175
Annual Report -
2013
-
Vivendi
Financial Report
| Statutory Auditors’ Report on the Consolidated Financial Statements | Consolidated
Financial Statements | Statutory Auditors’ Report on the Financial Statements | Statutory Financial Statements
4
SECTION 1 - Significant events
I - 2013 Financial Report
Preliminary comments
On February 19, 2014, during a meeting held at the headquarters of the Company, the Management Board approved the Annual Financial Report and
the Consolidated Financial Statements for the year ended December 31, 2013. Having considered the Audit Committee’s recommendation given at
its meeting held on February 18, 2014, the Supervisory Board, at its meeting held on February 21, 2014, reviewed the Annual Financial Report and the
Consolidated Financial Statements for the year ended December 31, 2013, as approved by the Management Board on February 19, 2014.
The Consolidated Financial Statements for the year ended December 31, 2013 have been audited and certified by the Statutory Auditors with
no qualified opinion. The Statutory Auditors’ Report on the Consolidated Financial Statements is included in the preamble to the Financial
Statements.
SECTION 1
Significant events
As publicly announced to shareholders on several occasions in 2012 and
2013, Vivendi’s Management Board and Supervisory Board are carrying
out a review of the group’s strategic development. In 2013, Vivendi sold
most of its interest in Activision Blizzard and entered into a definitive
agreement with Etisalat to sell its interest in Maroc Telecom. The
group has decided to focus on its media and content activities, which
hold leading positions and are taking advantage of the growing digital
market. It has strengthened its presence in Canal+ France, now fully
owned. Vivendi is also reshaping SFR. The operator has begun to benefit
from its transformation plan, by re-taking the commercial lead and by
reducing costs. SFR has also entered into an agreement to share part of
its mobile network with Bouygues Telecom, allowing it to offer better
coverage and strengthened service quality to its customers. Based
on this, the group aims to position the future Vivendi as a dynamic
player in media and content. With SFR, it intends to participate in the
reorganization of the telecommunication sector in France, exploring
actively all potential opportunities.
During the second half of 2013, the group reached important strategic
milestones:
on October 11, 2013, Vivendi completed the sale of 88% of its
interest in Activision Blizzard for $8.2 billion (or €6 billion), in cash.
In addition, Vivendi retained 83 million Activision Blizzard shares,
representing 11.9% of Activision Blizzard’s outstanding share
capital, which are subject to a staggered 15-month lock-up period;
on November 4, 2013, Vivendi entered into a definitive agreement
with Etisalat for the sale of Vivendi’s 53% interest in Maroc
Telecom Group for €4.2 billion in cash, including a €310 million
dividend distribution with respect to fiscal year 2012, according to
the financial terms known to date. Completion of this transaction
is contingent upon the satisfaction of certain closing conditions,
including receipt of required regulatory approvals in Morocco and
the countries in which Maroc Telecom Group operates, as well as
finalization of the shareholders’ agreement between Etisalat and the
Kingdom of Morocco. This transaction is expected to be completed
during the first months of 2014; and
on November 5, 2013, Vivendi acquired Lagardère Group’s 20%
interest in Canal+ France for €1,020 million in cash.
As a result of the sale of Activision Blizzard, Vivendi has begun to
significantly reduce its debt during the fourth quarter of 2013 by
implementing a US dollar and euro bond repurchase program in an
aggregate amount of €3 billion; thus gaining greater financial flexibility
(please refer to Section 5).
1.1.
Significant events in 2013
1.1.1.
Ongoing strategic review
