Aéroports de Paris - 2019 Universal registration document

OPERATIONS WITH RELATED PARTIES

FINANCIAL INFORMATION ON THE ASSETS, FINANCIAL POSITION AND CONSOLIDATED FINANCIAL STATEMENTS AT 31 DECEMBER 2019

PROFIT FORECASTS

ADMINISTRATION AND EXECUTIVE MANAGEMENT BODIES

COMPENSATION AND BENEFITS OF CORPORATE OFFICERS

FUNCTIONING OF THE BOARD OF DIRECTORS AND MANAGEMENT BODIES

SOCIAL, ENVIRONMENTAL AND SOCIETAL RESPONSIBILITY INFORMATION

MAIN SHAREHOLDERS

ADDITIONAL INFORMATION ON THE SHARE CAPITAL AND PROVISIONS OF THE ARTICLES OF ASSOCIATION

MATERIAL CONTRACTS

A combined variation of +25 to +75 basis points in the discount rates and the rate of return on resale, applied to the entire portfolio of investment properties, would decrease by €82 million (or -3%) at €233 million (or -10%) the value of property excluding transfer taxes and costs (excluding development assets and land reserves or assets accounted for using the equity method). 6.3.3 Additional information The 3 rd article of the law n° 2005-357 promulgated on the 20 of April 2005 provides that, in the event of a partial or total closure of one of the aerodromes operated by Groupe ADP, a percentage of at least 70% of the difference existing between, firstly, the market value at that date of the buildings situated within the enclosure of that aerodrome that are no longer used for the airport public service and secondly, the value of those buildings on the date on which they were allocated to the airport plus the associated costs. Their rehabilitation and the closure of airport facilities is paid to the State. The relevant buildings and fields are mentioned in the article 53–1° of Aéroports de Paris’ specifications and appear in the blue area on the maps provided in the specifications, whereas buildings and fields appear in the grey area. Those provisions apply in the case where Groupe ADP decides that a building or a field is no longer used for the airport public service.

◆ a progress of projects that already existed in 2018 leads to an increase in net valuation of €19 million. An increase of the value by almost €40 million, corresponding to plots intended to receive new projects (notably freight stations, hotels south of Aeroville and the RoissyPole Ouest district, and an office building within Coeur d’Orly), and a decrease by €20 million following the deliveries of Innside Melia, Moxy, Loxam and Grand Frais projects that come out of land reserves. In 2019, the Group proceded to a more precise classification of assets by nature and by zone generated several movements of values from one asset category to the other, for rented buildings and ground leases. In order to compare more easily, 2018 figures have been retreated according to the same classification, and disclosed in the column “As at Dec 31, 2018 restated”. Moreover, the Fedex land value in Charles de Gaulle that was classified in the category “Buildings” in 2018, has been reclassified and is part of the category “Ground leases” in 2019 and in the column “As at Dec 31, 2018 restated” (reclassification amounting to €112 million). VALUATION HYPOTHESES AND SENSITIVITY ANALYSES Considering the limited available public data, the complexity of the real estate assets and the fact that real estate experts use for their valuation (i) the Group’s confidential rent reports, (ii) non-observable published data e.g. rent increase rates forecasts or capitalization rates; the Group considered the classification under level 3 of these assets to be best suited (see note 9.5.2 regarding fair value hierarchy). Intangible assets, property, plant and equipment and investment properties are tested for impairment when the Group identifies indices of impairment. For intangible assets with an indefinite useful life, a test is performed at least once a year and whenever an indication of impairment appears. For land that is assumed non-depreciable, it is tested for impairment if there is an indication of impairment. Intangible assets, property, plant and equipment and investment properties are tested at the level of the relevant asset group determined in accordance with the requirements of IAS 36. In the case where the recoverable amount is less than net book value, an impairment loss is recognized for the difference between these two amounts. The recognition of an impairment loss results in a review of the base and the schedule of amortization/depreciation of the assets concerned.

6.4 Impairment of intangible, tangible and investment properties

In accordance with IAS 36, the criteria used to assess impairment indicators may include underperformance, a decrease in traffic, a significant change in market data or the regulatory environment, or obsolescence or material deterioration not initially foreseen in the amortization/depreciation plan. Impairment losses on property, plant and equipment or intangible assets may be reversed later if the recoverable amount becomes higher than the net book value. The value of the asset after reversal of the impairment loss is capped at the carrying amount that would have been determined net of amortization if no impairment loss had been recognized in prior years.

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The Group has not observed any significant impairment losses, regarding impairment tests related to airport concessions see note 6.1.1 and for goodwill see note 6.1.2.

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AÉROPORTS DE PARIS ® UNIVERSAL REGISTRATION DOCUMENT 2019