The Vision of Social Business Market Based Solutions to Social Problems

1. The Vision of Social BusinessMarket Based Solutions to Social Problems • « I am proposing to create another kind of business, based on the selflessness that is in all of us, I am calling it • Social Business » • Prof. Muhammad Yunus • Nobel Peace Prize Laureate • Founder of the Grameen Bank • Initiator of the Idea of social business

2. Typology of SB by social issues to be addressed Developing countries Developped countries Nutrition Healthyfood ex: « Projet Malin » Providing the poor with affordable essential goods and services Making goods and services effectively accessible to disadvantaged or excluded people Drinking water Healthcare, ex: « Optique solidaire » Energy Energy, ex: « Energie pour tous » Healthcare Housing ,ex:« Habitat et Humanisme » Education Financial services Financial services, ex: ADIE Any type of products and services Entreprised’insertion Creating job opportunities and income generating activities for handicapped, disadvantaged, excluded people Creating inclusive value chains for the benefit of local disadvantaged communities • Redistribution mechanisms of the value created through : • Fair trading • Shareholding by local stakeholders or producers • Profit sharing schemes Local development in disadvantaged areas Mission-driven finance Fondation Grameen Crédit Agricole 2

3. Typology of Social Business by shareholding structure • Social Business need a strategic investor: • Motivated by the social mission • Having the relevant know-how and management capacities Large Corporates (+SB InvestmentFunds) NGOs (+SB InvestmentFunds) Local Entrepreneur (+SB InvestmentFunds) Member or user ownedcompanies (+ SB InvestmentFunds) • Social Business Funds are facilitators, taking minority stakes alongside strategic investors and supporting the project in three ways: • Patient capital: equity, subordinated loans, shareholder accounts • Social performance measurement and reporting • Advisory services and non financial development and management support

4. Typology by families of investors General public Qualified / well informed investors HNWIs Private Equity Investors Development Finance Institutions Institutional Investors NGOs and Foundations Corporates Retail investors and employees Social Business Funds 90-10 SB Funds Fondation Grameen Crédit Agricole

5. The Grameen Crédit Agricole Social Business Fund * • On March 5th, the Board of Directors of Grameen Credit Agricole Foundation has decided* to set up the Grameen Credit Agricole Fund. • Objective: To rally socially motivated investors to the development of SB companies • A Fund 100% dedicated to SB : 15 to 20 millions Euros for debt and equity investment in SB enterprises • The Fund will be a SB in itself : the fund is aimed at the maximisation of the social impact.No enrichment of investorsbeyond their nominal investment. • The Fund will be closely linked to the Foundation as key investor and exclusive advisor to the Fund. • * Subject to approval by the CSSF Grameen Crédit Agricole Microfinance Foundation

6. GCA Fund – Investment policy FINANCIAL INSTRUMENTS SECTORS GEOGRAPHY • ESSENTIAL GOODS AND SERVICES FOR THE POOREST • Agriculture and agro industries • Other industrial sectors (energy, waste management, housing, health…) • Services (Culture, communication, transports…) • DEVELOPING COUNTRIES • Sub-Saharan Africa • South and South East Asia • The Middle-East and North Africa • EQUITY • Minority investor • Involvement in the governance • Exit valuation DEBT - Interests of loans FINANCIAL SERVICES AND INFRASTRUCTURES - Financial services: agricultural micro-insurance, mobile banking, social business stock exchanges DEVELOPED COUNTRIES 25% max in Europe

7. A sustainable economic model Revenues of the Fund to cover costs and risks Revenues Charges • OPERATIONAL COSTS • Indemnification of the Foundation as exclusive advisor • Legal fees • Audit fees • Day-to-Day managers • Depositary and Administrative agent (Caceis) • Other costs • COSTS OF RISKS • Default, currency, country • EQUITY • Entry fees • Solidarity fees • Value at exit • CASH MANAGEMENT • Revenues from cash management • DEBT • Interests on loans

