Section 172 Statement

SECTION 172 STATEMENT – LIONS GATE INTERNATIONAL (UK) LIMITED / LIONS GATE INTERNATIONAL MEDIA

– Section 172 Statement Generally

o The Boards of Directors (collectively, the “Boards”) of Lions Gate International (UK) Limited and Lions Gate International Media Limited (collectively, “Lionsgate”) aim to uphold appropriate standards of conduct in compliance with all applicable regulation and we expect all our colleagues, at every level of business, to do the same. Similarly, the Boards understand that our business can only prosper if we understand and respect the diverse views and needs of our customers, colleagues, and the communities in which we operate. Accordingly, the Boards have taken the following action, either directly or via representatives, on several strategic issues regarding employees, clients and customers, suppliers and partners, stakeholders, and the corresponding communities.

– Employees.

o Overview

  • Lionsgate has a strong culture with the following key shared values and core competencies for its leadership and employees:
  • Providing direction and support to staff through effective communications;
  • Ensuring that every employee has a voice and is confident in speaking out with openness and transparency;
  • Embracing an environment and culture that welcomes and encourages individuals to share their opinions and ideas;
  • Creating optimism and confidence in our people and inspiring others to have strong self-belief;
  • Remaining proactive in supporting staff with their career development and performance monitoring;
  • Developing capabilities through self-development and development of others, including succession planning; and
  • Ensuring that company values and behavioural standards are met across peers and teams and maintaining a continued strive towards improvement.

o Strategic Issue: Workforce engagement via positive organisational culture.

o Engagement/Outcome: Continued communication with key employees and employee representatives is vital and the Boards, and/or representatives related thereto, regularly organise communications to discuss developments and updates on the progress of strategic plans related thereto. Culturally, Lionsgate has made becoming a learning organisation a strategic priority, with focus on preparing colleagues for the future via broader development focused on personal and professional development. Accordingly, the Boards, and/or representatives related thereto, have initiated a learning development strategy that focuses on developing people’s capabilities, attracting and retaining talent, motivating and engaging employees, maintaining a values-based culture and building a positive employer brand. Lionsgate aims through employee engagement to develop and maintain a high achieving workforce and an environment that is conducive to attracting and retaining the “best” talent. Lionsgate’s focus is on developing an organisational culture that values diversity and ensures that our people have meaningful and challenging work, that employees are effectively developed and motived to perform highly, and have their contribution appropriately recognized and competitively rewarded. In achieving this the Boards have overseen the implementation of several employee training programs including Anti-Harassment, Leadership Excellence, Professional Development, Professional Qualifications, Mental Health, Safety, Film & Distribution Association Courses, and more to come. In terms of accountability, employees may report any concerns relating to wrong-doing or misconduct via internal anonymous reporting mechanisms including the Lionsgate whistleblowing program. Finally, Lionsgate maintains further accountability via self-assessed metrics including internal company surveys that are regularly discussed by senior management.

– Clients and Customers.

o Overview: Lionsgate endeavours to provide an engaging entertainment experience for all customers and deliver the tools necessary to increase potential inclusivity for customers with specific needs.

o Strategic Issue: Improving quality and engagement for customers with specific needs regarding auditory or visual impairment and sensitivity to stimulus.

o Engagement/Outcome: The Boards, and/or representatives related thereto, have arranged regular meetings with various exhibitors, clients, customers and representatives related thereto, to enhance relationships and understand their diverse views. Accordingly, representatives of the Boards create, service, and deliver custom materials to exhibitors intended for customers with specific needs, including hard-of-hearing subtitle tracks for the auditorily impaired, audio description materials for the visually impaired, and autism-friendly materials. The Boards are proud that Lionsgate takes this cost on itself and does not pass it on to the exhibitor or consumer.

– Suppliers and Partners.

o Overview: Over an extended period, Lionsgate has built and maintained relationships with key suppliers and partners and view timely payment as a critical responsibility.

o Strategic Issue: Ensuring satisfactory payment practices.

o Engagement/Outcome: The Boards recognise the importance of the relationships with suppliers and partners and supports active steps to develop and strengthen such relationships through dialogue, engagement, and, critically, timely payment. The Boards oversee the continued implementation of satisfactory payment procedures and policies that result in most invoices being timely paid within the agreed terms and aims to resolve any disputes as soon as possible by contacting such suppliers via emails and phone to clarify and resolve any queries in the most practicable manner.

– Stakeholder Relations.

o Overview: Lionsgate is part of a publicly traded parent company, Lions Gate Entertainment Corp., which is subject to regulation by the U.S. Securities and Exchange Commission, Canadian regulation, and the New York Stock Exchange. Accordingly, Lionsgate maintains the corresponding applicable standards of business conduct and takes into consideration the long-term consequences of each decision on various stakeholders.

o Strategic Issue: Compliance with all applicable regulations.

o Engagement/Outcome: The Boards regularly discuss applicable regulation and continue to monitor compliance. Specifically, the Boards, which are comprised of senior company and industry executives who are aware of these certain Section 172 requirements, formally meet on a regular, generally quarterly, basis to review business operations and developments as well as compliance matters, and make commercial decisions regarding Lionsgate’s conduct.

– Community (Society).

o Overview: Lionsgate has undertaken several actions to assist in socially conscious initiatives within the company and the communities in which we operate.

o Strategic Issue: Operating responsibly as a force of social progress.

o Engagement/Outcome: The Boards, and/or representatives related thereto, promote engagement with the community via meetings, memberships, internal discussion, and community outreach. The Boards are committed to support the communities in which its employees participate through the social support of its employees, including a beneficial social leave policy and through the promotion of strong social values in the workplace including an updated employee code of conduct and policy with anti harassment training for all employees, prevention of modern slavery, and a continued company-wide dialogue on diversity, equality, and inclusion. As to the wider community in which we operate, the Boards are proud that Lionsgate continues to be involved in numerous initiatives with local schools and students and aims to deepen that community investment in the near future.