INVESTORS PRESENTATION. Winter

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INVESTORS

PRESENTATION

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

The material contained in this document presents Derichebourg’s current business activities as of

December 3th_{, 2020. It is provided in summary form and does not purport to be complete. It should be} read in conjunction with the Group’s periodic reporting, registration document, and other

announcements lodged with the Autorité des Marchés Financiers. Additional information about factors which may impact Group’s results are contained in the registration document, which is available on www.derichebourg.com and which can also be requested from the company.



To the extent that this document may contain forward-looking statements, such statements are not guarantees or predictions of future performance, and involve known and unknown risks, uncertainties and other factors, many of which are beyond our control and which may cause actual results to differ materially from those expressed in the statements contained in this release.



This document is not intended to be relied upon as advice to investors or potential investors and does not take into account the investment objectives, financial situation, or needs of any particular investor.

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SERVE PEOPLE WHILE

PROTECTING THEIR

ENVIRONMENT

NOTRE RAISON D’ÊTRE…

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1. Derichebourg at a glance

2. Market drivers

3. Our strategy

4. Outlook

5. Focus on results

6. Next Steps

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DERICHEBOURG

AT A GLANCE

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CREATION DEVELOPEMENT

1956

Group’s inception for recycling activities

EXPERTISE

Shaped by more than 60 years of experience, research and innovation, our business know-how is unanimously recognized and actively promoted by an ambitious recruitment and training policy.

1963

Paris SE IPO

1987

Takeover of

METALINOR

1977

Merger by absorption of NOVAFER

(7)

2005

ACQUISITION OF PENAUILLE POLYSERVICES & FUSION OF CFF RECYCLING

2013

Disposal of Servisair in order to deleverage and to focus

on core business

2016

Purchase of

40 SITES

2019

ACQUISITION of LYRSA Group

with 18 sites

DIVERSIFICATION RATIONALISATION CONSOLIDATION

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Our mission

We preserve and optimize the planet’s resources thought our activity of recycling waste produced by manufacturers,

communities and individuals.

We contribute to the cleanliness and

functioning of everyone's living environment through our services to local authorities.

We offer a wide range of services to

companies and local authorities, enabling them to outsource all transferable services and thus fully focus on their core business.

PROTECT

THE ENVIRONMENT AND ITS

RESSOURCES

CLEAN UP

THE URBAN ENVIRONMENT

OPTIMIZE

THE PROFESIONAL

ENVIRONMENT

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AN OFFER ORGANIZED INTO TWO COMPLEMENTARY

BUSINESS LINE

Employees Countries

Sites Revenue

37 300

6

117 0,8 Md€

TERTIARY

URBAN AREA

INDUSTRY

HR & TEMPORARY SERVICES INDUSTRIES

ÉCO-ORGANISMES

COLLECTIVITIES

Our solutions Our solutions

9

283 1,6 Md€

4 900

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A NETWORK OF INTERNATIONAL LOCATIONS

DICTATED BY THE NEED FOR AN EFFECTIVE LOCAL PRESENCE

€ 2,6 bn

Of revenue in 2020

400

Locations worldwide operating in 10 countries

42 200

Number of

employees from 118 nationalities

5,3 million

tonnes

Contribution to avoided CO2 emissions

France Spain USA Germany Portugal Belgium

72%

13%

4%

3%

2%

Others 3% Total revenue per countries

In France, the Group has the largest network in the sector (162 sites). Since transportation accounts for a large part of incoming waste costs, this proximity to waste production sites is strategic

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SUMMARY ORGANIZATION CHART OF THE GROUP AND ITS

SHAREHOLDERS

 The above chart is presented in % interest. CFER holds 57,8 % of the voting rights. Derichebourg

Family 100%

Financière DBG

Derichebourg SA

CFER

99,71%

41, 2% 0,04%

Derichebourg Environnement Derichebourg

Immobilier

100% 100%

Public Employees 57,59%

1,12%

Derichebourg Multiservices

100%

DBG Finances

100%

TBD Finances

100%

0,20%

Real estate

assets of the

Environment

business are

carried by

Derichebourg Immobilier

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ADDED VALUE OVER THE ENTIRE CYCLE, FROM COLLECTION

TO RESOURCE RECOVERY

TRANSPORTATION COLLECTION

RECOVERY PLANTS

A MAJOR PLAYER IN

CIRCULAR ECONOMY

COLLECTION AND

RECOVERY

TRADING AND SHIPPING

TRADING AND SHIPPING OF SECONDARY RAW MATERIALS TO CONSUMING INDUSTRIES

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ADDED VALUE OVER THE ENTIRE CYCLE, FROM COLLECTION

TO RESOURCE RECOVERY

SOLID WAST RECOVERY _PLANTS ENERGY RECOVERY _{/ LANDFILL} STEEL FOUNDRY

Shredding yard

Induced Metals

and induction

rejection Ferrous scrap

Residue

_Floating

Hand sorting or automatic

Rubber and plasticMagnesium and

aluminum fine

Copper wire and

stones Thick aluminum

C

op

pe

r

Br

as

s

Br

on

ze

St

ai

nl

es

ss

te

el

Le

ad

Zin

c Twitch (CBF)

Residue Various metals

Refining

Aluminium ingots

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GLOBAL CRUDE STEEL PRODUCTION REACHED 1,868 MILLION

TONS (MT) FOR 2019, UP BY 3.4% COMPARED TO 2018

Source: World Steel Association

521 572 631 666

765 768 756 757 789 821 893

56 66

71 65

57 54 ₄₇ ₅₁ 81

108 104

360

438 451

445

456 466 ₄₅₅ ₄₅₄ 457

467 452

301

355

383 384

372 380 ₃₆₀ ₃₆₄ 403

413 419

0 200 400 600 800 1 000 1 200 1 400 1 600 1 800 2 000

2 009 2 010 2 011 2 012 2 013 2 014 2 015 2 016 2 017 2 018 2 019

China - other than EAF China- EAF Rest of World - other than EAF Rest of World - EAF 1 237

