2017 ANNUAL REVIEW Fueling growth with innovation, management excellence and a constant focus on our strategy For the year ended January 31, 2017 We said we would outperform. And we did. 02 1 2 1. BRP's Lynx Xtrim RE snowmobile, a deep-snow crossover designed for performance. 2. The side-by-side market has continued its fast-paced growth in FY 2017. Here, our Can-Am Defender Max model. BRP | 2017 ANNUAL REVIEW 03 Letter to shareholders Dear shareholders, Two years after launching our 2020 plan — and nearly half- way through that plan — we remain steadily focused on its achievement. All employees worldwide are completely aligned with our strategic priorities. This resulted in the flawless execution I witnessed this past year, and in the record results I’m proud to share with you. Revenues for the year increased by 9% to pass the $4 billion mark for the first time, due in part to good sales of Can-Am off-road vehicles and Sea-Doo watercraft. Our Normalized EBITDA* also increased by 9%, resulting in record normalized diluted earnings per share* (EPS) of $1.96, an increase of $0.25 or 15% per share compared to the same period last year, and all this, within challenging market conditions. I can see and feel the result of our focus. We have talented people everywhere and they are motivated to deliver the plan. Beyond that, it is clear to me that our diversification strategy is also a key contributor: diversification in our product lines, well-balanced in our portfolio, with vehicles for every season; in our global sales network across 107 countries; and in our world-class manufacturing footprint in five countries around the world. In addition, we continue to innovate to keep an edge over our competitors. While we are continuously adjusting our plan based on past learning and business realities, the ultimate objective of reaching the $6 billion mark and $3.50 EPS by FY 2021 through 10% revenue CAGR and 15% normalized EPS CAGR remains the same. f Continued on page 4 * See Non-IFRS Mesures on p. 15. BRP | 2017 ANNUAL REVIEW LETTER TO SHAREHOLDERS 1 Strategic priorities GROWTH AGILITY LEAN ENTERPRISE ACCELERATE GROWTH CREATE A STRONG PIPELINE OF NEW GROWTH OPPORTUNITIES IMPLEMENT A MORE FLEXIBLE SUPPLY CHAIN TO IMPROVE CONSUMER EXPERIENCE AND REDUCE WORKING CAPITAL RELENTLESS PURSUIT OF EPS IMPROVEMENT THROUGH ORGANIZATIONAL EXCELLENCE AND A LEAN MINDSET ACROSS BRP 04 g Continued GROWTH Our growth is driven by the Can-Am brand, in particular the side-by-side vehicles such as the Defender and Maverick X3 models. These vehicles, addressing new markets, have significantly contributed to our excellent financial results in 2016, despite the X3 being introduced only in August. An important element of our growth strategy is the expansion of our dealer network. We had aimed to sign on 200 to 300 new dealers and I’m pleased that we have succeeded in that goal. At the same time, we can see an important momentum among our worldwide dealers. Our Dealer Value Proposition, including the product lines and incentive programs, is being well received and creating exceptional engagement in the network. I’m very happy with the constitution of the network, and I’m confident that each dealer can have a successful business. 2 AGILITY In 2016, we introduced several more vehicles designed and built along the modularity principles of BM2, adapted from the automobile industry. These provide greater flexibility in the design, manufacturing and assembly of our vehicles, which allows us to offer an unprecedented number of new vehicles in a very short period of time. I’ve always insisted that our strategic priorities apply not only to our products, but also to our administrative processes. An excellent example this year is the management cockpit, which is a new way of holding our management committee meetings that is proving to be a strong alignment tool for all members of my team, helping us to focus on what’s important, act and react rapidly as needed, and consistently communicate key performance indicators. f Continued on page 7 1. BRP’s products address a wide range of needs, including riding in the mud. Here’s the Can-Am Maverick MAX 1000R Xmr model. 