RUBIS_REGISTRATION_DOCUMENT_2017

FINANCIAL STATEMENTS 9

2017 consolidated financial statements and notes

For the purposes of allocating the goodwill generated following the various business combinations and of implementing IFRS 8 “Operating segments”, Rubis has retained the following CGUs: • bulk liquid storage business (Europe);

• petroleum products distribution business (Europe); • petroleum products distribution business (Africa); • petroleum products distribution business (Caribbean); • Rubis Support and Services (Caribbean).

This allocation was calculated based on the General Management’s organization of Group and operations the internal reporting system, enabling not only business oversight, but also monitoring of the return on capital employed, i.e. the level at which goodwill is monitored for internal management purposes. Impairment of fixed assets Goodwill and intangible assets with an indefinite useful life are subject to an impairment test at least once per year, or more frequently if there are indications of a loss in value, in accordance with the requirements of IAS 36 “Impairment of assets”. Annual tests are performed during the fourth quarter. The impairment test consists of comparing the asset’s net book value against its recoverable value, which is its fair value minus disposal costs or its value in use, whichever is higher. The value in use is obtained by adding the discounted values of anticipated cash flows generated from the use of the asset (or group of assets) and from its final disposal. For this purpose, fixed assets are grouped into Cash-Generating Units (CGUs). A CGU is a uniform set of assets (or group of assets) whose continued use generates cash inflows that are largely independent of cash inflows generated by other groups of assets. The fair value minus disposal costs corresponds to the amount that could be obtained from the disposal of the asset (or group of assets) under normal market conditions, minus the costs directly incurred to dispose of it. When the recoverable value is lower than the net book value of the asset (or group of assets), an impairment, corresponding to the difference, is recorded in the income statement and is charged primarily against goodwill. Impairments recorded in relation to goodwill are irreversible.

Foreign exchange differences

Changes in consolidation

Impairment

12/31/2016

12/31/2017

(in thousands of euros)

Bulk liquid Storage business (Europe)

57,446 241,452 165,580 225,663 82,872 773,013

57,446 235,818 322,147 402,193 78,159

Petroleum products Distribution business (Europe) Petroleum products Distribution business (Africa) Petroleum products Distribution business (Caribbean)

(5,634) (9,832) (40,647) (4,713) (60,826)

166,399 217,177

Support and Services business (Caribbean)

GOODWILL

383,576

1,095,763

Changes in scope recognized during the year correspond to: • the acquisition of Dinasa’s distribution operations in Haiti for €217.2 million; • the acquisition of Galana’s operations in Madagascar for €166.4 million. The material items are described in note 3.2, “Changes in the scope of consolidation”.

2017 Registration Document I RUBIS

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