Conditions for preparing and organizing the work of the

Board of Directors

1.2.1 Director information

To ensure the attendance of Directors at Board meetings, the Board of Directors’ meeting held to approve the half-yearly financial statements determines the Board’s meeting schedule for the following year.

The notices of Board meetings specifying the agenda are sent to the directors, the Statutory Auditors and the Government Commissioner at least one week in advance, except in urgent cases. Prior to each Board meeting, I, as Chairman, ensure that the relevant documents are addressed to each director in good time, except in urgent cases.

The Statutory Auditors and the Government Commissioner receive the same documents as the Directors.

1.2.2 Activities of the Board of Directors in 2014

In 2014, the Board of Directors met on March 12, May 15, July 24, September 29 and November 28. The average attendance rate at Board meetings was 83%.

The Board of Directors supervised the

implementation of the Company’s agreed guidelines and inspected its general operations. In particular, the Board of Directors:

- analyzed order entry, the order book and sales, self-financed consolidated research and development,

- oversaw the roll-out of civil and military programs and changes in workforce of the Parent Company and subsidiaries,

- set the medium-term strategy in the civil and military domains.

In addition, the Board of Directors:

- approved the fiscal year 2013 company and consolidated financial statements,

- decided, in terms of governance, to propose to the AGM a reduction in the term of office of directors from 6 years to 4 years, to introduce a preponderant variable element into attendance fees and to propose that the Chief Executive Officer and the Chief Operating Officer would continue to receive the supplementary benefit and pension plan of senior Company executives,

- convened the AGM of May 15, 2014,

- co-opted a new director and appointed this director as a member of the Audit Committee, - approved the financial statements for the half-

year ended June 30, 2014,

- reviewed the Parent Company’s forward-looking management documents in March and July 2014 and reviewed the budgets for self- financed technology investments, industrial investments and the pay policy,

- renewed the annual authorization conferred on the Chairman and Chief Executive Officer to grant guarantees and deposits,

- ruled on the professional and pay-scale equality policy,

- approved the contents of half-yearly and annual financial press releases,

- reminded the directors of their obligation to refrain from dealing in the Company’s shares in periods of financial statement approval or financial communication and their obligation to declare to the AMF (Autorité des Marchés Financiers - French Financial Markets Authority) their transactions and registration of their shares,

- convened two General Shareholders’ Meetings to authorize the Board to implement a program

for buyback of own shares and for reducing capital by the cancellation of shares acquired in the scope of the program,

- put into operation the program for buyback of own shares and sub-delegated to the CEO the powers agreed by the Board Meeting to implement the program for the buyback of shares and reduction in the Company’s capital, - approved under the procedure of regulated

agreements the Memorandum of Understanding between DASSAULT AVIATION and AIRBUS GROUP SAS concerning the acquisition by DASSAULT AVIATION of a block of 8% of its own shares in AIRBUS GROUP SAS and cooperation between the two companies in 2015 for the potential execution of one or more private placements by AIRBUS GROUP SAS of DASSAULT AVIATION shares,

- decided, following buyback of this block of 8.00% of the Company’s capital which added to the 1.41% already acquired in the scope of the buyback program, to allocate 9.01% of the shares for the purposes of cancellation provided for by the buyback program, the balance of securities remaining held by the Company, - decided to reduce the capital by cancellation of

9.01% of the aforementioned shares.

1.2.3 Audit Committee

Pursuant to the December 8, 2008 decree, which transposed Directive 2006/43/EC of May 17, 2006 on statutory audits of company and consolidated financial statements, on July 22, 2009 the Board of Directors established an Audit Committee.

DASSAULT AVIATION draws on the working group report on the Audit Committee of June 14, 2010, in accordance with the recommendations of the AMF (French Financial Markets Authority).

This Committee consists of Henri Proglio, Chairman of the Audit Committee, Charles Edelstenne and Lucia Sinapi-Thomas, replacing Denis Kessler from May 15, 2014. They were appointed on account of their skills resulting from their academic training,

their experience in the financial and accounting fields with listed companies, and their executive management functions. All three are non-executive Directors.

This composition satisfies the requirements of the aforementioned decree. The Board of Directors considered that Lucia Sinapi-Thomas and Henri Proglio met the recommended independence criteria set forth in paragraph 1.1 above.

The Audit Committee is responsible for monitoring: - procedures for preparing financial information, - the quality of the risk management and internal

auditing systems,

- the auditing of the company and consolidated financial statements by the Statutory Auditors, - the independence of the statutory auditors. It convened on March 6, 2014 for the financial statements of 2013 and on July 23, 2014 for those of the first half-year of 2014.

In the course of these meetings, the Audit Committee, in particular:

- examined the consolidated financial statements and those of the Parent Company, the main events of the year or half-year concerned, and the draft financial reports,

- took note of the management report of the Board of Directors and of the half-yearly activity report,

- reviewed the Chairman’s report on internal auditing and risk management,

- examined actions in progress as well as the review of internal audits conducted in 2013, familiarized themselves with the 2014 audit plan and noted that there was nothing of a critical nature,

- met with the Statutory Auditors, without the General Management being present, after examining the conclusions of their work and their declaration of independence,

- recommended that the Board, following examination of proposals made by the Statutory Auditors, propose their reappointment at the AGM,

- reported back on its work to the Board of Directors.

1.2.4 Internal Regulations

The Board meeting of July 25, 2012 approved the internal regulations of the Board of Directors, which allow directors to take part in meetings (debate and vote) by means of telecommunications that are compliant with prevailing regulations.

1.2.5 Preventing insider dealing

In accordance with the recommendations formulated in the AMF guide of November 3, 2010, the Company has put in place a “black out periods” (periods during which dealings in the shares issued by the Company are prohibited), which begins at least 30 days prior to publication of the annual and half-yearly financial statements and 15 days prior to the publication of the quarterly statements (Q1 and Q3). Since the financial statements are in general published by the company before the opening of the stock market, the date of publication is included in the prohibited period.

The directors are informed by letter in December of the calendar of “black out periods” for the following year.

The financial calendar is put online on the website of the company at the start of each year.

1.3 Operation of the Executive