ANNUAL REPORT 
2017/18
Consolidated financial statements of METRO AG

METRO IN FIGURES 
 
 
€ million 
2015/16
 
 2016/171
2017/181
 
Change in %
Key financial figures 
 
 
Sales development (like-for-like) 
%
0.2
 
0.5
0.7 
–
Sales (net) 
36,549
 
37,140
36,534 
–1.6
thereof METRO Wholesale 
29,000
 
29,866
29,451 
–1.4
thereof Real 
7,478
 
7,247
7,077 
–2.3
EBITDA excluding earnings contributions 
from real estate transactions 
1,764
 
1,436
1,396 
–2.8
thereof METRO Wholesale 
1,666
 
1,413
1,321 
–6.5
thereof Real 
250
 
154
143 
–7.0
thereof others/consolidation 
–151
 
–131
–69 
47.7
Earnings contributions  
from real estate transactions 
153
 
175
129 
–26.5
EBITDA 
1,918
 
1,611
1,525 
–5.3
EBIT 
1,219
 
852
740 
–13.2
EBT (earnings before taxes)  
894
 
649
578 
–10.9
Profit or loss for the period 
519
 
345
348 
0.9
Earnings per share (basic = diluted) 
€
1.392
 
0.89
0.95 
5.9
Dividend per ordinary share  
€
0.00
 
0.70
0.703 
0
Dividend per preference share  
€
0.00
 
0.70
0.703 
0
Cash flow from operating activities 
1,173
 
1,027
905 
–11.9
Investments 
1,007
 
827
811 
–2.0
Equity ratio 
%
18.3
 
20.3
20.5 
–
Net debt 
3,051
 
3,142
3,165 
–
Employees (annual average by headcount) 
156,852
 
155,082
152,426 
–1.7
Stores 
1,041
 
1,041
1,048 
0.7
Selling space (1,000 m2)  
7,377
 
7,249
7,152 
–1.3
 
 
1 Includes the figures of the hypermarket business for sale. 
2 Pro-forma disclosure of combined financial statements. 
3 Subject to the resolution of the Annual General Meeting. 
 
 
 
 
 
1
2
3

41 
 COMBINED 
MANAGEMENT REPORT
43 
 1  Overview of fi nancial year 2017/18
and outlook
44 
2  Principles of the group
70  
3  Economic report
86  
 4  Report on events after the closing 
date and outlook
88 
5  Risk and opportunity report
98  
6  Remuneration report
112  
7  Takeover-related disclosures
118  
8  Supplementary notes for 
METRO AG (pursuant to the 
German Commer cial Code)
121  CONSOLIDATED 
FINANCIAL STATEMENTS 
AND NOTES
124  
Income statement
125 
 Reconciliation from profi t or loss for the 
period to total comprehensive income
126 
Balance sheet
128 
Statement of changes in equity
130 
Cash ﬂ ow statement
131 
Notes
232  RESPONSIBILITY 
 STATEMENT OF THE LEGAL 
REPRESENTATIVES
233  INDEPENDENT 
AUDITOR’S REPORT
241  SERVICE
5 
 TO OUR  SHAREHOLDERS
7 
Letter to the shareholders
12 
The Management Board
14 
The year in review
16 
METRO share
21 
 CORPORATE GOVERNANCE
23 
Report of the Supervisory Board
29 
Corporate Governance Report
35 
GOALS AND STRATEGY
CO
TENTS
What moves our customers drives us. In our 
constantly changing world, we also never stand still.
This year’s annual report therefore bears the title 
WE ARE ON THE MOVE.

07 
–
19
   7 
 LETTER TO THE 
SHAREHOLDERS
12 
THE MANAGEMENT BOARD
14 
THE YEAR IN REVIEW
16 
METRO SHARE
TO 
UR 
S
ARE
HOLD
RS
To our shareholders

To our shareholders
7
M E T R O A N N U A L  R E P O R T 2 0 1 7/ 1 8
Letter to the shareholders
Financial year 2017/18 saw us making significant pro-
gress on our way to completely focusing on the 
wholesale business and we have achieved quite a lot. 
We have made significant progress in many areas but 
also had to overcome a number of unexpected chal-
lenges. Change and progress are crucial for the 
future viability of our company. We have come very 
far in our transformation of METRO AG into a reliable 
partner for small and medium-sized hospitality and 
retail businesses. This project will continue, and we 
look forward to many future achievements with our 
customers, our partners and our unparalleled team.
During the past financial year, we were able to 
slightly increase like-for-like sales and EBITDA 
excluding earnings contributions from real estate 
transactions adjusted for currency effects also 
improved a little. We achieved this despite consider­
able negative macroeconomic volatility in individual 
markets, such as Russia. The re-evaluation of market 
conditions in Russia and the inevitable termination  
of the agreement between Real and Verdi forced us 
to correct our outlook in April 2018. This was a pain-
ful decision that cost us capital market confidence. 
Thanks to the measures initiated for our Russian busi-
ness, we were able to prove in the second half of the 
year that we can tackle and solve concrete problems, 
which has helped us make progress since.
At the end of the financial year, we decided to sell 
our hypermarket business. This move constitutes an 
important step in our project of fully focus ourselves 
to wholesale. We have put in place the best condi-
tions to give Real a successful, independent future on 
its own. Besides the Food Lover concept and the 
strong online presence, securing competitive cost 
structures was an important, groundbreaking step.
We will propose a dividend of €0.70 per share at the 
Annual General Meeting of METRO AG. This pro-
posed dividend corresponds to 74% of the earnings 
per share (€0.95) and thus exceeds the payout ratio 
of 45% to 55% provided for in METRO’s dividend 
­policy. We believe that this is an appropriate devi­
ation that will provide you, dear shareholders, with an 
attractive dividend yield and dividend continuity 
­following a business year in which we had to adjust 
our outlook, which has resulted in a negative devel-
opment of our share price. We want to demonstrate 
our trust in the future of METRO to you. At the same 
time, with regard to free cash flow from operating 
and investing activities as well as net debt in financial 
year 2017/18 we are in good condition in order to 
afford such payout. This is also due to the tangible 
effect of the non-cash-effective goodwill impairment 
loss at Real on earnings per share. I cordially invite you 
to our Annual General Meeting on 15 February 2019  
in Düsseldorf.
LETT
R TO 
 T
E SHARE 
HOLDE
S

METRO Wholesale
In the wholesale segment, we were able to boost our 
relevance to independent businesses despite chal-
lenging economic conditions. We are continuing our 
highly pleasing development of the recent past and 
recording the fifth consecutive year of like-for-like 
sales growth. Eastern Europe (excluding Russia) and 
Asia recorded particularly positive developments.  
We are pleased with the fact that, like-for-like, our 
core business in Germany grew again in financial  
year 2017/18. Negative currency effects impair our 
reported total sales, however.
In financial year 2017/18, we enhanced our profile 
even further and focused more consistently on the 
customer groups hotels, restaurants and catering 
companies (HoReCa) as well as independent traders. 
By intensifying customer relationships, we were 
able to significantly increase sales to our recurring 
customers, especially in the HoReCa sector. This 
clear focus is paying off. In financial year 2017/18, 
we achieved like-for-like growth of 3.6% with 
HoReCa customers, and 4.6% with independent 
traders1. Our food sales increased by 1.9%, which 
emphasises our clear focus on our primary target 
groups and reduces our dependency on comple-
mentary offers. Our focus on the hospitality sector 
will continue in the years to come. In this area we 
see a trend, because the hospitality sector is grow-
ing and will offer further potential for our customers 
and us in the future. Favourable economic condi-
tions and higher incomes are changing consumer 
behaviour in many countries. Both the importance 
of nutrition and the willingness and necessity to 
consume food outside the home are growing stead-
ily. In order to take advantage of this positive trend 
together with our customers, we provide them with 
a wide product range and needs-based services as 
a reliable partner, regardless of whether they pur-
chase the products at our stores, through our deliv-
ery service, through our customer management or 
online. The clear focus on our HoReCa customers is 
also reflected in the modernisation of our store-
based business, as can be seen in the reconstruc-
tion of the METRO wholesale store at our home 
base in Düsseldorf. In order to save hospitality 
operators time for their purchases, the delivery 
routes were optimised and the product mix was 
­tailored to meet their needs more efficiently.
As mentioned at the beginning, we faced some chal-
lenges with METRO Russia last year. In the meantime, 
we have instituted a largely new management team 
of long-standing, highly experienced METRO col-
leagues in Russia who are correcting these develop-
ments. With a new, attractive pricing model, we  
are once again recording volume gains and a slow 
improvement in the sales trend. The Russian market 
strongly features independent traders and we are 
pushing ahead with the expansion of the Fasol fran-
chise concept, which supports them. As a direct 
result of that strategy, we were recently able to 
achieve a significant increase in contracts concluded 
and shops opened at Fasol. Our goal is to have  
more than 3,000 franchise stores in Russia by 2020. 
By bundling administrative processes, we can also 
save costs. With this wide variety of measures, we 
feel that we are well positioned to secure additional 
share in the Traders and HoReCa markets in Russia  
in the future.
The delivery sales of METRO Wholesale continue  
to expand very dynamically, showing double-digit 
growth and accounting for 18% of total sales. Among 
others, this trend is being invigorated by the delivery 
specialists Classic Fine Foods in Asia, Pro à Pro in 
France and Rungis Express in Germany and Switzer-
land. The expansion of the depot networks and  
out-of-store delivery in the METRO countries also 
contributed to this delightful development. Our digit­
alisation initiatives also have a positive effect. With 
our M-Shop we offer our customers a platform to 
quickly and easily order goods from us 24 hours a 
day, 7 days a week. At this stage, we receive 17% of 
orders online. The driver app used by drivers in our 
delivery depots improves processes and increases 
service levels.
The year 2018 was also marked by the realignment  
of our own-brand product range. The launch of the 
new own brands METRO Chef, METRO Premium  
and METRO Professional has aligned our product 
range even more closely with the requirements of  
our customers.
In addition, we have rolled out the Net Promoter 
Score (NPS), which we use to measure customer  
satisfaction across all stores. The tool allows us to 
capture customers‘ precise points of criticism and 
suggestions for improvement, remove inefficiencies 
and thus provide the best possible customer value. 
Ultimately a higher level of customer loyalty also 
1 Trader countries: Bulgaria, India, Pakistan, Poland, Romania, Serbia, 
Slovakia, Czech Republic.
To our shareholders
8
M E T R O A N N U A L  R E P O R T 2 0 1 7/ 1 8
Letter to the shareholders

means a higher percentage of recurring customers 
with increased purchase of goods. 
Digitalisation is opening up whole new possibilities 
for our customers. During the past few years, we 
have been working tirelessly on identifying new solu-
tions and validating their added value. We have even 
dedicated an entire business segment to this endeav-
our: Hospitality Digital. Here, we develop new con-
cepts with our customers, develop our own applica-
tions, pilot them in 5 major cities and collaborate with 
other technology companies to improve our sustain­
ability and economic efficiency by means of digital 
solutions. Based on the overwhelmingly positive 
feedback from our customers and the substantial 
benefits we are creating for them, we have developed 
a new platform, dish.co. We use this online platform 
to market our own solutions, such as digital table 
bookings and tools for creating a website, alongside 
applications by other companies. It also allows us to 
convey information and advertise events that help 
our customers find their bearings in, and take advan-
tage of the digital world. During the past financial 
year, we were able to retain more than 100,000 cus-
tomers digitally. We will continue on this path over 
the coming years and intensely expand our strategy. 
This will generate significant benefits for our custom-
ers, increase our relevance and customer retention, 
and help us to acquire new customers. Whole new 
business opportunities are opening up thanks to 
digitalisation, and we are working hard to use them 
to our benefit.
Besides the modernisation of our business models, we 
are designing future product ranges. In March 2018, 
we successfully launched our innovation hub NX-FOOD, 
which we use to promote the development and dis-
tribution of new food solutions and concepts in the 
retail and hospitality sector. We are thereby actively 
shaping the future of the food industry.
Last but certainly not least, we have intensified our 
sustainability approach. In the course of the financial 
year METRO SUSTAINABLE enabled us to demon-
strate how we operate as a corporation in order to 
generate added value for our customers without  
losing track of our objective of managing resources 
sustainably and exerting a positive impact on society. 
As a strong, reliable partner for independent com­­
panies along the entire value chain, we want to take 
responsible steps to do more for the people who are 
passionately committed to their business on a daily 
To our shareholders
9
M E T R O A N N U A L  R E P O R T 2 0 1 7/ 1 8
Letter to the shareholders

nearest Real store and pick them up at that location. 
In addition, we are testing the delivery of food ordered 
online in 15 cities, which would enable us to reach 
around 13 million households.
We have also begun to rectify the significant com­- 
pe­titive disadvantages caused by the high personnel 
expenses of Real compared to other food retailers. 
Meanwhile, Real has already hired more than 3,000 
new employees under a new, competitive wage struc-
ture. Our existing employees will enjoy a grandfather 
clause and not suffer any wage reduction.
The concept of the Markthalle, the growing online 
business and competitive cost structures create the 
prerequisites for an increase in the value of Real.  
My Management Board colleagues and I decided on 
13 September 2018 to initiate a sales process for Real. 
METRO will focus entirely on the wholesale business. 
We see great opportunities for economic development 
in that sector for both Real and METRO Wholesale.
Outlook
Financial year 2017/18 was overall successful. METRO 
increased like-for-like sales by 0.7% in financial year 
2017/18. At €36.5 billion, reported sales were 1.7% 
lower than in the previous year due to negative cur-
rency exchange rate developments. The EBITDA 
excluding earnings contributions from real estate 
transactions totalled €1,396 million. Adjusted for 
­currency effects, the EBITDA excluding earnings con-
tributions from real estate transactions was €16 million 
higher than in the previous year. METRO has achieved 
its adjusted targets for financial year 2017/18.
The hypermarket business for sale is reported as a 
discontinued operation as of 30 September 2018 due 
to the ongoing sales process. The outlook for financial 
year 2018/19 will refer to continuing operations only. 
In financial year 2018/19, we are expecting a total 
sales growth and increase in like-for-like sales by 
1–3%, assuming stable exchange rates and no port-
folio adjustments. This growth will be particularly 
driven by Eastern Europe (excluding Russia) and 
Asia. For Russia, a measurable trend improvement 
is expected. 
For its earnings, METRO expects the EBITDA exclud-
ing earnings contributions from real estate transac-
tions to decrease by 2–6% on the figures of reporting 
year 2017/18 (€1,242 million). This is due to higher 
basis. Our actions are guided by the Sustainable 
Development Goals (SDGs) postulated by the  
United Nations. We are firmly committed to contrib-
uting to their achievement through our corporate  
activities and our corporation as a value-adding  
part of the society.
The fact that METRO, as a supporter of small and 
medium-sized companies, understands the needs of 
its customers is clearly demonstrated by the new 
international brand campaign. The slogan ‘Your Suc-
cess is our Business’ highlights our conception of 
METRO as always being focused on the success of 
our customers. The claim can be distilled to a single, 
essential idea: We don’t work for METRO! We work 
for our many customers to make them successful.  
In doing so, we support METRO customers from over 
20 countries who serve as brand ambassadors of  
our campaign.
Real
Real has undergone an intense transformation in 
recent years. With the Markthalle concept, we have 
introduced a model that our customers enthusias­
tically welcome. It combines the staging of fresh pro-
duce with integrated themed food experiences, tar-
geting all of the customers’ senses. In our Krefeld 
store, we are recording an increase of around 30% in 
sustainable repeat business. With around 80,000 
items, we not only offer an outstanding selection of 
products that is second to none in the German food 
retail sector, but we also drive innovation and offer 
our customers new trendy products. In October 2018, 
we opened another store in Braunschweig that was 
based on the same design. A third store in Bielefeld 
will follow in 2019. In addition, we will install modules 
from the hybrid concept of the Markthalle in about 
12 stores. 
The development of the online business at Real has 
also been gratifying. Together with more than 5,000 
partners, Real offers more than 12 million items:  
the largest assortment in the history of our company. 
Correspondingly, we enjoy great economic dyna-
mism. The gross merchandise value, for example the 
gross amount of merchandise ordered via the plat-
form, grew by more than 90% to €380 million in finan-
cial year 2017/18. This makes us one of the fastest- 
growing online marketplaces in Germany. We also 
want to link our e-commerce activities even more 
closely with store-based retail. Customers can use 
the platform Real.de to order items to be sent to their 
To our shareholders
10
M E T R O A N N U A L  R E P O R T 2 0 1 7/ 1 8
Letter to the shareholders

investments in the fields of IT and Digital and an 
anticipated further decrease in earnings in Russia due 
to the macroeconomic challenges. For all other  
segments, METRO expects an EBITDA on the previous 
year’s level.
After financial year 2017/18, which has been full  
of excitement and changes, I would especially like  
to extend my heartfelt thanks to my colleagues. 
Through their commitment, METRO has evolved into 
a modern enterprise, allowing it to focus on its core 
business, tackle new challenges and think beyond the 
boundaries of the business model. Through personal 
customer service, our dedicated employees ensure 
that our customers are also more satisfied. Our 
annual employee survey shows that we have made 
great progress in this area. At 78%, this year marked 
the highest employee engagement index ever 
recorded in the history of METRO. The average in the 
retail and wholesale sector is 63%.
Dear shareholders, after a year filled with challenges  
I want to express my deepest gratitude for your  
continued trust and confidence. I can assure you: 
everything we were able to achieve in financial year 
2017/18 is not enough. We will continue to remain 
inquisitive and work diligently to better serve our 
customers’ needs and build trusting relationships 
with them. In other words, we will continue to be on 
the move.
Yours truly, 
Olaf Koch
CHAIRMAN OF THE  
MANAGEMENT BOARD  
OF METRO AG
To our shareholders
11
M E T R O A N N U A L  R E P O R T 2 0 1 7/ 1 8
Letter to the shareholders

OLA
 
K
CH
Chairman of the Management Board
Areas of responsibility
Corporate Communications, Corporate Public Policy, Corporate Develop-
ment including strategy and M&A, Corporate Legal Affairs & Compliance, 
Corporate Office, Corporate Investor Relations, responsibility for the 
METRO Wholesale country organisations in: Bulgaria, Germany including 
Rungis Express, Croatia, Moldova, Austria, Serbia, Slovakia, Czech Republic, 
Romania, Ukraine and Hungary, Hospitality Digital, Real.
Profile
Olaf Koch was appointed Chief Executive Officer of METRO AG on 
2 March 2017 for a term ending on 1 March 2022. From 14 September 
2009 until the end of 2011 he was a member of the Management Board 
(Chief Financial Officer) of the former METRO AG (now: CECONOMY AG), 
and from 1 January 2012 to 12 July 2017 he was the Chief Executive 
Officer of the company. He was previously employed at the financial 
investor Permira. Following his graduation in business administration, 
Mr Koch started his career at Daimler-Benz AG in 1994. He was a board 
member of Mercedes Car Group from 2002 to 2007.
Chief Financial Officer
Areas of responsibility
Corporate Accounting, Corporate Controlling & Finance,  
Corporate Risk Management, Corporate Tax, Corporate Treasury, 
­METRO PROPERTIES, METRO LOGISTICS, MIAG, METRO  
Insurance Broker.
Profile
Christian Baier was appointed member of the Management Board 
of METRO AG on 11 November 2016 for a term ending on 
30 ­September 2020. He was the Chief Financial Officer (CFO) of 
METRO Cash & Carry from 1 July 2015 to 1 March 2017 and previ-
ously held the position of Group Director Strategy, Business 
Innovation and M&A at the former METRO AG. Mr Baier joined 
METRO Cash & Carry Germany as a member of the Management 
Board/Head of Finance and Administration – C+C Schaper –  
in the year 2011. He holds a BA in business administration and an 
MBA from New York University and was previously employed at 
the finance investor Permira and a number of banks.
HRIS
TIA
 
BAI
R
THE MANAGE- 
MENT BOARD
To our shareholders
12
M E T R O A N N U A L  R E P O R T 2 0 1 7/ 1 8
The Management Board

IKO 
UT
A
C
R
Chief Human Resources Officer and 
Labour Director
Areas of responsibility
Human Resources (Campus HR, Compensation, Benefits & International 
Assignment, Global Talent Management & Recruiting, HR Operations  
& Leadership, Labour Relations Germany & Labour Law), Corporate 
Responsibility, Global Business Services, Group Internal Audit, ­METRO-NOM, 
METRO SERVICES.
Profile
Heiko Hutmacher has worked in his position as member of the Manage-
ment Board since 2 March 2017 and was appointed Chief Human 
Resources Officer and Labour Director of METRO AG on 31 August 2017 
for a term ending on 30 September 2020. He was a member of the Manage­­
ment Board of the former METRO AG (now: CECONOMY AG) from 
1 October 2011 to 12 July 2017 and held the position of Chief Human 
Resources Officer. From April 2012 to June 2015, Mr Hutmacher headed 
the Human Resources Department at METRO Cash & Carry. Mr Hutmacher 
holds a degree in business administration. His experience in human 
resources spans over 30 years, including posts at IBM and Akzo Nobel.
Chief Operating Officer
Areas of responsibility
METRO Wholesale centralised functions (Digital Transformation, Expansion & 
Investment, Food Service Distribution, Global Branding & Activation, Global 
Business & Supplier Management, Global Food Sourcing, Global Non-Food, 
Global Own Brand Management, International Expansion, Quality Assurance, 
Supply Chain Management, Trader Franchise), responsibility for the METRO 
Wholesale country organisations in: Belgium, China, France including Pro à Pro, 
India, Italy, Japan, Kazakhstan, Netherlands, Pakistan, Poland, Portugal,  
Russia, Spain and Turkey, Classic Fine Foods, METRO ADVERTISING, METRO 
SOURCING International.
Profile
Philippe Palazzi was appointed member of the Management Board of METRO AG 
on 7 May 2018 for a term ending on 30 September 2021. From 1 July 2015 to 
6 May 2018, he held the position of the Operating Partner with responsibility 
for METRO France including Pro à Pro, MAKRO Spain and MAKRO Portugal.  
He previously held the position of Chief Customer and Marketing Officer at 
METRO AG and various posts at the METRO country organisations, most recently 
as Chief Executive Officer of METRO Italy.
13
To our shareholders
13
M E T R O A N N U A L  R E P O R T 2 0 1 7/ 1 8
The Management Board

THE YEAR IN REVIEW 
Q1 2017/18 
First Own Business Study 
9/10/2017 – The Own Business Day 2017 sees METRO 
publishing a representative survey that examines 
entrepreneurship in 10 countries. Around 10,000 
persons were interviewed on their experiences with 
starting a new business.
METRO opens zero-energy wholesale store in St Pölten 
25/10/2017 – The concept behind the new whole-
sale store building in the Austrian town of St Pölten 
is guided by the notion of sustainability. All construc-
tion materials were sourced regionally on the basis 
of selected environmental standards. A photovol-
taic system covers the entire energy consumption 
of this METRO wholesale store which has a building 
envelope that meets all the requirements for a nearly 
zero-energy building.
Q2 2017/18
METRO celebrates ‘Year of Own Brands’ 
1/1/2018 – The repositioning of METRO’s range of 
own-brand products is one of the major events hap-
pening in the year 2018. The launch of the new own-
brands METRO Chef, METRO Premium and METRO 
Professional will align the product range even more 
closely with the requirements of professional cus­tomers.
Excellent performance in the area of sustainability 
5/2/2018 – RobecoSAM, one of the leading rating 
agencies in the area of sustainability, honours the 
sustainability efforts of METRO AG with the gold 
award in the Food & Staples Retailing category for 
the third consecutive time.
New Compact Stores in France 
13/2/2018 – The French city of Carcassonne sees 
the opening of the fourth Compact Store which was 
developed on the basis of a brand-new store con-
cept. The wider product range is complemented by 
numerous innovative solutions, including a digital 
shopping list, self-scanning and a virtual showroom.
Change on the Supervisory Board of METRO AG 
16/2/2018 – Herbert Bolliger is elected member of 
the Supervisory Board of METRO AG. The independ-
ent business consultant succeeds Mattheus P. M. 
(Theo) de Raad as a shareholder representative on 
the Supervisory Board. 
NX-FOOD hub established by METRO 
2/3/2018 – The NX-FOOD hub is METRO’s contribu-
tion to the development of new food solutions for the 
retail, wholesale and hospitality industries. The ideas 
and concepts are created both internally at NX-FOOD 
and in cooperation projects with external partners. 
They range from issues such as food wastage and 
how to curb it to vertical-farming approaches, sus-
tainable food concepts and innovations for hospital-
ity operators and consumers. 
Q3 2017/18
METRO withdraws from future collective agreement 
with Verdi 
20/4/2018 – Following the breakdown of negotia-
tions with Verdi about a dedicated collective salary 
structure for Real, METRO AG has resolved to pur-
sue its future collective salary arrangements outside 
of the HDE structures (association of German retail-
ers) and announced its decision to withdraw from the 
future collective agreement with Verdi. This created 
the prerequisites for the introduction of competitive 
salary cost structures.
METRO AG adjusts forecast for financial year 2017/18 
20/4/2018 – METRO AG has adjusts its forecast for 
the group’s earnings and revenues for financial year 
2017/18. The adjustment reflects the lower- than- 
planned expectations for the second half-year of 
financial year 2017/18.
METRO restructures its IT area 
1/5/2018 – Commencing on 1 May 2018, the Chief 
Information and Chief Solution Office and METRO 
Systems Deutschland GmbH have joined forces under 
the new name of METRO-NOM. The completely 
restructured IT area of METRO AG develops innova-
tive IT solutions, such as solutions for METRO’s  
omnichannel business and e-commerce, implements 
international projects and thereby participates in 
shaping the digital transformation of the group.
SELECTED EVENTS  
IN FINANCIAL YEAR  
2017/18
To our shareholders
14
M E T R O A N N U A L  R E P O R T 2 0 1 7/ 1 8
The year in review

Changes on the Management Board of METRO AG 
7/5/2018 – The Supervisory Board of METRO AG 
appoints Philippe Palazzi to the Management Board 
and the position of Chief Operating Officer of 
METRO AG. He succeeds Pieter C. Boone who leaves 
the company by mutual agreement.
‘Your Success is our Business’ 
28/6/2018 – ‘Your Success is our Business’ is the 
claim of METRO’s new international brand campaign 
and seeks to emphasise the group’s long-standing 
commitment to small and medium-sized business 
operators. The campaign’s brand ambassadors are 
customers from more than 20 countries.
Q4 2017/18
Procurement alliance Horizon International 
­established 
2/7/2018 – Horizon International is the name under 
which Auchan Retail, Casino Group, METRO and 
Schiever Group have joined forces in a procurement 
cooperation project that aims at harmonising their 
mutual supplier relationships.
First transcritical METRO store in Russia 
26/7/2018 – The opening of the store in the Moscow 
suburb of Aparinki sees METRO commissioning its 
first transcritical refrigeration system in Russia. This 
cooling system combines the latest highly efficient 
refrigeration technology with METRO’s ambition of 
minimising its own CO2 footprint.
METRO PROPERTIES sells part of the real estate 
portfolio of MAKRO Spain 
30/7/2018 – LaSalle Investment Management acquires 
the wholesale and office spaces of 3 properties in 
Madrid on behalf of the Encore+ real estate fund. 
Through a 15-year leasing agreement, MAKRO secures 
its continued operation with an option to extend. 
Best-in-class performance in the Dow Jones  
Sustainability Index 
13/9/2018 – METRO AG is leading the Food & Staples 
Retailing group in the Dow Jones Sustainability Index 
for the fourth consecutive time as the best-in-class 
performer. METRO is distinguished for its environ-
mental, social and economic performance. 
Process to find a new owner for Real started 
13/9/2018 – METRO starts the process of finding 
a new owner for Real. After undergoing extensive 
restructuring and repositioning over recent years, 
Real has created the prerequisites for an independent 
future in the German food retail industry. 
METRO PROPERTIES sells land parcel in Poland 
20/9/2018 – METRO PROPERTIES sells a land parcel 
in the Polish town of Poznan together with a newly 
constructed building under a long lease to Corum 
Asset Management. 
METRO PROPERTIES finds new owner for  
administration building at Albertussee 
27/9/2018 – METRO PROPERTIES, the real estate 
company of METRO AG, supports the endeavour to 
create more inner-city residential space in Düssel-
dorf by agreeing to sell the administration building at 
Albertussee to project developer PANDION. 
Global self-commitment regarding the handling  
of non-recyclable plastics 
28/9/2018 – By the year 2025, conventional single-­
use plastics will be replaced by reusable, recyclable 
or compostable alternatives. This includes promoting 
the transition to a closed-circular economy for plastics.
METRO’s digitalisation campaign 
30/9/2018 – Hospitality Digital, a business unit of 
METRO AG, has become a provider of digital solu-
tions for the HoReCa segment and now offers hos-
pitality operators a free service to design websites 
and an online reservation tool. Financial year 2017/18 
already saw more than 100,000 new hospitality  
websites going online.
15
To our shareholders
15
M E T R O A N N U A L  R E P O R T 2 0 1 7/ 1 8
The year in review

METRO ANNUAL REPORT 2017/18 
16 
To our shareholders 
 
METRO share 
16 
After the capital markets’ positive development and 
growth achieved over the 2017 trading year, the eco-
nomic conditions took a negative turn during the 
course of 2018. The increasing uncertainty caused by 
political and geopolitical risks, especially the trade 
dispute with the United States, resulted in fluctuations 
on the stock markets. Financial year 2017/18 saw the 
DAX falling 5%, from 12,903 to 12,247 points, between 
1 October 2017 and 30 September 2018. While the 
MDAX showed little movement, the EURO STOXX 
Retail took a similar development as the DAX. 
The METRO share finished financial year 2017/18 with  
a closing price of €13.50 in Xetra trading on the Frank-
furt Stock Exchange. This corresponds to a decline  
of 24%. After a fairly constant price development 
ahead of the Annual General Meeting in February 2018, 
the share price started to decline after the adjusted 
forecast in April and reached its lowest closing price 
of €10.08 on 26 July 2018. The stock price recovered in 
the fourth quarter. The preference share traded at 
€12.61 on 30 September 2018.  
 
 
 
 
METRO SHARE 
 
2017/18
Closing price 
Ordinary share
€
13.50 
 
Preference share
€
12.61 
High 
Ordinary share
€
18.00 
 
Preference share
€
17.69 
Low 
Ordinary share
€
10.08 
 
Preference share
€
9.93 
Dividends 
Ordinary share
€
0.701 
 
Preference share
€
0.701 
Dividend yield 
Ordinary share
%
5.21 
based on closing price 
Preference share
%
5.61 
Market capitalisation (billion) 
€
4.9 
1 Subject to the resolution of the Annual General Meeting. 
 
Data based on Xetra closing prices 
Source: Bloomberg 
 
  
  
  
 
 
METRO SHARE

METRO ANNUAL REPORT 2017/18 
17
To our shareholders 
 
METRO share 
17
 
  
  
DATA ON THE METRO SHARE 
 
Ordinary share
Preference share
Stock market symbol 
B4B GR
B4B3
German Securities Identification Number 
BFB001
BFB002
ISIN code 
DE000BFB0019
DE000BFB0027
Reuters code 
B4B.DE
B4B3_p.DE
Bloomberg code 
B4BGR
B4B3GR
Number of shares 
360,121,736
2,975,517
Stock market segment of the Frankfurt Stock Exchange 
Prime Standard
Prime Standard
Stock exchange 
Frankfurt, Luxembourg
Frankfurt, Luxembourg
 
  
  
 
Shareholder structure of METRO AG 
The shareholder structure has changed in comparison 
to 30 September 2017 in financial year 2017/18. As  
at 22 November 2018, the largest shareholders of 
METRO AG were the indirect shareholders Franz 
Haniel & Cie. GmbH (15.20% of voting rights), Meridian 
Stiftung (14.19%), EP Global Commerce (10.91%), 
Beisheim Holding GmbH (6.56%), and CECONOMY AG 
(6.39%). According to the notifications of voting  
rights pursuant to the German Securities Trading Act 
(WpHG), these 5 shareholders currently hold a total  
of 53.23% of voting rights. 
This new structure is the result of multiple notifi-
cations of voting rights, which were presented to 
METRO AG before the publication of its annual report. 
On 24 August 2018, Daniel Křetínský and Patrik Tkáč 
notified METRO that they had acquired a claim to 
transfer 7.3% of shares from Haniel Finance Deutsch-
land GmbH, a fully owned subsidiary of Franz Haniel & 
Cie. GmbH (Haniel), and a call option for an additional 
15.2% of the voting rights, in both cases via the partner-
ship EP Global Commerce GmbH (EPGC II) with regis-
tered office in Munich. On 20 September 2018, Daniel 
Křetínský and Patrik Tkáč notified METRO that they 
had acquired a claim to transfer 3.61% of voting rights 
from CECONOMY AG and a call option for an addi-
tional 5.39% of the voting rights, in both cases via the 
partnership EP Global Commerce II GmbH (EPGC) 
with registered office in Munich. EPGC II is also the 
obligor of a put option on the part of CECONOMY AG 
concerning the voting rights in METRO AG that are 
covered by the call option. On 27 September 2018, 
3.61% of the ordinary shares of METRO AG were trans-
ferred from CECONOMY AG to EPGC II, which resulted 
in CECONOMY AG reducing its interest to 6.39% of 
ordinary shares in METRO AG. 
Haniel notified METRO on 4 October 2018 that it 
now holds 15.2% of voting rights. On 4 October 2018, 
Daniel Křetínský and Patrik Tkáč served a notification 
of voting rights and notified METRO that they now 
hold 10.91% of voting rights in METRO AG via the 
EPGC and EPGC II partnerships in addition to financial 
instruments entitling them to the transfer of a further 
20.59% of voting rights. 
46.76% of METRO AG shares are free-floating and 
held by a number of national and international inves-
tors. The shareholder structure reflects the interna-
tional distribution of the share capital: Around 12% of 
shares are held by investors from North America,  
followed by investors from the United Kingdom and 
Ireland with 10%, Europe (excluding Germany and 
UK/Ireland) with 8.5% and Germany with 7.3%.  
The largest institutional shareholders are J O  
Hambro Capital Management Limited with registered 
office in London (United Kingdom) holding 3.73% and 
Axxion S.A. with registered office in Grevenmacher 
(Luxembourg) holding 3.04%. The 10 largest institu-
tional investors hold around 18% of the free-floating 
shares.

METRO ANNUAL REPORT 2017/18 
18 
To our shareholders 
 
METRO share 
18 
Market capitalisation and index inclusion 
The market capitalisation of METRO AG was €4.9 billion 
at the end of September 2018. In the time between  
the initial stock exchange listing and the end of the 
financial year, a typical trading day at the Frankfurt 
Stock Exchange in financial year 2017/18 saw an aver-
age of 1.1 million of METRO’s ordinary shares traded. 
Around 3,000 of the significantly less liquid prefer-
ence shares were exchanged on each trading day.  
The METRO AG ordinary share is included in a 
number of indices, most noteworthy the MDAX. The 
MDAX at that time comprised the 50 largest German 
corporations with the highest trading volumes below 
the DAX 30. To include companies previously listed in 
the TecDAX, the MDAX was extended to 60 titles on 
24 September 2018. Its composition is based on fixed 
selection criteria. In addition to being listed in the 
Prime Standard and a free float of more than 10%, 
inclusion in the index depends on the free-float market 
capitalisation and the stock exchange turnover. As  
at 30 September 2018, METRO was ranked number  
34 in the MDAX in terms of market capitalisation and 
number 24 in terms of stock exchange turnover.  
The METRO share is also included in the global 
MSCI index and the relevant industry sector indices 
EURO STOXX Retail and STOXX 600 Retail. 
Many investors place a high priority on the issue  
of sustainability. METRO is fostering the continuous 
dialogue with sustainability-oriented investors, analysts 
and rating agencies. METRO AG once again retained 
its ranking as best-of-class in 2018, both in the inter-
nationally significant sustainability index Dow Jones 
Sustainability World, as well as in the Dow Jones Sus-
tainability Europe. Rating agency Oekom Research 
issued a prime recommendation for METRO AG in the 
wholesale category (Trading Companies & Distribu-
tors). METRO is also listed in the FTSE4Good index. 
METRO has been issuing public statements on climate 
protection and water for many years through CDP. 
METRO achieved a rating of A– (on a scale from F  
to A) for both subject areas. 
METRO shares are also included in the MSCI World 
ESG Leaders Index and its European counterparts. 
METRO has charted the right course with its sus-
tainable business practices.  
Dividend and dividend policy 
The Management Board and the Supervisory Board 
will propose a dividend of €0.70 per ordinary share to 
the Annual General Meeting on 15 February 2019. This 
proposed dividend corresponds to 74% of the earn-
ings per share of €0.95 and thus exceeds the distribu-
tion quota of 45% to 55% provided for in METRO’s 
dividend policy. The intention of the Management 
Board is to demonstrate the importance of dividend 
continuity and its confidence in the future of METRO 
despite the adjusted forecast. The dividend yield on 
the basis of the closing price on 30 September 2018 is 
5.2% for the METRO ordinary share and 5.6% for the 
preference share. 
Analysts’ recommendations 
23 analysts have regularly published analysis and  
studies about the METRO share over the course of 
financial year 2017/18. The METRO share was given a 
neutral evaluation over the medium to long term by  
18 analysts, 3 analysts gave a buy recommendation 
and 2 analysts a sell recommendation. The median 
value of share price targets was €12.50 at the end of 
September 2018. 
 
 
  
  
 
Grade 
 
Bank 
 
Registered 
office 
Share price 
target (€) 
Buy 
 equinet 
 Frankfurt 
17.00 
 Solventis 
 Mainz 
18.00 
 Warburg Research
 Hamburg 
13.00 
Hold 
 Barclays 
 London 
11.40 
 BAML 
 London 
14.00 
 Berenberg 
 London 
12.20 
 
Bernstein 
Research 
 London 
12.40 
 Commerzbank 
 Frankfurt 
15.00 
 Deutsche Bank 
 London 
12.00 
 Exane 
 London 
12.40 
 HSBC 
 London 
14.00 
 Invest Securities 
 London 
12.60 
 Jefferies 
 London 
11.20 
 J.P. Morgan 
 London 
12.50 
 
Kepler 
Cheuvreux 
 Frankfurt 
14.40 
 LBBW 
 Stuttgart 
12.40 
 Macquarie Group 
 London 
17.00 
 Morgan Stanley 
 London 
18.00 
 ODDO BHF 
 Paris 
11.00 
 Raymond James 
 London 
NN 
 Société Générale   Paris 
12.00 
Sell 
 Baader Bank 
 Munich 
10.00 
 DZ Bank 
 Frankfurt 
11.80

METRO ANNUAL REPORT 2017/18 
19
To our shareholders 
 
METRO share 
19
Investor Relations 
The Investor Relations department is in continuous 
dialogue with analysts, institutional investors and retail 
investors. The team is guided by the principles of  
customer-focused capital market support. 
— Topicality: assurance of information leadership 
— Continuity: consistency in external communications 
— Credibility: disclosure of accurate information 
— Equal treatment: all recipients are provided  
with the same information at the same time  
In addition to the regular quarterly and yearly report-
ing, the Investor Relations team is also available for 
personal meetings. Together with the Management 
Board, the team spent 14 days on roadshows and 11 
days attending investor conferences. It also conducted 
numerous individual and group discussions, store 
inspections and telephone conferences. In March 2018, 
METRO invited analysts and investors to a Capital 
Markets Day in Moscow, aimed at highlighting the 
challenges and opportunities in this market. METRO’s 
focus on wholesale trade and the group’s strategy in 
Russia and Germany were the main subjects discussed. 
All information about the METRO share is available 
in German and English from the Investor Relations 
website. The website also offers additional information 
about METRO’s corporate strategy and business de-
velopment, all current publications, the schedule of 
events and the annual report. A webcast is available 
for all METRO events. The Investor Relations team can 
also be contacted directly. The Annual General Meet-
ing provides all shareholders with the opportunity to 
learn about the current developments at METRO. 
Its active membership in the German Equity Insti-
tute (Deutsches Aktieninstitut e. V., DAI) in Frankfurt 
allows METRO AG to actively promote an investment 
culture with an affinity for equities in Germany. METRO 
is also committed to the principles of open and con-
tinuous communications, which is expressed in the 
company’s membership in the German Investor Rela-
tions Association (Deutscher Investor Relations Ver-
band e. V., DIRK). 
Contact Investor Relations 
METRO AG 
Investor Relations 
Schlüterstraße 1 
40235 Düsseldorf, Germany 
T +49 211 6886–1280 
F +49 211 6886–490–3759 
investorrelations@metro.de 
www.metroag.de/en/investors

O
P
RATE
OV
R
ANCE
23 
–
33
Corporate Governance
23 
REPORT OF THE 
 
SUPERVISORY BOARD
29 
CORPORATE 
 
GOVERNANCE REPORT

METRO ANNUAL REPORT 2017/18 
23
Corporate Governance 
 
Report of the Supervisory Board 
 
The financial year 2017/18 was challenging. However, METRO managed to achieve solid results in a demanding 
market environment.  
The situation in Russia was particularly challenging due to difficult economic and political circumstances. 
METRO responded to the exacerbated competitive environment by adapting its business model. HoReCa sales 
increased particularly markedly in Germany, enabling the company to strengthen its profile as a wholesaler and 
marketplace for the hospitality industry. Overall, considering the circumstances, METRO can be ‘cautiously’ satis-
fied with financial year 2017/18. 
By deciding to search for a new owner for Real who is able to provide better support for the business, the 
company set the course for becoming a pure wholesaler. Aided by the consistent optimisation of the portfolio and 
strategic acquisitions, METRO will be able to concentrate on future targets.  
Philippe Palazzi, who was appointed to the Management Board in May 2018, started his new role as Chief Oper-
ating Officer with a great deal of dynamism and experience. He has been at METRO for many years and is con-
stantly helping to drive the transformation with his expertise, especially in the HoReCa sector. The Supervisory 
Board is convinced that with Philippe Palazzi and his passion for both our business and our customers’ businesses, 
METRO will achieve its target of further increasing customer focus.  
Let me take this opportunity to give special thank to all employees for contributing to METRO’s success again 
this year with their commitment. Sometimes, it may appear to our employees that their work is not particularly 
important for the company as a whole. This could not be further from the truth! Only if everyone masters his or her 
task with love and perfection will all of the gears mesh perfectly, allowing our METRO to gain further traction. 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
— More information about the other members  
of the Supervisory Board can be found  
at www.metroag.de in the section company –  
Supervisory Board. 
REPORT OF THE  
SUPERVISORY BOARD

METRO ANNUAL REPORT 2017/18 
24 
Corporate Governance 
 
Report of the Supervisory Board 
ADVICE AND SUPERVISION IN CONSULTATION  
WITH THE MANAGEMENT BOARD 
In financial year 2017/18, the Supervisory Board diligently and prudently performed the duties imposed on it by 
law, the Articles of Association and the Code of Procedure We advised the Management Board in relation to the 
management of METRO AG and the group and supervised its activities. The Management Board furnished us with 
detailed written and verbal information on all essential developments within METRO at the Supervisory Board 
meetings in a timely fashion and in accordance with the statutory requirements. Its reporting in particular included 
information on the intended business policies and other fundamental questions relating to corporate planning,  
as well as the ongoing business development and the situation of the company and the group (including the risk 
position, risk management and compliance). The Management Board provided detailed explanations for any  
deviations from planned business performance. Based on the Management Board’s reports, we discussed all trans-
actions that were of significance to the company at the Supervisory Board meetings and within the committees. 
The Supervisory Board was involved in all decisions bearing material significance. These decisions included 
measures and transactions for which the Supervisory Board’s approval was prescribed by law, the Articles of 
Association or intercompany regulations. We thoroughly reviewed the relevant matters and discussed benefits, 
potential opportunities, risks and other implications with the Management Board. Managers from the relevant  
departments of METRO attended meetings to address particular agenda items. 
The Supervisory Board approved all matters presented to it by the Management Board for approval. I as the 
Chairman of the Supervisory Board and Prof. Dr Edgar Ernst as the Chairman of the Audit Committee continuously, 
closely and regularly exchanged information and ideas with regard to key issues and pending decisions with the 
Chief Executive Officer and/or the Chief Financial Officer also outside of meetings. Additionally, the Chairman  
of the Audit Committee, Prof. Dr Edgar Ernst, and myself as the Chairman of the Presidential Committee and the 
Nomination Committee reported in detail on the work and recommendations of the committees at the occasion  
of the next meeting of the Supervisory Board. No matters requiring clarification arose and we thus did not make 
use of the Supervisory Board’s rights of inspection and audit pursuant to § 111 Section 2 Sentence 1 and 2 of the 
German Stock Corporation Act (AktG).  
The Supervisory Board held 9 meetings in financial year 2017/18, with one meeting convened as an extraordinary 
meeting. One resolution was adopted by the Supervisory Board in a written procedure outside of a meeting. The 
corporate governance report includes the meeting attendances of individual members of the Supervisory Board. 
No conflicts of interest involving members of the Management Board and the Supervisory Board arose in financial 
year 2017/18. 
KEY ISSUES COVERED BY SUPERVISORY BOARD MEETINGS  
November 2017 – In its first meeting in financial year 2017/18, we adopted a resolution concerning the individual 
performance factors of the members of the Management Board for the purpose of determining the amount of  
the short-term incentive (STI) for financial year 2016/17 as of the demerger effective date. We also dealt with the 
remuneration for the members of the Management Board for 2017/18, particularly including a discussion about  
the individual performance targets. Following recommendation by the Presidential Committee, a resolution for the 
adjustment of the remuneration system for the Management Board with regard to the short-term incentive was 
adopted: the previous STI component ‘EBIT’ was replaced by the component ‘EBITDA’ and the weighting of all 
3 STI components was also adjusted. This adjustment necessitated an update of the declaration of conformity with 
the German Corporate Governance Code adopted by the Management Board and the Supervisory Board in Sep-
tember 2017, for which we have also adopted a resolution Other agenda items at the meeting of the Supervisory 
Board concerned information about the status of the investigations conducted by the public prosecutor’s office  
in relation to alleged insider trading and market manipulation, information about METRO’s sustainability initiatives, 
as well as information about relevant changes in the law. We further received information about the group’s gov-
ernance functions. The Management Board provided information about the new segment reporting as of financial 
year 2017/18, which requires income from real estate to be reported separately, divided into the segments METRO 
Wholesale Germany, METRO Wholesale Western Europe (excluding Germany), METRO Wholesale Russia, METRO 
Wholesale Eastern Europe (excluding Russia), METRO Wholesale Asia and Real. This structure was in part  
already implemented in December 2017 for the reporting for financial year 2016/17 and implemented fully with the 
quarterly reporting for financial year 2017/18.  
December 2017 – Our Supervisory Board meeting held on 7 December 2017 focused on the annual and con-
solidated financial statements for financial year 2016/17, the combined management reports for METRO AG and for 
the group for 2016/17, the Management Board’s proposal for the appropriation of the balance sheet profit to the

METRO ANNUAL REPORT 2017/18 
25
Corporate Governance 
 
Report of the Supervisory Board 
Annual General Meeting 2018 as well as the Management Board’s report on relations with affiliated companies in 
financial year 2016/17. The auditor attended this meeting. and reported on the key findings of his audits. Another 
focus area of the meeting was – against the background of the continuing development of METRO’s governance 
structure – a discussion about an amendment to the Code of Procedure for the Management Board. We also  
discussed the new segment reporting. Other important subjects discussed at the Supervisory Board meeting in 
December 2017 were, in addition to the ordinary report by the Management Board about the current business 
development, the adoption of a resolution concerning the report of the Supervisory Board and the corporate gov-
ernance report for financial year 2016/17, as well as the preparation of the Annual General Meeting 2018. We were 
also provided with information about changes on top management level by the Chief Human Resources Officer 
and Labour Director. 
A resolution concerning the amendment of the Code of Procedure for the Management Board as well as the 
resolutions to be proposed to the Annual General Meeting of METRO AG on 16 February 2018 were adopted out-
side of a meeting, as was already discussed in the meeting on 7 December 2017.  
February 2018 – In a meeting held immediately before the Annual General Meeting on 16 February 2018, the 
Management Board provided information about the current business development and changes on top manage-
ment level. As a precautionary measure, the Supervisory Board adopted a resolution granting power of attorney  
to a law firm, in particular in relation to potential actions for rescission and/or annulment against resolutions 
adopted by the Annual General Meeting 2018. Subject to the election of the auditor by the Annual General Meeting 
2018, we approved the audit assignments for the annual financial statements and the consolidated financial state-
ments of METRO AG as to 30 September 2018, the combined management report for METRO AG and the group 
for financial year 2017/18. Subject to the election of the auditors, we also approved the assignment for an audit 
review of the abridged interim consolidated financial statements as of 31 March 2018 and the interim consolidated 
management report for the period from 1 October 2017 to 31 March 2018. We were also provided with an update 
about the investigations conducted by the public prosecutor’s office and information about the completed audit  
of OTC derivatives contracts pursuant to § 20 of the German Securities Trading Act (WpHG, old version). 
A further meeting was held immediately after the Annual General Meeting, at the end of which the office  
terms of Mattheus P. M. (Theo) de Raad and all employee representatives on the Supervisory Board of METRO AG 
expired. For this reason, the succeeding and/or re-elected members of the Supervisory Board elected Mr Werner 
Klockhaus to the office of the Vice Chairman of the Supervisory Board. The Supervisory Board also agreed on the 
members to be appointed to the committees. The members of the Audit Committee elected their Chairman and 
Vice Chairman.  
May 2018 – The extraordinary meeting of the Supervisory Board on 7 May 2018 discussed the implications of 
the ad hoc press release published by the company on 20 April 2018. Following intense discussions, we have – 
following the recommendation by the Presidential Committee – resolved to terminate the appointment of Pieter  
C. Boone to the Management Board with effect as to the end of 7 May 2018. The Supervisory Board also resolved 
to appoint Philippe Palazzi to the Management Board of METRO AG for the period from 7 May 2018 to 30 Septem-
ber 2021. In relation to this matter, we also approved the employment agreement for Philippe Palazzi and adopted 
the corresponding adjustment of the assignment of responsibilities for the Management Board.  
The ordinary meeting held on 14 May 2018 concerned routine issues, such as information about the current 
business development. We further received a progress report concerning investments made. Against the back-
ground of the changes to the benchmarking index that is relevant to METRO (MDAX), we were provided with  
information about the implications of the ‘total shareholder return’ component that is part of the long-term incen-
tive of the Management Board’s remuneration. We also examined the effects of the CSR Directive Implementation 
Act on METRO. Another agenda item was leadership at METRO, in which we discussed talent management and 
management succession planning.  
In a Supervisory Board strategy meeting spanning over 3 days from 28 to 30 May 2018, the Management Board 
and Supervisory Board discussed the corporate strategy of METRO together with internal executives and external 
guests. In particular, the vision and mission of the company, its sales lines, strategy, growth drivers, competitors 
and market shares and the main challenges facing the METRO group were discussed. 
The participants of the meeting also talked about staff concerns of the Management Board. Firstly, this involved 
the resolution concerning the termination agreement with Pieter C. Boone; the Supervisory Board approved the 
presented agreement. Another subject discussed by the Supervisory Board were the individual performance 
targets to be determined for Philippe Palazzi for the remainder of financial year 2017/18. 
July 2018 – The Management Board opened the meeting by offering a report about the current business devel-
opment. In light of the CSR Directive Implementation Act and the non-financial reporting prescribed in it, we re-
solved to instruct KPMG with an external evaluation pursuant to § 111 Section 2 Sentence 4 of the German Stock 
Corporation Act (AktG), which is to take the form of a limited assurance engagement. We were further informed 
about the current state of affairs concerning the variable remuneration components for the Management Board 
and discussed the interim results for the degree of target attainment achieved in financial year 2017/18 by the indi-
vidual members of the Management Board.

METRO ANNUAL REPORT 2017/18 
26 
Corporate Governance 
 
Report of the Supervisory Board 
September 2018 – Following information of the Management Board about the latest changes in the share owner-
ship structure of METRO AG and the progress made in the sale of Real, we approved the draft budget from finan-
cial year 2018/19 presented by the Management Board at our last meeting in financial year 2017/18 as well as the 
mid-term planning. Resolutions were also adopted with regard to the performance targets for the short-term in-
centives in financial year 2018/19 for the members of the Management Board and the declaration of conformity 
pursuant to § 161 of the German Stock Corporation Act (AktG). We were also given a progress report about  
investments made. We further adopted a resolution about the diversity concept for the composition of the Man-
agement Board and the Supervisory Board. We concluded the meeting by reviewing the efficiency of our work  
as a corporate body. This efficiency assessment was based on a questionnaire prepared in-house.  
WORK IN THE COMMITTEES 
For the purpose of effectively performing its duties, the Supervisory Board relies on the work of 4 committees:  
the Presidential Committee, the Audit Committee, the Nomination Committee and the Mediation Committee pur-
suant to § 27 Section 3 of the German Co-determination Act (MitbestG). The committees prepare the board-level 
consultations and resolutions. In addition, also decision-making responsibilities were transferred to the committees 
within the legally allowed parameters. The respective Chairmen of the committees report to the Supervisory  
Board regularly and comprehensively with regard to the work in the committees. The work of the committees is 
described in detail in the annual declaration on corporate management pursuant to § 289f and § 315d of the  
German Commercial Code (HGB). This declaration as well as information about the current members of the Super-
visory Board can be found on the website www.metroag.de in the section Company – Corporate Governance.  
 
The following shows the current composition of the Supervisory Board committees: 
— Presidential Committee:  
Jürgen B. Steinemann (Chairman), Werner Klockhaus (Vice Chairman),  
Xaver Schiller, Dr Liliana Solomon  
— Audit Committee:  
Prof. Dr Edgar Ernst (Chairman), Werner Klockhaus (Vice Chairman), Thomas Dommel,  
Dr Florian Funck, Dr Fredy Raas, Xaver Schiller 
— Nomination Committee:  
Jürgen B. Steinemann (Chairman), Gwyn Burr, Prof. Dr Edgar Ernst  
— Mediation Committee pursuant to § 27 Section 3 of the German Co-determination Act (MitbestG):  
Jürgen B. Steinemann (Chairman), Werner Klockhaus (Vice Chairman),  
Prof. Dr Edgar Ernst, Xaver Schiller  
Date: 7 December 2018 
 
Presidential Committee – The Presidential Committee is mainly concerned with the personnel issues of the mem-
bers of the Management Board and monitors compliance with legal regulations and the application of the German 
Corporate Governance Code. In accordance to § 107 Section 3 Sentence 4 of the German Stock Corporation Act 
(AktG), the Presidential Committee passes resolutions on urgent matters and matters submitted to it by the  
Supervisory Board. The Presidential Committee held 5 meetings in financial year 2017/18, one meeting was con-
vened as an extraordinary meeting. One of the key areas of the work in the committee was the preparation of the 
resolutions to be adopted by the Supervisory Board with regard to the appointment of Philippe Palazzi to the 
Management Board of METRO AG and with regard to the consensual departure of Pieter C. Boone from the Man-
agement Board with effect as to the end of 7 May 2018. In preparation of the Supervisory Board meeting, the 
committee prepared the individual and strategic performance targets for the members of the Management Board 
for financial year 2017/18, as well as the targets of the short-term incentive for financial year 2018/19. Further issues 
addressed by the Presidential Committee included corporate governance at METRO, including the corporate gov-
ernance report for financial year 2017/18 and the preparation of the declaration of conformity in accordance with 
§ 161 of the German Stock Corporation Act (AktG). In discussing the issue of leadership at METRO, the Presidential 
Committee learned about the development of the talent management system used by METRO for the promotion 
of selected executives. The Presidential Committee was also informed about the system for internal succession 
planning on various levels.  
Audit Committee – The Audit Committee is responsible for supervising the company’s accounting, accounting 
processes, the effectiveness of the internal control system, the risk management system, the internal audit system, 
the audit of the annual financial statements (in particular relating to the selection and independence of the auditor 
and any additional performances rendered by the auditor) as well as compliance. 6 committee meetings were

METRO ANNUAL REPORT 2017/18 
27
Corporate Governance 
 
Report of the Supervisory Board 
held in financial year 2017/18. The CFO, the CEO and I as the Chairman of the Supervisory Board attended all meet-
ings. The auditor and managers of the relevant departments of METRO were consulted on selected issues.  
The Audit Committee prepared the meeting of the Supervisory Board in December 2017 and conducted an  
in-depth review of the annual and consolidated financial statements for financial year 2016/17, the combined man-
agement report of METRO AG and the METRO AG group for financial year 2016/17 as well as the report of the 
Management Board on relations with affiliated companies. The results of the audit were discussed by the Super-
visory Board in the presence of the auditor. This formed the basis for the Audit Committee informing the Super-
visory Board about the concrete resolutions proposed by the committee; these included, in particular, the 
recommendation to approve the annual and consolidated financial statements for financial year 2016/17 and to 
approve the Management Board’s proposal to the Annual General Meeting 2018 on the appropriation of the  
balance sheet profit. The members of the Audit Committee discussed the quarterly statement and the half-year 
financial report for financial year 2017/18 prior to their respective publication.  
The Audit Committee also prepared the audit engagements for financial year 2017/18 and considered the  
auditor’s planning of the audit and the key audit areas. In all meetings, the committee obtained information about 
so-called non-audit performances of the auditor and approved instruction of the auditor with a non-audit perfor-
mance in one case. The committee intensively examined the governance functions within the group (internal  
control systems, risk management system, internal audit and compliance), the draft budget presented by the Man-
agement Board, the group controlling plan and the audit plan prepared by the internal audit unit. The Audit Com-
mittee further requested information about significant projects and legal issues; these particularly included the 
legally required ongoing development of European and international accounting standards, accounting-related 
changes and an evaluation of the ensuing implications for METRO. The Audit Committee further discussed issues 
relating to the General Data Protection Regulation and was informed about the progress made with regard to the 
corresponding implementation measures at METRO. The Audit Committee further prepared the non-financial  
reporting by the Supervisory Board and requested information about the progress made with regard to the imple-
mentation and the content of the publication.  
Nomination Committee – The Nomination Committee is responsible for proposing suitable candidates for the 
Supervisory Board’s election proposals to the Annual General Meeting. In financial year 2017/18, 2 committee meet-
ings were held for the purpose of preparing an election proposal to the Annual General Meeting 2018, with one 
meeting conducted over the telephone.  
Mediation Committee – The Mediation Committee formulates proposals for the appointment and dismissal of 
members of the Management Board in cases pursuant to § 31 of the German Co-determination Act (MitbestG). The 
Mediation Committee did not convene a meeting in financial year 2017/18.  
CORPORATE GOVERNANCE 
The Management Board and the Supervisory Board report about the corporate governance of METRO in the  
corporate governance report for financial year 2017/18. Together with the declaration on corporate management 
pursuant to § 289f of the German Commercial Code (HGB) and § 315d of the German Commercial Code (HGB),  
the report is also published in the section Company – Corporate Governance of the website www.metroag.de.  
In September 2018, the Management Board and the Supervisory Board of METRO AG issued their declaration 
of conformity with regard to the recommendations of the Government Commission on the German Corporate 
Governance Code pursuant to § 161 of the German Stock Corporation Act (AktG) and published the declaration of 
conformity on the website www.metroag.de. The full declaration is further reprinted in the corporate governance 
report 2017/18 and in the declaration on corporate management. 
ANNUAL AND CONSOLIDATED FINANCIAL STATEMENTS 
KPMG AG Wirtschaftsprüfungsgesellschaft has reviewed the consolidated financial statements for financial year 
2017/18 submitted by the Management Board in accordance with the International Financial Reporting Standards 
(IFRS) and has given its unqualified approval. The same applies to the annual financial statements 2017/18 of  
METRO AG prepared in accordance with the regulations of the German Commercial Code (HGB) and the com-
bined management report for METRO AG and the METRO AG group. The auditor provided a written report on  
the findings. 
The documents for the annual financial statements and the audit reports were discussed and reviewed in great 
detail during the meeting of the Audit Committee on 6 December 2018 and in the Supervisory Board meeting on

METRO ANNUAL REPORT 2017/18 
28 
Corporate Governance 
 
Report of the Supervisory Board 
7 December 2018 in the presence of the auditor. Prior to these meetings, the required documents were distributed 
to all members of the Audit Committee as well as the Supervisory Board, giving them sufficient time to review them. 
In both meetings, the auditor reported about the key findings of his audit and was at the Supervisory Board’s  
disposal to answer questions and provide additional information also in the absence of the Management Board.  
KPMG also provided information on services rendered in addition to auditing services. No issues resulting in a 
disqualification due to bias arose. Based on our own review of the annual financial statements, the consolidated 
financial statements and the combined management report for financial year 2017/18, we had no objections and 
the Supervisory Board approved the result of the audit. We have endorsed the annual financial statements and  
the consolidated financial statements submitted by the Management Board. The Annual Financial Statement of 
METRO AG is thus released. Following a careful own review and consideration of the interests involved, we en-
dorsed the Management Board’s proposal to the Annual General Meeting 2019 for the appropriation of the balance 
sheet profit. 
APPOINTMENTS AND RESIGNATIONS  
The office terms of Mattheus P. M. (Theo) de Raad and all employee representatives on the Supervisory Board of 
METRO AG expired at the end of the Annual General Meeting of METRO AG held on 16 February 2018. The suc-
ceeding employee representatives had already been elected by the assembly of delegates on 6 February 2018; the 
representative of the shareholders was elected by the Annual General Meeting on 16 February 2018.  
Susanne Meister, Dr Angela Pilkmann, Angelika Will, Silke Zimmer, Werner Klockhaus, Thomas Dommel, Michael 
Heider, Xaver Schiller and Manfred Wirsch were re-elected to the Supervisory Board as members representing the 
employees. Stefanie Blaser is a new member elected to the Board. She takes the place of Andreas Herwarth, who 
resigned from the Supervisory Board of METRO AG at the end of the Annual General Meeting of METRO AG on  
16 February 2018. Mr Herbert Bollinger was elected by the Annual General Meeting 2018 to the Supervisory Board 
of METRO AG as a member of the Board representing the shareholders.  
 
 
 
 
Düsseldorf, 7 December 2018 
 
The Supervisory Board 
 
 
 
JÜRGEN B. STEINEMANN  
Chairman

METRO ANNUAL REPORT 2017/18 
29
Corporate Governance 
 
Corporate Governance Report 
Pursuant to the recommendation in Subsection 3.10  
of the German Corporate Governance Code, the  
Management Board and the Supervisory Board of 
METRO AG deliver the following report on corporate 
governance at METRO group. 
The Management Board and the Supervisory Board 
of METRO AG are firmly committed to the principles 
of transparent, responsible and value-based manage-
ment and supervision. The standards of good corpor-
ate governance are afforded a high priority. Against 
this background, the Management Board and the  
Supervisory Board of METRO AG gear their actions to 
the relevant valid recommendations of the German 
Corporate Governance Code.  
Implementation of the German  
Corporate Governance Code 
During financial year 2017/18, the Management Board 
and the Supervisory Board of METRO AG discussed 
the implementation of the recommendations of the 
German Corporate Governance Code in detail and 
issued the following declaration pursuant to § 161 of 
the German Stock Corporation Act (AktG) in Sep-
tember 2018:  
‘The Management Board and the Supervisory 
Board of METRO AG declare that the recommendations 
of the Government Commission on the German Cor-
porate Governance Code published by the Federal 
Ministry of Justice in the official section of the Federal 
Gazette dated 7 February 2017 have been complied 
with since the previous declaration of conformity in 
September 2017, with one exception: 
As already described in the update to the declara-
tion of conformity of 14 November 2017, the Super-
visory Board of METRO AG in its meeting on 14 Novem-
ber 2017 approved to adapt the remuneration system 
for members of the Management Board in relation to 
the components of the short-term performance-based 
remuneration (short-term incentive, STI) and their 
weighting. The former STI component ‘exchange rate-
adjusted earnings before interest and taxes (EBIT)’ 
was replaced by the component ‘exchange rate-
adjusted earnings before interest, taxes, depreciation 
and amortisation (EBITDA)’. As the target settings of 
the other STI components, the target setting of this 
component was, without any changes, taken from the 
budget for financial year 2017/18 approved by the 
Supervisory Board in September 2017. Furthermore, 
the 3 STI components were weighted as follows: (1) 
like-for-like sales growth at 40%, (2) EBITDA at 40% 
and (3) exchange rate-adjusted return on capital em-
ployed (RoCE) at 20%. 
With the adaptions, to a major extent, the same 
KPIs were used for incentivising the members of the 
Management Board with a short-term performance-
based remuneration, as for the steering of the compa-
ny and the capital market prognosis of METRO. The 
adaptations had retroactive effect as of the beginning 
of financial year 2017/18 (from 1 October 2017 to 
30 September 2018). The current employment con-
tracts with the members of the Management Board 
were amended accordingly. 
The amendment of the existing remuneration  
system in the course of the financial year and the re-
spective adaption of the employment contracts of the 
members of the Management Board caused a devia-
tion from the recommendation in Clause 4.2.3 sec.  
2 Sentence 8 of the German Corporate Governance 
Code. According to this recommendation, a subsequent 
amendment of the performance targets or compari-
son parameters shall be excluded with regard to  
the variable components of the Management Board 
remuneration.  
The Management Board and the Supervisory Board 
of METRO AG intend to fully comply with the recom-
mendations of the Government Commission in the 
version dated 7 February 2017 without exception in 
the future.’ 
METRO AG has made this declaration pursuant to 
§ 161 of the German Stock Corporation Act (AktG)  
and previous declarations of conformity with the Code 
permanently accessible on the website 
www.metroag.de. 
In addition to recommendations, the German  
Corporate Governance Code contains suggestions. 
METRO AG follows these suggestions of the German 
Corporate Governance Code, with the exception of  
the suggestion offered in Section 2.3.3, which proposes 
to enable shareholders to follow the Annual General 
Meeting via contemporary communication media, such 
as the internet. In financial year 2017/18, METRO AG 
decided to only broadcast the speech by the Chair-
man of the Management Board via the internet. This 
practice will be continued in the future.  
Division of duties and areas of responsibility 
between the Management Board  
and the Supervisory Board 
The clear separation of corporate management and 
corporate supervision is a key element of corporate 
CORPORATE GOVERNANCE 
REPORT

METRO ANNUAL REPORT 2017/18 
30 
Corporate Governance 
 
Corporate Governance Report 
governance for German stock corporations. Duties and 
areas of responsibility are clearly divided between the 
Management Board and the Supervisory Board.  
The Management Board of METRO AG consists of 
4 members and is responsible for managing the com-
pany. The essential management duties of the Man-
agement Board of METRO AG include the definition of 
corporate objectives, determination of the strategic 
direction for the group, management and supervision 
of the group, as well as corporate planning. In addi-
tion, the Management Board of METRO AG ensures 
the availability of investment funds, decides on their 
allocation within the group and is responsible for at-
tracting and promoting highly qualified managers.  
In accordance with the stipulations of the German 
Co-determination Act (MitbestG), the German Stock 
Corporation Act (AktG) and the company’s Articles of 
Association, the Supervisory Board of METRO AG 
consists of 10 shareholder representatives and 10 em-
ployee representatives. In addition, women and men 
each hold at least 30% of the seats on the Supervisory 
Board. The Supervisory Board appoints the members 
of the Management Board, provides advice to the 
Management Board and continuously monitors its 
corporate management, including with regard to the 
attainment of long-term corporate objectives. The 
Management Board involves the Supervisory Board in 
the planned development of METRO and in decisions 
concerning important measures. In addition to its 
statutory approval obligations, the Supervisory Board 
has determined its own approval requirements for 
certain actions and business dealings of the Manage-
ment Board. 
— For more information about members of the Manage-
ment Board and Supervisory Board, see the notes  
to the consolidated financial statements of METRO AG 
in no. 56 – Corporate Boards of METRO AG and the 
mandates of their members. 
— The Codes of Procedure of the Management Board, 
Supervisory Board and Audit Committee can be found 
on the website www.metroag.de/en in the section  
company – corporate governance. 
— The modes of operation of the Management Board  
and Supervisory Board, the composition and functions 
of the Supervisory Board committees and information 
on key corporate management practices and the  
diversity concept are described in the annual declaration 
on corporate management pursuant to § 289f and  
§ 315d of the German Commercial Code (HGB). The  
declaration on corporate management for this financial 
year is available on the website www.metroag.de/en  
in the section company – corporate governance.  
Previous declarations of conformity pursuant to § 161  
of the German Stock Corporation Act (AktG) can  
also be downloaded from the website. 
Objectives for the composition  
of the Management Board  
The fundamental qualification criteria for candidates 
considered for appointment to the Management Board 
are their professional qualifications for the respective 
area of responsibility, leadership quality, previous per-
formance as well as knowledge about the company 
and its business model. The Supervisory Board under-
stands diversity as a qualification criteria that mani-
fests itself in different, mutually complementary 
profiles, (educational and professional) backgrounds, 
nationalities, a mixed age structure and representation 
of both genders on the Management Board. 
The objective of this diversity concept is to achieve 
a composition of the Management Board that ensures 
that its members have the necessary knowledge,  
expertise and professional experience that allow the 
entire Management Board to manage and steer the 
company in the best possible way. 
The Supervisory Board has postulated the follow-
ing objectives: 
— Each member of the Management Board must 
have solid general qualifications and be capable of 
helping the company address its current situation 
and future challenges.  
— The members of the Management Board should 
come from different educational and/or national 
backgrounds. 
— The members of the Management Board should 
complement each other with regard to their expert-
ise and knowledge. All members of the Manage-
ment Board should have expertise and experience 
in retail, food, supply chain, sustainability and  
digitalisation.  
— The composition of the Management Board  
should adequately represent the internationality  
of METRO AG.  
— All members of the Management Board should 
have long-standing management experience.  
— The Management Board should have a mixed  
age structure.  
— The ordinary office term of a member of the  
Management Board should not extend past the 
member reaching the age of 65 (standard  
retirement age).  
— The Company intends to appoint at least one  
female member to the Management Board by  
30 June 2022.  
The Supervisory Board determines the size of the 
Management Board, the appointment of members to 
the Management Board, as well as the identification  
of suitable candidates in the best interest of the Com-
pany and in consideration of all circumstances in the 
respective individual case. In doing so, the Supervisory 
Board and its Presidential Committee adhere to the 
diversity concept for the composition of the Manage-
ment Board and the objectives. The diversity concept 
for the Management Board also serves as the founda-
tion for long-term succession planning.

METRO ANNUAL REPORT 2017/18 
31
Corporate Governance 
 
Corporate Governance Report 
The current composition of the Management Board 
satisfies the diversity concept and achieves the objec-
tives. In addition to being individually qualified for 
performing their respective responsibilities, the mem-
bers of the Management Board also come from differ-
ent educational and/or professional backgrounds. The 
necessary expertise and experience in the areas of 
relevance for METRO is assured. There are in particular 
no gaps in the members’ skills, but rather overlapping 
skills, which sustainably promotes the performance of 
the Management Board as a team. All members of the 
Management Board have long-standing management 
experience. The fact that 2 of the 4 members of the 
Management Board previously held high-ranking man-
agement positions in other countries over substantial 
periods also adequately represents the internationality 
of METRO. The age of the members of the Manage-
ment Board in financial year 2017/18 spans from 41  
to 60 years; no office extends past the age of 65. The 
Company intends to appoint at least one female 
member to the Management Board by 30 June 2022; 
there is currently no female member appointed to the 
Management Board.  
Objectives for the composition  
of the Supervisory Board  
To ensure the Supervisory Board of METRO AG can 
duly perform its responsibilities, the Supervisory 
Board has adopted concrete objectives for its compos-
ition and a profile of competencies for the entire cor-
porate body in the meaning of Section 5.4.1 of the 
German Corporate Governance Code.  
This requires the composition of the Supervisory 
Board to assure the qualified supervisory and advisory 
functions required under the German Stock Corpora-
tion Act and the German Corporate Governance Code. 
The Supervisory Board understands diversity as a 
qualification criteria for the members of the Supervi-
sory Board in such a way that the members should 
complement each other with regard to their age, (edu-
cational and professional) background, experience and 
skills in such a way that the overall corporate body  
will benefit of the largest possible pool of experience 
and the broadest possible spectrum of expertise. 
This diversity concept aims at achieving a compo-
sition of the Supervisory Board that is in the best  
interests of the company, takes all circumstances of 
the individual case into account and enables the  
Supervisory Board as the supervisory corporate body 
to supervise and advise the Management Board in  
the best possible way.  
For the purpose of determining its composition, 
the Supervisory Board afforded reasonable considera-
tion to the company-specific situation in terms of the 
company’s international activities, potential conflicts 
of interest, the number of independent members of 
the Supervisory Board, a prescribed retirement age for 
members of the Supervisory Board and a prescribed 
maximum office term for members of the Supervisory 
Board and the issue of diversity, and determined the 
following individual objectives: 
— The members of the Supervisory Board should 
complement each other with regard to their age, 
(educational and professional) background, experi-
ence and skills in such a way that the overall  
corporate body will benefit of the largest possible 
pool of experience and the broadest possible  
spectrum of expertise. 
— An adequate number of the members of the  
Supervisory Board should have international  
experience or expertise. 
— The statutory gender quota of 30% is proposed  
to be met by both shareholder representatives as 
well as employee representatives. It follows that at 
least 3 of the members of the Supervisory Board 
on each side should be female. 
— In accordance with Section 5.4.2 of the German 
Corporate Governance Code, at least 12 of the  
Supervisory Board’s 20 members must be inde-
pendent office holders, with at least 6 of them  
being shareholder representatives. 
— At least one member of the Supervisory Board 
must meet the requirements for being appointed 
chairperson of the Audit Committee. Pursuant to 
the Code of Procedure of the Audit Committee,  
the committee chairperson must be independent 
and possess professional expertise in the areas of 
accounting and auditing of annual financial state-
ments, as well as internal control measures (finan-
cial expert). The other committee members should 
possess adequate professional expertise and expe-
rience in these areas. Ideally, one member of the 
Audit Committee should have special expertise in 
the field of compliance. 
— To prevent potential conflicts of interest, members 
of the Supervisory Board of the company must not 
assume board functions, consulting tasks or mem-
berships on the supervisory boards of German or 
international, direct and material competitors. 
— The ordinary maximum office term for members  
of the Supervisory Board is 10 years. The ordinary 
office term for shareholder representatives appointed 
to the Supervisory Board is 3 years. The Super-
visory Board determines exceptions from the  
ordinary criteria at its own dutiful discretion on a 
case-by-case basis. 
— As a general rule, only candidates who are not 
older than 65 years at the time of their initial elec-
tion should be proposed for their first election to 
the Supervisory Board. As a general rule, only  
candidates who are not older than 71 years at the 
time of their election should be proposed for being 
elected a member of the Supervisory Board. The 
Supervisory Board determines exceptions from the 
ordinary criteria at its own dutiful discretion on a 
case-by-case basis.

METRO ANNUAL REPORT 2017/18 
32 
Corporate Governance 
 
Corporate Governance Report 
The current Supervisory Board members represent a 
balanced composition: All members of the Supervisory 
Board contribute their manifold specific expertise to 
the work in the committees. They complement each 
other with regard to their age, (educational and pro-
fessional) backgrounds, experience and skills. Several 
members of the Supervisory Board have international 
expertise and/or experience. The Supervisory Board 
currently includes 5 female office holders on the part 
of the employee representatives and 4 female office-
holders on the part of the shareholder representatives 
(as of: November 2018). The current composition of 
the Supervisory Board also satisfies the objective in 
terms of the number of independent members of the 
Supervisory Board and shareholder representatives. 
The objectives in terms of the chairperson and the 
members of the Audit Committee have also been 
satisfied. This committee’s independent Chairman is 
Prof. Dr Edgar Ernst. None of the members of the 
Supervisory Board of METRO AG holds an office in a 
corporate body of or an advisory function for a sub-
stantial direct competitor, neither is any of them a 
member of such a company’s supervisory board. The 
ordinary maximum term, the ordinary term of office 
for shareholder representatives and the ordinary re-
tirement age are stipulated in the Code of Procedure 
of the Supervisory Board. Currently, due to the transi-
tion of the remaining office terms at the former  
METRO AG (now: CECONOMY AG), 3 shareholder 
representatives have been appointed for more than  
3 years. To improve the staggered arrangement of  
the terms of office, 3 members representing the share-
holders were appointed for a limited term of only  
2 years. No member of the Supervisory Board has 
reached the ordinary maximum office term. 1 current 
member of the Supervisory Board, who was a member 
of the Supervisory Board of the former METRO AG, was 
older than 65 years of age, namely 71 years of age, at 
the time of his (initial) election to the Supervisory Board 
of the new METRO AG; he had not reached the ordinary 
retirement age at the time of his initial election to the 
Supervisory Board of the former METRO AG.  
The Supervisory Board resolved for the overall corpo-
rate body to possess the following expertise in the 
sense of a profile of expertise: 
— Commercial expertise 
— Expertise/experience in accounting, auditing  
of annual financial statements, internal control  
processes  
— Expertise in the area of compliance 
— Expertise in the area of mergers and acquisitions 
— Expertise in the area of digitalisation/technology 
— International experience/expertise, particularly in 
Eastern Europe and Asia 
— Expertise in the area of sustainability 
— Expertise in logistics, in particular in the field  
of supply chain logistics 
— Marketing expertise  
— Human resources expertise  
— Experience in managing a company  
The current composition of the Supervisory Board 
delivers the desired profile of expertise. 
Independence of shareholder representatives 
appointed to the Supervisory Board 
As stipulated in Section 5.4.1 of the German Corporate 
Governance Code, the corporate governance report 
should also set out the Supervisory Board’s opinion 
concerning a reasonable number of independent 
members on the part of the shareholders and disclose 
the names of these members. The Supervisory Board 
holds its objective of requiring at least 6 members of 
the Supervisory Board to be independent shareholder 
representatives to be a reasonable arrangement.  
As of the date of this report, all shareholder repre-
sentatives are independent in the meaning of Section 
5.4.2 of the German Corporate Governance Code.  
The members are: Jürgen B. Steinemann, Herbert 
Bolliger, Gwyn Burr, Prof. Dr Edgar Ernst, Dr Florian 
Funck, Peter Küpfer, Dr Fredy Raas, Eva-Lotta 
Sjöstedt, Dr Liliana Solomon and Alexandra Soto.

METRO ANNUAL REPORT 2017/18 
33
Corporate Governance 
 
Corporate Governance Report 
Disclosure of individual attendance at meetings  
The individual attendance of members of the Super-
visory Board at meetings of the Supervisory Board 
and its committees is disclosed in the following: 
DISCLOSURE OF INDIVIDUAL ATTENDANCE AT MEETINGS1 
 
Supervisory Board 
Meeting 
attendance
 
Attendance in %
Jürgen B. Steinemann, 
Chairman 
9/9
 
100
Werner Klockhaus,  
Vice Chairman 
9/9
 
100
Stefanie Blaser  
(since 16/2/2018) 
6/6
 
100
Herbert Bolliger  
(since 16/2/2018) 
4/6
 
67
Gwyn Burr 
7/9
 
78
Thomas Dommel 
9/9
 
100
Prof. Dr Edgar Ernst 
8/9
 
89
Dr Florian Funck 
8/9
 
89
Michael Heider 
9/9
 
100
Andreas Herwarth  
(until 16/2/2018) 
3/3
 
100
Peter Küpfer 
9/9
 
100
Susanne Meister 
9/9
 
100
Dr Angela Pilkmann 
9/9
 
100
Mattheus P. M. (Theo)  
de Raad (until 16/2/2018) 
3/3
 
100
Dr Fredy Raas 
9/9
 
100
Xaver Schiller 
7/9
 
78
Eva-Lotta Sjöstedt 
9/9
 
100
Dr Liliana Solomon 
7/9
 
78
Alexandra Soto 
8/9
 
89
Angelika Will 
9/9
 
100
Manfred Wirsch 
7/9
 
78
Silke Zimmer 
9/9
 
100
Total 
 
93
 
 
 
Presidential Committee 
Meeting 
attendance
 
Attendance in %
Jürgen B. Steinemann, 
Chairman 
5/5
 
100
Werner Klockhaus, Vice 
Chairman 
5/5
 
100
Xaver Schiller  
4/5
 
80
Dr Liliana Solomon 
5/5
 
100
Total 
 
95
 
  
  
 
 
 
Audit Committee 
Meeting 
attendance
 
Attendance in %
Prof. Dr Edgar Ernst, 
Chairman 
6/6
 
100
Werner Klockhaus,  
Vice Chairman 
6/6
 
100
Thomas Dommel  
(since 16/2/2018) 
3/3
 
100
Dr Florian Funck 
6/6
 
100
Andreas Herwarth  
(until 16/2/2018) 
3/3
 
100
Dr Fredy Raas 
6/6
 
100
Xaver Schiller 
4/6
 
67
Total 
 
81
 
 
  
Nomination Committee 
Meeting 
attendance
 
Attendance in %
Jürgen B. Steinemann, 
Chairman 
2/2
 
100
Gwyn Burr 
2/2
 
100
Prof. Dr Edgar Ernst 
2/2
 
100
Total 
 
100
 
1 Only includes meetings held during a member’s term on the Supervisory Board or a committee.  
 
Compliance and risk management  
METRO uses a group-wide compliance management 
system to ensure compliance with laws in the coun-
tries it conducts business in and a self-imposed Code 
of Conduct in the areas of antitrust law, prevention of 
corruption and money laundering, conflicts of interest, 
fraud/embezzlement as well as the regulation of 
downstream kickback benefits in purchasing.  
METRO’s risk management forms another integral 
component of our value-based management. This 
takes the form of a systematic, group-wide process 
that assists the management team – in accordance 
with the principles of good corporate governance – in 
responsibly identifying, assessing and managing risks 
and opportunities. As such, risk and opportunity man-
agement form a unity. 
— For more information about the subjects of compliance 
and risk management, see the combined management 
report – risk and opportunity report – as well as the  
declaration on corporate management pursuant to § 289f 
and § 315d of the German Commercial Code (HGB).

METRO ANNUAL REPORT 2017/18 
34 
Corporate Governance 
 
Corporate Governance Report 
Transparent corporate management 
Transparency is an essential element of good corpor-
ate governance. The website www.metroag.de is an 
important source of information for the shareholders 
of METRO AG, the capital market and the general pub-
lic. In addition to a variety of information on METRO, 
the site offers our shareholders, all actors on the cap-
ital markets and interested members of the public  
the opportunity to download the financial reports of 
METRO AG, investor news, ad hoc statements and 
other legal notices. METRO AG publishes the dates for 
the most important recurring publications and events 
(announcements of sales results, reports as well as 
quarterly statements and half-year reports, annual  
results press conferences and annual general meetings)  
in a financial calendar on its website. The timing of  
the publication allows for a reasonable lead time. The 
website also offers information published at the occa-
sion of current events, such as the annual press con-
ference, roadshows, investor conferences and 
information events.  
Transactions by executives for own account  
Pursuant to Article 19 of the Regulation (EU) No. 596/2014 
of the European Parliament and of the Council of  
16 April 2014 on market abuse (market abuse regula-
tion), members of the Management and Supervisory 
Boards, in their capacity as persons discharging man-
agerial responsibilities, must inform METRO AG of  
any transactions involving their own METRO shares, 
METRO bonds or related financial instruments. This 
notification requirement also applies to persons closely 
associated with members of these corporate bodies.  
— Notifications concerning transactions by executives  
for own account during financial year 2017/18 have  
been published on the website www.metroag.de in  
the section investors – legal announcements.  
Annual General Meeting 
The shareholders of METRO AG exercise their rights 
and potential voting rights at the Annual General 
Meeting. To help shareholders exercise their individual 
rights at the Annual General Meeting, METRO AG 
makes the meeting agenda as well as other docu-
ments and information for each Annual General Meet-
ing available for download at www.metroag.de/en.  
Shareholders may elect to exercise their voting 
rights at the Annual General Meeting in person or 
alternatively appoint a proxy of their choosing or a 
proxy of the Company who is bound by instructions 
(proxy voting). 
In the interest of shareholders, the chairperson of 
the Annual General Meeting, in most cases the chair-
person of the Supervisory Board, ensures that the 
Annual General Meeting is conducted efficiently and 
effectively. The objective is to conclude an ordinary 
METRO AG Annual General Meeting after no more 
than 4 to 6 hours.  
Audits 2017/18 
On 16 February 2018, the Annual General Meeting of 
METRO AG elected KPMG AG Wirtschaftsprüfungs-
gesellschaft (KPMG) as auditors for the financial 
statements and consolidated financial statements for 
financial year 2017/18.  
The Supervisory Board’s instructions to perform an 
audit of the annual financial statements considered 
the recommendations contained in Section 7.2 of the 
German Corporate Governance Code. 
Gereon Lurweg is the auditor for the financial 
statements and consolidated financial statements and 
the combined management report of METRO AG in 
2017/18. 
— Comprehensive details concerning the deliberations  
in the Audit Committee and the Supervisory Board  
with regard to certain aspects of the audit can be found 
in the report of the Supervisory Board.

37 
–
40
Goals and strategy
37 
METRO
38 
METRO WHOLESALE
39 
REAL
40 
OTHERS
GOA
S 
A
D 
ST
AT
GY

METRO ANNUAL REPORT 2017/18 
Goals and strategy 
 
METRO 
37 
METRO 
As a leading international specialist in the food whole-
sale and retail industry, METRO sees itself as a respon-
sible partner along the entire value chain committed 
to its customers’ success and satisfaction every day. 
Our strategy aims to achieve long-term stable growth 
in like-for-like sales and earnings. To ensure that we 
remain relevant to our customers and successful in the 
long term, we have set ourselves the goal of differen-
tiating us from our competitors in the food and hospi-
tality industries by continuing to develop our business 
model and by strengthening our focus on the custom-
er. Our sustainability principles play a major role in this 
endeavour. We do not limit our actions to merely en-
suring the transactional satisfaction of our customers 
while they are shopping: to intensify all aspects of our 
relationship with our customers, we continue to ex-
pand our range of comprehensive services designed 
to assist our customers in achieving success. The  
opportunities that emerge from the digitalisation also 
play a major role. 
Customer focus and customer satisfaction are es-
sential elements of our strategy. The Net Promoter 
Score has now been introduced across all stores and 
allows us to continuously measure and resolutely im-
prove our customers’ satisfaction. Besides the purely 
quantitative measurement of the current satisfaction 
values, suggestions from customers can be systematic-
ally recorded and evaluated. These data can be used 
to identify additional potentials for improving the shop-
ping experience which are then reflected in, among 
other things, the design of our stores or assortments.  
In order to exploit the opportunities derived from 
the progressing digitalisation and to realise synergies, 
we are bundling our digitalisation initiatives with  
the Hospitality Digital business unit and the service 
company METRO-NOM. Hospitality Digital develops 
customer- and user-oriented solutions, for example 
systems that improve the payment process, online 
ordering systems or other digital solutions especially 
for the catering sector, such as the creation and oper-
ation of internet presences. In addition, innovative 
start-up companies are supported by initiatives like 
the METRO Accelerator powered by Techstars. 
METRO-NOM also drives the development and  
internal deployment of digital solutions in order to 
further increase the efficiency of our organisation.  
The implementation of cost-saving measures also 
continues. These include procurement cooperation 
projects with other international retailers which increase 
METRO’s competitiveness while creating added value 
for its customers. One example of this is the new pro-
curement alliance Horizon International which includes 
METRO, Auchan Retail, Dia Group and Casino Group. 
Our reinforced sustainability approach METRO 
SUSTAINABLE emphasises the fact that sustainability 
at METRO means more than merely focusing on envir-
onmental and social issues. METRO SUSTAINABLE  
is a fixed component of our corporate strategy and 
shows how we aspire to do business as a responsible 
company. It encompasses every single aspect of our 
actions. In concrete terms, this means: we want to 
make our product range more sustainable and reduce 
our economic footprint, for example by implementing 
energy-efficient solutions. Our actions are guided by 
the Sustainable Development Goals (SDGs) postulated 
by the United Nations. Contributing to their achieve-
ment is a firm commitment of our core business. 
— More information about our sustainability strategy  
can be found in the combined management report –  
2 principles of the group - 2.4 combined non-financial 
statement by METRO AG, as well as in the Corporate  
Responsibility Report 2017/18. 
METRO is shaped by our more than 150,000 highly 
motivated employees worldwide. They fill our open 
culture with life and combine passion, a partnership 
approach and outstanding performance in our core 
business. With courage for new ideas they challenge  
the status quo time and again and drive our business 
forward.  
METRO essentially consists of the METRO Wholesale 
and Real sales lines, which are in charge of our  
operational business, and the Others segment, which 
includes the Hospitality Digital business unit, the real 
estate company METRO PROPERTIES and a number 
of service companies, among others. The METRO 
Wholesale sales line comprises the wholesale stores 
operated under the METRO and MAKRO brands, as 
well as the delivery sales. It primarily targets business 
customers (B2B) and is characterised by trusting rela-
tionships with more than 24 million customers across 
35 countries. The Real sales line focuses on the retail 
industry in Germany and thus on end consumers 
(B2C). Real is one of the leading hypermarket com-
panies in Germany. The decision of the METRO AG 
Management Board to initiate the sales process for the 
hypermarket business and focus its operative activities 
on wholesale means that the Real sales line no longer 
constitutes a strategic activity in our portfolio.
 
