Airbus SE
Unaudited Condensed Interim
IFRS Consolidated Financial Information
for the nine-month period ended 30 September 2021

Contents
1 Airbus SE Unaudited Condensed Interim IFRS Consolidated Financial Statements ......................................................................2
Unaudited Condensed Interim IFRS Consolidated Income Statement ...............................................................................................2
Unaudited Condensed Interim IFRS Consolidated Statement of Comprehensive Income .................................................................3
Unaudited Condensed Interim IFRS Consolidated Statement of Financial Position ...........................................................................4
Unaudited Condensed Interim IFRS Consolidated Statement of Cash Flows ....................................................................................6
Unaudited Condensed Interim IFRS Consolidated Statement of Changes in Equity ..........................................................................7
2 Notes to the Airbus SE Unaudited Condensed Interim IFRS Consolidated Financial Statements.................................................81.

The Company .......................................................................................................................................................................82.

Impact of the COVID-19 pandemic ........................................................................................................................................83.

Accounting Policies ...............................................................................................................................................................94.

Acquisitions and Disposals....................................................................................................................................................95.

Related Party Transactions ................................................................................................................................................. 10

6.

Segment Information ........................................................................................................................................................... 10

7.

Revenue and Gross Margin ................................................................................................................................................ 11

8.

Research and Development Expenses ............................................................................................................................... 12

9.

Other Income and Other Expenses ..................................................................................................................................... 12

10.

Share of Profit from Investments Accounted for under the Equity Method and Other Income from Investments .................. 12

11.

Total Financial Result.......................................................................................................................................................... 12

12.

Income Taxes ..................................................................................................................................................................... 12

13.

Earnings per Share ............................................................................................................................................................. 12

14.

Intangible Assets and Property, Plant and Equipment ......................................................................................................... 13

15.

Investments Accounted for under the Equity Method........................................................................................................... 13

16.

Other Investments and Other Long-Term Financial Assets ................................................................................................. 13

17.

Inventories .......................................................................................................................................................................... 13

18.

Provisions ........................................................................................................................................................................... 13

19.

Other Financial Assets and Other Financial Liabilities ......................................................................................................... 14

20.

Other Assets and Other Liabilities ....................................................................................................................................... 14

21.

Total Equity ......................................................................................................................................................................... 1522.

Net Cash ............................................................................................................................................................................. 15

23.

Financial Instruments .......................................................................................................................................................... 16

24.

Litigation and Claims ........................................................................................................................................................... 18

25.

Number of Employees......................................................................................................................................................... 20

26.

Events after the Reporting Date .......................................................................................................................................... 20

Airbus SE
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the nine-month period ended 30 September 2021

1
Airbus SE
Unaudited Condensed Interim
IFRS Consolidated Financial Statements
Unaudited Condensed Interim
IFRS Consolidated Income Statement(In € million)
Revenue
Cost of sales
Gross margin
Selling expenses
Administrative expenses
Research and development expenses
Other income
Other expenses
Share of profit from investments accounted for underthe equity method
Other income from investments
Profit (Loss) before financial result and income
taxesInterest income
Interest expense
Other financial result
Total financial result
Income taxes
Profit (Loss) for the period

Note
7

1 January 30 September
2021
35,155

1 January 30 September
2020
30,161

1 July 30 September
2021
10,518

1 July 30 September
2020
11,213

7(28,606)
6,549(27,524)
2,637(8,730)
1,788(9,528)
1,685

8
9
9

(508)
(945)
(1,919)
216
(118)

(531)
(1,053)(2,032)99(1,375)

(164)
(333)
(657)
58
(24)

(161)
(290)
(636)
31
(1,232)

10
10

32
130

(45)
115

33
9

(27)
4

3,437

(2,185)

710

(626)

48
(281)
61
(172)
(676)
2,589

101
(313)
(500)
(712)
197
(2,700)

16
(77)
(81)
(142)
(183)
385

19
(102)
(200)
(283)
133
(776)

2,635
(46)

(2,686)
(14)

404
(19)

(767)
(9)

11
12

Attributable to:Equity owners of the parent (Net income)Non-controlling interests
Earnings per share
Basic
Diluted

13
13

€

€

€

€

3.36
3.35

(3.43)(3.43)

0.51
0.51(0.98)(0.98)

The accompanying notes are an integral part of these Unaudited Condensed Interim IFRS Consolidated Financial Statements.

2

Airbus SE
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the nine-month period ended 30 September 2021

Unaudited Condensed Interim
IFRS Consolidated Statement of Comprehensive Income(In € million)

Profit (Loss) for the period
Other comprehensive income

1 January 30 September
2021
2,589

1 January 30 September
2020(2,700)1 July 30 September
2021
385

1 July 30 September
2020
(776)

2,801
(2)

(1,159)
(295)

363
43

(240)
10

75
(457)

(90)
254

55
(75)

(12)
43

106
(4,059)
(53)

(146)
(99)
(197)

56
(1,775)
(20)

(82)
2,137
26

41
1,099
(449)
2,140

7
53
(1,672)(4,372)

(4)
481
(876)
(491)

21
(546)
1,357
581

2,188
(48)

(4,362)
(10)

(464)
(27)

572
9

Items that will not be reclassified to profit or loss:
Re-measurement of the defined benefit pension plans
Change in fair value of financial assets
Share of change from investments accounted for underthe equity method
Income tax relating to items that will not be reclassified
Items that may be reclassified to profit or loss:
Foreign currency translation differences for foreign
operations
Change in fair value of cash flow hedges
Change in fair value of financial assets
Share of change from investments accounted for underthe equity method
Income tax relating to items that may be reclassified
Other comprehensive income, net of tax
Total comprehensive income for the period
Attributable to:Equity owners of the parent
Non-controlling interests

The accompanying notes are an integral part of these Unaudited Condensed Interim IFRS Consolidated Financial Statements.

