Universal Registration Document 2021

3 RISKS, LITIGATION, AND CONTROLS RISK FACTORS

ATTRACT TALENT & INVEST IN CULTURE [103-1 Employment] [103-2 Employment] [103-1 Training and education] [103-2 Training and education] [103-1 Diversity and equal opportunity] [103-2 Diversity and equal opportunity] Risk identification Risk monitoring and management

To limit the impact that these risks might have, People & Talent has reengineered its mission, operations, and programs to better suit the current environment and business needs. These initiatives include recruitment programs, annual talent reviews, and the launch of a global Diversity, Equity, and Inclusion program aimed at demonstrating the Group’s long-term commitment to celebrating our differences and representing the diversity of the communities and clients it serves. In addition to the Technicolor Creative Studios Academy, which serves as training camp for aspiring digital artists, in 2018 Technicolor Creative Studios launched The Focus to consolidate talent recruitment across all business units to make more efficient the global recruiting process, identify new talent pools, facilitate international mobility and fill capacity across sites. In 2021, about 1,600 artists (employees and potential employees) received training in the Technicolor Creative Studios Academy, mostly through virtual sessions, or on site on its primary hubs in Montreal (Canada) and Bangalore (India). Since 2020, and under the restrictions generated by the pandemic, these sessions were migrated to live virtual delivery ensuring flexibility and scalability. New Virtual Academies are supporting artist development across studios globally to ensure a consistent show-ready skill set. The Focus team continues to build university partnerships to provide curriculum guidance to help ensure skill alignment with market needs, to provide mentoring to students, and to participate in recruitment initiatives all while promoting diversity. For this purpose, “Academy in the cloud” was successfully introduced in the second quarter using virtual sessions to expand the graduate reach while additional programs continue to be developed. Furthermore, Technicolor Creative Studios is already using software Smart Recruiters which is used for the entire process of hiring (job add, resume, schedule interviews, etc.) that brings more efficiency for the Group as well as better experience to the new hires. The contract was expanded to DVD Services and Connected Home and the process of redesign is ongoing. Together with the new onboarding process going live in all countries with our current tools (HR Online and People Doc) as an intermediary process until the new tool deployment end of 2022, these changes will strengthen People & Talent process, increase the automatization, and limit the possibility of system failures. Regarding immigration, the Group has established and continues to nurture long-standing relationships with local external counsel/immigration administrators in order to encourage their support in facilitating the immigration process. As an element of differentiation to attract and retain employees, Technicolor strives continuously to improve its benefits policy. Surveys were launched to check employees’ morale and mindset for those employees who were working from home for long periods as well as a global employee engagement survey to identify the expectations at the time most employees returned to the office. Soft skills training was delivered to support the change of working relations. A worldwide Diversity, Equity and Inclusion initiative targeting all employees’ communities was also launched with local involvement.

The Group depends on the continued recruitment and engagement of key team members, with strong skills set (creative, technical, operational, etc .) depending on what business division or transversal function they belong to, and industry knowledge (entertainment, logistic, telecommunication/IOT, etc .). In addition, the technology experts are essential team members in order to improve the quality of the products we develop. Furthermore, the talent pool from which the business draws much of its staff is highly geographically mobile. Technicolor Creative Studios are particularly dependent on the continuous recruiting of many artists, production staff and technical talent, while competing with new players and traditional clients who are vertically integrating post-production services activities (bringing activities in-house) and increasing market shares, as well as talents. Any material delays in the immigration process for new hires may also negatively impact the Group’s operations. The absence of a strong People & Talent (formerly known as Human Resources) strategy/value proposition, cultural initiatives for inclusion plus challenged financial results may lead the Group to be less attractive. Coupled with the current external pandemic challenges (which may result in required furlough and/or lay-offs), the Group may experience a longer recruitment process and/or talent may be less motivated to join the Group. The new working environment will entail significant work from home scenarios. Lack of initiatives to strengthen the collaborative culture and creativity could result in a sense of isolation, mental health challenges, unethical behavior and/or inefficiencies. Some employees may be reluctant to go back to office, assurance on the safety of our workplaces for employees or if return-to-work plans are not adequately communicated and properly implemented.

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TECHNICOLOR UNIVERSAL REGISTRATION DOCUMENT 2021