GOALS AND STRATEGY

METRO ANNUAL REPORT 2017/18 
Goals and strategy 
 
METRO Wholesale 
38 
METRO WHOLESALE 
As an omnichannel operator, METRO Wholesale com-
bines a wide network of modern wholesale stores with 
a delivery service (Food Service Distribution, FSD)  
and digital services, such as an online ordering system. 
Our customers can choose between shopping in a 
store,having their products delivered to them, or – for 
example in France – they may take advantage of the 
click-and-collect online shopping service which allows 
them to pick up their pre-packed products directly 
from their preferred store. Our wholesale business is 
distinguished by a strong international presence: 
METRO Wholesale can be found in 35 countries across 
Europe and Asia. We operate 769 METRO and MAKRO 
wholesale stores with a comprehensive delivery ser-
vice in 25 countries. In the remaining 10 countries, the 
business is limited to delivery services. In the FSD area, 
our dedicated delivery specialists Classic Fine Foods, 
Pro à Pro and Rungis Express make a substantial  
contribution to the success of our business. METRO 
Wholesale’s workforce stood at more than 100,000 
employees in financial year 2017/18. 
Focus on customer benefits 
The objective of METRO Wholesale is to strengthen 
the competitiveness of its customers – not only to 
make them and their business model more successful, 
but also with the aim of increasing customer retention 
over the long term.  
Most of our wholesale customers are small and 
medium-sized companies and sole traders. We want 
to assist them in better mastering their business chal-
lenges by supplying long-term solutions with superior 
added economic value. To achieve this, we leverage 
our knowledge, our resources and our global presence. 
We consistently align our business model to customer 
value and strengthen our local organisations to estab-
lish a closer relationship with our B2B customers.  
Our B2B customers can be broken down into 
3 core customer groups: HoReCa, Traders and SCO 
(service companies and offices). HoReCa includes 
hotels and hospitality businesses, restaurants, bars 
and cafés, as well as catering companies and canteen 
operators. The Traders section includes small grocery 
stores, kiosks, street food retailers, petrol stations and 
wholesalers. SCO are professional service companies 
and organisations, such as offices and institutions.  
Our markets are divided into core customer groups 
and regions. Depending on our main customer focus  
in the respective countries, we offer a tailored product 
range that matches the specific preferences and  
requirements of our customers. We increase the satis-
faction of our customers by gearing our products, 
services and sales channels to the local requirements. 
This allows us to exploit the local market opportunities 
in the best possible way. 
Our interpretation of customer orientation and the 
way we bring it to life is exemplified in the new METRO 
Wholesale brand campaign ‘We don’t work for METRO. 
We work for ...’ and the closely related METRO Own 
Business Day. The Own Business Day was established 
to assist our customers in what matters most for them: 
the marketing of their own business. Our website  
allows business owners to publish their campaign offers 
to acquire new customers and advance their business. 
The new brand campaign also puts our customers 
centre stage and illustrates how METRO assists them 
in their daily business operations. 
Value enhancers for the business 
Based on our business model, our local companies 
develop and implement their individual value creation 
plans that enable transformation and growth accord-
ing to local conditions. The central organisation sup-
ports local value creation and actively manages the 
portfolio. Based on the country-specific and locally 
generated value creation plans, we have identified  
5 major strategic value enhancers for our wholesale 
business (see also the wholesale strategy chart): 
— We exploit the full potential of our markets across 
all customer groups. We accomplish this by distin-
guishing the wholesale stores, for example by  
designing stores that are specifically tailored to  
the different customer groups and their respective 
needs. Good examples are the Compact Store con-
cept in France or the revamping of our wholesale 
stores in Germany, for example in Düsseldorf and 
Krefeld. Moreover, we are replacing our centrally 
managed, unified growth model, which is based  
on the opening of new wholesale stores, with a  
distinguished, sustainable model focused on like-
for-like sales growth. 
— We continue to expand our Food Service Distribu-
tion and the delivery business because they repre-
sent an attractive business that is complementary 
to our core business in the wholesale stores.  
Delivery is an important procurement channel for 
HoReCa customers in most countries. By expand-
ing our delivery services, we strengthen relation-
ships with these customers and their commitment 
to us. 
— We are expanding the trader franchising model in 
countries such as Poland, Romania and especially 
Russia. METRO Wholesale operates in a similar way 
as a franchisor with its own-brand identity. It pro-
vides products and offers additional services to the 
participating independent grocery stores, such as 
training courses and assortment consultancy. The 
expansion of the model helps open up new growth 
opportunities in relevant markets. 
— We are increasing operational capacity to reduce 
our cost base. We aim at reducing our procurement 
costs and in turn improve our competitiveness by 
conducting cooperation projects with international 
retail and wholesale companies, such as the inter-

METRO ANNUAL REPORT 2017/18 
Goals and strategy 
 
METRO Wholesale / Real 
39 
national procurement alliance Horizon International 
with Auchan Retail, Dia Group and Casino Group as 
partners. 
— We share our know-how with our customers by 
offering them training courses, tutorials and pro-
fessional advice. We develop digital solutions and 
applications for our customers, such as our free 
service for creating a website, online reservation 
systems for hospitality operators or efficient per-
sonnel management systems. These activities allow 
us to assist our customers in their business pro-
cesses and to make their relationship with us more 
efficient. 
 
 
REAL 
With more than 34,000 employees and 279 stores, 
Real is one of Germany’s leading hypermarket oper-
ators. Real stores offer a wide assortment that includes 
both food and several non-food product categories.  
Real’s declared goal is to sustainably increase its 
customer relevance in the coming years. Real is pursu-
ing the strategic repositioning of its business model  
with full force. One key area of the overall strategy for 
Real is the continued development of promising sales 
channels, for example the online marketplace and the 
click-and-collect service. Another key area is the  
extensive optimisation of Real’s existing store network. 
 
Strategic priorities  
— Customer orientation: The product range and 
services offered by Real are systematically geared 
to the preferences and requirements of its custom-
ers. This is accompanied by the modernisation and 
redevelopment of the hypermarket stores with the 
aim of increasing the productivity per square  
metre. This also includes Real continuing to drive 
the implementation of the ‘Markthalle’-concept 
which is a hybrid-store concept that combines cus-
tomer focus with the benefits of large floor plans 
and is geared to the specific requirements of retail 
customers today and in the future. The vision is  
to present customers with a unique shopping ex-
perience. This is why the successful concept imple-
mented at Markthalle Krefeld will be rolled out in 
additional stores, for example the completely re-
developed Markthalle Braunschweig which reopened 
in October 2018. The concept takes into account 
both emotional and rational customer wishes and 
is very well received by the customers.

METRO ANNUAL REPORT 2017/18 
Goals and strategy 
 
Real / Others 
40 
— Selected investments: Real is making selected 
investments to establish itself as an omnichannel 
retailer, strengthen its ultra-fresh categories and 
further expand its procurement partnerships and 
joint venture projects. One of them is the RTG  
Retail Trade Group which is utilised by Real, one  
of the project’s founding members, to significantly 
improve its competitiveness. Tegut became the  
7th member of RTG in June 2018. 
— Omnichannel presence: Following the integration 
of Hitmeister, Real.de has developed into a suc-
cessful online marketplace that offers its customers 
a huge selection from among more than 12 million 
products. The platform can also be used by exter-
nal retailers to market their products online.  
Customers also have the opportunity to use the 
click-and-collect service at Real’s online grocery 
store and pick up their online purchases from one 
of 16 stores. Customers in 15 cities can also have 
their shopping delivered directly to their homes. 
This prepares the company for an expected growth 
in demand concerning the e-commerce segment.  
— Increase of cost efficiency: Real has streamlined 
its management structures, utilised synergies with-
in the group and repositioned its core functions. 
The company is also restructuring its administration 
and relocating certain functions to concentrate 
them at the head office in Düsseldorf. The object-
ive is to establish structures that are efficient and 
offer good working conditions, including competi-
tive salary structures. In mid-2018, Real created the 
prerequisites for a new collective bargaining part-
nership outside the HDE structures (association  
of German retailers) by terminating the future col-
lective agreement concluded in 2016 with Verdi. 
The effect of spinning off the business of Real  
SB-Warenhaus GmbH to real GmbH is that new 
collective agreements negotiated between DHV – 
Die Berufsgewerkschaft e. V. and AHD – Unterneh-
mensvereinigung für Arbeitsbedingungen im  
Handel und Dienstleistungsgewerbe e. V. are now  
in place. This strengthens the future viability of Real’s 
business model. 
OTHERS 
The Others segment comprises, among others, the 
centralised activities of METRO, the procurement  
organisation in Hong Kong, which also operates on 
behalf of third parties, as well as logistics services and 
real estate activities of METRO PROPERTIES which  
are not attributed to any sales lines. These include, for 
example, speciality stores, warehouses and head offices. 
METRO owns an extensive portfolio of real estate 
assets comprising more than 1,000 operating sites, 
279 of which form part of the Real’s hypermarket 
business. METRO PROPERTIES concentrates the real 
estate know-how of METRO and has established itself 
on the market as a reputable real estate company.  
The real estate segment makes a sustainable and sig-
nificant contribution to the overall business success  
of METRO.  
METRO PROPERTIES operates, develops and mar-
kets an international portfolio of properties. Its activ- 
ities cover the entire life cycle of METRO’s real estate 
assets: from future-oriented investments, economic 
property operation/maintenance to sustainable and 
creative development of the real estate assets as well 
as the realisation of capital gains when disposing of a 
real estate asset at the right point in time. In the report-
ing year, METRO PROPERTIES sold an administration 
building at Albertussee in Düsseldorf which had been 
continuously upgraded over time to a project developer 
who converted the office areas into residential space. 
Other successful development projects and sale-and-
leaseback transactions include projects in Spain and 
other European countries. METRO PROPERTIES also 
created post-urbanisation concepts for sites in India 
and China. 
METRO PROPERTIES is continuously developing 
the property portfolio of METRO. METRO also benefits 
of opportunities for bolt-on businesses, such as  
sub-licensing of its comprehensive market expertise, 
and the excellent reputation of METRO PROPERTIES.

43 
– 
120
Combined management report
43 
1  OVERVIEW OF 
FINANCIAL YEAR 2017/18 
AND OUTLOOK
44 
2  PRINCIPLES OF 
THE GROUP
44  
2.1 Group business model
47  
2.2 Management system
49  
2.3 Innovation management
52 
2.4  Combined non-fi nancial statement 
of METRO AG
60  
2.5 Employees
67 
2.6  Characteristics of the accounting-
related internal control and risk 
 management system and explanatory 
report of the Management Board
70   3 ECONOMIC REPORT
70  
3.1  Macroeconomic and industry-
specifi c conditions
72  
3.2 Asset, fi nancial and earnings position
72  
 
Financial and asset position
79  
 
Earnings position
86  4  REPORT ON EVENTS 
AFTER THE CLOSING 
DATE AND OUTLOOK
88   5  RISK AND 
OPPORTUNITY REPORT
98   6  REMUNERATION  REPORT
112   7  TAKEOVER-RELATED 
DISCLOSURES 
118   8  SUPPLEMENTARY NOTES 
FOR METRO AG 
(PURSUANT TO THE 
GERMAN COMMERCIAL 
CODE)
CO
BINED
MANAG
M
NT
EPORT

METRO ANNUAL REPORT 2017/18 
43
Combined management report 
 
1 Overview of financial year 2017/18 and outlook 
1 OVERVIEW OF FINANCIAL  
YEAR 2017/18 AND OUTLOOK 
Earnings position 
The following section will report on continuing and 
discontinued operations. 
— Like-for-like sales increased by 0.7%;  
reported sales declined by –1.6% to  
€36.5 billion (in local currency: 0.7%) 
— EBITDA excluding earnings contributions  
from real estate transactions amounted to 
€1,396 million (2016/17: €1,436 million);  
reported EBITDA reached €1,525 million  
(2016/17: €1,611 million) 
— Profit or loss for the period amounted  
to €348 million (2016/17: €345 million) 
— Earnings per share: €0.95 (2016/17: €0.89) 
Financial and asset position  
— Net debt remained at the previous year’s level  
of €3,2 billion € (30.9.2017: €3,1 billion)  
— Investments amounted to €0.8 billion  
(2016/17: €0.8 billion) 
— Cash flow from operating activities reached  
€0.9 billion (2016/17: €1.0 billion) 
— Total assets amounted to €15.2 billion  
(30/9/2017: €15.8 billion) 
— Equity: €3.1 billion (30/9/2017: €3.2 billion);  
equity ratio: 20.5% (30/9/2017: 20.3%) 
— Long-term rating: BBB– (Standard & Poor’s) 
Outlook of METRO 
The outlook is based on the assumptions of stable 
exchange rates and no further adjustments to the 
portfolio and is given only for the continued oper-
ations of METRO. Our reporting also assumes a  
continuously complex geopolitical situation.  
Sales 
Despite the persistently challenging economic envi-
ronment in particular in Russia, METRO expects to  
see an increase in overall sales in the range of 1–3%  
for financial year 2018/19, mainly driven by Eastern 
Europe (excluding Russia) and Asia. For Russia, a 
measurable trend improvement is expected.  
METRO equally expects an increase in like-for-like 
sales in the range of 1–3% in financial year 2018/19, 
also mainly driven by Eastern Europe (excluding  
Russia) and Asia. For Russia, a measurable trend  
improvement is expected.  
Earnings 
EBITDA excluding earnings contributions from real 
estate transactions is expected to decrease by around 
2–6% compared to financial year 2017/18 (€1,242 mil-
lion), particularly driven by an expected double-digit 
percentage decrease in the segment Others (2017/18: 
€–129 million) as well as by an expected mid- to  
high-single-digit percentage decrease in the segment  
Russia. For all other segments an EBITDA around pre-
vious-year level is expected.  
COMBINED  
MANAGEMENT REPORT

METRO ANNUAL REPORT 2017/18 
44 
Combined management report 
 
2 Principles of the group 
2 PRINCIPLES OF THE GROUP 
2.1 GROUP BUSINESS MODEL 
METRO is a leading international specialist company  
in the wholesale and modern food retail sector. The 
group is headed by METRO AG, which acts as the 
central management holding company. It performs 
group management functions, particularly in the areas 
of finance, controlling, legal and compliance. Central 
management and administrative functions for METRO 
Wholesale are anchored within METRO AG. 
The group essentially consists of the 2 sales lines 
METRO Wholesale and Real. The wholesale company 
METRO Wholesale operates more than 769 wholesale 
stores across 25 countries. The delivery business 
(Food Service Distribution, FSD) is also part of this 
sales line, with companies like METRO Delivery Service 
and the delivery specialists Classic Fine Foods, Pro à 
Pro and Rungis Express. The retail company Real  
constitutes the second sales line of the group with  
279 hypermarkets across Germany. Real forms the  
principal element of the discontinued business segment  
in the context of the decision of the Management Board 
of METRO AG to dispose of the hypermarket business. 
The group has pooled its digitalisation initiatives  
in the Others segment. This primarily refers to the 
activities of the Hospitality Digital (formerly HoReCa 
Digital) business unit, which was established in 2015. 
The unit develops digital solutions for customers in 
the hospitality industry and creates interfaces for  
the digital products conventionally used by wholesale 
traders. 
The Others segment further includes the service 
companies METRO PROPERTIES, METRO LOGISTICS, 
METRO-NOM (formerly METRO SYSTEMS), METRO 
ADVERTISING and METRO SOURCING. These com-
panies provide real estate, logistics, IT, advertising and 
procurement services within the group.

METRO ANNUAL REPORT 2017/18 
45
Combined management report 
 
2 Principles of the group 
 
 
Overview of METRO 
METRO Wholesale 
As an omnichannel operator, METRO Wholesale combines a wide network of  
modern wholesale stores with a wide-ranging delivery service (FSD). It is an interna-
tionally leading player in this field. With its segments METRO Wholesale Germany, 
METRO Wholesale Western Europe (excluding Germany), METRO Wholesale Russia, 
METRO Wholesale Eastern Europe (excluding Russia) and METRO Wholesale Asia, 
METRO Wholesale is active in 35 countries. It operates 769 wholesale stores in  
Europe and Asia under its brands METRO and MAKRO. Its more than 24 million 
commercial customers worldwide are mainly hotels, restaurants, catering companies, 
independent retailers, as well as service providers and authorities, to which METRO 
Wholesale offers a portfolio of products and solutions that has been tailored to  
their specific requirements.  
In the area of Food Service Distribution (FSD), METRO Wholesale maintains a 
strong international presence with its METRO Delivery Service and the specialist 
companies Classic Fine Foods, Pro à Pro and Rungis Express. Classic Fine Foods is 
an Asian delivery specialist for a wide range of deli food. The company’s customers 
include 5-star hotels and upmarket restaurants in Asia and the Middle East. Pro à Pro 
delivers products to commercial customers across France, in particular in the field  
of corporate catering, canteens and system catering. Rungis Express is an important 
upmarket food delivery company in Germany that mainly caters to HoReCa customers. 
 
Real 
The segment Real is a leading German operator of food retail hypermarkets with 
currently 279 outlets. These hypermarkets are characterised by a large product 
range of up to 80,000 individual products – including many high-quality, fresh-food 
products and an attractive range of non-food products. In addition to its store-based 
retail operations, Real also pursues online sales. Real.de offers customers a selection 
of more than 12 million products. 
 
Others 
The Others segment includes the Hospitality Digital business unit and the METRO 
PROPERTIES service company among others. Hospitality Digital pools the group’s 
digitalisation efforts for customers in the hospitality industry. These efforts in-
clude the development of digital solutions, which are developed to meet the 
needs of the hospitality industry, and the promotion of innovative, progressive 
foods.  
With its real estate expertise, METRO PROPERTIES has established itself on 
the market as a reputable real estate company. It develops, operates and markets 
an international portfolio. While its wholesale and retail properties are part of the 
operating segments, METRO also benefits from opportunities relating to bolt-on 
businesses, such as sub-licensing of its comprehensive market expertise, and the 
excellent reputation of METRO PROPERTIES. The real estate segment makes a 
sustainable and significant contribution to the overall business success of METRO.

METRO ANNUAL REPORT 2017/18 
46 
Combined management report 
 
2 Principles of the group 
   
  
   
  
 
STORE NETWORK BY COUNTRIES AND SEGMENTS 
as of the closing date of 30/9 
METRO 
 
New store openings   
Closures 
 
METRO 
  
  
2017  
   
  
2018
Germany 
  
104  
0   
1  
103 
Austria 
  
12  
0   
0  
12 
Belgium 
  
16  
1   
0  
17 
France 
  
97  
1   
0  
98 
Italy 
  
50  
0   
1  
49 
Netherlands 
  
17  
0   
0  
17 
Portugal 
  
10  
0   
0  
10 
Spain 
  
37  
0   
0  
37 
Western Europe (excl. Germany) 
  
239  
2   
1  
240 
Russia 
  
89  
4   
0  
93 
Bulgaria 
  
11  
0   
0  
11 
Croatia 
  
9  
0   
0  
9 
Czech Republic 
  
13  
0   
0  
13 
Hungary 
  
13  
0   
0  
13 
Kazakhstan 
  
6  
0   
0  
6 
Moldova 
  
3  
0   
0  
3 
Poland 
  
30  
0   
1  
29 
Romania 
  
30  
0   
0  
30 
Serbia 
  
9  
0   
0  
9 
Slovakia 
  
6  
0   
0  
6 
Turkey 
  
33  
0   
0  
33 
Ukraine 
  
31  
0   
0  
31 
Eastern Europe (excl. Russia) 
  
194  
0   
1  
193 
China 
  
90  
5   
1  
94 
India 
  
24  
3   
0  
27 
Japan 
  
10  
0   
0  
10 
Pakistan 
  
9  
0   
0  
9 
Asia 
  
133  
8   
1  
140 
International 
  
655  
14   
3  
666 
METRO Wholesale1 
  
759  
14   
4  
769 
Real (Germany) 
  
282  
0   
3  
279 
METRO 
  
1,041  
14   
7  
1,048 
1 The locations and countries of the Classic Fine Foods group and those of Pro à Pro and Rungis Express are not shown in the table  
as they relate to distribution centres and warehouses whereas this table only covers sales locations.

METRO ANNUAL REPORT 2017/18 
47
Combined management report 
 
2 Principles of the group 
2.2 MANAGEMENT SYSTEM 
METRO’s strategic focus on creating added value  
for our customers and the objective of sustainably 
increasing the value of our company are also reflected 
in our internal management system. We use the  
key figures described in the following for planning,  
management and control of our business activities. 
Selected key figures used in our management system 
(like-for-like sales growth, EBITDA and return on  
capital employed) form the basis of the Management 
Board’s variable remuneration. 
The focus of the group’s operational management 
is on those value drivers that have a direct effect on 
the medium- and long-term corporate objectives and 
are directly related to our strategy. 
 
 
 
 
The most important key performance indicators for 
METRO are exchange rate-adjusted sales growth (as  
a total figure and a like-for-like figure) and EBITDA 
excluding earnings contributions from real estate 
transactions. Our management system also makes use 
of other significant performance indicators, which are 
explained in the following as well. 
Key performance indicators describing  
the earnings position 
The first of our most important key performance  
indicator for our operational business is the exchange 
rate-adjusted sales growth (respectively as a total 
figure and a like-for-like figure). The like-for-like sales 
growth represents the sales growth measured in local 
currency generated in a comparable area, or in relation 
to a comparable panel of locations or merchandising 
concepts, such as online shopping and delivery. This 
figure only includes sales of locations with a comparable 
history of at least 1 year. It follows that revenues  
generated by locations that were opened, closed or  
affected by significant remodelling works or other  
conceptual changes in the reporting year or the com-
parison year are excluded from consideration. 
The second of our most important key performance 
indicator in addition to sales growth was introduced 
in financial year 2017/18 and is EBITDA excluding 
earnings contributions from real estate transactions. 
This key performance indicator transparently reflects 
METRO’s operational performance. The development 
of real estate assets and the realisation of divestment 
income will continue to be a central component of the 
group’s real estate strategy.  
Other important key performance indicators of 
METRO are profit or loss for the period and earnings 
per share. These key performance indicators ensure 
that the tax result and the net financial result are taken 
into account in addition to the operational result and 
thereby allow for a holistic assessment of METRO’s earn-
ings position from the perspective of the shareholders. 
— For more information about these performance metrics, 
see chapter 3 economic report – 3.2 asset, financial  
and earnings position – earnings position.

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Key performance indicators relating  
to the financial and asset position 
The management of METRO’s financial and asset  
position aims at sustainably assuring liquidity and 
arranging cost-effective sources for the financing 
requirements of our subsidiaries.  
— For more information about the financial and asset posi-
tion, see chapter 3 economic report – 3.2 asset, financial 
and earnings position – financial and asset position. 
The key performance indicators used in this area also 
include investments, which are planned, reported and 
audited both in aggregate for the group as well as 
separately for the sales lines. Investments are defined 
as additions to non-current assets (excluding financial 
instruments and deferred tax assets).  
Another focal point in the area of the financial and 
asset position are regular analyses of the net working 
capital, which are carried out for the purpose of  
managing the operational business and capital deploy-
ment. Developments in net working capital over time 
result from changes in inventories, trade receivables 
and trade liabilities. Receivables due from suppliers 
are recognised in the items other financial and non-
financial assets. 
The net debt and the cash flow before financing 
activities are also used as key indicators in the man-
agement of METRO’s liquidity and capital structure. 
The net debt results from the balance of financial  
liabilities (including finance leases), cash or cash 
equivalents and short-term financial investments.  
METRO also analyses the free cash flow conversion  
to measure the group’s success in transforming the 
generated income into cash inflows. The free cash flow 
conversion is the ratio of the simplified free cash  
flow and reported EBITDA. The free cash flow for the 
purpose of determining the free cash flow conversion 
is defined as the reported EBITDA less investments 
(without finance leases renewals and mergers and 
acquisitions) +/– change in net working capital. 
Value-oriented key figures 
The assessment of the operational business continues 
to rely on the key figure return on capital employed 
(RoCE). This key figure measures the yield on the 
capital employed (RoCE = EBIT / average capital  
employed) in a certain period and also allows for an 
assessment of the performance of the group’s indi-
vidual segments.  
The resulting RoCE is then benchmarked against 
the respective segment-specific cost of capital before 
taxes, which represents a minimum yield on the em-
ployed capital at market rates and is based on capital 
market models.  
METRO also frequently uses value-oriented key 
figures to assess both prospective and past invest-
ments. These include the discounted cash flow method, 
economic value added (EVA) and other liquidity-
oriented key figures such as the amortisation period 
for investment decisions.

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2.3 INNOVATION MANAGEMENT  
METRO’s innovation management is aimed at devel-
oping solutions that make daily work and business 
processes more efficient and sustainable for both our 
customers and METRO’s operating business. To 
achieve this objective, Hospitality Digital (formerly 
HoReCa Digital), METRO-NOM and the Store Oper-
ations division at METRO AG have formed a close  
cooperation. 
Supporting the digitalisation efforts  
of our business customers 
Digital technologies have become an essential part of 
our daily lives consumers use their smartphones any-
where and any time to find shops or food outlets and 
to book a table at their preferred restaurant. While it  
is true that digitalisation has made an impact in the 
hospitality industry, many of our customers continue 
to lag behind in the digitalisation of their business 
models. This is the finding of a METRO survey that  
examined the needs of business owners from 10 coun-
tries. The survey found that around one third of  
respondents find it difficult to gain access to digital 
solutions, despite more than 80% of them considering 
these important for their business. METRO has acknow-
ledged the opportunities for growth associated with 
digitalisation and aspires to be a driving force behind 
the digital transformation of our customers. Hospitality 
Digital is, for example, developing solutions that allow 
hospitality operators to improve their digital presence 
without too much effort and technical knowledge. 
These solutions include, for example, an online booking 
tool and a toolkit for creating a website that runs  
on METRO servers. METRO customers can take  
advantage of these online tools free of charge. Web-
sites for more than 100,000 customers from 14 coun-
tries have already been created since the end of 2017.  
To identify effective and scalable digital solutions, 
these websites are tested by METRO in close co- 
operation with hospitality operators. The project  
METROpolitan Pilot saw more than 500 hospitality 
operators testing more than 100 restaurant-specific 
digital solutions in Berlin, Paris, Milan, Barcelona and 
Vienna, including solutions developed by Hospitality 
Digital and start-up partners. This included an analysis 
of the user-friendliness and the additional value of  
the solutions for the customers’ businesses. Our teams 
and the start-ups then used the findings to further 
develop and refine the solutions. Once the trial phase 
is concluded successfully, the solutions can be 
brought into strategic sales cooperations that will 
market them to a broader audience. 
Hospitality Digital and US company Techstars have 
teamed up for the METRO Accelerator programme 
which has been assisting international teams of entre-
preneurs in the development of digital solutions for 
the hospitality industry for around 4 years. The same 
service has been offered for the retail industry since 
2017. Around 50 start-ups have participated in these 
accelerator programmes so far. METRO’s own investor 
team LeadX Capital Partners has joined forces with 
other external investors to provide capital funding for 
promising start-up companies. 
Innovative technologies for a better 
shopping experience in our stores  
Digitalisation is increasingly affecting the shopping 
behaviour of customers in store-based retail. To 
achieve an optimised and more efficient shopping 
process for our consumers, METRO-NOM and the 
Store Operations division of METRO AG are working 
on the digitalisation of customer contact points. 
Saving time when doing grocery shopping is be-
coming increasingly important for our customers. This 
is why the METRO wholesale store in Nuremberg-Buch 
is trialling an in-store navigation app that can directly 
guide customers to the product they are looking for 
and improve the overall navigation within the store.  
New digital solutions, such as virtual and aug-
mented reality, offer the potential to actively involve  
HoReCa customers as early as the planning phase of 
innovative concepts. In France, for example, the devel-
opment of the new Compact Store concept allowed 
METRO to use virtual reality technology to better align 
the new wholesale stores to the needs of our custom-
ers. In financial year 2017/18, the fourth new METRO 
store was designed and opened with this technology 
in Carcassonne, France. 
Our customers also want to save time at the 
checkout. One of the MAKRO stores in the Czech 
Republic already offers a smart checkout solution to 
its customers. Customers can use the smartphone app 
to scan the products before placing them into their 
trolley, which is then weighed at the smart checkout 
register. The weight is then compared against the 
information stored in the app. If the data match up 
with this information, the customer can pay and save 
some time by not having to place all items on the 
register belt. 
A decision on whether the individual projects will 
be expanded to additional stores or other METRO 
countries will be made after thorough testing has been 
completed.

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Transformation to omnichannel wholesale 
The digital solution M-Shop is the cornerstone of our 
omnichannel strategy for wholesale trade. The online 
shop is an extension to both store-based retail and 
METRO Wholesale’s delivery business and allows our 
customers to combine our sales channels in the way 
that best suits them. The M-Shop features an intuitive 
product search engine and personalised product  
recommendations, which together ensure rapid order 
processing. 
Digital solutions also make work easier for our  
employees, who can more easily retrieve important 
information about our customers and their shopping 
behaviour. The sales force app SAM (Sales and More) 
consolidates information from the various internal 
customer management systems and ensures that all 
relevant customer data are available immediately 
when needed. Artificial intelligence and algorithms are 
used to analyse the past shopping behaviour of cus-
tomers and to forecast sales trends, which allows 
METRO to develop targeted offers that exactly match 
the needs of our business customers. The delivery 
then makes use of the driver app from METRO’s 
transport management. This app offers manifold sup-
port to our drivers – from optimised tour planning  
to scanning of delivery products and paperless order 
processing.

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NX-FOOD: the innovation hub  
for new food solutions 
Pressing issues such as the rapidly growing global popu-
lation, food wastage or humanity’s expected reaching 
of the limitations of conventional livestock farming 
present huge challenges for the entire food industry. 
METRO founded the NX-FOOD hub in March 2018 to 
overcome these challenges and develop sustainable 
food solutions as well as concepts for their implemen-
tation in the trade and hospitality industry. More than 
300 start-ups have already submitted their application 
via the platform. Their products are now being given  
a trial listing for around 3 months in Real as well as 
German and Austrian METRO stores, which will be con-
tinued permanently if successful. METRO Wholesale 
and Real are the first retailers in Germany to offer 
products made from insect protein on so-called start-
up shelves from NX-FOOD. NX-FOOD also cooperates 
with the airline Eurowings and Retail inMotion. Prod-
ucts from up to 4 start-ups will be featured in Euro-
wings’ magazine ‘Wings Bistro’ for a 3-month trial 
phase that started in August 2018, making them avail-
able to more than 2 million passengers. 
Knowledge gained from  
cooperation projects 
A continuous dialogue about trends and experiences 
is a crucial element for hospitality operators who want 
to ensure a satisfactory transfer of knowledge. This  
is why METRO cooperates with the German Institute 
of Food Technologies (DIL), the hotel school Ecole 
hôtelière de Lausanne (EHL), the WHU – Otto Beisheim 
School of Management and the Code University of 
Applied Sciences. These partnerships and the cooper-
ation projects with start-ups allow METRO to integrate 
existing networks and concentrate knowledge.

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52 
2.4 COMBINED NON-FINANCIAL 
STATEMENT OF METRO AG 
With this chapter, METRO AG fulfils its duty to produce 
a non-financial statement (NFS) for the parent com-
pany, pursuant to § 289b-e of the German Commercial 
Code, and a non-financial group statement, pursuant to 
§ 315b-c together with § 289c-e of the German Commer-
cial Code, in the form of a consolidated non-financial 
statement. As a separate chapter, this declaration con-
stitutes a part of the combined management report. 
Unless stated otherwise, the concepts described here 
apply to the entire group as well as the parent company. 
The NFS takes into account both the continuing oper-
ations and the discontinued operations of Real. The 
METRO AG Management Board is fully involved in all 
topics presented here and is regularly updated about 
their progress.  
The NFS is integrated in the combined manage-
ment report. It was produced in consideration of the 
GRI Sustainability Reporting Standards and the UN 
Global Compact. The contents are not subject to sta-
tutory audits of the annual and consolidated financial 
statements, but are part of the limited assurance en-
gagement according to ISAE 3000 and ISAE 3410 by 
KPMG AG Wirtschaftsprüfungsgesellschaft. The assur-
ance report of the independent auditor is available 
under www.metroag.de/cr-report-2017-18/assurance. 
Business model 
— For more information on METRO’s business model,  
see chapter 2 principals of the group. 
METRO SUSTAINABLE 
Our society faces unprecedented economic, environ-
mental, social and cultural challenges. We are con-
vinced that sustainability is the key to transforming 
these challenges into opportunities.  
As a partner to independent business owners along 
the entire value chain, we do more for business-passion-
ate people – in a responsible way. This reflects the  
core of our business and our sustainability approach 
METRO SUSTAINABLE. 
Since our focus is on the food sector, this means 
improving our ‘foodprint’ while minimising our foot-
print. In concrete terms, this means: We strive to posi-
tively impact the availability, consistency, health and 
social and environmental safety of food, prevent food 
waste and make our product and service offerings 
more sustainable overall, as well as to provide efficient 
solutions to simplify our customers’ business activities. 
At the same time, we want to minimise our environ-
mental and social footprint by responsibly managing 
people and resources and creating a positive impact 
on society overall. 
It is our vision to make retail more sustainable along 
the value chain in our work with small and medium-
sized independent suppliers and customers and in 
contact with consumers. By reconciling our needs and 
goals with the needs of nature, people and future gen-
erations, we can act responsibly, remain successful in 
the long term and overcome the conventional limits of 
growth. Through information, inspiration, motivation 
and support of our employees, customers and partners, 
this visionary approach has the potential to reach mil-
lions of people. 
 
 
— Further information on METRO SUSTAINABLE can  
be found online at www.metroag.de/cr-report-2017-18. 
The guiding principles for us are the United Nations 
Sustainable Development Goals (SDGs). These goals 
also form the global action framework for our corpor-
ate strategy, which is shaped by the principle of  
sustainability. Inspired by the SDGs, we have refined 
our sustainability approach. With our areas of respon-
sibility (Empower) People, (Secure) Planet, (Unfold) 
Prosperity and (Enhance) Partnerships, we support the 
SDGs, in particular the goals in which we are most 
directly involved: 2 (Zero Hunger), 8 (Decent Work and 
Economic Growth), 12 (Responsible Consumption and 
Production), 13 (Climate Action) and 17 (Partnerships 
for the Goals). Through the diversity of our activities 
and the interdependence between these projects and 
the SDGs, we contribute to the 17 goals of the global 
agenda with our commitment to sustainability. As a 
member of the UN Global Compact, we also incor-
porate the 10 principles of the UNGC into our work, 
strategy and corporate culture.

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By taking these international initiatives into account, 
we highlight our actions as a responsible, global and 
locally active company. We consider ourselves to be  
a value-creating part of society and we contribute to 
achieving sustainable economic, social and environ-
mental development. 
To ensure that our sustainability approach address-
es the aspects and issues that most affect our business 
and that we can leverage through our business activi-
ties, we conducted another materiality analysis in the 
course of financial year 2017/18 in accordance with the 
requirements of the CSR Directive Implementation Act. 
Assessment of the facts was based on the legally  
required materiality definition. The aspects and issues 
identified in the analysis are the content of this NFS 
and comply with the requirements of the CSR Directive 
Implementation Act for the reporting of non-financial 
content. In addition, we were able to use our sustain-
able value creation model, a method of sustainability 
accounting, for the first time to quantify the economic, 
environmental and social effects of our business activi-
ties along the value chain in monetary terms. The  
results are also reflected in the NFS. 
Actively managing sustainability 
The sustainability management serves the purpose of 
systematically and organisationally anchoring the no-
tion of sustainability in our core business operations 
and to consider the interdependencies between eco-
nomic, environmental and social aspects in an efficient, 
solution-oriented manner. It is closely tied to our risk 
and opportunity management system via the formal-
ised reporting and evaluation of sustainability-related 
risks and opportunities. This enables the Management 
Board to systematically identify, evaluate and control 
deviations from the sustainability goals and the ensu-
ing risks and opportunities. We did not identify any 
material risks. 
The Sustainability Committee establishes the stra-
tegic framework and sets goals that are applicable 
throughout the group. To adequately respond to the 
specific market and customer requirements, the METRO 
companies manage the operational implementation  
of the sustainability notion within this framework. They 
are responsible for working on the relevant sustainabil-
ity issues, for defining specific targets and measures 
and for monitoring their success. They report on cur-
rent developments and achieved progress to the Sus-
tainability Committee.  
The committee is chaired by 2 representatives from  
the top management of METRO, who are regularly 
exchanged. Other members of the committee are: 
— People in charge of corporate responsibility at 
METRO AG 
— Representatives of the core functions purchasing, 
own-brands, communication as well as investments 
and technical solutions 
— Representatives of Real 
— Representatives of the METRO Wholesale  
national subsidiaries 
Ad hoc expert groups prepare specific issues on the 
operational level and then present them to the Sustain-
ability Committee for a decision. Depending on the 
issue, participants include experts from Real, the METRO 
Wholesale national subsidiaries and the head office. 
The round table on corporate responsibility, which 
comprises participants from the sustainability units of 
METRO AG, the sales lines METRO Wholesale and Real 
together with the service companies METRO-NOM, 
METRO LOGISTICS and METRO PROPERTIES, forms 
another interface between the strategic and operation-
al levels of sustainability. This corporate body serves 
the exchange of information and, together with the ad 
hoc expert groups, assists in implementing the deci-
sions made by the Sustainability Committee. Individual 
services with which the sales lines contribute to  
achieving the sustainability goals at group level are 
coordinated in a round table. For example, when the 
participants are able to exchange views on how they 
assess and deal with specific topics, synergies will 
emerge which the operational divisions can use to 
manage their specific issues. 
In addition, we embed sustainability aspects into 
relevant business processes and decision-making pro-
cedures, including guidelines such as the sustainable 
procurement guideline, and involve our employees, for 
example via our Sustainability Day or through infor-
mation on METRO’s social network platform. Our goal 
is to make it possible that all individuals acknowledge 
the significance of sustainability with respect to both 
themselves and their professional environment, and 
that they conduct themselves accordingly. For exam-
ple, we contribute to this goal through our principles, 
self-commitments and positions that provide direc-
tional guidance and include compliance with laws as 
well as meeting additional requirements. Another 
measure is the METRO Sustainable Leadership Pro-
gramme, our ambassador programme for leadership 
development. While METRO may be able to drive the 
issue in a top-down approach, each of the more than 
150,000 employees should take it to heart to effect-
ively contribute to our impact on sustainability.

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Our stakeholders evaluate the sustainability measures 
implemented by us, for example, through ratings. 
These evaluations by independent third parties provide 
important motivation to us and serve as a management 
tool, because they demonstrate the progress of and 
potential to improve our activities. An example of this 
is the linking of the remuneration of the Management 
Board and the global senior management to the valua-
tion of METRO’s sustainability performance in the rat-
ing of the Dow Jones Sustainability Index (DJSI). 
Oekom Research (now called ISS-oekom) awarded 
the prime status C+ (on a scale from D- to A+) to 
METRO in August 2018. In addition, we topped the 
Food & Staples Retailing group for the fourth consecu-
tive time in financial year 2017/18 in the internationally 
important sustainability indices Dow Jones Sustain-
ability World and Europe. METRO is also listed in the 
FTSE4Good index. METRO has been issuing public 
statements on climate protection and water for many 
years through the Carbon Disclosure Project (CDP). 
METRO achieved a rating of A- (on a scale from F to A) 
for both subject areas. 
 
 
 
 
Environmental matters 
A responsible consumption of energy and other natural 
resources is crucial for all of us. The use of resources 
has a direct effect on our operating costs and may 
entail undesirable environmental implications, such as 
the emission of climate-damaging greenhouse gases. 
Our approach is to reduce the climate-relevant emis-
sions caused by our business operations and our con-
sumption of natural resources.1 We do this by focusing 
on behavioural change (Energy Awareness Programme) 
and investment aimed at increasing our energy effi-
ciency (Energy Saving Programme). Wherever possible, 
we are also converting our cooling systems to natural 
refrigerants (F-Gas Exit Programmes). This reduces  
our energy requirements as well as our costs. In finan-
cial year 2017/18, among other things, we invested 
€10 million in METRO Wholesale’s Energy Saving Pro-
gramme, which saves us approximately €2.8 million in 
energy costs each year. Examples of measures in the 
reporting year are: 
 
 
— Commissioning of further transcritical cooling  
systems, including in Bulgaria, Russia and China 
— Opening of the third green store in China with  
significantly reduced energy requirements  
compared to conventional METRO stores 
— Installation of additional photovoltaic systems  
and expansion of the total capacity to more than 
19,000 kWp. In China, Germany, Pakistan, India and 
Japan, we use the latest technical equipment. 
— Measures for heat recovery in a number of markets 
— Conversion from diesel to compressed natural gas 
(CNG) in some markets in Bulgaria 
 
 
 
 
 
 
 
 
 
1 Due to the company size and alignment (management), the aspect  
of environmental matters is not significant for the holding company METRO AG.

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Further key focal issues in relation to sustainable busi-
ness operations are the prevention of waste, the reuse 
of resources and their recovery by means of recycling. 
The reduction of food waste is an issue of particular 
importance to the operations of METRO. Every food 
product that is sorted out or discarded instead of be-
ing eaten represents wasted economic, social and envi-
ronmental resources. METRO has therefore committed 
itself to the Resolution on Food Waste by the Consum-
er Goods Forum (CGF) and thus to eliminate 50% of 
wasted food in our own operations by the year 2025 
compared to 2016. For this purpose, a working group 
focusing on waste was established in financial year 
2017/18 as part of our Operations Federation, and the 
Food Loss and Waste Protocol was implemented in a 
pilot country.  
Status of climate protection target 
From October 2017 to September 2018, METRO gener-
ated 276 kilograms of CO2 equivalent per square metre 
of selling and delivery space. This figure is down from 
288 kg in the previous year’s period. Our goal is to 
reduce these emissions to 187 kg by 2030, for example 
50% of the 2011 figure. In particular, we focus on the 
aforementioned programmes. In financial year 2017/18, 
we switched to a different software for our sustainability 
data management. This also involves methodical  
changes and new emission factors for calculating green-
house gas emissions. In addition to our selling space  
in square metres, we also apply our climate protection 
target to spaces used for deliveries to account for the 
rapidly increasing proportion of deliveries that forms 
part of our business. Overall, this accounts a positive 
effect of 2.5 percentage points regarding our target 
achievement. 
 
 
 
Employment matters  
With regard to the legally required content in relation 
to the aspect of employee matters, we refer to chapter 
employees of the combined management report. 
— For more information, see chapter 2.5 employees. 
Social matters 
Supplier development 
In order to offer our customers an assortment that 
meets their requirements, the availability, condition, 
quality and sustainability of our products play an im-
portant role. We have influence on this through direct 
contact with our suppliers as producers and manu-
facturers. By training small and medium-sized suppliers 
on aspects of food safety, hygiene, processing and 
implementation of fair working conditions, we enable 
them to meet relevant standards and thus help them 
merchandise their goods. This increases their revenue 
and simultaneously secures our product range.2 
— Our approach to promoting our suppliers in terms  
of compliance with social standards is described  
in the section global labour and social standards  
in the supply chain. 
— With regard to the description of risks associated  
with non-compliance of standards by our suppliers,  
we refer to the section supplier and product risks –  
quality risks in the risk and opportunity report.  
We did not identify any material risks.  
Respect for human rights 
Respect for human rights is one of the fundamental 
values of the METRO group, as formalised in our ‘Policy 
for Human Rights’. We pledge to respect all human 
rights, as set out in the United Nations’ Universal  
Declaration of Human Rights and the Declaration on 
Fundamental Principles and Rights at Work of the 
International Labour Organization (ILO). This obligation 
applies to our own employees (see chapter ‘human 
rights and employer-employee relationships’) and to 
our business partners within our value chain.3 
 
 
 
 
 
 
 
 
 
 
 
 
2 Due to the business alignment, supplier development is not a significant  
aspect for the holding company METRO AG. 
3 For the holding company METRO AG, the aspect of human rights in the supply  
chain is not essential owing to its business alignment but rather only in relation  
to its own employees.

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Since we expect our business partners to adopt and 
honour similar values, the METRO Code of Conduct for 
Business Partners is an integral part of every business 
relationship. This Code of Conduct includes compliance 
with human rights according to UN and ILO standards, 
occupational and social issues based on the principles 
of the International Labour Organization’s 4 core la-
bour standards, environmental protection and corpor-
ate ethics, in particular anti-corruption and anti-bribery, 
antitrust and competition laws as well as data protec-
tion. Furthermore, all of our own-brand contracts con-
tain a social standards clause that gives us legal means 
to enforce our requirements. 
In case of violations of our basic human rights prin-
ciples, our employees can contact their supervisors or 
the company’s compliance officers. Using a tool that is 
publicly accessible via the METRO compliance page, 
external people can report situations that do not com-
ply with the values and guidelines of METRO or with 
statutory provisions. The reported incidents will be 
promptly investigated and processed by our experts to 
take appropriate action, if necessary. 
Global labour and social standards  
in the supply chain 
We aim to contribute to ensuring socially acceptable 
working conditions within our sourcing channels. 
Therefore, in addition to a contractual manifestation of 
our requirements, the application of social standards 
systems is an integral part of the process as well as an 
important tool. Social standards systems enable us to 
take effective action against any potential violations. 
Irresponsible practices within the supply chain can 
damage the confidence in our conduct and, conse-
quently, also our business. We will therefore require our 
producers to be audited in accordance with the supply 
chain management standard set out by the Amfori 
Business Social Compliance Initiative (Amfori BSCI) or 
an equivalent standard. This applies to all producers  
in certain high-risk countries (based on the Amfori 
BSCI rating) that manufacture imported goods for 
METRO SOURCING. It also applies to the producers of 
non-food items for our own-brand products and our 
own import products. As of 30 September 2018,  
1,274 producers have been audited. Of that group, 92% 
(1,173 producers) passed the audit. Producers who fail 
the audit are allowed a period of 12 months to provide 
proof of improvement by way of a follow-up audit.  
METRO Wholesale and Real have introduced more 
stringent supplier requirements on 1 January 2017:  
New suppliers are only accepted if the producers with 
whom they collaborate4 can prove that they have 
achieved an at least acceptable audit result, in example 
A, B or C, for the Amfori BSCI or an audit that is ac-
knowledged as equivalent. Existing suppliers have been 
granted a transitional period of 2 years. In addition, we 
have set stricter requirements than in the past for all 
suppliers: all suppliers producing for us5 must prove at 
least acceptable audit results by 1 January 2019.  
The verification of compliance with our requirements  
is performed via an internal IT-based process man-
agement database, which is synchronised with the 
audit results in the Amfori BSCI database. By working 
with our database, the responsible employees of our 
METRO national subsidiaries carry out the portfolio 
management of the affected suppliers and the associ-
ated producers and integrate the procedures for com-
pliance with social standards and human rights into 
their daily work routines. On the other hand, the pro-
cess management is automated, for example, to warn 
our suppliers of expiring audits and to initiate the indi-
vidual review of Amfori BSCI D or E audits or equiva-
lent audits by METRO and to effect improvements.  
The database is also used as a contract compliance 
mechanism during initial negotiations or suspension of 
ongoing business, since the required documents are 
uploaded and reviewed before conclusion of the con-
tract or suspension of the supplier is triggered in case 
of misconduct by deal-breakers specified by METRO. 
This includes findings in the areas of child labour, 
forced labour, occupational safety hazards with regard 
to fire safety and ethical behaviour. If there is a miscon-
duct discovered at suppliers and their producers  
concerning one of these areas, they are required by 
METRO to develop short-term and long-term solutions. 
New orders or follow-up orders are suspended until  
the findings in the deal-breaker process have been 
resolved.  
In order to not only ensure the social requirements 
of our suppliers, but also to contribute to improving 
them and thereby further increasing the proportion of 
valid audits, METRO SOURCING works with our local 
producers and supports them through training courses 
designed to understand and comply with social stand-
ards. Especially on the subject of forced labour, METRO 
Turkey and METRO Pakistan piloted a one-day training 
for employees in key functions. The intention is to  
reintroduce the importance of the topic into our or-
ganisation and to empower our employees to identify, 
process and prevent potential and/or actual forced 
labour incidents. The development and execution of 
the training is carried out in collaboration with the 
Amfori BSCI. By 30 September 2020, all METRO  
national subsidiaries are expected to have completed 
this training. 
 
 
 
 
 
 
 
 
 
4 This includes merchandise producers (non-food own-brand products  
and own non-food imports) in high-risk countries that carry out the final significant  
value-creating production step, for example produce the final item of clothing. 
5 This includes merchandise producers (non-food own-brand products and  
own non-food imports) in high-risk countries that carry out the final significant  
value-creating production step, for example produce the final item of clothing.

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Combating corruption and bribery 
The METRO AG Management Board is committed to 
complying with applicable laws, rules and regulations. 
METRO employs a group-wide compliance manage-
ment system (CMS) to ensure compliance with laws 
and a self-imposed Code of Conduct, including key 
risks such as the fight against corruption and bribery 
and the prevention of antitrust law violations. The aim 
of the CMS is to systematically and sustainably pre-
vent, detect and sanction regulatory infringements 
within the company.  
The METRO Business Principles are at the heart of 
our compliance initiatives and are firmly anchored 
throughout the group by ongoing training measures. 
The CMS is based on the METRO Business Principles. 
Business Principle number 2, for example, explicitly 
prohibits corruption and bribery in dealing with busi-
ness partners and authorities. The METRO CMS is 
based on the auditing standard IDW PS 980. It operat-
ionalises the 7 CMS elements on a risk basis applying  
a wealth of organisational, structural, procedural and 
individual measures for all major group companies.  
The METRO AG Management Board and the  
General Management of the relevant METRO group-
companies demonstrate proper conduct and lead by 
example. In addition to informal role model behaviour, 
frequent ‘tone from the top’ messages are foreseen  
in the organisations. New members of management 
committees and other executives undergo compliance 
onboarding at the beginning of their job. Indications 
of compliance incidents are investigated in a clearly 
defined and objective process involving all relevant 
functions including compliance, legal, auditing and HR. 
The defined goal of the CMS is additionally imple-
mented in the organisation via human resources man-
agement tools. As part of the regular performance 
reviews, compliance aspects are included in the evalu-
ation as part of the METRO Guiding Principles.  
Generally, the CMS compliance risks control is risk-
based. As part of regular risk audits, for example in the 
form of workshops with relevant stakeholders in the 
respective units, the compliance risks are continuously 
checked for completeness and relevance. In addition, 
each relevant group unit is classified in one of 3 risk 
classes. External and internal indicators are used  
for this purpose, such as Transparency International’s 
indices, employee turnover rates and compliance  
maturity in past periods.  
A compliance programme with different intensities 
is defined for each risk class. It is based on the guide-
lines developed for each significant compliance risk 
and adopted by the Management Board. When it 
comes to combating corruption and bribery, there are 
2 guidelines for dealing with business partners, includ-
ing a business partner assessment and dealing with 
public officials.  
The CMS is implemented by the compliance organ-
isation. A compliance officer has been appointed to 
each relevant METRO group company for this pur-
pose, who reports directly to the METRO AG Corpor-
ate Compliance department as part of Corporate 
Legal Affairs & Compliance. The overall responsibility 
lies with the Chief Compliance Officer of METRO AG, 
who reports directly to the Chairman of the Manage-
ment Board of METRO AG. The compliance organisa-
tion is centrally managed by Corporate Compliance. 
Corporate Compliance keeps the CMS conceptually on 
a risk-appropriate level and provides the concepts and 
tools for implementation in the METRO group com-
panies of each CMS element. The disciplinary and tech-
nical leadership of the compliance officers takes place 
via institutionalised reporting dates as well as target 
agreements. The compliance officers regularly report 
directly to the local management in their units. More-
over, identified key compliance risks are recognised 
within the GRC subsystems Internal Controls Oper-

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2 Principles of the group 
58 
ations and Internal Controls Finance and integrated 
into the systems there. 
An IT-based whistle-blower system provides em-
ployees and external third parties with an opportunity 
to provide information (under the protection of ano-
nymity, if preferred) on regulatory infringements with-
in the company. All reported regulatory infringements, 
irrespective of whether the measures for ensuring 
compliance with these rules falls within the area of 
responsibility of the compliance organisation, are in-
vestigated and sanctioned systematically by the com-
pliance management system, which relies on the 
compliance incident handling system operated by the 
compliance organisation. The responsibility for regula-
tory compliance measures that fall outside of the area 
of responsibility of the compliance organisation, with 
the exception of compliance incident handling, lies 
with the respective departments.  
Compliance topics and measures are systematically 
communicated to the workforce through a variety of 
channels in the company in a targeted manner. A core 
tool is compulsory compliance training, which is either 
carried out in person or through e-training. In the most 
recent financial year, compliance training was execut-
ed in all relevant METRO group companies. The selec-
tion of relevant employee groups is risk-based with 
practical training content. A variety of other commu-
nication formats are used in addition to training, such 
as compliance talks, posters, flyers, intranets, depart-
ment visits, function and leadership conferences, per-
sonnel development events and similar. 
Proper implementation of the defined risk-based 
measures for the implementation of the CMS is en-
sured through frequent KPI reporting for each relevant 
METRO group company. Through KPI reporting, a 
compliance maturity level is determined annually, 
which in turn is incorporated into risk classification 
and definition of measures. The efficacy of our internal 
compliance controls is regularly assessed by our inter-
nal audit unit. As part of METRO’s GRC approach, the 
Group Audit department evaluates the effectiveness 
of the group-wide CMS every year. This assessment is 
presented to the Management Board and the Super-
visory Board as part of the regular reporting on com-
pliance issues. Besides internal reviews and audits, the 
need for further development of the compliance man-
agement system is ascertained from the results of 
regular employee surveys. 
Overall, the mentioned control and monitoring 
measures demonstrate an appropriate level of compli-
ance maturity. 
Customers 
Customer satisfaction and  
innovation management 
As a leading international specialist in the wholesale 
and food retail industry, METRO sees itself as a re-
sponsible partner along the entire value chain committed  
to its customers’ success and satisfaction every day. 
Our strategy aims to achieve long-term stable growth 
in like-for-like sales and earnings. To ensure that we 
remain relevant to our customers and successful in the 
long term, we have set ourselves the goal of taking  
the food retail and food service sector to a new level 
by continuously refining our business model and by 
increasing our customer focus. Hereby, we always 
observe our sustainability principles. We do not limit 
our actions to merely transactional customer satis-
faction while they are shopping. In order to intensify 
our customer relationships within METRO Wholesale, 
we are also expanding our range of comprehensive 
services that support our customers in successfully 
carrying out their day-to-day business. For example, 
we offer our customers a free website as well as an 
online reservation tool. The opportunities arising from 
digitalisation play a key role in this context. 
Customer focus and customer satisfaction are  
central elements of our strategy. In order to continu-
ously assess and consistently improve the satisfaction 
of our customers, we have introduced the Net Promo-
ter Score nationwide at METRO Wholesale. Besides 
the purely quantitative measurement of the current 
satisfaction values, suggestions from customers can 
be systematically recorded and evaluated. These data 
can be used to identify additional potentials for impro-
ving the shopping experience which are then reflected 
in, among other things, the design of our stores or 
assortments.  
In order to exploit the opportunities derived from 
digitalisation and to realise synergies, we are bundling 
our digitalisation initiatives with the Hospitality Digital 
business unit and the service company METRO-NOM. 
Hospitality Digital develops customer- and user-oriented 
solutions, for example for improvements in the pay-
ment process, online ordering systems or other digital 
solutions especially for the catering sector. In addition, 
innovative start-up companies are supported by initia-
tives like METRO Accelerator powered by Techstars. 
With our METRO-NOM business unit, we are  
accelerating the development and internal deployment 
of digital solutions in order to further increase the 
efficiency of our organisation.  
Other cost-saving measures will be implemented. 
These include procurement cooperation projects with 
other international retailers which increase METRO’s 
competitiveness while creating added value for its 
customers. One example of this is the new procurement 
alliance Horizon International which includes METRO, 
Auchan Retail, Dia Group and Casino Group.

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59
Protection of personal data 
The protection of personal data of customers, em-
ployees and business partners is extremely important 
to METRO. This is particularly true considering the fact 
that corporate processes are increasingly being digi-
talised, requiring data collection, processing and stor-
age. However, this can only work efficiently if the data-
processing subjects can trust that their data will be 
handled with care and that their personal rights will be 
respected. 
METRO therefore always undertakes to comply 
with the respective data protection laws of the coun-
tries in which METRO is active. In addition, METRO has 
created a group-wide privacy policy that contains 
uniform standards for the handling of personal data 
and is binding for all group companies. All employees 
of METRO must comply with the requirements of the 
internal privacy policy and national laws. 
For companies operating in Europe, the European 
Union has already established Europe-wide uniform 
regulations on the handling of personal data by pass-
ing the General Data Protection Regulation (GDPR), 
which has been in force since 25 May 2018, which 
leads to more transparency in the processing of per-
sonal data. In order to be able to meet the special 
requirements of the GDPR, METRO has already started 
early to comprehensively review all procedures that 
dealt with the processing of personal data and, if nec-
essary, to adapt them to the requirements of the GDPR. 
METRO has also created a group-wide data protec-
tion organisation, consisting of local data protection 
officers and data privacy managers responsible for 
corporate data protection. It facilitates the pursuit of 
overarching and national data protection and digital-
isation developments in order to continue to meet the 
statutory data protection requirements across the 
group.

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2 Principles of the group 
60 
2.5 EMPLOYEES 
Sustainable human resource strategy 
It is the goal of METRO to ensure that it increases its 
relevance to its customers continuously to produce 
long-term growth in sales and earnings. Among other 
things, we attach great importance to the continuous 
development of our business model and the increase 
in our customer orientation.  
Our commitment levels, which have been steadily 
rising since 2011 and are well above the industry  
average, are proof that our workforce of more than 
150,000 employees are doing their best every day  
to achieve the goals of the group. With our efforts in 
human resources, we make an important contribution 
to reinforcing and expanding our employees’ motiv-
ation, to encouraging teamwork and promoting entre-
preneurial thinking, open-mindedness and assuming  
responsibility in the company. In doing so, we pursue  
2 overarching ambitions:  
— Creating an appealing, open-minded and inspiring 
work environment for our employees. We firmly 
believe that only satisfied employees who are sup-
ported in accordance with their commitment and 
abilities can offer a first-class customer experience.  
— Expansion of METRO into an adaptive, learning 
organisation that responds quickly to market and 
customer needs and participates in shaping trends. 
We make significant investments to accomplish this. 
 
Our underlying, holistic approach to human resources 
with customised initiatives and programmes spans  
the entire career of an employee – from recruitment 
through various career and life stages to retirement 
models. Involvement of the Management Board or the 
management of the various national subsidiaries and 
service companies often already takes place during the 
development phase of the personnel concept and thus 
ensures proper balance between adaptation to local 
conditions and standardisation throughout the group. 
Recruiting employees 
In the competition to hire the best specialists and 
executives, our goal is to position METRO as an attract-
ive employer and to attract qualified, talented people 
to our company. By training junior employees for the 
retail and wholesale sector, we are able to recruit  
leaders from our own ranks. At the same time, METRO 
is constantly exploring the market for motivated spe-
cialists in order to strengthen its own workforce and  
to make the best possible progress in the business. 
Initial training at METRO 
We attach great importance to the comprehensive, 
sustainable training of our employees in all METRO 
national subsidiaries and service companies. It allows 
us to make an important social contribution while  
our customers benefit from competent contact part-
ners throughout the company. Prioritising needs-based 
vocational training allows us to hire a large portion of 
trainees at the end of the programme. In Germany, the 
company management and the Group Works Council 
have thus agreed that apprentices who complete  
the initial training programme with a positive aptitude 
assessment will generally be offered permanent, full-
time positions. The individual METRO companies in 
Germany have defined their own specific requirements 
and possible exceptions. The organisation and imple-
mentation of the initial training programmes and the 
specification of their curricula are the responsibility  
of the companies. They offer various projects and 
programmes for their junior employees. In addition to 
the apprenticeship programme, it is also possible to 
complete a special cooperative education curriculum 
that includes practical modules. For example, as of  
1 September 2018, 4 cooperative education students 
were enrolled in Information Systems at METRO-NOM 
in Germany. 
Talent development 
In order to systematically develop our future executives 
from within our own ranks, our measures and pro-
grammes are focused on our junior employees. Since 
2014, METRO Wholesale has been offering the METRO 
Potentials programme in all countries in which the 
sales line operates. The programme targets the best 
university graduates and young professionals world-
wide with 2 to 3 years of work experience. During  
the 2-year trainee programme, participants have an 
opportunity to expand their knowledge by partici-
pating in various hands-on projects. They are also 
coached by a local mentor, who is a member of the 
respective country’s management. The trainees com-
plete various stations in their own country and abroad 
as well as at the company’s headquarters in Düssel-
dorf. After completing the programme, they are offered 
management positions, for example as store manager. 
The career prospects go far beyond that, up to a  
position on the Management Board of the respective 
country. 8 trainees completed the programme in finan-
cial year 2017/18.  
Employer Branding and HR Marketing 
In financial year 2017/18, we implemented various 
measures to attract employees to our company and to 
position the METRO employer brand in a targeted 
manner. Online platforms and social networks, career 
days at schools and universities, as well as initiatives 
such as Girls’ Day or Boys’ Day allow potential appli-
cants to gain plenty of information and contact oppor-
tunities. We are also pursuing new, unique ways of 
promoting the company as an employer. Examples 
include guerrilla marketing measures used by our IT 
service company METRO-NOM specifically targeting 
IT specialists in the greater Berlin area in financial  
year 2017/18. 
Our cooperation with universities, technical colleges 
and other educational institutions as well as the Fed-

METRO ANNUAL REPORT 2017/18 
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2 Principles of the group 
61
eral Employment Agency is an important cornerstone 
of our employer branding efforts. In financial year 
2017/18, we entered into a cooperation agreement 
with the WHU – Otto Beisheim School of Management 
with the goal to contribute to practical and scientific 
networking in the fields of entrepreneurship and life-
long learning. 
Succession planning and  
compensation models 
Our systematic succession planning enables our skilled 
employees and managers to develop attractive car-
eers within our company. Our remuneration models 
also provide incentives for employees to perform and 
to align their work practices with our guiding principles. 
Executive development 
The systematic development of executives is a core 
responsibility of the general management teams of the 
respective group companies as well as of METRO AG. 
By taking this approach, we ensure that the skills and 
abilities of our managers are consistently aligned with 
the requirements and strategic objectives of our com-
pany. At the same time, we are establishing specific 
international career paths for our executives in conjunc-
tion with METRO subsidiaries and METRO AG. Our 
career-planning processes also allow us to identify and 
support internal candidates for key positions in the 
company. This ensures that we can fill vacancies from 
our own ranks. In financial year 2017/18, the internal 
succession rate for the management of the national 
subsidiaries of METRO Wholesale was 79.1%. 
To bolster our management capabilities and to 
achieve sustainable growth, we launched the Lead & 
Win programme at METRO in financial year 2016/17. 
The integrated learning concept is used to develop 
more than 15,000 executives and is divided into 3 to  
4 modules for different management levels. For a 
period of 6 to 8 months, the participants learn about 
group-specific topics. The objective is for all execu-
tives to have completed the programme by the end  
of 2019. In financial year 2017/18, 1,243 executives  
had already completed the programme. 
Furthermore, since financial year 2016/17, our top 
executives – employees who have highly complex 
tasks with special significance to the success of our 
company – have been asked to take initiative to develop 
an individual development plan based on a structured 
self-assessment of their personality in comparison 
with their management skills relevant to the position. 
This emphasises that executives are also responsible 
for their own development. 
In another major initiative, the METRO Sustainable 
Leadership Programme (MSLP) supports approxi-
mately 30 international executives each year over a 
period of 1.5 years to develop their self-management 
and employee management and to implement an 
individual sustainability project. The projects address 
environmental and/or socially relevant topics such  
as e-mobility, waste reduction or sustainability in the 
supply chain. For example, one MSLP participant  
developed a self-assessment catalogue for small local 
fruit and vegetable farmers to help them cultivate 
their products in line with ‘good agricultural practice’ 
and to meet all METRO quality standards. At the same 
time, these suppliers are involved in the so-called ‘Ugly 
but Tasty’ project, which deals with the marketing of 
non-standardised fruits and vegetables and thus helps 
these smallholders reduce post-harvest losses. 
Individual job performance reviews 
As part of our Results & Growth process, all sales lines 
conduct clearly structured, individual performance 
reviews once a year. This allows us to better assess 
progress and skills and establish a strong feedback 
and development culture. We define the correspond-
ing priorities at the beginning of each financial year, 
which are then examined and adjusted as necessary 
through mid-year performance reviews. The perfor-
mance review is then conducted at the end of each 
financial year and also incorporates a feedback ses-
sion, in which compliance with the group-wide guiding 
principles is also addressed. 
Systematic succession planning 
With the Leadership Talent Review (LTR) we have 
established a long-term-oriented process to develop 
our candidates for top positions within the company. 
The process supports our management team in iden-
tifying and supporting talented employees at an early 
stage. Once a year, we use this review to discuss  
succession planning for key positions. In the LTR, we 
examine the expertise, skills and experience of every 
candidate and rate these individuals according to the 
particular responsibilities of their respective positions. 
Subsequently, the employee and his/her line manager 
then create a career development plan and determine 
targeted measures. 
Performance-based remuneration for executives 
Our Perform & Reward remuneration system compris-
es a monthly fixed salary as well as 1-year and multi-
year variable remuneration components that are es-
sentially tied to our company’s business performance. 
Additionally, the 1-year variable remuneration consid-
ers our executives’ individual target achievements, 
generation of additional value for customers as well  
as their implementation of our guiding principles in 
their daily work. Among other things, the multi-year 
variable compensation incorporates a sustainability 
component.

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62 
Remuneration principles 
The remuneration model for top executives  
is based on the following 4 principles: 
— Fair and internally consistent compensation 
— Performance-based pay 
— Market-driven and appropriate salaries 
— Encouragement of role model behaviour 
In each case, we used the sustainable development  
of the wholesale and retail segments as a basis for  
the assessment of 1-year and multi-year variable  
remuneration. This means that the managers are  
directly involved in the success of their respective 
units.  
For both business segments, the 1-year variable 
remuneration is based on sales and profits. In the 
wholesale segment, customer satisfaction is an addi-
tional relevant key performance indicator. As part of 
the multi-year variable remuneration (long-term incen-
tive, LTI), a specific plan has been developed for the 
top managers of the group with focus on the increase 
in value of each business segment. Among other 
things, the LTI is based on the future value of the com-
pany, which is assessed by external analysts. In both 
plans, sustainability is evaluated by the rank which 
METRO achieves in the Corporate Sustainability Assess-
ment by RobecoSAM. Inclusion in the Dow Jones Sus-
tainability Index is decided based on this ranking. 
Executive compensation is complemented by ben-
efits, such as an attractive pension model, encour-
agement for health check-ups and a mobility budget 
that can be used for a vehicle or train journeys as  
part of METRO’s ‘Green Car Policy’. 
Continued development of employees 
We are determined to promote lifelong learning among 
our employees as a way of responding to the current 
and future challenges in wholesale. Our programmes 
are constantly reviewed and continuously refined. The 
House of Learning business unit provides customised 
personnel development measures, learning solutions 
and services for the management holding company 
METRO AG as well as the METRO Wholesale sales line. 
The focus is on employees and executives from oper-
ations, sales force, food service distribution, category 
management and finance departments. Above all, the 
training curriculum aims to empower our employees  
to promote implementation of the METRO Wholesale 
corporate strategy with their actions, as well as to 
strengthen leadership skills and to intensify personal 
development. All training programmes can be adapted 
to local circumstances and, in the case of seminars 
and on-the-job training courses, delivered by internal 
full-time and part-time trainers. 
 
TRAINING COURSES AT METRO WHOLESALE  
AND METRO AG
1 
 
e-Learning 
modules, 
webinars and 
online courses
 
Seminars, 
on-the-job 
training
Total
Number 
554,893
 
25,722
580,615
Participants  
563,109
 
275,610
838,719
Participant hours 
398,403
 
2,091,851
2,490,254
Training costs 
(€/participant) 
 
22.72
 
  
  
  
1 A split of training hours and costs for METRO Wholesale and  
METRO AG is currently not possible. 
 
 
TRAINING COURSES AT REAL 
 
e-Learning 
modules
 
Seminars 
and webinars
Total
Number 
22,440
 
319
22,759
Participants 
22,440
 
4,678
27,118
Participant hours 
14,483
 
45,638
60,121
Training costs 
(€/participant) 
 
124,81
 
 
 
In financial year 2017/18, we developed and introduced 
more learning opportunities, including topics such  
as delivery and customer service, which serve to pro-
vide a better understanding of financial contexts and 
compliance. Furthermore, the International Human 
Resources Development department implemented a 
multi-month programme called METRO2025. The task 
of the participants was to develop concepts in inter-
national teams that complement the corporate strategy 
of METRO Wholesale and add further value to custom-
ers. The most promising concepts are now being  
refined and implemented. The programme promoted 
cross-divisional, cross-border cooperation and soli- 
darity with the wholesale business. At the same time, 
the participants were able to expand their project 
management skills. There are plenty more programmes 
aimed at supporting promising internal candidates  
in their career development. For example, at Real, 
more than 100 employees participated in correspond-
ing training programmes during the reporting period 
before being promoted. The eligibility requirements 
and selection of participants vary for each programme. 
For example, employees may be nominated by their 
supervisor or they may apply by themselves.

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Employee commitment 
Our global employee survey METRO Voice is an im-
portant tool used to determine the commitment of  
the workforce and their loyalty to the company. We 
conduct the survey regularly in the country subsidi-
aries service companies and at METRO AG. Under the  
slogan ‘Your opinion. Our dialogue.’, more than 
101,000 employees were invited to participate in the 
survey during the reporting period. 88% of the invited 
employees took part in the survey. The level of  
commitment, which indicates the degree of connec-
tion, pride in the company, loyalty and motivation, 
increased by 2 percentage points to 78% in financial 
year 2017/18. It far exceeds the score of consulting  
firm Aon Hewitt’s Global Retail Benchmark (63%) and 
continues the positive trend of previous years.  
This development can be traced back to an inten-
sive follow-up process at the team level and to group-
wide initiatives that we use to promote focus on inno-
vative ideas and encourage the appreciation and 
recognition of our employees.

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64 
Occupational safety and  
health management 
The demographic evolution of society, profound 
changes in the work environment and increasing com-
petition for a good workforce require sustainable  
and forward-looking concepts for occupational safety 
as well as viable health management. The German  
METRO companies implemented a reporting system  
in order to identify areas with high accident rates or 
especially vulnerable employee groups, to evaluate 
causes of accidents and to define targeted counter-
measures. The reporting system covered 98% of  
employees of German METRO group companies in 
financial year 2017/18. The companies mentioned 
above have been able to reduce the number of acci-
dents compared to the equivalent period in financial 
year 2016/17. This reporting system is now to be im-
plemented group-wide. 
In financial year 2017/18, the Lost Time Injury Fre-
quency Rate (LTIFR) was 41.8 (2016/17: 45.0). This 
system records the number of accidents that cause a 
downtime of at least one day (excluding the day of the 
accident) per 1 million working hours. Deaths and 
long-term incapacity or disability are also included, 
but commuting accidents are not. 
In order to increase awareness among our employ-
ees that occupational safety is also the responsibility 
of each individual employee, we conduct numerous 
programmes and events in our sales lines and service 
companies on topics like nutrition, sports, medical 
screening and mental health. Furthermore, in our 
METRO Wholesale national subsidiaries, the employees 
responsible for occupational safety and health man-
agement are increasingly collaborating in an inter-
national network to discuss and improve occupational 
health and safety measures and to achieve positive 
results for employees in a timely manner. 
Diversity management 
We strongly believe that diversity and inclusion lead to 
better business results. In order to establish a diverse 
and inclusive corporate culture and to gain better 
access to more talent, METRO has developed a com-
pany-wide diversity approach. The goal is to create an 
open work environment in which individual differences 
are respected, valued and promoted. We strive to 
build a workforce in which each individual can develop 
and use their unique potential and strengths. 
 
 
Equal opportunities at work 
We promote equal opportunities at work for men and 
women. METRO aims to further increase the propor-
tion of women in executive positions. We have made 
progress towards this goal again during the past finan-
cial year. The objective is for 20% of employees on the 
first management level below the Management Board 
and 35% of employees on the second management 
level below the Management Board of METRO AG to be 
women by June 2022. Additionally, the Supervisory 
Board has stipulated the objective of having at least 
one female member appointed to the METRO AG 
Management Board by June 2022. This represents  
a female quota of 25% of the current Management 
Board which is comprised of 4 members. Furthermore, 
METRO has set a voluntary target for the share of 
women in executive positions at METRO Wholesale. By 
June 2022, 25% of managerial positions on levels 1–3 
(including store managers) of METRO Wholesale loca-
tions worldwide will be filled by women. We will in-
corporate these goals in our succession planning and 
recruitment activities. 
In 2017, METRO established a Diversity and Inclu-
sion Committee, which created a long-term strategy 
and is pursuing to promote diversity within the organ-
isation and harness it to benefit the business. As part 
of this strategy, the committee agreed on individual 
goals for the group companies with the Management 
Board of METRO AG, which are monitored using spe-
cific key figures. Another task of the aforementioned 
committee is to support the METRO companies in 
achieving their goals with best practice sharing and 
newly developed initiatives. 
METRO is actively participating in various initia-
tives, such as the Diversity Charter, the LEAD Network 
and Prout at Work. Beyond that, various employee 
networks have become established. In 2018, METRO 
launched the Women Leadership Programme (WLP). 
Following the successful completion of the pilot pro-
gramme in June 2018, preparations are currently un-
derway to implement it by early 2019 for METRO AG, 
METRO Wholesale and the service companies. 
Life-phase-oriented programmes 
We offer various opportunities for part-time employ-
ment and support our employees in caring for relatives. 
In addition, the head office in Düsseldorf operates  
3 day care centres with spaces for children from the 
age of 4 months. The staff speak German and English 
to the children.

METRO ANNUAL REPORT 2017/18 
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Combined management report 
 
2 Principles of the group 
65
Human rights and  
employer-employee relationships 
Our guiding principles on fair working conditions and 
social partnership are a crucial component in shaping 
our employer-employee relations. They are based on 
the UN Guiding Principles on Business and Human 
Rights, the core labour standards of the International 
Labour Organisation (ILO) as well as the 3 main  
principles of the Resolution on Forced Labour by the 
Consumer Goods Forum. Accordingly, our guiding 
principles deal with issues such as free unionisation, 
the right to collective agreements, structured working 
hours and wages, occupational safety and health man-
agement as well as the prohibition of forced labour, 
child labour and discrimination. 
We ensure that our sales lines and their national 
subsidiaries comply with the principles of fair working 
conditions by auditing our head offices, stores and 
logistics centres. In order to improve the working con-
ditions in the national subsidiaries, specific plans are 
being drawn up with the local colleagues, in which 
substantive measures with clear responsibilities and 
timetables are defined and executed. Since financial 
year 2016/17, extensive audits on compliance with the 
METRO principles have been performed in 11 national 
subsidiaries (Pakistan, Bulgaria, China, Japan, Hungary, 
Italy, Serbia, India, Slovakia, Moldova and Spain). Many 
areas returned promising results, while others showed 
potential for improvement, in particular in the area  
of occupational safety. All on-site audits were followed 
by comprehensive training on the METRO principles 
on fair working conditions. Audits are scheduled for  
6 additional national subsidiaries in financial year 
2018/19. METRO has set itself the goal to complete the 
auditing of all METRO Wholesale companies by 2020. 
In addition, a training programme on forced labour 
was piloted in collaboration with the Amfori Business 
Social Compliance Initiative (Amfori BSCI) in the  
reporting period. The objective is to train METRO 
employees to recognise forced labour within the  
supply chain and to support the appropriate ability to 
act. The training will also be rolled out in all METRO 
countries by 2020.  
On a national and international level, METRO main-
tains constant communication with works councils and 
unions and encourages management to engage in 
constructive and mutually informative dialogue with 
our employees and their representatives. This dialogue 
resulted in several collective employment agreements 
at the level of business units, countries or individual 
stores – depending on local laws and customary  
practices.  
After successful contract negotiations, a new  
European Works Council Committee was established 
in February 2018. 
Development of employee numbers 
During the reporting period, METRO employed an 
average of 134,877 full-time equivalents (2016/17: 
137,136). This is a decrease of 1.6% compared to the 
same period in the previous year. The majority of our 
employees work outside of our home market Germany. 
Internationally, we had 90,749 full-time equivalents, 
2.0% fewer than during the same period in the previous 
year. In Germany, the workforce by full-time equiva-
lents decreased slightly to 44,128 (2016/17: 44,525). 
During the reporting period, METRO Wholesale  
employed an average of 100,335 full-time equivalents. 
This represents a decrease of 2.0% compared to  
the same period in the previous year. The workforce  
by full-time equivalents at Real declined by 0.8% to 
26,394 while the number of full-time equivalents in  
the Others segment decreased by 0.2% to 8,148.

METRO ANNUAL REPORT 2017/18 
66 
Combined management report 
 
2 Principles of the group 
66 
 
v
DEVELOPMENT OF EMPLOYEE NUMBERS BY SEGMENTS  
by headcount as of the closing date of 30/9 
2017
  
2018 
METRO Wholesale 
108,007
104,453 
METRO Wholesale 
Germany 
14,105
13,711 
METRO Wholesale 
Western Europe 
(excluding Germany) 
27,607
27,207 
METRO Wholesale  
Russia 
16,053
13,960 
METRO Wholesale  
Eastern Europe 
(excluding Russia) 
29,557
29,060 
METRO Wholesale  
Asia 
20,685
20,515 
Real 
34,195
33,688 
Others 
7,269
7,251 
METRO AG 
912
909 
METRO  
 
150,383  
146,301 
 
  
  
 
 
 
DEVELOPMENT OF EMPLOYEE NUMBERS BY SEGMENTS  
full-time equivalents as of the closing date of 30/9 
2017   
2018
METRO Wholesale 
101,402
98,085 
METRO Wholesale 
Germany 
12,153
11,816 
METRO Wholesale  
Western Europe  
(excluding Germany) 
24,249
 
24,073 
METRO Wholesale  
Russia 
15,905
13,884 
METRO Wholesale  
Eastern Europe  
(excluding Russia) 
28,819
28,264 
METRO Wholesale  
Asia 
20,276
20,048 
Real 
26,460
26,200 
Others 
7,153
7,145 
METRO AG 
875
863 
METRO  
 
135,890   
132,293

METRO ANNUAL REPORT 2017/18 
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2 Principles of the group 
67
2.6 CHARACTERISTICS OF THE 
ACCOUNTING-RELATED 
INTERNAL CONTROL AND RISK 
MANAGEMENT SYSTEM AND 
EXPLANATORY REPORT OF  
THE MANAGEMENT BOARD 
METRO’s accounting-related internal control and  
risk management system employs coordinated instru-
ments and measures for the prevention, early detec-
tion, assessment and management of risks. The 
Corporate Accounting department of METRO AG is 
responsible for the group-wide implementation of 
these instruments and measures. 
Overarching responsibility for all processes related 
to the preparation of the consolidated and individual 
financial statements as well as the combined manage-
ment report of METRO AG rests with the Board  
department headed by the Chief Financial Officer of 
METRO AG, Mr Christian Baier. The actual preparation 
of the financial statements as well as the combined 
management report, however, is the legal responsibil-
ity of the Management Board of METRO AG. The con-
solidated and individual financial statements as well  
as the combined management report are audited and 
approved by the auditor during and after their prepar-
ation. They are then discussed and reviewed by the 
Supervisory Board of METRO AG. The auditor attends 
this Supervisory Board meeting. He reports the key 
findings of his audit and is available for additional 
questions. Provided the Supervisory Board has no 
objections, it approves the annual financial statements 
and the combined management report. The annual 
financial statements of METRO AG are adopted once 
the Supervisory Board has issued its approval. 
Group-wide framework 
Building on the ‘Internal Control – Integrated Frame-
work’ concept of the Committee of Sponsoring  
Organizations of the Treadway Commission (COSO),  
the Corporate Accounting department of METRO AG 
has defined group-wide minimum requirements re-
garding the design of the accounting-related internal 
control system of METRO AG, the sales lines and  
the major service companies. With these requirements, 
the company particularly wants to ensure adherence 
to the relevant accounting standards and the respec-
tive internal guidelines (for example the IFRS account-
ing guideline). 
Among others, these requirements cover the  
design and implementation of controls, monitoring  
the effectiveness of controls and reporting on  
effectiveness analyses. 
— Design of controls: Taking a top-down approach, 
the company has identified the risk of material  
errors relating to the financial reporting for signi-
ficant financial and accounting-related processes. 
In addition, the Corporate Accounting department 
has set out binding group-wide control objectives 
which the group companies must meet by employ-
ing company-specific control activities. 
— Implementation of controls: The group companies 
must keep records of the implementation of these 
controls.  
— Effectiveness of controls: The major group com-
panies are obligated to evaluate the effectiveness 
of controls at the end of each financial year  
(self-evaluation). In the process, they must apply 
the uniform, group-wide method set out by  
the Corporate Accounting department. In addition, 
the effectiveness of controls is reviewed as part  
of the risk-oriented, independent audits conducted 
by the Group Internal Audit department. 
— Reporting: The results of the self-evaluations  
must be reported to the Corporate Accounting  
department using a standardised reporting format. 
The companies’ individual reports are validated  
by the Corporate Accounting department and 
compiled in an overall report on METRO’s account-
ing-related internal control system. This is reported 
to the Governance, Risk, and Compliance Commit-
tee (GRCC) as well as the Management Board of 
METRO AG. 
The key requirements (for example the IFRS account-
ing guideline), accounting processes, individual  
controls and independent review by the Group Internal 
Audit department and the auditor are described in 
detail below. 
IFRS accounting guideline 
The interim consolidated financial statements and the 
consolidated financial statements of METRO AG are 
prepared in accordance with the International Financial 
Reporting Standards (IFRS) as applicable in the Euro-
pean Union. A group-wide IFRS accounting guideline 
that is compulsory for all companies included in the 
consolidated financial statements ensures the uniform 
group-wide application of accounting procedures in 
accordance with IFRS. To monitor compliance with the 
IFRS accounting guideline, the management of each 
major group company is obligated to confirm com-
pliance by means of a letter of representation. The 
IFRS accounting guideline covers all IFRS relevant to 
METRO AG. Amendments to IFRS are continually  
updated in the IFRS accounting guideline and commu-
nicated to all companies included in the consolidated 
financial statements.

METRO ANNUAL REPORT 2017/18 
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Combined management report 
 
2 Principles of the group 
68 
Accounting processes of companies 
included in the consolidated  
financial statements 
The preparation of the individual financial statements 
of consolidated companies according to IFRS for  
consolidation purposes is principally carried out in 
SAP-based accounting systems (SAP FI). The organi-
sational separation of central and subledger account-
ing, such as fixed asset, receivables and payables 
accounting, provides for clear assignments of individ-
ual tasks related to the preparation of the financial 
statements. It also provides for a functional separation 
that ensures the efficacy of control processes, such  
as the 4-eyes principle. Many group companies  
prepare their individual financial statements in these 
accounting systems on the basis of a centrally man-
aged table of accounts using uniform accounting rules. 
The consolidation of accounting-related data for 
the purpose of group reporting is performed by a 
centralised consolidation system (CCH Tagetik). With-
out exception, all consolidated METRO companies 
must work within this system. It provides a uniform 
accounts table to be used by all consolidated compa-
nies in accordance with the IFRS accounting guideline. 
The accounts tables for the individual IFRS financial 
statements and the consolidated financial statements 
are interlinked. 
Aside from failure to comply with accounting rules, 
risks can also arise from failure to observe formal 
deadlines. An online planning tool was introduced to 
help avoid these risks and document the obligatory 
processes required as part of the preparation of indi-
vidual and consolidated financial statements under 
IFRS, their chronological order and the responsible 
persons. This tool is used to monitor content and tim-
ing of the processes related to the preparation of the 
individual and consolidated financial statements under 
IFRS. It provides for the necessary tracking and tracing 
systems to ensure that risks incurred by superordinate 
group units can be detected and eliminated early on. 
The planning tool divides the process of preparing 
the individual financial statements into key milestones, 
which in turn are divided into individual activities. In 
terms of content, these milestones and activities are 
geared towards METRO’s IFRS accounting guideline 
and thus reflect its implemented state. Compliance 
with additional deadlines and milestones that are cen-
trally provided by the planning tool for the purpose  
of structuring and coordinating the preparation of the 
consolidated financial statements is monitored by 
METRO AG’s Corporate Accounting department. The 
scheduling and monitoring of the milestones and  
activities required to achieve these group milestones 
in the preparation of individual financial statements 
are part of the responsibilities of the respective com-
pany’s management. 
Once they have been transmitted from the individual 
financial statements under IFRS to the consolidation 
system, the financial data are subjected to an auto-
mated plausibility review in relation to accounting-
specific contexts and dependencies. Any errors  
or warning messages generated by the system during 
this validation process must be addressed by the per-
son responsible for the individual financial statements 
before the data are transmitted to the consolidation 
facility. 
An additional control instrument is the report com-
paring the most significant balance sheet and income 
statement positions against the previous period’s 
figures. This report must be submitted to METRO AG 
by all major group companies at the time of preparing 
their individual financial statements and must also 
provide comments on any considerable deviations. 
To warrant the security of the group’s information 
technology systems (IT), access to the accounting-
related IT systems (SAP FI) is regulated. Each com-
pany included in the consolidated financial statements  
is subject to the regulations concerning IT security. 
These regulations are summarised in an IT security 
guideline, with group-wide compliance being monitored 
by the Group Internal Audit department of METRO AG. 
This ensures that users only have access to the infor-
mation and systems needed to fulfil their specific tasks. 
Accounting processes for  
consolidation purposes 
The planning tool used to evaluate the accounting 
processes of the consolidated companies also struc-
tures the process of preparing the consolidated finan-
cial statements by defining key milestones, activities 
and deadlines. The typical tasks entailed in the prep-
aration of the consolidated financial statements are 
defined as specific milestones to be completed. These 
milestones include, for example, the task of evaluating 
the completeness of the consolidation group, the 
evaluation of timely, complete and accurate submis-
sion of data, the completion of typical consolidation 
measures (for example revenue elimination as well  
as the consolidation of expenses, income, debts and 
capital) and finally the completion of the annual  
report. The respective responsibilities and stand-in 
arrangements for the aforementioned milestones are 
documented. 
The group also relies on external service provi-
ders to handle support activities related to the prep-
aration of the consolidated financial statements. 
These services mainly relate to the valuation  
of real estate assets, pension obligations and share-
based remuneration. 
The consolidation measures required to prepare 
the consolidated financial statements are subject to 
various systematic and manual controls. The auto-
mated plausibility reviews (validations) used in indi-
vidual financial statements data also apply to the 
consolidation measures. Additional monitoring mech-

METRO ANNUAL REPORT 2017/18 
69
Combined management report 
 
2 Principles of the group 
69
anisms at group level include target-performance 
comparisons as well as analyses dealing with the 
composition and movements of individual items in the 
balance sheet and the income statement. Compliance 
with internal controls covering the preparation and 
accounting process in the context of the compilation 
of the consolidated financial statements is regularly 
monitored by the Group Internal Audit department of 
METRO AG. 
Access regulations for the consolidation system are 
implemented to ensure adherence to IT security regu-
lations (write/read authorisations). Authorisations  
to use the consolidation system are managed centrally 
by METRO AG. The approval is granted only by the 
Corporate Accounting and Corporate Controlling & 
Finance departments. This ensures that users only 
have access to the specific data they require to fulfil 
their specific tasks. 
Independent audit/validation 
The Group Internal Audit department of METRO AG 
provides independent and objective auditing and 
consulting services within METRO and supports the 
Management Board of METRO AG and the manage-
ment of the group companies in reaching their goals 
by subjecting the key management and business  
processes to a potential-oriented evaluation. In con-
sultation with the Management Board and the group 
companies, the Group Internal Audit department de-
velops a risk-oriented annual audit and project plan. 
Based on the described principles, the Group  
Internal Audit department carries out independent 
audits of the controls monitoring the process of  
preparing the consolidated financial statements, the 
implementation of the IFRS accounting guideline  
and group accounting processes within METRO.  
For this purpose, focal topics are defined as part of 
risk-oriented planning for the annual audit.

METRO ANNUAL REPORT 2017/18 
Combined management report 
 
3 Economic report 
70 
3 ECONOMIC REPORT 
3.1 MACROECONOMIC  
AND INDUSTRY-SPECIFIC 
CONDITIONS  
Global economy 
Overall, the development of the global economy in 
financial year 2017/18 was positive and remained at a 
similar level as in the previous year. However, the up-
swing reached its expected peak in 2018. Trade policy 
conflicts and protectionism, primarily triggered by  
the USA, are causing increasing uncertainty, especially 
for export-driven economies. 
Germany 
The German economy continued to be robust in finan-
cial year 2017/18 across all sectors and grew at a low 
level. This was also due to high domestic demand  
and positive consumer spending, which was supported 
by the positive labour market situation and real wage 
increases. Germany’s exports remained very strong, 
especially within the euro area and in China. The impact 
of trade policy conflicts with the United States has  
not yet materialised on a larger scale. 
Western Europe 
Stable domestic demand also played a major role in 
the economic trend seen in the rest of Western Europe. 
Despite a slight weakening compared to the previous 
year, the economy in Western Europe remained robust 
in financial year 2017/18. While Spain developed  
relatively positively, Italy showed rather low growth 
dynamics. 
Domestic demand was supported by rising private 
consumption and the continuing improvement in the 
labour market situation. This is substantiated by data 
on retail sales and other sectors. Price inflation was 
rather moderate in the past financial year.  
Russia 
Overall, the inflation-adjusted economy in Russia  
continued to show restrained growth, however this 
trend was less pronounced in the course of 2018. The  
inflation rate dropped at the beginning of financial 
year 2017/18, but increased more rapidly as the year 
progressed. The rouble fell sharply in the course of 
financial year 2017/18. The unemployment rate con-
tinued to drop and stayed below the previous year’s 
level. Private consumption grew steadily, which can 
also be explained by the rise in real wages.  
Eastern Europe 
Throughout financial year 2017/18, the national econo-
mies of Eastern Europe exhibited solid overall growth, 
with the exception of Turkey. The positive trend of  
the other Eastern European countries was reflected in 
private consumption and the retail industry, which was 
also driven by a continued drop in unemployment as 
well as wage increases.  
Turkey is the only exception in this group. After an 
initially strong start, the economic situation in Turkey 
became markedly negative, including high inflation and 
a strong decline in the value of its currency. Turkey is 
headed for recession, which may have also been influ-
enced by political conflicts with the USA. 
Asia 
Compared to the previous year, the national econo-
mies of Asia continued to record stable growth rates 
in financial year 2017/18. However, despite the high 
level of China’s growth, the growth rate slowed down in  
the course of financial year 2017/18, with the inflation 
rate rising again. Retail sales and the labour market 
remained stable. In comparison to China, India record-
ed even stronger growth rates, but these were accom-
panied by an increase in the inflation rate. Overall,  
the Asian region topped the growth trend compared 
to the other regions. 
 
 
 
DEVELOPMENT OF GROSS DOMESTIC PRODUCT  
IN KEY GLOBAL REGIONS AND GERMANY 
Year-on-year change in % 
 
20171
 
20182
World 
3.7
 
3.7 
Germany 
2.5
 
1.8 
Western Europe 
(excluding Germany) 
2.3
 
1.9 
Russia 
1.5
 
1.9 
Eastern Europe  
(excluding Russia) 
2.6
 
4.1 
Asia 
5.6
 
5.6 
 
Source: Oxford Economics, Russian Statistical Office 
1 The previous year’s figures may deviate from the Annual Report 2016/17  
because the data provider has been changed. The growth rates refer to values adjusted  
for purchasing power. The regions correspond to the logic of the data provider. 
2 Forecast.