3

Airbus SE
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the nine-month period ended 30 September 2021

Unaudited Condensed Interim
IFRS Consolidated Statement of Financial Position(In € million)

Note

30 September 2021

31 December 2020

14
1416,255
16,363
40
1,764
3,952
94
920
530
4,735
5,502
50,155

16,19916,674
2
1,578
3,855
48
3,483
483
4,023
5,350
51,69530,809
4,740
499
1,336
1,546
2,424
466
1,300
14,85457,97430,401
5,132
468
1,074
2,432
2,216
620
1,618
14,43958,40067
108,1960
110,095

AssetsNon-current assets
Intangible assets
Property, plant and equipment
Investment property
Investments accounted for under the equity method
Other investments and other long-term financial assets
Non-current contract assets
Non-current other financial assets
Non-current other assets
Deferred tax assets
Non-current securities
Total non-current assets

15
16
19
20
22

Current assets
Inventories
Trade receivables
Current portion of other long-term financial assets
Current contract assets
Current other financial assets
Current other assets
Current tax assets
Current securities
Cash and cash equivalents
Total current assets

17
16
19
20
22
22

Assets and disposal group of assets classified as held for sale
Total assets

4

4

Airbus SE
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the nine-month period ended 30 September 2021

(In € million)

Equity and liabilities
Equity attributable to equity owners of the parent
Capital stock
Share premium
Retained earnings
Accumulated other comprehensive income
Treasury shares
Total equity attributable to equity owners of the parent
Non-controlling interests
Total equity

Liabilities
Non-current liabilities
Non-current provisions
Long-term financing liabilities
Non-current contract liabilities
Non-current other financial liabilities
Non-current other liabilities
Deferred tax liabilities
Non-current deferred income
Total non-current liabilities

Note

30 September 2021

31 December 2020

21

787
3,708
5,321
(1,006)
(23)
8,787
17
8,804

785
3,599
250
1,853
(42)
6,445
11
6,456

10,682
13,025
18,437
5,800
412
513
27
48,89613,99814,082
19,212
5,657
436
451
32
53,868

5,197
1,898
11,037
24,409
2,063
3,488
1,809
595
50,496
099,392
108,196

6,545
3,013
8,722
24,675
1,769
3,160
1,311
576
49,771
0
103,639
110,095

18
22
19
20

Current liabilities
Current provisions
Short-term financing liabilities
Trade liabilities
Current contract liabilities
Current other financial liabilities
Current other liabilities
Current tax liabilities
Current deferred income
Total current liabilities
Disposal group of liabilities classified as held for sale
Total liabilities
Total equity and liabilities

18
22

19
20

The accompanying notes are an integral part of these Unaudited Condensed Interim IFRS Consolidated Financial Statements.

5

Airbus SE
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the nine-month period ended 30 September 2021

Unaudited Condensed Interim
IFRS Consolidated Statement of Cash Flows
Note(In € million)

Operating activities
Profit (Loss) for the period attributable to equity owners of the parent (Netincome)Loss for the period attributable to non-controlling interests
Adjustments to reconcile profit for the period to cash provided by operating
activities:
Depreciation and amortisation
Valuation adjustments
Deferred tax expense (income)Change in income tax assets, income tax liabilities and provisions for income
tax
Results on disposals of non-current assets
Results of investments accounted for under the equity method
Change in current and non-current provisions
Contribution to plan assets
Change in other operating assets and liabilities
Cash provided by (used for) operating activities
Investing activities
Purchases of intangible assets, property, plant and equipment andinvestment property
Proceeds from disposals of intangible assets, property, plant and equipment
and investment property
Acquisitions of subsidiaries, joint ventures, businesses and non-controllinginterests (net of cash)
Payments for investments accounted for under the equity method, otherinvestments and other long-term financial assets
Proceeds from disposals of investments accounted for under the equity
method, other investments and other long-term financial assets
Dividends paid by companies valued at equity
Change in securities
Cash (used for) provided by investing activities
Financing activities
Change in financing liabilities
Changes in liability for puttable instruments
Changes in capital and non-controlling interests
Change in treasury shares
Cash (used for) provided by financing activities
Effect of foreign exchange rate changes on cash and cash equivalents
Net increase in cash and cash equivalents
Cash and cash equivalents at beginning of period
Cash and cash equivalents at end of period

1 January 30 September 2021

1 January 30 September 2020

2,635
(46)

(2,686)
(14)

1,641
(507)
44

2,044
1,000
(373)

649
0
(32)
(1,621)
(244)
830
3,349

393
(4)
45
1,288
(261)
(12,316)(10,884)(1,199)(1,191)

73

150

(14)

(481)

(321)

(407)

238
15
151
(1,057)

335
14
6,141
4,561

(2,380)0133
0(2,247)370
415
14,43914,854

7,992
85
83
(4)
8,156
(220)
1,613
9,314
10,927

The accompanying notes are an integral part of these Unaudited Condensed Interim IFRS Consolidated Financial Statements.

6

Airbus SE
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the nine-month period ended 30 September 2021

Unaudited Condensed Interim
IFRS Consolidated Statement of Changes in Equity
Equity attributable toequity owners of theparent5,975

Non-controllinginterests
15

Total Equity
5,990

Loss for the period(2,686)(14)(2,700)

Other comprehensive income
Total comprehensive income for the period
Capital increase(1,676)(4,362)
40

4
(10)
0

(1,672)(4,372)40

Share-based payment (IFRS 2)
Equity transaction (IAS 27)

32
189

0
5

32
194

Change in treasury shares
Balance at 30 September 2020

40
1,914

0
10

40
1,924

(In € million)
Balance at 1 January 2020

Balance at 1 January 2021

6,445

11

6,456

Profit for the period
Other comprehensive income

2,635
(447)

(46)
(2)

2,589
(449)

Total comprehensive income for the period
Capital increase
Share-based payment (IFRS 2)

2,188
111
57

(48)
0
0

2,140
111
57

Equity transaction (IAS 27)
Change in treasury shares
Balance at 30 September 2021

(33)
19
8,787

54
0
17

21
19
8,804

The accompanying notes are an integral part of these Unaudited Condensed Interim IFRS Consolidated Financial Statements.

7

Airbus SE
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the nine-month period ended 30 September 2021

2
Notes to the Airbus SE
Unaudited Condensed Interim
IFRS Consolidated Financial Statements
1.

The Company

The accompanying Unaudited Condensed Interim IFRS Consolidated Financial Statements present the financial position and the resultsof operations of Airbus SE together with its subsidiaries referred to as “the Company”, a European public limited-liability company(Societas Europaea) with its seat (statutaire zetel) in Amsterdam, The Netherlands, its registered address at Mendelweg 30, 2333 CS
Leiden, The Netherlands, and registered with the Dutch Commercial Register (Handelsregister) under number 24288945. The Company’s
reportable segments are Airbus, Airbus Helicopters and Airbus Defence and Space (see “– Note 6: Segment Information”). The Company
is listed on the European stock exchanges in Paris, Frankfurt am Main, Madrid, Barcelona, Valencia and Bilbao. The Unaudited
Condensed Interim IFRS Consolidated Financial Statements were authorised for issue by the Company’s Board of Directors on
27 October 2021.

2.

