100.00	100.00	100.00	FC
GL events Cité Centre de Congrès Lyon	Lyon	493 387 963	100.00	100.00	100.00	100.00	FC
GL events Exhibitions	Chassieu	380 552 976	99.50	99.50	99.50	99.50	FC
GL events Management	Brignais	495 014 524	100.00	100.00	100.00	100.00	FC
GL events Parc expo Metz Métropole	Metz	493 152 318	100.00	100.00	100.00	100.00	FC
GL events Scarabée	Roanne	499 138 238	100.00	100.00	100.00	100.00	FC
GL events Services	Brignais	378 932 354	100.00	100.00	100.00	100.00	FC
GL events SI	Brignais	480 214 766	100.00	100.00	100.00	100.00	FC
GL events Support	Brignais	480 086 768	100.00	100.00	100.00	100.00	FC
GL Mobilier	Brignais	612 000 877	100.00	100.00	100.00	100.00	FC
Hall Expo	Brignais	334 039 633	100.00	100.00	100.00	100.00	FC
Kobé	Lyon	382 950 921		100.00		100.00	FC
Market Place	Paris	780 153 862	90.00	90.00	90.00	90.00	FC
Menuiserie Expo	Brignais	353 672 835	100.00	100.00	100.00	100.00	FC
Mont Expo	Brignais	342 071 461	100.00	100.00	100.00	100.00	FC
Modamont Ovation +	Suresnes Marseille	309 121 788 444 620 074	49.00	49.00 100.00	49.00	49.00 90.00	FC FC
Package	Lyon	401 105 069	100.00	100.00	100.00	100.00	FC
Polygone Vert	Brignais	320 815 236	100.00	100.00	100.00	100.00	FC
Première Vision(4)	Lyon	403 131 956	49.00	49.00	49.00	49.00	FC
Profil	Lyon	378 869 846	100.00	100.00	100.00	100.00	FC
Ranno Entreprise	Chilly Mazarin	391 306 065	100.00	100.00	100.00	100.00	FC
Sté exploit. de l'Acropolis de Nice	Nice	493 387 997	100.00	100.00	100.00	100.00	FC
Sté exploit. Centre Congrès Metz metropole(1) Metz		790 342 497	100.00		100.00		FC
Sté exploit. Centre Congrès Pierre Baudis	Toulouse	444 836 092	100.00	100.00	100.00	100.00	FC
Sté exploit. Centre Congrès St-Etienne	Saint Etienne	488 224 718	100.00	100.00	100.00	100.00	FC
Sté exploit. Hôtel Salomon de Rothschild	Paris	495 391 641	50.00	50.00	50.00	50.00	EM
Sté exploit. Palais Brongniart	Paris	518 805 809	100.00	100.00	100.00	100.00	FC
Sté exploit. Palais de la Mutualité	Paris	517 468 138	100.00	100.00	100.00	100.00	FC
Sté exploit. Parc des Expositions de Troyes	Troyes	510 029 648	90.00	90.00	90.00	90.00	FC
Sté exploit. d'Amiens Mégacité	Amiens	518 869 011	100.00	100.00	100.00	100.00	FC
Sté exploit. Château de Saint-Priest	Brignais	453 100 562	100.00	100.00	100.00	100.00	FC
Sté exploit. de Parcs d'Exposition	Paris	398 162 263	100.00	100.00	100.00	100.00	FC
Sté exploit. Polydome Clermont-Ferrand	Clermont-Ferrand	488 252 347	100.00	100.00	100.00	100.00	FC
Secil	Lyon	378 347 470	100.00	100.00	100.00	100.00	FC
Sepel (3)	Chassieu	954 502 357	46.25	46.25	46.25	46.25	FC
Sign'Expo	Brignais	492 842 349	100.00	100.00	100.00	100.00	FC
Spaciotempo	Flixecourt	380 344 226	100.00	100.00	100.00	100.00	FC
Toulouse Evenements	Toulouse	752 926 923	100.00	100.00	100.00	100.00	FC
Toulouse Expo	Toulouse	580 803 880	90.23	90.23	90.23	90.23	FC
Vachon	Gentilly	343 001 772	100.00	100.00	100.00	100.00	FC