METRO ANNUAL REPORT 2017/18 
71
Combined management report 
 
3 Economic report 
Development in the self-service  
wholesale sector 
On a global scale, self-service wholesale trade sales 
were at a similar level to the previous year; however, 
the development varied between the countries in 
which METRO operates. The sectors of our main  
customer groups HoReCa and Traders developed 
positively again compared to the same period in the 
previous year. 
Sales in the German self-service wholesale trade 
sector declined slightly in financial year 2017/18. Com-
pared to financial year 2016/17, sales in the HoReCa and 
Traders sectors increased to a very good level.  
In Western Europe, the self-service wholesale trade 
sector recorded stable growth, slightly below the pre-
vious year’s level, mainly driven by France, Portugal 
and Spain. The HoReCa industry sector also recorded 
sales growth.  
In Russia, the self-service wholesale trade sector 
grew again in financial year 2017/18 – after a downturn 
in the previous year. The sales of our customer groups 
HoReCa and Traders also developed positively. 
In the countries of Central and Eastern Europe,  
self-service wholesale trade and the HoReCa and  
Traders sectors developed in a varied manner. The 
Turkish self-service wholesale trade sector grew once 
again, as did the industry sectors of our customer 
groups HoReCa and Traders. However, in the course of 
financial year 2017/18, there was a marked increase in 
inflation. Romania experienced high growth in all areas. 
In Poland and the Czech Republic, the self-service 
wholesale trade market stagnated or even declined 
slightly. By contrast, the sales trend for the HoReCa 
and Traders sectors grew in these countries.  
The Asian markets in which METRO operates  
outperformed the level seen in financial year 2016/17, 
especially in China and India.  
Development in the modern  
food retail sector 
In financial year 2017/18, the food retail sector (includ-
ing discounters and drugstores) recorded nominal 
sales growth of around 2.5%. Increases in food prices 
contributed significantly to the positive trend. However, 
the growth is also attributable to positive quantity 
effects. Overall, all formats increased their sales. How-
ever, the development of hypermarkets was weaker 
than that of the other formats, such as the full-range 
stores and discounters. This is due to the ongoing 
restructuring and modernisation process across the 
entire industry.  
On an international comparison, the online food 
business in Germany continued to play a subordinate 
role. This is mainly attributable to the dense network 
of grocery stores. Nonetheless, online food retail con-
tinued to show strong momentum with double-digit 
growth rates.

METRO ANNUAL REPORT 2017/18 
72 
Combined management report 
 
3 Economic report 
3.2 ASSET, FINANCIAL AND 
EARNINGS POSITION 
Overall statement by the Management  
Board of METRO AG on the business 
development and situation of METRO  
Global economic growth in financial year 2017/18 was 
positive overall, with the rate of growth remaining 
similar to the previous year. Trade disputes, however, 
continue to cause increasing uncertainty about future 
developments.  
The Management Board can look back on a chal-
lenging financial year. METRO increased its like-for-like 
sales in a difficult market environment. In Germany, it 
achieved a slight improvement in like-for-like sales as 
a result of growth with HoReCa customers; Eastern 
Europe (excluding Russia) and Asia recorded consider-
able sales growth. In Russia, the strategic transform- 
ation advanced after a challenging first half of the year, 
and the initiated measures are beginning to bear fruit. 
Overall, the Management Board is satisfied with 
the company’s performance, especially because the 
adjusted financial goals were achieved. As a result, we 
will once again propose an attractive dividend to our 
shareholders. 
On 13 September 2018, the Management Board of 
METRO AG also decided to initiate the sales process 
for the hypermarket business and to turn its full atten-
tion to the wholesale business.  
The hypermarket business for sale is reported as a 
discontinued operation as of 30 September 2018 due 
to the ongoing sales process. The discontinued seg-
ment primarily includes Real and some other individual 
companies or assets. All following explanations of  
the business development focus on the continuing 
operations unless stated otherwise. The comparison  
of the forecast for financial year 2017/18 with the  
actual development, however, is made on the basis of 
the entire group including the hypermarket business. 
FINANCIAL AND ASSET POSITION 
Financial management 
Principles and objectives of financial activities 
The financial management ensures the long-term  
liquidity of METRO, reduces financial risks where eco-
nomically feasible and grants loans to group com-
panies. METRO AG centrally performs and manages 
these activities for the entire group. The objective is  
to ensure that group companies can cover their fund-
ing requirements in a cost-efficient manner and, where 
possible, via the international capital markets. This 
applies to operating activities as well as to investments. 
Generally METRO AG bases its selection of financial 
products on the maturities of the underlying transactions. 
Intra-group cash pooling allows the surplus liquid-
ity of individual group companies to be used to cover 
the liquidity needs of other group companies. This 
reduces the amount of external financing and thus the 
interest expense. The financial activities are based on 
a financial budget for the group that covers all signifi-
cant companies.  
METRO AG’s current long-term investment grade 
rating of BBB– and short-term rating of A–3 by Stand-
ard & Poor’s support access to international financial 
and capital markets. We make use of this access for 
our commercial paper programme as well as our bond 
issuance programme as required. 
We support our access to capital markets by  
engaging in regular dialogue with credit investors and 
analysts. The following principles apply to all group-
wide financial activities: 
— External presentation of METRO as a single finan-
cial unit 
— Protection of our financial scope of action  
by limiting the volume of transactions with  
individual banks  
— Centralised financial risk management 
— Centralised risk monitoring 
— Approval process for collaboration with contractual 
partners in the field of financial instruments 
— Implemented separation of function  
— For more information about the risks stemming  
from financial instruments and hedging relationships, 
see the notes to the consolidated financial statements 
in no. 44 – management of financial risks.

METRO ANNUAL REPORT 2017/18 
Combined management report 
 
3 Economic report 
73
Rating 
METRO AG has instructed Standard & Poor’s to assess 
and monitor its credit rating. Standard & Poor’s cur-
rent rating for METRO is as follows:  
 
Category 
 
2018
Long-term 
 
BBB–
Short-term 
 
A–3
Outlook 
 
stable
 
  
 
Financing measures 
The company’s medium-term and long-term financing 
needs are covered by an ongoing capital market bond 
programme with a maximum volume of €5 billion.  
On 13 February 2018, a maturing bond in the amount 
of €50 million with a coupon of 3.5% was repaid on time 
and on 11 May 2018, a maturing bond in the amount  
of €500 million with a coupon of 2.25% was repaid on 
time. On 6 March 2018, a bond of €500 million was 
placed with a coupon of 1.125%. As of 30 Septem-
ber 2018, the bond issuance programme utilised 
amounted to a total of €2,401 million.
Short-term financing requirements are covered through 
the Euro Commercial Paper Programme, which has  
a maximum volume of €2 billion. On average, the pro-
gramme utilised €583 million during the reporting 
period. As of 30 September 2018, utilisation amounted 
to €497 million (30/9/2017: €754 million). 
Bilateral credit facilities totalling €383 million were 
used as of 30 September 2018. As a cash reserve,  
2 syndicated credit facilities worth €1,750 million  
and additional multi-year credit facilities worth 
€250 million were concluded. At no point during the 
reporting period were the syndicated credit facilities 
used.  
— For more information about financing programmes  
and credit facilities, see the notes to the consolidated  
financial statements in no. 37 – financial liabilities. 
In addition to the established issuance programmes, 
the group thus had access to sufficient liquidity at  
all times. The undrawn credit facilities are also shown 
in the notes, no. 37 – financial liabilities. 
 
 
 
  
  
  
  
  
  
UNDRAWN CREDIT FACILITIES BY METRO 
 
 
30/9/2017 
30/9/2018 
 
 
Remaining term 
 
Remaining term 
€ million 
 
Total
up to 1 year
 
over 1 year
Total
 
up to 1 year
over 1 year
Bilateral credit facilities 
 
531
174
 
357
633 
 
318 
315 
Utilisation 
 
–281
–174
 
–107
–383 
 
–318 
–65 
Undrawn bilateral  
credit facilities 
 
250
0
 
250
250 
 
0 
250 
Syndicated credit facilities  
1,750
0
 
1,750
1,750 
 
0 
1,750 
Utilisation 
 
0
0
 
0
0 
 
0 
0 
Undrawn syndicated 
credit facilities 
 
1,750
0
 
1,750
1,750 
 
0 
1,750 
Total credit facilities 
 
2,281
174
 
2,107
2,383 
 
318 
2,065 
Total utilisation 
 
–281
–174
 
–107
–383 
 
–318 
–65 
Total undrawn  
credit facilities 
 
2,000
0
 
2,000
2,000 
 
0 
2,000

METRO ANNUAL REPORT 2017/18 
74 
Combined management report 
 
3 Economic report 
Investments/divestments 
In financial year 2017/18, the continuing and discon-
tinued segments of METRO invested €811 million, 
slightly less overall than the investment volume in the 
previous year. Adjusted for the acquisition of Pro à Pro 
in the previous financial year, investments in IT and 
digitalisation, concept changes and lease extensions 
increased. The investments made by the continuing 
business segment amount to €600 million in financial 
year 2017/18. The discontinued segment reported  
an investment volume of €211 million. With 14 new 
store openings in financial year 2017/18, expansion 
activity increased slightly compared to the previous 
year (2016/17: 13 new store openings). 
 
METRO INVESTMENTS  
 
 
 
Change 
€ million 
 
2016/17
2017/18
 
absolute
%
METRO Wholesale  
 
547
408 
 
–140
–25.5
Real1 
 
131
209 
 
78
59.4
Others2 
 
149
196 
 
47
31.8
Consolidation 
 
0
–2 
 
–2
–
METRO  
 
827
811 
 
–17
–2.0
 
 
1 Primarily includes discontinued operations. 
2 Includes both continuing and discontinued operations. 
 
 
 
 
METRO Wholesale invested €408 million in financial 
year 2017/18. Its investments thus amount to 
€140 million less than in the previous year. This con-
siderable decline in investments is primarily due  
to the acquisition of the delivery specialist Pro à Pro  
in financial year 2016/17. Adjusted for this effect, the 
investment volume is at the previous year’s level. 
METRO Wholesale continues to focus on optimising  
its investment processes. This includes the capital-
efficient expansion of its delivery business and selec-
tive expansion involving smaller, more cost-effective 
formats. In financial year 2017/18, expansion efforts 
focused on China and Russia. We added 5 and 4 new 
METRO stores, respectively, to the existing store net-
work in these countries. The opening of 3 new METRO 
stores in India advanced our expansion on the sub-
continent. Our store network in Belgium and France 
gained one new METRO store each. One store each 
closed down in China, Germany, Italy and Poland. 
In financial year 2017/18, Real invested €209 million. 
These investments were made entirely in the discon-
tinued segment. They correspond to a €78 million 
increase compared to the previous year. This increase 
in investment is mainly due to the extension of leases 
for multiple stores. Several Classic stores were reno-
vated. Real closed 3 stores in Germany during financial 
year 2017/18, 2 of which are only temporary closures 
due to renovation work.  
Investments in the Others segment totalled 
€196 million in financial year 2017/18 (2016/17: 
€149 million). The vast majority of these investments 
was made in the continuing segments; in particular,  
IT and digitalisation (for example expansion of digital 
services for wholesale customers and IT solutions for 
the delivery business), project development, modern-
isation measures as well as the expansion of the  
logistics network in Germany.  
Divestments (including disposals but excluding  
financial investments) generated cash for METRO in 
the amount of €324 million (2016/17: €211 million) 
mainly resulting from the sale of real estate. 
— For more information about divestments, see the cash 
flow statement in the consolidated financial statements 
as well as the notes to the consolidated financial  
statements in no. 42 – notes to the cash flow statement.

METRO ANNUAL REPORT 2017/18 
Combined management report 
 
3 Economic report 
75
Liquidity (cash flow statement) 
Cash inflow from operating activities in financial year 
2017/18 amounted to €874 million (2016/17: cash in-
flow of €851 million). Investing activities led to cash 
outflow of €296 million (2016/17: cash outflow of 
€457 million). Compared with the previous year’s 
period, this represents an increase in cash flow before 
financing activities of €184 million to €578 million. 
Cash flow from financing activities showed cash  
outflows of €581 million (2016/17: cash outflow of 
€375 million). Total cash flow from discontinued oper-
ations amounts to €–133 million (2016/17: €–31 million). 
— For more information, see the cash flow statement  
in the consolidated financial statements as well as  
the notes to the consolidated financial statements  
in no. 42 – notes to the cash flow statement. 
 
 
CASH FLOW STATEMENT
1 
€ million 
 
2016/17
2017/18
Cash flow from operating activities of continuing operations 
 
851
874 
Cash flow from operating activities of discontinued operations 
 
176
31 
Cash flow from operating activities 
 
1,027
905 
Cash flow from investing activities of continuing operations 
 
–457
–296 
Cash flow from investing activities of discontinued operations 
 
–144
–85 
Cash flow from investing activities 
 
–601
–381 
Cash flow before financing activities of continuing operations 
 
394
578 
Cash flow before financing activities of discontinued operations 
 
32
–54 
Cash flow before financing activities 
 
426
524 
Cash flow from financing activities of continuing operations 
 
–375
–581 
Cash flow from financing activities of discontinued operations 
 
–63
–79 
Cash flow from financing activities 
 
–438
–660 
Total cash flows 
 
–12
–136 
Currency effects on cash and cash equivalents 
 
–25
–30 
Total change in cash and cash equivalents 
 
–37
–166 
 
1 Abridged version. The complete version is shown in the consolidated financial statements. 
 
 
 
 
 
 
Capital structure 
As of 30 September 2018, the METRO group balance 
sheet reports equity attributable to continuing and 
discontinued operations in the amount of €3.1 billion 
(30/9/2017: €3.2 billion). The decrease in the reserves 
retained from earnings is due to currency translation 
differences in the amount of €189 million and dividend 
payouts for financial year 2016/17 in the amount of 
€254 million. This is offset by the profit for the period 
attributable to the shareholders of METRO AG, which 
amounts to €344 million, and the remeasurement  
of defined benefit pension plans in the amount of  
€17 million. 
The equity ratio stands at 20.5% (30/9/2017: 
20.3%). 
Negative reserves retained from earnings are not 
due to a loss history but to a reclassification of the 
equity item net assets attributable to former 
METRO GROUP, recognised in the combined financial 
statements of the MWFS GROUP as of 1 October 2016, 
to the legally defined equity items.  
 
 
€ million 
Note no.
 
30/9/2017
30/9/2018
Equity 
32
 
3,207
3,130 
Share capital  
 
363
363 
Capital reserve 
 
6,118
6,118 
Reserves retained 
from earnings 
 
–3,320
–3,392 
Non-controlling 
interests 
 
46
41 
 
— For more information about our equity, see the notes  
to the consolidated financial statements in the number 
listed in the table.

METRO ANNUAL REPORT 2017/18 
Combined management report 
 
3 Economic report 
76 
Net debt pertaining to continuing operations has  
decreased slightly by €21 million compared to the 
previous year and totals €2.7 billion as of 30 Septem-
ber 2018 (30/9/2017: €2.7 billion). Cash and cash 
equivalents decreased by €0.2 billion as of 30 Sep-
tember 2018 to €1.3 billion (30/9/2017: €1.5 billion).  
In contrast, financial liabilities decreased by a similar 
amount, by €0.2 billion to €4.0 billion (30/9/2017: 
€4.2 billion). 
 
 
 
 
 
€ million 
 
30/9/2017
 
30/9/2017
adjusted1
 
30/9/2018
Cash and cash 
equivalents according 
to the balance sheet 
 
1,559
 
1,464
 
1,298 
Short-term financial 
investments2 
 
5
 
1
 
2 
Financial liabilities 
(incl. finance leases) 
 
4,706
 
4,197
 
4,010 
Net debt 
 
3,142
 
2,732
 
2,710 
 
 
 
1 Adjusted for effects of the discontinued business segment. 
2 Shown in the balance sheet under other financial assets (current). 
 
 
 
 
The non-current liabilities of the continuing segment 
amount to €3.4 billion as of 30 September 2018.  
The previous year’s figure, adjusted for the non-current 
liabilities of the hypermarket business, totalled  
€3.6 billion. This change of €–0.2 billion is primarily 
due to the utilisation of provisions and reclassification 
to current liabilities of €120 million. 
As of 30 September 2018, METRO had current  
liabilities totalling €8.7 billion (30/9/2017: €9.0 billion 
(adjusted)). The decline of €0.3 billion compared  
to the adjusted figure of the previous year is primarily 
due to a reduction in financial liabilities by €140 million. 
Provisions declined by €56 million, which was pri-
marily due to utilisation. In the trade liabilities,  
currency effects, on the one hand, and changed pay-
ment arrangements and increased purchasing vol-
umes, on the other hand, offset each other almost in 
full in individual countries. 
Compared to 30 September 2017, the debt ratio of 
the continuing segment has declined by 0.2 percent-
age points, from 79.7% to 79.5%. Correspondingly, the 
share of current liabilities in total liabilities amounts  
to 71.9% ( 30 September 2017: 71.3%). This represents 
an increase of 0.6 percentage points. 
— For more information about the maturity, currency and 
interest rate structure of financial liabilities as well as 
the credit facilities, see the notes to the consolidated  
financial statements in no. 37 – financial liabilities.  
 
 
€ million 
Note no.
 
30/9/2017
30/9/2017 
adjusted1
 
30/9/2018
Non-current 
liabilities 
 
4,197
3,607
 
3,406 
Provisions for 
post-
employment 
benefits plans 
and similar 
obligations 
33
 
557
516
 
468 
Other 
provisions 
34
 
283
246
 
126 
Financial 
liabilities 
35, 37
 
3,095
2,637
 
2,590 
Other financial 
and other non-
financial 
liabilities 
35, 38
 
162
119
 
123 
Deferred tax 
liabilities  
25
 
100
89
 
100 
Current 
liabilities 
 
8,376
8,966
 
8,705 
Trade liabilities 
35, 36
 
4,782
4,000
 
3,993 
Provisions 
34
 
456
329
 
274 
Financial 
liabilities 
35, 37
 
1,611
1,560
 
1,420 
Other financial 
and other  
non-financial 
liabilities 
35, 38
 
1,345
1,195
 
1,136 
Income  
tax liabilities  
35
 
167
167
 
191 
Liabilities 
related  
to assets held  
for sale 
31
 
15
1,715
 
1,691 
 
 
1 Adjusted for effects of the discontinued business segment. 
 
 
— For more information about the development of  
liabilities, see the notes to the consolidated financial 
statements in the numbers listed in the table.  
Information about contingent liabilities and other  
financial liabilities can be found in the notes to the  
consolidated financial statements in no. 45 – contingent 
liabilities and no. 46 – other financial liabilities.

METRO ANNUAL REPORT 2017/18 
Combined management report 
 
3 Economic report 
77
Asset position  
In financial year 2017/18, the balance sheet total  
of the continuing and discontinued operations  
decreased by €537 million to €15.2 billion (30/9/2017: 
€15.8 billion). 
In the non-current assets of the continuing operations, 
a decline of €260 million to €7.5 billion was recorded 
in financial year 2017/18 (30/9/2017: €7.8 billion), 
which primarily related to the tangible assets. Besides 
cost-efficient investment activities, individual real 
estate sales and currency effects contributed to this 
decline. 
 
 
€ million 
 
Note no.
30/9/2017
 
30/9/2017 
adjusted1
30/9/2018
Non-current assets 
 
9,225
 
7,799
7,540 
Goodwill 
 
19
875
 
815
797 
Other intangible assets 
 
20
473
 
457
499 
Tangible assets 
 
21
6,822
 
5,589
5,314 
Investment properties 
 
22
126
 
115
97 
Financial assets 
 
23
92
 
71
88 
Investments accounted for using the equity method 
 
23
183
 
183
178 
Other financial and other non-financial assets 
 
24
217
 
206
202 
Deferred tax assets 
 
25
439
 
364
365 
 
 
1 Adjusted for effects of the discontinued business segment. 
 
 
 
— For more information about the development of non-
current assets, see the notes to the consolidated finan-
cial statements in the numbers listed in the table.

METRO ANNUAL REPORT 2017/18 
78 
Combined management report 
 
3 Economic report 
Compared to the adjusted previous year’s figure, cur-
rent assets have declined by €277 million to €7.7 bil-
lion (30/9/2017: €8.0 billion). In particular, inventories 
contributed a primarily currency-related decline of 
€173 million to €2.1 billion (30/9/2017: €2.3 billion).  
 
 
 
 
 
 
 
€ million 
 
Note no.
30/9/2017
 
30/9/2017 
adjusted1
30/9/2018
Current assets 
 
6,554
 
7,980
7,703 
Inventories 
 
26
3,046
 
2,281
2,108 
Trade receivables 
 
27
575
 
554
571 
Financial assets 
 
1
 
1
1 
Other financial and other non-financial assets 
 
24
1,214
 
960
913 
Entitlements to income tax refunds 
 
148
 
148
206 
Cash and cash equivalents 
 
30
1,559
 
1,464
1,298 
Assets held for sale 
 
31
11
 
2,572
2,605 
 
 
1 Adjusted for effects of the discontinued business segment. 
 
 
 
 
— For more information about the development of  
current assets, see the notes to the consolidated  
financial statements in the numbers listed in the table.

METRO ANNUAL REPORT 2017/18 
Combined management report 
 
3 Economic report 
79
EARNINGS POSITION 
Overview of group  
business development  
The following section reports on continuing and dis-
continued operations. 
In financial year 2017/18, METRO’s like-for-like sales 
rose by 0.7%. This growth is attributable to a positive 
development at METRO Wholesale, while Real experi-
enced a decline in this respect. In local currency,  
METRO sales increased by 0.7%. By contrast, reported 
sales decreased by 1.6% to €36.5 billion due to nega-
tive currency effects. 
Earnings before interest, taxes, depreciation  
and amortisation (EBITDA) excluding earnings con-
tributions from real estate transactions totalled 
€1,396 million in 2017/18 (2016/17: €1,436 million). This 
decrease is mainly attributable to the decline in sales 
in Russia, negative currency development and a nega-
tive effect on earnings resulting from the termination 
of the future collective agreement at Real. Adjusted 
for currency effects, EBITDA excluding earnings con-
tributions from real estate transactions rose by 1.2%.
Earnings contributions from real estate transactions 
totalled €129 million (2016/17: €175 million). EBITDA 
reached €1,525 million (2016/17: €1,611 million). 
 
 
 
 
€ million 
2016/17 
2017/18
 
Change
Sales 
37,140 
36,534 
 
–1.6%
EBITDA excluding 
earnings contributions 
from real estate 
transactions 
1,436 
1,396 
 
–2.8%
Earnings contributions 
from real estate 
transactions 
175 
129 
 
–26.5%
EBITDA 
1,611 
1,525 
 
–5.3%
EBIT 
852 
740 
 
–13.2%
Investments 
827 
811 
 
–2.0%
Stores 
1,041 
1,048 
 
0.7%
Selling space (1,000 m2) 
7,249 
7,152 
 
–1.3%
 
 
The reconciliation from sales to like-for-like sales in 
local currency is shown in the following:  
 
 
 
 
 
 
Continuing and  
discontinued operations 
 
Continuing operations 
€ million 
 
2016/17
2017/18
Change
 
2016/17
2017/18
Change
Total sales in €  
 
37,140
36,534 
–1.6%
 
29,903
29,476 
–1.4%
Total sales in local currency1 
 
36,285
36,534 
0.7%
 
29,048
29,476 
1.5%
Sales of stores that were not part of the 
like-for-like panel in 2017/182 
1,830
1,849 
–
1,540
1,617 
–
Like-for-like sales in local currency 
 
34,455
34,685 
0.7%
 
27,508
27,859 
1.3%
 
 
1 Sales in local currency of the previous year were calculated by converting reported sales of the previous year at the average exchange rate of the current financial year. 
2 Not included in the like-for-like panel are, among others, new openings, stores in start-up phase, closures, service companies and major refurbishments. 
 
 
 
Comparison of forecast  
with actual business developments 
Due to the negative development in Russia, which  
was already foreseeable in the middle of the financial 
year, and the negative effects resulting from the  
cancellation of the future collective agreement at Real, 
the Management Board of METRO AG adjusted its 
forecast on 20 April 2018. 
The comparison with the forecast for financial year 
2017/18 continues to refer to METRO including the 
hypermarket business. 
For the past financial year, METRO had forecast  
a growth rate for total sales of at least 0.5% (originally 
1.1%) based on the assumption of stable exchange 
rates. With an increase of 0.7% in local currency, METRO 
met this target. Like-for-like sales were forecast to 
grow by slightly more than 0.5% (originally also slight-
ly more than 0.5%). With an increase of 0.7%, this 
target was met as well. 
The Management Board of METRO AG expected  
a slight increase in EBITDA (adjusted for currency 
effects and excluding earnings contributions from real 
estate transactions) (originally by around 10%) com-
pared to the figure of €1,436 million in financial year 
2016/17. Adjusted for negative currency effects of 
€56 million, METRO’s EBITDA excluding earnings con-
tributions from real estate transactions was €16 million 
or 1.2% higher than in the previous year.  
METRO thus met its adjusted sales and earnings 
targets in financial year 2017/18.

METRO ANNUAL REPORT 2017/18 
80 
Combined management report 
 
3 Economic report 
Sales and earnings development  
of the segments  
At the beginning of financial year 2017/18, METRO 
started presenting the segment reporting as described 
below. 
The operating segments METRO Wholesale Ger-
many, METRO Wholesale Western Europe (excluding 
Germany), METRO Wholesale Russia, METRO  
Wholesale Eastern Europe (excluding Russia), METRO 
Wholesale Asia, Real and Others were represented  
in the notes to the consolidated financial statements 
as reportable segments pursuant to IFRS 8. The Others 
segment includes all METRO Wholesale companies 
and other activities that cannot be allocated to the 
other companies. In addition to the centralised acti-
vities of METRO, these include, among others, the 
following: the procurement organisation in Hong Kong, 
which also operates on behalf of third parties, logistics 
services and the real estate activities of METRO 
PROPERTIES – provided that they are not attributed 
to any sales lines (that is speciality stores, warehouses, 
head offices, etc.) – and Hospitality Digital. Separate 
reporting by regions is omitted. 
The combined management report, on the other 
hand, includes the operating segments METRO 
Wholesale Germany, METRO Wholesale Western  
Europe (excluding Germany), METRO Wholesale  
Russia, METRO Wholesale Eastern Europe (excluding 
Russia), METRO Wholesale Asia and METRO Wholesale 
Others, which are aggregated as ‘METRO Wholesale’ 
taking account of consolidations. Unlike the segment 
reporting pursuant to IFRS 8, the other METRO 
Wholesale companies (for example international  
trading offices) fall under the METRO Wholesale  
Others segment. The combined management report 
also covers the Real and Others segments.  
METRO Wholesale  
Like-for-like sales of METRO Wholesale increased by 
1.3% in financial year 2017/18. The growth was parti-
cularly pronounced in Eastern Europe (excluding Russia) 
and Asia. Sales in local currency rose 1.5%. As a result 
of unfavourable exchange rate developments espe-
cially in Russia, Asia and Eastern Europe, reported 
sales decreased by 1.4% to €29.5 billion. 
In Germany, like-for-like sales in financial year 
2017/18 rose by 0.8%, while reported sales rose by 0.1%. 
In 2017/18, like-for-like sales in Western Europe 
(excluding Germany) decreased by 0.4%. Reported 
sales increased by 1.7% to €10.6 billion. The acquisition 
of Pro à Pro in the first half of the year, which has been 
contributing to the overall sales since 1 February 2017, 
was particularly noticeable here. 
In Russia, like-for-like sales in financial year 2017/18 
declined significantly by 7.0%, corresponding to a 
decline of 8.0% in local currency. Following challenges 
in the first half of the year, the initiated business trans-
formation measures started bearing fruit in the second 
half. As a result of negative currency effects, the re-
ported sales decreased by 16.3%. 
In Eastern Europe (excluding Russia), like-for-like 
sales in the financial year were clearly positive with  
an increase of 6.1%. Ukraine, Turkey and Romania  
especially contributed to this with 2-digit growth rates 
each. In local currency, sales grew by 5.6%. Due to 
negative currency effects, especially in Turkey, reported 
sales increased solely by 1.0%. 
Like-for-like sales in Asia increased by 4.0% in  
financial year 2017/18. All countries of the segment 
contributed to this. Sales in local currency rose 4.4%. 
As a result of unfavourable exchange rate develop-
ments, reported sales decreased by 1.4%. 
METRO Wholesale’s delivery business showed a 
very positive momentum, with sales rising by approxi-
mately 14% to €5.3 billion in financial year 2017/18. In 
particular, the acquisition of Pro à Pro in the previous 
year contributed to this increase. As a result, the  
delivery business now accounts for 18% of total sales.  
As of 30 September 2018, the store network com-
prised 769 locations (30/9/2017: 759 locations).  
14 stores opened in financial year 2017/18  
(1 store each in Belgium and France, 3 in India, 4 in 
Russia, 5 in China), and 4 stores closed (1 store each  
in China, Germany, Italy and Poland).

METRO ANNUAL REPORT 2017/18 
Combined management report 
 
3 Economic report 
81
METRO WHOLESALE KEY FIGURES I FOR 2017/18 
in year-on-year comparison 
 
 
 
 
Change in % compared with the previous year’s period 
 
 
Sales (€ million) 
 
in group 
currency (€)
 
Currency effects 
in percentage 
points
 
in local currency
 
Like-for-like 
sales in local 
currency
 
 
2016/17
 
2017/18
 
 
 
 
Sales 
 
29,866
 
29,451 
 
–1.4%
 
–2.9%
 
1.5%
 
1.3%
Germany 
 
4,745
 
4,750 
 
0.1%
 
0.0%
 
0.1%
 
0.8%
Western Europe 
(excluding Germany) 
 
10,432
 
10,609 
 
1.7%
 
0.0%
 
1.7%
 
–0.4%
Russia  
 
3,363
 
2,815 
 
–16.3%
 
–8.3%
 
–8.0%
 
–7.0%
Eastern Europe  
(excluding Russia) 
 
6,886
 
6,952 
 
1.0%
 
–4.7%
 
5.6%
 
6.1%
Asia 
 
4,360
 
4,298 
 
–1.4%
 
–5.8%
 
4.4%
 
4.0%
Others 
 
81
 
27 
 
–66.3%
 
0.0%
 
–66.3%
 
0.0%
Locations (number) 
 
759
 
769 
 
–
 
–
 
–
 
–
Selling space (1,000 m2) 
 
5,307
 
5,234 
 
–
 
–
 
–
 
–
 
  
  
  
  
  
  
 
 
The EBITDA excluding earnings contributions  
from real estate transactions reached a total of 
€1,321 million in financial year 2017/18 (2016/17: 
€1,413 million). This corresponds to a change adjusted 
for currency effects of €–35 million compared to the 
same period in the previous year. The decline in Russia 
in the amount of €79 million (€–46 million after  
adjustment for currency effects) is predominantly  
attributable to sales and margins and includes a  
positive once-off effect in the amount of approximately 
€10 million. The positive development in Western  
Europe and Germany partially offset this decline.  
Adjusted for currency effects, Eastern Europe (€+11 million) 
and Asia (€+8 million) also developed positively. In  
the METRO Wholesale Others segment, increased IT 
expenses during the current financial year and income 
from the reversal of provisions in the previous year 
were the main reasons for the result (€–36 million  
adjusted for currency effects).  
The earnings contributions from real estate trans-
actions declined by €57 million compared with the 
previous year. While in financial year 2016/17 a major 
transaction took place in China, a real estate trans-
action in Spain contributed particularly to the result.  
In total, EBITDA fell to €1,380 million (2016/17: 
€1,528 million).

METRO ANNUAL REPORT 2017/18 
82 
Combined management report 
 
3 Economic report 
 
 
 
 
 
 
 
 
 
 
 
METRO WHOLESALE KEY FIGURES II FOR 2017/18 
 
 
 
 
 
 
EBITDA excluding earnings 
contributions from real estate 
transactions 
 
Earnings 
contributions  
from real estate 
transactions 
 
EBITDA 
 
EBIT 
 
Investments 
€ million  
 
2016/17
 
2017/18
 
Change
(€)
 
2016/17
 
2017/18
 
2016/17
 
2017/18
 
2016/17
 
2017/18
 
2016/17
 
2017/18
METRO Wholesale 
 1,413
 1,321 
 
–91
 
115
 
59 
 1,528
 1,380 
 1,035
 
947 
 
547
 
408 
Germany 
 
88
 
91 
 
3
 
–1
 
0 
 
87
 
91 
 
13
 
15 
 
40
 
65 
Western Europe 
(excluding 
Germany) 
 
466
 
491 
 
25
 
6
 
39 
 
472
 
530 
 
302
 
388 
 
310
 
127 
Russia  
 
345
 
266 
 
–79
 
0
 
0 
 
345
 
266 
 
290
 
214 
 
72
 
83 
Eastern Europe 
(excluding Russia) 
 
367
 
363 
 
–4
 
0
 
12 
 
367
 
375 
 
257
 
278 
 
55
 
69 
Asia 
 
162
 
162 
 
0
 
110
 
8 
 
272
 
170 
 
191
 
105 
 
70
 
63 
Others/Consolidation 
 
–16
 
–52 
 
–36
 
0
 
0 
 
–16
 
–52 
 
–17
 
–53 
 
1
 
0 
 
 
 
 
 
 
 
 
 
 
 
 
 
Real  
Real’s like-for-like sales declined by 1.7% in financial 
year 2017/18. This decline is in particular attributable 
to persistent warm weather and a temporarily limited 
availability of goods in the second half of the year. 
Reported sales decreased by 2.3% to €7 billion due to 
3 market closures, some of which were temporary. 
Online sales continued to develop very positively. 
In financial year 2017/18, they increased by around 35% 
and achieved a share of sales of approximately 2%.  
The EBITDA excluding earnings contributions 
from real estate transactions reached a total of 
€143 million in financial year 2017/18 (2016/17: 
€154 million). The previous year included restructuring 
expenses of €60 million. The result was negatively 
affected in the amount of around €50 million by the 
termination of the future collective agreement that 
took place in the current financial year. Earnings con-
tributions from real estate transactions amounted  
to €12 million (2016/17: €6 million). EBITDA amounted 
to €155 million (2016/17: €159 million). 
As part of the required annual impairment test, 
goodwill of €64 million attributed to Real was written 
down in full. This is the primary reason for the con-
siderable increase in impairment losses compared to 
the previous year. 
As of 30 September 2018, the store network spanned 
279 individual stores (2016/17: 282 stores), 3 less than 
on the reporting date in the previous year (of which  
2 were temporary closures due to renovation work). 
 
 
REAL
1 KEY FIGURES I FOR 2017/18 
 
 
in year-on-year comparison 
 
 
 
 
 
 
 
Change in % compared with the previous year’s period 
 
 
Sales (€ million) 
 
in group 
currency (€)
Currency effects 
in percentage 
points
 
in local currency
Like-for-like sales 
in local currency
 
 
2016/17
2017/18
 
 
Sales 
 
7,247
7,077 
–2.3%
0.0%
 
–2.3%
–1.7%
Locations (number) 
 
282
279 
–
–
 
–
–
Selling space (1,000 m2) 
 
1,941
1,919 
–
–
 
–
–
 
 
 
1 Primarily includes discontinued operations.

METRO ANNUAL REPORT 2017/18 
Combined management report 
 
3 Economic report 
83
 
 
 
 
 
REAL
1 KEY FIGURES II FOR 2017/18 
 
 
 
EBITDA  
excluding earnings  
contributions from  
real estate transactions 
 
Earnings 
contributions  
from real estate 
transactions 
 
EBITDA 
 
EBIT 
 
Investments 
€ million  
2016/17
 
2017/18
Change 
(€)
 
2016/17
2017/18
 
2016/17
2017/18
 
2016/17
2017/18
 
2016/17
2017/18
Real 
154
 
143 
–11
 
6
12 
159
155 
19
–76 
 
131
209 
1 Primarily includes discontinued operations. 
 
 
 
 
 
 
Others  
The Others segment comprises, among others, the 
centralised activities of METRO, the procurement  
organisation in Hong Kong, which also operates on 
behalf of third parties, logistics services and real  
estate activities of METRO PROPERTIES which are not 
attributed to any sales lines (that is speciality stores, 
warehouses, head offices, etc.) and Hospitality Digital. 
In financial year 2017/18, sales in the Others seg-
ment decreased by €20 million to €7 million (2016/17: 
€27 million). This decline is mainly attributable to the 
fact that in the first quarter of the previous year,  
sales still included the 4 Real stores in Romania that 
have since been sold. 
The EBITDA excluding earnings contributions from 
real estate transactions amounted to €–63 million in 
financial year 2017/18 (2016/17: €–133 million). While 
the result in the first half-year was supported by rever-
sals of provisions and once-off income in relation to 
the settlement of earlier acquisitions, the third quarter 
was affected by start-up costs for the new warehouse 
structure in Germany and expenses incurred in relation 
to the resignation of a member of the Management 
Board. The result in the fourth quarter of 2016/17 suf-
fered from one-off expenses in a high 2-digit range, 
which were related to the demerger. Earnings contri-
butions from real estate transactions amounted to 
€58 million (2016/17: €60 million). EBITDA amount to 
€–5 million (2016/17: €–73 million). 
 
 
 
OTHERS
1 KEY FIGURES I FOR 2017/18 
in year-on-year comparison 
 
Sales (€ million) 
 
2016/17
 
2017/18
Sales 
27
 
7 
 
1 Includes both continuing and discontinued operations. 
 
 
 
 
OTHERS
1 KEY FIGURES II FOR 2017/18 
 
 
 
 
 
 
EBITDA excluding earnings 
contributions from real estate 
transactions 
 
Earnings 
contributions from 
real estate 
transactions 
 
EBITDA 
 
EBIT 
 
Investments 
€ million  
 
2016/17
 
2017/18
 
Change
(€)
 
2016/17
 
2017/18
 
2016/17
 
2017/18
 
2016/17
 
2017/18
 
2016/17
 
2017/18
Others 
 
–133
 
–63 
 
71
 
60
 
58 
 
–73
 
–5 
 
–201
 –126 
 
149
 
196 
 
 
 
 
 
 
 
 
 
 
 
1 Includes both continuing and discontinued operations.

METRO ANNUAL REPORT 2017/18 
84 
Combined management report 
 
3 Economic report 
Net financial result and taxes 
 
€ million 
2016/17
 
2017/18
Earnings before  
interest and taxes EBIT 
833
823 
Earnings share of  
non-operating companies 
recognised at equity 
0
0 
Other investment result 
1
0 
Interest income/expenses 
(interest result) 
–128
–128 
Other financial result 
–32
–2 
Financial result 
–159
–130 
Earnings before taxes EBT 
674
693 
Income taxes 
–295
–235 
Profit or loss  
for the period from 
continuing operations 
379
458 
Profit or loss for the  
period from discontinued 
operations after taxes 
–34
–110 
Profit or loss  
for the period 
345
348 
 
  
Net financial result 
The net financial result from continuing operations 
primarily comprises the interest result of €–128 million 
(2016/17: €–128 million) and the other financial result 
of €–2 million (2016/17: €–32 million). Interest is at the 
level of the previous year. The improvement in the 
other financial result by €30 million to €–2 million is 
primarily the result of more favourable currency  
exchange rates and the reversal of a liability from con-
tingent consideration in the context of an acquisition.  
— For more information about the net financial result,  
see the notes to the consolidated financial statements  
in no. 6 to 9 – earnings share of operating/non-
operating companies recognised at equity, no. 7 –  
other investment result, no. 8 – net interest income/ 
interest expenses and no. 9 – other financial result. 
 
 
  
  
€ million 
 
2016/17
2017/18
Actual taxes 
 
222
231 
thereof Germany 
(27)
(14) 
thereof international 
(195)
(217) 
thereof tax 
expenses/income of 
current period 
(217)
(252) 
thereof tax 
expenses/income of 
previous periods 
(5)
(–21) 
Deferred taxes 
 
73
4 
thereof Germany 
(–8)
(39) 
thereof international 
(81)
(–35) 
 
 
295
235 
 
  
  
 
Taxes 
The reported income tax expenses of €235 million 
(2016/17: €295 million) are €60 million lower than in 
the previous year.  
During the reporting period, the group tax rate for 
continuing segment is 33.9% (2016/17: 43.8%). The 
group tax rate is the ratio between recognised income 
tax expenses and earnings before taxes. Besides  
positive effects from tax rate changes abroad and 
lower impairment losses on deferred taxes, the com-
paratively low rate in the current financial year was 
especially due to lower expenses for risk provisioning 
and other one-time effects. The high rate of the pre-
vious year was influenced by expenses associated with 
the demerger, which did not result in reduced tax-
expenses. 
— For more information about income taxes, see  
the notes to the consolidated financial statements  
in no. 11 – income taxes.

METRO ANNUAL REPORT 2017/18 
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Combined management report 
 
3 Economic report 
Profit or loss for the period and earnings per share 
The profit for the period from continuing operations 
reached €458 million in financial year 2017/18, 
amounting to €79 million more than the profit for  
the previous year’s period (2016/17: €379 million). 
The profit for the period from METRO’s continuing  
and discontinued operations reached €348 million in 
financial year 2017/18, amounting to €3 million more 
than the profit for the previous year’s period (2016/17: 
€345 million). 
Net of earnings per share of non-controlling inter-
ests, profit for the period attributable to the sharehold-
ers of METRO AG from continuing and discontinued 
operations amounts to €344 million (2016/17: 
€325 million). This represents an increase of 
€19 million. An improvement of €95 million resulted 
from continuing operations. 
On this basis, METRO achieved a result of  
€0.95 per share from its continuing and discontinued 
operations in financial year 2017/18 (2016/17: €0.89), 
of which €1.25 came from continuing operations 
(2016/17: €0.99). The calculation for the reporting 
period was based on a weighted number of 
363,097,253 shares. Profit for the period attributable 
to the shareholders of METRO AG was distributed 
according to this number of shares. There was no dilu-
tion from so-called potential shares in financial year 
2017/18 or in the previous year. 
This result forms the basis for the dividend  
recommendation. 
 
 
 
 
 
 
Change 
 
 
2016/17
2017/18
 
absolute
%
Profit or loss for the period  
from continuing operations 
€ million
 
379
458 
 
79
20.9
Profit or loss for the period  
from discontinued operations after taxes 
€ million
 
–34
–110 
 
76
–
Profit or loss for the period 
€ million
 
345
348 
 
3
0.9
Profit or loss for the period  
attributable to non-controlling interests 
€ million
 
20
4 
 
–16
–79.2
from continuing operations 
€ million
 
(20)
(4) 
 
–16
–79.0
from discontinued operations 
€ million
 
(0)
(0) 
 
0
–95.1
Profit or loss for the period attributable  
to the shareholders of METRO AG 
€ million
 
325
344 
 
19
5.9
from continuing operations 
€ million
 
(359)
(454) 
 
95
26.4
from discontinued operations 
€ million
 
(–34)
(–110) 
 
–76
–
Earnings per share (basic = diluted)1 
€
 
0.89
0.95 
 
0.05
5.9
from continuing operations 
€
 
(0.99)
(1.25) 
 
0.26
26.4
from discontinued operations 
€
 
(–0.09)
(–0.30) 
 
–0.21
–
 
 
1 After non-controlling interests.

METRO ANNUAL REPORT 2017/18 
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4 Report on events after the closing date and outlook 
4 REPORT ON EVENTS  
AFTER THE CLOSING DATE  
AND OUTLOOK 
REPORT ON EVENTS  
AFTER THE CLOSING DATE 
Events after the closing date 
No events subject to mandatory disclosure occurred 
between the closing date (30 September 2018) and 
the date of preparing the annual financial statements 
(22 November 2018).  
OUTLOOK 
The outlook prepared by METRO considers relevant 
facts and events that were known at the time of pre-
paring the consolidated financial statements and that 
may have an impact upon the future development of 
our business. The outlook on economic parameters is 
based on an analysis of primary data used to derive 
forecasts. Feri Trust is the main source of the data 
used to forecast anticipated business conditions. The 
following conclusions reflect a mid-range scenario of 
expectations. 
Macroeconomic parameters1 
Global economy 
After global economic growth in financial year 2017/18 
remained at a similarly stable level as in the previous 
year, it is likely to be lower in the coming financial year. 
This development applies to all regions except Latin 
America. While in the United States of America (USA) 
the economy grew due to very low unemployment and 
economic policy reforms, rising inflation and interest 
rate hikes may dampen the upswing. Another negative 
impact may be the USA’s protectionist trade policy or 
trade conflicts. The most important trade conflict cur-
rently exists between the USA and China. This is one of  
the main reasons why weaker growth momentum is  
expected for China. For Eastern and Western Europe, 
economic growth is forecast to decline, with inflation 
remaining stable in the West but rising in the East.  
In addition to trade disputes with the USA, the United 
Kingdom’s imminent exit from the EU is a major nega-
tive factor that will have a negative impact, especially 
for EU countries. For Russia, similar economic growth 
as in the previous year is expected along with an in-
crease in inflation. All in all, we expect inflation-adjusted 
global economic growth of around 3.4% for 2019. 
Germany 
After the solid trend of the German economy in finan-
cial year 2017/18, lower growth of +1.6% is expected, 
which is still carried by domestic demand. The contin-
ued positive development on the German labour  
market as well as the effects of wage increases with 
constant inflation point to solid growth in private con-
sumption. According to forecasts, Germany’s export 
industries will develop less strongly in the coming year 
than in previous years.  
Western Europe 
While the economy in Western Europe recovered  
in the past financial year 2017/18, we expect slightly 
weaker growth in 2019. The slowdown in growth  
momentum will affect all countries in the region, even 
though, at 1.7%, growth is likely to turn out only slightly 
below the previous year’s level. In Italy in particular, 
there are economic policy risks that could further  
affect growth. The most recent monetary policy deci-
sions by the ECB appear to indicate a very slow return 
to higher interest rates, which continue to drive growth 
in the European economies at their relatively low cur-
rent levels.  
Russia 
For Russia, economic growth is expected to be ap-
proximately 1.3% lower than in financial year 2017/18. 
This is also linked to a small increase in private con-
sumption, which will be particularly affected by the 
increase in value added tax (VAT) at the beginning  
of 2019. Additionally, inflation is expected to rise to 
about 5.1% along with a persistently weak currency. 
Economic sanctions continue to be a burden on the 
economy.  
Eastern Europe 
After solid growth in financial year 2017/18, we expect 
economic growth in Eastern Europe to remain below 
the previous year’s level. This trend can be seen in 
almost all countries in this region. The biggest excep-
tion is Turkey, which could experience the beginning 
of an economic recession with a negative growth rate 
of –1.6%. In Turkey, the inflation rate continues to rise 
above 20%. Unemployment is also likely to rise as a 
consequence of the recession. 
 
 
 
 
 
 
 
 
 
 
 
1 Source: Oxford Economics

METRO ANNUAL REPORT 2017/18 
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4 Report on events after the closing date and outlook 
Asia 
We anticipate that the Asian economy will continue  
to grow solidly, albeit at a lower level than in the pre-
vious financial year 2017/18. The labour market and 
private consumption continue to develop positively, 
even as the inflation rate continues to rise. For China, 
economic growth is forecast to turn out considerably 
below the level of the previous year. There is still a risk 
that the trade conflict with the USA will continue to 
worsen. Since the USA is China’s largest trading part-
ner, this development would severely impact China  
as an export nation and affect economic growth. The 
Indian economy continues to grow strongly according 
to forecasts. 
METRO Wholesale: Development  
in the self-service wholesale trade sector2  
The global development of the self-service wholesale 
trade sector in financial year 2018/19 is anticipated  
to remain positive, contrary to the general economic 
trend. We expect that the contribution of the individ-
ual regions will once again vary. This also applies  
to the regions in which METRO operates. Growth is 
stronger in Asia than in Europe. 
In comparison to the reporting period, we expect 
financial year 2018/19 to exhibit further declines in 
sales for companies operating in the wholesale indus-
try sector in Germany. In contrast, there is still poten-
tial for additional growth in the food delivery segment. 
Further sales growth is forecast for the food service 
sector, which represents an important customer group 
for METRO Wholesale. 
The self-service wholesale trade sector in Western 
Europe is likely to increase in nominal terms in the 
forecast year after only slight growth in financial year 
2017/18, especially in METRO countries Austria and 
Portugal. The food service sector is also expected to 
develop positively, especially in Portugal and Spain.  
In Russia, we expect slight growth in the self-service 
wholesale trade sector. We assume that the increase  
in value added tax (VAT) at the beginning of 2019 will 
have an overall negative impact on consumer spend-
ing. Even if food is exempted from the VAT increase, 
price competition for food is expected to continue to 
be intense as a consequence of higher non-food VAT. 
In Central and Eastern European countries, the 
self-service wholesale trade sector is expected to 
grow more strongly in financial year 2018/19 than in 
the previous year, especially in countries such as  
Turkey, Romania and Ukraine. Despite the difficult 
economic environment, we believe that the HoReCa 
industry sector, supported by increasing tourism, will 
grow in Turkey. We expect the HoReCa and Traders 
sectors to continue their strong growth momentum, 
particularly in Romania and Poland. 
The self-service wholesale trade markets in Asia, in 
particular in India, but also in China and Pakistan, are 
forecast to deliver stable, high-level economic devel-
opment in financial year 2018/19. In addition to the 
store-based business, the delivery business continues 
to be a positive growth driver in this region. 
Earnings outlook:  
Outlook for METRO 
The outlook is based on the assumptions of stable 
exchange rates and no further adjustments to the 
portfolio and is given only for the continued oper-
ations of METRO. Our reporting also assumes a con-
tinuously complex geopolitical situation.  
Sales 
Despite the persistently challenging economic envi-
ronment in particular in Russia, METRO expects to see 
an increase in overall sales in the range of 1–3% for  
financial year 2018/19, mainly driven by Eastern  
Europe (excluding Russia) and Asia. For Russia, a 
measurable trend improvement is expected.  
METRO equally expects an increase in like-for-like 
sales in the range of 1–3% in financial year 2018/19, 
also mainly driven by Eastern Europe (excluding  
Russia) and Asia. For Russia, a measurable trend im-
provement is expected.  
Earnings 
EBITDA excluding earnings contributions from real 
estate transactions is expected to decrease by  
around 2–6 % compared to financial year 2017/18  
(€ 1,242 million), particularly driven by an expected 
double-digit percentage decrease in the segment 
Others (2017/18: € –129 million) as well as by an  
expected mid- to high-single-digit percentage de-
crease in the segment Russia. For all other segments 
an EBITDA around previous year level is expected. 
 
 
 
 
 
 
 
 
 
 
2 Source: Euromonitor, Planet Retail

METRO ANNUAL REPORT 2017/18 
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5 Risk and opportunity report 
5 RISK AND  
OPPORTUNITY REPORT 
Risk and opportunity management system 
In a dynamic market environment, the early identifica-
tion and systematic exploitation of opportunities is a 
fundamental entrepreneurial task. This is an essential 
prerequisite for our company’s long-term success.  
We are continuously exposed to risks that can impede 
the realisation of our short-term and medium-term 
objectives as well as the implementation of long-term 
strategies. In some cases, we must consciously take 
manageable risks to be able to exploit opportunities  
in a targeted manner. We define risks as internal or 
external events resulting from uncertainty over future 
developments that can negatively impact the realisa-
tion of our corporate objectives. We define oppor-
tunities as possible achievements that extend beyond 
the defined objectives and can thus facilitate and 
drive our business development. We consider risks 
and opportunities as inextricably linked. Risks can, for 
example, emerge from missed or poorly exploited 
opportunities. Conversely, exploiting opportunities in 
dynamic growth markets or in new business areas 
always entails risks.  
With this in mind, we understand our company’s 
risk and opportunity management system as a tool 
that helps us to achieve our corporate goals. It is a 
systematic process that encompasses the entire 
group. It helps the company’s management to identify, 
classify and control risks and opportunities. As such, 
risk and opportunity management form a unity. Our 
risk management identifies developments and events 
that could potentially prevent us from reaching our 
business targets at an early stage and analyses their 
implications. This allows us to put the necessary coun-
termeasures into place in a timely manner. At the same 
time, this forecasting process allows us to systemati-
cally exploit emerging opportunities. 
Centralised management and efficient organisation 
Group-wide risk and opportunity management tasks 
and responsibilities are clearly defined and reflect our 
corporate structure. We combine centralised business 
management by the management holding company 
METRO AG with the decentralised operating respon-
sibility of the individual sales lines.  
It is the responsibility and a legal obligation of  
the Management Board of METRO AG to organise a 
governance system for METRO. We regard the risk 
management system, the internal control system, the 
compliance management system as well as internal 
auditing to be components of the governance, risk 
and compliance system (GRC system). This organisa-
tional structure is based on the governance elements 
identified in § 107 Section 3 of the German Stock  
Corporation Act (AktG) as well as the German Corpor-
ate Governance Code. The fundamental principles of 
the GRC system are defined and documented in our 
governance, risk and compliance guideline. This guide-
line is intended to render structures and processes 
more transparent and to harmonise the procedural-
organisational framework for the subsystems. This is 
the foundation for our efforts to increase the overall 
efficiency of the GRC system and to continuously 
enhance its effectiveness.  
The group’s Governance, Risk, and Compliance 
Committee (GRCC Committee) is chaired by the Chief 
Financial Officer of METRO AG and regularly discusses 
methods and new developments of the GRC subsys-
tems. The committee also conducts regular reviews of 
the current risk and opportunity situation. Permanent 
members include representatives of Corporate Account-
ing (including Risk Management and Internal Control 
Finance and Internal Control Operations), Corporate 
Legal Affairs & Compliance and Group Internal Audit. 
The committee meetings are also attended by Corpor-
ate Controlling & Finance, Corporate Treasury, Group 
Strategy and Corporate Public Policy. Experts are 
invited to attend the events as required. 
Risk management 
The Management Board of METRO AG assumes overall 
responsibility for the effectiveness of the risk man-
agement system as part of the GRC system. The group 
companies are responsible for identifying, assessing 
and managing risks. Key elements of internal monitor-
ing include effectiveness checks in the form of self-
assessments by the management teams as well as 
internal audits.  
The Supervisory Board of METRO AG also oversees 
the effectiveness of the risk management. In com-
pliance with the provisions of the German Corporate 
Sector Supervision and Transparency Act (KonTraG), 
the external auditor subjects the company’s early risk 
warning system as part of the risk management sys-
tem to a periodic audit. The results of this audit are 
presented to the Management Board and Supervisory 
Board. 
Our Corporate Risk Management unit is responsi-
ble for managing and developing our risk manage-
ment system. This unit is part of the Group Gover-
nance department within Corporate Accounting at 
METRO AG. It determines the company’s risk manage-
ment approaches, methods and standards in consult-
ation with the GRCC Committee. The Corporate Risk 
Management unit coordinates the underlying process, 
ensures information is shared within the company and 
supports the further development of risk management 
across all group companies and central business units. 
In this context, the GRCC Committee keeps the  
Management Board of METRO AG continuously up-
dated on the essential developments concerning  
risk management.

METRO ANNUAL REPORT 2017/18 
Combined management report 
 
5 Risk and opportunity report 
89
The risk management system is organised as a closed-
loop system to ensure the design’s effectiveness with 
respect to the defined risk management rules. This 
also allows us to guarantee effective implementation 
and continuous improvement of the system based on 
results and experiences. 
— For more information, see chapter 2 principles of the 
group – 2.6 characteristics of the accounting-related  
internal control and risk management system and  
explanatory report of the Management Board. 
Opportunity management 
The systematic identification and communication of 
opportunities is an integral part of the management 
and controlling system of METRO.  
We conduct macroeconomic analyses, study rele-
vant trends and evaluate market, competition and 
locality analyses. We also analyse the critical success 
factors of our business models and the relevant cost 
drivers of our company. The Management Board of 
METRO AG specifies the derived market and business 
opportunities as well as efficiency enhancement po-
tential in the context of strategic as well as short-term 
and medium-term planning. It does so by seeking to 
engage in a regular dialogue with the management of 
the group companies and units at the central holding 
company. As a company, we focus primarily on busi-
ness approaches driven by the market and by custom-
ers. We continuously review the various elements of 
our sustainable long-term growth strategy. 
Reporting 
Group reporting is the central element of our internal 
risk and opportunity communications. It is comple-
mented by the risk and opportunity management 
system reporting. The objective is to allow for a struc-
tured and continuous monitoring of risks and oppor-
tunities which is documented in accordance with legal 
and regulatory stipulations. 
We ascertain our risk inventory on an annual basis 
by systematically mapping and assessing all signifi-
cant group-wide risks based on quantitative and qual-
itative indicators and uniform criteria relating to the 
loss potential and the probability of occurrence. The 
results of the risk inventory and the risk portfolio are 
updated on a regular basis. 
In financial year 2017/18, the risk inventory was 
supported with by an IT solution. This led to a sig- 
nificant increase in efficiency and quality. 
The topically responsible risk coordinators, for  
example those responsible for procurement, sales or 
administrative functions, validate the results reported 
by the group companies and central business units.  
In a second step, they summarise these results in a 
functional risk profile accompanied by a detailed  
description of significant individual risks. Important 
issues are then validated in direct consultation with 
the GRC Committee and specific action for an improved 
management of the risks is derived. 
In addition, we consider the results of the analyses 
concerning strengths, weaknesses, opportunities and 
threats carried out as part of the strategic planning 
process. We also consider analyses of the reports 
compiled by us as part of our medium-term planning 
and projections. Furthermore, we examine relevant 
results from the internal control system, the compli-
ance management system, the issues management 
system, the opportunity management system and in-
ternal auditing.

METRO ANNUAL REPORT 2017/18 
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5 Risk and opportunity report 
 
 
 
The overarching risk and opportunity portfolio at 
METRO that emerges from these findings enables us 
to gain a very good overall understanding of the com-
pany’s risk and opportunity situation. The so-called 
GRC report describes the current situation and in-
cludes recommendations for risk management and 
measures to improve the effectiveness of the GRC 
subsystems. 
The Management Board regularly informs the  
Supervisory Board and the Audit Committee about 
issues relating to the management of risks and oppor-
tunities. Twice a year, the Supervisory Board is fur-
nished with a written report on the organisation and 
direction of our risk and opportunity management as 
well as the current risk and opportunity situation. 
When preparing the half-year financial report, we 
regularly review and update the overarching risk and 
opportunity portfolio compiled in the previous year. 
We also use an emergency notification system  
in the case of unexpected serious risks arising for our 
asset, financial and earnings position. The Manage-
ment Board of METRO AG will in this case be provided 
with the necessary information directly and without 
delay. 
Strict principles for dealing with risks 
METRO will only assume commercial risks if they  
are manageable and if the associated opportunities 
promise a reasonable increase in our value.  
We bear the risks incurred in conjunction with the 
core wholesaling and retailing processes ourselves. 
These core processes include the development and 
implementation of business models, decisions about 
store locations and the procurement and sale of  
merchandise and services. Risks from support pro-
cesses are mitigated within the group or, to the extent 
expedient, transferred to third parties. We generally 
do not assume risks that are not related to core pro-
cesses or support processes. Risks that are likely to 
materialise are included in our business plans and our 
outlook.

METRO ANNUAL REPORT 2017/18 
Combined management report 
 
5 Risk and opportunity report 
91
Risk management details clearly defined 
We ensure the coordinated application of risk man-
agement tools by setting out all relevant facts in our 
corporate regulation. These include the Articles of 
Association and Code of Procedure of group com-
panies, internal group guidelines and our group-wide 
risk management guideline, which defines 
— the risk management framework  
(terms, basic structure, strategy, principles),  
— the risk management organisation  
(roles and responsibilities, risk units),  
— processes (risk identification, assessment  
and management),  
— risk reporting as well as  
— monitoring and controlling the effectiveness  
of risk management. 
Based on the internationally recognised COSO II 
standard, the risk management framework addresses 
the 3 levels of risk management: corporate objectives, 
processes and organisation.  
The first level of risk management relates to the 
clustering of corporate objectives. METRO has defined 
the following clusters: 
— Strategic objectives related to safeguarding the 
company’s future economic viability (strategy  
cluster) 
— Operational objectives related to the attainment  
of set key performance metrics (operations cluster) 
— Corporate management objectives related  
to compliance with laws, regulations, internal 
guidelines and specified procedures  
(governance cluster) 
— Objectives related to appropriate preparations  
to mitigate event risks such as breakdowns,  
business interruptions and other crisis events 
(events cluster) 
On the second risk management level ( the process 
level), the definition of objectives also serves as the 
starting point for risk mapping. In this context, we 
identify, classify and manage risks that would jeopard-
ise or inhibit the achievement of our objectives, should 
these risks materialise. We also work with a list of 
standardised risks which must be assessed by the risk 
units. This ensures that all typical operational risks that 
apply to our business operations are validated. As a 
rule, we consider all external and internal risks. 
On the third risk management level, clusters are 
delineated in terms of functional categories based on 
the group’s organisational structures, such as pro-
curement, sales, human resources or real estate. We 
generally assess risks over a prospective 1-year period; 
strategic risks cover at least the medium-term plan-
ning horizon (3 years). METRO monitors and assesses 
longer-term risks and opportunities, for example relat-
ed to climate change, using its issues management 
system. The Corporate Public Policy department’s 
Issues Management unit continuously monitors and 
identifies topics of special interest and media issues of 
relevance to the group. This enables us to address the 
public debate with swift, clear and uniform state-
ments. The group’s issues management and risk man-
agement systems are closely interconnected.  
Risk classification 
All identified risks are classified based on uniform 
standards and quantitative and qualitative indicators 
with regard to loss potential (detrimental effects on 
our corporate objectives, the key performance indi-
cator is currently EBIT) and probability of occurrence. 
We break risks down into the following 4 risk categories: 
 
 
 
  
Loss potential 
 
Significant 
> €300 million
Major 
> €100–
300 million
Moderate 
> €50–
100 million
Minor 
≤ €50 million
Probability of occurrence 
 
Probable 
> 50%
Possible 
> 25–50%
Low 
≥ 10–25%
Unlikely 
< 10%
 
  
 
All risks are assessed on the basis of their potential 
impact at the time of the risk analysis and before  
potential risk-minimising measures (presentation of 
gross risks, meaning before the implementation of 
risk-limitation measures). 
Risk units 
On the organisational level, we determine the corpor-
ate units responsible for setting objectives in a clearly 
defined area as well as for identifying, classifying and 
managing risks. METRO’s risk management defines 
these areas in line with the corporate organisation 
using independent risk units – generally companies – 
as well as in terms of function using categories that 
are responsible for a certain operational function or 
administrative task. The risk units cover all essential 
entities of the consolidation group included in the 
consolidated financial statements.

METRO ANNUAL REPORT 2017/18 
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5 Risk and opportunity report 
Presentation of the risk situation 
We have allocated the entire METRO risk portfolio to 
risk groups. In addition to general risks, the Manage-
ment Board of METRO AG identified and assessed the 
particularly relevant risks (gross risks) METRO  
was exposed to during the reporting period. These  
are listed in the following overview: 
 
 
Risk group 
 
 
 
No. 
 
Particularly relevant risks  
2017/18 
 
Loss potential  
Probability  
of occurrence 
Risks related  
to the business environment 
  
1 
 
Macroeconomic and  
political risks 
 Major 
 Low 
  
2 
 
Interruption of  
business activities 
 Major 
 Low 
Specific industry sector risks 
 
Risks related  
to the retail business 
3 
 
Challenges in the  
business model 
 Significant 
 Possible 
 Real estate risks 
4 
Inadequate  
construction processes 
 Moderate 
 Possible 
Risks related to business 
performance 
 
Supplier and  
product risks 
5 
 Quality risks 
 Major 
 Low 
Financial risks 
  
6 
 Planning reliability 
 Major 
 Possible 
Other risks 
 Transaction risks 
7 
 
Risks associated with  
the demerger and the sale  
of the hypermarket business 
 Major 
 Unlikely 
 Human resources risks 
8 
 
Development of employee 
numbers and attractiveness  
as an employer 
 Moderate 
 Possible 
 
Legal and tax risks 
9 
 Trade regulations 
 Moderate 
 Possible 
 
10 
 
More stringent  
regulation pertaining  
to deferred compensation 
 Moderate 
 Possible 
 
11 
 Tax risks 
 Moderate 
 Possible 
  
 
 
  
  
 
 
Due to the correlations between the two, we integrat-
ed the ‘deficient rental coverage’ risk reported in the 
previous year into risk no. 3 ‘challenges in the business 
model’. In order to increase transparency, we now 
present the risks no. 9 ‘trade regulations’ and no. 10 
‘more stringent regulation pertaining to deferred 
compensation’ separately. We also added the new risk 
no. 4 ‘inadequate construction processes’.  
In mid-2018, Real created the prerequisites for a 
new collective bargaining partnership outside the HDE 
structures (association of German retailers) by termin-
ating the future collective agreement concluded in 
2016 with Verdi Real’s business was spun off from Real 
SB-Warenhaus GmbH to METRO SERVICES GmbH 
(which was renamed real GmbH) which applies collec-
tive agreements that were concluded between  
DHV – Die Berufsgewerkschaft e. V. (a trade union) 
and AHD – Unternehmensvereinigung für Arbeitsbe-
dingungen im Handel und Dienstleistungsgewerbe e. V. 
(a registered association for the retail and service 
industry). This strengthens Real’s sustainability, as it 
offers a competitive salary structure for new employ-
ees. At the same time, this poses the risk of a signifi-
cant short-term increase in personnel expenses. For 
example, this eliminates the temporary reduction of 
holiday pay and Christmas bonuses for Real employees, 
followed by an adjustment to match the regional col-
lective agreements for the retail industry that would 
be different than in the case of a future collective 
agreement. In the medium and long term, however, 
this solution will lead to a competitive personnel cost 
structure at Real. This eliminates previous year’s risk 
‘failed collective bargaining negotiations at Real’. 
The aforementioned changes lead to new contents 
for risks no. 4 and no. 9 compared to the previous 
year. The following sections outline the risks bearing 
particular relevance and the essential risk control 
measures. In principle, all group segments are affected. 
Risks related to the business environment 
MACROECONOMIC AND POLITICAL RISKS 
(RISK 1) 
As a company with global operations, METRO de-
pends on the political and economic situations in the 
countries in which it operates. The fundamental busi-
ness environment can change rapidly. Changes in 
political leadership, civil unrest, terrorist attacks or eco-
nomic imbalances can jeopardise METRO’s business.  
At the country level, the political and/or economic 
situations in Russia, Ukraine, China, Italy, Spain and 
Turkey are particularly noteworthy for reporting per-
iod 2017/18. The potential risks include the loss of 
property and real estate assets, changes in the exchange

METRO ANNUAL REPORT 2017/18 
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93
rate, trade restrictions, capital controls, regulatory 
restrictions and unexpected weakening of demand. 
The global economy is increasingly marked by tense 
trade relations between the US, Europe and China, as 
can be clearly seen in the expansion of the imposed 
punitive tariffs, as well as the planned withdrawal of 
the United Kingdom from the European Union (Brexit). 
We see both issues as a risk. A continuous monitoring 
of the economic and political developments and a 
review of our strategic objectives allow us to respond 
to these challenges in a timely and appropriate man-
ner. Our international presence comes with the ad-
vantage of being able to balance the economic, legal 
and political risks as well as fluctuations in demand 
between the countries. 
— For more information about our assessment of the de-
velopment of the economic environment, see chapter 4 
report on events after the closing date and outlook. 
INTERRUPTION OF BUSINESS ACTIVITIES 
(RISK 2) 
Our business operations could, for example, be inter-
rupted by a failure of IT systems, natural disasters, 
pandemics or terrorist attacks. Important business 
processes such as purchasing/product ordering, mar-
keting and sales have used IT systems for many years. 
Systems for online retailing must be continuously 
available, as these systems are a prerequisite for  
unlimited access outside normal store opening times.  
As a result, the continuous availability of the infra-
structure is a critical factor in the development and 
implementation of our IT solutions. Systems that are 
essential for business operations in the stores, espe-
cially checkouts, are largely self-contained and can 
continue to be used for some time even during events 
such as network failures or the failure of central sys-
tems. In case of partial network failures, they can  
automatically reroute data or switch to redundant 
routes. Modern technologies such as remote server 
management and cloud computing allow us to use  
our hardware efficiently. In addition, our centralised IT 
systems can be quickly restored in the event of one  
or several servers failing. We operate several central  
IT centres, which enables us to compensate for major 
business interruptions or limit their duration to the 
absolute minimum. We also have a disaster recovery 
plan to restore IT centres in Germany after extended 
outages (for example, outages caused by fire, natural 
disasters or criminal actions). We also prepare our-
selves for the risk of an interruption of our business 
activities by employing a comprehensive business 
continuity management system. A professional crisis 
management allows for a rapid crisis response and 
thereby ensures the protection of our employees and 
customers. This includes evacuation plans, training 
measures and specific instructions. We insure our-
selves against the loss of tangible assets and any 
impending loss of revenues or profits resultant from 
business interruptions wherever it is possible and 
serves the purpose. 
Specific industry sector risks 
RISKS RELATED TO THE RETAIL BUSINESS 
CHALLENGES IN THE BUSINESS MODEL 
(RISK 3) 
Particularly, the retail and wholesale trade in the mar-
kets in which we operate is characterised by rapid 
changes and fierce competition. A fundamental risk  
is consumers’ fluctuating propensity to consume. 
Changes in consumer behaviour and customer expect-
ations pose additional risks, among others, in the face 
of demographic change, rising competition and in-
creasing digitalisation. If we fail to adequately address 
our customers’ needs and price developments or if  
we miss trends with regard to our assortments or 
appropriate sales formats and new sales channels, this 
could potentially impede the development of our sales 
and income and also jeopardise our objectives in 
terms of growth and profitability. We address these 
risks by developing country-specific customer-focused 
value creation plans. The operating partners and inter-
national working groups (federations) monitor and 
support the implementation and achievement of ob-
jectives. We are, for example, expanding our range of 
regionally traded products in all sales lines and are 
progressively gearing our assortments to meet our 
customers’ increasing demands with regard to environ-
mental, social and health considerations. We are also 
expanding our sales channels by employing an omni-
channel strategy to grow our delivery sales and online 
activities. We support our customers with franchise 
concepts. Furthermore, we are monitoring our com-
petitors even more closely. Our various strategic pro-
jects aim at further optimising our purchasing and 
sales processes and at creating additional value for 
our customers. We aim at creating sustainable value, 
ensuring the recoverability of assets and thereby mas-
tering the challenges faced by our business model.  
As a wholesale and food specialist, we want to further 
increase our customer focus, accelerate our growth, 
simplify our structures and increase the implementa-
tion speed, thereby improving our overall operational 
performance. Decisions on new store locations are 
subject to an extensive assessment. As we continually 
monitor the profitability of our store network, we can 
identify adverse developments at individual stores at 
an early stage and respond quickly. In the event our 
measures fail to secure success and it appears to be 
unlikely that the situation will change in a sustainable 
way, we dispose of the respective outlet. This allows 
us to continually optimise our store network. Loss of 
rental income caused by insolvencies of third-party 
tenants and the risk of vacant and unused selling 
space entail the risk of a deficient rental cover or an 
impairment of the underlying asset. We counter these 
risks with our strategic and operational real estate 
management and anticipatory investment planning. 
Due to the substantive correlation, we integrated this 
risk which was separately reported in the previous 
year, into risk no. 3 ‘challenges in the business model’.

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5 Risk and opportunity report 
REAL ESTATE RISKS 
INADEQUATE CONSTRUCTION PROCESSES 
(RISK 4, NEW) 
Inadequate or ineffective internal controls within our 
construction and installation processes could lead to 
infringements and quality losses as well as reputation-
al damage. The safety and health of customers, sup-
pliers and employees could be at risk. Generally, we 
strive to provide a safe and healthy environment. We 
take decisive actions to prevent potential accidents 
and health hazards. Thus, we establish clear rules  
and procedures to identify, minimise and ultimately  
prevent risks. We support implementation through 
frequent training sessions and internal inspections. 
Risks related to business performance 
SUPPLIER AND PRODUCT RISKS 
QUALITY RISKS  
(RISK 5) 
As a wholesale and retail company, METRO depends 
on external producers and service providers. Defective 
or unsafe products, exploitation of the natural envi-
ronment, inhumane working conditions or infringe-
ments against our compliance standards could poten-
tially cause major damage to the reputation of METRO 
and pose a lasting threat to the company’s success. 
We therefore continuously audit our own-brand sup-
pliers to assess their adherence to METRO’s stringent 
procurement and compliance standards. These include 
the food safety and quality standards recognised  
by the Global Food Safety Initiative (GFSI), such as  
the International Food Safety Standard and the  
GLOBALG.A.P. certification for agricultural products. 
The standards help to ensure the safety of foods on  
all cultivation, production and sales levels. Own-brand 
suppliers without a recognised and valid audit certifi-
cate may qualify for preliminary inclusion in METRO’s 
supplier base by undergoing and passing a special 
assessment (METRO Assessment Solution) conducted 
by an accredited certification body. Violations of  
conditions can lead to exclusion from our supplier 
network or, in the case of unacceptable production 
methods, to a product being blacklisted. If suppliers 
do not provide a corresponding certificate, it jeopard-
ises the due diligence of METRO towards the custom-
er. The potential of placing non-safe products on the 
market which are unsuitable for human consumption 
or use or even health-hazardous represents a very 
high reputation risk and comprises the threat of last-
ing damage to customer relationships. Should a qua-
lity incident occur despite these measures, the pro-
cess steps for resolving interruptions and incidents 
described in our manual will set out the procedure to 
resolve the incident in the interest of our customers.  
In order to avoid the risk of outdated or inadequate 
quality measures, we additionally and continuously 
look for possible improvements for our quality assur-
ance systems. 
We are not the only ones who have these concerns. 
Our customers place priority on quality and safety and 
are becoming increasingly interested in the environ-
mental and social sustainability of the products sold in 
our stores and of the processes used to produce these 
products. If there are any reservations or even specific 
incidents concerning METRO’s own-brand suppliers, 
METRO faces the risk of reputational damage. This in 
turn could have negative consequences on our rating 
in sustainability indices. In light of this, METRO adopt-
ed a group-wide purchasing policy for a sustainable 
supply chain and procurement management that  
applies to all products.  
— For more information about our social responsibility  
and environmental protection activities, see chapter 2 
principles of the group – 2.4 non-financial statement  
of METRO AG. 
Financial risks 
PLANNING RELIABILITY 
(RISK 6) 
Unexpected deviations from the budget or the fore-
cast could potentially result in METRO missing its 
budget targets and making wrong business decisions. 
This could lead to unexpected negative financial con-
sequences. We therefore place a high priority on 
measures designed to mitigate these risks. We do so 
by consistently implementing strategic measures that 
are directed at improving our income position. We 
support the operational units in their pro-active im-
plementation of the strategy by providing them with 
value creation plans. We also mitigate risks by con-
ducting effective internal controls, a closer interlock-
ing of strategic planning with the budgeting process 
as well as a greater involvement of the supervisory 
bodies. The fact that our financial year differs from the 
calendar year allows us a high degree of planning 
certainty at an early stage, with the highly profitable 
Christmas quarter being the first quarter of our finan-
cial year. The outlook report offers insights into our 
expectations for the development of our business in 
the coming financial year. 
— For more information about financial risks and their 
management, see the notes to the consolidated financial 
statements in no. 44 – management of financial risks.

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95
Other risks 
TRANSACTION RISKS 
RISKS ASSOCIATED WITH THE DEMERGER  
AND THE SALE OF THE HYPERMARKET BUSINESS 
(RISK 7) 
The demerger of the former METRO GROUP was  
concluded on 13 July 2017 with the initial listing of 
METRO AG shares on the stock exchange. The former 
METRO GROUP has split into a wholesale and food 
specialist (the new METRO AG) and a company  
focused on consumer electronics and services 
(CECONOMY AG, formerly METRO AG). The demerger 
may be subject to additional legal risks, adding to  
the tax risks inherent in the implementation; in detail, 
these risks are: prospectus liability, meaning share-
holder claims stemming from share trading with insuf-
ficient information, continuing liability for all liabilities 
of CECONOMY AG existing as of the effective date  
of the demerger/spin-off for a period of 5 years and 
liability risks stemming from legal claims by share-
holders of the former METRO AG in relation to the 
demerger, for which METRO AG has agreed to absorb 
the costs under the demerger agreement. We are 
preparing for any potential complaints by way of legal 
defence strategies. Potential claims resulting from 
prospectus liability are covered by a prospectus insur-
ance policy. We are continuously monitoring the  
financial position of CECONOMY AG. 
In its meeting on 13 September, the Management 
Board of METRO AG decided to sell the hypermarket 
business. In this context, delays in the negotiation, 
conclusion and implementation of the transaction can 
lead to risks such as the unanticipated commitment  
of managerial capacities or increases in planned trans-
action costs. Significant deviations from the planned 
sales revenue could have a negative impact on earn-
ings. To limit risks, METRO uses professional support 
from investment banks and external consultants in  
the marketing process. 
HUMAN RESOURCES RISKS 
DEVELOPMENT OF EMPLOYEE NUMBERS  
AND ATTRACTIVENESS AS AN EMPLOYER  
(RISK 8) 
The expertise, dedication and motivation of our  
employees are crucial success factors for METRO’s 
success in a competitive market. One prerequisite for 
achieving our strategic goals are highly qualified  
experts and managers. It is an ongoing challenge to 
recruit and retain these valuable employees for the 
group, in particular in the face of demographic change 
and fierce competition for the best talent. Intra-
company programmes for the continued qualification 
of employees and the strengthening of corporate 
culture are also indispensable. Variable, performance-
based remuneration components based on company 
targets and personal goals are designed to stimulate 
our employees’ performance. We also conduct annual 
performance reviews with our employees to assess  
the past year and agree on future measures for pro-
fessional development. Targeted training programmes, 
which we implement in cooperation with various part-
ners, allow us to attract young people to start their 
career at METRO and to foster their development with 
an eye on their individual personal strengths. In  
Germany in particular, METRO companies place great 
value on in-house training and apprenticeship pro-
grammes. We ensure the success of our succession 
planning by offering tailor-made career and profes-
sional development plans, especially on senior man-
agement level. 
— For more information about METRO’s human resources 
policy, see chapter 2 principles of the group –  
2.5 employees. 
LEGAL AND TAX RISKS 
TRADE REGULATIONS 
(RISK 9) 
The European Union and national governments are 
increasingly adopting or amending regulations regu-
lating trade and unfair trading practices that could 
affect our business. In the Corporate Public Policy 
department, we collect, discuss and analyse important 
social, regulatory and political issues and try to repre-
sent our interests at the political level through respon-
sible lobbying. In order to increase transparency,  
we now represent this risk separately from risk no. 10 
‘more stringent regulation pertaining to deferred 
compensation’. 
MORE STRINGENT REGULATION PERTAINING  
TO DEFERRED COMPENSATION  
(RISK 10) 
In addition to purchase price agreements, we also 
enter into agreements on so-called later income with 
the suppliers of merchandise for our wholesale and 
retail operations. These agreements are concerned 
with purchasing terms and conditions, such as prod-
uct-specific deferred rebates, reimbursement of  
expenses or remuneration for services, such as adver-
tising or other marketing-related services.  
We have observed tendencies to subject agree-
ments on later income between buyers and suppliers 
to increased regulatory restrictions. This is mainly the 
case in the Eastern European countries, but has also 
been observed in other METRO countries, including in 
the European Union. Some of these restrictions go as 
far as prohibiting certain contractual terms. Antitrust 
law is at the same time utilised to counter a presumed 
relative market power by introducing regulation that 
interferes with terms in a way that entails unilateral 
impediments for retailers and wholesalers. At present, 
the European Union is working on a directive that will 
regulate unfair trading practices. This directive might 
have a far-reaching impact on existing business pro-
cesses and condition systems worldwide, depending 
on its precise content. Said content will be the out-

METRO ANNUAL REPORT 2017/18 
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5 Risk and opportunity report 
come of the legislative process and cannot be pre-
dicted sufficiently at present. 
We continuously and systematically monitor the 
risks stemming from increasing regulation on later 
income. We address these tendencies to excessive 
regulation in a preventative approach by permanently 
adjusting our contractual relationships with suppliers 
in the concerned jurisdictions and/or in relation to 
certain product categories, with the goal to ensure 
that any later income arrangement complies with the 
applicable laws at all times. We also take care to  
appropriately provide for the respective limitation  
periods under civil law. We analyse the historical struc-
tures of supplier terms and conditions in the context 
of a transformation programme spanning over a num-
ber of years and modernise the terms as required. 
Without active management, there would be a risk 
that added value in the form of later income in select-
ed product groups and/or countries could no longer 
or only partially be collected as a result of changes to 
the regulatory framework. This would have corre-
sponding results on the total comprehensive income. 
In order to increase transparency, we now present 
this risk separately from risk no. 9 ‘trade regulations’. 
— For more information about legal affairs, please  
see notes to the consolidated financial statements  
in no. 47 – remaining legal issues. 
TAX RISKS  
(RISK 11) 
Tax risks can primarily arise in relation to the assess-
ment of financial matters by the tax authorities (in-
cluding transfer price issues). Additional risks may 
result from differing interpretations of sales tax (VAT) 
regulations. The Corporate Group Tax department of 
METRO AG has established appropriate guidelines to 
ensure early detection and minimisation of tax risks. 
These risks are regularly and systematically examined. 
The resultant risk mitigation measures are then coor-
dinated between all persons involved.  
Presentation of opportunities 
METRO has numerous opportunities to ensure a sus-
tainable positive development of its business. These 
opportunities mainly arise from our efforts to align our 
business to the needs of consumers and commercial 
customers. Our key goal is to create additional value 
for our customers. We do so by developing new sales 
channels and by seizing the opportunities resultant 
from demographic trends and the increasing differen-
tiation of the mature markets in Western Europe, as 
well as population growth in developing and emerging 
countries. We analyse the relevant global and national 
trends and make decisions aimed at systematically 
seizing future opportunities and to carve out competi-
tive advantages. 
Opportunities from the development of business 
and political conditions 
An unexpected improvement of the economic and 
political framework conditions in one of the METRO 
countries or on a global scale as well as improvements 
in free trade could potentially improve sales, costs and 
income performance. METRO operates in a large num-
ber of markets where we could potentially benefit 
from this development. Opportunities could arise from 
a sustained positive geopolitical and macroeconomic 
development in Southern Europe, Turkey and the  
Russia/Ukraine region – for example, in the form of a 
recovery of foreign exchange rates. 
Opportunities from increases in value 
Significant potential for additional increases in value 
may arise from the acquisition of selected companies, 
particularly in business segments of strategic im-
portance or sales of non-strategic assets. We see op-
portunities in the further development of our delivery 
sales and in reinforcing our B2B e-commerce activities.  
The existing minority interests held by METRO  
offer the opportunity for additional increases in value 
if those companies, for example start-up companies, 
were to develop faster and better than expected. We 
also intend to solidify and expand the leading position 
our company has already attained in numerous mar-
kets. Weaker market players in countries where the 
macroeconomic situation has deteriorated, for exam-
ple in Russia or Ukraine, have retreated from the mar-
ket. We aim to fill the resultant gaps in these markets 
or acquire individual local outlets where expedient for 
our purposes. The fact that competitors are retreating 
from the market may also result in METRO increasing 
its own market share.  
We see additional potential for value increases in 
possible development projects for our existing real 
estate assets and other properties as well as an opti-
mised facility management. 
Innovations and the digitalisation are areas with 
excellent potentials for realising increases in value. We 
are convinced that the consistent implementation of 
innovative ideas relating to the progressing digitalisa-
tion will increasingly shape the future of the whole-
sale and retail industry. This may give rise to new 
business models, which in turn may present a variety 
of opportunities. 
By establishing the Hospitality Digital business 
unit, we have prepared ourselves for taking advantage 
of significant opportunities arising from a potentially 
faster than expected digitalisation in the HoReCa 
segment and other business segments. Our METRO 
Accelerator programme powered by Techstars is a 
cooperation project with US-based company 
Techstars and allows us to monitor trends worldwide 
and to promote digital solutions for the hospitality, 
wholesale and retail segments offered by innovative 
start-up companies.  
Furthermore, by using existing customer relation-
ships, new business opportunities can be developed, 
for example new service offers in the hospitality

METRO ANNUAL REPORT 2017/18 
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5 Risk and opportunity report 
97
sector. Similarly, joint ventures and the development of 
collaborations can provide access to new business 
opportunities. 
Opportunities from efficiency improvements 
For several years, METRO has increased its focus on  
its international wholesale business. It intends to in-
tensify this strategy in the future. In consideration of 
this, the Management Board decided in its meeting on 
13 September 2018 to sell the hypermarket business 
including the 80 real estate properties that are being 
used for it. Most of them are owned by Real. As  
described in risk 7, the transaction is expected to be 
carried out in financial year 2018/19. The sale of the 
hypermarket business could lead to accelerated 
increases in efficiency due to the intensified focus  
on wholesale.  
In addition to the focus on wholesale and the de-
velopment of new business areas, the expansion of 
joint ventures and cooperation projects could poten-
tially result in reduced operational expenses. An  
unexpected positive development of our cost base 
(for example by reduced energy costs) could result in 
further cost savings. The continuous improvement  
of workflows could potentially have a positive effect 
on the development of our business along the entire 
value chain sooner than expected. 
Management’s overall assessment of the risk 
and opportunity situation  
The Management Board and the Supervisory Board of 
METRO AG are regularly informed about the compa-
ny’s situation in terms of risks and opportunities. Our 
assessment of the company’s current situation went 
beyond an evaluation of isolated risks and opportu-
nities. We have also analysed interdependencies and 
assessed them in terms of their likelihood of occurrence 
and implications. Our assessment indicates that the 
overall risks can be borne or are at least manageable. 
The identified individual and cumulative risks do not 
present risks that could possibly compromise the con-
tinuity of the company due to illiquidity or excessive 
indebtedness within a period of at least one year.  
We are confident that METRO’s earnings performance 
offers a solid foundation for the sustainable positive 
development of our business and the utilisation of 
numerous opportunities. The Management Board  
of METRO AG does currently not expect any funda-
mental change in the situation concerning risks and  
opportunities.

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6 Remuneration report 
6 REMUNERATION REPORT 
The remuneration report describes the remuneration 
system for the Management Board and the Supervisory 
Board in accordance with the statutory provisions of 
the German Commercial Code and the recommenda-
tions of the German Corporate Governance Code and 
establishes the remuneration amount of the members 
of the Management Board and the Supervisory Board 
in individualised form and according to remuneration 
components. The report also complies with the appli-
cable accounting standards according to GAS and 
IFRS as applied to capital market-oriented companies. 
The Supervisory Board of METRO AG decides on 
the remuneration system for the Management Board 
and reviews it on a regular basis. The Presidential 
Committee, chaired by the Chairman of the Supervisory 
Board, prepares the proposed resolutions for the full 
Supervisory Board. The remuneration system based  
on financial year 2017/18 was approved by the Super-
visory Board on 2 March 2017, confirmed on  
31 August 2017 and adjusted on 14 November 2017 
with regard to the financial performance targets for 
the short-term incentive as of financial year 2017/18. 
The existing remuneration system was approved at  
the Annual General Meeting on 16 February 2018 with 
83.18% of the votes cast. 
The remuneration system for members  
of the Management Board 
The agreed remuneration of the members of the  
Management Board is composed of 
— a fixed salary, 
— a short-term performance-based remuneration, 
— a performance-based remuneration with long-term 
incentive effect, 
— a post-employment benefits plan as well as 
— other non-monetary and supplemental benefits.

METRO ANNUAL REPORT 2017/18 
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99
Total remuneration and the individual remuneration 
components are geared appropriately to the responsi-
bilities of each individual member of the Management 
Board, his or her personal performance and the com-
pany’s economic situation and fulfil legal stipulations 
regarding customary remuneration. The performance-
based variable remuneration serves as an incentive  
for the Management Board to increase the company’s 
value and is designed to generate sustainable, long-
term corporate development.  
According to the recommendation of the German 
Corporate Governance Code, the remuneration for 
each member of the Management Board is limited in 
individual amounts; in each case with regard to the 
individual remuneration components and also in total 
(total disbursement cap). The upper threshold of  
remuneration for financial year 2017/18 amounts to 
€8,034,800 for Mr Koch, €4,048,600 for Mr Baier and 
€6,043,600 for Mr Hutmacher. For Mr Palazzi, who 
was appointed as a member of the Management 
Board with effect from 7 May 2018, the maximum 
amount of the remuneration granted for financial year 
2017/18 amounts to €4,228,600; for Mr Boone, whose 
employment contract ended with effect from the  
end of 31 May 2018, it amounted to €6,043,600. 
Insofar as a member of the Management Board 
negligently or intentionally violates his or her duties 
and the company incurs damage as a result of it, the 
Supervisory Board has the right to withhold payment 
of the remuneration of this member of the Manage-
ment Board in full or in part. A so-called clawback 
clause (repayment agreement), which in the event of  
a negative development provides for the recovery of 
payments made in the past from variable remunera-
tion components, was not agreed with the members 
of the Management Board, since payments from the 
short-term performance-based remuneration and the 
performance-based remuneration with a long-term 
incentive effect only take place after fulfilment of the 
performance targets and termination of the perfor-
mance period. Without prejudice to this, a reduction 
of future payments to be paid in the event of a deter-
ioration of the company’ssituation according to  
§ 87 Section 2 of the German Stock Corporation Act 
(AktG) remains. 
Fixed salary 
The fixed salary is contractually set and is paid in 
monthly instalments. 
Short-term performance-based remuneration 
(short-term incentive, STI) 
The short-term incentive remunerates the company’s 
operating performance on the basis of financial per-
formance targets pertaining to that specific financial 
year.  
A target value in euros is set for each member of 
the Management Board. The payout amount is calcu-
lated by multiplying the target value by the factor  
of overall target achievement. This, in turn, is calculat-
ed by determining the target achievement factors  
for each of the financial performance targets. The 
weighted arithmetic mean of the individual factors 
results in the overall target achievement factor. The 
overall target achievement is limited to a factor of 2.0. 
 
 
 
 
 
The short-term incentive for financial year 2017/18 is 
based on the following parameters of the group: 
— like-for-like sales development (sales growth in 
local currency on a comparable area or with  
respect to a comparable group of locations or 
merchandising concepts such as delivery and 
online business) at 40%,  
— exchange rate-adjusted earnings before interest 
expenses, taxes, depreciation and amortisation 
(EBITDA) at 40%, 
— exchange rate-adjusted return on capital employed 
(RoCE) at 20%, 
in each case based on the target amount. 
 
In general, performance targets are set by the Super-
visory Board for each of the 3 parameters before the 
beginning of the financial year. The basis for determin-
ing the targets is the budget plan, which requires  
the approval of the Supervisory Board. To determine 
whether a target has been achieved, the Supervisory 
Board defines a lower threshold/entrance hurdle for

METRO ANNUAL REPORT 2017/18 
100 
Combined management report 
 
6 Remuneration report 
each performance target and a target value for 100% 
target achievement. A factor is allocated to the specif-
ic degree of target achievement for each performance 
target: 
— If the degree of target achievement is 100%, the 
factor is 1.0. 
— If the degree of target achievement is lower or 
equal to the entrance hurdle, then the factor is 0.0.  
— In the case of intermediate values and values over 
100%, the factor for target achievement is calculat-
ed using linear interpolation and/or extrapolation. 
To determine whether an EBITDA target has been 
achieved, the Supervisory Board is authorised to ad-
just the EBITDA for any possible impairment losses on 
goodwill. 
To ensure the individual performance orientation of 
Management Board remuneration, the Supervisory 
Board reserves the general right to reduce or increase 
the weight of the individual short-term incentive by up 
to 30%. The basis for this are targets that were agreed 
individually with the respective members of the Man-
agement Board as well as overlapping strategic tar-
gets for all members of the Management Board, such 
as customer satisfaction, employee satisfaction and 
sustainability. 
 