Impact of the COVID-19 pandemic

In 2020, the COVID-19 pandemic resulted in significant disruption to the Company’s business operations and supply chain. For moredetails on the impact in 2020, please refer to the Company’s IFRS Consolidated Financial Statements as of 31 December 2020.
The Company’s business, results of operations and financial condition have been and may continue to be materially affected by the
COVID-19 pandemic, and the Company continues to face risks and uncertainties. In addition to its impact on the financial viability ofoperators, airlines and lessors and the reduction of commercial air traffic, new variants of the COVID-19 pandemic, lockdowns, travel
limitations and restrictions around the world have posed logistical challenges and may cause disruptions to the Company’s business, its
operations and supply chain as well as customers’ ability to take delivery of aircraft.
Airlines have reduced capacity, grounded portions of their fleets and sought to implement measures to reduce cash spending and secureliquidity. Some airlines have also sought arrangements with creditors, restructured or applied for bankruptcy or insolvency protection,
which may have further consequences for the Company and its order book as well as other consequences resulting from the related
proceedings.
In the first nine months 2021, the commercial environment has shown signs of improvements, in particular an increase in air travel demand.
On 21 January 2021, the Company announced its decision to update its production rates in response to the market environment. For its
A320 Family aircraft, the new average production rates were expected to lead to a gradual increase in production from the current rate of
40 per month to 43 and 45, respectively in the third and fourth quarter of 2021. The A220 monthly production rate increased from four tofive aircraft per month at the end of the first quarter of 2021. Widebody production was expected to remain stable at current levels. With
these new rates, the Company intended to preserve its ability to meet customer demand while protecting its ability to further adapt as theglobal market evolves.
On 27 May 2021, the Company provided suppliers with an update of its production plans based on its expectation that the commercial
aircraft market may recover to pre-COVID levels between 2023 and 2025, led by the single-aisle segment. In anticipation of a continued
recovering market, the Company confirmed an average A320 Family production rate of 45 aircraft per month in the fourth quarter of 2021
and called on suppliers to prepare for the future by securing a firm rate of 64 by the second quarter of 2023. The A220 monthly production
rate is confirmed to rise to around 6 in early 2022. The A350 production rate is expected to increase to 6 by Autumn 2022 while A330
production is expected to remain at an average monthly production rate of two per month (see “– Note 26: Events after the ReportingDate”).
Year-to-date financials reflect deliveries as well as efforts on cost containment and competitiveness. Furthermore, the Company has
performed a comprehensive review of charges recorded in 2020, taking into account the amended production rates and expected futuredeliveries. Consequently, the Company recorded € 0.4 billion of release of COVID-related provisions including restructuring.
The Company is monitoring the evolution of the COVID-19 pandemic and will continue to assess further impacts going forward.

8

Airbus SE
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the nine-month period ended 30 September 2021

3.

Accounting Policies

The Unaudited Condensed Interim IFRS Consolidated Financial Statements are prepared in accordance with International Financial
Reporting Standards (“IFRS”), issued by the International Accounting Standards Board (“IASB”) as endorsed by the European Union(“EU”). They are prepared and reported in euro (“€”) and all values are rounded to the nearest million appropriately.
Due to rounding, numbers presented may not add up precisely to the totals provided and percentages may not precisely reflect theabsolute figures.
These Unaudited Condensed Interim IFRS Consolidated Financial Statements are prepared in compliance with IAS 34 and should beread in conjunction with the IFRS Consolidated Financial Statements as of 31 December 2020. The Company’s accounting policies andmethods are unchanged compared to 31 December 2020. The implementation of other amended standards has no material impact on
the Unaudited Condensed Interim IFRS Consolidated Financial Statements as of 30 September 2021.

Amendments to IFRS 9, IAS 39 and IFRS 7 “Interest Rate Benchmark Reform – Phase 2”
Following the financial crisis, the reform and replacement of some benchmark interest rates such as LIBOR and other Interbank OfferedRates (“IBORs”) has become a priority for global regulators. There is still some uncertainty around the timing and precise nature of thesechanges.
The Company’s treasury is managing the transition plan, so that the existing contracts that refer to LIBORs shall be adjusted to ensure
contract continuity after cessation of relevant benchmarks and address term and credit differences between LIBORs and alternativereference rates. The changed reference rates will also impact systems, processes and risk and valuation models.
To manage the transition of the USD LIBOR-referenced derivatives contracts, the Company will adhere to the ISDA Fallback protocol that
ensures an automatic transition on the official cessation date scheduled on 30 June 2023 as stated by the UK FCA (Financial Conduct
Authority) on 5 March 2021. The official spread adjustment published by Bloomberg and fixed on 5 March 2021 (official announcement
date of the LIBOR cessation) will apply. On USD LIBOR-referenced loan contracts, the Company will apply a similar transition scheme tothe derivative contracts.
The Company is mainly exposed to USD LIBOR under Airbus Bank loan assets portfolio for an amount of € 284 million (for a notionalamount of US$ 473 million) and the interest rate swaps based on USD LIBOR used in the hedge relationship, for an amount of € 84 million(for a notional amount of US$ 1.5 billion) as developed under “– Note 38: Financial Instruments” of the IFRS Consolidated Financial
Statements as of 31 December 2020.
The Phase 2 amendments have no impact on these Unaudited Condensed Interim IFRS Consolidated Financial Statements as existing
contracts continue to refer to LIBORs as of 30 September 2021.

Use of Estimates and Judgements
In preparing the Unaudited Condensed Interim IFRS Consolidated Financial Statements, management makes assumptions and estimates.
These estimates are revised if the underlying circumstances have evolved or in light of new information. The underlying assumptions used
for the main estimates are similar to those described in the Company’s IFRS Consolidated Financial Statements as of 31 December 2020.
The only exception is the estimate of income tax liabilities which is determined in the interim financial statements using the estimatedaverage annual effective income tax rate applied to the pre-tax income of the interim period.

4.

Acquisitions and Disposals

Acquisitions
In 2020, Bombardier transferred its remaining shares in Airbus Canada Limited Partnership (“ACLP”) to Airbus and Investissement Québec(“IQ”). As per the agreement, Airbus acquired an additional 29.64% of the issued shares in ACLP. This agreement brought theshareholdings in ACLP for Airbus and IQ to 75% and 25%, respectively.
Airbus paid to Bombardier a consideration of US$ 591 million of which US$ 531 million was received at closing and US$ 60 million to be
paid over the 2020-22 period under certain conditions. The agreement also provides for the cancellation of Bombardier warrants owned
by Airbus, as well as releasing Bombardier of its future funding capital requirement to ACLP, previously performed through the non-voting
participation Class B common units in ACLP.
The call rights of Airbus in respect of all IQ’s interests in ACLP at fair market value have been extended by an additional three years to
January 2026.
The effect of this equity transaction on the equity attributable to the owners of ACLP amounted to € -53 million.
As part of this transaction, Airbus, via its wholly owned subsidiary Stelia Aerospace, also acquired the A220 and A330 work package
production capabilities from Bombardier in Saint Laurent, Québec. Under this non-material transaction, the fair value of the net assets
acquired amounted to US$ -4 million.
9

Airbus SE
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the nine-month period ended 30 September 2021

Assets and Disposal Groups Classified as Held for Sale
As of 30 September 2021, the Company intends to divest one of its sites in France. The assets relative to this disposal have been
reclassified to assets classified as held for sale for an amount of € 67 million. The transaction is expected to be closed within the next
twelve months.

