Groupama // Universal Registration Document 2022

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FINANCIAL STATEMENTS Combined financial statements and notes

(c) Controlled entities Controlled entities are fully consolidated. These entities are consolidated once they are controlled. An entity is controlled when the combining company holds power over this entity, is exposed or is entitled to variable returns because of its ties with this entity, and when it has the ability to exercise its power over this entity in order to have an influence on the amount of returns that it obtains. An entity ceases to be fully consolidated once the combining company loses control of this entity. Full consolidation involves: integrating in the consolidating company’s accounts the items in the financial statements of the consolidated entities, after any restatements; ❯ eliminating transactions and accounts between the fully consolidated company and the other consolidated companies; ❯ distributing Group’s IFRS equity and net income among the interests of the consolidating company and the interests of the holders of minority interests. ❯

(d) Related companies and joint ventures Investments in associates in which the Group has a significant influence and investments in joint ventures are accounted for under the equity method. When the combining company holds, directly or indirectly, 20% or more of the voting rights in an entity, it is assumed to exert significant control, unless it can be demonstrated otherwise. Conversely, when the combining company directly or indirectly owns less than 20% of the voting rights of the entity, it is assumed not to exert a significant influence, unless it can be demonstrated that such influence exists. A joint venture is a partnership in which the parties who exercise joint control over the entity have rights to its net assets. The combining company has joint control over a partnership when the decisions concerning the relevant activities of the partnership require the unanimous consent of the parties sharing control. The equity method consists of replacing the carrying amount of the shares held by the Group, with the share of Group’s IFRS equity converted at year end, including the net income for the fiscal year in accordance with consolidation rules.

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Universal Registration Document 2022 - GROUPAMA ASSURANCES MUTUELLES