1 432

1 537 1 559

1 649 1 669 _{1 619} _{1 625}

1 730

1 808 1 868

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MAIN SCRAP FLOWS WORLDWIDE IN 2018

N A F T A

OTHER AMERICA

AFRICA EU 28

OE

CHINA

OCEANIA TK

10.4 23.2

1.0

2.0

32.7

50.0

1.8

1.0

0.2

20.7 2.6 6.1

1.3

0.3

0.2

7.4

0.1

2.0 4.7

30.5

0.6

1.4

0.9

2.5

TOTAL REPORTED = 99.0 MT

Including intra-region trades

OE = Other Europe TK = Turkey

EXPORTS IN MT IMPORTS IN MT

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INCREASING SOCIETAL DEMAND FOR RECYCLING AND

ENVIRONMENT FRIENDLY POLICIES TRANSLATE INTO NEW

REGULATIONS

Issue Impact

ICPE Rules Reduction in pollution that recycling recycling

activities many cause

• Capex over coming years to adopt exting equipment

INDUSTRIAL EMISSION DIRECTIVE (IED) Limitation of shredder emission of dust and noise + quality of water treatment on recycling sites

ELV Directive Discussions ongoing around possible changes in

directive • Limit number of cars which escape recycling in Europe

• More pressure on recyclers in order to meet recycling objectives

Basel Convention on waste exports Limits exports of waste dissimulated as second hand

gods •• More materials will stay in EuropeRecycled high grade of ferrous scrap and other metals are not considered as waste anymore but as products and can be exported

Eco-organisme Inscrasing part of waste is driven through

eco-organisme process in France • More sophisticated recycling, with reportingtowards organisms

• ELV eco-organisme should be implemented in next years in France

TGAP • Increasing cost

• Less capacity in landfill each year • R&D and CAPEX to reduce % of fluff sent to landfill

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A DOMESTIC LEADER WITH AMBITIONS OF BECOMING A

MAJOR PLAYER IN OTHER COUNTRIES

SIMS

€ 3.0 bn revenue* € 1.6 bn market cap

CHIHO ENVIRONMENTAL

€ 1,7 bn revenue* € 0.1 bn market cap

SCHNITZER STEEL

€ 1,4 bn revenue € 0.7 bn market cap

* Note: Revenue from the last FY available

USA Texas + Oklahoma

Derichebourg #1 SIMS # 2 EMR # 3

MEXICO

Derichebourg #1 Market Atomized

GERMANY

Derichebourg > 10 TSR # 1 Scholz #2

BELGIUM

Derichebourg #4 BST #1 Galloo # 2

FRANCE

Derichebourg # 1 GDE # 2

SPAIN

Derichebourg Espana#1

ITALY

Derichebourg > 10 Atomized Market

DERICHEBOURG

€ 2.5 bn revenue € 0,8 bn market cap

 Currently No. 4 in Europe behind EMR (UK), TSR (Germany), Scholz (Germany).  In 2019, Derichebourg is number 1 in Spain following the acquisition of LYRSA.

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BENCHMARK REVENUE & EBITDA MARGIN IN THE RECYCLING

INDUSTRY: DERICHEBOURG AMONG BEST PLAYERS

Derichebourg group Derichebourg Environment Source : Derichebourg

0% 2% 4% 6% 8% 10% 12%

0 50 100 150 200 250

%

C

U

RR

EN

T

EB

IT

DA

/

R

EV

EN

U

E

CURRENT EBITDA

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COMMODITY PRICES, AS OF SEPTEMBER 2020

199 188 100 € 150 € 200 € 250 € 300 € oc t dé c fé v a vr ju in a o û t oc t dé c fé v a vr ju in a o û t oc t dé c fé v a vr ju in a o û t oc t dé c fé v a vr ju in a o û t

2017 2018 2019 2020

E40 ex 33 (Shredding product)

5 745

6 712

5 221 5 692

4 000 € 4 500 € 5 000 € 5 500 € 6 000 € 6 500 € 7 000 €

$ 4 400 $ 4 900 $ 5 400 $ 5 900 $ 6 400 $ 6 900 $ 7 400

oc t d é c fé v a vr juin a oû t oc t d é c fé v a vr juin a oû t oc t d é c fé v a vr juin a oû t oc t d é c fé v a vr juin a oû t

2017 2018 2019 2020

Price : Copper LME Settlement Price : Copper Euro

17 673

14 866

16 061

12 607

7 100 € 8 100 € 9 100 € 10 100 € 11 100 € 12 100 € 13 100 € 14 100 € 15 100 € 16 100 € 17 100 €

$ 8 000 $ 9 000 $ 10 000 $ 11 000 $ 12 000 $ 13 000 $ 14 000 $ 15 000 $ 16 000 $ 17 000 $ 18 000

2017 2018 2019 2020

Price : Nickel LME Settlement Price : Nickel Euro

1 750 1 745

1 353 1 395

1 200 € 1 400 € 1 600 € 1 800 € 2 000 € 2 200 € 2 400 €

$ 1 200 $ 1 300 $ 1 400 $ 1 500 $ 1 600 $ 1 700 $ 1 800 $ 1 900 $ 2 000 $ 2 100 $ 2 200 $ 2 300 $ 2 400

2017 2018 2019 2020

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OUR AMBITION FOR THE GROUP

RECYCLING



Be a strong, leading, long-term European player in metallic waste recycling, evidenced by rising at least one spot in the ranking of European players before end of 2023

SERVICES (including household waste collection)



Reach €1 Billion revenue in Multiservices before end of 2023 and achieve EBITDA ratio close to peer average



Improve financial performance by focusing on and developing businesses in which we have achieved critical mass in selected geographies

FINANCE



Maintain our leverage ratio (Debt/EBITDA) below 3



Pay a yearly dividend amounting to around 30% of net income in normal year

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OUR BUSINESS MODEL DRIVERS, WHAT MAKES US DIFFERENT

Our Business Model

VERTICAL INTEGRATION



To be close to where waste is produced, to reduce transportation costs



Optimize use rate of our industrial equipment

DENSE NETWORK



Thanks to the density of the

network, we collect enough tons of each material to economically justify the development of

specialized processing lines:



Zorba floating



Aluminum refineries



Stainless steel waste blend preparation



Aluminum profile shredding



Long-term management style evidenced by low inventories, which reduce cycle exposure and put us in a good position to consolidate the market



We do not benefit as much as our competitors from price

increases but generally weather downturns better than they do, as evidenced in 2015 and 2016.