5.

Related Party Transactions

The Company has entered into various transactions with related entities; carried out in the normal course of business.

6.

Segment Information

The Company operates in three reportable segments which reflect the internal organisational and management structure according to thenature of the products and services provided.
•

Airbus — Development, manufacturing, marketing and sale of commercial jet aircraft of more than 100 seats, aircraft conversion
and related services; development, manufacturing, marketing and sale of regional turboprop aircraft and aircraft components. It also
includes the holding function of the Company and its bank activities.

•

Airbus Helicopters — Development, manufacturing, marketing and sale of civil and military helicopters; provision of helicopter
related services.

•

Airbus Defence and Space — Military Aircraft design, development, delivery, and support of military aircraft such as combat,
mission, transport and tanker aircraft and their associated services. Space Systems design, development, delivery, and support offull range of civil and defence space systems for telecommunications, earth observations, navigation, science and orbital systems.
Connected Intelligence provision of services around data processing from platforms, secure communication and cyber security. In
addition, the main joint ventures design, develop, deliver, and support missile systems as well as space launcher systems. Unmanned
Aerial Systems design, development, delivery and service support.

On 21 April 2021, the Company presented its plans to create integrated aerostructures assembly companies in both France and Germany,
and a third company as a new global player in the detail parts business, anchored in Germany.
The plans are subject to successful completion of the ongoing social process and have no impact on the segment structure describedabove.
The following tables present information with respect to the Company’s business segments. As a rule, inter-segment transfers are carriedout on an arm’s length basis. Inter-segment sales predominantly take place between Airbus and Airbus Defence and Space and between
Airbus Helicopters and Airbus. Consolidation effects are reported in the column “Eliminations”.
The Company uses EBIT as a key indicator of its economic performance.
Business segment information for the nine-month period ended 30 September 2021 is as follows:(In € million)

Total revenue
Internal revenue
Revenue
thereofsales of goods at a point in timesales of goods over time
services, including sales of spare parts
Profit before financial result and income taxes(EBIT)
thereof research and development expenses
Interest result
Other financial result
Income taxes
Profit for the period

Airbus24,618(301)
24,317

AirbusHelicopters
4,137
(153)
3,984

AirbusDefenceand Space
6,881
(27)
6,854

Eliminations
0
0
0

Consolidated
Airbus35,636(481)
35,15522,704
7
1,606

1,837
119
2,028

2,083
2,296
2,475

0
0
0

26,624
2,422
6,109

2,889
(1,584)

312
(177)

204
(169)

32
11

3,437
(1,919)
(233)
61
(676)
2,589

10

Airbus SE
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the nine-month period ended 30 September 2021

Business segment information for the nine-month period ended 30 September 2020 is as follows:(In € million)

Total revenue
Internal revenue
Revenue
thereofsales of goods at a point in timesales of goods over time
services, including sales of spare parts
Profit (Loss) before financial result and income
taxes (EBIT)
thereof research and development expenses
Interest result
Other financial result
Income taxes
Loss for the period

7.

Airbus
20,271(425)
19,846

AirbusHelicopters
3,623
(201)
3,422

AirbusDefenceand Space
6,936
(43)
6,893

Eliminations
0
0
0

Consolidated
Airbus30,830(669)
30,161

18,133
24
1,689

1,486
137
1,799

1,703
2,747
2,443

0
0
0

21,322
2,908
5,931(2,399)(1,674)

238
(196)

(36)
(177)

12
15

(2,185)(2,032)
(212)
(500)
197
(2,700)

Revenue and Gross Margin

Revenue increased by € +4,994 million to € 35,155 million (first nine months 2020: € 30,161 million). The increase is mainly driven by
Airbus (€ +4,471 million) reflecting higher aircraft deliveries.
Revenue by geographical areas based on the location of the customer is as follows:
1 January 30 September 2021
10,85912,861
6,546
1,993
514
2,382
35,155(In € million)

Asia-Pacific
EuropeNorth America
Middle East
Latin America
Other countries
Total

1 January 30 September 2020
7,297
13,668
5,179
1,382
619
2,016
30,161

The gross margin increased by € +3,912 million to € 6,549 million compared to € 2,637 million in the first nine months 2020. It mainlyreflects higher aircraft deliveries at Airbus. In addition, in the first nine months 2020, Airbus was impacted by lower cost efficiency
and recorded charges triggered by the COVID-19 pandemic. The gross margin rate increased from 8.7% to 18.6%.
The Company is organised to end the A380 deliveries by the end of 2021. As a consequence and in addition to the net charge recorded
in 2018, the Company recorded a net charge of € 385 million in EBIT in 2020 as part of its continuous assessment of assets recoverability
and review of onerous contract provision assumptions. In the first nine months 2021, a positive EBIT impact of € 190 million was recorded,
mainly reflecting the release of provision on the former A380 Lagardère facility that will be used for the modernised A320 FAL.
As of 30 September 2021, the Company has delivered a total of 101 A400M aircraft including 4 aircraft in the first nine months 2021.
The COVID-19 pandemic is weighing on the performance of development, production, flight testing, aircraft delivery and retrofit activities.
The Company has continued with development activities toward achieving the revised capability roadmap. Retrofit activities areprogressing in close alignment with the customer.
In 2020, an update of the contract estimate at completion was performed and a charge of € 63 million recorded reflecting mainly
the variation of price escalation indexes. Main year-end 2020 assumptions remain unchanged as of 30 September 2021.
Risks remain on the development of technical capabilities and associated costs, on aircraft operational reliability in particular with regard
to power plant, on cost reductions and on securing export orders in time as per the revised baseline.
Defence export licences to Saudi Arabia were suspended by the German Government until 31 March 2020. A revised Estimate atCompletion (EAC) for a customer contract was performed as of 31 December 2020, and the Company continues to engage with its
customer to agree a way forward. The outcome of these negotiations is presently unclear but could result in further significant financial
impacts. The year-end 2020 assessment remains unchanged as of 30 September 2021.

11

Airbus SE
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the nine-month period ended 30 September 2021

8.

Research and Development Expenses

Research and development expenses decreased by € -113 million to € 1,919 million compared to € 2,032 million in the first nine months
2020.

9.

