Financial Highlights

12 months to 30 April 2009 (compared with proforma 12 months to 30 April 2008), Continuing Group*

* Group revenue increased by 9.8% to £4,954.1 million

(2008: £4,513.1 million), and declined by 1.2% in constant currency1 and by 6.2% on a like for like basis

* Group retail profit2 was £77.0 million (2008: £141.3 million)

* Exceptional costs were £150.9 million of which £144.6 million were non-cash (2008: £2.5 million)

* Loss before tax was £81.8 million (2008 profit: £128.8 million)

* Adjusted earnings per share3 were 5.7 pence (2008: 16.2 pence)

* Net cash on 30 April 2009 was £7.5 million (30 April 2008: £46.5 million)

The Board is recommending a final dividend of 3.25 pence per share, bringing the total dividend for the 12 month period to 5.0 pence per share

12 months to 30 April 2009 as reported (compared with 15 months to 30 April 2008), Continuing Group*

* Group revenue was £4,954.1 million (2008: £5,356.6 million)

* Group operating loss was £65.0 million (2008 profit: £141.0 million)

* Basic losses per share were 21.7 pence (2008: Earnings per share: 15.8 pence)

*In order to improve internal planning processes, the Group moved its financial year end to 30 April. These accounts reflect the transitionary period to this new reporting date and are accordingly compared to the 15 months to 30 April 2008.

1 Constant exchange rate of £1 = €1.1827 (the weighted average £/€ exchange rate for the 12 months ended 30 April 2009)

2 Retail profit represents total operating profit before the share of joint venture and associates’ interest and taxation, valuation gains /(losses) on options to acquire minority interests, amortisation and impairment of acquisition related intangible assets and exceptional restructuring costs.

3 Adjusted earnings per share excludes the effects of valuation gains and losses on options to acquire minority interests, exceptional restructuring costs and exceptional finance costs and amortisation and impairment of acquisition related intangible assets.

Thierry Falque-Pierrotin, Chief Executive, commented:

“Trading conditions across all our markets were difficult throughout the year. However I am pleased that Darty France and our established businesses in Holland, Belgium and the Czech Republic all maintained their market positions and improved gross margins. In addition, our start up operations in Italy and Turkey continued to grow scale with a clear, differentiated offer and restructuring in Spain is well advanced. Actions have been taken on costs across the Group, and particularly in the UK, to mitigate the impact of the market conditions.

“In anticipation of another difficult year we will continue with our cost management actions, reduction in the losses in our new businesses and focus on cash generation which will be aided by lower capital expenditure.

“In the medium term, we will continue to focus on improving the execution of our service led business model and better leverage our size and expertise.”

David Newlands, Chairman, commented:

“In conditions that remained extremely difficult throughout the year I am very satisfied that the Group again demonstrated the strength of its cash generative business model. This strength, together with our significant unleveraged freehold property portfolio, extended debt facility and operational restructuring actions, gives us confidence that the Group is well positioned for another challenging year.

“Given the difficult conditions, the Board has recommended a final dividend of 3.25 pence per share, bringing the total dividend for the full year to 5.0 pence per share. We intend to resume the Group’s progressive dividend policy when the economic environment improves.”

ENDS

Enquiries

Analysts:

Kesa Electricals plc

Simon Ward -  +44 (0) 20 7269 1400

Press:

Kesa Electricals plc

Annabel Donaldson - +44 (0) 20 7269 1400

Finsbury

Charles Watenphul - +44 (0) 20 7251 3801

Euro RSCG

Benjamin Perret - +33 (0) 1 58 47 95 39

There will be a presentation to analysts and institutions at 09.00 today and a live audio webcast of the event is available via our website www.kesaelectricals.com.

This announcement is also available on our website.

On 10 September 2009, we will hold our AGM and issue the first quarter interim management statement.

Certain statements made in this announcement are forward looking statements. Such statements are based on current expectations and are subject to a number of risks and uncertainties that could cause actual results to differ materially from any expected future results in forward looking statements

KESA Electricals is a specialist electrical retailer. It employs more than 26,000 people and trades in 12 countries. KESA Electricals is a member of the FTSE 250. Its ordinary shares are listed with the UK Listing Authority and trade on the market for listed securities on the London Stock Exchange under the symbol KESA.L. It is also listed on the Premier Marche of the Paris Stock Exchange. For further information, please visit the company’s website, as above.

