Eurazeo / 2019 Universal Registration Document

Financial Statements Consolidated Financial Statements for the year ended December 31, 2019

Right-of-use assets 6.4.

Changein consol. scope

01/01/2019 Additions Depreciation

Other

12/31/2019

(In thousandsof euros)

Land

35,684 478,827 39,213 19,994 573,718 636,098 (62,381)

(11,064) 47,358

(775)

(135)

40

23,750

Buildings

(63,993)

(52,631)

4,309

413,871

Installations, industrial equipmentand vehicles

9,728 9,294

(11,281) (7,569)

(1,180)

63

36,543 21,601

Other

(85)

(33)

TOTALRIGHT-OF-USEASSETS

55,316 (83,617)

(54,031)

4,379 495,764

Right-of-use assets

631,787

Depreciationof righ-of-useassets

(136,023)

As of January 1, 2019,the impact of the first-time applicationof IFRS 16 for operating leases restated for the first time is €519.4 million. In addition, finance leases recognized in property, plant and equipment in the amount of €54.3 million as of December 31, 2018 were reclassifiedin right-of-useassets. Impairment losses on fixedassets 6.5. Impairment tests 6.5.1. Pursuant to IAS 36, Eurazeo allocates goodwill to Cash-Generating Units (CGUs) forthe purposeof conductingimpairmenttests. Each investmentrepresentsa CGU. Calculatingfuture cash flows The value in use of each CGU is determined using the following method forcalculatingthe recoverable amount: expected future cash flows are estimated based on the five-year • business plans prepared by the management of each subsidiary. An explicit period of more than five years may be adopted where cash flows can be estimatedwith sufficient reliability; cash flows are determinedusing the discountedcash flowmethod • (EBITDA +/- changes in WCR - standard tax expense - capital expenditure); the terminalvalue is calculated basedon a perpetual return; • cash flows are discountedat the WeightedAverageCost of Capital • (WACC), determined based on financial factors reflecting rates of return and segment-specific risk in the markets in which the investmenttested operates.

While the accounting bases for CGUs include the impacts of the adoption of IFRS 16, EBITDA presented in the business plans is not restated and includes lease expenses.As the Group has elected to use the modified retrospective method, the impact of IFRS 16 on net assets is in all events limited.

Impairment tests 6.5.2. On goodwill

Impairment tests are performed for each investment, each of which represents a CGU. Exceptionally, when the goodwill of an investment is in the course of allocation(see Note 6.1), impairmenttesting consists of a review of the consistency of the most recent business plan and the business planunderlying the investmentcase. The business plans of investments were prepared based on best estimatesof the impacts of the currenteconomicenvironment. On intangible assetswith an indefinite life Intangibleassets with anindefinite lifeconsist of trademarks. As these assets were obtained on a business combination, their recoverable amount was estimated using the same methodology as that applied to establish their fair value for the purpose of allocating the purchase price, i.e. the royalties method (royalty flows discounted to infinity; flows are calculatedby applying a theoreticalroyalty rate to expected revenue). The useful life of these assets is considered indefinite as there is no foreseeable time limit on the generation of cash flows; the assets are not amortized and are subject to annual impairment testing. Following these tests, no impairment was recognized on goodwill or Grouptrademarks.

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2019 UNIVERSAL REGISTRATION DOCUMENT