DERICHEBOURG - Universal registration document 2019-2020

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Financial statements Parent company financial statements at September 30, 2020 Highlights of the fiscal year

Highlights of the fiscal year 1.

15 MT), the share of steel producedby the electrical industry is close to 70%, whereas it is only 40% in France. Spain has a ferrous metals deficit, and imports scrapmetal from France in particular. Covid-19 healthcrisis andthe economic 1.1.2 consequences Until mid-March 2020,the Group's activities saw very little disruption from the Coronavirushealth crisis. The lockdown measures announced on March 16, 2020 with effect fromMarch 17,2020 had a sudden impact on the Group's business in France, its main countryof operation. Faced with this unprecedentedhealth and economic shock, the Group took the followingmeasures: Measuresto protectemployees Equipment for employees (social distancing, gel, masks, ventilation) p in accordance with the instructions of the public authorities and accordingto individualwork situations; Use of home working for office staff wherever possible during the p lockdownperiod. Economic measures Use of the furlough scheme for staff whose job is no longer needed p or whosehours have been reducedas a result of the Covid-19crisis; Identifying savings opportunities: sponsorship, fees and travel ( de p facto ); Postponinginvestments. p

Material events during the fiscal year 1.1 Acquisitionof the LyrsaGroup (renamed 1.1.1 Derichebourg España on September 1, 2020) On December 20, 2019, Derichebourg Environnement completed the acquisition of the Lyrsa Group, Spain's leading independent player in scrap metal recycling. The acquisition was completed following the signingof the acquisitionagreementon September 19,2019. DerichebourgEnvironnementacquired 100% of the investments held by Layro SA in Lajo y Rodriguez SA (Lyrsa), Aragonesa de Chatarras y Metales SA (Archamesa) and Recuperaciones Díaz SA (Redisa). Lyrsa also owned 50% of Reyfra (a company that operates a scrap metal shredder in Madrid), whose joint shareholder was Derichebourg Environnement. In the calendar year 2019, the Lyrsa Group'soperationscoveredby this acquisition generated revenue of €450 million (with the full consolidationof Reyfra) and an Ebitda of €17.3 million.Lyrsa processes approximately1 millionmetric tons of metal waste per year, including around 160,000 metric tons of non-ferrous metals. The Group has around650 employees. Lyrsa was founded in 1939. It operates 18 recycling centers (17 in Spain and 1 in Portugal). It operates three shredders (including one prior to the Lyrsa acquisition, jointly owned with the Derichebourg Group through Reyfra), a center for the sorting of metals derived from the crushingprocess,an aluminumrefineryand a lead refinery. The DerichebourgGroup made this acquisitionusing its available cash and existing credit lines. A new syndicated loan was set up following this acquisition. Lyrsa's activity is consolidatedin the Group's financial statementsas of January 1,2020 (9 monthsof activityover the fiscal year). The DerichebourgGroup's strategy pursued through this acquisition is to duplicate the vertical integration strategy that it is already implementingin France. This covers general recyclingof scrapmetal, as well as the developmentof niche businesses (flotation, refining), with high added value, made possibleby dense regional coverage. Derichebourg's objective is for Lyrsa's Ebitda (approximately 4% in 2019) to move closer towards, over several years, the France Group's Ebitda (approximately8%). This will be achievedthrough the following actions: sales synergies: Pooling of customer contacts to ensure that the p Group benefits from the best sales opportunities at all times and cross-procurementof the two subsidiaries'specializedtools; developing Lyrsa's supplier base to improve unit margins, in p particular by targeting smaller suppliers in addition to the existing network; some cost synergies. p Spain is a dynamic market for the productionof electrical steel. While steel production is at around the same level as in France (around

The impact on the Group'svariousbusinesseswas as follows:

EnvironmentalServices The followingchangesoccurredin the Recyclingbusiness:

In France, business activity fell sharply and progressively from p March 17,2020 under the combinedeffect of the temporaryclosure of several scrap metal-consuming plants, and a scarcity of scrap metal supply (shutdown of the automotive industry, lower overall consumption,ban on travel by private individuals),and as of April 10 had flattened to around 15% of the usual business volume. The Group was forced to close most of its small retail sites due to the lack of footfall. All industrial sites remained open and used the furlough scheme. As anticipated,there was a gradual upward trend in footfall after the Easter weekend.The increasecontinuedand was more pronounced from May 11, 2020, when lockdown easing began. By September 2020,the Group had returned to a level of businessactivity comparableto that of last year.

DERICHEBOURG p 2019/2020 Universal Registration Document 191