Companies	Place of registration or	Company trade registry	Controlling interest %		Ownership interest %
	incorporation	number	2013	2012	2013	2012
Foreign subsidiaries
Adors	Ankara	N/A	70.00	70.00	70.00	70.00	FC
Aedita Latina(5)	Rio de Janeiro	N/A	100.00	100.00	100.00	87.50	FC
Ankara Uluslararasi Kongre	Ankara	N/A	70.00	70.00	70.00	70.00	FC
CCIB Catering	Barcelone	N/A	40.00	40.00	32.00	32.00	EM
Eastern Exhibition Services	Iles Vierges	N/A	100.00	100.00	100.00	100.00	FC
Fagga Promoçao de eventos(5)	Rio de Janeiro	N/A	100.00	87.36	100.00	87.36	FC
Frame	Ankara	N/A	70.00	70.00	70.00	70.00	FC
GL events Asia	Hong Kong	N/A	100.00	100.00	100.00	100.00	FC
GL events Algérie	Alger	N/A	90.00	90.00	90.00	90.00	FC
GL events Belgium	Bruxelles	N/A	100.00	100.00	100.00	100.00	FC
GL events Brazil Participacoes (1)	Rio de Janeiro	N/A	100.00		100.00		FC
GL events Brussels	Bruxelles	N/A	85.00	85.00	85.00	85.00	FC
GL events CCIB	Barcelone	N/A	80.00	80.00	80.00	80.00	FC
GL events Centro de Convençoes(5)	Rio de Janeiro	N/A	100.00	100.00	100.00	91.80	FC
GL events Empredimentos Immobiliaro(5)	Rio de Janeiro	N/A	100.00	100.00	100.00	100.00	FC
GL events Exhibitions Shanghai	Shanghai	N/A	93.10	93.10	93.10	93.10	FC
GL events Fuarcilk	Ankara	N/A	70.00	70.00	70.00	70.00	FC
GL events Hong Kong	Hong Kong	N/A	85.00	85.00	85.00	85.00	FC
GL events Italie	Bologne	N/A	100.00	100.00	100.00	100.00	FC
GL events Macau	Macau	N/A	99.00	99.00	99.00	99.00	FC
GL events Portugal	Lisbonne	N/A	85.71	85.71	85.71	85.71	FC
GL events Production LLC	Dubai Jebel Ali	N/A	100.00	100.00	100.00	100.00	FC
GL events PVT	New Delhi	N/A	100.00	100.00	100.00	100.00	FC
GL events Suisse	Satigny	N/A	85.00	85.00	85.00	85.00	FC
GL events Turquie	Istanbul	N/A	70.00	70.00	70.00	70.00	FC
GL events USA	New-York	N/A	100.00	100.00	100.00	100.00	FC
GL events Vostok (1)	Moscou	N/A	100.00		100.00		FC
GL Furniture (Asia)	Hong Kong	N/A	60.00	60.00	60.00	60.00	FC
GL Litmus Events	New Delhi	N/A	70.00	70.00	70.00	70.00	FC
GL Middle East	Dubai Jebel Ali	N/A	100.00	100.00	100.00	100.00	FC
GL Middle East Tent & Trading	Dubai Jebel Ali	N/A	49.00	49.00	49.00	49.00	FC
GL events Oasys Consortium	Johannesburg	N/A	80.14	80.14	80.14	80.14	FC
Hungexpo	Budapest	N/A	100.00	100.00	100.00	100.00	FC
LPR (1)	Londrina	N/A	100.00		100.00		FC
Maf Servizi	Bologne	N/A	100.00	100.00	100.00	100.00	FC
Museum Food	Bruxelles	N/A	60.00	60.00	60.00	60.00	FC
New Affinity	Bruxelles	N/A	100.00	100.00	100.00	100.00	FC
Oasys Innovations	Johannesburg	N/A	100.00	100.00	100.00	100.00	FC
Owen Brown	Derby	N/A	100.00	100.00	100.00	100.00	FC
Padova Fiere	Padoue	N/A	80.00	80.00	80.00	80.00	FC
Premiere Vision Brésil(5)	Rio de Janeiro	N/A	74.50	68.25	74.50	68.25	FC
Premiere Vision Inc	New-York	N/A	100.00	100.00	49.00	49.00	FC
Serenas	Ankara	N/A	70.00	70.00	70.00	70.00	FC
Slick Seatting System Spaciotempo Arquitecturas Efimeras	Redditch Barcelone	N/A N/A	100.00 100.00	100.00 100.00	70.00 100.00	70.00 100.00	FC FC
Spaciotempo UK	Uttoxeter	N/A	100.00	100.00	100.00	100.00	FC
Top Gourmet (5)	Rio de Janeiro	N/A	100.00	100.00	100.00	87.50	FC
Traiteur Loriers	Bruxelles	N/A	95.54	95.54	95.54	95.54	FC
Traiteur Loriers Luxembourg	Bruxelles	N/A	70.00	70.00	66.88	66.88	FC
World Forum	La Haye	N/A	95.00	95.00	95.00	95.00	FC

