TECHNICOLOR_REGISTRATION_DOCUMENT_2017

3 - RISKS, LITIGATION AND CONTROLS Risk factors

This Chapter describes in the first section the main risks identified by the Group that could affect its businesses, financial situation or sustainability. Additional risks which are either not identified or which are considered today as not significant may also have a significant impact on the Group’s performance. The next sections describe respectively litigation, internal controls and insurance.

RISK FACTORS 3.1 [G4-2] GRI

Operational

Production Services

DVD Services

Connected Home

Customer project management ■ Attract, develop & retain creative ■ and technology talents

Customer concentration and contract negotiation ■

Client concentration and contract negotiation ■

Labor force availability ■

Dependency on client performance ■

Cyber content security ■ Tax credits evolution ■

Supply chain and manufacturing ■ Raw material availability and volatility ■

Supplier and key component dependency ■

Supply Chain management ■

Physical security ■

Products development and cybersecurity ■

Global market & Industry Develop relevant innovation ■

Financial

Corporate Social Responsibility & Compliance

Indebtedness ■

Environment ■

Competition ■

Interest rate and exchange rate fluctuations ■

Health and safety ■

Economics, political and social ■ conditions

Liquidity ■

Talent and human rights ■

Impairment of assets ■

Legal compliance ■

48

TECHNICOLOR REGISTRATION DOCUMENT 2017