Patrimonial approach to asset ownership, with double-digit ROCE ambitions

LT MANAGEMENT STYLE

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Consolidate our position of

major supplier to steel and

metal industry

Implement state of the art

technologies

Develop the skills and

expertise of our employees



Maintain a consistent level of quality for our products (above average quality).



Develop our export

customer base, in particular for ferrous scrap.



Implement

environmentally friendly technologies and means of transportation.



Standardize our assets.



Implement new optic

sorting lines.



Build a focused and

dedicated management team with considerable experience in the

industry.



Prepare for the future by recruiting young

engineers.

(25)

Enhance our IT

Specialized activities

Density our network

through new site

openings or external growth



Update our IT without changing its best in class key characteristics :



Real time

inventory (in tons and in €) ;



Actual margins available daily.



20-25% of recycling revenue through

specialized activities that our competitors cannot perform under the same economic conditions because they have smaller networks.



In each country where we operate, be a

leading player or at least a regional leader.



Open feeder yards to increase the use of our industrial equipment.



Look at external growth

opportunities in countries where we already have activity based on a long-term approach (not only top of the cycle). Most of our external growth deals have been made during downturns.

OUR STRATEGY IN RECYCLING 2/2

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Impact on our strategy



Digitalization of services and upgrading of services to tenants ;



Environmental regulation which creates new markets for our

energy activities ;



More IT in our services ;



Independent facility management offer ;



Enhance HR strategy ;



Improve our network.

OUR STRATEGY IN MULTISERVICES

Long term trends which are taken into account in

our strategy



Outsourcing of services by customers in order to concentrate on core business ;



From “delivering

services to customers” to “end user

experience”, which creates excellence requirement, and new opportunities

(27)

SRI AT THE HEART OF OUR MARKETS

200 -300 1 000 -1 500

EAF: Electric Arc Furnace BoF: Blast Furnace

Steel

Aluminium

21 - 25

10,5 11 11,5 12 12,5 13 13,5 14 14,5

EAF route BF/BOF route

Energy requirement (MJ/kg steel)

-16% _{2,1 – 2,5}

0 0,2 0,4 0,6 0,8 1 1,2 1,4 1,6 1,8

EAF route BF/BOF route

Carbon Footprint (tCO2/T steel)

2,4 x less Or – 58%

0,4 - 0,7

0 10 20 30 40 50 Secondary production Primary production Energy requirement (MJ/kg aluminium)

20 x less Or – 95%

0 0,5 1 1,5 2 2,5 3 3,5 4 4,5 Secondary production Primary production Carbon footprint (tCO2/T aluminium)

13 x less Or – 92%

Steelmaking accounts for at least 5%

of greenhouse gas

emissions

in the world. EAF

enables

to reduce this impact.

(28)

28

SRI AT THE HEART OF OUR PROCESS

90%

of our shredders and shears are fed by electric fixed cranes

23%

of our sales are shipped by vessel or barge. Choose boats

30%

Gas efficient savings thanks to a new trucks Capex program

Equipment selection



Electric fixed cranes : 90% of our shredders and shears are fed by electric fixed cranes :



Competitive maintenance costs



Less noise



25-year life span



No CO2 emissions



New trucks CAPEX program



Latest engines (E6)



Gas efficient (30% savings)

Choice of means of transportation



23% of our sales are shipped by vessel or barge. Choose boats whenever possible for shipping.



Internal transport initiative designed to improve consumption,

implementation of eco-driving soon.

R&D to reduce waste residue sent to landfill



R&D team is working to find alternatives (recovery & energy) within 4 years for 20% of our residues currently sent to landfill.

Improve our health and safety ratios



Within 4 years, targeting:



Accident frequency: 20% below our peers



Criticality below our peers.

20%

of accident frequency below our peers

(29)

WE OWN MOST OF THE LONG-TERM ASSETS WE USE FOR

PATRIMONIAL AND FLEXIBILITY REASONS

LAND 4 Mn

Sqm

SHREDDERS ₂₈

~ €15 m for a full

shredding line

SHEARS 64 ~ €2 m each

TRUCKS 544 ~ €0.2 m _each

indefinite

30-40 years 25-30 years

10-15 years

Gross value: 1.6 bn €

**_{NBV: €539 m*}**

* As of Sept 2020

Values indicated are replacement value

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SHORT TERM OUTLOOK



Lockdown 2 has little impact on group activities



Based on its activity levels in Recycling in October and November, and



Provided that the heath and geopolitical situation does not deteriorate in the coming months, Group expectations for 2020-21 FY are :



Improvement in Current EBITDA in an range between 15% and 20% compared to 2020 reported current EBITDA



Improvement in Current EBIT in a range between 30% and 45% compared to 2020 reported current EBIT



2021 Tangible CAPEX should be below 50% of Current EBITDA

(32)

RECYCLING IS AN EASY PART OF THE TOOLS TO FIGHT AGAINST GLOBAL

WARMING AS THE GLOBAL IRON AND STEEL INDUSTRY ACCOUNTS FOR

APPROXIMATELY 5% OF TOTAL GLOBAL CO2 EMISSIONS, MAINLY

CAUSED BY BLAST FURNACES

The recycling industry has become an integral part of our modern society for the social & economic impact it generates and its essential role for the future of our planet. The use of recycled materials results in:

Less natural resources used

Less energy consumption and CO2 emissions compared to production processes using virgin materials

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METAL RECYCLING GENERATES SIGNIFICANT ENERGY

SAVINGS

48%

of world steel production is made from scrap (excluding China)

58%

reduction in CO2 emissions by producing steel from scrap

75%

of aluminum produced since the 1880s is still in circulation today

22,5

million tons

Concretely…

by using recycled materials, how much do we save?

