Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

Unaudited Condensed Interim IFRS Consolidated
Financial Information of Airbus Group N.V.
for the three-month period ended 31 March 2015
Unaudited Condensed IFRS Consolidated Income Statements ....................................................... 2
Unaudited Condensed IFRS Consolidated Statements of Comprehensive Income ...................... 3
Unaudited Condensed IFRS Consolidated Statements of Financial Position ................................ 4
Unaudited Condensed IFRS Consolidated Statements of Cash Flows ........................................... 5
Unaudited Condensed IFRS Consolidated Statements of Changes in Equity................................ 6
Explanatory notes to the Unaudited Condensed IFRS Consolidated Financial Statements as at
31 March 2015 ........................................................................................................................................ 7
1.

The Company ............................................................................................................................ 72.

Accounting policies.................................................................................................................. 7

3.

Acquisitions and other M&A transactions ............................................................................. 8

4.

Segment information ................................................................................................................ 9

5.

Significant income statement items ..................................................................................... 11

6.

Significant items of the statement of financial position ..................................................... 12

7.

Significant cash flow items.................................................................................................... 15

8.

Financial instruments............................................................................................................. 16

9.

Number of shares ................................................................................................................... 19

10. Earnings per share ................................................................................................................. 19
11. Related party transactions..................................................................................................... 19
12. Number of employees ............................................................................................................ 20
13. Litigation and claims .............................................................................................................. 20
14. Subsequent events ................................................................................................................. 22129.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

Unaudited Condensed IFRS Consolidated Income Statements

Revenues
Cost of sales
Gross margin
Selling, administrative and otherexpenses
Research and development
expenses
Other income
Share of profit from investments
under the equity method and otherincome from investments
Profit before finance result
and income taxes
Interest income
Interest expense
Other financial result
Finance result
Income taxes
Profit for the period
Attributable to:Equity owners of the parent(Net income)Non-controlling interests
Earnings per share
Basic
Diluted

1 January 31 March 2015
M€%
100
12,078-10,370
-86
1,708
14

1 January 31 March 2014
M€%
12,648100-10,669
-84
1,979
16

Deviation
M€
-570
299
-271

-631

-5

-666

-5

35

-701

-6

-727

-6

26

127

1

52

0

75

729

6

71

0

658

1,232
40
-146
-260
-366
-71
795

10
0
-1
-2
-3
0
7

709
36
-130
-13
-107
-166
436

5
0
-1
0
-1
-1
3

523
4
-16
-247
-259
95
359

792
3

7
0

439
-3

3
0

353
6

€

€

1.01
1.01

0.56
0.56

2

€
0.45
0.45

29.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

Unaudited Condensed IFRS Consolidated Statements of Comprehensive
Income1 January 31 March 2015

1 January 31 March 2014

795

436

Actuarial gains or losses on defined benefit plans

-496

7

Actuarial gains or losses on defined benefit plans for investments
accounted for using the equity method-76

5

Tax on items that will not be reclassified to profit or loss

163

-2

335

-36

in M €
Profit for the period
Items that will not be reclassified to profit or loss:

Items that will be reclassified to profit or loss:
Foreign currency translation differences for foreign operations-7,86138

Net change in fair value of available-for-sale financial assets

316

-64

Changes in other comprehensive income frominvestments accounted for using the equity method

-111

-13

Tax on items that will be reclassified to profit or loss

2,433

-8

Other comprehensive income, net of tax-5,297-73

Total comprehensive income of the period-4,502363

Equity owners of the parent-4,483366

Non-controlling interests

-19

-3

Net change in fair value of cash flow hedges

Attributable to:3

29.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

Unaudited Condensed IFRS Consolidated Statements of Financial PositionNon-current assets
Intangible assets and goodwill
Property, plant and equipment
Investments accounted
under the equity method
Other investments andlong-term financial assets
Other non-current assets
Deferred tax assets
Non-current securities
Current assets
Inventories
Trade receivables
Other current assets
Current securities
Cash and cash equivalents
Assets (disposal group) classified
as held for sale
Total assets
Total equity
Equity attributable to equity ownersof the parent
Capital stockReserves
Accumulated other comprehensive
income(1)Treasury shares
Non-controlling interests
Non-current liabilities
Non-current provisions
Long-term financing liabilities
Deferred tax liabilities
Other non-current liabilities
Current liabilities
Current provisions
Short-term financing liabilities
Trade liabilities
Current tax liabilities
Other current liabilities
Liabilities (disposal group) classified
as held for sale
Total liabilities
Total equity and liabilities

31 March 2015
M€%

31 December 2014
M€%

Deviation
M€%

12,867
16,72712
16

12,75816,388

13
17

109
339

1
2

986

1

3,391

3

-2,405

-71

2,225
3,246
9,133
7,105
52,289

2
3
9
7
50

1,769
2,408
5,717
5,989
48,420

2
3
6
6
50

456
838
3,416
1,116
3,869

26
35
60
19
8

29,802
6,471
4,993
2,798
7,439
51,503

28
6
5
3
7
49

25,355
6,798
4,325
3,183
7,271
46,932

26
7
5
3
8
49

4,447
-327
668
-385
168
4,571

18
-5
15
-12
2
10

1,320
105,1121
100

750
96,102

1
100

570
9,010

76
9

786
7,930

1
8

785
7,489

1
7

1
441

0
6

-6,072
-8
2,636
-1
2,635

-6
0
3
0
3

-1,205
-8
7,061
18
7,079

-1
0
7
0
7

-4,867
0-4,425-19-4,444

404
0
-63
-106
-63

11,2066,705
1,759
30,53250,202

11
6
2
29
48

10,4006,278
1,130
23,03840,846

11
7
1
24
43

806
427
629
7,494
9,356

8
7
56
33
23

5,395
1,177
11,707868
33,12852,275

5
1
11
1
31
49

5,712
1,073
10,183738
29,79147,497

6
1
11
1
30
49

-317
104
1,524
130
3,337
4,778

-6
10
15
18
11
10

0
102,477
105,112

0
97
100

680
89,023
96,102

1
93
100

-680
13,454
9,010

15
9

4

29.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

Unaudited Condensed IFRS Consolidated Statements of Cash Flows
1 January 31 March 2015

