Amer Sports Capital Markets DayBökars 15.8.2006Jean-Luc DiardPresident

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Outdoor Ftwr& App

Fitness Golf Bikecomponents

Winter equipt Tennis

OUR MARKETS

Americas26 %

Asia10 %

EMEA64 %

Winter sports equipment

52 %

Cycling16 %

Other4 %

Soft goods28 %

SALOMON NET SALES 2005

WINTER SPORTS EQUIPMENT

SALOMON MARKET POSITION

Alpine: 1

Snowboarding: 3

Nordic: 1

PRODUCT HIGHLIGHTSX-wing: ski test winner in Ski Magazin

PRODUCT HIGHLIGHTSNew Smartrak binding

PRODUCT HIGHLIGHTSNew reference in alpine boots

PRODUCT HIGHLIGHTSA record year for Nordic

389

456 444398

373 356325

0

50

100

150

200

250

300

350

400

450

500

1999

2000

2001

2002

2003

2004

2005

WINTER SPORTS EQUIPMENT SALES

SOFT GOODS

Adventure 7 - 1992Exit 2 Low - 1998

Snow Clog - 1998

XA Pro - 2002

Tech Amphibian - 2002

Symbio - 2006

SOFT GOODS - FOOTWEAR

PRODCT HIGHLIGHTSOutdoor industry award for soft shell footwear

P1 - Salomon Softgoods - May 2006

SOFT GOODS - APPAREL

Technical outerwear, harnesses, layering systems and backpacks

PRODUCT HIGHLIGHTSAward winning new generation of back bags

110

134144

160 157169 171

0

20

40

60

80

100

120

140

160

180

200

99 2000 2001 2002 2003 2004 2005 *

SOFT GOODS SALES

* 2005 Perimeter changereduced reported sales

The cyclingcomponent

business

BIKE COMPONENTS MARKET

860

525450

330

11030

550

Transmission Wheels & rims Tires Forks Pedals Mesure Other

Core Mavicbusiness

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200

400

600

800

1000

1200

NO 1 No 2 Mavic No 4 No 5 No 6 No 7 No 8

#3 IN COMPONENTS, # 1 IN WHEELS

8 %

48 %

24 %

9 % 11 %

Road MTB City BMX others

2 M

12 M

6 M

2,2 M2,8 M

20 Million units

SPORTS BIKES MARKET(VOLUME / YEAR)

PRODUCT HIGHLIGHTSNew range of wheels in volume price points

9990

8175

5855

44

0

20

40

60

80

100

120

99 2000 2001 2002 2003 2004 2005

CYCLING SALES

SALOMON TURNAROUND PLAN 2006 -2008

SALOMON TURNAROUND PLAN 2006 -2008

• In simpliest terms, it can be expressed this way …

10

11

12

13

14

15

16

17

18

19

20

EBIT

3%

10%

WINTER SPORTS EQUIPMENT

Alpine

Skis / bindAlpine Boots Snowboard Nordic

By far our main issue

SOFT GOODS

Salomon Footwear

Salomon App & gear Bonfire

Arc Teryx

Apparel Sales are growing very rapidly yet we need to improve profitability

Restructuring Synergies ProfitableGrowth

2006 2007 2008

SALOMON TURNAROUND PLAN3 KEY STEPS

1. Focus on core activities2. Raise margins through industrial

restructuring3. Lower OPEX base4. Improve working capital management 5. Evolve / change the culture

SALOMON TURNAROUND PLAN2006 RESTRUCTURING

2006 RESTRUCTURINGFOCUS ON CORE ACTIVITIES

• Exit from non-core activities• In-line skates• Surf

• Focus on key activities• Winter sports equipment• Soft goods• Cycling

2006 RESTRUCTURINGINDUSTRIAL COSTS AND OPEX BASE

• Re-organisation of the ski production• Lower OPEX base• Reduction of 370 posts• Process completed in June for HQ, in

