Issue of bonds with redemption amounts indexed to the price of its own shares

In order to optimise its financing profile, on May 16 2008 PPR issued EUR 400 millions of bonds, by way of private placement, the redemption amount of which is indexed to PPR’s share price. The bonds are issued in two equal tranches and mature in 4.5 and 5 years respectively. The entire issue is underwritten by Natixis.

This funding enables PPR to benefit from future increase in its share price since the redemption amounts payable on maturity of the bonds are reduced.