 
 
The payout amount of the short-term incentive is  
limited to a maximum of 200% of the individually 
determined target value (payout cap). 
In addition, the Supervisory Board may grant  
special bonuses to members of the Management 
Board for exceptional performance. In the reporting 
year, no special bonuses were granted to the members 
of the Management Board. 
The short-term incentive of the members of the 
Management Board is payable 4 months after the end 
of the financial year, but not before approval of the 
annual and consolidated financial statements by the 
Supervisory Board for the incentivised financial year. 
Performance-based remuneration with long-term 
incentive effect (long-term incentive, LTI) 
The performance-based remuneration with long-term 
incentive effect incentivises the company’s long-term 
and sustainable corporate development, taking into 
account the internal and external value development 
as well as the concerns of the shareholders and the 
other stakeholders associated with the company.  
PERFORMANCE SHARE PLAN  
(SINCE FINANCIAL YEAR 2016/17) 
The annual tranches of the so-called performance 
share plan and their associated performance targets 
generally have a multi-year assessment basis. The 
performance period is in general 3 years. The payout 
amount is limited to a maximum of 250% of the indi-
vidually determined target value (payout cap). In case 
of employment termination of a member of the  
Management Board before the end of a performance 
period, separate rules for the payout of the tranches 
have been agreed upon. 
Each member of the Management Board is initially 
allocated conditional performance shares, the amount 
of which corresponds to the quotient of the individual 
target amount and the arithmetic mean of the share 
price of the company’s ordinary share upon allocation. 
The decisive factor here are the average Xetra closing 
prices of the company’s ordinary share over a period 
of 40 consecutive stock exchange trading days im-
mediately after the Annual General Meeting of the com-
pany in the year of the allocation. An exception to  
this is the granted 2016/17 tranche of the performance 
share plan, which is based on the average closing 
prices of 40 consecutive stock exchange trading days 
beginning on 13 July 2017, the initial listing date of the 
share. 
The performance period ends after the 40th stock 
exchange trading day following the ordinary Annual 
General Meeting of the third financial year following 
the issuance of the tranche. After the end of the  
performance period of a tranche, the final number of 
performance shares is determined, which depends  
on the achievement of 2 performance targets, which 
are weighted equally in the target amount of the  
performance share plan:  
— Reported earnings per share (EPS), 
— Total shareholder return (TSR).

METRO ANNUAL REPORT 2017/18 
Combined management report 
 
6 Remuneration report 
101
 
  
For the EPS component, the Supervisory Board gen-
erally decides at the beginning of the financial year in 
which the tranche of the performance share plan is 
allocated on a lower threshold/entrance hurdle for 
target achievement and an EPS target value for 100% 
target performance for the third financial year of the 
performance period. A factor is allocated to the spe-
cific degree of target achievement: 
— If the degree of target achievement at the end of 
the performance period is 100%, the factor is 1.0.  
— If the degree of target achievement is lower or 
equal to the entrance hurdle, then the factor is 0.0.  
For the tranche granted in financial year 2017/18, 
the entrance hurdle amounts to 38% of the target 
achievement. 
— In the case of intermediate values and values over 
100% up to a maximum of 300%, the factor for 
target achievement is calculated using linear inter-
polation and/or extrapolation.

METRO ANNUAL REPORT 2017/18 
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Combined management report 
 
6 Remuneration report 
The target achievement factor of the TSR component 
is measured by the development of the total share-
holder return of the company’s ordinary share in the 
performance period relative to a defined benchmark 
index and to a defined comparison group, in example 
the comparison is evenly splitt betweenthe develop-
ment of the MDAX TSR and the development of the 
average TSR of a defined comparison group of direct 
competitors over the same period as the TSR of the 
company. The TSR value of the comparison group of 
the direct competitors is determined individually for 
the members of the comparison group and then the 
arithmetic mean is established. The comparison group 
of direct competitors consists of the following com-
panies: Bidcorp, Bizim Toptan, Marr, Eurocash Group, 
Performance Food Group, US Foods, Sysco and Sligro. 
Only companies that are listed for the entire perfor-
mance period are included in this group. If TSR values 
are available for fewer than 6 companies in this com-
parison group, then the METRO TSR will be exclusively 
compared with the MDAX TSR – and the comparison 
with the group of direct competitors will not apply. 
For the TSR component, the Supervisory Board  
also usually establishes a lower threshold/entrance 
hurdle and a TSR target value for the 100% target 
achievement at the beginning of the financial year in 
which the tranche of the performance share plan is 
granted. 
To determine the target achievement, the Xetra 
closing prices of the company’s ordinary share are 
determined over a period of 40 consecutive stock 
exchange trading days immediately after the Annual 
General Meeting of the company in the year of the 
allocation of the tranche. This is used to establish the 
arithmetic mean, as the so-called starting share price. 
The performance period for the respective tranche will 
begin on the fourty-first stock exchange trading day 
following the Annual General Meeting, or for the 
tranche granted in financial year 2016/17 on the 41st 
stock exchange trading day following the initial listing 
of the ordinary share of the company. 3 years after the 
starting share price has been determined and the 
tranche has been issued, the Xetra closing prices of 
the ordinary share of the company will be determined 
over a period of 40 consecutive stock exchange trad-
ing days immediately following the Annual General 
Meeting. This is used again to establish the arithmetic 
mean, the so-called ending share price. The TSR value 
is determined as a percentage on the basis of the 
change in the company’s ordinary share price and the 
total amount of hypothetically reinvested dividends 
throughout the performance period in relation to the 
starting share prices. 
The resulting TSR of the company is compared to 
the equally determined TSR of the 2 comparison 
groups in the performance period. A factor is allocat-
ed to the specific degree of target achievement:  
— If the degree of target achievement at the end of 
the performance period is 100%, the factor is 1.0. 
This requires an outperformance of 5% versus the 
comparison group. 
— If the degree of target achievement is lower or 
equal to the barrier of entry, then the factor is 0.0.  
— In the case of intermediate values and values over 
100% up to a maximum of 300%, the factor for 
goal achievement is calculated using linear interpo-
lation and/or extrapolation. 
 
 
 
The target achievement factors of the EPS and TSR 
components are used to form the arithmetic mean 
that establishes the overall target achievement factor. 
This is used to determine the target number of per-
formance shares, which results in a cash payment in 
euros at the end of the performance period of the 
tranche: 
— If the total target achievement factor for both 
components is 1.0, then the target number of  
performance shares equals the number of condi-
tionally allocated performance shares. 
— If the total target achievement factor is 0.0, then 
the number of performance shares decreases  
to zero.  
— For all other target achievements, the target  
number of performance shares is determined by 
means of linear interpolation or extrapolation.  
The target number of performance shares is limited  
to a maximum of 300% of the conditionally allocated 
number of performance shares. 
The payout amount is calculated per performance 
share as follows: 3 years after the starting share price 
has been determined and the tranche has been issued, 
the Xetra closing prices of the ordinary share of  
the company will be determined over a period of 
40 consecutive stock exchange trading days immedi-
ately following the Annual General Meeting. The 
arithmetic mean is formed from this and all the divi-
dends paid during the performance period for the 
ordinary share of the company are added to it. This

METRO ANNUAL REPORT 2017/18 
Combined management report 
 
6 Remuneration report 
103
so-called share factor is multiplied by the number of 
calculated performance shares and establishes the 
gross payout amount. 
The payout amount is limited to a maximum of 
250% of the individually determined target value 
(payout cap). 
The tranches of the performance share plan will be 
paid no later than 4 months after the Annual General 
Meeting that decides on the appropriation of the  
balance sheet profit of the last financial year of the 
performance period, but not before the approval of  
all annual and consolidated financial statements for 
the financial years of the performance period by the 
Supervisory Board. 
SHARE OWNERSHIP GUIDELINES 
METRO introduced share ownership guidelines along 
with its performance share plan: As a prerequisite for 
the cash payment of performance shares, the mem-
bers of the Management Board are obligated for each 
tranche to develop a self-financed investment in ordi-
nary shares of the company by the end of February in 
the third year of the performance period. The amount 
to be invested per tranche for the Chairman of the 
Management Board is two thirds of his or her gross 
annual fixed salary and for an ordinary member of the 
Management Board 50% of his or her gross annual 
fixed salary. The plan aims to ensure that, after no more 
than 5 years of service, the Chairman of the Manage-
ment Board has invested 200% and an ordinarymem-
ber of the Management Board 150% of his or her gross 
fixed salary in ordinary shares of the company, based 
on the calculated purchase price for the respective 
shares. The key factor for calculating the purchase 
price and thus the number of ordinary shares to  
be acquired is the average price of the Xetra closing  
prices of the company’s ordinary share over the  
40 consecutive stock exchange trading days immediately 
after the annual press conference which takes place 
before February in the third year of the performance 
period. The purchase price corresponds to the quo-
tient of the amount to be invested, which results from 
the gross annual fixed salary and the determined aver-
age price. If the personal investment to be made in 
ordinary shares of the company is not, or not fully, met 
on the relevant closing date, the payout amount will 
initially be paid out in cash, but with the obligation to 
invest it in ordinary shares of the company until the 
share ownership guidelines are met. 
Transfer of long-term incentives  
in connection with the demerger 
Irrespective of the performance share plan, the mem-
bers of the Management Board were granted 2 long-
term incentive tranches in financial year 2016/17.  
Of the 2014/15 and 2015/16 tranches of the sustainable 
performance plan version 2014, which were granted 
by the former METRO AG (now: CECONOMY AG) 
prior to the demerger, the remaining target amounts 
for the period from the day after the demerger took 
effect on 13 July 2017 until the end of the performance 
period were transferred to today’s METRO AG. The 
target achievement of the former 2014/15 tranche was 
linked to the parameter return on capital employed 
(RoCE) before special items related to financial year 
2016/17 and the target achievement of the former 
2015/16 tranche in the earnings per share (EPS)  
parameter for financial year 2017/18. In order to  
determine the target achievement, the Supervisory 
Board set thresholds for both tranches: a lower thres-
hold/entrance hurdle and a target value for target 
achievement of 100%. The target achievement of the 
respective tranche is used to determine the factor 
which, multiplied by the individual target amount, 
results in a cash payment in euros at the end of the 
performance period of the tranche: 
— If the degree of target achievement at the end of 
the performance period is 100%, the factor is 1.0. 
— If the degree of target achievement is lower or 
equal to the entrance hurdle, then the factor is 0.0. 
— In the case of intermediate values and values over 
100%, the factor for target achievement is calculat-
ed using linear interpolation and/or extrapolation.  
The payout amount is limited to a maximum of 250% 
of the determined individual target value (payout cap). 
The performance period of the tranche linked to 
the RoCE performance target ended after the 40th 
stock exchange trading day after the Annual General 
Meeting of the company in 2018. The performance 
period of the tranche linked to the EPS performance 
target has been reduced from the original 4-year term 
to 3 years and ends after the 40th stock exchange 
trading day after the Annual General Meeting of the 
company in 2019. 
Post-employment benefits plans 
As members of the Management Board, Mr Koch,  
Mr Baier and Mr Hutmacher receive post-employment 
benefits plans in the form of employer’s commitments. 
This form of commitment also existed for Mr Boone 
until 31 May 2018. The financing is provided jointly by 
the Management Board and the company. This is 
based on an apportionment of ‘7 + 14’. When a mem-
ber of the Management Board makes a contribution  
of 7% of his or her defined basis for assessment, the 
company will contribute twice the amount. The assess-
ment is based on the amount of the fixed salary and 
the target amount of the short-term incentive. When a 
member of the Management Board leaves the compa-
ny before the benefit case occures, the contributions 
retain the level they have reached. This component  
of post-employment benefits plans is congruently 
reinsured by Hamburger Pensionsrückdeckungskasse 
VVaG (HPR). The interest rate for the contributions  
is paid in accordance with the Articles of Association 
of the HPR with regard to profit participation, with  
a guarantee applying to the paid-in contribution. 
Entitlement to pension plans exists 
— if employment ends with or after reaching the 
statutory retirement age in the German statutory 
pension insurance,

METRO ANNUAL REPORT 2017/18 
104 
Combined management report 
 
6 Remuneration report 
— if employment ends after the age of 60 or after the 
age of 62 for pension commitments granted after 
31 December 2011 and before reaching the regular 
retirement age, 
— in the event of disability or death, provided that 
the relevant conditions of eligibility are met. 
Payment can be made in the form of a one-time capi-
tal payment, instalments or a life-long pension. A min-
imum benefit is granted in the case of invalidity or 
death. In such instances, the total amount of contribu-
tions that would have been credited to the member of 
the Management Board for every calendar year up to 
a credit period of 10 years, but limited to the point 
when the individual turns 60, will be added to the 
benefits balance. This component of post-employment 
benefits plans is not reinsured and will be provided 
directly by the company when the benefit case occurs. 
Mr Palazzi will receive the corporate contribution in 
the form of an earmarked one-off payment at the end 
of a financial year for setting up a pension plan at his 
discretion, without the need for a personal contribution. 
Furthermore, members of the Management Board 
have been given the option of converting future com-
pensation components in the fixed salary as well as  
in the variable remuneration into post-employment 
benefits plans with Hamburger Pensionsrückdeckungs-
kasse VVaG as part of a tax-privileged deferred com-
pensation scheme. 
The members of the Management Board have no 
further pension commitments beyond the described 
retirement benefits. In particular, no retirement pay-
ments will be granted. 
Further benefits in case of an end to employment  
Severance payments in cases of premature termina-
tions of management roles without good cause are 
limited to 2 annual remunerations (severance cap) and 
must not exceed the remuneration that would be paid 
for the remaining term of the employment contract. 
The recommendation by the German Corporate  
Governance Code is complied with. 
In the event of a change of control, the members 
of the Management Board may exercise their right  
to resign from their office for good cause, within  
6 months after the change of control as to the end of 
each month by giving 3 months prior notice. They may 
also terminate their employment contract with effect 
to this date (extraordinary termination right). 
The contractual provisions assume a change of control 
if either a single shareholder or a number of jointly 
acting shareholders have acquired a controlling inter-
est in the meaning of § 29 of the German Securities 
Acquisition and Takeover Act (WpÜG) by way of hold-
ing at least 30% of the voting rights and the change  
of control significantly interferes with the postion of a 
member of the Management Board. 
If the extraordinary termination right is exercised, 
or if the employment contract is terminated on the 
basis of an amicable agreement within 6 months from 
the change of control, the respective member of the 
Management Board shall be entitled to the payout of 
his or her contractual entitlements for the remaining 
term of the member’s employment contract in form of 
a lump sum compensation. The recommendation by 
the German Corporate Governance Code is complied 
with and the amount of the severance payment is 
being limited to 150% of the severance payment cap. 
The entitlement to a severance payment lapses, if the 
employment was terminated by the company by  
extraordinary notice for dismissal for good cause pur-
suant to § 626 of the German Civil Code (BGB). 
In addition, the employment contracts of the 
members of the Management Board generally provide 
for a post-contractual restraint on competition. They 
are prohibited from providing services to or for a 
competitor for a period of 12 months after termination 
of the employment contract. For this purpose, com-
pensation for non-competition has been agreed which 
corresponds to the target salary consisting of the 
fixed salary, short-term incentive and long-term incen-
tive for the duration of the post-contractual restraint 
on competition and is paid in monthly instalments. 
These payments will be credited with compensation 
earned by any other use of the workforce. The com-
pany has the option of waiving the post-contractual 
restraint on competition prior to or upon termination 
of the employment contract, while observing cancella-
tion periods. 
In the event of the death of a member of the  
Management Board during active service, his or her 
surviving dependants will be paid the fixed salary for 
the month in which the death occurred as well as  
for an additional 6 months. 
Other non-monetary and supplemental benefits 
The supplemental benefits granted to members of the 
Management Board include non-cash benefits from 
benefits in kind, such as company cars.

METRO ANNUAL REPORT 2017/18 
Combined management report 
 
6 Remuneration report 
105
Remuneration of the Management Board in  
financial year 2017/18 
The remuneration of the members of the Management 
Board in financial year 2017/18 pursuant to the German 
Commercial Code as well as in accordance with the 
tables provided by the German Corporate Governance 
Code is as follows: 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
REMUNERATION OF THE MANAGEMENT BOARD IN FINANCIAL YEAR 2017/18
1 
 
 
 
 
 
Performance-based 
remuneration with  
long-term incentive effect 
 
 
€1,000 
Financial 
year
 
Fixed salary
 
Supplement
al benefits
 
Short-term 
performance
-based 
remuneration
Value of 
granted 
tranches6 
(Payment 
from 
tranches 
granted in 
the past) 
Total7 
(Effective 
salary8)
Olaf Koch2 
2016/17
 
261
 
4
 
323
1,303 
(0) 
1,891 
(588)
 
2017/18
 
1,200
 
20
 
177
1,214 
(884) 
2,611 
(2,281)
Christian Baier3 
2016/17
 
406
 
7
 
334
660 
(0) 
1,407 
(747)
 
2017/18
 
700
 
18
 
88
585 
(91) 
1,391 
(897)
Pieter C. Boone4 
2016/17
 
196
 
4
 
220
782 
(0) 
1,202 
(420)
 
2017/18
 
600
 
12
 
0
– 
(91) 
612 
(703)
Heiko Hutmacher2 
2016/17
 
196
 
4
 
220
977 
(0) 
1,397 
(420)
 
2017/18
 
900
 
17
 
134
910 
(663) 
1,961 
(1,714)
Philippe Palazzi5 
2016/17
 
–
 
–
 
–
– 
– 
– 
–
 
2017/18
 
280
 
126
 
34
– 
– 
440 
(440)
Total 
2016/17
 
1,059
 
19
 
1,097
3,722 
(0) 
5,897 
(2,175)
 
2017/18
 
3,680
 
193
 
433
2,709 
(1,729) 
7,015 
(6,035)
 
 
 
 
 
 
1 Disclosures pursuant to § 285 sentence 1 No. 9 a and § 314 section 1 No. 6 a of the German Commercial Code (HGB) (excluding provisions for post-employment benefits plans). 
2 Employment contract with the company since 13 July 2017. 
3 Employment contract with the company since 2 March 2017. 
4 Employment contract with the company from 13 July 2017 to 31 May 2018. The short-term performance-based remuneration for the period from 1 October 2017 to 31 May 2018  
was settled with the severance payment. 
5 Employment contract with the company since 7 May 2018. The annual earmarked one-off payment for setting up a pension plan does not constitute a pension expenditure  
as per IAS 19 and is therefore recognised as a supplemental benefit. 
6 Shown here is the fair value at the time of granting the tranche of the performance share plan. 
7 Total of the columns fixed salary, supplemental benefits, short-term performance-based remuneration and value of granted tranches of the long-term incentive. 
8 Total of the columns fixed salary, supplemental benefits, short-term performance-based remuneration and payment from tranches of the long-term incentive granted in the past.

METRO ANNUAL REPORT 2017/18 
106 
Combined management report 
 
6 Remuneration report 
 
 
 
BENEFITS GRANTED 
 
Olaf Koch1 
Christian Baier2 
 
 
 
Chairman of the Management Board 
Member of the Management Board since 2/3/2017 
Chief Financial Officer 
Member of the Management Board since 11/11/2016 
 
2016/17 
2017/18
2017/18
2017/18 
2016/17
2017/18
2017/18 
2017/18
€1,000 
  
 
Minimum
value
Maximum 
value 
Minimum 
value 
Maximum 
value
Fixed salary 
261 
1,200 
1,200 
1,200 
406
700 
700 
700 
Supplemental benefits 
4 
20 
20 
70 
7
18 
18 
70 
Total 
265 
1,220 
1,220 
1,270 
413
718 
718 
770 
1-year variable remuneration 
244 
1,120 
0 
2,240 
314
540 
0 
1,080 
Multi-year variable remuneration 
 
 
 
 
 
 
 
Transferred LTI with 
performance target RoCE 
(allocation 13/7/2017, end 
of performance period after 
the 40th trading day 
following the Annual 
General Meeting 2018) 
413 
– 
– 
– 
43
– 
– 
– 
Transferred LTI with 
performance target EPS  
(allocation 13/7/2017, end 
of performance period after 
the 40th trading day 
following the Annual 
General Meeting 2019) 
1,108 
– 
– 
– 
381
– 
– 
– 
Performance share plan – 
tranche 2016/175 
(allocation 7/9/2017, end  
of performance period  
after the 40th trading day 
following the Annual General 
Meeting 3 years after the 
issuance of the tranche) 
1,303 
– 
– 
– 
660
– 
– 
– 
Performance share plan – 
tranche 2017/185 
(allocation 18/4/2018, end  
of performance period after 
the 40th trading day following 
the Annual General Meeting 
3 years after the issuance of 
the tranche) 
– 
1,214 
0 
4,200 
–
585 
0 
2,025 
Total 
3,333 
3,554 
1,220 
7,710 
1,811
1,843 
718 
3,875 
Pension expenditure 
71 
325 
325 
325 
101
174 
174 
174 
Total remuneration 
3,404 
3,879 
1,545 
8,035 
1,912
2,017 
892 
4,049 
 
 
 
1 Employment contract with the company since 13 July 2017. 
 
2 Employment contract with the company since 2 March 2017. 
 
3 Employment contract with the company from 13 July 2017 to 31 May 2018. 
 
4 Employment contract with the company since 7 May 2018. The annual earmarked one-off payment for setting up a pension plan is not recognised as pension expense pursuant to IAS 19  
and is therefore reported as a supplemental benefit. 
 
5 Shown here is the fair value at the time of granting the tranche.

METRO ANNUAL REPORT 2017/18 
107
Combined management report 
 
6 Remuneration report 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Pieter C. Boone3 
 
Heiko Hutmacher1 
 
Philippe Palazzi4 
Chief Operating Officer 
Member of the Management Board  
since 2/3/2017 
Exit: 31/5/2018 
 
Chief Human Resources Officer  
and Labour Director 
Member of the Management Board  
since 2/3/2017 
 
Chief Operating Officer 
Member of the Management Board  
since 7/5/2018 
2016/17
 
2017/18
 
2017/18
 2017/18
 
2016/17
 
2017/18
 2017/18
 2017/18
 
2016/17
 
2017/18
 2017/18
 2017/18
 
 
Minimum 
value
 
Maximum 
value
 
 
 
Minimum 
value
 
Maximum 
value
 
 
 
Minimum 
value
 
Maximum 
value
196
 
600 
 
600 
 
600 
196
 
900 
 
900 
 
900 
 
–
 
280 
280 
 
280 
4
 
12 
 
12 
 
47 
4
 
17 
 
17 
 
70 
 
–
 
126 
126 
 
170 
200
 
612 
 
612 
 
647 
200
 
917 
 
917 
 
970 
 
–
 
406 
406 
 
450 
183
 
560 
 
0 
 
1,120 
183
 
840 
 
0 
 
1,680 
 
–
 
216 
0 
 
432 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
43
 
– 
 
– 
 
– 
310
 
– 
 
– 
 
– 
 
–
 
– 
– 
 
– 
 
 
 
 
 
 
 
665
 
– 
 
– 
 
– 
831
 
– 
 
– 
 
– 
 
–
 
– 
– 
 
– 
 
 
 
 
 
 
 
782
 
– 
 
– 
 
– 
977
 
– 
 
– 
 
– 
 
–
 
– 
– 
 
– 
 
 
 
 
 
 
 
 
–
 
– 
 
– 
 
– 
–
 
910 
 
0 
 
3,150 
 
–
 
– 
– 
 
– 
1,873
 
1,172 
 
612 
 
1,767 
2,501
 
2,667 
 
917 
 
5,800 
 
–
 
622 
406 
 
882 
55
 
165 
 
165 
 
165 
53
 
244 
 
244 
 
244 
 
–
 
– 
– 
 
– 
1,928
 
1,337 
 
777 
 
1,932 
2,554
 
2,911 
 
1,161 
 
6,044 
 
–
 
622 
406 
 
882

METRO ANNUAL REPORT 2017/18 
108 
Combined management report 
 
6 Remuneration report 
 
ACCRUALS 
 
Olaf Koch1 
Christian Baier2 
 
Pieter C. Boone3 
Heiko Hutmacher1 
Philippe Palazzi4 
 
Chairman of the 
Management Board  
Member of the 
Management Board 
since 2/3/2017 
Chief  
Financial Officer 
Member of the 
Management Board 
since 11/11/2016 
 
Chief  
Operating Officer 
Member of the 
Management Board 
since 2/3/2017 
Exit: 31/5/2018 
Chief Human 
Resources Officer  
and Labour Director  
Member of the 
Management Board 
since 2/3/2017 
Chief  
Operating Officer 
Member of the 
Management Board 
since 7/5/2018 
€1,000 
2017/18
2016/17 
2017/18  
2016/17
 
2017/18
 
2016/17
2017/18
2016/17 
2017/18  
2016/17
Fixed remuneration 
1,200 
261 
700 
406
 
600 
 
196
900 
196 
280 
–
Supplemental 
benefits 
20 
4 
18 
7
 
12 
 
4
17 
4 
126 
–
Total 
1,220 
265 
718 
413
 
612 
 
200
917 
200 
406 
–
1-year variable 
remuneration 
177 
323 
88 
334
 
0 
 
220
134 
220 
34 
–
Multi-year variable 
remuneration 
884 
0 
91 
0
 
91 
 
0
663 
0 
0 
–
Other 
0 
0 
0 
0
 
0 
 
0
0 
0 
0 
–
Total 
2,281 
588 
897 
747
 
703 
 
420
1,714 
420 
440 
–
Pension expenditure 
325 
71 
174 
101
 
165 
 
55
244 
53 
– 
–
Total remuneration 
2,606 
659 
1,071 
848
 
868 
 
475
1,958 
473 
440 
–
 
  
 
 
 
  
1 Employment contract with the company since 13 July 2017. 
 
  
2 Employment contract with the company since 2 March 2017. 
 
  
3 Employment contract with the company from 13 July 2017 to 31 May 2018. The short-term performance-based remuneration for the period from 1 October 2017 to 31 May 2018  
was settled with the severance payment. 
4 Employment contract with the company since 7 May 2018. The annual earmarked one-off payment for setting up a pension plan does not constitute a pension expenditure  
as per IAS 19 and is therefore recognised as a supplemental benefit. 
 
  
 
 
 
  
 
Long-term incentive (performance share plan)  
in financial year 2017/18 
For the tranche of the performance share plan granted 
in financial year 2017/18, the target amount for Mr Koch 
is €1.68 million, for Mr Baier €0.81 million and for  
Mr Hutmacher €1.26 million. Mr Boone and Mr Palazzi 
were not allocated a tranche of the performance  
share plan during the reporting period. 
The number of (initially vested) allocated perfor-
mance shares amounts to 111,259 for Mr Koch,  
53,643 for Mr Baier and 83,444 for Mr Hutmacher. 
The value of the tranche distributed in financial 
year 2017/18 as part of the performance share  
plan was calculated at the time of granting by external 
experts using recognised financial-mathematical  
methods. 
PERFORMANCE SHARE PLAN 
Tranche 
 
End of the 
performance period 
Starting 
price 
for the TSR 
component
 
Target amount 
Management 
Board as 
of 30/9/2018
2016/17 
 
after the 40th 
trading day 
following the 
Annual General 
Meeting 3 years 
after the issuance  
of the tranche 
€17.14
 
€3,610,000
2017/18 
 
after the 40th 
trading day 
following the 
Annual General 
Meeting 3 years 
after the issuance  
of the tranche 
€15.10
 
€3,750,000
 
 
 
In addition to the tranche from the performance share 
plan issued, in the reporting period the members of 
the Management Board active in financial year 2017/18 
have access to tranches of the long-term incentive 
that were granted in the past: Mr Koch, Mr Baier and 
Mr Hutmacher have access to the 2016/17 tranche of 
the performance share plan and the transferred  
LTI tranche, which is linked to the EPS performance 
target. Mr Palazzi has a commitment to the METRO 
Cash & Carry LTI from the time he worked for METRO

METRO ANNUAL REPORT 2017/18 
109
Combined management report 
 
6 Remuneration report 
prior to his appointment as a member of the Manage-
ment Board. Mr Boone no longer has any claims from 
tranches of the long-term incentive granted to him in 
the past. 
The performance period of the transferred LTI 
tranche, which was linked to the RoCE performance 
target, ended 40 stock exchange trading days after 
the Annual General Meeting 2018. Based on the de-
termined target achievement, the following amounts 
were paid out for this tranche: Mr Koch €0.884 million, 
Mr Baier €0.091 million, Mr Boone €0.091 million and 
Mr Hutmacher €0.663 million. 
In financial year 2017/18, value adjustments result-
ed from the current share-based tranches of perfor-
mance-based remuneration programmes with a  
long-term incentive effect. The company’s expenses 
amounted to €0.12 million for Mr Koch, €0.06 million 
for Mr Baier, €0.03 million for Mr Boone, €0.09 million 
for Mr Hutmacher, and €0.45 million for Mr Palazzi. 
As of 30 September 2018, the provisions for the 
members of the Management Board totalled 
€1.79 million. 
Services after the end of employment  
in financial year 2017/18 (including provisions  
for post-employment benefits plans) 
In financial year 2017/18, a total of €0.91 million accord-
ing to International Financial Reporting Standards 
(IFRS) and €0.80 million according to the German 
Commercial Code (HGB) was used for the remunera-
tion of the active members of the Management Board 
of METRO AG for benefits to be provided after the 
end of their employment (2016/17: €0.28 million  
determined according to IFRS and €0.29 million de-
termined according to the German Commercial Code 
(HGB)). Of this total, according to IFRS, approximately 
€0.33 million accounted for pension plans for Mr Koch, 
approximately €0.17 million for Mr Baier, approximately 
€0.17 million for Mr Boone and approximately 
€0.24 million for Mr Hutmacher. 
For post-employment benefits plans according to 
the German Commercial Code (HGB), approximately 
€0.32 million was allocated to Mr Koch, approximately 
€0.17 million to Mr Baier, approximately €0.07 million 
to Mr Boone and approximately €0.24 million to  
Mr Hutmacher. 
Provisions according to IFRS and the German 
Commercial Code (HGB) amount to approximately 
€0.003 million each for Mr Koch and Mr Baier. There  
is no need to establish provisions for Mr Hutmacher. 
The cash value of the commitment volume accord-
ing to IFRS and German Commercial Code (HGB) 
amounts to approximately €3.5 million for Mr Koch, 
approximately €0.8 million for Mr Baier, approxi-
mately €1.6 million for Mr Boone and approximately 
€2.6 million for Mr Hutmacher. With the exception of 
the provisions listed in the last paragraph, the cash 
value of the commitment volume is offset by assets. 
There is no commitment volume for Mr Palazzi. 
Termination benefits in financial year 2017/18 
An agreement was reached with Mr Boone in the  
reporting year for the premature termination of his em-
ployment contract with effect as to the end of  
31 May 2018. A severance payment in the amount of 
€4,693,288 was agreed to settle the remaining term  
of his employment contract (1 June 2018 to 30 Septem-
ber 2020) as well as the short-term incentive for the 
period from 1 October 2017 to 31 May 2018 and the 
tranches already granted from long-term incentives. This 
settlement covers Mr Boone’s claims, taking into account 
the contractually agreed severance payment cap in ac-
cordance with the German Corporate Governance Code 
and the development of performance-based remunera-
tion components based on extrapolation. In addition,  
Mr Boone received a compensation for non-competition 
of €1.5 million for a post-contractual restraint on compe-
tition, which was agreed for the period from the termina-
tion of the employment contract until 30 November 2018. 
Remuneration of members  
of the Supervisory Board 
The members of the Supervisory Board receive a fixed 
yearly remuneration amount in accordance with § 13 of 
METRO AG’s Articles of Association. In financial year 
2017/18, this amounted to €80,000 per ordinary mem-
ber. The value added tax payable to the respective 
remuneration is reimbursed to the members of the 
Supervisory Board in accordance with § 13 Section 5  
of METRO AG’s Articles of Association. 
The individual amount of Supervisory Board remu-
neration takes into account the duties and responsi-
bilities of the individual members of the Supervisory 
Board by considering special assignments. The remu-
neration of the Chairman of the Supervisory Board is  
3 times higher than that of an ordinary member of  
the Supervisory Board; that of the Vice Chairman and the 
chairpersons of the committees is twice as high; and that 
of the other members of the committees is 1.5 times 
higher. The remuneration for membership or chairman-
ship of a committee will be paid only if at least 2 meet-
ings or other resolutions by this committee took place 
during the respective financial year. A member of the 
Supervisory Board who holds several offices at once 
receives remuneration for only one office; in the case of 
different levels of remuneration, the member is compen-
sated for the most highly paid office. 
 
 
  
Remuneration factors 
 
 
Chairman of the Supervisory Board 

Vice Chairman 

Committee chairpersons1 

Committee members1 

Members of the Supervisory Board 

1 With a minimum of 2 meetings/resolutions.

METRO ANNUAL REPORT 2017/18 
110 
Combined management report 
 
6 Remuneration report 
The relevant individual amounts for financial year 
2017/18 are as follows: 
 
 
 
 
REMUNERATION OF MEMBERS OF THE SUPERVISORY BOARD FOR FINANCIAL YEAR 2017/18  
PURSUANT TO § 13 OF THE ARTICLES OF ASSOCIATION
1 
€ 
Financial year
 
Multiplier
Fixed salary
Jürgen B. Steinemann, Chairman 
2016/17
 

60,000
 
2017/18
 

240,000
Werner Klockhaus, Vice Chairman 
2016/17
 

40,000
 
2017/18
 

160,000
Stefanie Blaser (since 16/2/2018) 
2016/17
 
–
 
2017/18
 

53,333
Herbert Bolliger (since 16/2/2018) 
2016/17
 
–
 
2017/18
 

53,333
Gwyn Burr 
2016/17
 

20,000
 
2017/18
 

120,000
Thomas Dommel 
2016/17
 

20,000
 
2017/18
 
 / 
106,666
Prof. Dr Edgar Ernst 
2016/17
 

100,000
 
2017/18
 

160,000
Dr Florian Funck 
2016/17
 

30,000
 
2017/18
 

120,000
Michael Heider 
2016/17
 

53,333
 
2017/18
 

80,000
Andreas Herwarth (until 16/2/2018) 
2016/17
 

30,000
 
2017/18
 

50,000
Peter Küpfer 
2016/17
 

20,000
 
2017/18
 

80,000
Susanne Meister 
2016/17
 

20,000
 
2017/18
 

80,000
Dr Angela Pilkmann 
2016/17
 

20,000
 
2017/18
 

80,000
Mattheus P. M. (Theo) de Raad (until 16/2/2018) 
2016/17
 

20,000
 
2017/18
 

33,333
Dr Fredy Raas 
2016/17
 

30,000
 
2017/18
 

120,000
Xaver Schiller 
2016/17
 

30,000
 
2017/18
 

120,000
Eva-Lotta Sjöstedt 
2016/17
 

53,333
 
2017/18
 

80,000
Dr Liliana Solomon 
2016/17
 

76,667
 
2017/18
 

120,000
Alexandra Soto 
2016/17
 

53,333
 
2017/18
 

80,000
Angelika Will 
2016/17
 

20,000
 
2017/18
 

80,000
Manfred Wirsch 
2016/17
 

53,333
 
2017/18
 

80,000
Silke Zimmer 
2016/17
 

53,333
 
2017/18
 

80,000
Total2 
2016/17
 
803,332
 
2017/18
 
2,176,665
 
 
1 Plus applicable value added tax in accordance with § 13 Section 5 of the Articles of Association. 
2 Reported figures for financial year 2016/17 relate to active members of the Supervisory Board in financial year 2017/18. Taking into consideration the demerger of the former METRO GROUP,  
the 20 members of the Supervisory Board of the company were assembled over in the course of financial year 2016/17, some were also members of the Supervisory Board of the former 
METRO AG (now: CECONOMY AG). The remuneration for financial year 2016/17 was paid pro rata temporis. This means that, as far as members of the Supervisory Board of the former 
METRO GROUP were members of both the former METRO AG and this company before the demerger took effect, these members of the Supervisory Board did not receive remuneration  
from the company until the demerger took effect in July 2017.

METRO ANNUAL REPORT 2017/18 
111
Combined management report 
 
6 Remuneration report 
 
In financial year 2017/18, individual members of the 
Supervisory Board of METRO AG also received remu-
nerationfrom group companies for Supervisory Board 
mandates at group companies.  
 
 
 
OTHER INTRA-GROUP REMUNERATION  
OF MEMBERS OF THE SUPERVISORY BOARD  
FOR FINANCIAL YEAR 2017/18
1 
€ 
Financial year
 
Werner Klockhaus 
2016/17
 
9,300
 
2017/18
 
6,200
Thomas Dommel 
2016/17
 
4,500
2017/18
 
5,250
Michael Heider 
2016/17
 
6,000
2017/18
 
6,000
Xaver Schiller 
2016/17
 
9,000
2017/18
 
9,000
Manfred Wirsch 
2016/17
 
6,000
2017/18
 
6,000
Total2 
2016/17
 
34,800
 
2017/18
 
32,450
 
1 Plus potentially applicable value added tax. 
2 Reported figures for 2016/17 relate to active members  
of the Supervisory Board in financial year 2017/18. 
 
 
 
Beyond this, the members of the Supervisory Board 
were not granted any remuneration or benefits for 
work performed, in particular not for consulting and 
brokerage services, on behalf of companies of METRO 
in the sense of Clause 5.4.6 of the German Corporate 
Governance Code.

METRO ANNUAL REPORT 2017/18 
112 
Combined management report 
 
7 Takeover-related disclosures 
7 TAKEOVER-RELATED 
DISCLOSURES 
The takeover-related disclosures as of 30 September 
2018 required under §§ 289a Section 1 and 315a Sec-
tion 1 of the German Commercial Code (HGB) are 
shown below: 
Composition of the subscribed capital  
On 30 September 2018, the share capital of METRO AG 
totalled €363,097,253. It is divided into a total of 
360,121,736 ordinary no-par-value bearer shares (pro 
rata value of the share capital: €360,121,736, approxi-
mately 99.18%) as well as 2,975,517 preference no- 
par-value bearer shares (pro rata value of the share 
capital: €2,975,517, approximately 0.82%). Each share 
in the company has a notional interest of €1.00 in the 
share capital.  
Each ordinary share grants a single vote in the 
company’s Annual General Meeting. The ordinary 
shares carry full dividend rights. In contrast to ordi-
nary shares, preference shares do not carry voting 
rights but confer a preferential entitlement to profits 
as prescribed in § 21 of the Articles of Association of 
METRO AG, which state: 
‘(1) Holders of non-voting preference shares will 
receive a preliminary dividend from the annual 
balance sheet profit in the amount of €0.17 for 
each preference share. 
(2) Should the balance sheet profit available for dis-
tribution not suffice in any one financial year to 
pay the preliminary dividend, the arrears (exclud-
ing any interest) shall be paid from the balance 
sheet profit of subsequent financial years in an 
order based on age, meaning in such manner that 
any older arrears are paid off prior to any more 
recent ones and that the preference dividends 
payable from the profit of a financial year are not 
distributed until all accrued arrears have been 
paid. 
(3) Following distribution of the preliminary divi-
dends, the holders of ordinary shares will be paid 
a dividend of €0.17 for each ordinary share.  
Subsequently, a non-cumulative extra dividend 
per share will be paid to the holders of non-voting 
preference shares. The extra dividend shall 
amount to 10% of the dividend paid to the hold-
ers of ordinary shares under observation of  
Section 4, provided such dividend equals or  
exceeds €1.02 per ordinary share.  
(4) The holders of non-voting preference shares and 
those holding ordinary shares will equally share  
in any additional profit distribution in the propor-
tion corresponding to the number of shares held 
by them in the share capital.’ 
 
Other rights associated with ordinary and preference 
shares include in particular the right to attend the 
Annual General Meeting (§ 118 Section 1 of the German 
Stock Corporation Act (AktG), the right to information 
(§ 131 of the German Stock Corporation Act) and the 
right to file a legal challenge or a complaint for nullity 
(§§ 245 Nos. 1–3, 246, 249 of the German Stock Cor-
poration Act). In addition to the previously mentioned 
right to receive dividends, shareholders principally 
have a subscription right when the share capital is 
increased (§ 186 Section 1 of the German Stock Corpor-
ation Act), claims to liquidation proceeds after the 
closure of the company (§ 271 of the German Stock 
Corporation Act) and to severance payment and  
settlements as a result of certain structural measures, 
particularly pursuant to §§ 304 ff., 320b and 327b of 
the German Stock Corporation Act. 
Voting rights and transfer-related 
restrictions  
To the best knowledge of the Management Board, the 
following agreements exist or existed during financial 
year 2017/18, which may be construed as restrictions in 
the sense of § 315a Section 1 No. 2 and § 289a Section 1 
No. 2 of the German Commercial Code.  
A pooling agreement exists between Beisheim 
Capital GmbH, Düsseldorf, Germany, and Beisheim 
Holding GmbH, Baar, Switzerland, which includes the 
METRO AG shares held by Beisheim Capital GmbH 
and Beisheim Holding GmbH.  
In connection with the demerger of the former 
METRO AG, CECONOMY AG (formerly operating  
under the name of ‘METRO AG’) as well as each of its  
3 major shareholders (the Haniel shareholder group, 
the Meridian shareholder group and the Beisheim 
shareholder group) have entered into temporary lock-
up agreements at normal market conditions with 
CECONOMY AG with regard to their shares and the 
shares in the acquiring entity (METRO AG, formerly 
known as ‘METRO Wholesale & Food Specialist AG’), 
which the major shareholders of CECONOMY AG  
have received in the context of the demerger, and 
have agreed on further selling restrictions. These obli-
gations expired in the course of financial year 2017/18 
and currently no longer exist. The only exception is the 
lock-up agreement of CECONOMY AG set out in the 
Group Separation Agreement dated 13 December 
2016, according to which CECONOMY AG is obligated 
not to sell its approximately 1% of the shares in  
METRO AG, which were granted as part of the demer-
ger within the spin-off from the group, until 1 Octo-
ber 2023.  
In addition, legal restrictions on voting rights may 
apply, for example pursuant to § 136 of the German 
Stock Corporation Act or, if the company holds own 
shares, pursuant to § 71b of the German Stock Corpor-
ation Act.

METRO ANNUAL REPORT 2017/18 
113
Combined management report 
 
7 Takeover-related disclosures 
Shares held in capital  
As of 30 September 2018, the following direct and 
indirect capital interests existed and entitled their re-
spective holders to more than 10% of the voting rights: 
 
 
 
  
Name/company 
 
Direct/indirect capital
interest entitling to more
than 10% of voting rights
Haniel Finance Deutschland GmbH,  
Duisburg, Germany 
 
Direct
Franz Haniel & Cie. GmbH,  
Duisburg, Germany 
 
Indirect
Palatin Verwaltungsgesellschaft mbH, 
Essen, Germany 
 
Direct
BVG Beteiligungs- und 
Vermögensverwaltungs-GmbH,  
Essen, Germany 
 
Indirect
Gebr. Schmidt GmbH & Co. KG,  
Essen, Germany 
 
Indirect
Gebr. Schmidt 
Verwaltungsgesellschaft mbH,  
Essen, Germany 
 
Indirect
Meridian Stiftung, Essen, Germany 
 
Indirect
 
  
 
On 24 August 2018, Daniel Křetínský and Patrik Tkáč 
used the acquisition company EP Global Commerce 
GmbH (‘EPGC’), based in Munich, to acquire from 
Haniel Finance Deutschland GmbH (HFD), a 100% 
subsidiary of Franz Haniel & Cie. GmbH, the right to 
transfer 7.3% and a call option of an additional 15.2%  
of the voting rights (‘call option’). On 4 October 2018, 
7.3% of the ordinary shares of METRO AG were trans-
ferred to EPGC. To the best knowledge of the Manage-
ment Board, the call option was not exercised during 
the period in which these consolidated financial 
statements were prepared, meaning that Franz Haniel 
& Cie. GmbH continues to hold 15.2% of the ordinary 
shares of METRO AG via HFD.  
On 20 September 2018, Daniel Křetínský and Patrik 
Tkáč also used the acquisition company EP Global 
Commerce II GmbH (‘EPGC II’), based in Munich, to 
acquire from CECONOMY AG the right to transfer 
3.61% and a call option of an additional 5.39% of the  
voting rights. EPGC II is also the writer of a put option 
on the part of CECONOMY AG concerning the voting 
rights in METRO AG that are covered by the call option. 
On 27 September 2018, 3.61% of the ordinary shares of 
METRO AG were transferred from CECONOMY AG to 
EPGC II. To the best knowledge of the Management 
Board, neither the call option nor the put option was 
exercised during the period in which these consolidat-
ed financial statements were prepared, meaning that 
CECONOMY AG continues to hold 6.39% of the ordi-
nary shares of METRO AG. Daniel Křetínský and Patrik 
Tkáč therefore indirectly hold 10.91% of the voting 
rights in METRO AG at the time these consolidated 
financial statements were prepared and also hold  
financial instruments for the transfer of another 
20.59% of the voting rights.  
The information above is in particular based on  
notifications issued under § 33 ff. of the German Secur-
ities Trading Act that were received and published  
by METRO AG.  
— Voting rights notifications published by METRO AG  
can be found on the website www.metroag.de/en  
in the section media – legal announcements. 
Holders of shares with special rights  
as well as type of voting right control  
of employee shares  
The company has not issued any shares with special 
rights pursuant to § 315a Section 1 No. 4 and § 289a 
Section 1 No. 4 of the German Commercial Code.  
No capital interests are held by employees pursuant  
to § 315a Section 1 No. 5 and § 289a Section 1 No. 5  
of the German Commercial Code. 
Provisions governing the appointment  
and dismissal of members of the 
Management Board and changes to  
the Articles of Association  
The appointment and dismissal of members of the 
Management Board of METRO AG are governed in 
§§ 84, 85 of the German Stock Corporation Act and 
§§ 30, 31, 33 of the German Co-determination Act. § 5 
of the Articles of Association of METRO AG stipulates 
that the Management Board shall comprise at least 2 
members and that the actual number of members of 
the Management Board is determined by the Super-
visory Board.  
Changes to the Articles of Association of METRO AG 
are determined principally in accordance with §§ 179, 
181, 133, 119 Section 1 No. 5 of the German Stock  
Corporation Act. There are numerous other sections  
of the German Stock Corporation Act that could pos-
sibly govern a change to the Articles of Association 
and that may amend or supersede the previously men-
tioned regulations, for example §§ 182 ff. of the Ger-
man Stock Corporation Act in the case of capital 
increases, §§ 222 ff. of the German Stock Corporation 
Act in the case of capital reductions or § 262 of the 
German Stock Corporation Act in the case of the pub-
lic limited company (‘AG’) being dissolved. Pursuant  
to § 14 Section 1 of the Articles of Association of  
METRO AG, the Supervisory Board may resolve to 
change the wording of the Articles of Association 
without a resolution passed by the Annual General 
Meeting.

METRO ANNUAL REPORT 2017/18 
114 
Combined management report 
 
7 Takeover-related disclosures 
Authority of the Management Board  
to issue or buy back shares  
Authorities to issue new shares 
With a resolution passed by the Annual General Meet-
ing on 16 February 2018, the Management Board was 
authorised to increase the share capital, subject to  
the consent of the Supervisory Board, by issuing new 
ordinary bearer shares against cash or non-cash con-
tributions in one or several tranches for a total maxi-
mum of €181,000,000 by 28 February 2022 
(authorised capital).  
Existing shareholders may exercise their subscrip-
tion rights. The newly issued shares may also be  
acquired by banks or similarly situated companies 
selected by the Management Board pursuant to § 186 
Section 5 Sentence 1 of the German Stock Corporation 
Act, provided these institutions agree to tender such 
shares to the shareholders.  
However, subject to the consent of the Supervisory 
Board, the Management Board is authorised to  
exclude shareholder subscription rights in the follow-
ing cases:  
— to balance fractional amounts; 
— if shares are issued in exchange for non-cash  
contributions for the purpose of business  
combinations, for the acquisition of companies,  
for the purchase of parts of companies, operations, 
parts of operations or shares in companies; 
— to grant a so-called scrip dividend, in which the 
shareholders are offered the right to use their  
dividend entitlement (in whole or in part) as a  
contribution in kind in exchange for new shares 
from the authorised capital; 
— in the event of a capital increase in exchange for 
cash capital contributions to the extent necessary 
to grant subscription rights to new ordinary shares 
to the holders of warrant or convertible bearer 
bonds issued by METRO AG and affiliates thereof 
in which METRO AG holds at least 90% of shares, 
directly or indirectly, in the extent to which they 
would be entitled upon exercise of the warrant or 
conversion rights or performance of the warrant  
or conversion obligations or upon exercise of 
METRO AG’s right to substitute as shareholder;  
— in the event of capital increases in exchange for 
cash capital contributions if the aggregate par val-
ue of such capital increases does not exceed 10% 
of the company’s share capital and the issue price 
of the new ordinary shares is not substantially  
lower than the listed stock exchange price of exist-
ing ordinary shares of the same class. The limit of 
10% of the company’s share capital is diminished 
by the proportion of the share capital represented 
by the company’s own shares which are (i) used as 
own shares or sold during the term of authorised 
capital while excluding subscription rights of the 
shareholders in corresponding application of § 186 
Section 3 Sentence 4 of the German Stock Corpor-
ation Act or (ii) issued from contingent capital to 
service warrant or convertible bearer bonds which, 
in turn, have been or are issued while excluding 
subscription rights in corresponding application of 
§ 186 Section 3 Sentence 4 of the German Stock 
Corporation Act. The proportional share capital at-
tributable to shares issued under this authority and 
under exclusion of the shareholders’ subscription 
rights in exchange for cash or non-cash capital 
contributions must not exceed 20% of the com-
pany’s share capital.  
The Management Board is authorised to define further 
details of the capital increases, subject to the consent 
of the Supervisory Board. To date, the authorised 
capital has not been fully utilised.  
Authorities to issue warrant bonds  
and/or convertible bearer bonds 
By resolution passed by the Annual General Meeting 
on 16 February 2018, the Management Board was 
authorised to issue, in each case with the consent of 
the Supervisory Board, warrant or convertible bearer 
bonds (in aggregate, ‘bonds’) with an aggregate par 
value of €1,500,000,000 prior to 15 February 2023,  
on one or several occasions, and to grant the holders 
of warrant or convertible bearer bonds warrant or  
conversion rights or impose warrant or conversion 
obligations upon them for ordinary bearer shares in 
METRO AG representing up to €50,000,000 of the 
share capital in accordance with the terms of the war-
rant or convertible bearer bonds. This authority results 
in contingent capital of up to €50,000,000 pursuant to 
§ 4 Section 8 of the METRO AG Articles of Association. 
The bonds may also be issued by a METRO AG 
subsidiary within the meaning of § 18 of the German 
Stock Corporation Act in which METRO AG holds a 
direct or indirect interest of at least 90%. In that case, 
the Management Board is authorised to assume, in 
each case with the consent of the Supervisory Board, 
a guarantee for those bonds on behalf of METRO AG 
and grant their holders warrant or conversion rights to 
ordinary bearer shares in METRO AG or impose war-
rant or conversion obligations upon them.  
Shareholders will be granted their statutory sub-
scription rights by way of the bonds being acquired by 
a bank or syndicate of banks with an undertaking to 
offer such bonds to the shareholders. If bonds are 
issued by a METRO AG subsidiary within the meaning 
of § 18 of the German Stock Corporation Act in which 
METRO AG holds a direct or indirect interest of at least 
90%, METRO AG must ensure that statutory subscrip-
tion rights are granted to the shareholders of METRO AG 
in accordance with the preceding sentence. 
Subject to the consent of the Supervisory Board, 
the Management Board is however authorised to  
exclude shareholder subscription rights for fractional 
amounts arising from proportional subscriptions to the 
extent necessary to grant or impose warrant or con-
version rights or obligations with respect to the hold-
ers of existing warrant or conversion rights or obliga-
tions in the amount to which they would be entitled to 
as shareholders after exercising the warrant or conver-

METRO ANNUAL REPORT 2017/18 
115
Combined management report 
 
7 Takeover-related disclosures 
sion right or performance of the warrant or conversion 
obligation.  
Subject to the consent of the Supervisory Board, 
the Management Board is also authorised to entirely 
exclude shareholder subscription rights to bonds is-
sued in exchange for cash payment carrying warrant 
or conversion rights or warrant or conversion obliga-
tions, insofar as the Management Board concludes, 
after careful review, that the issue price of the bonds is 
not substantially lower than the hypothetical market 
value ascertained using recognised financial mathe-
matical methods. This authorisation to exclude sub-
scription rights applies to bonds issued with warrant 
or conversion rights or warrant or conversion obliga-
tions to pro rata ordinary shares comprising no more 
than 10% of the share capital at the time the authority 
takes effect or, if this figure is lower, at the time the 
authorisation is exercised. The limit of 10% of the share 
capital is reduced by the pro rata amount of share 
capital represented by any shares issued (i) during the 
effective period of this authority under exclusion of 
subscription rights according to § 186 Section 3 Sen-
tence 4 of the German Stock Corporation Act, or (ii) 
to service warrant or convertible bearer bonds provid-
ing for warrant or conversion rights or obligations, 
insofar as such bonds were issued during the effective 
period of this authorisation under exclusion of sub-
scription rights by application of § 186 Section 3 Sen-
tence 4 of the German Stock Corporation Act mutatis 
mutandis. 
If bonds carrying warrant or conversion rights or 
warrant or conversion obligations are issued, the war-
rant or conversion price is determined pursuant to the 
rules in § 4 Section 8 of the Articles of Association of 
METRO AG.  
In the case of bonds carrying warrant or conver-
sion rights or warrant or conversion obligations, the 
warrant or conversion price may be adjusted after 
closer determination in order to preserve the value of 
such warrant or conversion rights or warrant or con-
version obligations in the event their economic value 
is diluted, to the extent that such an adjustment is not 
already provided for by law. The bonds’ terms may 
also provide for an adjustment of warrant or conver-
sion rights or warrant or conversion obligations in case 
of a capital reduction or other extraordinary measures 
or events (for example unusually high dividends, third 
parties gaining a controlling interest). In the case of  
a third party gaining a controlling interest, the bonds’ 
terms may provide for adjustment of the warrant or 
conversion price to reflect market conditions. Further-
more, the terms of the bonds may provide for a vari-
able conversion ratio and/or variable warrant and 
conversion price, whereby the warrant or conversion 
price is determined within a range to be determined 
on the basis of the share price development during 
the term. The minimum issue price based on the stipu-
lations of § 4 Section 8 of METRO AG’s Articles of 
Association may not be undercut. 
The bonds’ terms may grant METRO AG the right, 
in lieu of providing ordinary shares upon the exercise 
of warrant or conversion rights, to make a cash pay-
ment corresponding to the volume-weighted average 
price of METRO AG ordinary shares on the Xetra trad-
ing system (or a functionally comparable successor 
system replacing the Xetra system) of the Frankfurt 
Stock Exchange during a period of several days before 
or after the exercise of warrant or conversion rights is 
announced for the number of ordinary shares that 
would otherwise be delivered. This period is to be 
determined by the Management Board. The bonds’ 
terms may, at METRO AG’s discretion, also provide for 
the warrant or convertible bearer bonds to be con-
verted into existing ordinary shares in METRO AG or 
shares in another listed company in lieu of converting 
them into new ordinary shares from contingent capital 
and that warrant rights or obligations can be perform-
ed by the delivery of such shares. 
The bonds’ terms may also provide for a warrant  
or conversion obligation at the end of the term (or at 
any other time), or authorise METRO AG to grant 
bondholders ordinary shares in METRO AG or shares 
in another listed company upon maturity of bonds 
carrying warrant or conversion rights (including bonds 
which mature due to termination), in whole or in part, 
in lieu of a maturity payment in cash. The percentage 
of share capital represented by the ordinary shares in 
METRO AG issued upon the exercise of warrant or 
conversion rights must not exceed the par value of the 
bonds. §§ 9 Section 1, 199 Section 2 of the German 
Stock Corporation Act apply.  
The Management Board is authorised to determine, 
in each case with the consent of the Supervisory 
Board, the further details pertaining to the issuance 
and terms of the bonds, particularly the coupon, issue 
price, term, division into shares, rules for the protec-
tion against dilution and the warrant or conversion 
period, or to define such details in consultation with the 
corporate bodies of the affiliate of METRO AG which 
issues the warrant or convertible bonds in accordance 
with § 18 of the German Stock Corporation Act.  
To date, the authority to issue warrant and/or con-
vertible bearer bonds has not been exercised. 
Authorisationties to repurchase own shares 
The company is authorised to buy back its own shares 
in accordance with § 71 of the German Stock Corpor-
ation Act. Pursuant to § 71 Section 1 No. 8 of the  
German Stock Corporation Act, the Annual General 
Meeting authorised the company by resolution on 
11 April 2017 to acquire its own shares of any class until 
28 February 2022. The authority is limited to the  
repurchase of shares collectively representing a max-
imum of 10% of the share capital issued as of the date 
the Annual General Meeting resolution is passed or –  
if this figure is lower – at the time the authority is  
exercised. The shares transferred under this authority, 
together with any own shares acquired for other rea-
sons and held by the company or attributable to it 
pursuant to §§ 71a ff. of the German Stock Corporation 
Act, shall collectively not exceed a pro rata proportion 
of 10% in the share capital at any time.

METRO ANNUAL REPORT 2017/18 
116 
Combined management report 
 
7 Takeover-related disclosures 
Shares may be acquired on the stock exchange or by 
way of a tender offer aimed at all shareholders. In  
the process, the authorisation includes specifications 
regarding the purchase price and procedures to be 
followed in case a public offering is oversubscribed.  
The Management Board is authorised to use the 
shares in the company acquired based on the above 
authorisation for the following purposes in particular: 
— disposal of shares in the company on the stock 
exchange or by means of a purchase offer  
expressed to all shareholders; 
— listing of shares in the company on foreign stock 
exchanges where they were not hitherto admitted 
for trading, where the authorisation includes stipu-
lations regarding the initial listing price; 
— transfer of shares in the company to third parties 
for non-cash consideration in connection with 
business combinations or the acquisition of other 
companies, divisions of other companies, business-
es or interests in other companies or other assets;  
— disposal of shares in the company outside of the 
stock exchange or via a purchase offer expressed 
to all shareholders, provided that the sale is for 
cash payment and at a price not substantially low-
er than the stock exchange price in effect for listed 
shares of the company with the same terms on the 
date of the sale. This authority is limited to the sale 
of shares collectively representing a maximum of 
10% of the share capital at the time the authority 
takes effect or – if this figure is lower – at the time 
the authority is exercised. The maximum limit of 
10% of the share capital is reduced by the pro rata 
amount of share capital represented by any shares 
issued (i) during the effective period of this author-
ity under exclusion of subscription rights according 
to § 186 Section 3 Sentence 4 of the German Stock 
Corporation Act, or (ii) to service warrant or con-
vertible bearer bonds providing for warrant or con-
version rights or obligations, insofar as such bonds 
were issued during the effective period of this  
authority under exclusion of subscription rights by 
application of § 186 Section 3 Sentence 4 of the 
German Stock Corporation Act mutatis mutandis;  
— delivery of shares to holders of warrant or convert-
ible bearer bonds of the company or its affiliates, in 
accordance with § 18 of the German Stock Corpor-
ation Act under the terms and conditions applic-
able to such warrant or convertible bonds; this also 
applies to the delivery of shares based upon the 
exercise of subscription rights, which in the event 
of a sale of company shares through an offer to all 
shareholders or in the event of a capital increase 
with subscription rights may be granted to holders 
of warrant or convertible bonds of the company or 
any of its affiliates in accordance with § 18 of the 
German Stock Corporation Act to the same extent 
that holders of such warrant or convertible bonds 
would have subscription rights for shares of the 
company after exercising the warrant or conversion 
rights or performing the warrant or conversion ob-
ligations. The shares transferred under this authority 
shall collectively not exceed a pro rata proportion 
of 10% of the share capital at the time the authority 
takes effect or – if this figure is lower – at the time 
the authorisation is exercised, insofar as such 
shares were issued to service warrant or conver-
sion rights or warrant or conversion obligations 
granted or imposed in application of § 186 Section 
3 Sentence 4 of the German Stock Corporation Act 
mutatis mutandis. The maximum limit of 10% of the 
share capital is reduced by the pro rata amount of 
share capital represented by any shares issued or 
sold during the effective period of this authority by 
application of § 186 Section 3 Sentence 4 of the 
German Stock Corporation Act mutatis mutandis; 
— distribution of a stock dividend (scrip dividend), 
where company shares are used (also partially and 
selectively) to service dividend rights of share-
holders;  
— redemption of shares in the company, without the 
need for any further resolution by the Annual Gen-
eral Meeting. Such redemption may also be ac-
complished without a capital reduction by 
increasing the proportional value of the remaining 
no-par-value shares in the share capital of the 
company. In this case, the Management Board is 
authorised to adjust the number of no-par-value 
shares stipulated in the Articles of Association. 
The above authorisations to acquire and use the com-
pany’s own shares based on the above or previous 
authorisations may be exercised in whole or in part, on 
one or several occasions, individually or collectively  
by the company or its group companies in accordance 
with § 18 of the German Stock Corporation Act or  
by third parties acting for their account or for the 
account of the company. The above authorities may 
be exercised for the acquisition and use of ordinary 
shares as well as preference shares or only for the 
acquisition and use of ordinary shares or for prefer-
ence shares only.  
Using own shares in accordance with the above  
authorisations other than selling acquired company 
shares on the stock exchange or by offer to all share-
holders requires consent of the Supervisory Board.  
The subscription rights of shareholders are exclud-
ed if own shares are used for any of the purposes 
authorised above, with the exception of the authority 
to sell the company’s shares by making a purchase 
offer to all shareholders, the authority to distribute 
dividends in the form of a scrip dividend and the  
authority to redeem shares without the need for any 
further resolution by the Annual General Meeting.  
The Management Board is authorised to exclude 
shareholder subscription rights for residual amounts if 
own shares are used in accordance with the authority 
to sell the company’s shares by making a purchase 
offer to all shareholders in compliance with the princi-
ple of equal treatment stipulated in § 53a of the Ger-
man Stock Corporation Act. The Management Board is 
further authorised to exclude shareholder subscription

METRO ANNUAL REPORT 2017/18 
117
Combined management report 
 
7 Takeover-related disclosures 
rights if own shares are used to distribute dividends in 
the form of a scrip dividend. 
To date, the authorisation to repurchase the com-
pany’s own shares has not been exercised. 
Fundamental agreements related  
to the conditions of a change of control  
METRO AG is currently a borrower under 2 syndicated 
loan agreements, which the lender may cancel in the 
case of a change of control, provided that, additionally 
and as a result of the change of control, the credit 
rating of METRO AG deteriorates to a certain degree 
as defined in the respective agreements. By the defini-
tion included in the syndicated loan agreements, 
‘change of control’ refers to the loss and acquisition of 
control as per § 29 of the German Securities Acquisi-
tion and Takeover Act (WpÜG). The requirements of 
such a change of control are, first, that the sharehold-
ers who controlled METRO AG at the time at which 
each contract was signed lose control over METRO AG. 
The second condition is the assumption of control 
over METRO AG by one or a number of parties. The 
lending banks may only cancel the contract and  
demand the return of the loans if the change of con-
trol and a resulting drop in the credit rating occur  
cumulatively. The arrangements described are com-
mon market practice and serve the purpose of pro-
tecting creditors. None of these loans were drawn in 
financial year 2017/18. 
Compensation agreements in the event  
of a takeover bid  
The company has entered into compensation agree-
ments with the members of the Management Board  
to make provision in the event of a takeover bid. In the 
event of a change of control, the members of the 
Management Board may exercise their right to resign 
from their office, within 6 months after the change of 
control, for good cause at the end of each month by 
giving 3 months’ prior notice. They may also terminate 
their management contract with effect on the same 
date (extraordinary termination right).  
Based on the contractual provisions a change of 
control can be assumed if either a single shareholder 
or a number of jointly acting shareholders have  
acquired a controlling interest within the meaning of  
§ 29 of the German Securities Acquisition and Takeo-
ver Act (WpÜG) by way of holding at least 30% of the 
voting rights and the change of control significantly 
interferes with the responsibilities of a member of the 
Management Board. 
If the extraordinary termination right is exercised, 
or if the service contract is terminated on the basis of 
an amicable agreement within 6 months from the 
change of control, the respective member of the Man-
agement Board shall be entitled to a lump sum com-
pensation for his contractual entitlements during the 
remaining term of the member’s management con-
tract. The recommendation by the German Corporate 
Governance Code is observed with the amount of the 
severance payment being limited to 150% of the sev-
erance payment cap. The entitlement to a severance 
payment lapses if the employment was terminated by 
the company for good cause pursuant to § 626 of the 
German Civil Code (BGB). 
However, no compensation agreements with  
employees have been concluded in the event of a 
takeover bid.

METRO ANNUAL REPORT 2017/18 
118 
Combined management report 
 
8 Supplementary notes for METRO AG  
8 SUPPLEMENTARY NOTES FOR 
METRO AG (PURSUANT TO THE 
GERMAN COMMERCIAL CODE) 
Overview of financial year 2017/18 and 
outlook of METRO AG 
As the management holding company of METRO 
group, METRO AG is highly dependent on the devel-
opment of METRO group in terms of its own business 
development, position and potential development 
with its key opportunities and risks. 
In light of the holding structure, the most impor-
tant key performance indicator for METRO AG in 
terms of GAS 20 is commercial net profit or loss – 
contrary to the case for the group as a whole. 
Business development of METRO AG 
The business development of METRO AG is primarily 
characterised by the development and dividend distri-
butions of its investments. The METRO AG Annual 
Financial Statements prepared under German com-
mercial law serve as the basis for dividend distribution. 
The income statement and balance sheet of METRO AG 
prepared in accordance with the regulations stipulated 
by the German Commercial Code (HGB) are outlined 
below. 
 
 
Earnings position of METRO AG  
and profit appropriation 
INCOME STATEMENT FOR THE FINANCIAL YEAR 
FROM 1 OCTOBER 2017 TO 30 SEPTEMBER 2018  
IN ACCORDANCE WITH THE  
GERMAN COMMERCIAL CODE 
€ million 
 
2016/17
2017/18
Sales revenues 
 
427
434 
Other operating income 
 
288
315 
Cost of services purchased  
 
–47
–53 
Personnel expenses 
 
–147
–126 
Depreciation/amortisation/ 
impairment losses on intangible 
and tangible assets 
 
–49
–55 
Other operating expenses 
 
–532
–427 
Investment result 
 
254
202 
Net financial result 
 
–44
–51 
Income taxes 
 
–18
–6 
Earnings after taxes 
 
132
233 
Other taxes 
 
–2
3 
Net profit or loss 
 
130
236 
Retained earnings from the 
previous year 
 
–
47 
Income from capital reduction 
 
172
– 
Balance sheet profit 
 
302
283 
 
 
Under the transfer pricing system, METRO AG essen-
tially serves as a licensor and service provider for the 
operational national METRO Wholesale subsidiaries.  
The key services provided in this context include 
various operational services (consulting services), 
holding company services as well as services related 
to the development and operation of various in-house 
IT solutions. In order to be able to render these services, 
the company purchases IT services from subcontrac-
tors within the group as well as from third-party  
providers in particular, which leads to higher costs for 
services purchased, other expenses and write-downs. 
METRO AG acts as a centralised licensor for its subsid-
iaries with respect to its METRO and MAKRO brands 
as well as its own-brand products. 
Services are billed at arm’s-length prices. Under 
the transfer pricing model, the national and interna-
tional companies of the METRO Wholesale sales line 
were billed approximately €575 million in licensing  
and service fees in financial year 2017/18. 
€434 million of settlement amounts received by 
METRO AG were recognised as sales in the reporting 
period. These are broken down into €274 million  
concerning settlement amounts received in the form 
of license fees for the METRO and MAKRO brands,  
as well as €160 million relating to IT and business ser-
vices rendered to the wholesale subsidiaries.

METRO ANNUAL REPORT 2017/18 
119
Combined management report 
 
8 Supplementary notes for METRO AG  
The item other operating income consists mainly of 
settlement amounts from subsidiaries that are not 
classified as sales revenues. 
To perform its function as a central management 
holding company, METRO AG has subcontracted ser-
vice performances which predominantly relate to 
costs of marketing and IT services, to subsidiaries as 
well as third-party companies. To the extent such ex-
penses are related to settlement payments recognised 
in the item sales revenues, the corresponding amounts 
have been recognised in the item cost of services 
purchased. 
On average during the 4 quarters of financial year 
2017/18, METRO AG employed 879 people. Part-time 
employees and temporary workers were converted 
into full-time equivalents. Due to the lower number of 
employees and lower performance-based remunera-
tion components, the personnel expenses were lower 
than in the previous year. 
Depreciation expenses in the amount of €40 million 
resulted predominantly from scheduled depreciation 
on the usufructuary rights to the METRO and MAKRO 
brands.  
Other operating expenses consist of expenses  
incurred by METRO AG in exercising its function as a 
management holding and relate to costs for services 
subcontracted to companies both within as well as 
outside of the group. 
For financial year 2017/18, METRO AG posted an 
investment income of €202 million. Profit and loss 
transfer agreements with other group companies  
accounted for earnings in the amount of €420 million. 
This includes the release of reserves received from an 
indirectly held subsidiary. Losses were absorbed in  
the amount of €–383 million. These losses predomi-
nantly result from impairments recognised for indi-
rectly held subsidiaries. The income from investments 
without profit and loss transfer agreements amounted 
to €165 million in financial year 2017/18 and was pre-
dominantly attributable to the group’s real estate 
companies and the foreign wholesale subsidiaries.  
The net financial result amounted to €–51 million. 
The net profit for the year comes in at €236 million.  
Including retained earnings from the previous year in 
the amount of €47 million, the company’s balance 
sheet profit amounted to €283 million. 
Regarding the appropriation of the balance sheet 
profit for 2017/18, the Management Board of METRO AG 
will propose to the Annual General Meeting to dis-
tribute from the reported balance sheet profit of 
€283 million a dividend in the amount of €0.70 per 
ordinary share and €0.70 per preference share – that 
is, a total of €254 million – and to carry forward the 
remaining amount to the new account. 
Financial position of METRO AG 
Cash flows 
As of the closing date, cash on hand amounted to 
€335 million. This item mainly includes bank deposits 
through cash pool income from the sales lines towards 
the end of the reporting period.  
Capital structure 
 
EQUITY AND LIABILITIES 
€ million 
 
30/9/2017
30/9/2018
Equity 
 
 
Share capital 
 
363
363 
Capital reserve 
 
6,118
6,118 
Balance sheet profit 
 
302
283 
 
 
6,783
6,764 
Provisions 
 
401
371 
Liabilities 
 
 
Bonds 
 
2,505
2,898 
Liabilities to banks 
 
70
259 
Liabilities to affiliated companies 
 
7,900
7,007 
Miscellaneous liabilities 
 
72
71 
 
 
10,547
10,235 
Deferred income 
 
6
19 
 
 
17,737
17,389 
 
 
 
Liabilities consist of equity in the amount of €6,764 million 
and provisions, liabilities and deferred income in  
the amount of €10,625 million. The equity ratio on  
the closing date was 38.9%. Provisions as of the clos-
ing date totalled €371 million. Liabilities consist of 
€2,898 million in bonds and €259 million in liabilities 
to banks. The balance sheet also reports liabilities to 
affiliated companies in the amount of €7,007 million. 
In addition to short-term financial investments  
made by METRO companies, these predominantly 
concerned liabilities from structuring measures  
under corporate law.

METRO ANNUAL REPORT 2017/18 
120 
Combined management report 
 
8 Supplementary notes for METRO AG  
Asset position of METRO AG 
 
  
  
ASSETS 
€ million 
30/9/2017
 
30/9/2018
Non-current assets 
 
 
Intangible assets 
1,018
 
1,001 
Tangible assets 
2
 
2 
Financial assets 
15,270
 
9,157 
 
16,290
 
10,160 
Current assets 
 
 
Receivables and other assets 
1,129
 
6,882 
Cash on hand, bank deposits  
and cheques  
305
 
335 
 
1,434
 
7,217 
Prepaid expenses  
13
 
12 
 
17,737
 
17,389 
 
  
  
 
As of the closing date, METRO had total assets of 
€17,389 million which are predominantly comprised of 
financial assets in the amount of €9,157 million, receiv-
ables from affiliated companies at €6,861 million and 
the usufructuary rights to the METRO and MAKRO 
brands which were recognised as an intangible asset 
(€923 million). Cash on hand, bank deposits and 
cheques amounted to €335 million. The financial as-
sets predominantly consist of shares held in affiliated 
companies in the amount of €9,113 million which are 
essentially comprised of shares in the holding for 
wholesale companies (€6,348 million), in real estate 
companies (€1,020 million), in service providers 
(€803 million) and in other companies (€942 million). 
The financial assets account for 52.7% of the total 
assets. Receivables from affiliated companies amount 
to €6,861 million. This corresponds to 39.5% of the 
total assets. This position contains €6,117 million in 
receivables from a group-internal transfer of shares in 
affiliated companies at their carrying values and pre-
dominantly reflects the short-term financing require-
ments of the group companies as of the closing date.  
Risk situation of METRO AG 
As METRO AG is closely engaged with the companies 
of the METRO group through financing and guarantee 
commitments as well as direct and indirect invest-
ments, among other things, the risk situation of  
METRO AG is highly dependent on the risk situation of 
the METRO group. This is why the summary of the  
risk situation of METRO AG issued by the company’s 
management also reflects the risk situation of the 
METRO group. 
Forecast of METRO AG 
The business development of METRO AG as the man-
agement holding company essentially depends on the 
development and dividend distributions of its invest-
ments. Assuming a cost structure at the holding com-
pany level without additional expenses, we expect that 
in financial year 2018/19, the company’s net profit will 
return to a level comparable with financial year 2017/18 
(€236 million). 
Planned investments of METRO AG 
In the context of METRO’s investment activities,  
METRO AG will support group companies with  
increases in shareholdings or loans, where necessary.  
In addition, investments in shareholdings in affiliated 
companies may result from intra-group share transfers. 
Declaration on corporate management 
The declaration on corporate management pursuant 
to § 289f of the German Commercial Code (HGB) and 
§ 315d of the German Commercial Code (HGB) is  
permanently and publicly available on the company’s 
website (www.metroag.de) in the section Company – 
Corporate Governance.

123 
– 
240
Consolidated financial statements
124  INCOME STATEMENT
125  RECONCILIATION FROM 
PROFIT OR LOSS FOR 
THE PERIOD TO TOTAL 
COMPREHENSIVE INCOME
126 BALANCE SHEET
128  STATEMENT OF 
CHANGES IN EQUITY
130  CASH FLOW STATEMENT
131 NOTES
132  
Segment reporting
134 
 Reconciliation to presentation 
in the management report
135 
 Notes to the group accounting principles 
and methods
151 
 Capital management
152 
Notes to the income statement
161 
Notes to the balance sheet
201 
Other notes
219 
 Corporate Boards of METRO AG 
and the mandates of their members
224 
Affi  liated companies
232  RESPONSIBILITY 
 STATEMENT OF THE LEGAL 
REPRESENTATIVES
233  INDEPENDENT 
AUDITOR’S REPORT
C
NSOLI
DATE
FI
ANCIAL 
STA
E 
ENTS
AN
OTES

METRO ANNUAL REPORT 2017/18 
123
Consolidated financial statements 
 
 
CONSOLIDATED  
FINANCIAL STATEMENTS

METRO ANNUAL REPORT 2017/18 
124 
Consolidated financial statements 
 
Income statement 
 
INCOME STATEMENT  
FOR THE FINANCIAL YEAR FROM 1 OCTOBER 2017 TO 30 SEPTEMBER 2018 
€ million 
Note no.  
2016/171
2017/18
Sales revenues 
1
 
29,903
29,476 
Cost of sales 
 
–24,713
–24,482 
Gross profit on sales 
 
5,189
4,994 
Other operating income  
2
 
1,336
1,259 
Selling expenses  
3
 
–4,399
–4,280 
General administrative expenses 
4
 
–937
–868 
Other operating expenses  
5
 
–370
–295 
Earnings share of operating companies recognised at equity 
6
 
14
14 
Earnings before interest and taxes EBIT 
 
833
823 
Earnings share of non-operating companies recognised at equity 
6
 
0
0 
Other investment result 
7
 
1
0 
Interest income 
8
 
43
34 
Interest expenses 
8
 
–171
–163 
Other financial result 
9
 
–32
–2 
Net financial result 
 
–159
–130 
Earnings before taxes EBT 
 
674
693 
Income taxes 
11
 
–295
–235 
Profit or loss for the period from continuing operations  
 
379
458 
Profit or loss for the period from discontinued operations after taxes 
12
 
–34
–110 
Profit or loss for the period 
 
345
348 
Profit or loss for the period attributable to non-controlling interests 
13
 
20
4 
from continuing operations 
 
(20)
(4) 
from discontinued operations 
 
(0)
(0) 
Profit or loss for the period attributable to the shareholders of METRO AG 
 
325
344 
from continuing operations  
 
(359)
(454) 
from discontinued operations 
 
(–34)
(–110) 
Earnings per share in € (basic = diluted) 
14
 
0.89
0.95 
from continuing operations 
 
(0.99)
(1.25) 
from discontinued operations 
 
(–0.09)
(–0.30) 
1 Adjustment of previous year due to discontinued operations.

METRO ANNUAL REPORT 2017/18 
125
Consolidated financial statements 
 
Reconciliation from profit or loss for the period to total comprehensive income 
 
RECONCILIATION FROM PROFIT OR LOSS FOR THE PERIOD TO TOTAL COMPREHENSIVE INCOME 
FOR THE FINANCIAL YEAR FROM 1 OCTOBER 2017 TO 30 SEPTEMBER 2018 
€ million 
Note no.
 
2016/17
2017/18
Profit or loss for the period 
12, 13, 14
 
345
348 
Other comprehensive income 
 
 
Items of other comprehensive income  
that will not be reclassified subsequently to profit or loss 
32
 
55
11 
Remeasurement of defined benefit pension plans 
 
77
17 
Income tax attributable to items of other comprehensive income  
that will not be reclassified subsequently to profit or loss 
 
–21
–6 
Items of other comprehensive income  
that may be reclassified subsequently to profit or loss 
32
 
–41
–175 
Currency translation differences from translating  
the financial statements of foreign operations 
 
–39
–190 
Effective portion of gains/losses from cash flow hedges  
 
–3
2 
Gains/losses from the revaluation of financial instruments  
in the category ‘available for sale’ 
 
0
9 
Income tax attributable to items of other comprehensive income  
that may be reclassified subsequently to profit or loss 
 
2
4 
Other comprehensive income 
32
 
15
–164 
Total comprehensive income 
32
 
359
184 
Total comprehensive income attributable to non-controlling interests 
32
 
17
4 
Total comprehensive income attributable to the shareholders of METRO AG 
32
 
343
181

METRO ANNUAL REPORT 2017/18 
126 
Consolidated financial statements 
 
Balance sheet 
 
BALANCE SHEET AS OF 30 SEPTEMBER 2018 
Assets 
 
€ million 
Note no.
 
30/9/2017
30/9/2018
Non-current assets  
 
9,225
7,540 
Goodwill 
19
 
875
797 
Other intangible assets 
20
 
473
499 
Property, plant and equipment 
21
 
6,822
5,314 
Investment properties 
22
 
126
97 
Financial assets 
23
 
92
88 
Investments accounted for using the equity method 
23
 
183
178 
Other financial assets 
24
 
43
39 
Other non-financial assets 
24
 
174
163 
Deferred tax assets 
25
 
439
365 
Current assets  
 
6,554
7,703 
Inventories 
26
 
3,046
2,108 
Trade receivables 
27
 
575
571 
Financial assets 
 
1
1 
Other financial assets 
24
 
832
561 
Other non-financial assets 
24
 
382
353 
Entitlements to income tax refunds 
 
148
206 
Cash and cash equivalents 
30
 
1,559
1,298 
Assets held for sale 
31
 
11
2,605 
 
15,779
15,242

METRO ANNUAL REPORT 2017/18 
127
Consolidated financial statements 
 
Balance sheet 
 
 
Equity and liabilities 
 
€ million 
Note no.
 
30/9/2017
30/9/2018
Equity  
32
 
3,207
3,130 
Share capital  
 
363
363 
Capital reserve 
 
6,118
6,118 
Reserves retained from earnings 
 
–3,320
–3,392 
Non-controlling interests 
 
46
41 
Non-current liabilities 
 
4,197
3,406 
Provisions for post-employment benefits plans and similar obligations 
33
 
557
468 
Other provisions 
34
 
283
126 
Financial liabilities 
35, 37
 
3,095
2,590 
Other financial liabilities 
35, 38
 
67
56 
Other non-financial liabilities 
35, 38
 
95
67 
Deferred tax liabilities  
25
 
100
100 
Current liabilities  
 
8,376
8,705 
Trade liabilities 
35, 36
 
4,782
3,993 
Provisions 
34
 
456
274 
Financial liabilities 
35, 37
 
1,611
1,420 
Other financial liabilities 
35, 38
 
947
744 
Other non-financial liabilities 
35, 38
 
398
392 
Income tax liabilities  
35
 
167
191 
Liabilities related to assets held for sale 
31
 
15
1,691 
 
15,779
15,242

METRO ANNUAL REPORT 2017/18 
128 
Consolidated financial statements 
 
Statement of changes in equity 
 
 
STATEMENT OF CHANGES IN EQUITY  
FOR THE FINANCIAL YEAR FROM 1 OCTOBER 2017 TO 30 SEPTEMBER 2018 
€ million 
Note no.
 
Net assets
attributable
to the former
METRO GROUP
Share 
capital
Capital
reserve
Effective 
portion of 
gains/losses 
from 
cash flow 
hedges 
Gains/losses
from the
revaluation
of financial
instruments
in the
category
‘available
for sale’
 
Currency
translation
differences
from
translating
the financial
statements
of foreign
operations
30/9/2016 | 1/10/2016 
32
 
3,7912
0
0
12
0
 
–513
Impact of the transition from 
combined to consolidated 
financial statement 
32
 
–3,7912
363
6,118
0
0
 
0
32
 
0
363
6,118
1
0
 
–513
Earnings after taxes 
 
0
0
0
0
 
0
Other comprehensive income 
 
0
0
–3
0
 
–36
Total comprehensive income 
 
0
0
–3
0
 
–36
Capital increases 
 
0
0
0
0
 
0
Dividends 
 
0
0
0
0
 
0
Capital transactions  
with a change  
in the participation rate 
 
0
0
0
0
 
0
Other changes 
 
0
0
0
0
 
0
30/9/2017 | 1/10/2017 
32
 
363
6,118
–2
0
 
–549
Earnings after taxes 
 
0
0
0
0
 
0
Other comprehensive income 
 
0
0
2
9
 
–189
Total comprehensive income 
 
0
0
2
9
 
–189
Capital increases 
 
0
0
0
0
 
0
Dividends 
 
0
0
0
0
 
0
Capital transactions  
with a change  
in the participation rate 
 
0
0
0
0
 
0
Other changes 
 
0
0
0
0
 
0
30/9/2018 
32
 
363
6,118
0
9
 
–738
 
 
1 Previous year: other components of equity. 
 
2 Reclassification of total equity before non-controlling interests/of reserves retained from earnings. 
 
3 The reported dividend includes dividends to non-controlling shareholders in the amount of €12 million whose interests are shown fully as debt capital due to put options.

METRO ANNUAL REPORT 2017/18 
129
Consolidated financial statements 
 
Statement of changes in equity 
 
 
      
 
 
   
            
   
      
      
   
   
   
Remeasuring
of defined 
benefit
pension plans
Income tax on 
components 
of other 
comprehensive
 income
 
Other 
reserves 
retained from 
earnings
Total reserves
retained from
earnings1
Total equity
before non-
controlling
interests
 
Non-
controlling 
interests
Total equity
–503
1122
 
0
–9042
2,888
 
36
2,924 
   
         
   
0
0
 
–2,7432
–2,7432
–53
 
0
–53 
–503
112
 
–2,743
–3,647
2,834
 
36
2,870 
0
0
 
325
325
325
 
20
345 
76
–20
 
0
18
18
 
–3
15 
76
–20
 
325
343
343
 
17
359 
0
0
 
0
0
0
 
0
0 
0
0
 
–123
–12
–12
 
–20
–33 
   
   
   
0
0
 
0
0
0
 
0
0 
0
0
 
–4
–4
–4
 
13
10 
–427
92
 
–2,434
–3,320
3,162
 
46
3,207 
0
0
 
344
344
344
 
4
348 
17
–2
 
0
–163
–163
 
–1
–164 
17
–2
 
344
181
181
 
4
184 
0
0
 
0
0
0
 
1
1 
0
0
 
–254
–254
–254
 
–9
–263 
   
   
   
0
0
 
1
1
1
 
–1
0 
0
0
 
0
0
0
 
1
1 
–410
91
 
–2,344
–3,392
3,089
 
41
3,130

METRO ANNUAL REPORT 2017/18 
130 
Consolidated financial statements 
 
Cash flow statement 
 
CASH FLOW STATEMENT
1 
FOR THE FINANCIAL YEAR FROM 1 OCTOBER 2017 TO 30 SEPTEMBER 2018 
 
€ million 
 Note no2
 
2016/173
2017/18
EBIT 
 
833
823 
Depreciation/amortisation/impairment losses/reversal  
of impairment losses of assets excl. financial investments 
15
 
609
547 
Change in provisions for post-employment benefits and other provisions 
33, 34
 
–158
–201 
Change in net working capital 
26, 27, 36
 
–34
179 
Income taxes paid 
11
 
–216
–266 
Reclassification of gains (–) / losses (+) from the disposal of fixed assets 
 
–138
–139 
Other 
 
–45
–69 
Cash flow from operating activities of continuing operations 
 
851
874 
Cash flow from operating activities of discontinued operations 
42
 
176
31 
Cash flow from operating activities 
 
1,027
905 
Acquisition of subsidiaries 
 
–181
0 
Investments in property, plant and equipment  
and in investment property (excluding finance leases) 
21, 22
 
–452
–454 
Other investments 
 
–141
–168 
Investments in monetary assets 
 
–480
0 
Disposals of subsidiaries 
 
–54
33 
Disposal of fixed assets 
 20, 21, 22, 23
 
130
154 
Gains (+) / losses (–) from the disposal of fixed assets 
 
138
139 
Disposal of financial investments 
 
583
0 
Cash flow from investing activities of continuing operations 
 
–457
–296 
Cash flow from investing activities of discontinued operations 
42
 
–144
–85 
Cash flow from investing activities  
 
–601
–381 
Dividends paid 
32
 
 
to METRO AG shareholders 
 
–124
–254 
to other shareholders 
–20
–9 
Redemption of liabilities from put options of non-controlling interests 
–20
0 
Proceeds from new borrowings 
 
2,121
2,772 
Redemption of borrowings 
 
–2,098
–2,984 
Interest paid 
 
–164
–141 
Interest received 
 
40
28 
Profit and loss transfers and other financing activities 
 
–1
7 
Transactions with the former METRO GROUP 
 
–221
0 
Cash flow from financing activities of continuing operations 
 
–375
–581 
Cash flow from financing activities of discontinued operations 
42
 
–63
–79 
Cash flow from financing activities  
 
–438
–660 
Total cash flows  
 
–12
–136 
Currency effects on cash and cash equivalents 
 
–25
–30 
Total change in cash and cash equivalents 
 
–37
–166 
Cash and cash equivalents as of 1 October  
 
1,599
1,562 
Less cash and cash equivalents reported in assets in accordance with IFRS 5 
 
0
3 
Cash and cash equivalents as of 1 October 
 
1,599
1,559 
Cash and cash equivalents as of 30 September  
 
1,562
1,395 
Less cash and cash equivalents reported in assets in accordance with IFRS 5 
31
 
3
97 
Cash and cash equivalents as of 30 September  
30
 
1,559
1,298 
 
1 The cash flow statement is explained in the notes to the consolidated financial statements in no. 42 – notes to the cash flow statement. 
2 Deviations from the balance sheet values result from adjusted translation effects and changes in the consolidation group. 
3 Adjustment of previous year due to discontinued operations. 
4 The reported dividend includes dividends to non-controlling interest holders in the amount of €–12 million whose interests are shown fully as debt capital due to put options.