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FOCUS ON

RESULTS

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KEY CONSIDERATIONS IN 2020



Having several businesses was clearly an

asset in this troubled year



Outstanding performance all year long

of services considered as core services

during lockdown 1 (household waste

collection, cleaning)



Fast recovery in recycling after difficult

lockdown 1 period



No recovery yet in Aeronautics services,

which used to be a profitable business



Government support measures for the

economy, as well as the adequate liquidity

of the group helped facing this

unprecedented year

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RESILIENT CURRENT EBITDA : DOWN BY 5,4%

Source: Derichebourg

Comments :

 Environmental Services activities faced mixed environment :

 Very difficult Q1 (oct-dec19), in a context of sharp decline of ferrous scrap prices

 Lockdown between mid-march to mid-may with activity level reduced by 50% to 80%

 Satisfactory Lyrsa integration

 Developing and profitable activity in Household waste collection

 Multiservices : All activities significantly helped by government subsided short-time work during Lockdown 1

 Improved performance of Tertiary Segment (recurring, and also additional business at the end of lockdown 1)

 Sharp crisis in Temporary Aeronautics and Aeronautics business (activity down by 2/3 to 50% since April) and significant restructuring costs

 Non-comparative IFRS 16 first time adoption impacts 2020 EBITDA by 20,9 M€ and 2020 EBIT by 0,4 M€.

 Due to use of state subsided short-time work, board of

directors proposed to next AGM that no dividend is paid with respect to FY 2019-2020

in millions of euros 2020 2019 Var. Var. %

Turnover 2 464,1 2 705,0 (241,0) (8,9%)

Current EBITDA 180,9 191,2 (10,4) (5,4%)

Current EBIT 62,4 103,1 (40,8) (39,5%)

EBIT 56,2 97,5 (41,4) (42,4%)

EBT 41,5 87,0 (45,5) (52,3%)

Net income attributable to shareholders 21,3 55,6 (34,2) (61,6%)

Proposed dividend per share - 0,11

Net debt 341,1 124,9

Ratios :

Current EBITDA (as a % of turnover) _7,3% _7,1% Current EBIT as a % of turnover 2,5% 3,8% Leverage Ratio (12 m pro forma Acquisitions) _1,84 _0,65

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SIGNIFICANT NON-RECURRING ITEMS IN 2020

in millions of euros 2020 2019 Var. Var.%

Current EBITDA 180,9 191,2 (10,4) (5,4%)

Current EBITDA (as a % of turnover) 7,3% 7,1%

Current EBIT 62,4 103,1 (40,8) (39,5%)

Current EBIT (as a % of turnover) 2,5% 3,8%

Nuclear engineering contracts (5,0)

Change in consolidation method Reyfra 7,7

Result on disposal AEP Multiservizi (2,3)

Result on 51% disposal Water supply and

treatment subsidiaries (2,8)

Gain in appeal legal procedure initiated by

Veolia 3,7

Post-acquisition Lyrsa restructuring (1,2)

France Recycling restructuring (1,6)

Update CRS (Italy) landfill monitoring costs (2,3)

Restructuring in Aeronautics (5,6)

Result on disposal Temp. Work UK subsidiaries (0,2)

Result on disposal Cleaning Turkey subsidiaries (1,5)

Restructuring costs (0,2)

Others (0,6)

EBIT 56,2 97,5 (41,4) (42,4%)

Net finance costs (12,3) (9,7)

Exchange gain & loss, and others (2,3) (0,7)

EBT 41,5 87,0 (45,5) (52,3%)

in millions of euros 2020 2019 Var. Var. %

Turnover 2 464,1 2 705,0 (241,0) (8,9%)

Current EBITDA 180,9 191,2 (10,4) (5,4%)

Current EBIT 62,4 103,1 (40,8) (39,5%)

EBIT 56,2 97,5 (41,4) (42,4%)

EBT 41,5 87,0 (45,5) (52,3%)

Net income attributable to shareholders 21,3 55,6 (34,2) (61,6%)

Proposed dividend per share - 0,11

Net debt 341,1 124,9

Ratios :

Current EBITDA (as a % of turnover) _7,3% _7,1% Current EBIT as a % of turnover _2,5% _3,8% Leverage Ratio (12 m pro forma Acquisitions) _1,84 _0,65

Consolidated financials statements

(38)

ENVIRONMENTAL SERVICES : SUFFERED FROM LACK OF

VOLUMES

Turnover 1 627,4 1 846,7 (219,3) (11,9%)

Current EBITDA 142,2 162,1 (20,0) (12,3%)

Current EBIT 52,5 88,2 (35,7) (40,5%) Change in consolidation method Reyfra 7,7

Result on disposal AEP Multiservizi (2,3) Result on 51% disposal Water supply and

treatment subsidiaries (2,8)

Gain in appeal legal procedure initiated by

Veolia 3,7

Post-acquisition Lyrsa restructuring (1,2) Restructuring in Recycling (1,6) Update CRS (Italy) landfill monitoring costs (2,3)

Others (0,7)

EBIT 53,7 87,5 (33,8) (38,6%)

Ratios :

Current EBITDA (as a % of turnover) 8,7% 8,8% Current EBIT as a % of turnover 3,2% 4,8%

Recycling

 Lack of volumes for several reasons :  Difficult Q1 (see next page)

 Severely hit by lockdown 1 (55 days in France)  Positive news : very rapid recovery after unlockdown  Satisfactory Derichebourg España (ex-Lyrsa) integration

Services to municipalities

 Scope impact due to last year disposal of activities in Morocco and Italy

 Outstanding performance of activities in France, best year ever

(39)

OVERVIEW OF FY 2019-2020 YEAR

Q1 (oct-dec

19) Jan20-Mid March20 Mid March-Mid May 20 September 20Mid

May-Comment on Ferrous scrap volumes

Rapid decline in scrap prices

made it impossible to fully impact on purchase price the decrease in sales price, in

a context of low volumes

Recovery in

volumes Lockdown 1 period : Activity level

reduced immediately

(by 80% in France) with a

slow recovery from mid-April

on.