2. Now in its third year, the Sea-Doo Spark model continues to bring new, younger users to the PWC market. BRP | 2017 ANNUAL REVIEW SEASONAL PRODUCTS NO1 PWCs NO1 SNOWMOBILES PARTS, ACCESSORIES AND CLOTHING (PAC) A global leader in motorized vehicles and engines Our product categories Numbers indicate global market position. YEAR-ROUND PRODUCTS SPYDER THREE-WHEEL VEHICLES (No direct competitor) NO4 SIDE-BY-SIDE VEHICLES NO3 ALL-TERRAIN VEHICLES PROPULSION SYSTEMS World’s largest piston aircraft engine manufacturer NO4 OUTBOARD ENGINES (30 hp+) Moving people with passion and innovation BRP is a global leader in the design, development, manufacturing, distribution and marketing of powersports vehicles and propulsion systems. Its portfolio includes Ski-Doo® and Lynx® snowmobiles, Sea-Doo® watercraft, Can-Am® off-road and Spyder® vehicles, Evinrude® and Rotax® marine propulsion systems, as well as Rotax engines for karts, motorcycles and recreational aircraft. BRP supports its line of products with a dedicated parts, accessories and clothing business. 05 Company overview $4.2B ANNUAL SALES 8,700 OUR DEDICATED EMPLOYEES WORLDWIDE 100+ COUNTRIES WHERE OUR PRODUCTS ARE FOUND 4,200 DEALERS WHO REPRESENT OUR BRANDS 35 WORLDWIDE AWARDS RECOGNIZING BRP AS BEING A GOOD CORPORATE CITIZEN, INCLUDING THE LEED SILVER CERTIFICATION FOR BRP’S NEW JUÁREZ 2 FACTORY IN MEXICO 3rd BEST PERFORMING STOCK IN THE S&P/TSX COMPOSITE INDEX CONSUMER DISCRETIONARY SECTOR IN 2016 0.6 OUR WORLD-CLASS WORKPLACE ACCIDENT RATE* * Lost time or restricted case frequency rate BRP | 2017 ANNUAL REVIEW FISCAL YEAR 2017 Financial highlights REVENUE BASE BY CATEGORY At January 31, 2017 39.3% YEAR-ROUND PRODUCTS 35.3% SEASONAL PRODUCTS 15.4% PARTS, ACCESSORIES AND CLOTHING 10.0% PROPULSION SYSTEMS TOTAL REVENUES CA$ millions, at January 31, 2017 NORMALIZED EBITDA1 CA$ millions, at January 31, 2017 4,172 3,829 CAGR* 10% 3,525 3,194 2,896 CAGR* 11% 380 335 503 460 421 2013 2014 2015 2016 2017 2013 2014 2015 2016 2017 REVENUE BASE BY REGION At January 31, 2017 06 NORMALIZED EARNINGS PER SHARE - DILUTED 1 CA$, at January 31, 2017 RESEARCH AND DEVELOPMENT SPENDING As a % of revenues and in CA$ millions CAGR* 8% 1.43 1.49 1.65 1.71 1.96 4.4% 4.5% 4.5% 158 145 128 4.3% 4.4% 184 164 2013 2014 2015 2016 2017 2013 2014 2015 2016 2017 50.8% UNITED STATES 31.5% INTERNATIONAL 17.7% CANADA SHARE PRICE Monthly closing price in CA$ $26.29 Feb. 1, 2017 $15.61 Feb. 1, 2016 F M A M J J A S O N D J F FY 2017 * Compound Annual Growth Rate 1 See IFRS and Non-IFRS measures section on p. 15. BRP | 2017 ANNUAL REVIEW NEW POWERSPORTS DEALERS ADDED IN NORTH AMERICA FY* 2017 (TARGET: 45-55+) SINCE FY 2014 (TARGET: 200-300+) * Fiscal year 70 289 +33% SIDE-BY-SIDE AND SPYDER COVERAGE IN NORTH AMERICA OVER THE PAST 4 YEARS NEW EVINRUDE DEALERS ADDED IN NORTH AMERICA FY 2017 55 NEW EVINRUDE BOAT BUILDERS ADDED IN NORTH AMERICA FY 2017 13 g Continued LEAN ENTERPRISE In December 2015, BRP announced a $118 million investment in its Valcourt manufacturing site. The first phase of this five-year project is now complete and we can already see important cost reductions attributable in part to better material flow, inventory reduction, decreased set-up times, and new technologies that reduce our manufacturing costs and create value for our customers. At our Gunskirchen site, the 2020 plan allowed us to reduce the number of assembly lines from five to two, to introduce new technologies such as plasma coating, and to begin the in-house fabrication of turbo-charged systems, enabling us to better design powerful and fuel-efficient engines. Finally, our state-of-the-art Juárez 2 manufacturing facility in Mexico completed its scheduled ramp-up during 2016. This plant allows for the exceptional growth of our side-by-side vehicles, as well as our ability to launch a new SSV every six months. The one-piece flow system instituted there enables us to keep only 8 hours of inventory at all times, which is an important efficiency gain. LETTER TO SHAREHOLDERS 1. New retail environment to reach and engage their customers. 