METRO ANNUAL REPORT 2017/18 
131
Notes 
 
 
NOTES

METRO ANNUAL REPORT 2017/18 
132 
Notes 
 
Segment reporting 
SEGMENT REPORTING1  
 
METRO Wholesale 
Germany 
METRO Wholesale 
Western Europe  
(excl. Germany) 
METRO Wholesale 
Russia 
 
METRO Wholesale 
Eastern Europe  
(excl. Russia) 
METRO Wholesale  
Asia 
 
€ million 
2016/17
2017/18
2016/17
2017/18
2016/17
 
2017/18
 
2016/17
2017/18
2016/17
2017/18
External sales 
(net) 
4,745
4,750 
10,432
10,609 
3,363
2,815 
 
6,886
6,952 
4,360
4,298 
Internal sales 
(net)  
12
23 
2
2 
49
36 
 
1
0 
0
0 
Sales (net) 
4,757
4,773 
10,434
10,611 
3,411
2,850 
 
6,887
6,952 
4,360
4,298 
EBITDAR 
117
119 
584
648 
358
276 
 
385
391 
321
217 
EBITDA  
excluding earnings 
contributions 
from real estate 
transactions 
88
91 
466
491 
 
   
345
266 
 
367
363 
162
162 
Earnings 
contributions 
from real estate 
transactions 
–1
0 
6
39 
0
0 
 
0
12 
110
8 
EBITDA 
87
91 
472
530 
345
266 
 
367
375 
272
170 
Depreciation/ 
amortisation/ 
impairment losses 
75
76 
174
143 
55
52 
 
110
97 
81
66 
Reversals of 
impairment losses 
0
0 
3
1 
0
0 
 
0
0 
0
0 
EBIT 
13
15 
302
388 
290
214 
 
257
278 
191
105 
Investments 
40
65 
310
127 
72
83 
 
55
69 
70
63 
Non-current 
segment assets 
891
875 
1,962
1,892 
1,038
958 
 
1,514
1,424 
1,005
971 
 
 
1 Segment reporting is explained in the notes to the consolidated financial statements in no. 43 – segment reporting. 
 
2 Primarily includes discontinued operations. 
 
3 Includes both continuing and discontinued operations.

METRO ANNUAL REPORT 2017/18 
133
Notes 
 
Segment reporting 
 
 
 
 
 
 
 
 
 
 
Real2 
 
Others3 
  
Consolidation 
 
METRO Continuing 
and discontinued 
operations 
 
Discontinued 
operations  
incl. IFRS 5 assessment   
METRO 
Continuing operations 
2016/17
2017/18 
2016/17 
2017/18
 
2016/17
 
2017/18
2016/17 
2017/18 
2016/17 
2017/18
 
2016/17
 
2017/18
  
7,247
7,077 
108 
34 
0
0 
37,140 
36,534 
7,237 
7,058 
29,903
29,476 
  
9
9 
550 
631 
–623
–700 
0 
0 
0 
0 
0
0 
  
7,256
7,086 
658 
665 
–623
–700 
37,140 
36,534 
7,237 
7,058 
29,903
29,476 
327
316 
–127 
–97 
2
2 
1,968 
1,871 
324 
303 
1,644
1,568 
154
143 
–152 
–116 
6
–4   
     
1,436 
1,396 
168 
154 
1,267
1,242 
    
6
12 
60 
58 
–6
0   
     
175 
129 
0 
1 
175
128 
159
155 
–92 
–58 
0
–4 
1,611 
1,525 
168 
155 
1,443
1,370 
140
232 
129 
126 
–2
–1 
762 
791 
149 
240 
613
551 
0
0 
0 
4 
0
0 
3 
6 
0 
2 
3
4 
19
–76 
–221 
–180 
2
–3 
852 
740 
19 
–83 
833
823 
131
209 
149 
196 
0
–2 
827 
811 
137 
211 
690
600 
  
1,202
1,172 
942 
935 
–42
–31 
8,512 
8,196 
1,330 
1,289 
7,182
6,908

METRO ANNUAL REPORT 2017/18 
134 
Notes 
 
Reconciliation to presentation in the management report 
 
RECONCILIATION TO PRESENTATION IN THE MANAGEMENT REPORT 
  
 
Reportable  
METRO Wholesale segments 
METRO Wholesale 
Others/consolidation 
METRO Wholesale 
€ million 
 
2016/17
2017/18
2016/17
 
2017/18
2016/17
2017/18
External sales (net) 
 
29,785
29,423 
81
 
27 
29,866
29,451 
Internal sales (net)  
 
64
60 
–51
 
–40 
13
20 
Sales (net) 
 
29,849
29,484 
30
 
–13 
29,879
29,471 
EBITDA excluding earnings contributions 
from real estate transactions 
 
1,428
1,373 
–16
 
–52 
1,413
1,321 
Earnings contributions  
from real estate transactions 
 
115
59 
0
 
0 
115
59 
EBITDA 
 
1,544
1,432 
–16
 
–52 
1,528
1,380 
Depreciation 
 
495
434 
1
 
1 
496
435 
Reversals of impairment losses 
 
3
1 
0
 
0 
3
1 
EBIT 
 
1,052
999 
–17
 
–53 
1,035
947 
Investments 
 
547
407 
1
 
0 
547
408 
Non-current segment assets 
 
6,410
6,120 
–12
 
–9 
6,398
6,111

METRO ANNUAL REPORT 2017/18 
135
Notes 
 
Notes to the group accounting principles and methods 
NOTES TO THE GROUP 
ACCOUNTING PRINCIPLES  
AND METHODS 
Accounting principles 
METRO AG, the parent company of METRO group 
(hereinafter referred to as METRO), is a German cor-
poration with registered office at Metro-Straße 1 in  
40235 Düsseldorf, Germany. The company is regis-
tered in the commercial register at the Local Court in 
Düsseldorf under HRB 79055.  
These consolidated financial statements of METRO AG 
as of 30 September 2018 were prepared in accord-
ance with the International Financial Reporting Stand-
ards (IFRS).  
The consolidated financial statements in their  
present form comply with the stipulations of § 315a of 
the German Commercial Code (HGB). Together with 
Regulation (EU) No. 1606/2002 of the European  
Parliament and of the Council of 19 July 2002 on the 
application of international accounting standards, they 
form the legal basis for group accounting according  
to international standards in Germany. 
The regulations of the German Commercial Code  
in the version of the CSR Directive Implementation Act 
of 11 April 2017 are being applied to the consolidated 
financial statements and the combined management 
report of METRO AG and the group for the first time  
in financial year 2017/18.  
The date on which the Management Board of 
METRO AG signed the consolidated financial state-
ments (22 November 2018) also represents the date 
on which the Management Board released the con-
solidated financial statements for publication and 
submitted them to the Supervisory Board. 
The income statement has been prepared using the 
cost of sales method.  
Certain items in the income statement and the  
balance sheet have been combined to increase trans-
parency and informative value. These items are listed 
separately and described in detail in the notes. 
The consolidated financial statements have been 
prepared in euros. All amounts are stated in million 
euros (€ million) unless otherwise indicated. Amounts 
below €0.5 million are rounded down and reported as  
€0 million. Individual figures may not add up to the 
stated sum precisely due to rounding. 
The following accounting and measurement  
methods were used in the preparation of the consoli-
dated financial statements. 
Application of new accounting methods 
Accounting standards applied  
for the first time in financial year 2017/18 
The following standards revised or amended by the 
International Accounting Standards Board (IASB) that 
were binding for METRO AG in financial year 2017/18 
were applied for the first time in these consolidated 
financial statements, unless the company had opted 
for voluntary early adoption:  
IAS 7 (STATEMENT OF CASH FLOWS) 
 
As per the amendments to IAS 7 in the context of the 
Disclosure Initiative, the notes to the consolidated 
financial statements provide disclosures on changes in 
liabilities arising from financing activities. In particular, 
the following changes are listed: financing cash flows, 
corresponding effects resulting from the acquisition  
or loss of control of subsidiaries or other business 
units, impact of currency exchange rates and fair value 
measurements. Financial liabilities include events  
that are classified as cash flows before financing activ-
ities in the cash flow statement. 
ADDITIONAL IFRS AMENDMENTS 
 
Other accounting rules to be applied for the first time 
in financial year 2017/18 without material effects on 
METRO are: 
— IAS 12 – Income Taxes 
(recognition of deferred tax assets for unrealised 
losses with regard to certain debt instruments) 
— Annual improvements to IFRS 2014–2016 
— (Clarification of the application area of IFRS 12 – 
Disclosure of Interests in Other Entities)  
Accounting standards that were published  
but not yet applied in financial year 2017/18 
A number of other standards and interpretations  
revised or newly adopted by the IASB were not yet 
applied by METRO AG in financial year 2017/18 be-
cause they were either not yet mandatory or have not 
yet been endorsed by the European Commission.

METRO ANNUAL REPORT 2017/18 
136 
Notes 
 
Notes to the group accounting principles and methods 
Standard/ 
Interpretation 
 
Title 
 
Effective date
according to 
IFRS1
 
Application at 
METRO AG from2
 
Endorsed by EU3
Amendments 
to IFRS 1 
 
Amendments as a result of the annual improvements  
cycle 2014–2016 (deletion of temporary exemptions) 
 
1/1/2018
 
1/10/2018
 
Yes
Amendments 
to IFRS 2 
 
Share-based payment (classification and measurement 
of share-based payment transactions) 
 
1/1/2018
 
1/10/2018
 
Yes
Amendments 
to IFRS 3 
Business combinations 
1/1/2020
1/10/2020
No
Amendments 
to IFRS 3 / 
IFRS 11 
 
Amendments as a result of the annual  
improvements cycle 2015–2017  
(clarifications of successive business combinations) 
 
1/1/2019
 
1/10/2019
 
No
Amendments 
to IFRS 4 
 
Insurance contracts (applying IFRS 9 financial 
instruments with IFRS 4 insurance contracts) 
 
1/1/2018
 
1/10/2018
 
Yes
IFRS 9 
 Financial instruments 
 
1/1/2018
 
1/10/2018
 
Yes
Amendments 
to IFRS 9 
 
Financial instruments (addition of regulations  
on early-repayment provisions with  
negative compensatory payments) 
 
1/1/2019
 
1/10/2019
 
Yes
Amendments 
to IFRS 10 / 
IAS 28 
 
Consolidated financial statements/Investments  
in associates and joint ventures (amendment: sales  
or contribution of assets between an investor  
and its associate or joint venture) 
 
Unknown4
 
Unknown4
 
No
IFRS 15 
 Revenue from contracts with customers 
 
1/1/2018
 
1/10/2018
 
Yes
Amendments 
to IFRS 15 
 
Revenue from contracts with customers  
(various clarifications) 
 
1/1/2018
 
1/10/2018
 
Yes
IFRS 16 
 Leases 
 
1/1/2019
 
1/10/2019
 
Yes
IFRS 17 
 Insurance contracts 
 
1/1/2021
 
1/10/2021
 
No
Amendments 
to IAS 1 / IAS 8 
 Changes to the definition of ‘significant’ 
 
1/1/2020
 
1/10/2020
 
No
Amendments 
to IAS 12 
 
Amendments as a result of the annual improvements 
cycle 2015–2017 (income aax consequences of 
payments on instruments classified as equity) 
 
1/1/2019
 
1/10/2019
 
No
Amendments 
to IAS 19 
 
Employee benefits (clarifications on plan changes, 
settlement expenses and curtailments) 
 
1/1/2019
 
1/10/2019
 
No
Amendments 
to IAS 23 
 
Amendments as a result of the annual improvements cycle 
2015–2017 (determination of the borrowing cost rate  
for funds not specifically borrowed for a qualified asset) 
 
1/1/2019
 
1/10/2019
 
No
Amendments 
to IAS 28 
 
Amendments as a result of the annual  
improvements cycle 2014–2016 (clarification  
on the right to vote in specific cases at fair value) 
 
1/1/2018
 
1/10/2018
 
Yes
Amendments 
to IAS 28 
 
Investments in associates and joint ventures  
(non-current investments in associates and joint ventures) 
 
1/1/2019
 
1/10/2019
 
No
Amendments 
to IAS 40 
 
Investment properties (clarification: transfer in  
and out of the investment property portfolio) 
 
1/1/2018
 
1/10/2018
 
Yes
IFRIC 22 
 Foreign currency transactions and advance considerations 
 
1/1/2018
 
1/10/2018
 
Yes
IFRIC 23 
 Uncertainty over income tax treatment 
 
1/1/2019
 
1/10/2019
 
Yes
Changes to  
the framework 
concept 
 
Accounting framework (adjustment of the cross 
references to the framework contained in the IFRS) 
 
1/1/2020
 
1/10/2020
 
No
 
1 Without earlier application. 
2 Application as of 1 October due to deviation of financial year from calendar year; prerequisite: EU endorsement has been effected. 
3 As of: 22 November 2018 (the date on which the Management Board of METRO AG signed the consolidated financial statements). 
4 Indefinite deferral of effective date by IASB.

METRO ANNUAL REPORT 2017/18 
137
Notes 
 
Notes to the group accounting principles and methods 
IFRS 9 (FINANCIAL INSTRUMENTS) 
 
The new IFRS 9 adopted in its final version on  
24 July 2014 (Financial Instruments) will replace 
IAS 39 (Financial Instruments: Recognition and Meas-
urement), covering the classification and measurement 
of financial instruments. As part of a project dealing 
with the introduction of IFRS 9 at METRO, the follow-
ing qualitative and quantitative effects of the new 
standard were analysed and evaluated.  
The majority of debt instruments held by METRO, 
lendings, loans, trade receivables and other financial 
assets (with the exception of equity instruments) will 
satisfy the criteria for their recognition at amortised 
costs pursuant to IFRS 9. Selected financial assets, 
such as certain loans and derivative financial instru-
ments not designated as part of a hedging transac-
tion, must under the new standard be measured at  
fair value through profit or loss. Due to the resulting 
changes to the current accounting in accordance with 
IAS 39, an increase in equity in a low single-digit  
million amount is expected to occur outside of profit 
or loss at the conversion date.  
METRO will in the future recognise credit losses 
expected for trade receivables over the entire term of 
these financial instruments. METRO will elect to apply 
the simplified procedure available under the standard 
and ascertain the expected losses on the basis of  
impairment tables. The outstanding receivables are 
continuously monitored by the individual METRO 
companies.  
In accordance with the new accounting and meas-
urement methods, METRO will apply the general im-
pairment requirements stipulated in IFRS 9 to all other 
financial assets. The credit risk is in these cases evalu-
ated on the basis of the customer’s credit quality – 
which METRO assesses using external ratings, previ-
ous experience with the respective customer and 
credit risk rating grades. METRO minimises the risk by 
exclusively investing in first-class debt capital instru-
ments from issuers with a good to very good rating 
(investment grade). For these kinds of assets, the 
creditworthiness of the issuers is also monitored con-
tinuously. This allows METRO to identify any probable 
significant increase in the credit risk and to swiftly 
respond to any potential changes. METRO uses bor-
rower-specific information to monitor loans advanced 
and other financial assets. In light of the conversion 
from a model based on actually incurred losses to a 
model focusing on expected losses, METRO expects  
a reduction of equity in a mid-single-digit million 
amount to occur outside of profit or loss at the con-
version date. The introduction of the impairment 
models could in subsequent years lead to a higher 
fluctuation in the income statement, since the level of 
risk provisions also depends on economic conditions. 
According to the new accounting and measure-
ment methods pursuant to IFRS 9, METRO will classify 
the majority of equity instruments held by it as meas-
ured at fair value through other comprehensive in-
come with effect on 1 October 2018. This will result in 
comparatively lower earnings volatility, because  
METRO had previously classified most of these equity 
instruments as available for sale and thus recognised 
the unrealised gains and losses in the other compre-
hensive income until they had to be recognised through 
profit or loss for the purposes of the reclassification. 
Commencing on 1 October 2018, METRO will decide 
for each new equity instrument whether the instrument 
is measured at fair value through other comprehensive 
income or at fair value through profit or loss.  
METRO does not expect any significant effects 
from the application of IFRS 9 in the area of financial 
liabilities. 
METRO exercises the option to continue the  
accounting of hedging transactions in accordance 
with IAS 39. 
The introduction of IFRS 9 entails extensive new 
disclosure requirements pursuant to IFRS 7 (Financial 
Instruments: Disclosures). The analysis carried out in 
this respect was also concerned with identifying the 
data to be disclosed in the notes that are currently not 
reported or generated by the current reporting pro-
cesses. METRO is currently setting up the necessary 
systems and control mechanisms for making the ma-
terial disclosures required under IFRS 7 available. 
METRO will apply the new standard for the first 
time on 1 October 2018. METRO will make use of the 
option pertaining to an exemption from a full retro-
spective application and recognise the effect of the 
first-time application of the standard as an adjustment 
to the opening balance of the reserves retained from 
earnings with effect on 1 October 2018. 
IFRS 15 (REVENUE FROM CONTRACTS  
WITH CUSTOMERS) 
 
The new IFRS 15 will replace IAS 18 (Revenue) and  
IAS 11 (Construction Contracts) and related interpreta-
tions and stipulates a uniform and comprehensive 
model for recognising revenue from customers.  
The new standard uses a 5-step model to determine 
the amount of revenue and the date of realisation. 
Revenues are recognised at the point in time the per-
formance obligation is satisfied. The performance 
obligation is satisfied when the control of the good  
or service is transferred to the customer. The perfor-
mance obligation can be satisfied at a single point in 
time or over a period of time. If the performance obli-
gation is satisfied over a period of time, the revenue is 
recognised over the period in such a way that, on the 
basis of the selected method, the performance obli-
gation is satisfied in a manner that best reflects the 
continuous transfer of control over time.  
IFRS 15 is to be applied for the first time to finan-
cial years beginning on or after 1 January 2018. METRO 
will commence application of the standard for finan-
cial year 2018/19 commencing on 1 October 2018 
(IFRS 15 conversion year) and elect to apply the modi-
fied retrospective transitional approach, in which no 
adjustment of the previous year’s figures takes place 
and any resulting adjustment amount is recognised

METRO ANNUAL REPORT 2017/18 
138 
Notes 
 
Notes to the group accounting principles and methods 
in equity. METRO elects to make use of the simplified 
process and only applies IFRS 15 retrospectively to 
contracts that have not been fully performed at the 
date of the first-time application (1 October 2018). 
During the course of the almost completed group-wide 
project concerned with the introduction of IFRS 15, the 
following significant conversion issues were identified 
within the METRO group and will be affected by an 
adjustment to the reserves retained from earnings  
in a low single-digit million amount in the opening 
balance sheet as of 1 October 2018. 
ESSENTIAL RIGHTS FROM CUSTOMER  
LOYALTY PROGRAMMES 
As part of discount campaigns or customer loyalty 
programmes, the customer is regularly granted the 
option of acquiring additional goods or services at a 
discounted price in the future. The part of the trans-
action price corresponding to the relative stand-alone 
selling price must be allocated to the resulting essen-
tial right. In the future, sales will be accrued under 
contract liability. Revenue recognition for the essential 
right occurs at the time the right is redeemed or  
expired, potentially leading to a later recognition of 
revenue.  
MULTI-COMPONENT CONTRACTS  
IN RELATION TO FRANCHISE AGREEMENTS 
Some of METRO’s franchise models make use of multi-
component contracts that provide for customers pur-
chasing a package of franchise products and services 
from METRO at the time of entering into the contract, 
with selected contractual components being subsi-
dised by METRO. In such cases, the total consideration 
of the contract shall be divided into the identifiable 
performance obligations in accordance with the rela-
tive individual selling prices and, in comparison to  
the previous accounting, a potentially larger part of 
the total compensation is attributable to the previously 
subsidised component, so that in the future revenues 
for those products must be reported earlier. Therefore, 
the balance sheet total at the time of initial application 
may increase as a result of the capitalisation of con-
tract assets. Legally, these represent not yet incurred 
receivables from the customer contract. 
The following conversion issues will in each instance 
result in the revised disclosure of a low single- to low 
double-digit million amount within the sales item and 
without adjustments affecting equity:  
PRINCIPAL/AGENT RELATIONSHIP  
The acknowledgement of whether METRO AG acts as 
principal or agent must be reassessed based on the 
indicator changes in IFRS 15. This results in a reduction 
of sales in a low double-digit million amount in the 
financial year as a result of the switch from being 
treated as a principal (recognition of gross sales and 
separate recognition of cost of sales) to being treated 
as an agent (recognition of net sales and cost of sales).  
TRANSPORT SERVICES IN STORE-BASED RETAIL  
Product sales are allocated to service revenues (trans-
port revenues) due to discounted or free delivery. This 
results in a changed disclosure within the item sales. 
LICENCES IN RELATION TO FRANCHISE AGREEMENTS   
Product sales are allocated to service revenues due  
to the issuance of franchise licences at discounted 
prices under multi-component contracts for franchis-
ing agreements. This results in a changed disclosure 
within sales. 
RIGHT OF RETURN  
Sales in some METRO Wholesale business models 
regularly result in redemption or conversion rights. 
These may be legally binding or arise from active 
business practice. Refunds represent a form of variable 
consideration in the determination of the transaction 
price. The disclosure of the return obligations will in 
the future be made in the liabilities section under the 
item return liability. In addition, an asset is recognised 
for the company’s right to recover products upon 
settlement of the return obligation (return asset). 
The application of IFRS 15 will otherwise affect the 
notes to the consolidated financial statements.  
New transactions are continuously examined in 
terms of their potential IFRS 15-relevant implications.  
IFRS 16 (LEASES) 
 
The new leasing standard IFRS 16 will replace the cur-
rently applicable standard IAS 17 (Leases) and IFRIC 4 
(determining whether an arrangement contains a 
lease). IFRS 16 generally applies to contracts that con-
vey the right to use an asset, rental contracts and 
leases, subleases and sale-and-lease-back transac-
tions. A lessee can elect to apply IFRS 16 to leases of 
certain intangible assets, whereas agreements on 
service concessions or leasing of natural resources are 
outside the scope of IFRS 16.  
The key change in IFRS 16 compared to IAS 17 con-
cerns the lessee accounting model. Lessees no longer 
have to classify leases as operating or finance. Instead, 
the lessee recognises a right-of-use asset and a lease 
liability upon commencement of the lease when the 
lessor makes an underlying asset available for use by 
the lessee.  
The lessee measures the lease liability at the pres-
ent value of the lease payments payable over the  
lease term. The lease payments include all fixed pay-
ments less any lease incentives for the conclusion of 
the contract. This includes all index-based variable 
lease payments. In addition, the lease payments must 
include any variable lease payments that classify as  
in-substance fixed payments as well as amounts  
expected to be payable by the lessee under residual 
value guarantees. The exercise price of a purchase or

METRO ANNUAL REPORT 2017/18 
139
Notes 
 
Notes to the group accounting principles and methods 
lease extension option must be included if it is reason-
ably certain that the lessee will exercise that option.  
In addition, the lease payments must include payments 
of penalties for terminating the lease if the lease term 
reflects the lessee exercising an option to terminate 
the lease.  
Over the term of the lease, the lease liability is  
accounted for under the effective interest method in 
consideration of lease payments made.  
The simultaneously recognised right-of-use asset  
is capitalised at the amount of the liability. Lease pay-
ments already made and directly attributable costs 
must also be included. Any payments received from 
the lessor that are related to the lease are deducted. 
Measurement also considers any reinstatement obliga-
tions from leases. The right-of-use asset is subjected 
to scheduled depreciation.  
EXERCISING OF OPTIONS 
Lessees can elect to make use of several policy op-
tions. METRO has policy options in accounting and 
measurement relating to the creation of portfolios  
of contracts with identical or similar characteristics, 
which METRO does not exercise. METRO will exercise 
the option of not applying the right-of-use approach 
to low-value assets (mainly business and office equip-
ment) and short-term leases (maximum term of 
12 months). Rental expenses for these assets must 
therefore be recognised directly in the income  
statement. 
The option to separate lease and non-lease com-
ponents (service) is not exercised and the non-lease 
component is included in the right-of-use assets to be 
recognised.  
In the future, comprehensive qualitative and quan-
titative information must be provided in the notes  
to the consolidated financial statements.  
The revised definition of leases also applies to the 
lessor and can lead to assessments deviating from  
IAS 17. However, the lessor continues to classify a lease 
as either an operating lease or a finance lease.  
IFRS 16 is applicable for reporting periods begin-
ning on or after 1 January 2019.  
METRO will apply these regulations for the first 
time on 1 October 2019, and thus refrains from early 
application of the standard together with IFRS 15 on  
1 October 2018. 
TRANSITIONAL ARRANGEMENTS 
METRO will apply IFRS 16 for the first time with full 
retrospective effect. The figures from the previous 
year will be adapted in consideration of the applicable 
transitional rules. 
PROJECT STATUS 
METRO AG has further analysed the effects of IFRS 16 
during the past financial year 2017/18 (post-impact 
analysis) as part of a group-wide implementation  
project. The modified standard method was used to 
ascertain the effects on the key financial figures as 
part of the post-impact analysis.  
The new leasing standard IFRS 16 has a significant 
impact on the true and fair view of the asset, financial 
and earnings position of METRO.  
While future payment obligations for operating 
leases had previously only been disclosed in the notes, 
the resulting rights and payment obligations are to be 
accounted for in future as rights of use and lease lia-
bilities. This mainly affects the leasing of real estate.  
METRO expects a significant increase in total  
assets at the time of initial application in the amount 
of €3 billion to €4 billion (of which approx. €1 billion  
is attributable to the discontinued operations) due  
to the increase in fixed assets based on the addition  
of the right of use to be capitalised. Additional im-
pairment losses and interest expenses will be recog-
nised in the income statement in the future instead  
of leasing expenses. This leads to an improvement  
in EBITDA in an amount in the mid 3-digit million euro 
range (which includes a low 3-digit million amount 
attributable to the discontinued operations) and an 
EBIT improvement at the expense of the financial 
result in the low 3-digit million euro range (of which a 
high 2-digit million amount is attributable to the  
discontinued operations). 
METRO has decided to implement centralised 
software that will be used to document and evaluate 
all leases throughout the entire group. 
ADDITIONAL IFRS AMENDMENTS 
 
At this point, the first-time application of the other 
standards and interpretations listed in the above table 
as well as changes to other IFRS are not expected to 
have a material impact on the group’s asset, financial 
and earnings position. 
Segment reporting 
METRO has changed its segment reporting with the 
beginning of financial year 2017/18 (please refer to  
the comments on segment reporting). METRO’s opera-
tional business is handled by the following 7 segments: 
— METRO Wholesale Germany 
— METRO Wholesale Western Europe  
(excl. Germany) 
— METRO Wholesale Russia 
— METRO Wholesale Eastern Europe (excl. Russia) 
— METRO Wholesale Asia 
— Real 
— Others

METRO ANNUAL REPORT 2017/18 
140 
Notes 
 
Notes to the group accounting principles and methods 
Consolidation group  
Besides METRO AG, all companies indirectly or  
directly controlled by METRO AG are included in the  
consolidated financial statements if these companies 
individually or as a group are not immaterial to the 
consolidated financial statements. Control exists if 
there is a possibility to control a company’s financial 
and business policy through a majority of voting rights 
or according to the Articles of Association, company 
contract or contractual agreement in order to benefit 
from this company’s business activities.  
Including METRO AG, 201 German (30/9/2017: 204) 
and 200 international (30/9/2017: 215) companies  
are included in the consolidated financial statements.  
The group of consolidated companies changed as 
follows in financial year 2017/18: 
 
 
 
  
As of 1/10/2017 
 
419
Changes in financial year 2017/18 
 
Companies merged  
with other consolidated subsidiaries 
6
Disposal of shares 
9
Other disposals 
12
Newly founded companies 
6
Acquisitions 
3
As of 30/9/2018 
 
401
 
  
 
Deconsolidated companies are included as group 
companies up to the date of their disposal. 
The reported 9 disposals exclusively concern  
the METRO Wholesale Western Europe segment  
(excluding Germany).  
The other disposals result in particular from  
7 liquidations. 
Effects from changes in the consolidation group 
that are of special significance are explained sepa-
rately in the respective items.  
For materiality reasons, 4 affiliated subsidiaries  
are not fully consolidated.  
Structured entities  
Structured entities within the group concern leasing 
companies. The key purpose of the leasing companies 
is to acquire, lease out and manage assets. As of the 
closing date, 3 (30/9/2017: 9) structured entities are 
fully consolidated. As was already the case in the  
previous year, there were no obligations to grant finan-
cial assistance to structured entities within the mean-
ing of IFRS 12.14. There are also no relationships with 
unconsolidated structured entities. 
Investments accounted for using the equity method 
24 associates (30/9/2017: 22) and 8 joint ventures 
(30/9/2017: 7) are recognised in the consolidated 
financial statements according to the equity method.  
Another 2 companies (30/9/2017: 2) in which 
METRO AG indirectly or directly holds between  
20% and 50% of the voting rights were valued at cost 
because they did not qualify as associates or because 
materiality considerations made the use of the equity 
method unnecessary.

METRO ANNUAL REPORT 2017/18 
141
Notes 
 
Notes to the group accounting principles and methods 
 
OVERVIEW OF MAJOR SUBSIDIARIES  
WITH NON-CONTROLLING INTERESTS 
€million 
 
 
30/9/2017 
 
Non-controlling 
interests  
 
 
Name 
Registered 
office
in %  
as of 
30/9/2017
Dividends
paid1
Non-
current
assets
Current
assets
Non-
current 
liabilities
Current
liabilities
Sales 
Profit share1
METRO Jinjiang 
Cash & Carry 
Co., Ltd. 
Shanghai, 
China
10.00
24
0
326
768
3
841
2,672
11
 
 
€million 
 
 
30/9/2018 
 
Non-controlling 
interests  
 
 
Name 
Registered 
office
in %  
as of 
30/9/2018
Dividends
paid1
Non-
current
assets
Current
assets
Non-
current 
liabilities
Current
liabilities
Sales 
Profit 
share1
METRO Jinjiang 
Cash & Carry 
Co., Ltd. 
Shanghai, 
China
10.00
23
0
291
797
3
860
2,652
0
 
  
  
  
  
  
  
  
  
  
  
1 Attributable to non-controlling interests. 
 
— A complete list of group companies and associates  
is shown in no. 55 – overview of the major fully consoli-
dated group companies. In addition, a complete list  
of all group companies and associates is shown in  
no. 57 – affiliated companies of METRO AG as of  
30 September 2018 pursuant to § 313 of the German 
Commercial Code. 
Consolidation principles 
The financial statements of German and foreign sub-
sidiaries included in the consolidated accounts are 
prepared using uniform accounting and valuation 
methods as required by IFRS 10 (consolidated finan-
cial statements). 
Consolidated companies that, unlike METRO AG, 
do not close their financial year on 30 September 
prepared interim financial statements for IFRS consoli-
dation purposes. In principle, subsidiaries are fully 
consolidated insofar as their consolidation is of mater-
ial importance to the presentation of a true and fair 
view of the assets, financial and earnings position. 
In accordance with IFRS 3 (business combinations), 
capital consolidation is effected using the purchase 
method. In the case of business combinations, the 
carrying amounts of the investments are offset against 
the revalued pro rata equity of the subsidiaries as  
of their acquisition dates. Any positive differences 
remaining after the allocation of hidden reserves and 
burdens are capitalised as goodwill. Goodwill is tested 
for impairment regularly once a year. 
In addition, in the case of company acquisitions,  
hidden reserves and burdens attributable to non-con-
trolling interests must be disclosed and recognised in 
equity as non-controlling interests. In accordance  
with IFRS 3, any negative differences remaining after 
the allocation of reserves and hidden burdens as well 
as after another review during the period in which  
the business combination took place are recognised 
through profit or loss. 
Purchases of additional shareholdings in companies 
where a controlling interest has already been acquired 
are recognised as equity transactions.  
Investments in associates and joint ventures are 
accounted for using the equity method and treated in 
accordance with the principles applying to full consoli-
dation, with existing goodwill being included in the 
amount capitalised for investments. The recognition of 
income from investments in associates, joint ventures 
and joint operations in the income statement depends 
on whether the investee carries out operating or non-
operating activities. Operating activities include the 
retail and wholesale businesses as well as related sup-
port activities (for example, renting/leasing of proper-
ties, procurement, logistics). Income from operating 
associates, joint ventures and joint operations is recog-
nised in EBIT; income from non-operating entities is 
however recognised in the net financial result.  
Any deviating accounting and measurement meth-
ods used in the financial statements of entities valued 
at equity are retained as long as they do not substan-
tially contradict METRO’s uniform accounting and 
valuation methods.

METRO ANNUAL REPORT 2017/18 
142 
Notes 
 
Notes to the group accounting principles and methods 
According to IFRS 11 (joint arrangements), the individ-
ual partners in joint arrangements recognise their 
portion of jointly held assets and jointly incurred liabil-
ities in their own balance sheet.  
Intra-group sales, expenses and income or profits 
and losses as well as receivables and liabilities and/or 
provisions are eliminated. Interim results in fixed 
assets or inventories resulting from intra-group trans-
actions are eliminated unless they are of minor sig- 
nificance. In accordance with IAS 12 (income taxes), 
deferred taxes are recognised for consolidation  
procedures.  
Unrealised gains from transactions with companies 
accounted for using the equity method are derecog-
nised against the investment in the amount of the 
group’s share in the investee.  
In joint arrangements, each of the partner com-
panies recognises its own portion of sales, income and 
expenses resulting from the joint arrangement in its 
income statement. 
If a reduction in the shareholding quota in a sub-
sidiary or the complete disposal of the shares entails a 
loss of control, full consolidation of the subsidiary is 
ended when the control opportunity ends. All assets 
and liabilities that were previously fully consolidated 
will then be derecognised at amortised group carrying 
amounts (deconsolidation). Any shares held after loss 
of the control opportunity are recognised at fair value 
as a financial instrument according to IAS 39 or as a 
holding pursuant to IAS 28 (equity method).    
Currency translation 
Foreign currency transactions 
In the subsidiaries’ separate financial statements, 
transactions in foreign currency are recognised at the 
rate prevailing on the transaction date. Monetary as-
sets and liabilities in foreign currency are valued at the 
closing date exchange rate. Non-monetary assets and 
liabilities that are measured at fair value in foreign 
currency are translated at the rate prevailing at the 
time the fair value was determined. Non-monetary 
items measured at historical acquisition or production 
costs in foreign currency are translated at the rate 
valid at the transaction date.  
In principle, gains and losses from exchange rate 
fluctuations incurred until the closing date are recog-
nised in profit or loss. Currency translation differences 
from receivables and liabilities in foreign currency, 
which must be regarded as (part of) a net investment 
in a foreign operation, equity instruments held for sale 
and qualified cash flow hedges are reported as re-
serves retained from earnings outside of profit or loss. 
Foreign operations 
The annual financial statements of foreign subsidiaries 
are prepared according to the functional currency 
concept of IAS 21 (the effects of changes in foreign 
exchange rates) and translated into euros in as far as 
their functional currency is a currency other than the 
euro. The functional currency is defined as the currency 
of the primary economic environment of the sub- 
sidiary. Since all consolidated companies operate as 
financially, economically and organisationally autono-
mous entities, their respective local currency is the 
functional currency. Assets and liabilities are therefore 
translated at the current exchange rate prevailing on 
the closing date. As a rule, income statement items are 
translated at the average exchange rate during the 
financial year. Differences from the translation of the 
financial statements of foreign subsidiaries do not 
affect income and are shown as separate items under 
reserves retained from earnings. To the extent that 
foreign subsidiaries are not under the full control of 
the parent company, the relevant share of currency 
differences is allocated to the non-controlling interests. 
Currency differences are recognised through profit 
or loss in the net financial result in the year in which 
the operations of a foreign subsidiary are deconsoli-
dated or terminated. In a partial disposal in which a 
controlling interest in the foreign subsidiary is re-
tained, the relevant share of cumulated currency dif-
ferences is allocated to the non-controlling interests. 
Should foreign associates or jointly controlled entities 
be partially sold without the loss of significant influ-
ence or joint control, the relevant share of the cumu-
lated currency differences is recognised in the income 
statement.  
In financial year 2017/18, no functional currency  
of a consolidated company was classified as hyperin-
flationary as defined by IAS 29 (financial reporting in 
hyperinflationary economies). 
The following exchange rates were applied in the 
translation of key currencies outside the Economic 
and Monetary Union that are of major significance for 
METRO:

METRO ANNUAL REPORT 2017/18 
143
Notes 
 
Notes to the group accounting principles and methods 
 
 
 
 
 
Average exchange rate per € 
 
Exchange rate at closing date per € 
 
 
2016/17
2017/18
 
30/9/2017
30/9/2018
Bulgarian lev 
BGN
 
1.95583
1.95583 
 
1.95583
1.95583 
Chinese renminbi 
CNY
 
7.52183
7.78072 
 
7.85340
7.96620 
Croatian kuna 
HRK
 
7.46142
7.44639 
 
7.49500
7.43460 
Czech koruna 
CZK
 
26.67131
25.59342 
 
25.98100
25.73100 
Danish krone 
DKK
 
7.43772
7.44841 
 
7.44230
7.45640 
Egyptian pound 
EGP
 
18.79223
21.14591 
 
20.78390
20.96995 
Hong Kong dollar 
HKD
 
8.59544
9.32227 
 
9.22140
9.05790 
Hungarian forint 
HUF
 
308.69863
315.96660 
 
310.67000
324.37000 
Indian rupee 
INR
 
72.61794
79.17455 
 
77.06900
83.91600 
Indonesian rupiah 
IDR
 14,704.02000
16,563.99000 
 15,888.51000
17,249.98000 
Japanese yen 
JPY
 
122.90301
131.44140 
 
132.82000
131.23000 
Kazakhstani tenge 
KZT
 
360.51395
399.50173 
 
402.64000
420.91000 
Moldovan leu 
MDL
 
21.12759
20.07596 
 
20.74650
19.76180 
Myanmar kyat 
MMK
 
1,485.61726
1,643.89863 
 
1,601.80000
1,816.30000 
Norwegian krone 
NOK
 
9.18636
9.59644 
 
9.41250
9.46650 
Pakistani rupee 
PKR
 
116.00002
136.55544 
 
124.35150
144.19130 
Polish zloty 
PLN
 
4.29356
4.24399 
 
4.30420
4.27740 
Pound sterling  
GBP
 
0.87177
0.88479 
 
0.88178
0.88730 
Romanian leu 
RON
 
4.54062
4.64422 
 
4.59930
4.66380 
Russian rouble 
RUB
 
65.71585
72.23349 
 
68.25190
76.14220 
Serbian dinar 
RSD
 
122.45092
118.46441 
 
119.36590
118.41790 
Singapore dollar 
SGD
 
1.53981
1.59897 
 
1.60310
1.58390 
Swiss franc  
CHF
 
1.09089
1.16162 
 
1.14570
1.13160 
Turkish lira 
TRY
 
3.88674
5.24182 
 
4.20130
6.96500 
Ukrainian hryvnia 
UAH
 
29.07864
32.08969 
 
31.37857
32.72527 
US dollar 
USD
 
1.10467
1.19026 
 
1.18060
1.15760 
Vietnamese dong 
VND
 24,607.59000
26,816.38000 
 26,487.30000
26,722.01000 
 
 
 
 
Income statement 
Recognition of income and expenses 
In accordance with IAS 18 (revenue), sales and other 
operating income are reported immediately upon 
rendering of the service or delivery of the goods. In 
the latter case, the timing is determined by the trans-
fer of risk to the customer. Where customers are 
granted the right to return goods and cancel services, 
sales are recognised only if the probability of return 
can be reliably estimated. To this end, return rates are 
calculated on the basis of historical data and projected 
to future take-back obligations. No sales are recog-
nised for the portion allocated to the expected returns; 
instead, a provision is recognised. Sales are shown 
after deduction of value added tax, rebates and dis-
counts. They are recognised at the time the essential 
opportunities and risks associated with the sale of the 
goods or services have transferred to the company. 
Net sales are shown for commission transactions, as 
defined by the company. Sales revenues from con-
tracts with several contractual components (for  
example sale of goods plus additional services) are 
realised when the respective contractual components 
have been fulfilled. The prorata sales are realised 
based on the estimated fair value of the individual 
contractual components. 
Performance-based government grants attribut-
able to future periods have been recognised on an  
accrual basis according to the corresponding expenses. 
Performance-based grants for subsequent periods 
which have already been received are shown as  
deferred income and the corresponding income is 
proportionally recognised in subsequent periods. 
Operating expenses are recognised as expenses 
upon use of the service or on the date of their causation. 
METRO’s financial result consists primarily of inter-
est income and expenses. As a general rule, dividends

METRO ANNUAL REPORT 2017/18 
144 
Notes 
 
Notes to the group accounting principles and methods 
are recognised as income when the legal claim to 
payment arises. Debt capital interests that are directly 
attributable to the acquisition or production of a  
so-called qualified asset represent an exception as 
they must be included in the acquisition or production 
costs of the asset capitalised pursuant to IAS 23  
(borrowing costs). 
Income taxes 
Income taxes concern direct taxes on income and 
deferred taxes. As a rule, they are recognised through 
profit or loss unless they are related to business com-
binations or an item that is directly recognised in  
equity or other comprehensive income. 
Balance sheet 
Goodwill 
Goodwill is regularly tested for impairment once a 
year – or more frequently if changes in circumstances 
indicate a possible impairment. If an impairment  
exists, an impairment loss is recognised through profit 
or loss. To determine a possible impairment, the recov-
erable amount of a cash-generating unit is compared 
to the corresponding carrying amount of the cash- 
generating unit. The recoverable amount is the higher 
of value in use and fair value less costs to sell. An  
impairment of the goodwill allocated to a cash-gen- 
erating unit applies only if the recoverable amount is 
lower than the total of carrying amounts. No reversal 
of an impairment loss is performed if the reasons for 
the impairment in previous years have ceased to exist. 
Other intangible assets 
Purchased other intangible assets are recognised  
at cost of purchase. In accordance with IAS 38 (intan-
gible assets), internally generated intangible assets 
are capitalised at their production cost. Research 
costs, in contrast, are not capitalised, but immediately 
recognised as expenses. The cost of manufacture 
includes all expenditure directly attributable to the 
development process.  
 
 
Direct costs 
Direct material costs
 
 
Direct production costs
 
 
Special direct production costs
Overhead 
Material overhead
(directly attributable) 
Production overhead
 
 
Depreciation/amortisation/
impairment losses
 
 
Development-related 
administrative costs
 
  
 
 
Borrowing costs are factored into the determination  
of production costs only if the intangible asset is a  
so-called qualified asset pursuant to IAS 23 (borrow-
ing costs). Qualified assets are defined as non-financial 
assets that take a substantial period of time to prepare 
for their intended use or sale. 
All other intangible assets of METRO with a finite 
useful life are subject to straight-line amortisation. 
Capitalised internally created and purchased software 
as well as comparable intangible assets are amortised 
over a period of up to 10 years, while licences are 
amortised over their useful life.  
Intangible assets with an infinite useful life are not 
subject to straight-line amortisation, but are subjected 
to an impairment test at least once a year. Impair-
ments and value gains are recognised through profit 
or loss based on the historical cost principle. 
Property, plant and equipment 
Property, plant and equipment are recognised at 
amortised cost pursuant to IAS 16 (property, plant and 
equipment). The manufacturing cost of internally gen-
erated assets includes both direct costs and directly 
attributable overhead. Borrowing costs are only capi-
talised in relation to so-called qualified assets as a 
component of acquisition or production costs. In line 
with IAS 20 (accounting for government grants and 
disclosure of government assistance), investment 
grants received are offset against the acquisition or 
production costs of the corresponding asset. Rein-
statement obligations are included in the cost of  
purchase or production at the discounted settlement 
value. Subsequent purchase or production costs of 
property, plant and equipment are only capitalised if 
they result in a higher future economic benefit of the 
tangible asset. 
All property, plant and equipment is depreciated 
using the straight-line acquisition cost method pur-
suant to IAS 16. Throughout the group, depreciation is 
based on the following useful lives:

METRO ANNUAL REPORT 2017/18 
145
Notes 
 
Notes to the group accounting principles and methods 
 
  
Buildings 
10 to 33 years
Leasehold 
improvements 
8 to 15 years or shorter
rental contract duration
Business and  
office equipment 
3 to 13 years
Machinery 
3 to 8 years
 
  
 
 
Capitalised reinstatement costs are depreciated on a 
pro rata basis over the useful life of the asset. 
Pursuant to IAS 36, an impairment test will be car-
ried out if there are any indications of impairment  
of property, plant and equipment or impairment of a 
cash-generating unit attributable to such property, 
plant and equipment. Impairment losses are recog-
nised if the recoverable amount is below the amortised 
cost. Impairment losses are reversed up to the amount 
of amortised acquisition or production costs if the 
reasons for the impairment have ceased to exist. 
In accordance with IAS 17 (leases), economic own-
ership of leased assets is attributable to the lessee if 
all the material risks and rewards incidental to owner-
ship of the asset are transferred to the lessee (finance 
lease). If economic ownership is attributable to a 
METRO company acting as lessee, the leased asset is 
capitalised at fair value or at the lower present value 
of the minimum lease payments when the lease is 
signed. Analogous to the comparable purchased 
property, plant and equipment, leased assets are sub-
ject to depreciation over their useful lives or the lease 
term if the latter is shorter. However, if it is sufficient-
ly certain that ownership of the leased asset will be 
transferred to the lessee (METRO) at the end of the 
lease term, the asset is depreciated over its useful life.  
Payment obligations resulting from future lease pay-
ments are carried as liabilities.  
An operating lease applies when economic own-
ership of the leased object is not transferred to the 
lessee. METRO does not recognise assets or liabilities 
for operating leases, but merely recognises rental 
expenses in its income statement over the term of the 
lease using the straight-line method. 
Investment properties 
In accordance with IAS 40 (investment property), 
investment properties comprise real estate assets that 
are held to earn rentals and/or for an increase in value. 
Analogous to property, plant and equipment, they are 
recognised at cost less depreciation and potentially 
required impairment losses based on the cost model. 
Investment properties are depreciated using the 
straight-line method over a useful life of 15 to 33 years. 
Furthermore, the fair value of these properties is  
stated in the notes. This is determined on the basis  
of recognised measurement methods, including an 
assessment and the consideration of project develop-
ment opportunities.  
Financial assets  
Financial assets (financial investments) that do not 
represent associates under IAS 28 (investments in 
associates and joint ventures) or joint ventures under 
IAS 11 (construction contracts) are recognised in  
accordance with IAS 39 (financial instruments: Recog-
nition and Measurement) and assigned to one of the 
following categories: 
— ‘Loans and receivables’ 
— ‘Held to maturity’ 
— ‘At fair value through profit or loss’ 
— ‘Available for sale’ 
The first-time recognition of financial assets is effect-
ed at fair value. In the process, incurred transaction 
costs are considered for all categories with the excep-
tion of the category ‘at fair value through profit or 
loss’. Measurement is effected at the trade date. 
Depending on the classification to the categories 
listed above, financial assets are capitalised either at 
amortised cost or at fair value: 
— ‘Loans and receivables’ are non-derivative finan-
cial assets with fixed or determinable payments 
that are not quoted in an active market. They are 
recognised at amortised cost using the effective  
interest method.  
— The measurement category ‘held to maturity’ in-
cludes non-derivative financial assets with fixed or 
determinable payments and fixed maturity, with 
the company having both the positive intention 
and the ability to hold them to maturity. They are 
also recognised at amortised cost using the effec-
tive interest method.  
— Financial instruments ‘held for trading’ are finan-
cial assets that are either acquired or incurred 
principally for the purpose of selling or repurchas-
ing in the near term or that are part of a portfolio 
of financial instruments that are managed together 
and for which there is evidence of a recent pattern 
of short-term profit-taking. Furthermore, this  
category includes derivative financial instruments 
that are not part of an effective hedge. Financial 
instruments ‘held for trading’ are measured ‘at fair 
value through profit or loss’. 
— The category ‘available for sale’ represents a re-
sidual category for primary financial assets that 
cannot be assigned to any of the other 3 catego-
ries. METRO does not make use of the optional 
designation of financial assets to the category 
‘available for sale’. ‘Available for sale’ financial as-
sets are recognised at fair value in equity. Fluctua-
tions in the fair value of ‘available for sale’ financial 
assets are recognised in other comprehensive in-
come. The amounts recognised are not reclassified 
to profit or loss for the respective period until the 
financial asset is derecognised or an impairment of 
the assets has occurred.

METRO ANNUAL REPORT 2017/18 
146 
Notes 
 
Notes to the group accounting principles and methods 
Investments are assets to be classified as ‘available for 
sale’. Securities are classified as ‘held to maturity’, 
‘available for sale’ or ‘held for trading’. Loans are clas-
sified as ‘loans and receivables’. 
Financial assets designated as hedged items as 
part of a fair value hedge are recognised at fair value 
through profit or loss. 
Equity instruments for which no quoted price on 
an active market exists and whose fair value cannot be 
reliably measured, as well as derivatives on such equi-
ty instruments, are recognised at cost.  
At each closing date, financial assets that are not 
measured at fair value through profit or loss are exam-
ined for objective, substantial indications of impair-
ment. Such indications include delayed interest or 
redemption payments, defaults and deteriorations in 
the borrower’s creditworthiness. If there are any such 
indications, the respective financial asset is tested for 
impairment by comparing the carrying amount to the 
present value. The present value of financial assets 
measured at amortised cost corresponds to the pres-
ent value of expected future cash flows, discounted  
at the original effective interest rate. However, the 
present value of equity instruments measured at cost 
in the category ‘available for sale’ corresponds to  
expected future cash flows discounted at the current 
market interest rate. If the present value is lower than 
the carrying amount, an impairment loss is recognised 
for the difference. Where decreases in the fair value of 
financial assets in the category ‘held for sale’ were 
previously recognised in other comprehensive income 
outside of profit or loss, these are now recognised in 
profit or loss to the amount of determined impairment 
and reclassified accordingly. 
If, at a later date, the present value increases again, 
the impairment loss is reversed accordingly. In the 
case of financial assets recognised at amortised cost, 
the impairment loss reversal is limited to the amount 
of amortised cost which would have occurred without 
the impairment. In the category ‘available for sale’,  
the reversal of previously recognised impairment loss-
es for equity instruments is shown outside of profit  
or loss in other comprehensive income, while for debt 
instruments it is shown in profit or loss up to the amount 
of the impairment previously recognised through  
profit or loss. Increases in value for debt instruments 
beyond this are recognised outside of profit or loss  
in other comprehensive income. 
Financial assets are derecognised when the con-
tractual rights to cash flows from the item in question 
are extinguished or have expired or the financial asset 
is transferred. 
Other financial and non-financial assets 
The assets reported under other financial assets that 
are classified as ‘loans and receivables’ under IAS 39 
are measured at amortised cost.  
Other assets include, among others, derivative  
financial instruments to be classified as ‘held for trad-
ing’ in accordance with IAS 39. All other receivables 
and assets are recognised at amortised cost.  
Prepaid expenses and deferred charges comprise 
transitory accruals. 
Deferred tax assets and deferred tax liabilities 
Deferred tax assets and deferred tax liabilities are 
determined using the asset-liability method in accord-
ance with IAS 12 (income taxes). Deferred tax assets 
and liabilities are recognised for temporary differences 
between the carrying amounts of assets or liabilities in 
the consolidated financial statements and their tax 
base. Deferred tax assets are also considered for unused 
tax loss and interest carry-forwards. 
Deferred tax assets are recognised only to the ex-
tent that it is probable that sufficient taxable profit will 
be available in the future to allow the corresponding 
benefit of that deferred tax asset to be realised.  
Deferred tax assets and deferred tax liabilities are 
netted if these income tax assets and liabilities con-
cern the same tax authority and refer to the same tax 
subject or a group of different tax subjects that are 
jointly assessed for income tax purposes. Deferred tax 
assets are remeasured at each closing date and ad-
justed if necessary.  
Deferred taxes are determined on the basis of the 
tax rates expected in each country upon realisation.  
In principle, these are based on the valid laws or legis-
lation that has been passed at the time of the closing 
date. 
The assessment of deferred taxes reflects the tax 
consequence arising from how METRO expects to 
recover the carrying amounts of its assets and settle 
its obligations as of the closing date.

METRO ANNUAL REPORT 2017/18 
147
Notes 
 
Notes to the group accounting principles and methods 
Inventories 
In accordance with IAS 2 (inventories), merchandise 
carried as inventories is reported at cost of purchase. 
The cost of purchase is determined either on the basis 
of a separate measurement of additions from the per-
spective of the procurement market or by means of 
the weighted average cost method. Supplier compen-
sation to be classified as a reduction in the cost of 
purchase lowers the carrying amount of inventories. 
Merchandise is valued as of the closing date at the 
lower of cost or net realisable value. Merchandise is 
written down on a case-by-case basis if the net realis-
able value declines below the carrying amount of the 
inventories. Such net realisable value corresponds  
to the anticipated estimated selling price less the  
estimated direct costs necessary to make the sale. 
When the reasons for a write-down of the mer-
chandise have ceased to exist, the previously recog-
nised impairment loss is reversed.  
Trade receivables 
In accordance with IAS 39, trade receivables are  
classified as ‘loans and receivables’ and recognised at 
amortised cost. Where their recoverability appears 
doubtful, the trade receivables are recognised at the 
lower present value of the estimated future cash flows. 
Aside from the required specific bad debt allowances, 
a generalised specific allowance is carried out to  
account for the general credit risk. 
Income tax assets and liabilities 
The disclosed income tax assets and liabilities con-
cern domestic and foreign income taxes for the  
reporting period as well as prior periods. They are 
determined in compliance with the tax laws of the 
respective country. 
In addition, the effects of tax risks are considered 
in the determination of income tax liabilities. The 
premises and assessments underlying these risks are 
regularly reviewed and considered in the determina-
tion of income tax.  
Cash and cash equivalents 
Cash and cash equivalents comprise cheques, cash  
on hand, bank deposits and other short-term liquid 
financial assets, such as accessible deposits on lawyer 
trust accounts or cash in transit, with an original term 
of up to 3 months and are valued at their respective 
nominal values.  
Non-current assets held for sale, liabilities related 
to assets held for sale and discontinued operations 
In accordance with IFRS 5 (non-current assets held for 
sale and discontinued operations), an asset is classi-
fied as a non-current asset held for sale if the respec-
tive carrying amount will be recovered principally 
through a sale transaction rather than through continu-
ing use. Analogously, liabilities related to assets held 
for sale are presented separately in the balance sheet. 
A sale must be feasible in practice and be planned  
for execution within the subsequent 12 months. The 
valuation of the assets and liabilities’ carrying amounts 
pursuant to the relevant IFRS must directly precede 
the first-time classification as held for sale. In case of 
reclassification, the assets and liabilities of the disposal 
group are measured at the lower of carrying amount 
and fair value less costs to sell and presented sepa-
rately in the balance sheet.  
 
Employee benefits 
Employee benefits include: 
— Short-term employee benefits  
— Post-employment benefits  
— Obligations similar to pensions  
— Termination benefits  
— Share-based payment 
Short-term employee benefits include wages and 
salaries, social security contributions, vacation pay 
and sickness benefits and are recognised as liabilities 
at the disbursement amount as soon as the associ-
ated job performance has been rendered. 
Post-employment benefits are provided in the 
context of defined benefit or defined contribution 
plans. In the case of defined contribution plans, peri-
odic contribution obligations to the external pension 
provider are recognised as expenses for post-employ-
ment benefits at the same time as the beneficiary’s  
job performance. Missed payments or prepayments  
to the pension provider are accrued as liabilities or 
receivables. Liabilities with a term of over 12 months 
are discounted.

METRO ANNUAL REPORT 2017/18 
148 
Notes 
 
Notes to the group accounting principles and methods 
The actuarial measurement of provisions for post-
employment benefits plans as part of a defined bene-
fit plan is effected in accordance with the projected 
unit credit method stipulated by IAS 19 (employee 
benefits) on the basis of actuarial opinions. Based on 
biometric data, this method takes into account known 
pensions and pension entitlements at the closing  
date as well as expected increases in future wages and 
pensions. Where the employee benefit obligations 
determined or the fair value of the plan assets increase 
or decrease between the beginning and end of a fi-
nancial year as a result of experience adjustments (for 
example, a higher fluctuation rate) or changes in under-
lying actuarial assumptions (for example, the dis-
count rate), this will result in so-called actuarial gains 
or losses. These are recognised in other comprehen-
sive income with no effect on profit or loss. Effects of 
plan changes and curtailments are recognised fully 
under service costs through profit or loss. The interest 
element of the addition to the provision contained in 
the pension expense is shown as interest paid under 
the financial result. Insofar as plan assets exist, the 
amount of the pension provision is generally the result 
of the difference between the present value of defined 
benefit obligations and the fair value of the plan  
assets. 
Provisions for obligations similar to pensions 
(such as anniversary allowances and death benefits) 
are based on the present value of future payment 
obligations to the employee or his or her surviving 
dependants less any associated assets measured at 
fair value. The amount of provisions is determined on 
the basis of actuarial opinions in line with IAS 19. Ac-
tuarial gains and losses are recognised in profit or loss 
in the period in which they are incurred. 
Termination benefits comprise severance pay-
ments to employees. These are recognised as liabilities 
through profit or loss when contractual or factual 
payment obligations towards the employee are to be 
made in relation to the termination of the employment 
relationship. Such an obligation is given when a formal 
plan for the early termination of the employment  
relationship exists to which the company is bound. 
Benefits with terms of more than 12 months after the 
closing date must be recognised at their present value.  
The share bonuses granted under the share-based 
payment system are classified as ‘cash-settled share-
based payments’ pursuant to IFRS 2 (share-based 
payment). Proportionate provisions measured at the 
fair value of the obligations entered into are formed 
for these payments. The proportionate formation of 
the provisions is prorated over the underlying vesting 
period and recognised in profit or loss as personnel 
expenses. The fair value is remeasured at each closing 
date during the vesting period until exercised based 
on an option pricing model. Provisions are adjusted 
accordingly in profit or loss. 
Where granted, share-based payments are hedged 
through corresponding transactions; the hedging 
transactions are measured at fair value and shown 
under other financial and non-financial assets. The 
portion of the hedges’ value fluctuation that corre-
sponds to the value of fluctuation of the share-based 
payments is recognised in personnel expenses. The 
surplus amount of value fluctuations is recognised in 
other comprehensive income outside of profit or loss. 
(Other) provisions 
In accordance with IAS 37 (provisions, contingent 
liabilities and contingent assets), (other) provisions 
are formed if legal or constructive obligations to third 
parties exist that are based on past business transac-
tions or events and will probably result in an outflow 
of financial resources that can be reliably determined. 
The provisions are stated at the anticipated settlement 
amount with regard to all identifiable risks attached.  
Long-term provisions with a term of more than one 
year are discounted to the closing date using an inter-
est rate for matching maturities which reflects current 
market expectations regarding interest rate effects. 
Provisions with a term of less than one year are dis-
counted accordingly if the interest rate effect is mater-
ial. Claims for recourse are not netted with provisions, 
but recognised separately as an asset if their realisa-
tion is considered virtually certain. 
Provisions for onerous contracts are formed if the 
unavoidable costs of meeting the obligations under a 
contract exceed the expected economic benefits  
resulting from the contract. Provisions for deficient 
rental covers related to leased objects are based on a 
consideration of individual leased properties. Provi-
sions in the amount of the present value of the fund-
ing gap are formed for all closed properties or pro-
perties with deficient rental cover. In addition, a 
provision is created for store-related risks related to 
leased, operational or not yet closed stores insofar as 
a deficient cover of operational costs or a deficient 
rental cover despite consideration of a possible sub-
leasing of the respective location arises from current 
corporate planning over the basic rental term. 
Provisions for restructuring measures are recog-
nised if a constructive obligation to restructure was 
formalised by means of the adoption of a detailed 
restructuring plan and its communication vis-à-vis 
those affected as of the closing date.  
Warranty provisions are formed based on past 
warranty claims and the sales of the current financial 
year.

METRO ANNUAL REPORT 2017/18 
149
Notes 
 
Notes to the group accounting principles and methods 
Financial liabilities 
According to IAS 39, financial liabilities that do  
not represent liabilities from finance leases are  
assigned to one of the following categories: 
— ‘At fair value through profit or loss’  
(‘held for trading’) 
— ‘Other financial liabilities’ 
The first-time recognition of financial liabilities and 
subsequent measurement of financial liabilities ‘held 
for trading’ is effected based on the same stipulations 
as for financial assets.  
The category ‘other financial liabilities’ comprises 
all financial liabilities that are not ‘held for trading’. 
They are carried at amortised cost using the effective 
interest method. The fair value option is not applied 
within METRO. 
Financial liabilities designated as the hedged item 
in a fair value hedge are carried at their fair value. The 
fair values indicated for the financial liabilities have 
been determined on the basis of the interest rates 
prevailing on the closing date for the remaining terms 
and redemption structures.  
Financial liabilities from finance leases are general-
ly measured at the present value of future minimum 
lease payments. 
A financial liability is derecognised only when it has 
expired, that is, when the contractual obligations have 
been redeemed or annulled or have expired. 
Other financial and other liabilities 
Other financial and other liabilities are carried at their 
settlement amounts unless they represent derivative 
financial instruments, which are recognised at fair 
value under IAS 39. 
Prepaid expenses and deferred charges comprise 
transitory accruals. 
Trade liabilities 
Trade liabilities are recognised at amortised cost. 
Other 
Contingent liabilities 
Contingent liabilities are, on the one hand, possible 
obligations arising from past events whose existence 
is confirmed only by the occurrence or non-occurrence 
of uncertain future events that are not entirely under 
METRO’s control. On the other hand, contingent liabil-
ities represent current obligations arising from past 
events for which, however, an outflow of economic 
resources is not considered probable or whose 
amount cannot be determined with sufficient reliabil-
ity. Such liabilities are not recognised in the balance 
sheet but disclosed in the notes. Contingent liabilities 
are determined on the basis of the principles applying 
to the measurement of provisions. 
Accounting for derivative financial instruments  
and hedge accounting 
Derivative financial instruments are exclusively  
utilised to reduce risks. They are used in accordance 
with the respective group guidelines. 
In accordance with IAS 39, all derivative financial 
instruments are recognised at fair value and shown 
under other financial assets or other financial liabilities. 
Derivative financial instruments are measured on 
the basis of interbank terms and conditions, possibly 
including the credit margin or stock exchange price 
applicable to METRO; for this, the average rate on the 
closing date is used. Where no stock exchange prices 
can be used, the fair value is determined by means of 
recognised financial models. 
In the case of an effective hedge accounting trans-
action (hedge accounting) pursuant to IAS 39, fair 
value changes of derivatives designated as fair value 
hedges and the fair value changes of the underlying 
transactions are reported in profit or loss. In cash flow 
hedges, the effective portion of the fair value change 
of the derivative is recognised in other comprehensive 
income outside of profit or loss. A transfer to the in-
come statement is effected only when the underlying 
transaction is realised. The ineffective portion of the 
change in the value of the hedging instrument is in 
these cases directly recognised through profit or loss.

METRO ANNUAL REPORT 2017/18 
150 
Notes 
 
Notes to the group accounting principles and methods 
Supplier compensation 
Depending on the underlying circumstances, supplier 
compensation is recognised as a reduction in the cost 
of purchase, reimbursement or payment for services 
rendered. Supplier compensation is accrued at the 
closing date insofar as it has been contractually 
agreed upon and is likely to be realised. For supplier 
remunerations linked to calendar year targets, the 
remuneration included in the financial statement is 
based on appropriate extrapolations. 
Judgements, estimates and assumptions 
The preparation of the consolidated financial state-
ments was based on a number of judgements, esti-
mates and assumptions that had an effect on the 
value and presentation of the reported assets,  
liabilities, income and expenses as well as contingent 
liabilities. 
Judgements 
Information on the key judgements that materially 
affected the amounts reported in these consolidated 
financial statements relate to the following circum-
stances or disclosures in these consolidated financial 
statements: 
— Classification of leases as finance leases or  
operating leases – including sale-and-leaseback 
transactions (no. 2 – other operating income  
and no. 21 – property, plant and equipment) 
— Determination of whether METRO is the principal  
or agent in sales transactions (no. 1 – sales) 
— Determination of the group of investments  
accounted for at equity by assessing the  
material influence 
Estimates and assumptions 
Information on estimates and underlying assumptions 
with significant effects on these consolidated financial 
statements is included in the following notes: 
— Uniform group-wide determination of useful lives 
for assets with a definite useful life  
(no. 15 – depreciation/amortisation/impairment 
losses, no. 20 – other intangible assets and  
no. 21 – property, plant and equipment) 
— Impairment testing of assets with a definite  
useful life if warranted by events  
(no. 15 – depreciation/amortisation/impairment 
losses, no. 20 – other intangible assets and  
no. 21 – property, plant and equipment) 
— Annual goodwill impairment tests including  
sensitivity analysis (no. 19 – goodwill) 
— Recoverability of receivables – particularly  
receivables from suppliers from rebates  
(no. 24 – other financial and non-financial assets) 
— Recognition of supplier compensation on an  
accrual basis (no. 24 – other financial and  
non-financial assets) 
— Ability to realise future tax receivables –  
particularly from tax loss carry-forwards  
(no. 25 – deferred tax assets/deferred tax  
liabilities) 
— Measurement of inventories (no. 26 – inventories) 
— Determination of provisions for post-employment 
benefits plans (no. 33 – provisions for post-
employment benefits plans and similar obligations) 
— Determination of other provisions – for example, 
for deficient rental cover and onerous contracts, 
restructuring, warranties, taxes and risks emerging 
from legal proceedings and litigation  
(no. 34 – other provisions (non-current)/ 
provisions (current)) 
— Estimation of the expected date of conclusion  
of a transaction with respect to the classification as 
non-current assets held for sale, liabilities related 
to assets held for sale and discontinued operations 
(no. 31 – assets held for sale/liabilities related  
to assets held for sale) 
— Estimation of the probability of utilisation from 
supplier liabilities (no. 36 – trade liabilities )  
Although great care has been taken in making these 
estimates and assumptions, actual values may deviate 
from them in individual cases. The estimates and  
assumptions used in the consolidated financial state-
ments are regularly reviewed. Changes are taken  
into account at the time new information becomes 
available.

METRO ANNUAL REPORT 2017/18 
151
Notes 
 
Capital management 
CAPITAL MANAGEMENT 
The aim of the capital management strategy of  
METRO is to secure the company’s continued business 
operations, to enhance its enterprise value, to create 
solid capital resources to finance future growth and to 
provide for attractive dividend payments and capital 
service. 
The capital management strategy of METRO has 
remained unchanged compared with the previous year. 
Equity, liabilities and net debt in the 
consolidated financial statements 
Equity amounts to €3,130 million (30/9/2017: 
€3,207 million), while liabilities amount to €12,112 million 
(30/9/2017: €12,572 million). Net debt amounts to 
€2,710 million compared with €3,142 million as of 
30/9/2017. The figures from the previous year include 
net debt from discontinued operations in the amount 
of €410 million. 
 
€ million 
30/9/2017
 
30/9/2018
Equity 
3,207
 
3,130 
Liabilities 
12,572
 
12,112 
Net debt 
3,142
 
2,710 
Financial liabilities  
(incl. finance leases) 
4,706
 
4,010 
Cash and cash  
equivalents according  
to the balance sheet 
1,559
 
1,298 
Short-term financial 
investments1 
5
 
2 
1 Shown in the balance sheet under other financial and non-financial assets (current). 
 
Local capital requirements 
The capital market strategy of METRO consistently 
aims to ensure that the group companies’ capital 
resources meet the local requirements. During finan-
cial year 2017/18, all external capital requirements 
were fulfilled. This includes, for example, adherence to 
a defined level of indebtedness or a fixed equity ratio.

METRO ANNUAL REPORT 2017/18 
152 
Notes 
 
Notes to the income staement 
NOTES TO THE  
INCOME STATEMENT 
1. Sales revenues 
Sales in the amount of €29,476 million (2016/17: 
€29,903 million) essentially result from the sale of 
goods. Of this amount, €24,743 million (2016/17: 
€25,184 million) are attributable to international group 
companies. 
— Sales developments by segments are presented  
in segment reporting.  
2. Other operating income 
 
€ million 
2016/17
2017/18
Income from  
logistics services  
282
285 
Rents incl. reimbursements 
of subsidiary rental costs 
277
273 
Services/cost refunds 
261
254 
Gains from the disposal  
of fixed assets and  
gains from the reversal  
of impairment losses 
171
146 
Services rendered  
to suppliers 
136
111 
Income from 
deconsolidation 
36
5 
Miscellaneous  
173
186 
 
1,336
1,259 
 
The income from logistics services provided by  
METRO LOGISTICS to non-group companies are offset 
by expenses from logistics services, which are reported 
under other operating expenses. 
Gains from the disposal of fixed assets and gains 
from the reversal of impairment losses include income 
in the amount of €72 million mainly from the disposal 
of real estate that will be used fully or for the most 
part by third parties in the future (2016/17: €158 million). 
This includes income of €65 million from the sale of 
real estate assets that METRO plans to continue to  
use in the medium term under tenancy agreements 
(2016/17: €6 million). In addition, this item essentially 
includes gains from the reversal of impairment losses 
in the amount of €4 million (2016/17: €3 million). 
The decline in services rendered to suppliers by 
€25 million is predominantly attributable to Poland 
and France. 
Income from deconsolidation primarily comprises 
retrospective effects from the deconsolidation of the 
Polish Real organisation in the 2013/14 financial year 
(2016/17: €36 million, mainly from the disposal of 
Chengdu Qingyue Property Services Co., Ltd., China).  
Other operating income includes cost allocations 
and cost shares as well as a large number of individu-
ally insignificant individual items. 
3. Selling expenses 
  
  
  
€ million 
 
2016/17
2017/18
Personnel expenses 
 
2,121
2,079 
Cost of material 
 
2,278
2,201 
 
 
4,399
4,280 
 
  
  
 
In selling expenses, personnel expenses were lower 
than in the previous year, primarily due to lower  
variable payments (€22 million) and restructuring 
expenses (€12 million).  
Cost of material was lower than in the previous 
year, primarily because of reduced impairment  
(€30 million) and lower depreciation (€16 million). 
4. General administrative expenses 
 
€ million 
2016/17
 
2017/18
Personnel expenses 
440
 
424 
Cost of material 
497
 
444 
 
937
 
868 
 
  
  
 
The reduction of personnel expenses within general 
administrative expenses results mainly from lower 
variable payments in the Others segment.  
The reduction in cost of material is mainly connected 
to demerger-related expenses in the previous year.

METRO ANNUAL REPORT 2017/18 
153
Notes 
 
Notes to the income statement 
5. Other operating expenses 
  
  
  
€ million 
2016/17  
2017/18
Expenses from logistics 
services 
282
272 
Losses from the disposal of 
fixed assets 
30
3 
Impairment losses on 
goodwill 
19
0 
Miscellaneous  
38
21 
 
370
295 
 
  
  
 
 
The expenses from logistics services provided by 
METRO LOGISTICS to non-group companies are offset 
by income from logistics services, which are reported 
under other operating income. 
6. Earnings share of operating/non-operating 
companies recognised at equity 
The earnings of operating companies recognised  
at equity that have an operational relation to  
ordinary business activities are shown in the income 
statement in the EBIT item earnings share of operating 
companies recognised at equity. This amounts to  
€14 million (2016/17: €14 million). Of these, €8 million 
(2016/17: €9 million) are attributable to the Others 
segment and €5 million (2016/17: €4 million) to  
the METRO Wholesale Western Europe (excluding  
Germany) segment. As in the past, the earnings share  
of non-operating companies recognised at equity  
is shown in the net financial result and amounts to  
€0 million (2016/17: €0 million). The earnings shares 
of operating and non-operating companies consoli-
dated at equity amounted to €14 million (2016/17: 
€14 million). 
7. Other investment result 
Other investment result essentially contains income 
from the disbursement of investments and amounts  
to €0 million (2016/17: €1 million). 
8. Net interest income/interest expenses 
The interest result can be broken down as follows: 
 
€ million 
2016/17
2017/18
Interest income 
43
34 
thereof finance leases 
(0)
(0) 
thereof from post- 
employment benefits plans 
(5)
(5) 
thereof from financial 
instruments of the 
measurement categories 
according to IAS 39: 
 
loans and receivables 
incl. cash and cash 
equivalents 
(29)
(24) 
held to maturity 
(0)
(0) 
held for trading  
incl. derivatives in a 
hedging relationship 
according to IAS 39 
(0)
(0) 
available for sale 
(0)
(0) 
Interest expenses 
–171
–163 
thereof finance leases 
(–57)
(–51) 
thereof from post-
employment benefits plans 
(–12)
(–16) 
thereof from financial 
instruments of the 
measurement categories 
according to IAS 39: 
 
held for trading  
incl. derivatives in a 
hedging relationship 
according to IAS 39 
(0)
(0) 
other financial liabilities 
(–91)
(–79) 
 
–128
–128 
 
 
Interest income and interest expenses from financial 
instruments are assigned to the measurement catego-
ries according to IAS 39 on the basis of the under-
lying transactions.  
Interest expenses in the measurement category 
‘other financial liabilities’ primarily include interest 
expenses for issued bonds (including the Commercial 
Paper Programme) of €55 million (2016/17:  
€66 million) and liabilities to banks in the amount of 
€12 million (2016/17: €13 million). 
The decline in interest expenses was primarily the 
result of more favourable refinancing terms.

METRO ANNUAL REPORT 2017/18 
154 
Notes 
 
Notes to the income staement 
9. Other financial result 
Other financial income and expenses from financial 
instruments are assigned to measurement categories 
according to IAS 39 on the basis of the underlying 
transactions. Besides income and expenses from the 
measurement of financial instruments according to 
IAS 39, this also includes the measurement of foreign 
currency positions according to IAS 21. 
 
 
€ million 
2016/17
 
2017/18
Other financial income 
162
 
184 
thereof currency effects 
(127)
 
(128) 
thereof hedging transactions 
(8)
 
(16) 
Other financial expenses 
–194
 
–186 
thereof currency effects 
(–161)
 
(–155) 
thereof hedging transactions 
(–13)
 
(–3) 
Other financial result 
–32
 
–2 
thereof from financial 
instruments of the 
measurement categories 
according to IAS 39: 
 
 
loans and receivables incl. 
cash and cash equivalents 
(–36)
 
(–27) 
held to maturity 
(0)
 
(0) 
held for trading  
(–6)
 
(6) 
available for sale 
(0)
 
(0) 
other financial liabilities 
(–5)
 
(5) 
thereof fair value hedges: 
 
 
underlying transactions 
(0)
 
(0) 
hedging transactions 
(0)
 
(0) 
thereof cash flow hedges: 
 
 
ineffectiveness 
(–2)
 
(7) 
 
 
The overall result from currency effects and measure-
ment results from hedging transactions and hedging 
relationships totalled €–15 million (2016/17: €–39 million). 
As in the previous year, this figure largely results  
from foreign currency financings in Eastern Europe. In 
addition, the other financial result reflects €4 million 
(2016/17: €24 million) in currency effects resulting 
from the translation of the financial statements of for-
eign subsidiaries that are recognised through profit  
or loss in the year the subsidiary is deconsolidated  
or in the year business activities are discontinued.  
— For more information about possible effects  
from currency risks, see no. 44 – management of  
financial risks.

METRO ANNUAL REPORT 2017/18 
155
Notes 
 
Notes to the income statement 
10. Net results according  
to measurement categories 
The key effects of income from financial instruments 
are as follows: 
 
 
  
  
  
  
  
  
  
  
  
2016/17 
 
€ million 
Investments
Interest
Fair value
measure-
ments
Currency 
translation
Disposals
Impairments
Other
Net result
Loans and receivables  
incl. cash and cash equivalents 
0
29
0
–35
0
–26
–1
–33
Held to maturity 
0
0
0
0
0
0
0
0
Held for trading incl. derivatives  
in a hedging relationship  
according to IAS 39 
0
0
–5
0
0
0
–3
–8
Available for sale 
1
0
0
0
0
0
0
1
Other financial liabilities 
0
–91
0
0
5
0
–5
–91
 
1
–62
–5
–34
5
–26
–10
–132
 
  
  
  
  
  
  
  
  
 
 
 
  
  
  
  
  
  
  
  
2017/18 
 
€ million 
Investments
Interest
Fair value
measure-
ments
Currency 
translation
Disposals
Impairments
Other
Net result
Loans and receivables  
incl. cash and cash equivalents 
0 
24 
0 
–27 
0 
–18 
0 
–22 
Held to maturity 
0 
0 
0 
0 
0 
0 
0 
0 
Held for trading incl. derivatives  
in a hedging relationship 
according to IAS 39 
0 
0 
13 
0 
0 
0 
0 
13 
Available for sale 
0 
0 
0 
0 
0 
0 
0 
0 
Other financial liabilities 
0 
–79 
10 
0 
4 
0 
–5 
–70 
 
0 
–55 
23 
–27 
4 
–18 
–5 
–79 
 
  
  
  
  
  
  
  
  
 
 
Income and expenses from financial instruments are 
assigned to measurement categories according to 
IAS 39 on the basis of the underlying transactions. 
Investment income and income effects from the 
disposal of investments are included in other invest-
ment income. Interest income and expenses are part 
of the interest result. Fair value measurements and 
effects from other financial expenses and currency 
translation are included in the other financial result. 
Income effects from the disposals of other financial 
liabilities are included in earnings before interest and 
taxes (EBIT). Income effects from the disposal of as-
sets classified as available for sale are included in the 
other financial result to the extent that these do not 
concern investments. Expenses from impairments are 
essentially included in earnings before interest and taxes. 
— For more information about impairments, see no. 28 – 
impairments of capitalised financial instruments.  
Remaining financial income and expenses included in 
the other financial result primarily concern bank com-
missions and similar expenses that are incurred within 
the context of financial assets and liabilities.

METRO ANNUAL REPORT 2017/18 
156 
Notes 
 
Notes to the income statement 
11. Income taxes  
Income taxes include the expected taxes on income 
paid or owed in the individual countries as well as 
deferred taxes. 
 
€ million 
2016/17
 
2017/18
Deferred taxes  
in the income statement 
73
 
4 
thereof from  
temporary differences 
(82)
 
(–14) 
thereof from loss  
and interest carry-forwards 
(–9)
 
(18) 
 
 
€ million 
2016/17
 
2017/18
Actual taxes 
222
 
231 
thereof Germany 
(27)
 
(14) 
thereof international 
(195)
 
(217) 
thereof tax expenses/ 
income of current period 
(217)
 
(252) 
thereof tax expenses/ 
income of previous periods 
(5)
 
(–21) 
Deferred taxes 
73
 
4 
thereof Germany 
(–8)
 
(39) 
thereof international 
(81)
 
(–35) 
 
295
 
235 
 
  
  
  
The income tax rate of the German companies of 
METRO consists of a corporate income tax of 15.00% 
plus a 5.50% solidarity surcharge on corporate income 
tax as well as the trade tax of 14.70% given an average 
assessment rate of 420.00%. All in all, this results  
in an aggregate tax rate of 30.53%. The tax rates are 
unchanged from the previous year. The income tax 
rates applied to foreign companies are based on the 
respective laws and regulations of the individual  
countries and vary within a range of 0.00% (2016/17: 
0.00%) and 44.41% (2016/17: 34.43%).  
The reported income tax expenses of €235 million 
(2016/17: €295 million) are €60 million lower than  
in the previous year. Besides changes in legislation 
abroad, the change is, among other reasons, due  
to lower expenses for write-downs of deferred taxes 
and risk reduction as well as one-time effects.  
Actual taxes include paid taxes of €46 million re-
sulting from group-internal pre-structuring for foreign 
real estate transactions. A deferred tax revenue of  
the same amount also results from this transaction.  
The income tax expenses of €230 million (continu-
ing and discontinued operations; 2016/17: €304 mil-
lion) are €54 million (2016/17: €106 million) higher 
than the expected income tax expenses of €176 mil-
lion (2016/17: €198 million) that would have resulted if 
the German total tax rate had been applied to the 
group’s annual results before income taxes.  
Reconciliation of estimated to actual income tax 
expenses is as follows: 
 
 
 
 
€ million 
 
2016/17
2017/18
EBT (earnings before taxes) 
 
649
578 
from continuing operations 
674
693 
from discontinued 
operations 
–25
–115 
Expected income tax expenses 
(30.53%) 
 
198
176 
Effects of differing  
national tax rates 
 
–35
–66 
Tax expenses and income 
relating to other periods 
 
5
–21 
Non-deductible business 
expenses for tax purposes 
 
49
43 
Effects of not recognised  
or impaired deferred taxes 
 
137
93 
Additions and reductions  
for local taxes 
 
16
16 
Tax holidays 
 
–19
–15 
Other deviations 
 
–48
3 
Income tax expenses according 
to the income statement 
 
304
230 
from continuing operations 
295
235 
from discontinued 
operations 
9
–5 
Group tax rate 
 
46.9%
39.8% 
from continuing operations 
43.8%
33.9% 
from discontinued 
operations 
–35.1%
4.3% 
 
 
 
The item effects of differing national tax rates includes 
deferred tax revenue of €23 million (2016/17: 
€18 million expenses) from tax rate changes. 
Tax expenses and income relating to other periods 
within the financial year include a repayment of  
approximately €20 million because of a retrospective 
change in foreign law in the year 2018.  
The other deviations of the previous year mainly  
include deferred tax income from the reversal of  
a deferred tax liability in connection with the reallo-
cation of goodwill.

METRO ANNUAL REPORT 2017/18 
157
Notes 
 
Notes to the income statement 
12. Profit or loss for the period  
from discontinued operations after taxes 
The Management Board of METRO AG decided in its 
meeting on 13 September 2018 to sell the hypermarket 
business including 80 real estate properties that are 
being used for this purpose and are owned by Real or 
METRO companies belonging to the Others segment. 
The decision was made against the backdrop of METRO 
deciding to focus exclusively on wholesale trade in 
the future. 
The hypermarket business consists of 279 stores of 
the Real segment and their subsidiaries, most of which 
render procurement and online services for the Real 
segment. With the exception of 18 real estate compa-
nies and individual properties and a supplier, which 
are currently included in the Others segment, all assets 
and liabilities affected by the resolution form part  
of the Real segment. In the spirit of IFRS 5, they are 
collectively treated as a discontinued business  
segment from 30 September 2018 onwards and will  
be treated as such until their deconsolidation.  
The current result of the hypermarket business  
together with all relevant net-income affecting con-
solidation elements in the group’s income statement 
were reclassified under the item ‘profit or loss for the 
period from discontinued operations after taxes’. To 
increase the economic meaningfulness of the earnings 
statement of the continued sector, its shares in the 
consolidation effects were also included in the discon-
tinued section of the earnings statement as far as they 
were related to business relations that are to be up-
held in the long term even after the planned disposal. 
The previous year’s figures on the income statement 
were adjusted accordingly. 
As part of the annual impairment test, the goodwill 
of Real was reduced by €64 million in total, as were 
further tangible assets by €24 million. The resultant 
expenses form part of the ongoing earnings from dis-
continued operations. There were no other measure-
ment effects pursuant to IFRS 5 Subsection 18 imme-
diately prior to the initial classification as ‘held for sale’. 
There was also no need for additional value ad-
justments pursuant to IFRS 5 Subsection 15, as the fair 
value less the costs to sell of the disposed business 
segment was higher than its carrying amount.  
As a result, profit or loss for the period from discon-
tinued operations after taxes is therefore made up as 
follows: 
 
 
 
€ million 
 
2016/17
2017/18
Sales 
 
6,960
6,803 
Expenses 
 
–6,985
–6,918 
Current earnings  
from discontinued operations  
before taxes 
 
–25
–115 
Income taxes  
on current earnings 
 
–9
5 
Current earnings  
from discontinued operations  
after taxes 
 
–34
–110 
Gains/losses from the 
remeasurement or disposal  
of discontinued operations 
before taxes 
 
0
0 
Income taxes on gains/losses 
from remeasurement or disposal 
 
0
0 
Gains/losses from the 
remeasurement or disposal  
of discontinued operations  
after taxes 
 
0
0 
Profit or loss for the period 
from discontinued operations 
after taxes 
 
–34
–110 
 
 
Profit or loss for the period from discontinued opera-
tions after taxes is attributable to the shareholders  
of METRO AG in the amount of €–110 million (2016/17: 
€–34 million). As in the previous year, non-controlling 
interests account for a profit share of €0 million. 
In conjunction with the initiated disposal process, 
no considerable expenses have been incurred to date 
either in the continued or in the discontinued segment.  
Other comprehensive income relating to the assets 
held for sale and liabilities amounts to –€1 million 
(2016/17: €3 million).  
In METRO’s cash flow statement, cash flows from 
operating, investing and financing activities are shown 
separately for discontinued operations. The previous 
year’s figures in the cash flow statement were adjusted 
accordingly. 
13. Profit or loss for the period  
attributable to non-controlling interests 
Profit or loss for the period attributable to non-
controlling interests is composed €5 million (2016/17: 
€20 million) shares in profit and €–1 million (2016/17: 
€0 million) shares in losses.

METRO ANNUAL REPORT 2017/18 
158 
Notes 
 
Notes to the income statement 
14. Earnings per share 
 
 
 
2016/17
 
2017/18
Weighted number  
of no-par-value shares 
363,097,253
363,097,253 
Profit or loss  
for the period attributable 
to the shareholders  
of METRO AG (€ million) 
325
344 
Earnings per share in € 
(basic = diluted) 
0.89
0.95 
from  
continuing operations 
(0.99)
(1.25) 
from  
discontinued 
operations 
(–0.09)
(–0.30) 
 
 
Earnings per share are determined by dividing profit 
or loss for the period attributable to the shareholders 
of METRO AG by the weighted number of no-par-value 
shares. In the calculation of earnings per ordinary 
share, an additional dividend for preference shares is 
generally deducted from profit or loss for the period 
attributable to the shareholders of METRO AG. There 
was no dilution in the reporting period or the year 
before from so-called potential shares. 
Earnings per preference share correspond to earn-
ings per share.  
15. Depreciation/amortisation/impairment losses 
Depreciations of €551 million (2016/17: €614 million) 
include impairments of €11 million (2016/17: 
€68 million). They relate mainly to property, plant and 
equipment with €10 million (2016/17: €46 million).  
The attribution of depreciation/amortisation/ 
impairment losses in the income statement and the 
affected asset categories is as follows: 
 
 
2016/17  
 
 
 
€ million 
 
Goodwill
Other
intangibleassets
 
Property,
plant and 
equipment
Investment 
properties
 
Financial 
assets1
Total
Cost of sales 
 
0 
2  
18 
0  
0 
19 
thereof 
depreciation/amortisation 
 
(0)
(2)
 
(18)
(0)
 
(0)
(19)
thereof impairment 
 
(0)
(0)
 
(0)
(0)
 
(0)
(0)
Selling expenses 
 
0 
25
 
456 
10  
0 
492 
thereof 
depreciation/amortisation 
 
(0)
(25)
 
(418)
(9)
 
(0)
(452)
thereof impairment 
 
(0)
(0)
 
(38)
(2)
 
(0)
(40)
General administrative expenses 
 
0 
56
 
26 
0  
0 
82 
thereof 
depreciation/amortisation 
 
(0)
(56)
 
(18)
(0)
 
(0)
(75)
thereof impairment 
 
(0)
(0)
 
(8)
(0)
 
(0)
(8)
Other operating expenses 
 
19 
0  
0 
0  
0 
19 
thereof impairment 
 
(19)
(0)
 
(0)
(0)
 
(0)
(19)
Scheduled impairment losses  
and impairment before impairment 
of financial investments  
 
19 
83
 
500 
10  
0 
613 
Net financial result 
 
0 
0  
0 
0  
1 
1 
thereof impairment  
 
(0)
(0)
 
(0)
(0)
 
(1)
(1)
Scheduled depreciation/ 
amortisation/impairment losses 
 
19 
83
 
500 
10  
1 
614 
thereof 
depreciation/amortisation 
 
(0)
(83)
 
(454)
(9)
 
(0)
(546)
thereof impairment  
 
(19)
(0)
 
(46)
(2)
 
(1)
(68)
 
 
 
1 Also comprise investments accounted for using the equity method.

METRO ANNUAL REPORT 2017/18 
159
Notes 
 
Notes to the income statement 
 
 
 
2017/18  
 
 
 
€ million 
 
Goodwill
Other
intangible
assets
 
Property, plant 
and equipment
Investment 
properties
 
Financial 
assets1
Total
Cost of sales 
 
0 
2 
20 
0 
 
0 
23 
thereof 
depreciation/amortisation 
 
(0) 
(2) 
(20) 
(0) 
 
(0) 
(23) 
thereof impairment 
 
(0) 
(0) 
(0) 
(0) 
 
(0) 
(0) 
Selling expenses 
 
0 
29 
412 
5 
 
0 
446 
thereof 
depreciation/amortisation 
 
(0) 
(29) 
(402) 
(5) 
 
(0) 
(436) 
thereof impairment 
 
(0) 
(0) 
(10) 
(0) 
 
(0) 
(10) 
General administrative expenses 
 
0 
61 
20 
1 
 
0 
82 
thereof 
depreciation/amortisation 
 
(0) 
(61) 
(20) 
(0) 
 
(0) 
(81) 
thereof impairment 
 
(0) 
(0) 
(0) 
(0) 
 
(0) 
(1) 
Other operating expenses 
 
0 
0 
0 
0 
 
0 
0 
thereof impairment 
 
(0) 
(0) 
(0) 
(0) 
 
(0) 
(0) 
Scheduled impairment losses  
and impairment before  
impairment of financial investments  
 
0 
93 
453 
6 
 
0 
551 
Net financial result 
 
0 
0 
0 
0 
 
0 
0 
thereof impairment 
 
(0) 
(0) 
(0) 
(0) 
 
(0) 
(0) 
Scheduled depreciation/ 
amortisation/impairment losses 
 
0 
93 
453 
6 
 
0 
551 
thereof 
depreciation/amortisation 
 
(0) 
(93) 
(443) 
(5) 
 
(0) 
(540) 
thereof impairment 
 
(0) 
(0) 
(10) 
(1) 
 
(0) 
(11) 
 
 
 
1 Also comprise investments accounted for using the equity method. 
 
 
 
 
In accordance with IFRS 5, impairment losses of the 
hypermarket business are not included in the profit or 
loss from continuing operations and thus not included in 
the tables above. Instead, these impairment losses are 
included in the movement schedules on the develop-
ment of financial assets up to the point of reclassifica-
tion on 30 September 2018; for that reason, the amounts 
stated there may differ from those stated above. 
16. Cost of materials 
The cost of sales includes the following cost of  
materials:  
 
  
  
  
€ million 
 
2016/17
2017/18
Cost of raw materials,  
supplies and goods purchased 
 
24,028
23,734 
Cost of services purchased 
 
54
50 
 
 
24,082
23,784

METRO ANNUAL REPORT 2017/18 
160 
Notes 
 
Notes to the income statement 
17. Personnel expenses 
Personnel expenses can be broken down as follows: 
 
 
 
  
  
€ million 
2016/17  
2017/18
Wages and salaries 
2,363
2,294 
Social security expenses, 
expenses for post-
employment benefits and 
related employee benefits 
590
600 
thereof for post-
employment benefits 
(29)
(43) 
 
2,953
2,894 
 
  
  
 
 
Wages and salaries include expenses relating to  
restructuring measures and severance payments of 
€20 million (2016/17: €31 million). Variable remunera-
tion declined from €68 million in financial year 2016/17 
to €52 million in financial year 2017/18. Wages and 
salaries also include expenses for long-term remuner-
ation components totalling €18 million (2016/17: 
€29 million).  
The discontinued operations incurred personnel 
expenses in the amount of €1,033 million (2016/17: 
€1,063 million). 
Annual average number of group employees in the 
continued segment: 
 
 
  
  
Number of employees  
by headcount 
2016/17  
2017/18
Blue collar/white collar 
117,086
115,008 
Apprentices/trainees 
2,213
2,070 
 
119,299
117,078 
 
  
  
 
This includes an absolute number of 17,270 (2016/17: 
17,821) part-time employees. The number of employees 
working outside of Germany stood at 96,592 (2016/17: 
98,557). This includes 95,434 blue- and white-collar 
employees (2016/17: 97,316). An additional 1,158 
(2016/17: 1,241) apprentices were employed outside  
of Germany. 
In addition, 34,280 blue- and white-collar employees 
(2016/17: 34,691) and 1,068 apprentices/trainees 
(2016/17: 1,092) were employed in the discontinued 
segment. 
18. Other taxes  
Other taxes (for example property tax, motor vehicle 
tax, excise tax and transaction tax) have the following 
effects on the income statement: 
 
 
 
  
  
€ million 
 
2016/17
2017/18
Other taxes 
 
93
91 
thereof  
from cost of sales 
(1)
(1) 
thereof  
from selling expenses 
(69)
(66) 
thereof from general 
administrative expenses 
(24)
(24)

METRO ANNUAL REPORT 2017/18 
161
Notes 
 
Notes to the balance sheet 
NOTES TO THE  
BALANCE SHEET 
19. Goodwill 
Goodwill amounts to €797 million (30/9/2017: 
€875 million). 
In the Real segment, goodwill of €2 million respectively 
resulted from the acquisitions of Heim & Büro  
Versand GmbH as well as wfp2 GmbH & Co. KG. The 
Real segment is an essential part of the discontinued 
operations of the hypermarket business. 
At the closing date, the breakdown of goodwill 
among the major cash-generating units was as shown 
below: 
 
 
 
 
   
30/9/2017 
30/9/2018 
  
WACC 
  
 
WACC 
€ million
%
€ million
%
METRO Cash & Carry France 
293
5.8   
293 
5.7 
METRO Cash & Carry Germany 
94
5.4   
94 
5.7 
METRO Cash & Carry Poland 
58
6.6   
58 
6.3 
METRO Cash & Carry Spain/Portugal 
54
7.5   
54 
6.9 
METRO Cash & Carry Romania 
40
7.1   
40 
7.3 
METRO Cash & Carry Russia 
43
7.0   
39 
7.4 
METRO Cash & Carry Italy 
38
7.0
38 
7.3 
Pro à Pro 
34
5.8
34 
5.7 
METRO Cash & Carry Czech Republic 
24
6.0   
24 
6.4 
Classic Fine Foods  
23
6.5   
23 
6.0 
METRO Cash & Carry Turkey 
33
8.6   
20 
8.5 
METRO Cash & Carry China 
19
6.5   
19 
6.0 
METRO Cash & Carry Ukraine 
17
11.0   
16 
11.4 
METRO Cash & Carry Austria 
12
5.7   
12 
5.8 
METRO Cash & Carry Moldova 
5
11.2   
5 
11.4 
Real Germany 
60
5.4   
0 
5.7 
Others 
28
 
28 
  
875
   
797

METRO ANNUAL REPORT 2017/18 
162 
Notes 
 
Notes to the balance sheet 
In accordance with IFRS 3 in conjunction with IAS 36, 
goodwill is tested for impairment once a year. This is 
carried out at the level of a group of cash-generating 
units. Specifically, this refers to the sales line per country.  
In the impairment test, the cumulative carrying 
amount of the group of cash-generating units is com-
pared with the recoverable amount. The recoverable 
amount is defined as the fair value less costs to sell, which 
is calculated from discounted future cash flows and the 
level 3 input parameters of the fair value hierarchy. 
— The description of the fair value hierarchies is included 
in no. 41 – carrying amounts and fair values according  
to measurement categories. 
Expected future cash flows are based on a qualified 
planning process under consideration of intra-group 
experience as well as macroeconomic data collected 
by third-party sources. As a rule, the detailed planning 
period comprises 3 years. In individual cases, it may be 
extended by up to 2 years for units currently in a trans-
formation process with a planning period of 5 years.  
As in the previous year, the growth rates considered at 
the end of the detailed planning period are generally 
1.0%, with the exception of the group of the cash-gen-
erating unit Real Germany, for which a growth rate of 
0.5% is assumed, as in the previous year. The capital-
isation rate as the weighted average cost of capital 
(WACC) is determined using the capital asset pricing 
model. In the process, an individual peer group is  
assumed for all groups of cash-generating units oper-
ating in the same business segment. Capitalisation 
interest rates are determined on the assumption of a 
basic interest rate of 1.25% (30/9/2017: 1.25%) and a 
market risk premium of 7.00% (30/9/2017: 6.50%) in 
Germany as well as a beta factor of 1.03 (30/9/2017: 
1.06). Country-specific risk premiums based on the 
respective country rating are applied to the equity cost 
of capital and to the debt cost of capital. The capital-
isation rates after taxes determined individually for 
each group of cash-generating units range from 5.7  
to 11.4% (30/9/2017: 5.4% to 11.2%). 
The mandatory annual impairment test carried out 
by METRO as of 30 September 2018 resulted in the 
following assumptions regarding the development of 
sales, EBIT and the EBIT margin targeted for valuation 
purposes during the detailed planning period, with the 
EBIT margin reflecting the ratio of EBIT to net sales. 
 
