technicolor - 2020 Universal Registration Document

6 FINANCIAL STATEMENTS

NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Note 8 - Financial assets, financing liabilities & derivative financial instruments

FINANCIAL DERIVATIVE PORTFOLIO 8.6.1 At December 31, 2020 and December 31, 2019 the fair value of the Group’s financial derivatives was as follows:

2020

2019

Assets

Liabilities

Assets

Liabilities

(in million euros)

Foreign currency hedges

- - -

1 1

1 - 1

2

Interest rate hedges

1

TOTAL

2

3

Foreign currency hedge characteristics The foreign currency hedges outstanding at December 31, 2020 are shown in the table below: Currencies

Notional (1)

Maturity

Fair value (2)

Forward purchases/sales and currency swaps Forward purchases/sales and currency swaps Forward purchases/sales and currency swaps Forward purchases/sales and currency swaps Forward purchases/sales and currency swaps

USD/GBP USD/MXN EUR/AUD EUR/GBP

54

2021 2021 2021 2021

(1)

(40)

- - - -

23 18

Other currencies

FAIR VALUE

(1)

Net forward purchases/(sales), in millions of the first currency of the pair. (1) Market value in millions of euros at December 31, 2020. (2)

Interest rate hedge characteristics The Group has two interest rate hedging instruments outstanding at December 31, 2020. These instruments hedge future interest charges of the Group, which are principally indexed on a floating rate as shown in the table in note 8.2.2.2. The main characteristics are as follows: Notional Hedge Issuance Maturity Fair value (1) Interest rate swap €240 million Receive 3m EURIBOR (2) /pay 0.22% May 2018 November 2021 (1) Cap $145 million 3m LIBOR capped at 3.00% May 2018 November 2021 - FAIR VALUE (1) Market value in millions of euros at December 31, 2020. (1) EURIBOR floored at 0%. (2)

Characteristics of instruments not documented as hedges At December 31, 2020 the Group does not have any outstanding instruments that are not documented as hedges.

IMPACT OF DERIVATIVE FINANCIAL INSTRUMENTS ON GROUP PERFORMANCE 8.6.2 As indicated in note 8.2.2.1, due to the practice of the Group treasury exposure which is monitored daily, the characteristics of its portfolio for its foreign currency exposure of executing mainly short-term of hedging instruments at the closing date is not representative derivative instruments, which are rolled over as a function of its global of the impact on the year’s results nor that of future years.

TECHNICOLOR UNIVERSAL REGISTRATION DOCUMENT 2020 248