CAPGEMINI_REGISTRATION_DOCUMENT_2017

FINANCIAL INFORMATION

4.4 2017 financial statements

12. Bank loans and borrowings Bank loans and borrowings total €704,164{thousand and comprise (i) the balances on certain euro and foreign currency bank accounts used in connection with the Group’s worldwide cash pooling arrangements in the amount of €661,402{thousand, offset in the amount of €674,106{thousand by opposite balances presented in cash and cash equivalents of the Company and (ii) accrued interest on bond issues of €24,459 thousand (iii) liability derivatives of €17,781{thousand and (iv) bank overdrafts of €309{thousand. Syndicated credit facility negotiated by Capgemini{SE On July{30, 2014, the Group signed with a syndicate of 18{banks a €750{million multi-currency credit facility, maturing on July{30, 2019, with two{one-year extension options, exercisable (subject to the approval of the banks) at the end of the first{and second{years, respectively, extending the maturity of the new facility by a maximum of two additional years. Following the exercise of the second one-year extension option, the maturity of this credit facility was extended to July{27, 2021. The initial margin on this credit facility was 0.45% (excluding the fee on drawn amounts which varies according to the portion of the facility drawn). This margin may be adjusted upwards or downwards according to the credit rating of Capgemini{SE. The facility is also subject to a fee on undrawn amounts equal to 35% of the margin. The margin currently applicable is 0.45% and the fee on undrawn amounts is 0.1575%. An upgrade or downgrade in Capgemini{SE’s credit rating would have no impact on the availability of this credit facility. Capgemini{SE has agreed to comply with the following financial ratios (as defined in IFRS) in respect of this credit facility: the consolidated net debt to consolidated equity ratio must be less than 1{at all times; the interest coverage ratio (the extent to which consolidated X net finance costs are covered by consolidated operating margin) must be equal to or greater than{3{at December{31 and June{30 of each year (based on the 12{months then ended). The credit facility agreement also includes covenants restricting Capgemini{SE’s ability to carry out certain operations. These covenants also apply to Group subsidiaries. They include restrictions primarily relating to pledging assets as collateral, asset sales, mergers and similar transactions. Capgemini{SE also committed to standard obligations, including an agreement to maintain pari passu status. At December{31, 2017, this credit facility had not yet been drawn.

a) 2016 bond issue On November{3, 2016, Capgemini{SE placed a €500{million bond issue comprising 5,000{bonds with a unit value of €100,000{each and with a settlement/delivery date of November{9, 2016. The bonds mature on November{9, 2021 and pay an annual coupon of 0.50% (issue price 99.769%). The bond issue is callable before this date by Capgemini{SE, subject to certain conditions set out in the issue prospectus and particularly concerning the minimum redemption price. The bond issue is also subject to standard early redemption, early repayment and pari passu clauses. The terms and conditions of this issue were set out in the prospectus approved by the AMF on November{7, 2016 under reference{number{no.{16-518. b) July{1, 2015 bond issues On June{24, 2015, Capgemini{SE performed a “triple{tranche” bond issue for a total nominal amount of €2,750{million and with a settlement/delivery date of July{1, 2015: 2015 Bond issue (July{2018): X The nominal amount of this tranche is €500{million, comprising 5,000{bonds with a unit value of €100,000{each. The bonds mature on July{2, 2018 and pay a floating coupon of 3{month{Euribor{+85{pb, revised quarterly (issue price 100%); 2015 Bond issue (July{2020): X The nominal amount of this tranche is €1,250{million, comprising 12,500{bonds with a unit value of €100,000{each. The bonds mature on July{1, 2020 and pay an annual coupon The nominal amount of this tranche is €1,000{million, comprising 10,000{bonds with a unit value of €100,000{each. The bonds mature on July{1, 2023 and pay an annual coupon of 2.50% (issue price 99.857%). The July{2020 and July{2023 tranches are callable by Capgemini{SE, subject to certain conditions set out in the issue prospectus and particularly concerning the minimum redemption price. These three{bond issues are also subject to standard early redemption, early repayment and pari passu clauses. The terms and conditions of these three tranches were set out in the prospectus approved by the AMF on June{29, 2015 under reference{number{no.{15-318. of 1.75% (issue price 99.853%); 2015 Bond issue (July{2023): X

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REGISTRATION DOCUMENT 2017 — CAPGEMINI