Groupe Renault - 2020 Universal Registration Document

04

CONSOLIDATED FINANCIAL STATEMENTS FINANCIAL STATEMENTS

DERIVATIVES AND MANAGEMENT OF FINANCIAL RISKS NOTE 25 Derivatives and netting agreements 25 - A - Fair value of derivatives and hedged notional values A1 The fair value of derivatives of the Automotive segments corresponds to their balance sheet value:

Balance sheet value

Financial commitment

December 31, 2020 (€ million)

Assets

Liabilities

Nominal

< 1 yr

1 to 5 yrs

> 5 yrs

Cash flow hedges

6

12

1,243

1,243

-

- - -

Derivatives not qualified as hedging instruments

364 370

393 405

28,982 30,225

26,544 27,787

2,438 2,438 2,722 2,722

TOTAL FOREIGN EXCHANGE RISK

Derivatives not qualified as hedging instruments

37 37 17 17

43 43

3,323 3,323

585 585 176 176

16 16

TOTAL INTEREST RATE RISK

Cash flow hedges

1 1

210 210

34 34

- -

TOTAL COMMODITY RISK TOTAL AUTOMOTIVE

424

449

33,759

28,548

5,194

16

The fair value of derivatives of the Sales Financing segment corresponds to their balance sheet value:

Balance sheet value

Financial commitment

Assets

Liabilities

Nominal

< 1 yr

1 to 5 yrs

> 5 yrs

December 31, 2020 (€ million)

Derivatives not qualified as hedging instruments

9 9 7

8 8

1,024 1,024

802 802

222 222

- - -

TOTAL FOREIGN EXCHANGE RISK

Cash flow hedges Fair value hedges

72

10,182

2,888 1,332 2,945 7,165 7,967

7,294 5,042

211

-

8,524 3,415

2,150

Derivatives not qualified as hedging instruments

3

4

470

-

TOTAL INTEREST RATE RISK TOTAL SALES FINANCING

221 230

76 84

22,121 23,145

12,806 13,028

2,150 2,150

In the event of default, the non-defaulting party has the right to suspend execution of its payment obligations and to demand payment or transfer of a termination balance for all terminated transactions. The ISDA and FBF framework agreements do not meet the requirements for netting in the financial statements. The Group currently has no legally enforceable right to net the reported amounts, except in the case of default or a credit event.

Netting agreements and other similar commitments A2 FRAMEWORK AGREEMENTS FOR OPERATIONS ON FINANCIAL FUTURES AND SIMILAR AGREEMENTS The Group negotiates its derivatives contracts in accordance with the framework agreements issued by the International Swaps and Derivatives Association (ISDA) and the FBF (Fédération Bancaire Française).

NETTING OF FINANCIAL ASSETS AND LIABILITIES: SUMMARY

Amounts not netted in the statement of financial position

Amounts in the statement of financial position eligible for netting

December 31, 2020 (€ million)

Financial instruments assets/liabilities

Guarantees included in liabilities

Off balance sheet guarantees

Net amounts

Assets Derivatives on financing operations of the Automotive (excluding AVTOVAZ) segment Derivatives on financing operations of the Sales Financing segment

393 230 193 816

(26)

- -

- - - -

367 230

- -

Sales Financing receivables dealer*

(110) (110)

83

TOTAL ASSETS

(26)

680

Liabilities Derivatives on financing operations of the Automotive (excluding AVTOVAZ) segment Derivatives on financing operations of the Sales Financing segment

436

(332)

- - -

- - -

104

84

(26)

58

TOTAL LIABILITIES 162 Sales financing receivables held by Banco RCI Brasil, whose exposure is covered by pledges of “letras de cambio” (bills of exchange) subscribed by dealers and reported * under other debts represented by a certificate. 520 (358)

400 GROUPE RENAULT I UNIVERSAL REGISTRATION DOCUMENT 2020

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