8. Legal structure of the GCA Fund Specialized Investment Fund (SIF) • Regulated by the CSSF (Commission de Surveillance du Secteur Financier du Luxembourg) • Umbrella Fund with compartments • Distribution restricted to professionals, Institutional investors or well informed investors (minimum subscription amount : 125,000€) SICAV • Self managed SICAV: 2 part-time day-to-day Managers • Advisory mandate granted to the Grameen Crédit Agricole Microfinance Foundation • Depositary bank and administrative agent mandates granted to Caceis Bank Luxembourg Cooperativecompany in the form of a Limited Company (Coop SA) • In line with cooperative rules, any shareholder who redeems his shares, is entitled to receive only the par value of his shares • At liquidation, the rules are those applicable to all commercial companies • The governance rules are those of a shareholding company European Social Entrepreneurship Fund ? • European Regulation still in discussion at European Parliament : final vote expected by the end of 2012 • EuSEF will provide recognition (certification) to eligible Social Entrepreneurship Funds • The recognition will trigger a European Passport which will facilitate its distribution in all European members states

9. Fondation’s involvement • The Foundation will be in position to control that the investment policy is fully aligned with its own principles and its definition of Social Business 9

10. Management organisation chart CSSF Exclusive mandate Reporting Mandate Board of Directors Day-to-Day Managers Investment Committee Administrative Management Research, analysis and instruction Consultation « GrameenCréditAgricole Social Business Club » Investors Custodian

11. Milestones • March 5, 2012: Approval of the Project by the Board of the Foundation • March 27, 2012: Submission to the CSSF in Luxembourg • May 31, 2012: Second submission to the CSSF with complements • November 2012: approval of the Fund by the CSSF • November 13, 2012 : registration of the Fund • November 16, 2012 : 1st Board meeting • November 2012 to June 2013 : Placement to Institutional and individual Investors • June 30, 2013: First closing

12. Recognising SB as an Asset Class of its own in the Future Regulatory framework to recognise Social Business as its own asset class to make it available to a wider class of investors

13. The Foundation’s Social Business Portfolio • Laiterie Du Berger (Sénégal) • The Laiterie du Berger offers a business solution to bad nutrition and poverty in the Sahelian region of north Senegal. • It collects milk from nearly 1000 Fulani herders to process it into fresh dairy products. • Unique market outlet for these herders, the Laiterie du Berger promotes the local dairy and livestock production and strengthens the economic fabric in rural areas. • It also contributes to better food security in Senegal where over 90% of dairy consumption depends on powdered milk imports.

14. The Foundation’s Social Business Portfolio • Grameen Danone Foods Limited • GrameenDanone Foods Limited (GDFL) is a joint venture founded in Bangladesh in March 2006 by the Grameen and Danone groups. • Pioneer of Social Business, GDFL wants to improve children’s health with a yogurt specially made to satisfy dietary deficiencies essentially found in children, and affordable to the lowest budgets. • To implement this project, GDFL was set up in the socio-economic fabric of the Bogra region, 250 km to the north of Dhaka, to promote income-generating activities: GDFL buys milk from small farms and develops a rural door-to-door sales network (the Grameen ladies).

15. The Foundation’s Social Business Portfolio • Babyloan • At the crossroads of the world of finance and solidarity, Babyloan provides consumers with a new way to commit themselves by supporting micro entrepreneurs in the south to help them escape poverty and dependency. • Babyloan is the first European platform of solidarity loans and it allows each web-user to become a solidarity banker by joining the Babyloanian community.

16. The Foundation’s Social Business Portfolio • Chamroeun • Chamroeun is a Cambodian microfinance institution whose core business relies on its social commitment. • It provides financial services to the poorest; those excluded from the range of classical microfinance institutions. • In order to maximize the credit impact and efficiently support the poorest families, it also provides a whole range of economic, social and personal coaching and education services. Chamroeun re-invests its profits in its activities to strengthen its social mission.

