The Supervisory Board met on July 7, 1999, under the Chairmanship of Jérôme Monod and took the following decisions :

Supervisory Board :
In accordance with article 21 of the company by-laws, the Supervisory Board has decided to institute a Strategy Committee. This Committee will work with the President of the Executive Board to prepare policy options in order to assist the Supervisory Board in reviewing the Group's strategic objectives and making those decisions for which it alone is competent.
The following members of the Supervisory Board will sit on this Committee: Lucien Douroux, Albert Frère, Jean Gandois, Jacques Lagarde, Jérôme Monod, Claude Pierre-Brossolette, and Jean Syrota. It will be chaired by the Chairman of the Supervisory Board. The President of the Executive Board will attend its meetings and act as general rapporteur.
The Supervisory Board has asked one of its members, Pierre Faurre, to prepare the creation and installation of a Scientific Advisory Board, consisting of eminent international figures. This Scientific Advisory Board would advise the Executive Board and Supervisory Board on general policy and courses of action to be taken in this area by the Group as a whole.
The Supervisory Board noted that environmental issues have constantly featured among the concerns of the Ethics Committee, which has now become the Ethics and Environment Committee. This Committee is preparing an Environmental Charter which will be submitted to the Executive Board and Supervisory Board for their approval. Following a report by the Chairman of the Nomination and Compensation Committee, the Supervisory Board has appointed Jean Peyrelevade to the Audit Committee, to complete that Committee's membership.
Gérard Mestrallet, CEO and President of the Executive Board, informed the Supervisory Board of the decisions made regarding the Group's general management structure :

Executive Board :
A Group Management Committee, chaired by Gérard Mestrallet, will be made up of the Executive Board (Philippe Brongniart and François Jaclot) and the heads of the main global businesses (Energy, Water, and Waste Services). The members will be Jean-Pierre Hansen, Gérard Payen, Jacques Pétry, and Christine Morin-Postel. The role of this committee will be to prepare the decisions coming within the competence of the Executive Board, to enable the latter to coordinate the activities of the different business sectors, and to develop synergies.
The Special Advisor to the President of the Executive Board will be the Committee's rapporteur, and in that capacity will prepare and organize its meetings. The Committee's secretariat will be provided by the Group Senior Vice President General Counsel.

Appointments :
A Water Committee has been established. In addition to the Executive Board, this committee will comprise the heads of the various businesses making up this sector, namely: Gérard Payen, Executive Vice President, Water; Christian Maurin, Chairman and Chief Executive Officer of Degrémont; and Ted Mooney, Chairman and Chief Executive Officer of Nalco. This committee complements the existing energy and communications committees.
Valérie Bernis, has been appointed Senior Vice President, Director Financial and Corporate Communications (internal and external) reporting directly to the President of the Executive Board. The Group's Financial Communications Division and Corporate Communications Division (internal and external) have thus been combined into a single division under Valérie Bernis. Vincent de La Vaissière remains Senior Vice President, Corporate Communications, and will henceforward report to Valérie Bernis.
Jean-Louis Blanc has been appointed Senior Vice President reporting directly to the President of the Executive Board, with responsibility for water resources. This appointment will increase the Suez Lyonnaise des Eaux Group's involvement in the understanding, preservation and management of global water resources.