October for the factory

• Our DSI is too high• Target to reduce working capital by 50 MEUR

2006 RESTRUCTURINGIMPROVE WORKING CAPITAL MANAGEMENT

0

50

100

150

200

250

Atomic Precor Salomon Suunto Wilson

DS

I

• Learn to work with less resources

• Be more bottom line driven

• Simplification and focus vs complexity

2006 RESTRUCTURINGEVOLVE / CHANGE THE CULTURE

Starting to get the benefits of prior action plans

• New products in key categories• Improved margins in hardgoods• Expense reduction

2006 BESIDES RESTRUCTURING ….

• YTD sales are 12% up vs PY on pro forma basis

• The product platform is solid as all brands andproduct lines show growth

• EBIT for FY 06 should already show improvement

2006

THE RESULTS

Restructuring Synergies ProfitableGrowth

2006 2007 2008

SALOMON TURNAROUND PLAN3 KEY STEPS

• Industrial and product development

• Sales & Distribution

• Administrative & other

2007 SYNERGIESSYNERGIES WITH AMER SPORTS

2007 SYNERGIESATOMIC AND SALOMON UNTIL NOW…

The challenge

From respectful enemies

to

using our complementarities

to

help each other grow sales and margins

2007 SYNERGIESATOMIC AND SALOMON

0

50

100

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300

350

Salomon Number 2 Number 3 Atomic Number 5 Number 6 Number 7 Number 80

100

200

300

400

500

600

A+S Number 2 Number 3 Number 4 Number 5 Number 6 Number 7

Before After

2007 SYNERGIESWINTER SPORTS SALES BENCHMARK

1. Common industrialization and production

2. Gliding products led by Atomic

3. Boots led by Salomon

4. Joint effort on Alpine bindings

5. Brand identity through independend product design

GENERAL ORGANISATIONAL PRINCPILESATOMIC/SALOMON

2007 SYNERGIESATOMIC AND SALOMON

VOLUMES MARGIN

ALPINE SKIS + ++++AND BINDINGS

ALPINE BOOTS ++ ++

SNOWBOARDING + +

NORDIC ++ +

Alpine and XC skis = # 1 priority• Atomic know-how in efficient conception / manufacturing• Better buying power• Efficient production sites

Alpine and XC boots = # 2 priority• Salomon know how and production facilities• Better buying power

2007 SYNERGIESINDUSTRY AND PRODUCT DEVELOPMENT

2007 SYNERGIES

SYNERGIES , NOT CANNIBALISATION !!!

Maximize synergies on the unvisible part, Maintain brands appeal to the consumers

Do not confuse the retailers

Attractive, and clear brand identities andproduct personnalities are a must

SAME APPEAL

DISTINCT PERSONALITIES

• Maximize back office synergies within the commonsales organisation

• Transfer means to the front office

• Leverage Group weight toward key accounts

• Implement synergies between complementaryproducts and brands

2007 SYNERGIESSALES & DISTRIBUTION

• Global sourcing

• Group logistics

• Global IT platform

• Global support functions

LONGER TERM SYNERGIESADMINISTRATION

Restructuring Synergies ProfitableGrowth

2006 2007 2008

SALOMON TURNAROUND PLAN3 Key Steps

In addition to the turnaround, we need to start to preparefor the profitable growth

• Brand revitalisation• Pockets of growth through improved competitiveness• Further opportunities in

– Cycling – Soft goods– Retail

2008 ONWARDSPROFITABLE GROWTH

CONCLUSION

• There probably could not have been a better time for Amer Sports to acquireSalomon

• Salomon group enables Amer Sports– to consolidate leading positions in

Wintersports– enter the significant and interesting markets of

Outdoor / Softgoods and Cycling equipment .

• Target for 40 MEUR EBIT improvement is intact– Restructuring– Exit from unprofitable businesses– Alpine industrial reorganisation and

product platforms

• Process to decrease working capital by 50 MEUR has started

• 2006 will already show some progressand 07 should confirm the trend .

Thank you for yourattention !