2. Strengthening our global footprint has allowed us to optimize our cost structure and our operational excellence. Here, our Juárez 2 assembly line in Mexico, inaugurated in April 2016. 7279 C BRP_GVP_5303HR_50%.psd 1 2 07 WE OUTPERFORMED. PERIOD. I cannot overstate how proud I am of all of our employees. The flawless execution, focused approach to our strategic priorities and projects, and our commitment to reaching our stated objectives are truly exceptional. What’s more, our workplace safety rate keeps improving, reaching a record performance for the third year in a row. We concluded an extremely good year, with record financial results, award-winning products celebrated by both dealers and consumers, and an engaged worldwide workforce. The powersports environment has been competitive, this past year in particular. BRP has maintained its sustained focus on its strategic priorities and succeeded in reaching its objective despite a challenging business environment. I am convinced that this focus, along with our diversification strategy and our passion for innovation, is the key to our success. We said we were going to outperform, and we did. BRP is on a roll! I hope you can feel it too. José Boisjoli President and Chief Executive Officer BRP | 2017 ANNUAL REVIEW THE YEAR IN REVIEW YEAR-ROUND PRODUCTS MARKET INDICATORS AWARDS GLOBAL SALES UP 13.8% GLOBAL SALES AT JANUARY 31, 2017 1,637.7 CA$ MILLIONS 08 Can-Am Spyder vehicles SPYDER F3 LIMITED 2016 Red Dot design award CAN-AM DEFENDER 2016 Good Design award 2016 Red Dot design award CAN-AM DEFENDER XT 2016 Grainews UTV Challenge — GLOBAL ON-ROAD 500 CC+ MOTORCYCLE INDUSTRY GROWTH Down 11% from season 2015 Flat CAGR from season 2013 — U.S. 3-WHEEL INDUSTRY Generates approx. 40,000 units per year — N.A. 3-WHEEL INDUSTRY 10% CAGR over the past 2 years — CAN-AM SPYDER RT #1 in the Touring segment in North America — SPYDER LINE-UP 20 models — FIRST-TIME RIDERS Approximately one-third of Can-Am Spyder F3 owners The June 2016 Spyder Grossglockner Challenge, climbing Austria’s highest peak, assembled nearly 300 participants from 17 countries. A Y-Wheelers event in Sweden had more than 400 Spyder owners. A new event in West Tokyo, Japan, in October 2016 brought together 100+ owners. Spyderfest in Springfield, Missouri, United States, gathered over 1,000 Spyder owners together in April 2016. DEMOCRATIZING OPEN-AIR RIDING The Can-Am Spyder three-wheel vehicle was first presented to the world in February 2007, in a virtually non-existent market. Ten years later, there are 40,000 units sold in the three-wheel vehicle market in North America every year. of owners' gatherings around the world. Regardless of the size or location, the one common thread is bringing like-minded owners together to celebrate the freedom of the open road and the sense of community that comes with owning a Spyder vehicle. Every Can-Am Spyder owner is part of something greater – the constantly growing Can-Am Spyder owners' community. This year, there were hundreds For model year 2017, BRP launched the F3 Limited models at its semi-annual dealer meeting in August, specifically designed for couples or friends to unleash their spirit of adventure together. BRP | 2017 ANNUAL REVIEW 2 1 1. Maverick Max X3 Xrs Turbo R side-by-side vehicle 3 2. Can-Am Defender XT CAB side-by-side vehicle 3. Can-Am Spyder RT-S 09 Off-road vehicles ATV SSV — CAN-AM ALL-TERRAIN VEHICLES — CAN-AM SIDE-BY-SIDE VEHICLES — 42 SSV MODELS #3 worldwide #4 worldwide — GLOBAL ATV INDUSTRY GROWTH Up 1% from season 2015 Flat CAGR from season 2013 — 45 ATV MODELS Including youth and six-wheel models — GLOBAL RECREATIONAL SSV INDUSTRY GROWTH Up 5% from season 2015 Up 12% CAGR from season 2013 One of the broadest and deepest line-ups in the industry — CAN-AM SIDE-BY-SIDE AND SPYDER DEALER COVERAGE Up 33% in North America in the past four years A NEW SSV EVERY 6 MONTHS In September 2015, BRP’s president and CEO, José Boisjoli, committed to introducing a new side-by-side vehicle every six months for the next four years. The 2016 Can-Am Defender utility-recreational model was the first, closely followed by its big brother, the six-seater Defender MAX, in March 2016. Then the 2017 model year line-up was marked by the introduction