Other Income and Other Expenses

Other income increased by € +117 million to € 216 million compared to € 99 million in the first nine months 2020.
Other expenses decreased by € -1,257 million to € -118 million compared to € -1,375 million in the first nine months 2020, mainly due tothe restructuring provision recorded in response to the COVID-19 pandemic.

10. Share of Profit from Investments Accounted for under the Equity Method
and Other Income from Investments
Share of profit from investments under the equity method and other income from investments increased by € +92 million to € 162
million compared to € 70 million in the first nine months 2020. It includes dividends received from other investments classified at fair value
through OCI for an amount of € 108 million (first nine months 2020: € 137 million).

11.

Total Financial Result

Total financial result improved by € +540 million to € -172 million compared to € -712 million in the first nine months 2020. This is mainly
due to the revaluation of certain equity investments (see “– Note 16: Other Investments and Other Long-Term Financial Assets”).

12.

Income Taxes

The income tax expense amounts to € -676 million (first nine months 2020: income tax benefit of € +197 million) and corresponds to aneffective income tax rate of 20.7%. This includes impacts on tax risk updates and the tax-free revaluation of certain equity investments
under IFRS 9, partially offset by deferred tax asset impairments. Management will continue to assess its tax contingencies going forward,
whose outcome could result in further financial impacts.

13.

Earnings per ShareProfit (Loss) for the period attributable to equity owners of the parent (Net income)Weighted average number of ordinary shares
Basic earnings per share

1 January 30 September 2021
€ 2,635 million
785,166,205€ 3.36

1 January 30 September 2020
€ (2,686) million
783,012,736€ (3.43)

Diluted earnings per share – The Company’s dilutive potential ordinary shares are share-settled Performance Units relating to LongTerm Incentive Plans (“LTIP”).
During the first nine months 2021, the average price of the Company’s shares exceeded the exercise price of the share-settled
Performance Units and therefore 475,755 shares were considered in the calculation of diluted earnings per share.
As there was a loss in the first nine months 2020, the effect of potentially dilutive ordinary shares was anti-dilutive.

Profit (Loss) for the period attributable to equity owners of the parent (Net income),
adjusted for diluted calculation
Weighted average number of ordinary shares (diluted) (1)Diluted earnings per share(1)

In the first nine months 2021, dilution assumes conversion of all potential ordinary shares.

12

1 January 30 September 2021

1 January 30 September 2020

€ 2,635 million
785,641,960€ 3.35€ (2,686) million
783,012,736€ (3.43)

Airbus SE
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the nine-month period ended 30 September 2021

14.

Intangible Assets and Property, Plant and Equipment

Intangible assets increased by € +56 million to € 16,255 million (prior year-end: € 16,199 million). Intangible assets mainly relate to
goodwill of € 13,014 million (prior year-end: € 12,999 million).
Property, plant and equipment decreased by € -311 million to € 16,363 million (prior year-end: € 16,674 million). Property, plant andequipment include right-of-use assets for an amount of € 1,628 million as of 30 September 2021 (prior year-end: € 1,804 million).

15.

Investments Accounted for under the Equity Method

Investments accounted for under the equity method increased by € +186 million to € 1,764 million (prior year-end: € 1,578 million).
They mainly include the equity investments in ArianeGroup and MBDA.

16.

Other Investments and Other Long-Term Financial Assets(In € million)

Other investments
Other long-term financial assets
Total non-current other investments and other long-term financial assets
Current portion of other long-term financial assets
Total

30 September 2021
2,429
1,523
3,952
499
4,451

31 December 2020
2,245
1,610
3,855
468
4,323

Other investments mainly comprise the Company’s participations and include the remaining investment in Dassault Aviation (9.90%,
prior year-end: 9.90%) amounting to € 806 million at 30 September 2021 (prior year-end: € 742 million).
Other long-term financial assets and the current portion of other long-term financial assets include other loans in the amount of€ 1,872 million as of 30 September 2021 (prior year-end: € 1,841 million), and the sales financing activities in the form of finance leasereceivables and loans from aircraft financing.

17.

Inventories

Inventories of € 30,809 million (prior year-end: € 30,401 million) increased by € +408 million. This is mainly driven by Airbus Helicopters(€ +405 million) and Airbus Defence and Space (€ +330 million), partly offset by Airbus (€ -410 million). In Airbus Helicopters and Airbus
Defence and Space, it reflects the delivery profile. In Airbus, the decrease mainly reflects the A380 deliveries and progressive winding
down of the programme.

18.

Provisions
30 September 2021
7,197
8,682
15,87910,682
5,197(In € million)

Provisions for pensions
Other provisions
Total
thereof non-current portion
thereof current portion

31 December 2020
9,980
10,563
20,543
13,998
6,545

Provisions for pensions decreased mainly due to the increase of the discount rates in Germany, France, Canada and the UK during thefirst nine months 2021. The decrease amounts to € 2.8 billion recognised mainly in other comprehensive income and is subject to future
volatility.
In September 2020, a restructuring provision was recognised in response to the COVID-19 pandemic under other provisions for an
amount of € 1.2 billion including mainly the cost of voluntary and compulsory measures taking into account management’s best estimateof the impact of the working time adaptation and government support measures. Workforce adaptation plan has been progressing as
expected.
As of 30 September 2021 and 31 December 2020, the provision amounted to € 0.4 billion and € 1.0 billion respectively, reduced mainlyby the costs incurred.

13

Airbus SE
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the nine-month period ended 30 September 2021

19.

Other Financial Assets and Other Financial Liabilities

Other Financial Assets(In € million)

Positive fair values of derivative financial instruments
OthersTotal non-current other financial assets
Receivables from related companies
Positive fair values of derivative financial instruments
OthersTotal current other financial assets
Total

30 September 2021
892
28
920
815
267
464
1,546
2,466

31 December 2020
3,451
32
3,483
1,158
973
301
2,432
5,915

30 September 2021
1,895
3,751
154
5,800
1,369
161
139
394
2,063
7,863

31 December 2020
1,834
3,712
111
5,657
983
200
130
456
1,769

Other Financial Liabilities(In € million)

Liabilities for derivative financial instruments
European Governments' refundable advances
OthersTotal non-current other financial liabilities
Liabilities for derivative financial instruments
European Governments' refundable advances
Liabilities to related companies
OthersTotal current other financial liabilities
Total

7,426

In 2020, the Company has signed amendments to the French and Spanish A350 RLI contracts, leading to a re-measurement of the A350
RLI for an additional net amount of € 236 million in the third quarter, using an equivalent estimated market rate at the date of theamendments.
In the first nine months 2021, the European Governments’ refundable advances remains at € 3,912 million (prior year-end: € 3,912 million).
The allocation of European Governments’ refundable advances between non-current and current presented in the Unaudited Condensed
Interim IFRS Consolidated Financial Statements ended 30 September 2021 is based on the applicable contractual repayment dates.