1 January 31 March 2014

792

439

3

-3

Depreciation and amortization

525

471

Valuation adjustments

66

42

-127

77

Change in income tax assets, income tax liabilities and provisions for income tax

87-9Results on disposals of non-current assets

-59

-5

Results of companies accounted for by the equity method

-694

-46

Change in current and non-current provisions

-60

42

Change in other operating assets and liabilities-14-1,227-13-2,545

Cash (used for) operating activities-708-1,550in M €
Profit for the period attributable to equity owners of the parent (Net income)
Profit (loss) for the period attributable to non-controlling interests
Adjustments to reconcile profit for the period to cash (used for) operating activities

Deferred tax (income) expense

Reimbursement from / contribution to plan assets

Investments:- Purchases of intangible assets, PPE

-505

-553

- Proceeds from disposals of intangible assets, PPE

223- Acquisitions of subsidiaries and joint ventures (net of cash)-60- Proceeds from disposals of subsidiaries (net of cash)

-3

-24

- Payments for investments in associates and otherinvestments and long-term financial assets

-32

-27

- Proceeds from disposals of associates and otherinvestments and long-term financial assets

1,613

84

Change in securities

-508

-402

Change in cash from changes in consolidation
Cash provided by (used for) investing activities

-11
550

-899

Change in long-term and short-term financing liabilities

-27

962

Changes in capital and non-controlling interests

37

16

0

Change in treasury shares

0111Cash provided by financing activities

10

1,089

Effect of foreign exchange rate changes on cash and cash equivalents

298

Net increase (decrease) of cash and cash equivalents

150

23-1,337

7,289

7,201

7,439

5,864

Cash and cash equivalents at beginning of period(1)Cash and cash equivalents at end of period(1) The cash and cash equivalents at the beginning of the period 2015 include 18 M €, which is presented as part of assets ofdisposal groups classified as held for sale.

5

29.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

Unaudited Condensed IFRS Consolidated Statements of Changes in Equity

in M €
Balance at 1 January 2014

Equityattributable toequity owners of Non-controlling
the parent
interests

Profit for the period

10,86442

Total
10,906

439

-3

436

Other comprehensive income

-73

0

-73

Total comprehensive income

366

-3

363

Capital increase

16

0

16

Change in treasury shares

111

0

111

Balance at 31 March 2014

11,35739

11,396

Balance at 1 January 2015

7,061

18

7,079

792

3

795

Other comprehensive income-5,275-22-5,297

Total comprehensive income

Profit for the period-4,483-19-4,502

Capital increase

37

0

37

Share-based payment (IFRS 2)

21

0

21

2,636

-1

2,635

Balance at 31 March 2015

629.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

Explanatory notes to the Unaudited Condensed IFRS Consolidated Financial
Statements as at 31 March 2015
1. The Company
The accompanying Unaudited Condensed IFRS Consolidated Financial Statements present theoperations of Airbus Group N.V. and its subsidiaries (the “Group”), a Dutch public limited liability
company (Naamloze Vennootschap) legally seated in Amsterdam (current registered office at
Mendelweg 30, 2333 CS Leiden, The Netherlands), and are prepared and reported in Euros (“€”).
The Group’s core business is the manufacturing of commercial aircraft, civil and militaryhelicopters, commercial space launch vehicles, missiles, military aircraft, satellites, defence
systems and defence electronics and rendering of services related to these activities. The
Unaudited Condensed IFRS Consolidated Financial Statements for the three-month period ended
31 March 2015 were authorized for issue by the Airbus Group Board of Directors on 29 April 2015.

2. Accounting policies
The Unaudited Condensed Interim Consolidated Financial Statements have been prepared inaccordance with International Financial Reporting Standards (“IFRS”) issued by the International
Accounting Standards Board (“IASB”) as endorsed by the European Union (EU) as at
31 March 2015 and Part 9 of Book 2 of the Netherlands Civil Code.
These Unaudited Condensed Interim Consolidated Financial Statements are prepared incompliance with IAS 34 and should be read in conjunction with Airbus Group’s Consolidated
Financial Statements as of 31 December 2014. Except for the amended Standards to be applied
for the first time as of 1 January 2015, Airbus Group’s accounting policies and techniques areunchanged compared to 31 December 2014.
Financial reporting rules applied for the first time as of 1 January 2015:
The following new interpretation and amended Standards issued by the IASB were applied for the
first time in 2015 and are effective for Airbus Group as of 1 January 2015. The first application has
not had a material impact on Airbus Group’s Consolidated Financial Statements as well as its
basic and diluted earnings per share.
IFRIC 21 - This interpretation sets out the accounting for an obligation to pay a levy that is notincome tax. The interpretation addresses what is the obligating event that gives rise to pay a levy
and when a liability should be recognized.
Use of estimates and judgment:
In preparing the Group’s Unaudited Condensed Interim Consolidated Financial Statements,
Group’s management makes assumptions and estimates. The underlying assumptions used forthe main estimates are similar to those described in the Group’s Consolidated Financial
Statements as of 31 December 2014. These estimates are revised if the underlying circumstances
have evolved or in light of new information.

