Kinepolis : Written questions and answers - Ordinary General Meeting of 13 May 2020

WRITTEN QUESTIONS AND ANSWERS

ORDINARY GENERAL MEETING OF 13 MAY 2020

Question received by e-mail in date of 8 May 2020 - Answer approved by the board of directors of 11 May 2020

Question: The recent acquisitions of Kinepolis Group have led to a significant increase in financing obligations. Considering the fact that little to no revenue will be realised due to the closure of the cinemas, it seems to me that the cash position of the Group will be reduced significantly. Does Kinepolis already know how it will recover its funds?

Answer:Kinepolis takes all measures necessary to reduce the impact at all cost levels, including the fixed costs and outgoing cash flows. For example, all investments that were not urgent or to which no commitment had yet been made have been stopped, with the exception of the ongoing investments in the new construction projects in Haarlem and 'Mall of the Netherlands' in Leidschendam.

At the start of the COVID-19 pandemic, Kinepolis held almost € 70.0 million in liquid assets and a line of credit amounting to € 120.0 million. Therefore, Kinepolis has sufficient liquid assets to cope with this crisis. In recent years, Kinepolis has pursued a prudent financial policy. This has resulted in an average term of more than five years of the outstanding financial liabilities. The next major repayment of its bonds will not take place until 2022. Kinepolis also has a strong and healthy balance sheet with an important real estate portfolio.