Rapid recovery after end of lockdown, up

to 90-100% of pre-lockdown volumes in september

Considerations on NFM

 Aluminium: very low prices in AS9U3 ingots until August 2020 impacted results of all

shredding – floating – refining value chain

 Copper: good recovery in prices from May on. However, European customers have

low needs. Exit from waste status in China for best qualities (grenaille) in January 2021 should open more sales possibilities

 Stainless (nickel): again a difficult year. European customers adapted the discount

to LME in order to offset price increases in a context of low needs

 Lead: declining prices during March to July impacted Lyrsa results. Recent recovery

Non

Ferr

ou

s

M

e

ta

l

Ferr

ou

s

scra

p

0 50 100 150 200 250 300 350 400

Volume of scrap metal sold (in thousand tons)

Ferrous (excl. Lyrsa) Ferrous (Lyrsa)

0 20 40 60 80 100

Volume of NFM sold (in thousand tons)

NMF (excl. Lyrsa) NMF (Lyrsa)

Env. Services - Recycling

(40)

GROUP’S DECLINE IN VOLUMES REFLECTS THE DECREASE IN

STEEL OUTPUT IN CLIENT COUNTRIES

-0,3% -16%

-14%

-15% -27%

-21% -14%

-17%

STEEL PRODUCTION CHANGE IN CLIENTS COUNTRIES FY20 vs. FY19

All steel manufacturing processes included 0

10 000 20 000 30 000 40 000 50 000 60 000 70 000 80 000 90 000 100 000

USA Germany Turkey Italy Mexico France Spain Belgium FY19 FY20 FY (oct-sept) = 12 months

850 310 907 577

982 631

1 028 053

51%

53%

57%

46% 48% 50% 52% 54% 56% 58%

0 200 000 400 000 600 000 800 000 1 000 000 1 200 000

FY17 FY18 FY19 FY20

China As % of world production FY (oct-sept) = 12 months

STEEL PRODUCTION CHANGE IN CHINA FY20 vs. FY19

All steel manufacturing processes included

Comment :

(41)

COMMODITY PRICES

199 188 100 € 150 € 200 € 250 € 300 € oc t dé c fé v a vr ju in a o û t oc t dé c fé v a vr ju in a o û t oc t dé c fé v a vr ju in a o û t oc t dé c fé v a vr ju in a o û t

2017 2018 2019 2020

E40 ex 33 (Shredding product)

5 745

6 712

5 221 5 692

4 000 € 4 500 € 5 000 € 5 500 € 6 000 € 6 500 € 7 000 €

$ 4 400 $ 4 900 $ 5 400 $ 5 900 $ 6 400 $ 6 900 $ 7 400

2017 2018 2019 2020

Price : Copper LME Settlement Price : Copper Euro

17 673

14 866

16 061

12 607

7 100 € 8 100 € 9 100 € 10 100 € 11 100 € 12 100 € 13 100 € 14 100 € 15 100 € 16 100 € 17 100 €

$ 8 000 $ 9 000 $ 10 000 $ 11 000 $ 12 000 $ 13 000 $ 14 000 $ 15 000 $ 16 000 $ 17 000 $ 18 000

Price : Nickel LME Settlement Price : Nickel Euro

1 750 1 745

1 353 1 395

1 200 € 1 400 € 1 600 € 1 800 € 2 000 € 2 200 € 2 400 €

$ 1 200 $ 1 300 $ 1 400 $ 1 500 $ 1 600 $ 1 700 $ 1 800 $ 1 900 $ 2 000 $ 2 100 $ 2 200 $ 2 300 $ 2 400

2017 2018 2019 2020

Price : Aluminium LME Settlement Price : Aluminium Metal Bulletin €

(42)

DECREASE IN VOLUMES IN FERROUS SCRAP, INCREASE

VOLUMES IN NON FERROUS METALS

2 847 313 3 159 536 16 552 3 066 380 3 446 532 3 535

Yards Trading Total Yards Trading Total Ferrous scrap Non ferrous

FY20 FY19

Environmental Services activity in volume

Source: Derichebourg (7,1%) (17,8%) (8,3%) 0,7% N/A

3,2% _{3 446}

(610)

323

535 (107) ₁₂₅

3 159

552

3 981 (717)

448 3 712

Volume FY19 Change in "historical" scope

Lyrsa impact Volume FY20

in tho u sa nd ton s

Bridge volume FY19 and FY20

NFM Ferrous Total Source: Derichebourg -8,3% 3,2% -6,8% -17,7% -20,1% -18,0%

-25,0% -20,0% -15,0% -10,0% -5,0% 0,0% 5,0%

Ferrous NFM Volume Change in volume (Lyrsa impact)

Var. (excl. Lyrsa) Var. (with Lyrsa) Source: Derichebourg 1 1 1 1 Source: Derichebourg Total Total

Ferrous scrap 3 159,2 3 445,8 -8,3% Non ferrous 552,3 535,1 3,2% Total volumes 3 711,5 3 980,9 -6,8%

