technicolor - 2020 Universal Registration Document

PRESENTATION OF THE GROUP ORGANIZATION AND BUSINESS OVERVIEW

The initial Covid-19 lockdowns also presented an unprecedented engineering challenge to rapidly enable a global workforce at home to meet client project demands. In response, Technicolor engineers enabled over 4,000 remote employees in less than a month, with no material disruptions in work. This accomplishment was due in large part to our previous experience in leading remote working solutions. Since working from home has now become an established industry practice, Technicolor will continue to build competitive advantage by focusing on improving related security practices and enabling rapid deployment of flexible, remote working environments. Production Services continues its focus on building efficient technology-supported pipelines and on its partnership with Microsoft. 2021 goals include optimizing render costs through increased sharing of internal hardware across divisions. The division will also leverage the partnership with Microsoft to further initiatives such as hosting workstations in the cloud and deploying secure artist working environments on demand globally.

With respect to talent recruitment and development, in 2020, Production Services repositioned The Focus as a career hub under a combined talent management and lifelong learning model, utilizing real-time data to effectively and efficiently support growth in the division. Also during the year, the Technicolor Academy adapted to virtual learning under Academy @ The Focus, allowing Production Services to increase its global reach, particularly during this pandemic environment. In January 2021, in order to focus on VFX and animation for the entertainment industry, and creative services and technologies for the advertising industry, the Group announced the sale of the Technicolor Post Production business for €30 million to Streamland Media. Subject to customary closing conditions, the transaction is expected to close during the first half of 2021.

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Film & Episodic VFX Advertising

Post Production

Animation & Games

Primary Focus Areas

Locations

• VFX for tentpole films, servicing all major studios

London, Montreal, LA, Bangalore, Mumbai

MPC Film

Higher-end episodic projects and local market content •

London, Berlin, Paris, Liege, Bangalore

MPC Episodic

Smaller to mid-sized VFX projects for theatrical, episodic and streaming content • • VFX, production & delivery for agencies, production companies and brands

Toronto, Montreal, Bangalore, Adelaide

Mr. X

London, LA, NY, Chicago, Mumbai, Bangalore, Berlin London, LA, NY, Amsterdam, Paris, Shanghai, Bangalore

The Mill

MPC Advertising

• VFX & production for agencies, production companies and brands

• Feature animation VFX services in France for Film/TV & Advertising •

Paris, Montreal, Liege, Bangalore

Mikros

Film & TV/OTT post, including beauty fixes & other just-in-time VFX Animation services for TV/OTT & Games • •

LA, Toronto, London, Paris, Bangalore, Cardiff, Atlanta, Vancouver

Technicolor

Approximately 7,700 people (including approximately 6,200 digital artists) worked for the Production Services Division at the end of December 2020 in India (50%), USA (16%), Canada (12%), UK (12%), and France and Other (10%).

INDUSTRY TRENDS AND MARKET POSITION As global digital advertising spend continues to grow faster than traditional television advertising spend, and as rapidly evolving consumer technology choices drive new advertising content and device formats, Technicolor’s Advertising businesses are well-positioned to address

this market evolution and utilize emerging technologies to create the high-end imagery required by advertisers across all screens and experiences, strengthening its leadership in high-end advertising content

creation and immersive experiences.

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TECHNICOLOR UNIVERSAL REGISTRATION DOCUMENT 2020