GROUPAMA / 2018 Registration document

FINANCIAL STATEMENTS CONSOLIDATED FINANCIAL STATEMENTS AND NOTES

NOTE 11

INVESTMENTS IN RELATED COMPANIES AND JOINT VENTURES

The Group holds several stakes in the following insurance companies: La Banque Postale Assurances IARD in France in the form of a ❯ partnership; STAR in Tunisia, a leader in the insurance market in Tunisia, ❯ jointly ownedwith the Tunisian government; Groupama AVIC Property Insurance Co is the result of the joint ❯ venture betweenGroupamaand the AVIC group. This company

sells non-life insurance products in the People’s Republic of China. Compagnie Financière d’Orange Bank, 65%-held by Orange and 35%-held by the Groupama group, is the holding company that holds Orange Bank,a 100%mobile online bank. The main key figures of these different companies are provided in the above table.

31.12.2018

31.12.2017

Equivalent value

Share of income

Equivalent value

Share of income

(in millions of euros)

La BanquePostale Assurances IARD

114

(1)

107

(2)

Orange Banque

234

(59)

243

(35)

STAR

61

1

68

1

GROUPAMA – AVIC Property Insurance Co.

77

4

75

6

Compagnie Financière d’Orange Bank

TOTAL

485

(56)

493

(30)

An analysis is performed to determine whether it is necessary to recognise an additional impairment loss relating to the Group’s stake in relatedcompanies. In the case of Orange Bank, the model for determining the recoverable amount against which the book value is compared, which incorporates an intangible asset of €118 million, is a DCF (DiscountedCash Flows) valuation for which the discount rate and long-term growthrate assumptions havethe following sensitivities:

sensitivity to a 50-basis point increase in the discount rate is ❯ €160 million on the recoverable amount; sensitivity to a 50-basis point decrease in the growth rate is ❯ €60 million onthe recoverableamount. As of 31 December2018, there was no evidenceof impairmenton any of thefive stakes in relatedcompaniesand joint ventures.

7

Note 11.1

Significant data pursuant to IFRS 12

2018

Premium income

Net income Technical reserves

Total assets Shareholders’ equity

(in millions of euros)

La BanquePostale Assurances IARD  (1)

358

(2)

517

802

134

STAR  (2)

114

3

206

327

96

Groupama – AVIC Property InsuranceCo.  (1)

301

4

174

389

138

Orange Bank  (1)

(170)

5,295

325

Compagnie Financière d’Orange Bank  (1)

(1)

529

524

Actual data. (1) Estimated data for income and earnings/Actual data at December 2017 for the balance sheet. (2)

233

REGISTRATION DOCUMENT 2018 - GROUPAMA ASSURANCES MUTUELLES