of the Can-Am Maverick X3 side-by-side vehicle, the pinnacle of performance design that is defiant, precise and powerful. Retail sales of the sport Maverick X3 and utility Defender SSVs are spurring rapid growth worldwide, showing the success of our strategy to expand our product offering. On the ATV side, the mid-cc models continue to shine. BRP introduced the mud-ready Can-Am Renegade X mr 570 mid-cc vehicle in 2016, and brought back the youth DS 70 model, suitable for ages six and up. BRP | 2017 ANNUAL REVIEW THE YEAR IN REVIEW SEASONAL PRODUCTS MARKET INDICATORS GLOBAL SALES UP 7.8% AWARDS SKI-DOO Ski-Doo won 10 press awards, including 2 Snowmobile of the Year awards for the Ski-Doo MXZ X 850 E-TEC sled GLOBAL SALES AT JANUARY 31, 2017 SEA-DOO GTX LIMITED 300 1,473.9 CA$ MILLIONS 10 Red Dot design award, Good Design award SEA-DOO SPARK International Design Excellence Award (IDEA) Ski-Doo and Lynx snowmobiles — SKI-DOO #1 brand worldwide — SEASON 2015-16 — NORTH AMERICA 82% of global snowmobile sales — 98 DIFFERENT KEY MODELS Ski-Doo record market share worldwide Under two brand names, Ski-Doo and Lynx — GLOBAL SNOWMOBILE INDUSTRY GROWTH Down 14% from season 2015 Down 6% CAGR from season 2013 REVolution In February 2016, BRP made a major statement in the snowmobile industry by introducing the REV Gen4, a new generation of the REV platform, the chassis that helped propel the Ski-Doo brand to #1 back in 2003. For the first time in almost 20 years, BRP designed a new platform and a new engine at the same time to deliver an incredible consumer experience. BRP engineers and designers followed its modularity approach in designing this vehicle, improving efficiency in our plants. On the Lynx side, BRP introduced the Commander Grand Tourer model, a touring version of one of Europe’s best- selling snowmobiles since its launch in 2009. With a strong line-up and the agility of the team in launching sales programs to counter adverse snow conditions, the Ski-Doo brand ended the 2015-16 season by gaining market share and achieving its highest level since the industry began recording. BRP | 2017 ANNUAL REVIEW 2 4 11 3 1. Sea-Doo Spark TRIXX watercraft 2. Ski-Doo MXZ family of snowmobiles 3. Sea-Doo RXP-X 300 watercraft 4. Lynx snowmobile 1 Sea-Doo watercraft — SEA-DOO #1 brand worldwide — SEASON 2016 Sea-Doo record market share worldwide — GLOBAL WATERCRAFT INDUSTRY GROWTH — 24 MODELS Up 10% from season 2015 Up 12% CAGR from season 2013 Under the Sea-Doo brand RECORD MARKET SHARE The Sea-Doo brand had another strong season in 2016 with an increase in retail sales, growing its market share for a sixth consecutive season to a record market share position. The Sea-Doo Spark model has significantly contributed to the industry growth observed since its introduction in 2013. The growth in 2016 was driven by both the entry-level Sea-Doo Spark PWC and the traditional models, including the 300-hp watercraft introduced in 2015. The 2017 Sea-Doo line-up unveiled a new engine in the fuel-efficient Rotax Advanced Combustion Efficiency (ACE) line and a new way to play on the water with the Sea-Doo Spark TRIXX PWC. Of particular note, the Spark TRIXX watercraft comes equipped with numerous innovations that help riders perform tricks like a pro. BRP | 2017 ANNUAL REVIEW THE YEAR IN REVIEW PROPULSION SYSTEMS MARKET INDICATORS AWARDS GLOBAL SALES UP 5.4% GLOBAL SALES AT JANUARY 31, 2017 416.7 CA$ MILLIONS 12 EVINRUDE G2 International Design Excellence Award (IDEA) ROTAX iNR (intelligent Neutral & Reverse) National Marine Manufacturers Association (NMMA) Innovation Award in the Jet Boat category, Boating Industry’s Product of the Year award Evinrude and Rotax marine propulsion systems — GLOBAL OUTBOARD ENGINE INDUSTRY GROWTH Up 1% from season 2015 Up 4% CAGR from season 2013 — EVINRUDE: 55 NEW DEALERS AND 13 BOAT BUILDERS Added to its North American network — EVINRUDE PRE-RIGGING AGREEMENTS IN EUROPE WITH Lomac, Ocqueteau, Ranieri International, RIBITALY (BWA), Saver, Select Plaisance, T.A. Mare and Zodiac boats — NEW EVINRUDE DISTRIBUTORS Telwater in Australia, Marine Distributors Limited in New Zealand — INBOARD JET PROPULSION INDUSTRY