BIC Company By: Graham Davis

Table of Contents Company History Product Mix Stock Information Company Financials Financial Charts (Euro/USD) BIC Disposable Lighter (history) Product Breakdown Product Financials

Company History Founded in 1945 (Clichy, France) Founders: Marcel Bich and Edouard Buffard Originally manufactured fountain pen and mechanical pencil parts Products are: Simple, Inventive, Reliable, and for Everyone, Everywhere Total Employees: 10,455 9,198(Full-Time) 1,257(Part-Time)

Product Mix Stationary Ballpoint Pens, Pencils, Highlighters, Ect. Lighters Classic, Electronic, Multipurpose, Cases Shavers Men and Women's Disposable Razors Other Products/Promotional Products Batteries, BIC Phone, Pantyhose

Stock Information Outstanding Shares: 48,245,532 (2012) 48,341,785 (2010) 47,565,299 (2011) Net Income per Share: $4.29, $5 (2010,2011) Dividend Per Share: $1.90, $2.20 (2010,2011)

Financial Information (USD) (2010/2011/ Months) Net Sales: 2.334/2.324/1.828 Billion Gross Profit: Billion/1.145 Billion/ (Mil.) Gross Profit (% sales): 47.5%/49.3%/51.7% Net Income /303.20/ (Mil.)

Financial Chart (Mil. Euro)

Financial Chart (Mil. USD)

Net Sales Geographic Europe 29% (2010) 28% (2011) North America 42% (2010) 40% (2011) Developing Market 29% (2010) 32% (2011)

Net Sales By Category Stationary 32% ( ) Lighters 26% (2010) 28% (2011) 28% (2012) Shavers 17% (2010) 18% (2011) 18% (2012) Other 5% ( ) Advertising/Promo 20% (2010) 17% (2011) 17% (2012)

Net Sales By Category

BIC Disposable Lighter Started 1972 Uses high-tech manufacturing process It produces lighters in four factories located in France, Spain, the United States and Brazil. 5 Million lighters manufactured daily Each lighter undergoes more than 50 automated quality and security test

BIC Factory BIC factory operatione – Manufacturing of primary parts – Sub-assembly – Automatic gas filling – Assembling, Controlling, and packaging 3 Principles of Lighter Design Saftey&Quality, Consumer Friendliness, Value for money

Lighter Components Gas Reservoir 1)Body-plastic 2)Base-plastic 3)Ball-metal Lighting mechanism 4)Flint spring 5)fork spring 6)valve-steel 7)jet-steel 8)flint-flint 9)Fork-pastic/steel 10)Spark Wheel-serrated steel Safety 11)Hood-steel 12)Guard-steel

Raw Materials Used/Cost % Plastics- 39% Delrin is a high grade plastic resin Metals-23% Ink and Solvents-6% Packaging and Other-32%

Lighter Financial Information Total Units Produced (Billions): (2010) (2011) Sales Revenue (Million USD): (2010) (2011) (2012) Variable Cost (Million USD) (2010) (2011) (2012) Total Contribution Margin (Million USD) (2010) (2011) (2012) Contribution Margin % 36.1% (2010) 39.1% (2011) 38.97%

Per Unit Breakdown 2011 Revenue Per Unit:.4939 Variable Cost Per Unit:.3007 Materials-40% (.12028) Labor-25% (.075) Manufacturing Overhead-35% (.105) Profit Per Unit:.1932

Materials Cost Per Unit Plastics:.047 Metal:.028 Ink:.007 Packaging:.038

Overview BIC lighters account for28% of the companies revenue Post a consistent 30-40% Contribution margin as percent of sales Gross Profit for lighters 2011: Million Euro

Refrences