(1) onsolidated for the first time 2013

(2) Deconsolidated in 2013

(3) Sepel, 46.25%-held over wich GL events exercises financial and operational control, is fully consolidated.

(4) Première Vision, 49%- held over wich GL events exercises financial and operational control, is fully consolidated.

(5) Minority interests in Fagga were acquired and thus made all Brazilian subsidiaries to a detention rate of 100% except Première Vision Brésil to 74.50%

EM : Equity-accounting method

FC : Full consolidation

NOTE 3 INFORMATION BY BUSINESS

GL events' activities are organized into three business units:

GL events Live groups together the full range of business lines and services for corporate, institutional and sports events; GL events Exhibitions manages and coordinate the portfolio of 250 proprietary trade fairs;

GL events Venues manage operations for its current network of 35 event venues.

CONSOLIDATED SALES BY BUSINESS LINE

(€ thousands)	30/06/13	30/06/12	Change	Change
			N / N-1	N / N-1 (%)
GL events Live	214,336	232,787	(18,451)	(7.9%)
% CA Total	49.6%	53.5%
GL events Exhibitions	93,923	76,438	17,485	22.9%
% CA Total	21.7%	17.6%
GL events Venues	123,987	125,783	(1,796)	(1.4%)
% CA Total	28.7%	28.9%
TOTAL GL EVENTS GROUP	432,246	435,008	(2,763)	(0.6%)

OPERATING PROFIT BY BUSINESS LINE

(€ thousands)	30/06/13	30/06/12
GL events Live	6,416	15,433
GL events Exhibitions	13,938	5,420
GL events Venues	12,475	9,300
TOTAL GL EVENTS GROUP	32,829	30,153

INVESTMENTS

Global services (€ thousands)	30/06/13	30/06/12
GL events Live	11,729	41,913
GL events Exhibitions	1,761	106
GL events Venues	19,060	5,096
TOTAL GL EVENTS GROUP	32,166	47,115

ALLOWANCES AND REVERSALS FOR DEPRECIATION AND RESERVES

Venue and event management (€ thousands)	30/06/13	30/06/12
GL events Live	13,539	16,032
GL events Exhibitions	296	746
GL events Venues	5,084	4,241
TOTAL GL EVENTS GROUP	18,920	21,019

GOODWILL:

See note 4.1 below.

Because Europe accounts for more than 75% of Group sales, further detail for geographical segment information is not material.

NOTE 4 BALANCE SHEET INFORMATION

4.1 INTANGIBLE ASSETS

(€ thousands)	31/12/12	Increases	Decreases	Translation adjustments	Changes in Group structure/ reclassifications	30/06/13
Intangible assets
Goodwill – Services	127,319	107		(944)	7,683	134,166
Goodwill – Exhibitions	239,861	600		(319)		240,142
Goodwill – Venues	49,994			(273)		49,721
Net value – goodwill	417,175	707		(1,536)	7,683	424,030
Other intangible assets	74,973	13,999	(1)	(2,171)		86,801
Amortization expenses	(31,370)	(1,512)		265	(128)	(32,746)
Net value	43,603	12,487	(1)	(1,906)	(128)	54,054
Net intangible assets	460,778	13,194	(1)	(3,442)	7,555	478,084

For unamortised intangible assets and goodwill, a depreciation test is carried out at least once year and whenever there is an indication of impairment. Value in use is the present value of estimated future cash flows expected to arise from the continuing use of the asset in question and its disposal at the end of its useful life. Estimated future cash flows are based on assumptions about economic conditions and forecasts by Group management of future operating conditions.

