technicolor - 2019 Universal registration document

6 FINANCIAL STATEMENTS GENERAL INFORMATION

Transition options and exemptions applied by the Group Scope: The Group has elected to keep unchanged past measurement • applying to leases previously identified in accordance with IAS 17. Consequently, conclusion made in accordance with IAS 17 et IFRIC 4 – Determining whether an Arrangement contains a Lease – are still valid. No change has been made to finance leases previously accounted for. Exemptions: The Group applied the exemption not to recognize • leases that have a lease term of 12 months or less and leases of low-value assets (less than 5,000 U.S. dollars), on a straight-line cost basis.

Right-of-use: The Group has elected to measure the right-of-use • asset at the initial amount of the lease liability adjusted for any lease payments made at or before the commencement date. Initial direct costs incurred before January 1, 2019 has been excluded from measuring. Impairment: The Group has elected to use the option to adjust the • right-of-use assets by the amount of the onerous lease provision previously booked according to IAS 37.

LEASE LIABILITIES RECONCILIATION AS OF JANUARY 1, 2019 BASED ON OFF BALANCE SHEET COMMITMENTS AS OF DECEMBER 31, 2018

December 31, 2018

(in million euros)

Off-balance sheet commitment on continuing operations Off-balance sheet commitment on discontinued operations

306

26 83

Differences on contract estimate terms

Other effects

5

Commitment before discounted

420 (116) 304

Discounting effect

Operating lease liabilities as of January 1, 2019 Capital lease liabilities as of January 1, 2019

41

TOTAL LEASE LIABILITIES AS OF JANUARY 1, 2019

345

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