OPERATING AND FINANCIAL REVIEW

*Proforma

GROUP OVERVIEW

For the 12 months to 30 April 2009

To facilitate understanding of the main business trends, the following analysis and narrative covers the 12 month periods to 30 April 2009 and 30 April 2008 for the continuing business.

Proforma results as reported in sterling

Proforma results as reported in local currency

* Darty France

**Includes BCC, Vanden Borre, Datart, Darty Italy, Darty Switzerland, Darty Turkey and Menaje del Hogar from

17 September 2007.

Financial Highlights

Group revenue was £4,954.1 million, up 9.8 per cent on last year (down 1.2 per cent in constant currency) and down 6.2 per cent on a like for like basis.

Group retail profit was £77.0 million (2008: £141.3 million) primarily due to the profit decline at Comet to £10.1 million (2008: £43.0 million) and losses at Menaje del Hogar of £23.0 million (2008: losses £1.8 million).

The reported results in sterling were favourably impacted by the strengthening of the euro. The weighted average rate for the 12 months was 1.1827 (2008: 1.3967). The impact of the strengthening euro compared to last year was to increase revenue by £549.7 million and retail profit by £14.4 million in the 12 months to 30 April 2009.

The reported operating loss of £65.0 million (2008: profit £139.1 million) was after exceptional non cash charges relating to Menaje del Hogar goodwill and intangible assets write off of £118.5 million. Exceptional restructuring costs of £23.1 million (2008: £nil) primarily related to actions taken at Comet and Menage del Hogar.

The net interest charge was £7.5 million (2008: £8.8 million). The net interest charge included £3.8 million (2008: £1.4 million) for IAS 19 notional pension interest. Exceptional finance costs comprised an IAS 39 charge of £9.3 million (2008: £1.5 million) for changes in fair value of cash investments classified in the balance sheet as cash and cash equivalents.

Loss after interest and before tax was £81.8 million (2008: Profit £128.8 million).

Including the charge for the joint venture and associates the effective tax rate was 56.6 per cent (2008: 35.9 per cent). The rate is principally the effect of unrelieved start up losses and trading losses in Spain. Actions are being taken to reduce this high effective rate going forward.

Cash generated from operations was £250.6 million (2008: £291.9 million).

Net capital expenditure and investments was £131.3 million compared to a net inflow of £159.6 million last year due to the sale of BUT and the acquisition of Menaje del Hogar.

Basic and diluted losses per share were 21.7 pence (2008: earnings per share 15.6 pence) and adjusted earnings per share were 5.7 pence (2008: 16.2 pence).

The Board has recommended a final dividend of 3.25 pence, making a total of 5.0 pence for the full year. The ex dividend date will be 16 September 2009, the record date 18 September 2009 and payment date 9 October 2009.

Trading Highlights

Trading conditions were difficult across all our markets, particularly in Spain.

In France, revenue excluding Darty Box fell by 3.4 per cent and retail profit fell by 22.3 per cent to €138.6 million in local currency. Total revenue fell 2.1 per cent, and 5.0 per cent on a like for like basis.

Comet’s total revenue fell by 4.7 per cent, 7.7 per cent on a like for like basis, and retail profit fell by 76.5 per cent to £10.1 million.

Total revenue at our other businesses, BCC, Vanden Borre, Datart, Darty Italy, Darty Switzerland, Darty Turkey and Menaje del Hogar, grew by 8.4 per cent in local currency, and fell 6.3 per cent on a like for like basis. Total retail losses increased from €0.9 million to €27.8 million largely due to increased losses at Menaje del Hogar of €26.9 million (2008: losses €2.3 million from 17 September 2007 acquisition date).

Outlook

In anticipation of another difficult year we will continue with our cost management actions, reduction in the losses in our new businesses and focus on cash generation which will be aided by lower capital expenditure.

In the medium term we will continue to focus on improving the day to day execution of our service led business model and better leverage our size and expertise.

