FILER: COMPANY DATA: COMPANY CONFORMED NAME: SODEXHO ALLIANCE SA CENTRAL INDEX KEY: 0001169715 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-MANAGEMENT SERVICES [8741] IRS NUMBER: 000000000 FISCAL YEAR END: 0831 FILING VALUES: FORM TYPE: 6-K SEC ACT: 1934 Act SEC FILE NUMBER: FILM NUMBER: BUSINESS ADDRESS: STREET 1: 3 AVENUE NEWTON STREET 2: 78180 MONTIGNY-LE-BRETONNEUX CITY: FRANCE STATE: ZIP: 00000 BUSINESS PHONE: 0113313085 6-K FORM 6-K SECURITIES AND EXCHANGE COMMISSION Washington D.C. 20549 FORM 6-K REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13A-16 OR 15D-16 OF THE SECURITIES EXCHANGE ACT OF 1934 May 7, 2003 SODEXHO ALLIANCE SA 3, avenue Newton 78180 Montigny-le-Bretonneux France (Address of principal executive offices) Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F. Form 20-F X Form 40-F Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934. Yes No X If "Yes" is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): Contents: Fiscal 2002-2003 Half-Year Results EXHIBIT LIST Exhibit Description 99.1 Fiscal 2002-2003 Half-Year Results SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this Report to be signed on its behalf by the undersigned, thereunto duly authorized. SODEXHO ALLIANCE SA By: /s/ Sian Herbert-Jones ------------------------------- Name: Sian Herbert-Jones Title: Chief Financial Officer Date: May 7, 2003 EX-99.1 Fiscal 2002-2003 Half-Year Results Exhibit 99.1 Fiscal 2002-2003 Half-Year Results Code EURONEXT: EXHO.PA / Code NYSE: SDX This press release contains "forward-looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. These include, but are not limited to, statements regarding anticipated future events and financial performance with respect to our operations. Forward- looking statements can be identified by the fact that they do not relate strictly to historical or current facts. They often include words like "believe", "expect", "anticipate", "estimated", "project", "plan", "pro forma" and "intend" or future or conditional verbs such as "will", "would" or "may". Factors that could cause actual results to differ materially from expected results include, but are not limited to, those set forth in our Registration Statement on Form 20-F, as filed with the Securities and Exchange Commission (SEC), the competitive environment in which we operate,changes in general economic conditions and changes in the French, American and/or global financial and/or capital markets. Forward-looking statements represent management's views as of the date they are made, and we assume no obligation to update any forward-looking statements for actual events occurring after that date. You are cautioned not to place undue reliance on our forward-looking statements. Fiscal 2002-2003 Half-Year Results (Paris - May 7, 2003) - The Board of Directors of Sodexho Alliance (Euronext: EXHO.PA / NYSE:SDX) met on May 5, 2003 under the chairmanship of Pierre Bellon to examine the interim financial statements for the six months that ended February 28, 2003. 1. Financial Performance for the first half 2002-2003 Results (in euro millions) Six months Six months % change Currency % change ended ended excluding effect February 28, February 28, currency 2002 2003 effect Revenues 6,572 6,168 +3% -9% -6% EBITA 314 294 +5% -11% -6% Group net income 128 86 -17% -16% -33% Excluding the currency effect: o Consolidated revenues totaled 6.2 billion euro, with organic growth of 3%. o EBITA amounted to 294 million euro, a 5% increase over the prior comparable period. o EBITA margin stood at 4.8%, essentially from a significant improvement in operating results in Continental Europe. o Net financial expense increased by 27 million euro, mainly due to foreign exchange gains realized in the first-half of 2001-2002, when cash held by the Service Vouchers and Cards business in Latin America was transferred into hard currencies o The effective tax rate increased from 33% to 41%, as first-half 2001-2002 results included certain exceptional items which where not subject to income tax. o Group net income after goodwill amortization amounted to 86 million euro, a 17% decrease. The euro's sharp appreciation against other currencies, notably the US dollar, led to a negative translation effect in the consolidated accounts which reduced reported revenues by 9%, EBITA by 11%, and Group net income by 16%. However, unlike exporting companies, our subsidiaries' revenues and operating expenses are denominated in the same currency. Consequently, currency fluctuations do not create operating risks for Sodexho. 2. Sodexho in North America Currently, 49% of Sodexho's revenues are generated in North America, where organic growth in revenues amounted to 3% in the first-half of 2002-2003. Since October 1, 2002, Sodexho Inc. has provided food services on 55 US Marine Corps sites in the United States. We have established a strong relationship of mutual respect and true partnership with the US Marine Corps, and they have recently assured us that they are satisfied with our performance and have no basis to cancel our contract. With operations in all 50 states, Sodexho Inc. is solidly anchored in the United States, where it employs more than 110,000 Americans. Sodexho is proud to be a leader in the world's largest market, notably in the two client segments with the greatest growth potential: education and healthcare. 