17. The Foundation’s Social Business Portfolio • PhileoL Madagascar • PhileoL Madagascar has been established since 2008 in Androy, the driest and poorest region of Madagascar. • It has developed an inclusive oilseed operation, collecting jatropha and castor oil seeds among local farmers, transforming these oils locally and exporting them to the region and to Europe, where they are prized by the green industry. • Thus, PhileoL secures farmers' income and promotes local agricultural production.

18. Under discussions • UV+ Solaire with the 1001 Fontaines NGO • UV+ Solaire is the head-end of social franchising "1001 Fontaines" which combines social, technological and organizational innovations to provide drinking water to poor farmers. A social franchise operates as a franchise business but with a general interest objective. • A simple technical solution, which ensures that contamination due to bacteria is eliminated • An organizational dimension: a social franchise model, notably allowing scaling up in developing countries • A distribution innovation: UV + Solaire reaches the last mile, i.e. the poorest and most remote villagers • A durable solution, based on the “small private operators” concept. This ensures that the system is self-sustaining. It creates an economic activity which depends on the system being maintained.

19. Under discussions • Biotropical • Biotropical is a Cameroonian company developing an inclusive agricultural value chain that focuses on the production, manufacturing and sale of organic and fair trade tropical fruits. • Since its creation in the year 2000, the company works with smallholders providing them with seedlings, trainings, building of new roads and wells for their villages and increasing their income.

20. Contacts Jurgen Hammer Jurgen.hammer@credit-agricole-sa.fr T: + 33 1 57 72 02 47 Jean-Luc Perron jean-luc.perron@credit-agricole-sa.fr T: + 33 1 43 23 58 78 Pascal Webanck Pascal.webanck@credit-agricole-sa.fr T: + 33 1 57 72 44 61 Christophe Person Christophe.person@credit-agricole-sa.fr T: + 33 1 57 72 02 98 • www.grameen-credit-agricole.org • 5, allée Scheffer • L- 2520 Luxembourg • Offices : 100 boulevard du Montparnasse – 75014 Paris, France Fondation Grameen Crédit Agricole

21. This document was prepared by Grameen Credit Agricole Microfinance Foundation, Foundation of Luxembourg law with headquarters at 5 Allée Scheffer L-2520 Luxembourg. This document is intended exclusively to institutional, professional, qualified and sophisticated investors and distributors. It should not be given to the public, private clients and individuals within the meaning of any jurisdiction, nor to “US Persons”. Targeted Investors, with regard to the European Union, are "Professionals" investors as defined in Directive 2004/39/EC of 21 April 2004 "MIF" or, as appropriate within the meaning of each local regulations and in since supply in Switzerland is concerned, the "qualified investors" within the meaning of the provisions of the Federal Act on Collective Investment Schemes (CISA), the Ordinance on Collective Investment Schemes of 22 November 2006 (CISO) and FINMA Circular 08 / 8 for the purposes of the legislation on collective investment of 20 November 2008. This document should in no way be put into the European Union to investors not "professionals" under MiFID or the meaning of each local regulations, or Switzerland for investors who do not meet the definition of " qualified investors "within the meaning of laws and regulations. This document is provided for informational purposes only and does not constitute a recommendation, solicitation or offer, advice or an invitation to buy or sell units or shares of the SICAV-FIS project presented in this document and should in no way be interpreted as such. This document does not constitute the basis of a contract or commitment of any nature whatsoever. All information contained herein is subject to change without notice. Grameen Credit Agricole Microfinance Foundation accepts no liability, direct or indirect, that may result from the use of all information contained in this document. Grameen Credit Agricole Microfinance Foundation can not be held responsible for any decision taken on the basis of this information. The information in this document are communicated on a confidential basis and may not be copied or reproduced, modified or translated, or distributed without the prior written consent of Grameen Credit Agricole Microfinance Foundation, to any third party or any country where such distribution or use would be contrary to the laws and regulations in force or compel Grameen Credit Agricole Microfinance Foundation to comply with registration requirements to the supervisory authorities of these countries.