Sodexo: Nine-Month Fiscal 2013 Revenues up +3.7%, including +2.3% from Organic Growth

  Sodexo: Nine-Month Fiscal 2013 Revenues up +3.7%, including +2.3% from
  Organic Growth

  *On-site Services: Integrated services offers and emerging markets led the
    Group’s resistance in a particularly challenging economic environment
  *Benefits and Rewards Services: Organic growth accelerated to +6.7%

Business Wire

ISSY-LES-MOULINEAUX, France -- July 10, 2013

Regulatory News:

Sodexo (Paris:SW) (OTCBB:SDXAY) (NYSE Euronext Paris FR 0000121220-OTC:
SDXAY), world leader in Quality of Life Services, today reported its revenue
for the first nine months of Fiscal 2013, which ended on May 31, 2013.

Revenues by business and region

Revenues       9        9                     Organic                                     Total
              Months  Months  Organic     Growth     Currency    Acquisitions^(4)  change
In millions    Fiscal   Fiscal   Growth^(1)   excluding   effect^(3)                      (reported)
of euro        2013     2012                  Rugby^(2)
North         5,398   5,168   +1.4%                  +2.5%       +0.5%             +4.4%
Continental    4,408    4,341    +0.8%                    +0.5%        +0.3%              +1.6%
Rest of the    2,801    2,620    +7.0%                    -0.4%        +0.3%              +6.9%
Kingdom and    1,038    1,024    -1.4%        +4.2%       +1.6%        +1.1%              +1.3%
On-site       13,645  13,153  +2.1%       +2.5%      +1.2%       +0.4%             +3.7%
Benefits and
Rewards       583     565     +6.7%                 -5.1%       +1.4%             +3.0%
Eliminations   (9)      (12)
CONSOLIDATED  14,219  13,706  +2.3%       +2.7%      +0.9%       +0.5%             +3.7%

^(1) Organic Growth: ^ increase in revenues at constant scope of consolidation
and exchange rates

^(2) Excluding the 55 million euro in additional revenues from Rugby World
Cup-related business in first-quarter Fiscal 2012

^(3) Material changes in exchange rates are presented in Appendix 2 (page 12)

^(4) Acquisitions:

  *On-site Services: Roth Bros (United States), Atkins (United Kingdom),
    Lenôtre (France), MacLellan (India)
  *Benefits and Rewards Services: ServiBonos (Mexico).

Commenting on these figures, Sodexo CEO Michel Landel said:

“Growth over the first nine months remained satisfactory in a challenging
global environment.

Our Quality of Life Services offer is well aligned with the needs of our
clients, who are looking for an extensive range of services for their
facilities around the world. Our well-adapted offer also drove the growth
achieved in Benefits and Rewards Services in the third quarter, particularly
in Latin America.

In addition, emerging markets continue to offer strong growth potential.”

1. Analysis of the Group’s organic growth

                                9 Months   9 Months   Organic   Organic Growth
In millions of euro            Fiscal    Fiscal    Growth   excluding
                                2013       2012                 Rugby ^1
Corporate                      7,104     6,755     +3.8%    +4.6%
Healthcare and Seniors         3,298     3,226     +0.4%    
Education                      3,243     3,171     +0.2%    
Total On-site Services         13,645    13,153    +2.1%    +2.5%
Benefits and Rewards Services  583       565       +6.7%    
Eliminations                   (9)       (12)              
CONSOLIDATED TOTAL             14,219    13,706    +2.3%    +2.7%

^1 Excluding the 55 million euro in additional revenues from Rugby World
Cup-related business in early Fiscal 2012.

On-site Services

On-site Services revenues totaled 13.6 billion euro in the first nine months
of Fiscal 2013, up +3.7% on the year-earlier period. Organic growth stood at
+2.1% or +2.5% excluding the positive impact of the Rugby World Cup in Fiscal
2012. Facilities management services continued to deliver gains exceeding
growth in foodservices in every region, confirming the validity of the Group’s
positioning. The fiscal year continues to be shaped by a decline in
foodservices volumes and rising pressure from clients seeking to lower costs.

