Company: SNY
Filing Date: 2025-06-27
Form Type: 11-K
Source: 0001104659-25-063669
Chunk: 9

Company: Sanofi
Filing Date: 2025-06-27
Form: 11-K
Chunk 9
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| 2. | Summary of Significant Accounting Policies |

Basis of Accounting –
The financial statements of the Plan have been prepared in accordance with accounting principles generally accepted in the United States
of America (U.S. GAAP).

Use of Estimates – The
preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires
management to make estimates and assumptions that affect the reported amounts of assets and liabilities and changes therein, and disclosure
of contingent assets and liabilities. Actual results could differ from those estimates.

Investment Valuation –
For investment and administrative purposes the Plan’s assets are held within the custody of the Master Trust. The Plan’s investment
in the Master Trust represents the Plan’s interest in the net assets of the Master Trust. The Plan’s interest in the Master
Trust is stated at fair value, except for fully benefit-responsive investment contracts (“FBRICs”) which are reported at contract
value, and is based on the beginning of year value of the Plan’s interest in the trust plus actual contributions and allocated investment
income or loss less actual distributions and allocated administrative expenses.

The Stable Value Fund (see Note 3)
is a FBRIC and is therefore measured at contract value. Contract value is the relevant measurement attribute for that portion of the net
assets available for benefits of a defined contribution plan attributable to fully benefit-responsive investment contracts because contract
value is the amount participants would receive if they were to initiate permitted transactions under the terms of the plan.

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Sanofi U.S. Group Savings Plan

Notes to the Financial Statements

December 31, 2024 and 2023

Notes Receivable from Participants – Notes receivable from participants represent loans recorded at their unpaid principal
balance plus accrued interest. Interest income generated on the notes receivable is recorded when earned. Related fees are recorded
as administrative expenses and are expensed when they are incurred. The loans are secured by the vested balance in the participant
accounts. If a participant ceases to make loan repayments and the Plan Administrator deems the participant loan to be in default
based on Plan provisions, the participant loan balance is reduced and a benefit payment is recorded.

Payment of Benefits –
Benefit payments to participants are recorded when paid.

Fees and Administrative Expenses
− All external third-party expenses and internal expenses relating to the administration of the Master Trust and managing the funds
established thereunder are borne by the participating plans, unless they are paid by the Company