AIRBUS - 2019 Financial Statements

2.5 Operational Assets and Liabilities Notes to the IFRS Consolidated Financial Statements /

20. Property, Plant and Equipment

Property, plant and equipment is valued at acquisition or manufacturing costs less accumulated depreciation and impairment losses. Items of property, plant and equipment are generally depreciated on a straight-line basis. The following useful lives are assumed:

Buildings

10 to 50 years

Site improvements

6 to 30 years

Technical equipment and machinery

2 to 20 years

5 years

Jigs and tools (1)

Other equipment, factory and office equipment

2 to 10 years

(1) If more appropriate, jigs and tools are depreciated using the number of production or similar units expected to be obtained from the tools (sum-of-the-units method).

Property, plant and equipment as of 31 December 2019 and 2018 comprises the following:

31 December 2019

31 December 2018

Gross amount

Depreciation / Impairment

Net book value

Gross amount

Depreciation / Impairment

Net book value

(In € million)

Land, leasehold improvements and buildings, including buildings on land owned by others Technical equipment and machinery Other equipment, factory and office equipment (1)

9,879

(5,056)

4,823

9,873

(4,692)

5,181

23,144

(15,887)

7,257

21,994

(13,972)

8,022

3,782 2,714 1,793

(2,825)

957

3,714 2,668

(2,812)

902

0

2,714 1,543

0

2,668

Construction in progress

(250)

-

-

-

Right-of-use assets (2)

Total

41,312

(24,018)

17,294 38,249

(21,476)

16,773

(1) Includes the net book value of aircraft under operating lease (see “– Note 27: Sales Financing Transactions”). (2) The net book value of land and buildings under right-of-use assets amounts to € 1,369 million.

NET BOOK VALUE

Changes in consoli-

Balance at 31 Dec. 2019

Balance at 31 Dec. 2018

Balance at 1 January 2019

IFRS 16 Impact

Exchange differences Additions

dation scope

Reclassi- fication (1) Disposals (1)

Depreciation / Impairment (2)

(In € million)

Land, leasehold improvements and buildings, including buildings on land owned by others Technical equipment and machinery Other equipment, factory and office equipment

5,181 (269)

4,912

25

82

(52)

184

(8)

(320)

4,823

8,022 (64)

7,958

71

408

(88)

935

(15)

(2,012)

7,257

902 (12)

890

7

169

(42)

170

(15)

(222)

957

Construction in progress

2,668

0 2,668

24 1,332

(3)

(1,315)

8

0

2,714

Right-of-use assets

0 1,697

1,697

6

201

(6)

(28)

(56)

(271)

1,543

Total

16,773 1,352 18,125

133 2,192 (191)

(54)

(86)

(2,825)

17,294

(1) Includes property, plant and equipment from entities disposed (see “– Note 7: Acquisitions and Disposals”). (2) Accelerated depreciation previously included in onerous contract provision has been offset with the release of the provision in the presentation of the Consolidated Statement of Cash Flows for the year ended 2019.

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Airbus / Financial Statements 2019