Universal Registration Document 2021

RISKS, LITIGATION, AND CONTROLS RISK FACTORS

Global market and industry risks 3.1.1 [102-15]

HEALTH AND SAFETY

[103-1 Occupational health and safety] [103-2 Occupational health and safety] [403-5] Risk identification

Risk monitoring and management

Normally, standard and regular health and safety training are delivered to the Group’s employees as well as to the agency workers and contractors working in our locations to prevent injuries and accidents as part of global injury prevention programs. Considering the Covid-19 pandemic, increased cleaning and screening measures were implemented to minimize the risk of Covid-19 contamination of our workers. Injuries and severity rates are monitored with remediation actions. Industrial sites are regularly audited to review and assess health and safety risks and implemented prevention measures. Technicolor is closely monitoring the evolution of the Covid-19 pandemic and is taking all appropriate measures to support its customers throughout this ongoing difficult period and to ensure the safety of its employees. The Group is also evaluating any potential impacts to production and deliveries and will try to mitigate via alternative plans where necessary. The Group has successfully implemented work from home arrangements to ensure continuity and productivity across the Group, including in Technicolor Creative Studios and Connected Home. Supply chains in China resumed activity relatively quickly, which provided strong support to Technicolor’s Connected Home Division. Finally, in order to react quickly and to take all necessary measures, the Group set up a Covid-19 task force to address daily/weekly required actions and monitor ongoing developments (please refer to Chapter 2, section 2.5: “Information on Covid-19”). For further details on health and safety actions conducted by Technicolor, see Chapter 5, section 5.1.5: “Covid-19”, and section 5.2.5: “Safety at work” of this Universal Registration Document.

Most of the Group’s employees typically work in office buildings, so the environment, health and safety risks are limited to this perimeter. Regarding manufacturing sites, the Group operates three DVD and Blu-ray™ replication sites (two main locations in Mexico and Poland, and a smaller one in Australia) and one CPE (Consumer Premises Equipment) assembling site (Brazil). The distribution centers of the DVD Services Division are also an area of exposure to the environmental, health and safety risks, and they are located mainly in the U.S., Mexico, Canada, United Kingdom and Australia. Nevertheless, the advent of the Covid-19 pandemic, and associated guidance issued by the World Health Organization, has negatively impacted the Technicolor group. Beyond the major human impact on Technicolor employees, the Group had to temporarily close, reopen, and close some facilities following local government restrictions. The supply chain was impacted, especially in China, due to the reduced capability of Technicolor’s suppliers to produce and deliver the products. Moreover, our customers have been impacted as well, due to national and local lockdowns resulting in significant reduction in demand, particularly in Technicolor Creative Studios and DVD Services (with some exceptions). The pandemic could have a further negative impact on the Group’s financial results given the significant uncertainty remaining around the duration and ongoing magnitude of the disruption which it is causing.

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TECHNICOLOR UNIVERSAL REGISTRATION DOCUMENT 2021