3. New Contracts Food and Management Services Business and Industry: Hewlett Packard - United States, 200 sites - 90,000 people - food services Rich Products - United States, New York - 35,000 people - multi-services HJ Heinz - United Kingdom, Wigan - 2,000 people - multi-services JP Morgan - United Kingdom, (2 sites), London - 2,216 people - multi-services Alcatel - France, Velizy-Villacoublay - 1,700 people - food services TotalFinaElf - France, La Mede - 200 people - multi-services Nuon - Netherlands (16 sites) - 7,000 people - food services Dutch Congress Center - Netherlands, The Hague - 2,000 people - food services IBM - Italy, Milan/Rome - 3,000 people - food services Johnson Controls - Sweden, Goteborg - 900 people - food services Grupo Santander - Spain, Madrid - 11,000 people - multi-services Sony Corporation - Brazil, Sao Paulo - 565 people - food services Almacenes Exito Colombia, Bogota - multi-services Nestle - Peru, Lima - 200 people - multi-services Banco Santander - Chile (115 sites), Santiago - multi-services Borders Group - Australia (3 sites) Knox, Brisbane and Carlton - multi-services Healthcare: Ben Taub General Hospital - United States, Texas - 879 beds - food services Fairview Health Services - United States, Minneapolis - 2,613 beds - food services Medical Center Of Louisiana - United States, Louisiana - 680 beds - food services Fundacion - Socio Sanitaria de Barcelona - Spain - 9 sites - multi-services Centre Hospitalier Prive de L'Ouest Parisien - France - 470 beds - food services Wesley Garden Aged Care Facilities - 6 sites - Australia, Sydney - 700 beds - multi-services Education: Penn Harris Madison School Corp - United States, Indiana - 10,000 children - multi-services College Mount St. Vincent - United States, New York - 1,600 students - food services Concordia University - United States, Oregon - 1,100 students - food services Hayward School District - United States, California - 25,000 students - food services Clamart Municipal Schools - France, Clamart - 1,620 children - food services Remote Sites BP - (4 sites) United States and United Kingdom - 880 people - multi-services Service Vouchers and Cards Qualix SA Servicios Ambientais - Brazil - 8,000 beneficiaries - multi-services Pepsi - Hungary - 1,000 beneficiaries - multi-services 4. Fiscal 2002-2003 Outlook As Pierre Bellon said during the Annual Meeting of Sodexho Alliance shareholders last February, "the economic environment will not improve in 2003, which makes our clients hesitant about investing and hiring." We have therefore set the following intermediary objectives for fiscal 2002-2003: o Organic growth in revenues of 4% or less, greater than the 1.9% in organic growth achieved in fiscal 2001-2002. o EBITA margin of 4.7%, as compared to 4.2% in fiscal 2001-2002. o Group net income of 210 million euro, at constant exchange rates and excluding exceptional items. Healthcare: Ben Taub General Hospital - United States, Texas - 879 beds - food services Fairview Health Services - United States, Minneapolis - 2,613 beds - food services Medical Center Of Louisiana - United States, Louisiana - 680 beds - food services Fundacion - Socio Sanitaria de Barcelona - Spain - 9 sites - multi-services Centre Hospitalier Prive de L'Ouest Parisien - France - 470 beds - food services Wesley Garden Aged Care Facilities - 6 sites - Australia, Sydney - 700 beds - multi-services Education: Penn Harris Madison School Corp - United States, Indiana - 10,000 children - multi-services College Mount St. Vincent - United States, New York - 1,600 students - food services Concordia University - United States, Oregon - 1,100 students - food services Hayward School District - United States, California - 25,000 students - food services Clamart Municipal Schools - France, Clamart - 1,620 children - food services Remote Sites BP - (4 sites) United States and United Kingdom - 880 people - multi-services Service Vouchers and Cards Qualix SA Servicios Ambientais - Brazil - 8,000 beneficiaries - multi-services Pepsi - Hungary - 1,000 beneficiaries - multi-services 5. Fiscal 2002-2003 Outlook As Pierre Bellon said during the Annual Meeting of Sodexho Alliance shareholders last February, "the economic environment will not improve in 2003, which makes our clients hesitant about investing and hiring." We have therefore set the following intermediary objectives for fiscal 2002-2003: o Organic growth in revenues of 4% or less, greater than the 1.9% in organic growth achieved in fiscal 2001-2002. o EBITA margin of 4.7%, as compared to 4.2% in fiscal 2001-2002. o Group net income of 210 million euro, at constant exchange rates and excluding exceptional items. In his remarks at the Annual Meeting, Pierre Bellon indicated that this would be difficult. We are continuing to use our best efforts to meet this net income objective, but according to our estimates, we are currently closer to a figure of 200 million euro at constant exchange rates and excluding exceptional items. At current exchange rates, the negative currency effect for fiscal 2002-2003 will be approximately 20 million euro. We are confident in the future of our Group, which enjoys enormous growth potential both in Food and Management Services and in Service Vouchers and Cards. We also benefit from many advantages over our global competitors. o Our values: service spirit, team spirit, the spirit of progress and conviviality. o Our mission: improving the quality of daily life, which gives meaning to everything our employees do. o A global network and operations in 74 countries. o Low capital-intensive businesses that generate cash flow. o An excellent business model where cash flow finances organic growth, reimburses borrowings and pays dividends. About Sodexho Alliance Founded in Marseille in 1966 by Chairman and Chief Executive Officer Pierre Bellon, Sodexho Alliance is the world's leading provider of food and management services. With more than 315,000 employees on 24,700 sites in 74 countries, Sodexho Alliance reported consolidated sales of 12.6 billion euros for the fiscal year that ended on August 31, 2002. The Sodexho Alliance share has been listed since 1983 on the Euronext Paris Bourse, where its market value totals 3.2 billion euros. The Sodexho Alliance share has been listed since April 3, 2002, on the New York Stock Exchange. Press Relations : Jerome Chambin Telephone: + 33 (1) 30 85 74 18 - Fax: + 33 (1) 30 85 52 32 E-mail: Jerome.Chambin@sodexhoalliance.com Investors Relations : Jean-Jacques Vironda Telephone: + 33 (1) 30 85 29 39 - Fax: +33 (1) 30 85 50 05 E-mail: Jean-Jacques.VIRONDA@sodexhoalliance.com