Plastic Omnium - 2018 Registration Document

4 2018 CONSOLIDATED FINANCIAL STATEMENTS Consolidated financial statements at December 31, 2018 PLASTIC OMNIUM 2018 REGISTRATION DOCUMENT 201 Interest rate and currency hedges 5.2.8 In thousands of euros December 31, 2018 December 31, 2017 Assets Liabilities Assets Liabilities Interest rate derivatives - (486) - (3,400) Exchange rate derivatives 1,898 (3,844) 5,254 (2,218) TOTAL BALANCE SHEET 1,898 (4,330) 5,254 (5,618) INTEREST RATE HEDGES 5.2.8.1 Interest rate hedges included swaps. The objective is to hedge the Plastic Omnium Group against the increase in interest rates to which it is exposed for its financing. At December 31, 2018: the total notional amount of derivative instruments used to manage ● interest rate risks (swap) amounts to €105 million (swaps) as at December 31, 2017; The Group has no longer any “Cash-flow hedges”. Instruments that do not qualify for hedge accounting are nevertheless part of the Group’s interest rate hedging strategy, which is financed at variable rates, particularly in the context of its sales of receivables. The fair value of derivatives is recognized in the assets and liabilities in the consolidated balance sheet under “Hedging instruments”. For derivatives that qualify for hedge accounting under IFRS: the effective portion of the change in fair value of the derivatives to ● hedge future periods is recognized in equity (“Other comprehensive income”); it is reclassified to the income statement in the same period as the ● hedgedcash-flows ( i.e. Interest payments) affect profit; the time value of options is excluded from the hedging relationship. ● Changes in the time value of options and the ineffective portion of the gain or loss on the hedging instrument are recognized in profit or loss. Changes in fair value of instruments that do not qualify for hedge accounting are recognized directly in financial income. PORTFOLIO OF DERIVATIVES 5.2.8.1.1 In thousands of euros December 31, 2018 December 31, 2017 Fair value of hedging instruments Recorded in assets Recorded in liabilities Fair value of hedging instruments Recorded in assets Recorded in liabilities Interest rate derivatives (fair value) (486) - (486) (3,400) - (3,400) TOTAL FAIR VALUE AND OUTSTANDING PREMIUMS - (486) - (3,400) Composition of interest rate derivatives portfolio: In thousands of euros December 31, 2018 Fair value Recorded in assets Recorded  in liabilities Effective portion included in OCI(1) Nominal Maturity Reference interest rate Outstanding premiums Nature of derivative Swaps (486) - (486) - 105,000 February 2019 1-month EURIBOR N/A Non qualified TOTAL (486) - (486) - 105,000 N/A In thousands of euros December 31, 2017 Fair value Recorded in assets Recorded in liabilities Effective portion included in OCI (1) Nominal Maturity Reference interest rate Outstanding premiums (2) Nature of derivative Swaps (3,400) - (3,400) - 105,000 February 2019 1-month EURIBOR N/A Non qualified TOTAL (3,400) - (3,400) - 105,000 N/A OCI: Other comprehensive income. (1)