  *Organic growth in the Corporate segment amounted to +3.8%, or +4.6%
    excluding the impact of the Rugby World Cup. It was driven by two positive

       *Increased demand from corporates in North America and Europe for
         integrated Quality of Life Services contracts.
       *Sodexo’s solid growth in emerging markets, despite the economic
         slowdown observed since last summer.

  *The +0.4% improvement in the Healthcare and Seniors segment primarily
    reflected the lower client retention rate in North America in Fiscal 2012.
    Nevertheless, Sodexo’s recent major contract wins in North America helped
    to drive a gradual return to growth in this client segment in the third
  *In Education, organic growth came to +0.2%, in particular due to a more
    selective approach to new contracts in the public school sector.

Benefits and Rewards Services

Organic growth in the Benefits and Rewards Services activity over the first
nine months of the fiscal year accelerated to reach +6.7%, gaining momentum
compared with the first half. This performance was primarily due to sustained
development in Latin America.

2. Analysis of organic growth in On-site Services

2.1 North America


In millions of euro     9 Months Fiscal  9 Months Fiscal  Organic Growth
                         2013              2012
Corporate               1,214            1,087            +6.8%
Healthcare and Seniors  1,898            1,867            -0.8%
Education               2,286            2,215            +0.6%
Total North America     5,398            5,168            +1.4%

On-site Services revenues in North America totaled 5.4 billion euro for the
period, with organic growth of +1.4% year-on-year.

Organic growth in the Corporate segment was a high +6.8%, led by the success
of technical services for clients such as General Electric; the contribution
of new contracts such as the prestigious Circuit of the Americas, home to the
United States Formula 1 Grand Prix; and the growth in site revenue and new
contract wins in the Remote Sites business in Canada.

Healthcare and Seniors revenues contracted by -0.8%, due to the weak new
business in Fiscal 2012 and a decline in the client retention rate, in
particular with the full impact over the period of the loss of the Ascension
Health System contract. However, the major contracts won by Sodexo teams since
the beginning of the fiscal year helped to drive a return to growth in the
third quarter. One of the highlights of the first nine months was the gradual
start-up of services at an initial group of sites under the large contract
with HCR ManorCare, one of the leading U.S. retirement home operators with 290
facilities in 32 states and nearly 40,000 residents. Once the contract is
fully deployed, it will represent annual revenues of some 220 million U.S.

Other contracts won in the third quarter included Altru Hospital (North
Dakota), Cedar Village (Ohio) and Great Plains Regional Medical Center (three
sites in Nebraska).

In Education, organic revenue growth came to +0.6%.  Growth in revenue at
existing sites was modest due to lower spending by students on university
campuses and a decline in the number of meals served in schools.

New contracts signed during the period included Spotsylvania School District
(Virginia), Limestone College (South Carolina), Teaneck School District (New
Jersey) and Southwest School District (Indiana).

2.2 Continental Europe


In millions of euro       9 Months     9 Months     Organic Growth
                           Fiscal 2013   Fiscal 2012
Corporate                 2,575        2,520        +1.2%
Healthcare and Seniors    1,065        1,057        +0.4%
Education                 768          764          +0.1%
Total Continental Europe  4,408        4,341        +0.8%

Sodexo continues to enjoy excellent growth in Russia, but the difficult
economic environment is weighing on its performance in the rest of continental
Europe. The extended range of Quality of Life services nevertheless helped to
deliver organic growth of +0.8% over the first nine months of Fiscal 2013.

The +1.2% organic growth in the Corporate segment was led by the ramp-up
across Europe of contracts comprising extensive technical services. Contracts
recently signed by Sodexo teams include the European Space Agency and Air
France (France) and Endesa (Spain).

In Healthcare and Seniors, revenue advanced by +0.4%, representing an
improvement on the first six months of the fiscal year. The number of new
contracts rose in the third quarter, with a selective approach continuing in
Southern Europe. Sodexo teams recently signed major contracts in this segment,
including Clinique Saint-Martin- Groupe Medi Partenaire in France.

