Danone // 2020 Universal Registration Document

corporate governance 6.3 Compensation and benefits of governance bodies DANONE UNIVERSAL REGISTRATION DOCUMENT 2020 256 Assessment of performance conditions for GPS granted in 2016 that were delivered in 2020 and GPS granted in 2017 that will be delivered in 2021 (information required by the French Financial Market Authority’s 2020 report on corporate governance and executive compensation in companies) Relative weighting of each performance indicator (a) Minimum Target Maximum Level of achieve- ment Corres- ponding number of shares (b) Assessment GPS 2016 Weighted by 50%, growth in Danone’s sales (“CA”) over a three-year period (2016, 2017 and 2018) compared with that of a benchmark panel (c) CA < the median panel CA: 0% CA ≥ the median panel CA: 100% CA ≥ the median panel CA: 100% 100% 17,100 Sales growth was 2.8% over the reference period, with the median panel CA at 2.2%. The Board of Directors meeting of April 25, 2019, upon recommendation of the Governance Committee, therefore noted the full achievement of this performance condition. Weighted by 50%, improvement in recurring operating margin over a three-year period (2016, 2017 and 2018) (a) Change in recurring ope- rating margin < +35 bps: 0% Change in recurring operating margin ≥ +35 bps: 100% Change in recurring operating margin ≥ +35 bps: 100% 100% 17,100 As recurring operating margin rose on average by +191 pbs over the reference period, the Board of Directors meeting of February 18, 2019, upon recommendation of the Governance Committee, noted the full achievement of this performance condition. Overall rate of achievement of the GPS 2016 targets 100% GPS 2017 Weighted by 50%, growth in Danone’s sales (“CA”) over a three-year period (2017, 2018 and 2019) compared with that of a benchmark panel (c) CA < the median panel CA: 0% • CA is equal to the median panel CA: 90% • CA is between the median panel CA and 120% of the median: between 90% and 110% based on a linear progressive scale CA ≥ 120% of the median panel CA: 110% 90% 15,759 Sales growth was 2.7% over the reference period, equal to the median panel. The Board of Directors meeting of April 28, 2020, upon recommendation of the Governance Committee, therefore noted that this performance condition was 90% achieved. Weighted by 50%, attainment of a free cash flow level of more than €6 billion over three years (2017, 2018 and 2019) Sum of the FCF ≤ €6 billion: 0% Sum of the FCF is between €6 billion and €6.5 billion: between 0% and 100% based on a linear progressive scale Sum of the FCF > €6.5 billion: 100% 100% 17,511 Based on the amount attained ( i.e. €6.7 billion between 2017 and 2019), the Board of Directors meeting of February 25, 2020, upon recommendation of the Governance Committee, noted the full achievement of this performance condition Overall rate of achievement of the GPS 2017 targets 95% (a) The performance indicators presented correspond to quantifiable performance criteria. (b) Number of shares corresponding to the level of achievement of the performance indicator concerned. (c) As of the date of thisUniversal RegistrationDocument, this panel includesUnilever, Nestlé, PespiCo, TheCoca-ColaCompany, General Mills, KelloggCompany, The Kraft Heinz Company and Mondelez International.