DARTY FRANCE

*Proforma

In France trading conditions toughened during the year. However Darty maintained its overall market position and total revenue fell by 2.1 per cent in local currency compared to the same period last year, and by 5.0 per cent on a like for like basis. White goods and accessories performed better than brown and grey goods helping gross margin improve.

Total revenue fell by 3.4 per cent and retail profit fell by 22.3 per cent before taking into account the €77.2 million revenue (2008: €43.2 million) and €16.9 million losses (2008 loss: €22.0 million) for Darty Box.

Despite the difficult trading conditions Darty continued to leverage its strong brand position. Twelve stores now have the successful new kitchen range and the offer will be rolled out to a similar number of stores in the coming year.

The Darty web site was revamped during the year which, together with its new ‘Click and Collect’ offer, continued to deliver strong growth with web generated sales increasing by 30.5 per cent.

Darty also continued to improve its store portfolio. During the period seven new stores were opened and 11 stores were relocated, refurbished or extended. Over the next year, two new stores are planned with a further three relocations.

At the end of the period there were a total of 210,000 subscribers to Darty Box. Overall, performance was in line with our financial plans and losses are now reducing. In early November a new high speed Box was launched utilising the fibre optic network of the commercial partner Numericable. Compared to ADSL, it offers high speed web surfing, high definition TV and simultaneous access to all multimedia services. With this improved offer we plan to achieve monthly profitability during 2010.

COMET

*Proforma

Comet faced a tough economic climate throughout the year. Total revenue was £1,659.6 million, a fall of 4.7 per cent compared to the same period last year and a fall of 7.7 per cent on a like for like basis.

Retail profit fell to £10.1 million (2008: £43.0 million) but the impact of the trading conditions was limited by strong actions on costs. During the year, Comet continued its cost optimisation of the store portfolio with the successful mezzanine format. With nine conversions and three relocations all completed during the year, we now have 39 stores trading with a mezzanine floor.

Also during the year, store and head office staffing levels were reduced, four service centres were closed and the logistics structure was rationalised with the closure of two home delivery platforms and the relocation of one distribution centre. In addition, one regional distribution centre will close in the first half of this year. Whilst this restructuring meant we had to take an exceptional charge of £9.6 million this year, we expect the future annualised cost savings to be approximately £14 million.

Comet continued to improve its service offer with on-line delivery tracking, additional installation services for integrated appliances, a 24-hour helpline for Comet on Call customers and the extension of free 30-day helplines for televisions and multi-media ranges.

The on-line offer was also further developed with an easier to navigate site, enhanced advice, product advice videos and customer product reviews and web generated sales now account for over 12 per cent of Comet’s total sales.

OTHER BUSINESSES

*Proforma

^ includes Menaje del Hogar from its acquisition on 17 September 2007

Total revenue for the other businesses, BCC, Vanden Borre, Datart, Darty Italy, Darty Switzerland, Darty Turkey and Menaje del Hogar grew by 8.4 per cent in local currency, down 6.3 per cent on a like for like basis.

Our established businesses, BCC, Vanden Borre and Datart, showed good resilience and remained profitable although the Netherlands and Czech Republic were impacted by a further deterioration in market conditions in the latter part of the financial year. In total, nine new stores were opened plus five relocations, refurbishments or extensions. A further seven new stores and five relocations, refurbishments or extensions are planned for 2009/10. Retail profit for these three businesses totalled €23.3 million (2008: €28.1 million).

Start up losses for Darty Italy, Darty Switzerland and Darty Turkey reduced to €24.2 million (2008: €26.7 million). Menaje del Hogar faced extremely difficult market conditions in Spain with a significant fall in revenue and its retail losses were €26.9 million (2008: €2.3 million).

Darty Italy continued to improve its market position with positive like for like sales, improved gross margin and loss reduction. 14 stores were trading at the end of the period and a further four new stores are planned for 2009/10.

In Turkey five new stores were opened during the year, bringing the total to 11, including three outside Istanbul for the first time at Izmir, Izmit and Ankara. Trading was very positive as like for like sales increased by over 15 per cent and gross margin again improved. Up to seven new stores are planned for 2009/10.