729.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

3. Acquisitions and other M&A transactions
Airbus Safran Launchers Joint Venture
On 14 January 2015, Airbus Group and Safran have completed the first phase of the integration
process of the Airbus Safran Launchers Joint Venture enabling the entity to become operational.
Coordination and programme management of the civil activities of the launcher business as well
as relevant participations have been transferred to the Joint Venture during this first phase.
Airbus Group received 50% of issued shares in Airbus Safran Launchers Joint Venture recognised
at 56 M € as at-equity investment. The loss of control in the business resulted in a capital gain of
49 M €.
During the second phase, Safran and Airbus Group intend to integrate within the joint venture all
the remaining contracts, assets and industrial resources, related to space launchers andassociated propulsion systems. This phase will be initiated and implemented once Ariane 6
development contract is awarded to the joint venture and all legal and financial terms andconditions are finalized between both partners. The joint venture will then be fully equipped for all
design, development, production and commercial activities related to civil and military launchers
and associated propulsion systems.

Dassault Aviation
On 25 March 2015, Airbus Group sold 1,612,407 Dassault Aviation shares, corresponding to
17.5% of the company’s share capital, of which 460,688 shares (5%) were sold to Dassault
Aviation for 980 € per share and 1,151,719 shares (12.5%) were sold to institutional investors at
1,030 € per share. After this transaction as at 31 March 2015, Airbus Group held 24.61% of
Dassault Aviation’s share capital and 26.03% of associated voting rights.
In Q1 2015, Airbus Group has recognised 697 M € representing the net capital gain on partial
disposal after transaction costs.
As of 31 March 2015, Airbus Group has reclassified its remaining equity investment of 1,320 M €in Dassault Aviation as an asset held for sale, as it intends to pursue market opportunities to sell
the remainder of this investment.

829.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

4. Segment information
The Group operates in three reportable segments which reflect the internal organizational andmanagement structure according to the nature of the products and services provided.
• Airbus — Development, manufacturing, marketing and sale of commercial jet aircraft of morethan 100 seats; aircraft conversion and related services; development, manufacturing,marketing and sale of regional turboprop aircraft and aircraft components.
• Airbus Helicopters — Development, manufacturing, marketing and sale of civil and militaryhelicopters; provision of helicopter related services.
• Airbus Defence and Space — Military combat aircraft and training aircraft; provision of defence
electronics and of global security market solutions such as integrated systems for global bordersecurity and secure communication solutions and logistics; training, testing, engineering andother related services; development, manufacturing, marketing and sale of missile systems;
development, manufacturing, marketing and sale of satellites, orbital infrastructures andlaunchers; provision of space related services; development, manufacturing, marketing and saleof military transport aircraft and special mission aircraft and related services.

The following table presents information with respect to the Group’s business segments. As a rule,inter-segment transfers are carried out 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. The Group’s activities managed in the US, the holding function of theGroup’s Headquarters such as the newly acquired bank and other activities not allocable to thereportable segments, combined together with consolidation effects, are disclosed in the column“Others/ HQ / Conso.”.
Airbus Group uses EBIT pre-goodwill impairment and exceptionals as a key indicator of its
economic performance. The term “exceptionals” refers to such items as depreciation expenses offair value adjustments relating to the former EADS merger and the Airbus combination, as well as
impairment charges thereon. It also comprises disposal impacts related to goodwill and fair value
adjustments from these transactions. EBIT pre-goodwill impairment and exceptionals is treated bymanagement as a key indicator to measure the segments’ economic performance.

929.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

in M €

AirbusAirbus Helicopters

AirbusDefenceand Space

Total Others/ HQ/
segments
Conso.

Consolidated

Three-month period ended 31 March 2015
Total revenues

8,565

1,285

2,603

12,45340

12,493

Internal revenues

-194

-141

-79

-414

-1

-415

Revenues

8,371

1,144

2,524

12,03939

12,078

-548

-70

-66

-684

-17

-701

419

52

133

604

637

1,241

0

0

0

0

0

0

-6

0

-3

-9

0

-9

413

52

130

595

637

1,232

Research anddevelopment expenses
EBIT pre-goodwill imp.
and exceptionals (1)Impairment anddisposal of goodwill
Exceptionals
Profit before financeresult and income taxes(1)

Finance result-366

Income taxes-71

Profit for the period

795

Three-month period ended 31 March 2014
Total revenues
Internal revenues
Revenues

8,937
-184
8,753

1,182
-114
1,068

2,743
-60
2,683

12,862-358
12,504149-5144

13,011-363
12,648

Research anddevelopment expenses

-576

-73

-76

-725

-2

-727

EBIT pre-goodwill imp.
and exceptionals

546

58

85

689

30

719

Impairment anddisposal of goodwill

0

0

0

0

0

0

Exceptionals

-7

0

-3

-10

0

-10

539

58

82

679

30

709
-107
-166
436

Profit before financeresult and income taxes
Finance result
Income taxes
Profit for the period(1) Included in the segments “Airbus Defence and Space” and “Others/ HQ / Conso.” are impacts on specific transactions(see Note 3 “Acquisitions and M&A transactions”).

