UNIVERSAL REGISTRATION DOCUMENT 2023

7 FINANCIAL STATEMENTS Annual financial statements and notes

(c) The redemption value recorded at the close is the most recent quoted price at the inventory date. For unlisted securities, it is the market value resulting from the price that would be obtained under normal market conditions and depending on their utility to the Company. Equities and other variable ‑ income securities (including equity securities) Shares and other variable ‑ income securities under Article R. 343 ‑ 10 of the French Insurance Code are recorded at their purchase price excluding accrued interest. In accordance with the provisions of ANC regulation 2014 ‑ 03 relating to the general accounting code (Article 221 ‑ 1/213 ‑ 8), Groupama Assurances Mutuelles chose the accounting option allowing it to incorporate acquisition costs into the cost price of equity interests and to recognise, in its accounting, accelerated amortisation over five years. The realisable value retained at statement closing corresponds: for listed securities, as a general rule, the last price listed on the day of the inventory; ❯ for unlisted securities, to the market value corresponding to the price that would be obtained under normal market conditions based on their usefulness for the Company; ❯ for shares in open ‑ ended collective investment schemes and mutual fund units, the last purchase price published on the day of the inventory. ❯ (d) Loans Loans granted to companies belonging to the Group and to other entities are valued according to their contracts. Reserves Amortisable securities under Article R. 343 ‑ 9 of the French Insurance Code Any unrealised capital losses resulting from comparing the book value, including the differences between the redemption prices (premium, discount), with the redemption value, do not necessarily carry a reserve for diminution in value. Nevertheless, a reserve for impairment is allocated when there is reason to believe that the debtor will not be able to honour his commitments, either to pay interest or to repay the principal. Property investments, variable ‑ income or fixed ‑ income securities falling under Article R. 343 ‑ 10 of the French Insurance Code, loans REAL ‑ ESTATE INVESTMENTS When the net carrying amount of buildings, equity shares, or shares in unlisted property or real estate companies exceeds the realisable value of these investments, a reserve for long ‑ term impairment may be allocated. This impairment is applied on investment properties after a materiality threshold has been taken into account. It is also applied to operating properties provided that their value in use is more than 15% less than the net book value. 3.2.2 (a) (b) Inflation ‑ linked change in the redemption value of bonds that are indexed on the general price levels is posted to income.

LISTED SECURITIES (EXCEPT EQUITY INTERESTS) For those investments covered by Article R. 343 ‑ 10 of the French Insurance Code, a line ‑ by ‑ line reserve for impairment may only be allocated when there is reason to deem that the impairment is long ‑ term. In accordance with Article 123 ‑ 7 of ANC regulation 2015 ‑ 11, long ‑ term impairments of amortisable securities covered by Article R. 343 ‑ 10 of the French Insurance Code that the Company can and intends to hold until maturity are analysed in terms of credit risk only. A reserve for long ‑ term impairment is established in the event of a proven credit risk, when there is reason to believe that the counterparty will not be able to honour his commitments, either to pay interest or to repay the principal. For amortisable securities covered by Article R. 343 ‑ 10 of the French Insurance Code that the Company does not have the intention or ability to hold until maturity, long ‑ term impairments are established by analysing all of the risks identified on this investment based on the considered holding horizon. The long ‑ term impairment of an investment line can be presumed in the following cases: there was a long ‑ term reserve on this investment line in the previous published statement; ❯ the listed investment has consistently shown a significant unrecognised loss from its book value over a period of six consecutive months prior to closing; ❯ there are objective indicators of long ‑ term impairment. ❯ The recoverable amount is determined based on a multi ‑ criteria approach that depends on the nature of the assets and the holding strategy. In the event of long ‑ term impairment of a security covered by Article R. 343 ‑ 10 of the French Insurance Code, the amount of the impairment is the difference between historical cost price and recoverable amount. EQUITY SECURITIES The valuation of equity shares is based on multi ‑ criteria methods selected based on each specific situation (type of assets, holding period, etc.). The net book value of the equity securities of Groupama Holding Filiales et Participations (GHFP) amounted to €7,228 million as at 31 December 2023. The valuation method applied to these securities is based on the intrinsic valuation of the securities of subsidiaries and participations that make up GHFP’s assets. Each entity that undergoes a valuation provides its underwriting income forecasts calculated based on an estimated increase in premium income and a change in combined ratio for the plan period. These assumptions are adapted on the basis of the objectives of each entity, past experience, and external constraints imposed by the local market (competition, regulation, market shares, etc.). Forecasts of financial income and discounted free cash flow are determined on the basis of financial assumptions (notably discount rate and rate of return).

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Document d’Enregistrement Universel 2023 GROUPAMA ASSURANCES MUTUELLES