At a Glance 2021 Key Figures (IFRS) in € millions Business Development Group revenues Operating EBITDA EBITDA margin in percent1) Bertelsmann Value Added (BVA)2) Group profit Investments3) Consolidated Balance Sheet Equity Equity ratio in percent Total assets Net financial debt Economic debt4) Leverage factor Dividends to Bertelsmann shareholders Distribution on profit participation certificates Employee profit sharing 2021 18,696 3,241 17.3 474 2,310 1,954 13,574 42.8 31,714 959 3,475 1.3 180 44 89 2020 17,289 3,143 18.2 355 1,459 920 10,725 36.1 29,704 2,055 5,207 1.9 – 44 88 2019 18,023 2,887 16.0 89 1,091 1,240 10,445 38.2 27,340 3,364 6,511 2.6 180 44 96 2018 17,673 2,586 14.6 121 1,104 1,434 9,838 38.8 2017 17,190 2,636 15.3 163 1,198 1,103 9,127 38.5 25,343 23,713 3,932 6,619 2.7 180 44 116 3,479 6,213 2.5 180 44 105 The figures shown in the table are, in some cases, so-called Alternative Performance Measures (APM), which are neither defined nor described in IFRS. Details are presented in the section “Alternative Performance Measures” in the Combined Management Report. Rounding may result in minor variations in the calculation of percentages. 1) Operating EBITDA as a percentage of revenues. 2) Bertelsmann uses BVA as a strictly defined key performance indicator to evaluate the profitability of the operating business and return on investment. Since the financial year 2018, Bertelsmann Value Added has been calculated excluding the Bertelsmann Investments division. 3) Taking into account the financial debt assumed, investments amounted to €1,961 million (2020: €974 million). 4) Net financial debt less 50 percent of the par value of the hybrid bonds and less the short-term liquidable investments in a special fund plus pension provisions, profit participation capital and lease liabilities.

Interactive Online Report The Bertelsmann Annual Report can also be accessed online at: ar2021.bertelsmann.com 2 Financial Information

Combined Management Report Financial Year 2021 in Review In the financial year 2021, Bertelsmann strongly increased its revenues and achieved an operating result of more than €3 billion for the second consecutive time. The Group recorded revenue growth of 8.1 percent to €18.7 billion (previous year: €17.3 billion), driven by strong organic growth of 11.4 percent. In addition to the recovery of the advertising-financed businesses, the continued positive development of the book publishing and services businesses was the main contributor to this increase. At €3,241 million, operating EBITDA reached a record level, exceeding the previous year’s level of €3,143 million, which included capital gains from real estate transactions. Strong earnings growth in the TV and production business, in the book publishing business as well as in the service businesses of Majorel and Arvato Supply Chain Solutions more than offset ongoing expenditure on expanding the streaming area. Operating EBITDA before streaming start-up losses of RTL Group was €3,394 million (previous year: €3,188 million). The EBITDA margin was 17.3 percent (previous year: 18.2 percent). Driven by the positive operating earnings development and a high earnings contribution from company disposals, Group profit increased noticeably to €2,310 million, compared to €1,459 million in the previous year. Revenues in € billions Operating EBITDA in € millions Group Profit in € millions 18.0 17.3 18.7 20 15 10 5 0 2,887 3,143 3,241 4,000 3,000 2,000 1,000 0 1,091 1,459 2,310 2,400 1,800 1,200 600 0 2019 2020 2021 2019 2020 2021 2019 2020 2021 • Organic revenue growth of 11.4 percent compared to previous year, or 9.0 percent compared to 2019 • Revenue increases primarily at RTL Group, Penguin Random House and Arvato • Operating EBITDA at record level at €3,241 million, earnings growth primarily at RTL Group, Penguin Random House and Arvato • EBITDA margin of 17.3 percent • At €2.3 billion, Group profits are at their highest level since 2006 • Increase is down to operational strength, high profit contributions from company disposals and Bertelsmann Investments 4 Financial Information Combined Management Report

Bertelsmann Printing Group unites Bertelsmann’s printing activities. They include all the Group’s gravure, offset and book printing companies in Germany, the United Kingdom and the United States. In addition, various digital marketing services are offered, such as data-driven multichannel marketing. Bertelsmann Printing Group also includes the storage media producer Sonopress, the specialty printer Topac and the multichannel marketing platform DeutschlandCard. Bertelsmann Education Group comprises Bertelsmann’s education activities. The digital education and service offerings are primarily in the healthcare sector and in the area of in-company training and development as well as in the university education area. The education activities include the online education provider Relias, the US university Alliant and venture fund investments. Bertelsmann Investments comprises Bertelsmann’s global start-up investments. The activities are focused on the strategic growth markets of Brazil, China, India and the United States. Investments are largely made through the funds Bertelsmann Brazil Investments (BBI), Bertelsmann Asia Investments (BAI), Bertelsmann India Investments (BII) and Bertelsmann Digital Media Investments (BDMI). Regulatory Environment Bertelsmann has television and radio operations in several European countries that are subject to regulation. In Germany, for example, the media is subject to oversight by the Com- mission on Concentration in the Media. Bertelsmann Group companies occupy leading market positions in many lines of business, and may therefore have limited potential for growth through acquisition due to antitrust legislation. Moreover, some education activities are subject to regulatory provisions of government authorities and accreditation bodies. Some of the financial services activities are subject to banking super vision regulations. Because its profit participation certificates and bonds are publicly listed, Bertelsmann is required to comply with capital market regulations applicable to publicly traded companies. Shareholder Structure Bertelsmann SE & Co. KGaA is a capital market-oriented but unlisted company limited by shares. Three foundations (Bertelsmann Stiftung, Reinhard Mohn Stiftung and BVG-Stiftung) indirectly hold 80.9 percent of Bertelsmann SE & Co. KGaA shares, with the remaining 19.1 percent held indirectly by the Mohn family. Bertelsmann Verwaltungs gesellschaft (BVG) controls all voting rights at the General Meeting of Bertelsmann SE & Co. KGaA and Bertelsmann Management SE (general partner). Strategy Bertelsmann’s strategic focus is on a fast-growing, digital, international and diversified Group portfolio. Businesses in which Bertelsmann invests should have long-term stable growth, global reach, sustainable business models, high market-entry barriers and scalability. At the beginning of 2021, Bertelsmann defined a Group-wide growth initiative and presented the new strategic growth priorities necessary for that: national media champions, global content, global services, online education and investment portfolio. Further developing the strategy in this way is necessary to meet new challenges, such as growing competition from US tech platforms. The Group aims to grow in both existing and new lines of business through organic initiatives and acquisitions. The following topics form the basis for the successful implementation of the strategy: tech & data, upskilling, cooperation and alliances. Substantial progress was made in the implementation of the new strategic priorities in the 2021 financial year. The announced mergers of Groupe M6 and Groupe TF1 in France, of RTL Nederland and Talpa in the Netherlands, as well as the completed combination of RTL Deutschland and the German magazine businesses and brands of Gruner + Jahr, which was implemented in early 2022, will serve to create national media champions in the European markets. RTL Group initiated further consolidation steps with the announced disposals of RTL Belgium and RTL Croatia. The streaming services RTL+ in Germany and Videoland in the Netherlands recorded continued substantial increases in paying subscribers. RTL Deutschland further reinforced its market position through the full acquisition of Super RTL, and Gruner + Jahr sold its French subsidiary Prisma Media to the French media group Vivendi. Bertelsmann also invested in the expansion of the global content business. The production company Fremantle announced several acquisitions and stake increases, and established the Global Factual unit in order to expand the business in high-end documentaries. Penguin Random House achieved creative and business successes, for example with “How to Avoid Climate Disaster” by Bill Gates 6 Financial Information Combined Management Report

To explain the business performance, and to control and manage the Group, Bertelsmann uses additional alternative performance measures that are not defined in accordance with IFRS (more details are given in the section “Alternative Performance Measures”). Strictly Defined Operational Performance Indicators To control and manage the Group, Bertelsmann uses rev- enues, operating EBITDA and BVA as performance indicators. Revenue is used as a growth indicator of businesses. In the financial year 2021, Group revenues rose by 8.1 percent to €18.7 billion (previous year: €17.3 billion). Organic growth was 11.4 percent, after an organic decline of 1.7 percent in the previous year. A key performance indicator for measuring the profitability of the Group and the divisions is operating EBITDA. Operating EBITDA rose during the reporting period by 3.1 percent to €3,241 million (previous year: €3,143 million). Bertelsmann uses BVA for assessing the profitability of operations and return on invested capital. BVA measures the profit realized above and beyond the appropriate return on invested capital. At €474 million, BVA in the financial year 2021 was below the previous year’s figure of €355 million. Broadly Defined Performance Indicators To assess business development, other performance indicators are used that are partially derived from reve- nues and operating EBITDA or are strongly influenced by these figures. The cash conversion rate serves as a measure of cash generated from business activities, which should be between 90 percent and 100 percent as a long-term average. In the financial year 2021, the cash conversion rate was 107 percent (previous year: 118 percent). The EBITDA margin is used as an additional criterion for assessing business performance. In the financial year 2021, the EBITDA margin was 17.3 percent, slightly below the previous year’s figure of 18.2 percent. Bertelsmann’s financial management system is defined by the internal financial targets outlined in the section “Net Assets and Financial Position.” These financing principles are pursued in the management of the Group and are included in the broadly defined value-oriented management system. The non-financial performance indicators (employees, cor- porate responsibility and similar topics) are not included in the broadly defined value-oriented management system. As they can still only be measured to a limited extent, it is not possible to make any clear quantifiable statements concern- ing interrelated effects and value increases. For this reason, the non-financial performance indicators have not yet been used for the management of the Group but are gaining in relevance for Bertelsmann’s businesses. Non-Financial Performance Indicators The following section refers to the non-financial performance indicators at Bertelsmann. For more information about the organization, management and key topics of corporate responsibility, including additional information on employee concerns, please refer to the section “Combined Non-Financial Statement.” Employees Bertelsmann’s employees are the most important key for the company’s long-term success. At the end of the financial year 2021, Bertelsmann employed 145,027 members of staff worldwide. Thanks to their creativity and entrepreneurial spirit, the company is able to continuously develop further. This is underlined by the results of the Group-wide 2021 employee survey, in which the indices for “Creativity” and “Entre preneurship” showed an improvement. Further information and employee-related non-financial performance indicators are presented in the “Employee Matters” section (Combined Non-Financial Statement). Innovations Businesses invest in the research and development of new products in order to ensure their long-term com- petitiveness. Bertelsmann has a similar imperative to create innovative media content, media-related prod- ucts, and services and educational offerings in a rapidly changing environment. Instead of conventional research 8 Financial Information Combined Management Report

infrastructure. The strategic expansion of BMG’s service offering included further acquisitions in live events in Germany and the international expansion of BMG’s artist management partner, Shelter Music Group. Innovations at Arvato are geared towards further optimizing existing services, and towards developing and implementing new customer solutions. Arvato Supply Chain Solutions, as part of its digitalization strategy, made major invest- ments in cutting-edge automation technology and the expansion of its cloud infrastructure. Arvato Financial Solutions developed a pioneering fintech solution for the auto industry. The basic idea behind this new offering is to bring the subscription model into the world of carsharing, with a view to doing the same with other digital busi- ness models in the future. The IT service provider Arvato Systems considerably expanded its expertise in the areas of cloud computing, artificial intelligence and IT security, and enhanced its service portfolio in these innovation fields. In addition, Majorel entered into a partnership with OmniBot, thereby further expanding its range of services in the field of automated customer interaction in a targeted way. Innovations at Bertelsmann Printing Group centered on further developing existing processes with new technolo- gies and digital solutions, and expanding its portfolio of products and services. Mohn Media invested in optimizing processes and procedures. At GGP Media, an existing web service for customers from the publishing industry was expanded into a smart platform for collaborations between printers, publishers and agencies, and participant communication in the multichannel marketing platform DeutschlandCard was further digitalized and enhanced with gamification elements. Innovations at Bertelsmann Education Group mainly consisted of developing digital, technology-based and customized education offerings. For example, in the healthcare sector, Relias employs health experts (including doctors, nurses and therapists) to continue developing teaching content and platforms for training skills specific to clinic and nursing home personnel. Another important focus was the development of additional support services for customers looking to recruit nursing home personnel. In the university education segment, Alliant used data science and advanced analytics to develop new services for students. Report on Economic Position Corporate Environment Overall Economic Developments In 2021, global economic development was once again driven largely by the coronavirus pandemic. Real gross domestic product (GDP) rose 5.9 percent, after falling 3.5 percent in 2020. However, the strong upturn was accompanied in many countries by price rises and supply bottlenecks. In the euro area, economic growth was particularly strong in the summer. Overall, real GDP rose 5.2 percent in 2021, after falling 6.6 percent in the previous year. However, rising infection rates around the end of the year made necessary the reintroduction of temporary containment measures. The fourth wave of infections has again affected Germany’s economic recovery recently. Real GDP rose 2.9 percent in 2021 compared to a decrease of 4.6 percent in the previ- ous year. The French economy recovered far more strongly. Real GDP rose 7.0 percent in 2021, after a decline of 8.0 percent in the previous year. The economy of the United Kingdom also enjoyed a strong recovery. Real GDP rose by 7.5 percent compared to a reduction of 9.4 percent in the previous year. The economy of the United States also recovered from the effects of the coronavirus pandemic, although the pace of the recovery also slowed towards the end of the year. Real GDP rose 5.7 percent, after falling 3.4 percent in the previous year. Developments in Relevant Markets The following analysis focuses on markets and regions that are of a sufficient size and are strategically important from a Group perspective. The German TV advertising market grew significantly in 2021 and the TV advertising markets in France, the Netherlands and Hungary, and the streaming markets in Germany and the Netherlands showed strong growth. The markets for printed books showed positive development overall in 2021. There was strong growth in revenue for printed books in the United States and in the Spanish-language market, while the British and German markets each showed 10 Financial Information Combined Management Report

the financial year 2022, Gruner + Jahr is no longer reported as an independent division. The remaining Gruner + Jahr activities will be assigned to the Bertelsmann Investments division in the future. This does not affect the reported figures in the 2021 Annual Report. businesses, the positive performance of the book publish- ing and services businesses was a key factor in this strong revenue growth. Adjusted by exchange rate, portfolio and other effects, the Group’s organic growth was 11.4 percent. In early August 2021, Bertelsmann also completed the acquisition of shares in the Brazilian education company Afya, thereby further expanding its global education busi- ness. The Group acquired 25 percent of the shares and 46 percent of the voting rights in Afya. The listed company is a leading provider of medical education and training in Brazil. Bertelsmann acquired the shares from Crescera Educacional II, a fund launched by Crescera Capital in 2014 together with Bertelsmann as the lead investor. In early September 2021, the global customer experience company Majorel announced its intention to enter the capital market through a private placement. The company’s shares were traded on Euronext Amsterdam for the first time on September 24, 2021. After the private placement of some of its shares, Bertelsmann holds almost 40 percent of Majorel shares, and thereby remains an important strategic share- holder, along with Saham Group. The company will also continue to be consolidated by Bertelsmann. In September 2021, Fremantle, RTL Group’s production business, sold its stake in the mobile videogames company Ludia Inc. to the US company Jam City for €144 million net of cash disposed of. Penguin Random House’s acquisition of the book pub- lisher Simon & Schuster from Paramount Global (formerly ViacomCBS), which was announced at the end of 2020, is still pending approval by the antitrust authorities. On November 2, 2021, the Department of Justice filed a suit in the US District Court for the District of Columbia in Washington DC to block the transaction, citing concerns about monopsony relating to the acquisition of author rights. In November 2021, Dominik Asam, CFO and member of the Executive Committee at the aircraft manufacturer Airbus SE, was appointed to the Bertelsmann SE & Co. KGaA Supervisory Board, effective January 1, 2022. Results of Operations Revenue Development Group revenues increased in the financial year 2021 by 8.1 percent to €18.7 billion (previous year: €17.3 billion). In addition to the recovery of the advertising-financed 12 Financial Information Combined Management Report Revenues at RTL Group recovered from the levels of the previous year, which was defined by the effects of the corona- virus pandemic, rising 10.3 percent to €6,637 million (previ- ous year: €6,017 million). Organic growth was 13.5 percent. The sustained recovery of TV advertising markets and the growth businesses of content production and streaming were important contributing factors in this growth. Revenues at Penguin Random House rose 6.0 percent to €4,030 million (previous year: €3,802 million). Organic growth was 7.3 percent. Revenue increases were recorded in all territories. Gruner + Jahr recorded a 7.4 percent drop in revenues to €1,051 million (previous year: €1,135 million), due primarily to portfolio effects. Organic growth, in contrast, was positive at 13.1 percent. The advertising and circulation business in print and digital recovered from the effects of the coronavirus pandemic. Moreover, AppLike Group and Territory in particu- lar recorded strong revenue growth. BMG revenues rose 10.1 percent to €663 million (previous year: €602 million). Organic growth was 10.6 percent. Organic revenue growth was evident both in the label and in the recording business. Revenues at Arvato grew by 14.9 percent to €5,035 million (previous year: €4,382 million). Organic growth was 16.8 percent. This increase in revenues was due in particular to the positive business performance of the customer experi- ence company Majorel and of Supply Chain Solutions. Bertelsmann Printing Group revenues were down 3.1 percent to €1,319 million (previous year: €1,362 million). The organic decline was 5.5 percent. The decline is mainly down to the closure of the gravure printing site in Nuremberg and the general decline in the gravure and offset printing business. Revenues at Bertelsmann Education Group declined by 6.0 percent to €283 million (previous year: €301 million) Revenue Breakdown 20 10 0 €17.3 billion -0.7% -2.6% 11.4% €18.7 billion Exchange rates Portfolio and other effects Organic growth 2020 Change 2021

Results Breakdown in € millions Operating EBITDA by division RTL Group Penguin Random House Gruner + Jahr BMG Arvato Bertelsmann Printing Group Bertelsmann Education Group Bertelsmann Investments Total operating EBITDA by division Corporate/Consolidation Operating EBITDA Amortization/depreciation, impairments/reversals of impairment losses on intangible assets and property, plant and equipment not included in special items Special items EBIT (earnings before interest and taxes) Financial result Earnings before taxes Income tax expense Group profit or loss attributable to: Earnings attributable to Bertelsmann shareholders attributable to: Earnings attributable to non-controlling interests 2021 1,361 755 134 144 825 60 86 (11) 3,354 (113) 3,241 (880) 963 3,324 (352) 2,972 (662) 2,310 1,800 510 2020 1,097 691 127 137 662 55 89 (10) 2,848 295 3,143 (918) 51 2,276 (339) 1,937 (478) 1,459 1,152 307 at Gruner + Jahr was 5.9 percent higher at €134 million (previous year: €127 million). The AppLike Group as well as the advertising and sales business in particular recorded a positive earnings performance. At BMG, operating EBITDA grew 5.4 percent to €144 million (previous year: €137 million) as the company profited from continued strong growth in music streaming. Arvato recorded an operating EBITDA of €825 million (previous year: €662 million). This increase of 24.6 percent primarily reflects continued strong earnings growth at the customer experience company Majorel and in the Supply Chain Solutions business area. Operating EBITDA at Bertelsmann Printing Group rose 9.7 percent to €60 million (previous year: €55 million). At Bertelsmann Education Group, operating EBITDA was down 2.6 percent to €86 million (previous year: €89 million) primarily as a result of exchange rate effects. The investments of Bertelsmann Investments are generally not consolidated, so operating earnings are not usually reported for this division. Special Items Special items in the financial year 2021 totaled €963 million compared to €51 million in the previous year. They consist of impairments or reversals of impairment losses on invest- ments accounted for using the equity method amounting to €2 million (previous year: €-62 million), impairments on other financial assets at amortized cost amounting to to €786 million €-1 million (previous year: €-26 million), adjustments of the carrying amounts of assets held for sale amounting to €-6 million (previous year: –), results from disposals of invest- ments amounting (previous year: €410 million), fair value measurement of investments of €483 million (previous year: €59 million), as well as restruc- turing expenses and other special items totaling €-301 million (previous year: €-214 million). During the reporting period, there were no impairments on goodwill and other intangible assets with indefinite useful lives, compared with €-116 million in the previous year. The strong increase in results from disposals of investments is particularly due to the disposal of SpotX. The increase in the fair value measurement of investments is particularly due to companies in the Bertelsmann Investments portfolio. EBIT EBIT amounted to €3,324 million in the financial year 2021 (previous year: €2,276 million) after adjusting operating EBITDA for special items totaling €963 million (previous year: €51 million) and amortization, depreciation, impairments and reversals of impairment losses on intangible assets, property, plant and equipment and right-of-use assets totaling €-880 million (previous year: €-918 million), which were not included in the special items. 14 Financial Information Combined Management Report

Rating Bertelsmann has been rated by the rating agencies Moody’s and Standard & Poor’s (S&P) since 2002. The issuer ratings facilitate access to the international capital markets and are therefore a key element of Bertelsmann’s financial security. Bertelsmann is rated by Moody’s as “Baa2” (outlook: stable) and by S&P as “BBB” (outlook: stable). Both credit ratings are in the investment-grade category. Bertelsmann’s short-term credit quality rating is “P 2” from Moody’s and “A 2” from S&P. Credit Facilities In addition to available liquidity, the Bertelsmann Group has access to a syndicated credit facility with 15 banks. This credit facility that was unutilized as of December 31, 2021, forms the backbone of the strategic credit reserve; Bertelsmann can utilize this with a term until 2026 to draw up to €1.2 billion of revolving funds in euros, US dollars and pounds sterling. Cash Flow Statement was €-267 million (previous year: €-263 million). Of that amount, €-1,699 million (previous year: €-879 million) was attributable to investments in intangible assets, property, plant and equipment, and financial assets. Purchase price payments for consolidated investments (less acquired cash and cash equivalents) were €-255 million (previous year: €-41 million). Payments from the sales of subsidiaries and other business units as well as of other non-current assets were €1,687 million (previous year: €657 million). The increase in payments represents in particular the disposal of SpotX as well as the disposals of Prisma Media and Ludia. The cash flow from financing activi- ties was €-1,667 million (previous year: €330 million). The deviation is primarily due to the repayments stated in the section “Financing Activities.” Dividend payments to Bertelsmann SE & Co. KGaA shareholders totaled €-180 million, after the dividend payment was suspended in the previous financial year due to the coronavirus pan- demic. Dividends paid to non-controlling interests and other payments to shareholders amounted to €-230 million (previous year: €-10 million). As of December 31, 2021, Bertelsmann had cash and cash equivalents of €4.6 billion (previous year: €4.6 billion). During the reporting period, cash flow from operating activities was generated in the amount of €1,792 million (previous year: €2,995 million). The sustainable oper- ating free cash flow, adjusted for special effects, was €2,457 million (previous year: €2,571 million), and the cash conversion rate was 107 percent (previous year: 118 percent); see also the section “Broadly Defined Perfor- mance Indicators.” The cash flow from investing activities Off-Balance-Sheet Liabilities The off-balance-sheet liabilities include contingent liabilities and other financial commitments, almost all of which result from operating activities conducted by the divisions. The off-balance-sheet liabilities increased compared with the previous year. The off-balance-sheet liabilities existing as of December 31, 2021, had no significant negative effects on Maturity Structure of Financial Debt in € millions 8,000 6,000 4,000 2,000 0 232 82 78 73 5,372 4,775 4,768 4,279 3,597 3,025 Other financial debt Bonds and promissory notes 2021 2022 2023 2024 2025 2026 16 Financial Information Combined Management Report

Investments by Division in € millions RTL Group Penguin Random House Gruner + Jahr BMG Arvato Bertelsmann Printing Group Bertelsmann Education Group Bertelsmann Investments Total investments by divisions Corporate/Consolidation Total investments Profit Participation Capital Profit participation capital had a par value of €301 million as of December 31, 2021, which is unchanged from the previous year. If the effective interest method is applied, the carrying amount of profit participation capital was €413 million as of December 31, 2021 (previous year: €413 million). The 2001 profit participation certificates (ISIN DE0005229942) account for 94 percent of par value of profit participation capital, while the 1992 profit participation certificates (ISIN DE0005229900) account for the remaining 6 percent. The 2001 profit participation certificates are officially listed for trading on the Regulated Market of the Frankfurt Stock 2021 596 116 21 248 321 37 19 693 2,051 (97) 1,954 2020 210 75 31 92 264 34 19 185 910 10 920 Exchange. Their price is listed as a percentage of par value. The lowest closing rate of the 2001 profit partici- pation certificates during the 2021 financial year was 325.00 percent in January; their highest was 365.00 percent in December. Under the terms and conditions of the 2001 profit partici- pation certificates, the payout for each full financial year is 15 percent of par value, subject to the availability of sufficient Group profit and net income at the level of Bertelsmann SE & Co. KGaA. These conditions were met in the past financial year. Accordingly, a payout of 15 percent of the par value of the 2001 profit participation certificates will also be made for the financial year 2021. Balance Sheet Assets Liabilities 100% 80% 60% 40% 20% 0% 47.4% 41.0% 43.6% 42.8% 36.1% 38.2% 10.7% 35.9% 6.0% 9.1% 8.7% 34.5% 33.1% 19.0% 23.7% 19.8% 4.6% 6.8% 7.2% 15.4% 14.6% 33.6% 33.4% 34.8% 2019 2020 2021 2021 2020 2019 Intangible assets and financial assets Equity including non-controlling interest Property, plant and equipment and right-of-use assets Financial debt and profit participation capital Current assets and other assets Provisions for pensions and similar obligations Cash and cash equivalents Other provisions/other liabilities 18 Financial Information Combined Management Report

Performance of the Group Divisions RTL Group RTL Group recorded a very positive business performance. The recovery of the advertising markets, a strong production business and continued growth in the strategically important streaming segment led to double-digit revenue growth. The group also strongly increased its operating result. At the same time, RTL Group made progress in building national cross- media champions in Europe. RTL Group’s revenues increased by 10.3 percent to €6.6 billion in 2021 (previous year: €6.0 billion), and operating EBITDA by 24.1 percent to €1.36 billion (previous year: €1.1 billion). Organic sales growth was 13.5 percent year on year and 3.9 percent compared with the pre-pandemic level of 2019. The EBITDA margin reached 20.5 percent, compared with 18.2 percent in the previous year. RTL Group agreed several far-reaching consolidation moves during the reporting period, with the aim of creating national cross-media champions that can compete with global technology platforms. In May 2021, RTL Group and Groupe Bouygues agreed to merge the activities of Groupe TF1 and Groupe M6. In June, RTL Group and Talpa Network announced plans to merge their broadcasting and media businesses in the Netherlands. That same month, RTL Group signed a definitive agreement to sell RTL Belgium to the Belgian media companies DPG Media and Groupe Rossel. The transactions are subject to reviews by the relevant authorities. In July, RTL Deutschland acquired all remaining shares in Super RTL, Germany’s leading children’s channel. In August, RTL Group announced that RTL Deutschland had reached an agreement with Bertelsmann to acquire Gruner + Jahr’s German publishing businesses and brands. The cooperation was further strengthened in the months that followed, culminating in the completion of the combination to form the enlarged RTL Deutschland entity on January 1, 2022. the Scandinavian market with the acquisition of 12 production companies from Nordic Entertainment Group. RTL Group generated a high capital gain from the sale of SpotX to the US ad tech company Magnite. The mobile video games subsidiary Ludia was sold to the US company Jam City. Fremantle strongly increased its revenues during the reporting period, fueled in part by the delivery of the high-end drama series “American Gods” (third season) to Amazon Prime and “The Mosquito Coast” to Apple TV+, as well as the film production “The Hand of God” for Netflix that was nominated for an Oscar. Fremantle also expanded its global production business with a new unit for high-end documentaries. Revenues by Region in percent (without intercompany revenues) 3.4 Other countries 13.7 United States 25.2 Other European countries 32.8 Germany 21.3 France 3.6 United Kingdom Revenues by Category in percent 4.6 Services 37.6 Rights and licenses The streaming services RTL+ (formerly TV Now) in Germany and Videoland in the Netherlands together recorded 3.8 million paying subscribers at the end of the year, 73.8 percent more than a year earlier. Streaming revenues increased by 30.9 percent to €223 million (previous year: €170 million). 57.1 Advertising Revenue Breakdown 0.7 Own products and merchandise Groupe M6 and RTL Nederland increased their audience shares as their information and entertainment programs scored high ratings. The combined audience share of RTL Deutschland’s channels decreased slightly, partly because the popular European soccer championship was broadcast by the public broadcasters in the summer. RTL Group increased its shareholding in several production companies in 2021. Fremantle also expanded its position in 8 6 4 2 0 €6.0 billion -0.3% -2.9% 13.5% €6.6 billion Exchange rates Portfolio and other effects Organic growth 2020 Change 2021 20 Financial Information Combined Management Report