In Education, organic growth amounted to +0.1%, primarily reflecting modest
growth in revenue from existing sites, particularly in Spain and Italy due to
pressure on school budgets and reduced student spending. Sodexo teams recently
won a number of contracts, including Satakunta University of Applied Sciences
(five campuses in Finland), Täby Municipality (10 sites in Sweden) and the
Toulon City Hall (France).

2.3 Rest of the World (Latin America, Asia, Africa, Australia, Middle East and
Remote Sites)


In millions of euro      9 Months     9 Months     Organic Growth
                          Fiscal 2013   Fiscal 2012
Corporate                2,586        2,414        +7.3%
Healthcare and Seniors   129          117          +9.4%
Education                86           89           -4.2%
Total Rest of the World  2,801        2,620        +7.0%

In the Rest of the World (Latin America, Asia, Africa, Australia, Middle East
and Remote Sites), Sodexo holds a leadership position in emerging and high
potential markets. Revenues for the first nine months came to 2.8 billion
euro, reflecting organic growth of +7%. Sodexo’s commercial performance in
these countries remains strong.

Despite a sharp slowdown in manufacturing activity in some emerging markets,
particularly Brazil and China, organic growth in the Corporate segment
remained solid at +7.3%. In particular, this performance attests to Sodexo's
expertise in serving mining companies in Australia and Latin America. However,
the completion of several construction projects in Remote Sites has negatively
impacted revenue growth since the beginning of the fiscal year.

A number of new contracts were won over the period, including Hitachi
Equipment Manufacturing, Sinosteel and Boston Consulting Group (China), the
Kuwaiti Ministry of Interior (four governorates, 23 sites), Honda and CIPLA
(India) and ABB Group (Oman), Myoung Shin (Brazil), Hydrochile (Chile).

The Healthcare and Seniors segment continued to expand rapidly in Asia and
Latin America, with organic growth of +9.4% and the signature of important
contracts such as Hospital São Rafael (Brazil). In Education, Sodexo teams won
contracts such as Hong Kong International School and Birla Institute of
Technology and Science (India).

2.4 United Kingdom and Ireland


In millions of euro     9 Months     9 Months     Organic Growth
                         Fiscal 2013   Fiscal 2012
Corporate               730          735          -3.2%
Healthcare and Seniors  205          185          +7.3%
Education               103          104          -4.6%
Total United Kingdom    1,038        1,024        -1.4%
and Ireland

Revenues in the United Kingdom and Ireland stood at 1 billion euro. Excluding
the favorable effect of the 2011 Rugby World Cup hospitality contract in
first-quarter Fiscal 2012, organic revenue growth in the first nine months of
Fiscal 2013 came to +4.2%.

In the Corporate segment, nine-month Fiscal 2013 revenues excluding the impact
of the Rugby World Cup grew by a robust +4.7%. This performance was due to the
London Paralympic Games in early September 2012, with around 13 million euro
in revenues, as well as the ramp-up over the full nine-month period of several
integrated services contracts, such as the ones with AstraZeneca, Unilever and
Augusta Westland.

In Healthcare and Seniors, organic revenue growth accelerated to +7.3%, led by
the deployment of new services for several teaching hospitals, including North
Staffordshire University Hospital and Brighton and Sussex University Hospital.

3. Benefits and Rewards Services

3.1 Issue volume Benefits and Rewards Services

In millions of euro  9 Months Fiscal  9 Months Fiscal  Organic Growth
                      2013              2012
Latin America        5,999            5,235            +20.6%
Europe and Asia      6,089            5,940            +1.0%
Total Issue volume   12,088           11,175           +10.2%

Issue volume totaled 12.1billion euro, representing organic growth of +10.2%.

In Latin America, Sodexo’s marketing vitality in Brazil as well as the
increased face value of issued vouchers and cards in several countries helped
to boost organic growth to a strong +20.6%.

