Company: BBVXF
Filing Date: 2025-09-05
Form Type: F-4/A
Source: 0001193125-25-196513
Chunk: 718

Company: BANCO BILBAO VIZCAYA ARGENTARIA, S.A.
Filing Date: 2025-09-05
Form: F-4/A
Chunk 718
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 balance sheet (see Note 21), at a value equal to the present value of estimated payments outstanding, based on the envisaged maturity date. These payments comprise the following items:

| – | Fixed payments, less any lease incentives payable. |

| – | Variable payments that depend on an index or rate. |

A-591

| – | Amounts expected to be paid for residual value guarantees given to the lessor. |

| – | The exercise price of a purchase option if the Group is reasonably certain to exercise that option. |

| – | Payments of penalties for terminating the lease, if the lease term shows that an option to terminate the lease will 
 be exercised.                                                                                                       |

Lease payments are discounted using the implicit interest rate, if this can be easily determined and, if not, the incremental borrowing rate, understood as the rate of interest that the Group would have to pay to borrow the funds necessary to purchase assets with a value similar to the rights of use acquired over the leased assets for a term equal to the estimated duration of the lease contracts. The payments settled by the lessee in each period reduce the lease liability and accrue an interest expense that is recognised in the consolidated income statement over the lease term. The right-of-useasset, which is classified as a fixed asset based on the type of leased property, is initially measured at cost, which comprises the following amounts:

| – | The amount of the initial measurement of the lease liability, as described above. |

| – | Any lease payments made at or before the lease commencement date, less any incentives received. |

| – | Any initial direct costs. |

| – | An estimate of costs to be incurred in dismantling and removing the leased asset, restoring the site on which it is 
 located or restoring the asset to the condition required by the terms and conditions of the lease.                  |

The right-of-useasset is depreciated on a straight-line basis at the shorter of the useful life of the asset or the lease term. The criteria for impairing these assets are similar to those used for tangible assets (see Note 1.3.10). The Group exercises the option to recognise, as an expense during the year, the payments made on short-term leases (those that, at the commencement date, have a lease term of 12 months or less) and leases in which the leased asset has a low value. Sale and leaseback If the Group does not retain control over the asset, (i) the asset sold is derecognised from the