MRM_REGISTRATION_DOCUMENT_2017

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General information on the issuer and its share capital

Consolidated financial statements for the year ended 31 December 2017

Appraiser fees The Group’s property asset portfolio is appraised twice a year by JLL, an independent appraiser. It was appointed at the end of 2013 in compliance with the Group’s policy to change appraisers every five years. Appraiser fees are fixed and totalled €60 thousand in 2017 compared with €104 thousand in 2016.

Fees are determined before the appraisal is carried out and are not proportional to the value of the assets appraised. For JLL, the amount of fees billed to the Group as a percentage of total revenue is not material.

4.5 Assets held for sale

Accounting principles Under IFRS 5, assets and liabilities that the Company has decided to sell and the carrying amount which will be recovered principally through a sale transaction rather than through continuing use are to be classified as “Assets held for sale” and “Liabilities held for sale”. The “Assets held for sale” item includes all receivables on benefits granted to property tenants. For the sale to be highly likely, an asset sale plan must have been undertaken, and an active programme for finding a buyer must have been launched. Properties in this category continue to be measured using the fair-value model as follows: • Property under sale agreement: sale value in the sale agreement net of the costs and commission required to complete the sale; • Property for sale: appraisal value excluding transfer taxes net of costs and commission required to complete the sale.

Changes in properties held for sale

31/12/2017

(in thousands of euros)

NET BALANCE AT OPENING

45,047

Reclassification of investment properties as assets held for sale

480

Works

-60

Reclassification of rent-free periods

278

Change in fair value

-4,608

Asset disposals

-90

NET BALANCE AT CLOSING

41,047

As of 31 December 2017, assets held for sale totalled €41,047 thousand, compared with €45,047 thousand as of 31 December 2016. The assets are currently being actively marketed with a view to their disposal within the coming 12 months.

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M.R.M. 2017 REGISTRATION DOCUMENT