The CDA Group is centered on two leisure businesses: the operation of ski areas and of leisure parks.

Ski area activities account for around 60% of sales and are concentrated in one season (from December through April), mainly in the Northern Alps. Only two ski areas in the Southern Alps account for 19% of ski area consolidated sales. 

The family leisure activity (~40% of sales) helps to balance the seasonal nature of our operations because most of the sales of this activity are derived between April and September and in a wider geographic zone encompassing the North and West of France as well as Germany, Belgium, Holland, Switzerland and England.

In all, at the end of September 2010, the Group hosts more than 26 million visits on its 36 sites in six countries: France (~85% of total visits), Holland (7%), Belgium (6%), Switzerland, Germany, and England. This makes us one of the leading players in the leisure production industry in Europe, among the English company Merlin Entertainments, Parques Reunidos, and Euro Disney (respectively, 38, 26 and 15 million visits).

The Group's operating companies equip, maintain and operate ski areas. This means they take charge of the skier's ascent (lifts) and descent (trail maintenance, grooming, snowmaking, except at Tignes and Les Menuires where these operations are carried out by the townships) and for ticketing (ticket booths, waiting lines). Whatever form the operating companies take - long-term concession contracts in France, or direct ownership of facilities in Italy and Switzerland - it is always the operating company that is responsible for its own results. Receipts are from the sale of lift tickets giving access to lifts. Related expenses include outlays for facilities, personnel, taxes and local fees and royalties, as well as current operating expenditures (maintenance, energy, etc.).

Compagnie des Alpes has selected large-scale European resorts with international renown. These resorts often have a lodging capacity of more than 25,000 beds. 

High altitude provides the best chance for abundant, quality snow coverage. All of the Group's ski areas are situated above 3,000 meters (9,900 ft) (Saas Fee is at 3,600 m - 11,880 ft). Thanks to this high altitude, the Group's resorts are less affected by low snowfalls than lower-altitude resorts.

The size and diversity of CDA's ski areas 

* Chamonix, Avoriaz, Valmorel, La Rosière. 

Compagnie des Alpes sold its stake in Téléverbier (20.3%, accounted for using the equity method) and Saas Fee Bergbahnen (SFB) (41.6%, fully consolidated) in July and October 2009 respectively. The contributions of these two companies to total visitor numbers and sales are not included in 2008/2009 figures: In application of IFRS, the contribution of SFB is booked separately under "Income from discontinued operations.” In May 2010, Compagnie des Alpes continued its asset arbitrage strategy with the disposal of the Courmayeur ski area in which CDA held a 29.8% interest 
through Courmayeur Mont Blanc Funivie (CMBF).

CDA ski areas have invest on average 18% of sales over the three last exercices. Compagnie des Alpes estimates that optimal capex would be at between 15% and 18% of sales on average and 65% of cash flow. Staying at less than 15% can lead to the obsolescence of equipment over the medium and long term, on the other hand, going consistently above the 20% mark impedes the sustainable profitability of capital expenditures. 

The Group's capital expenditures are focused on providing a more comfortable ascent and improving productivity. About 60% of the Group's capital expenditures in ski areas go towards ski lifts. This percentage has been declining in favor of expenditures to improve trail and snow quality: slope modifications and grassing, snowmaking installations and grooming currently represent around 30% of expenditures. The latter expenditures help reduce the effects of weather variations and climatic trends.

Investing in attractiveness: especially to attract visitors or to entice them to return; sometimes, too, in order to increase prices or to lengthen the time and amount of money spent per visitor. 

Gaining new customers: whenever the market allows, investments in capacity make it possible to attract new visitors, or to create new commercial activities.

In order to accomplish this, today the Group is implementing the following strategy: realizing the potential of existing sites while improving both the value for money and the profitability of its sites; acquiring other sites in Europe. 

Enhancing the value of a site and its attractions makes it possible to employ a more dynamic pricing policy. The value of sites is enhanced through applying our management expertise while maintaining the individual personality of the site. 

Acquiring existing sites is a good way to develop added sales without assuming much risk. Each purchase is made based on reported past results. 

The Group carried on a dynamic management of its asset portfolio. End of January 2011, CDA sold the control of 7 regional leisure parks. This disposal of seven of our parks is a significant transaction, and follows the dual logic of Group strategic clarification and optimized capital 
employed.