Gruner + Jahr Gruner + Jahr had a successful year. Revenues declined by 7.4 percent to €1.05 billion (previous year: €1.14 billion), mainly as a result of the divestment of Prisma Media in France. Operating EBITDA increased by 5.9 percent to €134 million (previous year: €127 million). The EBITDA margin improved to 12.7 percent (previous year: 11.2 percent). The business achieved strong organic growth in its revenues and earnings. This positive business performance was driven by a significant year-on-year recovery in Gruner + Jahr’s advertising business, as well as strong revenue and earnings growth at the AppLike Group and high investment income at the Spiegel Group. The share contributed by the digital businesses to total revenues in Germany rose to over 50 percent. Territory contributed to this success with strong revenue and earnings growth, as did DDV Mediengruppe. As a member of the Bertelsmann Content Alliance, Gruner + Jahr was involved in the development of numerous new content formats. For example, "Stern," RTL and ntv launched the weekday podcast “heute wichtig” (“important today”). Vox and Stern are working together on a long-term report on the consequences of the flood disaster in the Ahr Valley. Gruner + Jahr also became involved in the content alliance initiative “JAhr zur Wahrheit” for independent journalism. In August 2021, it was announced that RTL Deutschland would take over Gruner + Jahr’s German magazine businesses and brands. The transaction was completed on January 1, 2022. Gruner + Jahr’s other activities, such as Territory, the AppLike Group, the DDV Media Group and the stake in the Spiegel Group, will remain with Bertelsmann and will be assigned to the Bertelsmann Investments division from now on. 22 Financial Information Combined Management Report Revenues by Region in percent (without intercompany revenues) 71.2 Germany 6.5 Other countries 2.2 United States 7.4 Other European countries 2.9 United Kingdom 9.8 France Revenues by Category in percent 35.4 Services 1.6 Rights and licenses 35.1 Own products and merchandise 27.9 Advertising Revenue Breakdown 2 1.5 1 0.5 0 €1.1 billion -0.1% -20.4% 13.1% €1.1 billion Exchange rates Portfolio and other effects Organic growth 2020 Change 2021

Arvato Bertelsmann’s services activities, which are combined in the Arvato division, once again saw a very gratifying business performance in 2021. The main drivers were the logistics businesses, which benefited from booming e-commerce businesses, and the global customer experience company Majorel, which expanded its business relationships with global Internet customers in particular. Arvato’s growing IT businesses also contributed to the positive business performance. Against this backdrop, Arvato grew its revenues by 14.9 percent to €5.0 billion (previous year: €4.4 billion). Operating EBITDA reached a new record, increasing by 24.6 percent to €825 million (previous year: €662 million). Arvato Supply Chain Solutions’ logistics services businesses grew profitably in fiscal year 2021, especially internationally. In Asia and in Spain, Arvato Supply Chain Solutions increased its revenues by 40 percent, and in the United States, Poland, the United Kingdom, Russia and Turkey by around 30 percent. The Solution Group continued to benefit from the accelerated shift in global trade towards e-commerce. To keep up with this dynamic growth, Arvato Supply Chain Solutions further strengthened its global network of locations by establishing new distribution centers and expanding existing ones in Europe and the United States. Based on its strong market position, the Solution Group invested extensively in state- of-the-art automation technology and the expansion of its cloud infrastructure. In addition, Arvato SCS | DIGITAL, a new operating unit with nearly 300 employees, was established to drive the digitalization strategy and systematically develop new digital solutions and products for customers at all levels of collaboration. Revenues from Arvato’s financial services businesses declined slightly in the period under review. This is mainly due to a change in the portfolio, relating to the sale of 60 percent of the risk management business to the information services provider Experian in 2020. By contrast, the “Pay after Delivery” business saw a positive business performance and grew in fiscal year 2021. Arvato Financial Solutions’ operating result was additionally impacted by government regulations in the receivables management business in its core market of Germany. The IT services provider Arvato Systems grew strongly in fiscal year 2021 with new customers, primarily from the public sector, and existing customers in particular from the healthcare sector. It further developed its business with proprietary products and platforms and strongly expanded the cloud business. The intensification of strategic partnerships with major international software and Internet groups contributed to this. As IT security plays an important 24 Financial Information Combined Management Report role, Arvato Systems became a member of the Microsoft Intelligent Security Association (MISA) in 2021, to be able to deploy security solutions for customers even more rapidly. Arvato Systems won various business awards during the reporting period, which underscored both the company’s expertise and its market perception as a partner for the transformation to digital. The global customer experience company Majorel noticeably increased both its revenue and operating result during the 2021 financial year. This development was driven by the strong growth with global Internet clients and continued growth with existing clients while also winning new clients. A private placement of approximately 20 percent of the Company’s share capital to institutional investors was completed in September 2021. The Company’s shares were subsequently listed on the Euronext Amsterdam stock exchange on September 24, 2021. Revenues by Region in percent (without intercompany revenues) 8.5 Other countries 35.9 Germany 7.9 United States 31.0 Other European countries Revenues by Category in percent 98.8 Services 8.8 France 7.9 United Kingdom 1.2 Own products and merchandise Revenue Breakdown 6 4 2 0 €4.4 billion -0.5% -1.4% 16.8% €5.0 billion Exchange rates Portfolio and other effects Organic growth 2020 Change 2021

Bertelsmann Education Group The Bertelsmann Education Group achieved organic growth in 2021 but, taking portfolio and exchange rate effects into account, recorded a decline in revenues. The operating result dipped slightly due to exchange rate effects; adjusted for these effects, the previous year's level was reached despite increased investments in technology and product improve- ments. Both Relias, the e-learning provider specializing in healthcare training and continuing education, and Alliant International University, with its growing range of online courses, benefited from rising demand – partly in the context of the coronavirus pandemic. Bertelsmann’s education businesses generated total revenues of €283 million (previous year: €301 million, -6.0 percent). The decline is due to the divestment of the US university services provider HotChalk at the end of 2020; organically, the Bertelsmann Education Group grew by 6.4 percent in the year under review. Operating EBITDA amounted to €86 million, down 2.6 percent from the previous year’s figure of €89 million. The EBITDA margin was again high at 30.6 percent (previous year: 29.5 percent). Relias is increasingly focusing on digitized, cloud-based and data-driven educational formats to strengthen its market leadership in training and continuing education for healthcare professionals in the United States. The company expanded its investments in tech innovations as well as the product portfolio accordingly in 2021. For example, in view of acute staff shortages in nursing and eldercare in the United States, a “Home Health Aide Certification Program” was developed that quickly and efficiently qualifies people for home care based on new online learning methods. In November, Relias added a training series to its program that helps hospitals manage more efficiently the entire revenue cycle, from initial patient encounters to claims management. The company also continued to offer free COVID-19 prevention courses worldwide. Alliant International University, which specializes in psychology and education, recorded an increase in student numbers. It continued to expand its online course offerings in 2021, with about half of all students taking online courses. The university received an eight-year accreditation reaffirmation from the WASC Senior College and University Commission in March, confirming the high quality of its degree programs. The online continuing education platform Udacity, in which Bertelsmann owns a significant stake, expanded its course offerings to include cybersecurity programs, among other things, in order to meet the growing demand from companies and government agencies for qualified specialists in this field. 26 Financial Information Combined Management Report Bertelsmann again offered 15,000 scholarships for Udacity courses in the areas of cloud, data and AI as part of its three-year #50000Chances program to counter the short- age of IT specialists. In response, 47,300 applications from 190 countries were received in the reporting year. Revenues by Region in percent (without intercompany revenues) 96.1 United States 2.5 Other countries 1.1 Germany 0.3 United Kingdom Revenues by Category in percent 100.0 Services Revenue Breakdown €301 million -3.2% -9.2% 6.4% €283 million Exchange rates Portfolio and other effects Organic growth 400 300 200 100 0 2020 Change 2021

General Statement by Company Management on the Economic Situation In the financial year 2021, Bertelsmann recorded successful business development and exceeded the revenue and profit levels of the period before the outbreak of the coronavirus pandemic. Its strong financial performance with new record results puts Bertelsmann in a position to invest substantial funds in further growth in the future. Group revenues in the reporting period rose strongly by 8.1 percent to €18.7 billion from €17.3 billion in the previous year, thereby exceeding expectations (forecast in the 2020 Annual Report: moderate increase in revenues). Organic revenue growth was 11.4 percent. At €3,241 million, operating EBITDA was 3.1 percent above the previous year’s high level of €3,143 million, which also included high capital gains from real-estate transactions (forecast in the 2020 Annual Report: sharp decline in operating EBITDA). Without the capital gains from real-estate transactions recorded in the previous year, there would have been a strong rise in operating EBITDA (forecast in the 2020 Annual Report: stable development). The significant positive divergence from the projected earnings development is attributable to the swifter recovery of advertising markets and the more positive development of the book publishing and services businesses. At €474 million, the BVA used for Group management was strongly above the previous year’s figure of €355 million (forecast in the 2020 Annual Report: strongly declining BVA). The development reflects the significant improvement in the operating profit. The operating earnings of RTL Group grew strongly as the European TV advertising markets recovered as expected (forecast in the 2020 Annual Report: earnings strongly above the previous year’s figure). In 2021, Bertelsmann set the course for a Group-wide growth initiative. The five new strategic priorities were presented at the beginning of the year: National Media Champions, Global Content, Global Services, Online Education and Investments. The Bertelsmann businesses defined their respective growth ambitions and function as drivers of a Group-wide surge in growth. In terms of the strategy’s implementation so far, the planned mergers of Groupe M6 and Groupe TF1 in France, and of RTL Nederland and Talpa in the Netherlands, as well as the combination of RTL Deutschland and the German magazine businesses and brands of Gruner + Jahr, which was completed in early 2022, will create national cross- media champions in Europe. As of the end of the 2021 financial year, the streaming services RTL+ in Germany and Videoland in the Netherlands alone had 3.8 million paying subscribers, representing growth of almost 74 percent. 28 Financial Information Combined Management Report Furthermore, acquisitions in the book publishing and TV production business have helped to expand Bertels- mann’s global content businesses and drive forward BMG and KKR’s collaboration for purchasing music catalogs. The global services business was further strengthened through the consistent implementation of the growth strategy. This involved acquisitions as well as establishing additional locations. In 2021, Majorel acquired the CX consultancy firm Junokai, one of the leading independent customer experience consulting companies in the DACH region. The US book printing business was also strengthened. The online education division saw significant expansion with the acquisition of shares in the Brazilian education company Afya. Meanwhile, Bertelsmann Investments continued to invest in young companies and funds around the world. Net assets and financial position remain strong. At 1.3, the leverage factor in the reporting period was below the previous year’s level (December 31, 2020: 1.9). As of December 31, 2021, the cash and cash equivalents were reported at €4.6 billion (December 31, 2020: €4.6 billion). The rating agencies Moody’s and S&P currently rate Bertelsmann as “Baa2” and “BBB,” respectively, with a stable outlook. Alternative Performance Measures In this Combined Management Report, the following Alternative Performance Measures, which are not defined in accordance with IFRS, are used to explain the results of operations and/ or net assets and financial position. These should not be considered in isolation but as complementary information for evaluating Bertelsmann’s business situation, and they are differentiated in terms of strictly defined and broadly defined key performance indicators, in the same way as in the value-oriented management system. Organic Revenue Growth The organic growth is calculated by adjusting the reported revenue growth for the impact of exchange rate effects, corporate acquisitions and disposals, as well as other effects. When determining the exchange rate effects, the functional currency that is valid in the respective country is used. The other effects include changes in methods and presentation, for example.

BVA in € millions Operating EBITDA Amortization/depreciation, impairments/reversals of impairment losses on intangible assets, property, plant and equipment, and right-of-use assets not included in special items Operating EBIT Flat taxes (30 percent) NOPAT (Net Operating Profit After Tax) Average invested capital Cost of capital (8 percent) Correction Bertelsmann Investments BVA 2021 3,241 (880) 2,361 (708) 1,653 16,166 1,293 114 474 2020 3,143 (918) 2,225 (667) 1,558 16,131 1,290 87 355 statement, whereby the impact of paid income taxes and the change in provisions for pensions and similar obligations on cash flow from operating activities is offset. Operating free cash flow is also reduced by investments in intangible assets and property, plant and equipment as well as lease payments, and increased by proceeds from the sale of non- current assets. Further adjustments are made to ensure an allocation of capital flows to the relevant periods, and to offset the impact of payment flows resulting from special items on the operating free cash flow in a way that is methodically consistent with operating EBITDA. Operating EBITDA is used to calculate operating EBIT by deducting amortization and depreciation, provided that these are not included in special items. The Group aims to maintain a cash conversion rate of 90 percent to 100 percent as a long-term average. Economic Debt Net financial debt is calculated on the basis of gross financial debt, which comprises the balance sheet items current and non-current financial debt, minus cash and cash equivalents. Economic debt is defined as net financial debt less the 50 percent par value component of the hybrid bonds and investments in a special fund of 2021 that can be converted into cash at short notice (see also section “Minority Stakes and Other Financial Assets” in the Notes), plus provisions for pensions, profit participation capital and lease liabilities. In calculating economic debt, the hybrid bonds are taken into account only at 50 percent, as both bonds are classified by the rating agencies as 50 percent equity. Economic debt is modified for the purposes of calculating the leverage factor. Leverage Factor One of the financial targets is a dynamic leverage factor calculated as the ratio of economic debt to operating EBITDA; this factor should not regularly exceed the defined maximum of 2.5. In determining the leverage factor, the economic debt and the operating EBITDA are modified to enable financial Cash Conversion Rate in € millions Cash flow from operating activities Income taxes paid Change in provisions for pensions and similar obligations Investments in intangible assets and property, plant and equipment (less proceeds from the sale of non-current assets) Lease payments Further adjustments Operating free cash flow Operating EBITDA Amortization/depreciation, impairments/reversals of impairment losses on intangible assets, property, plant and equipment, and right-of-use assets not included in special items Operating EBIT Cash Conversion Rate (in percent) Operating free cash flow/operating EBIT 30 Financial Information Combined Management Report 2021 1,792 807 276 (459) (317) 358 2,457 3,241 (880) 2,361 107 2020 2,994 214 92 (564) (316) 151 2,571 3,143 (918) 2,225 118

Risks and Opportunities Risk Management System The purpose of the Bertelsmann risk management system (RMS) is the early identification and evaluation of, as well as response to, internal and external risks. The internal control system (ICS), an integral component of the RMS, monitors the effectiveness of the risk response measures that have been implemented. The aim of the RMS is to identify, at an early stage, material risks to the Group so that risk response measures can be taken and controls implemented. Risks are possible future developments or events that could result in a negative deviation from the outlook or objectives for Bertelsmann. In addition, risks can negatively affect the achievement of the Group’s strategic, operational, reporting and compliance-related objectives and its reputation. The risk management process is based on the internationally accepted frameworks of the Committee of Sponsoring Organizations of the Treadway Commission (COSO Enter- prise Risk Management – Integrated Framework and Internal Control – Integrated Framework, respectively) and is orga- nized in the subprocesses of identification, assessment, response, control, communication and monitoring. A major element of risk identification is a risk inventory that lists sig- nificant risks year by year, from the profit-center level upward. These risks are aggregated step by step at the division and Group levels. This ensures that risks are registered where their impact would be felt. There is also a Group-wide reassessment of critical risks every six months, and quarterly reporting in case the risk situation has changed. Ad hoc reporting require- ments ensure that significant changes in the risk situation during the course of the year are brought to the attention of the Executive Board. The risks are compared to risk response and control measures to determine the net risk position. Both one- and three-year risk assessment horizons are applied to enable the timely implementation of risk response measures. The basis for determining the main Group risks is the three- year period, similar to medium-term corporate planning. Risk assessment is the product of the estimated negative impact on Group free cash flow should the risk occur, and the estimated probability of occurrence. Risk monitoring is conducted by Group management on an ongoing basis. The RMS, along with its component ICS, is constantly undergoing further development and is integrated into ongoing reporting to the Bertelsmann Executive Board and Supervisory Board. Corporate Risk Management Committee meetings are con- vened at regular intervals to ensure compliance with statutory and internal requirements. The Group auditor inspects the risk early-warning system for its capacity to identify developments early on that could threaten the existence of Bertelsmann SE & Co. KGaA accord- ing to section 91(2) of Germany’s Stock Corporation Act (AktG), and then reports the findings to the Supervisory Board of Bertelsmann SE & Co. KGaA. Corporate Audit conducts ongoing reviews of the adequacy and functional capability of the RMS in all divisions apart from RTL Group and Majorel. The RMS of RTL Group and of Majorel is evaluated by the respective internal auditing department and by the external auditor. Any issues that are identified are promptly remedied through appropriate measures. The Bertelsmann Executive Board defined the scope and focus of the RMS based on the specific circumstances of the company. However, even an appropriately designed and functional RMS cannot guarantee with absolute certainty that risks will be identified and controlled. Accounting-Related Risk Management System and Internal Control System The objectives of the accounting-related RMS and ICS are to ensure that external and internal accounting are proper and reliable in accordance with applicable laws, and that information is made available without delay to the various recipients. Reporting should also present a true and fair view of Bertelsmann’s net assets, financial position and results of operations. The following statements pertain to the Consolidated Financial Statements (including the Notes to the Combined Management Report), interim reporting and internal management reporting. the Consolidated Financial Statements and The ICS for the accounting process consists of the following areas. The Group’s internal rules for accounting and the preparation of financial statements (e.g., IFRS manual, guidelines and circulars) are made available without delay to all employees involved in the accounting process. The Consolidated Financial Statements are prepared in a report- ing system that is uniform throughout the Group. Extensive automatic system controls ensure the consistency of the data in the financial statements. The system is subject to ongoing development through a documented change process. Systematized processes for coordinating intercom- pany transactions serve to prepare the corresponding con- solidation steps. Circumstances that could lead to significant misinformation in the Consolidated Financial Statements are monitored centrally by employees of Bertelsmann SE & Co. KGaA, and then verified by external experts as required. 32 Financial Information Combined Management Report

Strategic and Operational Risks The global economy recovered after the pandemic-driven downturn in the previous year. Real gross domestic product (GDP) rose 5.5 percent, after falling 3.5 percent in 2020. In 2021, global economic development was once again driven largely by the coronavirus pandemic. However, the strong upturn was accompanied in many countries by price increases and supply bottlenecks. Continued economic recovery is subject to a particularly high degree of uncertainty. The future course of the pandemic, ongoing supply bottle- necks and inflation, which has risen sharply, are key factors that could dampen economic activity. The negative effects on the global economy arising from the Russian invasion of Ukraine and the resulting continued increase of the geopolitical tension are not yet foreseeable. Bertelsmann’s business development is also subject to other macroeconomic risks. Brexit has resulted in continued economic challenges for individual businesses. Bertelsmann has been observing and analyzing the exit process since 2016, and will take targeted measures to mitigate risk for the affected businesses. Even though the negative effect of the coronavirus pandemic on Bertelsmann’s businesses in 2021 was less significant than expected, especially as regards the advertising-financed busi- nesses of RTL Group and Gruner + Jahr, there is ongoing uncertainty regarding the impact of new developments in the coronavirus pandemic. In addition, the structural decline in the printing businesses continues. The printing and services businesses in particular are significantly affected by rising staff and material costs. It is largely possible to transfer this upwards pressure on prices, but only with a time delay in some cases. Additional cost measures will be required in individual divisions as part of the offsetting measures. In the short and medium term, negative economic developments, legal and regulatory risks, a changing market environment, supplier and customer risks, reduced audience and market shares, and drops in prices and margins all represent signifi- cant Group risks. How these risks develop depends to a large extent on changes in customer behavior due to factors such as the continued digitalization, the development and imple- mentation of products and services by competitors, bad debt losses, and default and interference along the production chains in individual sectors. Information security and financial market risks represent moderate risks for Bertelsmann. Risks related to employees are classified as low in the three- year period under review. The information security risks integrated into the overview of key Group risks for the first time replace the risks from technological change. The risks from technological change are still classified as low. it may A substantial risk for RTL Group is the dependency of advertising markets on the economic situation. If the coronavirus pandemic continues, lead to an accelerated decline in the advertising market, with direct effects on RTL Group earnings. RTL Group responds to such economic downturns with ongoing monitoring of market development, planning various scenarios and strict cost control. Furthermore, RTL Group aims to secure advertising revenue through the active expansion of addressable TV and to widen its earning base by finding sources of income that are not dependent on advertising. Increasing competition and constant change, particularly in the digital environment, are resulting in a stronger fragmentation of RTL Group’s markets as audiences increasingly use non-linear TV products amid a growing number of streaming services. The possible risks of this for RTL Group are decreasing audience and advertising market shares of its advertising-financed channels with possible negative effects on TV advertising revenues. To counter these risks, RTL Group is continuously revising and developing the channel and program strategies. By establishing leading positions locally in the streaming market, in some cases with strategic partners, RTL Group counters risks stemming from the growing use of non-linear services. Increasing competition in the area of program acquisition and TV production, and the growing dependence on individual production companies, coupled with the risk of potential cost increases, could also impact RTL Group’s ability to generate revenues. This risk is being reduced by expanding the share of in-house productions in the program – in particular of local content. To reduce the risk of customer losses, advertising packages with cooperation partners are offered, as well as pursuing the basic aim of establishing long-term customer relationships. risks The possibility of shifting business models and market conditions constitute significant for Penguin Random House. Due to the changing retail landscape, another risk is declining sales volumes in brick-and-mortar book retail. Penguin Random House is addressing these risks by supporting brick-and-mortar retailing, increasing online sales of physical books and audiobooks, and continuously examining alternative selling and marketing options. Any risks of bad debt loss are being limited through debtor management, and in some cases through credit insurance. In the area of procurement and supply chains, rising costs for raw materials and energy, and operational challenges at commissioned printers also represent risks. These risks are countered through ongoing cost management and by continually prioritizing and securing additional printing capacities. In addition to the risk 34 Financial Information Combined Management Report

Acquisition-Related Risks The Group strategy focuses on acquisitions of businesses as well as organic growth. The risk of potential mistakes when selecting investments and allocating investment funds is limited by means of strict investment criteria and processes. Acquisitions present both opportunities and risks. For example, integration into the Group requires one-time costs that are usually offset by increased benefits in the long term, thanks to synergy effects. The risks here are that the integration costs may be higher than expected or the predicted level of synergies may not materialize. The integration processes are therefore being monitored by management on an ongoing basis. Legal and Regulatory Risks Bertelsmann, with its worldwide operations, is exposed to a variety of legal and regulatory risks concerning, for example, litigation or varying interpretations of tax assessment criteria. Bertelsmann has television and radio operations in several European countries that are subject to regulation. In Germany, for example, the media is subject to oversight by the Commission on Concentration in the Media. Moreover, education activities are subject to regulatory provisions of government authorities and accreditation bodies. Some of the financial services activities are subject to banking supervision regulations. Bertelsmann Group companies occupy leading market positions in many lines of business, and may there- fore have limited potential for growth through acquisition due to antitrust legislation. Other risks include litigation relating to company acquisitions and disposals, as well as increased data protection regulations leading to growing challenges, especially for data-based business models. These risks are being continuously monitored by the relevant divisions within the Group. Several subsidiaries of RTL Group are being sued by the broadcaster RTL 2 Fernsehen GmbH & Co KG and its sales house El Cartel Media GmbH & Co KG before the regional court in Düsseldorf, Germany, seeking disclosure of infor- mation to substantiate a possible claim for damages. The proceedings follow the imposition of a fine in 2007 by the German Federal Cartel Office for abuse of market dominance with regard to discount scheme agreements (share deals) granted by AD Alliance GmbH (former IP Deutschland GmbH) and SevenOne Media GmbH to media agencies. The German Federal Cartel Office argued that these discounts would foreclose small broadcasters from the advertising market. In 2014, the district court of Düsseldorf decided to order an expert report. The expert concluded in February 2018 that the likelihood of damages cannot be proven with certainty. In July 2018, RTL 2 Fernsehen GmbH & Co KG filed a motion claiming that the expert was not impartial, with the aim of getting the court to obtain a new expert opinion. AD Alliance GmbH has rejected the motion of lack of impartiality as unfounded. In May 2019, the court announced it would give the expert the opportunity to comment on the motion of lack of impartiality. Because the expert died in February 2020, an expert opinion was not submitted. The court stated that it would appoint a new expert. It is expected that the process of appointing a new expert and the preparation of the expert opinion will take two to three years. It could ultimately take 15 to 20 years after filing (2008) for a final judgment to be handed down. The court case will continue. Similar proceedings from other small broadcasters, initiated in different courts, were unsuccessful or have been withdrawn. In June 2016, the main competitors of Fun Radio alleged that the radio station influenced in its favor a survey conducted by the Médiamétrie Institute to determine audience market share. It was claimed that a host on the morning show encouraged his listeners to vote for Fun Radio in this survey. In response to these allegations, Médiamétrie decided to remove Fun Radio from its surveys. Following a legal procedure initiated by Fun Radio, Médiamétrie was required to reinstate Fun Radio in the audience results surveys as of September 2016. Nevertheless, Médiamétrie decided to lower Fun Radio’s audience results in its published surveys, alleging the existence of a “halo effect.” Following a procedure initiated by Fun Radio, a judicial expert was appointed in December 2017 to examine Médiamétrie’s assessment of the alleged halo effect. In September 2019, the judicial expert issued his final report, which confirmed the halo effect but assessed that Fun Radio’s results were overcorrected. As of September 2017, Médiamétrie has again published the full audience results for Fun Radio. In parallel to the above procedure, in December 2016, the main com- petitors of Fun Radio also filed a claim for damages, claiming unfair competition, but this procedure was suspended until the expert report was presented, and was restarted in the first quarter of 2020. In the meantime, four of the six claimants withdrew their claim from the proceedings. Negotiations on a settlement with the two remaining claimants failed in late July 2020. For this reason, the court case will continue. On February 22, 2018, the Spanish Competition Authority (CNMC) communicated to Atresmedia the opening of a proceeding for sanctions in relation to possible practices 36 Financial Information Combined Management Report

