Worldline - Registration Document 2016

Operation and financial review Financial Review

Cash outflow linked to reorganization costs represented € 5.2 million. integration costs realized in 2016 reached € 9.9 million. Integration costs linked to the acquisitions and post acquisition related mainly to investments in non consolidated companies. Net financial investments amounted to € 1.3 million and Other changes of € 10.1 million corresponded to: Foreign exchange losses and other financials costs for ● € 3.5 million; Other non recurring items for € 6.6 million. ● As a result, the Free Cash Flow (FCF ) generated in 2016 was € 140.4 million. The net acquisitions of € 111.0 million represented the net cash effects linked to the acquisitions at the end of September 2016 of Paysquare and Cataps and the cash/debt included in the acquired companies at the date of the closing. In December 2016, the € 7.5 million Capital increase lcorresponded to: The proceeds from the capital increase required for the ● Boost Employee Share Purchase Plan in February 2016 stock options issued in September 2014, for € 4.4 million. Issuance of common stock following employee’s exercise of ● The Proceeds from disposal of the Visa Share of € 35.6 million related to the cash impact of the Visa share disposal in Belgium. cash of € 3.0 million. Foreign exchange rate fluctuation which is determined on debt or cash exposure by country had a positive impact on net (€ 3.1 million);

€ 128.5 million in 2015 corresponding to an increase of +9.3%. exchange rate fluctuation on opening net cash balance, and net acquisitions and disposals, reached € 140.4 million compared to disposal of Visa Share, purchase of shares, impact of foreign Free cash flow represented by the change in net cash or net debt, excluding equity changes, dividends paid to shareholders, increased by € 30.5 million compared to last year, including the following items: Cash From Operations amounted to € 210.7 million and OMDA (€+23.4 million); ● Higher capital expenditures (€-18.3 million); ● Higher improvement in change in working capital ● requirement (€+25.4 million). €+23.4 million compared to December 2015, reached 19.8% of revenues against 19.2% of revenues in 2015. OMDA of € 258.7 million, representing an increase of Capital expenditures amounted to € 85.3 million or 6.5% of revenue above the level of 2015 at 5.5%. Main part is related to platforms for € 45.4 million. € 37.3 million. The DSO ratio reached 40 days at the end of The positive change in working capital requirement was December 2016, while the DPO was 70 days as of December 2016. Cash out related to taxes paid reached € 39.1 million increasing by € 9.2 million compared to 2015 (€ 29.9 million). This increase investment in software platforms through capitalized cost, in connection with the modernization of proprietary technological mainly came from advance payments and regularizations in Germany, France and Belgium. Net outflow related to cost of net debt of € 0.6 million decreased by € 0.8 million compared to the year 2015.

Financing Policy

9.11.3

9.11.3.1

Financing structure

2019, is concluded at customary market conditions and contains no financial covenants.

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financed by long-term committed loans or other appropriate long-term financial instruments. Worldline’s expected liquidity requirements are currently fully covered by the positive cash position and if needed, would be for an amount € 300 million, in order to cover the Group’s In this respect, on June 26, 2014, Worldline SA (as Borrower) signed a Revolving Credit Facility (RCF) with Atos SE (as Lender) liquidity requirements, including temporary fluctuations in its working capital needs, that was renewed on November 2, 2015 and transferred to Bull International (subsidiary of the Atos group) on January 2, 2016. The RCF has a duration until June 26,

9.11.3.2

Investment policy

financed through leases depending on the cost of funding and on the most appropriate type of financing for each new assets such as IT equipment and company cars may be investment. Worldline has a policy to lease its office space and other real estate assets either administrative or technical. Some other fixed

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Worldline 2016 Registration Document