3 RISK FACTORS, INTERNAL CONTROL AND INSURANCE - Risk factors
Examples of risk management measures • These risks are primarily managed and monitored by the Finance and Legal Departments of Rubis Terminal and Rubis Énergie , in collaboration with the subsidiaries, with the assistance of external consultants and specialized firms. The Rubis Corporate Secretary works closely with the Legal Departments of the
not have any subsidiaries that are not underpinned by economic activities (mainly local commercial operations). • In any event, the Group sets aside sufficient provisions to cover any legal risks that it is able tomeasure (see note 4.11 to the consolidated financial statements).
subsidiaries for any important issues or disputes liable to have a material impact on the Group. • In tax matters, Group companies ensure that tax returns and payments are submitted in accordance with local regulations . Moreover, the Group does
RISKS LINKED TO A SIGNIFICANT CHANGE IN ENVIRONMENTAL REGULATIONS Probability: ▲ Impact: ▲ Scope covered: ● ●
Description of the risk The growing tendency towards the strengthening of the environmental and industrial safety regulations to which the Group’s activities are subject (distribution, support and services, storage) could generate significant additional costs to ensure the compliance of facilities, which could have impacts on the activity of the various entities and on the Group’s earnings. Both in France and internationally, sites and products are subject to increasingly stringent rules governing environmental protection (water, air, soil, noise, nature protection, waste management, impact studies, etc.), health (workstation, product chemical hazards, etc.) and the safety of employees and local residents. In addition, for most of the Group’s activities, closure would necessitate compliance with applicable regulations including the securing and then dismantling of sites and their rehabilitation in environmental terms after they are shut down. The associated costs could significantly exceed the provisions set aside by the Group, and could therefore have a negative impact on its operating results. Future expenses for site restitution are recognized by the Group in accordance with the accounting policies indicated in note 4.11 to the consolidated financial statements.
Examples of risk management measures • The teams carry out constant regulatory watch. In addition, the situation of each site is regularly reviewed with regard to existing or future regulatory obligations.
• The Group contributes, notably via sector- based professional bodies or unions, to the development of standards adapted to the challenges facing the industry.
• Rubis’ assessment of the related risks has led the Group to recognize provisions totaling €30.9 million for depollution and renewal of fixed assets (see note 4.11 to the consolidated financial statements).