Information Security Risks The ability to provide information in a timely, complete and confidential way, and to process it without disruptions, is crucial to Bertelsmann’s success, and it continues to grow in importance. Bertelsmann is addressing the operating environment, which is made tougher by cyber threats, at the management level by operating a Group-wide Information Security Management System (ISMS, based on ISO 27001). The ISMS’s goal is the structured management of cyber risks and the monitoring of compliance with minimum Group standards. In order to have access to cutting-edge cyber security technologies and specialist expertise in regular operations and emergencies, Bertelsmann – in addition to providing and further developing its own resources – also uses a network of external partners, and is an active member of the German Cyber Security Organization (Deutsche Cyber- Sicherheitsorganisation: DCSO). Furthermore, Bertelsmann addresses the increased risk with specific measures that directly increase resilience in cyber security – for example, by supporting the activities of Security Operations Centers and authentication technologies. An indicative assessment of information security risks was conducted in the 2021 financial year on the basis of the method used to assess operative Group risks. The results indicate that information security risks are moderate, analogous to the categorization of major Group risks. Financial Market Risks As an international corporation, Bertelsmann is exposed to various forms of financial market risk, especially interest rate and currency risks. These risks are primarily monitored centrally by the Finance Department on the basis of guidelines set up by the Executive Board. Derivative financial instruments are used solely for hedging purposes. Currency derivatives are primarily used to hedge future obligations that are subject to a foreign currency risk. Some firm commitments denominated in foreign currency are partially hedged when they are made, with the hedged amount being adapted over time. A number of subsidiaries are based outside the eurozone. The resulting translation risk to the leverage factor (ratio of economic debt to operating EBITDA) is managed by aligning the leverage factors for the main currencies USD and GBP in the long term with the maximum permitted for the Group. Foreign currency translation risks arising from net investments in foreign entities are not hedged. The cash flow risk from interest rate changes is centrally monitored and controlled as part of interest rate management. The aim is to achieve a balanced ratio of different fixed-interest rates through the selection of appropriate maturity periods for the originated financial assets and liabilities affecting liquidity, and through the ongoing use of interest rate derivatives. The liquidity risk is regularly monitored on the basis of the budget planning. The syndicated loan and appropriate liquidity provisions form a sufficient risk buffer for unplanned payments. Counterparty risks exist in the Group in respect to invested cash and cash equivalents, as well as in case a counterparty to derivative transactions defaults. Transactions involving money market securities and other financial instruments are exclusively conducted with a defined group of banks with high credit ratings. Within the guidelines, a risk limit specified by the Executive Board has been issued for financial assets and derivatives for each counterparty. Compliance with this limit is regularly monitored by the Finance Department. The guidelines concerning the investment of cash and cash equivalents are continuously monitored and extended if necessary. Financial investments are made on a short-term basis, so that the investment volume can be reduced if the credit rating changes. Financial market risks remain at a moderate level. The setup of a strategic and anticipatory liquidity reserve in the wake of the coronavirus pandemic creates increased interest rate risks related to investing the liquidity. General Statement on the Risk Situation The risks identified in the 2021 financial year are not endangering. Neither are there any substantial discernible risks that could threaten the existence of the Group. The overall risk situation is slightly above the previous year’s level. Due to continuing uncertainty regarding the impact of further developments in the pandemic and of increased inflation, risks arising from economic development continue to represent the main challenge. Legal and regulatory risks, risks arising from a changing market environment, supplier and customer risks, the possible loss of audience and market share at RTL Group, and pricing and margin risks constitute other key challenges. However, as a result of the diversification of Group businesses, there are no concentration risks stemming from dependency on individual business partners or products in either procurement or sales. The Group’s financial position is solid, with liquidity needs covered by existing liquidity and available credit facilities. Opportunity Management System An efficient opportunity management system enables Bertelsmann to secure its corporate success in the long term, 38 Financial Information Combined Management Report

The growing skills shortage in the fields of healthcare, technology and education also offers opportunities for organic growth for Bertelsmann Education Group. For example, Relias in the United States has the potential to grow more rapidly than expected through additional offerings for hospitals in the area of recruiting and workforce management. For Bertelsmann Investments fund activities, there is the opportunity to realize higher-than-expected profits thanks to increasing portfolio valuations or through the disposal of investments. The current innovation efforts detailed in the section “Innovations” offer further potential opportunities for the individual divisions. Other opportunities could arise from changes to the legal and regulatory environment. The financial opportunities are largely based on a favorable development of from Bertelsmann’s point of view. interest and exchange rates Outlook Anticipated Overall Economic Development United Kingdom, GDP is expected to rise by 4.5 percent in real terms in 2022. Positive growth rates are also expected once again in the United States. The forecast for 2022 is real economic growth of 4.4 percent. The current geopolitical tensions in Eastern Europe could slow down the global economic recovery and negatively affect the business performance of Bertelsmann. Anticipated Development in Relevant Markets The worldwide media industry is primarily influenced by global economic developments and the resulting growth dynamic. The continued trend toward digitalization of content and distribution channels, changes in media usage and the increasing influence of emerging economies will continue to present risks and opportunities in the years to come. With its strategic focus, Bertelsmann expects to benefit to an increasing extent from the resulting opportunities. Through its businesses, Bertelsmann operates in a variety of different markets and regions whose developments are subject to a range of factors and that do not respond in a linear fashion to overall economic tendencies. The following takes into account only those markets and regions that are large enough to be relevant for forecasting purposes and whose expected development can be appropriately aggregated and evaluated, or that are strategically important from a Group perspective. Bertelsmann anticipates that economic conditions will develop as follows in 2022. The coronavirus pandemic and supply chain bottlenecks will determine the development of the global economy over the forecast period. Despite the momentum of the global economic upturn, there are still significant risks in 2022. A slower-than-expected rise in vaccination rates and the spread of virus mutations could lead to further outbreaks around the world. Any containment measures introduced by countries in response would slow growth. In its outlook from December 2021, the Institute for the World Economy (IfW) in Kiel estimates that global production will increase by 4.5 percent in 2022, compared to a rise of 5.9 percent in 2021. The above stated eco- nomic expectations for the year 2022 are based on a stable geopolitical environment. In 2022, the TV advertising markets in Germany and France are expected to be stable, while significant growth is expected in Hungary and a slight decline in the Netherlands. The streaming markets in Germany and the Netherlands are expected to continue growing strongly. The book markets are expected to remain stable overall. In the relevant music market, the publishing market segment is expected to grow strongly, while significant growth is projected for the recordings market segment. The services markets are predicted to show significant growth in 2022. The European printing markets are expected to record a moderate (offset) to strong (gravure) decline, while the book printing market in North America is expected to remain stable. Overall, sustained moderate to strong growth is anticipated for the relevant US education markets. The economic recovery in the eurozone is expected to progress further. The IfW estimates real economic growth of 3.5 percent in 2022. The IfW expects Germany’s GDP to grow by 4.0 percent in real terms. The growth rate in France is expected to be 2.9 percent in real terms. For the Expected Business Development The following assessments are subject to a particularly high degree of uncertainty. It is not possible to predict the direction of the pandemic and of the geopolitical tensions in Eastern 40 Financial Information Combined Management Report

Income Statement of Bertelsmann SE & Co. KGaA in accordance with HGB in € millions Revenues Other operating income Cost of materials Personnel costs Amortization, depreciation and write-downs Other operating expenses Income from other participations Interest income Write-downs of long-term financial assets Taxes on income Earnings after taxes Other taxes Net income Income brought forward Transfer to other retained earnings Net retained profits 2021 100 227 (20) (147) (21) (274) 557 (66) – 2 358 (2) 356 718 (130) 944 2020 109 398 (29) (147) (20) (258) 731 (70) (65) (212) 437 (2) 435 663 (200) 898 International Financial Reporting Standards (IFRS), but in accordance with the regulations of the German Commercial Code (HGB) and the supplementary regulations of the German Stock Corporation Act (AktG). Results of Operations of Bertelsmann SE & Co. KGaA The results of operations of Bertelsmann SE & Co. KGaA are significantly affected by the amount of income from other participations, due to Bertelsmann SE & Co. KGaA’s role as the parent company of the Bertelsmann Group. The decrease in net income to €356 million (previous year: €435 million) is primarily attributable to the drop in other operating income and in income from participations. In contrast to this, the reduction in taxes on income had a positive impact on the development in net income. The decrease in other operating income is attributable to the proceeds from the disposal of a plot of land and a building in the previous year as well as the reduction in foreign currency gains. This development was partly offset by the rise in reversals of write-downs of shares in affiliated companies and by the reversals of loss allowances on receivables. The €60 million in reversals in the reporting year relates to shares in RM Hamburg Holding GmbH, Hamburg (formerly: Gruner + Jahr GmbH, Hamburg) and results from the agreed sale of significant parts of the business and of the shares held in subsidiaries to RTL Deutschland. The increase of €16 million in other operating expenses is largely attributable to an increase in currency losses and expenses arising from guarantee agreements. This was offset by the reduction of loss allowances on receivables. Income from other participations is primarily affected by the amount of income from a profit and loss transfer agreement with Bertelsmann Capital Holding GmbH, Gütersloh. As a result of the collection of dividends, the amount of income coming from the profit and loss transfer agreement with this company rose by €406 million. The decrease in income coming from the profit and loss transfer agreements of other subsidiaries exceeds this increase, with the result that investments were €174 million lower than in the previous year. The income from investments was lower in the 2021 financial year as a result of a restructuring subsidy paid to a subsidiary. In the previous year, the income coming from the profit and loss transfer agreements of other subsidiaries was influenced by positive effects from a corporate transaction and sales of buildings. income from Taxes on income decreased in the financial year 2021 as a result of the tax group’s lower taxable income. 42 Financial Information Combined Management Report

Outlook for Bertelsmann SE & Co. KGaA Company Principles and Guidelines As the parent company of the Bertelsmann Group, Bertelsmann SE & Co. KGaA receives from its subsidiaries dividend distributions and income or expenses from profit and loss transfer agreements, as well as income from services provided to its subsidiaries. Consequently, the performance of Bertelsmann SE & Co. KGaA is primarily determined by the business performance of the Bertelsmann Group (see the section “Outlook”). Bertelsmann SE & Co. KGaA expects its results for the financial year 2022 to allow a dividend payment at the same level as the dividend for the reporting period. Dependent Company Report (Statement in accordance with Section 312 of the German Stock Corporation Act (AktG)) The Executive Board of Bertelsmann Management SE, as gen- eral partner of Bertelsmann SE & Co. KGaA, has submitted a voluntary report to the Supervisory Board of Bertelsmann SE & Co. KGaA in accordance with sections 278 (3) and 312 (1) of the German Stock Corporation Act, in which it outlines its rela- tionships with affiliated companies for the financial year 2021. The Executive Board hereby declares that Bertelsmann SE & Co. KGaA received adequate consideration in return for each and every legal transaction under the circumstances known at the time the transactions were undertaken. The prerequisites for a corporate culture in which employees, management and shareholders work together success- fully, respectfully and in a spirit of trust are common goals and shared values. These are set forth in the corporate constitution as well as in the Bertelsmann Essentials “Creativity & Entrepreneurship.” Furthermore, the Bertelsmann Code of Conduct – as a binding guideline – defines minimum standards for ethical and lawful conduct within the company and toward business partners and the public. The Bertelsmann Supplier Code of Conduct sets out the mandatory minimum requirements for business partners in their relationship with Bertelsmann. Bertelsmann’s actions are also determined by external guide- lines. The company uses as guidance the recommendations of the German Corporate Governance Code for good and responsible corporate governance and largely follows the OECD Guidelines for Multinational Enterprises. Bertelsmann is committed to the principles of the Universal Declaration of Human Rights, the United Nations Guiding Principles on Business and Human Rights, and the International Labor Organization core labor standards. As a participant in the United Nations Global Compact, Bertelsmann supports the UN’s Agenda 2030 for sustainable development. Combined Non-Financial Statement The following information relates to Bertelsmann SE & Co. KGaA and the Bertelsmann Group (“Bertelsmann”) with its incorpo- rated, fully consolidated subsidiaries (“subsidiaries”) in accor- dance with sections 315b and 315c of the HGB, in conjunction with sections 289b to 289e of the HGB. Bertelsmann operates in the core business fields of media, services and education in around 50 countries (see the section “Corporate Profile”). These are set forth in the corporate constitution as well as in the Bertelsmann Essentials “Creativity & Entrepreneurship.” In its corporate responsibility management, Bertelsmann pursues the goal of reconciling commercial interests with social and environmental concerns, within the Group and beyond. When preparing its combined non-financial statement, Bertelsmann follows the Standards (2016) of the Global Reporting Initiative (102 and 103). In addition, voluntary reporting based on the GRI Standards (2016, 2018; in accordance: Core option) is published in the middle of the financial year. Corporate Responsibility Management Organization The advisory body for the management and strategic development of corporate responsibility (CR) at Bertelsmann is the CR Council. The CR Council consists of executives from the corporate divisions and the Chief Human Resources Officer of Bertelsmann, who chairs the advisory body. The CR Council focuses on the further development of group-wide CR priorities in line with the corporate strategy, anchoring corporate respon- sibility more strongly in the corporate divisions and the cross- divisional coordination of CR activities within the Group. At the Group level, the Corporate Responsibility department coordinates and supports the work of the CR Council in close cooperation with other Group functions. Within the Bertelsmann corporate structure, the local management teams are responsible for implementing corporate responsibility through specific measures. The corporate divisions and companies have their own structures and processes in place for this, in accordance with local requirements. 44 Financial Information Combined Management Report

element for fair working conditions. Employees are involved in the development and improvement of working conditions through standardized HR interview tools (performance and development dialogue, agreements on objectives, team talk), as well as international employee surveys. Although Bertelsmann, as a media company, is free to determine its political direction as defined in the German “Works Constitutions Act” (Tendenzschutz) and therefore is not subject to statutory co-determination in the Supervisory Board, the company nevertheless makes four positions on the Supervisory Board of Bertelsmann SE & Co. KGaA available to employees on a voluntary basis. Three of these are leading works council members of German Group companies. Since June 1, 2021, Núria Cabutí, CEO of Penguin Random House Grupo Editorial, has been a member of the Supervisory Board in her capacity as Chair of the international Bertelsmann Management Representative Committee. In addition, managers, general workforce, employees with disabilities and trainees all have platforms for exchanging ideas, advancing topics and voicing their concerns. The Bertelsmann Group Dialogue Conference is an event where the CEO, CHRO and members of the Corporate Works Council from the Group divisions in Germany can exchange ideas. Other elements of the topic “Fair Working Conditions” – such as respecting human rights, including antidiscrimination; diversity, equity & inclusion; health & well-being (including protecting the health of employees in the continuing coronavirus pandemic); and learning – are discussed elsewhere in this non-financial statement. In 2021, the company defined strategic objectives relating to fair working conditions, and developed measures from those, as part of the Bertelsmann CR Program (2021–2023). These include the further development of a Group-wide management approach to fair working conditions and respecting human rights, the continuous advancement of knowledge on these topics and the further development of processes for identifying risks concerning human rights issues. the most important measures were Among the communication of the revised Bertelsmann Code of Conduct and the international employee survey, which was conducted according to schedule. Driven by the coronavirus crisis, flexible working models acquired greater importance. As a result, Bertelsmann developed and communicated a Group- wide stance on new work, and put in place a cross-divisional exchange format. Diversity, Equity & Inclusion (DEI) Diversity and differences in the workforce are prerequisites for creativity, innovation and Bertelsmann’s long-term business success. This conviction is conveyed in the Bertelsmann Essentials and in the new DEI policy. In that policy, the Bertelsmann Executive Board emphasizes its aim of further increasing diversity of staff at all levels and in every respect, and of creating general conditions that foster a sense of appreciation, belonging and inclusion among employees. The DEI strategy and the working program developed within the Bertelsmann CR Program (2021–2023) are implemented by the Corporate Responsibility department with support from a Group-wide working group and from other working groups in the corporate divisions. The focus in 2021 was on the following dimensions: gender, disabilities, and sexual orienta- tion and identity. Some divisions also set their own additional priorities. On December 31, 2021, the genders were almost evenly distributed across the entire staff (54 percent women, previous year: 54 percent; 46 percent men, previous year: 46 percent). The Group Management Committee was com- prised of 18 members (previous year: 18), of which five were women (previous year: six). Two additional female execu- tives will be appointed to the Group Management Committee effective March 1, 2022. Bertelsmann had also set itself the target of raising the ratio of women in top and senior manage- ment across all corporate divisions to one-third by the end of 2021. While the proportion of female executives in senior management was unchanged from the previous year, Bertelsmann did further increase the ratio in top manage- ment. That figure is now 30 percent in both target groups (see table below). Furthermore, the targeted proportion of women in the talent pools was set at one-third for the top and senior management pool and 50 percent for the career development pool. These target figures were met in all three pool cohorts in 2021. The Supervisory Board and the Executive Board are notified annually of progress in regard to these targets. In 2021, the company defined strategic objectives relating to DEI as part of the Bertelsmann CR Program (2021–2023). These include the greater involvement of the Executive Board and top management into DEI engagement, the strategic further development of Diversity Management into Diversity, Equity & Inclusion Management, the professionalization of the governance structures for DEI in the corporate divisions, and awareness raising and competence development in relation to DEI. 46 Financial Information Combined Management Report

The Chief Learning Officer is responsible for the Group’s learning strategy, which is implemented by Bertelsmann University and in Germany by the Bertelsmann vocational college. The HR Committee regularly discusses and agrees on aspects of this learning strategy, and supports its implementa- tion in the corporate divisions. These aspects complement the central focus areas for learning with individual training initia- tives. Employees around the world are thereby given access to central and division-specific training courses, and to more than 15,000 freely accessible online courses by LinkedIn Learning and almost 2,000 online courses by CreativeLive. In 2021, the company defined strategic objectives relating to this topic as part of the Bertelsmann CR Program (2021–2023). These include developing a re- and upskilling approach, empowering and networking managers to facilitate the future-oriented design of the Bertelsmann transformation, expanding the offerings on business-critical competencies for all employees (e.g., tech & data) and promoting a learning culture. With regard to measures, a target-actual analysis of tech & data roles was carried out in 2021 to identify qualification gaps. In addition, the company launched the digital pro- gram series “Be-Ready” for top executives with a focus on “Strategy in the Transformation.” The three-year Udacity technology scholarship program was continued for the third year, providing 50,000 scholarships for which both Bertelsmann employees and external candidates are eligible to apply. A new tech & data offering was also added to the Group-wide digital peer-to-peer learning format “Your Campus.” Social Matters Creative/Editorial Independence & Freedom of Expression Free and critical thinking as well as exchange of varying opinions are prerequisites for creativity. Bertelsmann stands for editorial and journalistic independence in its content businesses, as well as for freedom of the press and artistic license. The company publishes a wide variety of opinions and positions. These basic principles for business activities are therefore also set forth in the Bertelsmann Code of Conduct. Bertelsmann aims to ensure this creative/editorial indepen- dence in two directions. Inside the company, it means that our management does not attempt to influence the decisions of artists, authors, editors and program managers, or to restrict their freedom. To the outside, this means that both content managers and company managers comply with existing laws regarding the separation of editorial content and commercial advertising and do not capitulate to political or economic influence In accordance with the Bertelsmann “Editor-in-Chief Principle,” editorial decisions are the sole responsibility of the content managers. in their coverage. In order to share ideas and best practices, a regular exchange also takes place in a cross-divisional working group between the representatives of the Bertelsmann corporate divisions that produce content. include guaranteeing the safety of In 2021, the company defined strategic objectives relating to this topic as part of the Bertelsmann CR Program (2021–2023). These journalists, continuously developing high-quality news reporting output and creating an environment that supports creative/editorial independence and that reflects a diversity of perspectives and differences of people and their opinions, ideas and stories. Measures derived from this and already implemented in 2021 include a “Violence against Journalists” checklist, which was developed by RTL Deutschland. The list is intended to help to minimize the risk of violence in the run-up to and during filming, and to find the right contact person. Under the title “JAhr zur Wahrheit. Weil’s stimmen muss” (roughly: “Y[ear of Y]es to truth. Because it has to be true”), the companies in the Bertelsmann Content Alliance are advocating journalistic integrity, quality and responsibility, and campaigning against conspiracy theories and the manipulation of minds, with a cross-divisional marketing campaign on the radio, on TV and in print. In addition, a variety of organizational measures were continued to safeguard editorial and artistic independence in the editorial and creative departments. Here the focus is primarily on complying with the “Editor-in-Chief Principle,” such as duties of care and respect for privacy, and dealing with the representation of violence and the protection of minors. Content Responsibility Content responsibility at Bertelsmann means reflecting on the repercussions of content production and distribution, to protect the rights and interests of media users, customers and third parties as far as possible. Overriding principles and guidelines of media ethics are set by national and inter- national laws governing the press, broadcasting and multi- media. These are underpinned by voluntary commitments to external guidelines, such as the ethics codes of national press 48 Financial Information Combined Management Report

Bertelsmann does not tolerate discrimination because of any characteristic specified under applicable antidiscrimination law or company policy. Infringements of these principles can be reported by Bertelsmann employees and third parties by using the existing compliance management systems. With regard to measures, Code of Conduct training sessions were also held in 2021 to raise awareness and deepen the general understanding of the issue of human rights among employees. In this context, measures to sensitize employees to the issue of antidiscrimination were also taken across the Group, and employees were advised of their rights. Contact persons for the German “General Equal Treatment Act” (AGG) have also been appointed at locations in Germany and employees informed of their rights through various channels. In addition, in 2021 individual subsidiaries and Bertelsmann itself issued statements in accordance with the “UK Modern Slavery Act” condemning all forms of modern slavery, coercive and child labor, and exploitation and discrimination, and pre- senting measures to prevent these human rights violations. The company also initiated the revision of the Supplier Code of Conduct to fulfil human-rights due diligence obligations in supply chains. The findings of the Bertelsmann Compliance Risk Analysis of 2021 show that the risks of human rights violations and discrimination are minimized to the greatest extent possible in view of the measures that have been taken. business relations, the Anti-Corruption and Integrity Executive Board Guideline prescribes appropriate due diligence processes in dealing with third parties. A due diligence review is carried out for each individual risk profile through a corresponding risk classification. The general business partner risk and the supply chain risk are assessed annually as part of the Bertelsmann Compliance Risk Analysis. The Anti- Corruption and Integrity Executive Board Guideline also describes the channels for reporting suspected violations and seeking advice, as well as other prevention and control measures. The Executive Board guideline for dealing with alleged compliance violations anchors an obligation to report suspected violations of the prohibition of corruption to the Bertelsmann Corporate Center. The most important measures in 2021 included publishing a new Code of Conduct as well as designing a new Code of Conduct training program that will be rolled out in 2022. Furthermore, training on the topic of “Anti-Corruption & Integrity” was provided to relevant employees across the Group and the corruption risk outlined in the annual compliance report to the Executive Board. The findings of the Bertelsmann Compliance Risk Analysis of 2021 show that the measures taken minimize the risk of corruption to the greatest extent possible. Environmental Matters Anti-Corruption and Bribery Matters Bertelsmann actively combats corruption. As a participant in the United Nations Global Compact, the company is committed to taking a stance against all types of corruption, among other things. A key priority of the Bertelsmann Executive Board is to effectively counteract corruption within the organization. The goal is to reduce the risk of corruption to the greatest possible extent. The I&C department, reporting to the CCC (see the section on “Respect for Human Rights”), continuously develops the Group’s corruption prevention measures internationally. Both the Bertelsmann Code of Conduct and the Executive Board Guideline on anti-corruption and integrity expressly prohibit all forms of corruption and bribery. This prohibition also applies to all third parties that work for, with or on behalf of Bertelsmann, as stipulated in the Supplier Code of Conduct. Along with instructions for dealing with officials, and guide- lines for the granting or accepting of gifts in the context of Bertelsmann aspires to become climate-neutral by 2030. The Group aims to significantly reduce greenhouse gas emissions generated at its own sites due to business travel by its employees and in the manufacture of its products by 2030, and to offset all remaining emissions. The Group-wide target of cutting recorded greenhouse gas emissions by 50 percent compared to 2018 was validated in 2021 by the Science Based Targets initiative (SBTi). According to SBTi, the targeted reduction is in line with the Paris Climate Agreement’s 1.5°C target. In 2021, on the basis of the “Bertelsmann Climate Neutral 2030” climate strategy, individual targets were established for media and services divisions and for the education division, and relevant measures identified. The achievement of these division-specific targets is discussed as part of annual strategy meetings between Executive Board members and divisional heads. Group-wide guidelines constitute the framework for environmental and climate protection as well as energy and paper procurement. The “be green” working group with representatives from the corporate divisions again provided a platform for cross-divisional exchange on environmental 50 Financial Information Combined Management Report

(including maintenance expenses OpEx: For the financial year 2021, as with CapEx reporting, the company lists only operating repair and maintenance expenditures for Taxonomy-eligible software) and expenditures arising from short-term leases that were incurred at subsidiaries with Taxonomy-eligible expenditures. Other expenses regarding the day-to-day operation of property, plant and equipment are not included in the operating expenses. The Taxonomy-eligible operating expenses totaled €25 million in the 2021 financial year (10 percent of Group-wide repair and maintenance costs, and expenditures arising from short- term leases). Regarding the “Climate Change Adaptation” environmental objective, the following economic activities are classified as relevant for Bertelsmann according to the EU Taxonomy: “Broadcasting activities, in particular radio and television broadcasting”; “Education”; “Production, distribution and sale of films and television programs”; and “Music publishing.” These economic activities relate to the corporate divisions RTL Group, BMG and Bertelsmann Education Group. The extent to which they can make a substantial contribution to climate change adaptation is currently still interpreted differently by users. The company therefore chose not to report these economic activities in terms of the EU Taxonomy in the financial year 2021. Bertelsmann will observe the further specification of the EU Taxonomy requirements on an ongoing basis. in the consolidated financial statements Revenues: The basis for the revenues are the reported revenues in accordance with IFRS 15. The total Taxonomy-eligible revenues in the 2021 financial year were €135 million (0.7 percent of Group revenues), thereof €125 million for “Data processing, hosting and related activities” and €10 million for “Data-driven solutions for greenhouse gas emissions reductions.” CapEx: Investments comprise the additions to intangible assets, property, plant and equipment, and right-of-use assets. Bertelsmann invests in modernizing and improving energy efficiency at its sites. In this context, investments were made, e.g., in photovoltaic systems and in electric vehicle charging stations. For the financial year 2021, Bertelsmann reports material individual investments that were made by subsidiaries with Taxonomy-eligible investment activities. Like turnover, investments in music, film and broadcasting rights in the amount of €308 million are not classified as Taxonomy- eligible. Furthermore, purchase of assets through business combinations are not reported because the acquired assets primarily consist of brand names and customer relationships, which cannot be classified as sustainable under the EU Taxonomy. In the financial year 2021, total Taxonomy-eligible investments of €58 million (7.3 percent of Group investments in intangible assets without goodwill and property, plant and equipment) largely involved investments in buildings (€27 million) and data centers (€14 million). Investments in building usage rights amounted to €185 million. 52 Financial Information Combined Management Report

