BIC - 2019 Universal Registration Document

FINANCIAL STATEMENTS

Parent company financial statements of SOCIÉTÉ BIC (French GAAP)

Financial investments g) Financial investments comprise investments in marketable securities, and SOCIÉTÉ BIC shares bought back pursuant to Article L. 225-209 of the French Commercial Code ( Code de commerce ). Treasury shares are valued at purchase cost. An impairment provision is booked when the probable trading value (based on the average stock market price during the last month of the fiscal year or the exercise price of the options for which they were purchased) at year-end is less than the purchase cost. h) Provisions for contingencies and charges are liabilities for which maturity or amounts cannot be precisely measured. They are caculated using the best estimate of funds required to settle the liability. Provisions for contingencies and charges

According to the new ANC no.2015-05 related to the accounting of derivative instruments, applicable as of January 1, 2017, the method of accounting for derivative instruments varies according to whether the derivative qualifies for hedge accounting or not. For non-hedged transactions, the global foreign exchange position is only used to calculate the provision for foreign exchange losses. It is calculated currency-by-currency and hedging instruments and hedged items (for the hedged portion) are excluded from this global foreign exchange position. The maturity dates of items included in the position should be in the same fiscal year and only realizable items should be included (receivables, payables, derivative instruments, etc.). Cash and cash equivalents are excluded. For hedged transactions, the currency hedging impact is only recognized in the income statement when receivables (or payables) are settled.

i)

Borrowings

Borrowings in foreign currency are translated at the closing exchange rate.

NOTES TO THE BALANCE SHEET

NOTE 3

NON-CURRENT ASSETS

Gross value as of Dec. 31, 2019

Gross value as of Dec. 31, 2018

Merger

Acquisitions

Disposals

(in thousand euros)

Research and development expenses

1,745

- 

- 

- 

1,745

Other intangible assets

50,391

- 

27,220

-

77,611

TOTAL INTANGIBLE ASSETS

52,136

- 

27,220

-

79,356

Land

1,345

 -

- 

- 

1,345

Buildings

16,356

- 

35

- 

16,391

Industrial fixtures and equipment

13,656

- 

551

(131)

14,076

Other property, plant and equipment

6,519

- 

335

- 

6,854

Property, plant and equipment under construction

700

-

209

-

909

TOTAL PROPERTY, PLANT AND EQUIPMENT

38,576

- 

1,130

(131)

39,575

Equity Investments  (a)

1,300,218

- 

17,172

- 

1,317,390

Treasury Shares  (b)

58,082

- 

59,978

(68,519)

49,541

Loans and other long-term investments

362

- 

- 

- 

362

TOTAL LONG-TERM INVESTMENTS

1,358,662

- 

77,150

(68,519)

1,367,293

Equity Investments are detailed in Note 22. (a) These refer to 508,480 treasury shares for the free share plans and 32,088 shares related to the liquidity contract. (b)

253

• BIC GROUP - 2019 UNIVERSAL REGISTRATION DOCUMENT •