20.

Other Assets and Other Liabilities

Other Assets
30 September 2021
278
117
135
530
1,201
568
261
394
2,424
2,954

(In € million)

Cost to fulfil a contract
Prepaid expenses
OthersTotal non-current other assets
Value added tax claims
Cost to fulfil a contract
Prepaid expenses
OthersTotal current other assets
Total

14

31 December 2020
282
76
125
483
1,025
557
191
443
2,216
2,699

Airbus SE
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the nine-month period ended 30 September 2021

Other Liabilities
30 September 2021
412
412
886
2,602
3,488
3,900

(In € million)

OthersTotal non-current other liabilities
Tax liabilities (excluding income tax)
OthersTotal current other liabilities
Total

21.

31 December 2020
436
436
749
2,411
3,160
3,596

Total Equity

The Company’s shares are exclusively ordinary shares with a par value of € 1.00. The following table shows the development of thenumber of shares issued and fully paid:
30 September 2021
784,149,270
1,871,546
786,020,816(235,435)
785,785,381(In number of shares)

Issued as at 1 January
Issued for ESOP
Issued at end of period
Treasury shares
Outstanding at end of period

31 December 2020
783,173,115
976,155
784,149,270(432,875)
783,716,395

Holders of ordinary shares are entitled to dividends and to one vote per share at general meetings of the Company.
Equity attributable to equity owners of the parent (including purchased treasury shares) amounts to € 8,787 million (prior year-end:€ 6,445 million) representing an increase of € +2,342 million. This is due to a net income for the period of € 2,635 million and a decreasein other comprehensive income, principally related to the mark to market revaluation of the hedge portfolio of € -2,944 million partly offset
by a change in actuarial gains and losses of € +2,412 million.
The non-controlling interests (“NCI”) from non-wholly owned subsidiaries increased to € 17 million as of 30 September 2021
(prior year-end: € 11 million). These NCI do not have a material interest in the Company’s activities and cash flows.

22.

Net Cash

The net cash position provides financial flexibility to fund the Company’s operations, to react to business needs and risk profile and toreturn capital to the shareholders. This flexibility has been essential in managing the Company’s operations during the COVID-19
pandemic (see "– Note 2: Impact of the COVID-19 pandemic”).

30 September 2021
14,854
1,300
5,502
21,656(1,898)(13,025)
6,733(In € million)

Cash and cash equivalents
Current securities
Non-current securities
Gross cash position
Short-term financing liabilities
Long-term financing liabilities
Total

31 December 2020
14,4391,618
5,350
21,407(3,013)(14,082)
4,312

The net cash position on 30 September 2021 amounted to € 6,733 million (prior year-end: € 4,312 million), with a gross cash position of€ 21,656 million (prior year-end: € 21,407 million).

Cash and Cash Equivalents
Cash and cash equivalents are composed of the following elements:

30 September 2021
7,050
7,222
582
0
14,854(In € million)

Bank account and petty cash
Short-term securities (at fair value through profit and loss)
Short-term securities (at fair value through OCI)
OthersTotal cash and cash equivalents

15

31 December 2020
4,173
9,654
512
100
14,439Airbus SE
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the nine-month period ended 30 September 2021

Only securities with a maturity of three months or less from the date of the acquisition, that are readily convertible to known amounts ofcash and which are subject to an insignificant risk of changes in value, are recognised in cash equivalents.
Cash and cash equivalents have increased by € +0.5 billion from € 14.4 billion at 31 December 2020 to € 14.9 billion at 30 September
2021 and they include payments received in advance from certain customers.
The main variations are as follows:
Cash provided by operating activities amounted to € +3.3 billion in the first nine months 2021, mainly driven by a profit translated into cash
partly offset by provision consumption related to the restructuring plan, a strong positive phasing impact from working capital including thenet payment made to suppliers in anticipation at the end of 2020 and a positive impact by certain agreements reached with suppliers
relating to negotiation on payment terms. Also, it reflects continued cash containment efforts.
Cash used for investing activities amounted to € -1.1 billion, mainly reflecting capital expenditures. The acquisition of real estate assets in
the UK has negatively impacted cash used for investing activities, and also negatively impacted cash used for financing activities relating
to the repayment of the existing lease liabilities.
Cash used for financing activities amounted to € -2.2 billion and reflects the pre-payment of a US$1 billion bond issued on 9 April 2013 andthe repayment of the exchangeable bonds convertible into Dassault Aviation shares for an amount of € 1.0 billion.
Similar to previous years, the Company has supported its suppliers concerning supply chain financing arrangements.

Financing Liabilities
30 September 2021
11,110424
72
1,419
13,025
0
29
95
231
1,543
1,898
14,923(In € million)

Bonds and commercial papers
Liabilities to financial institutions
Loans
Lease liabilities
Total long term financing liabilities
Bonds and commercial papers
Liabilities to financial institutions
Loans
Lease liabilities
Others (1)Total short term financing liabilities
Total
(1)

31 December 2020
12,032418
94
1,538
14,082
1,075
111
94
260
1,473
3,013
17,095

Included in “others” are financing liabilities to joint ventures.

Long-term financing liabilities, mainly comprising of bonds and lease liabilities, decreased by € -1,057 million to € 13,025 million (prioryear-end: € 14,082 million), mainly due to pre-payment of a US$1 billion bond issued on 9 April 2013 in the US institutional market withan original maturity of ten years.
Short-term financing liabilities decreased by € -1,115 million to € 1,898 million (prior year-end: € 3,013 million), mainly due to therepayment of the exchangeable bonds to be convertible into Dassault Aviation shares issued on 14 June 2016 for an amount of € 1.0
billion.

23.

Financial Instruments

The following table presents the composition of derivative financial instruments:(In € million)

30 September 2021
892
267
1,159
(1,895)(1,369)(3,264)(2,105)

Non-current positive fair values
Current positive fair values
Total positive fair values of derivative financial instruments
Non-current negative fair values
Current negative fair values
Total negative fair values of derivative financial instruments
Total net fair values of derivative financial instruments

31 December 2020
3,451
973
4,424
(1,834)(983)(2,817)
1,607

The total net fair value of derivative financial instruments decreased by € -3,712 million to € -2,105 million (prior year-end: € 1,607 million)
as a result of the strengthened US dollar versus the euro associated with the mark to market valuation of the hedge portfolio.