Consolidated Statement of Comprehensive Income in € millions Group profit or loss Items that will not be reclassified subsequently to profit or loss Remeasurement component of defined benefit plans Changes in fair value of equity instruments Share of other comprehensive income of investments accounted for using the equity method Items that will be reclassified subsequently to profit or loss when specific conditions are met Exchange differences – changes recognized in other comprehensive income – reclassification adjustments to profit or loss Cash flow hedges – changes in fair value recognized in other comprehensive income – reclassification adjustments to profit or loss Share of other comprehensive income of investments accounted for using the equity method Other comprehensive income net of tax Group total comprehensive income attributable to: Bertelsmann shareholders Non-controlling interests Notes 17 2021 2,310 253 8 – 358 20 (52) 62 (17) 632 2,942 2,406 536 2020 1,459 (98) 1 – (339) (7) (13) (2) (3) (461) 998 715 283 54 Financial Information Consolidated Financial Statements

Consolidated Cash Flow Statement in € millions EBIT (earnings before interest and taxes) Taxes paid Depreciation and write-ups of non-current assets Results from disposals of investments Gains/losses from disposals of non-current assets Change in provisions for pensions and similar obligations Change in other provisions Change in net working capital Fair value measurement of investments Other effects Cash flow from operating activities Investments in: – intangible assets – property, plant and equipment – financial assets – purchase prices for consolidated investments (net of acquired cash) Disposals of subsidiaries and other business units Disposals of other fixed assets Cash flow from investing activities Issues of bonds and promissory notes Redemption of bonds and promissory notes Redemption of other financial debt Proceeds from other financial debt Redemption of lease liabilities Interest paid Interest received Dividends to Bertelsmann shareholders Dividends to non-controlling interests and payments to partners in partnerships (IAS 32.18(b)) Change in equity Other effects Cash flow from financing activities Change in cash and cash equivalents Exchange rate effects and other changes in cash and cash equivalents Cash and cash equivalents as of 1/1 Cash and cash equivalents as of 12/31 Less cash and cash equivalents included within assets held for sale Cash and cash equivalents as of 12/31 (according to the consolidated balance sheet) Changes in Net Liabilities Arising from Financing Activities in € millions Net liabilities arising from financing activities as of 1/1 Cash flow from operating activities Cash flow from investing activities Interest, dividends and changes in equity, additional payments (IAS 32.18(b)) Exchange rate effects and other changes in net liabilities arising from financing activities Net liabilities arising from financing activities as of 12/31 2021 3,324 (807) 914 (786) (10) (276) (2) (68) (483) (14) 1,792 (482) (327) (890) (255) 851 836 (267) – (1,026) (171) 183 (279) (249) 28 (180) (230) 304 (47) (1,667) (142) 168 4,643 4,669 (24) 4,645 2021 (3,410) 1,792 (267) (327) (103) (2,315) 2020 2,276 (214) 1,128 (410) (234) (92) 94 486 (59) 19 2,994 (313) (350) (216) (41) 337 320 (263) 1,785 (100) (689) 573 (276) (298) 43 – (10) (736) 38 330 3,061 (61) 1,643 4,643 (72) 4,571 2020 (4,756) 2,994 (263) (1,001) (384) (3,410) Net liabilities arising from financing activities are the balance of the balance sheet positions “Cash and cash equivalents,” “Financial debt” and “Lease liabilities.” 56 Financial Information Consolidated Financial Statements

Notes Segment Information RTL Group Random House Gruner + Jahr BMG Arvato Penguin in € millions 2021 2020 2021 2020 2021 2020 Revenues from external customers 6,533 5,939 4,029 3,801 1,032 1,102 104 78 1 1 19 33 6,637 6,017 4,030 3,802 1,051 1,135 1,361 1,097 755 691 134 127 2021 661 2 663 144 2020 2021 2020 599 4,960 4,315 3 75 67 602 5,035 4,382 137 825 662 Intersegment revenues Divisional revenues Operating EBITDA EBITDA margin1) Impairment (–)/reversals (+) on intangible assets, property, plant and equipment and right-of-use assets Results from investments accounted for using the equity method Impairment (–)/reversals (+) on investments accounted for using the equity method Invested capital 20.5% 18.2% 18.7% 18.2% 12.7% 11.2% 21.7% 22.7% 16.4% 15.1% (1) 27 2 (16) 32 (62) (5) 7 – – 2 – – 14 – (77) 4 – – – – (1) (19) (12) – – 9 – 11 – 6,851 6,547 2,605 2,326 341 474 1,969 1,801 1,910 1,785 Further details on segment reporting are presented in note 27 “Segment Reporting.” 1) Operating EBITDA as a percentage of revenues. 2) The business development of Bertelsmann Investments is presented primarily on the basis of EBIT. EBIT amounted to €316 million (previous year: €1 million). Reconciliation to Operating EBITDA in € millions EBIT (earnings before interest and taxes) Less special items Impairment on goodwill and other intangible assets with indefinite useful life as well as gains from business combinations Adjustment to carrying amounts on assets held for sale Impairment (-)/reversals (+) on other financial assets at amortized cost Impairment (-)/reversals (+) on investments accounted for using the equity method Results from disposals of investments Fair value measurement of investments Restructuring and other special items Less amortization/depreciation, impairment and reversals on intangible assets, property, plant and equipment and right-of-use assets Less adjustments on amortization/depreciation, impairment and reversals on intangible assets, property, plant and equipment and right-of-use assets included in special items Operating EBITDA 2021 3,324 – (6) (1) 2 786 483 (301) (909) 29 3,241 2020 2,276 (116) – (26) (62) 410 59 (214) (1,040) 122 3,143 58 Financial Information Consolidated Financial Statements

General Principles The Bertelsmann SE & Co. KGaA Consolidated Financial Statements as of December 31, 2021, were prepared in accordance with International Financial Reporting Standards (IFRS) of the International Accounting Standards Board (IASB) and the related interpretations (IFRIC) of the IFRS Interpretations Committee (IFRS IC) that are applicable in the European Union (EU-IFRS). The supplementary requirements set out in section 315e of the German Commercial Code (HGB) were also met. The Consolidated Financial Statements are prepared in euros. Unless otherwise stated, all amounts are given in millions of euros (€ million). For the sake of clarity, certain items in the consolidated income statement, the consolidated statement of comprehensive income, the consolidated balance sheet and the consolidated cash flow statement are combined. These items are disclosed and explained in greater detail in the notes. Bertelsmann SE & Co. KGaA is a partnership limited by shares with its registered office in Gütersloh, Germany. It is entered in the commercial register of the Gütersloh Local Court (Amtsgericht) under HRB 9194. The address of the company’s registered headquarters is Carl-Bertelsmann-Strasse 270, 33311 Gütersloh. Bertelsmann operates in the core business fields of media, services and education in around 50 countries worldwide. The geographic core markets are Western Europe – in particular, Germany, France and the United Kingdom – and the United States. In addition, Bertelsmann is strengthening its involvement in growth markets such as Brazil, India and China. As of December 31, 2021, the Bertelsmann divisions are RTL Group (entertainment), Penguin Random House (books), Gruner + Jahr (magazines), BMG (music), Arvato (services), Bertelsmann Printing Group (printing), Bertelsmann Education Group (education) and Bertelsmann Investments (funds). Further information on the main activities of Bertelsmann SE & Co. KGaA and its subsidiaries is presented in detail in the Combined Management Report. Impact of New Financial Reporting Standards The initial application of new financial reporting standards and interpretations had no material impact on the Bertelsmann Group. Impact of Issued Financial Reporting Standards That Are Not Yet Effective The Bertelsmann Group has not opted for early adoption of any addi- tional standards, interpretations, or amendments that have been issued by the IASB or the IFRS IC but are not yet mandatory. The expected impact from the issued financial reporting requirements that are not yet effective is not material to the Bertelsmann Group. The reform of the reference interest rates (so-called IBOR reform) is not expected to have any material impact on the Effects of the Coronavirus Pandemic on the Consolidated Financial Statements financial position and financial performance. Bertelsmann is particularly affected with regard to the hedging of interest rate and currency risks insofar as derivative financial instruments reference certain reference interest rates (for example EURI- BOR, USD-LIBOR). Bertelsmann will continuously monitor further developments in the context of the IBOR reform and initiate any necessary measures at an early stage. The operating and accounting effects resulting from the coronavirus pandemic on the Consolidated Financial Statements of Bertelsmann SE & Co. KGaA no longer show a strong impact in the media, services, education and invest- ments divisions. As developments in the financial year 2021 show, the broad positioning of the Bertelsmann Group continues to contribute to positive business development. The revenue and profit level are above the pre-corona virus level in 2019 and significantly above the prior-year period. 60 Financial Information Consolidated Financial Statements

Consolidation Principles of Consolidation The Bertelsmann Consolidated Financial Statements include the financial statements of the parent company and its sub- sidiaries, joint ventures and associates. In addition, a special fund is included in the consolidated financial statements as a structured entity. Subsidiaries are companies controlled by Bertelsmann SE & Co. KGaA in accordance with IFRS 10. Consolidation begins on the date on which the ability to exercise control exists, and ends when Bertelsmann loses the ability to exercise control. Profit or loss and each component of total comprehensive income are attributed to the shareholders of the parent company and the non-controlling interests, even if this results in the non-con- trolling interests having a deficit balance. In accordance with IFRS 3, business combinations are accounted for using the acquisition method. Non-controlling interests are measured at the proportionate fair value of the assets and liabilities. If the consideration transferred for the business combination or the fair values attributable to the identifiable assets and liabilities of the company acquired can only be identified preliminarily on the date of initial accounting, the business combination is accounted for using these preliminary values. Initial accounting is completed in accordance with IFRS 3.45, taking into account the maximum one-year measurement period. Comparative information for reporting periods prior to the completion of initial accounting is presented as if it had already been completed on the acquisition date. Changes in the parent’s ownership interest in a subsidiary that do not lead to a loss of control are accounted for as equity transactions. After the loss of control of a subsidi- ary, it is deconsolidated in accordance with the requirements of IFRS 10.25 in conjunction with IFRS 10.B98 f. Any investment retained in the former subsidiary, as well as any amounts owed by or to the former subsidiary, are accounted for in accordance with the applicable IFRSs from the date when control is lost. Joint ventures in accordance with IFRS 11 and associates are included in the Consolidated Financial Statements using the equity method in accordance with IAS 28. Associates are companies over which Bertelsmann exercises a significant influence. This is generally the case for voting rights between 20 percent and 50 percent. Smaller shareholdings are accounted for using the equity method if there is a significant influence in accordance with IAS 28.6. When changing the accounting treatment of investments to the equity method, IFRS 3 is applied correspondingly so that the fair value of the previously held interest is used in determining the cost of the investment accounted for using the equity method on the tran- sition date. The difference between the fair value and the carry- ing amount of the previously held interest is recognized in profit or loss. The portfolio of investments held by the Bertelsmann Investments division includes, among others, investments in associates recognized at fair value through profit or loss in accordance with IAS 28.18 in conjunction with IFRS 9. When applying the equity method to an associate or a joint venture that is an investment entity, Bertelsmann, which is a non- investment entity, generally retains as investor the fair value measurement applied by the associate or joint venture to its interests in subsidiaries. At the initiative of Bertelsmann SE & Co. KGaA, a special fund was launched in the reporting period in order to diversify the capital investment strategy. This fund is a structured entity in accordance with IFRS 10. The fund’s activity is governed by the agreed investment requirements. The results generated by the fund are in general attributable to Bertelsmann SE & Co. KGaA as the sole investor. The Bertelsmann Group recognizes immaterial investments in accordance with IFRS 9. 62 Financial Information Consolidated Financial Statements

Acquisitions and Disposals In the financial year 2021, the cash flow from acquisition activities totaled €-255 million (previous year: €-41 million), of which €-188 million (previous year: €-33 million) related to new acquisitions during the reporting period less cash and cash equivalents acquired, €-9 million to payments in connec- tion with acquisitions made in previous years, and €-58 million to an advance payment on the acquisition of 80 percent of the shares in Mayen Telekomünikasyon Hizmetleri A.Ş. The consideration transferred in accordance with IFRS 3 amounted to a total of €253 million (previous year: €77 million) taking into account contingent consideration of €2 million (pre- vious year: €2 million). Furthermore, put options in the amount of €40 million (previous year: €9 million) were recognized in connection with the acquisitions made by the RTL Group and Penguin Random House divisions, and a forward in the amount €3 million was also recognized in the previous year. In July 2021, RTL Deutschland acquired the remaining 50 percent of the shares in Super RTL (RTL Disney Fernsehen GmbH & Co. KG). RTL Group’s shareholding in Super RTL is now 100 percent. The acquisition of the full interest in Super RTL is in line with RTL Group’s consolidation strategy and supports the growth plan for the RTL streaming service, RTL+. As a result of obtaining control, the investment previ- ously accounted for using the equity method is consolidated from the date of acquisition. The consideration transferred in terms of IFRS 3 was €124 million and comprises a pur- chase price payment of €124 million, which was already made in June 2021. Obtaining control led to derecognition of the joint venture previously accounted for using the equity method, the fair value of which amounted to €110 million immediately before the acquisition date. The remeasurement of the investment already held resulted in other operating income of €94 million. The preliminary purchase price allo- cation resulted in goodwill of €101 million, mainly reflecting synergy potential with RTL Deutschland and the strength- ening and growth of the market position. Goodwill is partly tax deductible and was allocated to the RTL Deutschland cash-generating unit of the RTL Group division. In 2021, transaction-related costs were immaterial and have been recognized in profit or loss. Since initial consolidation, Super RTL has contributed €95 million to revenue and €2 million to Group profit or loss. If consolidated as of January 1, 2021, Super RTL would have contributed €146 million to revenue and €7 million to Group profit or loss. In addition, the Bertelsmann Group made several acquisitions in the financial year 2021, none of which was material on a stand-alone basis. In total, the impact of these acquisitions on the Group’s financial position and financial performance was also minor. Payments net of acquired cash and cash equiva- lents amounted to €-65 million; the consideration transferred in accordance with IFRS 3 for these acquisitions amounted to €129 million taking into account contingent consideration of €2 million. The other acquisitions resulted in goodwill totaling €167 million, which reflects synergy potential and is not tax deductible. Transaction-related costs amounted to €1 million in the financial year 2021 and have been recognized in profit or loss. The purchase price allocations consider all the facts and cir- cumstances prevailing as of the respective dates of acquisi- tion that were known prior to preparation of the Consolidated Financial Statements. In accordance with IFRS 3, should further facts and circumstances become known within the 12-month measurement period, the purchase price allocation will be adjusted accordingly. In accordance with IFRS 3, the fair values of the identifiable assets, liabilities and contingent liabilities acquired are measured primarily using the market price-oriented method. According to this method, assets and liabilities are measured at the prices observed in active markets. If measurement using the market price-oriented method is not feasible, as a rule the capital value-oriented method is to be applied. According to that method, the fair value of an asset or a liability corresponds to the present value of the future cash inflows or outflows (cash flows). The following table shows the fair values of the assets and lia- bilities of the acquisitions on their dates of initial consolidation based on the purchase price allocations, some of which are currently preliminary: 64 Financial Information Consolidated Financial Statements

In April 2021, RTL Group sold its interests held in its subsidiary SpotX to the US ad-tech company Magnite for €968 million. The purchase price was settled by the transfer of 12.4 million shares of Magnite stock, for a total of €381 million after consid- ering the lock-up adjustment, and a cash payment of €587 million after considering closing adjustments in accordance with the sales and purchase agreement. Net of transaction-related costs, the transaction resulted in an overall gain of €717 million recognized in the item “Results from disposals of investments.” In May 2021, Gruner + Jahr sold its interests held in Prisma Media for €175 million net of cash disposed of and taking into account a shareholder loan repaid at the time of disposal. Net of transaction-related costs, the transaction resulted in a gain of €43 million, which is reported under the item “Results from disposals of investments.” In September 2021, Fremantle, which belongs to RTL Group, sold its interests held in its subsidiary Ludia Inc. for €144 million net of cash disposed of. Net of transaction-related costs, the transaction resulted in an overall gain of €56 million recognized in the item “Results from disposals of investments.” After considering the cash and cash equivalents disposed of, the Bertelsmann Group recorded cash flows in the amount of €851 million (previous year: €337 million) from all disposals. The disposals resulted in a gain from deconsolidation of €821 million (previous year: €399 million), which is recognized in the item “Results from disposals of investments.” The following table shows their impact on the Bertelsmann Group’s assets and liabilities at the time of deconsolidation: SpotX Prisma Media Ludia Other Total 109 22 10 1 – 170 68 – – 4 129 19 35 6 9 67 9 15 – 29 108 30 35 7 – – 21 3 – – 4 22 5 – – – 1 7 4 3 – – 3 273 76 52 7 10 265 84 18 – 37 308 Effects of Disposals in € millions Non-current assets Goodwill Other intangible assets Property, plant and equipment and right-of-use assets Other non-current assets Current assets Inventories Other current assets Cash and cash equivalents Liabilities Provisions for pensions and similar obligations Financial debt Lease liabilities Other financial and non-financial liabilities 175 66 Financial Information Consolidated Financial Statements

share of the goodwill for the cash-generating unit “RTL Group, Group level” of €44 million attributable to the disposal. As of December 31, 2021, further assets classified as held for sale and related liabilities are attributable to the Intervalor disposal group within the Arvato division and to individual assets classified as held for sale and related liabilities within the Penguin Random House and Arvato divisions. For disposal groups, which were measured at fair value less costs to sell, impairment losses were recognized in the amount of €6 million, which were attributable to planned or completed disposals in the Arvato division. The fair values are based on level 3 of the hierarchy of non-recurring fair values. Valuations for level 3 are based on information from contract negotiations. The impairment losses recognized in profit or loss are included in the item “Other operating expenses.” As of December 31, 2020, the carrying amounts of the assets classified as held for sale and related liabilities were mainly attributable to the RTL Group and Gruner + Jahr divisions. Disclosures on Transactions Not Yet Effective In November 2020, Penguin Random House announced the acquisition of book publisher Simon & Schuster from media company Paramount Global (formerly ViacomCBS). The trans- action is subject to approval by the antitrust authority. Penguin Random House has contractually agreed to pay Paramount Global a “regulatory termination fee” of US$200 million in the event that the acquisition is prohibited in its entirety or if the termination date is reached. Currently, no cash outflow is expected for the regulatory termination fee. The US Department of Justice filed suit in federal court in Washington, D.C. on November 2, 2021, seeking to enjoin the transaction and raising concerns that the acquisition of authors' rights would create a monopsony among buyers. Bertelsmann has retained experienced litigation counsel and rejects the Department of Justice's grounds for prohibition as without merit. In May 2021, Groupe TF1, Groupe M6, Groupe Bouygues and RTL Group announced that they had signed agreements to enter into exclusive negotiations to merge the activities of Groupe TF1 and Groupe M6 and create a major French media group. The announced transaction between Groupe TF1 and Groupe M6 is subject to complex approvals and conditions precedent: (1) obtaining the required regulatory authorizations from (i) the French Competition Authority (Autorité de la Concurrence, “ADLC”), and a limited number of other national competition authorities, as well as from, (ii) the French media regulator (Autorité de Régulation de la Communication Audiovisuelle et Numérique, “ARCOM”). The transaction was formally notified to the ADLC on February 17, 2022, and is expected to be challenged by competitors. Consequently, there cannot be certainty of completion of the transaction and the probability of completion cannot be reasonably and objectively assessed at year-end; (2) completion of the transfer of selected TV channels to comply with applicable media law restrictions; and (3) obtaining of unconditional exemptions from the French stock market regulator (Autorité des marchés financiers) from the obligation to file mandatory takeover offers on Groupe TF1 and Groupe M6 shares. As a result, management has determined that Groupe M6 did not meet the necessary criteria to be classified as an asset held for sale as at December 31, 2021. With regard to the planned merger of RTL Nederland and Talpa Network in the Netherlands, which is also not yet effective in the financial year 2021, as well as further explanations on the planned merger of Groupe TF1 and Groupe M6 in France, further explanations are presented in the Combined Management Report. Foreign Currency Translation Transactions denominated in a currency other than a subsidiary’s functional currency are recognized in the functional currency at the exchange rate applicable on the day of their initial accounting. At the end of the reporting period, monetary assets and liabilities denominated in foreign currency are revalued into the functional currency using the closing rate applicable at that time. As a rule, gains and losses from these foreign currency translations are recognized in profit or loss. Non-monetary balance sheet items in foreign currency are carried at the historical exchange rate. 68 Financial Information Consolidated Financial Statements

If permissible, revenues are recognized in the amount of the invoice if this amount corresponds to the value of the performance provided. Revenue from financial services is presented separately as revenue if it results primarily from interest rate effects. • Advertising: Advertising services are generally rendered over a period of time, and the revenue is recognized based on an appropriate output method for measuring progress. If several performance obligations are identified in an adver- tising contract, the transaction price is allocated on the basis of the relative stand-alone selling prices. • Rights and licenses: The timing of revenue recognition for business models generating revenue from licenses depends on whether the license represents a right to access the intel- lectual property through the entire licensing period or a right to use when the license is granted. In particular, the under- lying contracts are analyzed to determine whether the cus- tomer is exposed to significant changes to the intellectual property or whether the intellectual property remains in the condition defined upon entering into the contract throughout the term of the contract with regard to its content and scope. While revenues from licenses granted for a right to use are realized at the date of the transfer of control, revenues from licenses for rights to access are realized over a period of time throughout the term of the contract. The majority of licenses granted in the TV business represent a right to use the intellectual property at the date the license is granted. As a result, revenue is recognized at the point in time the license is granted to the licensee. In contrast, rights to access are used extensively in the music business, and these revenues recognized are throughout the term of the contract. IFRS 15 stipulates some practical expedients of which the following are applied in the Bertelsmann Group: • Costs of obtaining contracts are not capitalized if the under- lying asset is amortized in no more than 12 months. • The value of consideration is not adjusted for the effects of a material financing component if the financing component pertains to a period of no more than 12 months. • For contracts with an original duration of not more than 12 months and for contracts for which revenue can be rec- ognized according to the amount invoiced for simplification purposes, no disclosure of the aggregated transaction price is provided. Payments received before satisfaction of the corresponding performance obligation are recognized as a contract liability. If contractual provisions make the invoicing of services com- pleted to date causally dependent on the need to provide further goods or services, a contract asset is recognized. Receivables from contracts with customers are generally due in less than 12 months. Interest income and expenses relating to financial assets mea- sured at amortized cost are recognized on an accrual basis using the effective interest method in accordance with IFRS 9. Dividends are only recognized in profit or loss when the right to receive payment of the dividend is established. Other income is recognized when the economic benefits are probable and the amount can be measured reliably. Expenses are deferred on the basis of underlying facts or the period of time to which they relate. Goodwill In accordance with IFRS 3, goodwill resulting from a busi- ness combination is initially recognized at acquisition cost, with subsequent recognition at cost less accumulated impair- ment losses. Goodwill is subject to impairment testing at least annually in accordance with IAS 36. In the Bertelsmann Group, goodwill is tested for impairment as outlined in the section “Impairment.” Other Intangible Assets Non-current, internally generated intangible assets are cap- italized at cost in accordance with IAS 38 if the correspond- ing requirements have been met. Intangible assets acquired separately are carried at acquisition cost less accumulated amortization and accumulated impairment losses, also in accordance with IAS 38. Intangible assets acquired as part of a business combination are initially recognized at fair value on the acquisition date in accordance with IFRS 3. Intangible assets with finite useful life are amortized on a straight- line basis over their estimated useful life. Impairment and 70 Financial Information Consolidated Financial Statements

If the reasons for an impairment loss recognized in prior periods no longer exist, the impairment loss is reversed up to a maximum of the carrying amount of the respective asset if the impairment loss had not been recognized. The latter does not apply to good- will. The impairment loss and reversals of impairment losses are both recognized immediately in profit or loss. Leases Generally, for all leases with the Bertelsmann Group as a les- see the related contractual rights and obligations are recog- nized on the balance sheet as a right-of-use asset and a lease liability. On the date of initial accounting, lease liabilities are recognized at the present value of the outstanding lease pay- ments. The lease payments include fixed payments less any lease incentives due from the lessor, variable lease payments linked to an index or a rate, amounts expected to be pay- able under residual value guarantees, the exercise price of a purchase option if the exercise is reasonably certain and penalty payments for terminating the lease if the lease term reflects the exercise of the termination option. Variable lease payments linked to sales are recognized in profit or loss in the period when the conditions for the payments have been met. The present value is determined using maturity-, cur- rency- and risk-specific incremental borrowing rates. Subse- quent measurement of a lease liability includes the increase of the carrying amount to reflect interest on the lease liability and reducing the carrying amount to reflect the lease pay- ments made. Right-of-use assets are measured at cost less any accumulated depreciation and accumulated impairment losses. Cost comprises the amount of lease liabilities recog- nized, the initial direct costs and the lease payments made at or before the commencement date of the lease, less any lease incentives received. The right-of-use asset is depreci- ated on a straight-line basis over the shorter of the useful life or lease term. Short-term leases with a lease term of up to one year, and leases for low-value assets for which the Bertelsmann Group does not recognize right-of-use assets or lease liabilities, constitute an exception. For such leases, the payments are recognized on a straight-line basis as expenses in the income statement under “Other operating expenses.” If, in the context of sale-and-leaseback transactions, control of an underlying asset is transferred as defined in IFRS 15, the Bertelsmann Group as the seller and lessee recognizes the asset in the amount of the proportional right of use retained. The gain or loss from the sales transaction as the proportional amount of the rights transferred to the lessor is recognized through profit or loss in the item “Other operat- ing income” or “Other operating expenses.” Financial Assets In accordance with the IFRS 9 classification and measure- ment approach for financial assets, there are three classifica- tion categories for financial assets in the Bertelsmann Group: • at amortized cost, • at fair value with changes in fair value through other com- prehensive income (FVOCI), and • at fair value with changes in fair value through profit or loss (FVTPL). initially at fair value, taking into account transaction costs that are directly attributable to the acquisition of the financial asset. Financial assets are recognized on the settlement date of the transaction. Transaction costs of financial assets recognized at fair value through profit or loss are immediately expensed in profit or loss. Trade receivables without a significant financing component are initially recognized at their transaction price. The allocation to the respective classification categories is based on the following criteria: • the entity’s business model for managing the financial assets and • contractual cash flow characteristics of the financial asset. Financial assets (with the exception of trade receivables without a significant financing component) are recognized Subsequent measurement of financial instruments depends on the classification categories: • At amortized cost: Financial assets that are held for col- lection of contractual cash flows where those cash flows represent solely payments of principal and interest on the principal amount outstanding are measured at amortized cost. This category mainly comprises trade receivables and other financial receivables. Any gain or loss arising 72 Financial Information Consolidated Financial Statements