The market conditions in Spain are extremely weak, much worse than anticipated, which led to increased trading losses. Actions have been taken to stabilise the business including the closure of one warehouse and distribution centre, streamlining the head office functions, the eventual closure of around 20 stores and a reduction in the number of staff working in the remaining chain. An exceptional charge of €13.6 million was taken in the year and is expected to generate annualised cost savings of approximately €11 million.

Commercial actions are also being taken on the remaining stores. This includes better sourcing to improve the gross margin and improved product ranges and store merchandising. This, together with the restructuring actions, will lead to a planned reduction in the retail loss in 2009/10.

KEY EVENTS

On 5 September 2008 Kesa signed a new committed €500 million revolving credit facility, replacing the Group’s existing €650 million facility which was due to expire in July 2010.

On 6 October 2008 Kesa announced that Thierry Falque-Pierrotin would join the Group as Chief Executive Officer on 5 January.

POST BALANCE SHEET EVENTS

On 16 June Kesa confirmed that it has entered into exclusive negotiations with Swiss electrical retailing chain FUST, regarding the sale of its Swiss operations for CHF 20 million (£11.4 million). The sale will not result in a loss for the Group.

FINANCIAL REVIEW

Revenue and operating profit

Revenue for the 12 months to 30 April 2009 was £4,954.1 (2008: £4,513.1 million) and operating loss was £65.0 million (2008 profit: £139.1 million).

Exceptional costs

Exceptional restructuring costs incurred in the year aimed at reducing operational costs within Comet, Menaje del Hogar and Darty Switzerland totalled £23.1 million (2008: £nil). They primarily relate to one off redundancy costs, lease termination penalties, onerous lease charges and impairments.

In light of market conditions in Spain, the Directors re-assessed the carrying value of Menaje del Hogar’s goodwill and other assets. An exceptional pre-tax charge of £118.5 million was taken. The goodwill and other intangible assets have been fully impaired.

Financing income and expense

The net interest costs were £7.5 million (2008: £8.8 million). Net interest on financing was £3.7 million (2008: £7.4 million) plus an additional £3.8 million (2008: £1.4 million) relates to IAS 19 notional pension interest.

An exceptional £9.3 million (2008: £1.5 million) finance costs were incurred primarily relating to an IAS 39 charge for changes in fair value of cash investments held as part of the UK extended warranty scheme plus a small write off of arrangement fees relating to the Group’s 2005 facility agreement, renegotiated in September 2008.

Taxation

The tax charge included within the Group income statement is £32.8 million (2008: £46.4 million). Including the charge for the joint venture and associates the effective rate was 56.6 per cent (2208: 35.9 per cent). The rate is principally the effect of increased unrelieved start up losses and trading losses in Spain.

Earnings per share

Continuing Group basic and diluted losses per share were 21.7 pence, compared with earnings of 15.6 pence for the same period last year.

Adjusted earnings per share, excluding valuation gains and losses, the amortisation and impairment of acquisition related intangible assets of £118.5 million and exceptional restructuring and finance costs of £32.4 million, were 5.7 pence per share (2008: 16.2 pence per share)

Dividends

The Board has declared an interim dividend of 1.75 pence per share and is recommending a final dividend of 3.25 pence per share, payable on 9 October 2009 if approved by shareholders. Total dividends will be 5.0 pence per share (2008: 14.4 pence per share).

Pensions

The IAS 19 disclosures show a net deficit for all the continuing Group’s defined benefit pension schemes at 30 April 2009 of £55.1 million (2008: £75.9 million) before taking account of any deferred tax asset.

In accordance with IAS19 the total pension deficit is included as a liability in retirement benefits on the face of the Group’s balance sheet. The corresponding deferred tax asset is recorded in non-current ‘deferred income tax assets’.

Cash Flow

Net cashflow from operating activities was £208.9 million (2008: £221.6 million).

Capital expenditure

Net capital expenditure and investments was £131.3 million (2008: excluding all acquisitions and disposals expenditure, net expenditure would have been £111.0 million).

Financing

During the period, the Group signed a five year €500 million revolving credit facility expiring in 2013, replacing the existing €650 million facility which was due to expire in 2010.

As at 30 April 2009, €160 million of this facility was drawn down. The facility contains a fixed charge and a leverage covenant which were both met at the half and full year.