10

29.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

5. Significant income statement items
Revenues of 12,078 M € (first quarter 2014: 12,648 M €) decreased by -570 M €, mainly at Airbus(-382 M €) and Airbus Defence and Space (-159 M €). In Airbus, the decrease is mostly driven by
a negative volume effect partly offset by a more favourable foreign exchange hedging impact. In
Airbus Defence and Space, the decrease is mainly due to the loss of revenues as a result of thetransfer of activities for the first phase of the creation of Airbus Safran Launchers Joint Venture(see Note 3 “Acquisitions and other M&A transactions”).
The Gross margin decreased by -271 M € to 1,708 M € compared to 1,979 M € in the first quarter
2014, mainly in Airbus due to negative foreign exchange impacts. The gross margin rate
decreased from 15.6% to 14.1%.
The A350 XWB Entry into service occurred at the end of 2014, with the first A350 being delivered
to Qatar Airways on 22 December 2014. A second aircraft has been delivered to Qatar on 5 March2015. Despite these important achievements, significant challenges remain. The industrial ramp
up preparation is underway and associated risks will continue to be closely monitored in line withthe schedule, aircraft performance and overall cost envelope, as per customer’s commitment.
In the last quarter of 2014, Management reviewed the A400M programme evolution mostly driven
by military functionality challenges and industrial ramp-up together with associated mitigation
actions. As a result of this review, Airbus Defence and Space recorded based on Management
best estimate an additional net charge of 551 M € for the period ended 31 December 2014.
The A400M programme is in a phase of progressive enhancement of military capabilities withdelays incurred. The sequence of progressive enhancements and associated deliveries are undernegotiation with the customers to reflect revised programme baseline and delivery schedule.
The A400M SOC 1 milestone remains to be achieved. SOC 1 fell due end October 2013, and thetermination right related thereto became exercisable by OCCAR/Nations on 1 November 2014
after a 12-month grace period. It has not at the date hereof been exercised. Management judgesthat it is highly unlikely that this termination right will be exercised.
The A400M programme remains in a critical phase and associated risks will continue to be closely
monitored.
In the first quarter of 2015, Airbus Defence and Space has delivered 2 A400M aircraft.
Research and development expenses remain stable at -701 M € (first quarter 2014: -727 M €).
Other income increased by +75 M € to 127 M € (first quarter 2014: 52 M €) mainly due to thecapital gain following the completion of the first phase of the creation of Airbus Safran Launchers
Joint Venture (see Note 3 “Acquisitions and other M&A transactions”).
Share of profit from investments accounted for under the equity method and other income
from investments of 729 M € (first quarter 2014: 71 M €) mainly related to Dassault Aviation of
674 M € (first quarter 2014: 36 M €) which includes the net gain on the partial sale of shares, thefirst quarter 2015 estimated result and a negative catch-up on 2014 of -119 M € (see Note 3“Acquisitions and other M&A transactions”).

11

29.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

Finance result amounted to -366 M € (first quarter 2014: -107 M €) and includes interest result of-106 M € (first quarter 2014: -94 M €) and other financial result of -260 M € (first quarter 2014:-13 M €).
Other financial result mainly includes the negative impact of revaluation of financial instruments-149 M € (first quarter 2014: 0 M €), the negative impact from foreign exchange valuation ofmonetary items -75 M € (first quarter 2014: 36 M €) and the negative impact from the unwinding of
discounted provisions -31 M € (first quarter 2014: -41 M €).
The income tax expense of -71 M € (first quarter 2014: -166 M €) corresponds to an effective
income tax rate of 8.2% (first quarter 2014: 27.6%). The significant decrease in the income tax rateis due to the low taxable gain of the sale of shares of Dassault Aviation (see Note 3 “Acquisitions
and other M&A transactions”).

6. Significant items of the statement of financial positionNon-current assets
Intangible assets increased by +109 M € to 12,867 M € (prior year-end: 12,758 M €). This mainly
relates to Airbus (8,701 M €), Airbus Defence and Space (3,425 M €) and Airbus Helicopters(726 M €) and includes goodwill of 10,057 M € (prior year-end: 9,979 M €). The annual impairment
tests were performed in the fourth quarter 2014 and led to no impairment charge.
Property, plant and equipment increased by +339 M € to 16,727 M € (prior year-end:
16,388 M €) and includes leased assets of 231 M € (prior year-end: 213 M €). The increase wasmainly driven by the A350 XWB programme. Property, plant and equipment also includes“Investment property” amounting to 67 M € (prior year-end: 67 M €).
Investments accounted for under the equity method of 986 M € (prior year-end: 3,391 M €)mainly include the equity investment in Atlas Group and MBDA.
Aside from the partial sale of Dassault Aviation shares in the first quarter 2015, the remaining
equity investment in Dassault Aviation has been reclassified as asset held for sale (see Note 3“Acquisitions and other M&A transactions”).
Other investments and other long-term financial assets of 2,225 M € (prior year-end:
1,769 M €) are related to Airbus for an amount of 1,219 M € (prior year-end: 790 M €), mainly
concerning the non-current portion of aircraft financing activities.
Other non-current assets mainly comprise non-current derivative financial instruments and noncurrent prepaid expenses. The increase of +838 M € to 3,246 M € (prior year-end: 2,408 M €)resulted from the positive variation of the non-current portion of fair values of derivative financial
instruments (+536 M €) and from higher prepaid expenses (+292 M €).
Deferred tax assets increased by +3,416 M € to 9,133 M € (prior year-end: 5,717 M €) mainly asa result of variations in the fair values of derivative financial instruments.

1229.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

The fair values of derivative financial instruments are included in other non-current assets
1,038 M € (prior year-end: 502 M €), in other current assets 401 M € (prior year-end: 208 M €), inother non-current liabilities -9,371 M € (prior year-end: -3,271 M €) and in other current liabilities-4,767 M € (prior year-end: -2,232 M €), which corresponds to a total net fair value of -12,699 M €(prior year-end: -4,793 M €).
The volume of hedged US dollar-contracts increased from 88 billion US dollar as at 31 December
2014 to 94 billion US dollar as at 31 March 2015. The US dollar spot rate is 1.08 USD/€ and 1.21
USD/€ at 31 March 2015 and at 31 December 2014, respectively. The average US dollar hedge
rate for the hedge portfolio of the Group remains almost stable at 1.32 USD/€ as at 31 March 2015
compared to 1.33 USD/€ as at 31 December 2014.
Non-current securities with a remaining maturity of more than one year increased by +1,116 M €to 7,105 M € (prior year-end: 5,989 M €). The movement is related to the cash management policyof the Group.