Impairment tests are conducted at the level of Cash Generating Units (CGUs) that represent a homogeneous group of assets generating cash inflows and outflows from continuing use largely distinct from cash inflows from other groups of assets. At GL events these cash generating units correspond to the business divisions. The breakdown of CGUs is in consequence based on the Group's operating segments in line with the provisions of IFRS 8.

At 30 June 2013, the Group has not identified any indications of impairment.

Property, plant and equipment (€ thousands)	31/12/12	Increases	Decreases	Translation adjustments	Changes in Group structure/ reclassifications	30/06/13
Lands	975			(1)	(898)	76
constructions	37,996	12,234	(13)	(1,774)	1,191	49,635
Total	38,971	12,234	(13)	(1,775)	293	49,712
Amortisation	(7,224)	(173)	13	9	603	(6,773)
Net total	31,747	12,061		(1,765)	896	42,939

4.2 PROPERTY, PLANT AND EQUIPMENT (EXCLUDING RENTAL ASSETS)

(€ thousands)	31/12/12	Increases	Decreases	Translation adjustments	Changes in Group structure/ reclassifications	30/06/13
Other tangible asset	98,842	7,738	135	(777)	2,164	108,101
Amortisation	(59,363)	(7,290)	252	435	(1,187)	(67,153)
Net amount	39,479	448	387	(342)	976	40,948

4.3 RENTAL ASSETS

(€ thousands)			31/12/12 Increases Decreases	Translation adjustments	Changes in Group structure/ reclassifications	30/06/13
Capitalised rental assets	218,201	9,282	(4,027)	(3,455)		220,001
Rental inventories	10,552	42		(1)		10,593
Cost	228,753	9,325	(4,027)	(3,456)		230,594
Amort. capitalised rental assets	(109,213)	(8,348)	2,102	1,578	(222)	(114,102)
Amort. & deprec. rental inventories	(2,932)	(843)			59	(3,716)
Depreciation & amortisation	(112,145)	(9,191)	2,102	1,578	(163)	(117,818)
Net total	116,608	134	(1,925)	(1,878)	(163)	112,776

4.4 INVESTMENTS AND OTHER NON-CURRENT ASSETS

(€ thousands)			31/12/12 Increases Decreases	Translation adjustments	Changes in Group structure/ reclassifications	30/06/13
Available-for-sale securities	45,691	59	(396)	(20)	69	45,403
Deposits and guarantees	32,891	750	(2)	(96)	(33)	33,510
Depreciation	(4,421)					(4,421)
Net total	74,161	809	(398)	(116)	36	74,492

4.5 EQUITY-ACCOUNTED INVESTMENTS

(€ thousands)	30/06/13	31/12/12
Value of securities at opening	533	414
Changes in consolidation scope
Dividends	(358)	(283)
Share of income in associates	(23)	402
Equity-accounted investments	152	533

4.6 TRADE RECEIVABLES

(€ thousands)	30/06/13	31/12/12
Trade receivables	182,939	177,696
Provision	(11,466)	(10,619)
Net trade receivables	171,472	167,077

4.7 OTHER RECEIVABLES

(€ thousands)	30/06/13	31/12/12
Advances and instalments	18,841	9,392
Social security receivables	7,459	877
Tax receivables	35,911	41,501
Current account advances to non-consolidated companies	15,865	14,493
Other trade receivables and equivalent	11,108	21,851
Deferred charges	28,695	23,768
Provisions for current accounts	(445)	(445)
Provisions for other receivables	(3,086)	(3,086)
Other receivables	114,348	108,352

4.8 SHAREHOLDER'S EQUITY

4.8.1 Capital stock

On 30 June 2013, the share capital was €90,615,680 divided by 22,653,920 shares at €4 per share.

4.8.2 Reserves and additional paid in capital

Paid in capital represents the difference between the face value of securities issued and contributions received in cash or in kind.

