PSA - 2019 Universal Registration Document

CONSOLIDATED FINANCIAL STATEMENTS AT 31 DECEMBER 2019 Notes to the Consolidated Financial Statements at 31 December 2019

RELATED PARTY TRANSACTIONS – EQUITY METHOD INVESTMENTS 11.6. Transactions with equity method investments are billed on arm’s length terms. Saleandpurchasetransactionscarriedout by the consolidatedmanufacturingand salescompanieswithequitymethodinvestmentsare as follows:

2019

2018

2017

(in million euros)

Sales to manufacturing and sales companies (1)

320

364

675 5,171

Sales and assignments to companies in partnership with Santander

5,701

5,404

Purchases (2) (2,257) of which €189 million in sales to companies in partnership with Dongfeng Motor Group (€294 million in 2018 and €546 millions en 2017). (1) of which €2,264 million in purchases from GEFCO (€1,942 million in 2018 and €1,856 million in 2017). (2) (2,947) (2,630)

Receivables and payableswithequitymethodinvestments are as follows:

31 December 2019 31 December 2018 31 December 2017

(in million euros)

Long-term loans

-

-

48 116

Loans - due within one year

78

16

Accounts receivable Accounts paybale

270

147

318

(249)

(176)

(364)

Dealings between PSAGroupandthe financialcompanies are largely unchanged followingSantander’s investment in the jointventures.

FINANCING AND FINANCIAL INSTRUMENTS – MANUFACTURING NOTE 12 AND SALES COMPANIES

ACCOUNTING POLICIES 12.1. The principlesgoverningthe measurementof financialassets and liabilitieswithin the meaningof IAS 32 and IFRS 9are describedin Note 12.7.

NET FINANCIALINCOME (EXPENSE) 12.2.

2019

2018

2017

(in million euros)

Interest income Finance costs

81

19

42

(290)

(288)

(208)

Other financial income Other financial expenses

108

159

121

(246) (347)

(346) (456)

(196) (241)

TOTAL MANUFACTURING AND SALES COMPANIES

Finance companies

3

10

3

Net financial income (expense) in the consolidated statement of income

(344)

(446)

(238)

Finance costs includethe revaluation of the current financial liability of repurchase of obligation to DFG(seeNote 12.3)

217

PSA - GROUPE PSA - 2019 UNIVERSAL REGISTRATION DOCUMENT