Relatively stable in recent years — ROTAX JET PROPULSION SYSTEM New U.S. distribution agreement with Pacific Powertrain Inc. LOOKING AT GROWTH Following the 2014 launch of the cutting-edge Evinrude E-TEC G2 outboard engine, BRP expanded its product line in June 2016 to now cover horsepower models from 150 to 300 hp. In Europe, BRP signed pre-rigging agreements to equip BWA, Lomac, Ocqueteau, Ranieri International, Saver, Select Plaisance, T.A. Mare and Zodiac boats with Evinrude engines, while concluding new distribution agreements in Australia and New Zealand. During the past year, the Evinrude market share continued to increase in the 200-hp+ segment. The E-TEC G2 engine will continue to lead the way for the Evinrude brand renewal. In the Rotax jet propulsion market, BRP signed a distribution agreement with Pacific Powertrain Inc. of Asotin, Washington, to tap into the lucrative aluminum riverboat market. Through this agreement, aluminum boat builders get the attention they require while benefiting from BRP's superior technology. BRP also concluded a supply agreement with AB Inflatables, a strong OEM with a reputation for high quality. REVolution BRP | 2017 ANNUAL REVIEW — INBOARD JET PROPULSION INDUSTRY Relatively stable in recent years — ROTAX JET — ROTAX JET PROPULSION SYSTEM New supply agreement with AB Inflatables PROPULSION SYSTEM New U.S. distribution agreement with Pacific Powertrain Inc. — U.S. RETAIL SALES OF ROTAX-POWERED BOATS Grew 12% year over year 2 1 1. 300 HP Evinrude E-TEC G2 engine 2. RMCGF: One make, one engine 3 3. The largest piston aircraft engine manufacturer 13 Rotax engines — ROTAX AIRCRAFT World’s largest piston aircraft engine manufacturer AT THE HEART OF EVERY BRP VEHICLE The Rotax brand is at the heart of every BRP vehicle. Of particular note in 2016 was the introduction of the Rotax 850 E-TEC snowmobile engine that drew much praise from dealers and media. As BRP is the largest piston aircraft engine manufacturer, Rotax engines also lie at the heart of many light and ultra-light aircraft around the world. In 2015, BRP released the new Rotax 915 iS engine, a more powerful aircraft engine, opening the market to larger aircraft, gyrocopters and small helicopters. There has been very positive commentary and high interest from the market for the 915 iS engine. BRP’s 17th edition of the Rotax MAX Challenge Grand Finals (RMCGF) was held at the Circuito Internazionale Napoli in Italy in October 2016. The drivers, considered to be the crème de la crème in their home countries, demonstrated their world-class skills and talent battling against some of the most popular names in karting. The Rotax MAX Challenge (RMC) is a professional kart racing series established, owned and organized by BRP and its Rotax kart engine distributors. Approved by and in compliance with CIK / FIA, the RMC is a "one-make- engine" formula: only Rotax kart engines that are checked and sealed (for equal performance) are used. The success in the competition is mainly up to the skills of the driver. BRP | 2017 ANNUAL REVIEW THE YEAR IN REVIEW PARTS, ACCESSORIES AND CLOTHING MARKET INDICATORS AWARDS LinQ SYSTEM Good design award GLOBAL SALES UP 2.5% GLOBAL SALES AT JANUARY 31, 2017 643.2 CA$ MILLIONS 14 PAC 1 2 1. Winter accessories collection for Can-Am ATVs 2. Can-Am Defender accessories for work and play — RECORD 400+ ACCESSORIES — NEARLY 600 ACCESSORIES INTRODUCED For 2017 Ski-Doo, Sea-Doo and Can-Am vehicles — 1,600+ ACCESSORIES COMPATIBLE With 2017 Ski-Doo, Sea-Doo and Can-Am vehicles For 2017 Can-Am side-by-side vehicles — NEARLY 150 ACCESSORIES SPECIFICALLY DESIGNED For 2017 Can-Am Maverick X3 and X3 MAX models — 175+ ACCESSORIES AVAILABLE For 2017 Can-Am Spyder vehicles — 475+ ACCESSORIES For 2017 Ski-Doo snowmobiles OFFERING CUSTOMIZATION This year, the number of accessories introduced for 2017 Ski-Doo, Sea-Doo and Can-Am vehicles reached a record high at over 400. In particular, BRP developed a full line of accessories for its new Can-Am Maverick X3 model, and has teamed up with several aftermarket leaders who have developed co-branded accessories specifically for the vehicle. In June, BRP released its Evinrude virtual dashboard that allows the display and direct control of important engine features from a mobile device. The Evinrude E-Link transmits vital engine and vessel information over WiFi to any iOS or Android device. BRP | 2017 ANNUAL REVIEW 4 6 3 5 3. Thanks to its impressive array of accessories, the Can-Am Maverick X3 pushes the limits of a sport SSV. 4. Consumers can add an Akrapovic exhaust to their Can-Am Spyder vehicle, a high-quality exhaust system renowned for its distinctive sound. ˇ 5. Fun in the sun, but a little shade doesn't hurt either! 