FACT SHEET - Oriflame

FACT SHEETFounded in 1967 by two brothers and their friend, Oriflame is now an international beauty companyselling direct in more than 60 countries worldwide. Its wide portfolio of Swedish, innovative beautyproducts inspired by nature are marketed through a sales force of approximately 3.5 millionindependent consultants, who together create annual sales exceeding €1.5 billion.Oriflame offers a leading business opportunity for people who want to start making money on dayone and work towards fulfilling their personal dreams and ambitions through its unique businessconcept – Make Money Today and Fulfil Your Dreams Tomorrow.Respect for people and nature underlies the company’s operating principles and is reflected inits social and environmental policies. Oriflame supports numerous charities worldwide and is aCo-founder of the World Childhood Foundation. Oriflame Cosmetics is listed on the Nasdaq OMXNordic Exchange.FINANCIAL HIGHLIGHTS2006 * 2007 *Sales, €m 917.9 1,109.4Gross profit, €m 634.7 777.8EBITDA 144.6 182.3Operating profit, €m 127.1 155.4Net profit, €m 93.5 116.0Operating cash flow, €m 121.6 102.2Return on operating capital 43.4% 60.2%2008 *1,329.1926.1216.6187.3133.191.362.4%2009 *1,316.6874.8167,0146.8101.7131.745,4%2010 *1,513.61,002.5184.4168.1128.390.342,7%SALES (€m)1800 2515001200900600300917.91,109.41,329.11,316.61,513.6201510513.8Return on capital employed 53.5% 48.7%51.8%35.9%34.4%02006 2007 20082009201002006EPS, diluted, € 1.61 2.05*) Before exceptional items2.361.782.25SALES FORCE (`000)(AVERAGE)1800 251,513.61500203500300032843515REGIONALSALES 20101,329.112001,109.4REGIONAL 900OPERATING917.9PROFIT 20101,316.615SALES BY PRODUCTCATEGORY 20101013.8 14.0 14.111.111.12500200015001809223427876001000300550002006 2007 20082009201002006 2007 20082009201002006 2007 20082009 2010OPERATINGMARGIN (%)CIS & Baltics 57%EMEA 27%Asia 10%Latin America 6%CIS & Baltics 70%EMEA 28%Latin America 2%Asia 0%Colour Cosmetics 24%Skin Care 22%1500Personal & Hair Care 20%Fragrances 21%1200Accessories & Wellness 13%1800 25900917.91,109.41,329.11,316.61,513.620151013.8 14.0 14.111.111.135003000250020001500186001000300550002006 2007 20082009201002006 2007 20082009201002

GROWTH RECORD2000–2010 CAGRSales 14%EBIT 12%VISIONTo be the # 1 Beauty Company Selling Direct.OBJECTIVESOriflame’s primary objective is to increase shareholder valuethrough growth in sales and operating profit and the efficientuse of capital.Oriflame Cosmetics aims to achieve local currency sales growthof approximately 10 per cent in local currency per cent perannum and an operating margin of 15 per cent.FACTS• Co-founded in Sweden in 1967 by Jonas and Robert af Jochnickand Bengt Hellsten.• Present in more than 60 countries in five regions.• Production facilities in Poland, India, Sweden, China and Russia.• A product range of approximately 1000 cosmetics products.• New catalogue every 3–4 week.• 8300 employees.GLOBAL RESPONSIBILITYOriflame has always been guided by the ethics of its foundingfathers, and responsible business practices are at the heart ofthe Company’s success and future growth. In 2010, Oriflametook the decision to deepen its commitment to global corporatesustainability, focusing on the areas of environment, communityand people.The Company has developed a comprehensive new strategyfor environmental responsibility, which includes a series ofcommitments across four key areas: sustainable sourcing,climate change, water and waste. Oriflame has reaffirmed itssocial mission, covering community investment andphilanthropic activities.It has also enhanced its commitment to the wellbeing ofemployees and consultants. The overall purpose is to fulfilthe expectations of customers, sales consultants, employees,shareholders, and society in general, who all aspire to be part of aresponsible business.ORIFLAME MARKETS• Oriflame has entered 41 new countries since 1990.• Between 1990–2010, sales CAGR has been 16%.Market EntriesYear Country1967 Sweden, Denmark1968 Finland1969 Norway1970 UK1972 Holland1978 Spain1985 Portugal1986 Indonesia1989 Chile1990 Czech Republic1991 Poland, Hungary, Mexico1992 Russia, Turkey, Latvia1993 Ukraine, Slovakia, Greece1994 Bulgaria1995 Peru, Lithuania, Romania, India1996 Macedonia, Ecuador, Croatia1997 Estonia, Morocco, Egypt, Slovenia, Sri Lanka1998 Azerbaijan, Colombia, Bosnia2000 Kazakhstan, Thailand, Georgia2001 Serbia and Montenegro2002 Mongolia2003 Moldova, Vietnam, Armenia2004 Lebanon2005 Belarus2006 China2008 Kyrgyzstan, PakistanGROUP SUPPORT OFFICEOriflame Cosmetics ABPO Box 1095SE –10139 StockholmSWEDENOur core valuesTogetherness Spirit Passion“People who work together and share thesame goals achieve greater results. Theymotivate each other and know that pullingtogether is more rewarding than goingit alone.”“People with can-do spirit have a winningattitude and never give up. They areprepared and committed to do what ittakes to succeed.”“Passionate people have the power tochange the world. They love what they do,they believe in it. They know deep downthat they can make a difference.”