(€ thousands)	30/06/13
Reserves and additional paid in capital at opening	278,789
Appropriation of comprehensive income N-1	28,246
Dividends	(13,593)
Impact of fair value measurement of financial documents	1,443
Share of assets contributed by non-controlling interests	(832)
Cancellation of treasury shares	(681)
Stock option expenses	1,375
Reserves and additional paid in capital	294,746

4.8.3 Translation adjustments

Translation adjustments represent the difference between the historic and average exchange rates and the closing rate. At 30 June, translation adjustments represented a negative currency difference of €21,146,000 (Cf. statement of changes in shareholders' equity).

4.8.4 Treasury shares

Within the framework of the share repurchase program renewed by the General Meeting of 26 April 2013, the following transactions were undertaken during the course of 2013:

(Number of shares)	31/12/12	acquisitions	disposals		30/06/13
- Treasury shares	360,956	43,688	150,635	(1)	254,009
- Liquidity agreement	6,152	151,510	146,133		11,529

(1) Bonus share grants and the exercise of stock purchase options

The number of treasury shares and shares acquired in connection with a liquidity agreement totalled 265,538.

4.8.5 Analysis of capital and voting rights

At 30 June 2013, the total number of voting rights was 33,363,054.

Share capital is divided into two classes of shares, shares with single voting rights and shares with double voting rights.

The breakdown of share capital and voting rights, stock options and bonus share plans are described in the section "Information on the share capital" on pages 152 of the 2012 registration document of GL events.

To the best of the company's knowledge, share capital and voting rights broke down as follows:

	Number of shares	Percentage of capital	Percentage of voting rights
Polygone	11,913,201	52.59%	64.99%
Sofina	2,287,927	10.10%	6.89%
CM CIC Capital Investissements	1,044,924	4.61%	5.89%
Public	7,407,868	32.70%	22.25%
TOTAL	22,653,920	100%	100%

4.9 PROVISIONS FOR RETIREMENT SEVERANCE PAYMENTS

(€ thousands)	30/06/13	31/12/12	Income statement items impacted by this recognition
Opening Balance	7,835	6,375
Service costs – Benefit payments	(79)	283	Operating profit
Expense recognised under income	(79)	283
Translation adjustments		1,177
Changes in consolidation scope and reclassifications
Provisions for retirement severance payments	7,756	7,835

4.10 COMMITMENTS AND CONTINGENCIES

(€ thousands)	31/12/12	Increase	Decrease Provisions used in the period	Translation adjustments	Changes in Group structure / reclassifications	30/06/13
Provisions for employee related risks	1,023	186	(219)	(1)	(51)	938
Provisions for tax contingencies	406	17	(1)	(63)		359
Other provisions	16,922	708	(732)	(36)	521	17,385
Total	18,352	912	(952)	(100)	470	18,682

4.11 LOANS AND BORROWINGS

(€ thousands)	31/12/12	Increase	Decrease	Translation adjustments	Changes in Group structure/ reclassifications	30/06/13
Non-current borrowings	357,119	37,066	(22,387)	(2,576)	1,282	370,502
Financial instruments	8,234		(2,164)			6,070
Long term financial debt (1)	365,352	37,066	(24,551)	(2,576)	1,282	376,572
Short term bank loans	14,907	8,961			(47)	23,821
Total Loans and borrowings	380,259	46,027	(24,551)	(2,576)	1,234	400,393
Marketable investments securities	(72,487)	(39,073)		325		(111,235)
Bank and cash	(80,435)	32,313		2,044	(103)	(46,180)
Cash and cash equivalents	(152,922)	(6,760)		2,369		(103) (157,416)
Net debt	227,338	39,267	(24,551)	(207)	1,132	242,977
(1) At 30/06/2013	Non current loans and borrowings Current loans and borrowings				262,822 113,750

4.12 OTHER LIABILITIES

(€ thousands)	30/06/13	31/12/12
Current accounts and Payables on fixed assets	37,368	2,807
Other payables	31,605	14,397
Prepaid income	61,822	108,641
Total	130,795	125,845

NOTE 5 INCOME STATEMENT INFORMATION

5.1 OTHER OPERATING INCOME

"Other operating income" breaks down as follows:

