Groupe Renault - 2020 Universal Registration Document

GROUPE RENAULT: A COMPANY THAT ACTS RESPONSIBLY

ANNUAL GENERAL MEETING OF RENAULT ON APRIL 23, 2021

FINANCIAL STATEMENTS

GROUPE RENAULT

CORPORATE GOVERNANCE

RENAULT AND ITS SHAREHOLDERS

ADDITIONAL INFORMATION

CONSOLIDATED FINANCIAL STATEMENTS

Fair value of fund assets 19 - F - Details of the assets invested via pension funds and insurance companies are as follows:

December 31, 2020

Assets listed on active markets

Unlisted assets

Total

(€ million)

Pension funds

Cash and cash equivalents

1

- - - - -

1

Shares Bonds

123 188

123 188

Shares in mutual funds and other

51

51

TOTAL – PENSION FUNDS

363

363

Insurance companies

04

Cash and cash equivalents

1 8

7

8 8

Shares Bonds

-

211

5 1

216

Real estate property

21 26

22 54

Shares in mutual funds and other TOTAL – INSURANCE COMPANIES

28 41 41

267 630

308 671

TOTAL

Pension fund assets mainly relate to plans located in the United Kingdom (45.8%). Insurance contracts principally concern the Netherlands (30.1%), France (13.7%), Switzerland (4.6%) and Germany (4.5%). The actual returns on plan assets in the United Kingdom are shown in note 19-B. The weighted average actual rate of return on the Group’s main funds was 2.22% in 2020 (8.84% in 2019).

At the date of this report, the best estimate of contributions that will be payable to the funds in 2020 is approximately €11 million. The Group’s pension fund assets do not include Groupe Renault’s financial instruments. Real estate investments do not include real estate properties occupied by the Group.

CHANGE IN PROVISIONS NOTE 20

Provisions for insurance activities (1)

Provisions for commitments given and other

Restructuring provisions (3)

Warranty provisions

Provisions for litigation and risks concerning other taxes

Total 2,522 1,371 (929)

(€ million)

At December 31, 2019

450 499

1,016

228

523

305 274

Increases

521

50

27

Reversals of provisions for application Reversals of unused balance of provisions

(224)

(497)

(19) (16)

(54)

(135)

(18)

(17)

- - -

(30)

(81)

Changes in scope of consolidation

1

-

-

-

1

Translation adjustments and other changes

104 812

(31) 992

(38) 205

7

42

496

421

2,926

At December 31, 2020 (2)

Technical reserves established by the Sales Financing segment’s insurance companies. (1) Short-term portion of provisions: €1,570 million; long-term portion of provisions: €1,356 million. (2) Restructuring costs include a reclassification of €108 million from the provision for retirement indemnities concerning employees who will benefit from indemnities under (3) the Collective Contractual Separation plan.

All known litigation in which Renault or Group companies are involved is examined at each closing. After seeking the opinion of legal advisors, any provisions deemed necessary are set aside to cover the estimated risk. During 2020, the Group recorded no provisions in connection with significant new litigation. Information on contingent liabilities is provided in note 28-A2. Increases to restructuring provisions essentially comprise the effect of workforce adjustment measures in the Europe Region (note 6-A). In France, restructuring provisions have been recorded for employee departures expected under the Collective Contractual Separation

plan, at the relevant amount net of existing provisions for retirement indemnities. At December 31, 2020, “Other provisions” include €91 million of provisions established in application of environmental regulations (€84 million at December 31, 2019). These include provisions to cover expenses relating to end-of-life vehicles and used batteries, and environmental compliance costs for industrial land in the Europe Region and for industrial sites in the Americas and Eurasia Regions.

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GROUPE RENAULT I UNIVERSAL REGISTRATION DOCUMENT 2020