DERICHEBOURG - Universal registration document 2019-2020

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CSR report (serving as statement of extra-financial performance) Overview of businesses and business model

Management anddistributionof end-of-lifevehicles (collection, processing and monitoringof materials) through itsECO-VHUsubsidiaryfor automotive manufacturers

develop niche businesses where there are fewer players, such as p induced heavy metals plant, aluminum or lead refining, and cold preparation of mixtures for steel mills that produce stainless steel. The Group also seeks to develop additional sorting for the non-ferrous metals that result from the shredding process. Ultimately, the Group aims to earn 20%-25%of revenue from the Recyclingbusiness in these segments; expand the collection network, in France and abroad by being p present in each country as either a national or regional leader and explore external growth opportunities over the long term. The Group is well positionedto be a consolidatorfor a market at cyclical lows. Public Sector Services business 1.1.1.2 This part of the Group's businessgeneratesapproximately€146 million in revenue. It operates in France and Canada. The efficientmanagementof householdwaste and urban cleaning is a major challenge for local authorities. It determinesthe quality of life of citizens and the fulfillment of economic, social and environmental obligationsthat are an increasingburdenon them. Poly-Environnement (France) and DerichebourgCanadahandle all types of householdwaste and their collection processes: traditional and selective (glass, newspapers and magazines, household packaging, green waste, paper/cardboard,etc.), both door-to-door and by voluntary drop-off. These subsidiariesalso collect roadsidewaste and large items, manage several household waste materials recovery facilities and transport waste to treatment and recycling facilities. Poly-Environnementoffers to manage all aspects of local authorities’ urban operations and cleaning (street sweeping, cleaning contaminated soil, public waste bins and containers,graffiti removal, etc.). Poly-Environnement’s subsidiaries also provide a door-to-door collection service for household and similar waste in four of the 10 Paris districts where waste collection is operated privately, and collectionof householdwaste in three districts in Marseille(the 2 nd , 15 th and 16 th ). During the fiscal year 2019, the Group renewed its contract in Paris, and even extended the scope of its services as it was also selectedin the 10 th and 18 th districts (arrondissements). Public contracts are usually for a period of five to seven years, and it is common for local authorities to request new equipment when they renewthem. The Group responds to tenders that give significantweight to technical considerations,thus making it possible to highlight the quality of the service and the resourcesdeployedby the tenderer,not only the lowest price, in order to obtaina solid returnon capital employed. This businessemploysabout 1,700 employees.

1.1.1.1.3.3.2

The Derichebourg Group has a network of over 300 approved dismantlingplants in France (internal or third-party)enabling it to fulfill territorial network requirements, thereby putting the Group in a favorable position to sign framework contracts with car-makers and importers. industries The Group performs customized services such as the preparation of bailed ferrous scrapmetal, which is used as coolingchutes, and may be called upon to managesteel mill ferrous scrapmetal yards. waste The Group provides the customers in its regional network with collectionand sorting services for common industrialwaste, paper, and cardboard. During the 2019 fiscal year, the Revival subsidiary inaugurated a new facility in Noisy-le-Sec, in the Paris region, with a processing capacity of 88,000 t/year,which fits neatly into the urban landscape. Group strategy in theRecyclingbusiness 1.1.1.1.4 The Group is currently the fourth largest European actor in terms of revenue, behind EMR, TSR, and Chi-Ho EnvironmentalGroup (Scholz). The Group’s ambition is to move up one place in the next five years, whether throughorganicor externalgrowth. The successof this ambitionwill dependon the followingstrategy: consolidate our position as leading supplier in steel and metallurgy p by delivering products in line with customer specifications and expandingour customerbase, especiallyfor ferrous scrapmetal; implement the best sorting technologies available, so that the full p added value of the various products is maintained, and reduce the share of residueheadedto landfill; have a management team that implements the same strategy p uniformlythroughoutthe Group, and train employees; update the Group’s IT tools while leaving intact the main feature, p that make it one of the most relevant tools in the market (knowledgeof inventoriesand real-timemarginsat all Group sites); Treatment of by-products from steel mills andother 1.1.1.1.3.3.3 Collection of paper, cardboard, common industrial 1.1.1.1.3.3.4

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