Measurement at Fair Value In the case of financial assets and financial liabilities measured at fair value, the valuation technique applied depends on the respective inputs present in each case. If listed prices can be identified for identical assets on active markets, they are used for measurement (level 1). If this is not possible, the fair values of comparable market transactions are applied, and financial methods that are based on observable market data are used (level 2). If the fair values are not based on observable market data, they are identified using established financial methods or on the basis of observable prices obtained as part of the most recently implemented qualified financing rounds, taking into account the life and developmental cycle of the respective entity (level 3). Inventories Inventories – including raw materials and supplies, finished goods, work in progress and merchandise – are accounted for in accordance with IAS 2 and recognized at the lower of historical cost or net realizable value at the end of the reporting period. Similar inventories are measured at average cost or using the FIFO (first-in, first-out) method. In addition, inventories include all short-term film, television and similar rights that are intended for broadcast or sale within the Group’s normal operating cycle. In particular, this includes films and TV shows currently in production, co-productions and acquired broadcasting rights. The carrying amount of such items at the end of the reporting period is the lower of historical cost or net realizable value. The consumption of film and television rights starts from the date of initial broadcast and depends on the number of planned broadcasts. The broadcast-based consumption of film and television rights is as follows: • Free television thematic channels: program rights are consumed on a straight-line basis over a maximum of six runs • Free television other channels: • • • Blockbusters, mini-series, other films, series, TV movies and (co-)productions are consumed, run by run, over a maximum of four transmissions mainly following a degressive approach for amortization depending on the agreed total number of transmissions. Soaps, in-house productions, quiz and game shows, sports and other events, documentaries and music shows are fully consumed upon the first transmission. Children’s programs and cartoons are consumed over the license period on a linear basis as there is a very slow saturation and a very high number of repetitions for the target group kids (three- to 13-year-olds). • Pay television channels: program rights are consumed on a straight-line basis over the license period The consumption of inventories and current film and televi- sion rights, changes in inventories of work in progress and fin- ished goods, as well as own costs capitalized, are recognized in the income statement in the position “Cost of materials.” Income Taxes In accordance with IAS 12, income taxes include both current taxes on income and deferred taxes. Current income taxes are calculated on the taxable income of the financial year and on all adjustments to taxable income of previous financial years, taking into account the tax rates applicable in each case. For the calculation of current and deferred taxes, the applicable tax laws and tax jurisdictions of the respective country in which the consolidated Group companies are registered are considered. In accordance with IAS 12, deferred tax assets and liabilities are recognized for temporary differences between the tax base and the carrying amounts shown on the IFRS consolidated balance sheet, and for as yet unused tax loss carryforwards and tax credits. Deferred tax assets are reviewed at each balance sheet date and recognized to the extent it is probable that taxable income will be available against which the deductible temporary differences, tax loss carryforwards and tax credits can be utilized. Deferred tax assets that are unlikely to be realized within a clearly predictable period are reduced by valuation allowances. Deferred tax liabilities are generally recognized for all taxable temporary differences. 74 Financial Information Consolidated Financial Statements

corresponding charge directly to equity. In the case of a business combination with the transfer of the risks and rewards of the non-controlling interests underlying the put option to the Bertelsmann Group, the goodwill increases by a corresponding amount upon initial recognition. Subse- quent measurement of liabilities from put options is recog- nized in profit or loss. Derivative Financial Instruments As set out in IFRS 9, all derivative financial instruments are recognized at fair value on the balance sheet. Derivative financial instruments are recognized as of the trade date of the transaction. When a contract involving a derivative is entered into, it is initially determined whether it serves to hedge a balance sheet item (fair value hedge) or to hedge future cash flows (cash flow hedge). Some derivatives do not meet the requirements set out in IFRS 9 for recognition as hedges, despite this being their economic purpose (stand- alone hedge). Changes in the fair values of derivatives are recognized as follows: • Fair value hedge: Changes in the fair value of these deriv- atives used to hedge assets or liabilities are recognized in profit or loss; the corresponding gain or loss on the change in fair value of the underlying balance sheet item is also directly included in the income statement. • Cash flow hedge: The effective portion of the changes in the fair value of derivatives used to hedge future cash flows is recognized in other comprehensive income. Upon receiving an underlying non-financial asset or a non-financial liability, the amount is reclassified from accumulated other com- prehensive income to the respective item. In other cases, the reclassification of the previously recognized gains and losses from equity to the income statement is performed when the hedged underlying transaction affects profit or loss. The ineffective portion of the changes in the fair value of the hedging instrument is recognized in profit or loss. • Stand-alone hedge: Changes in the fair value of derivatives that do not meet the criteria for recognition as hedges are recognized in profit or loss. In the financial year 2021, no hedge transactions were recognized with fair value hedges. Likewise, no hedge of net investment in foreign operations was made. Share-Based Payments Share-based payments for employees of the Bertelsmann Group include equity-settled share-based payment transactions and cash-settled share-based payment transactions. Equity- settled share-based payment transactions are granted to certain directors and senior employees in the form of share options. The options are granted at the market price on the grant date and are exercisable at that price. For share options, the fair value of the options granted is recognized as personnel costs with a corresponding increase in equity. The fair value is measured at the grant date and allocated over the vesting period during which the employees become unconditionally entitled to the options. The fair value of the options granted is measured using a binomial option pricing model, taking into account the terms and conditions at which the options were granted. The amount recognized as an expense is adjusted to reflect the actual number of share options vesting. Share options forfeited solely due to share prices not achieving the vesting threshold are excluded. The financial liability arising under cash-settled share-based payment transactions is measured initially at fair value at grant date using an option pricing model. Until the liability is settled, its fair value shall be remeasured at the end of each reporting period and at the date of settlement, with any value changes recognized in profit or loss as personnel costs of the period. 76 Financial Information Consolidated Financial Statements

• Significant influence although the Bertelsmann Group holds less than 20 percent of the equity shares in another entity: Although the Bertelsmann Group holds less than 20 percent of the equity shares of Atresmedia, manage- ment considers that the Group exercises a significant influence on Atresmedia in view of the representation of RTL Group on the Board of Directors and other governing bodies of Atresmedia. • Investments in equity instruments: The measurement of various investments in equity instruments (December 31, 2021: €1,145 million; December 31, 2020: €802 million) recognized at fair value that are not based on prices quoted on active markets is based on observable prices obtained as part of the most recently implemented qualified financ- ing rounds, taking into account the life and developmental cycle of the respective entity, or on valuations obtained on the basis of established financial methods using risk- adjusted discount rates. Further adjustments are made for financial instruments with contractual lockups. • Trade and other receivables: Calculation of loss allowance for accounts receivable is based on historical credit loss rates for groups of financial assets with similar credit risk characteristics and on forward-looking information, includ- ing customer-specific information and forecasts of future economic conditions. • Advance payments: Sales estimates and assumptions on future sales success are made in connection with advances paid to authors to secure exploitation rights for their publications. • Impairment: The management’s estimates of cash flow, on which impairment tests are based, are based on factors including assumptions of economic trends and the asso- ciated risks, the regulatory environment, the competitive environment, market share, investments, EBITDA mar- gins and growth rates. A combination of long-term trends, industry forecasts and in-house knowledge, with special emphasis on recent experience, is used in forming the assumptions about the development of the various relevant markets in which the Bertelsmann Group operates. The rel- evant markets are an area highly exposed to the general economic conditions. The development of the relevant mar- kets is just one of the key operational drivers used by the Bertelsmann Group to assess individual business models. The most important assumptions include estimated growth rates, the weighted average cost of capital and tax rates. All these different elements are variable, interrelated and difficult to isolate as the main drivers of the various busi- ness models and respective valuations. Changes to these estimates as a result of more recent information could have a material impact on the amount of the possible impair- ment. The growth rates applied are based on long-term real growth rates for the relevant economies, growth expecta- tions for the relevant sectors and long-term inflation fore- casts for the countries in which the cash-generating units operate. The values allocated to the key assumptions are in line with external sources of information. The figures obtained using the respective discount rates reflect the recoverable amount of the cash-generating units. Material changes in the market or competitive environment may impair the value of cash-generating units. Details on impair- ment testing for intangible assets (including goodwill) in the Bertelsmann Group are presented in note 9 “Intangible Assets.” In addition, in the case of sports and film rights, estimates are made with regard to anticipated revenues. • Pension obligations: Pension obligations are measured using the projected unit credit method. Using this approach, bio- metric calculations, the prevailing long-term capital market interest rates and, in particular, assumptions about future sal- ary and pension increases are taken into account. As a result of the increase in the discount rate for measuring provisions for pensions, actuarial gains amounting to €202 million before related tax effects were recognized in the item “Remeasure- ment component of defined benefit plans.” Details on the assumptions made in pension accounting are presented in note 18 “Provisions for Pensions and Similar Obligations.” • Provisions for onerous contracts and warranties are also based to a significant extent on management estimates with regard to their amount and probability of occur- rence. Assessments of whether there is a present obli- gation, whether an outflow of resources is probable and whether it is possible to reliably determine the amount of the obligation are generally based on the expertise of in-house or third-party specialists. More recent infor- mation could change the estimates and thus impact the Group’s financial position and financial performance. The legal and regulatory environment in which Bertelsmann operates does not bear significant litigation risks. With regard to risk provisioning, a provision for potential losses from litigation is recognized when the risks of a 78 Financial Information Consolidated Financial Statements

Notes to the Income Statement and the Balance Sheet 1 Revenues In the financial year 2021, Group revenues of €18,381 million were generated from contracts with customers in accordance with IFRS 15 (previous year: €17,007 million). The other revenues amounting to €315 million (previous year: €282 million) not in the scope of IFRS 15 resulted almost entirely from financial services in the Arvato division. The following table only shows the revenues from contracts with customers in accordance with IFRS 15 by division and broken down by revenue source, geographical area and timing of revenue recognition. The categorization of revenue sources and geographical areas shown corresponds to that used in segment reporting. Revenue from Contracts with Customers 2021 Gruner + Jahr BMG Arvato Bertelsmann Printing Group Bertelsmann Education Group Total divisions1) in € millions RTL Group Revenue Sources Own products and merchandise Services Advertising Rights and licenses Geographical Areas Germany France United Kingdom Other European countries United States Other countries Timing Point in time Over time 48 300 3,732 2,453 6,533 2,142 1,392 232 1,649 898 220 6,533 1,936 4,597 6,533 63 2 – 596 661 40 63 78 79 349 52 661 175 486 661 59 25 – 4,586 1,133 283 – – 21 – – – 4,398 6,799 4,041 3,124 4,645 1,179 283 18,362 1,606 437 394 1,394 393 421 728 58 96 135 149 13 4,645 1,179 60 4,585 4,645 39 1,140 1,179 3 – 1 – 272 7 283 – 283 283 5,534 2,063 1,307 3,701 4,359 1,398 18,362 6,636 11,726 18,362 Penguin Random House 3,841 130 – 58 362 365 288 17 4,029 1,032 280 12 476 368 2,275 618 4,029 3,896 133 4,029 735 101 30 76 23 67 1,032 530 502 1,032 80 Financial Information Consolidated Financial Statements

2 Other Operating Income in € millions Fair value measurement of investments Income from reimbursements Income from sideline operations Gains from disposals of non-current assets Sundry operating income 2021 483 94 43 19 210 849 2020 59 67 47 246 263 682 The item “Fair value measurement of investments” mainly comprises effects from the valuation of financial instruments held in the portfolio of the Bertelsmann Investments division and from the valuation of RTL Group’s minority stakes. Bertelsmann Investments assigns its minority stakes in start- ups and fund-of-fund investments to the fair value through profit or loss category in accordance with IFRS 9. Further details are presented in note 12 “Minority Stakes and Other Financial Assets.” The item “Sundry operating income” consists of a number of individually immaterial matters in the subsidiaries. The gains from disposals of non-current assets in the financial year 2020 mainly resulted from sale-and-leaseback transactions in the total amount of €235 million. In the previous year, the item “Sundry operating income” included €147 million from the sale of an office space. This was acquired under a purchase option, immediately resold and subsequently leased back. 3 Personnel Costs in € millions Wages and salaries Statutory social security contributions Expenses for pensions and similar obligations Profit sharing Other employee benefits The contributions paid by the employer to state pension plans amounted to €367 million (previous year: €320 million) in the financial year 2021. 2021 4,832 736 158 89 196 2020 4,510 693 149 88 182 6,011 5,622 4 Amortization/Depreciation, Impairment and Reversals on Intangible Assets, Property, Plant and Equipment and Right-of-Use Assets in € millions Amortization/depreciation, impairment and reversals on – intangible assets – property, plant and equipment and right-of-use assets 2021 365 544 909 2020 487 553 1,040 Further details on amortization/depreciation, impairment and reversals shown are presented in note 9 “Intangible Assets” and note 10 “Property, Plant and Equipment and Right-of-Use Assets.” 82 Financial Information Consolidated Financial Statements

7 Other Financial Income and Expenses in € millions Other financial income Sundry financial income Other financial expenses Net interest on defined benefit plans Interest expenses on lease liabilities Dividend entitlement on profit participation certificates Financial expenses from put/call options Minority interests in partnerships Non-operating foreign exchange losses Other non-operating expenses from derivatives Sundry financial expenses 2021 2020 13 13 (20) (36) (45) (40) (9) (8) (30) (49) 8 8 (24) (41) (44) (1) (10) (6) (48) (28) (237) (202) To better reflect the economic content, income and expenses from non-operating foreign currency, hedging transactions are offset against the results from the measurement of the economically hedged items in foreign currency, and are recognized as non-operating foreign exchange gains or losses. In the financial year 2021, the net results from these non- operating foreign currency transactions of €175 million (previous year: €-193 million) were offset against the net results from hedged foreign currency transactions amounting to €-183 million (previous year: €187 million). 8 Income Taxes Income taxes, broken down into current and deferred income taxes, are as follows: Income Taxes in € millions Earnings before income taxes Current income taxes Deferred income Total income taxes Net income after income taxes 2021 2,972 (583) (79) (662) 2,310 2020 1,937 (489) 11 (478) 1,459 Tax loss carryforwards of €200 million (previous year: €397 million) were utilized in the financial year 2021, reducing current tax expenses by €45 million (previous year: €83 million). Of the tax loss carryforwards utilized, €7 million (previous year: €10 million) was due to German corporate income tax, €6 million (previous year: €11 million) was due to German trade tax and €187 million (previous year: €376 million) was due to foreign income taxes. These amounts include €61 million (previous year: €66 million) for tax loss carryfor- wards for which no deferred tax assets were recognized in the past. These relate in the amount of €1 million to German corporate tax (previous year: €9 million), in the amount of €1 million to German trade tax (previous year: €10 million) and to foreign income taxes in the amount of €59 million (previous year: €47 million). As a result of this utilization, current tax expense decreased by €14 million (previous year: €13 million). The recognition of previously unrecognized tax loss carry- forwards, deductible temporary differences and tax credits resulted in a reduction in deferred tax expense of €13 million (previous year: €15 million). The write-down or reversal of a previous write-down of deferred tax assets resulted in a net deferred tax expense of €9 million (previous year: €41 million). 84 Financial Information Consolidated Financial Statements

Expiration in € millions Temporary differences (unlimited carryforward period) Tax loss carryforwards Unlimited carryforward period To be carried forward for more than 5 years To be carried forward for up to 5 years Tax credits Unlimited carryforward period To be carried forward for more than 5 years To be carried forward for up to 5 years A reconciliation of expected tax result to actual tax result is shown in the following table: Reconciliation to Actual Tax Expense in € millions Earnings before income taxes Income tax rate applicable to Bertelsmann SE & Co. KGaA Expected tax expense The tax effects of the following items led to differences between the expected and actual tax expense: Adjustment to different national tax rates Effect of changes in tax rate and tax law Non-tax-deductible impairment on goodwill Tax effects in respect of results from disposals of investments Current income taxes for previous years Deferred income taxes for previous years Effects of measurements of deferred tax assets Permanent differences Other adjustments Total of adjustments Actual tax expense 12/31/2021 12/31/2020 54 5,665 75 104 – 2 – 99 5,644 132 279 – 2 – 2021 2,972 2020 1,937 31.10% 31.10% (924) 176 (14) – 15 26 8 14 101 (64) 262 (662) (602) 59 (9) (35) 126 5 (10) (20) 24 (16) 124 (478) 86 Financial Information Consolidated Financial Statements

9 Intangible Assets in € millions Cost Balance as of 1/1/2020 Exchange differences Acquisitions through business combinations Other additions Reductions through disposal of investments Other disposals Reclassifications in accordance with IFRS 5 Reclassifications and other changes Balance as of 12/31/2020 Exchange differences Acquisitions through business combinations Other additions Reductions through disposal of investments Other disposals Reclassifications in accordance with IFRS 5 Reclassifications and other changes Balance as of 12/31/2021 Accumulated amortization Balance as of 1/1/2020 Exchange differences Amortization Impairment losses Reversals of impairment losses Reductions through disposal of investments Other disposals Reclassifications in accordance with IFRS 5 Reclassifications and other changes Balance as of 12/31/2020 Exchange differences Amortization Impairment losses Reversals of impairment losses Reductions through disposal of investments Other disposals Reclassifications in accordance with IFRS 5 Reclassifications and other changes Balance as of 12/31/2021 Carrying amount as of 12/31/2021 Carrying amount as of 12/31/2020 Other intangible assets Other rights and licenses Internally generated intangible assets Advance payments Total Goodwill Music and film rights 8,991 (206) 68 – (181) – (348) (1) 8,323 162 268 – (35) – (77) – 3,099 (114) 2 89 – (48) – (115) 2,913 123 7 326 – (31) – 17 2,391 (106) 19 211 (109) (35) (57) (32) 1,125 (43) 2 36 (35) (9) (22) 23 2,282 1,077 83 165 140 (85) (71) (19) (39) 31 – 31 – (2) (8) 37 8,641 3,355 2,456 1,166 521 (22) – 116 – (49) – (111) – 455 7 – – – – – – – 462 8,179 7,868 1,691 1,410 (32) 150 3 (3) – (46) – (132) 1,631 33 154 – – – (20) – – 1,798 1,557 1,282 (59) 168 5 – (97) (32) (36) (4) 1,355 47 151 13 – (50) (67) (13) – 1,436 1,020 927 1,031 (40) 45 4 (1) (26) (8) (11) (3) 991 30 42 5 – – (1) (1) – 1,066 100 86 17 (1) – 19 – – (1) (21) 13 1 1 35 – – (3) (19) 28 – – – 1 (1) – – – – – – – – – – – – – – 28 13 6,632 (264) 23 355 (144) (92) (80) (145) 6,285 238 173 532 (85) (104) (30) (4) Total 15,623 (470) 91 355 (325) (92) (428) (146) 14,608 400 441 532 (120) (104) (107) (4) 7,005 15,646 4,132 (131) 363 13 (5) (123) (86) (47) (139) 3,977 110 347 18 – (50) (88) (14) – 4,300 2,705 2,308 4,653 (153) 363 129 (5) (172) (86) (158) (139) 4,432 117 347 18 – (50) (88) (14) – 4,762 10,884 10,176 88 Financial Information Consolidated Financial Statements

The decrease in goodwill within “RTL Group, Group level” and “Other” is due to the classification of RTL Belgium as a disposal group. Further details are presented in the section “Assets Held for Sale and Liabilities Related to Assets Held for Sale.” of the market price, which is based on level 1 of the fair value hierarchy. As of December 31, 2021, the market price of Métropole Télévision shares on the Paris Stock Exchange was €17.16 (previous year: €13.26) and of Majorel shares on the Amsterdam Stock Exchange was €27.88. Intangible assets with indefinite useful life primarily concern Groupe M6 trademark rights in France (€120 million; previous year: €120 million) and brands related to Gulli (€38 million; previous year: €38 million), which also belong to Groupe M6. In determining that the M6 brand has an indefinite useful life, management has considered various factors such as the historical and expected longevity of the brand, the impact of possible changes in broadcasting technologies, the impact of possible evolutions of the regulatory environment in the French television industry, the current and expected audience share of the M6 channel, and management’s strategy to maintain and strengthen the trademark “M6.” As of December 31, 2021, based on the analysis of these factors, there is no foreseeable limit to the period of time over which the M6 brand is expected to generate cash inflows. Given their positioning, the market’s awareness of the brands and their history, Gulli-related brands are considered to also have an indefinite useful life. For the purpose of impairment testing in accordance with IAS 36, goodwill from a business combination is allocated to the cash-generating units that are expected to benefit from the synergies of the business combination. The recov- erable amount of the impairment test for RTL Group’s goodwill recognized at Group level was determined on the basis of the market price, which is based on level 1 of the fair value hierarchy. As of December 31, 2021, the market price of RTL Group S.A. shares on the Frankfurt Stock Exchange was €46.62 (previous year: €39.74). No impairment was identified for goodwill carried. In addition, the value in use was calculated using a discounted cash flow method (level 3) based on a WACC of 6.6 percent (previous year: 6.7 percent) and a long-term growth rate of 0.5 percent (previous year: 0.5 percent). The value in use determined exceeded the fair value determined from the stock market price. The fair value of the cash-generating units Groupe M6 and Majorel was determined on the basis For the other cash-generating units, the recoverable amount equals the fair value, which is derived from discounted cash flows less costs of disposal and which is based on level 3 of the fair value hierarchy. Projected cash flows were based on internal estimates for three detailed planning periods and, as a rule, two further detailed planning periods were applied. For periods after this detailed horizon, a perpetual annuity was applied, taking into account individual busi- ness-specific growth rates. The cash flow forecasts underlying the impairment testing of the individual cash-generating units bearing material goodwill are based on the following assumptions relating to the market development for the beginning of the detailed planning period: • In 2022, the TV advertising markets in Germany and France are expected to be stable, while significant growth is expected in Hungary and a slight decline in the Netherlands. The streaming markets in Germany and the Netherlands are expected to continue growing strongly. • The book markets are expected to remain stable overall. • In the relevant music market, the publishing market seg- ment is expected to grow strongly, while significant growth is projected for the recordings market segment. • The services markets are predicted to show significant growth in 2022. • The European printing markets are expected to record a moderate (offset) to strong (gravure) decline, while the book printing market in North America is expected to remain stable. • Overall, sustained moderate to strong growth is anticipated for the relevant US education markets. In addition, fair values based on discounted cash flows were measured using the following individual business- specific growth rates and discount rates for periods after the detailed planning period: 90 Financial Information Consolidated Financial Statements

10 Property, Plant and Equipment and Right-of-Use Assets Right-of-use assets from leased property, plant and equip- ment are capitalized as set out in IFRS 16. The balance sheet position “Property, plant and equipment and right-of-use assets” comprises property, plant and equipment owned by the Bertelsmann Group and right-of-use assets from leased property, plant and equipment. Property, Plant and Equipment and Right-of-Use Assets in € millions Owned property, plant and equipment Right-of-use assets from leased property, plant and equipment 2021 1,641 1,133 2,774 2020 1,594 1,123 2,717 92 Financial Information Consolidated Financial Statements

As of the end of the reporting period, property, plant and equipment totaling €6 million (previous year: €8 million) were subject to restrictions on disposals. Impairment test- ing of cash-generating units in the “Other” item of the Bertelsmann Printing Group division identified imputed shortfalls. Subsequent impairment testing of property, plant and equipment amounting to €49 million (previous year: €67 million) at the individual asset level resulted in an impairment of €14 million (previous year: €3 million), which is mainly attributable to buildings and technical equipment and machinery. External assessments and appraisals were also used in the impairment testing of property, plant and equipment. Impairment losses totaling €21 million were recognized for property, plant and equipment (previous year: €7 million). Right-of-Use Assets The vast majority of leases concern rental properties in the RTL Group, Penguin Random House and Arvato divisions. In addition, leases also exist for technical equipment and machinery, vehicles and other fixtures, furniture and office equipment. The existing lease contracts have different terms, and a number of property leases include extension or termi- nation options in order to maximize operational flexibility in terms of managing the assets used in the Group’s operations. Details on the corresponding lease liabilities are presented in note 22 “Lease Liabilities.” The following table shows depreciation and impairment, additions and other changes to the right-of-use assets in the financial year 2021 as well as the carrying amounts of the right-of-use assets from leased property, plant and equipment as of December 31, 2021: Change in Right-of-Use Assets in € millions Land, rights equivalent to land and buildings Technical equipment and machinery Other equipment, fixtures, furniture and office equipment Carrying amount of leased property, plant and equipment as of 1/1/2021 Additions Depreciation and impairment Other changes Carrying amount of leased property, plant and equipment as of 12/31/2021 1,083 185 (239) 72 1,101 6 3 (3) 0 6 34 13 (18) (3) 26 in € millions Land, rights equivalent to land and buildings Technical equipment and machinery Other equipment, fixtures, furniture and office equipment Carrying amount of leased property, plant and equipment as of 1/1/2020 Additions Depreciation and impairment Other changes Carrying amount of leased property, plant and equipment as of 12/31/2020 1,240 235 (252) (140) 1,083 6 6 (4) (2) 6 35 19 (19) (1) 34 Total 1,123 201 (260) 69 1,133 Total 1,281 260 (275) (143) 1,123 The Bertelsmann Group made several sale-and-leaseback transactions in the previous year. These were in line with Bertelsmann's real estate strategy, according to which office spaces are to be leased where economically viable. Sale-and-leaseback transactions release tied-up capital and generate a more appropriate return on invested capital when reinvested in the operating business. In the previous year, lease liabilities of €134 million and right-of-use assets of €22 million were recognized in connection with sale-and- leaseback transactions. 94 Financial Information Consolidated Financial Statements

The following table shows summarized financial information on RTL Group and Majorel, including the interests in their subsidiaries, joint ventures and associates. The information disclosed shows the amounts before intercompany eliminations. Financial Information for Subsidiaries with Material Non-Controlling Interests in € millions Non-current assets Current assets Non-current liabilities Current liabilities Bertelsmann shareholders’ equity Non-controlling interests in € millions Revenues Profit or loss – thereof of non-controlling interests Total comprehensive income – thereof of non-controlling interests Dividends to non-controlling interests Cash flow from operating activities Cash flow from investing activities Cash flow from financing activities Increase/(decrease) in cash and cash equivalents Investments Accounted for Using the Equity Method RTL Group Majorel 12/31/2021 12/31/2020 12/31/2021 12/31/2020 6,978 5,626 1,613 3,603 5,663 1,725 2021 6,637 1,454 461 1,513 476 215 939 100 (980) 59 6,829 4,355 1,603 3,114 5,028 1,439 2020 6,017 636 250 577 237 4 928 (86) (702) 140 356 802 202 600 140 216 2021 1,811 81 44 102 55 – 185 (174) 26 37 269 570 135 389 155 160 2020 1,375 84 42 71 35 – 223 (45) (58) 120 The investments accounted for using the equity method relate to joint ventures in the amount of €19 million (previous year: €40 million) and to associates in the amount of €1,321 million (previous year: €780 million). Investments in Joint Ventures As of December 31, 2021, investments in 14 (previous year: 21) individually immaterial joint ventures were accounted for in the Consolidated Financial Statements. The following table shows summarized financial information on these joint ventures. The information given represents in each case the Bertelsmann Group’s interest. 96 Financial Information Consolidated Financial Statements

