technicolor - 2018 Registration document

PRESENTATION OF THE GROUP

ORGANIZATION AND BUSINESS OVERVIEW

ORGANIZATION AND BUSINESS 1.2 OVERVIEW GRI [102-2]

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Entertainment Services 1.2.1 The Entertainment Services segment, which generated consolidated revenues of €1,726 million in 2018, accounting for 43% of the Group’s reported consolidated revenues, supports content creators from creation to post production (Production Services), while offering global distribution solutions through its replication and distribution services for DVD, Blu-ray TM discs and CD (DVD Services). The Entertainment Services segment is organized in two divisions: the Production Services Division provides a full set of award-winning • Visual Effects (“VFX”), Animation, Video and Post Production services; the DVD Services Division replicates, packages and distributes DVD, • Blu-ray TM discs and CD. Business overview Technicolor offers award-winning Visual Effects (“VFX”), Animation and Post Production services for feature films, TV series, advertising, video games and other audiovisual content. The Group’s VFX studios offer pre-visualization, asset creation, texturing, animation, rigging, rotoscoping, lighting, match move and compositing. Technicolor’s Animation businesses offer solutions for the creation of high-quality Computer-Generated Imagery (“CGI” or “CG”) Animation. Through its Post Production Services activities, Technicolor supports its clients from camera capture on the production set through creation of final distribution masters, including on-set services, color correction, and VFX integration. Technicolor continues to extend the range and depth of its product and service offerings, and to develop new innovative solutions, including state-of-the-art technologies and creative tools. In this division, Technicolor is also committed to the growth of immersive experiences and has made great strides in the Virtual Reality (“VR”), Augmented Reality (“AR”), and branded experiential landscape. The Group offers a large portfolio of VR/AR and other emerging technology work, resources and technical expertise for clients and consumers looking for a truly immersive experience. PRODUCTION SERVICES 1.2.1.1 GRI [102-2] [102-6] [103-1 Market presence] [103-2 Market presence] [103-3 Market presence]

The division works primarily on an individual project basis and builds teams and workflows around key creative and production talent. Production Services also builds dedicated teams and spaces for clients who desire guaranteed capacity and talent across multiple projects. Organization Following the rapid growth of Production Services these past few years, the Group decided at the end of 2017 to align the organization to fast changing markets while respecting the creative diversity of Technicolor’s brands. This new organization transitioned Production Services from a brand-organized strategic alignment to a structure based upon four primary service lines—Film & TV VFX, Advertising, Animation & Games, and Post Production—to foster deeper collaboration and synergies among complementary brands within each service line. This also reinforces the division’s drive towards innovation, as this structure positions Technicolor to lead future technological waves across its primary market segments. Technicolor continued hiring additional talent to support its brands while further optimizing its resource allocations among key production-incentivized or cost-advantageous geographies and expanding into new ones, including the opening of Mill Film studios in Adelaide (Australia) and Montreal (Canada) and also increasing its capacity in India, in the UK and in Canada. Capacity growth also requires significant investment in computing power, render farms, storage, and cloud solutions to deliver on clients’ projects on quality and on time. In order to optimize utilization, Technicolor is investing in technology to develop a more flexible cost structure and to facilitate sharing of human and technology resources across facilities around the world.

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TECHNICOLOR REGISTRATION DOCUMENT 2018