Groupama // Universal Registration Document 2022

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FINANCIAL STATEMENTS Combined financial statements and notes

2.3 2.3.1

Consolidation principles Combination and consolidation scope and methods

2.2.4 Preparation of the financial statements In order to prepare the Group’s financial statements in accordance with IFRS, Groupama’s management must make assumptions and estimates that have an impact on the amount of assets, liabilities, income, and expenses as well as on the drafting of the notes to the accounts. These estimates and assumptions are reviewed on a regular basis. They are based on past experience and other factors, including future events which can be reasonably expected to occur under the circumstances. Final future results of operations for which estimates were necessary may prove to be different and may result in an adjustment to the financial statements. The judgements made by management pursuant to the application of IFRS primarily concern: initial valuation and impairment tests performed on intangible assets, particularly goodwill (paragraphs 3.1.1 and 3.1.2); ❯ measurement of underwriting reserves (paragraph 3.12); ❯ estimation of certain fair values on unlisted assets or property assets (paragraphs 3.2.1 and 3.2.2); ❯ estimation of certain fair values of illiquid listed assets (paragraphs 3.2.1); ❯ recognition in assets of profit sharing (paragraphs 3.12.2.b) and deferred taxes (paragraph 3.14); ❯ calculation of reserves for contingencies and charges and particularly valuation of employee benefits (paragraph 3.10). ❯ The Group plans to apply the IFRS 9 option to all of its equity instruments, which allows shares that are not held for trading to recognise all changes in the fair value of these shares (including realised gains and losses) irrevocably in Group’s IFRS equity. The assessment of the impact of IFRS 9 on the Group’s combined financial statements, in combination with the application of IFRS 17, is still in progress. All figures on the combined balance sheet, combined income statement, statement of profit or loss and gains and losses recognised directly in Group’s IFRS equity, the statement of changes in Group’s IFRS equity, cash flow statements and notes to the accounts are stated in millions of euros unless otherwise stated. These figures are rounded. This might generate rounding differences.

(a) In accordance with the provisions of IAS 10 and IAS 28, mutual funds and property investment companies are consolidated either through full consolidation or through the equity method. Control is examined for each mutual fund on a case ‑ by ‑ case basis. Non ‑ controlling interests pertaining to mutual funds subject to full consolidation are measured at fair value and disclosed separately as a special liability item in the balance sheet. Underlying financial assets appear in the Group’s insurance business investments. Equity ‑ consolidated mutual funds are recognised at fair value and included in “Financial investments excluding unit ‑ linked items” in the balance sheet. Combining company The combining company is responsible for preparing the combined financial statements. Its designation is the subject of a written agreement between all companies of the combination scope, where this combination does not result from any capital tie. Aggregated companies Companies related to each other through a combination tie are consolidated through aggregation of financial statements according to rules identical to those for full consolidation. (b) A company is included in the combination scope once its inclusion, or that of the sub ‑ group it heads, on a stand ‑ alone basis or with other combined businesses, is material in relation to the combined financial statements of all companies included in the scope of combination.

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Universal Registration Document 2022 - GROUPAMA ASSURANCES MUTUELLES