Financial Information on Individually Material Associates in € millions Non-current assets Current assets Non-current liabilities Current liabilities Equity in € millions Revenues Earnings after taxes from continuing operations Earnings after taxes from discontinued operations Other comprehensive income Total comprehensive income Dividends received from the associate Atresmedia 12/31/2021 12/31/2020 549 853 381 478 543 2021 963 118 – (2) 116 8 556 762 357 495 466 2020 866 24 – 3 27 – The reconciliation of the summarized financial information shown to the carrying amount of the interest in Atresmedia in the Consolidated Financial Statements is shown in the following table: Reconciliation to Carrying Amount in € millions Equity Proportionate equity Goodwill Impairment on investments accounted for using the equity method Carrying amount 12/31/2021 12/31/2020 543 101 166 (110) 157 466 87 166 (110) 143 The following table shows summarized financial information on associates that management considers individually immaterial. The information given represents in each case the Bertelsmann Group’s interest. Financial Information on Individually Immaterial Associates in € millions Non-current assets Current assets Non-current liabilities Current liabilities in € millions Earnings after taxes from continuing operations Earnings after taxes from discontinued operations Other comprehensive income Total comprehensive income 12/31/2021 12/31/2020 1,267 297 196 219 639 223 52 170 2021 2020 94 – (17) 77 70 – (4) 66 The total carrying amount of the investments in all individually immaterial associates amounts to €1,164 million (previous year: €637 million) as of December 31, 2021. Of that amount, €479 million is attributable to the investment in Afya and €90 million is attributable to the investment in Udacity (previous year: €94 million). The share of earnings of both investments is of 98 Financial Information Consolidated Financial Statements

recognized as other operating income in the item “Fair value measurement of investments” for both minority stakes in start-ups and fund-of-fund investments. The changes in carrying amounts recognized in profit or loss of the financial instruments held by the Bertelsmann Investments division amounted to €400 million during the reporting period (previous year: €48 million). A major part of the portfolio shown in the item “Financial instruments of the consolidated special fund” is invested in instruments with a very high credit rating. The current trading volume of the existing investments of the special fund enables the liquidation of the entire special fund within a few days. Bertelsmann exercises the option granted by IFRS 9 to measure equity instruments at fair value through other comprehensive income mainly for individually immaterial investments and investments in affiliates and recognizes these investments in “Other financial assets.” RTL Group's minority stakes in Magnite (€190 million) and VideoAmp (€81 million) measured at fair value through profit or loss are also included in this item. As in the previous year, no other financial assets were subject to restrictions on disposal as of the end of the reporting period. 13 Inventories in € millions Program rights Raw materials and supplies Work in progress Finished goods and merchandise Advance payments 12/31/2021 12/31/2020 1,115 1,090 126 119 355 187 91 97 259 121 1,902 1,658 In the financial year 2021, write-downs on inventories were recog- nized in the amount of €-118 million (previous year: €-111 million). In addition, reversals of write-downs on inventories were recog- nized in the amount of €103 million (previous year: €121 million). Inventories totaling €1 million were subject to restrictions on dis- posal as of the end of the reporting period (previous year: none). In the financial year 2021, the broadcast-based consumption of program rights recognized in profit or loss amounted to €2,507 million (previous year: €2,083 million). Expenses for raw materials and supplies amounting to €706 million (previous year: €753 million) were recognized, and the cost for merchandise amounted to €104 million (previous year: €126 million). Changes in inventories of work in progress and finished goods amounted to €16 million (previous year: €98 million). In addition, other own costs capitalized of €66 million (previous year: €63 million) were recognized. 14 Trade and Other Receivables in € millions Non-current Trade receivables Contract assets Other receivables Current Trade receivables Contract assets Receivables from participations Other receivables 12/31/2021 12/31/2020 35 2 34 35 – 34 3,577 3,398 27 30 960 23 45 1,104 Trade receivables are due for payment generally within 12 months. The item “Contract assets” covers the conditional right to con- sideration for completely satisfied performance obligations in accordance with IFRS 15. As of January 1, 2020, this item amounted to €40 million. The item “Other receivables” includes, among other things, receivables of €487 million 100 Financial Information Consolidated Financial Statements

Compared with the previous year, the subscribed capital of Bertelsmann SE & Co. KGaA remained unchanged at €1,000 million and comprises 83,760 registered shares (ordinary shares). As of December 31, 2021, foundations (Bertelsmann Stiftung, Reinhard Mohn Stiftung and BVG-Stiftung) indirectly held 80.9 percent of Bertelsmann SE & Co. KGaA shares, with the other 19.1 percent held indirectly by the Mohn family. Bertelsmann Verwaltungsgesellschaft mbH (BVG) controls the voting rights at the General Meeting of Bertelsmann SE & Co. KGaA and of the general partner Bertelsmann Management SE. In the financial year 2021, a dividend amounting to €180 million was distributed to the shareholders (a dividend per ordinary share of €2,149; previous year: no dividend). The change in other comprehensive income after taxes is derived as follows: Changes to Components of Other Comprehensive Income after Taxes in € millions Before-tax amount Taxes 2021 Net-of-tax amount Attributable to Bertelsmann shareholders Attributable to non- controlling interests Items that will not be reclassified subsequently to profit or loss Remeasurement component of defined benefit plans Changes in fair value of equity instruments Share of other comprehensive income of investments accounted for using the equity method Items that will be reclassified subsequently to profit or loss when specific conditions are met Exchange differences Cash flow hedges Share of other comprehensive income of investments accounted for using the equity method Other comprehensive income net of tax in € millions 313 8 – 378 16 (17) 698 Before-tax amount Taxes Items that will not be reclassified subsequently to profit or loss Remeasurement component of defined benefit plans Changes in fair value of equity instruments Share of other comprehensive income of investments accounted for using the equity method Items that will be reclassified subsequently to profit or loss when specific conditions are met Exchange differences Cash flow hedges Share of other comprehensive income of investments accounted for using the equity method Other comprehensive income net of tax (151) 2 – (346) (22) (3) (520) (60) – – – (6) – (66) 53 (1) – – 7 – 253 8 – 378 10 (17) 632 243 7 – 365 8 (17) 606 10 1 – 13 2 – 26 2020 Net-of-tax amount Attributable to Bertelsmann shareholders Attributable to non- controlling interests (98) 1 – (346) (15) (3) (96) 1 – (327) (12) (3) (2) – – (19) (3) – 59 (461) (437) (24) 102 Financial Information Consolidated Financial Statements

Free share plans outstanding at the end of the year have the following terms: Conditions for Free Share Plans (Groupe M6) Expiry date Free share plans 2021 2022 2023 Number of shares 2021 Number of shares 2020 – 237,000 496,700 733,700 525,511 87,453 – 612,964 As of December 31, 2021, the market price of Métropole Télévision shares on the Paris Stock Exchange was €17.16 (previous year: €13.26). The fair value of services received in return for share options granted is measured by reference to the fair value of share options granted. The estimate of fair value of the services received is measured based on a binomial model. Free shares are valued at the share price at the date they are granted less discounted future expected dividends, which employees are not entitled to receive during the vesting period. Fair Values of Free Share Plans (Groupe M6) Grant date Free share plans 7/27/2017 10/2/2017 7/25/2018 (2 plans) 7/30/2019 (2 plans) 4/20/2021 (2 plans) Total Personnel costs in € millions Share price Risk-free interest rate Expected return Fair value Vesting period 2021 2020 – – 16.92 15.35 18.38 – – (0.10)% (0.30)% (0.64)% – – 5.66% 6.97% n/a – – 14.97 13.23 14.34 – – 2 years 2 years min. 2 years – – 0.9 2.6 2.3 5.8 0.5 – 2.1 2.2 – 4.8 There are additional share-based payments within the Bertelsmann Group that are immaterial on a stand-alone basis and in total. 104 Financial Information Consolidated Financial Statements

Provisions are recognized for these defined benefit plans. The following tables show the breakdown of the benefit by plan beneficiary and by type of benefit plan: Plan Beneficiaries Active members Deferred member Pensioners Total – thereof vested Benefit Plans in € millions Flat salary plans Final salary plans Career average plans Other commitments given Medical care plans Present value of defined benefit obligation – thereof capital commitments Number of employees in € millions 2021 31,579 11,081 17,395 60,055 2020 30,621 11,570 17,311 59,502 2021 1,373 966 2,213 4,552 4,485 2020 1,542 952 2,277 4,771 4,698 12/31/2021 12/31/2020 2,281 1,502 510 197 62 4,552 215 2,459 1,567 516 173 56 4,771 273 The obligations and plan assets available for the existing pension plans are, in some cases, exposed to demographic, economic and legal risks. The demographic risks are primarily the longevity risk for pensioners. Economic risks include, in this respect, mostly unforeseeable developments on the capital markets and the associated impacts on plan assets and pension obligations. Legal risks can result from restrictions to investments and minimum funding requirements. A Group- wide pension guideline was introduced in 2004 to substantially minimize these risks. This stipulates that all new pension plans are, as a rule, only to be designed as defined contribution plans so that the charges from benefit commitments are always acceptable, calculable and transparent, and so that no risks can arise that the company cannot influence. In addition, the Bertelsmann Group aims, in particular, to transfer existing final salary-related pension agreements to plans with fixed amounts and capital commitments that are independent from trends. As a result of these measures, the obligations are almost entirely due to the plans that have been closed. The Bertelsmann Group has minimum funding obligations for the plans in the United States and the United Kingdom. The pension plan in the United States is subject to the minimum funding agreements according to the “Employee Retirement Income Security Act of 1974” (ERISA). In general, the aim under this agreement is to have a fully funded pension plan so that the annual contributions to the plan assets are limited to the pension entitlements the insured employee has earned during the year, as is the case for a defined contribution plan. If the pension obligations are not fully covered by the plan assets, an additional amount sufficient to ensure full financing over a seven-year period must be applied in excess of this contribution. The plans in the United Kingdom are subject to the “Pensions Act 2004,” which includes reviewing the full financing of the pension plan from an actuarial perspective every three years with annual monitoring and, if necessary, eliminating any deficits that may have arisen by means of further additions to plan assets. There are no other material regulatory conditions over and above the minimum funding regulations in the United States and the United Kingdom. Furthermore, one Group company participated in a multi- employer plan with other non-affiliated companies until December 31, 2014. As the relevant information required to 106 Financial Information Consolidated Financial Statements

Changes in the present value of defined benefit obligations and plan assets in the reporting period were as follows: Development of the Defined Benefit Plans Defined benefit obligation Fair value of plan assets Net defined benefit balance (II) 2021 2,843 2020 2,786 – – 36 – 36 119 – – – 119 221 3 (31) (1) 1 (39) 60 – 214 3,212 – – 44 – 44 92 – – – 92 23 2 (55) – – – (52) 3 (79) 2,843 (I)-(II)1) 2021 1,928 66 56 (36) 1 87 (119) (175) (5) (15) (314) (221) – (128) – (17) – 4 3 (359) 1,342 2020 1,842 64 68 (44) (5) 83 (92) 255 1 (13) 151 (23) – (126) – (4) – (3) 8 (148) 1,928 in € millions Balance as of 1/1 Current service cost Interest expenses Interest income Past service cost (I) 2021 4,771 66 56 – 1 2020 4,628 64 68 – (5) Income and expenses for defined benefit plans recognized in the consolidated income statement 123 127 Income/expense on plan assets excluding amounts included in net interest income and net interest expenses Actuarial gains (-) and losses (+) – changes in financial assumptions – changes in demographic assumptions – experience adjustments Remeasurements for defined benefit plans recognized in the consolidated statement of comprehensive income Contributions to plan assets by employer Contributions to plan assets by employees Pension payments Cash effects from settlements Change of consolidation scope Changes associated with assets held for sale Changes in foreign exchange rates Other changes Other reconciling items Balance as of 12/31 thereof Germany United Kingdom United States Other European countries Other countries – (175) (5) (15) (195) – 3 – 255 1 (13) 243 – 2 (159) (181) (1) (16) (39) 64 1 (147) 4,552 – (4) – (55) 11 (227) 4,771 3,501 3,704 2,287 1,980 1,214 1,724 678 189 155 29 635 183 218 31 728 153 29 15 636 151 64 12 (50) 36 128 14 (1) 32 154 19 1) In the financial year 2021, for calculating the “Net defined benefit balance,” the effects of the asset ceiling in accordance with IAS 19 amounting to €2 million were taken into account in the item “Other changes.” No effects from the asset ceiling were recognized in the previous year. Of the contributions to plan assets, €202 million (previous year: €9 million) pertains to Germany. Employer contributions to plan assets are expected to amount to €16 million in the next financial year. Reimbursement rights for defined benefit obligations in Germany amount to €29 million (previous year: €30 million) and are recognized in the balance sheet position “Trade and other receivables.” 108 Financial Information Consolidated Financial Statements

The maturity profile of the anticipated undiscounted pension payments is presented in the following table: Maturity Profile of Pension Payments in € millions 2022 2023 2024 2025 2026 2027–2031 Expected pension payments 161 162 170 175 181 931 Obligations similar to pensions relate to provisions for bonuses for employee service anniversaries, amounts due but not yet paid to defined contribution plans, partial retirement and severance payments at retirement. Severance payments at retirement are made when employees leave the company and are based on statutory obligations, primarily in Italy and Austria. Provisions for employee service anniversary bonuses and severance payments at retirement are recognized in the same way as defined benefit plans, but with actuarial gains and losses recognized in profit or loss. Employees in Germany who are at least 55 years old and have a permanent employment contract with the company qualify for the partial retirement schemes. The partial retirement phase lasts two to six years. The following table shows the breakdown in obligations similar to pensions: Breakdown of Obligations Similar to Pensions in € millions Provisions for employee service anniversaries Provisions for old-age part-time schemes Other Obligations similar to pensions 12/31/2021 12/31/2020 31 15 18 64 30 13 15 58 19 Other Provisions in € millions Onerous contracts Litigation Restructuring Other employee benefits Other 12/31/2020 of which > 1 year 115 83 167 26 97 488 9 58 18 15 36 136 Additions Reversal Usage Other effects Change of consolida- tion scope Accrued interest 83 31 84 16 43 257 (23) (13) (18) (2) (16) (72) (56) (12) (99) (4) (12) (183) (1) – (16) 9 (3) (11) 2 4 – – – 6 1 – – – – 1 12/31/2021 121 93 118 45 109 486 of which > 1 year 22 69 53 14 40 198 The provisions for onerous contracts concern RTL Group in the amount of €85 million (previous year: €84 million) and were recognized mainly for program rights. Of that amount, a total of €82 million (previous year: €68 million) relates to RTL Deutschland. 110 Financial Information Consolidated Financial Statements

the Group had bonds, private placements and promissory notes outstanding with a nominal volume of €5,397 million (previous year: €6,425 million). The differences in carrying amount versus nominal amount in the table below result from transaction costs, premiums and discounts. In addition, early repayments of €153 million were taken into account in calculating the carrying amount of the €750 million bond maturing in August 2022. Furthermore, an early repayment in the nominal amount of €60 million was taken into account for the calculation of the carrying amount of the bond maturing in October 2024. An early repayment in the nominal amount of €215 million was taken into account for the calculation of the carrying amount of the bond maturing in September 2025. Bonds and Promissory Notes Interest rate; emission; maturity; fixed interest 0.250%; 2017; 2021; fixed-interest bond1) 2.625%; 2012; 2022; fixed-interest bond1) 6-mon. EURIBOR + 125 bp.; 2020; 2023; floating-rate promissory note 1.500%; 2017; 2024; fixed-interest bond 1.750%; 2014; 2024; fixed-interest bond1) 1.250%; 2018; 2025; fixed-interest bond1) 1.787%; 2015; 2025; fixed-interest promissory note 1.125%; 2016; 2026; fixed-interest bond1) 1.000%; 2019; 2026; floating- and fixed-interest promissory note2) 1.600%; 2020; 2027; fixed-interest promissory note 1.000%; 2020; 2027; fixed-interest bond 2.000%; 2020; 2028; fixed-interest bond1) 1.500%; 2020; 2030; fixed-interest bond1) 3.700%; 2012; 2032; fixed-interest bond 3.000%; 2015; 2075; fixed-interest hybrid bond1) 3.500%; 2015; 2075; fixed-interest hybrid bond1) 1) Listed. 2) €10 million floating rate (6-month EURIBOR + 100 bp). Nominal amount Carrying amount Fair value 12/31/2021 12/31/2020 12/31/2021 12/31/2020 in € millions 500 750 100 50 500 750 150 500 75 100 100 750 750 100 650 600 – 597 – 50 439 532 150 497 75 100 100 744 743 99 649 597 500 748 100 50 498 745 150 497 75 100 99 743 742 99 649 597 – 608 – 52 460 557 160 520 78 107 104 821 799 129 667 641 501 785 104 53 536 800 164 534 79 110 106 844 825 131 673 648 5,372 6,392 5,703 6,893 The documentation of the bonds from Bertelsmann SE & Co. KGaA in 2012, 2014, 2016, 2017, 2018 and 2020 is within the framework of a base documentation for debt issuance programs. The hybrid bonds and promissory notes as well as the unlisted bond of 2017 were issued on the basis of separate documentation. The bonds mainly have a rating of “Baa2” (Moody’s) and “BBB” (Standard & Poor’s). The debt issuance program was last renewed in March 2020. Trans- action costs and agreed discounts or premiums are taken into account in the interest result over the term, impacting the carrying amount of the bonds and promissory notes. This led to a difference to the nominal volume of €25 million (previous year: €33 million) at the end of the year. As a rule, the quoted prices at the end of the reporting period are used to determine the fair value of the bonds issued. On December 31, 2021, the cumulative fair value of the listed bonds totaled €5,073 million (previous year: €6,146 million), with a nominal volume of €4,822 million (previous year: €5,750 million) and a carrying amount of €4,798 million (previous year: €5,719 million). The stock market prices are based on level 1 of the fair value hierarchy. The fair values of private placements and promissory notes are determined using actuarial methods based on yield curves adjusted for the Group’s credit margin. The inter- est premium results from the market price for credit-default 112 Financial Information Consolidated Financial Statements

23 Liabilities in € millions Non-current Trade payables Derivative financial instruments Sundry financial payables Contract liabilities Sundry non-financial payables Current Trade payables Refund liabilities Derivative financial instruments Sundry financial payables Contract liabilities Sundry non-financial payables – personnel-related liabilities – tax liabilities – social security liabilities – deferred items – other 12/31/2021 12/31/2020 160 89 256 34 363 133 7 106 39 362 3,902 3,583 483 64 833 861 455 32 763 655 1,433 1,271 792 203 136 34 268 655 226 119 35 236 The item “Contract liabilities” includes payments received by Bertelsmann in advance; that is, prior to satisfaction of the contractual obligations in accordance with IFRS 15. They are recognized as revenue as soon as the contractual obligation has been rendered. Accordingly, revenues amounting to €657 million were recognized in the financial year 2021 (previous year: €523 million) which were included in the balance of contract liabilities at the beginning of the financial year. As in the previous year, as of the end of the reporting period, the contract liabilities are primarily attributable to services to be provided by the Arvato division, as a rule in the following period. As of January 1, 2020, contract liabilities amounted to €611 million. In accordance with IFRS 15, the item “Refund liabilities” mainly comprises liabilities for expected returns of the Penguin Random House and Gruner + Jahr divisions of €305 million (previous year: €306 million). Correspondingly, in the balance sheet position “Other non-financial assets,” an asset for an immaterial amount is recognized for the customers’ right to recover products from customers upon settling the refund liability. The item “Sundry financial payables” includes, among other things, payables of €97 million (previous year: €118 million) from the Arvato Financial Solutions business unit, which were recognized in relation to the receivables management service provided. In addition, the item comprises payables in the amount of €177 million (previous year: €133 million) relating to accounts receivables sold, which are acquired by Arvato Financial Solutions from third parties in the course of conducting its financial services and then resold. Non-current sundry financial payables also include liabilities from put options relating to shareholders with non-controlling interests of €131 million (previous year: €17 million), minority interests in partnerships of €34 million (previous year: €33 million) and liabilities from the acquisition of assets in the amount of €85 million (previous year: €44 million). Current sundry financial payables also comprise liabilities from the acquisition of assets in the amount of €147 million (previous year: €110 million) and liabilities to participations in the amount of €29 million (previous year: €29 million). 114 Financial Information Consolidated Financial Statements

25 Additional Disclosures on Financial Instruments Both of the following tables show the carrying amounts and measurement categories of financial assets and financial liabilities in accordance with IFRS 9 as of December 31, 2021: Carrying Amounts and Measurement Categories of Financial Assets in € millions Balance sheet position 12/31/2021 12/31/2020 Financial assets measured at amortized cost – loans – trade receivables – receivables from participations – sundry financial receivables – bank balances and cash on hand – cash equivalents Minority stakes and other financial assets Trade and other receivables Trade and other receivables Trade and other receivables Cash and cash equivalents Cash and cash equivalents Financial assets measured at fair value through other comprehensive income – other financial assets Minority stakes and other financial assets Primary financial assets measured at fair value through profit or loss – loans – fund-of-fund investments – minority stakes in start-ups – sundry financial receivables Minority stakes and other financial assets Minority stakes and other financial assets Minority stakes and other financial assets Trade and other receivables – financial instruments of the consolidated special fund Minority stakes and other financial assets – other financial assets – cash equivalents Minority stakes and other financial assets Cash and cash equivalents Derivative financial instruments Minority stakes and other financial assets Continuing involvement Trade and other receivables 91 3,612 30 861 1,446 135 78 25 183 1,034 7 102 420 3,064 37 126 54 3,433 45 1,045 1,867 2,698 67 40 216 812 9 – 91 6 94 84 11,251 10,561 116 Financial Information Consolidated Financial Statements

It is possible to allocate the financial instruments measured at fair value in the balance sheet to the three levels of the fair value hierarchy by category, based on the tables showing carrying amounts and measurement categories for the respective financial year. The financial assets of levels 1 and 3 mainly pertain to investments held by the Bertelsmann Investments division, which were recognized at fair value. Financial Assets Measured at Fair Value Based on Level 3 in € millions Balance as of 1/1/2021 Total gain (+) or loss (-) – in profit or loss – in other comprehensive income Purchases Transfers out of level 3 Sales/settlements Balance as of 12/31/2021 Gain (+) or loss (-) for assets still held at the end of the reporting period in € millions Balance as of 1/1/2020 Total gain (+) or loss (-) – in profit or loss – in other comprehensive income Purchases Sales/settlements Balance as of 12/31/2020 Gain (+) or loss (-) for assets still held at the end of the reporting period Financial assets measured at fair value Primary and derivative financial assets held for trading 1,067 433 424 9 656 (363) (431) 1,362 445 – – – – – – – – – Financial assets measured at fair value Primary and derivative financial assets held for trading 1,118 (77) (27) (50) 309 (283) 1,067 (32) – – – – – – – – Total 1,067 433 424 9 656 (363) (431) 1,362 445 Total 1,118 (77) (27) (50) 309 (283) 1,067 (32) 118 Financial Information Consolidated Financial Statements

Financial Liabilities Measured at Fair Value Based on Level 3 in € millions Balance as of 1/1/2021 Total gain (-) or loss (+) – in profit or loss – in other comprehensive income Purchases Settlements Transfers out of/into level 3 Balance as of 12/31/2021 Gain (-) or loss (+) for liabilities still held at the end of the reporting period in € millions Balance as of 1/1/2020 Total gain (-) or loss (+) – in profit or loss – in other comprehensive income Purchases Settlements Transfers out of/into level 3 Balance as of 12/31/2020 Gain (-) or loss (+) for liabilities still held at the end of the reporting period Financial liabilities measured at fair value through profit or loss 17 6 5 1 3 (7) – 19 6 Financial liabilities measured at fair value through profit or loss 32 (16) (15) (1) 4 (3) – 17 (1) Total 17 6 5 1 3 (7) – 19 6 Total 32 (16) (15) (1) 4 (3) – 17 (1) Level 1: The fair value of the listed financial instruments is determined on the basis of stock exchange listings at the end of the reporting period. Level 2: For measuring the fair value of unlisted derivatives, Bertelsmann uses various financial methods reflecting the prevailing market conditions and risks at the respective balance sheet dates. Irrespective of the type of financial instrument, future cash flows are discounted at the end of the reporting period based on the respective market interest rates and yield curves at the end of the reporting period. The fair value of forward exchange transactions is calculated using the average spot prices at the end of the reporting period and taking into account forward markdowns and markups for the remaining term of the transactions. The fair value of interest rate derivatives is calculated on the basis of the respective market rates and yield curves at the end of the reporting period. The fair value of forward commodity transactions is derived from the stock exchange listings published at the end of the reporting period. Any mismatches to the standardized stock exchange contracts are reflected through interpolation or additions. Level 3: If no observable market data is available, fair value measurement is based primarily on cash flow-based valuation techniques. As a rule, so-called qualified financing rounds are used for minority stakes in the Bertelsmann Investments division. Listed financial instruments with contractual lockups are also based on level 3. 120 Financial Information Consolidated Financial Statements

Based on this, the loss allowance as of December 31, 2021, was determined as follows for both trade receivables and contract assets: Credit Risk for Trade Receivables and Contract Assets in € millions Expected loss rate Trade receivables and contract assets Loss allowance for expected credit losses Balance as of 12/31/2021 in € millions Expected loss rate Trade receivables and contract assets Loss allowance for expected credit losses Balance as of 12/31/2020 Not overdue 0.72% 2,346 (17) 2,329 Not overdue 0.70% 2,130 (15) 2,115 Not credit-impaired Overdue 1 to 30 days 1.01% 396 (4) 392 Overdue 31 to 90 days Overdue more than 90 days Credit-impaired 3.00% 100 (3) 97 8.65% 104 (9) 95 n/a 867 (109) 758 Not credit-impaired Overdue 1 to 30 days 0.78% Overdue 31 to 90 days Overdue more than 90 days 2.48% 11.76% 383 (3) 380 121 (3) 118 119 (14) 105 Credit-impaired n/a 910 (129) 781 The expected loss rates correspond to the average rates for the respective division-specific or business unit-specific groups of receivables. In the financial year 2021, impairment losses and reversals amounting to €-4 million (previous year: €-50 million) were recognized on trade receivables and contract assets. The following table shows a reconciliation from the opening balance to the closing balance of loss allowances for trade receivables and contract assets in the financial year 2021: Reconciliation of Loss Allowance for Trade Receivables and Contract Assets in € millions Balance as of 1/1 Additions Usage Reversal Change of consolidation scope Exchange rate effect Balance as of 12/31 2021 (164) (44) 31 40 – (5) 2020 (179) (108) 22 58 35 8 (142) (164) 122 Financial Information Consolidated Financial Statements

The following table presents the contractually fixed undiscounted cash flows of the financial liabilities for settlement. The figures are based on undiscounted cash flows at the earliest date at which the Bertelsmann Group can be held liable for payment. Maturity Analysis for Non-Derivative Financial Liabilities in € millions Profit participation capital Fixed-interest bonds and promissory notes Floating-rate bonds and promissory notes Liabilities to banks Other financial debt Trade payables Liabilities to participations Other Balance as of 12/31/2021 Profit participation capital Fixed-interest bonds and promissory notes Floating-rate bonds and promissory notes Liabilities to banks Other financial debt Trade payables Liabilities to participations Other Balance as of 12/31/2020 Carrying amount Undiscounted cash flows Up to 1 year 1 to 5 years Over 5 years 413 5,362 10 174 58 4,062 29 1,543 11,651 413 6,282 110 126 108 3,716 29 1,295 12,079 – 597 – 97 52 3,902 29 1,303 5,980 – 500 – 113 102 3,583 29 1,190 5,517 – 1,740 10 8 1 160 – 251 2,170 413 2,200 100 13 1 130 – 110 2,967 413 3,050 – 70 5 2 – 1 3,541 – 3,615 10 – 5 3 – – 3,633 Total 413 5,387 10 175 58 4,064 29 1,555 11,691 413 6,315 110 126 108 3,716 29 1,300 12,117 Current cash outflows from financial liabilities are offset by planned cash inflows from receivables and other financial assets. To cover current cash flows, Bertelsmann SE & Co. KGaA also has adequate financial reserves in the amount of cash and cash equivalents and unutilized credit facilities existing at the end of the reporting period. The maturity analysis for lease liabilities as of December 31, 2021, is presented in note 22 “Lease Liabilities.” 124 Financial Information Consolidated Financial Statements

