AFD - 2019 Universal registration document

AFD’S ANNUAL FINANCIAL STATEMENTS Accounting principles and assessment methods

These commitments (retirement bonuses and financing of health insurance plans and pensions) undergo actuarial valuations that factor in demographic and financial assumptions. The amount of provisions for commitments is determined using the Projected Unit Credit Method. At each closing, the retirement commitments carried by AFD are remeasured and compared with the value of the insurance policies.

As of 31 Ǿ December Ǿ 2019, the amount of the provision was increased by €6,475K . Other long-term bene fi ts AFD gives its employees bonuses as long-service benefits. An additional provision was recognised on 31 Ǿ December Ǿ 2019 in the amount of €177K.

The aggregate impacts on the 2018 and 2019 reporting years are set out in the table below:

Change in the impact onincome

Change in the impact on b income

At 31/12/2019

At 31/12/2018

At 31/12/2017

In thousands of euros

111,877 110,597

6,586 105,291

17,120 16,981

88,171 87,207

Provisions for employee benefits

P Defined benefit plans

6,409

104,188

P Other long-term benefits

1,281

177

1,104

139

964

The changes in commitments over the 2019 financial year are shown in the table below:

Expatriate employees healthcare expenses

Retiree health insurance

Grand total

Retire- ment

Retirement lump sum

Total defined benefit plans

Service award

In thousands of euros

Change in the present value of the commitment: Present value of the commitment at 1 January

9,036

36,959

88,634

17,098

151,727

1,102 152,829

Financial cost

187 330

260 168

1,862 4,484 1,838

348

2,657 6,419 1,838

23

2,681 6,571 1,838

Cost of services rendered over the year

1,438

152

Cost of past services Reductions/Liquidations

0 0

0 0

0 0

0 0

0

0

0

Services paid

-66

-7,513 -1,639

-1,933 24,442

-1,359 2,702

-10,870 27,814

-115 -10,985 117 27,931

Actuarial gains (losses)

2,309

Other (commitment transfers)

0

-11

-46

-20

-78

-1

-79

Present value of the commitment at 31/12/2019 Change in the fair value of retirement plan assets Fair value of assets at 1 January

11,797

28,223 119,281

20,207

179,507

1,279 180,786

46,169

46,169

46,169

7

Expected return on assets

323

Services paid

-7,513 -1,906

Actuarial gains (losses)

Liquidations

0

Fair value of assets at 31/12/2019

37,073

37,073

37,073

Corridor limits: Actuarial gains (losses) not recognised at 1 January

7,522 4,617

-7,943 8,863

-947

-1,369

0

-1,369

Corridor limits at 1 January

904

1,710 -2,702

Actuarial gains (losses) generated over the year Actuarial gains (losses) recognised in profit or loss Actuarial gains (losses) recognised in equity

-2,309

-267 -24,442

-29,720

-117 -29,837

0

-747

0 0

0 0

-747

117

-630

0

0

0

Actuarial gains (losses) not recognised at 31/12/2019

-2,309

6,508 -32,385

-3,650

-31,836

0 -31,836

183

UNIVERSAL REGISTRATION DOCUMENT 2019