Total Total Total

Ferrous scrap 681,9 858,9 -20,6% Non ferrous 692,7 674,7 2,7% Services 252,8 313,1 -19,3% Total revenue 1 627,4 1 846,7 -11,88%

in thousands of tons FY20 FY19 Change

in M€ FY20 FY19 Change

(43)

GROUP DEMONSTRATED AGAIN ITS CAPACITY TO INTEGRATE

RAPIDLY ACQUISITIONS

 Purchased on Dec 20th_{, 2019. Consolidation from Jan 1}st_{, 2020}

 Action plan :

 Decrease inventory level : Implemented (-20 M€ in 5 months)

 Trade synergies on non-ferrous metals sales : implemented, and additional synergies identified (aluminium ingots trade)

 Trade synergies on batteries : implemented  Focused cost decrease : nearly implemented  IT migration : in progress

 Spanish market consolidation and network development in order to improve volume and margins : still to implement. Will take several years.

(44)

IN A VERY CHALLENGING ENVIRONMENT, LYRSA PERFORMED

ABOVE EXPECTATONS

269

millions € revenue*

323

thousand tons of

ferrous scrap*

125

thousand tons of non

ferrous scrap*

15

millions € of EBITDA*, i.e. 5% EBITDA margin

448

thousands of tons recycled*

650

employees

18

sites

(45)

RESIDUES AND LANDFILL CAPACITY : LESS AN ISSUE THIS YEAR

DUE TO LOWER SHREDDER VOLUMES

Several actions taken by the group :



Since 2018, difficulties and increasing costs in France (and also in other

countries) in order to evacuate shredding residues to landfills due to progress

implementation of change in regulation (in 2025, landfills will intake only 50% of 2010 volumes)



Lobbying action in order to obtain a priority acceptance for our residues in landfills, as they result from a performing sorting process, compared to other products.



Purchase products with lower residues in % (impact on volumes).



« Re-work » some products, sometimes abroad, in order to find additional valuable materials.



R&D action (long term) in order to use our residues as solid recovery fuel.

(46)

SATISFACTORY DEVELOPMENTS IN HOUSEHOLD WASTE

COLLECTION SERVICES ACTIVITY



Changes in scope (Disposal in FY19 of activities in Morocco and Italy) impact Revenue by (76 M€) and EBITDA by (10 M€)



Recurring activity with multi-year contracts



Services were considered as Core Services

during Lockdown 1



145 M€ Revenue in FY20, mostly in France, and in Canada



Gain of new contracts :



Levallois Perret



La Garenne Colombes



Caen-La Mer (from April 2021 on)



From a financial standpoint, best year

ever in France : benefits from its selective strategy in tendering only on contracts which prize technical innovation, quality of services, and not only price

(47)

DEVELOPMENTS IN SERVICES ACTIVITY

Comments :

 Decrease by 8,8% of Recyling Gross income.  Decrease by 7,3% of Recyling expenses.

1 2 1 2 3

In M€ 2020 2019 Var

*Rec. STM Total Env. Rec. STM Total Env. Rec. STM Total Env.

Gross margin ferrous &

NFM 298,4 298,4 337,6 337,6 (39,2) (39,2)

Gross margin others 1,0 1,0 (1,0) (1,0) 2 2

Services 107,3 145,5 252,8 109,5 203,6 313,0 (2,2) (58,1) (60,3)

Gross income 406,7 145,5 552,2 446,1 203,6 649,7 (39,4) (58,1) (97,5)

Expenses (286,6) (123,4) (410,0) (309,2) (178,3) (487,6) 22,6 54,9 77,5

Current EBITDA 120,1 22,1 142,2 136,9 25,2 162,1 (16,8) (3,1) (19,9)

Amortization (75,4) (14,4) (89,7) (58,2) (15,8) (74,0) (17,2) 1,4 (15,8)

Current EBIT 44,7 7,7 52,5 78,7 9,5 88,2 (34,0) (1,8) (35,8)

*The above figures regarding recycling activity include Lyrsa in 2020

- Rec : Recycling - STM: Services to Municipalities - HWC: House Waste Collection

Environmental Services

(48)

ENVIRONMENTAL SERVICES EBITDA BRIDGE

162

32

6

24

14

3 6

2

15 10 7

9 2

142

En

M

€

Recycling Gross

Margin impact Recycling Costs saving HWC impact

• NFM : Non Ferrous Metal

• HWC : Household Waste Collection * : Excluding Lyrsa

(1)

(1) : Decrease in Personnel Costs : 12 M€ out of 14 M€ comes from France 3,5 M€ short time work

(49)

2020 FINANCIAL HIGHLIGHTS MULTISERVICES

KPIs

836 m€ 44 m€

Revenue Current EBITDA

18 m€ 11 m€

Current EBIT EBIT

Breakdown revenue by activity

66,9% of total revenue 12,6% of total revenue

Tertiary Industry

14,8% of total revenue 5,6% of total revenue

Sourcing HR Urban

EBITDA by activity

83,2% of total EBITDA 7,3% of total EBITDA

Tertiary Industry

3,1% of total EBITDA 6,5% of total EBITDA

Sourcing HR Urban

Turnover 836,2 857,6 (21,4) (2,5%) Current EBITDA 44,0 33,0 11,0 33,2% Current EBIT 18,1 21,3 (3,2) (15,1%) EBIT 10,9 16,4 (5,5) (33,7%)

Ratios :

Current EBITDA (as a % of turnover) _5,3% _3,8%

Current EBIT (as a % of turnover) _2,2% _2,5%

Multiservices

(50)

2020 FINANCIAL HIGHLIGHTS MULTISERVICES

Comment :



