SOMFY - Annual financial report 2018

09 LEGAL DOCUMENTS

CLASSIFICATION OF DISPUTES AS CONTINGENT LIABILITIES

Risk identified

Our response

Your Group’s business activities are conducted within a complex and continuously changing international regulatory framework, which varies depending on the countries and over time, and applies to extremely different aspects. In that context, these activities may entail risks, commercial, wage-related or tax disputes, or litigious situations. Your Group Management exercises its judgement and uses estimates and assumptions when measuring these risks. Some of these risks are classified as contingent liabilities, as described in note “B – Contingent liabilities” to the parent company financial statements and, in this regard, no provision has been made for them in your company’s financial statements. We have considered that the classification of the disputes as contingent liabilities is a key audit point in view of the amounts in question, and the level of judgement required from Management to determine them. We have also performed the specific verifications required by legal and regulatory texts, in accordance with professional standards applicable in France. INFORMATION PROVIDED REGARDING THE FINANCIAL POSITION AND THE ANNUAL FINANCIAL STATEMENTS IN THE MANAGEMENT REPORT AND IN THE OTHER DOCUMENTS SENT TO SHAREHOLDERS We have no observations to make concerning the fairness and consistency with the parent company financial statements of the information given in the Management Board’s management report and in the other documents sent to the shareholders concerning the financial situation and the parent company financial statements. We certify that the information relating to payment terms mentioned in Article D. 441-4 of the Commercial Code is true and fair, and consistent with the parent company financial statements. We hereby certify that the information required by Articles L. 225-37-3 and L. 225-37-4 of the Commercial Code is included in the Supervisory Board’s report on corporate governance. Concerning the information provided in accordance with provisions of Article L. 225-37-3 of the Commercial Code on remuneration and benefits paid to corporate officers as well as commitments given in their favour, we have verified their consistency with the financial statements or with the data used in the preparation of these financial statements and if necessary, with data collected by your company from its parent company or subsidiaries. On the basis of this work, we confirm the accuracy and the fairness of this information. In the case of the information relating to the factors that your company has considered as likely to have an impact in the event of a public tender or exchange offer, and provided pursuant to the provisions of Article L. 225-37-5 of the Commercial Code, we checked the consistency of this information with the documents SPECIFIC VERIFICATIONS — REPORT ON CORPORATE GOVERNANCE

Our work as part of the audit of the company’s parent company financial statements specifically consisted of: reviewing the procedures implemented by your company to – identify and assess these risks; familiarising ourselves with the risk assessment performed by – Management and the corresponding documentation, and reviewing the written consultations provided by external advisers, where applicable; analysing the answers provided to our requests for – confirmation, forwarded to your company’s external advisers; assessing the main risks identified, and reviewing the – assumptions used by Management to classify these risks as contingent liabilities; assessing the appropriate nature of the information set out in – note “B – Contingent liabilities” to the parent company financial statements.

from which it was derived, and which were disclosed to us. On the basis of this work, we have no observations to make on this information.

OTHER INFORMATION

As required by law, we ensured that the information concerning the purchase of investments and controlling interests and the identity of holders of the share capital and voting rights was

provided to you in the management report. INFORMATION ON OTHER LEGAL AND REGULATORY REQUIREMENTS — APPOINTMENT OF THE STATUTORY AUDITORS

We were appointed as Statutory Auditors of Somfy SA by your General Meetings of 24 May 2016 for KPMG SA and 12 May 2010 for ERNST & YOUNG et Autres. At 31 December 2018, KPMG SA was in its third year of uninterrupted engagement and ERNST & YOUNG et Autres in its ninth year. Previously, ERNST & YOUNG Audit had been Statutory Auditor from 1993. RESPONSIBILITIES OF MANAGEMENT AND INDIVIDUALS IN CHARGE OF CORPORATE GOVERNANCE IN RELATION TO THE PARENT COMPANY FINANCIAL STATEMENTS — Management is responsible for the preparation and fair presentation of the parent company financial statements in accordance with French accounting principles and methods, and for such internal control as Management determines is necessary to enable the preparation of parent company financial statements that are free from material misstatement, whether due to fraud or error. In preparing the parent company financial statements, Management is responsible for assessing the company’s ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of

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SOMFY – ANNUAL FINANCIAL REPORT 2018