Groupe Renault - 2019 Universal Registration Document

RENAULT: A RESPONSIBLE COMPANY

ANNUAL GENERAL MEETING OF RENAULT ON APRIL 24, 2020

GROUPE RENAULT

CORPORATE GOVERNANCE

FINANCIAL STATEMENTS

RENAULT AND ITS SHAREHOLDERS

ADDITIONAL INFORMATION

OVERVIEW OF RENAULT AND THE GROUP

Nissan, AVTOVAZ, partnerships and

This agreement is designed to unite the strengths of the three partners and extend their expertise through the assessment of market opportunities and joint research on commercial, legal and regulatory issues related to mobility service offers in France and Japan. Due to its international dimension and its offers for every segment of light commercial vehicles and passenger cars, the Renault-Nissan-Mitsubishi alliance is in a perfect positioned to undertake these exploratory efforts with Waymo, a company specializing in driverless technologies with over 16 million kilometers of road experience. New Mobilities and Services For four years, Groupe Renault has been committed to the development of new shared mobility services (Renault Mobility, Zity in Madrid, Moov’in Paris), and has made targeted acquisitions and equity investments in various start-ups in the field (Karhoo, Yuso, iCabbi, Glide). In January 2019, Groupe Renault established an entity dedicated to new mobility, the World Mobility Service, which was supplemented by the creation of a subsidiary in October 2019, Renault M.A.I. (Mobility as an Industry). This subsidiary brings together all of its mobility activities under one roof to generate synergies, simplify the decision-making chain, clarify existing offers and create new ones. Alliance Ventures Created in January 2018, Alliance Ventures is a strategic venture capital fund operated by Renault-Nissan-Mitsubishi, the world’s leading automotive alliance. The fund, which was launched in 2018 with an initial investment of $200 million, is located in Amsterdam, Paris, Yokohama, Beijing, Tel Aviv and Silicon Valley, where it targets innovative technologies and economic models in the fields of new mobility, autonomous driving, connected services, electric vehicles and “Enterprise 2.0”. By leveraging the business expertise and opportunities of the world’s largest automotive alliance, Alliance Ventures targets strategic investments in start-ups developing disruptive technologies or businesses. Alliance Ventures has announced investments in a dozen start-ups, including: Kalray, (FR) very-high-performance processors for critical P systems; PowerShare, (CN) an intelligent charging platform for the electric P vehicle market in China; Shift, (US) integrated platform for buying, selling and financing P used vehicles online; Tekion, (US) cloud applications to digitize the customer experience P in dealer networks; The Mobility House, (DE) fleet charge management and battery P energy storage solutions. In December 2017, Groupe Renault and the Challenges Group decided to join forces to meet the challenges of publishing services for connected, autonomous cars. In 2019, Groupe Renault decided to not continue this business and withdrew from this equity investment by selling its 35% share of the capital to the founder of the Challenges Group in early 2020.

1.1.4.8

01

cooperations

Nissan Renault’s shareholding in Nissan is described in detail in section 1.2 “The Renault-Nissan-Mitsubishi alliance”. Nissan’s market capitalization at December 31, 2019 was ¥2,684 billion (€22,014 million), based on a closing price of ¥636 per Nissan share. Renault holds 43.4% of Nissan’s share capital. At December 31, 2019, the market value of the shares held by Renault totaled €9,554 million, based on a conversion rate of ¥121.94 for €1. Renault accounts for its shareholding in Nissan using the equity method, as described in Chapter 4, note 12 of the notes to the consolidated financial statements. AVTOVAZ In Russia, AVTOVAZ continued its recovery in 2019 and made a positive contribution to the results of Groupe Renault for the third consecutive year: AVTOVAZ revenues reached €3.1 billion (+3%); P The operating margin amounted €155 million and represented 5% P of revenues. These results are the fruit of the medium-term plan approved by AVTOVAZ shareholders in 2016, which aims to achieve a return to growth and profitability. The plan’s objectives included market share in Russia of at least 20% (PC) in a market expected to grow after several years of decline, cost cutting, notably through increased local integration, a revival of exports and the development of new vehicles and engines. In parallel operations related to the restructuring of AVTOVAZ shareholding were finalized in early 2019 with the transformation of AVTOVAZ from a public to a private joint stock company further to the delisting of AVTOVAZ shares from the Moscow Stock Exchange. At the end of December 2019, Renault’s stake in Alliance Rostec Auto b.v. was 67.61%, Alliance Rostec Auto b.v. holding 100% of AVTOVAZ Capital. In December 2019, AVTOVAZ increased its stake in the GM-AVTOVAZ JV to 100%. This transaction allowed AVTOVAZ, which was already the main supplier of the JV, to take over the usage rights related to the NIVA trademark which will be used for future LADA models. Strategic cooperation between Renault-Nissan alliance and Daimler AG See paragraph “Cooperation with Daimler” in section 1.2.4. Supplier relations and support Autonomous vehicles In June 2019, Groupe Renault and Nissan signed an exclusive Alliance agreement with Waymo for the study of autonomous mobility services for people and goods in France and Japan.

45 GROUPE RENAULT I UNIVERSAL REGISTRATION DOCUMENT 2019