Groupama // 2021 Universal Registration Document

6 EARNINGS AND FINANCIAL POSITION Management report of the Board of Directors

Combined balance sheet 6.1.4.6 At 31 December 2021, Groupama’s combined balance sheet totalled €104.5 billion versus a comparable level of €104.7 billion in 2020. Goodwill (a) Goodwill amounted to €1.6 billion at 31 December 2021 compared with €1.7 billion in 2020. This is mainly due to exchange rate differences. Other intangible assets (b) Other intangible assets totalling €407 million at 31 December 2021 ( versus €366 million in 2020) are composed primarily of amortisable portfolio securities (€30 million) and computer software. The change in this item is related to software activations and amortisation for the period. Investments (including unit-linked investments) (c) Insurance investments totalled €91.7 billion in 2021 compared with €92.4 billion in 2020, down 0.7%. The Group’s unrealised capital gains (including property) decreased €1.9 billion to €9.9 billion (compared with €11.8 billion at the

previous close), mainly because of the decrease in unrealised capital gains on bonds (in a context of gradually rising rates). By asset allocation, unrealised gains are broken down into €6.0 billion on bonds, €1.6 billion on equities, and €2.3 billion on property. Unrealised gains on financial assets (excluding property) totalled €7.5 billion, with €2.2 billion attributable to Group's equity (after profit sharing and tax) versus €2.7 billion at 31 December 2020. These amounts are recorded in the financial statements in the revaluation reserve. Unrealised property gains attributable to the Group (net of tax and deferred profit sharing) totalled +€0.97 billion compared with +€0.90 billion at 31 December 2020. The Group elected to account for investment and operating property according to the amortised cost method; therefore, unrealised property gains were not recorded in the accounts. The equity share of total investments in terms of market value was 8.7% at 31 December 2021 versus 7.1% at 31 December 2020 according to an economic view. Group's equity (d) Groupama’s combined Group's equity at 31 December 2021 was 0.4% lower than the previous period, totalling €10.7 billion.

This change can be summarised as follows:

(in millions of euros)

GROUP'S EQUITY AT 2021 OPENING

10,704

Change in revaluation reserve: fair value of AFS assets

(2,011)

Change in revaluation reserve: shadow accounting

1,338

Change in revaluation reserve: deferred tax

201

Mutual certificates

7

Foreign exchange adjustment

(17)

Other

(56)

Result

493

GROUP'S EQUITY AT 31 DECEMBER 2021

10,659

The Group’s core tier 1 capital increased 6.1% due in particular to the very good operating performance (net income of €493 million). The decrease in the revaluation reserve in a context of rising interest rates weighs on IFRS equity and offsets the very strong increase in core tier 1 capital. Subordinated liabilities, financing and other debts (e) Subordinated liabilities and external debt totalled €2.1 billion at 31 December 2021 versus €1.6 billion at 31 December 2020. Subordinated debts totalled €2,132 million in 2021 compared with €1,632 million at the end of 2020, an increase of €500 million

related to the first issue by the Group of subordinated green bonds for a total of €500 million.

Underwriting reserves (f) Gross underwriting reserves (including deferred profit sharing) totalled €81.5 billion at 31 December 2021, compared with €80.9 billion at 31 December 2020. Contingent liabilities (g) Reserves for contingent liabilities totalled €580 million in 2021, compared with €639 million in 2020, and were primarily made up of pension commitments under IAS 19.

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Universal Registration Document 2021 - GROUPAMA ASSURANCES MUTUELLES