Groupe Renault - 2020 Universal Registration Document

381 GROUPE RENAULT I UNIVERSAL REGISTRATION DOCUMENT 2020 04 CONSOLIDATED FINANCIAL STATEMENTS GROUPE RENAULT GROUPE RENAULT: A COMPANY THAT ACTS RESPONSIBLY CORPORATE GOVERNANCE FINANCIAL STATEMENTS RENAULT AND ITS SHAREHOLDERS ANNUAL GENERAL MEETING OF RENAULT ON APRIL 23, 2021 ADDITIONAL INFORMATION SALES FINANCING RECEIVABLES NOTE 15 Sales financing receivables by nature 15 - A - (€ million) December 31, 2020 December 31, 2019 Dealership receivables 7,862 10,901 Financing for end-customers 23,383 25,016 Leasing and similar operations 10,639 10,305 Gross value 41,884 46,222 Impairment* (1,064) (848) Net value 40,820 45,374 The change of €216 million in impairment in 2020 notably reflects revision of the expected credit loss assumptions in the context of the COVID-19 pandemic. * Details of fair value are given in note 24-A. Assignments and assets pledged as guarantees for management of the liquidity reserve 15 - B - Assignment of sales financing assets B1 (€ million) December 31, 2020 December 31, 2019 Balance sheet value Fair value Balance sheet value Fair value Assigned receivables carried in the balance sheet 11,790 11,743 10,508 10,504 Associated liabilities 3,259 2,916 3,243 3,264 The Sales Financing segment has undertaken several public securitization operations (in Germany, France and Italy) and several conduit financing operations (Brazil, the United Kingdom and Germany) involving loans to final customers and receivables on the dealership network. Both types of operation are conducted through special purpose vehicles. Some public operations were subscribed by RCI Banque, which makes it possible to have securities eligible as collateral for the European Central Bank. In 2020, RCI Banque Group undertook two public securitization operations in France, associated with the rents from leases with purchase options. One was a public operation backed by lease rent receivables, totalling €950 million of Class A instruments rated AAA by DBRS and Aaa by Moody’s (of which €200 million were self-subscribed by RCI) and €41.5 million of Class B instruments rated AA(Low) by DBRS and Aa3 par Moody’s. The other was for an original amount of €474 million of Class A instruments rated AAA by DBRS and Aaa by Moody’s, entirely self-subscribed by RCI. The receivables assigned through such operations are not derecognized, as all risks are retained by the Group. The associated liabilities correspond to securities resulting from the securitization operations, and are recognized in other debts represented by a certificate. The difference between the receivables assigned and the amount of the associated liabilities corresponds to the higher credit necessary for these operations, and the share of securities retained by RCI Banque to form a liquidity reserve. Securitized assets can no longer be assigned or pledged. Subscribers to debt securities only have claims on the assets assigned. Assets pledged as guarantees for management of the B2 liquidity reserve For management of its liquidity reserve, the Sales Financing segment has provided guarantees to the Banque de France under France’s central collateral management system 3G (G estion Globale des Garanties ) in the form of assets with a book value of €7,465 million at December 31, 2020 (€5,882 million at December 31, 2019). These guarantees comprise €6,675 million in the form of shares in securitization vehicles, €104 million in euro bonds and €686 million in sales financing receivables (€5,325 million of shares in securitization vehicles, €151 million in euro bonds and €406 million in sales financing receivables at December 31, 2019). The funding provided by the Banque de France against these guarantees amounts to €2,250 million at December 31, 2020 (€2,700 million at December 31, 2019). All assets provided as guarantees to the Banque de France remain in the balance sheet. Sales financing receivables by maturity 15 - C - (€ million) December 31, 2020 December 31, 2019 -1 year 20,727 23,174 1 to 5 years 19,675 21,675 +5 years 418 525 TOTAL SALES FINANCING RECEIVABLES – NET VALUE 40,820 45,374