(€ thousands)	30/06/13	30/06/12
Reversals/ provisions	269	510
Investment grants	810	470
Other income	218	1,795
Total	1,297	2,775

5.2 RAW MATERIALS, CONSUMABLES AND OTHER EXTERNAL CHARGES

(€ thousands)	30/06/13	30/06/12
Raw materials and consumables	(33,367)	(30,608)
Subcontracting and external personnel	(128,835)	(131,251)
Equipment property rental	(40,031)	(44,644)
Travel and entertainment expenses	(13,538)	(17,288)
Other purchases and external charges	(48,057)	(45,294)
Total	(263,828)	(269,085)

5.3 OTHERS OPERATING EXPENSES

Others operating expenses breaks down as follow:

(€ thousands)	30/06/13	30/06/12
Gain or loss in value of fixed assets disposals	829	(566)
Others incomes and others charges	(2,285)	(1,438)
Others operating expenses	(1,456)	(2,004)

5.3 NET FINANCIAL INCOME (EXPENSE)

(€ thousands)	30/06/13	30/06/12
Net income from the sale of marketable securities	884	1,274
Other interests and similar income	1,605	965
Interest expense	(5,434)	(4,363)
Net interest expense	(2,945)	(2,124)
Reserves written back to income	47	191
Financial income from participating interests	172	734
Currency gains	(192)	(367)
Currency losses	(260)	(2,807)
Allowances for amortisation and reserves	(233)	(2,249)
Other financial income and expense	(3,178)	(4,373)

5.4 CORPORATE INCOME TAX

In accordance with IAS 34, the effective rate is 33% projected

NOTE 6 OFF BALANCE SHEET COMMITMENTS

6.1 COMMITMENTS

Categories of commitments (€ thousands)	30/06/13
Commitments given
- Medium-term guarantees	5,237
- Joint security, miscellaneous guarantees
Commitments received	40

In compliance with the principles for preparing notes to consolidated financial statements that include only Group commitments to third parties and unconsolidated companies, off-balance sheet commitments existing between consolidated companies are eliminated like inter-company transactions and balances.

6.2 CONCESSION ROYALTIES AND PROPERTY LEASE PAYMENTS – NON-CANCELLABLE PORTIONS

As there have been no material changes with respect to these commitments as of 30 June 2013, refer to note 8.2 page 124 of the 2012 registration document.

6.3 DEBT GUARANTEED BY COLLATERAL

Items (€ thousands)	Guaranteed debt	Nature of the guarantee
- Bank guarantees	658	Pledge of financial instruments

6.4 OTHER INVESTMENT COMMITMENTS

Investment commitments by maturity are analysed below:

(€ thousands)	< 1 year	1 - 5 years	> 5 years
Capital expenditure commitments	6,704	10,631	12,223

NOTE 7 OTHER RISKS

The policy for managing bank risks described in page 55 of the 2012 registration document remains unchanged on 30 June 2013.

Risks relating to bank covenants

87% of medium to long-term loans are subject to conditions imposed by covenants. The medium-term Club Deal that alone accounts for 24% of non-current borrowings is subject to compliance with the following covenant ratios:

o Gearing: net debt/equity ≤ 120%
o Leverage: net debt/ EBITDA ≤ 3

At 30 juin 2013, GL events Group was in compliance with these covenants.

GL events negotiated terms for new loan agreements in 2011 providing for leverage of up to 3.5. However, the cross default clauses of our credit facilities provide for compliance with a ratio of 3 for leverage until the Club deal's term in December 2015.

NOTE 8 INFORMATION ON RELATED PARTIES TRANSACTIONS

The consolidated financial statements include all companies within the scope of consolidation (cf. note 2). Société Polygone SA is the parent company. Related party transactions concerned primarily management services invoiced by Polygone SA to GL events, where Olivier Ginon, Olivier Roux and Erick Rostagnat served as directors for both companies, and property rental costs invoiced by Foncière Polygone to the group, with Olivier Ginon serving as chairman, Gille Gouedard Compte and Erick Rostagnat as managing directors of this company.

