MRM - 2018 Registration document

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General information on the issuer and its capital Management report for the year ended 31 December 2018

Operating income before disposals and changes in fair value of properties amounted to €3,663 thousand compared with €3,969 thousand at the end of 2017. Net of losses on asset disposals of €110 thousand and decrease in fair value of property assets of €12,102 thousand, operating income resulted in a loss of €8,549 thousand. It is recalled that in 2017 the loss was €2,500 thousand. Financial income improved by 11.7% compared with 2017 and amounted to a loss of €1,879 thousand as of 31 December 2018 consisting of: • net borrowing cost of €1,493 thousand made up of interest and similar expenses; • decrease in fair value of the cap of €47 thousand; • discounting of payables and receivables of €340 thousand. In light of the above, net income after tax amounted to a loss of €10,428 thousand as of 31 December 2018 compared with a loss of €4,628 thousand as of 31 December 2017. 2.2.3 Consolidated balance sheet As of 31 December 2018, non-current assets stood at €159,083 thousand, compared with €158,523 thousand as of 31 December 2017, and consisted mostly of investment properties in the amount of €159,080 thousand. As of 31 December 2018, current assets stood at €25,514 thousand compared with €61,367 thousand as of 31 December 2017. They mainly consisted of: • assets held for sale of €5,660 thousand (compared with €41,047 thousand at the end of 2017); • trade receivables of €2,354 thousand; • other receivables of €3,921 thousand (e.g. rental charge invoices, tax claims); and • cash and cash equivalents of €13,456 thousand. With regard to equity and liabilities, after taking into account the net loss for the year of €10,428 thousand and a dividend payment of €4,798 thousand for 2017, consolidated equity stood at €102,644 thousand at the end of the period. As of 31 December 2017, this item totalled €117,950 thousand. As of 31 December 2018, non-current liabilities payable at over one year totalled €72,962 thousand compared with €72,223 thousand as of 31 December 2017. These mainly comprised bank debt of €72,056 thousand and tenants’security deposits of €906 thousand. Current liabilities payable at under one year totalled €8,992 thousand as of 31 December 2018 compared with €29,717 thousand as of 31 December 2017. This amount is mainly composed of contractual amortisation related to bank

loans in 2019 for a total of €2,044 thousand, as well as trade payable for goods and services and non-current assets for €4,433 thousand, and other debts and adjustment accounts for €1,615 thousand. In accordance with Articles L.225-100 and L.233-16 of the French Commercial Code, we hereby ask you to approve the consolidated financial statements provided in Appendix 4 of this report. 2.3 Appropriation of earnings and payment of premiums We propose to appropriate the loss of €1,845,074 for the year ended 31 December 2018 as follows: • Origin: Loss for the period:€1,845,074 • Appropriation: Retained earnings: -€1,845,074 Retained earnings would thus go from -€6,587,214 to -€8,432,288. We also propose a payment of premiums in the amount of €4,803,459, equivalent to €0.11 per share, of which €437,908 to be financed from the “Merger Premiums” account and the remainder from the “Share Premiums” account. The current merger premium stemmed from the complete transfer of all assets and liabilities of the subsidiary DB Fouga to the Company in 2016. This payment would reduce the Merger Premiums account from €437,908 to €0 and the Share Premiums account from €53,950,978 to €49,585,427. The distribution will be deducted from the “Merger Premiums” account and will be subject to a flat tax of 12.8% imposed on individual shareholders who are French tax residents plus an additional 17.2% for social contributions. Shareholders can still expressly opt for dividend taxation according to the progressive income tax scale when filing their individual tax returns. In any event, these proceeds do not qualify for the 40% tax allowance. For shareholders who are not French tax residents, these proceeds are subject to withholding tax. The distribution deducted from the “Share Premium” account will be considered as a repayment of a capital contribution and exempt from tax for French resident shareholders, and exempt from a withholding tax for non-French residents. This amount would be paid on 7 June 2019. The share of the distributed amounts corresponding to treasury shares held by the Company on the ex-coupon date (5 June 2019) would be allocated to “Other Reserves”.

M.R.M. 2018 REGISTRATION DOCUMENT

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