 
 
 
 
 
Sales
 
EBIT
EBIT margin
Detailed planning 
period
(years)
METRO Cash & Carry France 
 
Slight growth
 
Slight growth
Slight decline
3
METRO Cash & Carry Germany 
 
Slight growth
 
Strong growth
Strong growth
5
METRO Cash & Carry Poland 
 
Slight growth
 
Solid growth
Solid growth
3
METRO Cash & Carry  
Spain/Portugal 
 
Slight growth
 
Strong growth
Strong growth
3
METRO Cash & Carry Russia 
 
Slight growth
 
Slight decline
Slight decline
3
METRO Cash & Carry Romania 
 
Substantial growth
 
Substantial growth
Slight growth
3
Classic Fine Foods 
 
Substantial growth
 
Strong growth
Substantial growth
5
Pro à Pro 
 
Substantial growth
 
Strong growth
Strong growth
5

METRO ANNUAL REPORT 2017/18 
163
Notes 
 
Notes to the balance sheet 
As of 30 June 2018, the mandatory annual audit con-
firmed the impairment of all capitalised goodwill, with 
the exception of goodwill of €64 million allocated  
to Real Germany, which were completely depreciated 
due to the business development. 
Impairment expenses were shown in the earnings 
from discontinued operations. 
In addition to the impairment test, 3 sensitivity 
analyses were conducted for each group of cash-
generating units. In the first sensitivity analysis, the 
interest rate for each group of cash-generating units 
was raised by 10.0%. The second sensitivity analysis 
was based on the assumption of a 1 percentage point 
lower growth rate. In the third sensitivity analysis, a 
lump sum discount of 10.0% was applied to the  
assumed perpetual EBIT. These changes did not result 
in significant impairment for any of the groups of 
cash-generating units with the exception of METRO 
Wholesale Germany and Classic Fine Foods. 
In the goodwill impairment test at METRO  
Wholesale Germany, the fair value less costs to sell 
exceeded the carrying amount by €56 million. The 
corresponding amount for Classic Fine Foods was 
€20 million. 
Assuming a 0.34 percentage point higher growth 
rate or a capitalisation rate of 6.05% (rather than 
5.71%) or an assumed perpetual EBIT of €64.8 million 
(rather than €70.1 million), the fair value less costs  
to sell of METRO Wholesale Germany would corre-
spond to the carrying amount. For Classic Fine Foods, 
a 0.49 percentage point higher capitalisation interest 
rate of 6.47% (rather than 5.98%) would result in a  
fair value less costs to sell equivalent to the carrying 
amount.  
 
€ million 
 
Goodwill
Acquisition or production costs 
 
As of 1/10/2016 
 
880
Currency translation 
 
–1
Additions to consolidation group 
 
0
Additions  
 
42
Disposals 
 
0
Reclassifications in accordance with IFRS 5 
 
0
Transfers 
 
0
As of 30/9 – 1/10/2017 
 
922
Currency translation 
 
–21
Additions to consolidation group 
 
0
Additions  
 
4
Disposals 
 
0
Reclassifications in accordance with IFRS 5 
 
–64
Transfers 
 
0
As of 30/9/2018 
 
841
Depreciation 
 
As of 1/10/2016 
 
28
Currency translation 
 
–1
Additions, scheduled  
 
0
Additions, impairment 
 
19
Disposals 
 
0
Reclassifications in accordance with IFRS 5 
 
0
Reversals of impairment losses  
 
0
Transfers  
 
0
As of 30/9 – 1/10/2017 
 
47
Currency translation 
 
–3
Additions, scheduled  
 
0
Additions, impairment 
 
64
Disposals 
 
0
Reclassifications in accordance with IFRS 5 
 
–64
Reversals of impairment losses 
 
0
Transfers  
 
0
As of 30/9/2018 
 
44
Carrying amount as of 1/10/2016 
 
852
Carrying amount as of 30/9/2017 
 
875
Carrying amount as of 30/9/2018 
 
797

METRO ANNUAL REPORT 2017/18 
164 
Notes 
 
Notes to the balance sheet 
20. Other intangible assets 
 
 
  
  
€ million 
Intangible assets 
without goodwill
 
(thereof
internally generated
intangible assets)
Acquisition or production costs 
 
As of 1/10/2016 
1,659
 
(894)
Currency translation 
–8
 
(–1)
Additions to consolidation group 
32
 
(0)
Additions  
118
 
(60)
Disposals 
–19
 
(0)
Reclassifications in accordance with IFRS 5 
–1
 
(0)
Transfers 
0
 
(–1)
As of 30/9 – 1/10/2017 
1,782
 
(952)
Currency translation 
–2
 
(–1)
Additions to consolidation group 
0
 
(0)
Additions  
142
 
(67)
Disposals 
–38
 
(–3)
Reclassifications in accordance with IFRS 5 
–83
 
(–37)
Transfers 
0
 
(–2)
As of 30/9/2018 
1,801
 
(977)
Depreciation 
 
As of 1/10/2016 
1,239
 
(744)
Currency translation 
–2
 
(–1)
Additions, scheduled  
89
 
(49)
Additions, impairment 
0
 
(0)
Disposals 
–17
 
(–1)
Reclassifications in accordance with IFRS 5 
0
 
(0)
Reversals of impairment losses  
0
 
(0)
Transfers  
0
 
(0)
As of 30/9 – 1/10/2017 
1,309
 
(792)
Currency translation 
–3
 
(–1)
Additions, scheduled  
98
 
(49)
Additions, impairment 
0
 
(0)
Disposals 
–38
 
(–3)
Reclassifications in accordance with IFRS 5 
–64
 
(–21)
Reversals of impairment losses 
0
 
(0)
Transfers  
0
 
(0)
As of 30/9/2018 
1,302
 
(817)
Carrying amount as of 1/10/2016 
420
 
(150)
Carrying amount as of 30/9/2017 
473
 
(160)
Carrying amount as of 30/9/2018 
499
 
(160)

METRO ANNUAL REPORT 2017/18 
165
Notes 
 
Notes to the balance sheet 
Other intangible assets have both limited useful lives 
and unlimited expected useful lives. Intangible assets 
with limited useful life are subject to depreciation/ 
amortisation. Intangible assets with an unlimited  
expected useful life are subjected to annual impairment 
tests. Assets with an indefinite useful life regard  
acquired brand rights. Their carrying amount totals  
to €96 million (30/9/2017: €95 million). The expected 
useful life of the trademark rights is indeterminable, 
because METRO can use them without restrictions 
and an abandonment of trademark rights is not envis-
aged in the future. 
Additions totalling €142 million (2016/17: €118 million) 
concern internally generated software at €67 million 
(2016/17: €60 million), software purchased from third 
parties and still in development at €48 million 
(2016/17: €43 million) as well as concessions, rights 
and licences at €27 million (2016/17: €15 million). 
The additions to depreciation/amortisation on  
other intangible assets in the amount of €98 million 
(2016/17: €89 million) are recognised in general  
administrative expenses at €61 million (2016/17: 
€56 million), in selling expenses at €35 million 
(2016/17: €31 million), in the cost of sales at €2 million 
(2016/17: €2 million).  
As in the previous year, impairments were not  
considered in financial year 2017/18. 
Research and development expenses recognised  
in expenses essentially concern internally generated 
software and amounted to €28 million (2016/17: 
€23 million). 
As in the previous year, there are no material limits  
to the title or right to dispose of intangible assets. 
Purchasing obligations for intangible assets amount-
ing to €0 million (30/9/2017: €0 million) were record-
ed. €0 million of this amount (30/9/2017: €0 million) 
relate to discontinued operations. 
21. Property, plant and equipment 
As of 30 September 2018, property, plant and equip-
ment totalling €5,314 million (30/9/2017: €6,822 million) 
was recorded. The development of property, plant and 
equipment is shown in the following table:

METRO ANNUAL REPORT 2017/18 
166 
Notes 
 
Notes to the balance sheet 
 
 
€ million 
 
Land and 
buildings
Other plant, 
business and 
office equipment
 
Assets under 
construction
Total
Acquisition or production costs 
 
 
As of 1/10/2016 
 
9,248
4,818
 
177
14,243
Currency translation 
 
–38
–52
 
–1
–90
Additions to consolidation group 
 
34
25
 
2
61
Additions 
 
125
189
 
256
571
Disposals 
 
–229
–183
 
–13
–425
Reclassifications in accordance with IFRS 5 
 
–3
–2
 
0
–5
Transfers  
 
84
131
 
–226
–11
As of 30/9 – 1/10/2017 
 
9,223
4,927
 
195
14,344
Currency translation 
 
–138
–88
 
–5
–231
Additions to consolidation group 
 
0
0
 
0
0
Additions 
 
178
169
 
315
662
Disposals 
 
–248
–238
 
–10
–496
Reclassifications in accordance with IFRS 5 
 
–2,134
–1,157
 
–56
–3,346
Transfers  
 
–53
315
 
–282
–19
As of 30/9/2018 
 
6,828
3,928
 
158
10,914
Depreciation 
 
 
As of 1/10/2016 
 
4,124
3,122
 
17
7,264
Currency translation 
 
–24
–28
 
0
–51
Additions, scheduled  
 
306
291
 
0
597
Additions, impairment 
 
37
9
 
0
46
Disposals 
 
–153
–168
 
–7
–327
Reclassifications in accordance with IFRS 5 
 
0
–1
 
0
–1
Reversals of impairment losses 
 
–2
–1
 
0
–3
Transfers  
 
2
–3
 
0
–2
As of 30/9 – 1/10/2017 
 
4,290
3,221
 
11
7,522
Currency translation 
 
–39
–47
 
–1
–86
Additions, scheduled 
 
287
302
 
0
589
Additions, impairment 
 
22
11
 
1
34
Disposals 
 
–153
–228
 
–1
–382
Reclassifications in accordance with IFRS 5 
 
–1,259
–814
 
0
–2,073
Reversals of impairment losses 
 
–3
0
 
0
–3
Transfers  
 
–79
78
 
0
–1
As of 30/9/2018 
 
3,066
2,524
 
10
5,600
Carrying amount as of 1/10/2016 
 
5,124
1,695
 
160
6,979
Carrying amount as of 30/9/2017 
 
4,932
1,705
 
184
6,822
Carrying amount as of 30/9/2018 
 
3,763
1,404
 
148
5,314

METRO ANNUAL REPORT 2017/18 
167
Notes 
 
Notes to the balance sheet 
The decline in property, plant and equipment of 
€1,508 million was mainly the result of reclassifications 
of property, plant and equipment to assets held for 
sale in conjunction with the disposal of the hyper-
market business in the amount of €1,253 million. In 
addition, negative currency effects of €144 million 
(2016/17: €–39 million) and real estate disposals  
of €95 million (2016/17: €–77 million) resulted in a 
reduction in property, plant and equipment. 
Impairments of €34 million (2016/17: €46 million) 
were recognised in the ongoing financial year. These 
primarily effect the hypermarket business for sale  
due to the negative sales and earnings development.  
Restrictions on titles in the form of liens and  
encumbrances for items of property, plant and equip-
ment amounted to €19 million, of which €7 million 
related to discontinued operations (30/9/2017:  
€22 million; of which discontinued operations:  
€10 million). 
Contractual commitments for the acquisition of 
property, plant and equipment in the amount of  
€88 million were entered into, including €4 million for 
discontinued operations (30/9/2017: €128 million; of 
which discontinued operations: €3 million). 
Leases 
Assets available to METRO under the terms of finance 
leases were recognised at €468 million (30/9/2017: 
€825 million, of which €339 million relate to discon-
tinued operations); they essentially relate to leased 
buildings.  
Finance leases generally have terms of 15 to 
25 years with options under expiration to extend them 
at least once for 5 years. The interest rates in the  
leases vary by market and date of signing between  
1.91% and 6.56%. 
In addition to finance leases, METRO also signed 
other types of leases classified as operating leases 
based on their economic value. Operating leases also 
essentially concern leased buildings and generally 
have an initial term of up to 15 years. The interest rates 
in the leases are based partly on variable and partly  
on fixed rents.  
Payments due under finance and operating leases 
in subsequent periods are shown as follows:  
 
 
€ million 
 
Up to 1 year
 
1 to 5 years
Over 5 years
Finance leases 
30/9/2017 
 
 
Future lease 
payments due 
(nominal) 
 
167
 
620
903
Discount 
 
–10
 
–124
–424
Present value 
 
157
 
495
480
of which 
discontinued 
operations 
 
58
 
185
193
Operating leases 
30/9/2017 
 
 
Future lease 
payments due 
(nominal) 
 
633
 
2,039
2,701
of which 
discontinued 
operations 
212
 
659
796
 
 
 
 
 
 
€ million 
 
Up to 1 year
 
1 to 5 years
Over 5 years
Finance leases 
30/9/2018 
 
 
 
 
Future lease 
payments due 
(nominal) 
 
126 
373 
517 
Discount 
 
–10 
–88 
–268 
Present value 
 
116 
286 
250 
Operating leases  
30/9/2018 
 
 
 
 
Future lease 
payments due 
(nominal) 
 
623 
2,097 
2,611 
of which 
discontinued 
operations 
209 
670 
620 
 
 
 
Future payments due on finance leases contain pur-
chase payments amounting to €13 million (30/9/2017: 
€19 million; of which discontinued operations:  
€0 million) required for the exercise of more favour-
able purchase options. The nominal value of future 
lease payments due to METRO from the subleasing  
of assets held under finance leases amounts to 
€150 million (30/9/2017: €245 million; of which dis-
continued operations: €69 million).

METRO ANNUAL REPORT 2017/18 
168 
Notes 
 
Notes to the balance sheet 
The nominal value of future lease payments due to 
METRO from the subleasing of assets held under  
operating leases amounts to €443 million, of which 
€80 million are attributable to discontinued opera-
tions (30/9/2017: €437 million; of which discontinued 
operations: €79 million). 
Profit or loss for the period includes expenses from 
leases totalling €692 million (2016/17: €696 million). 
€204 million (2016/17: €212 million) of which apply to 
discontinued operations. Income from tenancy agree-
ments totals €259 million (2016/17: €257 million),  
€49 million (2016/17: €48 million) of which apply to 
discontinued operations.  
Contingent lease payments from finance leases 
recognised as expenses during the period amount  
to €1 million (2016/17: €4 million), €2 million (2016/17: 
€5 million) of which apply to discontinued operations. 
Contingent lease payments from operating leases 
recognised as expenses during the period amount to 
€11 million (2016/17: €12 million), €3 million (2016/17: 
€3 million) of which apply to discontinued operations. 
Conditional lease payments are sales-dependent, 
use-based, price-indexed payments.  
Lease payments due in subsequent periods from 
entities outside METRO for the rental of properties 
that are legally owned by METRO (METRO as lessor) 
are shown below: 
 
 
 
 
 
€ million 
 
Up to 1 year
1 to 5 years 
Over 5 years 
Operating leases  
30/9/2017 
 
 
 
Future lease 
payments due 
(nominal) 
 
66
131 
68 
from 
discontinued 
operations 
21
41 
15 
 
 
 
 
 
€ million 
 
Up to 1 year
1 to 5 years 
Over 5 years 
Operating leases  
30/9/2018 
 
 
 
Future lease 
payments due 
(nominal) 
46 
107 
61 
from 
discontinued 
operations 
17 
30 
9 
 
 
 
 
22. Investment properties 
Investment properties are recognised at depreciated 
cost. They are reported at €97 million as of  
30 September 2018 (30/9/2017: €126 million). The 
development of these properties is shown in the  
following table: 
 
 
 
  
€ million 
 
Investment 
properties
Acquisition or production costs 
 
As of 1/10/2016 
 
488
Currency translation  
 
1
Additions to consolidation group 
 
0
Additions 
 
2
Disposals 
 
–75
Reclassifications in accordance with IFRS 5 
 
0
Transfers associated  
with property, plant and equipment 
 
11
As of 30/9 and 1/10/2017 
 
426
Currency translation  
 
–2
Additions to consolidation group 
 
0
Additions 
 
2
Disposals 
 
–20
Reclassifications in accordance with IFRS 5 
 
–128
Transfers associated  
with property, plant and equipment 
 
19
As of 30/9/2018 
 
297
Depreciation 
 
As of 1/10/2016 
 
324
Currency translation 
 
0
Additions, scheduled 
 
9
Additions, impairment 
 
2
Disposals 
 
–36
Reclassifications in accordance with IFRS 5 
 
0
Reversals of impairment losses 
 
0
Transfers associated  
with property, plant and equipment 
 
1
As of 30/9 – 1/10/2017 
 
300
Currency translation 
 
0
Additions, scheduled 
 
5
Additions, impairment 
 
1
Disposals 
 
–6
Reclassifications in accordance with IFRS 5 
 
–98
Reversals of impairment losses 
 
–2
Transfers associated  
with property, plant and equipment 
 
1
As of 30/9/2018 
 
200
Carrying amount as of 1/10/2016 
 
163
Carrying amount as of 30/9/2017 
 
126
Carrying amount as of 30/9/2018 
 
97

METRO ANNUAL REPORT 2017/18 
169
Notes 
 
Notes to the balance sheet 
The decline of €29 million was mainly the result of 
reclassifications from investment properties to assets 
held for sale in the amount of €30 million. Of this 
amount, €19 million are attributable to the reclassifi-
cation of a single real estate property of METRO 
PROPERTIES in Germany and €11 million to reclassifi-
cations in relation to the disposal of the hypermarket 
business. 
The fair values of these investment properties total 
€205 million (30/9/2017: €248 million). These values 
are determined on the basis of internationally recog-
nised measurement methods, particularly the compar-
able valuation method and the discounted cash flow 
method (level 3 of the 3-level valuation hierarchy of 
IFRS 13 (Fair Value Measures)). This measurement is 
based on a detailed planning period of 10 years. Aside 
from market rents, market-based discount rates were 
used as key valuation parameters. The discount rates 
are determined on the basis of analyses of relevant 
real estate markets as well as evaluations of compar-
able transactions and market publications issued by 
international consulting firms. The resulting discount 
rates reflect the respective country and location risk 
as well as the property-specific real estate risk. In 
addition, project developments are considered to 
determine the best use. 
The fair value is usually assessed by METRO 
PROPERTIES employees. External expert reports are 
used where available. 
Rental income from continuing operations amounts 
to €20 million, with finance leases accounting for 
€7 million of this total (2016/17: €22 million, thereof 
€8 million from finance leases). The related expenses 
amount to €12 million, with finance leases accounting 
for €4 million (2016/17: €15 million, thereof €6 million 
from finance leases). Expenses of €0 million were in-
curred for properties without rental income, €0 million 
of which are attributable to finance leases (2016/17: 
€0 million, thereof €0 million from finance leases). 
Restrictions on titles in the form of liens and  
encumbrances amounted to €0 million (30/9/2017: 
€0 million). As in the previous year, no contractual 
commitments for the acquisition of investment prop-
erties were made.

METRO ANNUAL REPORT 2017/18 
170 
Notes 
 
Notes to the balance sheet 
23. Financial investments and investments accounted for using the equity method 
 
 
 
€ million 
 
Loans
Investments
 
Securities 
Total financial 
assets
Acquisition or production costs 
 
 
As of 1/10/2016 
 
45
25
 
26
96
Currency translation 
 
–1
0
 
0
–1
Additions to consolidation group 
 
0
0
 
0
0
Additions  
 
8
27
 
0
36
Disposals 
 
–4
–2
 
–14
–19
Reclassifications in accordance with IFRS 5 
 
0
0
 
0
0
Transfers  
 
–2
0
 
–3
–5
As of 30/9 – 1/10/2017 
 
47
51
 
9
107
Currency translation 
 
–1
0
 
0
–1
Additions to consolidation group 
 
0
0
 
0
0
Additions  
 
6
19
 
0
26
Disposals 
 
–3
–2
 
0
–4
Reclassifications in accordance with IFRS 5 
 
–13
–17
 
0
–31
Transfers  
 
–1
0
 
0
–1
As of 30/9/2018 
 
36
51
 
9
95
Depreciation 
 
 
As of 1/10/2016 
 
4
4
 
0
7
Currency translation 
 
0
0
 
0
0
Additions, scheduled  
 
0
0
 
0
0
Additions, impairment 
 
1
8
 
0
9
Disposals 
 
0
0
 
0
0
Reclassifications in accordance with IFRS 5 
 
0
0
 
0
0
Reversals of impairment losses 
 
0
0
 
0
0
Transfers  
 
–1
0
 
0
–1
As of 30/9 – 1/10/2017 
 
4
12
 
0
15
Currency translation 
 
0
0
 
0
0
Additions, scheduled  
 
0
0
 
0
0
Additions, impairment 
 
0
0
 
0
0
Disposals 
 
0
–1
 
0
–1
Reclassifications in accordance with IFRS 5 
 
0
–8
 
0
–8
Reversals of impairment losses 
 
0
0
 
0
0
Transfers  
 
1
0
 
0
1
As of 30/9/2018 
 
4
3
 
0
7
Carrying amount as of 1/10/2016 
 
41
22
 
26
89
Carrying amount as of 30/9/2017 
 
43
39
 
9
92
Carrying amount as of 30/9/2018 
 
31
48
 
9
88

METRO ANNUAL REPORT 2017/18 
171
Notes 
 
Notes to the balance sheet 
 
€ million 
 
Investments
accounted for
using the equity
method
Acquisition or production costs 
 
As of 1/10/2016 
 
185
Currency translation 
 
0
Additions to consolidation group 
 
0
Additions  
 
9
Disposals 
 
–12
Reclassifications in accordance with IFRS 5 
 
0
Transfers  
 
2
As of 30/9 – 1/10/2017 
 
184
Currency translation 
 
–8
Additions to consolidation group 
 
0
Additions  
 
9
Disposals 
 
–6
Reclassifications in accordance with IFRS 5 
 
0
Transfers  
 
0
As of 30/9/2018 
 
179
Depreciation 
 
As of 1/10/2016 
 
2
Currency translation 
 
0
Additions, scheduled  
 
0
Additions, impairment 
 
0
Disposals 
 
–1
Reclassifications in accordance with IFRS 5 
 
0
Reversals of impairment losses 
 
0
Transfers  
 
0
As of 30/9 – 1/10/2017 
 
1
Currency translation 
 
0
Additions, scheduled  
 
0
Additions, impairment 
 
0
Disposals 
 
0
Reclassifications in accordance with IFRS 5 
 
0
Reversals of impairment losses 
 
0
Transfers  
 
0
As of 30/9/2018 
 
1
Carrying amount as of 1/10/2016 
 
183
Carrying amount as of 30/9/2017 
 
183
Carrying amount as of 30/9/2018 
 
178
 
 
Disclosures about the major investments accounted 
for using the equity method can be found in the fol-
lowing table. 
Apart from Habib METRO Pakistan (closing  
date 30 June), all companies mentioned above have  
31 December as the closing date. The companies are 
included in the consolidated financial statements of 
METRO AG with their most recent available financial 
statements.

METRO ANNUAL REPORT 2017/18 
172 
Notes 
 
Notes to the balance sheet 
 
 
 
 
 
 
 
 
Habib METRO 
Pakistan 
 
OPCI FWP 
 
OPCI FWS 
 
Mayfair group1 
 
Miscellaneous 
 
Total 
€ million 
 
2016/17
2017/18
 
2016/17
2017/18
 
2016/17
2017/18
 
2016/17
2017/18
 
2016/17
2017/18
 
2016/17
2017/18
Disclosures about  
the income statement 
 
 
 
 
 
 
 
 
 
 
Sales revenues 
 
14
12 
 
24
23 
 
23
23 
8
14 
60
127 
 
129
199 
Tax profit  
for the period from 
continuing operations 
 
7
6 
 
16
15 
 
13
15 
4
8 
7
63 
 
47
107 
Tax profit  
from discontinued 
operations 
 
0
0 
 
0
0 
 
0
0 
0
0 
0
0 
 
0
0 
Other  
comprehensive income 
 
0
0 
 
0
0 
 
0
0 
0
0 
0
0 
 
0
0 
Total  
comprehensive income 
 
7
6 
 
16
15 
 
13
15 
4
8 
7
63 
 
47
107 
Dividend payments  
to the group 
 
1
2 
 
1
1 
 
4
3 
0
0 
2
1 
 
8
7 
Notes  
to the balance sheet 
 
 
 
 
 
 
 
 
 
 
Non-current assets 
 
55
47 
 
275
287 
 
264
270 
195
190 
–
– 
 
–
– 
Current assets 
 
23
22 
 
4
4 
 
2
5 
6
8 
–
– 
 
–
– 
Non-current liabilities 
 
3
2 
 
103
116 
 
100
110 
0
0 
–
– 
 
–
– 
Current liabilities 
 
3
2 
 
0
0 
 
0
0 
5
8 
–
– 
 
–
– 
Net assets  
 
72
64 
 
176
175 
 
166
164 
196
190 
–
– 
 
–
– 
Amount of the share 
(in %) 
 
40
40 
 
5
5 
 
25
25 
40
40 
–
– 
 
–
– 
Share of the group  
in the net assets 
 
30
26 
 
9
9 
 
42
41 
78
75 
–
– 
 
–
– 
Adjustment  
of asset values 
 
18
15 
 
–
– 
 
–1
– 
–
– 
–
– 
 
–
– 
Carrying amount of 
the share in the group 
 
48
41 
 
9
9 
 
41
41 
78
75 
7
12 
 
183
178 
 
 
 
 
 
 
1 The Mayfair group comprises 10 real estate companies. 
 
 
 
 
 
 
 
 
METRO’s representation on the supervisory board of 
OPCI FRENCH WHOLESALE PROPERTIES – FWP 
ensures that significant influence is maintained and 
that the holding will be accounted for using the equity 
method although the share only amounts to 5%. 
The investments accounted for using the equity meth-
od within the group are mainly associate companies 
and rental companies. The main purpose of the leasing 
companies is to acquire, lease out and manage assets. 
The assets of these real estate companies are exclu-
sively leased to METRO companies.

METRO ANNUAL REPORT 2017/18 
173
Notes 
 
Notes to the balance sheet 
24. Other financial and other non-financial assets 
 
 
 
 
 
 
 
 
 
30/9/2017 
 
30/9/2018 
 
 
 
Remaining term  
 
 
Remaining term  
€ million 
 
Total
 
up to 1 year
 
 over 1 year
 
Total
 
up to 1 year
 
 over 1 year
Receivables due from 
suppliers 
 
504
 
504
 
0
 
328 
 
327 
 
1 
Miscellaneous financial assets 
 
371
 
328
 
43
 
271 
 
233 
 
38 
Other financial assets 
 
875
 
832
 
43
 
600 
 
561 
 
39 
Other tax receivables 
 
287
 
287
 
0
 
237 
 
237 
 
0 
Prepaid expenses  
and deferred charges 
 
243
 
73
 
170
 
226 
 
68 
 
158 
Miscellaneous  
non-financial assets 
 
26
 
22
 
4
 
53 
 
48 
 
5 
Other non-financial assets 
 
556
 
382
 
174
 
515 
 
353 
 
163 
 
 
 
 
 
 
 
 
Receivables due from suppliers comprise both invoiced 
and deferred income for subsequent supplier compen-
sation (for example bonuses, advertising subsidies) 
and creditors with debit balances.  
The miscellaneous financial assets primarily include 
credit card receivables, receivables and other assets  
in the real estate area, receivables from finance leases 
and receivables from other financial transactions.  
The previous year’s figures for other financial  
assets include €234 million attributable to assets held 
for sale in connection with the disposal of the hyper-
market business. 
Other entitlements to tax refunds include value 
added tax refunds, not yet clearable input tax and 
other entitlements to tax refunds. 
Prepaid expenses and deferred charges include  
deferred rental, leasing and interest prepayments as 
well as miscellaneous deferments.  
Miscellaneous non-financial assets particularly  
include prepayments made on property, plant and 
equipment and inventories. 
The decrease of other assets is predominantly at-
tributable to the assets of the hypermarket business, 
which were still included in the previous year’s figure. 
25. Deferred tax assets/deferred tax liabilities 
Deferred tax assets on tax loss carry-forwards and 
temporary differences amount to €750 million before 
netting (30/9/2017: €992 million), a decline of  
€242 million compared with 30 September 2017. The 
carrying amounts of deferred tax liabilities increased 
by €170 million to €484 million compared with the 
previous year (30/9/2017: €654 million). The previous 
year’s figures include €216 million in deferred tax  
assets and €152 million in deferred tax liabilities from 
the hypermarket business, which were reclassified to 
assets held for sale and liabilities in the reporting year.

METRO ANNUAL REPORT 2017/18 
174 
Notes 
 
Notes to the balance sheet 
Deferred taxes relate to the following balance  
sheet items: 
 
 
 
 
30/9/2017 
 
30/9/2018 
€ million 
 
Assets
Liabilities
 
Assets
Liabilities
Goodwill 
 
44
46
 
27 
29 
Other intangible assets 
 
55
91
 
17 
86 
Property, plant and equipment and investment properties  
 
110
410
 
90 
266 
Financial investments and investments  
accounted for using the equity method 
 
16
12
 
10 
8 
Inventories 
 
33
4
 
26 
5 
Other financial and non-financial assets 
 
35
30
 
82 
29 
Assets held for sale 
 
0
0
 
1 
8 
Provisions for post-employment  
benefits plans and similar obligations 
 
116
39
 
95 
36 
Other provisions  
 
56
1
 
38 
0 
Financial liabilities 
 
336
2
 
192 
5 
Other financial and non-financial liabilities 
 
95
18
 
57 
13 
Liabilities related to assets held for sale 
 
0
0
 
0 
0 
Outside basis differences 
 
0
0
 
0 
0 
Write-downs of temporary differences 
 
–65
0
 
–22 
0 
Loss carry-forwards 
 
160
0
 
136 
0 
Carrying amount of deferred taxes before offsetting 
 
992
654
 
750 
484 
Offset 
 
–554
–554
 
–384 
–384 
Carrying amount of deferred taxes 
 
439
100
 
365 
100 
 
  
  
  
  
 
 
Of the deferred tax assets shown, €130 million 
(30/9/2017: €239 million) are attributable to the 
group of incorporated companies of METRO AG.  
The additional deferred tax assets of €135 million 
(30/9/2017: €100 million) are attributable to various 
companies abroad. Based on business planning,  
realisation of these tax assets is to be considered suffi-
ciently likely.  
In accordance with IAS 12 (Income Taxes), deferred 
tax liabilities relating to differences between the carry-
ing amount of a subsidiary’s pro rata equity in the 
balance sheet and the carrying amount of the invest-
ment for this subsidiary in the parent company’s tax 
statement must be recognised (so-called outside basis 
differences) if the tax benefit is likely to be realised in 
the future. The differences can primarily be attributed 
to retained earnings of subsidiaries in Germany and 
abroad. No deferred taxes were recognised for these 
retained earnings as they will be reinvested over an 
indefinite period of time or are not subject to relevant 
taxation. Any dividends paid by subsidiaries would be 
subject to dividend tax. In addition, foreign dividends 
may trigger a withholding tax. As of 30 September 2018, 
no deferred tax liabilities from outside basis differ-
ences were recognised for planned dividend payments 
(30/9/2017: €0 million). The sum of the amount of 
temporary differences in connection with investments 
in subsidiaries for which no deferred tax liabilities 
were recognised was not determined as this would 
have been disproportionately expensive due to the 
level of detail of the METRO group.  
No deferred tax assets were capitalised for the  
following tax loss carry-forwards and interest carry-
forwards or temporary differences because realisation 
of the assets in the short to medium term is not  
expected: 
 
 
 
  
  
€ million 
30/9/2017
 
30/9/2018
Corporation tax losses 
4,794
 
4,320 
Trade tax losses 
3,626
 
3,296 
Interest carry-forwards 
43
 
57 
Temporary differences 
251
 
104 
 
  
  
 
 
The loss carry-forwards as of the closing date pre-
dominantly concern the German consolidation group. 
They can be carried forward without limitation.

METRO ANNUAL REPORT 2017/18 
175
Notes 
 
Notes to the balance sheet 
 
  
  
  
  
  
  
TAX EFFECTS ON COMPONENTS OF OTHER COMPREHENSIVE INCOME 
 
 
2016/17 
2017/18 
€ million 
 
Before taxes
 
Taxes
After taxes 
Before taxes 
Taxes 
After taxes
Currency translation differences from translating 
the financial statements of foreign operations 
 
–36
 
0
–36 
–190 
0 
–190 
thereof currency translation differences  
from net investments in foreign operations 
 
(–60)
 
(0)
(–60) 
(3) 
(0) 
(3) 
Effective portion of gains/losses  
from cash flow hedges 
 
–3
 
0
–3 
2 
0 
2 
Gains/losses from the revaluation of financial 
instruments in the category ‘available for sale’ 
 
0
 
0
0 
9 
0 
9 
Remeasurement of defined benefit pension plans 
 
76
 
–21
55 
17 
–6 
11 
Other changes 
 
0
 
0
0 
0 
0 
0 
Remaining income tax  
on other comprehensive income 
 
0
 
2
2 
0 
4 
4 
 
 
38
 
–20
18 
–162 
–2 
–164 
 
  
  
  
  
  
  
 
 
Deferred taxes on components of the other results 
primarily apply to the remeasurement of defined  
benefit pension plans. The other components are not 
tax effective. 
26. Inventories 
 
€ million 
30/9/2017
 
30/9/2018
Food merchandise 
1,975
1,517 
Non-food merchandise 
1,071
591 
 
3,046
2,108 
 
  
  
  
Inventories declined by €938 million from €3,046 million 
to €2,108 million.  
The previous year’s figures include €765 million  
attributable to the hypermarket business to be  
disposed of. Negative currency effects mainly result-
ing from the development of the Turkish lira  
(€–34 million), the Russian rouble (€–31 million) and 
the Indian rupee (€–4 million) reduced the inventory 
by a further €76 million.
Inventories include impairments in the amount of  
€70 million (30/9/2017: €102 million; this includes  
€35 million from the hypermarket business to  
be disposed of). The inventories are subject to the 
customary or statutory retention of title. 
27. Trade receivables  
Trade receivables declined by €4 million, from 
€575 million to €571 million. These are receivables with 
a remaining term of up to 1 year. 
The previous year’s figures include €21 million  
attributable to the hypermarket business to be  
disposed of.  
Currency effects have reduced trade receivables  
by a further €14 million. 
The METRO Wholesale Asia segment reported an 
increase after currency effects of €19 million, which  
is essentially attributable to extended payment terms 
together with higher sales volumes in China.  
The delivery sales of the METRO Wholesale  
Eastern Europe segment also picked up, in particular 
in Turkey, and contributed a further €11 million.

METRO ANNUAL REPORT 2017/18 
176 
Notes 
 
Notes to the balance sheet 
28. Impairments of capitalised  
financial instruments 
Impairments of capitalised financial instruments that 
are measured at amortised cost are as follows: 
 
 
€ million 
Category 
‘loans and 
receivables’
thereof 
loans and
advance 
credit 
granted  
thereof
other
current
receivables
As of 1/10/2016 
109
(4)
(105)
Currency translation  
–2
(0)
(–2)
Additions 
45
(1)
(44)
Reversal 
–17
(0)
(–17)
Reclassifications in 
accordance with IFRS 5 
–1
(0)
(–1)
Utilisation 
–17
(0)
(–17)
Transfers 
–1
(0)
(–1)
As of 30/9 – 
1/10/2017 
117
(4)
(113)
Currency translation 
–5
(0)
(–5)
Additions 
40
(0)
(40)
Reversal 
–19
(0)
(–18)
Reclassifications in 
accordance with IFRS 5 
–5
(0)
(–5)
Utilisation 
–29
(0)
(–29)
Transfers 
1
(1)
(0)
As of 30/9/2018 
100
(5)
(95)
 
In the category ‘loans and receivables’, which particu-
larly includes loans, trade receivables, receivables from 
suppliers as well as receivables and other assets in  
the real estate area, negative earnings effects from 
impairment losses amount to €18 million (2016/17: 
€26 million). This also includes earnings from the  
receipt of cash from receivables that had already been 
derecognised in anticipation of irrevocability of  
€1 million (2016/17: €0 million).  
In accordance with IFRS 5, impairments of the 
hypermarket business are not included in the profit  
or loss from continuing operations. Instead, these 
impairments are included in the movement schedules 
on the development of impairments of capitalised 
financial instruments up to the point of reclassification 
on 30 September 2018; for this reason, the amounts 
stated in the table above may differ from those stated 
below the table. 
The current financial year includes reclassifications 
of impairment losses on assets held for sale in the 
amount of €5 million (2016/17: €1 million). 
As in the previous year, no earnings effects existed 
in the category ‘held to maturity’ or from receivables 
from finance leases (carrying value according to IAS 17). 
In principle, impairment losses on capitalised finan-
cial instruments are posted to an adjustment account. 
They reduce the carrying amount of financial assets.

METRO ANNUAL REPORT 2017/18 
177
Notes 
 
Notes to the balance sheet 
29. Maturities and impairment losses  
of capitalised financial instruments 
Capitalised financial instruments had the following 
maturities and impairment losses as of the closing date: 
 
 
 
 
 
 
thereof past-due, no specific allowances for impairment losses 
€ million 
Total carrying
amount
30/9/2017
 
thereof not
past-due, 
not impaired
Due within
the last
90 days
Due for 91
to 180 days
 
Due for 181 
to 270 days
Due for 271 
to 360 days
Due for more
than
360 days
Assets 
 
 
in the category  
‘loans and receivables’  
1,466
 
1,166
89
10
 
4
1
4
thereof loans and 
advance credit granted 
(46)
 
(45)
(0)
(0)
 
(0)
(0)
(0)
thereof other  
current receivables 
(1,421)
 
(1,121)
(89)
(10)
 
(4)
(1)
(4)
in the category  
‘held to maturity’ 
0
 
0
0
0
 
0
0
0
in the category  
‘held for trading’ 
4
 
0
0
0
 
0
0
0
in the category  
‘available for sale’ 
41
 
1
0
0
 
0
0
0
 
1,511
 
1,168
89
10
 
4
1
4
 
 
 
 
 
 
 
thereof past-due, no specific allowances for impairment losses 
€ million 
Total
carrying
amount
30/9/2018
 
thereof not
past-due, 
not impaired
Due within
the last
90 days
Due for 91
to 180 days
 
Due for 181 
to 270 days
Due for 271 
to 360 days
Due for
more than
360 days
Assets 
 
 
 
 
 
 
 
 
 
in the category  
‘loans and receivables’ 
1,170 
 
928 
78 
8 
 
1 
1 
4 
thereof loans and 
advance credit granted 
(33) 
 
(33) 
(0) 
(0) 
 
(0) 
(0) 
(0) 
thereof other  
current receivables 
(1,138) 
 
(895) 
(78) 
(8) 
 
(1) 
(1) 
(4) 
in the category  
‘held to maturity’ 
0 
 
0 
0 
0 
 
0 
0 
0 
in the category  
‘held for trading’ 
7 
 
0 
0 
0 
 
0 
0 
0 
in the category  
‘available for sale’ 
49 
 
1 
0 
0 
 
0 
0 
0 
 
1,227 
 
929 
78 
8 
 
1 
1 
4 
 
 
 
Loans and receivables due within the last 90 days 
largely result from standard business payment trans-
actions with immediate or short-term payment terms. 
For loans and receivables more than 90 days past-due 
that are not subject to specific allowances, there is  
no indication as of the closing date at which debtors 
will not fulfil their payment obligations. For capitalised 
financial instruments which are not past- due and 
which are not subject to specific allowances, there is 
no indication based on the debtor’s creditworthiness 
that would require an impairment.

METRO ANNUAL REPORT 2017/18 
178 
Notes 
 
Notes to the balance sheet 
30. Cash and cash equivalents 
 
 
  
  
€ million 
30/9/2017
30/9/2018
Cheques and cash on hand 
61
31 
Bank deposits and other financial 
assets with short-term liquidity 
1,498
1,267 
 
1,559
1,298 
 
  
  
 
The previous year’s figures include €95 million  
attributable to the hypermarket business to be dis-
posed of.  
Of the cash and cash equivalents, €0 million 
(30/9/2017: €33 million) are subject to restrictions  
on title. 
— For more information, see the cash flow statement  
and no. 42 – notes to the cash flow statement. 
31. Assets held for sale/liabilities  
related to assets held for sale 
Disposal of the hypermarket business 
For several years, METRO has increased its focus on  
its wholesale business. It intends to intensify this strat-
egy in the future. In consideration of this, the Man-
agement Board of METRO AG decided in its meeting 
on 13 September 2018 to sell the hypermarket business 
including 80 real estate properties that are being  
used for this purpose. Most of these are the property 
of Real. The transaction is proposed to take place in 
financial year 2018/19.  
The hypermarket business consists of 279 stores  
of the Real segment and their subsidiaries, most of 
which render procurement and online services for the 
Real segment.  
With the exception of 18 real estate companies  
and individual properties and a supplier, which are 
currently included in the Others segment, all assets 
and liabilities affected by the resolution form part of 
the Real segment. In accordance with IFRS 5, they are 
collectively treated as a discontinued business seg-
ment from 30 September 2018 onwards and will be 
treated as such until their deconsolidation or disposal. 
As a result of this classification, the consolidation 
of all intra-group assets and liabilities in the consoli-
dated balance sheet as of 30 September 2018 was 
followed by the reclassification of €2,580 million  
to item assets held for sale and €1,691 million to  
item liabilities related to assets held for sale. The  
respective asset and liability items to be consolidated 
were recognised in the corresponding balance sheet 
items of both the continued and the discontinued 
segment. As of the end of the financial year, the assets 
held for sale and the liabilities of the hypermarket 
business to be disposed of can be broken down as 
follows: 
 
 
 
€ million 
 
 
Assets 
 
 
Other intangible assets 
 
19 
Property, plant and equipment 
 
1,253 
Investment properties 
 
11 
Financial assets (non-current) 
 
23 
Other financial assets (non-current) 
 
2 
Other non-financial assets (non-current) 
 
4 
Deferred tax assets 
 
70 
Inventories 
 
747 
Trade receivables 
 
30 
Financial assets (current) 
 
1 
Other financial assets (current) 
 
280 
Other non-financial assets (current) 
 
43 
Cash and cash equivalents 
 
97 
 
 
2,580 
Liabilities 
 
 
Provisions for post-employment  
benefits plans and similar obligations 
 
42 
Other provisions 
 
34 
Financial liabilities (non-current) 
 
498 
Other financial liabilities (non-current) 
 
1 
Other non-financial liabilities (non-current) 
 
47 
Trade liabilities 
 
741 
Provisions (current) 
 
93 
Financial liabilities (current) 
 
60 
Other financial liabilities (current) 
 
146 
Other non-financial liabilities (current) 
 
28 
 
 
1,691 
 
 
The effects of the other comprehensive income from 
assets held for sale and liabilities included in METRO’s 
equity include an amount of €9 million for components 
without future income effect, as well as €0 million for 
components with a potential income effect.

METRO ANNUAL REPORT 2017/18 
179
Notes 
 
Notes to the balance sheet 
Sale of MIDBAN ESOLUTIONS S.L.  
Based on a decision of the Management Board of 
METRO AG on 28 September 2017, METRO has sold  
all shares in MIDBAN ESOLUTIONS S.L. (Midban), 
Barcelona, Spain, to its founding shareholders as part 
of the exercise of a tender right and with effect on  
8 November 2017. The assets held for sale by Midban 
in relation to the subsequent measurement of the 
disposal group pursuant to IFRS 5 increased from  
€11 million to €12 million between 30 September 2017 
and the date of deconsolidation of the company.  
The liabilities related to assets held for sale remain 
constant at €15 million until their consolidation. 
In consideration of the subsequent measurement 
of all risks relating to the disposal of Midban, the debt 
consolidation resulted in EBIT-effective earnings of  
€0 million. The effect of the transaction on the finan-
cial result and the income tax result was €0 million. 
Other comprehensive income was also unaffected by 
the deconsolidation.  
Real estate  
The value of individual real estate properties held for 
sale changed from €0 million to €26 million during 
financial year 2017/18. This is comprised of €5 million 
attributable to assets reclassified from fixed assets 
and €21 million attributable to assets reclassified from 
investment properties.  
32. Equity  
The subscribed capital of METRO AG amounts to 
€363,097,253. It is divided as follows: 
 
No-par-value bearer 
shares, accounting 
par value of €1.00 
30/9/2017
 
30/9/2018
Ordinary shares 
Number  
of shares 
 
360,121,736
 360,121,736 
 
€ 
 
360,121,736
 360,121,736 
Preference shares 
Number  
of shares 
 
2,975,517
 
2,975,517 
 
€ 
 
2,975,517
 
2,975,517 
Total shares 
Number  
of shares 
 
363,097,253
 363,097,253 
Total share capital 
€ 
 
363,097,253
 363,097,253 
 
 
As of 30 September 2017 and as of 30 September 2018, 
the subscribed capital of METRO AG amounted to 
€363,097,253. It is divided into a total of 360,121,736 
no-par-value bearer ordinary shares (pro rata value of 
the share capital: €360,121,736, approximately 99.18%), 
as well as 2,975,517 preference no-par-value bearer 
preference shares (pro rata value of the share capital: 
€2,975,517, approximately 0.82%). Each no-par share 
in the company has a notional interest of €1.00 in the 
share capital. 
Each ordinary share entitles the bearer to a single 
vote in the company’s Annual General Meeting. The 
ordinary shares carry full dividend rights. In contrast 
to ordinary shares, preference shares do not carry 
voting rights but confer a preferential entitlement to 
profits as prescribed in § 21 of the Articles of Associa-
tion of METRO AG, which state:  
 
‘(1) Holders of non-voting preference shares will re-
ceive a preliminary dividend from the annual bal-
ance sheet profit in the amount of €0.17 for each 
preference share. 
(2) Should the balance sheet profit available for distri-
bution not suffice in any one financial year to pay 
the preliminary dividend, the arrears (excluding 
any interest) shall be paid from the balance sheet 
profit of subsequent financial years in an order 
based on age, meaning in such manner that any 
older arrears are paid off prior to any more recent 
ones and that the preference dividends payable 
from the profit of a financial year are not distribu-
ted until all accrued arrears have been paid.  
(3) Following distribution of the preliminary dividends, 
the holders of ordinary shares will be paid a divi-
dend of €0.17 for each ordinary share. Subsequently, 
a non-cumulative extra dividend per share will  
be paid to the holders of non-voting preference 
shares. The extra dividend shall amount to 10% of 
the dividend paid to the holders of ordinary shares 
under observation of Section 4, provided such divi-
dend equals or exceeds €1.02 per ordinary share. 
(4) The holders of non-voting preference shares and 
those holding ordinary shares will equally share in 
any additional profit distribution in the proportion 
corresponding to the number of shares held by 
them in the share capital.’ 
Authorised capital 
The Annual General Meeting on 16 February 2018 au-
thorised the Management Board to increase the share 
capital, subject to the consent of the Supervisory 
Board, by issuing new ordinary bearer shares against 
cash or non-cash contributions in one or several 
tranches for a total maximum of €181,000,000 by  
28 February 2022 (authorised capital). The Manage-
ment Board is, subject to the consent of the Super-
visory Board, authorised to exclude shareholder  
subscription rights in certain cases. To date, the  
authorised capital has not been fully utilised.

METRO ANNUAL REPORT 2017/18 
180 
Notes 
 
Notes to the balance sheet 
Contingent capital 
The Annual General Meeting held on 16 February 2018 
resolved a contingent increase in the share capital by 
up to €50,000,000, divided into a maximum of 
50,000,000 ordinary bearer shares (contingent capi-
tal). This contingent capital increase is related to the 
establishment of an authority of the Management 
Board to issue, subject to the consent of the Super-
visory Board, one or several tranches of warrant or 
convertible bearer bonds (collectively ‘bonds’) with an 
aggregate par value of €1,500,000,000 prior to  
15 February 2023, and to grant the holders of warrant 
or convertible bearer bonds warrant or conversion 
rights or to impose warrant or conversion obligations 
upon them for ordinary bearer shares in METRO AG 
representing up to €50,000,000 of the share capital 
in accordance with the terms of the warrant or con-
vertible bearer bonds, or to provide for the company’s 
right to deliver ordinary shares in the company as full 
or partial payment in lieu of a cash redemption of  
the bonds. The Management Board is, subject to the 
consent of the Supervisory Board, authorised to ex-
clude shareholder subscription rights in certain cases. 
To date, no warrant and/or convertible bearer bonds 
have been issued under the aforementioned authority. 
Repurchase of own shares 
On the basis of § 71 Section 1 No. 8 of the German 
Stock Corporation Act, the Annual General Meeting on 
11 April 2017 authorised the company to acquire own 
shares of any share class representing a maximum of 
10% of the share capital issued at the time the author-
ity became effective, or – if this figure is lower – at the 
time the authority is exercised. The authority expires 
on 28 February 2022. To date, neither the company 
nor any company controlled or majority-owned by it, 
any other company acting on behalf of the company 
or of any company controlled or majority-owned by 
that company has exercised this authority. 
— For more information on the company’s authorised 
capital, contingent capital, the authority to issue warrant 
and/or convertible bearer bonds as well as share  
repurchasing, see chapter 7 – takeover-related  
disclosures in the combined management report. 
Capital reserve and reserves retained from earnings 
Prior to the effective date of the reclassification and 
demerger of CECONOMY AG on 12 July 2017,  
METRO AG was not yet a group within the meaning of 
IFRS 10. Accordingly, combined financial statements  
of METRO Wholesale & Food Specialist GROUP (here-
inafter: MWFS GROUP) were prepared for the IPO 
prospectus of METRO AG. Equity in the combined 
financial statements was the residual amount from the 
combined assets and liabilities of MWFS GROUP. Fol-
lowing the demerger, METRO became an independent 
group with METRO AG as the listed parent company. 
Therefore, the equity in the consolidated financial 
statements is subdivided according to legal require-
ments. The subscribed capital of €363 million and the 
capital reserve of €6,118 million were recognised at  
the carrying amounts from the annual financial state-
ments of METRO AG as of 30 September 2017. For  
this purpose, a reclassification was made from the 
equity item net assets, recognised as of 1 October 
2016, attributable to the former METRO GROUP of the 
combined financial statements of MWFS GROUP. The 
remaining negative amount of this equity item was 
reclassified to reserves retained from earnings. It can-
not be traced back to a history of loss.  
Reserves retained from earnings can be broken 
down as follows: 
 
 
 
€ million 
30/9/2017
 
30/9/2018
Effective portion  
of gains/losses  
from cash flow hedges 
–21
 
0 
Gains/losses  
from the revaluation of 
financial instruments  
in the category ‘available 
for sale’ 
0
 
9 
Currency translation 
differences from 
translating the  
financial statements  
of foreign operations 
–549
 
–738 
Remeasurement of defined 
benefit pension plans 
–427
 
–410 
Income tax on 
components of other 
comprehensive income 
921
 
91 
Other reserves retained 
from earnings 
–2,4341
–2,344 
 
–3,320
–3,392 
 
1 Reclassification within retained earnings.

METRO ANNUAL REPORT 2017/18 
181
Notes 
 
Notes to the balance sheet 
Changes in the financial instruments presented above 
consist of the following components: 
 
€ million 
2016/17
 
2017/18
Initial or subsequent 
measurement of derivative 
financial instruments 
–5
9 
Derecognition  
of cash flow hedges 
2
–7 
thereof in inventories 
(0)
(0) 
thereof  
in net financial result 
(2)
(–7) 
Effective portion  
of gains/losses  
from cash flow hedges 
–3
2 
Gains/losses  
from the revaluation of 
financial instruments  
in the category  
‘available for sale’ 
0
9 
 
–2
11 
 
 
Gains/losses from the revaluation of financial instru-
ments in the category ‘available for sale’ mainly con-
cern the subsequent measurement of investments. 
In addition, currency translation differences changed 
by €–189 million (2016/17: €–36 million). They can be 
broken down as follows: 
The translation of the local balance sheets to the 
group currency resulted in a change of €–185 million in 
equity outside of profit or loss. In addition, the effec-
tive derecognition of cumulative currency differences 
of companies that were deconsolidated or discontin-
ued operation within financial year 2017/18 had an 
effect of €–4 million. 
The remeasurement of defined benefit pension 
plans resulted in effects outside of profit or loss before 
deferred taxes in the amount of €17 million.  
— An overview of the tax effects on components of other 
comprehensive income can be found under no. 25 –  
deferred tax assets/deferred taxliabilities.  
Other reserves retained from earnings increased by 
€90 million from €–2,434 million to €–2,344 million. 
This increase was primarily influenced by the profit  
for the period attributable to the shareholders of  
METRO AG of €344 million. Dividend payments for 
financial year 2016/17 in the amount of €254 million 
had an opposite effect.  
Non-controlling interests 
Non-controlling interests comprise the shares held by 
third parties in the share capital of the consolidated 
subsidiaries. They amounted to €41 million at the end 
of financial year 2017/18 (30/9/2017: €46 million).  
— An overview of subsidiaries with major non-controlling 
interests is published in the notes to the group account-
ing principles and methods. 
Appropriation of the balance sheet profit, dividend 
Dividend distribution of METRO AG is based on the 
METRO AG Annual Financial Statements prepared 
under German commercial law. 
Regarding the appropriation of the balance sheet 
profit for 2017/18, the Management Board of METRO 
AG will propose to the Annual General Meeting that a 
dividend in the amount of €0.70 per ordinary share 
and €0.70 per preference share – that is, a total of 
€254 million – be distributed from the reported bal-
ance sheet profit of €283 million and to carry forward 
the remaining amount to the new account.  
33. Provisions for post-employment benefits  
plans and similar obligations 
 
 
  
  
€ million 
 
30/9/2017
30/9/2018
Provisions for post-employment 
benefits plans  
(employer’s commitments) 
 
383
344 
Provisions  
for indirect commitments 
 
34
12 
Provisions  
for voluntary pension benefits 
 
0
0 
Provisions  
for company pension plans 
 
87
71 
Provisions  
for obligations similar to pensions 
 
52
41 
 
 
557
468 
 
  
  
 
Provisions for post-employment benefits plans are 
recognised in accordance with IAS 19 (employee  
benefits). 
Provisions for post-employment benefits plans 
consist of commitments primarily related to benefits 
defined by the provisions of company pension plans. 
These take the form of defined benefit plans directly 
from the employer (employer’s commitments) and 
defined benefit plans from external providers (bene-
volent funds in Germany and international pension 
funds). The external providers’ assets serve exclusively 
to finance the pension entitlements and qualify as  
plan assets. The benefits under the different plans are 
based on performance and length of service.  
The most important performance-based pension 
plans are described in the following.

METRO ANNUAL REPORT 2017/18 
182 
Notes 
 
Notes to the balance sheet 
Germany 
METRO grants many employees in Germany retire-
ment, disability and surviving dependant’s benefits. 
New commitments are granted in the form of ‘defined 
benefit’ commitments within the meaning of IAS 19 
(contribution-oriented commitments pursuant to 
German company pension law), which comprise a 
payment contribution component and an employer-
matching component. Contributions are paid to a 
pension reinsurance from which benefits are paid out 
when the insured event occurs. A provision is recog-
nised for entitlements not covered by reinsurance. 
In addition, various pension funds exist that are 
closed for new contributions. In general, these provide 
for lifelong pensions starting with the start of retire-
ment or recognised invalidity. Benefits are largely 
defined as fixed payments or on the basis of set annu-
al increases. In special cases, benefits are calculated  
in consideration of accrued statutory pension entitle-
ments. The commitments provide for a widow’s or 
widower’s pension of varying size, depending on the 
benefits the former employee received or would have 
received in the case of invalidity. Legacy commitments 
are partially covered by assets held in benevolent funds. 
Provisions are recognised for those commitments  
not covered. The benevolent funds’ decision-making  
bodies (management board and general assembly of 
members) comprise both employer and employee 
representatives. The respective member of the man-
agement board decides on the deployment of funds 
and financial investments. It may commission third 
parties to manage fund assets. No statutory minimum 
endowment obligations exist. Insofar as pledged ben-
efits cannot be paid out of the benevolent fund as-
sets, the employer is obliged to directly assume these 
payments. 
There are also deferred compensation contracts 
with the Hamburger Pensionskasse (Hamburg pension 
fund).  
Netherlands 
A defined benefit pension plan exists in the Nether-
lands which provides for pension payments in addition 
to invalidity and death benefits. The amount of the 
benefits depends on the pensionable salary per year 
of service. Benefits are funded through a pension fund 
whose decision-making bodies (management board, 
as well as administration, finance and investment 
committee) include employer and employee repre-
sentatives. The fund’s executive committee is respon-
sible for asset management. The pension fund’s 
investment committee exists for this purpose. In line 
with statutory minimum funding requirements, the 
pension fund’s executive committee must ensure that 
commitments are covered by assets at all times. In 
case of underfunding, the pension fund’s executive 
committee may take different measures to compen-
sate for deficient cover. These measures include the 
requirement for additional contributions by the  
employer and curtailments in employee benefits. 
United Kingdom 
In July 2012, the former METRO GROUP sold its cash-
and-carry business in the United Kingdom to Booker 
Group PLC. Pension commitments were not part of the 
sale. Since the date of the sale, only vested benefits 
and current pensions from service years at the former 
METRO GROUP have existed. In accordance with legal 
stipulations, the vested interests must be adjusted  
for inflation effects. The commitments are covered by 
assets which are managed and invested by a corpo-
rate trustee. A major share of these commitments was 
fully funded through a buy-in. The executive commit-
tee of this corporate trustee consists of employer and 
employee representatives. In any case, the trustee 
must ensure that benefits can be paid at all times in 
the future. This is regulated on the basis of statutory 
minimum financing requirements. In case of under-
funding, the trustee may require additional employer 
contributions to close the funding gap. 
Belgium 
There are both retirement pensions and capital com-
mitments; the amount depends on the pensionable 
length of service and pensionable income. In addition, 
groups of employees are granted interim allowances. In 
principle, benefits are funded through group insurance 
contracts that are subject to Belgian regulatory law. 
Additional retirement plans are shown cumulatively 
under other countries. 
The following table provides an overview of  
the present value of defined benefit obligations by 
METRO countries as well as material obligations: 
 
 
 
  
  
% 
 
30/9/2017
30/9/2018
Germany 
 
31
30 
Netherlands 
 
36
37 
United Kingdom 
 
17
17 
Belgium 
 
8
7 
Other countries 
 
8
9 
 
 
100
100

METRO ANNUAL REPORT 2017/18 
183
Notes 
 
Notes to the balance sheet 
The plan assets of METRO are distributed proportion-
ally to the following countries: 
 
 
 
  
  
% 
30/9/2017
 
30/9/2018
Germany 
8
 
8 
Netherlands 
60
 
62 
United Kingdom 
25
 
22 
Belgium 
6
 
5 
Other countries 
1
 
3 
 
100
 
100 
 
  
  
 
The above commitments are valued on the basis of 
actuarial calculations in accordance with IAS 19. The 
basis for the valuation are the legal, economic and tax 
circumstances prevailing in each country.  
The following average assumptions regarding the 
material parameters were used in the actuarial valuation: 
 
 
30/9/2017 
 
30/9/2018 
% 
Germany
Nether-
lands
United 
Kingdom
 
Belgium
 
Other
countries
 
Germany
Nether-
lands
United 
Kingdom
Belgium
 
Other
countries
Actuarial  
interest rate  
2.10
2.30
2.60
 
2.10
 
2.35
 
2.20 
2.40 
2.70 
2.20 
2.53 
Inflation rate 
1.50
0.90
2.40
 
2.00
 
0.04
 
1.50 
0.90 
2.40 
2.00 
0.04 
 
  
  
  
  
  
  
  
  
  
  
 
As in previous years, METRO used generally recog-
nised methods to determine the actuarial rate of inter-
est. With these, the respective actuarial rate of interest 
based on the yield of investment grade corporate 
bonds is determined as of the closing date taking 
account of the currency and maturity of the underly-
ing obligations. The actuarial rate of interest for the 
Eurozone and the UK is based on the results of a 
method applied in a uniform manner across the group. 
The interest rate for this is set on the basis of the re-
turns of high-quality corporate bonds and the duration 
of commitments. In countries without a liquid market 
of suitable corporate bonds, the actuarial interest rate 
was determined on the basis of government bond yields. 
Aside from the actuarial interest rate, the inflation 
rate represents another key actuarial parameter. In the 
process, the nominal rate of wage and salary increases 
was determined on the basis of expected inflation and 
a real rate of increase. In Germany, the rate of pension 
increases is derived directly from the inflation rate 
insofar as pension adjustments can be determined on 
the basis of the increase in the cost of living. In inter-
national companies, pension adjustments are also 
generally determined on the basis of the inflation rate. 
The other parameters are not relevant for the 
measurement of pension obligations. The impact of 
changes in fluctuation and mortality assumptions  
was analysed for major plans. Calculations of the mor-
tality rate for the German group companies in financial 
year 2017/18 are based on the 2018 G tables from  
Prof. Dr Klaus Heubeck published in July 2018. The 
modified version, which was published in October 
2018, was not applied. 
The actuarial valuations outside of Germany are 
based on country-specific mortality tables. The result-
ing effects of fluctuation and mortality assumptions 
have been deemed immaterial and are not listed as a 
separate component. 
The following is a sensitivity analysis for the key 
valuation parameters with respect to the present value 
of pension entitlements. The actuarial rate of interest  
and the inflation rate were identified as key parame-
ters with an impact on the present value of pension 
entitlements. The sensitivity analysis used the same 
methods as were applied in the previous year. The 
analysis considered changes in parameters that are 
considered possible within reason. Stress tests or 
worst-case scenarios, in contrast, are not part of the 
sensitivity analysis. The selection of the respective 
spectrum of possible changes in parameters is based 
on historical multi-year observations. This almost  
exclusive reliance on historical data to derive possible 
future developments represents a methodological 
constraint.  
The following illustrates the impact of an increase/ 
decrease in the actuarial rate of interest by 100 basis 
points or an increase/decrease in the inflation rate by 
25 basis points:

METRO ANNUAL REPORT 2017/18 
184 
Notes 
 
Notes to the balance sheet 
 
  
  
  
  
  
  
  
  
  
  
  
 
 
30/9/2017 
30/9/2018 
€ million 
Germany
Nether-
lands
United
Kingdom  
Belgium
Other 
countries
Germany
Nether-
lands
United 
Kingdom
Belgium
Other
countries
Actuarial 
interest rate 
Increase 
by 
100 basis 
points
–53
–91
–37  
–4
–12
–46 
–89 
–33 
–3 
–11 
 
Decrease 
by 
100 basis 
points
67
125
48  
6
15
58 
123 
43 
5 
13 
Inflation rate 
Increase 
by 
25 basis 
points
10
13
5  
1
1
9 
13 
5 
0 
1 
 
Decrease 
by 
25 basis 
points
–10
–13
–4  
–1
–1
–9 
–13 
–6 
0 
–1 
 
  
  
  
  
  
  
  
  
  
  
  
  
The granting of defined benefit pension entitlements 
exposes METRO to various risks. These include general 
actuarial risks resulting from the valuation of pension 
commitments (for example, interest rate risks) as well 
as capital and investment risks related to plan assets. 
With a view to the funding of future pension pay-
ments from indirect commitments and a stable actu-
arial reserve, METRO primarily invests plan assets in  
low-risk investment forms. The funding of direct pen-
sion commitments is secured through operating cash 
flow at METRO. 
The fair value of plan assets by asset category can 
be broken down as follows: 
 
 
 
  
  
  
  
 
30/9/2017 
 
30/9/2018 
 
%
€ million
%
€ million
Fixed-interest 
securities 
38
340
36 
337 
Shares, funds 
24
217
26 
247 
Real estate 
4
32
4 
36 
Other assets 
34
316
34 
320 
 
100
905
100 
940 
 
  
  
  
  
 
Fixed-interest securities, shares and funds are regular-
ly traded in active markets. As a result, the relevant 
market prices are available. The asset category ‘fixed-
interest securities’ only includes investments in invest-
ment grade corporate bonds, government bonds and 
mortgage-backed bonds (Pfandbriefe). Risk within  
the category ‘shares, funds’ is minimised through geo-
graphic diversification. 
The majority of real estate assets are invested in 
real estate funds.  
Other assets essentially comprise receivables from 
insurance companies in Germany, Belgium and the 
United Kingdom. All of these are first-rate insurance 
companies. Additionally, an initial deposit into the plan 
assets in the amount of €15 million was paid for the 
purpose of a collective life insurance contract in 
France.  
The actual return on plan assets amounted to  
€45 million in the reporting period (2016/17: €16 million). 
For financial year 2018/19, the company expects 
employer payments to external pension providers 
totalling approximately €17 million and employee con-
tributions of €10 million in plan assets, with contribu-
tions in the Netherlands and Germany accounting for 
the major share of this total. Expected contributions 
from payment contribution commitments in Germany 
are not included in expected payments.

METRO ANNUAL REPORT 2017/18 
185
Notes 
 
Notes to the balance sheet 
Changes in the present value have developed  
as follows: 
 
 
€ million 
2016/17
 
2017/18
Present value of defined 
benefit obligations 
 
As of the beginning  
of the period 
1,424
1,342 
Recognised under 
pension expenses  
through profit or loss 
38
55 
Interest expenses 
24
30 
Current service cost  
28
25 
Past service cost  
(incl. curtailments  
and changes) 
–14
0 
Settlement expenses 
0
0 
Recognised outside  
of profit or loss under 
remeasurement of defined 
benefit pension plans  
in other comprehensive 
income 
–114
–39 
Actuarial gains/losses 
from changes in 
 
demographic 
assumptions (–/+) 
–10
–4 
financial  
assumptions (–/+) 
–127
–20 
experience-based 
correction (–/+) 
23
–15 
Other effects 
–6
–107 
Benefit payments  
(incl. tax payments) 
–46
–59 
Contributions from 
plan participants 
10
11 
Change in 
consolidation 
group/transfers 
38
0 
Reclassifications  
in accordance with  
IFRS 5 
0
–55 
Currency effects 
–8
–4 
As of the end  
of the period 
1,342
1,251 
 
 
 
 
In Germany, the reclassification to assets held for sale 
in connection with the disposal of the hypermarket 
business resulted in a reduction of the present value of 
defined benefit obligations in the amount of €55 million. 
The change to the 2018 G life expectancy tables  
in Germany resulted in the obligations increasing by 
€4 million. Due to the subsequent modification of  
the tables in October 2018, a slight inverse effect is 
expected in the next year. 
A project to settle marginal pension entitlements  
in the United Kingdom resulted in settlement pay-
ments in the total amount of €6 million. The profit from 
the severance payment was €0 million. 
Changes in parameters on the basis of actuarial 
calculations led to a total decrease in the present 
value of defined benefit obligations of €24 million 
(2016/17: €–137 million). 
The weighted average term of defined benefit 
commitments for the countries with material pension 
obligations amounts to: 
 
 
 
  
  
Years 
30/9/2017 
30/9/2018
Germany 
16 
16 
Netherlands 
22 
22 
United Kingdom 
18 
18 
Belgium 
4 
4 
Other countries 
12 
11 
 
  
  
 
The present value of defined benefit obligations can 
be broken down as follows based on individual groups 
of eligible employees: 
 
 
 
  
  
% 
30/9/2017 
30/9/2018
Active members 
34 
32 
Former claimants 
36 
38 
Pensioners 
30 
30

METRO ANNUAL REPORT 2017/18 
186 
Notes 
 
Notes to the balance sheet 
The fair value of plan assets developed as follows: 
 
 
€ million 
2016/17
 
2017/18
Change in plan assets 
 
Fair value of plan assets  
as of the beginning  
of the period 
864
905 
Recognised under 
pension expenses  
through profit or loss 
16
21 
Interest income 
16
21 
Recognised outside  
of profit or loss under 
remeasurement of defined 
benefit pension plans  
in other comprehensive 
income 
0
24 
Gains/losses from plan 
assets excl. interest 
income (+/–) 
0
24 
Other effects 
25
–10 
Benefit payments  
(incl. tax payments) 
–26
–34 
Settlement payments 
–2
–6 
Employer 
contributions 
16
35 
Contributions from 
plan participants 
10
11 
Change in 
consolidation 
group/transfers 
33
0 
Reclassification  
in accordance with  
IFRS 5 
0
–16 
Currency effects 
–6
0 
Fair value  
of plan assets as of  
the end of the period 
905
940 
 
 
In Germany, the reclassification to assets held for sale 
in connection with the disposal of the hypermarket 
business resulted in a reduction of the plan assets by 
€16 million. 
 
 
 
  
  
€ million 
30/9/2017 
30/9/2018
Financing status 
 
 
Present value of defined benefit 
obligations 
1,342 
1,251 
less the fair value of plan assets 
905 
940 
Assets adjustment 
(asset ceiling) 
67 
115 
Net liability/assets 
504 
427 
thereof recognised  
under provisions 
504 
427 
thereof recognised  
under net assets 
0 
0 
 
  
  
  
At one Dutch company, plan assets exceeded the 
value of commitments as of the closing date. Since  
the company cannot draw any economic benefits from 
this overfunding, the balance sheet amount was  
reduced to €0 in line with IAS 19.64 (b).  
The change in the effect of the asset ceiling in the 
amount of €46 million was largely recognised in other 
comprehensive income as a loss from remeasuring 
(2016/17: €36 million). 
The pension expenses of the direct and indirect 
company pension plan commitments can be broken 
down as follows: 
 
 
 
  
  
€ million 
2016/17 
2017/18
Current service cost1 
28 
24 
Net interest expenses 
9 
11 
Past service cost  
(incl. curtailments and changes) 
–14 
0 
Settlements 
0 
0 
Other pension expenses 
1 
1 
Pension expenses 
24 
36 
 
  
  
1 Netted against employees’ contributions.

METRO ANNUAL REPORT 2017/18 
187
Notes 
 
Notes to the balance sheet 
The entire profits to be recognised outside of profit  
or loss in other comprehensive income amount to  
€17 million in financial year 2017/18. This figure is com-
prised of the effect from the change in actuarial  
parameters in the amount of €24 million, experience-
based adjustments of €15 million and income from 
plan assets in the amount of €24 million. It was offset 
by losses of €–46 million resulting from the changed 
effect of the asset ceiling in the Netherlands.  
In addition to expenses from defined benefit pen-
sion commitments, expenses for payments to external 
pension providers relating to defined contribution 
pension commitments of €82 million were recorded  
in financial year 2017/18 (2016/17: €78 million). These 
figures also include payments to statutory pension 
insurance. 
The provisions for obligations similar to pensions  
essentially comprise commitments from employment 
anniversary allowances, death benefits and partial 
retirement plans. Provisions amounting to €41 million 
(30/9/2017: €52 million) were formed for these com-
mitments. The commitments are valued on the basis 
of actuarial expert opinions. In principle, the param-
eters used are identical to those employed in the 
company pension plan. 
34. Other provisions (non-current)/ 
provisions (current) 
In the reporting period, other provisions (non-
current)/provisions (current) changed as follows: 
 
 
 
€ million 
 
Real estate-
related
obligations
 
Obligations
from trade
transactions
 
Restructuring
 
Taxes
 
Miscellaneous
 
Total
As of 1/10/2017 
 
202
 
62
 
200
 
15
 
260
 
739
Currency translation 
 
0
 
–1
 
0
 
0
 
–2
 
–3
Addition 
 
43
 
76
 
10
 
6
 
99
 
234
Reversal 
 
–19
 
–2
 
–37
 
–8
 
–37
 
–103
Utilisation 
 
–40
 
–71
 
–113
 
–1
 
–106
 
–332
Change in consolidation group 
 
0
 
0
 
0
 
0
 
0
 
0
Interest portion  
of the addition/change 
 in interest rate 
 
0
 
0
 
0
 
0
 
0
 
1
Reclassification  
in accordance with IFRS 5 
 
–58
 
–42
 
–17
 
0
 
–10
 
–127
Transfer 
 
8
 
–1
 
0
 
3
 
–18
 
–9
As of 30/9/2018 
 
135
 
21
 
42
 
14
 
187
 
399
Non-current 
 
57
 
0
 
5
 
9
 
54
 
126
Current 
 
78
 
21
 
37
 
5
 
132
 
274
As of 30/9/2018 
 
135
 
21
 
42
 
14
 
187
 
399
 
 
 
 
 
 
 
 
Provisions for real estate-related obligations predom-
inantly concern lease liabilities in the amount of  
€40 million (30/9/2017: €40 million), deficient rental 
covers amounting to €34 million (30/9/2017: 
€48 million) and maintenance obligations amounting 
to €24 million (30/9/2017: €39 million), dismantling 
and removing obligations amounting to €20 million 
(30/9/2017: €30 million), as well as store-related risks 
totalling €15 million (30/9/2017: €43 million). 
The reversal in the amount of €19 million results 
predominantly from the reassessment of risks relating 
to lease liabilities and store-specific local risks. 
The largest component of the provisions for obliga-
tions from trade transactions are the other provisions 
from the products and services segment in the 
amount of € 17 million (30/9/2017: €16 million), these 
are predominantly provisions for risks from additional 
charges billed by suppliers.  
Other components are provisions for warranties 
amounting to €1 million (30/9/2017: €2 million) and 
provisions for unclaimed rebate credit balances total-
ling €1 million (30/9/2017: €1 million). €38 million were 
attributable to customer loyalty programmes in the 
previous year. The reduction in the provision for cus-
tomer loyalty programmes is essentially resultant from 
the reclassification of the hypermarket business into 
assets held for sale. 
The provisions for restructuring amount to 
€42 million (30/9/2017: €200 million). They concern  
METRO Wholesale Germany with €5 million (30/9/2017: 
€30 million), METRO Wholesale Western Europe  
(excluding Germany) with €5 million (30/9/2017: 
€15 million) and other provisions amounting to  
€32 million (30/9/2017: €93 million).  
Significant components of the other provisions  
include provisions for litigation costs/risks in the

METRO ANNUAL REPORT 2017/18 
188 
Notes 
 
Notes to the balance sheet 
amount of €49 million (30/9/2017: €58 million), provi-
sions for long-term remuneration components 
amounting to €36 million (30/9/2017: €28 million),  
as well as provisions for risks relating to guarantees 
and warranties amounting to €23 million (30/9/2017: 
€30 million). This item further includes provisions  
for severance payment obligations in the amount of 
€4 million (30/9/2017: €8 million) and interest on tax 
provisions amounting to €0 million (30/9/2017: 
€9 million). 
The reversal in the amount of €37 million predom-
inantly results from the short-term portion. It concerns  
a variety of circumstances for which the risk potential 
was reassessed. 
— For more information about the long-term  
remuneration components, see no. 50 –  
long-term incentive for executives. 
Transfers essentially concern reclassifications within 
other provisions. 
Depending on the respective term and country,  
interest rates for non-interest-bearing, non-current 
provisions range from 0.00% to 6.48%.  
 
 
35. Liabilities 
 
 
 
Remaining term 
Remaining term 
€ million 
30/9/2017
Total
 
up to 1 year
 
1 to 5 years
 
over 5 years
30/9/2018
Total
up to 1 year
1 to 5 years
 
over 5
years
Trade liabilities 
4,782
 
4,782
 
0
 
0
3,993 
3,993 
0 
0 
Bonds  
incl. commercial papers 
3,229
 
1,335
 
1,196
 
698
2,920 
1,026 
1,195 
699 
Liabilities to banks 
281
 
174
 
102
 
5
383 
318 
65 
0 
Promissory note loans 
64
 
10
 
54
 
0
55 
1 
54 
0 
Liabilities  
from finance leases 
1,132
 
92
 
378
 
661
652 
74 
213 
365 
Financial liabilites 
4,706
 
1,611
 
1,730
 
1,364
4,010 
1,420 
1,526 
1,063 
Payroll liabilities 
549
 
549
 
0
 
0
450 
449 
0 
0 
Liabilities  
from other  
financial transactions 
16
 
16
 
0
 
0
6 
6 
0 
0 
Miscellaneous  
other financial liabilities 
449
 
382
 
12
 
55
345 
289 
4 
52 
Other financial liabilities 
1,014
 
947
 
12
 
55
801 
744 
4 
52 
Prepayments  
received on orders 
24
 
24
 
0
 
0
32 
32 
0 
0 
Deferred income 
219
 
140
 
47
 
32
170 
124 
12 
34 
Other tax liabilities 
170
 
170
 
0
 
0
195 
195 
0 
0 
Miscellaneous  
other liabilities 
80
 
64
 
1
 
14
61 
41 
4 
16 
Other liabilities 
493
 
398
 
48
 
46
459 
392 
16 
50 
Income tax liabilities 
167
 
167
 
0
 
0
191 
191 
0 
0 
 
11,162
 
7,905
 
1,791
 
1,466
9,454 
6,741 
1,547 
1,166 
 
 
 
 
 
 
36. Trade liabilities  
Trade liabilities declined by €789 million, from  
€4,782 million to €3,993 million.  
The previous year’s figures include €782 million  
attributable to the hypermarket business to be dis-
posed of. 
Additionally, currency effects reduced the trade liabi-
lities by a further €128 million and were mainly result-
ant from the Turkish lira (€72 million) and the Russian 
rouble (€37 million). The increase after currency  
effects amounts to €121 million and is predominantly 
attributable to modified payment terms and increased 
purchasing volumes in a number of different countries.

METRO ANNUAL REPORT 2017/18 
189
Notes 
 
Notes to the balance sheet 
37. Financial liabilities 
The company’s medium-term and long-term financing 
needs are covered by an ongoing capital market bond 
programme with a maximum volume of €5 billion.  
On 13 February 2018, the remaining due amount of a 
maturing bond in the amount of €50 million with a 
coupon of 3.5% and on 11 May 2018, a maturing bond 
of €500 million with a coupon of 2.25% were repaid 
on time. On 6 March 2018, a bond of €500 million was 
placed with a coupon of 1.125%. By 30 September 2018, 
€2.401 billion of the bond issuance programme had 
been utilised up to. 
Short-term financing requirements are covered 
through the Euro Commercial Paper Programme with 
a maximum volume of €2 billion. On average, the pro-
gramme was used at €583 million during the report-
ing period. As of 30 September 2018, the utilisation 
amounted to €497 million (30/9/2017: €754 million). 
In addition, METRO has access to syndicated  
credit facilities totalling €1,750 million (30/9/2017:  
€1,750 million) with terms ending between 2021 and 
2023. If the credit facilities are used, the interest rates 
range between EURIBOR +50.0 basis points (BP) and 
EURIBOR +55.0 BP. As was the case in the previous 
year, the credit facilities were not utilised in financial 
year 2017/18. The contract terms for the syndicated 
credit facilities provide for a decrease of 10 BP in the 
spread if METRO’s credit rating is raised by one grade. 
In the event of a downgrade in METRO’s rating, the 
margins increase by 25 BP.  
As of 30 September 2018, METRO had access  
to additional bilateral bank credit facilities totalling  
€633 million (30/9/2017: €531 million), of which  
€318 million (30/9/2017: €174 million) had a remain-
ing term of up to one year. As of the closing date,  
€383 million of the bilateral credit facilities had  
been utilised (30/9/2017: €281 million), of which 
€318 million (30/9/2017: €174 million) had a remaining 
term of up to one year. As of the closing date, there 
were €250 million of free multi-year bilateral credit 
facilities available. 
 
 
 
  
  
  
  
  
  
UNDRAWN CREDIT FACILITIES AVAILABLE TO METRO 
 
30/9/2017 
30/9/2018 
 
 
Remaining term 
 
Remaining term 
€ million 
Total
up to 1 year
over 1 year
Total
up to 1 year  
over 1 year
Bilateral credit facilities 
531
174
357
633 
318 
315 
Utilisation 
–281
–174
–107
–383 
–318 
–65 
Undrawn bilateral credit facilities 
250
0
250
250 
0 
250 
Syndicated credit facilities  
1,750
0
1,750
1,750 
0 
1,750 
Utilisation 
0
0
0
0 
0 
0 
Undrawn syndicated credit facilities 
1,750
0
1,750
1,750 
0 
1,750 
Total credit facilities 
2,281
174
2,107
2,383 
318 
2,065 
Total utilisation 
–281
–174
–107
–383 
–318 
–65 
Total undrawn credit facilities 
2,000
0
2,000
2,000 
0 
2,000 
 
  
  
  
  
  
  
 
 
Default by a lender can be covered at any time by the 
existing undrawn credit facilities or the available money 
and capital market programmes. METRO therefore 
does not bear any creditor default risk. 
METRO principally does not provide collateral for 
financial liabilities. One exception concerns the first-
time consolidation of METRO PROPERTIES GmbH & 
Co. KG as well as its subsidiaries in 2003. As of  
30 September 2018, collateral securities in the amount 
of €13 million were provided for financial liabilities 
(30/9/2017: €28 million). The previous year’s figures 
include €15 million attributable to the hypermarket 
business to be disposed of. 
The following tables show the maturity structure of 
the financial liabilities. The carrying amounts and fair 
values indicated include the interest accrued when the 
maturity is less than one year.

METRO ANNUAL REPORT 2017/18 
190 
Notes 
 
Notes to the balance sheet 
 
 
 
 
BONDS INCLUDING COMMERCIAL PAPERS 
 
 
 
30/9/2017 
 
30/9/2018 
 
 
Nominal 
values
Nominal 
values
 
Carrying
amounts
Fair values
 
Nominal 
values
Nominal 
values
 
Carrying 
amounts
Fair values
Currency 
 
Remaining 
term
 
in million
currency
€ million
 
€ million
€ million
 
in million
currency
€ million
 
€ million
€ million
EUR 
up to 
1 year
 
1,304
1,304
 
1,335
–
 
997 
997 
 
1,026 
– 
 
1 to 5 years
 
1,200
1,200
 
1,196
–
 
1,200 
1,200 
 
1,195 
– 
 
over 5 years
 
701
701
 
698
–
 
701 
701 
 
699 
– 
 
 
3,205
3,205
 
3,229
3,297
 
2,898 
2,898 
 
2,920 
2,925 
 
  
  
  
  
  
  
  
  
  
 
 
LIABILITIES TO BANKS 
(excl. current account) 
 
30/9/2017 
30/9/2018 
 
Nominal 
values
 
Nominal 
values
Carrying
amounts
 
Fair values
Nominal 
values
Nominal 
values 
Carrying 
amounts
Fair Values
Currency 
 
Remaining 
term
in million
currency
 
€ million
€ million
 
€ million
in million
currency
€ million 
€ million
€ million
EUR 
up to 1 year
6
 
6
7
 
–
201 
201 
202 
– 
 
1 to 5 years
68
 
68
68
 
–
16 
16 
16 
– 
 
over 5 years
5
 
5
5
 
–
0 
0 
0 
– 
 
79
 
79
80
 
84
217 
217 
218 
218 
INR 
up to 1 year
2.771
 
36
36
 
–
1.150 
14 
14 
– 
 
1 to 5 years
2.200
 
29
29
 
–
2.700 
32 
32 
– 
 
over 5 years
0
 
0
0
 
–
0 
0 
0 
– 
 
4.971
 
65
65
 
65
3.850 
46 
46 
47 
JPY 
up to 1 year
3.370
 
25
25
 
–
970 
7 
7 
– 
 
1 to 5 years
795
 
6
6
 
–
2.225 
17 
17 
– 
 
over 5 years
0
 
0
0
 
–
0 
0 
0 
– 
 
4.165
 
31
31
 
31
3.195 
24 
24 
25 
MMK 
up to 1 year
0
 
0
0
 
0
15 
8 
8 
– 
 
1 to 5 years
0
 
0
0
 
0
0 
0 
0 
– 
 
over 5 years
0
 
0
0
 
0
0 
0 
0 
– 
0
 
0
0
 
0
15 
8 
8 
8 
UAH 
up to 1 year
0
 
0
0
 
0
950 
29 
29 
– 
 
1 to 5 years
0
 
0
0
 
0
0 
0 
0 
– 
 
over 5 years
0
 
0
0
 
0
0 
0 
0 
– 
 
0
 
0
0
 
0
950 
29 
29 
29

METRO ANNUAL REPORT 2017/18 
191
Notes 
 
Notes to the balance sheet 
 
 
 
 
PROMISSORY NOTE LOANS 
 
 
 
30/9/2017 
 
30/9/2018 
 
 
 
Nominal 
values
Nominal 
values
 
Carrying
amounts
Fair values
 
Nominal 
values
Nominal 
values
 
Carrying 
amounts
Fair values
Currency 
 
Remaining 
term
 
in million
currency
€ million
 
€ million
€ million
 
in million
currency
€ million
 
€ million
€ million
EUR 
up to 1 year
 
9
9
 
10
–
 
0 
0 
 
1 
– 
 
1 to 5 years
 
54
54
 
54
–
 
54 
54 
 
54 
– 
 
over 5 years
 
0
0
 
0
–
 
0 
0 
 
0 
– 
 
 
63
63
 
64
72
 
54 
54 
 
55 
61 
 
  
  
  
  
  
  
  
  
  
 
Redeemable loans that are shown under liabilities to 
banks are listed with the remaining terms correspond-
ing to their redemption date.  
The following tables show the interest rate structure  
of the financial liabilities: 
 
 
 
  
  
  
  
BONDS INCLUDING COMMERCIAL PAPERS 
 
 
 
30/9/2017 
30/9/2018 
Interest terms 
Currency
Remaining term
Nominal values 
€ million
Nominal values 
€ million
Fixed interest 
EUR 
 up to 1 year 
550
500 
 
 
 1 to 5 years 
1,200
1,200 
 
 
 over 5 years 
701
701 
Variable interest 
EUR 
 up to 1 year 
754
497 
 
 
 1 to 5 years 
0
0 
 
 
 over 5 years 
0
0

METRO ANNUAL REPORT 2017/18 
192 
Notes 
 
Notes to the balance sheet 
 
LIABILITIES TO BANKS  
(excl. current account) 
  
30/9/2017 
 
30/9/2018 
Interest terms 
  
Currency  
Remaining term   
Nominal values 
€ million  
Nominal values 
€ million
Fixed interest 
  
EUR  
up to 1 year   
6  
201 
1 to 5 years   
68  
16 
  
over 5 years   
5  
0 
INR  
up to 1 year   
36  
14 
1 to 5 years   
29  
32 
  
over 5 years   
0  
0 
MMK  
up to 1 year   
0  
8 
1 to 5 years   
0  
0 
  
over 5 years   
0  
0 
UAH  
up to 1 year   
0  
29 
1 to 5 years   
0  
0 
  
over 5 years   
0  
0 
Variable interest 
  
JPY  
up to 1 year   
25  
7 
1 to 5 years   
6  
17 
over 5 years   
0  
0 
 
 
 
 
PROMISSORY NOTE LOANS 
 
 
 
 
 
30/9/2017 
30/9/2018 
Interest terms 
 
Currency
Remaining term
 
Nominal values 
€ million
Nominal values 
€ million
Fixed interest 
 
EUR
up to 1 year
 
9
0 
 
 
1 to 5 years
 
54
54 
 
 
over 5 years
 
0
0 
Variable interest 
 
EUR
up to 1 year
 
0
0 
 
 
1 to 5 years
 
0
0 
 
 
over 5 years
 
0
0 
 
 
 
 
The fixed interest rate on short- and medium-term 
financial liabilities and the interest rate adjustment 
dates of all fixed-interest financial liabilities are essen-
tially the same as those shown. The repricing dates  
for variable interest rates are less than one year. 
— The effects of interest rate changes in the variable  
share of financial liabilities on profit or loss for the 
period and the equity of METRO are described in  
detail in no. 44 – management of financial risks.

