DUFRY AG Listing of 4,218,750 Registered Shares

The Combined Company and Strategy
The Acquisition of Hudson, the leading travel retailer in North America, will be part of the Dufry Group’s
growth strategy. The combined company has 1,016 stores in 40 different countries, covers 138 airport locations,
has a retail surface of approximately 137,540 square meters in the aggregate and employs 11,588 employees (as
of June 30, 2008). The Dufry Group,will have a total global market share of 7 percent in terms of revenue in the
travel retail industry and a market share of 33 percent in the US travel retail market.
The analysis of Hudson’s business model shows that the duty-paid segment also provides significant
business opportunities alongside the duty-free business. The operative performance of Hudson Group illustrates
that an adequate duty-paid convenience store concept focused on travel retail can generate substantial value.
With Hudson’s large, high-quality concession portfolio and robust growth rates with high margins similar to
Dufry, Hudson is well suited to an international airport retailer such as Dufry. Hudson’s duty-paid business
model is highly complementary to Dufry’s currently predominant duty-free activities. The implementation of
such a best-in-class concept on an international scale in many of Dufry’s international locations and also new
locations should create a further revenue stream based on Dufry’s existing duty-free franchise.
With the support of Hudson’s current management team Dufry intends to roll out Hudson’s business model
internationally over the next three to four years. Primarily, Dufry will focus in a first phase on airports where it
already operates similar duty-paid concepts or where it already has a significant presence in duty-free retailing,
hence, leveraging its infrastructure and organization. On a second phase it intends to combine the duty free and
the duty paid concepts to further expand in new markets the travel retail, accessing to both international and
domestic passengers. Dufry expects to realize annual revenue and cost synergies from the acquisition in the
current scope of the business of approximately CHF 20 million within two years.
In addition, the Acquisition leads to a more balanced portfolio exposure of the Dufry Group, diversifying
different revenue streams. After the integration of Hudson, Dufry’s share of duty-paid business increases from
about 15 percent in 2007 to more than a third of sales.
Furthermore, Hudson’s valuable relationships with its airport and retail partners in the US will enhance
Dufry’s ability to develop in North America, particularly since many airports in North America are investing in
significant expansions, in part to build additional retail space. Current expansion plans affects to airports where
Hudson is already present, namely Dallas Fort-Worth, Baltimore, New York JFK, Atlanta Hartsfield and
Raleigh.
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