Current assets
Inventories of 29,802 M € (prior year-end: 25,355 M €) increased by +4,447 M €. This is mainly
related to Airbus (+2,994 M €), Airbus Defence and Space (+1,137 M €) and Airbus Helicopters(+248 M €). In Airbus, the increase is due to work in progress and finished aircraft across all
programmes and A350 ramp-up. In Airbus Defence and Space, the increase is mainly driven by
the increased activity on the A400M programme.
Trade receivables decreased by -327 M € to 6,471 M € (prior year-end: 6,798 M €), mainly in
Airbus Defence and Space and Airbus Helicopters, partly compensated by an increase in Airbus.
Other current assets include “Current portion of other long-term financial assets”, “Current otherfinancial assets”, “Current other assets” and “Current tax assets”. The increase of +668 M € to
4,993 M € (prior year-end: 4,325 M €) includes the positive variation of the current portion of fairvalues of derivative financial instruments (+193 M €), of prepaid expenses (+171 M €) and of VAT
receivables (+99 M €).
Current securities with a remaining maturity of one year or less decreased by -385 M € to
2,798 M € (prior year-end: 3,183 M €).
Cash and cash equivalents increased from 7,271 M € (prior year-end) to 7,439 M € (see also
Note 7 “Significant cash flow items”).

Asset (disposal group) classified as held for sale
The asset (disposal group) held for sale of 1,320 M € (prior year-end: 750 M €) concerns theremaining investment in Dassault Aviation (see Note 3 “Acquisitions and other M&A transactions”).
The assets of disposal group classified as held for sale as of 31 December 2014 are mainly
related to the Airbus Safran Launchers Joint Venture first phase.

13

29.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

Total equity
Equity attributable to equity owners of the parent (including purchased treasury shares) amounted
to 2,636 M € (prior year-end: 7,061 M €) representing a decrease of -4,425 M €. This decrease isdue a reduction in other comprehensive income of -5,275 M €, is mainly due to the mark to market
revaluations of the hedge portfolio and changes of actuarial gains and losses due to an update ofdiscount rates used for the obligation valuation of pensions. This was partly offset by a net incomeof +792 M €.
Non-controlling interests decreased to -1 M € (prior year-end: 18 M €). This decrease is mainly
derived from the mark to market revaluations of the hedge portfolio of -23 M €.
New accounting principle for Airbus Group N.V. financial statements as of 1 January 2015
Until end of financial year 2014, Airbus Group N.V. made use of the option provided in section
2:362 (8) of the Netherlands Civil Code, which allows that the principles for the recognition andmeasurement of assets and liabilities and determination of the result of the Company Financial
Statements of Airbus Group N.V. are the same as those applied for the Consolidated EU-IFRS
Financial Statements.
As of 1 January 2015, Airbus Group N.V. changed the basis for preparing the Company Statutory
Financial Statements to IFRS as adopted by the European Union as applicable for company
financial statements (a.o. IAS 27), as permitted by section 2:362 (8) of the Netherlands Civil Code.
As an internationally operating Group, Airbus has global institutional and private shareholders aswell as other stakeholders who are used to IFRS as internationally accepted and applied
accounting standards, rather than to Dutch GAAP requirements under the formerly applied option.
As a primary difference arising from the change to IFRS for Airbus Group N.V. company financial
statements subsidiaries will now be measured at historic cost less impairment instead of net asset
value.
Airbus’ management considers that the recognition of its investments at cost less impairment in
the Airbus Group N.V. company financial statements is a more appropriate approach to provide afair insight into the company’s financial position with regards to the determination of distributable
equity and complements the IFRS Airbus Group Consolidated Financial Statements.

Non-current liabilities
Non-current provisions of 11,206 M € (prior year-end: 10,400 M €) include the non-current
portion of pension provisions (8,522 M €). Total pension provisions (non-current and current)
increased by +640 M € to 8,890 M € (prior year-end: 8,250 M €), due to a further decrease of the
discount rates for the various pension schemes of the Group (France: 2.1% to 1.6% and Germany:
1.9% to 1.4%).
Other provisions are also included in non-current provisions, and increased by +148 M € to
2,684 M € (prior year-end: 2,536 M €). This increase is mainly linked to aircraft financing activities
and personnel expenses.
Included in non-current (and current) provisions are costs for the A380 programme related to inservice technical issues identified and with solutions defined, which reflects the latest facts andcircumstances. Airbus is contractually liable for the repair or replacement of the defective parts but
not for any other damages whether direct, indirect, incidental or consequential (including loss ofrevenue, profit or use). However, in view of overall commercial relationships, contract adjustments
may occur, and be considered on a case by case basis.

14

29.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

Long-term financing liabilities, mainly comprising bonds and liabilities to financial institutions
which increased by +427 M € to 6,705 M € (prior year-end: 6,278 M €), mainly due to therevaluation of dollar denominated financing liabilities.
Other non-current liabilities, comprising “Non-current other financial liabilities”, “Non-current
other liabilities” and “Non-current deferred income”, increased in total by +7,494 M € to 30,532 M €(prior year-end: 23,038 M €). Negative fair values of financial instruments increased by+6,100 M €, government refundable advances by +718 M € and advance payments received by+658 M €.