There exist no other commitments concerning retirement or equivalent benefits in favour of other members or former members of the Board of Directors and corporate executives. In addition, no advances or loans have been granted to Board of Directors members and corporate executives.

Summary of transactions with related parties in first half year 2013:

Nature	Income (expenses)
General management services	(1,303)
Travel allowances and expenses, insurance	249
Property lease payments and land taxes	(8,475)
	Balance at 30/06/2013
Security deposit (1)	22,538
Customer	202
Current account	(16,080)
Supplier	(3,083)

(1) Rent deposit guarantees correspond to one year's rent.

MANAGEMENT DISCUSSION AND ANALYSIS

1 2013 INTERIM REVIEW OF OPERATIONS

With strong commercial momentum and despite a high comparison base, the Group registered satisfactory sales in the 2013 second quarter with growth of 7% (3.1% like-for-like). Based on this second-quarter performance, revenue for the first half came to €432.2 million, remaining steady overall in relation to the prior year.

Whereas in the 2012 first half the Group had recorded revenue of €40 million from the London Olympic Games, in the first six months of this year GL events strengthened positions in strategic growth regions for recurrent business, with gains of 29% in Turkey, 73% in Brazil and 86% in South Africa. Double-digit gains were also achieved in China and the Middle East.

30/06/13	30/06/12	Change	Change N / N-1
		N / N-1	(%)
214,336	232,787	(18,451)	(7.9%)
49.6%	53.5%
93,923	76,438	17,485	22.9%
21.7%	17.6%
123,987	125,783	(1,796)	(1.4%)
28.7%	28.9%
432,246	435,008	(2,763)	(0.6%)

The breakdown of net sales by major business line was as follows:

Overall, Group profitability increased in the 2013 first half, benefiting from cost-containment measures in Europe and growing contributions of emerging countries in the regional mix. Consolidated operating profit amounted to €32.8 million with an operating margin of 7.6%, up 70 basis points.

GL events Live had revenue in the first half of €214.3 million (-7.9%) for an operating profit of €6.4 million and an operating margin declining 3.6 points to 3%. The margin is lower for Structures and Grandstands in the first six months, and expected to improve in the second half.

GL events Exhibitions had revenue of €93.9 million, up 22.9%, achieving very robust growth in operating profit of €13.9 million with an operating margin of 14.8% (+7.7 points). All major trade shows in the food industry segment, and notably SIRHA, the International Hotel, Catering and Food Trade Exhibition held in Lyon, and the textile industry with Première Vision and its international spin-off events, were significant contributors to the performance of this business unit.

GL events Venues had revenue of €124 million, remaining stable like-for-like. The operating margin came to 10% for this business unit with improved contributions from Paris venues.

The breakdown of operating profit by major business line was as follows:

(€ thousands)	30/06/13	30/06/12
GL events Live	6,416	15,433
GL events Exhibitions	13,938	5,420
GL events Venues	12,475	9,300
TOTAL GL EVENTS GROUP	32,829	30,153

> MANAGEMENT DISCUSSION AND ANALYSIS

Net financial expense declined to €3.2 million (from reductions in average debt and rates), earnings before tax came to €29.7 million (up 15%) and net income to €19.8 million (up 9.7%). Net income attributable to the Group amounted to €16.4 million, given the higher amount attributable to the non-controlling interests in odd years.

The Group achieved further growth in cash flow(2) to reach €51.7 million in the first half.

At 30 June 2013, the net source of funds (negative working capital) amounted to €80.9 million, net financial debt €243 million and equity €414 million, with gearing well under control at 0.59.

