Airbus // Universal Registration Document 2023

Risk Factors 1 Geopolitical, Global Economic and Financial Market Risks

The Company is subject to the risks and uncertainties described below that may materially affect its business, results of operations and financial condition. These are not the only risks the Company faces. Additional risks and uncertainties not presently known to the Company, or that it currently considers immaterial, may also impair its business and operations. Although a certain degree of risk is inherent in the Company’s business (as described in the risk factors in this section), the Company endeavours to minimise and/or manage risk in accordance with the Company’s risk appetite. To pursue its strategy, the Company is prepared to take modest or low event risks in order to secure profitability and cash flow and maintain its competitiveness, invest in research and development and manage a diversified business portfolio in a world of uncertain market and economic conditions. Due to the importance of programmes and operations for the Company, the Company focuses on the operational dimension of risk identification and management. Within the area of legal and compliance risks, the Company seeks to ensure that its business practices conform to applicable laws, regulations and ethical business principles, while developing and maintaining a culture of integrity. Regarding financial risks, the Company undertakes a prudent risk approach and aims to minimise downside risk in accordance with the Company’s risk appetite through an appropriate liquidity buffer, moderate financial leverage and the use of hedging derivatives and other insurance programmes.

1. Geopolitical, Global Economic and Financial Market Risks

Global Economic Conditions The Company’s business, results of operations and financial condition are materially affected by global economic conditions. Market disruptions and significant economic downturns may develop quickly due to, among other things, crises affecting credit or liquidity markets, regional or global recessions, sharp fluctuations in or sustained high commodity prices (including gas and oil), energy shortage or unavailability, currency exchange rates or interest rates, rapid increases in or sustained high levels of inflation or deflation, sovereign debt and bank debt rating downgrades, restructurings or defaults, geopolitical tensions (such as those reflected in the sanctions imposed as a result of Russia’s invasion of Ukraine, or other potentially conflicting policies among the US, EU, Russia and China with ramifications beyond their borders) or adverse geopolitical events (such as military or armed conflicts, acts of terrorism, pandemics or natural disasters). Recent US administrations have introduced greater uncertainty with respect to US tax and trade policies, tariffs and government regulations affecting trade between the US and other countries. Such measures, and the countermeasures they provoked, affected and may continue to affect countries where our customers and suppliers are located

or where the Company has an operational presence or to which its financing activities are linked. For more detailed information, see “Geopolitical, global economic and financial market risks – The war in Ukraine and armed conflicts”, “Geopolitical, global economic and financial market risks – COVID-19 or other pandemic risks” and “Business and operations-related risks – Availability of government and other sources of financing”. The Company’s global presence includes France, Germany, Spain and the UK as well as fully-owned subsidiaries in the US, China, Japan, India and in the Middle East, a majority shareholding (75%) of a limited partnership with the Government of Quebec in Mirabel, Canada (for the A220 programme) and spare parts centres in Hamburg, Frankfurt, Virginia (USA), Beijing, Dubai and Singapore. At the end of 2023, the Company had engineering and training centres in Toulouse, Miami, Mexico, Wichita (USA), Hamburg, Bangalore, Beijing and Singapore. There are also hubs and field service stations around the world. The Company also relies on industrial cooperation and relationships with major companies and a wide network of suppliers. This global presence entails the risk of being affected by weak market and economic conditions in particular in Europe, the US and Asia where it manufactures and where it sells the majority of its products.

8 Airbus Annual Report

Universal Registration Document 2023