In Europe and Asia, organic issue volume growth came to +1%. This growth was
reduced by -1.8% by the impact on volumes over the full nine months of the new
regulations introduced in Hungary in January 2012.

3.2 Revenues Benefits and Rewards Services

In millions of euro  9 Months Fiscal  9 Months Fiscal  Organic Growth
                      2013              2012
Latin America        330              313              +12.8%
Europe and Asia      253              252              -0.9%
Total Revenues       583              565              +6.7%

Revenues for the first nine months came to 583 million euro, with organic
growth of +6.7%.

Organic revenue growth in Latin America rose in the third quarter to end the
period at +12.8%,  reflecting solid gains with small and medium-sized
companies and less pressure on client commissions in Brazil.

The -0.9% revenue decline in Europe and Asia included the impact of new
regulations introduced in Hungary in January 2012. Otherwise, organic growth
in the region would have been +2.4%.

Recent contract wins included FEMSA in Mexico, Colombia, Venezuela and Brazil,
representing more than 140,000 beneficiaries, and Capgemini in India, with
14,000 beneficiaries.

Partnership agreement with the OECD

In May 2013, Sodexo and the Organisation for Economic Cooperation and
Development (OECD) announced an ambitious three-year partnership agreement to
promote quality of life as a factor in the development and progress of

Under the terms of the agreement, the first of its kind for both Sodexo and
the OECD, the two organizations will exchange information related to quality
of life with actors in society (private sector, NGO’s, academics, etc.) and
the public sector. Through its ongoing work with governments, business and
labor organizations, the OECD has acquired a macro-economic vision on quality
of life which it has translated into a unique international indicator: the
Better Life Index.

Sodexo, thanks to its 420,000-strong workforce and the 75 million people
served by the company daily, is continuously developing Quality of Life
services. The partnership will enable the two groups to exchange their
experience on these complementary perspectives.

Financial position

As of May 31, 2013, there have been no material changes in the Group’s
financial position or debt levels relative to the financial position at
February 28, 2013, as presented in the Financial Report for the first half
Fiscal 2013.


In a difficult economic environment, and given the high prior-year
comparatives resulting from special events like the Rugby World Cup, the
Olympic Games and a 53^rd week in the North American calendar, Sodexo confirms
its objectives:

  *For Fiscal 2013:

       *Organic revenue growth of 1% to 2%.
       *Operating profit^1 stable compared with Fiscal 2012.

^1 Excluding the currency effect and the exceptional costs of the operational
efficiency improvement program in Fiscal 2013 and the favorable impact of UK
pension obligations in Fiscal 2012.

Financial communications schedule

Fiscal 2013 Results                   November 14, 2013
First-Quarter Fiscal 2014 Revenues    January 8, 2014
Annual Shareholders' Meeting          January 21, 2014
First-Half Fiscal 2014 Results        April 17, 2014

Conference call

Sodexo will hold a conference call (in English) today at 8:30 a.m. (Paris
time), to comment on revenue for the first nine months of Fiscal 2013. The
presentation can be followed via webcast at The press release
and the presentation will be available on the Group website:
under the "Latest news" section beginning at 7:00 a.m. A recording of the
conference will be available by dialing +44 (0) 1452 550 000, followed by the
pass code 98 39 78 82.

About Sodexo

Founded in 1966 by Pierre Bellon, Sodexo is the global leader in services that
improve Quality of Life, an essential factor in individual and organizational
performance. Operating in 80 countries, Sodexo serves 75 million consumers
each day through its unique combination of On-site Services, Benefits and
Rewards Services and Personal and Home Services. Through its more than 100
services, Sodexo provides clients an integrated offering developed over more
than 45 years of experience: from reception, safety, maintenance and cleaning,
to foodservices and facilities and equipment management; from Meal Pass, Gift
Pass and Mobility Pass benefits for employees to in-home assistance and
concierge services. Sodexo’s success and performance are founded on its
independence, its sustainable business model and its ability to continuously
develop and engage its 420,000 employees throughout the world.