2 POST-CLOSING EVENTS

The Group was awarded a 30-year management concession for the Sao Paulo Imigrantes Exhibition Centre following a call for tenders. This exhibition site, completed by an office complex, a 250-room hotel and a new convention centre is expected to generate revenue of €1.5 billion over the term of the concession, thus becoming Sao Paulo's leading exhibition centre.
With its engineering expertise for temporary structures, the Group designed for the Australian province of New South Wales an 18,000 m² (193,750 sq. ft.) temporary exhibition centre for use over the next three years, without a financial impact in the first half. This project, with revenue expected of €10 million, offers another illustration of the Group's high capacity for innovation and proposing solutions adapted to the needs of local authorities.
Première Vision has expanded by acquiring five events in the universe of fashion (including Zoom, Made in France, Fatex) from Eurovet, an organiser of trade shows for the lingerieswimwear sector. The number of annual trade shows managed by Première Vision has thus increased from 24 to 32. The acquisition of the eight editions of Eurovet trade shows will enable Première Vision to increase its annual revenue by an additional €5 million and strengthens its positions in a sector where it occupies a leadership position.
In addition, on 11 July, the Group announced the successful private placement of a 6-year €50 million bond issue. GL events is in this way continuing to diversify its funding sources and lengthening its debt maturity profile in accordance with its objective to align long-term resources with long-term event assets.

3 OUTLOOK AND UNCERTAINTIES

In the second half of 2013, in addition to services provided for sports and cultural events and the organisation of conventions (particularly in Turkey) and recurrent trade shows, GL events will be the host and/or organiser of the World Youth Day Rio, the Francophone Games of Nice and the Gartner Symposium/ITxpo in Barcelona.

The Brazilian teams of the Live, Venues and Exhibitions business units will also actively contribute to preparatory work for the 2014 FIFA World Cup and the integration of the new site of Sao Paulo.

Based on the current order book, the Group confirms its target for annual growth in consolidated revenue exceeding 2% for 2013, or more than 4% in the second half.

RESPONSIBILITY STATEMENT FOR THE CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS

"To the best of my knowledge, and in accordance with applicable reporting principles for interim financial reporting, the interim consolidated financial statements of GL events for the period ending 30 June 2013 give a true and fair view of the assets, liabilities, financial position and profit or loss of the Group and the interim management statement includes a fair view of material events having occurred in the first six months, their impact on the interim financial statements, the main transactions with related parties and a description of the key risks and uncertainties for the remaining six months.

The report on interim financial statement at page 25 include the following observation: Without qualifying the conclusion expressed above, we draw attention to Note 1, Principles and methods of consolidation of the notes to condensed consolidated financial statements which describes the change in accounting policy on the application of amended IAS 19 Employee Benefits"

Brignais, 30 juillet 2013

Olivier Ginon Chairman of the Board of Directors

AUDITORS' REPORT ON THE PRESENTATION OF 2013 INTERIM FINANCIAL INFORMATION

The English version of the interim financial statements has not been audited by the Statutory Auditors. This is a free translation into English of the statutory auditors' report issued in the French language and is consequently provided solely for the convenience of English speaking readers. Only the original French version of the Statutory Auditors' report is legally binding.

To the shareholders,

In our capacity as Statutory Auditors, and in accordance with Article L 232-7 of the French commercial code, and L. 451-1-2 III of the French monetary and financial code, we performed:

A limited review of the attached consolidated interim financial statements of GL events for the six-month from 1 January to 30 June 2013;

A verification of the information given in the interim management report.

These interim financial statements are prepared under the responsibility of, and have been approved by, the Board of Directors. It is our responsibility, on the basis of our review, to present our opinion on these financial statements.

1. Conclusion on financial statements

We conducted our review in accordance with professional standards applicable in France. These standards require that we perform limited procedures to obtain reasonable assurance, below the level resulting from a full audit, that the interim consolidated financial statements do not contain any material misstatements. These procedures that involve principally meeting with management and conducting an analytical review thus provide a lower level of assurance than an audit and consequently do not result in the issuance of an audit opinion.

Based on our limited review, nothing has come to our attention to suggest that the condensed interim financial statements do not comply with IAS 34, the IFRS as adopted by the European Union governing interim financial reporting.

Without qualifying the conclusion expressed above, we draw attention to Note 1, "Principles and methods of consolidation" of the notes to condensed consolidated financial statements which describes the change in accounting policy on the application of amended IAS 19 "Employee Benefits".

2. Specific verifications

We have also reviewed the information given in the interim report accompanying the consolidated financial statements that were the subject of our limited review.

We have nothing to report with respect to the fairness of such information and its conformity with the financial statements.

Villeurbanne and Oullins, 25 July 2013

The Statutory Auditors, [French original signed by]

MAZARS MAZA SIMOENS Eric Gonzalez Michel Maza