TECHNICOLOR: DVD SERVICES BUSINESS UPDATE

Technicolor: DVD Services business update

Paris (France), 2 November 2015 - Technicolor (Euronext Paris: TCH; OTCQX: TCLRY) is in advanced negotiations with two large US customers to assume their contracts for the replication and distribution of packaged media products (DVD and Blu-ray(TM) discs) in North America.

In order to support these customers, Technicolor has agreed to purchase relevant North American optical disc manufacturing and distribution assets from Cinram Group, Inc. The resulting expanded operational platform could also serve to support other new customer additions in North America, in a manner consistent with the Group's strategy of optimizing the operating leverage of its packaged media products activities. The purchase agreement with Cinram Group, Inc. is subject to obtaining certain consents as well as other customary closing conditions.

The transfer of the contracts and assets to Technicolor could occur as early as November 2015.

The customer contracts, if concluded, would add in excess of €190 million in annualized revenues to Technicolor's Entertainment Services segment. This would have no impact on the Group's Adjusted EBITDA and Free Cash Flow objectives for 2015. The purchase price for the Cinram assets, net of working capital adjustments, is expected to be in the range of €35 million to €40 million, at current exchange rates, and would be entirely funded out of available cash.

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Technicolor, a worldwide technology leader in the media and entertainment sector, is at the forefront of digital innovation. Our world class research and innovation laboratories enable us to lead the market in delivering advanced video services to content creators and distributors. We also benefit from an extensive intellectual property portfolio focused on imaging and sound technologies, based on a thriving licensing business. Our commitment: supporting the delivery of exciting new experiences for consumers in theaters, homes and on-the-go.

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