Investor & Corporate Communications

1. Simposio RI - AMERI 2003 Investor & Corporate Communications

2. Should we do a retail program? • Have we established the need for launching a retail program? • Liquidity is low for the institutional market • We’ve exhausted the institutional route • We want to tap all sources of demand • We want more US shareholders • Our ownership is too concentrated • Have we identified the characteristics of our company that make it a good candidate for the US retail market? • Is the company easy to understand and to see future value? • Do we have a highly visible brand name? • Are we in a popular growth sector?

3. Should we do a retail program? • What characteristics of the US retail market make it an appealing target? • Market size • Long term holders • Low turnover • Does not lead to concentration of ownership • Presumed shareholder loyalty • Are we aware of the negatives? • Cost of marketing • Cost of servicing • Time required to attract a significant holding • Hard to reach a concentration of real investors • Geographically diversified market

4. Should we do a retail program? • Do we know enough about the US retail market and what attracts retail investors or do we need to do research? • Is there sufficient return on investment from a retail program? • How much time and money are we willing to devote to a retail program? Enough to make it worthwhile? • Is our percentage of ownership objective realistic? • What is management’s view of the retail market? • Do we have the analytical following by key US brokerage firms to support a program?

5. What are the requirements for retail? • Consistency • Frequency • Multiple tactics • Simplicity • A succinct compelling story Go beyond direct contact A successful program uses a range of tactics for visibility and impact

6. What Sells? • A simple message, a good story • Name recognition, familiarity • Number one or two in a growing industry • A good reputation, image • Clarity of earnings growth, a clear strategy • Good returns on invested capital • Growth Stocks; good dividends • A compelling reason to buy now

7. Word of mouth Brokers Publicity in financial and business publications Trade and investment publications Financial websites CNBC/ CNNfn Fairs and conferences Advertising Company material Research reports Financial Services: Bloomberg, S&P Company websites Newsletters Screens and modeling Earnings Whisper numbers Where do retail investors get ideas?

8. Directly through brokerages Broker meetings at office locations Squawk box Internal TV Direct marketing with the analyst Broker societies Company sponsored broker luncheons Regional broker meetings Reaching the Individual Investor Need Analyst coverage

9. Pechiney: Expanding the Universe • Problem: • Exploit retail and medium to small institutional interest • Overcome international stigma • Lack of institutional interest in the ADR • Low liquidity • Challenge:

10. Pechiney: Expanding the Universe • Implementation: • Generate interest in untapped markets • Target retail investors, brokers and institutions $10 billion and smaller • A series of regional roadshows concentrating on retail and small investors in the Midwest and Southeast • Presentation focused on new audiences, industry followers and regional brokers • Results: • Immediate impact • 30% increase in ADR volume during trips • Expand the investor universe

11. Organizations and fairs NAIC Louis Rukeyser – 1 event, 12,000 attend The Money Show – 3 events, 5,000 to 10,000 attend Discovery Expo Invest Fest Specialized conferences: The Gold Conference Reaching the Individual Investor

12. NAIC Today • 326,804 individual members – down from 730,000 in 1999 • 28,235 clubs throughout the US • Total monthly investments: $190 million • Average holding: 4 years down from 7.5 years in 1999 • Average age 53, average portfolio $301,300 (243,666 in 1999) • 70% have college degrees • Median household income of $117,100 • Total portfolio value: $125 billion

13. NAIC Opportunities • Three national congresses, 70+ local fairs • Sponsor or exhibitor at fairs • Attendance varies • 305,356 copies of the magazine circulate • Database contains 33,786 individuals • Green sheet with company’s financial history available to all members • Low cost investment plan

14. Using the Media Visibility, Perceptions, Credibility, Impact Financial Advertising Trade Press Business&Financial Press Buyside & Research Magazine Product Publicity Byline articles Speech Reprints Individual Investor Financial Newsletters TV Interviews CNBC, CNN Financial Wires Publicize the Fact Sheet Individual Investor Magazine

15. The Media Universe Broadcast and Online Newspapers Magazines Regional Press Newswires Trade Magazines Television and Video

16. Focus on Company Information • Tells a consistent story • Is objective to create credibility • Is comprehensive • News Releases up to date on the website • Conference Calls open to the public • Webcast important announcements • Fact sheet • Annual Report • Welcome and exit letters • Information kit

17. Focus on Company Information • Company website must make a good impression • Create a retail investor site/pages • Include information just for retail investors • Background information on the industry • Product details • Retail fact sheet • IR hotline • List your retail investor calendar • Update letter from management • Trading information and useful dates

18. Focus on Company Information • Mailing List • Identify as many individual shareholders as possible for direct communications • From time to time, consider a shareholder survey to determine the nature of your shareholder base

19. Focus on the Internet • Review Financial Sites • Make sure company description is right • Review numbers for inconsistencies • Most of the information comes from a few sources and is generally taken from financial filings

20. Investor & Corporate Communications