Key figures (as of August 31, 2012)

18.2 billion euro consolidated revenue

420,000 employees

20th largest employer worldwide

80 countries

34,300 sites

75 million consumers served daily

10,5 billion euro market capitalization (as of July 9, 2013)

Principal risks and uncertainties

There were no significant changes to the principal risks and uncertainties
identified by the Group in the "Risk Factors" section of the Fiscal 2012
Registration Document filed with the AMF November 12, 2012.

This press release contains statements that may be considered as
forward-looking statements and as such may not relate strictly to historical
or current facts. These statements represent management's views as of the date
they are made and Sodexo assumes no obligation to update them. The reader is
cautioned not to place undue reliance on these forward-looking statements.



On-site Services


Air France, Orly, France
Blackberry, Waterloo, Canada
Boston Consulting Group, Shanghai, China
Canadian Museum of Civilization, Ottawa, Canada
Cipla Palliative care and training center, Pune, India
Endesa, Madrid, Spain
European Space Agency, Paris, France
Fortius Athlete Development Center, Burnaby, Canada
Hitachi Equipment Manufacturing, TianJin, China
Honda Motor Cycles and Scooter, Karnataka, India
Kuwaiti Ministry of Interior, 23 sites, Kuwait
Myoung Shin,  Piracicaba, Brazil
PWC Sydney, Australia
Sinosteel, Wuhan, China


Lanvéoc Poulmic Naval Aviation base, France

Healthcare and Seniors

Altru Hospital, North Dakota, US
Cedar Village, Ohio, US
Clinique Saint-Matin-Groupe Medi Partenaire, Pessac, France
Great Plains Regional Medical Center, 3 sites, Nebraska, US
Hospital São Rafael, Salvador, Brazil


Hong Kong International School, Hong Kong
Limestone College, South Carolina, US
Mairie de Toulon, Toulon, France
Peace College, North Carolina, US
Satakunta University of Applied Sciences (SAMK), Pori, Rauma and Kankaanpää,
Southwest School District, Indiana, US
Spotsylvania School District, Virginia, US
SSMS and Birla Institute of Technology and Science, Rajasthan, India
Täby Municipality, 10 sites in Stockholm, Sweden
Teaneck School District, New Jersey, US

Remote Sites

ABB Group, Saih Nihayda, Oman
Hydrochile S.A.,  San Fernando, Chile
Suncor Fort Hills, Fort McMurray, Canada
Trepang Services – Blaydin Village, Darwin, Australia

Sports and Leisure

Sefa, Gothenburg, Sweden

Benefits and Rewards Services


ASISA, Madrid, Spain
Crédit Agricole Alsace Vosges, Strasbourg, France
G4S Secure Solutions, London, United Kingdom
Koton Magazacilik, Istanbul, Turkey
Mars Sinemacilik, Istanbul, Turkey
Mediapro, Madrid, Spain
Parfums Christian Dior, Paris, France
Sanofi-Aventis Ilaclari, Istanbul, Turkey

Latin America

Compania de Docas do Estado de Sao Paulo, Santos, Brazil
Empresa Mixta Socialista Arroz del Alba, Calabozo, Venezuela
Escritório Central de Arrecadação e Distribuição, Brasilia, Brazil
FEMSA, Mexico, Colombia, Venezuela, Brazil
Leviton, Tijuana, Mexico
MDN.Ejercito Nacional Regional De Apoyo De Servicios Para La Inteligencia
Militar, Bogota, Colombia
Opticas Gmo Colombia S.A.S., Bogota, Colombia
Plastamp, Cabo de Santo Ago, Brazil
Reckitt Benckiser, Mexico, Mexico


Capgemini, Mumbai, India


Exchange rates

The principal average exchange rates for the first 9 months of Fiscal 2013

                 Average rate     Average rate

1 EUR =         9 first months  9 first months  Variation
                                  Fiscal 2012
                 Fiscal 2013
US dollar       1.3048          1.3372          +2,5%
Pound Sterling  0.8288          0.8438          +1,8%
Brazilian Real  2.6484          2.4002          -9,4%


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