Financial Statements 2023

2. Notes to the IFRS Consolidated Financial Statements 2.7 Capital Structure and Financial Instruments

37.3 Potential Effect of Set ‑ Off Rights on Recognised Financial Assets and Liabilities

The Company reports all its financial assets and financial liabilities on a gross basis. With each derivative counterparty there are master netting agreements in place providing for the immediate close ‑ out of all outstanding derivative transactions and payment of the net termination amount in the event a party to the agreement defaults or another defined termination event occurs. Furthermore, securities lending transactions are accounted for as collateralised borrowings. As a result, the securities pledged as collateral continue to be recognised on

the balance sheet and the amount of cash received at the outset of the transaction is separately recognised as a financial liability. The following tables set out, on a counterparty specific basis, the potential effect of master netting agreements and collateralised borrowings on the Company’s Financial Position, separately for financial assets and financial liabilities that were subject to such agreements as of 31 December 2023 and 2022, respectively:

Gross amounts recognised set

Related amounts not set off in Statement of Financial Position

Net amounts presented in the Financial Statements

off in the Financial Statements

Financial instruments

Cash collateral received

Gross amounts recognised

Net amount

(In € million)

31 December 2023

Financial asset

1,180

0

1,180

(1,170)

0

10

Financial liabilities

4,710

0

4,710

(1,170)

0

3,540

31 December 2022

Financial asset

1,821

0

1,821

(1,820)

0

1

Financial liabilities

9,449

0

9,449

(1,820)

0

7,629

37.4 Notional Amounts of Derivative Financial Instruments

The contract or notional amounts of derivative financial instruments shown below do not necessarily represent amounts exchanged by the parties and, thus, are not necessarily a measure for the exposure of the Company through its use of derivatives. The notional amounts of foreign exchange derivative financial instruments are as follows, specified by year of expected maturity:

Remaining period

(In € million)

1 year

2 years 3 years 4 years 5 years > 5 years

Total

31 December 2023

Net forward and swap contracts

17,470 13,559 11,002

8,122

4,885

(22)

55,016

31 December 2022

Net forward sales contracts

20,076 18,636 12,128

8,100

7,284

1,201

67,425

84

Airbus

Financial Statements 2023