Cap Gemini - Registration Document 2016

INFORMATION

4.2 Consolidated financial statements

Operating expenses by nature Note 7

2015

2016

% of revenues

revenues % of

Amount

Amount

in millions of euros

Personnel expenses

7,260

60.9%

7,611

60.7%

Travel expenses

499

4.2%

521

4.2%

7,759 2,207

65.1% 18.5%

8,132 2,254

64.9% 18.0%

Purchases and sub-contracting expenses

Rent and local taxes

372

3.1%

380

3.0%

Other charges to depreciation, amortization and provisions and proceeds from asset disposals

315

2.7%

333

2.6%

OPERATING EXPENSES

10,653

89.4%

11,099

88.5%

Breakdown of personnel costs in millions of euros

Note

2015

2016 6,151 1,401

Wages and salaries

5,845 1,344

4

Payroll taxes

and other post-employment benefit expenses Pension costs related to defined benefit pension plans

24

71

59

PERSONNEL EXPENSES

7,260

7,611

Other operating income and expense Note 8

Notes

2015

2016

in millions of euros

in business combinations Amortization of intangible assets recognized

(45) (40) (42) (81) (39) (16) (29)

(68)

Impairment of goodwill

13 -15

-

Expense relating to share grants

12

(58)

Restructuring costs

(103)

Integration costs for purchased companies

(68)

Acquisition costs

(1) (5)

Other operating expenses Total operating expenses Other operating income Total operating income

(292)

(303)

52 52

11 11

OTHER OPERATING INCOME AND EXPENSE

(240)

(292)

Restructuring costs reduction measures in the amount of €91 million (€67 million in Fiscal year 2016 restructuring costs primarily concern workforce the amount of €7 million (€11 million in 2015). 2015) and the streamlining of real estate and production assets in Integration costs for purchased companies Integration costs for purchased companies total €68 million and mainly concern the integration of the IGATE group and primarily

relating to incentive instruments granted to IGATE employees. the cost of consultants involved in the integration and expenses conditions of presence for companies purchased in 2016. Integration costs also include earn-outs associated with relating to the decrease in the present value of the benefit In 2015, Other operating income included income of €35 million an agreement with certain members regarding a reduction in their obligation for the main Capgemini UK Plc. pension plan, following defined benefits.

183

Registration Document 2016 — Capgemini