MRM - 2019 Universal Registration Document

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General information on the issuer and its share capital Management report for the financial year ended 31 December 2019

2. Presentation of the annual financial statements – Profit (loss) for the past financial year

2.1 Corporate financial statements The corporate financial statements for the financial year ended 31 December 2019 (provided in Appendix 3 of this report), which we submit to you for approval, were drawn up according to the format and using the valuation methods prescribed by the rules and regulations in force. Presentation and valuation rules used were the same as for the previous financial year. M.R.M.’s business over the period was that of a holding company. Its 2019 earnings reflect: • revenue of €283,000 (compared with €293,000 in 2018); • reversals of provisions and transfers of expenses for €11,148,000, of which reversals of provisions on Noratlas’ current account (1) for €11,122,000 and on trade receivables in the amount of €23,000; • other purchases and external expenses of €1,331,000 (compared with €646,000 in 2018); • taxes of €77,000 (compared with €58,000 in 2018); • payroll expenses of €915,000 (compared with €894,000 in 2018); • provision for a subsidiary’s current account of €31,000; • other expenses in the amount of €56,000, of which €32,000 in annual remuneration to members of the Board and €24,000 in bad debt losses; • investment income of €1,675,000 (interest on current accounts and reversal of impairment on subsidiary shares); • financial expenses of €11,596,000, of which a loss of €11,578,000 from the merger with Noratlas (1) . The financial loss was €9,921,000, compared with a loss of €1,230,000 in 2018. Net income amounted to a loss of €838,000, compared with a loss of €1,845,000 as of 31 December 2018. At the end of the financial year total assets stood at €85,982,000 mostly made up of equity securities from directly or indirectly wholly owned subsidiaries, of current accounts between the Company and its subsidiaries, and of the Company’s cash assets.

A table showing the Company’s results for the last five financial years is appended to this report in Appendix 1 in accordance with Article R.225-102 of the French Commercial Code. 2.2 Consolidated financial statements Pursuant to Regulation (EC) No. 1606/2002 of 19 July 2002, the M.R.M. Group’s consolidated financial statements as of 31 December 2019 were prepared in accordance with the standards and interpretations applicable on that date as published by the International Accounting Standards Board (IASB), adopted by the European Union and in force at the date of issue of the financial statements by the Board of directors. The standards, amendments to standards and interpretations published by IASB and presented below are applicable for financial years beginning on or after 1 January 2019: • IFRS 16 - Leases; • IFRIC 23 - Uncertainty over Income Tax Treatments; • amendments to IFRS 9 - Prepayment Features with Negative Compensation; • amendments to IAS 28 - Long-term Interests in Associates and Joint Ventures; • amendments to IAS 19 - Plan Amendment, Curtailment or Settlement; • annual improvements to IFRS - 2015-2017 cycle. These amendments did not have a material impact on the Group’s results and financial position. The main changes resulting from the first application of IFRS 16 - Leases and the impacts on the Group’s financial statements are as follows: • under IFRS 16 lessees must recognise all leases on the balance sheet, i.e. they must record (i) a right-of-use asset consisting of the asset leased, and (ii) a lease liability consisting of the lease payments and other payments payable during the lease term. Accordingly, the Group has identified two leases and estimated each of their probable terms. Since the impact is not material (opening impact of €3,000 recognised under shareholders’ equity, right-of-use asset of €132,000 and lease liability of €135,000 recognised at 31 December 2019, depreciation of €34,000 and interest expenses of €1,000 recognised for the 2019 financial year) the Group did not restate comparative figures for 2018. Standards, amendments and interpretations applicable as of 1 January 2019

(1) In 2019, Noratlas, a non-trading property company (société civile immobilière), underwent dissolution without liquidation by means of the universal transfer of its assets to M.R.M.

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M.R.M. 2019 UNIVERSAL REGISTRATION DOCUMENT