Club Méditerranée Plans to Close Club Med World Paris and Reorganize its European Call Center

PARIS--(Business Wire)--
Regulatory News:

Club Med World Paris

A project to close Club Med World Paris was presented today to the Works
Councils of Club Méditerranée SA (Paris:CU) and Club Med World France, its
subsidiary that operates the facility.

Since 2003, Club Méditerranée has helped Club Med World to deploy a wide range
of measures intended to reverse the revenue decline and restore profitability.

Despite these efforts and the strong commitment of team members, the Club Med
World "urban leisure" concept continues to show a loss. Moreover, it does not
fit with the Group`s strategic refocusing on its Villages business, which has
seen a considerable improvement in operating margins over the past two years.

Created in 2000 as part of a diversification strategy, the Club Med World
concept was to be rolled out to the capitals of several countries. In 2003, the
Club Med World in Montreal had to be closed because of substantial losses.

As for the Paris site, whose lease expires on 30 June 2010, no business model
has been found to stem the losses, which total nearly €40 million since its
opening.

The proposed closing, which could take effect as of 31 October 2009, would
involve the elimination of 106 jobs.

A range of measures would be introduced to reduce the impact on the employees
concerned and support outplacement initiatives.

Club Med European Call Center

The Works Councils of Club Méditerranée and CMCAE, its subsidiary that manages
the European call center, were today presented with a plan to reorganize the
center`s operations.

The reorganization is designed to adapt to major changes in consumer behavior
that have occurred in recent years. Among the factors supporting the
transformation are the increases in late bookings and online sales, as well as
recent technological developments.

The project to reorganize sales operations is the latest in a line of
initiatives introduced since 2007 that have helped to reduce distribution costs
as a percentage of worldwide revenue by 2.6 points in three years.

Direct distribution in France, Belgium, Switzerland and Italy, corresponding to
face-to-face and telephone sales to individual customers, would be handled by
the Club Med Voyages agency network, whose B-to-C capabilities would be
expanded. CMCAE would adjust to the new situation by leveraging its expertise
and experience acquired over the past ten years. Its specialized B-to-B skills
would be extended to focus on the processing of sales made via the indirect
network and it would also cater to last-minute online sales.

This change would enhance the sales efficiency of each distribution channel-call
centers and Club Med Voyages agencies-which would focus on their specific areas
of expertise and strengthen relations with their respective customers.

The call center transformation project would result in the elimination of 68
jobs and changes in a number of work contracts. A range of measures would be
introduced to reduce the impact on the employees concerned and support
outplacement initiatives.

Website: www.clubmed.com

Media contacts
Thierry Orsoni
Tel: +33 (0)1 53 35 31 29
thierry.orsoni@clubmed.com
or
Chrystel Baude / Julien Charles
Tel: +33 (0)1 53 35 35 87/ 40 01
chrystel.baude@clubmed.com / julien.charles@clubmed.com
or
Analyst contacts
Caroline Bruel
Tel:+33 (0)1 53 35 30 75
caroline.bruel@clubmed.com

Copyright Business Wire 2009