6. BRP received a Good Design Award for its LinQ system in 2016. 15 — 175+ ACCESSORIES AVAILABLE For 2017 Can-Am Spyder vehicles — 475+ ACCESSORIES For 2017 Ski-Doo snowmobiles — 105 ACCESSORIES SPECIFICALLY — 1,250+ ACCESSORIES AVAILABLE DESIGNED For the new Ski-Doo REV Gen4 platform — 100+ ACCESSORIES For 2017 Sea-Doo watercraft For Evinrude engines — 340+ ACCESSORIES AVAILABLE For G2 engines specifically (excluding panel kits) Finally, BRP renewed in 2016 its NASCAR sponsorship for the next two years through its collaboration with the GoFAS No.32 NASCAR Sprint Cup series racing team, in association with the Kappa and Cyclops Gear brands. The agreement provides BRP’s Can-Am brand with the opportunity to sponsor 36 races, including 13 as primary sponsor, during the 2017 and 2018 seasons. BRP | 2017 ANNUAL REVIEW CSR CORPORATE SOCIAL RESPONSIBILITY By 2020, BRP wants to be recognized as a worldwide sustainable powersport innovation leader. In August 2011, we created a global structure for all of our sustainability initiatives and launched our CSR program. It is based on six pillars: Governance, Environment, Employees, Product Safety, Supply Chain Management and Role in the Community. Three-year action plans have been developed and set out concrete and measurable means to increase CSR awareness and visibility, and take tangible steps to further improve BRP’s good corporate citizenship. Here are some of our 2020 goals: — Reduce our energy consumption intensity and our GHG emissions intensity by 25% based on FY 2011 levels. — Achieve zero lost-time accidents in our facilities. — Ensure BRP’s donations represent 1% of the company’s earnings before tax. — Conduct stakeholder consultations for all manufacturing sites. 2017 CSR HIGHLIGHTS — Our Querétaro facility received the State Business Merit Award in the Export Category. — BRP’s manufacturing plants in Mexico were recognized for their family-friendly policies. — Our Gunskirchen facility obtained its ISO 14001 certification and received the klimaaktiv award for energy efficiency. — Our Rovaniemi and Sturtevant facilities celebrated 365 days without a lost-time accident. — Our Valcourt facility received the "performance" recognition from the Québec government’s ICI ON RECYCLE! program for its 86.3% recycling rate. — Our Sturtevant site received a certificate of excellence for 15 years of facility wastewater management from the Racine Wastewater Utility. BRP’S FY 2016 CSR REPORT RECOGNIZED BY THE FINANCE AND SUSTAINABILITY INITIATIVE (FSI) 17 BRP’s FY 2016 CSR Report was recog- nized during the Finance Sustainability Initiative (FSI) Competition for Best Sustainability Report as a runner-up in the Consumer Products category. Based in Montréal, the FSI is a non-profit organization that brings together finance professionals dedicated to promoting sustainable finance and responsible investment to financial institutions, companies, and universities. The competition targets sustainability reports from Canadian companies that are part of the S&P/TSX Composite Index. 