Risk Management of Financial Instruments Financial Risk Management The Bertelsmann Group is exposed to various forms of financial risk through its international business operations. Above all, this includes the effects of changes in foreign exchange rates and interest rates. Bertelsmann’s risk management activities are designed to effectively mitigate these risks. The Executive Board establishes basic risk management policy, outlining general procedures for hedging currency and interest rate risk and the utilization of derivative financial instruments. The Central Financial Department advises subsidiaries on operating risk and hedges risks using derivative financial instruments as necessary. However, subsidiaries are not obliged to use the services provided by this department for their operating risks. Some subsidiaries, such as RTL Group in particular, have their own finance departments. They report their hedge transactions to the Central Finance Department each quarter. Further information on financial market risks and financial risk management is presented in the Combined Management Report. Currency Risk Bertelsmann is exposed to exchange rate risk in various foreign currencies. Its subsidiaries are advised, but not obliged, to hedge themselves against foreign currency risks in the local reporting currency by signing forward agreements with banks that have a high credit rating. Loans within the Bertelsmann Group that are subject to currency risk are hedged using derivatives. If foreign currency transactions designated as hedged items adequately meet effectiveness requirements, hedge accounting as defined by IFRS 9 is applied under the cash flow hedge model. A number of subsidiaries are based outside the eurozone. The resulting translation risk is managed through the relationship of economic debt to operating EBITDA of key currency areas. Over the long term, the Group aims to achieve a reasonable relationship between economic debt and results of operations for each currency area. Bertelsmann’s focus is on the maximum leverage factor permitted for the Group. Interest Rate Risk There are interest rate risks for interest-bearing assets and financial debt. Interest rate risk in the Bertelsmann Group is analyzed centrally and managed on the basis of the Group’s planned net financial debt. A key factor in this management is the Group’s interest result over time and its sensitivity to interest rate changes. The Group aims for a balanced relationship between floating rates and long-term fixed interest rates, depending on the absolute amount, forecast performance of the interest-bearing liability and interest level. This is implemented using underlying and derivative financial instruments for control. Liquidity Risk Liquidity risks may arise through a lack of rollover financing (liquidity risk in a narrow sense), delayed receipt of payment and unforeseen expenditure (budgeting risk). Budgeting risk is determined by comparing deviations in actual spending with budget and reserve amounts. In a narrow sense, liquidity risk depends on the volume of debt due within a given period. Liquidity risk is monitored on an ongoing basis with reference to the budget for current and future years. New and unplanned transactions (e.g., acquisitions) are continuously tracked. The maturity profile of financial assets and liabilities is also reconciled on a regular basis. Budget risks are managed through effective cash management and constant monitoring of projected versus actual cash flows. Debt maturities are also diversified to ensure that rising financing costs do not have a short-term impact. Credit facilities with banks are also maintained for unplanned expenditures. 126 Financial Information Consolidated Financial Statements

The cash flow or present value risks existing at the end of the reporting periods are analyzed using a sensitivity calculation as an after-tax observation. A parallel shift in the interest rate curve of plus or minus 1 percent is assumed for all significant currencies. The analysis is performed on the basis of financial debt, cash and cash equivalents, and derivatives at the end of the reporting period. The underlying total risk position amounts to €3,916 million (previous year: €3,791 million). The results are shown in the following table: Sensitivity Analysis of Cash Flow and Present Value Risks in € millions Cash flow risks (income statement) Present value risks (income statement) Present value risks (equity) 12/31/2021 12/31/2020 Shift +1% Shift (1)% Shift +1% Shift (1)% 30 – – (30) – – 28 – – (28) – – The analysis of foreign currency sensitivity includes the Group’s financial debt and operating transactions at the end of the reporting period and the hedging relationships entered into. The calculation is performed for the unsecured net expo- sure on the basis of an assumed 10 percent appreciation of the euro versus all foreign currencies, and is presented after tax. Based on a total risk position of €184 million (previous year: €210 million), a uniform devaluation of foreign curren- cies would have resulted in a change in the carrying amount recognized in profit or loss of €-13 million (previous year: €-15 million). Thereof, €-5 million (previous year: €-7 million) relates to fluctuations in the US dollar exchange rate with a net exposure of US$74 million (previous year: US$118 million). Shareholders’ equity would have changed by €6 million (previous year: €-15 million) as a result of fluctuations in the fair values of documented cash flow hedges. Thereof, €6 million (previous year: €-16 million) relates to fluctuations in the US dollar exchange rate on the basis of a documented cash flow hedge volume of US$-96 million (previous year: US$282 million). If there had been a uniform increase in the value of foreign currencies, this would have led to opposite changes in these amounts for the Bertelsmann Group. Other Price Risks and Sensitivity The valuation model for the minority stakes in the Bertelsmann Investments division comprises an extensive portfolio of around 300 investments in companies and other funds, the vast majority of which are classified in level 3 of the fair value hierarchy. Due to the numerous inputs, some of which are only relevant for subsets of the portfolio, developing a meaningfully interpretable sensitivity indication for the model addressing the specifics of the valuation objects in the venture capital environment is only possible to a limited extent – in contrast to traditional discounted cashflow or multiplier-based models. This, together with the fragmented size structure and the fact that no meaningful and feasible alternative assumptions can be derived for a variety of inputs - such as the maturity structure underlying the life-cycle model - necessitates a restriction of sensitivity information in quantitative terms to the fungibility discounts for fund-in-fund investments and to the effects of contractual lockups for listed instruments: As of December 31, 2021, the valuation of fund-of- fund investments would have been €57 million (previous year: €75 million) higher excluding fungibility discounts. Excluding fungibility discounts due to contractual lockups would have increased the valuation of listed instruments by €8 million (previous year: €1 million) as of December 31, 2021. Financial Derivatives Bertelsmann uses standard market financial derivatives, primarily unlisted (OTC) instruments. These include, in particular, forward agreements, currency swaps, currency options, interest rate swaps and individual commodities forwards. Transactions are entered into solely with banks with a high credit rating. As a rule, the Central Financial Department’s transactions are only performed with a group of banks approved by the Executive Board. The nominal volume is the total of all underlying buying and selling amounts of the respective transactions. 128 Financial Information Consolidated Financial Statements

The following table provides an overview of the carrying amounts of the derivative financial instruments, which correspond to their fair values. A distinction is made between derivatives that are included in an effective hedging relationship in accordance with IFRS 9 and those that are not. Derivative Financial Instruments in € millions Assets Forward contracts and currency swaps – without hedge relation – in connection with cash flow hedges Interest rate swaps – without hedge relation – in connection with cash flow hedges Other derivative financial instruments without hedge relation Equity and liabilities Forward contracts and currency swaps – without hedge relation – in connection with cash flow hedges Interest rate swaps – without hedge relation – in connection with cash flow hedges Other derivative financial instruments without hedge relation Carrying amount on 12/31/2021 Carrying amount on 12/31/2020 24 10 3 – – 77 76 – – – 80 8 6 – – 29 10 – – – The following table presents the remaining terms of the contractual amounts to be exchanged in a derivative financial instrument for which gross cash flows are exchanged: Liabilities from Derivatives with Gross Settlement in € millions Cash outflow Cash inflow Balance as of 12/31/2021 Cash outflow Cash inflow Balance as of 12/31/2020 Remaining term of liabilities Up to 1 year 1 to 5 years Over 5 years (2,080) 2,015 (65) (2,327) 2,297 (30) (1,415) 1,304 (111) (383) 374 (9) (712) 641 (71) – – – 130 Financial Information Consolidated Financial Statements

The following tables show the cash changes and non-cash changes of liabilities arising from financing activities: Changes in Liabilities Arising from Financing Activities Cash changes Non-cash changes Acquisitions through business combinations Disposals through business combinations Exchange rate effects Other changes 12/31/2021 (927) (99) 40 (317) (28) (1,331) – – 7 14 – 21 – – – (37) – (37) – – 1 49 – 50 6 – – 292 (22) 276 5,047 325 174 1,356 58 6,960 Cash changes Non-cash changes Acquisitions through business combinations Disposals through business combinations Exchange rate effects Other changes 12/31/2020 1,585 100 (58) (316) (58) 1,253 – – 50 2 4 56 – – – (8) (2) (10) – – (4) (58) 5 (57) 6 (1) – 343 (1) 347 5,968 424 126 1,355 108 7,981 1/1/2021 5,968 424 126 1,355 108 7,981 1/1/2020 4,377 325 138 1,392 160 6,392 in € millions Bonds Promissory notes Liabilities to banks Lease liabilities Other financial debt Liabilities arising from financing activities in € millions Bonds Promissory notes Liabilities to banks Lease liabilities Other financial debt Liabilities arising from financing activities As of December 31, 2021, the other non-cash changes in lease liabilities mainly relate to lease contracts newly concluded in the financial year 2021. Analogously, as of December 31, 2020, the other non-cash changes in lease liabilities mainly related to lease contracts newly concluded in the financial year 2020. 132 Financial Information Consolidated Financial Statements

The following table shows the reconciliation of segment information to the Consolidated Financial Statements: Reconciliation of Segment Information to Group Profit or Loss in € millions Operating EBITDA Amortization/depreciation, impairment and reversals on intangible assets, property, plant and equipment and right-of-use assets Adjustments on amortization/depreciation, impairment and reversals on intangible assets, property, plant and equipment and right-of-use assets included in special items Special items EBIT Financial result Earnings before taxes Income tax expense Group profit or loss 2021 3,241 (909) 29 963 3,324 (352) 2,972 (662) 2,310 2020 3,143 (1,040) 122 51 2,276 (339) 1,937 (478) 1,459 28 Related Party Disclosures For the Bertelsmann Group, related parties as defined in IAS 24 are those persons and entities that control or exercise a significant influence over the Bertelsmann Group, and those persons and entities controlled or jointly controlled by the Bertelsmann Group, or over which it exercises a significant influence. Accordingly, certain members of the Mohn family, the members of the Executive Board of Bertelsmann Management SE as the general partner, and the Supervisory Board of Bertelsmann SE & Co. KGaA, including close members of their families and including the companies that are controlled or jointly managed by them, and the joint ventures and associates forming part of the Bertelsmann Group and their subsidiaries, are defined as related parties. Furthermore, Bertelsmann Pension Trust e. V. is considered a related party (further details on this are presented in note 18 “Provisions for Pensions and Similar Obligations”). Bertelsmann Verwaltungsgesellschaft mbH (BVG), Gütersloh, a holding company with no operating activities, has control of the Bertelsmann Group. Johannes Mohn GmbH has informed Bertelsmann SE & Co. KGaA that it directly owns more than 50 percent of the shares in Bertelsmann Management SE and of Bertelsmann SE & Co. KGaA. Reinhard Mohn Verwaltungsgesellschaft mbH continues to own more than one quarter of the shares in Bertelsmann Management SE and in Bertelsmann SE & Co. KGaA, respectively. In the legal form of a KGaA, the business is managed by a general partner. In the case of Bertelsmann SE & Co. KGaA, Bertelsmann Management SE, represented by its Executive Board, is responsible for the management of the business. The statutory bodies consist of the Supervisory Board and the General Meeting at the Bertelsmann SE & Co. KGaA level and the Executive Board, Supervisory Board and General Meeting at the Bertelsmann Management SE level. The Supervisory Board of the KGaA is elected by the limited partners at the General Meeting. The members of the Bertelsmann Management SE Supervisory Board are appointed at the General Meeting of Bertelsmann Management SE. BVG controls the voting rights at the Bertelsmann SE & Co. KGaA and Bertelsmann Management SE General Meeting. 134 Financial Information Consolidated Financial Statements

Contingent liabilities from joint ventures amounted to €14 million as of December 31, 2021 (previous year: €25 million). As of the end of the reporting period, no commitments for RTL Group joint ventures existed (previous year: immaterial). As in the previous year, no expenses were recognized for bad or doubtful debts due from joint ventures in the financial year 2021. As of December 31, 2021, loans of €30 million were granted to joint ventures (previous year: €11 million). Loans were received from joint ventures in the amount of €1 million (previous year: €3 million). No capital contributions were made to joint ventures in the financial year 2021 (previous year: immaterial). 29 Events after the Reporting Period The transaction is subject to regulatory approvals and is expected to be closed in the second quarter of 2022. The expected total consideration amounts to €50 million. In addition, RTL Group has agreed to a long-term trademark licensing agreement with the buyer. In March 2022, Bertelsmann announced the entry into a term sheet with the main co-investors, the Esteves family and NRE Capital Ventures Ltd., regarding an offer by the Esteves family and NRE to acquire 6 million additional Class B shares of the investment in Afya Ltd. held by the Bertelsmann Investments division as an associate. This binding offer, Bertelsmann’s acceptance of which is subject to due diligence and approval by the relevant boards, is based on a price per share of US$26.90 and valid until April 15, 2022. In March 2022, Fremantle acquired 70 percent of Lux Vide, Italy’s leading independent television production company. The acquisition of Lux Vide forms part of Fremantle’s wider international growth strategy to invest in premium production companies, content creators and talent from around the world – developing and securing original formats and unmissable IP. The transaction will be accounted for as a business combination in accordance with IFRS 3. At the time the Consolidated Financial Statements were prepared, the purchase price allocation was at a very preliminary stage. The negative effects of the Russian invasion of Ukraine and the impact of the resulting further rise in geopolitical tensions on the global economy are not yet fully foreseeable. 2021, Bertelsmann announced In August that RTL Deutschland was taking over Gruner + Jahr's German magazine businesses and brands. The transaction closed on January 1, 2022. As of the beginning of the financial year 2022, Gruner + Jahr is no longer designated as an the other Gruner + Jahr activities will be allocated to Bertelsmann Investments in the future. independent division. Going forward, In November 2021, Majorel signed an agreement for the acquisition of 80 percent of the shares in Mayen Telekomünikasyon Hizmetleri A.Ş., a company based in Turkey. An advance payment of €58 million was already made as of December 31, 2021. In accordance with IFRS 3, the acquisition date is January 1, 2022. The transaction will be accounted for as a business combination in accordance with IFRS 3. At the time the Consolidated Financial Statements were prepared, the purchase price allocation was at a very preliminary stage. In particular, the valuations have not yet been finalized. In January 2022, Bertelsmann made early repayments of parts of the bonds maturing in August 2022, October 2024, September 2025 and April 2026 in the total nominal amount of €146 million as part of a public repurchase offer. In January 2022, RTL Group sold its entire investment in VideoAmp, a US software and data company for media measurement, for US$104 million (€92 million) in cash. The transaction was carried out as a share buyback by VideoAmp. In February 2022, RTL Group announced that it has signed a definitive agreement for the sale of RTL Croatia. 136 Financial Information Consolidated Financial Statements

Name of the entity Like to KNOW GmbH Majorel Chemnitz GmbH1) Place Name of the entity Cologne RTL Group Markenverwaltungs GmbH Chemnitz RTL Group Vermögensverwaltung GmbH Place Cologne Cologne Majorel Neubrandenburg GmbH1) Neubrandenburg RTL Hessen GmbH Frankfurt am Main Majorel Schwerin GmbH1) mbs Nürnberg GmbH Mohn Media Energy GmbH Schwerin RTL interactive GmbH Nuremberg RTL Journalistenschule GmbH Gütersloh RTL NEWS GmbH Mohn Media Mohndruck GmbH Gütersloh RTL Nord GmbH MSP Medien-Service und Promotion GmbH Hamburg RTL Radio Berlin GmbH Next Level Integration GmbH Cologne RTL Radio Deutschland GmbH Paigo GmbH Verl RTL Radio Luxemburg GmbH Penguin Books Deutschland Gesellschaft mit beschränkter Haftung Munich RTL STUDIOS GmbH RTL West GmbH Penguin Random House Verlagsgruppe GmbH Gütersloh rtv media group GmbH Prinovis Ahrensburg Weiterverarbeitung und Logistik GmbH Prinovis Klebebindung GmbH PRINOVIS Service GmbH Prinovis Verwaltungs GmbH Hamburg smartclip Deutschland GmbH smartclip Europe GmbH Nuremberg Sonopress GmbH Hamburg SSB Software Service und Beratung GmbH Gütersloh SUNDAY GmbH Probind Mohn media Binding GmbH Gütersloh TERRITORY EMBRACE GmbH PSC Print Service Center GmbH Random House Audio GmbH Reinhard Mohn GmbH Relias Learning GmbH Oppurg TERRITORY GmbH Cologne TERRITORY Influence GmbH Gütersloh TERRITORY MEDIA GmbH Berlin trndnxt GmbH rewards arvato services GmbH Munich trndsphere blue GmbH RM 9 Beteiligungsverwaltungs GmbH Gütersloh UFA Film und Fernseh GmbH RM Buch und Medien Vertrieb GmbH Gütersloh Ufa Radio-Programmgesellschaft in Bayern mbH RM Elfte Beteiligungsverwaltungs GmbH Gütersloh Undercover GmbH RM Hamburg Holding GmbH Hamburg Verlag RM GmbH Rote Liste Service GmbH Frankfurt am Main Verlegerdienst München GmbH RTL Audio Center Berlin GmbH RTL Audio Vermarktung GmbH RTL Deutschland GmbH Berlin Berlin versorgung.plus GmbH VIVENO Group GmbH Cologne Vogel Druck und Medienservice GmbH RTL Group Central & Eastern Europe GmbH Cologne VOX Holding GmbH RTL Group Financial Services GmbH Cologne VSG Schwerin - Verlagsservicegesellschaft mbH RTL Group GmbH Cologne we are era GmbH 1) The financial year of this subsidiary started on November 1, 2021. Cologne Cologne Cologne Hamburg Berlin Berlin Cologne Cologne Cologne Nuremberg Cologne Düsseldorf Gütersloh Munich Hamburg Bochum Hamburg Munich Munich Munich Munich Cologne Ismaning Schwülper Gütersloh Gilching Dortmund Gütersloh Höchberg Cologne Schwerin Berlin 138 Financial Information Consolidated Financial Statements

The following table shows the number of employees as of December 31, 2021, and on an annual average: Number of Employees RTL Group Penguin Random House Gruner + Jahr BMG Arvato Bertelsmann Printing Group Bertelsmann Education Group Bertelsmann Investments Corporate Total Number of employees (closing date) Number of employees (average) 17,377 11,979 7,166 1,025 96,824 6,804 1,915 396 1,541 17,060 11,637 7,166 1,015 94,877 6,850 1,772 393 1,558 145,027 142,328 32 Proposal for the Appropriation of Net Retained Profits The general partner Bertelsmann Management SE and the Supervisory Board of Bertelsmann SE & Co. KGaA will propose to the General Meeting that the remaining net retained profits of Bertelsmann SE & Co. KGaA of €944 million be appropriated as follows: Net Retained Profits for Bertelsmann SE & Co. KGaA in € millions Net retained profits Dividends to shareholders Carried forward to new financial year The dividend per ordinary share thus amounts to €2,627. 944 (220) 724 140 Financial Information Consolidated Financial Statements

Responsibility Statement To the best of our knowledge, and in accordance with the applicable reporting principles, the Consolidated Financial Statements give a true and fair view of the assets, liabilities, financial position and profit or loss of the Group, and the Combined Management Report includes a fair review of the development and performance of the business and the position of the Bertelsmann Group and Bertelsmann SE & Co. KGaA, together with a description of the material opportunities and risks associated with the expected development of the Bertelsmann Group and Bertelsmann SE & Co. KGaA. Gütersloh, March 16, 2022 Bertelsmann SE & Co. KGaA Represented by: Bertelsmann Management SE, the general partner Executive Board Thomas Rabe Markus Dohle Rolf Hellermann Immanuel Hermreck 142 Responsibility Statement

The financial statement risk to amounted Goodwill at 31 December 2021 and, at 25.8% of total assets and 60.3% of group equity, has a significant impact on the financial position. €8,179 million as Goodwill is tested for impairment annually at the level of the cash-generating units to which the relevant goodwill is allocated, without this requiring a specific cause. If impair- ment triggers arise during the financial year, an event-driven impairment test is also carried out during the year. For good- will impairment testing, the carrying amount is compared with the recoverable amount of each cash-generating unit. If the carrying amount exceeds the recoverable amount, an impairment loss is recognized. The recoverable amount is the higher amount of fair value less costs to sell and value in use of the cash-generating unit. The reporting date for impairment testing is 31 December 2021. For the listed cash-generating units RTL Group, Majorel and Groupe M6, market capitalization is compared to the carrying amount of the cash-generating unit. For the impairment tests of the remaining cash-generating units, the recoverable amount is determined on the basis of future expected cash flows using a DCF method and compared with the carrying amount of the cash-generating unit. There was no requirement to recognize an impairment loss on goodwill. those rates with discussed the expected business and earnings develop- ment in the detailed planning period as well as the assumed long-term growth for planning. We also carried out reconciliation with the 2022 budget prepared by the Executive Board and approved by the Supervisory Board as well as the medium-term business plan (2022 to 2024) and made an assessment of planning updates into the detailed planning period as well as the termination period. responsible We also confirmed the accuracy of the Company’s previous forecasts by comparing the budgets of previous financial years with actual results and by analyzing deviations. We compared the assumptions and data underlying the discount rate, in particular the risk-free rate, the market risk premium and the beta coefficient, with our own assumptions and publicly available data. To ensure the computational accuracy of the valuation method used, we verified the Company’s calculations on the basis of selected risk-based elements and on the basis of our own calculations. In order to take existing forecast uncertainty into account, we investigated the effects of potential changes in the discount rate, in the earnings performance and in the long-term growth rate on the recoverable amount by verifying the sensitivity analyzes performed by the Company and comparing them with the valuation results. Impairment testing of goodwill is complex and based on a number of assumptions requiring judgement. These include the expected business and earnings development of the cash-generating units in the detailed planning period, the long-term growth rates that are assumed and the discount rate that is used. Finally, we assessed whether the disclosures in the notes regarding impairment testing of goodwill are appropriate. This also included an assessment of the appropriateness of disclosures in the notes according to IAS 36.134(f) on sensitivity in the event of a reasonably possible change in the key assumptions used for measurement. There is the risk for the consolidated financial statements that any existing impairment as at the reporting date was not identified. There is also the risk that the related disclosures in the notes are not appropriate. Our audit approach With the involvement of our valuation experts, we also assessed the appropriateness of key assumptions and the calculation method of the Company. To this end, we Our observations The calculation method used for impairment testing of good- will is appropriate and in line with the applicable accounting policies. The Company’s assumptions and data used for measurement are appropriate. The related disclosures in the notes are appropriate. 144 Auditor’s Report

The financial statement risk Investments accounted for using the equity method of €1,340 million are reported under the non-current assets in the consolidated financial statements of Bertelsmann SE & Co. KGaA as at 31 December 2021. The investments in associates are recognized using the equity method pursuant to IAS 28. The recoverability of the invest- ments in associates is assessed on the basis of specific causes where there are indications that the carrying amount of the relevant investment in the associate may be impaired. To this end, the carrying amount is compared with the relevant recoverable amount. If the carrying amount exceeds the recov- erable amount, an impairment is recognized. The recoverable amount is the higher of the fair value less costs to sell and the value in use of the relevant investment in the associate. The cash flows used for the discounted cash flow model are based on plans for individual investments for the next three and five years, which are adjusted using assumptions for long- term growth rates. The relevant discount rate is measured at the weighted average cost of capital. The calculation of the fair value using the income discounted cash flow model is complex and, with regard to the assump- tions that are made, dependent to a great extent on the Company’s estimates and judgements. This is particularly true for the estimate of the future cash flows and long-term growth rates, the determination of the discount rate and other assumptions relating to the business performance of the individual investments in associates. There is the risk for the consolidated financial statements that any existing impairment as at the reporting date was not identified. There is also the risk that the related disclosures in the notes are not appropriate. Our audit approach First, we used the information obtained in the course of our audit to assess which investments in associates could indicate a need for impairment. With the involvement of our valuation experts, we then assessed the appropriateness of key assump- tions and the valuation method used by the Company. To this end, we discussed the expected cash flows and the assumed long-term growth rates with those responsible for planning. We also carried out reconciliations regarding the planning for the associates. Furthermore, we evaluated the consistency of assumptions with external market assessments. We also confirmed the accuracy of the Company’s previous forecasts by comparing the budgets of previous financial years with actual results and by analyzing deviations. We compared the assumptions and data underlying the discount rate, in particular the risk-free rate, the market risk premium and the beta factor, with our own assumptions and publicly available data. In order to take existing forecast uncer- tainty into account, we investigated the effects of potential changes in the discount rate, in the earnings performance and in the long-term growth rate on the recoverable amount by verifying the sensitivity analyzes performed by the Company and comparing them with the valuation results. Finally, we assessed whether the disclosures in the notes regarding the impairment of the investments in associ- ates were appropriate. This also included an assessment of the appropriateness of disclosures in the notes according to IAS 36.134(f) on sensitivity in the event of a reasonably possible change in the key assumptions used for measurement. Our observations The procedure underlying impairment testing of the investments in associates is appropriate and consistent with the accounting policies. The Company’s assumptions and data are appropriate. The related disclosures in the notes are appropriate. Other information The Executive Board and/or the Supervisory Board are/is responsible for the other information. The other information comprises the annual report. The other information does not include the consolidated financial state- ments, the combined management report information audited for content and our auditor’s report thereon. Our opinions on the consolidated financial statements and on the combined management report do not cover the other information, and consequently we do not express an opinion or any other form of assurance conclusion thereon. 146 Auditor’s Report