16

Airbus SE
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the nine-month period ended 30 September 2021

The volume of hedged US dollar-contracts was US$ 87.1 billion as at 30 September 2021 (prior year-end: US$ 81.0 billion). The US dollar
spot rate was 1.16 US$/€ and 1.23 US$/€ at 30 September 2021 and at 31 December 2020, respectively. The average US dollar hedge
rate for the hedge portfolio of the Company remains at 1.26 US$/€ as at 30 September 2021.
The Company has maintained its defined hedge accounting policies. In the first nine months 2021, the Company performed a roll-overcampaign for a nominal amount of US$ 4.9 billion to re-align the hedging portfolio to the last available long term delivery plan.
In the Company’s assessment the risk of aircraft rescheduling beyond the risk management and the risk of future cancellations, notably
due to potential airlines default, have been included. On a quarterly basis, the Company reviews the underlying assumptions. As a result,€ 70 million have been reclassified to financial result in the first nine months 2021, corresponding to transactions no longer expected tooccur.
The Company has also considered the impact of COVID-19 pandemic on the expected credit loss of its financial instruments (mainlyloans, trade and lease receivables). The amount and timing of the expected credit losses, as well as the probability assigned thereto, hasbeen based on the available information at the end of the first nine months 2021. As a result of this review no significant credit losses
have been recorded in the first nine months 2021 (see “– Note 16: Other Investments and Other Long-Term Financial Assets”).

Carrying Amounts and Fair Values of Financial Instruments
Fair values of financial instruments have been determined with reference to available market information at the end of the reporting period
and the valuation methodologies as described in detail in Note 38.2 to the 2020 IFRS Consolidated Financial Statements. For the firstnine months 2021, the Company has applied the same methodologies for the fair value measurement of financial instruments.
Carrying amount is a reasonable approximation of fair value for all classes of financial instruments listed in the first table of Note 38.2 tothe 2020 IFRS Consolidated Financial Statements, with the exception of:
31 December 2020
Book Value
Fair Value

30 September 2021
Book Value
Fair Value(In € million)

Financing liabilities
Bonds and commercial papers
Liabilities to financial institutions and others(11,110)(2,163)(11,983)(2,163)(13,107)(2,190)(13,997)(2,190)Fair Value Hierarchy
Depending on the extent the inputs used to measure fair values rely on observable market data, fair value measurements may behierarchised according to the following levels of input:•

Level 1: quoted prices (unadjusted) in active markets for identical assets and liabilities;•

Level 2: inputs other than quoted prices that are observable for the asset or liability – fair values measured based on Level 2
input typically rely on observable market data such as interest rates, foreign exchange rates, credit spreads or volatilities;•

Level 3: inputs for the asset or liability that are not based on observable market data – fair values measured based on Level 3
input rely to a significant extent on estimates derived from the Company’s’ own data and may require the use of assumptions
that are inherently judgemental and involve various limitations.

The fair values disclosed for financial instruments accounted for at amortised cost reflect Level 2 input. Otherwise, the Company
determines mostly fair values based on Level 1 and Level 2 inputs and to a lesser extent on Level 3 input.
The following table presents the carrying amounts of the financial instruments held at fair value across the three levels of the fair value
hierarchy:(In € million)

Financial assets measured at fair value
Equity instruments
Derivative instruments
Securities
Customer financing
Cash equivalents
Total
Financial liabilities measured at fair value
Derivative instruments
Other financial liabilities
Total

Level 130 September 2021
Level 2
Level 3

Total

Level 131 December 2020
Level 2
Level 3

Total

1,916
0
6,802
0
7,222
15,940

0
1,159
0
0
582
1,741

513
0
0
150
0
663

2,429
1,159
6,802
150
7,804
18,344

1,780
0
6,968
0
9,654
18,402

0
4,424
0
0
512
4,936

465
0
0
237
0
702

2,245
4,424
6,968
237
10,16624,040000(3,252)0(3,252)

(12)
0
(12)

(3,264)0(3,264)000(2,805)0(2,805)

(12)
0
(12)

(2,817)0(2,817)

There has been no material changes in the valuation of the Level 3 financial instruments during the first nine months 2021.
As at 31 December 2020, the fair value of the written put options on non-controlling interests (“NCI puts”) relating to ACLP was nil, mainlyreflecting the latest projections on funding needs, slower ramp-up phasing and market projections. The fair value is unchanged as at 30
September 2021.
17

Airbus SE
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the nine-month period ended 30 September 2021

The fair value of these NCI puts are derived from a discounted cash flow analysis using the latest operating plan and a projection overthe lifetime of the A220 programme.

24.

Litigation and Claims

The Company is involved from time to time in various legal and arbitration proceedings in the ordinary course of its business, the mostsignificant of which are described below. Other than as described below, the Company is not aware of any material governmental, legal
or arbitration proceedings (including any such proceedings which are pending or threatened), during a period covering at least the previous
twelve months which may have, or have had in the recent past significant effects on Airbus SE’s or the Company’s financial position or
profitability.
If the Company concludes that the disclosures relative to contingent liabilities can be expected to prejudice seriously its position in a
dispute with other parties, the Company limits its disclosures to the nature of the dispute.