1 2017 CSR REPORT Our FY 2017 CSR report is prepared according to the Global Reporting Initiative (GRI) G4 Core Level and the GRI Principles for Defining Quality. You can access it through 2017.brp.com/CSR. 2 1. Can-Am Defender HD5 vehicle 2. As part of its CSR efforts, the Rovaniemi team cleaned up their surroundings in May last year. BRP | 2017 ANNUAL REVIEW INFORMATION FOR INVESTORS An online version of this annual review is available at 2017.brp.com Stock Exchange information BRP Inc. subordinate voting shares are traded on the Toronto Stock Exchange under the symbol “DOO.” Dividend Policy Since the completion of its IPO in May of 2013, the Company has not to date declared or paid any dividend on its Shares. Any future determination to pay dividends on the Shares would be at the discretion of the Board of Directors and would depend on, among other things, the Company’s results of operations, current and anticipated cash requirements and surplus, financial condition, contractual restrictions and financing agreement covenants (including restrictions in the Term Credit Agreement and the Revolving Credit Agreement or other material agreements of the Company), solvency tests imposed by corporate law and other factors that the Board of Directors may deem relevant. Research Coverage 1 BMO Capital Markets • Canaccord Genuity • CIBC World Markets • Citigroup • Desjardins Securities • GMP Securities • Morningstar • National Bank Financial • Northcoast Research • RBC Capital Markets • Robert W. Baird & Co. • ScotiaBank • UBS • Wells Fargo Fiscal Year 2018 Tentative Earnings Calendar First Quarter: Second Quarter: Friday, September 1, 2017 Friday, December 1, 2017 Third Quarter: Thursday, March 22, 2018 Fourth Quarter: Thursday, June 1, 2017 Issued and Outstanding Shares As of April 28, 2017, the issued and outstanding shares of BRP Inc. consist of 32,800,865 subordinate voting shares and 79,023,344 multiple voting shares. Annual Shareholders’ Meeting The meeting will be held at 11 a.m. Eastern Time on June 1, 2017, at the Product Development Centre, 841 Cartier Street, Valcourt, Québec. The record date for shareholders is April 12, 2017. Request for information Analysts, shareholders and interested investment professionals may direct their business-related inquiries to: Investor Relations Department BRP Inc. 726 Saint-Joseph Street Valcourt, Québec J0E 2L0 Canada Tel.: +1 (450) 532-2211 Email: ir@brp.com Shareholder Services For shareholder-related services, including estate change of name or address, stock transfers, settlement, lost stock certificates and duplicate mailings, please contact the transfer agent at: Computershare Investor Services Inc. 100 University Ave., 8th Floor Toronto, Ontario M5J 2Y1 Canada Tel: +1 (866) 245-4053 www.investorcentre.com/service For more information To view the Company’s Annual Review and related financial information, to learn more about the products, to download product brochures or to find dealer locations, please visit the Company’s website at brp.com. 1 Analyst coverage known to the Company as at March 31, 2017. FORWARD-LOOKING STATEMENTS 18 Certain statements in this Annual Review about the Company’s current and future plans, expectations and intentions, results, levels of activity, performance, goals or achievements or any other future events or developments constitute forward-looking statements. The words “may”, “will”, “would”, “should”, “could”, “expects”, “plans”, “intends”, “trends”, “indications”, “anticipates”, “believes”, “estimates”, “predicts”, “likely” or “potential” or the negative or other variations of these words or other comparable words or phrases, are intended to identify forward-looking statements. Forward-looking statements are based on estimates and assumptions made by the Company in light of its experience and perception of historical trends, current conditions and expected future developments, as well as other factors that the Company believes are appropriate and reasonable in the circumstances, but there can be no assurance that such estimates and assumptions will prove to be correct or that the Company’s business guidance, objectives, plans and strategic priorities will be achieved. Many factors could cause the Company’s actual results, level of activity, performance or achievements or future events or developments to differ materially from those expressed or implied by the forward-looking statements, including, without limitation, those identified in BRP’s annual information form and management’s discussion and analysis of financial condition and results of operations. The purpose of the forward-looking statements is to provide the reader with a description of management’s expectations regarding the