Derichebourg // 2020-2021 Universal Registration Document

5

and accounting information Separate financial statements Accounting policies and methods

Loan issue costs 2.8 Loan issue costs are spread over the term of the loan. The remaining balance at the end of the year is presented under prepaid expenses.

which takes into account remuneration, years of service, life expectancy, employee turnover rate and actuarial assumptions. The calculation takes into account the following assumptions: departure procedure and age: voluntary departure at 62 years of age for executives and at 62 years for non-executives; mortality table: TGH 05/TGF 05;

Marketable securities 2.9 These are recognized at acquisition cost. At year-end, a provision is made if the historical value is less than the carrying amount.

employee turnover: based on Group data; discount rate (inflation included): 0.75%; career profile: 2%; social charge rates: 45%.

Provisions for liabilities and charges 2.10 Provisions are recognized when: the Company is bound by a legal or implicit obligation arising from past events; it is probable that an outflow of resources, without at least equivalent consideration, will be required to settle the obligation; and the amount of the provision can be reliably estimated. No provision is made for contingent liabilities for which a reliable estimate cannot be made. Where necessary, a description of the risks incurred is inserted in the notes relating to the provisions for liabilities and charges. Service awards 2.10.1 A service award bonus is given to employees after 20, 30, 35 and 40 years of service. The provision for service awards is determined based on a discounted calculation taking into account assumptions about the probability of employees remaining with the Company, as well as a 0.75% discount rate (inflation included). The provision for service awards totals € 2 thousand.

The estimated discounted commitment for retirement payments to Company employees totals €141 thousand. No provision has been made for retirement payments; this is an off-balance sheet commitment.

Employee profit-sharing 2.13 N/A.

Tax consolidation 2.14 The Group has opted for the tax consolidation system.

The scope of application includes French companies in which Derichebourg SA direct or indirect holding is at least 95% (head of the tax consolidation group). Each company calculates and pays its tax to the head of the tax consolidation group as if there were no tax consolidation. The Derichebourg Group’s tax savings amount to €1.2 million. Financial instruments 2.15 Derichebourg SA uses financial instruments to manage its exposure to interest-rate risks, mainly swaps and caps. The total amount of instruments intended to cover variable-rate debt on the three-month Euribor index is as follows: debt in thousands of euros: 170,000 (0 of which is deferred); debt in thousands of dollars: 0. Identity of the parent company 2.16 CFER is the parent company. It held 41.25% of Derichebourg SA as at September 30, 2021. The ultimate parent company is DBG Finances based in Belgium.

Environmental aspects 2.10.2 N/A.

Regulated provisions 2.11 The regulated provisions included in the balance sheet are:

accelerated depreciation corresponding to the difference between depreciation for tax purposes and depreciation for impairment calculated using the straight line method; the consideration for regulated provisions is entered in the income statement under exceptional income and expenses. Pension and other post-employment 2.12 benefits Retirement commitments are calculated using the projected unit credit method and service is pro-rated. The estimate is based on a calculation

DERICHEBOURG 2020/2021 Universal Registration Document 193