SOMFY_ANNUAL_FINANCIAL_REPORT_2017

04 MANAGEMENT BOARD REPORT

For reasons of organisation and access to information, not all Group companies have yet been included. The Group wants to use perimeters that are more relevant depending on the topics covered. As such, certain companies are excluded from the social scope due to the existence of very low workforces in certain organisations (distribution subsidiaries spread out over vast geographic areas such as South America), or the lack of Human Resources information systems designed for collecting data easily. The distribution subsidiaries are excluded from the environmental scope due to their low environmental impact in comparison with the industrial sites. Over the short-term, the Group plans to integrate all significant companies that it fully owns. Only one company, Dooya, 70% owned and comprising an industrial site, is not integrated. At 31 December 2017, Dooya’s workforce was 1,523 people (excluding temporary workers), training costs were €0.2 million and energy costs were €0.7 million. Newly acquired companies are integrated into the reporting scope following a probationary period necessary for the introduction of reporting. Companies which were sold during the financial year are The social reporting scope taken into account for the 2017 financial year is identical to that used in 2016 and includes the following entities: Automatismes BFT France SAS (France); – Automatismos Pujol SL (Spain); – BFT Italia SpA (Italy); – LianDa (China); – NV Somfy SA (Belgium); – O&O SRL (Italy); – Overkiz SAS (France); – Simu GmbH (Germany); – Simu SAS (France); – Sisa Home Automation Ltd (Israel); – SITEM SARL (Tunisia); – Somfy Activités SA (France); – Somfy AG (Switzerland); – Somfy Brazil LTDA (Brazil); – Somfy China Co Ltd (China); – Somfy Egypt (Egypt); – Somfy España SA (Spain); – Somfy Ev Otomasyon Sistemleri Ticaret Ltd Sti (Turkey); – not included within the reporting scope. Specifics of the scope for 2017 reporting

Somfy GmbH (Germany); – Somfy GmbH (Austria); – Somfy Hellas SA (Greece); – Somfy India Pvt Ltd (India); – Somfy Italia SRL (Italy); –

Somfy Joo (Korea); – Somfy K.K. (Japan); – Somfy LLC (Russia); – Somfy Ltd (UK); – Somfy Maroc SARL (Morocco); – Somfy Middle East Co Ltd (Republic of Cyprus); – Somfy Nederland BV (Netherlands); – Somfy Norway AS (Norway); – Somfy PTE Ltd (Singapore); – Somfy PTY Ltd (Australia); – Somfy South Africa (PTY) Limited (South Africa); – Somfy Sp zoo (Poland); – Somfy Spol sro (Czech Republic); –

Somfy Sweden AB (Sweden); – Somfy Systems Inc. (USA); – Somfy Tunisie (Tunisia); –

SOPEM (Poland); – WAY SRL (Italy). –

Likewise, the environmental reporting scope taken into account for the 2017 financial year is also identical to that used in 2016 and includes the following entities: BFT Italia SpA (Italy); – LianDa (China); – Simu SAS (France); – SITEM SARL (Tunisia); – Somfy Activités SA (France); –

SOPEM (Poland); – WAY SRL (Italy). –

METHODOLOGY LIMITATIONS

The methodologies used for the reporting of certain CSR indicators may present limitations due to: particularities of local legislation in the various countries in – which the Group is located; lack of availability of information on certain scopes; – use of estimates in the absence of assessment tools; – practicalities of collecting and processing data. –

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SOMFY – ANNUAL FINANCIAL REPORT 2017