Company’s financial performance and may not be appropriate for other purposes; readers should not place undue reliance on forward-looking statements made herein. Furthermore, unless otherwise stated, the forward-looking statements contained in this Annual Review are made as of the date of this Annual Review and the Company has no intention and undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable securities regulations. The forward-looking statements contained in this Annual Review are expressly qualified by this cautionary statement. NON-IFRS MEASURES This Annual Review makes reference to certain non-IFRS measures. These measures are not recognized measures under IFRS, do not have a standardized meaning prescribed by IFRS and are therefore unlikely to be comparable to similar measures presented by other companies. Rather, these measures are provided as additional information to complement those IFRS measures by providing further understanding of the Company’s results of operations from management’s perspective. Accordingly, they should not be considered in isolation nor as a substitute for analysis of the Company’s financial information reported under IFRS. The Company uses non-IFRS measures including Normalized EBITDA, Normalized Net Income, Normalized basic earnings per share and Normalized diluted earnings per share. Normalized EBITDA is provided to assist investors in determining the financial performance of the Company’s operating activities on a consistent basis by excluding certain non-cash elements such as depreciation expense, impairment charge and foreign exchange gain or loss on the Company’s long-term debt denominated in U.S. dollars. Other elements, such as restructuring costs, may also be excluded from net income in the determination of Normalized EBITDA as they are considered not being reflective of the operational performance of the Company. Normalized Net Income, Normalized basic earnings per share and Normalized diluted earnings per share, in addition to the financial performance of operating activities, take into account the impact of investing activities, financing activities and income taxes on the Company’s financial results. The Company believes non-IFRS measures are important supplemental measures of financial performance because they eliminate items that have less bearing on the Company’s financial performance and thus highlight trends in its core business that may not otherwise be apparent when relying solely on IFRS measures. The Company also believes that securities analysts, investors and other interested parties frequently use non-IFRS measures in the evaluation of companies, many of which present similar metrics when reporting their results. Management also uses non-IFRS measures in order to facilitate financial performance comparisons from period to period, prepare annual operating budgets, assess the Company’s ability to meet its future debt service, capital expenditure and working capital requirements and, also, as a component in the determination of the short-term incentive compensation for the Company’s employees. Because other companies may calculate these non-IFRS measures differently than the Company does, these metrics are not comparable to similarly titled measures reported by other companies. Refer to the Company’s management’s discussion and analysis of financial condition and results of operations for Fiscal Year 2017, available on SEDAR at www.sedar.com, for definitions and reconciliations of Normalized EBITDA, Normalized Net Income and Normalized Diluted Earnings per Share to the most directly comparable IFRS measures. © BRP 2017. All rights reserved. ®, ™ and the BRP logo are trademarks of BRP or its affiliates. † All other trademarks are the property of their respective owners. Please ride responsibly. The information contained in this Annual Review was established as of May 1, 2017. Legal deposit Bibliothèque nationale du Québec 2017 Printed in Canada May 2017 BRP | 2017 ANNUAL REVIEW brp.com Corporate headquarters 726 Saint-Joseph Street, Valcourt, Québec J0E 2L0 Canada @BRPNews facebook.com/brpinfo linkedin.com/company/brp youtube.com/user/CommunicationsBRP