Current liabilities
Current provisions decreased by -317 M € to 5,395 M € (prior year-end: 5,712 M €) andcomprise the current portion of pensions provisions (368 M €) and of other provisions (5,027 M €).
This decrease is mainly due to the net presentation on A350 XWB programme where inventories
are presented net of the respective portion of the contract loss provision.
Short-term financing liabilities increased by +104 M € to 1,177 M € (prior year-end: 1,073 M €).
Trade liabilities increased by +1,524 M € to 11,707 M € (prior year-end: 10,183 M €). This
increase occurred mainly at Airbus.
Other current liabilities include “Current other financial liabilities”, “Current other liabilities” and“Current deferred income”. These liabilities increased by +3,337 M € to 33,128 M € (prior yearend: 29,791 M €) mainly due to the increase in the negative fair values of derivative financial
instruments (+2,535 M €), to higher advance payments received (+414 M €) and to higher value
added tax liabilities (+130 M €).

Liabilities (disposal group) classified as held for saleNo liabilities (disposal group) held for sale in the first quarter 2015 (prior year-end: 680 M €). The
liabilities of disposal group classified as held for sale as of 31 December 2014 are mainly related
to the Airbus Safran Launchers Joint Venture first phase.

7. Significant cash flow items
Cash used for operating activities improved by +842 M € to -708 M € (first quarter 2014:-1,550 M €). Gross cash flow from operations (before changes in other operating assets andliabilities) of +519 M € decreased compared to the prior period (first quarter 2014: +995 M €).
Changes in other operating assets and liabilities amounts to -1,227 M € (first quarter 2014:-2,545 M €) mainly due to an increase in inventories at Airbus and Airbus Defence and Space
partly compensated by higher trade liabilities and advance payments received at Airbus.
Cash provided by (used for) investing activities amounts to +550 M € (first quarter 2014:-899 M €). This mainly comprises the proceeds from disposals of associates and otherinvestments and long-term financial assets amounting to +1,613 M € (first quarter 2014: +84 M €)mainly due to the partial sale of Dassault Aviation shares (see Note 3 “Acquisitions and other M&A
transactions”). This was partly compensated by purchases of intangible assets and property, plant15

29.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

and equipment of -505 M € (first quarter 2014: -553 M €), and a change in securities of -508 M €(first quarter 2014: -402 M €).
Cash provided by financing activities decreased by -1,079 M € to +10 M € (first quarter 2014:+1,089 M €). This decrease comprises changes in long-term and short-term financing liabilities of-27 M € (first quarter 2014: +962 M €).

8. 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 indetail in note 34 b) to the 2014 Consolidated Financial Statements. For the first three months
2015, Airbus Group has applied the same methodologies for the fair value measurement offinancial instruments. Considering the variability of their value-determining factors, the use ofcarrying amounts for fair values as a proxy and the volume of financial instruments, the fair values
presented herein may not be indicative of the amounts that the Group could realise in a current
market environment. The following items are the main exceptions to this general rule:
31 March 2015

Financial Instruments
Total

in M €

Book Value

Fair Value

420

420

-7,882-8,286

Other investments and other long-term financial assets
Equity instruments*)
Long-term and short-term financing liabilities

31 December 2014

Financial Instruments
Total

in M €

Book Value

Fair Value

409

409

-7,351-7,716

Other investments and other long-term financial assets
Equity instruments*)
Long-term and short-term financing liabilities*)

For certain unlisted equity investments price quotes are not available and fair values may not be reliably measurable

using valuation techniques because the range of reasonable fair value estimates is significant and the probabilities of thevarious estimates within the range cannot be reasonably assessed. These equity investments are accounted for at cost,
and their fair values as reported in the table above, equal their carrying amounts.

The fair value hierarchy consists of the following levels:
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, either directly(i.e. as prices) or indirectly (i.e. derived from prices); andLevel 3: inputs for the asset or liability that are not based on observable market data.

16

29.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

The following table allocates the financial assets and liabilities measured at fair value to the threelevels of the fair value hierarchy as of 31 March 2015:
31 March 2015
in M €

Level 1

Level 2

Level 3

Total

252

0

0

252

0

1,428

11

1,439

Securities

8,956

947

0

9,903

Cash equivalents

4,180

1,553

0

5,733

13,3883,928

1117,3270-14,1380-14,138

0

Financial assets measured at fair value
Equity Instruments
Derivative Instruments

Total
Financial liabilities measured at fair value
Derivative instruments
Other liabilities

0

-137

-137

0

-14,138-137-14,275

Level 1

Level 2

Level 3

Total

208

0

0

208

0

708

2

710

7,784

1,388

0

9,172
5,005

Total

31 December 2014
in M €
Financial assets measured at fair value
Equity Instruments
Derivative Instruments
Securities

3,563

1,442

0

11,555

3,538

2

15,095Derivative instruments

0-5,5030-5,503

Other liabilities

0

0

-137

-137

0

-5,503-137-5,640Total gains orlosses in
Other
Balance at Profit compreor hensive PurchaSettle- Reclassi1 January
ses Issues ments
fication2015 loss income

Balance at
31 March
2015

Cash equivalents
Total
Financial liabilities measured at fair value

Total

The development of financial instruments of Level 3 is as follows:

Financial assets and liabilities on
Level 3Financial assets
Derivative instrumentsypagreements
Total

2

9

0

0

0

0

0

11

2

9

0

0

0

0

0

11

-127

0

0

0

0

0

0

-127

-10

0

0

0

0

0

0

-10

-137

0

0

0

0

0

0

-137

Financial liabilities
Other liabilities
Written put options on
non-controlling interests
Earn-out agreements
Total

