BIC - 2020 Universal Registration Document

FINANCIAL STATEMENTS

Consolidated financial statements

At December 31, 2019

United States

United Kingdom

France

Discount rate

3.21%

2.00%

0.75%

Inflation rate

2.50%

3.35%

1.50%

Expected rate of salary increases

3.60%

N/A

1.75%

Average plan duration (years)

13.9

18.0

12.8

Sensitivity of the obligation to a change in inflation rate According to the Group’s estimates, a +/-0.5% change in the inflation rate would result in a change in the obligations for the

The discount rates for our U.S. and UK retirement plans were developed using the Mercer Pension Discount Yield Curve, which is built from the yields of high quality (AA) corporate bonds. For our other international plans, the discount rates were set by benchmarking against corporate bonds rated AA or better on the various markets. The discount rate for the French obligation is based on the IBOXX AA 10+ index. The rate shown for France is that of the main plan (retirement indemnities). The rate shown for the U.S is for the main plan, each U.S. plan being valued with a specific discount rate (from 1.56% to 2.57%). Sensitivity of the obligation to a change in discount rate According to the Group’s estimates, a +/-1% change in the discount rate would result in a change of, respectively, -12.56% and +15.37% in the obligations. This change would not, however, fully impact the Group net liability on employee benefits, as a change in plan assets may partly offset the impact.

following countries, of respectively: -0.02% and +0.01% for the U.S.; ● +4.91% and -5.05% for the U.K. ●

This change would not, however, fully impact the Group net liability on employee benefits, as a change in plan assets fair value may partly offset the impact. Cash Flows for future years The Group is expected to pay 9.5 million euros in employer contributions for 2021.

The expected total benefit payments, in million euros, is: 2021

32

2022

38

2023

31

2024

32

2025

32

Beyond 2025

166

18-7

Information by geography

December 31, 2020 (in thousand euros)

Obligation

Plan assets

Net liability

Europe

43,448

7.3%

9,006

1.9% 34,443

28.1%

United Kingdom

48,109

8.1% 41,750

8.9%

6,359

5.2%

North America

495,278

83.5% 419,811

89.2% 75,467

61.7%

Other countries

6,394

1.1%

255

0.1%

6,140

5.0%

TOTAL

593,230

100% 470,821

100% 122,409

100%

At December 31, 2019 (in thousand euros)

Obligation

Plan assets

Net liability

Europe

46,732

7.3%

9,528

2.0%

37,204

22.7%

United Kingdom

47,253

7.4%

41,685

8.8%

5,569

3.4%

North America

536,665

84.1% 423,069

89.1% 113,595

69.5%

Other countries

7,546

1.2%

326

0.1%

7,220

4.4%

TOTAL

638,196

100% 474,608

100% 163,588

100%

248

• BIC GROUP - 2020 UNIVERSAL REGISTRATION DOCUMENT •