Econocom - 2020 annual report

06 consolidated financial statements

notes to the consolidated financial statements

IFRS 17 • application of which is mandatory from 1 January 2023; amendments to IAS 1 “Classification of • liabilities as current or non-current”, mandatory from 1 January 2023; and amendment IFRS 10 and IAS 28 “Sale or • contribution of assets between an investor and its associate or joint venture”. The Group is currently in the process of assessing any impacts of the first application of these texts. Basis for preparation 1.2. and presentation of the consolidated financial statements All amounts in the Consolidated financial statements are presented in € millions. The fact that figures have been rounded off to the nearest decimal point may, in certain cases, result in minor discrepancies in the totals and sub-totals in the tables and/or in the calculation ofpercentage changes. BASIS FOR REPORTING 1.2.1. These accounting policies set out below have been consistently applied to all the years presented in the financial statements. The financial statements were prepared on a historical cost basis, with the exception of: certain financial assets and liabilities • which are measuredat fair value; non-current assets held for sale, which are • recognised and measured at the lower of net book value and fair value less costs to sell as soon as their sale is deemed highly probable. They are no longer amortised once they are classified as assets (or a group of assets) held for sale. “Insurance contracts”, the

STANDARDS, AMENDMENTS 1.1.1. AND INTERPRETATIONS ADOPTED BY THE EUROPEAN UNION AND APPLICABLE AT 1 JANUARY 2020 The standards, amendments to standards and interpretations, published by the IASB and presented below are mandatory since 1 January2020. The following standards did not have a material impact on the Group’s financial statements: amendment “Modifications of references • in the Conceptual Framework in IFRS”; amendments IAS 1 and IAS 8 “Definition of • materiality”; amendments of IFRS 3 “Definition of • a business”; amendments to IFRS 9, IAS 39 and IFRS 7, • IFRS 4 and IFRS 16 as part of the reform benchmark rates; and amendments to IFRS 4 “Extension of the • temporary exemption from applying IFRS 9 ‘Financial instruments’”. STANDARDS, AMENDMENTS 1.1.2. AND INTERPRETATIONS NOT YET ADOPTED BY THE EUROPEAN UNION Pending their definitive adoption by the European Union, the Group has not anticipated the application of the following standards and interpretations: amendments to IFRS 3 “Reference to the • conceptual framework”, mandatory from 1 January 2022; amendmentsto IAS 37“OnerousContracts – • Cost of fulfillinga contract”,mandatoryfrom 1 January2022; amendments to IAS 16 “Property, plant and • equipment – Proceeds before intended use”, mandatory from 1 January 2022; annual improvements for 2018-2020, • mandatory from 1 January 2022;

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2020 annual report