2020 Financial Statements

2. Notes to the IFRS Consolidated Financial Statements / 2.5 Operational Assets and Liabilities 2 21. Property, Plant and Equipment Property, plant and equipment is valued at acquisition or manufacturing costs less accumulated depreciation and impairment losses. Items of property, plant and equipment are generally depreciated on a straight-line basis. The following useful lives are assumed: Buildings 10 to 50 years Site improvements 6 to 30 years Technical equipment and machinery 2 to 20 years Jigs and tools (1) 5 years Other equipment, factory and office equipment 2 to 10 years (1) If more appropriate, jigs and tools are depreciated using the number of production or similar units expected to be obtained from the tools (sum-of-the-units method). Property, plant and equipment as of 31 December 2020 and 2019 comprises the following: (In € million) 31 December 2020 31 December 2019 Gross amount Depreciation / Impairment Net book value Gross amount Depreciation / Impairment Net book value Land, leasehold improvements and buildings, including buildings on land owned by others 9,767 (5,086) 4,681 9,879 (5,056) 4,823 Technical equipment and machinery 23,650 (16,582) 7,068 23,144 (15,887) 7,257 Other equipment, factory and office equipment (1) 3,699 (2,888) 811 3,782 (2,825) 957 Construction in progress 2,310 0 2,310 2,714 0 2,714 Right-of-use assets (2) 2,426 (622) 1,804 1,793 (250) 1,543 Total 41,852 (25,178) 16,674 41,312 (24,018) 17,294 (1) Includes the net book value of aircraft under operating lease (see “– Note 28: Sales Financing Transactions”). (2) The net book value of Land and Buildings under Right-of-use assets amounts to €1,665 million. NET BOOK VALUE (In € million) Balance at 1 January 2020 Exchange differences Additions Changes in consolidation scope Reclassi- fication Disposals Depreciation / Impairment (1) Balance at 31 December 2020 Land, leasehold improvements and buildings, including buildings on land owned by others 4,823 (37) 104 (7) 168 (44) (326) 4,681 Technical equipment and machinery 7,257 (127) 328 (3) 1,158 (36) (1,509) 7,068 Other equipment, factory and office equipment 957 (13) 83 0 79 (73) (222) 811 Construction in progress 2,714 (11) 1,008 2 (1,364) (39) 0 2,310 Right-of-use assets 1,543 (57) 605 15 (23) (33) (246) 1,804 Total 17,294 (245) 2,128 7 18 (225) (2,303) 16,674 (1) Accelerated depreciation previously included in onerous contract provision has been offset with the release of the provision in the presentation of the Consolidated Statement of Cash Flows for the year ended 2020. 37 Airbus / Financial Statements 2020