2020 EBITDA is impacted by a 12 M€ amount linked to IFRS implementation

336 356 344 400

443 468 510

560

111 109 130

143 149

147 143

105

136 152 160

159 151

144 153 124

2 2

33

39 38

44

52 ₄₇

585 618

667

741 781

802 858 836

Revenue 2013

Revenue 2014

Revenue 2015

Revenue 2016

Revenue 2017

Revenue 2018

Revenue 2019

Revenue 2020

Multiservices : Change in revenue

Tertiary Industry HR Sourcing & Interim Urban Area

Ratios :

Current EBITDA (as a % of turnover) 5,3% 3,8%

(51)

2020 CHANGE IN MULTISERVICES REVENUE

336 356 344 400

443 468 510

560

111 109 130

143 149 147 143 105 136 152 160 159 151 144 153 124 2 2 33 39 38 44 52 47 585 618 667 741 781 802 858 ₈₃₆ Revenue 2013 Revenue 2014 Revenue 2015 Revenue 2016 Revenue 2017 Revenue 2018 Revenue 2019 Revenue 2020 Multiservices : Change in revenue

Tertiary

 Full year effect of FY19 acquisition in Spain (~25M€)

 Additional cleaning services in order to comfort customers at the end of lockdown 1 (~15 M€)

 Internal growth in cleaning : new contracts in France (+), Spain (++), Portugal (+)

 Slight decrease in electricity and HVAC works and services (covid impact)

Industry (outsourcing of services in Aeronautics)

 From mid-March on, the whole aircraft assembly process has slowed down due to economic crisis, which results in a decrease (on yoy basis) of Derichebourg Aeronautics Services by roughly 50%. In France, an APC (accord de performance collective) was implemented, which saved 500 jobs at risk. 90% of employees accepted this agreement, which is sustainable for the company thanks of government backing (activité partielle de longue durée)

Sourcing HR

2 different trends :

 Temp. staff specialized in Aeronautics : -2/3 of activity compared to pre-crisis levels. Restructuring, due to very low needs of customers

 General Temp Staff : recovery after lockdown, but with different customers compared to pre-crisis (more logistics and Health)

Urban Area

 Decrease by ~10% in revenue due to covid impacts

Multiservices

(52)

11 ₁₀ 13,3 15,5 16,2

21,3 _19,6

36,6

6 ₈

8,8 7,4

10,5 5,7 7,7

3,2

4 5

4,4 3,9

2,3 5,8 5,7

1,3

21,6 22,2

27,1 _26,7 29,1

33,4 _33,0

44,0

EBITDA 2013 EBITDA 2014 EBITDA 2015 EBITDA 2016 EBITDA 2017 EBITDA 2018 EBITDA 2019 EBITDA 2020 Multiservices : Change in Current EBITDA

2020 INCREASE IN MULTISERVICES CURRENT EBITDA : MORE

TERTIARY, LESS INDUSTRY, AND IFRS 16 IMPACT

Ratios :

Current EBITDA (as a % of turnover) _5,3% _3,8%

(53)

11 ₁₀ 13,3 15,5 16,2 21,3 _19,6 36,6 6 ₈ 8,8 7,4 10,5 5,7 _7,7 3,2 4 5 4,4 3,9

2,3 5,8 5,7

1,3

21,6 22,2

27,1 26,7 29,1

33,4 _33,0 44,0 EBITDA 2013 EBITDA 2014 EBITDA 2015 EBITDA 2016 EBITDA 2017 EBITDA 2018 EBITDA 2019 EBITDA 2020 Multiservices : Change in Current EBITDA

2020 INCREASE IN MULTISERVICES CURRENT EBITDA : MORE

TERTIARY, LESS INDUSTRY, AND IFRS 16 IMPACT

Tertiary

 By far major contributor (incl 9 M€ IFRS 16 impact)

 Good synergies from LY acquisitions in France

 Margin from additional Services in Cleaning France

 Improvement in results in Portugal and FY effect of acquisition in Spain

Industry (included also Nuclear Services in FY19)

 H2 is ~0, in particular due to losses in foreign subsidiaries. Positive EBITDA in H2 in the main subsidiary in France

Sourcing HR

 Negative contribution of Aeronautics specialized Ts. Restructuring ongoing in order to adapt to current level of activity

 Slight decrease in EBITDA for general TS, due do lower small size customers this year because of covid crisis

Urban Area

 Improvement is explained by IFRS impact (1,5 M€) and by a

protective clause in case of decrease of activity in the main contract

Multiservices

(54)

2020 FINANCIAL HIGHLIGHTS HOLDING

Turnover 0,4 0,8 (0,3) (43,7%) Current EBITDA (5,3) (3,9) (1,4) 35,7%

n.a n.a

Current EBIT (8,2) (6,4) (1,9) 29,0%

n.a n.a

Post-Covid-19 restructuring costs (0,2)

EBIT (8,4) (6,4) (2,0) 32,1%

Comment :

(55)

A STRONG BALANCE SHEET

Source: Derichebourg Source: Derichebourg

in M€ 2020.09 2019.09 Var.

Non current assets 994 822 172

Net deferred tax assets 8 9 (1)

Working capital requirement (45) (99) 53

Financ. Instr, assets held for sale, and others 0 6 (6)

Total assets 957 739 218

Equity 524 526 (2)

Provisions for risks and charges 89 76 13

Net financial indebtedness 341 125 216

Financ. Instr, liab. held for sale, and others 2 8 (6)

Net tax position 1 4 (3)

Total liabilities 957 739 218

0

Goodwill 261 228 33

Right of use assets 188 134 55

Intangible assets 7 8 0

Tangible assets 499 406 94

Financial assets 38 47 -9

Total non-current assets 994 822 172

526 524

125 341

0,2 0,7

0,5 1,0 1,5 2,0 2,5 3,0 3,5 4,0 4,5 5,0

100 200 300 400 500 600 700 800 900 1 000

FY07 FY08 FY09 FY10 FY11 FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 Equity, Net debt and Gearing

Equity (Book Value) Net financial debt Gearing (D/E)

Balance Sheet

(56)

