PERNOD RICARD - Universal Registration Document 2019-2020

6. CONSOLIDATED FINANCIAL STATEMENTS Notes to the consolidated financial statements

Other current liabilities Note 4.11 Other current liabilities are broken down as follows:

30.06.2019

30.06.2020

€ million

Taxes and social payables

636

628

Other current liabilities

421

388

TOTAL

1,058

1,016

Other current liabilities at 30 June 2020 mainly comprise the €308 million interim dividend payment on 10 July 2020. Most of these other current liabilities are due within one year. Assets held for sale and related liabilities Note 4.12 Assets held for sale mainly correspond to certain assets received in connection with the acquisition of the US listed company Castle Brands Inc., which the Group envisages disposing of within 12 months.

Notes to the consolidated cash flow statement NOTE 5 Working Capital Requirement 1. Working Capital Requirements increased by €433 million.

Purchases of financial assets and activities 2. Purchases of financial assets and activities had an impact of €618 million, mainly due to the purchases during the period described in Note 1.2 – Significant events during the financial year . Issuance/redemption of bonds 3. During the financial year, the Pernod Ricard Group carried out bond issuance/subscriptions for €3,822 million and bond redemptions for €(1,553) million. These transactions mainly correspond to the bond subscriptions and redemptions described in Note 1.2 – Significant events during the financial year . In addition, the Group increased the stock of commercial paper for €299 million. The Group also paid €112 million in respect of its lease liabilities, of which €99 million related to repayment of the nominal amount and €13 million to interest payments reported in cash flow from operating activities.

The change breaks down as follows: increase in inventory: +€414 million; — reduction in operating receivables: €(261) million; — increase in operating and other payables: +€197 million; — other movements: +€83 million. — The increase in inventory relates to the build-up of ageing inventories to meet future demand.

Additional information NOTE 6 Shareholders’ equity Note 6.1 Share capital 1. The Group’s share capital did not change between 1 July 2019 and 30 June 2020:

Amount € million

Number of shares

Share capital at 30.06.2019

265,421,592

411

Share capital at 30.06.2020

265,421,592

411

All Pernod Ricard shares are issued and fully paid up and have a nominal value of €1.55. Only one category of ordinary Pernod Ricard shares exists. These shares obtain double voting rights if they have been registered in the name of the same shareholder for an uninterrupted period of 10 years. Treasury shares 2.

Treasury shares are recognised on acquisition as a deduction from shareholders’ equity. Subsequent changes in the value of treasury shares are not recognised. When treasury shares are sold, any difference between the acquisition cost and the fair value of the shares at the date of sale is recognised as a change in shareholders’ equity and has no impact on profit and loss for the year.

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