GROUPAMA / 2018 Registration document

FINANCIAL STATEMENTS ANNUAL FINANCIAL STATEMENTS AND NOTES

loans or advances to variousother entities, ■ other income due. ■ In the event of a probable loss, an impairmentis recognisedfor the estimated amount that cannotbe recovered.

calculates an amount of corporate tax at the rate applicable to the head company of the tax consolidation group, i.e., calculated at the normal rate and increased by additional contributions (rate of 34.43%), whatever the actual amount of tax owed by the Group. This amount of corporate tax is paid to Groupama Assurances Mutuelles via tax consolidationcurrent accounts. The tax savings realised by the Group relating to losses are reported at the Groupama AssurancesMutuelles parent company level. They are treated as an immediate gain for the year and not as a simple cash saving. The savings achieved by the consolidated group, not related to losses, are also retained by the parent company, with the exception of the tax savings achieved on the neutralisation of intra-group dividends between Groupama Assurances Mutuelles and the regional mutuals. These two items are recorded in the financial statementspursuant to the provisions of notice 2005-Gdated 12 October 2005 of the Emergency Committeeof the Conseil National dela Comptabilité. for direct insuranceoperations(these concern non-life insurance ❯ operations in co-insurance and co-reinsurance groupings and the operations of the regional mutual of Antilles Guyane not having administrative authorisation to carry out insurance operations): policyholders’credit accounts, ■ commissions on premiumsearned but not written, ■ advances orloans from co-insurers; ■ for inwardreinsurance operations: ❯ advances orloans withthe cedingoffices, ■ accrued expenses related to inward transactions from these ■ ceding entities; for outwardtransactions: ❯ advances orloans withoutward reinsurers, ■ accrued expenses related to inward transactions from these ■ outward reinsurers; for the other payables: ❯ advances or loans of a financial and operational nature with ■ various other entities, bank overdrafts, ■ taxes and social securityowed. ■ Accruals –Liabilities 3.3.10 Accrual accounts on the liabilities side correspond mainly to the amortisation ofdifferences on bondredemptionprices. Debts 3.3.9 Payables mainly consistof:

Tangible operating assets 3.3.5 The tangibleoperatingassets account mainly includes: fixtures andimprovements of premises; ❯ transportation equipment; ❯ office equipment; ❯ furniture; ❯

computer hardware; ❯ other tangible assets. ❯

These assets are amortisedusing either the straight-linemethod or the accelerated method over the estimated useful lives, which ranges from 2 to 10 yearsdepending onthe typeof asset.

Accruals –Assets 3.3.6 The accruals accountson the assetside are mainly composed of:

interest accrued andincome receivable; ❯ differences onbond-redemption prices; ❯ acquisitioncosts carried forward to future years; ❯ accruals relatedto FFIs. ❯

Reserves (otherthanunderwriting) 3.3.7 Reserves (other than underwriting) are set up in accordance with the provisions of ANC Regulation 2014-03 on the French national accounting system and concern risks and charges that are clearly specifiedwhen they are applicable but whose due date or amount cannot befixed precisely. This item also includes regulated provisions consisting mainly of acceleratedamortisation onacquisitioncosts of equity securities. Reserves for retirement commitments and similar obligations are measured and recognised in accordance with ANC recommendation2013-02, the applied method being the method based on revised IAS 19 published in June 2011 with the immediate recognition of actuarial gains and losses in the income statement. Corporate income tax 3.3.8 Groupama Assurances Mutuelles is the parent company of a tax combination group comprising 52 tax-combinedentities. As such and in accordance with the provisions of Article 223 B of the French General Tax Code, Groupama Assurances Mutuelles is solely liable for the tax dueby the consolidated group. In addition, each member of the tax consolidationgroup (including Groupama Assurances Mutuelles as a member of the Group) determines its taxable income as if it were not part of the consolidated group, i.e., it determines its taxable income after deducting its own pre-consolidation losses (equivalent to statement no 2058-A-Bis-SD).On this basis, each member entity

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Change in accounting method 3.4 No change inaccounting methodwas notedduring this fiscal year.

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REGISTRATION DOCUMENT 2018 - GROUPAMA ASSURANCES MUTUELLES