Publicis Groupe Associates its Employees in its Development

PARIS, March 11 /PRNewswire/ -- As approved at the combined annual shareholders' meeting on June 3, 2008 (23rd resolution), Publicis Groupe's Management Board (Directoire) has decided to closely associate its employees to Publicis Groupe development.

Firstly, the Management Board decided, with the Supervisory Board's approval, to allocate 50 free shares in the first half of 2009 to each of the 4,500 employees in France working in subsidiaries in which the Groupe owns over 50%. The granting of these shares will not be performance-related, but will be offered to those with the company for a minimum of three months and will be subject to a two-year holding period from the date of attribution. The shares will therefore be delivered to employees in the first half of 2011. Employees must then hold these shares for at least two years, in accordance with French law.

The free share scheme in France is the first step of a broader-based employee share-ownership program which will gradually benefit all the Groupe's employees in countries where the Groupe has significant operations. This plan will be implemented in the coming two years in order to take into account the diverse legal systems and tax regimes in countries in which the Groupe is established.

Secondly, a co-investment program has been offered to around 160 key executives to enable them to participate in a Publicis Groupe share investment program.

This program is based on a personal investment in shares bought on the market, and real commitment on the part of the key executives. It also includes retention and Groupe performance incentives. Subject to certain conditions, executive-investors will receive free shares rewarding loyalty after three or four years according to local rules. In addition, executive-investors may receive performance-related free shares based on Publicis Groupe's organic growth and operating margin by comparison with its peers.

Concerning the members of the Management Board, the free share allocation will be in compliance with the AFEP/MEDEF recommendations of October 2008. Those free shares will only be awarded based on the Groupe's growth and margin performance by comparison with its peers. The rules concerning continued presence in the Groupe and the holding period will be the same for everyone.

"The Management Board and Supervisory Board want to send a strong signal to all Groupe employees by offering them free shares at a time when the crisis is a challenge to all of us. The first stage of this program will be in France, but it will gradually be implemented worldwide. For key executives, this is a give-and-take arrangement whereby in exchange for their personal investment, they will be entitled to benefit from the Groupe's success, provided they remain with the Groupe, and the Groupe meets the performance criteria. By extending the scheme to the largest number and in setting up the co-investment and incentive program, the Groupe intends to reward all the employees behind its success. Furthermore, the Groupe wants to offer its staff incentives to provide its clients with solutions at the forefront of innovation, creativity and performance. The Groupe also wishes to encourage its employees to pursue its development by winning market shares and to consolidate its margins over the long term in order to uphold Publicis Groupe's corporate culture and independence," said Maurice Levy, Chairman and CEO of Publicis Groupe.

About Publicis Groupe

Publicis Groupe [Euronext Paris: FR0000130577] is the world's fourth largest communications group. In addition, it is ranked as the world's second largest media agency, and is a global leader in digital and healthcare communications. With activities spanning 104 countries on five continents, the Groupe employs approximately 45,000 professionals. Publicis Groupe offers local and international clients a complete range of advertising services through three global advertising networks, Leo Burnett, Publicis, Saatchi & Saatchi and two multi-hub networks, Fallon and 49%-owned Bartle Bogle Hegarty. Media consultancy and buying agency is offered through two worldwide networks, Starcom MediaVest Group and ZenithOptimedia; and interactive and digital marketing led by Digitas. Publicis Groupe recently launched VivaKi to leverage the combined scale of the autonomous operations of Digitas, Starcom MediaVest Group, Denuo and ZenithOptimedia to develop new services, tools, and next generation digital platforms. Publicis Groupe's Specialized Agencies and Marketing Services offer healthcare communications, corporate and financial communications, sustainability communications, shopper marketing, public relations, CRM and direct marketing, event and sports marketing, and multicultural communications. Web site: http://www.publicisgroupe.com