Euronext - 2020 Universal Registration Document

Financial Statements

Notes to the Consolidated Financial Statements

The impact of respectively the hedging instrument and the hedged item on the balance sheet as at 31 December 2020 was as follows:

Fair value of derivative financial instruments Assets Liabilities

Notional amount

In thousands of euros

Foreign exchange contract

30,171

–

298

Change in fair value used for measuring ineffectiveness for the period

Foreign currency translation reserve

Fair value

In thousands of euros

Net investment in foreign subsidiaries

30,469

298

298

The impact of respectively the hedging instrument and the hedged item on the balance sheet as at 31 December 2019 was as follows:

Fair value of derivative financial instruments Assets Liabilities

Notional amount

In thousands of euros

Foreign exchange contract

31,919

–

141

Change in fair value used for measuring ineffectiveness for the period

Foreign currency translation reserve

Fair value

In thousands of euros

Net investment in foreign subsidiaries

32,060

141

141

The hedging gain/(loss) recognised in Other Comprehensive Income before tax is equal to the change in fair value used for measuring effectiveness. The tax effect on the change in fair value of the derivative instrument was insignificant as per 31 December 2020 and 2019.

As per 31 December 2020, the derivative financial liabilities balance includes an impact of €77k in Nord Pool related to the effects of foreign exchange spot transactions made to facilitate electricity settlement. This impact brings the total derivatives financial liabilities balance at €375k as per 31 December 2019.

Impact of hedging on equity Set out below is the reconciliation of each component of equity and the analysis of Other Comprehensive Income:

Foreign currency translation reserve

In thousands of euros

As at 1 January 2019

3,351

Changes in fair value of the hedging instrument

(1,824)

8

Foreign exchange forward point excluded from the hedge

(418)

Foreign currency revaluation of the net foreign operations

(139)

As at 31 December 2019

970

Changes in fair value of the hedging instrument

1,746

(354)

Foreign exchange forward point excluded from the hedge

Foreign currency revaluation of the net foreign operations(a)

(56,854)

AS AT 31 DECEMBER 2020

(54,492)

(a) In 2020, the impact was almost fully attributable to foreign currency translations of net foreign operations in NOK.

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2020 UNIVERSAL REGISTRATION DOCUMENT