METRO ANNUAL REPORT 2017/18 
193
Notes 
 
Notes to the balance sheet 
38. Other financial and  
other non-financial liabilities 
Key items in miscellaneous other financial liabilities 
concern liabilities from the purchase of other fixed 
assets in the amount of €137 million (30/9/2017:  
€215 million), liabilities to customers in the amount of 
€44 million (30/9/2017: €47 million), liabilities from 
put options of non-controlling shareholders in the 
amount of €64 million (30/9/2017: €56 million) as  
well as liabilities from real estate totalling €5 million 
(30/9/2017: €11 million).  
In addition, miscellaneous other financial liabilities 
also include numerous other individual items.  
The previous year’s figures for the other financial 
liabilities include €122 million attributable to the  
hypermarket business to be disposed of. 
Other tax liabilities include sales tax, land tax, wage 
and church tax as well as other taxes. 
Deferred income includes accrued rental, leasing 
and interest income as well as accrued sales from 
customer loyalty programmes, the sale of vouchers 
and other accruals. 
Material items in miscellaneous other non-financial 
liabilities include prepayments received on orders  
of €32 million (30/9/2017: €24 million) and lease  
liabilities (excluding finance leases) amounting to 
€21 million (30/9/2017: €17 million).  
The previous year’s figures include €71 million  
attributable to the hypermarket business to be dis-
posed of. 
 
 
 
30/9/2017 
30/9/2018 
 
 
Remaining term 
 
 
Remaining term 
€ million 
 
Total
up to 1 year
 
over 1 year
Total
 
up to 1 year
over 1 year
Payroll liabilities 
 
549
549
 
0
450 
 
449 
0 
Miscellaneous  
other financial liabilities 
 
465
398
 
67
351 
 
295 
56 
Other financial liabilities 
 
1,014
947
 
67
801 
 
744 
56 
Other tax liabilities 
 
170
170
 
0
195 
 
195 
0 
Deferred income 
 
219
140
 
79
170 
 
124 
47 
Miscellaneous  
other non-financial liabilities 
 
104
88
 
16
93 
 
73 
20 
Other  
non-financial liabilities 
 
493
398
 
95
459 
 
392 
67

METRO ANNUAL REPORT 2017/18 
194 
Notes 
 
Notes to the balance sheet 
39. Offsetting financial assets and  
financial liabilities 
Financial assets and financial liabilities that are subject 
to offsetting agreements, enforceable master netting 
arrangements and similar agreements were as follows: 
 
 
 
 
 
 
 
 
 
 
30/9/2017 
 
 
(a) 
 
(b) 
 
(c) = (a) – (b) 
 
(d) 
 
(e) = (c) – (d) 
 
 
Gross amounts 
of recognised 
financial 
assets/liabilities  
Gross amounts 
of recognised 
financial 
liabilities/assets 
that are netted 
in the  
balance sheet 
 
Net amounts  
of financial 
assets/liabilities 
that are shown 
in the  
balance sheet 
 
Corresponding amounts that  
are not netted in the balance sheet 
 
€ million 
 
 
 
 
Financial
instruments
 
Received/
provided
collateral
 
Net amount
Financial assets 
 
 
 
 
 
 
Loans and advance  
credit granted 
 
46
 
0
 
46
 
0
 
0
 
46
Receivables  
due from suppliers 
 
719
 
215
 
504
 
14
 
0
 
490
Trade receivables 
 
575
 
0
 
575
 
0
 
0
 
575
Investments 
 
39
 
0
 
39
 
0
 
0
 
39
Miscellaneous financial assets 
 
344
 
1
 
343
 
0
 
0
 
343
Derivative  
financial instruments 
 
6
 
0
 
6
 
1
 
0
 
5
Cash and cash equivalents 
 
1,559
 
0
 
1,559
 
0
 
0
 
1,559
Receivables  
from finance leases 
 
31
 
0
 
31
 
0
 
0
 
31
 
 
3,318
 
216
 
3,102
 
15
 
0
 
3,087
Financial liabilities 
 
 
 
 
 
 
Financial liabilities  
(excl. finance leases) 
 
3,575
 
0
 
3,575
 
0
 
0
 
3,575
Trade liabilities 
 
4,997
 
215
 
4,782
 
14
 
0
 
4,768
Miscellaneous  
financial liabilities 
 
1,000
 
1
 
999
 
0
 
0
 
999
Derivative  
financial instruments 
 
15
 
0
 
15
 
1
 
0
 
14
Liabilities from finance leases 
 
1,132
 
0
 
1,132
 
0
 
0
 
1,132
 
 
10,718
 
216
 
10,502
 
15
 
0
 
10,487

METRO ANNUAL REPORT 2017/18 
195
Notes 
 
Notes to the balance sheet 
 
 
 
 
 
 
 
 
30/9/2018 
 
 
(a) 
 
(b) 
 
(c) = (a) – (b) 
 
(d) 
 
(e) = (c) – (d) 
 
 
Gross amounts 
of recognised 
financial 
assets/liabilities 
 
Gross amounts 
of recognised 
financial 
liabilities/assets 
that are  
netted in the  
balance sheet 
 
Net amounts  
of financial 
assets/liabilities 
that are  
shown in the  
balance sheet 
 
Corresponding amounts that  
are not netted in the balance sheet
 
 
€ million 
 
 
 
 
Financial
instruments
 
Received/
provided
collateral
 
Net amount
Financial assets 
 
 
 
 
 
 
 
 
 
 
 
 
Loans and advance  
credit granted 
 
33 
 
0 
 
33 
 
0 
 
0 
 
33 
Receivables  
due from suppliers 
 
521 
 
193 
 
328 
 
46 
 
0 
 
282 
Trade receivables 
 
571 
 
0 
 
571 
 
0 
 
0 
 
571 
Investments 
 
48 
 
0 
 
48 
 
0 
 
0 
 
48 
Miscellaneous financial assets 
 
240 
 
0 
 
240 
 
0 
 
0 
 
240 
Derivative  
financial instruments 
 
11 
 
0 
 
11 
 
1 
 
0 
 
10 
Cash and cash equivalents 
 
1,298 
 
0 
 
1,298 
 
0 
 
0 
 
1,298 
Receivables  
from finance leases 
 
29 
 
0 
 
29 
 
0 
 
0 
 
29 
 
 
2,751 
 
193 
 
2,558 
 
46 
 
0 
 
2,512 
Financial liabilities 
 
 
 
 
 
 
 
 
 
 
 
 
Financial liabilities  
(excl. finance leases) 
 
3,359 
 
0 
 
3,359 
 
0 
 
0 
 
3,359 
Trade liabilities 
 
4,186 
 
193 
 
3,993 
 
46 
 
0 
 
3,948 
Miscellaneous  
financial liabilities 
 
796 
 
0 
 
796 
 
0 
 
0 
 
796 
Derivative  
financial instruments 
 
5 
 
0 
 
5 
 
1 
 
0 
 
4 
Liabilities from finance leases 
 
652 
 
0 
 
652 
 
0 
 
0 
 
652 
 
 
8,997 
 
193 
 
8,804 
 
46 
 
0 
 
8,758 
 
 
 
 
 
 
 
The amounts that are not netted in the balance sheet 
include both financial instruments and collateral. The 
financial instruments that have not been netted could 
be netted based on the underlying framework agree-
ments, but do not fulfil the netting criteria of IAS 32 
(Financial Instruments: Presentation). Collateral may 
include both financial assets provided as collateral for 
liabilities to third parties and financial liabilities which 
METRO has received from a third party as collateral 
for assets.  
— For more information about collateral,  
see no. 44 – management of financial risks.

METRO ANNUAL REPORT 2017/18 
196 
Notes 
 
Notes to the balance sheet 
40. Undiscounted cash flows  
of financial liabilities 
The undiscounted cash flows of financial liabilities, 
trade liabilities and derivative liabilities are as follows: 
 
 
 
 
 
  
  
  
  
  
  
  
 
Cash flows up to 1 year 
Cash flows of 1 to 5 years 
Cash flows over 5 years 
€ million 
Carrying 
amount 
30/9/2017
Interest
Redemption
Interest
Redemption
Interest
Redemption
Financial liabilities 
Bonds  
including commercial papers 
3,229
45
1,304
122
1,200
41
701
Liabilities to banks 
281
4
173
7
103
0
5
Promissory note loans 
64
3
9
9
54
0
0
Bills of exchange liabilities 
0
0
0
0
0
0
0
Finance leases 
1,132
74
92
242
378
242
661
Trade liabilities 
4,782
0
4,782
0
0
0
0
Interest-based derivatives 
carried as liabilities 
0
0
0
0
0
0
0
Currency derivatives  
carried as liabilities 
15
0
15
0
0
0
0
Commodity derivatives 
carried as liabilities 
0
0
0
0
0
0
0
 
  
  
  
  
  
  
  
 
 
 
  
  
  
  
  
  
  
 
Cash flows up to 1 year 
Cash flows of 1 to 5 years 
Cash flows over 5 years 
€ million 
Carrying 
amount 
 30/9/2018
Interest  
Redemption
Interest
Redemption
Interest
Redemption
Financial liabilities 
 
 
 
 
 
 
 
Bonds  
including commercial papers 
2,920 
50 
997 
109 
1,200 
28 
701 
Liabilities to banks 
383 
1 
317 
2 
65 
0 
0 
Promissory note loans 
55 
2 
0 
7 
54 
0 
0 
Bills of exchange liabilities 
0 
0 
0 
0 
0 
0 
0 
Finance leases 
652 
52 
74 
161 
213 
153 
365 
Trade liabilities 
3,993 
0 
3,993 
0 
0 
0 
0 
Interest-based derivatives 
carried as liabilities 
0 
0 
0 
0 
0 
0 
0 
Currency derivatives  
carried as liabilities 
5 
0 
5 
0 
0 
0 
0 
Commodity derivatives 
carried as liabilities 
0 
0 
0 
0 
0 
0 
0

METRO ANNUAL REPORT 2017/18 
197
Notes 
 
Notes to the balance sheet 
41. Carrying amounts and fair values according  
to measurement categories 
The carrying amounts and fair values of recognised 
financial instruments are as follows:
 
 
 
 30/9/2017 
 
 
 Balance sheet value 
 
€ million 
 
Carrying
amount
 
(Amortised)
cost
 
Fair value
through
profit or loss
 
Fair value
outside of
profit or loss
 
Fair value
Assets 
 
15,779
 
N/A
 
N/A
 
N/A
 
N/A
Loans and receivables 
 
1,466
 
1,466
 
0
 
0
 
1,470
Loans and advance credit granted 
 
46
 
46
 
0
 
0
 
47
Receivables due from suppliers 
 
504
 
504
 
0
 
0
 
504
Trade receivables 
 
575
 
575
 
0
 
0
 
575
Miscellaneous financial assets 
 
342
 
342
 
0
 
0
 
344
Held to maturity 
 
0
 
0
 
0
 
0
 
0
Miscellaneous financial assets 
 
0
 
0
 
0
 
0
 
0
Held for trading 
 
4
 
0
 
4
 
0
 
4
Derivative financial instruments not in a 
hedging relationship according to IAS 39 
 
4
 
0
 
4
 
0
 
4
Available for sale 
 
41
 
16
 
0
 
24
 
N/A
Investments 
 
39
 
16
 
0
 
23
 
N/A
Securities 
 
1
 
0
 
0
 
1
 
1
Derivative financial instruments  
in a hedging relationship according to IAS 39 
 
2
 
0
 
0
 
2
 
2
Cash and cash equivalents 
 
1,559
 
1,559
 
0
 
0
 
1,559
Receivables from finance leases  
(amount according to IAS 17) 
 
31
 
N/A
 
N/A
 
N/A
 
43
Assets not classified according to IFRS 7 
 
12,677
 
N/A
 
N/A
 
N/A
 
N/A
Equity and liabilities 
 
15,779
 
N/A
 
N/A
 
N/A
 
N/A
Held for trading 
 
8
 
0
 
8
 
0
 
8
Derivative financial instruments not in a 
hedging relationship according to IAS 39 
 
8
 
0
 
8
 
0
 
8
Other financial liabilities 
 
9,355
 
9,355
 
0
 
0
 
9,437
Financial liabilities excl. finance leases  
(incl. hedged items in hedging  
relationships according to IAS 39) 
 
3,575
 
3,575
 
0
 
0
 
3,656
Trade liabilities 
 
4,782
 
4,782
 
0
 
0
 
4,782
Miscellaneous financial liabilities 
 
999
 
999
 
0
 
0
 
999
Derivative financial instruments  
in a hedging relationship according to IAS 39 
 
7
 
0
 
0
 
7
 
7
Liabilities from finance leases  
(amount according to IAS 17) 
 
1,132
 
N/A
 
N/A
 
N/A
 
1,411
Liabilities not classified according to IFRS 7 
 
5,278
 
N/A
 
N/A
 
N/A
 
N/A

METRO ANNUAL REPORT 2017/18 
Notes 
 
Notes to the balance sheet 
198 
 
 
 
 
 
 
 
30/9/2018 
 
 
 
Balance sheet value 
 
€ million 
 
Carrying
amount
 
(Amortised)
cost
 
Fair value
through
profit or loss
 
Fair value
outside of
profit or loss
 
Fair value
Assets 
 
15,242 
 
N/A 
 
N/A 
 
N/A 
 
N/A 
Loans and receivables 
 
1,170 
 
1,170 
 
0 
 
0 
 
1,177 
Loans and advance credit granted 
 
33 
 
33 
 
0 
 
0 
 
32 
Receivables due from suppliers 
 
328 
 
328 
 
0 
 
0 
 
328 
Trade receivables 
 
571 
 
571 
 
0 
 
0 
 
571 
Miscellaneous financial assets 
 
238 
 
238 
 
0 
 
0 
 
246 
Held to maturity 
 
0 
 
0 
 
0 
 
0 
 
0 
Miscellaneous financial assets 
 
0 
 
0 
 
0 
 
0 
 
0 
Held for trading 
 
7 
 
0 
 
7 
 
0 
 
7 
Derivative financial instruments not in a 
hedging relationship according to IAS 39 
 
7 
 
0 
 
7 
 
0 
 
7 
Available for sale 
 
49 
 
2 
 
0 
 
47 
 
N/A 
Investments 
 
48 
 
2 
 
0 
 
46 
 
N/A 
Securities 
 
1 
 
0 
 
0 
 
1 
 
1 
Derivative financial instruments  
in a hedging relationship according to IAS 39 
 
4 
 
0 
 
0 
 
4 
 
4 
Cash and cash equivalents 
 
1,298 
 
1,298 
 
0 
 
0 
 
1,298 
Receivables from finance leases  
(amount according to IAS 17) 
 
29 
 
N/A 
 
N/A 
 
N/A 
 
37 
Assets not classified according to IFRS 7 
 
12,684 
 
N/A 
 
N/A 
 
N/A 
 
N/A 
Equity and liabilities 
 
15,242 
 
N/A 
 
N/A 
 
N/A 
 
N/A 
held for trading 
 
4 
 
0 
 
4 
 
0 
 
4 
Derivative financial instruments not in a 
hedging relationship according to IAS 39 
 
4 
 
0 
 
4 
 
0 
 
4 
Other financial liabilities 
 
8,148 
 
8,148 
 
0 
 
0 
 
8,161 
Financial liabilities excl. finance leases  
(incl. hedged items in hedging  
relationships according to IAS 39) 
 
3,359 
 
3,359 
 
0 
 
0 
 
3,372 
Trade liabilities 
 
3,993 
 
3,993 
 
0 
 
0 
 
3,993 
Miscellaneous financial liabilities 
 
796 
 
796 
 
0 
 
0 
 
796 
Derivative financial instruments  
in a hedging relationship according to IAS 39 
 
1 
 
0 
 
0 
 
1 
 
1 
Liabilities from finance leases  
(amount according to IAS 17) 
 
652 
 
N/A 
 
N/A 
 
N/A 
 
854 
Liabilities not classified according to IFRS 7 
 
6,438 
 
N/A 
 
N/A 
 
N/A 
 
N/A

METRO ANNUAL REPORT 2017/18 
199
Notes 
 
Notes to the balance sheet 
Classes were formed based on similar risks for the 
respective financial instruments and correspond to the 
categories of IAS 39. Derivative financial instruments 
in a hedging relationship under IAS 39 and other  
financial liabilities are classified in each case in a separ-
ate class. 
The fair value hierarchy comprises 3 levels which 
reflect the degree of closeness to the market of the 
input parameters used in the determination of the fair 
values. In cases in which the valuation is based on 
different input parameters, the fair value is attributed 
to the hierarchy level corresponding to the input  
parameter of the lowest level that is significant for the 
valuation.  
Input parameters for level 1: quoted prices (that  
are adopted unchanged) in active markets for identical 
assets or liabilities which the company can access at 
the valuation date. 
Input parameters for level 2: other input parame-
ters than the quoted prices included in level 1 which 
are either directly or indirectly observable for the 
asset or liability. 
Input parameters for level 3: input parameters that 
are not observable for the asset or liability. 
Of the total carrying value of investments amounting 
to €48 million (30/9/2017: €39 million), €2 million 
(30/9/2017: €16 million) are measured at their cost of 
purchase as their fair value cannot be reliably deter-
mined. These concern off-exchange financial instruments 
without an active market. The company currently does 
not plan to dispose of the investments recognised at 
historical cost. The remaining investments amounting 
to €46 million (30/9/2017: €23 million) are recognised 
at fair value in equity. 
In addition, securities totalling €1 million (30/9/2017: 
€1 million) are recognised outside of profit or loss. 
These primarily concern highly liquid exchange-listed 
money market funds. 
The earn-out liability in the amount of €6 million 
which incurred in relation to Classic Fine Foods was 
reversed through profit or loss in the reporting year. 
As of the closing date, there were no earn-out liabili-
ties (30/9/2017: €6 million).   
The following table depicts the financial instruments 
that are recognised at fair value in the balance sheet. 
These are classified into a 3-level fair value hierarchy 
whose levels reflect the degree of closeness to the 
market of the data used in the determination of the 
fair values:

METRO ANNUAL REPORT 2017/18 
Notes 
 
Notes to the balance sheet 
200 
 
  
  
  
  
  
  
  
  
 
30/9/2017 
30/9/2018 
€ million 
Total
 
Level 1
 
Level 2
 
Level 3
Total 
Level 1 
Level 2 
Level 3
Assets 
30
 
1
 
29
 
0
58 
1 
57 
0 
Held for trading 
 
 
 
 
 
 
 
Derivative 
financial 
instruments  
not in a hedging 
relationship 
according to  
IAS 39 
4
 
0
 
4
 
0
7 
0 
7 
0 
Available for sale 
 
 
 
 
 
 
 
Investments 
23
 
0
 
23
 
0
46 
0 
46 
0 
Securities 
1
 
1
 
0
 
0
1 
1 
0 
0 
Derivative financial 
instruments in a 
hedging relationship 
according to IAS 39 
2
 
0
 
2
 
0
4 
0 
4 
0 
Equity and liabilities 
15
 
0
 
15
 
0
5 
0 
5 
0 
Held for trading 
 
 
 
 
 
 
 
Derivative 
financial 
instruments  
not in a hedging 
relationship 
according to  
IAS 39 
8
 
0
 
8
 
0
4 
0 
4 
0 
Miscellaneous 
financial liabilities 
0
 
0
 
0
 
0
0 
0 
0 
0 
Other  
financial liabilities 
 
 
 
 
 
 
 
Miscellaneous 
financial liabilities 
0
 
0
 
0
 
0
0 
0 
0 
0 
Derivative financial 
instruments in a 
hedging relationship 
according to IAS 39 
7
 
0
 
7
 
0
1 
0 
1 
0 
 
15
 
1
 
14
 
0
53 
1 
52 
0 
 
  
  
  
  
  
  
  
  
 
The measurement of securities (level 1) is carried out 
based on quoted market prices in active markets. 
Interest rate swaps and currency transactions (all 
level 2) are measured using the mark-to-market meth-
od based on quoted exchange rates and market yield 
curves.  
No transfers between levels 1 and 2 were effected 
during the reporting period. 
Financial instruments that are recognised at amor-
tised cost in the balance sheet, but for which the fair 
value is stated in the notes, are also classified accord-
ing to a 3-level fair value hierarchy. 
Due to their mostly short terms, the fair values of 
receivables due from suppliers, trade receivables and 
liabilities as well as cash and cash equivalents essen-
tially correspond to their carrying amounts. 
The measurement of the fair value of bonds includ-
ing commercial papers, liabilities to banks and promis-
sory note loans is based on the market interest rate 
curve following the zero-coupon method in considera-
tion of credit spreads (level 2). The amounts comprise 
the interest prorated to the closing date. 
The fair values of all other financial assets and lia-
bilities that are not listed on an exchange correspond 
to the present value of payments underlying these 
balance sheet items. The calculation was based on the 
applicable country-specific yield curve (level 2) as of 
the closing date.

METRO ANNUAL REPORT 2017/18 
201
Notes 
 
Other notes 
OTHER NOTES 
42. Notes to the cash flow statement  
In accordance with IAS 7 (Statement of Cash Flows), 
the consolidated cash flow statement describes 
changes in the group’s cash and cash equivalents 
through cash inflows and outflows during the report-
ing period. 
The item cash and cash equivalents includes 
cheques and cash on hand as well as cash in transit 
and bank deposits with a remaining term of up to  
3 months.  
The cash flow statement distinguishes between 
changes in cash levels from operating, investing and 
financing activities. Cash flows from discontinued 
operations are reported separately where they con-
cern discontinued business operations.  
Cash flows from discontinued operations concern 
the hypermarket business to be disposed of.  
The following explanations relate to continuing  
operations. 
During the reporting period, cash flows from operat-
ing activities amounted to €874 million (2016/17: 
€851 million). Depreciation/amortisation/impairment 
losses of €453 million (2016/17: €499 million) are  
attributable to property, plant and equipment, 
€93 million (2016/17: €83 million) are attributable to 
other intangible assets, €0 million (2016/17: €19 mil-
lion) to goodwill and €6 million (2016/17: €10 million) 
to investment properties. This stands in contrast  
to reversals of impairment losses in the amount of  
€4 million (2016/17: €3 million). 
The change in net working capital amounts to  
€179 million (2016/17: €–34 million) and includes 
changes in inventories, trade receivables and receivables 
due from suppliers, included in the item other financial 
assets. Furthermore, it includes changes in trade liabil-
ities. The improved cash flows generated by the net 
working capital are predominantly attributable to the 
METRO Wholesale Russia and Asia segments. 
Other operating activities resulted in a total cash  
outflow of €69 million (2016/17: cash outflow of 
€45 million). This item includes other taxes, payroll 
liabilities, changes in other assets and liabilities as well 
as deferred income and prepaid expenses. In addition, 
it includes changes in the assets and liabilities held  
for sale, adjustments of unrealised currency effects 
and the reclassification of deconsolidation results 
recognised in EBIT.  
In the reporting period, investing activities led to 
cash outflow in the amount of €296 million (2016/17: 
cash outflow of €457 million).  
The cash inflows from disposals of subsidiaries  
in the amount of €33 million relate especiallyto pay-
ment receipts for the Chinese property companies 
disposed of in the previous year. In the previous year, 
this item included outgoing cash from the disposals  
of subsidiaries Real Hyper Magazine and the 2 Chinese 
property companies.  
The amount of investments in property, plant and 
equipment shown as cash outflows differs from  
the additions shown in the asset reconciliation in the 
amount of non-cash transactions. These essentially 
concern additions from finance leases, currency effects 
and changes in liabilities from the acquisition of miscel-
laneous other assets.  
The financial investments comprise bank deposits 
with a residual term of more than 3 months to 1 year, 
as well as near money market investments that are not 
classified as cash and cash equivalents, such as short-
term, liquid debt instruments and shares in money 
market funds. The balance of capital expenditure  
in financial investments and the disposal for financial 
investments amounts to €0 million (2016/17: cash  
inflow of €103 million).  
In the reporting period, cash flow from financing 
activities totalled €581 million (2016/17: cash outflow 
of €375 million).  
Cash and cash equivalents in the amount of  
€1 million (2016/17: €33 million) were affected by  
restrictions on title.

METRO ANNUAL REPORT 2017/18 
202 
Notes 
 
Other notes 
 
 
 
RECONCILIATION OF THE CASH FLOW FROM FINANCIAL LIABILITIES  
TO THE CHANGE IN FINANCIAL LIABILITIES REPORTED IN THE BALANCE SHEET 
€ million 
 
30/9/2017
Cash item
 
Additions to 
finance leases
Reclassification 
in accordance 
with IFRS 5
 
Exchange 
rate 
movements
30/9/2018
Bonds incl. commercial papers 
 
3,229
–309
 
0
0
 
0
2,920  
Liabilities to banks 
 
281
188
 
0
–65
 
–20
383  
Promissory note loans 
 
64
–9
 
0
0
 
0
55  
Liabilities from finance leases 
 
1,132
–128
 
145
–493
 
–4
652  
 
 
4,706
–259
 
145
–558
 
–24
4,010 
 
 
The cash flows from discontinued operations are  
derived as follows: 
 
 
€ million 
2016/17  
2017/18
EBIT  
19  
–83 
Depreciation/amortisation/ 
impairment losses/reversal of 
impairment losses of assets  
excl. financial investments 
149  
238 
Change in provisions for 
pensions and other provisions 
41  
–35 
Change in net working capital 
–10
 
–80 
Income taxes paid 
0
 
0 
Reclassification of gains (–) / 
losses (+) from the disposal  
of fixed assets 
–3
 
–6 
Other  
–20
 
–3 
Cash flow  
from operating activities  
of discontinued operations 
176
 
31 
 
 
 
€ million 
 
2016/17
2017/18
Acquisition of subsidiaries 
 
0  
–3 
Investments in property,  
plant and equipment  
(excluding finance leases) 
 
–127
–88 
Other investments 
 
–23
–10 
Acquisition of short-term 
financial investments 
 
–1
–1 
Disposals of subsidiaries 
 
0
0 
Disposal of fixed assets 
 
4
11 
Gains (+) / losses (–) from  
the disposal of fixed assets  
 
3
6 
Disposal of short-term  
financial investments 
 
0
0 
Cash flow  
from investment activities  
of discontinued operations 
 
–144
–85 
 
 
 
 
€ million 
 
2016/17
2017/18
Dividends paid 
 
 
to METRO AG shareholders 
 
0
0 
to other shareholders 
 
0
0 
Redemption of liabilities  
from put options  
of non-controlling interests 
 
0
0 
Proceeds from new borrowings 
 
0  
0 
Redemption of borrowings 
 
–31  
–48 
Interest paid 
 
–29
–25 
Interest received 
 
1
0 
Profit and loss transfers  
and other financing activities 
 
–4
–6 
Cash flow  
from financing activities  
of discontinued operations 
 
–63
–79

METRO ANNUAL REPORT 2017/18 
Notes 
 
Other notes 
203
43. Segment reporting  
The segmentation corresponds to the group’s internal 
controlling and reporting structures. Operating seg-
ments are aggregated to form reporting segments 
based on the division of the business into individual 
regions. Due to the different business concepts in-
volved, an additional differentiation was made between 
the business of METRO Wholesale and the business  
of Real. The individual regions are Germany, Western 
Europe (excluding Germany), Russia, Eastern Europe 
(excluding Russia) and Asia. The non-operational  
reporting units are aggregated in the Others segment, 
the regional segmentation is omitted.  
METRO Wholesale 
The business concept of METRO Wholesale is primar-
ily geared towards business customers. It is active  
in the self-service wholesale trade with the brands 
METRO and MAKRO as well as in the food service 
distribution (FSD) with the METRO delivery service 
and, among others, with the supply specialists  
Classic Fine Foods, Pro à Pro and Rungis Express. 
Real 
Real focuses on the retail business, turning its concept 
to end consumers. Real is a hypermarket operator in 
Germany, where it operates both physical stores and 
an online store. All stores offer a broad food assort-
ment with a large proportion of fresh produce that is 
complemented by a non-food assortment. Real forms 
the principal element of the discontinued business 
segment in the context of the Management Board’s 
decision to dispose of the hypermarket business and  
is disclosed in the segment reporting under discon-
tinued operations. Until reclassification of the figures 
at the end of the financial year, Real will represent a 
separate operating and reporting segment as internal 
management with respect to the allocation of in-house 
resources, and performance measurement by the 
Chief Operating Decision-Maker (member of the  
Management Board of METRO AG) is separately applied 
to Real. 
Others 
All other business activities do not constitute report-
able segments that are subject to change and are 
summarised under Others. Other business activities 
include the Hospitality Digital business unit, which 
bundles the group’s digitalisation initiatives. Other 
service companies including METRO PROPERTIES, 
METRO LOGISTICS, METRO-NOM, METRO ADVERTISING, 
METRO SOURCING and others provide group-wide 
services in the areas of real estate, logistics, infor-
mation technology, advertising and procurement. 
 
The key components of segment reporting are as 
follows: 
— External sales represent sales of the operating 
segments to third parties outside the group. 
— Internal sales represent sales between the group’s 
operating segments. These transactions are settled 
under normal market conditions. 
— Segment EBITDA comprises EBIT before deprecia-
tion and reversals of goodwill, impairment losses  
of property, plant and equipment, other intangible 
assets and investment properties. 
— The earnings contributions from real estate trans-
actions include the EBITDA-effective earnings from 
the disposal of land and land usage rights and/or 
buildings as part of a disposal transaction. Earnings 
from the disposal of dedicated real estate com-
panies or the disposal of shares in such companies 
capitalised at equity are, as a result of their com-
mercial substance, also included in the earnings 
contributions from real estate transactions. The 
earnings have been reduced by cost components 
incurred in relation to real estate transactions. 
— All earnings contributions from real estate transac-
tions are adjusted in the EBITDA excluding earn-
ings contributions from real estate transactions.  
— EBIT is the key ratio for segment reporting and 
describes operating earnings for the period before 
net financial result and income taxes. Intra-group 
rental contracts are shown as operating leases in 
the segments. The rental takes place under normal 
market conditions. The properties are leased at 
market terms. In principle, store-related risks and 
impairment risks related to non-current assets are 
only shown in the segments where they represent 
group risks. Similarly, this also applies to deferred 
assets and liabilities, which are only shown at seg-
ment level if this was also required in the consoli-
dated balance sheet. 
— Segment investments include additions (including 
additions to the consolidation groups) to goodwill, 
other intangible assets and property, plant and 
equipment and investment properties. Exceptions 
to this are additions due to the reclassification of 
assets held for sale as non-current assets. 
— The non-current segment assets include non-
current assets. They are exclusive of most financial 
assets, investments accounted for using the equity 
method, tax items, inventories, trade receivables, 
receivables due from suppliers, as well as cash and 
cash equivalents. 
— In principle, transfers between segments are  
made based on the costs incurred from the group’s 
perspective.

METRO ANNUAL REPORT 2017/18 
Notes 
 
Other notes 
204 
The reconciliation from non-current segment assets to 
non-current group assets is shown in the following 
table: For the reporting year, the non-current group 
assets only include the non-current assets attributable 
to METRO’s continuing operations. The assets of the 
hypermarket business to be disposed of, which the 
segment reporting still includes in the non-current 
segment assets must therefore be eliminated and 
become part of the reconciliation account:  
 
 
 
€ million 
30/9/2017
 
30/9/2018
Non-current segment assets 
8,512
 
8,196 
less non-current segment assets 
of the hypermarket business 
0
 
–1,289 
Financial assets  
92
 
88 
Investments accounted  
for using the equity method 
183
 
178 
Deferred tax assets 
439
 
365 
Other 
1
 
1 
Non-current group assets  
9,225
 
7,540 
 
 
44. Management of financial risks 
METRO Treasury manages the financial risks  
of METRO. Specifically, these include: 
— Price risks  
— Liquidity risks 
— Credit risks  
— Cash flow risks 
— For more information about the risk management  
system, see the combined management report –  
3 economic report – 3.2. asset, financial and  
earnings position – financial and asset position –  
financial management.  
Price risks 
For METRO, price risks result from the impact of 
changes in market interest rates, foreign currency  
exchange rates, share price fluctuations or changes in 
commodity prices on the value of financial instruments. 
Interest rate risks are caused by changes in interest 
rate levels. Interest rate derivatives are used to cap 
these risks. 
METRO’s remaining interest rate risk is assessed  
in accordance with IFRS 7 using a sensitivity analysis. 
In the process, the following assumptions are applied 
in the consideration of changes in interest rates: 
— The total impact determined by the sensitivity 
analysis relates to the actual balance as of the  
closing date and reflects the impact for 1 year. 
— Primary floating-rate financial instruments whose 
interest payments are not designated as the under-
lying transaction in a cash flow hedge against 
changes in interest rates are recognised in the  
interest result in the sensitivity analysis. The sensi-
tivity for a change of 10 basis points is determined 
due to the currently low level of interest rates.  
— Primary fixed-interest financial instruments are 
generally not recognised in the interest result. They 
are only recognised in other financial result if they 
are designated as the underlying transaction within 
a fair value hedge and measured at fair value. In 
this case, however, the interest-related change in 
the value of the underlying transaction is offset by 
the change in the value of the hedging transaction 
upon full effectiveness of the hedging transaction. 
The variable interest flows within the group that 
result from a fair value hedge are recognised in the 
interest result.  
— Financial instruments designated as the hedging 
transaction within a cash flow hedge to hedge 
against variable interest flows will only be recog-
nised in the interest result when the payment flows 
have actually been initiated. However, the meas-
urement of the hedging transaction at fair value  
is recognised in reserves retained from earnings 
outside of profit or loss.  
— Interest rate derivatives that are not part of a  
qualified hedging transaction under IAS 39 are 
recognised at fair value in profit or loss in other  
financial result and, through resulting interest 
flows, in the interest result.

METRO ANNUAL REPORT 2017/18 
Notes 
 
Other notes 
205
As of the closing date, METRO’s remaining interest 
rate risk is primarily the result of variable interest rate 
receivables and liabilities to banks as well as other 
short-term liquid financial assets (shown under cash 
and cash equivalents) with an aggregate debit  
balance after consideration of hedging transactions of  
€688 million (30/9/2017: €608 million). 
Given this total balance, an interest rate rise of  
10 basis points would result in €1 million (2016/17: 
€1 million) higher earnings in the interest result per 
year. An interest rate decrease of 10 basis points 
would have the opposite effect of €–1 million (2016/17: 
€–1 million).  
METRO faces currency risks in its international pro-
curement of merchandise and because of costs and 
financings that are incurred in a currency other than 
the relevant local currency or are pegged to the  
development of another currency. In accordance with 
the group guideline Foreign Currency Transactions, 
resulting foreign currency positions must be hedged. 
Exceptions to this hedging requirement exist where 
hedging is not economically reasonable and in the 
case of legal and regulatory restrictions in the respec-
tive countries. Forward currency contracts are used in 
the hedging. 
In line with IFRS 7, the presentation of the currency 
risk resulting from the exceptions is also based on  
a sensitivity analysis. In the process, the following  
assumptions are made in the consideration of a  
devaluation or revaluation of the euro vis-à-vis other 
currencies: 
In terms of its amount and result characteristic,  
the total effect presented by the sensitivity analysis 
relates to the amounts of foreign currency held within 
the consolidated subsidiaries of METRO and states  
the effect of a devaluation or revaluation of the euro. 
A devaluation of the euro will result in a positive 
effect if a receivable in the foreign currency exists at  
a subsidiary which uses the euro as its functional cur-
rency and if a liability in euros exists at a subsidiary 
which does not use the euro as its functional currency. 
The following table shows the nominal volumes of 
currency pairs in this category with a positive sign.  
A devaluation of the euro will result in a negative ef-
fect if a receivable in euros exists at a subsidiary which 
does not use the euro as its functional currency and if 
a liability in the foreign currency exists at a subsidiary 
which uses the euro as its functional currency. Corres-
pondingly, the following table shows the nominal  
volumes of currency pairs in this category with a neg-
ative sign.  
By contrast, an appreciation of the euro will have 
the opposite effect for all currency pairs shown above. 
In the sensitivity analysis, the effects of the meas-
urement of non-equity foreign currency positions that 
are calculated based on the closing date price in line 
with IAS 21 are recognised in the income statement. In 
the case of net investments in a foreign operation, the 
effects of the closing date measurement are recog-
nised in equity (other comprehensive income) outside 
of profit or loss. 
Foreign currency futures/options and interest rate 
and currency swaps that are not part of a qualified 
hedge under IAS 39 are recognised through the fair 
value measurement in the income statement. In fully 
effective hedging transactions, this effect is offset by 
the effect from the measurement of the underlying 
foreign currency transaction. 
In the consolidated financial statements, foreign 
currency future transactions are designated as hedg-
ing transactions within a cash flow hedge to hedge 
merchandise procurement and sales. Changes in the 
fair value of these hedging instruments are recognised 
in other comprehensive income until the underlying 
transaction is recognised through profit or loss. 
Effects from the currency translation of financial 
statements whose functional currency is not the  
reporting currency of METRO do not affect cash flows 
in local currency and are therefore not part of the 
sensitivity analysis. 
As of the closing date, the remaining currency  
risk of METRO, which is essentially due to an inability 
to hedge certain currencies for legal reasons or due  
to insufficient market depth, was as follows:

METRO ANNUAL REPORT 2017/18 
Notes 
 
Other notes 
206 
 
 
 
 
 
Impact of devaluation/revaluation of euro by 10% 
€ million 
Currency pair
 
Volume
30/9/2017
 
Volume
30/9/2018
Profit or loss for the period 
 
+/–
 
 
+/– 
 
CHF / €
 
+15
2
 
+11 
1 
 
CNY / €
 
+66
7
 
+33 
3 
 
CZK / €
 
+8
1
 
–17 
–2 
 
EGP / €
 
+22
2
 
+29 
3 
 
GBP / €
 
–7
–1
 
–7 
–1 
 
HKD / €
 
–16
–2
 
–18 
–2 
 
KZT / €
 
+4
0
 
+19 
2 
 
MDL / €
 
+7
1
 
+1 
0 
 
PLN / €
 
+5
1
 
+3 
0 
 
PKR / €
 
+16
2
 
+4 
0 
 
RON / €
 
0
0
 
-13 
-1 
 
RSD / €
 
+7
1
 
+11 
1 
 
RUB / €
 
+93
9
 
+12 
1 
 
TRY / €
 
+12
1
 
+11 
1 
 
UAH / €
 
+38
4
 
+37 
4 
 
USD / €
 
–30
–3
 
+16 
2 
Equity 
 
+/–
 
 
+/– 
 
CNY / €
 
+99
10
 
+101 
10 
 
CZK / €
 
-5
–1
 
–4 
0 
 
HUF / €
 
-5
–1
 
–4 
0 
 
KZT / €
 
+111
11
 
+117 
12 
 
PLN / €
 
+65
7
 
+68 
7 
 
RON / €
 
–6
–1
 
–7 
–1 
 
RSD / €
 
+16
2
 
+16 
2 
 
RUB / €
 
–20
–2
 
–19 
–2 
 
UAH / €
 
+242
24
 
+200 
20 
 
USD / €
 
+138
14
 
+101 
10 
 
 
 
 
Currency risks existing in addition to these are mainly 
the result of USD currency holdings in various subsid-
iaries in which the functional currency is not the US 
dollar or the euro. At a nominal volume measured in 
USD of €4 million (30/9/2017: €6 million), a devalua-
tion of the US dollar by 10% would result in positive 
effects of €0 million in profit or loss for the period 
(2016/17: €1 million); conversely, a revaluation of the 
US dollar would have negative effects of €0 million 
(2016/17: €1 million).  
With a nominal volume of €2 million (30/9/2017: 
€0 million), the currency pair MMK/USD accounts for 
the main share of this effect, while in the previous year 
the currency pair TRY/USD accounted for the largest 
share of this effect. 
Interest rate and currency risks are substantially re-
duced and limited by the principles laid down in the 
internal treasury guidelines of METRO. These include  
a regulation that is applicable throughout the group, 
whereby all hedging operations must adhere to prede-
fined limits and must not lead to increased risk expo-
sure under any circumstances. METRO is aware that 
this severely limits the opportunities to exploit current 
or expected interest rate and exchange rate move-
ments to optimise results.  
In addition, hedging may be carried out only with 
standard financial derivative instruments whose cor-
rect actuarial and accounting mapping and valuation 
in the treasury system are guaranteed.  
As of the closing date, the following derivative fi-
nancial instruments were being used for risk reduction:

METRO ANNUAL REPORT 2017/18 
Notes 
 
Other notes 
207
  
  
 
  
  
30/9/2017 
  
30/9/2018 
  
 Fair values 
  
  
Fair values 
€ million 
  
Nominal
volume1
 
Financial
assets  
Financial
liabilities   
Nominal 
volume1
 
Financial 
assets  
Financial
liabilities
Currency transactions 
  
  
  
   
  
 
  
 
  
Currency futures/options 
  
314  
6  
15   
390 
 
11 
 
5 
thereof within fair value hedges 
(0)  
(0)  
(0)   
(0) 
 
(0) 
 
(0) 
thereof within cash flow hedges 
(194)  
(2)  
(7)   
(164) 
 
(4) 
 
(1) 
thereof not part of hedges 
(120)  
(4)  
(8)   
(226) 
 
(7) 
 
(4) 
Interest rate/currency swaps  
  
0  
0  
0   
0 
 
0 
 
0 
thereof not part of hedges 
(0)  
(0)  
(0)   
(0) 
 
(0) 
 
(0) 
  
314  
6  
15   
390 
 
11 
 
5 
1 Nominal volumes with a positive prefix indicate a purchase of forward currency contracts. 
1 Nominal volumes with a negative prefix indicate a disposal of forward currency contracts. 
 
 
The nominal volume of forex futures/options and in-
terest limitation agreements results from the net posi-
tion of the buying and selling values in foreign 
currency underlying the individual transactions trans-
lated at the relevant exchange rate on the closing 
date. The nominal volume of interest rate swaps or 
interest rate/currency swaps and interest rate hedging 
agreements is shown on a gross basis.  
All fair values represent the theoretical value of 
these instruments upon dissolution of the transaction 
on the closing date. Under the premise that instru-
ments are held until the end of their term, these are 
unrealised gains and losses that, by the end of the 
term, will be fully set off by gains and losses from the 
underlying transactions in the case of fully effective 
hedging transactions. 
In order to appropriately show this reconciliation 
for the period, relationships are created between 
hedging transactions and underlying transactions and 
recognised as follows: 
— Within a fair value hedge, both the hedging trans-
action and the hedged risk of the underlying trans-
action are recognised at their fair value. The value 
fluctuations of both transactions are shown in the 
income statement, where they will be fully set off 
against each other in the case of full effectiveness. 
— Within a cash flow hedge, the hedging transactions 
are also principally recognised at their fair value.  
In the case of full effectiveness of the hedging 
transaction, the value changes will be recognised 
in equity until the hedged payment flows or ex-
pected transactions impact the earnings. Only then 
will they be recognised in the income statement. 
— Hedging transactions that, according to IAS 39,  
are not part of a hedge are recognised at their fair 
value. Value changes are recognised directly in  
the income statement. Even if no formal hedging 
relationship was created, these are hedging trans-
actions that are closely connected to the underly-
ing transaction and whose impact on earnings will 
be netted by the underlying transaction (natural 
hedge). 
Currency derivatives are used primarily for Chinese 
renminbi, Hong Kong dollar, Japanese yen, Polish złoty, 
Romanian leu, Russian rouble, Swiss franc, Czech koruna, 
Hungarian forint and US dollar.

METRO ANNUAL REPORT 2017/18 
Notes 
 
Other notes 
208 
The derivative financial instruments have  
the following maturities: 
 
 
 
 
30/9/2017  
 
30/9/2018 
 
 
Fair values 
 
Fair values 
 
 
Maturities 
 
Maturities  
€ million 
 
up to 1 year
1 to 5 years
over 5 years
 
up to 1 year
1 to 5 years
over 5 years
Currency transactions 
 
 
 
 
 
Currency futures/options  
 
–9
0
0
 
6 
0 
0 
thereof within fair value hedges 
(0)
(0)
(0)
 
(0) 
(0) 
(0) 
thereof within cash flow hedges 
(–5)
(0)
(0)
 
(3) 
(0) 
(0) 
thereof not part of hedges 
(–4)
(0)
(0)
 
(3) 
(0) 
(0) 
Interest rate/currency swaps  
 
0
0
0
 
0 
0 
0 
thereof not part of hedges 
(0)
(0)
(0)
 
(0) 
(0) 
(0) 
 
 
–9
0
0
 
6 
0 
0 
 
 
 
 
Listed below the maturities are the fair values of the 
financial assets and liabilities that are due during these 
periods. 
The repricing dates for variable interest rates are 
less than 1 year. 
Liquidity risks 
Liquidity risk describes the risk of being unable to 
procure or provide funding or being able to only pro-
cure or provide funding at a higher cost. Liquidity risks 
may arise, for example, as a result of temporary capital 
market disruptions, creditor defaults, insufficient cred-
it facilities or the absence of budgeted incoming pay-
ments. METRO AG acts as financial coordinator for 
METRO companies to ensure that they are provided 
with the necessary financing to fund their operating 
and investing activities at all times and in the most 
cost-efficient manner possible. The necessary infor-
mation is provided by means of a group financial plan, 
which is updated monthly and checked monthly for 
deviations. This financial plan is complemented by a 
weekly rolling 14-day liquidity plan. 
Instruments used for financing purposes include 
money and capital market products (time deposits, 
call money, promissory note loans, commercial papers 
and listed bonds sold as part of ongoing capital mar-
ket programmes) as well as bilateral and syndicated 
loans. METRO has a sufficient liquidity reserve so that 
there is no danger of liquidity risks even if an unex-
pected event has a negative financial impact on the 
company’s liquidity situation. For more information 
about the instruments used for financing purposes 
and credit facilities, see the explanatory notes to the 
respective balance sheet items.  
— For more information see no. 30 – cash and  
cash equivalents as well as no. 37 – financial liabilities.  
Intra-group cash pooling allows the surplus liquidity of 
individual group companies to be used for providing 
internal finance to other group companies. This reduc-
es the group’s amount of debt and thus its interest 
expenses. In addition, METRO AG draws on the finan-
cial expertise pooled in the treasury of METRO AG  
to advise the group companies in all relevant financial 
matters and provide support. This ranges from the 
elaboration of investment financing concepts to sup-
porting the responsible financial officers of the indi-
vidual group companies in their discussions with local 
banks and financial service providers. This ensures,  
on the one hand, that the financial resources of METRO 
are optimally employed, and, on the other, that all 
group companies benefit from the strength and credit 
standing of METRO in negotiating their financing 
terms. 
Credit risks 
Credit risks arise from the total or partial default by a 
counterparty, for example, through bankruptcy or in 
connection with monetary investments and derivative 
financial instruments with positive market values. 
METRO’s maximum default exposure as of the closing 
date is reflected by the carrying amount of financial 
assets totalling €2,558 million (30/9/2017: 
€3,102 million).  
— For more information about the amount of the  
respective carrying amounts, see no. 41 – carrying 
amounts and fair values according to measurement  
categories.

METRO ANNUAL REPORT 2017/18 
Notes 
 
Other notes 
209
Cash on hand considered in cash and cash equivalents 
totalling €25 million (30/9/2017: €55 million) is not 
exposed to any default risk. 
As part of the risk management for financial  
investments in the total amount of €1,205 million 
(30/9/2017: €1,407 million) and derivative financial 
instruments in the total amount of €11 million (30/9/2017: 
€6 million), minimum creditworthiness requirements 
and individual maximum exposure limits for the engage-
ment have been defined for all business partners  
of METRO. Cheques and money in circulation are not 
considered in the determination of creditworthiness 
risks. This is based on a system of limits laid down in 
the treasury guidelines, which are based mainly on the 
ratings of international rating agencies, developments 
of credit default swaps or internal credit assessments. 
An individual limit is allocated to every counterparty 
of METRO; compliance is constantly monitored by the 
treasury systems. 
The following table shows a breakdown of counter-
parties by rating class: 
 
 
Rating classes 
Volume in % 
 
 
 
 
Financial investments 
 
 
 
 
Grade 
Standard & 
Poor’s
 
Moody’s
Germany
 
Western
Europe
excl.
Germany
Russia
 
Eastern 
Europe excl. 
Russia 
Asia and 
others
 
Derivatives 
with 
positive 
market 
values
Total
Investment 
grade 
AAA  
Aaa 
0.0
 
0.0
0.0
 
0.0
0.0
 
0.0
 
AA+ to 
AA–  
Aa1 to 
Aa3 
1.3
 
0.5
1.3
 
0.0
3.8
 
0.0
 
A+ to A–  A1 to A3 
1.6
 
2.0
0.0
 
8.2
34.9
 
0.4
 
BBB+ to 
BBB–  
Baa1 to 
Baa3 
30.9
 
0.6
0.6
 
9.6
1.8
 
0.1
97.6
Non-
investment 
grade 
BB+ to BB–
 Ba1 to Ba3
0.0
 
0.0
0.0
 
0.1
0.0
 
0.0
 
B+ to B–
 
B1 to B3
0.1
 
0.0
0.0
 
1.2
0.2
 
0.0
 
CCC to C
 
Caa to C
0.0
 
0.0
0.0
 
0.0
0.0
 
0.0
1.6
No rating 
 
0.0
 
0.3
0.0
 
0.1
0.4
 
0.0
0.8
 
 
33.9
 
3,4
1.9
 
19.2
41.1
 
0.5
100.00
 
 
The table shows that, as of the closing date, about 
98% of the capital investment volume, including the 
positive market value of derivatives, had been placed 
with investment-grade counterparties, in other words, 
those with good or very good credit ratings. Most  
of the counterparties that do not yet have an interna-
tionally accepted rating are respected financial insti-
tutions whose creditworthiness can be considered 
flawless based on analyses. METRO also operates in 
countries where local financial institutions do not have 
investment-grade ratings due to the rating of their 
country. For country-specific reasons as well as cost 
and efficiency considerations, cooperation with these 
institutions is unavoidable. These institutions account 
for about 0.8% of the total volume. 
METRO’s level of exposure to creditworthiness 
risks is thus very low.  
Cash flow risks 
A future change in interest rates may cause cash flow 
from variable interest rate asset and liability items to 
fluctuate. Stress tests are used to determine the po-
tential impact interest rate changes may have on cash 
flow and how they can be capped through hedging 
transactions in accordance with the group’s internal 
treasury guidelines.

METRO ANNUAL REPORT 2017/18 
210 
Notes 
 
Other notes 
45. Contingent liabilities 
 
 
  
  
€ million 
30/9/2017
 
30/9/2018
Liabilities from suretyships 
and guarantees 
11
9 
Liabilities from guarantee 
and warranty contracts 
18
63 
 
28
72 
 
  
  
 
Liabilities from guarantee and warranty contracts 
amount to €45 million (30/9/2017: €0 million), which 
are attributable to the discontinued operations. These 
concern a bank guarantee for claims from retailers in 
relation to business on the Real online marketplace. 
The remaining liabilities from guarantee and war-
ranty contracts are primarily rent guarantees with 
terms of up to 10 years if utilisation is not considered 
entirely unlikely.  
46. Other financial liabilities 
As of 30 September 2018, the nominal value of other 
financial liabilities amounted to €346 million 
(30/9/2017: €307 million) and primarily concerned 
purchasing commitments from service agreements. 
Other financial liabilities include €99 million 
(30/9/2017: €120 million) attributable to the hyper-
market business to be disposed of. 
— For more information about contractual commitments 
for the acquisition of other intangible assets and proper-
ty, plant and equipment, obligations from finance and 
operating leases as well as investment properties, see 
no. 20 – other intangible assets, no. 21 – property, plant 
and equipment and no. 22 – investment properties. 
47. Remaining legal issues 
Successful completion of the demerger 
On 6 February 2017, the Annual General Meeting of 
the former METRO AG (registered in the commercial 
register of the Local Court in Düsseldorf under HRB 
39473, today trading as CECONOMY AG) resolved to 
demerge the former METRO GROUP into 2 independ-
ent listed companies that are specialists in their re-
spective market segment. A number of shareholders 
took legal action against the planned demerger of the 
group by seeking various legal remedies, such as ac-
tion for annulment, rescission and/or declaratory ac-
tion, including against the resolution passed by the 
Annual General Meeting of CECONOMY AG on 6 Feb-
ruary 2017 concerning the meeting’s approval of the 
demerger and spin-off agreement as well as against 
the agreement itself. Pursuant to the provisions of the 
demerger agreement, METRO AG must bear the costs 
of the litigation and proceedings relating to the de-
merger. In its judgements handed down on 24 January 
2018, the Düsseldorf District Court dismissed all of 
these claims. Appeals have been filed against all of 
these decisions with the Düsseldorf Higher Regional 
Court (OLG Düsseldorf). The Düsseldorf Higher  
Regional Court has set a hearing for 21 February 2019. 
METRO AG maintains its position that all of these legal 
challenges are inadmissible and/or unfounded and has 
therefore not recognised corresponding risk positions 
in its accounts.  
Further remaining legal issues 
Companies of the METRO group form a party to judi-
cial or arbitration proceedings in various European 
countries. Insofar as the liability has been sufficiently 
specified, appropriate risk provisions have been 
formed for these proceedings. 
48. Events after the closing date 
No events subject to mandatory disclosure occurred 
between the closing date (30 September 2018) and 
the date of preparing the annual financial statements 
(22 November 2018). 
49. Notes on related parties 
In financial year 2017/18, METRO maintained the fol-
lowing business relations to related companies: 
 
 
€ million  
 
2016/17
2017/18
Services provided 
 
86
8 
CECONOMY 
 
83
0 
Associates  
 
0
5 
Joint ventures  
 
0
3 
Miscellaneous related parties 
 
3
0 
Services received 
 
107
96 
CECONOMY 
 
17
0 
Associates 
 
78
78 
Joint ventures  
 
0
8 
Miscellaneous related parties 
 
12
10 
Receivables from  
services provided as of 30/9 
 
11
0 
CECONOMY 
 
11
0 
Associates  
 
0
0 
Joint ventures  
 
0
0 
Miscellaneous related parties 
 
0
0 
Liabilities from goods/ 
services received as of 30/9 
 
3
1 
CECONOMY 
 
3
0 
Associates  
 
0
0 
Joint ventures  
 
0
0 
Miscellaneous related parties 
 
0
1

METRO ANNUAL REPORT 2017/18 
211
Notes 
 
Other notes 
Transactions with CECONOMY companies 
METRO was engaged in business relationships with 
CECONOMY companies until 12 July 2017, the de-
merger effective date. These applied for the purposes 
of the consolidated financial statements until the  
demerger effective date, because METRO AG was until 
then controlled by the current CECONOMY AG.  
Accordingly, services received and benefits received 
from CECONOMY were included in the disclosures for 
the previous financial year 2016/17.  
Transactions with associated companies  
and other related parties 
The services received in the amount of €96 million 
(2016/17: €90 million) that METRO companies re-
ceived from associates and miscellaneous related 
parties in financial year 2017/18 consisted mainly of 
real estate leases in the amount of €80 million 
(2016/17: €80 million), thereof €78 million from asso-
ciates; (2016/17: €78 million) and in the amount of 
€16 million (2016/17: €10 million) for the rendering  
of services, thereof €8 million from joint ventures 
(2016/17: €0 million).  
Other future financial obligations in the amount  
of €719 million (2016/17: €756 million): OPCI FWP 
France, OPCI FWS France, METRO Habib Pakistan  
and the Mayfair group.  
In financial year 2017/18, METRO companies pro-
vided services to companies belonging to the group  
of associates and related parties in the amount of  
€8 million (2016/17: €3 million). 
A dividend of €57 million has been paid out to  
a shareholder with significant influence.  
Business relations with related parties are based  
on contractual agreements providing for arm’s-length 
prices. As in financial year 2016/17, there were no  
business relations with related natural persons and 
companies of management in key positions in financial 
year 2017/18. 
Related persons  
(compensation for management in key positions)  
The management in key positions consists of members 
of the Management Board and the Supervisory Board 
of METRO AG. 
Thus, the expenses for members of the Manage-
ment Board of METRO AG amounted to €5.2 million 
for short-term benefits (2016/17: €5.5 million) and  
€7.0 million for termination and post-employment 
benefits (2016/17: €0.8 million) of which an amount  
of €6.1 million relates to termination benefits paid in 
financial year 2017/18. The expenses for existing com-
pensation programmes with long-term incentive  
effect in financial year 2017/18, calculated in accord-
ance with IFRS 2, amounted to €0.7 million (2016/17: 
€5.1 million). 
The short-term compensation for the members  
of the Supervisory Board of METRO AG amounted to 
€2.2 million (2016/17: €1.5 million). 
The total compensation for members of the  
Management Board in key positions in financial year 
2017/18 amounted to €15.1 million (2016/17: 
€12.9 million). 
— For more information about the basic principles  
of the remuneration system and the amount of Manage-
ment Board and Supervisory Board compensation,  
see no. 51 – Management Board and Supervisory Board.  
50. Long-term incentive for executives  
Permissions for the wholesale business  
and METRO AG (MCC LTI) 
The long-term incentive (MCC LTI) developed for the 
METRO Wholesale sales line in financial year 2015/16 
was tailored specifically to the operating model. It was 
issued for the first time to senior executives and the 
management bodies of METRO Wholesale country 
companies in financial year 2015/16. In addition, it was 
granted pro rata temporis to the top executives of 
METRO AG in financial year 2016/17. The MCC LTI is  
a cyclical plan that is issued once every 3 years. The 
respective performance targets focus on value crea-
tion in the individual national subsidiaries and/or  
in the wholesale segment as a whole, as well as their 
sustained development and prospects. The perfor-
mance period of the MCC LTI extends from 1 April 2016 
to 31 March 2019. The individual target amounts are 
accumulated proportionally during this period. The 
final target amount that has been accumulated at the 
end of the performance period is based on the period 
of eligibility for the MCC LTI as well as the individual’s 
position. According to the plan conditions, executives 
can be newly admitted to the circle of beneficiaries  
on a pro rata basis or be removed from the plan. 
Permissions for the retail business unit (Real LTI) 
In financial year 2016/17, the Real long-term incentive 
(Real LTI) was developed for the retail business seg-
ment. The authorised executives and senior executives 
of the retail business segment were eligible. The per-
formance period started on 1 April 2017 and ends on 
31 March 2020. The operating principles are based on 
the MCC LTI and are shown below. 
OPERATING PRINCIPLES OF THE MCC AND REAL LTI 
 
After the end of each performance period, the payout 
amount is determined by multiplying the respectively 
accumulated individual target amount with a total 
goal achievement factor. The goal achievement rate of 
this factor for both the past performance and future 
value components accounts for 45%; the remaining 
10% are accounted for by the goal achievement rate of 
the sustainability component. The payout amount is 
capped and the total goal achievement factor cannot 
drop below 0. The relevant measure for the past  
performance and future value components for eligible 
executives at the METRO Wholesale national subsidi-
aries is the performance/value creation of the respec-

METRO ANNUAL REPORT 2017/18 
212 
Notes 
 
Other notes 
tive national subsidiary of METRO Wholesale. The 
relevant measure for the other eligible executives is 
the overall performance of the respective METRO 
Wholesale or Real sales line. 
The past performance component rewards the 
achievement of internal economic target values and is 
determined on the basis of the EBITDA after special 
items generated cumulatively over financial years 
2015/16 to 2017/18 for METRO Wholesale and 2016/17 
to 2018/19 for Real. Separate target values for a goal 
achievement factor of 1.0 and 0.0, respectively, have 
been defined. In the case of intermediate values and 
values above 1.0, the factor for goal achievement is 
calculated using linear interpolation to 2 decimal  
places. The goal achievement factor for the past per-
formance component cannot drop below 0 and is 
capped. 
The future value component mirrors METRO 
Wholesale and Real’s external valuation with respect 
to the expected future performance of the respective 
national subsidiary and each sales line as a whole from 
an analyst’s perspective. For the purpose of target 
setting, the enterprise value of the respective sales 
line was determined on the basis of analyst valuations 
before the start of the performance period. It is  
determined again at the end of each performance 
period. The enterprise value of METRO Wholesale’s 
national subsidiaries is derived from the enterprise 
values of the METRO Wholesale sales line. Separate 
target values for a goal achievement factor of 1.0 and 
0.0, respectively, have been defined. In the case of 
intermediate values and values above 1.0, the factor 
for goal achievement is calculated using linear inter-
polation to 2 decimal places. The goal achievement 
factor for the future value component cannot drop 
below 0 and is capped. 
Performance achievement for the sustainability 
component is determined on the basis of the average 
rating which METRO AG is awarded in an external 
corporate sustainability assessment during each per-
formance period. In each year of the performance 
period, METRO AG participates in the Corporate Sus-
tainability Assessment conducted by the independent 
service provider RobecoSAM. RobecoSAM AG uses 
this assessment to determine METRO AG’s ranking 
within the industry group Food & Staples Retailing 
that is defined in accordance with the Global Industry 
Classification Standard (GICS). RobecoSAM AG will 
inform METRO AG of any changes in its sector classifi-
cation. In case of material changes in the composition 
of companies or the ranking method, RobecoSAM AG 
can determine adequate comparable values.  
The company’s average ranking, rounded to whole 
numbers, is determined on the basis of the rankings 
communicated during each performance period. The 
factor for the sustainability component is determined 
in the following manner on the basis of the average of 
the performance period: 
 
 
 
  
Average ranking (rounded) 
Sustainability 
factor 
1 
3.00
2 
2.50
3 
2.00
4 
1.50
5 
1.25
6 
1.00
7 
0.75
8 
0.50
9 
0.25
Below rank 9 
0.00
 
  
 
 
As of 30 September 2018, the target amount for  
the eligible group of persons was €26 million.  
The mentioned tranches of share-based payment 
programmes resulted in total expenses of €9 million 
(2016/17: €25 million).  
The related provisions as of 30 September 2018 
amount to €28 million (30 September 2017: 
€19 million).  
51. Management Board and Supervisory Board 
Remuneration of members of the Management 
Board in financial year 2017/18 
The remuneration of the active members of the Man-
agement Board essentially consists of a fixed salary,  
a short-term performance-based remuneration com-
ponent (short-term incentive and special bonuses),  
as well as the performance-based remuneration com-
ponent with a long-term incentive effect (long-term 
incentive) granted in financial year 2017/18. 
The short-term incentive for members of the Man-
agement Board is essentially determined by the de-
velopment of financial performance targets related  
to that financial year and also considers the attain-
ment of agreed-upon targets.  
The remuneration of the active members of the 
Management Board in financial year 2017/18 amounted 
to €7.0 million (2016/17: €5.9 million). Of this amount, 
€3.7 million (2016/17: €1.1 million) were attributable  
to fixed salaries, €0.4 million (2016/17: €1.1 million) to 
the short-term performance-based remuneration,  
€2.7 million (2016/17: €3.7 million) to the share- and 
performance-based remuneration with long-term  
incentive effect and €0.2 million (2016/17: €0.02 million) 
to non-monetary and supplemental benefits.

METRO ANNUAL REPORT 2017/18 
213
Notes 
 
Other notes 
The share- and performance-based remuneration 
component with long-term incentive effect granted in 
financial year 2017/18 (performance share plan) was 
recognised at fair value as of the date granted. The 
number of conditionally allocated performance shares 
for the members of the Management Board amounts 
to a total of 248,346.  
In financial year 2017/18, value adjustments result-
ed from the current tranches of performance-based 
payment programmes with a long-term incentive  
effect. The company’s expenses amounted to 
€0.12 million for Mr Koch, €0.06 million for Mr Baier, 
€0.03 million for Mr Boone, €0.09 million for  
Mr Hutmacher and €0.45 million for Mr Palazzi.  
As of 30 September 2018, the provisions for the 
members of the Management Board totalled  
€1.79 million. Of this amount, €0.39 million was  
attributable to Mr Koch, €0.19 million to Mr Baier, 
€0.29 million to Mr Hutmacher and €0.92 million to  
Mr Palazzi. 
Expenses and provisions were determined by  
external experts using a recognised financial mathe-
matical procedure. 
Total remuneration of former members  
of the Management Board 
Former members of the Management Board of  
METRO AG received benefits in the amount of  
€6.2 million.  
There are congruent, reinsured liabilities from  
pension provisions of €1.6 million towards former 
members of the Management Board. 
— The information released pursuant to § 314 section 1  
no. 6a sentences 5 to 8 of the German Commercial Code 
can be found in chapter 6 remuneration report  
in the combined management report. 
Compensation of members  
of the Supervisory Board 
The total compensation paid to all members of the 
Supervisory Board in financial year 2017/18 amounts  
to €2.2 million (2016/17: €0.8 million). 
— For more information about the compensation of the 
members of the Supervisory Board, see chapter 6 remu-
neration report in the combined management report. 
52. Auditor’s fees for the financial year  
pursuant to § 314 Section 1 No. 9  
of the German Commercial Code (HGB) 
KPMG AG Wirtschaftsprüfungsgesellschaft invoiced 
total professional fees in the amount of €4.8 million 
for services rendered. €4.2 million of this amount were 
attributable to professional fees for the audit of the 
financial statements, €0.4 million to other assurance 
services and €0.2 million to other services. Only ser-
vices that are consistent with the task of the auditor  
of the annual financial statements and consolidated 
financial statements of METRO AG were provided. 
The fees for audit services provided by KPMG AG 
Wirtschaftsprüfungsgesellschaft relate to the audit of 
the consolidated financial statements and the annual 
financial statements of METRO AG as well as various 
annual audits and audits of IFRS reporting packages 
for inclusion in the METRO consolidated financial 
statements of its subsidiaries, including statutory order 
extensions. In addition, audit-integrated reviews of 
interim financial statements as well as project-related 
IT audits took place. 
Other assurance services include contracted audits 
(for example sales lease agreements, compliance cer-
tificates, comfort letters, declaration of completeness 
of the packaging ordinance), a voluntary audit of the 
compliance management system and the sales tax 
compliance management system based on IDW PS 
980, a voluntary audit of the corporate responsibility 
report as per ISAE 3000 and ISAE 3410, a business 
audit of the non-financial declaration, a limited assur-
ance engagement of the IKS methods and the design 
of risk control matrices as per (ISAE 3000) and an 
audit of financial cash basis accounting. 
The other services refer to fees for financial due 
diligences, for a consultancy project on accounting 
process optimisation, for project management support 
(without a managerial function) and a workshop on 
the German Transparency in Wage Structures Act. 
53. Declaration of conformity  
with the German Corporate Governance Code 
In September 2018, the Management Board and the 
Supervisory Board issued the annual declaration of 
conformity pursuant to § 161 of the German Stock 
Corporation Act (AktG) concerning the recommen-
dations of the Government Commission on the Ger-
man Corporate Governance Code. The statement  
is published permanently on the website of METRO AG 
(www.metroag.de). 
54. Election to be exempt from §§ 264 Section 3 
and 264b of the German Commercial Code 
The following domestic subsidiaries in the legal form 
of stock corporations or partnerships will use the  
exemption provisions according to § 264 Section 3 
and § 264b of the German Commercial Code, and will 
thus refrain from preparing their annual financial 
statements for 2017 as well as mostly from preparing 
their notes and management report (according to the  
German Commercial Code).

METRO ANNUAL REPORT 2017/18 
214 
Notes 
 
Other notes 
a) Operating companies and service entities 
MIP METRO Group Intellectual Property Management GmbH 
Düsseldorf
N & NF Trading GmbH 
Düsseldorf
METRO Siebte Gesellschaft für Vermögensverwaltung mbH 
Düsseldorf
real,- Handels GmbH 
Düsseldorf
Hospitality Digital GmbH  
Düsseldorf
METRO GROUP Accounting Center GmbH 
Wörrstadt
METRO Innovations Holding GmbH 
Düsseldorf
METRO Groß- und Lebensmitteleinzelhandel Holding GmbH 
Düsseldorf
MGL METRO Group Logistics Warehousing Beteiligungs GmbH 
Düsseldorf
METRO LOGISTICS Germany GmbH 
Düsseldorf
real,- Group Holding GmbH 
Düsseldorf
MGC METRO Group Clearing GmbH 
Düsseldorf
Metro Finanzdienstleistungs Pensionen GmbH 
Düsseldorf
real,- Digital Services GmbH 
Düsseldorf
DAYCONOMY GmbH 
Düsseldorf
Fulltrade International GmbH 
Düsseldorf
METRO Beteiligungsmanagement Düsseldorf GmbH & Co. KG 
Düsseldorf
MIP METRO Group Intellectual Property GmbH & Co. KG 
Düsseldorf
METRO Dienstleistungs-Holding GmbH 
Düsseldorf
MGP METRO Group Account Processing GmbH 
Kehl
METRO Re AG 
Düsseldorf
METRO Advertising GmbH 
Düsseldorf
real,- Holding GmbH 
Düsseldorf
real,- Digital Fulfillment GmbH 
Düsseldorf
METRO Travel Services GmbH 
Düsseldorf
METRO Insurance Broker GmbH 
Düsseldorf
METRO-nom GmbH 
Düsseldorf
Metro SB-Großmärkte GmbH & Co. Kommanditgesellschaft 
Esslingen am Neckar
Metro SB-Großmärkte GmbH & Co. Kommanditgesellschaft 
Linden
NordRhein Trading GmbH 
Düsseldorf
METRO Großhandelsgesellschaft mbH 
Düsseldorf
Metro International Beteiligungs GmbH 
Düsseldorf
real GmbH 
Düsseldorf
METRO Deutschland GmbH 
Düsseldorf
MGE Warenhandelsgesellschaft mbH 
Düsseldorf
MGL METRO Group Logistics GmbH 
Düsseldorf
real,- SB-Warenhaus GmbH 
Düsseldorf
MCC Trading International GmbH 
Düsseldorf
METRO Cash & Carry International GmbH 
Düsseldorf
Meister feines Fleisch – feine Wurst GmbH 
Gäufelden
Multi-Center Warenvertriebs GmbH 
Düsseldorf
METRO Erste Erwerbsgesellschaft mbH 
Düsseldorf
MCC Trading Deutschland GmbH 
Düsseldorf
Goldhand Lebensmittel- u. Verbrauchsgüter- Vertriebsgesellschaft mit beschränkter Haftung 
Düsseldorf
Liqueur & Wine Trade GmbH 
Düsseldorf
Johannes Berg GmbH, Weinkellerei 
Düsseldorf
Weinkellerei Thomas Rath GmbH 
Düsseldorf
METRO INTERNATIONAL SUPPLY GmbH 
Düsseldorf
METRO FSD Holding GmbH 
Düsseldorf
RUNGIS express GmbH 
Meckenheim
Petit RUNGIS express GmbH 
Meckenheim

METRO ANNUAL REPORT 2017/18 
215
Notes 
 
Other notes 
CCG DE GmbH 
Kelsterbach
cc delivery gmbh 
Kelsterbach
HoReCa Investment Management GmbH 
Düsseldorf
DISH Plus GmbH 
Düsseldorf
HoReCa Komplementär GmbH 
Düsseldorf
HoReCa Innovation I GmbH & Co. KG 
Düsseldorf
HoReCa Investment I GmbH & Co. KG 
Düsseldorf
HoReCa Strategic I GmbH & Co. KG 
Düsseldorf
METRO Wholesale & Food Services Vermögensverwaltung Management GmbH 
Düsseldorf
MIP METRO Holding Management GmbH 
Düsseldorf
METRO Wholesale & Food Services Vermögensverwaltung GmbH & Co. KG 
Düsseldorf
Markthalle GmbH 
Düsseldorf
METRO Campus Services GmbH 
Düsseldorf
METRO Hospitality Digital Holding GmbH 
Düsseldorf
METRO Dritte Verwaltungs GmbH 
Düsseldorf
METRO Vierte Verwaltungs GmbH 
Düsseldorf
METRO Fünfte Verwaltungs GmbH 
Düsseldorf
METRO Sechste Verwaltungs GmbH 
Düsseldorf
METRO Siebte Verwaltungs GmbH 
Düsseldorf
Hospitality Digital Services Germany GmbH 
Düsseldorf
HoReCa Innovation I Carry GmbH & Co. KG 
Düsseldorf
HoReCa Innovation I Team GmbH & Co. KG 
Düsseldorf
HoReCa Investment I Carry GmbH & Co. KG 
Düsseldorf
HoReCa Investment I Team GmbH & Co. KG 
Düsseldorf
HoReCa Strategic I Carry GmbH & Co. KG 
Düsseldorf
Hospitality.systems GmbH 
Düsseldorf
Heim & Büro Versand GmbH 
Nister
METRO Markets GmbH 
Düsseldorf
real Digital Agency GmbH 
Düsseldorf
 
b) Real estate companies 
METRO Leasing GmbH 
Düsseldorf
METRO Asset Management Services GmbH 
Düsseldorf
Immobilien-Vermietungsgesellschaft von Quistorp GmbH & Co. Objekt Altlandsberg KG 
Düsseldorf
ADAGIO 3. Grundstücksverwaltungsgesellschaft mbH 
Düsseldorf
ARKON Grundbesitzverwaltung GmbH 
Düsseldorf
METRO PROPERTIES Holding GmbH 
Düsseldorf
MCC Grundstücksverwaltungsgesellschaft mbH & Co. Objekt Augsburg KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Bochum Otto Straße KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Rastatt KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Frankenthal KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Frankenthal-Studernheim KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Paderborn ‘Südring Center’ KG 
Düsseldorf
RUTIL Verwaltung GmbH & Co. SB-Warenhaus Bielefeld KG 
Düsseldorf
GKF Grundstücksverwaltungsgesellschaft mbH & Co. Objekt Schaper Bremen-Habenhausen KG 
Düsseldorf
Blabert Grundstücksverwaltungsgesellschaft mbH 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Hamm KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Oldenburg KG 
Düsseldorf
Renate Grundstücksverwaltungsgesellschaft mbH 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Mönchengladbach-Rheydt KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Emden KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Entwicklungsgrundstücke KG 
Düsseldorf

METRO ANNUAL REPORT 2017/18 
216 
Notes 
 
Other notes 
GKF Vermögensverwaltungsgesellschaft mbH & Co. Arrondierungsgrundstücke KG 
Düsseldorf
RUDU Verwaltungsgesellschaft mbH 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Ratingen KG 
Düsseldorf
GKF Grundstücks-Vermietungsgesellschaft mbH & Co. Objekt Donaueschingen KG 
Düsseldorf
GKF Grundstücks-Vermietungsgesellschaft mbH & Co. Objekt Köln-Porz KG 
Düsseldorf
ASSET Zweite Immobilienbeteiligungen GmbH 
Düsseldorf
AIB Verwaltungs GmbH 
Düsseldorf
SIL Verwaltung GmbH & Co. Objekt Haidach KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Gäufelden KG 
Düsseldorf
DFI Verwaltungs GmbH 
Düsseldorf
KUPINA Grundstücks-Verwaltungsgesellschaft mbH & Co. KG 
Düsseldorf
METRO Retail Real Estate GmbH 
Düsseldorf
METRO Wholesale Real Estate GmbH 
Düsseldorf
ADAGIO Grundstücksverwaltungsgesellschaft mbH 
Düsseldorf
ADAGIO 2. Grundstücksverwaltungsgesellschaft mbH 
Düsseldorf
2. Schaper Objekt GmbH & Co. Kiel KG 
Düsseldorf
Adolf Schaper GmbH & Co. Grundbesitz-KG 
Düsseldorf
ASH Grundstücksverwaltung XXX GmbH 
Düsseldorf
ZARUS Verwaltung GmbH & Co. Objekte Niedersachsen KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Hildesheim-Senking KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Brühl KG 
Düsseldorf
ZARUS Verwaltung GmbH & Co. Objekt Mutterstadt KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Edingen-Neckarhausen KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Hannover/Davenstedter Straße KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Hannover-Linden KG 
Düsseldorf
GKF 6. Objekt Vermögensverwaltungsgesellschaft mbH  
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. 8. Objekt-KG 
Düsseldorf
METRO PROPERTIES GmbH & Co. KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. 10. Objekt-KG 
Düsseldorf
MCC Vermögensverwaltungsgesellschaft mbH & Co. Objekt Ludwigshafen KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Hannover Fössestraße KG 
Düsseldorf
FZG Fachmarktzentrum Guben Verwaltungsgesellschaft mbH 
Düsseldorf
FZG Fachmarktzentrum Guben Verwaltungsgesellschaft mbH & Co. Vermietungs-Kommanditgesellschaft 
Düsseldorf
FZB Fachmarktzentrum Bous Verwaltungsgesellschaft mbH & Co. KG 
Düsseldorf
Wolfgang Wirichs GmbH 
Düsseldorf
Wirichs Immobilien GmbH 
Düsseldorf
MTE Grundstücksverwaltung GmbH & Co. Objekt Duisburg oHG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Gewerbegrundstücke KG 
Düsseldorf
BAUGRU Immobilien-Beteiligungsgesellschaft mit beschränkter Haftung & Co. Grundstücksverwaltung KG 
Düsseldorf
GBS Gesellschaft für Unternehmensbeteiligungen mbH 
Düsseldorf
STW Grundstücksverwaltung GmbH 
Düsseldorf
PIL Grundstücksverwaltung GmbH 
Düsseldorf
NIGRA Verwaltung GmbH & Co. Objekt Moers KG 
Düsseldorf
NIGRA Verwaltung GmbH & Co. Objekt Detmold KG 
Düsseldorf
Metro Cash & Carry Grundstücksverwaltungsgesellschaft mbH  
Düsseldorf
NIGRA Verwaltung GmbH & Co. Objekt Eschweiler KG 
Düsseldorf
NIGRA Verwaltung GmbH & Co. Objekt Langendreer KG 
Düsseldorf
NIGRA Verwaltung GmbH & Co. Objekt Rendsburg KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. 25. Objekt-KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Herten KG 
Düsseldorf
NIGRA Verwaltung GmbH & Co. Objekt Neunkirchen KG 
Düsseldorf

METRO ANNUAL REPORT 2017/18 
217
Notes 
 
Other notes 
Deutsche SB-Kauf GmbH & Co. KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Saar-Grund KG 
Düsseldorf
Schaper Grundbesitz-Verwaltungsgesellschaft mbH 
Düsseldorf
MDH Secundus GmbH & Co. KG 
Düsseldorf
NIGRA Verwaltung GmbH & Co. Objekt Germersheim KG 
Düsseldorf
Kaufhalle GmbH & Co. Objekt Lager Apfelstädt KG 
Düsseldorf
Kaufhalle GmbH 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Espelkamp KG 
Düsseldorf
ASSET Immobilienbeteiligungen GmbH 
Düsseldorf
ASSET Köln-Kalk GmbH 
Düsseldorf
Horten Nürnberg GmbH 
Düsseldorf
Metro International Beteiligungs GmbH 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Duisburg KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Heinsberg KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Stralsund KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Bitterfeld KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Nettetal KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Krefeld KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Aachen SB-Warenhaus KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Braunschweig Hamburger Straße KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Wülfrath KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Münster-Kinderhaus KG 
Düsseldorf
GKF Grundstücksverwaltungsgesellschaft mbH & Co. Objekt Wolfenbüttel KG 
Düsseldorf
GKF Grundstücksverwaltung GmbH & Co. Objekt Bremen-Vahr KG 
Düsseldorf
GKF Grundstücksverwaltung GmbH & Co. Objekt Emden KG 
Düsseldorf
GKF Grundstücksverwaltung GmbH & Co. Objekt Groß-Zimmern KG 
Düsseldorf
GKF Grundstücksverwaltung GmbH & Co. Objekt Norden KG 
Düsseldorf
TIMUG Verwaltung GmbH 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Mönchengladbach ZV II KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekte Amberg und Landshut KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Göttingen KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Kulmbach KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Regensburg KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Pfarrkirchen KG 
Düsseldorf
METRO Leasing Objekt Schwerin GmbH 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Kassel KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Bannewitz KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Mönchengladbach ZV I KG 
Düsseldorf
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Hürth KG 
Düsseldorf
MCC Grundstücksverwaltungsgesellschaft mbH & Co. Objekt Porta-Westfalica KG 
Düsseldorf
MCC Grundstücksverwaltungsgesellschaft mbH & Co. Objekt München-Pasing KG 
Düsseldorf
MCC Grundstücksverwaltungsgesellschaft mbH & Co. Objekt Schwelm KG 
Düsseldorf
MCC Grundstücksverwaltungsgesellschaft mbH & Co. Objekt Berlin-Friedrichshain KG 
Düsseldorf
MCC Grundstücksverwaltungsgesellschaft mbH & Co. Objekt Hamburg-Altona KG 
Düsseldorf
METRO Campus Services GmbH 
Düsseldorf

METRO ANNUAL REPORT 2017/18 
218 
Notes 
 
Other notes 
55. Overview of the major fully consolidated group companies 
 
Name 
  
Registered office
 
Stake in %
 
Sales1 in € million
Holding companies 
  
 
 
 
 
 
METRO AG 
  
Düsseldorf, Germany
 
 
 
0
METRO Cash & Carry International GmbH 
  
Düsseldorf, Germany
 
100.00
 
0
METRO Wholesale 
  
 
 
 
 
 
METRO Deutschland GmbH 
  
Düsseldorf, Germany
 
100.00
 
4,451
METRO Cash & Carry France S.A.S. 
  
Nanterre, France
 
100.00
 
4,204
METRO Cash & Carry OOO 
  
Moscow, Russia
 
100.00
 
2,850
METRO Jinjiang Cash & Carry Co., Ltd. 
  
Shanghai, China
 
90.00
 
2,652
METRO Italia Cash and Carry S. p. A 
  
San Donato Milanese, Italy
 
100.00
 
1,741
Makro Cash and Carry Polska S.A. 
  
Warsaw, Poland
 
100.00
 
1,406
Makro Autoservicio Mayorista S. A. U. 
  
Madrid, Spain
 
100.00
 
1,231
MAKRO Cash & Carry CR s.r.o. 
  
Prague, Czech Republic
 
100.00
 
1,092
METRO CASH & CARRY ROMANIA SRL 
  
Bucharest, Romania
 
100.00
 
1,084
Metro Grosmarket Bakirköy Alisveris Hizmetleri Ticaret Ltd. Sirketi 
  
Istanbul, Turkey
 
100.00
 
1,000
METRO Distributie Nederland B. V. 
  
Amsterdam, Netherlands
 
100.00
 
790
METRO Cash & Carry India Private Limited 
  
Bangalore, India
 
100.00
 
776
METRO Cash & Carry Österreich GmbH 
  
Vösendorf, Austria
 
73.00
 
768
Real 
  
 
 
 
 
 
real GmbH 
  
Düsseldorf, Germany
 
100.00
 
7,083
Other companies 
  
 
 
 
 
 
METRO Sourcing International Limited 
  
Hong Kong, China
 
100.00
 
27
METRO LOGISTICS Germany GmbH 
  
Düsseldorf, Germany
 
100.00
 
0
METRO PROPERTIES GmbH & Co. KG 
  
Düsseldorf, Germany
 
92.90
 
0
METRO-nom GmbH 
  
Düsseldorf, Germany
 
100.00
 
0
MIAG Commanditaire Vennootschap 
  
Amsterdam, Netherlands
 
100.00
 
0
1 Including consolidated national subsidiaries.

METRO ANNUAL REPORT 2017/18 
219
Notes 
 
Corporate Boards of METRO AG and the mandates of their members 
56. Corporate Boards of METRO AG and  
the mandates of their members 
Members of the Supervisory Board1 
Jürgen B. Steinemann (Chairman)  
CEO of JBS Holding GmbH 
a) Big Dutchman AG (Vice Chairman) 
b) Bankiva B.V., Wezep, Netherlands – Supervisory 
Board (Chairman)  
Barry Callebaut AG, Zurich, Switzerland –  
Board of Directors 
Lonza Group AG, Basle, Switzerland –  
Board of Directors 
Werner Klockhaus (Vice Chairman) 
Chairman of the Group Works Council of METRO AG 
Chairman of the General Works Council of Real GmbH 
(formerly Real SB-Warenhaus GmbH) 
a) Hamburger Pensionskasse von 1905  
Versicherungsverein auf Gegenseitigkeit 
Real GmbH (formerly Real SB-Warenhaus GmbH) 
(Vice Chairman) 
b) None 
Stefanie Blaser  
Since 16 February 2018 
Chairwoman of the General Works Council of METRO 
PROPERTIES GmbH & Co. KG Saarbrücken 
a) None 
b) None 
Herbert Bolliger  
Since 16 February 2018 
Self-employed business consultant 
a) None 
b) Amann Wine Group Holding SA, Zug, Switzerland – 
 
Board of Directors, since 3 September 2018 
 
BNP Paribas (Suisse) AG, Geneva, Switzerland –  
 
Board of Directors 
MTH Retail Group Holding GmbH, Vienna, Austria – 
Supervisory Board  
Office World Holding AG (formerly OWiba AG),  
Bolligen, Switzerland – Board of Directors  
(Vice President) 
 
 
 
 
 
 
 
 
 
 
Gwyn Burr 
Member of the Board of Directors of Hammerson plc, 
London, United Kingdom 
a) None 
b)  DFS Furniture Holdings plc, Doncaster,  
South Yorkshire, United Kingdom –  
Board of Directors, until 30 April 2018 
 
Hammerson plc, London, United Kingdom –  
Board of Directors 
 
Ingleby Farms and Forests ApS, Køge, Denmark – 
Board of Directors 
 
 Just Eat plc, London, United Kingdom –  
Board of Directors 
 
Sainsbury’s Bank plc, London, United Kingdom – 
Board of Directors 
Taylor Wimpey plc, London, United Kingdom – 
Board of Directors, since 1 February 2018 
Thomas Dommel  
Chairman of the General Works Council of  
METRO LOGISTICS Germany GmbH  
a) METRO LOGISTICS Germany GmbH  
(Vice Chairman)  
b) None  
Prof. Dr Edgar Ernst  
President of the German Financial Reporting  
Enforcement Panel (FREP) 
a) Deutsche Postbank AG, until 25 May 2018  
 
TUI AG 
Vonovia SE (Chairman, until 9 May 2018;  
Vice Chairman, since 9 May 2018) 
b) None 
 
 
 
1 Status of the mandates: 22 November 2018. 
a) Memberships in other statutory supervisory boards within the meaning of § 125 Section 1 No. 5, 1st alt. of the German Stock Corporation Act (AktG). 
b) Memberships in comparable German and international supervisory bodies of commercial enterprises within the meaning of § 125 Section 1 No. 5,  
2nd alt. of the German Stock Corporation Act (AktG).

METRO ANNUAL REPORT 2017/18 
220 
Notes 
 
Corporate Boards of METRO AG and the mandates of their members 
Dr Florian Funck  
Member of the Management Board of  
Franz Haniel & Cie. GmbH 
a) CECONOMY AG  
 
TAKKT AG 
 
Vonovia SE 
b) None 
 
Michael Heider  
Deputy Chairman of the General Works Council of 
METRO Deutschland GmbH  
(formerly METRO Cash & Carry Deutschland GmbH)  
Chairman of the Works Council of the  
METRO Wholesale store Schwelm 
a) METRO Großhandelsgesellschaft mbH  
b) None  
Andreas Herwarth 
Until 16 February 2018  
Commercial employee of METRO AG 
a) None 
b) None  
Peter Küpfer 
Self-employed business consultant 
a) CECONOMY AG 
b) AHRA AG (formerly Travel Charme Hotels & Resorts 
Holding AG), Zurich, Switzerland –  
Board of Directors (President) 
 
AHRB AG, Zurich, Switzerland –  
Board of Directors (President) 
 
ARH Resort Holding AG, Zurich, Switzerland –  
Board of Directors (President) 
Breda Consulting AG, Zurich, Switzerland –  
Board of Directors (President) 
Cambiata Ltd, Road Town, Tortola,  
British Virgin Islands – Board of Directors 
Cambiata Schweiz AG, Zurich, Switzerland – 
Board of Directors 
Gebr. Schmidt GmbH & Co. KG – Advisory Council 
Lake Zurich Fund Exempt Company, George Town, 
Grand Cayman, Cayman Islands – Board of Directors 
Supra Holding AG, Zug, Switzerland –  
Board of Directors 
Susanne Meister 
Member of the General Works Council of Real GmbH 
(formerly Real SB-Warenhaus GmbH)  
a) None 
b) None 
Dr Angela Pilkmann 
Category Manager Food at Real GmbH  
(formerly real,- SB-Warenhaus GmbH) 
a) None 
b) None 
 
Mattheus P. M. (Theo) de Raad 
Until 16 February 2018 
Member of the Supervisory Board of HAL Holding N.V., 
Willemstad, Curaçao, Antilles 
a) None 
b) HAL Holding N.V., Willemstad, Curaçao, Antilles – 
Supervisory Board 
Dr Fredy Raas 
Managing Director of Beisheim Holding GmbH, Baar, 
Switzerland, and Beisheim Group GmbH & Co. KG  
a) CECONOMY AG 
b)  ARISCO Holding AG, Baar, Switzerland –  
Board of Directors 
 
Montana Capital Partners AG, Baar, Switzerland – 
Board of Directors, until 31 December 2018 
 
HUWA Finanz- und Beteiligungs AG, Au,  
Switzerland –  Board of Directors (President),  
since 23 October 2018 
Xaver Schiller 
Chairman of the General Works Council of  
METRO Deutschland GmbH  
(formerly METRO Cash & Carry Deutschland GmbH) 
Chairman of the Works Council of the  
METRO Wholesale store Munich-Brunnthal  
a) METRO Großhandelsgesellschaft mbH  
(Vice Chairman) 
b) None 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
a) Memberships in other statutory supervisory boards within the meaning of § 125 Section 1 No. 5, 1st alt. of the German Stock Corporation Act (AktG). 
b) Memberships in comparable German and international supervisory bodies of commercial enterprises within the meaning of § 125 Section 1 No. 5,  
2nd alt. of the German Stock Corporation Act (AktG).

METRO ANNUAL REPORT 2017/18 
221
Notes 
 
Corporate Boards of METRO AG and the mandates of their members 
Eva-Lotta Sjöstedt  
Self-employed business consultant 
a) None 
b) None 
 
Dr Liliana Solomon  
Chief Financial Officer of European Vacation Rentals 
Group at COMPASS IV LIMITED, London, United  
Kingdom 
a) Scout24 AG (Vice Chairwoman, since 21 June 2018) 
b) None 
Alexandra Soto  
Managing Director and Global Chief Operating  
Officer of Lazard Financial Advisory, Lazard & Co., 
Limited, London, United Kingdom 
a) None  
b) None 
Angelika Will 
Honorary Judge at the Federal Labour Court  
Secretary of the Regional Association Board North 
Rhine-Westphalia of DHV – Die Berufsgewerkschaft e. V.  
(federal specialist group on trade)  
a) CECONOMY AG, until 14 February 2018 
b) None 
Manfred Wirsch  
Secretary of the National Executive Board of  
the Verdi trade union  
Vereinte Dienstleistungsgewerkschaft e. V.  
a) METRO Großhandelsgesellschaft mbH  
b) None 
Silke Zimmer  
Secretary of the National Executive Board of  
the Verdi trade union  
Vereinte Dienstleistungsgewerkschaft e. V.  
a) None  
b) None 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
a) Memberships in other statutory supervisory boards within the meaning of § 125 Section 1 No. 5, 1st alt. of the German Stock Corporation Act (AktG). 
b) Memberships in comparable German and international supervisory bodies of commercial enterprises within the meaning of § 125 Section 1 No. 5,  
2nd alt. of the German Stock Corporation Act (AktG).

