Cap Gemini - Registration Document 2016

4

FINANCIAL INFORMATION

4.2 Consolidated financial statements

Provisions for pensions and other post-employment benefits Note 24

Obligations under these plans are determined by independent actuaries using the projected unit credit method. Under this method, each period of service gives rise to an additional unit of benefit entitlement and each of these units is valued separately in order to obtain the amount of the Group’s final obligation. yields on high quality corporate bonds, of a currency and term consistent with the currency and term of the post-employment benefit obligation. The resulting obligation is discounted by reference to market by a provision. For funded plans, only the estimated funding deficit is covered Current and past service costs - corresponding to an increase in the obligation - are recorded within “Operating expenses” of the period. Gains or losses on the curtailment, settlement or transfer of defined benefit pension plans are recognized in “Other operating income” or “Other operating expenses.” The impact of discounting defined benefit obligations as well as the expected return on plan assets is recorded net in “Other financial expense” or “Other financial income”. differences between projected actuarial assumptions and actual data) on the amount of the benefit obligation or the value of plan assets. They are recognized in full in “Income and expense recognized directly in equity” in the year in which they arise (with the related tax effect). Actuarial gains and losses correspond to the effect of changes in actuarial assumptions and experience adjustments ( i.e.

Defined contribution plans Defined contribution plans are funded by contributions paid by plans is recorded in “Accounts and notes payable”. Defined employees and Group companies to the organizations responsible for managing the plans. The Group’s obligations are limited to the payment of such contributions which are expensed as incurred. The Group’s obligation under these contribution plans are operated in most European countries (France, the United Kingdom, the Netherlands, Germany and Central Europe, Nordic countries, Italy and Spain), in the United States and in the Asia-Pacific area. unfunded plans, where benefits are paid directly by the Group ◗ and the related obligation is covered by a provision corresponding to the present value of future benefit payments. Estimates are based on regularly reviewed internal and external assumptions. These unfunded plans correspond mainly to retirement termination payments and healthcare assistance plans; funded plans, where the benefit obligation is covered by ◗ external funds. Group contributions to these external funds are made in accordance with the specific regulations in force in each country. Defined benefit pension plans Defined benefit pension plans consist of either:

Breakdown of provisions for pensions and other post-employment benefits

Sweden and India). Provisions for pensions and other post-employment benefits comprise obligations under funded defined benefit plans (particularly in the United Kingdom and Canada) and obligations primarily relating to retirement termination payments (particularly in France, Germany,

Provision for pensions and other post-employment benefits by main countries

Net provision in the Consolidated Statement of Financial Position

Obligation

Plan assets

2015

2015

2015

2016 3,633

2016

2016

in millions of euros

United Kingdom

3,330

(2,633)

(2,787)

697 176 221

846 190 215

Canada

624 237

674 237 101

(448)

(484)

France

(16) (47)

(22) (57)

Germany Sweden

88 34 39

41 25 18 38

44 25 18 36

34 45

(9)

(9)

India

(21) (10)

(27)

Other

146

145

(109)

PROVISIONS FOR PENSIONS AND OTHER POST-EMPLOYMENT BENEFITS

4,498

4,869

(3,282)

(3,495)

1,216

1,374

218

Registration Document 2016 — Capgemini