17

29.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

Financial assets and liabilities on
Level 3

Total gains orlosses in
Other
Balance at Profit compreBalance at
Settle- Reclassi- 31 December
1 Januaryor hensive Purchafication
ses Issues ments
2014 loss income
2014

Financial assets
Derivative instrumentsypagreements
Other derivative instruments
Total

26

-1

0

0

0

-23

0

2

8

0

0

0

0

-8

0

0

34

-1

0

0

0

-31

0

2

-129

2

0

0

0

0

0

-127

-51

38

0

0

0

3

0

-10

-180

40

0

0

0

3

0

-137

Financial liabilities
Other liabilities
Written put options on
non-controlling interests
Earn-out agreements
Total

The financial assets measured at fair value that are classified as Level 3 mainly consist of shortterm commodity contracts whose notional amounts vary with the actual volumes of certain
commodity purchases made by the Group in specific months.
A deviation of 10% of actual monthly volumes purchased from expected monthly volumes
purchased would increase or decrease (depending on whether actual volumes are 10% more or
10% less than expected volumes) the total Level 3 fair value of these short term commodity
contracts by 1 M € (prior year-end: 1 M €).
The financial liabilities measured at fair value that are classified as Level 3 consist of several
written put options on non-controlling interest (“NCI puts”) of Airbus Group subsidiaries. The fairvalues of these NCI puts vary, among others with the weighted average cost of capital (”WACC”)
and the growth rate used to determine the terminal value. An increase (decrease) of the discountrates by 50 basis points results in a decrease (increase) of the NCI put values by 11 M € (13 M €).
An increase (decrease) in the growth rates by 50 basis point increases (decreases) the NCI put
values by 11 M € (9 M €) respectively. (Changes correspond to those disclosed for prioryear-end).
Another element of financial liabilities measured at fair value classified as Level 3 are earn-out
payments that have been agreed with former shareholders of entities acquired by the Group in
business combinations. Fair Value measurement is based on the expectation regarding theachievement of defined target figures by the acquired entity or its ability to close identified
customer contracts.

18

29.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

9. Number of shares
The total number of shares issued is 785,914,888 and 784,780,585 as of 31 March 2015 and 31
December 2014 respectively. The Group’s shares are exclusively ordinary shares with a par valueof 1.00 €.
During the first quarter 2015, the number of treasury stock held by Airbus Group remained at
431,832 as of 31 December 2014. No shares were either sold back to the market, or cancelled (inthe first three months 2014: 56,993 shares).
In the first three months 2015, the Group issued 1,134,303 new shares due to the exercise ofstock options (in the first three months 2014: 539,351 new shares).
10. Earnings per share
Basic earnings per share are calculated by dividing profit for the period attributable to equity
owners of the parent (Net income) by the weighted average number of issued ordinary shares
during the period, excluding ordinary shares purchased by the Group and held as treasury shares:

1 January 31 March 2015

1 January 31 March 2014

Net income attributable to equity owners of the parent

792 M €

439 M €

Weighted average number of ordinary shares outstanding

784,653,992

780,878,364

1.01 €

0.56 €

Basic earnings per share

For calculation of the diluted earnings per share, the weighted average number of ordinary
shares is adjusted to assume conversion of all potential ordinary shares. The Group’s categories
of dilutive potential ordinary shares are stock options and share-settled performance units for
Executive Committee members relating to long-term incentive plans for 2009 to 2013. Since inthth2015 the average price of Airbus Group shares exceeded the exercise price of the 7 and 8 stockththth
option plan as well as the share-settled performance units (in 2014: the 6 , 7 and 8 stock optionplan), 798,355 potential shares (in the first three months 2014: 2,483,434 shares) were consideredin the calculation of diluted earnings per share.
1 January 31 March 2015

1 January 31 March 2014

Net income attributable to equity owners of the parent

792 M €

439 M €

Weighted average number of ordinary shares outstanding(diluted)

785,452,347

783,361,798

1.01 €

0.56 €

Diluted earnings per share

11. Related party transactions
The Group has entered into various transactions with related entities that have all been carried out
in the normal course of business.

19

29.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

A part of the shares in Dassault Aviation were disposed of during the first quarter 2015 (see Note 3“Acquisitions and M&A transactions”).

12. Number of employees
The number of employees as at 31 March 2015 is 137,855 as compared to 138,622 as at
31 December 2014.

13. Litigation and claims
Airbus Group is involved from time to time in various legal and arbitration proceedings in theordinary course of its business, the most significant of which are described below. Other thanas described below, Airbus Group 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 pastsignificant effects on Airbus Group N.V.’s or the Group’s financial position or profitability.
WTO
Although Airbus Group is not a party, Airbus Group is supporting the European Commission inlitigation before the WTO. Following its unilateral withdrawal from the 1992 EU-US Agreement on
Trade in Large Civil Aircraft, the US lodged a request on 6 October 2004 to initiate proceedings
before the WTO. On the same day, the EU launched a parallel WTO case against the US in
relation to its subsidies to Boeing. On 19 December 2014, the European Union requested WTO
consultations on the extension until the end of 2040 of subsidies originally granted by the State ofWashington to Boeing and other US aerospace firms until 2024.
On 1 June 2011, the WTO adopted the Appellate Body’s final report in the case brought by the US
assessing funding to Airbus from European governments. On 1 December 2011, the EU informed
the WTO that it had taken appropriate steps to bring its measures fully into conformity with its
WTO obligations, and to comply with the WTO’s recommendations and rulings. Because the US
did not agree, the matter is now under WTO panel review pursuant to WTO rules.
On 23 March 2012, the WTO adopted the Appellate Body’s final report in the case brought by the
EU assessing funding to Boeing from the US. On 23 September 2012, the US informed the WTO
that it had taken appropriate steps to bring its measures fully into conformity with its WTO
obligations, and to comply with the WTO’s recommendations and rulings. Because the EU did notagree, the matter is now under WTO panel review pursuant to WTO rules.
Exact timing of further steps in the WTO litigation process is subject to further rulings and tonegotiations between the US and the EU. Unless a settlement, which is currently not underdiscussion, is reached between the parties, the litigation is expected to continue for several years.

