CAPGEMINI_REGISTRATION_DOCUMENT_2017

FINANCIAL INFORMATION

4.2 Consolidated Financial Statements

Sensitivity analysis c)

Impact on the obligation at December{31, 2017 Rate increase Rate decrease

in{millions of euros

Increase/decrease of 50{basis points in the discount rate Increase/decrease of 50{basis points in the inflation rate Increase/decrease of 50{basis points in the mortality rate

(345)

399

264

(256)

(57)

61

Contributions d) Future contributions Contributions to defined benefit pension funds in the United Kingdom in respect of{2018 are estimated at €58{million, including the funding of pension plan deficits over the period defined with the trustees as part of the regular actuarial valuations.

Canada B) In Canada, defined post-employment benefits consist of defined benefit pension plans and other pension and similar plans. The plan assets are held in trust separately from the employer’s assets. Nonetheless, the responsibility to fund the plans lies with the employer. The plans expose the Group to the increase in liabilities that could result from changes in the life expectancy of members, fluctuations in interest and inflation rates and, more generally, a downturn in financial markets. The average maturity of pension plans in Canada is 20{years. The plans are subject to regular actuarial valuations performed at least every three years.

In accordance with local regulations, the non-renewal of certain client contracts in full or in part could require the Canadian entities to bring forward the funding of any deficits in respect of the employees concerned. In Canada, employees covered by defined benefit pension plans break down as follows: 927{current employees accruing pensionable service (1,000{at X December{31, 2016); 88{former and current employees not accruing pensionable service (80{at December{31, 2016); 348{retirees (303{at December{31, 2016). X

4

Net provision in the Consolidated Statement of{Financial Position

Obligation

Plan assets

2016

2017

2016

2017

2016

2017

in{millions of euros

PRESENT VALUE OF THE BENEFIT OBLIGATION AT JANUARY{1 Expense for the period recognized in the Income Statement

624

674

(448)

(484)

176

190

50 25 25

49 25 24

(19)

(18)

31

31

Service cost

-

-

25

25

Interest cost

(19)

(18)

6

6

Impact on income and expense recognized in equity

(6)

55

(9)

(9)

(15)

46

Change in actuarial gains and losses

(6)

55 57 (2)

- - - -

- - - -

(6)

55 57 (2)

Impact of changes in financial assumptions

14

14

Impact of changes in demographic assumptions

(14)

(14)

Experience adjustments

(6)

-

(6)

-

Return on plan assets{ (1)

-

-

(9)

(9)

(9)

(9)

Other

6

(62)

(8)

32

(2)

(30)

Contributions paid by employees

4

4

(4)

(4)

-

-

Benefits paid to employees

(45)

(26)

43

23

(2)

(3)

Contributions paid

-

-{

(14) (30)

(15)

(14)

(15) (12)

Translation adjustments

42

(40)

28

12

Other movements

5

-

(3)

-

2

-

PRESENT VALUE OF THE BENEFIT OBLIGATION AT DECEMBER{31

674

716

(484)

(479)

190

237

After deduction of financial income on plan assets recognized in the Income Statement and calculated using the discount rate. (1)

233

REGISTRATION DOCUMENT 2017 — CAPGEMINI