• Obtain an understanding of internal control relevant to the audit of the consolidated financial statements and of arrangements and measures (systems) relevant to the audit of the combined management report in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of these systems. • Evaluate the appropriateness of accounting policies used by the Executive Board and the reasonableness of estimates made by the Executive Board and related disclosures. • Conclude on the appropriateness of the Executive Board’s use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast signifi- cant doubt on the Group’s ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in the auditor’s report to the related disclosures in the consolidated financial statements and in the combined management report or, if such disclosures are inadequate, to modify our respective opinions. Our conclusions are based on the audit evidence obtained up to the date of our auditor’s report. However, future events or conditions may cause the Group to cease to be able to continue as a going concern. • Evaluate the overall presentation, structure and content of the consolidated financial statements, including the disclo- sures, and whether the consolidated financial statements present the underlying transactions and events in a manner that the consolidated financial statements give a true and fair view of the assets, liabilities, financial position and finan- cial performance of the Group in compliance with IFRSs as adopted by the EU and the additional requirements of German commercial law pursuant to Section 315e (1) HGB. • Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business activities within the Group to express opinions on the consolidated financial statements and on the combined management report. We are responsible for the direction, supervision and performance of the group audit. We remain solely responsible for our opinions. • Evaluate the consistency of the combined management report with the consolidated financial statements, its conformity with [German] law, and the view of the Group’s position it provides. • Perform audit procedures on the prospective information presented by the Executive Board in the combined management report. On the basis of sufficient appropriate audit evidence we evaluate, in particular, the significant assumptions used by the Executive Board as a basis for the prospective information, and evaluate the proper derivation of the prospective information from these assumptions. We do not express a separate opinion on the prospective information and on the assumptions used as a basis. There is a substantial unavoidable risk that future events will differ materially from the prospective information. We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit. We also provide those charged with governance with a state- ment that we have complied with the relevant independence requirements, and communicate with them all relationships and other matters that may reasonably be thought to bear on our independence and, where applicable, the related safeguards. From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the consolidated financial state- ments of the current period and are therefore the key audit matters. We describe these matters in our auditor’s report unless law or regulation precludes public disclosure about the matter. Note on emphasis of matter of inherent risk due to uncertainties regarding the legal conformity of the interpretation of the EU Taxonomy Regulation Please refer to the comments of the Executive Board in the “EU Taxonomy” section of the combined non-financial statement pursuant to Section 315b (1) HGB contained in the “combined non-financial statement” section of the combined management report. This section describes that the EU Taxonomy Regulation and the delegated acts issued in this regard contain formulations and terms that are still subject to considerable uncertainty regarding interpretation and for which clarifications have not yet been published in each case. The Executive Board pres- ents how it made the necessary interpretations of the EU Taxonomy Regulation and the delegated acts adopted in this regard. Due to the inherent risk that undefined legal 148 Auditor’s Report

the circumstances, but not for the purpose of express- ing an assurance opinion on the effectiveness of these controls. • Evaluate the technical validity of the ESEF documents, i.e. whether the file made available containing the ESEF documents meets the requirements of the Delegated Regulation (EU) 2019/815, as amended as at the reporting date, on the technical specification for this electronic file. • Evaluate whether the ESEF documents provide an XHTML rendering with content equivalent to the audited consolidated financial statements and the audited combined management report. • Evaluate whether the tagging of the ESEF documents with Inline XBRL technology (iXBRL), in accordance with the requirements of Articles 4 and 6 of Delegated Regula- tion (EU) 2019/815, as amended as at the reporting date, enables an appropriate and complete machine-readable XBRL copy of the XHTML rendering. Other Matter – Use of the Auditor’s Report Our auditor’s report must always be read together with the audited consolidated financial statements and the audited combined management report as well as the examined ESEF documents. The consolidated financial statements and the combined management report converted to the ESEF format – including the versions to be published in the German Federal Gazette (Bundesanzeiger) – are merely electronic renderings of the audited consolidated financial statements and the audited combined management report and do not take their place. In particular, the ESEF report and our assurance opinion contained therein are to be used solely together with the examined ESEF documents made available in electronic form. German Public Auditor Responsible for the Engagement Further information pursuant to Article 10 of the EU Audit Regulation The German Public Auditor responsible for the audit is Frank Thiele. We were elected as group auditor at the Annual General Meeting on 6 May 2021. We were engaged by the Supervisory Board on 7 July 2021. We have been the group auditor of Bertelsmann SE & Co. KGaA since financial year 2020. Bielefeld, 17 March 2022 KPMG AG Wirtschaftsprüfungsgesellschaft We declare that the opinions expressed in this auditor’s report are consistent with the additional report to the Audit Committee pursuant to Article 11 of the EU Audit Regulation (long-form audit report). Dr Tonne Wirtschaftsprüfer (German Public Auditor) Thiele Wirtschaftsprüfer (German Public Auditor) 150 Auditor’s Report

partner and uses its extensive information and control rights for this purpose. In addition, the Supervisory Boards advise the Executive Board on strategic matters and significant transactions. The Executive and Supervisory Boards work in close, trusting cooperation and are able to reconcile the demands of effective corporate governance with the need for rapid decision-making processes. The organization and duties of the Supervisory Board of Bertelsmann SE & Co. KGaA are described in greater detail in the Report of the Supervisory Board on pages 154 ff. The work of the Supervisory Board in the 2021 financial year is also covered in the report. The members of the Executive and Supervisory Boards are obliged to serve the company’s best interests in their work. The Bertelsmann SE & Co. KGaA and Bertelsmann Manage- ment SE shareholders exercise their rights and vote at the respective General Meetings. The General Meetings vote on matters such as amendments to the articles of association and the appropriation of net income, and elect the members of the respective Supervisory Boards. in 2021. The Supervisory Board and the Executive Board are notified annually of progress in regard to these targets. The Supervisory Board supports the goal of having equal repre- sentation of women and men in management positions. Bertelsmann SE & Co. KGaA is an unlisted company and is not subject to parity codetermination. The “Equal Participa- tion of Women and Men in Leadership Positions in the Private and Public Sector Act” does not apply to the two Supervisory Board bodies. Nevertheless, Bertelsmann supports the goal of this legislation. Four of the 14 Supervisory Board members are women. Even though the Supervisory Board will not be setting a target quota for women on the Supervisory Board for the time being, the share of women in new appointments should not go down. When candidates are nominated for election as new members of the Supervisory Board, consider- ation is always given to the aim of increasing the proportion of female members or members from other countries. Integrity & Compliance Diversity in Practice At a global company like Bertelsmann, diversity within the workforce is a prerequisite for creativity and entrepreneurship, and therefore for the Group’s long-term economic success. The Bertelsmann Executive Board's new Diversity, Equity & Inclusion Policy reaffirms the aim to create appropriate frame- work conditions that further increase the diversity of staff at all levels and in every respect. An interdivisional and international working group has been tasked with consistently promoting diversity at all levels of the company (see “Combined Non-Financial Statement” within the Combined Management Report, p. 44 ff.). The focus in 2021 – in addition to measures addressing disabilities as well as sexual orientation and identity – continued to be on increas- ing gender diversity. As of December 31, 2021, in the GMC, in which six nationalities are represented, five of the 18 members were women. Two additional women in management were appointed to the GMC on March 1, 2022. Bertelsmann had set a goal to have one-third of its top and senior management positions across all divisions occupied by women by the end of 2021. While the percentage of women managers in senior management remained unchanged from the previous year, Bertelsmann was able to increase the percentage in top man- agement. This is now at 30 percent for both groups. Through development measures within the talent pools and standardized talent management processes, Bertelsmann promotes the sustainable structure of a diverse talent pipeline. Targets were accordingly set for the talent pools – one-third for the top and senior management pool, and 50 percent in the career devel- opment pool. These targets were again successfully reached Corporate responsibility, lawful behavior and acting with integrity toward employees, customers, business partners and government agencies are an integral part of our value system at Bertelsmann. Bertelsmann has always been com- mitted to the principle of adhering to laws and has internal policies on the prevention of risks and their consequences. To ensure compliance, the Executive Board has established a compliance organization and the Integrity & Compliance program. It oversees this program and ensures that it is continuously improved. The Supervisory Board Audit and Finance Committee monitors the effectiveness and proper functioning of the compliance organization. The Executive Board established the Corporate Compliance Committee (CCC). Each year, the CCC submits an extensive report about compliance within the Group to the Executive and Supervisory Boards. It also provides ad hoc reports to the Executive and Supervisory Boards in the event of any sig- nificant compliance violations. The CCC is responsible for the effectiveness of measures designed to ensure compli- ance, and for promoting a culture of integrity and compliant conduct within the Bertelsmann Group. In particular, the CCC monitors investigations into compliance violations and the measures taken to prevent violations. The Integrity & Compliance department is responsible for the day-to-day work to ensure compliance, implementing Board-mandated compliance initiatives and managing the whistleblowing systems. The Bertelsmann Integrity & Compliance program is based on the relevant standards for compliance management systems and helps mitigate risks in various ways. Its basic 152 Corporate Governance

Report of the Supervisory Board Christoph Mohn Chairman of the Supervisory Board of Bertelsmann SE & Co. KGaA Dear shareholders, The world economy grew dynamically in the 2021 reporting period as a consequence of the continued recovery from the impacts of the coronavirus pandemic. As expected, growth was uneven in markets relevant to Bertelsmann. European TV advertising markets recorded significant to strong growth rates, and streaming markets in Germany and the Netherlands also continued to experience strong growth. The relevant markets for printed books and digital audio books achieved positive growth overall, but publisher sales of e-books declined. The German magazine market was characterized by stable ad revenues, while digital ad revenues grew sharply. Growth in the music markets relevant for publishing and recording rights ranged from significant to strong. The service markets – with the exception of a declining market for financial services due to regulatory changes – showed significant to strong growth overall in sectors relevant to Bertelsmann. The European printing markets for offset and gravure experienced stable development and moderate declines, respectively, while the book printing markets in the United States recorded strong growth. In addition, the educational markets that are relevant to Bertelsmann continued to show sustained growth. In this heterogeneous market environment, the Bertelsmann Group achieved strong organic revenue growth of 9% compared to the pre-crisis year 2019 and achieved operating earnings of more than €3 billion (EBITDA) for the second consecutive time, despite the ongoing pandemic situation. of this report. The Supervisory Board of Bertelsmann SE & Co. KGaA supervises the management of the business by the Executive Board of Bertelsmann Management SE and uses its extensive information and control rights for this purpose. In addition, the Supervisory Board advises the Executive Board on strategic matters and significant transactions. The Executive and Supervisory Boards work in close, trusting cooperation and are able to reconcile the demands of effective corporate governance with the need for rapid decision-making processes. For some time, the delegation of tasks to committees of experts has been an integral component of the Supervisory Board’s work at Bertelsmann. This increases the monitoring efficiency and advisory expertise of the Supervisory Boards. These committees also prepare the topics to be addressed during the plenary meetings. The committee chairs – or, where applicable, their representatives – then report to the plenary meetings on the work performed by their committees. The Supervisory Board of Bertelsmann SE & Co. KGaA has formed an Audit and Finance Committee and the Working Group of Employee and Management Representatives. The Audit and Finance Committee of the Supervisory Board of Bertelsmann SE & Co. KGaA is also involved in financial reporting and the financial reporting process, and monitors the effectiveness of the risk management system, the internal control system and the internal auditing system. Compliance within the Group and non-financial reporting are other important topics. One focus of the work is the review of the Annual Financial Statements and Consolidated Financial Statements. The tasks of the Supervisory Board of Bertelsmann Management SE are augmented by the tasks of the Supervisory Board. A Personnel Committee and Program Committee have also been set up. The Personnel Committee of Bertelsmann Management SE is also a Nomination Committee and, in this role, recommends to the plenary session of the Supervisory Board suitable candidates for the Supervisory Board. The Program Committee, instead of the Supervisory Board, decides on the approval of the Supervisory Board to enter into program supply deals – for example, for feature films, series or sports rights. Advising and Monitoring the Executive Board of Bertelsmann Management SE in the 2021 Financial Year This report covers the activities of the Supervisory Board of Bertelsmann SE & Co. KGaA. The activities of the Supervisory Board of Bertelsmann Management SE are not the subject In the reporting period, the Supervisory Board of Bertelsmann SE & Co. KGaA again diligently fulfilled the duties incumbent upon it by law and under the articles of association and bylaws. 154 Report of the Supervisory Board

implementation and the progress made in the transforma- tion of the Group portfolio since the last Strategic Planning Dialogue. Bertelsmann is still pursuing the strategic goal of becoming a faster-growing, more digital, more international and more diversified company, while also becoming less dependent on advertising. The Supervisory Board was satisfied that Bertelsmann has already made considerable progress toward this goal, both in the transformation of its Group busi- nesses and in the corresponding improvement of its portfolio quality. Bertelsmann’s strategic focus is on a fast-growing, digital, international and diversified Group portfolio. New busi- nesses in which Bertelsmann invests should have long-term stable growth, global reach, sustainable business models, high market-entry barriers and scalability. The education busi- ness is to be developed into the third earnings pillar alongside the media and service businesses. The strategic priorities for the Group-wide growth initiatives are the creation of national media champions, expansion of global content businesses, growth through global services, expansion of the online edu- cation business and development of the investment portfolio. Further developing the strategy in this way is necessary to meet new challenges such as growing competition from the global tech platforms. The Group aims to grow in existing and new lines of business, and through organic initiatives and acquisitions. The framework for successful implementation of the strategy is formed by tech and data, upskilling, and co- operation and alliances. In addition, the HR strategy has further evolved and constitutes an additional significant element in successful implementation. Based on the insights gained during the strategy retreat, the Supervisory Board believes that the Group is making very good progress. Supervisory Board Audit and Finance Committee Within its sphere of responsibility, the Supervisory Board of Bertelsmann SE & Co. KGaA established the Audit and Finance Committee to perform its tasks efficiently. The Audit and Finance Committee has four members; the Chair of the Supervisory Board does not lead this committee. The Chair of the Audit and Finance Committee is Bodo Uebber. Both the Chair of the Audit and Finance Committee and at least one additional committee member are independent as defined by the Code and have special knowledge and experience in the areas of financial reporting and of auditing. All members of the Audit and Finance Committee are familiar with the sectors in which Bertelsmann SE & Co. KGaA operates. addressed the financial reporting and financial reporting processes and monitored the effectiveness and functional capability of the risk management system, the internal control system and the internal auditing system. It also requested regular reports from the Head of Corporate Audit and Consulting. An important issue in this regard was moni- toring the effectiveness of the internal auditing system, not least given the limited on-site auditing opportunities in the Group's businesses during the coronavirus pandemic. Furthermore, the Committee addressed issues relating to integrity and compliance, in particular the effectiveness and proper functioning of the compliance management system. In the Committee heard reports on significant compliance-related events in the Group. The Audit and Finance Committee determined to its satisfaction that Bertelsmann has an adequate and effective internal control system and risk management system with regard to the scope and risk situation of the company. this connection, In addition, the Audit and Finance Committee reviewed at length the implementation of the EU’s General Data Protection Regulation (GDPR) at Bertelsmann. During this part of the meeting, the Audit and Finance Committee was briefed on the further development of the data protection strategy, the status of its implementation and the further development of data protection requirements. An issue regularly addressed in the meetings of the Audit and Finance Committee was the situation and ongoing development of the Group’s cybersecurity and IT security structure. The expansion of cybersecurity continues to be one of the top priorities in the Group. Thus, the “Basic Infrastructure Measures” (BIM) Initiative is at the core of the activities for improving the security level in the existing IT infrastructures. The Audit and Finance Committee addressed the implementation requirements for Bertelsmann resulting from the German Act to Strengthen Financial Market Integrity (FISG). Because the requirements of the FISG had for the most part already been anticipated by Bertelsmann, the need for further adjustments was very limited. An addi- tional central issue for the Audit and Finance Committee in the reporting period was non-financial reporting and its further development due to new regulatory requirements, such as the EU Taxonomy Regulation. This issue will continue to occupy a central place in the Committee’s work in years to come due to its dynamic nature. In the period leading up to Majorel's successful IPO, the Audit and Finance Committee also dealt with the measures taken to prepare the business in organiza- tional and structural terms for the capital market. In particular, and in accordance with its mandate for the reporting year, the Audit and Finance Committee discussed issues of corporate financing, the financial position of the Group, financial planning, fiscal policy and individual negative deviations of the performance of Group businesses from budgeted performance. The Committee also extensively The Committee focused on the auditing of the Annual Finan- cial Statements and the Consolidated Financial Statements (see also the section “Audit of the Annual and Consolidated Financial Statements” below). The Audit and Finance Commit- tee had already discussed the focal points of the 2020 audit 156 Report of the Supervisory Board

the Annual and Consolidated Financial Statements. The Audit and Finance Committee reported comprehensively to the plenary session of the Supervisory Board concerning the audit of the Annual and Consolidated Financial Statements and the audit reports. as a new member of the Supervisory Board effective January 1, 2022. At present, all 10 members of the Supervisory Board of Bertelsmann Management SE are also members of the currently 14-strong Supervisory Board of Bertelsmann SE & Co. KGaA. On March 25, 2022, the plenary session of the Supervisory Board reviewed and discussed the Annual Financial Statements, Consolidated Financial Statements and Combined Management Report in detail, taking into account the recommendations of the Audit and Finance Committee and those contained in the audit reports and following further discussion with the auditor. The Supervisory Board concurred with the audit findings. After its own final scrutiny of the Annual and Consolidated Financial Statements and the Combined Management Report, the Supervisory Board – acting in accordance with the Audit and Finance Committee’s recommendation – raised no objections. The financial statements prepared by the Bertelsmann Management SE Executive Board were thus approved. Moreover, the Supervisory Board approved the Report of the Supervisory Board for the Annual General Meeting and the Corporate Governance Report, as well as its resolution proposals concerning the agenda items for the ordinary Annual General Meeting taking place on May 9, 2022. The Supervisory Board has furthermore reviewed the Bertelsmann Management SE Executive Board proposal as to the amount of net retained profits for appropriation to shareholders, and concurs with said proposal. The amount of the dividend proposed by the Executive Board of Bertelsmann Management SE is appropriate, in the view of the Supervisory Board, in consideration of the level of net retained profits, the economic environment, the company’s economic situation and the interests of the shareholders. Changes in the Executive Board of Bertelsmann Management SE and in the Supervisory Board, Objectives for the Composition of the Supervisory Board The business of Bertelsmann SE & Co. KGaA is managed by its general partner, Bertelsmann Management SE, represented by its Executive Board. There were no personnel changes in the composition of the Executive Board of Bertelsmann Management SE during the 2021 financial year. The following changes occurred in the Supervisory Board of Bertelsmann SE & Co. KGaA during the financial year or the reporting period: On May 6, 2021, the Annual General Meeting elected Núria Cabutí as a member of the Supervisory Board effective July 1, 2021. Ms. Cabutí was nominated by management representatives in the Group. An extraordinary general meeting of Bertelsmann SE & Co. KGaA on November 23, 2021, elected Dominik Asam, CFO of Airbus SE, The appropriate size of the Supervisory Boards and the experi- ence and professional expertise of their members, who are drawn from a broad range of industries and areas of activity, are key factors in the effectiveness and independence of the work carried out by the Supervisory Board. With the exception of Supervisory Board members who are also members of the Mohn family (Dr. Brigitte Mohn, Christoph Mohn, Liz Mohn) and the employee representatives on the Supervisory Board (Kai Brettmann, Günter Göbel, Christiane Sussieck) or the representative of the Bertelsmann Management Representative Committee (Núria Cabutí), the Supervisory Board considers all other members of the Supervisory Board (Dominik Asam, Prof. Dr. Werner Bauer, Bernd Leukert, Gigi Levy-Weiss, Henrik Poulsen, Hans Dieter Pötsch, Bodo Uebber) to be independent as defined in the German Corporate Governance Code. Accordingly, the Supervisory Board has an appropriate number of independent members among the shareholders. All Supervisory Board members attended at least half of the Supervisory Board meetings convened. No potential conflicts of interest arose on the Supervisory Board. The “Equal Participation of Women and Men in Leadership Positions in the Private and Public Sector Act” does not apply to the Supervisory Board of Bertelsmann SE & Co. KGaA as it is an unlisted company. However, the Supervisory Board does support the aim of the act. From a strategic point of view, the Supervisory Board also aims to properly fulfill its monitoring and consulting function by ensuring diversity among its members. The Supervisory Board will not at this time, however, set any target quota for women on the Supervisory Board. It firmly believes that suitable measures have been taken within the company in the areas of succession planning, management development and the selection processes to ensure the equal participation of men and women on an ongoing basis. In the Supervisory Board, the aim is to ensure that the existing proportion of women will not be reduced when new members are appointed. Ideally, the backgrounds of new members will show links to Bertelsmann’s growth regions and markets. (See also the “Diversity in Practice” section in the Corporate Governance Report on page 152) The Supervisory Board recognizes the intention of the Government Commission on the German Corporate Governance Code in its call for a specifica- tion of targets for an age limit and a standard limit for length of service on the Supervisory Board. In view of Bertelsmann’s particular shareholder structure and the age limit regulations already contained in the company’s articles of association, the Supervisory Board does not feel it is necessary or appropriate 158 Report of the Supervisory Board

Supervisory Board Christoph Mohn Chairman Chairman of the Board of Bertelsmann Verwaltungsgesellschaft mbH (BVG) (since June 21, 2021) Chairman of the Reinhard Mohn Stiftung Managing Director, Christoph Mohn Internet Holding GmbH • Bertelsmann Management SE (Chairman) Bernd Leukert Member of the Executive Board for Technology, Data and Innovation of Deutsche Bank AG • Bertelsmann Management SE • DWS Group GmbH & Co. KGaA Prof. Dr.-Ing. Werner J. Bauer Vice Chairman Former Executive Vice President of Nestlé AG for Innovation, Technology, Research and Development • Bertelsmann Management SE (Vice Chairman) • Givaudan S.A. (Vice Chairman) • LONZA S.A. • SIG Combibloc Group AG Dominik Asam (since January 1, 2022) Chief Financial Officer Airbus SE • Airbus Bank GmbH (Chairman) • Airbus Defence and Space GmbH (Chairman) • Bertelsmann Management SE (since January 1, 2022) • Premium Aerotec GmbH (Chairman) • Airbus Canada L.P. Kai Brettmann Editorial Director RTL Nord GmbH, Hamburg Chairman of the RTL Group European Works Council Chairman of RTL Deutschland Corporate Works Council (until February 8, 2022) Chairman of the Works Council of RTL Nord Núria Cabutí (since June 1, 2021) Chairwoman of the International Management Representative Committee, Bertelsmann SE & Co. KGaA (BMRC) • CELESA S.A. Günter Göbel Chairman of the Corporate Works Council, Bertelsmann SE & Co. KGaA Gigi Levy-Weiss General Partner NfX, Angel Investor • Bertelsmann Management SE • 7 Chairs Ltd. • Authorizon, Inc. (since July 26, 2021) • Beach Bum Ltd. (until October 14, 2021) • Blue Ocean Data Solutions, Inc. (since February 19, 2021) • Bridgecrew inc. • Caja Elastic Dynamic Solutions Ltd. • Constru Ltd. • Cytune, Ltd. (since August 6, 2021) • Driveway Software Corporation (until July 2, 2021) • Elmik Touristic Services Ltd. • Fantasy Advantage, Ltd. (since June 17, 2021) • GameJam Ltd. • Hip Mobility, Inc. • IMA Ventures Ltd. • ImagenAI Ltd. (since September 2, 2021) • Inception VR, Inc. • Inception VR (Israel) Ltd. • Inception VR (UK) Ltd. • Komodor, Inc. • Landa Holdings, Inc. • Mov.Al Ltd. • MyHeritage Ltd. (until April 8, 2021) • NFX Capital UK, Ltd. • NFX Capital Israel Ltd. • Papaya Gaming Ltd. • PayEm Card, Ltd. (since February 22, 2021) • Premium Domains Ltd. • Propel (Z.M. Corporation Ltd.) (since December 7, 2021) • Reach Digital Inc. • Shoptagr Ltd. • SimilarWeb Ltd. (until July 2021) • Super.ai, Inc. (since May 26, 2021) • Tectonic Labs Ltd. • Theator Inc. • TrustMed Ltd. • Volunteer Directly Ltd. • Zengaming, INC. • Membership of statutory domestic supervisory boards • Membership of comparable domestic and foreign supervisory bodies of business enterprises 160 Boards/Mandates Supervisory Board

Bertelsmann SE & Co. KGaA’s Supervisory Board Committees 2021 Bertelsmann Management SE’s Supervisory Board Committees 2021 Audit and Finance Committee Bodo Uebber (Chairman) Kai Brettmann Christoph Mohn Hans Dieter Pötsch Working Group of Employee Representatives Liz Mohn (Chairwoman) Kai Brettmann Núria Cabutí (from June 1, 2021) Günter Göbel Christiane Sussieck Personnel Committee Christoph Mohn (Chairman) Prof. Dr.-Ing. Werner J. Bauer Liz Mohn Hans Dieter Pötsch Bodo Uebber Program Committee Christoph Mohn (Chairman) Prof. Dr.-Ing. Werner J. Bauer Dr. Brigitte Mohn Hans Dieter Pötsch 162 Boards/Mandates Supervisory Board

Selected Terms at a Glance Alternative Performance Measures Corporate Governance Additional financial measures that are not directly specified by financial reporting regulations. These are determined by means of a company-specific reconciliation and are based on manda- tory (IFRS) measures. The term for responsible corporate management and control in the interest of creating sustainable value. Bertelsmann Value Added (BVA) A performance indicator for assessing the profitability of operations and return on invested capital. BVA is calculated as the difference between net operating profit after tax (NOPAT) and the cost of capital. NOPAT is calculated on the basis of operating EBITDA. By deducting amortization, depreciation, impairment and reversals, and adjusting for special items, and after modifications and less a flat tax, NOPAT, which is used as the basis for calculating BVA, is determined. Cost of capital is the product of the weighted average cost of capital (WACC, where uniform WACC after taxes is 8 percent) and the level of capital invested (Group’s operating assets less non-interest- bearing operating liabilities). Coverage Ratio The (interest) coverage ratio is a financing target. It represents the ratio of operating EBITDA to financial result. Amounts reported in the Annual Financial Statements are modified in calculating the coverage ratio. Equity Method The equity method is a method of accounting to recognize associates and joint ventures, whereby the investment is ini- tially recognized at cost and adjusted thereafter for the post- acquisition change in the investor’s share of the investee’s net assets. Goodwill Cash Flow A company’s cash inflows and outflows during a specific period. Goodwill represents the future economic benefits arising from those assets acquired in a business combination that are not individually identified and separately recognized. Contractual Trust Arrangement (CTA) The concept of funding and insolvency protection of pension obligations by transferring assets into a structure similar to a trust. Assets are classified as plan assets under IFRS and are netted against the company’s pension obligations. 164 Additional Information Selected Terms at a Glance

Financial Calendar Contact May 6, 2022 Announcement of figures for the first three months of 2022 May 10, 2022 Payout of dividends on profit participation certificates for the 2021 financial year August 31, 2022 Announcement of figures for the first half of 2022 November 4, 2022 Announcement of figures for the first nine months of 2022 For Journalists Phone: +49 (0) 52 41-80-24 66 press@bertelsmann.com Investor Relations Phone: +49 (0) 52 41-80-23 42 investor.relations@bertelsmann.de Recruiting Services createyourowncareer@bertelsmann.com www.createyourowncareer.com Corporate Responsibility Phone: +49 (0) 52 41-80-750 21 responsibility@bertelsmann.com The Annual Report and current information about Bertelsmann are also posted on: www.bertelsmann.com Production Credits Publisher Bertelsmann SE & Co. KGaA Carl-Bertelsmann-Strasse 270 33311 Gütersloh Germany Responsible Karin Schlautmann Bertelsmann SE & Co. KGaA Executive Vice President Corporate Communications Project Management Simone Fratczak Bertelsmann SE & Co. KGaA Corporate Communications Design and Production Territory GmbH, Gütersloh Photo Credits Sebastian Pfütze 166 Additional Information Production Credits The Annual Report is also available in German.

Bertelsmann SE & Co. KGaA Carl-Bertelsmann-Strasse 270 33311 Gütersloh Germany www.bertelsmann.com