20

29.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

Securities litigation
Following the dismissal of charges brought by the French Autorité des marchés financiers foralleged breaches of market regulations and insider trading rules with respect primarily to the A380
delays announced in 2006, a French investigating judge decided in November 2013 to send thecase to trial (renvoi devant le tribunal correctionnel) against 7 current and former executives thatexercised their stock options in March 2006 as well as two former shareholders. On 3 October
2014 the criminal court suspended the case on the merits and decided to request a preliminary
ruling (question prioritaire de constitutionnalité) from the French Supreme Court on theconstitutionality of the French dual prosecution system (AMF and judicial proceedings). In
December 2014, the French Supreme Court transmitted the constitutional challenge to the Conseil
Constitutionnel. On 18 March 2015, the Conseil rendered its decision declaring relevant provisionsof the French Financial and Monetary Code unconstitutional. This decision should ultimately put an
end to the criminal prosecution, at least against the 7 current and former executives.
GPT
Prompted by a whistleblower’s allegations, Airbus Group conducted internal audits and retainedPricewaterhouseCoopers (“PwC”) to conduct an independent review relating to GPT Special
Project Management Ltd. (“GPT”), a subsidiary that Airbus Group acquired in 2007. The
allegations called into question a service contract entered into by GPT prior to its acquisition by
Airbus Group, relating to activities conducted by GPT in Saudi Arabia. PwC’s report was provided
by Airbus Group to the UK Serious Fraud Office (the “SFO”) in March 2012. In the period underreview and based on the work it undertook, nothing came to PwC’s attention to suggest that
improper payments were made by GPT. In August 2012, the SFO announced that it had opened aformal criminal investigation into the matter. Airbus Group is cooperating fully with the authorities.
Eurofighter Austria
In March 2012, the German public prosecutor, following a request for assistance by the Austrian
public prosecutor, launched a criminal investigation into alleged bribery, tax evasion and breach oftrust by current and former employees of EADS Deutschland GmbH (renamed on 1 July 2014
Airbus Defence and Space GmbH) and Eurofighter Jagdflugzeug GmbH as well as by third parties
relating to the sale of Eurofighter aircraft to Austria in 2003. After having been informed on theinvestigation in 2012, Airbus Group retained law firm Clifford Chance to conduct a fact finding
independent review. Upon concluding its review, Clifford Chance presented its fact finding
report to Airbus Group in December 2013. Airbus Group provided the report to the publicprosecutors in Germany. Airbus Group is cooperating fully with the authorities.
Other investigations
Following the publication of investigations by the Romanian authorities relating to the bordersurveillance project in Romania in mid-October 2014 Airbus Group confirms that Airbus Defence
and Space GmbH has been informed that also the German prosecution office investigates withrespect to potential irregularities in relation to this project, a project in Saudi Arabia and a project ofTesat-Spacecom GmbH & Co. KG. No legal entity of the Airbus Group is subject of any
accusations.

21

29.04.2015

Airbus Group N.V.
Unaudited Condensed Interim IFRS Consolidated Financial Information
for the three-month period ended 31 March 2015

Public prosecutors in Greece and Germany launched investigations into a current employee andformer officers and employees of Atlas Elektronik GmbH, a joint company of ThyssenKrupp andAirbus Group, on suspicion of bribing foreign officials and tax evasion. The public prosecutor in
Germany has launched an administrative proceeding for alleged organisational and supervisory
shortfalls. The authorities in Greece have launched civil claims against Atlas Elektronik GmbH.
With the support of its shareholders, the company is cooperating fully with the authorities and in
consultation with the public prosecutor is assisting the further clarification of the matter through its
own internal investigation.
Commercial disputes
In May 2013, the Group has been notified of a commercial dispute following the decision taken by
the Group to cease a partnership for sales support activities in some local markets abroad. The
Group believes it has solid grounds to legally object to the alleged breach of a commercial
agreement. However, the consequences of this dispute and the outcome of the proceedings
cannot be fully assessed at this stage. The arbitration is not expected to be completed before theend of 2016.
In the course of another commercial dispute, the Group has received in the third quarter 2013 astatement of claim alleging liability for refunding part of the purchase price of a large contract
which the customer claims it was not obliged to pay. The Group believes that this claim whichgoes back many years ago should be dismissed in principle. Options to resolve the dispute areunder review but eventually it may be decided in the course of the arbitration.
In July 2013, the Group became the subject of a commercial dispute following the expiry of apartnership study for winglet devices with a US supplier. The Group believes it has solid grounds
to legally object to the alleged breach of a commercial non-disclosure agreement. However, theoutcome and consequences of this dispute cannot be assessed at this stage.

14. Subsequent events
On 10 April 2015, Airbus Group sold an additional 115,172 (1.25%) Dassault Aviation sharesthrough the exercise of the over-allotment option granted to the joint bookrunners as part of theplacement on 25 March 2015. The shares were sold at 1,030 € per share. After the transaction,
Airbus Group holds 23.36% of Dassault Aviation’s share capital and 24.71% of voting rights.

2229.04.2015