The Federal Alliance of Crédit Mutuel announced on Tuesday donations of 7.5 million euros to the Red Cross and 5 million to food banks. This decision by the Alliance, which brings together 14 of the 18 regional federations of the mutual banking group, comes after the payment of 5 million to Restos du Cœur in March.
On Sunday, due to financial difficulties, the Restos du Cœur announced that they would be forced to reduce the number of their beneficiaries this winterlaunching an appeal for help to which companies and the government responded the same day, pledging immediate support. Monday, the family of Bernard Arnault, owner of the world number one luxury LVMH (owner of the Parisian – Today in France), announced pay aid of 10 million euros at Restos du Coeur.
Energy expenditure up by 45 million euros
Also on Monday, the French Red Cross also appealed for help. It says it is facing financial difficulties due to a sharp increase in its operating costs. Requests for istance increased by 7% in the first half compared to the same period last year. “We are also facing an increase of 45 million euros in our energy costs despite the aid schemes put in place by the State”, according to Nathalie Smirnov, general manager. “The French Red Cross has a deficit of 25 million euros that we cannot make up for on energy. The ociation expects a deficit of between 45 and 50 million euros this year.
Crédit Mutuel Alliance Fédérale, via its foundation, explains that its donations to the Red Cross and food banks intervene “to deal with the emergency and allow the structures to continue their support for the most deprived”. “The economic viability of these organizations is now threatened. Faced with the increase in food prices, without support, they could be forced to reduce the number of beneficiaries as well as the quantity of food distributed”, is it written in a press release.
At the beginning of the year, Crédit Mutuel Alliance Fédérale announced the creation of a “societal dividend, consisting in allocating 15% of its net income each year to the financing of environmental and solidarity transformation projects”. “With the societal dividend (525 million euros in 2023), we are putting our performance at the service of collective utility” and “freeing up an additional 12.5 million euros to deal with the emergency this winter”, have declared Nicolas Théry, Chairman of Crédit Mutuel Alliance Fédérale, and Daniel Baal, Chief Executive Officer.