AIRBUS - 2019 Financial Statements

4 Notes to the IFRS Company Financial Statements / 13.4 Financing Liabilities Current and non-current classification – A financial asset or liability is classified as current if it is settled within 12 months after the reporting date, and as non-current otherwise. Financing liabilities comprise obligations towards financial institutions, issued corporate bonds, and borrowing received from joint ventures and other parties. The Company has received several euro-denominated loans and one US dollar-denominated loan from Airbus Finance B.V. (“AFBV”). It has also issued a convertible bond in euro and euro-denominated exchangeable bonds into Dassault Aviation shares and 2 stand-alone US dollar-denominated bonds on the US institutional market under Rule 144A. Furthermore, the Company has long- term US dollar-denominated loans outstanding with the Development Bank of Japan (“DBJ”). The terms and repayment schedules of these bonds and loans are as follows: Principal amount (in million) Carrying amount Coupon or interest rate Effective interest rate Maturity date Additional features 31 December 2019 2018 Loans from Airbus Finance B.V. AGFBV 10 years (EMTN) € 1,000 € 1,048 € 1,038 2.40% 2.45% Apr. 2024 Interest rate swapped into 3M Euribor +1.40% AGFBV 15 years (EMTN) €500 € 555 € 523 2.15% 2.24% Oct. 2029 Interest rate swapped into 3M Euribor +0.84% AGFBV 10 years (EMTN) €600 € 617 € 594 0.91% 0.95% May 2026 Interest rate swapped into 3M Euribor AGFBV 15 years (EMTN) €900 € 940 € 866 1.41% 1.49% May 2031 Interest rate swapped into 3M Euribor AGFBV US$ Loan 10 years US$1,000 € 896 € 848 2.72% 2.80% Apr. 2023 Interest rate swapped into 3M US-Libor +0.68% Loans from financial institutions DBJ 10 years US$100 € 89 € 87 3M US-Libor +1.15% 4.84% Jan. 2021 Interest rate swapped into 4.76% fixed Bond Convertible bond 7 years €500 € 0 € 477 0.00% 1.39% July 2022 Convertible into Airbus SE shares at €99.54 per share Exchangeable bond 5 years €1,078 € 1,068 € 1,061 0.00% 0.33% June 2021 Exchangeable into Dassault Aviation SA shares at €1,306.25 per share US$ Bond 10 years US$ 750 € 687 € 632 3.15% 3.16% Apr 2027 Interest rate swapped into 3M Libor +0.87% US$ Bond 30 years US$ 750 € 680 € 621 3.95% 4.02% Apr 2047 Interest rate swapped into 3M Libor +1.61% Total € 6,580 €6,746 thereof non-current financing liabilities € 6,580 €6,746 thereof current financing liabilities 0 €0 Long-term financing liabilities , mainly comprising bonds and liabilities to financial institutions, decreased by € 166 million to € 6,580 million (2018: €6,746 million). The decrease in long-term financing liabilities is mainly related to the conversion of the convertible bond issued on 1 July 2015 for an amount of € 500 million into 5,020,942 shares. The conversion price was € 99.54 per ordinary share. The conversion rate was 99.96%. The Company can issue commercial paper under the so called “ billet de trésorerie ” programme at floating or fixed interest rates corresponding to the individual maturities ranging from 1 day to 12 months. The programme has been set up in 2003 with a maximum volume of €2 billion, increased in 2013 to a maximum volume of €3 billion. The Company established in April 2015 a US$2 billion commercial paper programme which has been increased to US$3 billion in April 2016. As of 31 December 2019, there were no outstanding amounts under those commercial paper. The commercial paper issuance activity was limited during the course of 2019. 103 Airbus / Financial Statements 2019