LEGRAND / 2018 Registration document

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CONSOLIDATED FINANCIAL INFORMATION CONCERNING THE GROUP’S ASSETS, LIABILITIES, FINANCIAL POSITION AND RESULTS

CONSOLIDATED FINANCIAL STATEMENTS IN ACCORDANCE WITH IFRS FOR THE YEARS ENDED DECEMBER 31, 2018 AND DECEMBER 31, 2017

3.3 PROPERTY, PLANT AND EQUIPMENT Depreciation is calculated on a straight-line basis over the estimated useful lives of the respective assets; the most commonly adopted useful lives are the following:

Lightweight buildings

25 years

Standard buildings

40 years

Machinery and equipment

8 to 10 years

Tooling

5 years

Office furniture and equipment

5 to 10 years

Assets acquired under lease agreements that transfer substantially most of the risks and rewards of ownership to the Group are capitalized on the basis of the present value of future minimum lease payments and are depreciated over the shorter of the lease contract period and the asset’s useful life determined in accordance with Group policies.

3.3.1 Changes in property, plant and equipment

December 31, 2018

Assets under construction and other

Machinery and equipment

Land

Buildings

Total

(in € millions)

Gross value At the beginning of the period

55.6

627.7

1,746.5

306.8

2,736.6

W Acquisitions

0.0

3.2

34.5

101.5

139.2

W Disposals

(0.6)

(9.7)

(66.8)

(12.8)

(89.9)

W Transfers and changes in scope of consolidation

(7.4)

10.9

94.9

(67.0)

31.4

W Translation adjustments

0.1

0.1

(8.8)

(0.2)

(8.8)

At the end of the period

47.7

632.2

1,800.3

328.3

2,808.5

Depreciation and impairment At the beginning of the period

0.0

(414.7)

(1,505.7)

(193.8)

(2,114.2)

W Depreciation expense

(0.7)

(19.2)

(65.0)

(15.6)

(100.5)

W Reversals

0.0

8.2

63.2

12.7

84.1

W Transfers and changes in scope of consolidation

0.0

(0.9)

(22.5)

3.2

(20.2)

W Translation adjustments

0.0

(0.3)

5.4

(1.4)

3.7

8

At the end of the period

(0.7)

(426.9)

(1,524.6)

(194.9)

(2,147.1)

Net value At the beginning of the period

55.6

213.0

240.8

113.0

622.4

W Acquisitions/Depreciation

(0.7)

(16.0)

(30.5)

85.9

38.7

W Disposals/Reversals

(0.6)

(1.5)

(3.6)

(0.1)

(5.8)

W Transfers and changes in scope of consolidation

(7.4)

10.0

72.4

(63.8)

11.2

W Translation adjustments

0.1

(0.2)

(3.4)

(1.6)

(5.1)

At the end of the period

47.0

205.3

275.7

133.4

661.4

As of December 31, 2018, total property, plant and equipment includes €5.1 million corresponding to assets held for sale, which are measured at the lower of their carrying amount and fair value less disposal costs.

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LEGRAND

REGISTRATION DOCUMENT 2018