ELECTRONET

The Greek Market -Analysis 2006 Growth vs 05 Consumer Electronics680m€10% IT-Multimedia250m€11% Major Domestic Appliances450m€3% Small Domestic Appliances120 m€5% Air Conditioning100m€15% Total Market 1.600m€

The Greek market- Key Players

RETAIL BRAND AWARENESS Market Analysis

Market Trends Heavy Price War in all range of products Media Μarkt expands through 7 new (10 total) Mega Stores Dixons and Ilektroniki invest on huge amount of m² in order to compete the Media Markt expansion

Market Trends II Korasidis – a traditional local chain – is entering the market again after a 2 years absence due to financial problems Hyper Markets show significant market share losses Market shares losses of Small Buying Groups leads them to reduce their operations or to seek new strategic alliances

Market Trends III Expert and Electronet try to benefit the above situation and recruit new members Suppliers support the effort of the two big and healthy local BG (Expert and Electronet ) in order to compete the multinational competition

Market Analysis Key Players (2005 figures) Chains/Mass Media –Kotsovolos (Dixons Group)365m€ –Ilektroniki170m€ –Media Markt 60m€ Buying Groups –Expert180 m€ –Electronet 160 m€ –Magnet 70 m€ –Seios-Euronics 70 m€

Market Analysis II Major Domestic Appliances Main Categories 2006 Mkt SHARE Refrigerators155m€34% Cookers110 m€24% Washing Machines 95 m€21% Dishwashers 40 m€9% Freezers 22 m€5% MW 18 m€4% Others 10 m€2%

Market Analysis III Major Domestic Appliances Contribution of Channels 2006 Mkt Share Chains / Mass Media 240 m€53% Buing Groups195 m€43% Independents15 m€4%

Market Analysis IV Consumer Electronics Main Categories 2006 Mkt Share TV430 m€63% DVD – DVDR 70 m€10% Camcorders 50 m€ 8% Dig. Photo 60 m€ 9% Others 70 m€10%

Market Analysis V Consumer Electronics Contribution of Channels 2006 Mkt Share Chains / Mass Media 480 m€71% Buing Groups165 m€24% Independents35 m€5%

ELECTRONET-History Founded in 1996 from a group of dynamic and successful entrepreneurs. 27 stores participated in the initial scheme. Today Electronet numbers 65 members with 86 affiliated stores. Retail Turnover 2006 : 160 mil€ Wholesale Turnover 2006: 115 mil€ Electronet is the 4th biggest player in the Greek Market

Electronet-Organization Electronet is controlled by the B.O.D, which is elected every 3 years by the general assembly. The Company has 3 first line managers reporting to the General Manager.The GM is reporting to the President of B.O.D.

B.O.D Com.Director Marketing Fin.Director 3 Cat.pr.mngrs 8 assistants 2 assistants 2 Network mngrs Assistant Organizational Chart G.M. I.T.Director 3 administration

Electronet-Strategy Being the best choice for the consumer who wants to buy value for money Keep and develop shops in the best places all over the country Work together with our suppliers to add value through our services Consumer oriented services

Electronet-Distibution 86 shops, covering all major cities of the country, average size 250sq.m

86 shops 24 shops Athens Crete 10 shops Thessaloniki 4 shops Islands 6 shops Peloponese 10 shops Central Gr. 12 shops Macedonia & Thrace 20 shops

Meet Electronet shops…

Key Suppliers BSH, Electrolux, Miele, Whirlpool, Candy Sony, Philips, Panasonic Fujitsu, Toshiba

Electronet-Key Figures Key Statistics Key Financials

ELECTRONET Key Statistics 2006 vs 05 Market Share Consumer Electronics38m€+12%6% IT-Multimedia8,5m€+19%3,5% MDA48m€+7%11% SDA10,5 m€+11%8,75% Air Conditioning7 m€+18%7,5% Total Market112m€+10,3%7,2%

ELECTRONET Key Statistics II ELECTRONET has BIG and HEALTHY members: 15 members over 3 mil € 22 members over 2 mil € 18 members over 1 mil € Only 10 members under 1 mil €

ELECTRONET Key Financials Retail TURNOVER 114m€ 125m€ 145m€ 165m€ Vs PY +9% +16,5% +13% Retail EBT 5,4m€ 6,2 m€ 5,2 m€ 6,18 m€ Vs PY +12,9% -16% +17%

ELECTRONET Key Financials II Wholesale TURNOVER95 m€ 101 m€ 101,5 m€112 m€ Vs PY +6% +0,5% +10,3% EBT 0,65 m€ 0,7 m€ 0,75 m€0,75 m€ Vs PY+7,7% +7,1% 0% INVENTORIES 5,5 m€ 4,8 m€ 1,7 m€2,7 m€ Vs PY-12,7% -64,6% +58,8% BANK LOANS 5,8 m€ 3,3 m€ 1,8 m€0,5 m€ Vs PY-43,1% -45,5% -72,2%