METRO ANNUAL REPORT 2017/18 
222 
Notes 
 
Corporate Boards of METRO AG and the mandates of their members 
Committees of the Supervisory Board  
and their mandates1 
Presidential Committee 
Jürgen B. Steinemann (Chairman) 
Werner Klockhaus (Vice Chairman) 
Xaver Schiller 
Dr Liliana Solomon 
Audit Committee 
Prof. Dr Edgar Ernst (Chairman) 
Werner Klockhaus (Vice Chairman) 
Thomas Dommel 
Dr Florian Funck 
Dr Fredy Raas 
Xaver Schiller 
Nomination Committee 
Jürgen B. Steinemann (Chairman) 
Gwyn Burr  
Prof. Dr Edgar Ernst  
Mediation Committee pursuant to § 27 Section 3  
of the German Co-determination Act  
Jürgen B. Steinemann (Chairman) 
Werner Klockhaus (Vice Chairman) 
Prof. Dr Edgar Ernst 
Xaver Schiller 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1 Status of the mandates: 22 November 2018.

METRO ANNUAL REPORT 2017/18 
223
Notes 
 
Corporate Boards of METRO AG and the mandates of their members 
Members of the Management Board1 
Olaf Koch (Chairman) 
a) Real GmbH (formerly Real SB-Warenhaus GmbH) 
(Chairman) 
b) Hospitality Digital GmbH (formerly HoReCa Digital 
GmbH) – Advisory Board (Chairman) 
Christian Baier (Chief Financial Officer) 
a) METRO Großhandelsgesellschaft mbH 
b) Hospitality Digital GmbH (formerly HoReCa  
Digital GmbH) – Advisory Board 
METRO Cash & Carry International Holding GmbH, 
Vösendorf, Austria – Supervisory Board  
(Chairman) 
 
METRO Holding France S.A., Vitry-sur-Seine,  
France – Board of Directors 
METRO RE AG – Supervisory Board (Chairman) 
Pieter C. Boone (Chief Operating Officer) 
Until 7 May 2018 
a) None  
b) None 
Heiko Hutmacher (Chief Human Resources Officer  
and Labour Director) 
a) METRO Großhandelsgesellschaft mbH 
 
Real GmbH (formerly Real SB-Warenhaus GmbH) 
 
METRO-NOM GmbH  
(formerly METRO SYSTEMS GmbH) (Chairman) 
b) None 
 
Philippe Palazzi (Chief Operating Officer) 
Member of the Management Board since  
7 May 2018 
a) None  
b) Hospitality Digital GmbH – Advisory Board 
 
METRO Holding France S.A., Vitry-sur-Seine,  
France – Board of Directors (Chairman) 
 
METRO FSD France S.A.S., Rungis, France –  
Board of Directors (Chairman) 
 
METRO Wholesale Myanmar Ltd., Yangon,  
Myanmar – Supervisory Board 
 
Classic Fine Foods Netherlands B.V., Amsterdam, 
Netherlands – Board of Directors 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
1 Status of the mandates: 22 November 2018. 
a) Memberships in other statutory supervisory boards within the meaning of § 125 Section 1 No. 5, 1st alt. of the German Stock Corporation Act (AktG). 
b) Memberships in comparable German and international supervisory bodies of commercial enterprises within the meaning of § 125 Section 1 No. 5,  
2nd alt. of the German Stock Corporation Act (AktG).

METRO ANNUAL REPORT 2017/18 
224 
Notes 
 
Affiliated companies 
57. Affiliated companies of the METRO AG group as of 30 September 2018  
pursuant to § 313 of the German Commercial Code 
Name 
Registered office
Country
Share 
in capital 
in %
Consolidated subsidiaries 
 
 
  
 
2. Schaper Objekt GmbH & Co. Kiel KG 
Düsseldorf
 
Germany
 
100.00
ADAGIO 2. Grundstücksverwaltungsgesellschaft mbH 
Düsseldorf
 
Germany
 
100.00
ADAGIO 3. Grundstücksverwaltungsgesellschaft mbH 
Düsseldorf
 
Germany
 
100.00
ADAGIO Grundstücksverwaltungsgesellschaft mbH 
Düsseldorf
 
Germany
 
100.00
Adolf Schaper GmbH & Co. Grundbesitz-KG 
Düsseldorf
 
Germany
 
100.00
AIB Verwaltungs GmbH 
Düsseldorf
 
Germany
 
100.00
ARKON Grundbesitzverwaltung GmbH 
Düsseldorf
 
Germany
 
100.00
ASH Grundstücksverwaltung XXX GmbH 
Düsseldorf
 
Germany
 
100.00
ASSET Immobilienbeteiligungen GmbH 
Düsseldorf
 
Germany
 
100.00
ASSET Köln-Kalk GmbH 
Düsseldorf
 
Germany
 
100.00
ASSET Zweite Immobilienbeteiligungen GmbH 
Düsseldorf
 
Germany
 
100.00
Aubepine SARL 
Châlette-sur-Loing
 
France
 
100.00
Avilo Marketing Gesellschaft m. b. H. 
Vösendorf
 
Austria
 
100.00
BAUGRU Immobilien-Beteiligungsgesellschaft mit beschränkter Haftung & Co.  
Grundstücksverwaltung KG 
Düsseldorf
 
Germany
 
100.00
Beijing Weifa Trading & Commerce Co. Ltd. 
Beijing
 
China
 
100.00
Blabert Grundstücksverwaltungsgesellschaft mbH 
Düsseldorf
 
Germany
 
94.00
cc delivery gmbh 
Meckenheim
 
Germany
 
100.00
CCG DE GmbH 
Kelsterbach
 
Germany
 
100.00
CJSC METRO Management Ukraine 
Kiev
 
Ukraine
 
100.00
Classic Coffee & Beverage Sdn Bhd 
Kuala Lumpur
 
Malaysia
 
100.00
Classic Fine Foods (Hong Kong) Limited 
Hong Kong
 
China
 
100.00
Classic Fine Foods (Macau) Ltd 
Macao
 
China
 
99.80
Classic Fine Foods (Singapore) Private Limited 
Singapore
 
Singapore
 
100.00
Classic Fine Foods (Thailand) Company Limited 
Bangkok
 
Thailand
 
100.00
Classic Fine Foods (Thailand) Holding Company Limited 
Bangkok
 
Thailand
 
49.00
Classic Fine Foods (Vietnam) Limited 
Ho Chi Minh City
 
Vietnam
 
100.00
Classic Fine Foods China Holdings Limited 
Hong Kong
 
China
 
100.00
Classic Fine Foods China Trading Limited 
Hong Kong
 
China
 
100.00
Classic Fine Foods EM LLC 
Abu Dhabi
 
United
Arab Emirates
 
50.00
Classic Fine Foods group Limited 
London
 United Kingdom
 
100.00
Classic Fine Foods Holdings Limited 
London
 United Kingdom
 
100.00
Classic Fine Foods Japan Holdings 
Tokyo
 
Japan
 
100.00
Classic Fine Foods Macau Holding Limited 
Hong Kong
 
China
 
100.00
Classic Fine Foods Netherlands BV 
Schiphol
 
Netherlands
 
100.00
Classic Fine Foods Philippines Inc. 
Makati
 
Philippines
 
100.00
Classic Fine Foods Rungis SAS 
Rungis
 
France
 
100.00
Classic Fine Foods Sdn Bhd 
Kuala Lumpur
 
Malaysia
 
100.00
Classic Fine Foods UK Limited 
London
 United Kingdom
 
100.00
Classic Fine Foodstuff Trading LLC 
Abu Dhabi
 
United
Arab Emirates
 
49.00
Concarneau Trading Office SAS 
Concarneau
 
France
 
100.00
COOL CHAIN GROUP PL Sp. z o.o. 
Cracow
 
Poland
 
100.00
Culinary Agents Italia s.r.l. 
San Donato Milanese
 
Italy
 
100.00
Dalian Metro Warehouse Management Co., Ltd. 
Dalian
 
China
 
100.00
DAYCONOMY GmbH 
Düsseldorf
 
Germany
 
100.00
Deelnemingmaatschappij Arodema B.V. 
Amsterdam
 
Netherlands
 
100.00
Deutsche SB-Kauf GmbH & Co. KG 
Düsseldorf
 
Germany
 
100.00
DFI Verwaltungs GmbH 
Düsseldorf
 
Germany
 
100.00
Dinghao Foods (Shanghai) Co. Ltd. 
Shanghai
 
China
 
100.00
DISH Plus GmbH 
Düsseldorf
 
Germany
 
100.00
Doxa Grundstücksverwaltungsgesellschaft mbH & Co. Objekt Mönchengladbach KG 
Mainz
 
Germany
 
0.001
Etablissements Blin SAS 
Saint-Gilles
 
France
 
100.00
Fideco AG 
Courgevaux
 
Switzerland
 
100.00
French F&B (Japan) Co., Ltd. 
Tokyo
 
Japan
 
93.83
Freshly CR s.r.o. 
Prague
 Czech Republic
 
100.00
Fulltrade International GmbH 
Düsseldorf
 
Germany
 
100.00
FZB Fachmarktzentrum Bous Verwaltungsgesellschaft mbH & Co. KG 
Düsseldorf
 
Germany
 
100.00

METRO ANNUAL REPORT 2017/18 
225
Notes 
 
Affiliated companies 
Name 
Registered office
Country
Share 
in capital 
in %
FZG Fachmarktzentrum Guben Verwaltungsgesellschaft mbH 
Düsseldorf
 
Germany
 
100.00
FZG Fachmarktzentrum Guben Verwaltungsgesellschaft mbH & Co.  
Vermietungs-Kommanditgesellschaft 
Düsseldorf
 
Germany
 
100.00
GBS Gesellschaft für Unternehmensbeteiligungen mbH 
Düsseldorf
 
Germany
 
100.00
GKF 6. Objekt Vermögensverwaltungsgesellschaft mbH 
Düsseldorf
 
Germany
 
100.00
GKF Grundstücks-Vermietungsgesellschaft mbH & Co. Objekt Donaueschingen KG 
Düsseldorf
 
Germany
 
100.00
GKF Grundstücks-Vermietungsgesellschaft mbH & Co. Objekt Köln-Porz KG 
Düsseldorf
 
Germany
 
100.00
GKF Grundstücksverwaltung GmbH & Co. Objekt Bremen-Vahr KG 
Düsseldorf
 
Germany
 
94.90
GKF Grundstücksverwaltung GmbH & Co. Objekt Emden KG 
Düsseldorf
 
Germany
 
94.90
GKF Grundstücksverwaltung GmbH & Co. Objekt Groß-Zimmern KG 
Düsseldorf
 
Germany
 
94.90
GKF Grundstücksverwaltung GmbH & Co. Objekt Norden KG 
Düsseldorf
 
Germany
 
94.90
GKF Grundstücksverwaltungsgesellschaft mbH & Co. Objekt Schaper Bremen-Habenhausen KG 
Düsseldorf
 
Germany
 
94.00
GKF Grundstücksverwaltungsgesellschaft mbH & Co. Objekt Wolfenbüttel KG 
Düsseldorf
 
Germany
 
94.00
GKF Vermögensverwaltungsgesellschaft mbH 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. 10. Objekt-KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. 25. Objekt-KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. 8. Objekt-KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Arrondierungsgrundstücke KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Entwicklungsgrundstücke KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Gewerbegrundstücke KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Aachen SB-Warenhaus KG 
Düsseldorf
 
Germany
 
94.90
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Bannewitz KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Bitterfeld KG 
Düsseldorf
 
Germany
 
94.90
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Bochum Otto Straße KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Braunschweig Hamburger Straße KG 
Düsseldorf
 
Germany
 
94.90
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Brühl KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Duisburg KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Edingen-Neckarhausen KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Emden KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Espelkamp KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Frankenthal KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Frankenthal-Studernheim KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Gäufelden KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Göttingen KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Hamm KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Hannover/Davenstedter Straße KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Hannover Fössestraße KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Hannover-Linden KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Heinsberg KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Herten KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Hildesheim-Senking KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Hürth KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Kassel KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Krefeld KG 
Düsseldorf
 
Germany
 
94.90
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Kulmbach KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Mönchengladbach ZV I KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Mönchengladbach ZV II KG 
Düsseldorf
 
Germany
 
94.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Mönchengladbach-Rheydt KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Münster-Kinderhaus KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Nettetal KG 
Düsseldorf
 
Germany
 
94.90
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Oldenburg KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Paderborn ‘Südring Center’ KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Pfarrkirchen KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Rastatt KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Ratingen KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Regensburg KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Saar-Grund KG 
Düsseldorf
 
Germany
 
100.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Stralsund KG 
Düsseldorf
 
Germany
 
94.90
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekt Wülfrath KG 
Düsseldorf
 
Germany
 
94.00
GKF Vermögensverwaltungsgesellschaft mbH & Co. Objekte Amberg und Landshut KG 
Düsseldorf
 
Germany
 
94.90
Goldhand Lebensmittel- u. Verbrauchsgüter- Vertriebsgesellschaft mit beschränkter Haftung 
Düsseldorf
 
Germany
 
100.00
GrandPari Limited Liability Company 
Moscow
 
Russia
 
100.00
Heim & Büro Versand GmbH 
Nister
 
Germany
 
100.00

METRO ANNUAL REPORT 2017/18 
226 
Notes 
 
Affiliated companies 
Name 
Registered office
Country
Share 
in capital 
in %
HoReCa Innovation I Carry GmbH & Co. KG 
Düsseldorf
 
Germany
 
3.361
HoReCa Innovation I GmbH & Co. KG 
Düsseldorf
 
Germany
 
100.00
HoReCa Innovation I Team GmbH & Co. KG 
Düsseldorf
 
Germany
 
42.481
HoReCa Investment I Carry GmbH & Co. KG 
Düsseldorf
 
Germany
 
3.631
HoReCa Investment I GmbH & Co. KG 
Düsseldorf
 
Germany
 
100.00
HoReCa Investment I Team GmbH & Co. KG 
Düsseldorf
 
Germany
 
46.901
HoReCa Investment Management GmbH 
Düsseldorf
 
Germany
 
100.00
HoReCa Komplementär GmbH 
Düsseldorf
 
Germany
 
100.00
HoReCa Strategic I Carry GmbH & Co. KG 
Düsseldorf
 
Germany
 
100.00
HoReCa Strategic I GmbH & Co. KG 
Düsseldorf
 
Germany
 
100.00
Horten Nürnberg GmbH 
Düsseldorf
 
Germany
 
100.00
Hospitality Digital France SAS 
Paris
 
France
 
100.00
Hospitality Digital GmbH 
Düsseldorf
 
Germany
 
100.00
Hospitality Digital Services Austria GmbH 
Vienna
 
Austria
 
100.00
Hospitality Digital Services Germany GmbH 
Düsseldorf
 
Germany
 
100.00
Hospitality.systems GmbH 
Düsseldorf
 
Germany
 
100.00
ICS METRO Cash & Carry Moldova S.R.L. 
Chişinău
 
Moldova
 
100.00
Immobilien-Vermietungsgesellschaft von Quistorp GmbH & Co. Objekt Altlandsberg KG 
Düsseldorf
 
Germany
 
90.24
Inpakcentrale ICN B.V. 
Duiven
 
Netherlands
 
100.00
Johannes Berg GmbH, Weinkellerei 
Düsseldorf
 
Germany
 
100.00
Kaufhalle GmbH 
Düsseldorf
 
Germany
 
100.00
Kaufhalle GmbH & Co. Objekt Lager Apfelstädt KG 
Düsseldorf
 
Germany
 
100.00
Klassisk Group (S) Pte. Ltd. 
Singapore
 
Singapore
 
100.00
Klassisk Investment Limited 
Hong Kong
 
China
 
97.07
KUPINA Grundstücks-Verwaltungsgesellschaft mbH & Co. KG 
Düsseldorf
 
Germany
 
100.00
Liqueur & Wine Trade GmbH 
Düsseldorf
 
Germany
 
100.00
LLC Ukrainian Wholesale Trade Company 
Kiev
 
Ukraine
 
100.00
Makro Autoservicio Mayorista S. A. U. 
Madrid
 
Spain
 
100.00
MAKRO Cash & Carry Belgium NV 
Wommelgem
 
Belgium
 
100.00
MAKRO Cash & Carry CR s.r.o. 
Prague
 Czech Republic
 
100.00
Makro Cash & Carry Egypt LLC 
Cairo
 
Egypt
 
100.00
Makro Cash & Carry Portugal S.A. 
Lisbon
 
Portugal
 
100.00
Makro Cash & Carry UK Holding Limited 
Manchester
 United Kingdom
 
100.00
Makro Cash and Carry Polska S.A. 
Warsaw
 
Poland
 
100.00
Makro Ltd. 
Manchester
 United Kingdom
 
100.00
Makro Pension Trustees Ltd. 
Manchester
 United Kingdom
 
100.00
Markthalle GmbH 
Düsseldorf
 
Germany
 
100.00
MCC Grundstücksverwaltungsgesellschaft mbH & Co. Objekt Augsburg KG 
Düsseldorf
 
Germany
 
94.90
MCC Grundstücksverwaltungsgesellschaft mbH & Co. Objekt Berlin-Friedrichshain KG 
Düsseldorf
 
Germany
 
100.00
MCC Grundstücksverwaltungsgesellschaft mbH & Co. Objekt Hamburg-Altona KG 
Düsseldorf
 
Germany
 
100.00
MCC Grundstücksverwaltungsgesellschaft mbH & Co. Objekt München-Pasing KG 
Düsseldorf
 
Germany
 
100.00
MCC Grundstücksverwaltungsgesellschaft mbH & Co. Objekt Porta-Westfalica KG 
Düsseldorf
 
Germany
 
100.00
MCC Grundstücksverwaltungsgesellschaft mbH & Co. Objekt Schwelm KG 
Düsseldorf
 
Germany
 
100.00
MCC Trading Deutschland GmbH 
Düsseldorf
 
Germany
 
100.00
MCC Trading International GmbH 
Düsseldorf
 
Germany
 
100.00
MCC Vermögensverwaltungsgesellschaft mbH & Co. Objekt Ludwigshafen KG 
Düsseldorf
 
Germany
 
94.90
MCCAP Holding GmbH 
Vienna
 
Austria
 
100.00
MCCI Asia Pte. Ltd. 
Singapore
 
Singapore
 
100.00
MDH Secundus GmbH & Co. KG 
Düsseldorf
 
Germany
 
100.00
Meister feines Fleisch – feine Wurst GmbH 
Gäufelden
 
Germany
 
100.00
METRO (Changchun) Property Service Co. Ltd. 
Changchun
 
China
 
100.00
METRO Advertising GmbH 
Düsseldorf
 
Germany
 
100.00
METRO Advertising Spółka z ograniczoną odpowiedzialnością 
Warsaw
 
Poland
 
100.00
METRO Asset Management Services GmbH 
Düsseldorf
 
Germany
 
100.00
METRO Beteiligungsmanagement Düsseldorf GmbH & Co. KG 
Düsseldorf
 
Germany
 
100.00
METRO Campus Services GmbH 
Düsseldorf
 
Germany
 
100.00
METRO Cash & Carry Bulgaria EOOD 
Sofia
 
Bulgaria
 
100.00
METRO Cash & Carry Central Asia Holding GmbH 
Vienna
 
Austria
 
100.00
METRO Cash & Carry d.o.o. 
Zagreb
 
Croatia
 
100.00
METRO Cash & Carry d.o.o. 
Belgrade
 
Serbia
 
100.00
Metro Cash & Carry Danmark ApS 
Glostrup
 
Denmark
 
100.00
Metro Cash & Carry France et Cie 
Monaco
 
Monaco
 
100.00
METRO Cash & Carry France S.A.S. 
Nanterre
 
France
 
100.00

METRO ANNUAL REPORT 2017/18 
227
Notes 
 
Affiliated companies 
Name 
Registered office
Country
Share 
in capital 
in %
Metro Cash & Carry Grundstücksverwaltungsgesellschaft mbH 
Düsseldorf
 
Germany
 
100.00
METRO Cash & Carry Import Limited Liability Company 
Noginsk
 
Russia
 
100.00
METRO Cash & Carry India Private Limited 
Bangalore
 
India
 
100.00
METRO Cash & Carry International GmbH 
Düsseldorf
 
Germany
 
100.00
METRO Cash & Carry International Holding B. V. 
Amsterdam
 
Netherlands
 
100.00
METRO Cash & Carry International Holding GmbH 
Vienna
 
Austria
 
100.00
METRO Cash & Carry Japan KK 
Tokyo
 
Japan
 
100.00
METRO Cash & Carry Myanmar Holding GmbH 
Vienna
 
Austria
 
100.00
Metro Cash & Carry Nederland B.V. 
Amsterdam
 
Netherlands
 
100.00
METRO Cash & Carry OOO 
Moscow
 
Russia
 
100.00
METRO Cash & Carry Österreich GmbH 
Vösendorf
 
Austria
 
73.00
METRO CASH & CARRY ROMANIA SRL 
Bucharest
 
Romania
 
100.00
METRO Cash & Carry Russia N.V. 
Amsterdam
 
Netherlands
 
100.00
METRO Cash & Carry SR s.r.o. 
Ivanka pri Dunaji
 
Slovakia
 
100.00
METRO Cash & Carry TOO 
Almaty
 
Kazakhstan
 
100.00
METRO Cash & Carry Ukraine Ltd. 
Kiev
 
Ukraine
 
100.00
Metro Cash & Carry Wines 
Hyderabad
 
India
 
99.99
METRO Central East Europe GmbH 
Vienna
 
Austria
 
100.00
METRO Delivery service NV 
Puurs
 
Belgium
 
100.00
METRO Deutschland GmbH 
Düsseldorf
 
Germany
 
100.00
METRO Dienstleistungs-Holding GmbH 
Düsseldorf
 
Germany
 
100.00
METRO Distributie Nederland B. V. 
Amsterdam
 
Netherlands
 
100.00
METRO DOLOMITI S.p.A. 
San Donato Milanese
 
Italy
 
100.00
METRO Dritte Verwaltungs GmbH 
Düsseldorf
 
Germany
 
100.00
METRO Erste Erwerbsgesellschaft mbH 
Düsseldorf
 
Germany
 
100.00
METRO FIM S.p.A. 
Cinisello Balsamo
 
Italy
 
100.00
METRO Finance B. V. 
Venlo
 
Netherlands
 
100.00
Metro Finanzdienstleistungs Pensionen GmbH 
Düsseldorf
 
Germany
 
100.00
Metro France Immobiliere S. à. r. l. 
Nanterre
 
France
 
100.00
METRO FSD France S.A.S. 
Rungis
 
France
 
100.00
METRO FSD Holding GmbH 
Düsseldorf
 
Germany
 
100.00
METRO Fünfte Verwaltungs GmbH 
Düsseldorf
 
Germany
 
100.00
Metro Global Business Services Private Limited 
Pune
 
India
 
100.00
Metro Grosmarket Bakirköy Alisveris Hizmetleri Ticaret Ltd. Sirketi 
Istanbul
 
Turkey
 
100.00
METRO Groß- und Lebensmitteleinzelhandel Holding GmbH 
Düsseldorf
 
Germany
 
100.00
METRO Großhandelsgesellschaft mbH 
Düsseldorf
 
Germany
 
100.00
METRO GROUP Accounting Center GmbH 
Wörrstadt
 
Germany
 
100.00
METRO Group Asset Management B.V. 
Amsterdam
 
Netherlands
 
100.00
METRO Group Asset Management Ukraine, Limited Liability Company 
Kiev
 
Ukraine
 
100.00
METRO Group Commerce (Shanghai) Co., Ltd. 
Shanghai
 
China
 
100.00
METRO GROUP COMMERCE LIMITED 
Hong Kong
 
China
 
100.00
METRO Group Properties SR s.r.o. 
Ivanka pri Dunaji
 
Slovakia
 
100.00
Metro Group Real Estate Private Limited Company 
Karachi
 
Pakistan
 
99.75
METRO Group Retail Real Estate Romania S.R.L. 
Voluntari
 
Romania
 
100.00
METRO Group Wholesale Real Estate Bulgaria EOOD 
Sofia
 
Bulgaria
 
100.00
METRO Habib Cash & Carry Pakistan (Private) Limited 
Karachi
 
Pakistan
 
100.00
Metro Holding France S. A. 
Vitry-sur-Seine
 
France
 
100.00
METRO Hospitality Digital Holding GmbH 
Düsseldorf
 
Germany
 
100.00
METRO Innovations Holding GmbH 
Düsseldorf
 
Germany
 
100.00
METRO Insurance Broker GmbH 
Düsseldorf
 
Germany
 
100.00
METRO International AG 
Baar
 
Switzerland
 
100.00
Metro International Beteiligungs GmbH 
Düsseldorf
 
Germany
 
100.00
METRO INTERNATIONAL SUPPLY GmbH 
Düsseldorf
 
Germany
 
100.00
METRO Italia Cash and Carry S. p. A. 
San Donato Milanese
 
Italy
 
100.00
METRO Jinjiang Cash & Carry Co., Ltd. 
Shanghai
 
China
 
90.00
METRO Kereskedelmi Kft. 
Budaörs
 
Hungary
 
100.00
METRO Leasing GmbH 
Düsseldorf
 
Germany
 
100.00
METRO Leasing Objekt Schwerin GmbH 
Düsseldorf
 
Germany
 
100.00
METRO LOGISTICS Germany GmbH 
Düsseldorf
 
Germany
 
100.00
METRO Logistics Polska sp. z o.o. 
Warsaw
 
Poland
 
100.00
METRO Management EOOD 
Sofia
 
Bulgaria
 
100.00
METRO Markets GmbH 
Düsseldorf
 
Germany
 
100.00
METRO North Warehouse Management (Chongqing) Co. Ltd. 
Chongqing
 
China
 
100.00

METRO ANNUAL REPORT 2017/18 
228 
Notes 
 
Affiliated companies 
Name 
Registered office
Country
Share 
in capital 
in %
Metro Properties B.V. 
Amsterdam
 
Netherlands
 
100.00
METRO Properties CR s.r.o. 
Prague
 Czech Republic
 
100.00
METRO Properties Enterprise Management Consulting (Shanghai) Co., Ltd. 
Shanghai
 
China
 
100.00
METRO PROPERTIES France SAS 
Nanterre
 
France
 
100.00
Metro Properties Gayrimenkul Yatirim A.Ş. 
Istanbul
 
Turkey
 
100.00
METRO PROPERTIES GmbH & Co. KG 
Düsseldorf
 
Germany
 
92.90
METRO PROPERTIES Holding GmbH 
Düsseldorf
 
Germany
 
100.00
METRO PROPERTIES Management GmbH 
Düsseldorf
 
Germany
 
66.67
METRO Properties Real Estate Management Spółka z ograniczoną odpowiedzialnością 
Warsaw
 
Poland
 
100.00
METRO PROPERTIES Sp. z o.o. 
Warsaw
 
Poland
 
100.00
Metro Property Management (Changsha) Co., Ltd. 
Changsha
 
China
 
100.00
METRO Property Management (Changshu) Co. Ltd. 
Changshu
 
China
 
100.00
Metro Property Management (Changzhou) Co. Ltd. 
Changzhou
 
China
 
100.00
Metro Property Management (Cixi) Co., Limited 
Cixi
 
China
 
100.00
Metro Property Management (Dongguan) Co. Ltd. 
Dongguan
 
China
 
100.00
Metro Property Management (Hangzhou) Company Limited 
Hangzhou
 
China
 
100.00
METRO Property Management (Harbin) Co. Ltd. 
Harbin
 
China
 
100.00
METRO Property Management (Huai’an) Co., Ltd. 
Huai’an
 
China
 
100.00
Metro Property Management (Jiangyin) Company Limited 
Jiangyin
 
China
 
100.00
Metro Property Management (Jiaxing) Co. Ltd. 
Jiaxing
 
China
 
100.00
Metro Property Management (Kunshan) Co. Ltd. 
Suzhou
 
China
 
100.00
METRO Property Management (Nanchang Qingshanhu) Co. Ltd. 
Nanchang
 
China
 
100.00
Metro Property Management (Nantong) Co. Ltd. 
Nantong
 
China
 
100.00
Metro Property Management (Qingdao) Company Limited 
Qingdao
 
China
 
100.00
METRO Property Management (Shenyang) Co. Ltd. 
Shenyang
 
China
 
100.00
METRO Property Management (Shenzhen) Co. Ltd. 
Shenzhen
 
China
 
100.00
Metro Property Management (Suzhou) Co., Ltd. 
Suzhou
 
China
 
100.00
METRO Property Management (Tianjin Hongqiao) Co., Ltd. 
Tianjin
 
China
 
100.00
METRO Property Management (Weifang) Co. Ltd. 
Weifang
 
China
 
100.00
METRO Property Management (Wuhu) Co. Ltd. 
Wuhu
 
China
 
100.00
METRO Property Management (Xi’an) Co., Ltd. 
Xi’an
 
China
 
100.00
METRO Property Management (Xiamen) Co., Ltd. 
Xiamen
 
China
 
100.00
METRO Property Management (Xiangyang) Co. Ltd. 
Xiangyang
 
China
 
100.00
METRO Property Management (Zhangjiagang) Co. Ltd. 
Zhangjiagang
 
China
 
100.00
Metro Property Management (Zhengzhou) Co., Ltd. 
Zhengzhou
 
China
 
100.00
METRO Property Management (Zhongshan) Co. Limited 
Zhongshan
 
China
 
100.00
METRO Property Management Wuxi Co. Ltd. 
Wuxi
 
China
 
100.00
METRO Re AG 
Düsseldorf
 
Germany
 
100.00
METRO Real Estate Ltd. 
Zagreb
 
Croatia
 
100.00
METRO Retail Real Estate GmbH 
Düsseldorf
 
Germany
 
100.00
Metro SB-Großmärkte GmbH & Co. Kommanditgesellschaft 
Esslingen am Neckar
 
Germany
 
100.00
Metro SB-Großmärkte GmbH & Co. Kommanditgesellschaft 
Linden
 
Germany
 
100.00
METRO Sechste Verwaltungs GmbH 
Düsseldorf
 
Germany
 
100.00
METRO Services PL spółka z ograniczoną odpowiedzialnością 
Szczecin
 
Poland
 
100.00
METRO Siebte Gesellschaft für Vermögensverwaltung mbH 
Düsseldorf
 
Germany
 
100.00
METRO Siebte Verwaltungs GmbH 
Düsseldorf
 
Germany
 
100.00
METRO Sourcing (Shanghai) Co., Ltd. 
Shanghai
 
China
 
100.00
METRO Sourcing International Limited 
Hong Kong
 
China
 
100.00
METRO South East Asia Holding GmbH 
Vienna
 
Austria
 
100.00
Metro Systems Romania S.R.L. 
Bucharest
 
Romania
 
100.00
METRO Systems Ukraine LLC 
Kiev
 
Ukraine
 
100.00
METRO Travel Services GmbH 
Düsseldorf
 
Germany
 
100.00
METRO Vierte Verwaltungs GmbH 
Düsseldorf
 
Germany
 
100.00
METRO Warehouse Management (Chongqing) Co. Ltd. 
Chongqing
 
China
 
100.00
Metro Warehouse Management (Hangzhou) Co. Ltd. 
Hangzhou
 
China
 
100.00
METRO Warehouse Management (Suzhou) Co. Ltd. 
Suzhou
 
China
 
100.00
Metro Warehouse Management (Taizhou) Co. Ltd 
Taizhou
 
China
 
100.00
Metro Warehouse Management (Wuhan) Co. Ltd. 
Wuhan
 
China
 
100.00
Metro Warehouse Management (Yantai) Co., Limited 
Yantai
 
China
 
100.00
METRO Warehouse Management (Zibo) Co., Ltd. 
Zibo
 
China
 
100.00
Metro Warehouse Noginsk Limited Liability Company 
Noginsk
 
Russia
 
100.00
METRO Wholesale & Food Services Vermögensverwaltung GmbH & Co. KG 
Düsseldorf
 
Germany
 
100.00
METRO Wholesale & Food Services Vermögensverwaltung Management GmbH 
Düsseldorf
 
Germany
 
100.00

METRO ANNUAL REPORT 2017/18 
229
Notes 
 
Affiliated companies 
Name 
Registered office
Country
Share 
in capital 
in %
Metro Wholesale Myanmar Ltd. 
Rangoon
 
Myanmar
 
85.00
METRO Wholesale Real Estate GmbH 
Düsseldorf
 
Germany
 
100.00
METRO-nom GmbH 
Düsseldorf
 
Germany
 
100.00
MGB METRO Group Buying RUS OOO 
Moscow
 
Russia
 
100.00
MGB METRO Group Buying TR Satinalma Ticaret Limited Sirketi 
Istanbul
 
Turkey
 
100.00
MGC METRO Group Clearing GmbH 
Düsseldorf
 
Germany
 
100.00
MGE Warenhandelsgesellschaft mbH 
Düsseldorf
 
Germany
 
100.00
MGL METRO Group Logistics Bulgaria LTD 
Sofia
 
Bulgaria
 
100.00
MGL METRO Group Logistics GmbH 
Düsseldorf
 
Germany
 
100.00
MGL METRO Group Logistics Limited Liability Company 
Noginsk
 
Russia
 
100.00
MGL METRO Group Logistics Polska Sp. z o.o. i Spólka Sp.k. 
Warsaw
 
Poland
 
99.83
MGL METRO GROUP LOGISTICS UKRAINE LLC 
Kiev
 
Ukraine
 
100.00
MGL METRO Group Logistics Warehousing Beteiligungs GmbH 
Düsseldorf
 
Germany
 
100.00
MGP METRO Group Account Processing GmbH 
Kehl
 
Germany
 
100.00
MGP METRO Group Account Processing International AG 
Baar
 
Switzerland
 
100.00
MIAG Asia Co. Ltd. 
Hong Kong
 
China
 
100.00
MIAG Commanditaire Vennootschap 
Amsterdam
 
Netherlands
 
100.00
MIP METRO Group Intellectual Property GmbH & Co. KG 
Düsseldorf
 
Germany
 
100.00
MIP METRO Group Intellectual Property Management GmbH 
Düsseldorf
 
Germany
 
100.00
MIP METRO Holding Management GmbH 
Düsseldorf
 
Germany
 
100.00
MP Gayrimenkul Yönetim Hizmetleri Anonim Şirketi 
Istanbul
 
Turkey
 
100.00
MTE Grundstücksverwaltung GmbH & Co. Objekt Duisburg oHG 
Düsseldorf
 
Germany
 
100.00
Multi-Center Warenvertriebs GmbH 
Düsseldorf
 
Germany
 
100.00
My Mart (China) Trading Co., Ltd. 
Guangzhou
 
China
 
100.00
My Mart (Shanghai) Trading Co. Ltd. 
Shanghai
 
China
 
100.00
N & NF Trading GmbH 
Düsseldorf
 
Germany
 
100.00
NIGRA Verwaltung GmbH & Co. Objekt Detmold KG 
Düsseldorf
 
Germany
 
100.00
NIGRA Verwaltung GmbH & Co. Objekt Eschweiler KG 
Düsseldorf
 
Germany
 
100.00
NIGRA Verwaltung GmbH & Co. Objekt Germersheim KG 
Düsseldorf
 
Germany
 
100.00
NIGRA Verwaltung GmbH & Co. Objekt Langendreer KG 
Düsseldorf
 
Germany
 
100.00
NIGRA Verwaltung GmbH & Co. Objekt Moers KG 
Düsseldorf
 
Germany
 
100.00
NIGRA Verwaltung GmbH & Co. Objekt Neunkirchen KG 
Düsseldorf
 
Germany
 
100.00
NIGRA Verwaltung GmbH & Co. Objekt Rendsburg KG 
Düsseldorf
 
Germany
 
100.00
NordRhein Trading GmbH 
Düsseldorf
 
Germany
 
100.00
Petit RUNGIS express GmbH 
Meckenheim
 
Germany
 
100.00
PIL Grundstücksverwaltung GmbH 
Düsseldorf
 
Germany
 
100.00
Pro à Pro Distribution Export SAS 
Montauban
 
France
 
100.00
Pro à Pro Distribution Nord SAS 
Châlette-sur-Loing
 
France
 
100.00
Pro à Pro Distribution Sud SAS 
Montauban
 
France
 
100.00
PT Classic Fine Foods Indonesia 
North Jakarta
 
Indonesia
 
100.00
Qingdao Metro Warehouse Management Co. Ltd. 
Qingdao
 
China
 
100.00
real Digital Agency GmbH 
Düsseldorf
 
Germany
 
100.00
Real Estate Management Misr Limited Liability Company 
Cairo
 
Egypt
 
100.00
real GmbH 
Düsseldorf
 
Germany
 
100.00
real,- Digital Fulfillment GmbH 
Düsseldorf
 
Germany
 
100.00
real,- Digital Services GmbH 
Düsseldorf
 
Germany
 
100.00
real,- Group Holding GmbH 
Düsseldorf
 
Germany
 
100.00
real,- Handels GmbH 
Düsseldorf
 
Germany
 
100.00
real,- Holding GmbH 
Düsseldorf
 
Germany
 
100.00
real,- SB-Warenhaus GmbH 
Düsseldorf
 
Germany
 
100.00
Remo Zaandam B.V. 
Zaandam
 
Netherlands
 
100.00
Renate Grundstücksverwaltungsgesellschaft mbH 
Düsseldorf
 
Germany
 
100.00
Retail Property 5 Limited Liability Company 
Moscow
 
Russia
 
100.00
Retail Property 6 Limited Liability Company 
Moscow
 
Russia
 
100.00
R’express Alimentos Unipersonal LDA 
Lisbon
 
Portugal
 
100.00
ROSARIA Grundstücks-Vermietungsgesellschaft mbH & Co. Objekt Gerlingen KG 
Düsseldorf
 
Germany
 
94.00 1
Rotterdam Trading Office B.V. 
Amsterdam
 
Netherlands
 
100.00
RUDU Verwaltungsgesellschaft mbH 
Düsseldorf
 
Germany
 
100.00
RUNGIS express GmbH 
Meckenheim
 
Germany
 
100.00
RUNGIS express SPAIN SL 
Palma de Mallorca
 
Spain
 
100.00
RUNGIS express Suisse Holding AG 
Courgevaux
 
Switzerland
 
100.00
RUTIL Verwaltung GmbH & Co. SB-Warenhaus Bielefeld KG 
Düsseldorf
 
Germany
 
100.00
Schaper Grundbesitz-Verwaltungsgesellschaft mbH 
Düsseldorf
 
Germany
 
100.00

METRO ANNUAL REPORT 2017/18 
230 
Notes 
 
Affiliated companies 
Name 
Registered office
Country
Share 
in capital 
in %
Sentinel GCC Holdings Limited 
Tortola
 
British
Virgin Islands
 
100.00
Servicios de Distribución a Horeca Organizada, S.L. 
Madrid
 
Spain
 
100.00
Sezam XVI Fundusz Inwestycyjny Zamknięty Aktywów Niepublicznych 
Warsaw
 
Poland
 
100.00
Shanghai Xinqing Property Management Co., Ltd. 
Shanghai
 
China
 
90.00
Shenzhen Hemaijia Trading Co. Ltd. 
Shenzhen
 
China
 
100.00
SIL Verwaltung GmbH & Co. Objekt Haidach KG 
Düsseldorf
 
Germany
 
100.00
Sinco Großhandelsgesellschaft m. b. H. 
Vösendorf
 
Austria
 
73.00
Sociedad Ibérica Restaurantes de Tecnología Avanzada S. A. U. 
Madrid
 
Spain
 
100.00
Sodeger SAS 
Château-Gontier
 
France
 
100.00
Star Farm (Shanghai) Agriculture Information Consulting Company Limited 
Shanghai
 
China
 
100.00
Star Farm Pakistan Pvt. Ltd. 
Lahore
 
Pakistan
 
100.00
STW Grundstücksverwaltung GmbH 
Düsseldorf
 
Germany
 
100.00
TIMUG GmbH & Co. Objekt Homburg KG 
Düsseldorf
 
Germany
 
0.001
TIMUG Verwaltung GmbH 
Düsseldorf
 
Germany
 
100.00
Transpro France SARL 
Montauban
 
France
 
100.00
Transpro SAS 
La Possession
 
France
 
100.00
VALENCIA TRADING OFFICE, S.L. 
Madrid
 
Spain
 
100.00
Weinkellerei Thomas Rath GmbH 
Düsseldorf
 
Germany
 
100.00
Western United Finance Company Limited 
London
 United Kingdom
 
100.00
Wholesale Real Estate Belgium N.V. 
Wommelgem
 
Belgium
 
100.00
Wholesale Real Estate Poland Sp. z o.o. 
Warsaw
 
Poland
 
100.00
Wirichs Immobilien GmbH 
Düsseldorf
 
Germany
 
100.00
Wolfgang Wirichs GmbH 
Düsseldorf
 
Germany
 
100.00
WRE Real Estate Limited Liability Partnership 
Almaty
 
Kazakhstan
 
100.00
Xi’an METRO Commercial and Trading Company Limited 
Xi’an
 
China
 
100.00
Xinsheng Property Management (Shanghai) Co., Ltd. 
Shanghai
 
China
 
90.00
Xinyan Property Management (Shanghai) Co., Ltd. 
Shanghai
 
China
 
90.00
Yugengaisha MIAG Japan 
Tokyo
 
Japan
 
100.00
ZARUS Verwaltung GmbH & Co. Objekt Mutterstadt KG 
Düsseldorf
 
Germany
 
100.00
ZARUS Verwaltung GmbH & Co. Objekte Niedersachsen KG 
Düsseldorf
 
Germany
 
100.00
 
 
Joint ventures 
 
 
 
 
CABI-SFPK JV 
Lahore
 
Pakistan
 
48.00
Intercompra LDA 
Lisbon
 
Portugal
 
50.00
MAXXAM B.V. 
Ede
 
Netherlands
 
16.67
MAXXAM C.V. 
Ede
 
Netherlands
 
16.67
MEC METRO-ECE Centermanagement GmbH & Co. KG 
Düsseldorf
 
Germany
 
50.00
MEC METRO-ECE Centermanagement Verwaltungs GmbH 
Düsseldorf
 
Germany
 
50.00
METSPA Beszerzési és Kereskedelmi Kft. 
Budaörs
 
Hungary
 
33.33
METSPA d.o.o. za trgovinu 
Zagreb
 
Croatia
 
50.00
 
 
Investments accounted for using the equity method 
 
 
 
 
EKS Handelsgesellschaft mbH 
Salzburg
 
Austria
 
15.00
EKS Handelsgesellschaft mbH & Co. KG 
Salzburg
 
Austria
 
15.00
European EPC Competence Center GmbH 
Cologne
 
Germany
 
30.00
Fachmarktzentrum Essen GmbH & Co. KG 
Pullach im Isartal
 
Germany
 
94.002
Gourmet F&B Korea Ltd. 
Seoul
 
South Korea
 
28.00
Habib METRO Pakistan (Pvt) Ltd 
Karachi
 
Pakistan
 
40.00
Helm Wohnpark Lahnblick GmbH 
Aßlar
 
Germany
 
25.00
HOSPITALITY.digital, Inc. 
Wilmington
 
USA
 
100.002
Iniziative Methab s.r.l. 
Bolzano
 
Italy
 
50.00
Kato S.à r.l. 
Luxembourg
 
Luxembourg
 
5.10
Mayfair GP S.à r.l. 
Luxembourg
 
Luxembourg
 
40.00
Mayfair Holding Company S.C.S. 
Luxembourg
 
Luxembourg
 
39.99
Napier S.à r.l. 
Luxembourg
 
Luxembourg
 
5.10
OPCI FRENCH WHOLESALE PROPERTIES – FWP 
Paris
 
France
 
5.00
OPCI FRENCH WHOLESALE STORES – FWS 
Paris
 
France
 
25.00
Peter Glinicke Grundstücks-GmbH & Co. KG 
Pullach im Isartal
 
Germany
 
50.00
Quadrant S.à r.l. 
Luxembourg
 
Luxembourg
 
5.10
Sabra S.à r.l. 
Luxembourg
 
Luxembourg
 
5.10
Tatra S.à r.l. 
Luxembourg
 
Luxembourg
 
5.10
Upton S.à r.l. 
Luxembourg
 
Luxembourg
 
5.10

METRO ANNUAL REPORT 2017/18 
231
Notes 
 
Affiliated companies 
Name 
Registered office
Country
Share 
in capital 
in %
Wilcox S.à r.l. 
Luxembourg
 
Luxembourg
 
5.10
Xiali S.à r.l. 
Luxembourg
 
Luxembourg
 
5.10
Zagato S.à r.l. 
Luxembourg
 
Luxembourg
 
5.10
Zender S.à r.l. 
Luxembourg
 
Luxembourg
 
5.10
 
 
Investments 
 
 
 
 
Culinary Agents Inc. 
Wilmington
 
USA
 
18.33
Diehl & Brüser Handelskonzepte GmbH 
Düsseldorf
 
Germany
 
100.003
eVentures Growth, L.P. 
Wilmington
 
USA
 
5.00
Horizon Achats SARL 
Paris
 
France
 
8.00
Horizon Appels d’Offres SARL 
Paris
 
France
 
8.00
Metro plus Grundstücks-Vermietungsgesellschaft mbH 
Düsseldorf
 
Germany
 
20.004
orderbird AG 
Berlin
 
Germany
 
14.18
Patagona GmbH 
Darmstadt
 
Germany
 
13.28
Planday A/S 
Copenhagen
 
Denmark
 
11.74
QUANTIS Grundstücks-Vermietungsgesellschaft mbH & Co. Objekt Darmstadt KG 
Schönefeld
 
Germany
 
6.00
real,- Digital Payment & Technology Services GmbH 
Düsseldorf
 
Germany
 
100.003
Retail Media Group GmbH 
Düsseldorf
 
Germany
 
24.99
RTG Retail Trade Group GmbH 
Hamburg
 
Germany
 
16.67
Shore GmbH 
Munich
 
Germany
 
12.41
Verwaltungsgesellschaft Lebensmittelgesellschaft ‘GLAWA’ mbH & Co. KG 
Hamburg
 
Germany
 
18.75
Yoyo Wallet Ltd. 
London
 United Kingdom
 
12.44
 
1 Inclusion according to IFRS 10. 
2 No full consolidation due to minor materiality for the assets, financial and earnings position. 
3 No full consolidation and not accounted for using the equity method due to minor materiality for the asset, financial and earnings position. 
4 Not accounted for using the equity method due to minor materiality for the asset, financial and earnings position. 
 
22 November 2018 
 
The Management Board 
 
 
 
 
 
 
OLAF KOCH
PHILIPPE PALAZZI
HEIKO HUTMACHER
CHRISTIAN BAIER

METRO ANNUAL REPORT 2017/18 
232 
Responsibility statement of the legal representatives 
RESPONSIBILITY STATEMENT OF THE LEGAL REPRESENTATIVES 
We hereby ensure to the best of our knowledge, and in accordance with the applicable reporting principles, that 
the annual financial statements give a true and fair view of the asset, financial and earnings position of the group, 
and the combined management report includes a fair review of the development and performance of the business 
and the position of the group, together with a description of the principal opportunities and risks associated with 
the expected development of the group. 
 
22 November 2018 
 
The Management Board 
 
 
 
 
 
OLAF KOCH
PHILIPPE PALAZZI
HEIKO HUTMACHER
CHRISTIAN BAIER

METRO ANNUAL REPORT 2017/18 
233
Independent auditor’s report 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
TO METRO AG 
REPORT ON THE AUDIT OF THE  
CONSOLIDATED FINANCIAL STATEMENTS  
AND OF THE COMBINED MANAGEMENT REPORT 
Opinions 
We have audited the consolidated financial statements of METRO AG and its subsidiaries (‘the Group’ or ‘METRO’) – 
which comprise the consolidated balance sheet as at 30 September 2018, the consolidated income statement,  
the reconciliation of profit or loss for the period to total comprehensive income, the consolidated statement  
of changes in equity and the consolidated cash flow statement for the financial year from 1 October 2017 to 30 Sep-
tember 2018, and notes to the consolidated financial statements, including a summary of significant accounting 
policies. In addition, we have audited the combined management report of METRO for the financial year from 
1 October 2017 to 30 September 2018. In accordance with the German legal requirements we have not audited the 
content of the non-financial statement, which is included in the ‘combined non-financial statement of METRO AG’ 
section of the combined management report. 
 
In our opinion, on the basis of the knowledge obtained in the audit, 
— the accompanying consolidated financial statements comply, in all material respects, with the IFRSs as adopted 
by the EU, and the additional requirements of German commercial law pursuant to Section 315e (1) HGB  
[Handelsgesetzbuch: German Commercial Code] and in compliance with these requirements, give a true and 
fair view of the assets, liabilities, and financial position of the Group as at 30 September 2018, and of its finan-
cial performance for the financial year from 1 October 2017 to 30 September 2018, and  
— the accompanying combined management report as a whole provides an appropriate view of the Group’s  
position. In all material respects, this combined management report is consistent with the consolidated financial 
statements, complies with German legal requirements and appropriately presents the opportunities and risks  
of future development. Our opinion on the combined management report does not cover the content of the 
non-financial statement mentioned above.  
Pursuant to Section 322 (3) sentence 1 HGB, we declare that our audit has not led to any reservations relating to 
the legal compliance of the consolidated financial statements and of the combined management report.  
Basis for the Opinions 
We conducted our audit of the consolidated financial statements and of the combined management report in ac-
cordance with Section 317 HGB and the EU Audit Regulation No 537/2014 (referred to subsequently as “EU Audit 
Regulation”) and in compliance with German Generally Accepted Standards for Financial Statement Audits prom-
ulgated by the Institut der Wirtschaftsprüfer [Institute of Public Auditors in Germany] (IDW). Our responsibilities 
under those requirements and principles are further described in the “Auditor’s Responsibilities for the Audit of the 
Consolidated Financial Statements and of the Combined Management Report” section of our auditor’s report. We 
are independent of the group entities in accordance with the requirements of European law and German commer-
cial and professional law, and we have fulfilled our other German professional responsibilities in accordance with 
these requirements. In addition, in accordance with Article 10 (2)(f) of the EU Audit Regulation, we declare that we 
have not provided non-audit services prohibited under Article 5 (1) of the EU Audit Regulation. We believe that the 
evidence we have obtained is sufficient and appropriate to provide a basis for our opinions on the consolidated 
financial statements and on the combined management report.

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Independent auditor’s report 
Key Audit Matters in the Audit  
of the Consolidated Financial Statements 
Key audit matters are those matters that, in our professional judgement, were of most significance in our audit  
of the consolidated financial statements for the financial year from 1 October 2017 to 30 September 2018. These 
matters were addressed in the context of our audit of the consolidated financial statements as a whole, and in 
forming our opinion thereon, we do not provide a separate opinion on these matters. 
 
— The measurement and recognition of the hypermarket operations pursuant to IFRS 5 
 
For the accounting policies applied, we refer to the disclosures in the notes in the section ‘Explanatory  
notes to the group accounting principles and methods’. Disclosures on the discontinued operation of the  
SB Warenhaus (hypermarket) operation and the corresponding disposal group can be found in the notes  
to consolidated financial statements under Note 12 and 31. 
THE FINANCIAL STATEMENT RISK 
In an ad hoc announcement pursuant to Article 17 (1) of the EU Market Abuse Regulation [MAR] on 13 September 
2018 the Management Board of METRO AG announced that it was starting the process of selling the Real retail 
business including the associated business activities. METRO assumes that the sale can most likely be executed in 
the 2018/19 financial year and has thus classified the hypermarket operations as a discontinued operation pursuant 
to IFRS 5. 
The assets held for sale amount to EUR 2,580 million as at the reporting date. The liabilities associated with the 
assets held for sale amount to EUR 1,691 million as at the reporting date. For the 2017/18 financial year METRO 
recognised a post-tax loss from discontinued operations in the amount of EUR -110 million.  
To be classified as a discontinued operation, the operations must be available for sale in their current state, the 
sale must be highly probable and be expected within one year of classification. If these three conditions are met, 
then the special presentation and measurement rules of IFRS 5 apply. 
The classification of the hypermarket operations as discontinued operations and the measurement of the  
corresponding disposal group pursuant to IFRS 5 are complex and require judgement. 
There is the risk for the consolidated financial statements that the sale of the discontinued operation is not 
highly probable in the 2018/19 financial year and thus that the classification and presentation as a discontinued 
operation and the corresponding disposal group pursuant to IFRS 5 are not appropriate. Furthermore, there is  
also the risk that the fair value less costs to sell is lower than the carrying amount of the assets held for sale less 
the liabilities associated with the assets held for sale. There is the risk that the disclosures in the notes to the  
consolidated financial statements regarding the discontinued operation are not appropriate. 
OUR AUDIT APPROACH 
We initially evaluated whether the classification and presentation of the hypermarket operations as discontinued 
operations and the corresponding disposal group pursuant to IFRS 5 are appropriate. In this assessment we ques-
tioned the Management Board and specialist departments charged with project responsibility regarding the status 
of the sale process and assessed internal and external reporting.  
We assessed the appropriateness and the key assumptions made to determine the fair value less costs to sell  
of the assets and liabilities held for sale. In addition, we discussed the selling price expected by METRO AG with 
the Management Board and the responsible employees in the specialist departments. We also carried out plausibil-
ity assessments using other internally available valuations from external consultants, who are supporting METRO AG 
with the selling process. In doing so we also evaluated the competence, professional skills and impartiality of the 
external consultants. 
Furthermore, we also evaluated whether the explanations in the notes to the consolidated financial statements 
on the discontinued operation are appropriate. 
OUR OBSERVATIONS 
The classification and presentation of the hypermarket operations as discontinued operations and the correspond-
ing disposal group pursuant to IFRS 5 are appropriate. The judgements exercised in relation to the measurement 
are within an acceptable range and are balanced on the whole. The explanations in the notes to the consolidated 
financial statements on the discontinued operation are appropriate.

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Independent auditor’s report 
 
 
— Impairment testing of goodwill 
 
For the accounting policies applied, we refer to the disclosures in the notes in the section ‘Explanatory notes 
to the group accounting principles and methods’. Disclosures on the development of goodwill as well as  
impairment testing can be found in Note 19 to the consolidated financial statements. 
THE FINANCIAL STATEMENT RISK 
Goodwill in the amount of EUR 797 million was reported in the consolidated financial statements of METRO AG  
as at 30 September 2018. Goodwill is allocated pursuant to IAS 36 to groups of cash-generating units that are 
expected to benefit from the business combination in which the goodwill arose. These units are the organisational 
sales line units per country for the METRO Wholesale and Real segments.  
Goodwill is tested for impairment annually and as required. The starting point for identifying any impairment 
loss is the recoverable amount, which at METRO generally corresponds to fair value less the costs to sell and  
is compared with the respective carrying amount of the group of cash-generating units. In doing so, fair value is 
measured according to the discounted cash flow method. The reporting date for impairment testing is 30 June 2018. 
Impairment testing is based on cash flow planning, the starting point of which is the multi-year plan prepared 
by METRO. Future cash flows are discounted using the weighted average cost of capital of the groups of respec-
tive cash-generating units. 
The result of this impairment testing is highly dependent upon estimates of future cash flows as well as the cost 
of capital used and therefore subject to considerable uncertainty. There is a risk for the financial statements that 
impairment losses are recognised too late or not at all.  
In addition, IAS 36 requires extensive disclosures in the notes to the financial statements, particularly also in 
terms of METRO’s consideration of the potential sensitivity of material measurement assumptions and parameters. 
There is the risk that the disclosures in the notes are not complete and adequate. 
OUR AUDIT APPROACH 
Our audit, which we carried out with the involvement of our own valuation experts, included, among others,  
assessing the appropriateness of the valuation model underlying impairment testing, particularly in terms of the 
accounting policies used as well as formal and computational accuracy. 
We confirmed the appropriateness of the future cash flows used in the calculation, among others, by compar-
ing this information to the current budget figures in the multi-year plan prepared by METRO as well as through 
comparison with general and industry-specific market expectations. In this regard, we also confirmed the appro-
priateness of METRO’s budget process. Furthermore, we assessed the appropriateness of the long-term growth 
rates assumed. In addition, we critically analysed previous adherence to the budget on the basis of past target/ 
actual deviations prepared by METRO. We also discussed the multi-year plan with those responsible for the budg-
et, paying particular regard to improvements in operating profitability in the detailed planning period. 
In view of the very high sensitivity of the calculated fair values to changes in the cost of capital, we rigorously 
examined – by taking into account country-specific particulars – the underlying assumptions and parameters for 
the cost of capital, especially the risk-free rate, market risk premium and beta coefficient, and assessed the calcula-
tion formula for computational and formal accuracy. Based on the sensitivity analyses carried out by METRO, we 
examined to what extent a reasonably possible change to the assumptions underlying the calculation could require 
recognising an impairment loss.  
We also audited the completeness and adequacy of the disclosures in the notes to the consolidated financial 
statements pursuant to IAS 36. 
OUR OBSERVATIONS 
The valuation model used for impairment testing is appropriate and in line with applicable IFRS accounting  
policies. Moreover, the measurement assumptions and parameters used by METRO are within an appropriate range 
and are reasonable. The disclosures in the notes are accurate.

METRO ANNUAL REPORT 2017/18 
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Independent auditor’s report 
 
 
— Impairment testing of land and buildings 
 
For the accounting policies applied, we refer to the disclosures in the notes in the section ‘Explanatory notes 
to the group accounting principles and methods’. Disclosures on movements in property, plant and equip-
ment is provided under Note 21 in the notes. We also refer to Note 15 in the notes on depreciation of proper-
ty, plant and equipment. 
THE FINANCIAL STATEMENT RISK 
Land and buildings with a carrying amount of EUR 3,763 million were reported in the consolidated financial state-
ments of METRO AG as at 30 September 2018. In the year under review, impairment losses of EUR 22 million were 
recognised. 
In accordance with IAS 36, real estate must be tested for impairment if there are any indications of potential 
impairment. Indications of potential impairment especially include the performance of operations and the real 
estate market. Pursuant to IAS 36, the carrying amount of the affected cash-generating unit must be compared 
with its recoverable amount for impairment testing purposes. The recoverable amount of a cash-generating unit is 
the higher of its fair value less costs to sell and its value in use. METRO regularly carries out impairment tests 
based on fair value less costs to sell. The basis for measurement is the present value of the future cash flows of the 
cash-generating unit, which is determined using the discounted cash flow method. Impairment testing is based on 
the cash flow planning of the cash-generating unit. 
This measurement is highly dependent upon the estimates of future cash flows as well as the interest rates used 
and therefore subject to considerable uncertainty. There is the risk that necessary impairment losses are recog-
nised too late or not at all. 
OUR AUDIT APPROACH 
The starting point for our audit were the indications of impairment of land and buildings identified by METRO We 
initially assessed which land and buildings indicated impairment using information obtained in the course of our 
audit.  
Our audit, which we carried out with the involvement of our own valuation experts, included, among others,  
assessing the appropriateness of the valuation models underlying impairment testing, particularly in terms of the 
accounting policies used as well as formal and computational accuracy. We confirmed the appropriateness of the 
future cash flows and market rents used in the calculation, among others, by comparing this information with the 
current budget figures as well as through comparison with general and use-specific market data. In addition,  
we addressed the cost of capital as well as real-estate-specific discount and capitalisation rates. In addition, we 
critically analysed previous adherence to the budget on the basis of past target/actual deviations prepared by 
METRO. 
OUR OBSERVATIONS 
Indications of impairment of land and buildings were appropriately identified. The valuation models used for im-
pairment testing are appropriate and in line with the applicable accounting policies. Moreover, the measurement 
assumptions and parameters used are appropriate and reasonable.  
 
— Impairment testing of deferred tax assets 
 
For the accounting policies applied, we refer to the disclosures in the notes in the section ‘Explanatory notes 
to the group accounting principles and methods’. Please see Note 25 in the notes for disclosures on deferred 
tax assets and liabilities. 
THE FINANCIAL STATEMENT RISK 
EUR 365 million in deferred tax assets after netting is recognised in METRO’s consolidated financial statements as 
at 30 September 2018; EUR 136 million is attributable to loss carryforwards before netting. 
For the measurement of deferred tax assets, METRO has to assess to what extent it is probable that current de-
ferred tax assets can be utilised in subsequent reporting periods. Utilising these deferred tax assets requires that 
sufficient taxable income is generated in future periods. If, on the other hand, there is reasonable doubt about  
the future usability of the deferred tax assets determined, these are not recognised or if deferred tax assets have 
already been recognised, they are written down. The recognition of deferred tax assets and liabilities greatly de-
pends on estimates and assumptions about the operating performance of country units and the Group’s tax plan-
ning and, thus, is subject to significant uncertainty. Moreover, utilising deferred tax assets also depends on the 
respective tax environment. The risk for the consolidated financial statements is that deferred tax assets are  
recognised that then cannot be realised in the future due to insufficient taxable income.

METRO ANNUAL REPORT 2017/18 
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Independent auditor’s report 
 
 
OUR AUDIT APPROACH 
We involved our own tax specialists in the audit to assess tax matters. We initially critically examined the tempo-
rary differences between the IFRS carrying amounts and the respective tax base. We also reconciled the tax losses 
carried forward for the German reporting entity with the tax assessment notices and the tax calculations for the 
current financial year and assessed off-balance sheet corrections. In the process, we tested the deferred tax assets 
for impairment on the basis of internal forecasts prepared by METRO on the future tax income situation, and criti-
cally assessed the underlying assumptions.  
Furthermore, we compared the planned future taxable income with the multi-year plan prepared by the METRO 
and checked it for consistency.  
In addition, we incorporated our findings from the critical analysis of previous adherence to the budget on  
the basis of past target/actual deviations prepared by METRO as well as our assessment of further substantial 
supporting documents to achieve the budgeted taxable income.  
OUR OBSERVATIONS 
The assumptions for the measurement of deferred tax assets are appropriate.  
 
— Recoverability of inventories 
 
For the accounting policies applied, we refer to the disclosures in the notes in the section ‘Explanatory notes 
to the group accounting principles and methods’. In addition, we refer to Note 26 in the notes on the recov-
erability of inventories. 
THE FINANCIAL STATEMENT RISK 
The balance sheet as at 30 September 2018 reports inventories in the amount of EUR 2,108 million, of which 
EUR 70 million refers to write-downs. 
Inventories initially measured at cost (taking into account incidental acquisition costs and reductions in the cost 
of acquisition due to subsequent compensation) must be reduced in value if the inventories are damaged, fully or 
partially obsolete or if their expected net realisable values no longer cover cost. The determination of net realisable 
values as an upper limit is subject to judgement. Net realisable value requires in part forward-looking estimates 
with regard to the amounts that are expected to be realised when selling the inventories. There is the risk for the 
consolidated financial statements that inventories are overvalued due to unidentified write-down requirements.  
OUR AUDIT APPROACH 
Based on our understanding of the process used to test the recoverability of inventories, we assessed the estab-
lishment, design and functionality of the identified internal controls, especially in terms of the calculation of  
expected net realisable values.  
We verified the computational accuracy of the calculations to determine net realisable value and the write-down 
requirement for inventory items deliberately selected according to risk and size. We assessed the appropriateness 
of the expected net realisable values and write-down rates applied for inventory obsolescence, damage and range 
of coverage using METRO’s historical and empirical values, among others. 
OUR OBSERVATIONS 
The assumptions underlying the net realisable values as well as judgements exercised are appropriate and  
reasonable.  
 
— Recognising compensation from suppliers 
 
For the accounting policies applied, we refer to the disclosures in the notes in the section ‘Explanatory notes  
to the group accounting principles and methods’ under ‘Other notes’. In addition, we refer to Note 24 in the 
notes on other financial assets. 
THE FINANCIAL STATEMENT RISK 
The Group’s balance sheet as at 30 September 2018 presents receivables from suppliers in the amount of 
EUR 328 million under ‘Other financial assets’.  
The companies of METRO conclude agreements with suppliers on purchasing terms and conditions. These  
include, among others, agreements on subsequent discounts, rebates and other compensation from suppliers to 
METRO. Presentation of these agreements in the balance sheet and the income statement requires some judge-
ments and assumptions such as on achieving calendar year targets, which have a direct influence on the recogni-
tion of receivables from suppliers under the aforementioned agreements. There is the risk for the consolidated 
financial statements that the level of compensation realised from suppliers was estimated inaccurately so that the 
amount recognised for receivables from suppliers is too high.

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Independent auditor’s report 
 
 
OUR AUDIT APPROACH 
We examined the process for recognising and documenting supplier agreements and the establishment and de-
sign of the identified internal controls and assessed the effectiveness of the relevant internal controls in terms of 
the amount and accuracy of supplier compensation.  
We confirmed the underlying supplier agreements for a deliberate selection of receivables from suppliers 
based on size and risk, and assessed the recognition of supplier compensation in the balance sheet and income 
statement by evaluating the contractual arrangements. To that end, we scrutinised, among others, the underlying 
assumptions and data used to recognise the receivables from suppliers for realised but not yet invoiced compen-
sation taking into account past experience.  
OUR OBSERVATIONS 
The recognition of the realised compensation from suppliers is consistent with the underlying supplier terms and 
conditions/agreements with the suppliers.  
On the whole, the assumptions used to assess the level of realisation of suppliers’ compensation not yet  
invoiced are appropriate. 
Other Information 
Management is responsible for the other information. The other information comprises: 
— the non-financial statement and 
— the remaining parts of the annual report, with the exception of the audited consolidated financial statements 
and combined management report and our auditor’s report.  
Our opinions on the consolidated financial statements and on the combined management report do not cover  
the other information, and consequently we do not express an opinion or any other form of assurance conclusion 
thereon.  
In connection with our audit, our responsibility is to read the other information and, in so doing, to consider 
whether the other information  
— is materially inconsistent with the consolidated financial statements, with the combined management report or 
our knowledge obtained in the audit, or  
— otherwise appears to be materially misstated.  
Responsibilities of the Management Board and the Supervisory Board  
for the Consolidated Financial Statements and the Combined Management Report 
The Management Board is responsible for the preparation of the consolidated financial statements that comply, in 
all material respects, with IFRSs as adopted by the EU, and the additional requirements of German commercial  
law pursuant to Section 315e (1) HGB and that the consolidated financial statements, in compliance with these 
requirements, give a true and fair view of the assets, liabilities, financial position, and financial performance of the 
Group. In addition, the Management Board is responsible for such internal control as they have determined neces-
sary to enable the preparation of consolidated financial statements that are free from material misstatement, 
whether due to fraud or error.  
In preparing the consolidated financial statements, the Management Board is responsible for assessing the 
Group’s ability to continue as a going concern, Furthermore, the Management Board is responsible for disclosing, 
as applicable, matters related to going concern. In addition, the Management Board is responsible for financial 
reporting based on the going concern basis of accounting unless there is an intention to liquidate the Group or to 
cease operations, or there is no realistic alternative but to do so. 
Moreover, the Management Board is responsible for the preparation of the combined management report that, 
as a whole, provides an appropriate view of the Group’s position and is, in all material respects, consistent with  
the consolidated financial statements, complies with German legal requirements, and appropriately presents  
the opportunities and risks of future development. In addition, the Management Board is responsible for such  
arrangements and measures (systems) as they have considered necessary to enable the preparation of a combined 
management report that is in accordance with the applicable requirements of German legal requirements, and  
to be able to provide sufficient appropriate evidence for the assertions in the combined management report. 
The Supervisory Board is responsible for overseeing the Group’s financial reporting process for the preparation 
of the consolidated financial statements and of the combined management report.

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Independent auditor’s report 
 
 
Auditor’s Responsibilities for the Audit of the Consolidated Financial Statements  
and of the Combined Management Report 
Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole 
are free from material misstatements, whether due to fraud or error, and whether the combined management  
report as a whole provides an appropriate view of the Group’s position and, in all material respects, is consistent 
with the consolidated financial statements and the knowledge obtained in the audit, complies with the German 
legal requirements and appropriately presents the opportunities and risks of future development, as well as to 
issue an auditor’s report that includes our opinions on the consolidated financial statements and on the combined 
management report.  
Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance 
with Section 317 HGB and the EU Audit Regulation and in compliance with German Generally Accepted Standards 
for Financial Statement Audits promulgated by the Institut der Wirtschaftsprüfer (IDW) will always detect a mate-
rial misstatement. Misstatements can arise from fraud or error and are considered material if, individually or in  
the aggregate, they could reasonably be expected to influence the economic decisions of users taken on the basis 
of these consolidated financial statements and this combined management report. 
We exercise professional judgement and maintain professional scepticism throughout the audit. We also: 
— Identify and assess the risks of material misstatements of the consolidated financial statements and of the 
combined management report, whether due to fraud or error, design and perform audit procedures responsive 
to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinions. 
The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from er-
ror, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal 
controls. 
— Obtain an understanding of internal control relevant to the audit of the consolidated financial statements and 
of arrangements and measures (systems) relevant to the audit of the combined management report in order to 
design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an 
opinion on the effectiveness of these systems. 
— Evaluate the appropriateness of accounting policies used by the Management Board and the reasonableness of 
estimates made by the Management Board and related disclosures.  
— Conclude on the appropriateness of the Management Board’s use of the going concern basis of accounting 
and, based on the audit evidence obtained, whether a material uncertainty exists related to events or condi-
tions that may cast significant doubt on the Group’s ability to continue as a going concern. If we conclude that 
a material uncertainty exists, we are required to draw attention in the auditor’s report to the related disclosures 
in the consolidated financial statements and in the combined management report or, if such disclosures are  
inadequate, to modify our respective opinions. Our conclusions are based on the audit evidence obtained up to 
the date of our auditor’s report. However, future events or conditions may cause the Group to cease to be able 
to continue as a going concern. 
— Evaluate the overall presentation, structure and content of the consolidated financial statements, including the 
disclosures, and whether the consolidated financial statements present the underlying transactions and events 
in a manner that the consolidated financial statements give a true and fair view of the assets, liabilities, financial 
position and financial performance of the Group in compliance with IFRSs as adopted by the EU and the addi-
tional requirements of German commercial law pursuant to Section 315e (1) HGB.  
— Obtain sufficient appropriate audit evidence regarding the financial information of the entities or business  
activities within the Group to express opinions on the consolidated financial statements and on the combined 
management report. We are responsible for the direction, supervision and performance of the group audit.  
We remain solely responsible for our opinions.  
— Evaluate the consistency of the combined management report with the consolidated financial statements, its 
conformity with [German] law, and the view of the Group’s position it provides. 
— Perform audit procedures on the prospective information presented by the Management Board in the com-
bined management report. On the basis of sufficient appropriate audit evidence we evaluate, in particular,  
the significant assumptions used by the Management Board as a basis for the prospective information, and 
evaluate the proper derivation of the prospective information from these assumptions. We do not express a 
separate opinion on the prospective information and on the assumptions used as a basis. There is a substantial 
unavoidable risk that future events will differ materially from the prospective information.

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Independent auditor’s report 
 
 
We communicate with those charged with governance regarding, among other matters, the planned scope and 
timing of the audit and significant audit findings, including any significant deficiencies in internal control that we 
identify during our audit. 
We also provide the Supervisory Board with a statement that we have complied with the relevant independ-
ence requirements, and communicate with them all relationships and other matters that may reasonably be 
thought to bear on our independence, and where applicable, the related safeguards. 
From the matters communicated with the Supervisory Board, we determine those matters that were of most 
significance in the audit of the consolidated financial statements of the current period and are therefore the key 
audit matters. We describe these matters in our auditor’s report unless law or regulation precludes public 
disclosure about the matter.  
Further Information pursuant to Article 10 of the EU Audit Regulation 
We were elected as group auditor at the annual general meeting on 16 February 2018 and engaged by the  
Supervisory Board on the same date. We have been the group auditor of METRO AG without interruption since the 
2016/17 financial year.  
We declare that the opinions expressed in this auditor’s report are consistent with the additional report to the 
Audit Committee pursuant to Article 11 of the EU Audit Regulation (long-form audit report). 
German Public Auditor Responsible for the Engagement 
The German Public Auditor responsible for the engagement is Gereon Lurweg. 
 
 
Cologne, 22 November 2018 
KPMG AG 
Wirtschaftsprüfungsgesellschaft 
 
 
LURWEG 
Auditor 
DR HAIN 
Auditor

243 
– 
251
S
R
VI
E
Service 
243 GLOSSARY
250  MULTI-YEAR OVERVIEW
251 INFORMATION
251  FINANCIAL 
CALENDAR 2018/19

METRO ANNUAL REPORT 2017/18 
243
Service 
 
Glossary 
A 
Accelerator 
Initiative that supports start-ups, for example through 
coaching, thus accelerating the development and 
implementation of their business ideas. METRO has 
launched the METRO Accelerator powered by 
Techstars to support start-ups with innovative technol-
ogies for use in the food service, hospitality, catering 
and retail sectors. 
 
Amfori Business Social Compliance Initiative (BSCI) 
Founded in 2003, this global business association  
for open and sustainable trade works to ensure that 
production in all supplier countries complies with min-
imum social standards. The initiative aligns its stand-
ards with the UN’s Universal Declaration of Human 
Rights and the conventions of the International Labour 
Organization (ILO).  
 
Audit 
A procedure that assesses an organisation’s processes 
and structures according to previously formulated 
standards and guidelines. Audits shed light on the 
effectiveness of process optimisation measures. If an 
audit is conducted by an external auditor, the certifi-
cate issued after the review can be used as evidence 
of adherence to standards. 
C 
Carbon Disclosure Project (CDP) 
The unaffiliated organisation was founded in London 
in 2000 by companies. It aims to disclose companies’ 
CO2 emissions as well as their climate and reduction 
risks, thereby contributing to the transparency of their 
corporate financial reporting on climate-relevant data. 
Each year, the CDP conducts standardised company 
surveys on a voluntary basis. 
 
Commercial Paper Programme 
Ongoing capital market programme typical of money 
markets that covers short-term financing needs. It 
facilitates the issuance of commercial papers (CP)  
as discounted, unsecured bearer bonds without  
standardised terms of maturity. 
 
Committee of Sponsoring Organizations  
of the Treadway Commission (COSO) 
US-based private-sector organisation that developed 
and published a standard for internal controls in  
1992 that is recognised by the US Securities and  
Exchange Commission. In 2004, this standard was 
updated and the COSO ERM (Enterprise Risk Manage-
ment – Integrated Framework), also known as  
COSO II, was published. 
 
Compliance 
All measures specifying a company’s and its  
employees’ behaviour in accordance with legislation, 
established social guidelines and values. 
 
Cost of capital  
See Weighted Average Cost of Capital (WACC). 
 
Currency effects 
Currency effects result from situations where  
identical quantities of currency units are translated 
into another currency at differing exchange rates. 
GLOSSARY

METRO ANNUAL REPORT 2017/18 
244 
Service 
 
Glossary 
D 
Diversity management 
A central element of HR policy that harnesses the 
diversity of employees in terms of gender, age, ethnic-
ity, beliefs, sexual identities and potential disabilities 
for corporate success.  
 
Dow Jones Sustainability Index (DJSI) 
An index family that measures the sustainability of a 
company. The measurement is comprised of econom-
ic, environmental and social criteria. The measured 
criteria for listed companies include, among others, 
corporate management, workforce policy, transparen-
cy, human rights, and risk management. Among all 
sustainability indices, the DJSI family carries a particu-
lar cachet in terms of quality.  
 
 
E 
Earn-out 
Conditional purchase price (part) payment in the  
context of a business acquisition, usually tied to a 
performance target. 
 
EBIT (Earnings Before Interest and Taxes) 
Profit or loss before financial result and (income)  
taxes. Due to its independence from different forms  
of financing and tax systems, the key figure can also 
be used internationally for comparison with other 
companies.  
 
EBITaC (Earnings Before Interest and Taxes  
after Cost of Capital) 
EBIT after the costs of the employed capital (EBITaC). 
This indicator shows whether a company successfully 
uses its business assets and achieves value added  
that exceeds the cost of capital.  
 
EBITDA (Earnings Before Interest, Taxes,  
Depreciation and Amortisation) 
Profit or loss before interest result, income taxes, de-
preciation/amortisation/impairment losses/reversals 
of impairment losses on property, plant and equip-
ment, intangible assets and investment properties. 
This key figure serves the purpose of comparing  
companies with accounting systems that follow differ-
ent accounting rules. 
 
EBITDAR (Earnings Before Interest, Taxes,  
Depreciation, Amortisation and Rent) 
EBITDAR is defined as the EBITDA before  
expenses or income from leases. 
 
EBT (Earnings Before Taxes) 
Profit or loss before (income) taxes. This indicator  
is used to compare companies, although different 
taxation systems may exist. 
 
E-commerce 
Short for electronic commerce, the electronic  
marketing and trading of goods and services over  
the Internet. 
 
EPS (Earnings per Share) 
See earnings per share 
 
Earnings per Share (basic/diluted) 
The earnings per share (basic) are calculated by dividing 
the profit or loss attributable to the shareholders  
of METRO AG by the weighted average of shares in 
circulation. The earnings per share (diluted) give addi-
tional consideration to the effect of so-called potential 
shares, such as those issued in the context of stock 
options. 
 
EVA (Economic Value Added) 
Value-oriented key figure that depicts the absolute 
value contribution of a company created in a single 
period under consideration of a risk-adjusted interest 
rate. It is derived from the difference between the 
company profit after tax and the cost of capital on the 
average capital employed. 
 
 
F 
Fair value 
Recognised fair value. Amount that would have been 
received in return for the disposal of an asset or paid 
for the assignment of a debt in an ordinary trans-
action conducted between market participants on the 
assessment date. 
 
Food, non-food 
Under the global term food, METRO summarises the 
following categories of goods: fresh foods, durable 
foods, nutrients, frozen foods and drinks of all kinds, 
as well as luxury foods, dietary supplements and  
pet food, but also detergents, cleansers and cleaning 
agents, which are sometimes also labelled as near-
food. All other goods are considered non-food items.

METRO ANNUAL REPORT 2017/18 
245
Service 
 
Glossary 
Food Lover concept 
See hybrid-store concept. 
 
Free cash flow 
Free cash flow = EBITDA reported – investments  
excluding finance leases renewals and Mergers &  
Acquisitions +/– changes in net working capital. 
 
Free cash flow conversion 
Free cash flow conversion = (EBITDA reported –  
investments excluding finance leases renewals and 
Mergers & Acquistions +/- changes in net working 
capital) reported EBITDA. 
 
Franchising 
Also licence sales or franchising system. Contractually 
regulated form of organisation: the franchisor grants 
independent franchisees the right to offer certain 
goods or services using a franchisor’s name or trade-
mark. 
 
 
G 
Global Food Safety Initiative (GFSI)  
The initiative was established in 2000 by retail  
companies. It is the world’s largest organisation for the 
improvement of food safety. The initiative promotes 
the establishment of international audits that reduce 
food-related risks and evaluate food suppliers within 
that context. 
 
GLOBALG.A.P.  
A private-sector organisation that certifies agricultural 
and aquacultural products. The standard for ‘good 
agricultural practice’ (GAP) resulted from an initiative 
started by European retail companies. 
 
Governance 
Statutory and factual regulatory framework for the 
management and supervision of a company.
H 
HoReCa 
Short for hotel, restaurant and catering businesses. 
The HoReCa segment is an important customer group 
for METRO Wholesale.  
 
Hospitality industry sector 
Food service, hospitality industry. Summary term  
for hotels, restaurants and catering companies, often 
referred to as HoReCa industry sector. 
 
Hybrid-store concept 
Also referred to as a Food Lover concept. New store 
concept of the METRO sales line Real, which focuses 
on the customer and uses the advantages of large-
scale hypermarkets. This hybrid-store concept consid-
ers the rational and emotional desires and needs of 
different customer groups, such as fresh, home-made 
pizza, pasta and sushi, as well as product presentation 
with a greater level of service and consulting. 
 
 
I 
IASB (International Accounting Standards Board) 
An independent international body with head offices 
in London, UK, that develops and continually revises 
the International Financial Reporting Standards 
(IFRS). 
 
IFRIC (International Financial Reporting  
Interpretations Committee) 
Committee appointed by the IFRS Foundation and 
tasked with the development of guidelines for the 
interpretation of questions concerning the practical 
implementation of the IFRS. This committee has been 
operating under the name IFRS Interpretations  
Committee since 2010. 
 
IFRS (International Financial Reporting Standards) 
Internationally applicable rules for financial reporting 
developed by the IASB. Contrary to the accounting 
rules under the German Commercial Code, the IFRS 
emphasise the informational function. 
 
ISAE 3402 (International Standard  
on Assurance Engagements)  
A globally applicable standard for the preparation of 
audit reports for control systems in service companies.

METRO ANNUAL REPORT 2017/18 
246 
Service 
 
Glossary 
L 
Like-for-like sales growth,  
like-for-like sales development 
Sales growth adjusted for selling space, reflecting 
sales growth in local currency on a comparable area  
or with respect to a comparable group of locations or 
sales concepts such as online retail and delivery. The 
figure only includes sales of locations with a compar-
able history of at least one year. This means that  
locations affected by openings, closures or material 
refurbishments during the reporting period or com-
parison year are excluded. 
 
 
M 
Mark-to-market valuation 
Calculation of the fair value of financial instruments  
on the basis of market prices at a particular assess-
ment date. 
 
METRO Wholesale Operating Model 
Organisational and management model introduced at 
METRO Wholesale in 2015. It is supposed to foster  
an entrepreneurial spirit within the organisation  
by transferring greater responsibility and creative 
freedom to the national subsidiaries. At the same time, 
measures geared towards specific customer groups 
(for example for hotels, restaurants and catering firms) 
are coordinated cross-nationally. 
 
Mobile commerce 
A specific type of e-commerce. In this case, the  
electronic marketing and retail of merchandise and 
services are conducted on a mobile device, such as  
a smartphone. 
N 
Net working capital 
The net working capital includes inventories, trade 
receivables and receivables due from suppliers  
included in the item Other financial and non-financial 
assets. Trade liabilities are deducted from the total 
amount of these items.  
 
Net debt  
The net debt results from the balance of the financial 
liabilities (including liabilities from finance leases), 
cash and cash equivalents less financial investments. 
Financial investments include short-term bank  
deposits and short-term liquid debt instruments. 
 
Non-financial declaration 
Includes statements concerning environmental,  
social and employee affairs, as well as statements 
concerning respect for human rights and combating 
corruption and bribery and is prepared for the  
parent company as well as corporate. 
 
Net Promoter Score (NPS) 
Key figure that is used to provide information regard-
ing the performance and customer satisfaction of a 
company. A standardised customer survey provides 
rating and feedback from customers or users that can 
be used to calculate a comparable cross-company 
measured value. 
 
 
O 
Omnichannel retail, omnichannel distribution 
A development in multichannel marketing. Combina-
tion of traditional store-based retail with e-commerce, 
social media and applications for smartphones and 
tablets. Integrating all channels offers consumers a 
flexible and seamless shopping experience as the 
channels are holistically linked in all purchasing phases. 
 
Own brands 
Brand-name products that are developed by a retail 
and trademark-protected with an attractive best 
price/performance ratio.

METRO ANNUAL REPORT 2017/18 
247
Service 
 
Glossary 
P 
Performance share 
Performance-based investment. A performance share 
entitles its owner to a cash payment matching the 
share price. 
 
Portfolio effect 
Adjustments to group structures are referred to as 
portfolio measures or portfolio effects. 
 
Previous year 
Period of 12 months, usually cited as reference for 
statements in an annual report. 
 
 
R 
Rating  
In the financial sector, ratings represent the system-
atic, qualitative assessment of creditworthiness.  
Ratings are expressed in various grades of credit-
worthiness. Renowned agencies that issue ratings  
are Standard & Poor’s, Moody’s and Fitch. 
 
Retail 
The Real sales line of METRO AG operates in the food 
retail sector and is a leading hypermarket operator in 
Germany with 279 stores. 
 
Return on capital employed (RoCE) 
RoCE is a key figure that indicates the rate at which 
the employed capital (less liquid funds and short-term 
debt capital) bears interest at METRO. 
S 
Sales brand 
Companies with a completely independent market 
presence. 2 sales brands can be positioned within  
a sales line with an identical merchandising concept. 
 
Sales line 
Part of a retail company that operates outlets  
or stores with a specific merchandising concept. 
 
Share unit 
Unit for performance shares. 
 
Social compliance 
The adherence to laws, guidelines, standards, codes 
and/or social conventions by which an organisation 
ensures socially responsible operations within its  
value and supply chains. The aim is to protect the 
safety, health and basic rights of employees in their 
own company as well as among its suppliers. 
 
Special items 
Business transactions or a number of uniform  
business transactions that do not recur regularly, that 
are reflected in the income statement and that have  
a significant impact on business activities are classi-
fied as special items. As a result, the presentation  
of special items better reflects ordinary business per-
formance and contributes to a better understanding  
of the earnings position. 
 
Start-up company 
Newly founded company characterised by an outstand-
ing business idea and a high degree of innovation. 
 
Supply chain 
Different processes that contribute to the added  
value of a company. At METRO, these include logistics, 
marketing and sales. 
 
Sustainable Development Goals (SDGs) 
Under the title ‘Transforming our world: the 2030 
Agenda for Sustainable Development’, the United 
Nations established political goals that are aimed at 
the entire international community, companies and 
private individuals. The agenda has formulated 17 main 
objectives that take into account all 3 dimensions of 
sustainability: Economy, Social, Environment. METRO 
is also aware of its responsibility and contributes to 
the achievement of the goals.

METRO ANNUAL REPORT 2017/18 
248 
Service 
 
Glossary 
T 
Total Shareholder Return (TSR) 
TSR is a key figure that indicates the performance of 
an investment in shares under inclusion of capital 
gains and dividends. 
 
Traders 
The term ‘Traders’ at METRO Wholesale refers to the 
customer group of independent resellers such as op-
erators of small grocery stores and kiosks, street food 
vendors, gas stations and wholesalers.  
W 
Weighted Average Cost of Capital (WACC) 
The WACC results from the weighted median of the 
cost rate for equity and debt capital on the capital 
markets. The weighting is based on the equity and 
debt capital components of METRO measured at  
market prices. 
 
Wholesale, METRO Wholesale  
The METRO Wholesale segment comprises the  
METRO Wholesale sales line of METRO AG with more 
than 769 wholesale stores across 35 countries world-
wide. This also includes the delivery business (Food 
Service Distribution) with companies like METRO  
delivery service and the delivery specialists Classic 
Fine Foods, Pro à Pro and Rungis Express.

METRO ANNUAL REPORT 2017/18 
Service 
 
Multi-year overview 
250 
  
 
2013/14
2014/15
2015/16
2016/171
  
2017/181
Key financial figures 
 
 
 
 
 
  
Sales (net) 
€ million
38,970
37,496
36,549
37,140
36,534 
EBITDA   
€ million
1,753
1,606
1,918
1,611
1,525 
EBIT 
€ million
999
860
1,219
852
740 
EBIT margin 
%
2.6
2.3
3.3
2.3
2.0 
EBT (earnings before taxes) 
€ million
469
466
894
649
578 
Profit or loss for the period 
€ million
56
265
519
345
348 
from continuing operations 
€ million
56
265
519
379
458 
from discontinued operations 
€ million
–
–
–
–34
–110 
Profit or loss for the  
period attributable to METRO 
€ million
40
253
506
325
344 
Investments 
€ million
757
1,155
1,007
827
811 
Total assets 
€ million
17,103
18,725
15,992
15,779
15,242 
Equity 
€ million
826
2,651
2,924
3,207
3,130 
Equity ratio 
%
4.8
14.2
18.3
20.3
20.5 
Equity return on capital  
employed after taxes 
%
6.8
10.0
17.7
10.7
11.1 
Earnings per share (basic = diluted) 
€
0.112
0.702
1.392
0.89
0.95 
from continuing operations 
€
0.112
0.702
1.392
0.99
1.25 
from discontinued operations 
€
0.002
0.002
0.002
–0.09
–0.30 
Dividends 
 
 
 
 
 
  
Dividend per ordinary share  
€
–
–
–
0.70
0.703 
Dividend per preference share 
€
–
–
–
0.70
0.703 
Operational data  
 
 
 
 
 
  
Employees  
(annual average by headcount) 
 
173,234
165,404
156,852
155,082
152,426 
Stores 
 
1,077
1,061
1,041
1,041
1,048 
Selling space (1,000 m2) 
 
7,721
7,529
7,377
7,249
7,152 
1 Includes the figures of the discontinued hypermarket business. 
2 Pro forma disclosure of combined financial statements. 
3 Subject to resolution of the Annual General Meeting. 
 
 
 
 
MULTI-YEAR OVERVIEW

Publisher
METRO AG
Metro-Straße 1
40235 Düsseldorf, Germany
PO Box 230361
40089 Düsseldorf, Germany
METRO on the internet
www.metroag.de
Investor Relations
T +49 211 6886–1280
F +49 211 6886–490–3759
investorrelations@metro.de
Corporate Communications 
T +49 211 6886–4252
F +49 211 6886–2001
presse@metro.de
Project lead, concept  
and editorial
Katharina Meisel
Project management
Carola Klose
Annette von Leoprechting
Katrin Mingels
Viktoria Rous
Graphic design
Strichpunkt GmbH,
Stuttgart/Berlin, Germany
Editorial support  
and realisation
Ketchum Pleon GmbH,
Düsseldorf, Germany
Printing 
Walter Digital GmbH, 
Korntal-Münchingen, 
Germany
Photography
Hartmut Nägele:  
pp. 9, 12–13, 23 
Photo credits
METRO AG
Combined management 
report, consolidated 
financial statements  
and notes are produced 
inhouse with FIRE.sys
Certifications 
This report is printed on FSC®-certified paper. By buying FSC® 
products, we promote responsible forestry that is monitored 
according to stringent social, ecological and economic criteria of 
the Forest Stewardship Council®. This publication uses Maxioffset, 
that bears the EU Ecolabel.
Disclaimer 
This annual report contains forward-looking statements 
that are based on certain assumptions and expectations at 
the time of its publication. These statements are therefore 
subject to risks and uncertainties, which means that actual 
results may differ substantially from the future-oriented 
statements made here. Many of these risks and uncertain-
ties relate to factors that are beyond ­METRO’s ability to 
control or estimate precisely. This includes future market 
conditions and economic developments, the behaviour of 
other market participants, the achievement of expected 
synergy effects as well as legal and political decisions. 
METRO does not undertake any obligation to publicly 
correct or update these forward-looking statements to 
reflect events or circumstances that have occurred after  
the publication date of this material. The trade names and 
trademarks used in the annual report, which may be pro-
tected by third parties, are subject without restriction to 
the regulations associated with the applicable trademark 
laws and ownership rights of their respective registered 
owners. The copyright for any published objects created  
by METRO AG remains the property of METRO AG. Any 
duplication or use of such graphics, video sequences and 
texts in other electronic or printed publications is prohib-
ited without the explicit permission of METRO AG.
Published on 13 December 2018
17/01/2019
Trading statement
Christmas quarter
2018
12/02/2019
Quarterly statement
Q1 2018/19
15/02/2019
Annual General Meeting 
2019
09/05/2019
Half-year
financial report
H1/Q2 2018/19
01/08/2019
Quarterly statement
9M/Q3 2018/19
INFORMATION 
FINANCIAL 
CALENDAR 
2018/19

You can download the Annual Report 2017/18 as well as the  
Condensed Report 2017/18 online at  
WWW.METROAG.DE/WE-ARE-ON-THE-MOVE/DOWNLOAD