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FINANCIAL INFORMATION
4.4 2016 Financial statements
4
237
Registration Document 2016 — Capgemini
to the financial statements
4.4.3
I - Accounting policies
prepared in accordance with the principles of prudence and
Authority (
Autorité des Normes Comptables
, ANC). They are also
accruals, and assuming that the Company is able to continue as a
The annual financial statements for the year ended December 31,
No. 2014-03 issued by the French Accounting Standards
2016 are prepared and presented in accordance with Regulation
going concern.
Items in the financial statements are generally measured using the
historical cost method.
The Company’s main accounting policies are described below:
Intangible assets
user rights is compared to their value in use for the Company.
three years. At the year-end, the value of computer software and
results, are capitalized and amortized over a maximum period of
Computer software and user rights acquired on an unrestricted
which has a positive, lasting and quantifiable effect on future
ownership basis, as well as software developed for internal use
Financial fixed assets
reference to the market value of comparable transactions.
The gross value of equity interests and other long-term
acquisition cost, including any transaction fees. A provision for
investments carried in the balance sheet comprises their
acquisition cost. The value in use is calculated based on either the
impairment is set aside when the value in use falls below the
debt, the Company’s share in net assets, or in certain cases, with
present value of discounted future cash flows adjusted for net
Treasury shares
investments at the lower of cost and net realizable value.
agreement are recorded on the balance sheet within long-term
shares in December. Other treasury shares held for other
Realizable value is the average market price for Cap Gemini S.A.
shares.
objectives of the share buyback program are recorded in listed
Treasury shares held by Cap Gemini S.A. as part of the liquidity
Marketable securities
received in advance on certificates of deposit and commercial
value. At the year-end, accrued interest receivable or interest
respectively.
paper is recognized in accrued income or prepaid income,
of cost and net realizable value. The realizable value of listed
realizable value of unlisted securities is based on their net asset
securities is based on the average share price in December. The
Marketable securities are shown on the balance sheet at the lower
included in marketable securities.
Capitalization contracts subscribed by the Company are also
Foreign currency transactions
year-end exchange rate or at the hedging rate. Any differences
denominated in foreign currencies are translated into euros at the
payables at these rates are included in the balance sheet under
resulting from the translation of foreign currency receivables and
exchange losses is set aside to cover any unrealized losses.
“Unrealized foreign exchange gains/losses”. A provision for foreign
Receivables, payables and cash and cash equivalents
Receivables and payables
recognized excluding VAT.
falls below their net carrying amount. Unbilled payables are
provision for impairment set aside when their net realizable value
Receivables are measured at their nominal amount, and a
Financial instruments
Currency and interest rate positions are taken using financial
organized markets or over-the-counter. Gains and losses on
instruments presenting minimum counterparty risk listed on
to match the gains and losses arising on the hedged items. The
financial instruments used in hedging transactions are recognized
accounts of the Company in accordance with French accounting
fair value of financial instruments, which is not recognized in the
principles, is estimated based on market prices or pricing data
provided by banks.
subsequently remeasured to fair value. Where there is indication of
initially recognized in the balance sheet at acquisition cost and
with the principle of prudence.
impairment, a provision for financial risk is set aside in accordance
Forward financial instruments, and options on own shares, are
consolidation
The Company and French subsidiaries at least 95% owned by the
Group have elected to file consolidated tax returns pursuant to
realized by the Group primarily on account of losses incurred by
Article 223 A of the French General Tax Code. Any tax savings
period in which they arise.
consolidated entities are treated as a gain for the Company in the