A document
concerning a project to reorganize the Vivendi Universal headquarters was
given to the works committee of Vivendi Universal SA on October 10, 2002,
thereby initiating the information and consultation procedures provided for
in French labor regulations.
The project
affects the headquarters of Vivendi Universal in Paris, as well as its locations
outside France. It aims to:
- redefine
and refocus the headquarters tasks on holding company activities;
- concentrate
all those tasks in Paris, with New York becoming a representative office for
the company, primarily responsible for functions relating to North America;
- achieve
full-year savings of around €140 million compared with the total 2002
budget of €313 million. These savings will be generated by a very significant
cut in non-payroll costs (fees for external services, in particular), as well
as a reduction in the number of employees at all headquarters sites.
With regard
to the Paris headquarters, the plan provides for cutting 152 positions out
of a total of 327. To deal with this situation, in consultation with the labor
unions, Vivendi Universal will take measures-in particular as regards job
mobility-to ensure that all employees are offered a suitable solution, therefore
excluding redundancy without accompanying measures.
This press release contains "forward-looking statements" as that
term is defined in the Private Securities Litigation Reform Act of 1995. Such
forward-looking statements are not guarantees of future performance. Actual
results may differ materially from the forward-looking statements as a result
of a number of risks and uncertainties, many of which are outside our control,
including but not limited to: the risk that the proposed cost-savings and/or
restructurings will not materialize in the timing or manner described above;
as well as the risks described in the documents Vivendi Universal has filed
with the U.S. Securities and Exchange Commission and with the French Commission
des Opérations de Bourse. Investors and security holders may obtain
a free copy of documents filed by Vivendi Universal with the U.S. Securities
and Exchange Commission at <www.sec.gov> or directly from Vivendi Universal.
Vivendi Universal does not undertake to provide, nor has any obligation to
provide, updates or to revise forward-looking statements.
