Agnelli's letter to the sareholders.

Dear Champions of Italy,

it is with great pride that I use this appellation towards you for the ninth consecutive time. The football debate tends to quickly consume every news, every game, every season, but it is important to point out that such a long streak of success is unprecedented in the major European leagues (Serie A, Premier League, La Liga, Bundesliga and Ligue1). Juventus is writing a new record in the history of football, a record that can only be fully assessed when the canons of history take precedence over those of the news. The goal of the tenth consecutive Scudetto is a peak to climb and not a given, as is our desire to play to win every competition we participate in, from the Italian Super Cup to the Champions League, from Serie A to the Italian Cup.

The document in your hands represents an opportunity to summarize the recently concluded 19-20 season: we will not forget it due to the unexpected and painful events that characterized it. Covid-19 has had a terrible impact around the world. Our industrial sector was, and still is, among those that have suffered the most from the impact of the crisis, from every point of view. If this season, one of the most difficult in the history of sport, has had its completion it is only thanks to the work and collaboration between all stakeholders, central and local governments, UEFA, the ECA, the Federations, the Leagues and the Clubs on the one hand, the sponsors and broadcasters on the other, who worked tirelessly in the spring months to identify all the appropriate solutions to complete the 2019/20 season and start the 2020/21 season. Last but not least the players, called to a new preparation and to play in surreal conditions to restore hope and joy to those who make our sport the most beautiful sport in the world: the Fans! Here I would like to thank our players who, together with the technical staff, have shown a great sense of responsibility towards the company and the fans; I would like to thank all the women and men of Juventus, who are able to adapt quickly to the new working environment; our partners, who shared with us the strategies to tackle common difficulties together. In addition, I would like to thank the national and international institutions, sporting and not, whose decisions have allowed the holding of all club competitions. To all of them goes my heartfelt THANKS.

The accounting deadlines, correctly, must not take into consideration disruptive elements such as the Covid-19 pandemic, the drastic cuts (temporary or definitive) on some revenue items or the reduction of some costs, largely temporary. They mark a temporal dividing line that delivers the 2019-2020 financial year to the archives.

The last ten years have been characterized by large investments, supported by all our shareholders, starting with our reference shareholder, EXOR, which have generated extraordinary growth in revenues. They more than tripled from 172 million in 10/11 to 573 million euros in 19-20. In the same period, Juventus was able to regain centrality and relevance both on the pitch and off the pitch.

The economic equilibrium, achieved in the 2014-2017 period, has slowed down its path due to some specific items. Our financial position, due to the continuous investments to guarantee the sporting competitiveness necessary to access the higher income flows, is instead an element of strong attention. Security has been our priority since last spring and will be in the near future.

The commitment of recent years has been significant and has been able to guarantee growth results that are always in line with expectations. All revenue items recorded double-digit percentage increases with the exception of one: television rights, both for Italian and European competitions. It is good to remember that these revenues are not dealt with directly by the clubs, but are licensed, by laws and regulations, collectively through the Serie A League and Uefa.

For some time, in this and other locations, we have reported the asymmetry of a system that poses entrepreneurial risk on the clubs, which bear all the costs of the system, but assign to other subjects a significant part of the control and, therefore, of the generation. of income. This is not a criticism or a surprise but something to think about for the future: the system is built in this way to guarantee mutuality mechanisms from the top of the football pyramid towards the base. However, the signs of contraction and some management inefficiency, already evident in recent years, are now in danger of becoming evident damage for those who want to contribute to the evolution of the entire football movement and, at the same time, guarantee an adequate return on capital. invested. The cardinal principle of the modern company is the control of the resources for which the burdens and risks are assumed. The separation of this balance is perceived as unnatural, forced. It is a governance issue, which the effects of the pandemic are putting to the test, threatening the very survival of the clubs, which those risks face, without having the tools that would allow them to mitigate them.

Juventus intends to contribute to this reflection in an active way, in the awareness of its duty to make corrections to the Company's development model, also to be adapted to the new reality of a sector that has suffered a strong discontinuity, but with the determination to find all within the football sector a more efficient management method able to face the consumer market with formulas more suited to the scenario with which, from now on, football will have to enter into a relationship.

Football is changing with the arrival of a new generation of athletes and consumers. The world, which will find a solution to manage the pandemic, has already changed and is evolving. Juventus will be able to keep up.

Fino Alla Fine...