DEBT FLOWS - CHANGE IN NET DEBT FROM SEPT19 TO SEPT20

∆ = (67) M€ ∆ = 283 M€

Leverage ratio pro forma : 1,84 Gearing debt to equity : 0,65

Sept 2020

125

(181)

97 12 28 (27) 5

59

18

192

65 9

341

En

M

(57)

DECREASE IN CAPEX

Comments :



As planned, significant reduction in

CAPEX/EBITDA ratio, and in CAPEX amount :



PY included significant new yards (Bassens

42 m€, and Avrillé 15 M€)



2020 includes a 9 M€ CAPEX for a copper

granulator as well as two lands in Paris area for 14 M€



Very few CAPEX committed during lockdown and in the months after should result in a decrease in 2021 CAPEX



50% CAPEX/EBITDA ratio can be considered as

a reasonable long-term ratio

Source: Derichebourg 28 44 64 91 105 81 21 14 30 18 21 6 13 11 11 11 16 12 64 71 107 124 145 101 51% 57% 52% 59% 74% 56% 0% 10% 20% 30% 40% 50% 60% 70% 80% 0 20 40 60 80 100 120 140 160

2015 2016 2017 2018 2019 2020

CAPEX and EBITDA relation

Recycling Services to municipalities Multiservices

Holding Total CAPEX/EBITDA courant

Balance Sheet

(58)

THE CHALON / SAINT-MARCEL SITE WAS CHOSEN TO SET UP

THIS NEW COPPER RECYCLING ACTIVITY

NEW INSULATED WIRE CHOPPER (SAINT-MARCEL, SAONE & LOIRE)



Capex = 9,5 M€



Start of output = April 2020



Input : Wires with high copper content (>40%)



Yearly Input : ~15 000 Tons



Output products : Copper Shot (various copper %), flakes

(59)

SOURCES OF FINANCING – CREDIT LINES AS OF SEPTEMBER

30 TH

_{2020 – VERY GOOD LIQUIDITY}

240 240 240

100

130

130 130

300

207

17 122

112

10

140

54

54 158

-353 -353

511

1 245

530

341

621

Outstanding as of Sept 2020 Used as of Sept 2020 Debt as of Sept 2020 Liquidity headroom as of Sept 2020

Term Loan March 2020 RCF March 2020 BEI loan Factoring Bilateral Term Loans Financial leases IFRS 16 Rights of use IFRS 16 vs IAS 17 Overdrafts (mostly uncommitted) Others Total

Balance Sheet

(60)

SOURCES OF FINANCING – MATURITY OF CREDIT LINES

240 ₂₁₀

180 ₁₅₀

120 100

100

100 130

130

117

104

91

78 300

300

300 122

90

68

48

21

13

140

108

79

55

34

18

54

39

29

24

20

17 158

1 245

977

873

481

385

126

Outstanding as of Sept 2020 30/09/2021 30/09/2022 30/092023 30/09/2024 30/09/2025

Term Loan March 2020 RCF March 2020 BEI loan Factoring Bilateral Term Loans

Financial leases IFRS 16 Rights of use IFRS 16 vs IAS 17 Overdrafts (mostly uncommitted) Others Total

(61)

(62)

CALENDAR

Annual General Meeting of Shareholders

H120/21 – Results

FY 20/21 – Results

February 10, 2021

May 20

th

_{, 2021}

(63)

(64)

IFRS 16 FTA IMPACTS

In M€ Current EBITDA as of 30/9/2020

Environmental Services 142,2

Multiservices 44,0

Holding -5,3

TOTAL 180,9

including switch from IAS 17 to IFRS 16

8,8 12,0

0,1 20,9

30/9/2020 without switch from IAS 17 to

IFRS 16 133,4

32,0 -5,3 160,0

In M€ 30/9/2020

Net Debt 341,1

Current EBITDA pro forma acquisitions (12

months) 185,8

Leverage Ratio pro forma of acquisitions

(12 months) 1,84

including switch from IAS 17 to IFRS 16

53,6 20,9 2,57

30/9/2020 without switch from IAS 17 to

IFRS 16 287,5 165,0 1,74

(65)

GEOGRAPHICAL FOOTPRINT OF RECYCLING: SALES

WORLWIDE

YTD19 YTD20 YTD19 YTD20 40% 9% 9% 9% 8% 8% 3% 4% 8% 2% 35% 7% 8% 15% 8% 7% 5% 3% 7% 5%

Breakdown of ferrous scrap sales – Tons

France Germany Belgium Spain Italy Luxemburg Mexico Turkey USA Others 32% 7% 8% 13% 10% 9% 7% 14% 25% 6% 7% 22% 7% 9% 5% 19%

Breakdown of Non Ferrous Metal sales – Tons

France Belgium Germany Spain Italy USA Netherlands Others

Source: Derichebourg Source: Derichebourg

(66)

GEOGRAPHICAL FOOTPRINT OF RECYCLING: COLLECTION

MOSTLY IN FRANCE AND SPAIN

82% 2%

7%

4%3%2%0%

70% 16%

7%

3% 2%2%0%

NMF purchases by country – Euros France

Spain

USA

Belgium

Germany

Italy

Mexico 73%

0% 9%

6%

6% 4%2%

66% 9%

9% 6%

5% 4% 2%

Ferrous scrap purchases (excl. trading) – Euros

France

Spain

USA

Belgium

Germany

Mexico

Italy

H1 2019 H1 2020

(67)

30%

20% 13%

11% 5%

4% 5%2%

4%2%2%2% 30%

19% 12%

9% 6%

6% 6%

2%

4% 2%2% 3%

Breadown of purchases (excl.trading) - Euros

Scrap dealers Industry

Private people / peddlers ELV / Car dismantlers Waste collectors WEEE

Demolition Eco-centers Traders Public Non-profit Others

BREAKDOWN OF PURCHASES BY SUPPLIER TYPE

H1 2019 H1 2020

(68)