1. THE BNR AND THE IMPLEMENTATION OF THE TOD PAUL DAVIES Allen & Overy Professor of Corporate Law, University of Oxford

2. Davies, Paul L., Schuster, Edmund-Philipp and Van de Walle de Ghelcke, Emilie, The Takeover Directive as a Protectionist Tool? (February 17, 2010). ECGI - Law Working Paper No. 141/2010. Available at SSRN: http://ssrn.com/abstract=1554616

3. BNR:MEMBER STATE CHOICES

4. BNR: COMPANY CHOICES

5. COUNTRIES INTRODUCING MANDATORY BNR WITH NO RECIPROCITY CYPRUS FINLAND LATVIA MALTA ROMANIA

6. COUNTRIES REMOVING PREVIOUSLY MANDATORY BNR ITALY HUNGARY

7. COUNTRIES INTRODUCING RECIPROCITY EXCEPTION TO EXISTING MANDATORY BNR FRANCE ITALY SLOVENIA SPAIN PORTUGAL

9. COUNTRYBNR SCORE BEFOREBNR SCORE AFTER COMMISSION CHALLENGE AVERSE ECJ DECISION Austria44NO Belgium00YES C - 503/99 Bulgaria44NO Cyprus04NO Czech Republic44NO Denmark00YES Estonia44NO Finland04NO France43YES (2)C-483/99 Germany00YESC-112/05 Greece43YES (2) Hungary40YES (2) Ireland44NO Italy42YES (4) C-58/99; C ‑ 326/07; C-174/04; C-463, 464/2004 Latvia04NO Lithuania44NO Luxembourg00YES Malta04NO Netherlands00YES C-282, 283/04 Poland00YES (2) Portugal43YES (4)C-367/98 Romania04NO Slovakia44YES Slovenia43NO Spain43YES (2) C-463/00; C-207/07 Sweden44NO United Kingdom44YESC-98/01

10. FRANCE: CAC 40 2009 Defensive warrantsPrior permission to issue shares Resolution withdrawn Air Liquide Bouygues Essilor Pernod Ricard Peugeot Saint Gobain Veolia Environnement Dexia EADS LVMH Sanofi-Aventis Bouygues Dexia Peugeot Capgemini Vallourec Sources: Herbert Smith; HQB Partners

11. Italy: Opt-out decisions Company nameMarket value (in mEUR) Fiat SpA Banca Carige SpA YOOX S.p.A. Marcolin S.p.A. Tamburi Investment Partners S.p.A. AcegasAps SpA EL.EN. S.p.A. Mondo Home Entertainment SpA Meridie S.p.A. 9 companies, total market capitalisation 8,232.27 2,659.62 510.23 273.41 201.81 189.68 52.88 10.82 7.00 12,137.70 Sources: Company filings, Borsa Italiana

12. Reform Proposal Make BNR the default subject to a periodic opt-out decision by ordinary majority (Italy) Remove MSS from decision-making process Default in favour of those less well able to act But not mandatory where shareholders believe company will operate better without a BNR in place Apply to BTR?