technicolor - 2018 Registration document

FINANCIAL STATEMENTS

NOTE 1 GENERAL INFORMATION

General information

NOTE 1

Technicolor is a leader in Media & Entertainment Services, developing and monetizing next-generation video technologies. Please refer to note 3.1 for details on Group’s operating segments. In these consolidated financial statements, the terms “Technicolor group”, “the Group” and “Technicolor” mean Technicolor SA together with its consolidated subsidiaries. Technicolor SA or the “Company” refers to the Technicolor group parent company. Main events of the year 1.1 GRI [102-10] [102-49] PATENT LICENSING AND RESEARCH & INNOVATION BUSINESSES associated with patents pools, for a total price of €188 million (see note 2.2).

On February 11, 2019, the Group announced being in exclusive negotiations with InterDigital for the divestiture of its Research & Innovation activity. This transaction would amend the contingent consideration to be received on the sale of the Patent Licensing business by reducing by 50% the future expected cash receipts (see notes 2.2. and 13).

On December 18, 2017, Technicolor announced being in negotiations for the divestiture of its Patent Licensing business. This transaction is in line with Technicolor’s objective to simplify the Group’s structure and allocate its capital and resources to its operating business. On July 30, 2018, the Group concluded the sale to InterDigital of its Patent Licensing business excluding some mobile patents, a small number of patents for nascent technologies and some patents

Accounting policies

1.2

GRI [102-48]

1.2.1 BASIS FOR PREPARATION These consolidated financial statements have been prepared in accordance with International Financial Reporting Standards (“IFRS”) effective as of December 31, 2018 and adopted by the European Union as of February 27, 2019. The standards approved by the European Union are available on the following web site: https://ec.europa.eu/info/publications/eu-accounting-rules_en Technicolor financial statements are presented in euro and has been rounded to the nearest million. This may in certain circumstances lead to

non-material differences so that the sum of the figures equals the sub-totals that appear in the tables. The consolidated financial statements were approved by the Board of Directors of Technicolor SA on February 27, 2019. According to French law, the consolidated financial statements will be considered as definitive when approved by the Company’s shareholders at the Ordinary Shareholders’ Meeting, which should take place in April 2019. The accounting policies applied by the Group are consistent with those followed last year except for standards, amendments and interpretations which have been applied for the first time in 2018 (see note 1.2.2.2. hereunder).

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TECHNICOLOR REGISTRATION DOCUMENT 2018