Investigation by the UK SFO, France’s PNF, US Departments of State and Justice and Related
Commercial Litigation
The Company reached final agreements (“the agreements”) with the French Parquet National Financier (“PNF”), the UK Serious Fraud
Office (“SFO”), and the US Department of Justice (“DoJ”) resolving the authorities’ investigations into allegations of bribery and corruption,
as well as with the US Department of State (“DoS”) and the DoJ to resolve their investigations into inaccurate and misleading filings madewith the DoS pursuant to the US International Traffic in Arms Regulations (“ITAR”). The agreements were approved and made public on
31 January 2020.
Under the terms of the agreements, the Company agreed to pay penalties of € 3,597,766,766 plus interest and costs to the French, UK
and US authorities. This was recognised in the Company’s 2019 accounts. The settlements with each authority were as follows: PNF€ 2,083,137,455, the SFO € 983,974,311, the DoJ € 526,150,496 and the DoS € 9,009,008 of which € 4,504,504 may be used for approved
remedial compliance measures. All penalties have been paid, except for $ 1 million that remains to be paid to the DoS by 28 January2022.
Under the terms of the Convention judiciaire d’intérêt public (“CJIP”) with the PNF, the Company has an obligation to submit its complianceprogramme to targeted audits carried out by the Agence Française Anticorruption (“AFA”) over a period of three years.
Under the terms of the Deferred Prosecution Agreement (“DPA”) with the SFO, no independent compliance monitor will be imposed on
the Company in light of the continuing monitorship to be conducted by the AFA.
Under the terms of the DPA with the DoJ, no independent compliance monitor will be imposed on Airbus under the agreement with the
DoJ, but the Company will periodically report on its continuing compliance enhancement progress during the three year term of the DPA
and carry out further reviews as required by the DoJ.
The agreements result in the suspension of prosecution for a duration of three years whereupon the prosecutions will be extinguished if
the Company complies with their terms throughout the period.
Under the terms of the Consent Agreement with the DoS, the DoS has agreed to settle all civil violations of the ITAR outlined in the
Company’s voluntary disclosures identified in the Consent Agreement, and the Company has agreed to retain an independent export
control compliance officer, who will monitor the effectiveness of the Company’s export control systems and its compliance with the ITAR
for a duration of three years.
Any breach of the terms of the agreements by the Company could lead to rescission by the authorities of the terms of the agreements
and reopening of the prosecutions. Prosecution could result in the imposition of further monetary penalties or other sanctions including
additional tax liability and could have a material impact on the Financial Statements, business and operations of the Company.
In addition to any pending investigation in other jurisdictions, the factual disclosures made in the course of reaching the agreements may
result in the commencement of additional investigations in other jurisdictions. Such investigations could also result in (i) civil claims or
claims by shareholders against the Company, (ii) adverse consequences on the Company’s ability to obtain or continue financing for
current or future projects, (iii) limitations on the eligibility of group companies for certain public sector contracts, and/or (iv) damage to theCompany’s business or reputation via negative publicity adversely affecting the Company’s prospects in the commercial market place.
Airbus will continue to cooperate with the authorities in the future, pursuant to the agreements and to enhance its strong Ethics &Compliance culture within the Company.
Several consultants and other third parties have initiated commercial litigation and arbitration against the Company seeking relief. The
agreements reached with authorities may lead to additional commercial litigation and arbitration against the Company and tax liability inthe future, which could have a material impact on the Financial Statements, business and operations of the Company.
18

Airbus SE
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the nine-month period ended 30 September 2021

Securities Litigation
In August 2020, a putative class action lawsuit was filed in US federal court in the state of New Jersey against Airbus SE and membersof its current and former management. The lawsuit was brought on behalf of alleged shareholders that purchased or otherwise acquired
Airbus SE securities in the US between 24 February 2016 and 30 July 2020, and asserts violations of US securities laws. The complaint
alleges that defendants made false and misleading statements or omissions concerning, among other things, the Company’s agreements
approved on 31 January 2020 with the French PNF, the UK SFO, the US DoJ and the US DoS as well as the Company’s historic practices
regarding the use of third party business partners and anti-corruption compliance. The lawsuit seeks unquantified damages.
In addition, the Company received notification in August 2021 of two separate claims alleging similar facts as the US class action. The
two claims have been filed or threatened in the Netherlands purportedly on behalf of Airbus investors.
The first Dutch claim was filed by a special purpose vehicle incorporated under the laws of Guernsey, an assignee purportedly representing
numerous private shareholders and institutional investors, seeking a declaratory judgment with damages to be assessed in follow onproceedings. It has summoned the Company to enter a formal appearance in the Amsterdam District Court.
The second Dutch claim relates to a demand letter sent by a foundation incorporated under the laws of the Netherlands, a purported
representative of unnamed institutional and retail investors worldwide, threatening to file a class action before the Dutch courts. Thissecond claim targets the Company, the Company's current and former directors and officers, and the Company's current and former
auditors. It seeks unquantified damages.
Both claims allege that the Company violated its reporting obligations by failing to adequately inform investors and providing false or
misleading information about its use of intermediaries and alleged corrupt practices, its related financial exposure, internal investigations
and subsequent measures taken by the Company, and related criminal investigations, which allegedly impacted the Company's shareprice.
The Company believes it has solid grounds to defend itself against the allegations. The consequences of such litigation and the outcomeof the proceedings cannot be fully assessed at this stage, but any judgement or decision unfavourable to the Company could have amaterial adverse impact on the Financial Statements, business and operations of the Company.

Air France Flight 447 Trial
On 1 June 2009, an A330 operated by Air France flight AF447 from Rio de Janeiro to Paris disappeared over the Atlantic Ocean with 228
persons onboard. The wreckage was located in April 2011 after several search campaigns organised by the Bureau d'Enquêtes etd'Analyses (BEA), which published its final investigation report in July 2012. In the wake of the accident, the prosecutor in Paris opened
an investigation for involuntary manslaughter and Airbus SAS was charged in March 2011. In September 2019, the investigating
magistrates closed the investigation and dismissed all criminal charges after a thorough analysis of the technical and legal elements ofthe case. However, the Paris Court of Appeal overturned the magistrates' decision and ordered trial for involuntary manslaughter. The
company’s appeal to the French Supreme Court has been dismissed. A criminal trial in the Paris Criminal Court and any judgment or
decision unfavourable to the Company could result in damage to its business or reputation.

Other Investigations
The Company is cooperating fully with the authorities in a judicial investigation in France related to Kazakhstan. In this spirit, the Company
was interviewed by the investigating magistrates and has been granted the status of “assisted witness” in the investigation.
The Company is also cooperating fully with the authorities in a judicial investigation in France related to Libya. In this spirit, the Company
has responded voluntarily to requests for information.
In 2019, the Company self-reported to German authorities potentially improper advance receipt and communication of confidential
customer information by employees of Airbus Defence and Space GmbH. The information concerned relates to future German government
procurement projects. The self-disclosure by the Company followed an internal review with the support of an external law firm. Both theGerman Ministry of Defence and the Munich public prosecutor opened an investigation into the matter. The investigation could have an
impact on Airbus Defence and Space GmbH’s and Airbus Secure Land Communications GmbH’s ability to participate in future public
procurement projects in Germany. This summer the Munich prosecution issued a penalty notice against Airbus Defence and Space GmbHfor € 10 million for negligent violation of supervisory duties in connection with this matter. The Company continues to fully cooperate with
relevant authorities.

19

Airbus SE
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the nine-month period ended 30 September 2021

25.

Number of Employees
Airbus73,39578,48730 September 2021
31 December 202026.

Airbus Airbus Defence
Helicopters
and Space
20,06332,43020,026
32,836

Consolidated
Airbus125,888
131,349

Events after the Reporting Date

In response to the market environment, the Company is updating its production rate planning.
The A220 production rate, which is currently at 5 aircraft a month, is expected to increase to around rate 6 per month in early 2022, witha monthly production rate of 14 envisaged by the middle of the decade. On the A320 Family programme, the Company is working tosecure the ramp up and is on trajectory to achieve a monthly rate of 65 aircraft by summer 2023. The recent commercial successes of theA330 programme enable a monthly rate increase from around 2 to almost 3 aircraft at the end of 2022. The A350 programme is expected
to increase from around 5 to around 6 aircraft a month in early 2023.

20