QUADIENT // 2021 Universal Registration Document

FINANCIAL STATEMENTS Consolidated financial statements

2022 BUDGET: HEDGING POSITIONS COVERING ANTICIPATED FINANCIAL ASSETS AND LIABILITIES IN ❚ FINANCIAL YEAR 2022 EXPECTED TO BE REALIZED NO LATER THAN APRIL 2023

Notional value

USD GBP CAD NOK

JPY SEK CHF DKK

CZK SGD AUD PLN

Financial assets

213.4 33.8 16.4 42.1

2,374.7 71.0 44.0 30.3 104.6 6.3 5.0 1.4

Financial liabilities 119.6 26.3 6.4

1.6 2,098.6 14.2 57.1

5.5 828.9 7.3 1.0 2.6

Net exposure before hedging

93.8 7.5 10.0 40.5 276.1

56.8 (13.1) 24.8 (724.3) (1.0)

4.0 (1.2)

Hedging

(43.0) (1.7) (4.6) (17.5) (176.6) (9.5)

- (7.5)

280.0

- (3.4)

-

NET EXPOSURE AFTER HEDGING 50.8 5.8 5.4 23.0 99.5 47.3 (13.1)

17.3 (444.3) (1.0)

0.6 (1.2)

Quadient uses symmetric options tunnels in particular. These option instruments are unlikely to be exercised in a reciprocal manner in terms of the spot exchange rate or expiry date. As a result, for each tunnel only one of the two options is reported in the table above. The value of the commitment in these symmetric options is 18.5 million United States dollars sold, 2.0 million Norwegian krona sold, 45.0 million Japanese yen sold, 1.2 million Australian dollars sold, and 100.0 million Czech krona purchased. Quadient also makes use of asymmetric option tunnels. The asymmetric part of this kind of options is presented in the table above with a view to reflecting the Group’s maximum commitment. The asymmetric part by currency is as follows: 9.5 million United States dollars sold.

external counterparties. The derivative instruments used by the treasury department in its hedging strategies are as follows: firm derivatives such as forward currency purchases ● and sales; plain vanilla options such as puts and calls; ● second generation options (knock-in or knock-out ● barrier options). Instrument details The instruments in the portfolio have a maturity of less than twelve months as of 31 January 2022. These instruments are listed below by type and by currency for the period to which they relate.

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Hedging instruments

The Quadient Group hedges its exchange rate risk using over-the-counter derivative instruments contracted with

2021 FINANCIAL YEAR: ASSETS AND LIABILITIES HEDGING ❚

Notional value – Cash flow hedging

Forward purchases

Forward sales

Put options bought

Put options sold

Call options bought

Call options sold

USD

-

13.8

-

-

-

-

GBP

-

4.3

-

-

-

-

CAD

-

2.1

-

-

-

-

NOK

1.7

3.4

-

-

-

-

JPY

-

29.3

-

-

-

-

SEK

-

6.1

-

-

-

-

CHF

-

1.1

-

-

-

-

DKK

-

0.6

-

-

-

-

CZK

50.0

-

-

-

-

-

SGD

-

2.1

-

-

-

-

AUD

-

1.6

-

-

-

-

PLN

-

0.4

-

-

-

-

207

UNIVERSAL REGISTRATION DOCUMENT 2021